[Title 45 CFR ]
[Code of Federal Regulations (annual edition) - October 1, 2024 Edition]
[From the U.S. Government Publishing Office]

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Title 45

Public Welfare

________________________

Part 1200 to End

Revised as of October 1, 2024

Containing a codification of documents of general
applicability and future effect

As of October 1, 2024
Published by the Office of the Federal Register
National Archives and Records Administration as a
Special Edition of the Federal Register

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Table of Contents

Page
Explanation................................................. v

Title 45:
SUBTITLE B--Regulations Relating to Public Welfare
(Continued)
Chapter XII--Corporation for National and Community
Service 5
Chapter XIII--Administration for Children and
Families, Department of Health and Human Services 73
Chapter XVI--Legal Services Corporation 439
Chapter XVII--National Commission on Libraries and
Information Science 555
Chapter XVIII--Harry S. Truman Scholarship
Foundation 575
Chapter XXI--Commission of Fine Arts 595
Chapter XXIII--Arctic Research Commission 637
Chapter XXIV--James Madison Memorial Fellowship
Foundation 647
Chapter XXV--Corporation for National and Community
Service 667
Finding Aids:
Table of CFR Titles and Chapters........................ 913
Alphabetical List of Agencies Appearing in the CFR...... 933
List of CFR Sections Affected........................... 943

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----------------------------

Cite this Code: CFR
To cite the regulations in
this volume use title,
part and section number.
Thus, 45 CFR 1201.1 refers
to title 45, part 1201,
section 1.

----------------------------

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EXPLANATION

The Code of Federal Regulations is a codification of the general and
permanent rules published in the Federal Register by the Executive
departments and agencies of the Federal Government. The Code is divided
into 50 titles which represent broad areas subject to Federal
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name of the issuing agency. Each chapter is further subdivided into
parts covering specific regulatory areas.
Each volume of the Code is revised at least once each calendar year
and issued on a quarterly basis approximately as follows:

Title 1 through Title 16.................................as of January 1
Title 17 through Title 27..................................as of April 1
Title 28 through Title 41...................................as of July 1
Title 42 through Title 50................................as of October 1

The appropriate revision date is printed on the cover of each
volume.

LEGAL STATUS

The contents of the Federal Register are required to be judicially
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evidence of the text of the original documents (44 U.S.C. 1510).

HOW TO USE THE CODE OF FEDERAL REGULATIONS

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To determine whether a Code volume has been amended since its
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OMB CONTROL NUMBERS

The Paperwork Reduction Act of 1980 (Pub. L. 96-511) requires
Federal agencies to display an OMB control number with their information
collection request.

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Many agencies have begun publishing numerous OMB control numbers as
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PAST PROVISIONS OF THE CODE

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``[RESERVED]'' TERMINOLOGY

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Oliver A. Potts,
Director,
Office of the Federal Register
October 1, 2024

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THIS TITLE

Title 45--Public Welfare is composed of five volumes. The parts in
these volumes are arranged in the following order: Parts 1-139, 140-199,
200-499, 500-1199, and 1200 to end. Volumes one and two (parts 1-139 and
parts 140-199) contain all current regulations issued under Subtitle A--
Department of Health and Human Services. Volumes three through five
contain all current regulations issued under Subtitle B--Regulations
Relating to Public Welfare. Volume three (parts 200-499) contains all
current regulations issued under Chapter II--Office of Family Assistance
(Assistance Programs), Administration for Children and Families,
Department of Health and Human Services, Chapter III--Office of Child
Support Enforcement (Child Support Enforcement Program), Administration
for Children and Families, Department of Health and Human Services, and
Chapter IV--Office of Refugee Resettlement, Administration for Children
and Families, Department of Health and Human Services. Volume four
(parts 500-1199) contains all current regulations issued under Chapter
V--Foreign Claims Settlement Commission of the United States, Department
of Justice, Chapter VI--National Science Foundation, Chapter VII--
Commission on Civil Rights, Chapter VIII--Office of Personnel
Management, Chapter IX--Denali Commission, Chapter X--Office of
Community Services, Administration for Children and Families, Department
of Health and Human Services, and Chapter XI--National Foundation on the
Arts and the Humanities. Volume five (part 1200 to end) contains all
current regulations issued under Chapter XII--Corporation for National
and Community Service, Chapter XIII--Administration for Children and
Families, Department of Health and Human Services, Chapter XVI--Legal
Services Corporation, Chapter XVII--National Commission on Libraries and
Information Science, Chapter XVIII--Harry S. Truman Scholarship
Foundation, Chapter XXI--Commission of Fine Arts, Chapter XXIII--Arctic
Research Commission, Chapter XXIV--James Madison Memorial Fellowship
Foundation, and Chapter XXV--Corporation for National and Community
Service. The contents of these volumes represent all of the current
regulations codified under this title of the CFR as of October 1, 2024.

For this volume, Gabrielle E. Burns was Chief Editor. The Code of
Federal Regulations publication program is under the direction of John
Hyrum Martinez, assisted by Stephen J. Frattini.

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TITLE 45--PUBLIC WELFARE

(This book contains part 1200 to end)

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SUBTITLE B--Regulations Relating to Public Welfare (Continued)

Part

chapter xii--Corporation for National and Community Service. 1201

chapter xiii--Administration for Children and Families,
Department of Health and Human Services................... 1301

chapter xvi--Legal Services Corporation..................... 1600

chapter xvii--National Commission on Libraries and
Information Science....................................... 1700

chapter xviii--Harry S. Truman Scholarship Foundation....... 1800

chapter xxi--Commission of Fine Arts........................ 2101

chapter xxiii--Arctic Research Commission................... 2301

chapter xxiv--James Madison Memorial Fellowship Foundation.. 2400

chapter xxv--Corporation for National and Community Service. 2500

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Subtitle B--Regulations Relating to Public Welfare (Continued)

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CHAPTER XII--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

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Part Page
1200

[Reserved]

1201 Production or disclosure of official
information in response to court orders,
subpoenas, notices of depositions,
requests for admissions,
interrogatories, or in connection with
Federal or State litigation............. 7
1203 Nondiscrimination in federally assisted
programs--Effectuation of title VI of
the Civil Rights Act of 1964............ 11
1206 Grants and contracts--Suspension and
termination and denial of application
for refunding........................... 20
1210-1211

[Reserved]

1212

Volunteer agencies procedures for National grant volunteers [Reserved]

1214 Enforcement of nondiscrimination on the
basis of handicap in programs or
activities conducted by ACTION.......... 31
1216 Nondisplacement of employed workers and
nonimpairment of contracts for service.. 36
1217-1219

[Reserved]

1220 Payment of volunteer legal expenses......... 37
1222

[Reserved]

1225 Member and volunteer discrimination
complaint procedure..................... 40
1226 Prohibitions on electoral and lobbying
activities.............................. 47
1230 New restrictions on lobbying................ 50
1232 Nondiscrimination on basis of handicap in
programs or activities receiving Federal
financial assistance.................... 62
1233 Intergovernmental review of ACTION programs. 69
1235 Locally generated contributions in Older
American Volunteer Programs............. 71
1236-1299

[Reserved]

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PART 1200 [RESERVED]

PART 1201_PRODUCTION OR DISCLOSURE OF OFFICIAL INFORMATION IN
RESPONSE TO COURT ORDERS, SUBPOENAS, NOTICES OF DEPOSITIONS,
REQUESTS FOR ADMISSIONS,
INTERROGATORIES, OR IN CONNECTION WITH
FEDERAL OR STATE LITIGATION--Table of Contents

Sec.
1201.1 Definitions.
1201.2 Scope.
1201.3 Service of summonses and complaints.
1201.4 Service of subpoenas, court orders, and other demands or requests
for official information or action.
1201.5 Testimony and production of documents prohibited unless approved
by appropriate Corporation officials.
1201.6 Procedure when testimony or production of documents is sought.
1201.7 Procedure when response is required prior to receiving
instructions.
1201.8 Procedure in the event of an adverse ruling.
1201.9 Considerations in determining whether the Corporation will comply
with a demand or request.
1201.10 Prohibition on providing expert or opinion testimony.
1201.11 Authority.

Authority: 42 U.S.C. 12501 et seq.

Source: 63 FR 4598, Jan. 30, 1998, unless otherwise noted.

Sec. 1201.1 Definitions.

(a) Corporation Employee means the Chief Executive Officer of the
Corporation and all employees, former employees, National Civilian
Community Corps Members (hereinafter sometimes known as ``Corps
Members''), and VISTA Volunteers (hereinafter sometimes also known as
``AmeriCorps*VISTA Members''), who are or were subject to the
supervision, jurisdiction, or control of the Chief Executive Officer,
except as the Corporation may otherwise determine in a particular case.
(b) Litigation encompasses all pre-trial, trial, and post-trial
stages of all judicial or administrative actions, hearings,
investigations, or similar proceedings before courts, commissions,
boards, or other judicial or quasi-judicial bodies or tribunals, whether
criminal, civil, or administrative in nature.
(c) Official Information means all information of any kind, however
stored, that is in the custody and control of the Corporation, relates
to information in the custody and control of the Corporation, or was
acquired by individuals connected with the Corporation as part of their
official status within the Corporation while such individuals are
employed by, or serve on behalf of, the Corporation.

Sec. 1201.2 Scope.

(a) This part states the procedures followed with respect to:
(1) Service of summonses and complaints or other requests or demands
directed to the Corporation or to any Corporation employee in connection
with Federal or State litigation arising out of, or involving the
performance of, official activities of the Corporation; and
(2) Oral or written disclosure, in response to subpoenas, orders, or
other requests or demands from Federal or by State judicial or quasi-
judicial authority, whether civil or criminal, or in response to
requests for depositions, affidavits, admissions, responses to
interrogatories, document production, or other litigation-related
matters of:
(i) Any material contained in the files of the Corporation; or
(ii) Any information acquired:
(A) When the subject of the request is currently a Corporation
employee or was a Corporation employee; or
(B) As part of the performance of the person's duties or by virtue
of the person's position.
(b) Sections 1201.3 through 1201.10 do not apply to:
(1) Testimony or records provided in accordance with the Office of
Personnel Management regulations implementing 5 U.S.C. 6322.
(2) Requests for, and release of, records under the Freedom of
Information Act, 5 U.S.C. 552, and the Privacy Act, 5 U.S.C. 552a.
(3) Disclosures to the Office of Inspector General or requests by
the Office of Inspector General for official information or records.
(c) The procedures in this part apply to Corporation employees and
official

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information within the Corporation Office of Inspector General. However,
any determinations or other actions to be made by the General Counsel
under this part, relating to employees or official information within
the Office of Inspector General, shall be made by the Inspector General.

[63 FR 4598, Jan. 30, 1998, as amended at 63 FR 64199, Nov. 19, 1998]

Sec. 1201.3 Service of summonses and complaints.

(a) Only the Corporation's General Counsel or his/her designee
(hereinafter ``General Counsel''), is authorized to receive and accept
summonses or complaints sought to be served upon the Corporation or its
employees. All such documents should be delivered or addressed to
General Counsel, Corporation for National and Community Service, 250 E
Street SW., Washington, DC 20525.
(b) In the event any summons or complaint is delivered to a
Corporation Employee other than in the manner specified in this part,
such attempted service shall be ineffective, and the recipient thereof
shall either decline to accept the proffered service or return such
document under cover of a written communication that refers the person
attempting to effect service to the procedures set forth in this part.
(c) Except as otherwise provided in Sec. 1201.4(c), the Corporation
is not an authorized agent for service of process with respect to civil
litigation against Corporation Employees purely in their personal, non-
official capacity. Copies of summonses or complaints directed to
Corporation Employees in connection with legal proceedings arising out
of the performance of official duties may, however, be served upon the
General Counsel.

[63 FR 4598, Jan. 30, 1998, as amended at 81 FR 12600, Mar. 10, 2016]

Sec. 1201.4 Service of subpoenas, court orders, and other demands
or requests for official information or action.

(a) Except in cases in which the Corporation is represented by legal
counsel who have entered an appearance or otherwise given notice of
their representation, only the General Counsel is authorized to receive
and accept subpoenas, or other demands or requests directed to any
component of the Corporation or Corporation Employees, whether civil or
criminal in nature, for:
(1) Material, including documents, contained in the files of the
Corporation;
(2) Information, including testimony, affidavits, declarations,
admissions, response to interrogatories, or informal statements,
relating to material contained in the files of the Corporation or which
any Corporation employee acquired in the course and scope of the
performance of official duties;
(3) Garnishment or attachment of compensation of Corporation
Employees; or
(4) The performance or non-performance of any official Corporation
duty.
(b) In the event that any subpoena, demand, or request is sought to
be delivered to a Corporation Employee other than in the manner
prescribed in paragraph (a) of this section, such attempted service
shall be ineffective. Such Corporation Employee shall, after
consultation with the General Counsel, decline to accept the subpoena,
and demand or request the return of it under cover of a written
communication referring to the procedures prescribed in this part.
(c) Except as otherwise provided in this part, the Corporation is
not an agent for service or otherwise authorized to accept on behalf of
Corporation Employees any subpoenas, show-cause orders, or similar
compulsory process of federal or state courts, or requests from private
individuals or attorneys, which are not related to the employees'
official duties except upon the express, written authorization of the
individual Corporation Employee to whom such demand or request is
directed.
(d) Acceptance of such documents by the General Counsel does not
constitute a waiver of any defenses that might otherwise exist with
respect to service under the Federal Rules of Civil or Criminal
Procedure at 28 U.S.C. Appendix, Rules 4-6 or 18 USC Appendix or other
applicable rules.

[[Page 9]]

Sec. 1201.5 Testimony and production of documents prohibited
unless approved by appropriate Corporation officials.

(a) Unless authorized to do so by the General Counsel, no
Corporation Employee shall, in response to a demand or request in
connection with any litigation, whether criminal or civil, provide oral
or written testimony by deposition, declaration, affidavit, or otherwise
concerning any information acquired:
(1) While such person was a Corporation Employee;
(2) As part of the performance of that person's official duties; or
(3) By virtue of that person's official status.
(b) No Corporation Employee shall, in response to a demand or
request in connection with any litigation, produce for use at such
proceedings any document or any other material acquired as part of the
performance of that individual's duties or by virtue of that
individual's official status, unless authorized to do so by the General
Counsel.

Sec. 1201.6 Procedure when testimony or production of documents
is sought.

(a) If Official Information is sought, either through testimony or
otherwise, the party seeking such information must (except as otherwise
required by federal law or authorized by the General Counsel) set forth
in writing with as much specificity as possible, the nature and
relevance of the Official Information sought. The party must identify
the record or reasonably describe it in terms of date, format, subject
matter, the offices originating or receiving the record, and the names
of all persons to whom the record is known to relate. Corporation
Employees may produce, disclose, release, comment upon, or testify
concerning only those matters that were specified in writing and
properly approved by the General Counsel. The General Counsel may waive
this requirement in appropriate circumstances.
(b) To the extent it deems necessary or appropriate, the Corporation
may also require from the party seeking such testimony or documents a
schedule of all reasonably foreseeable demands, including but not
limited to the names of all current and former Corporation Employees
from whom discovery will be sought, areas of inquiry, expected duration
of proceedings requiring oral testimony, and identification of
potentially relevant documents.
(c) The General Counsel will notify the Corporation Employee and
such other persons as circumstances may warrant of the decision
regarding compliance with the request or demand.
(d) The General Counsel will consult with the Department of Justice
regarding legal representation for Corporation Employees in appropriate
cases.

Sec. 1201.7 Procedure when response to demand is required prior
to receiving instructions.

(a) If a response to a demand or request for Official Information
pursuant to litigation is required before the General Counsel renders a
decision, the Corporation will request that either a Department of
Justice attorney or a Corporation attorney designated for the purpose:
(1) Appear, if feasible, with the employee upon whom the demand has
been made;
(2) Furnish the court or other authority with a copy of the
regulations contained in this part;
(3) Inform the court or other authority that the demand or request
has been or is being, as the case may be, referred for the prompt
consideration of the General Counsel; and
(4) Respectfully request the court or authority to stay the demand
or request pending receipt of the requested instructions.
(b) In the event that an immediate demand or request for production
or disclosure is made in circumstances that would preclude the proper
designation or appearance of a Department of Justice or Corporation
attorney on behalf of the Corporation employee, the Corporation Employee
shall respectfully request the court or other authority for a reasonable
stay of proceedings for the purpose of obtaining instructions from the
Corporation.

[[Page 10]]

Sec. 1201.8 Procedure in the event of an adverse ruling.

If the court or other authority declines to stay the effect of the
demand or request in response to a request made pursuant to Sec.
1201.7, or if the court or other authority rules that the demand or
request must be complied with irrespective of the Corporation's
instructions not to produce the material or disclose the information
sought, the Corporation Employee upon whom the demand or request has
been made shall, if so directed by the General Counsel, respectfully
decline to comply with the demand or request, citing United States ex
rel. Touhy v. Ragen, 340 U.S. 462 (1951), and the regulations in this
part.

Sec. 1201.9 Considerations in determining whether the Corporation
will comply with a demand or request.

(a) In deciding whether to comply with a demand or request,
Corporation officials and attorneys are encouraged to consider:
(1) Whether such compliance would be unduly burdensome or otherwise
inappropriate under the applicable rules of discovery or the rules of
procedure governing the case or matter in which the demand arose;
(2) Whether compliance is appropriate under the relevant substantive
law concerning privilege or disclosure of information;
(3) The public interest;
(4) The need to conserve the time of Corporation Employees for the
conduct of official business;
(5) The need to avoid spending the time and money of the United
States for private purposes;
(6) The need to maintain impartiality between private litigants in
cases where a government interest is not implicated;
(7) Whether compliance would have an adverse effect on performance
by the Corporation of its mission and duties; and
(8) The need to avoid involving the Corporation in controversial
issues not related to its mission.
(b) Among those demands and requests in response to which compliance
may not ordinarily be authorized are those when compliance would:
(1) Violate a statute, a rule of procedure, a specific regulation,
or an executive order;
(2) Reveal information properly classified in the interest of
national security;
(3) Reveal confidential commercial or financial information or trade
secrets without the owner's consent;
(4) Reveal the internal deliberative processes of the Executive
Branch; or
(5) Potentially impede or prejudice an ongoing law enforcement
investigation.

Sec. 1201.10 Prohibition on providing expert or opinion testimony.

(a) Except as provided in this section, Corporation Employees shall
not provide opinion or expert testimony based upon information that they
acquired in the scope and performance of their official Corporation
duties, except on behalf of the United States or a party represented by
the Department of Justice.
(b) Upon a showing by the requester of exceptional need or unique
circumstances and that the anticipated testimony will not be adverse to
the interests of the United States, the General Counsel, in the exercise
of discretion, may grant special, written authorization for Corporation
Employees to appear and testify as expert witnesses at no expense to the
United States.
(c) If, despite the final determination of the General Counsel, a
court of competent jurisdiction or other appropriate authority orders
the appearance and expert or opinion testimony of a Corporation Employee
such individual shall immediately inform the General Counsel of such
order. If the General Counsel determines that no further legal review of
or challenge to the court's order will be made, the Corporation Employee
shall comply with the order. If so directed by the General Counsel,
however, the individual shall respectfully decline to testify.

Sec. 1201.11 Authority.

The Corporation receives authority to change its governing
regulations from the National and Community Service Act of 1990 as
amended (42 U.S.C. 12501 et seq.).

[[Page 11]]

PART 1203_NONDISCRIMINATION IN FEDERALLY ASSISTED PROGRAMS_
EFFECTUATION OF TITLE VI OF THE CIVIL RIGHTS ACT OF 1964
--Table of Contents

Sec.
1203.1 Purpose.
1203.2 Application of this part.
1203.3 Definitions.
1203.4 Discrimination prohibited.
1203.5 Assurances required.
1203.6 Compliance information.
1203.7 Conduct of investigations.
1203.8 Procedure for effecting compliance.
1203.9 Hearings.
1203.10 Decisions and notices.
1203.11 Judicial review.
1203.12 Effect on other regulations, forms, and instructions.

Appendix A to Part 1203--Programs to Which This Part Applies
Appendix B to Part 1203--Programs to Which This Part Applies When a
Primary Objective of the Federal Financial Assistance Is To
Provide Employment

Authority: Sec. 602, 78 Stat. 252; 42 U.S.C. 2000d-1.

Source: 39 FR 27322, July 26, 1974, unless otherwise noted.

Sec. 1203.1 Purpose.

The purpose of this part is to effectuate the provisions of title VI
of the Civil Rights Act of 1964 (hereafter referred to as title VI), to
the end that a person in the United States shall not, on the ground of
race, color, or national origin, be excluded from participation in, be
denied the benefits of, or be otherwise subjected to discrimination
under a program or activity receiving Federal financial assistance from
ACTION.

Sec. 1203.2 Application of this part.

(a) This part applies to each program for which Federal financial
assistance is authorized under a law administered by ACTION, including
the types of Federal financial assistance listed in appendix A to this
part. It also applies to money paid, property transferred, or other
Federal financial assistance extended after the effective date of this
part pursuant to an application approved before that effective date.
This part does not apply to:
(1) Federal financial assistance by way of insurance or guaranty
contracts;
(2) Money paid, property transferred, or other assistance extended
before the effective date of this part, except when the assistance was
subject to the title VI regulations of an agency whose responsibilities
are now exercised by ACTION;
(3) Assistance to any individual who is the ultimate beneficiary; or
(4) Employment practices, under a program, of an employer,
employment agency, or labor organization, except to the extent described
in Sec. 1203.4(c).

The fact that a type of Federal financial assistance is not listed in
Appendix A to this part does not mean, if title VI is otherwise
applicable, that a program is not covered. Other types of Federal
financial assistance under statutes now in force or hereinafter enacted
may be added to Appendix A to this part.
(b) In a program receiving Federal financial assistance in the form,
or for the acquisition, of real property or an interest in real
property, to the extent that rights to space on, over, or under that
property are included, the nondiscrimination requirement of this part
extends to a facility located wholly or in part in that space.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. 1203.3 Definitions.

Unless the context requires otherwise, in this part:
(a) Applicant means a person who submits an application, request, or
plan required to be approved by ACTION, or by a primary recipient, as a
condition to eligibility for Federal financial assistance, and
``application'' means that application, request, or plan.
(b) Facility includes all or any part of structures, equipment, or
other real or personal property or interests therein, and the provision
of facilities includes the construction, expansion, renovation,
remodeling, alteration, or acquisition of facilities.
(c) Federal financial assistance includes:
(1) Grants and loans of Federal funds;
(2) The grant or donation of Federal property and interests in
property;
(3) The detail of Federal personnel;

[[Page 12]]

(4) The sale and lease of, and the permission to use (on other than
a casual or transient basis), Federal property or any interest in the
property without consideration or at a nominal consideration, or at a
consideration which is reduced for the purpose of assisting the
recipient, or in recognition of the public interest to be served by the
sale or lease to the recipient; and
(5) A Federal agreement, arrangement, or other contract which has as
one of its purposes the provision of assistance.
(d) Primary recipient means a recipient that is authorized or
required to extend Federal financial assistance to another recipient.
(e) Program or activity and program mean all of the operations of
any entity described in paragraphs (e)(1) through (4) of this section,
any part of which is extended Federal financial assistance:
(1)(i) A department, agency, special purpose district, or other
instrumentality of a State or of a local government; or
(ii) The entity of such State or local government that distributes
such assistance and each such department or agency (and each other State
or local government entity) to which the assistance is extended, in the
case of assistance to a State or local government;
(2)(i) A college, university, or other postsecondary institution, or
a public system of higher education; or
(ii) A local educational agency (as defined in 20 U.S.C. 7801),
system of vocational education, or other school system;
(3)(i) An entire corporation, partnership, or other private
organization, or an entire sole proprietorship--
(A) If assistance is extended to such corporation, partnership,
private organization, or sole proprietorship as a whole; or
(B) Which is principally engaged in the business of providing
education, health care, housing, social services, or parks and
recreation; or
(ii) The entire plant or other comparable, geographically separate
facility to which Federal financial assistance is extended, in the case
of any other corporation, partnership, private organization, or sole
proprietorship; or
(4) Any other entity which is established by two or more of the
entities described in paragraph (e)(1), (2), or (3) of this section.
(f) Recipient may mean any State, the District of Columbia, the
Commonwealth of Puerto Rico, a territory or possession of the United
States, or any political subdivision thereof, or instrumentality
thereof, any public or private agency, institution, or organization, or
other entity, or any individual in any State, the District of Columbia,
the Commonwealth of Puerto Rico, or territory or possession of the
United States, to whom Federal financial assistance is extended,
directly or through another recipient, including any successor,
assignee, or transferee thereof, but the term does not include any
ultimate beneficiary.
(g) Director means the Director of ACTION or any person to whom he
has delegated his authority in the matter concerned.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. 1203.4 Discrimination prohibited.

(a) General. A person in the United States shall not, on the ground
of race, color, or national origin be excluded from participation in, be
denied the benefits of, or be otherwise subjected to discrimination
under, a program to which this part applies.
(b) Specific discriminatory actions prohibited. (1) A recipient to
which this part applies may not, directly or through contractual or
other arrangements, on the ground of race, color, or national origin--
(i) Deny a person a service, financial aid, or other benefit
provided under the program;
(ii) Provide a service, financial aid, or other benefit to a person
which is different, or is provided in a different manner, from that
provided to others under the program;
(iii) Subject a person to segregation or separate treatment in any
matter related to his receipt of a service, financial aid, or other
benefit under the program;
(iv) Restrict a person in any way in the enjoyment of an advantage
or

[[Page 13]]

privilege enjoyed by others receiving a service, financial aid, or other
benefit under the program;
(v) Treat a person differently from others in determining whether he
satisfies an admission, enrollment, quota, eligibility, membership, or
other requirement or condition which persons must meet in order to be
provided a service, financial aid, or other benefit provided under the
program;
(vi) Deny a person an opportunity to participate in the program
through the provision of services or otherwise or afford him an
opportunity to do so which is different from that afforded others under
the program; or
(vii) Deny a person the opportunity to participate as a member of a
planning or advisory body which is an integral part of the program.
(2) A recipient, in determining the types of services, financial
aid, or other benefits, or facilities which will be provided under a
program or the class of persons to whom, or the situations in which, the
services, financial aid, other benefits, or facilities will be provided
under a program, or the class of persons to be afforded an opportunity
to participate in a program, may not, directly or through contractual or
other arrangements, utilize criteria or methods of administration which
have the effect of subjecting persons to discrimination because of their
race, color, or national origin, or have the effect of defeating or
substantially impairing accomplishment of the objectives of the program
with respect to individuals of a particular race, color, or national
origin.
(3) The enumeration of specific forms of prohibited discrimination
in this paragraph does not limit the generality of the prohibition in
paragraph (a) of this section.
(4)(i) In administering a program regarding which the recipient had
previously discriminated against persons on the ground of race, color,
or national origin, the recipient shall take affirmative action to
overcome the effects of prior discrimination.
(ii) Even in the absence of prior discrimination a recipient in
administering a program may take affirmative action to overcome the
effect of conditions which resulted in limiting participation by persons
of a particular race, color, or national origin.
(c) Employment practices. (1) When a primary objective of the
Federal financial assistance to which this part applies is to provide
employment, a recipient or other party subject to this part shall not,
directly or through contractual or other arrangements, subject a person
to discrimination on the ground of race, color, or national origin in
its employment practices under the program (including recruitment or
recruitment advertising, hiring, firing, upgrading, promotion, demotion,
transfer, layoff, termination, rates of pay, or other forms of
compensation or benefits, selection for training or apprenticeship, use
of facilities, and treatment of employees). A recipient shall take
affirmative action to insure that applicants are employed, and employees
are treated during employment, without regard to race, color, or
national origin. The requirements applicable to construction employment
under a program are those specified in or pursuant to part III of
Executive Order 11246 or any Executive order which supersedes it.
(2) Federal financial assistance to programs under laws funded or
administered by ACTION which have as a primary objective the providing
of employment include those set forth in Appendix B to this part.
(3) Where a primary objective of the Federal financial assistance is
not to provide employment, but discrimination on the ground of race,
color, or national origin in the employment practices of the recipient
tends, on the ground of race, color, or national origin, to exclude
persons from participation in, to deny them the benefits of, or to
subject them to discrimination under any program to which this part
applies, the provisions of paragraph (c)(1) of this section apply to the
employment practices of the recipient to the extent necessary to assure
equality of opportunity to and nondiscriminatory treatment of
beneficiaries.
(d) In determining the site or location of facilities, a recipient
or applicant may not make selections with the purpose or effect of
excluding individuals from, denying them the benefits

[[Page 14]]

of, or subjecting them to discrimination under, a program to which this
part applies, on the ground of race, color, or national origin; or with
the purpose or effect of defeating or substantially impairing the
accomplishment of the objectives of title VI of this part.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. 1203.5 Assurances required.

(a) General. (1) An application for Federal financial assistance to
which this part applies, except an application to which paragraph (d) of
this section applies, and every application for Federal financial
assistance to provide a facility shall, as a condition to its approval
and the extension of Federal financial assistance pursuant to the
application, contain or be accompanied by, assurances that the program
will be conducted or the facility operated in compliance with the
requirements imposed by or pursuant to this part. Every award of Federal
financial assistance shall require the submission of these assurances.
In the case where the Federal financial assistance is to provide or is
in the form of personal property, or real property or interest therein
or structures thereon, the assurances shall obligate the recipient, or,
in the case of a subsequent transfer, the transferee, for the period
during which the property is used for a purpose for which the Federal
financial assistance is extended or for another purpose involving the
provision of similar services or benefits, or for as long as the
recipient retains ownership or possession of the property, whichever is
longer. In other cases, the assurances obligate the recipient for the
period during which the Federal financial assistance is extended to the
program. In the case where the assistance is sought for the construction
of a facility or part of a facility, the assurances shall extend to the
entire facility and to the facilities operated in connection therewith.
ACTION shall specify the form of the foregoing assurances and the extent
to which like assurances will be required of subgrantees, contractors
and subcontractors, transferees, successors in interest, and other
participants. The assurances shall include provisions which give the
United States the right to seek judicial enforcement.
(2) When Federal financial assistance is provided in the form of a
transfer of real property, structures, or improvements thereon, or
interest therein, from the Federal Government, the instrument effecting
or recording the transfer shall contain a covenant running with the land
assuring nondiscrimination for the period during which the real property
is used for a purpose involving the provision of similar services or
benefits. When no transfer of property of interest therein from the
Federal Government is involved, but property is acquired or improved
with Federal financial assistance, the recipient shall agree to include
a covenant in any subsequent transfer of the property. When the property
is obtained from the Federal Government, the covenant may also include a
condition coupled with a right to be reserved by ACTION to revert title
to the property in the event of a breach of the covenant where, in the
discretion of ACTION, such a condition and right of reverter is
appropriate to the statute under which the real property is obtained and
to the nature of the grant and the grantee. In the event a transferee of
real property proposes to mortgage or otherwise encumber the real
property as security for financing construction of new, or improvement
of existing, facilities on property for the purposes for which the
property was transferred, ACTION may agree, on request of the transferee
and if necessary to accomplish the financing, and on conditions as he
deems appropriate, to subordinate a right of reversion to the lien of a
mortgage or other encumbrance.
(b) Assurances from Government agencies. In the case of an
application from a department, agency, or office of a State or local
government for Federal financial assistance for a specified purpose, the
assurance required by this section shall extend to any other department,
agency, or office of the same governmental unit if the policies of the
other department, agency, or office will substantially affect the
project for which Federal financial assistance is requested.

[[Page 15]]

(c) Assurance from academic and other institutions. (1) In the case
of an application for Federal financial assistance by an academic
institution, the assurance required by this section extends to admission
practices and to all other practices relating to the treatment of
students.
(2) The assurance required by an academic institution, detention or
correctional facility, or any other institution or facility, relating to
the institution's practices with respect to admission or other treatment
of individuals as students, patients, wards, inmates, persons subject to
control, or clients of the institution or facility or to the opportunity
to participate in the provision of services, disposition, treatment, or
benefits to these individuals, is applicable to the entire institution
or facility.
(d) Continuing Federal financial assistance. Every application by a
State or a State agency for continuing Federal financial assistance to
which this part applies (including the types of Federal financial
assistance listed in Appendix A to this part) shall as a condition to
its approval and the extension of Federal financial assistance pursuant
to the application:
(1) Contain or be accompanied by a statement that the program is
(or, in the case of a new program, will be) conducted in compliance with
the requirements imposed by or pursuant to this part, and
(2) Provide or be accompanied by provision for methods of
administration for the program as are found by ACTION to give reasonable
guarantee that the applicant and all recipients of Federal financial
assistance under the program will comply with the requirements imposed
by or pursuant to this part.

(Approved by the Office of Management and Budget under control number
3001-0016, paragraph (a)(1))

[39 FR 27322, July 26, 1974, as amended at 47 FR 3553, Jan. 26, 1982; 68
FR 51387, Aug. 26, 2003]

Sec. 1203.6 Compliance information.

(a) Cooperation and assistance. ACTION, to the fullest extent
practicable, shall seek the cooperation of recipients in obtaining
compliance with this part and shall provide assistance and guidance to
recipients to help them comply voluntarily with this part.
(b) Compliance reports. Each recipient shall keep records and submit
to ACTION timely, complete, and accurate compliance reports at the
times, and in the form and containing the information ACTION may
determine necessary to enable it to ascertain whether the recipient has
complied or is complying with this part. In the case in which a primary
recipient extends Federal financial assistance to other recipients, the
other recipients shall also submit compliance reports to the primary
recipient as may be necessary to enable the primary recipient to carry
out its obligations under this part. In general, recipients should have
available for ACTION racial and ethnic data showing the extent to which
members of minority groups are beneficiaries of federally assisted
programs.
(c) Access to sources of information. Each recipient shall permit
access by ACTION during normal business hours to its books, records,
accounts, and other sources of information, and its facilities as may be
pertinent to ascertain compliance with this part. When information
required of a recipient is in the exclusive possession of an other
agency, institution, or person and this agency, institution, or person
fails or refuses to furnish this information, the recipient shall so
certify in its report and shall set forth what efforts it has made to
obtain the information.
(d) Information to beneficiaries and participants. Each recipient
shall make available to participants, beneficiaries, and other
interested persons the information regarding the provisions of this part
and its applicability to the program for which the recipient received
Federal financial assistance, and make this information available to
them in the manner, as ACTION finds necessary, to apprise the persons of
the protections against discrimination assured them by title VI and this
part.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. 1203.7 Conduct of investigations.

(a) Periodic compliance reviews. ACTION may from time to time review
the practices of recipients to determine

[[Page 16]]

whether they are complying with this part.
(b) Complaints. Any person who believes himself or any specific
class of persons to be subjected to discrimination prohibited by this
part may by himself or by a representative file with ACTION a written
complaint. A complaint shall be filed not later than 180 days after the
date of the alleged discrimination, unless the time for filing is
extended by ACTION.
(c) Investigations. ACTION will make a prompt investigation whenever
a compliance review, report, complaint, or other information indicates a
possible failure to comply with this part. The investigation will
include, when appropriate, a review of the pertinent practices and
policies of the recipient, the circumstances under which the possible
noncompliance with this part occurred, and other factors relevant to a
determination as to whether the recipient has failed to comply with this
part.
(d) Resolution of matters. (1) If an investigation pursuant to
paragraph (c) of this section indicates a failure to comply with this
part, ACTION will so inform the recipient and the matter will be
resolved by voluntary means whenever possible. If it has been determined
that the matter cannot be resolved by voluntary means, action will be
taken as provided for in Sec. 1203.8.
(2) If an investigation does not warrant action pursuant to
paragraph (d)(1) of this section, ACTION will so inform, in writing, the
recipient and the complainant, if any.
(e) Intimidatory or retaliatory acts prohibited. A recipient or
other person shall not intimidate, threaten, coerce, or discriminate
against an individual for the purpose of interfering with a right or
privilege secured by section 601 of title VI of this part, or because he
has made a complaint, testified, assisted, or participated in any manner
in an investigation, proceeding, or hearing under this part. The
identity of complainants shall be kept confidential, except to the
extent necessary to carry out the purposes of this part, including the
conduct of an investigation, hearing, or judicial proceeding arising
thereunder.

Sec. 1203.8 Procedure for effecting compliance.

(a) General. (1) If there appears to be a failure or threatened
failure to comply with this part, and if the noncompliance or threatened
noncompliance cannot be corrected by informal means, compliance with
this part may be effected by the suspension or termination of or refusal
to grant or to continue Federal financial assistance or by other means
authorized by law.
(2) Other means may include, but are not limited to:
(i) A reference to the Department of Justice with a recommendation
that appropriate proceedings be brought to enforce the rights of the
United States under a law of the United States (including other titles
of the Civil Rights Act of 1964) or an assurance or other contractual
undertaking, and
(ii) An applicable proceeding under State or local law.
(b) Noncompliance with Sec. 1203.5. If an applicant fails or
refuses to furnish an assurance required under Sec. 1203.5 or otherwise
fails or refuses to comply with a requirement imposed by or pursuant to
that section, Federal financial assistance may be refused in accordance
with the procedures of paragraph (c) of this section. ACTION shall not
be required to provide assistance in that case during the pendency of
the administrative proceedings under this paragraph. Subject, however,
to Sec. 1203.12, ACTION shall continue assistance during the pendency
of the proceedings where the assistance is due and payable pursuant to
an application approved prior to the effective date of this part.
(c) Termination of or refusal to grant or to continue Federal
financial assistance. An order suspending, terminating, or refusing to
grant or to continue Federal financial assistance shall not become
effective until--
(1) ACTION has advised the applicant or recipient of his failure to
comply and has determined that compliance cannot be secured by informal
voluntary means;
(2) There has been an express finding on the record, after
opportunity for hearing, of a failure by the applicant or recipient to
comply with a requirement imposed by or pursuant to this part;

[[Page 17]]

(3) The action has been approved by the Director pursuant to Sec.
1203.10(e); and
(4) The expiration of 30 days after the Director has filed with the
committee of the House and the committee of the Senate having
legislative jurisdiction over the program involved, a full written
report of the circumstances and the grounds for the action.

An action to suspend or terminate or refuse to grant or to continue
Federal financial assistance shall be limited to the particular
political entity, or part thereof, or other applicant or recipient as to
whom a finding has been made and shall be limited in its effect to the
particular program, or part thereof, in which the noncompliance has been
so found.
(d) Other means authorized by law. An action to effect compliance
with title VI by other means authorized by law shall not be taken by
ACTION until--
(1) ACTION has determined that compliance cannot be secured by
voluntary means;
(2) The recipient or other person has been notified of its failure
to comply and of the action to be taken to effect compliance; and
(3) The expiration of at least 10 days from the mailing of a notice
to the recipient or person. During this period of at least 10 days,
additional efforts shall be made to persuade the recipient or other
person to comply with the regulation and to take corrective action as
may be appropriate.

Sec. 1203.9 Hearings.

(a) Opportunity for hearing. When an opportunity for a hearing is
required by Sec. 1203.8(c), reasonable notice shall be given by
registered or certified mail, return receipt requested, to the affected
applicant or recipient. This notice shall advise the applicant or
recipient of the action proposed to be taken, the specific provision
under which the proposed action against it is to be taken, and the
matters of fact or law asserted as the basis for this action, and
either:
(1) Fix a date not less than 20 days after the date of notice within
which the applicant or recipient may request of ACTION that the matter
be scheduled for hearing; or
(2) Advise the applicant or recipient that the matter in question
has been set down for hearing at a stated time and place. The time and
place so fixed shall be reasonable and subject to change for cause. The
complainant, if any, shall be advised of the time and place of the
hearing. An applicant or recipient may waive a hearing and submit
written information and argument for the record. The failure of an
applicant or recipient to request a hearing under this paragraph or to
appear at a hearing for which a date has been set is deemed to be a
waiver of the right to a hearing under section 602 of title VI and Sec.
1203.8(c) and consent to the making of a decision on the basis of the
information available.
(b) Time and place of hearing. Hearings shall be held at the offices
of ACTION in Washington, DC, at a time fixed by ACTION unless it
determines that the convenience of the applicant or recipient or of
ACTION requires that another place be selected. Hearings shall be held
before the Director, or at his discretion, before a hearing examiner
appointed in accordance with section 3105 of title 5, United States
Code, or detailed under section 3344 of title 5, United States Code.
(c) Right to counsel. In all proceedings under this section, the
applicant or recipient and ACTION have the right to be represented by
counsel.
(d) Procedures, evidence, and record. (1) The hearing, decision, and
an administrative review thereof shall be conducted in conformity with
sections 554 through 557 of title 5, United States Code, and in
accordance with the rules of procedure as are proper (and not
inconsistent with this section) relating to the conduct of the hearing,
giving of notices subsequent to those provided for in paragraph (a) of
this section, taking of testimony, exhibits, arguments, and briefs,
requests for findings, and other related matters. Both ACTION and the
applicant or recipient are entitled to introduce relevant evidence on
the issues as stated in the notice for hearing or as determined by the
officer conducting the hearing at the outset of or during the hearing.
(2) Technical rules of evidence do not apply to hearings conducted
pursuant

[[Page 18]]

to this part, but rules or principles designed to assure production of
the most credible evidence available and to subject testimony to test by
cross-examination shall be applied where determined reasonably necessary
by the officer conducting the hearing. The hearing officer may exclude
irrelevant, immaterial, or unduly repetitious evidence. Documents and
other evidence offered or taken for the record shall be open to
examination by the parties and opportunity shall be given to refute
facts and arguments advanced on either side of the issues. A transcript
shall be made of the oral evidence except to the extent the substance
thereof is stipulated for the record. Decisions shall be based on the
hearing record and written findings shall be made.
(e) Consolidated or joint hearings. In cases in which the same or
related facts are asserted to constitute noncompliance with this part
with respect to two or more Federal statutes, authorities, or other
means by which Federal financial assistance is extended and to which
this part applies, or noncompliance with this part and the regulations
of one or more other Federal departments or agencies issued under title
VI, ACTION may, by agreement with the other departments or agencies,
when applicable, provide for the conduct of consolidated or joint
hearings, and for the application to these hearings of rules or
procedures not inconsistent with this part. Final decisions in these
cases, insofar as this regulation is concerned, shall be made in
accordance with Sec. 1203.10.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. 1203.10 Decisions and notices.

(a) Procedure on decisions by hearing examiner. If the hearing is
held by a hearing examiner, the hearing examiner shall either make an
initial decision, if so authorized, or certify the entire record
including his recommended findings and proposed decision to the Director
for a final decision, and a copy of the initial decision or
certification shall be mailed to the applicant or recipient. When the
initial decision is made by the hearing examiner, the applicant or
recipient may, within 30 days after the mailing of a notice of initial
decision, file with the Director his exceptions to the initial decision,
with his reasons therefor. In the absence of exceptions, the Director
may, on his own motion, within 45 days after the initial decision, serve
on the applicant or recipient a notice that he will review the decision.
On the filing of the exceptions or of notice of review, the Director
shall review the initial decision and issue his own decision thereon
including the reasons therefor. In the absence of either exceptions or a
notice of review the initial decision, subject to paragraph (e) of this
section, shall constitute the final decision of the Director.
(b) Decisions on record or review by the Director. When a record is
certified to the Director for decision or the Director reviews the
decision of a hearing examiner pursuant to paragraph (a) of this
section, or when the Director conducts the hearing, the applicant or
recipient shall be given reasonable opportunity to file with it briefs
or other written statements of the recipient's contentions, and a
written copy of the final decision of the Director will be sent to the
applicant or recipient and to the complainant, if any.
(c) Decisions on record where a hearing is waived. When a hearing is
waived pursuant to Sec. 1203.9, a decision shall be made by ACTION on
the record and a written copy of the decision shall be sent to the
applicant or recipient, and to the complainant, if any.
(d) Rulings required. Each decision of a hearing examiner or the
Director shall set forth a ruling on each finding, conclusion, or
exception presented, and shall identify the requirement or requirements
imposed by or pursuant to this part with which it is found that the
applicant or recipient has failed to comply.
(e) Approval by ACTION. A final decision by an official of ACTION
other than by the Director, which provides for the suspension or
termination of, or the refusal to grant or continue Federal financial
assistance, or the imposition of any other sanction available under this
part or title VI, shall

[[Page 19]]

promptly be transmitted to the Director, who may approve the decision,
vacate it, or remit or mitigate a sanction imposed.
(f) Content of orders. The final decision may provide for suspension
or termination of, or refusal to grant or continue Federal financial
assistance, in whole or in part, to which this regulation applies, and
may contain the terms, conditions, and other provisions as are
consistent with and will effectuate the purposes of title VI and this
part, including provisions designed to assure that Federal financial
assistance to which this regulation applies will not thereafter be
extended to the applicant or recipient determined by the decision to be
in default in its performance of an assurance given by it under this
part, or to have otherwise failed to comply with this part, unless and
until it corrects its noncompliance and satisfies ACTION that it will
fully comply with this part.
(g) Post-termination proceedings. (1) An applicant or recipient
adversely affected by an order issued under paragraph (f) of this
section shall be restored to full eligibility to receive Federal
financial assistance if it satisfies the terms and conditions of the
order for eligibility, or if it brings itself into compliance with this
part and provides reasonable assurance that it will fully comply with
this part.
(2) An applicant or recipient adversely affected by an order entered
pursuant to paragraph (f) of this section may at any time request ACTION
to restore fully its eligibility to receive Federal financial
assistance. A request shall be supported by information showing that the
applicant or recipient has met the requirements of paragraph (g)(1) of
this section. If ACTION determines that those requirements have been
satisfied, it shall restore the eligibility.
(3) If ACTION denies a request, the applicant or recipient may
submit a request for a hearing in writing, specifying why it believes
ACTION is in error. The applicant or recipient shall be given an
expeditious hearing, with a decision on the record in accordance with
the rules or procedures issued by ACTION. The applicant or recipient
shall be restored to eligibility if it proves at the hearing that it
satisfied the requirements of paragraph (g)(1) of this section. While
proceedings under this paragraph are pending, the sanctions imposed by
the order issued under paragraph (f) of this section remain in effect.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. 1203.11 Judicial review.

Action taken pursuant to section 602 of title VI is subject to
judicial review as provided in section 603 of title VI.

Sec. 1203.12 Effect on other regulations, forms, and instructions.

(a) Effect on other regulations. Regulations, orders, or like
directions issued before the effective date of this part by ACTION which
impose requirements designed to prohibit discrimination against
individuals on the ground of race, color, or national origin to which
this part applies, and which authorizes the suspension or termination of
or refusal to grant or to continue Federal financial assistance to an
applicant for or recipient of assistance under a program for failure to
comply with the requirements, are superseded to the extent that
discrimination is prohibited by this part, except that nothing in this
part relieves a person of an obligation assumed or imposed under a
superseded regulation, order, instruction, or like direction, before the
effective date of this part. This part does not supersede any of the
following (including future amendments thereof):
(1) Executive Order 11246 (3 CFR, 1965 Supp.) and regulations issued
there under or
(2) Any other orders, regulations, or instructions, insofar as these
orders, regulations, or instructions prohibit discrimination on the
ground of race, color, or national origin in a program or situation to
which this part is inapplicable, or prohibit discrimination on any other
ground.
(b) Forms and instructions. ACTION shall issue and promptly make
available to all interested persons forms and detailed instructions and
procedures for effectuating this part as applied to programs to which
this part applies, and for which it is responsible.

[[Page 20]]

(c) Supervision and coordination. ACTION may from time to time
assign to officials of ACTION, or to officials of other departments or
agencies of the Government with the consent of the departments or
agencies, responsibilities in connection with the effectuation of the
purposes of title VI and this part (other than responsibilities for
final decision as provided in Sec. 1203.10), including the achievement
of effective coordination and maximum uniformity within ACTION and
within the executive branch in the application of title VI and this part
to similar programs and in similar situations. An action taken,
determination made, or requirement imposed by an official of another
department or agency acting pursuant to an assignment of responsibility
under this paragraph shall have the same effect as though the action had
been taken by ACTION.

[39 FR 27322, July 26, 1974, as amended at 68 FR 51387, Aug. 26, 2003]

Sec. Appendix A to Part 1203--Federal Financial Assistance to Which This
Part Applies

1. Grants for the development or operation of retired senior
volunteer programs pursuant to section 601 of the Older Americans Act of
1965, as amended (42 U.S.C. 3044).
2. Grants for the development and operation of foster grandparents
projects pursuant to section 611 of the Older Americans Act of 1965, as
amended (42 U.S.C. 3044b).

Sec. Appendix B to Part 1203--Federal Financial Assistance to Which This
Part Applies When a Primary Objective of the Federal Financial
Assistance Is To Provide Employment

PART 1206_GRANTS AND CONTRACTS_SUSPENSION AND TERMINATION
AND DENIAL OF APPLICATION FOR REFUNDING--Table of Contents

Subpart A_Suspension and Termination of Assistance

Sec.
1206.1-1 Purpose and scope.
1206.1-2 Application of this part.
1206.1-3 Definitions.
1206.1-4 Suspension.
1206.1-5 Termination.
1206.1-6 Time and place of termination hearings.
1206.1-7 Termination hearing procedures.
1206.1-8 Decisions and notices regarding termination.
1206.1-9 Right to counsel; travel expenses.
1206.1-10 Modification of procedures by consent.
1206.1-11 Other remedies.

Subpart B_Denial of Application for Refunding

1206.2-1 Applicability of this subpart.
1206.2-2 Purpose.
1206.2-3 Definitions.
1206.2-4 Procedures.
1206.2-5 Right to counsel.

Authority: 42 U.S.C. 5052.

Source: 69 FR 19110, Apr. 12, 2004, unless otherwise noted.

Subpart A_Suspension and Termination of Assistance

Sec. 1206.1-1 Purpose and scope.

(a) This subpart establishes rules and review procedures for the
suspension and termination of assistance of National Senior Service
Corps grants of assistance provided by the Corporation for National and
Community Service pursuant to sections of title II of the Domestic
Volunteer Service Act of 1973, Public Law 93-113, 87 Stat. 413
(hereinafter the DVSA) because a recipient failed to materially comply
with the terms and conditions of any grant or contract providing
assistance under these sections of the DVSA, including applicable laws,
regulations, issued program guidelines, instructions, grant conditions
or approved work programs.
(b) However, this subpart shall not apply to any administrative
action of

[[Page 21]]

the Corporation for National and Community Service based upon any
violation, or alleged violation, of title VI of the Civil Rights Act of
1964 and sections 417(a) and (b) of Pub. L. 93-113 relating to
nondiscrimination. In the case of any such violation or alleged
violation other provisions of this chapter shall apply.

[69 FR 19110, Apr. 12, 2004, as amended at 80 FR 63457, Oct. 20, 2015]

Sec. 1206.1-2 Application of this part.

This subpart applies to programs authorized under title II of the
DVSA.

[80 FR 63457, Oct. 20, 2015]

Sec. 1206.1-3 Definitions.

As used in this subpart--
(a) The term Corporation means the Corporation for National and
Community Service established pursuant to 42 U.S.C. 12651 and includes
each Corporation State Office and Service Center.
(b) The term CEO means the Chief Executive Officer of the
Corporation.
(c) The term responsible Corporation official means the CEO, Chief
Financial Officer, the Director of the National Senior Service Corps
programs, the appropriate Service Center Director and any Corporation
for National and Community Service (CNCS) Headquarters or State office
official who is authorized to make the grant or assistance in question.
In addition to the foregoing officials, in the case of the suspension
proceedings described in Sec. 1206.1-4, the term ``responsible
Corporation official'' shall also include a designee of a CNCS official
who is authorized to make the grant of assistance in question.
(d) The term assistance means assistance under title II of the DVSA
in the form of grants or contracts involving Federal funds for the
administration for which the Director of the National Senior Service
Corps programs has responsibility.
(e) The term recipient means a public or private agency, institution
or organization or a State or other political jurisdiction which has
received assistance under title II of the DVSA. The term ``recipient''
does not include individuals who ultimately receive benefits under any
DVSA program of assistance or National Senior Service Corps volunteers
participating in any program.
(f) The term agency means a public or private agency, institution,
or organization or a State or other political jurisdiction with which
the recipient has entered into an arrangement, contract or agreement to
assist in its carrying out the development, conduct and administration
of part of a project or program assisted under title II of the DVSA.
(g) The term party in the case of a termination hearing means the
Corporation, the recipient concerned, and any other agency or
organization which has a right or which has been granted permission by
the presiding officer to participate in a hearing concerning termination
of financial assistance to the recipient pursuant to Sec. 1206.1-5(e).
(h) The term termination means any action permanently terminating or
curtailing assistance to all or any part of a program prior to the time
that such assistance is concluded by the grant or contract terms and
conditions, but does not include the refusal to provide new or
additional assistance.
(i) The term suspension means any action temporarily suspending or
curtailing assistance in whole or in part, to all or any part of a
program, prior to the time that such assistance is concluded by the
grant or contract terms and conditions, but does not include the refusal
to provide new or additional assistance.

[69 FR 19110, Apr. 12, 2004, as amended at 80 FR 63457, Oct. 20, 2015]

Sec. 1206.1-4 Suspension.

(a) General. The responsible Corporation official may suspend
financial assistance to a recipient in whole or in part for a material
failure or threatened material failure to comply with any requirement
stated in Sec. 1206.1-1. Such suspension shall be pursuant to notice
and opportunity to show cause why assistance should not be suspended as
provided in paragraph (b) of this section. However, in emergency cases,
where the responsible Corporation official determines summary action is
appropriate, the alternative summary

[[Page 22]]

procedure of paragraph (c) of this section shall be followed.
(b) Suspension on notice. (1) Except as provided in paragraph (c) of
this section, the procedure for suspension shall be on notice of intent
to suspend as hereinafter provided.
(2) The responsible Corporation official shall notify the recipient
by letter or by telegram that the Corporation intends to suspend
assistance in whole or in part unless good cause is shown why assistance
should not be suspended. In such letter or telegram the responsible
Corporation official shall specify the grounds for the proposed
suspension and the proposed effective date of the suspension.
(3) The responsible Corporation official shall also inform the
recipient of its right to submit written material in opposition to the
intended suspension and of its right to request an informal meeting at
which the recipient may respond and attempt to show why such suspension
should not occur. The period of time within which the recipient may
submit such written material or request the informal meeting shall be
established by the responsible Corporation official in the notice of
intent to suspend. However, in no event shall the period of time within
which the recipient must submit written material or request such a
meeting be less than 5 days after the notice of intent to suspend
assistance has been sent. If the recipient requests a meeting, the
responsible Corporation official shall fix a time and place for the
meeting, which shall not be less than 5 days after the recipient's
request is received by the Corporation.
(4) In lieu of the provisions of paragraph (b)(3) of this section
dealing with the right of the recipient to request an informal meeting,
the responsible Corporation official may on his own initiative establish
a time and place for such a meeting and notify the recipient in writing
or by telegram. However, in no event shall such a meeting be scheduled
less than seven days after the notice of intent to suspend assistance is
sent to the recipient.
(5) The responsible Corporation official may in his discretion
extend the period of time or date referred to in the previous paragraphs
of this section and shall notify the recipient in writing or by telegram
of any such extension.
(6) At the time the responsible Corporation official sends the
notification referred to in paragraphs (b)(2), (3), and (4) of this
section to the recipient, he shall also send a copy of it to any agency
whose activities or failures to act have substantially contributed to
the proposed suspension, and shall inform such agency that it is
entitled to submit written material or to participate in the informal
meeting referred to in paragraphs (b)(3) and (4) of this section. In
addition the responsible Corporation official may in his discretion give
such notice to any other agency.
(7) Within 3 days of receipt of the notice referred to in paragraphs
(b)(2), (3), and (4) of this section, the recipient shall send a copy of
such notice and a copy of these regulations to all agencies which would
be financially affected by the proposed suspension action. Any agency
that wishes to submit written material may do so within the time stated
in the notice. Any agency that wishes to participate in the informal
meeting with the responsible Corporation official contemplated herein
may request permission to do so from the responsible Corporation
official, who may in his discretion grant or deny such permission. In
acting upon any such request from an agency, the responsible Corporation
official shall take into account the effect of the proposed suspension
on the particular agency, the extent to which the meeting would become
unduly complicated as a result of granting such permission, and the
extent to which the interests of the agency requesting such permission
appear to be adequately represented by other participants.
(8) In the notice of intent to suspend assistance the responsible
Corporation official shall invite voluntary action to adequately correct
the deficiency which led to the initiation of the suspension proceeding.
(9) The responsible Corporation official shall consider any timely
material presented to him in writing, any material presented to him
during the course of the informal meeting provided for in paragraphs
(b)(3) and (4) of this section

[[Page 23]]

as well as any showing that the recipient has adequately corrected the
deficiency which led to the initiation of suspension proceedings. If
after considering the material presented to him the responsible
Corporation official concludes the recipient has failed to show cause
why assistance should not be suspended, he may suspend assistance in
whole or in part and under such terms and conditions as he shall
specify.
(10) Notice of such suspension shall be promptly transmitted to the
recipient and shall become effective upon delivery. Suspension shall not
exceed 30 days unless during such period of time termination proceedings
are initiated in accordance with Sec. 1206.1-5, or unless the
responsible Corporation official and the recipient agree to a
continuation of the suspension for an additional period of time. If
termination proceedings are initiated, the suspension of assistance
shall remain in full force and effect until such proceedings have been
fully concluded.
(11) During a period of suspension no new expenditures shall be made
and no new obligations shall be incurred in connection with the
suspended program except as specifically authorized in writing by the
responsible Corporation official. Expenditures to fulfill legally
enforceable commitments made prior to the notice of suspension, in good
faith and in accordance with the recipient's approved work program, and
not in anticipation of suspension or termination, shall not be
considered new expenditures. However, funds shall not be recognized as
committed solely because the recipient has obligated them by contract or
otherwise to an agency.
Note: Willful misapplication of funds may violate Federal criminal
statutes.
(12) The responsible Corporation official may in his discretion
modify the terms, conditions and nature of the suspension or rescind the
suspension action at any time on his own initiative or upon a showing
satisfactory to him that the recipient had adequately corrected the
deficiency which led to the suspension and that repetition is not
threatened. Suspensions partly or fully rescinded may, in the discretion
of the responsible Corporation official be reimposed with or without
further proceedings: Provided however, That the total time of suspension
may not exceed 30 days unless termination proceedings are initiated in
accordance with Sec. 1206.1-5 or unless the responsible Corporation
official and the recipient agree to a continuation of the suspension for
an additional period of time. If termination proceedings are initiated,
the suspension of assistance shall remain in full force and effect until
such proceedings have been fully concluded.
(c) Summary suspension. (1) The responsible Corporation official may
suspend assistance without the prior notice and opportunity to show
cause provided in paragraph (b) of this section if he determines in his
discretion that immediate suspension is necessary because of a serious
risk of:
(i) Substantial injury to or loss of project funds or property, or
(ii) Violation of a Federal, State or local criminal statute, or
(iii) Violation of section 403 of the DVSA or of Corporation rules,
regulations, guidelines and instructions implementing this section of
the DVSA, and that such risk is sufficiently serious to outweigh the
general policy in favor of advance notice and opportunity to show cause.
(2) Notice of summary suspension shall be given to the recipient by
letter or by telegram, shall become effective upon delivery to the
recipient, and shall specifically advise the recipient of the effective
date of the suspension and the extent, terms, and condition of any
partial suspension. The notice shall also forbid the recipient to make
any new expenditures or incur any new obligations in connection with the
suspended portion of the program. Expenditures to fulfill legally
enforceable commitments made prior to the notice of suspension, in good
faith and in accordance with the recipient's approved work program, and
not in anticipation of suspension or termination, shall not be
considered new expenditures. However, funds shall not be recognized as
committed by a recipient solely because the recipient obligated them by
contract or otherwise to an agency. (See note under paragraph (b)(11) of
this section.)

[[Page 24]]

(3) In the notice of summary suspension the responsible Corporation
official shall advise the recipient that it may request the Corporation
to provide it with an opportunity to show cause why the summary
suspension should be rescinded. If the recipient requests such an
opportunity, the responsible Corporation official shall immediately
inform the recipient in writing of the specific grounds for the
suspension and shall within 7 days after receiving such request from the
recipient hold an informal meeting at which the recipient may show cause
why the summary suspension should be rescinded. Notwithstanding the
provisions of this paragraph, the responsible Corporation official may
proceed to initiate termination proceedings at any time even though
assistance to the recipient has been suspended in whole or in part. In
the event that termination proceedings are initiated, the responsible
Corporation official shall nevertheless afford the recipient, if it so
requests, an opportunity to show cause why suspension should be
rescinded pending the outcome of the termination proceedings.
(4) Copies of the notice of summary suspension shall be furnished by
the recipient to agencies in the same manner as notices of intent to
suspend as set forth in paragraphs (b)(6), (7), and (8) of this section.
Agencies may submit written material to the responsible Corporation
official or to participate in the informal meeting as in the case of
intended suspension proceedings set forth in paragraphs (b)(6) and (7)
of this section.
(5) The effective period of a summary suspension of assistance may
not exceed 30 days unless termination proceedings are initiated in
accordance with Sec. 1206.1-5, or unless the parties agree to a
continuation of summary suspension for an additional period of time, or
unless the recipient, in accordance with paragraph (c)(3) of this
section, requests an opportunity to show cause why the summary
suspension should be rescinded.
(6) If the recipient requests an opportunity to show cause why a
summary suspension action should be rescinded the suspension of
assistance shall continue in effect until the recipient has been
afforded such opportunity and a decision has been made. Such a decision
shall be made within 5 days after the conclusion of the informal meeting
referred to in paragraph (c)(3) of this section. If the responsible
Corporation official concludes, after considering all material submitted
to him, that the recipient has failed to show cause why the suspension
should be rescinded, the responsible Corporation official may continue
the suspension in effect for an additional 7 days: Provided however,
That if termination proceedings are initiated, the summary suspension of
assistance shall remain in full force and effect until all termination
proceedings have been fully concluded.

Sec. 1206.1-5 Termination.

(a) If the responsible Corporation official believes that an alleged
failure to comply with any requirement stated in Sec. 1206.1-1 may be
sufficiently serious to warrant termination of assistance, whether or
not assistance has been suspended, he shall so notify the recipient by
letter or telegram. The notice shall state that there appear to be
grounds which warrant terminating the assistance and shall set forth the
specific reasons therefore. If the reasons result in whole or
substantial part from the activities of an agency other than the
grantee, the notice shall identify that agency. The notice shall also
advise the recipient that the matter has been set down for hearing at a
stated time and place, in accordance with Sec. 1206.1-6. In the
alternative the notice shall advise the recipient of its right to
request a hearing and shall fix a period of time which shall not be less
than 10 days in which the recipient may request such a hearing.
(b) Termination hearings shall be conducted in accordance with the
provision of Sec. Sec. 1206.1-7 and 1206.1-8. They shall be scheduled
for the earliest practicable date, but not later than 30 days after a
recipient has requested such a hearing in writing or by telegram.
Consideration shall be given to a request by a recipient to advance or
postpone the date of a hearing scheduled by the Corporation. Any such
hearing shall afford the recipient a full and fair opportunity to
demonstrate that it is in

[[Page 25]]

compliance with requirements specified in Sec. 1206.1-1. In any
termination hearing, the Corporation shall have the burden of justifying
the proposed termination action. However, if the basis of the proposed
termination is the failure of a recipient to take action required by
law, regulation, or other requirement specified in Sec. 1206.1-1, the
recipient shall have the burden of proving that such action was timely
taken.
(c) If a recipient requests the Corporation to hold a hearing in
accordance with paragraph (a) of this section, it shall send a copy of
its request for such a hearing to all agencies which would be
financially affected by the termination of assistance and to each agency
identified in the notice pursuant to paragraph (a) of this section. This
material shall be sent to these agencies at the same time the
recipient's request is made to the Corporation. The recipient shall
promptly send to the Corporation a list of the agencies to which it has
sent such material and the date on which it was sent.
(d) If the responsible Corporation official pursuant to paragraph
(a) of this section informs a recipient that a proposed termination
action has been set for hearing, the recipient shall within 5 days of
its receipt of this notice send a copy of it to all agencies which would
be financially affected by the termination and to each agency identified
in the notice pursuant to paragraph (a) of this section. The recipient
shall send the responsible Corporation official a list of all agencies
notified and the date of notification.
(e) If the responsible Corporation official has initiated
termination proceedings because of the activities of an agency, that
agency may participate in the hearing as a matter of right. Any other
agency, person, or organization that wishes to participate in the
hearing may, in accordance with Sec. 1206.1-7(d), request permission to
do so from the presiding officer of the hearing. Such participation
shall not, without the consent of the Corporation and the recipient,
alter the time limitations for the delivery of papers or other
procedures set forth in this section.
(f) The results of the proceeding and any subsequent measure taken
by the Corporation pursuant to this part shall be fully binding upon the
recipient and all agencies whether or not they actually participated in
the hearing.
(g) A recipient may waive a hearing by notice to the responsible
Corporation official in writing and submit written information and
argument for the record. Such material shall be submitted to the
responsible Corporation official within a reasonable period of time to
be fixed by him upon the request of the recipient. The failure of a
recipient to request a hearing, or to appear at a hearing for which a
date has been set, unless excused for good cause, shall be deemed a
waiver of the right to a hearing and consent to the making of a decision
on the basis of such information as is then in the possession of the
Corporation.
(h) The responsible Corporation official may attempt, either
personally or through a representative, to resolve the issues in dispute
by informal means prior to the date of any applicable hearing.

Sec. 1206.1-6 Time and place of termination hearings.

The termination hearing shall be held in Washington, DC, or in the
appropriate Service Center or Corporation State Office, at a time and
place fixed by the responsible Corporation official unless he determines
that for the convenience of the Corporation, or of the parties or their
representatives, requires that another place be selected.

Sec. 1206.1-7 Termination hearing procedures.

(a) General. The termination hearing, decision, and any review shall
be conducted in accordance with the rules of procedure in this section
and Sec. Sec. 1206.1-8 and 1206.1-9.
(b) Presiding officer. (1) The presiding officer at the hearing
shall be the responsible Corporation official or, at the discretion of
the responsible Corporation official, an independent hearing examiner
designated as promptly as possible in accordance with section 3105 of
title 5 of the United States Code. The presiding officer shall conduct a
full and fair hearing, avoid delay, maintain order, and make a
sufficient record for a full and true disclosure of the facts and
issues. To accomplish

[[Page 26]]

these ends, the presiding officer shall have all powers authorized by
law, and he may make all procedural and evidentiary rulings necessary
for the conduct of the hearing. The hearing shall be open to the public
unless the presiding officer for good cause shown shall otherwise
determine.
(2) After the notice described in paragraph (f) of this section is
filed with the presiding officer, he shall not consult any person or
party on a fact in issue unless on written notice and opportunity for
all parties to participate. However, in performing his functions under
this part the presiding officer may use the assistance and advice of an
attorney designated by the General Counsel of the Corporation: Provided,
That the attorney designated to assist him has not represented the
Corporation or any other party or otherwise participated in a
proceeding, recommendation, or decision in the particular matter.
(c) Presentation of evidence. Both the Corporation and the recipient
are entitled to present their case by oral or documentary evidence, to
submit rebuttal evidence and to conduct such examination and cross-
examination as may be required for a full and true disclosure of all
facts bearing on the issues. The issues shall be those stated in the
notice required to be filed by paragraph (f) of this section, those
stipulated in a prehearing conference or those agreed to by the parties.
(d) Participation. (1) In addition to the Corporation, the
recipient, and any agency which has a right to appear, the presiding
officer in his discretion may permit the participation in the
proceedings of such persons or organizations as he deems necessary for a
proper determination of the issues involved. Such participation may be
limited to those issues or activities which the presiding officer
believes will meet the needs of the proceeding, and may be limited to
the filing of written material.
(2) Any person or organization that wishes to participate in a
proceeding may apply for permission to do so from the presiding officer.
This application, which shall be made as soon as possible after the
notice of suspension or proposed termination has been received by the
recipient, shall state the applicant's interest in the proceeding, the
evidence or arguments the applicant intends to contribute, and the
necessity for the introduction of such evidence or arguments.
(3) The presiding officer shall permit or deny such participation
and shall give notice of his decision to the applicant, the recipient,
and the Corporation, and, in the case of denial, a brief statement of
the reasons for his decision: Provided however, That the presiding
officer may subsequently permit such participation if, in his opinion,
it is warranted by subsequent circumstances. If participation is
granted, the presiding officer shall notify all parties of that fact and
may, in appropriate cases, include in the notification a brief statement
of the issues as to which participation is permitted.
(4) Permission to participate to any extent is not a recognition
that the participant has any interest which may be adversely affected or
that the participant may be aggrieved by any decision, but is allowed
solely for the aid and information of the presiding officer.
(e) Filing. All papers and documents which are required to be filed
shall be filed with the presiding officer. Prior to filing, copies shall
be sent to the other parties.
(f) Notice. The responsible Corporation official shall send the
recipient and any other party a written notice which states the time,
place, nature of the hearing, the legal authority and jurisdiction under
which the hearing is to be held. The notice shall also identify with
reasonable specificity the facts relied on as justifying termination and
the Corporation requirements which it is contended the recipient has
violated. The notice shall be filed and served not later than 10 days
prior to the hearing and a copy thereof shall be filed with the
presiding officer.
(g) Notice of intention to appear. The recipient and any other party
which has a right or has been granted permission to participate in the
hearing shall give written confirmation to the Corporation of its
intention to appear at the hearing 3 days before it is scheduled to
occur. Failing to do so may, at the discretion of the presiding officer,

[[Page 27]]

be deemed a waiver of the right to a hearing.
(h) Form and date of service. All papers and documents filed or sent
to party shall be signed in ink by the appropriate party or his
authorized representative. The date on which papers are filed shall be
the day on which the papers or documents are deposited, postage prepaid
in the U.S. mail, or are delivered in person: Provided however, That the
effective date of the notice that there appear to be grounds which
warrant terminating assistance shall be the date of its delivery or
attempted delivery at the recipient's last known address as reflected in
the records of the Corporation.
(i) Prehearing conferences. Prior to the commencement of a hearing
the presiding officer may, subject to the provisions of paragraph (b)(2)
of this section, require the parties to meet with him or correspond with
him concerning the settlement of any matter which will expedite a quick
and fair conclusion of the hearing.
(j) Evidence. Technical rules of evidence shall not apply to
hearings conducted pursuant to this subpart, but the presiding officer
shall apply rules or principles designed to assure production of
relevant evidence and to subject testimony to such examination and cross
examination as may be required for a full and true disclosure of the
facts. The presiding officer may exclude irrelevant, immaterial, or
unduly repetitious evidence. A transcription shall be made of the oral
evidence and shall be made available to any participant upon payment of
the prescribed costs. All documents and other evidence submitted shall
be open to examination by the parties and opportunity shall be given to
refute facts and arguments advanced on either side of the issues.
(k) Depositions. If the presiding officer determines that the
interests of justice would be served, he may authorize the taking of
depositions provided that all parties are afforded an opportunity to
participate in the taking of the depositions. The party who requested
the deposition shall arrange for a transcript to be made of the
proceedings and shall upon request, and at his expense, furnish all
other parties with copies of the transcript.
(l) Official notice. Official notice may be taken of a public
document, or part of a public document, such as a statute, official
report, decision, opinion or published scientific data issued by any
agency of the Federal Government or a State or local government and such
document or data may be entered on the record without further proof of
authenticity. Official notice may also be taken of such matters as may
be judicially noticed in the courts of the United States, or any other
matter of established fact within the general knowledge of the
Corporation. If the decision of the presiding officer rests on official
notice of a material fact not appearing in evidence, a party shall on
timely request be afforded an opportunity to show the contrary.
(m) Proposed findings and conclusions. After the hearing has
concluded, but before the presiding officer makes his decision, he shall
afford each participant a reasonable opportunity to submit proposed
findings of fact and conclusions. After considering each proposed
finding or conclusion the presiding officer shall state in his decision
whether he has accepted or rejected them in accordance with the
provisions of Sec. 1206.1-8(a).

Sec. 1206.1-8 Decisions and notices regarding termination.

(a) Each decision of a presiding officer shall contain his findings
of fact, and conclusions, and shall state whether he has accepted or
rejected each proposed finding of fact and conclusion submitted by the
parties, pursuant to Sec. 1206.1-7(m). Findings of fact shall be based
only upon evidence submitted to the presiding officer and matters of
which official notice has been taken. The decision shall also specify
the requirement or requirements with which it is found that the
recipient has failed to comply.
(b) The decision of the presiding officer may provide for continued
suspension or termination of assistance to the recipient in whole or in
part, and may contain such terms, conditions, and other provisions as
are consistent with and will effectuate the purposes of the DVSA.

[[Page 28]]

(c) If the hearing is held by an independent hearing examiner rather
than by the responsible Corporation official, he shall make an initial
decision, and a copy of this initial decision shall be mailed to all
parties. Any party may, within 20 days of the mailing of such initial
decision, or such longer period of time as the presiding officer
specifies, file with the responsible Corporation official his written
exceptions to the initial decision and any supporting brief or
statement. Upon the filing of such exceptions, the responsible
Corporation official shall, within 20 days of the mailing of the
exceptions, review the initial decision and issue his own written
decision thereof, including the reasons therefore. The decision of the
responsible Corporation official may increase, modify, approve, vacate,
remit, or mitigate any sanction imposed in the initial decision or may
remand the matter to the presiding officer for further hearing or
consideration.
(d) Whenever a hearing is waived, a decision shall be made by the
responsible Corporation official and a written copy of the final
decision of the responsible Corporation official shall be given to the
recipient.
(e) The recipient may request the CEO to review a final decision by
the responsible Corporation official which provides for the termination
of assistance. Such a request must be made in writing within 15 days
after the recipient has been notified of the decision in question and
must state in detail the reasons for seeking the review. In the event
the recipient requests such a review, the CEO or his designee shall
consider the reasons stated by the recipient for seeking the review and
shall approve, modify, vacate or mitigate any sanction imposed by the
responsible Corporation official or remand the matter to the responsible
Corporation official for further hearing or consideration. The decision
of the responsible Corporation official will be given great weight by
the CEO or his designee during the review. During the course of his
review the CEO or his designee may, but is not required to, hold a
hearing or allow the filing of briefs and arguments. Pending the
decision of the CEO or his designee assistance shall remain suspended
under the terms and conditions specified by the responsible Corporation
official, unless the responsible Corporation official or the CEO or his
designee otherwise determines. Every reasonable effort shall be made to
complete the review by the CEO or his designee within 30 days of receipt
by the CEO of the recipient's request. The CEO or his designee may
however extend this period of time if he determines that additional time
is necessary for an adequate review.

Sec. 1206.1-9 Right to counsel; travel expenses.

In all formal or informal proceedings under this subpart, the
recipient and the Corporation shall have the right to be represented by
counsel or other authorized representatives. If the recipient and any
agency which has a right to participate in an informal meeting pursuant
to Sec. 1206.1-4 or a termination hearing pursuant to Sec. 1206.1-7 do
not have an attorney acting in that capacity as a regular member of the
staff of the organization or a retainer arrangement with an attorney,
the Boards of Directors of such recipient and agency will be authorized
to designate an attorney to represent their organizations at any such
show cause proceeding or termination hearing and to transfer sufficient
funds from the Federal grant monies they have received for the project
to pay the fees, travel, and per diem expenses of such attorney. The
fees for such attorney shall be the reasonable and customary fees for an
attorney practicing in the locality of the attorney. However, such fees
shall not exceed $100 per day without the prior express written approval
of the Corporation. Travel and per diem expenses may be paid to such
attorney only in accordance with the policies set forth in the federal
government travel regulations. The Boards of Directors of the recipient
or any agency which has a right to participate in an informal meeting
pursuant to Sec. 1206.1-4 or a termination hearing pursuant to Sec.
1206.1-7 will also be authorized to designate two persons in addition to
an attorney whose travel and per diem expenses to attend the meeting or
hearing may be paid from Federal grant or contract

[[Page 29]]

monies. Such travel and per diem expenses shall conform to the policies
set forth in the federal government travel regulations.

Sec. 1206.1-10 Modification of procedures by consent.

The responsible Corporation official or the presiding officer of a
termination hearing may alter, eliminate or modify any of the provisions
of this subpart with the consent of the recipient and, in the case of a
termination hearing, with the consent of all agencies that have a right
to participate in the hearing pursuant to Sec. 1206.1-5(e). Such
consent must be in writing or be recorded in the hearing transcript.

Sec. 1206.1-11 Other remedies.

The procedures established by this subpart shall not preclude the
Corporation from pursuing any other remedies authorized by law.

Subpart B_Denial of Application for Refunding

Sec. 1206.2-1 Applicability of this subpart.

This subpart applies to grantees and contractors receiving financial
assistance under title II of the DVSA. The procedures in the subpart do
not apply to review of applications for sponsors who receive VISTA
members under the DVSA.

[80 FR 63457, Oct. 20, 2015]

Sec. 1206.2-2 Purpose.

This subpart establishes rules and review procedures for the denial
of a current recipient's application for refunding.

Sec. 1206.2-3 Definitions.

As used in this subpart, ``Corporation'', ``CEO'', and ``recipient''
are defined in accordance with Sec. 1206.1-3.
Financial assistance and assistance include the services of National
Senior Service Corps volunteers supported in whole or in part with CNCS
funds under the DVSA.
Program account includes assistance provided by CNCS to support a
particular program activity; for example, Foster Grandparent Program,
Senior Companion Program and Retired Senior Volunteer Program.
Refunding includes renewal of an application for the assignment of
National Senior Service Corps volunteers.

[80 FR 63457, Oct. 20, 2015]

Sec. 1206.2-4 Procedures.

(a) The procedures set forth in paragraphs (b) through (g) of this
section applies only where an application for refunding submitted by a
current recipient is rejected or is reduced to 80 percent or less of the
applied-for level of funding or the recipient's current level of
operations, whichever is less. It is further a condition for application
of these procedures that the rejection or reduction be based on
circumstances related to the particular grant or contract. These
procedures do not apply to reductions based on legislative requirements,
or on general policy or in instances where, regardless of a recipient's
current level of operations, its application for refunding is not
reduced by 20 percent or more. The fact that the basis for rejecting an
application may also be a basis for termination under subpart A of this
part shall not prevent the use of this subpart to the exclusion of the
procedures in subpart A.
(b) Before rejecting an application of a recipient for refunding the
Corporation shall notify the recipient of its intention, in writing, at
least 75 days before the end of the recipient's current program year or
grant budget period. The notice shall inform the recipient that a
tentative decision has been made to reject or reduce an application for
refunding. The notice shall state the reasons for the tentative decision
to which the recipient shall address itself if it wishes to make a
presentation as described in paragraphs (c) and (d) of this section.
(c) If the notice of tentative decision is based on any reasons,
other than those described in paragraph (d) of this section, including,
but not limited to, situations in which the recipient has ineffectively
managed Corporation resources or substantially failed to comply with
Corporation policy and overall objectives under a contract or grant
agreement with the Corporation, the

[[Page 30]]

recipient shall be informed in the notice, of the opportunity to submit
written material and to meet informally with a Corporation official to
show cause why its application for refunding should not be rejected or
reduced. If the recipient requests an informal meeting, such meeting
shall be held on a date specified by the Corporation. However, the
meeting may not, without the consent of the recipient, be scheduled
sooner than 14 days, nor more than 30 days, after the Corporation has
mailed the notice to the recipient. If the recipient requests an
informal meeting, the meeting shall be scheduled by the Corporation as
soon as possible after receipt of the request. The official who shall
conduct this meeting shall be a Corporation official who is authorized
to finally approve the refunding in question, or his designee.
(d) If the notice of tentative decision is based upon a specific
charge of failure to comply with the terms and conditions of the grant
or contract, alleging wrongdoing on the part of the recipient, the
notice shall offer the recipient an opportunity for an informal hearing
before a mutually agreed-upon impartial hearing officer. The authority
of such hearing officer shall be limited to conducting the hearing and
offering recommendations. The Corporation will retain all authority to
make the final determination as to whether the application should be
finally rejected or reduced. If the recipient requests an informal
hearing, such hearing shall be held at a date specified by the
Corporation. However, such hearing may not, without the consent of the
recipient, be scheduled sooner than 14 days nor more than 30 days after
the Corporation mails the notice to the recipient.
(e) In the selection of a hearing official and the location of
either an informal meeting or hearing, the Corporation, while mindful of
considerations of the recipient, will take care to insure that costs are
kept to a minimum. The informal meeting or hearing shall be held in the
city or county in which the recipient is located, in the appropriate
Service Center or Corporation State Office, or another appropriate
location. Within the limits stated in the preceding sentence, the
decision as to where the meeting shall be held will be made by the
Corporation, after weighing the convenience factors of the recipient.
For the convenience of the recipient, the Corporation will pay the
reasonable travel expenses for up to two representatives of the
recipient, if requested.
(f) The recipient shall be informed of the final Corporation
decision on refunding and the basis for the decision by the deciding
official.
(g) If the recipient's budget period expires prior to the final
decision by the deciding official, the recipient's authority to continue
program operations shall be extended until such decision is made and
communicated to the recipient. If a National Senior Service Corps
volunteer's term of service expires after receipt by a sponsor of a
tentative decision not to refund a project, the period of service of the
volunteer may be similarly extended. No volunteers may be reenrolled for
a period of service while a tentative decision not to refund is pending.
If program operations are so extended, CNCS and the recipient shall
provide, subject to the availability of funds, operating funds at the
same levels as in the previous budget period to continue program
operations.

[69 FR 19110, Apr. 12, 2004, as amended at 80 FR 63457, Oct. 20, 2015]

Sec. 1206.2-5 Right to counsel.

PARTS 1210 1211 [RESERVED]

PART 1212_VOLUNTEER AGENCIES PROCEDURES FOR NATIONAL GRANT VOLUNTEERS
[RESERVED]

[[Page 31]]

PART 1214_ENFORCEMENT OF NONDISCRIMINATION ON THE BASIS OF
HANDICAP IN PROGRAMS OR ACTIVITIES CONDUCTED BY ACTION
--Table of Contents

Sec.
1214.101 Purpose.
1214.102 Application.
1214.103 Definitions.
1214.104-1214.109 [Reserved]
1214.110 Self-evaluation.
1214.111 Notice.
1214.112-1214.129 [Reserved]
1214.130 General prohibitions against discrimination.
1214.131-1214.139 [Reserved]
1214.140 Employment.
1214.141-1214.148 [Reserved]
1214.149 Program accessibility: Discrimination prohibited.
1214.150 Program accessibility: Existing facilities.
1214.151 Program accessibility: New construction and alterations.
1214.152-1214.159 [Reserved]
1214.160 Communications.
1214.161-1214.169 [Reserved]
1214.170 Compliance procedures.

Authority: 29 U.S.C. 794; 42 U.S.C. 5057.

Source: 55 FR 47761, Nov. 15, 1990, unless otherwise noted.

Sec. 1214.101 Purpose.

The purpose of this part is to effectuate section 119 of the
Rehabilitation, Comprehensive Services, and Developmental Disabilities
Amendments of 1978, which amended section 504 of the Rehabilitation Act
of 1973 to prohibit discrimination on the basis of handicap in programs
or activities conducted by Executive agencies or the United States
Postal Service.

Sec. 1214.102 Application.

This part applies to all programs or activities conducted by the
agency, except for programs or activities conducted outside the United
States that do not involve individuals with handicaps in the United
States.

Sec. 1214.103 Definitions.

For purposes of this part, the term--
Agency means ACTION.
Assistant Attorney General means the Assistant Attorney General,
Civil Rights Division, United States Department of Justice.
Auxiliary aids means services or devices that enable persons with
impaired sensory, manual, or speaking skills to have an equal
opportunity to participate in, and enjoy the benefits of, programs or
activities conducted by the agency. For example, auxiliary aids useful
for persons with impaired vision include readers, Brailled materials,
audio recordings, and other similar services and devices. Auxiliary aids
useful for persons with impaired hearing include telephone handset
amplifiers, telephones compatible with hearing aids, telecommunication
devices for deaf persons (TDD's), interpreters, notetakers, written
materials, and other similar services and devices.
Complete complaint means a written statement that contains the
complainant's name and address and describes the agency's alleged
discriminatory action in sufficient detail to inform the agency of the
nature and date of the alleged violation of section 504 of the Act. It
shall be signed by the complainant or by someone authorized to do so on
his or her behalf. Complaints filed on behalf of classes or third
parties shall describe or identify (by name, if possible) the alleged
victims of discrimination.
Facility means all or any portion of buildings, structures,
equipment, roads, walks, parking lots, rolling stock or other
conveyances, or other real or personal property.
Individuals with handicaps means any person who has a physical or
mental impairment that substantially limits one or more major life
activities, has a record of such an impairment, or is regarded as having
such an impairment. As used in this definition, the phrase:
(1) Physical or mental impairment includes--
(i) Any physiological disorder or condition, cosmetic disfigurement,
or anatomical loss affecting one or more of the following body systems:
Neurological; musculoskeletal; special sense organs; respiratory,
including speech organs; cardiovascular; reproductive; digestive;
genitourinary; hemic and lymphatic; skin; and endocrine; or
(ii) Any mental or psychological disorder, such as mental
retardation, organic brain syndrome, emotional or mental illness, and
specific learning

[[Page 32]]

disabilities. The term ``physical or mental impairment'' includes, but
is not limited to, such diseases and conditions as orthopedic, visual,
speech, and hearing impairments, cerebral palsy, epilepsy, muscular
dystrophy, multiple sclerosis, cancer, heart disease, diabetes, mental
retardation, emotional illness, and drug addiction and alcoholism.
(2) Major life activities includes functions such as caring for
one's self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(3) Has a record of such an impairment means has a history of, or
has been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(4) Is regarded as having an impairment means--
(i) Has a physical or mental impairment that does not substantially
limit major life activities but is treated by the agency as constituting
such a limitation;
(ii) Has a physical or mental impairment that substantially limit
major life activities only as a result of the attitudes of others toward
such impairment; or
(iii) Has none of the impairments defined in paragraph (1) of this
definition but is treated by the agency as having such an impairment.
Qualified individual with handicaps means--
(1) With respect to preschool, elementary, or secondary education
services provided by the agency, an individual with handicaps who is a
member of a class of persons otherwise entitled by statute, regulation,
or agency policy to receive educational services from the agency;
(2) With respect to any other agency program or activity under which
a person is required to perform services or to achieve a level of
accomplishment, an individual with handicaps who meets the essential
eligibility requirements and who can achieve the purpose of the program
or activity without modifications in the program or activity that the
agency can demonstrate would result in a fundamental alteration in its
nature;
(3) With respect to any other program or activity, an individual
with handicaps who meets the essential eligibility requirements for
participation in, or receipt of benefits from, that program or activity;
and
(4) Qualified handicapped person as that term is defined for
purposes of employment in 29 CFR 1613.702(f), which is made applicable
to this part by Sec. 1214.140.
Section 504 of the Act means section 504 of the Rehabilitation Act
of 1973 (Pub. L. 93-112, 87 Stat. 394 (29 U.S.C. 794)), as amended by
the Rehabilitation Act Amendments of 1974 (Pub. L. 93-516, 88 Stat.
1617); the Rehabilitation, Comprehensive Services, and Developmental
Disabilities Amendments of 1978 (Pub. L. 95-602, 92 Stat. 2955); the
Rehabilitation Act Amendments of 1986 (Pub. L. 99-506, 100 Stat. 1810),
and the Civil Rights Restoration Act of 1987 (Pub. L. 100-259, 102 Stat.
28). As used in this part, section 504 of the Act applies only to
programs or activities conducted by Executive agencies and not to
federally assisted programs.

Sec. Sec. 1214.104-1214.109 [Reserved]

Sec. 1214.110 Self-evaluation.

(a) The agency shall, within one year of the effective date of this
part, evaluate its current policies and practices, and the effects
thereof, that do not or may not meet the requirements of this part and,
to the extent modification of any such policies and practices is
required, the agency shall proceed to make the necessary modifications.
(b) The agency shall provide an opportunity to interested persons,
including individuals with handicaps or organizations representing
individuals with handicaps, to participate in the self-evaluation
process by submitting comments (both oral and written).
(c) The agency shall, for at least three years following completion
of the self-evaluation, required under paragraph (a) of this section,
maintain on file and make available for public inspection--
(1) A description of areas examined and any problems identified; and
(2) A description of any modifications made.

[[Page 33]]

Sec. 1214.111 Notice.

The agency shall make available to employees, applicants,
participants, beneficiaries, and other interested persons such
information regarding the provisions of this part and its applicability
to the programs or activities conducted by the agency, and make such
information available to them in such manner as the head of the agency
finds necessary to apprise such persons of the protections against
discrimination assured them by section 504 of the Act and this part.

Sec. Sec. 1214.112-1214.129 [Reserved]

Sec. 1214.130 General prohibitions against discrimination.

(a) No qualified individual with handicaps shall, on the basis of
handicap, be excluded from participation in, be denied the benefits of,
or otherwise be subjected to discrimination under any program or
activity conducted by the agency.
(b)(1) The agency, in providing any aid, benefit, or service, may
not, directly or through contractual, licensing, or other arrangements,
on the basis of handicap--
(i) Deny a qualified individual with handicaps the opportunity to
participate in or benefit from the aid, benefit, or service;
(ii) Afford a qualified individual with handicaps an opportunity to
participate in or benefit from the aid, benefit, or service that is not
equal to that afforded others;
(iii) Provide a qualified individual with handicaps with aid,
benefit, or service that is not as effective in affording equal
opportunity to obtain the same result, to gain the same benefit, or to
reach the same level of achievement as that provided to others;
(iv) Provide different or separate aid, benefits, or services to
individuals with handicaps or to any class of individuals with handicaps
than is provided to others unless such action is necessary to provide
qualified individuals with handicaps with aid, benefits, or services
that are as effective as those provided to others;
(v) Deny a qualified individual with handicaps the opportunity to
participate as a member of planning or advisory boards; or
(vi) Otherwise limit a qualified individual with handicaps in the
enjoyment of any right, privilege, advantage, or opportunity enjoyed by
others receiving the aid, benefit, or service.
(2) The agency may not deny a qualified individual with handicaps
the opportunity to participate in programs or activities that are not
separate or different, despite the existence of permissibly separate or
different programs or activities.
(3) The agency may not, directly or through contractual or other
arrangements, utilize criteria or methods of administration the purpose
or effect of which would be to--
(i) Subject qualified individuals with handicaps to discrimination
on the basis of handicap; or
(ii) Defeat or substantially impair accomplishment of the objectives
of a program or activity with respect to individuals with handicaps.
(4) The agency may not, in determining the site or location of a
facility, make selections the purpose or effect of which would--
(i) Exclude individuals with handicaps from, deny them the benefits
of, or otherwise subject them to discrimination under any program or
activity conducted by the agency; or
(ii) Defeat or substantially impair the accomplishment of the
objectives of a program or activity with respect to individuals with
handicaps.
(5) The agency, in the selection of procurement contractors, may not
use criteria that subject qualified individuals with handicaps to
discrimination on the basis of handicap.
(c) The exclusion of nonhandicapped persons from the benefits of a
program limited by Federal statute or Executive order to individuals
with handicaps or the exclusion of a specific class of individuals with
handicaps from a program limited by Federal statute or Executive order
to a different class of individuals with handicaps is not prohibited by
this part.
(d) The agency shall administer programs and activities in the most
integrated setting appropriate to the needs of qualified individuals
with handicaps.

[[Page 34]]

Sec. Sec. 1214.131-1214.139 [Reserved]

Sec. 1214.140 Employment.

No qualified individual with handicaps shall, on the basis of
handicap, be subjected to discrimination in employment under any program
or activity conducted by the agency. The definitions, requirements, and
procedures of section 501 of the Rehabilitation Act of 1973 (29 U.S.C.
791), as established by the Equal Employment Opportunity Commission in
29 CFR part 1613, shall apply to employment in federally conducted
programs or activities.

Sec. Sec. 1214.141-1214.148 [Reserved]

Sec. 1214.149 Program accessibility: Discrimination prohibited.

Except as otherwise provided in Sec. 1214.150, no qualified
individual with handicaps shall, because the agency's facilities are
inaccessible to or unusable by individuals with handicaps, be denied the
benefits of, be excluded from participation in, or otherwise be
subjected to discrimination under any program or activity conducted by
the agency.

Sec. 1214.150 Program accessibility: Existing facilities.

(a) General. The agency shall operate each program or activity so
that the program or activity, when viewed in its entirety, is readily
accessible to and usable by individuals with handicaps. This paragraph
does not--
(1) Necessarily require the agency to make each of its existing
facilities accessible to and usable by individuals with handicaps; or
(2) Require the agency to take any action that it can demonstrate
would result in a fundamental alteration in the nature of a program or
activity or in undue financial and administrative burdens. In those
circumstances where agency personnel believe that the proposed action
would fundamentally alter the program or activity or would result in
undue financial and administrative burdens, the agency has the burden of
proving that compliance with Sec. 1214.150(a) would result in such
alteration or burdens. The decision that compliance would result in such
alteration or burdens must be made by the agency head or his or her
designee after considering all agency resources available for use in the
funding and operation of the conducted program or activity and must be
accompanied by a written statement of the reasons for that conclusion.
If an action would result in such an alteration or such burdens, the
agency shall take any other action that would not result in such an
alteration or such burdens but would nevertheless ensure that
individuals with handicaps receive the benefits and services of the
program or activity.
(b) Methods. The agency may comply with the requirements of this
section through such means as redesign of equipment, reassignment of
services to accessible buildings, assignment of aides to beneficiaries,
home visits, delivery of services at alternate accessible sites,
alteration of existing facilities and construction of new facilities,
use of accessible rolling stock, or any other methods that result in
making its programs or activities readily accessible to and usable by
individuals with handicaps. The agency is not required to make
structural changes in existing facilities where other methods are
effective in achieving compliance with this section. The agency, in
making alterations to existing buildings, shall meet accessibility
requirements to the extent compelled by the Architectural Barriers Act
of 1968, as amended (42 U.S.C. 4151-4157), and any regulations
implementing it. In choosing among available methods for meeting the
requirements of this section, the agency shall give priority to those
methods that offer programs and activities to qualified individuals with
handicaps in the most integrated setting appropriate.
(c) Time period for compliance. The agency shall comply with the
obligations established under this section within sixty days of the
effective date of this part except that where structural changes in
facilities are undertaken, such changes shall be made within three years
of the effective date of this part, but in any event as expeditiously as
possible.
(d) Transition plan. In the event that structural changes to
facilities will be

[[Page 35]]

undertaken to achieve program accessibility, the agency shall develop,
within six months of the effective date of this part, a transition plan
setting forth the steps necessary to complete such changes. The agency
shall provide an opportunity to interested persons, including
individuals with handicaps or organizations representing individuals
with handicaps, to participate in the development of the transition plan
by submitting comments (both oral and written). A copy of the transition
plan shall be made available for public inspection. The plan shall, at a
minimum--
(1) Identify physical obstacles in the agency's facilities that
limit the accessibility of its programs or activities to individuals
with handicaps;
(2) Describe in detail the methods that will be used to make the
facilities accessible;
(3) Specify the schedule for taking the steps necessary to achieve
compliance with this section and, if the time period of the transition
plan is longer than one year, identify steps that will be taken during
each year of the transition period; and
(4) Indicate the agency official responsible for implementation of
the plan.

Sec. 1214.151 Program accessibility: New construction and alterations.

Each building or part of a building that is constructed or altered
by, on behalf of, or for the use of the agency shall be designed,
constructed, or altered so as to be readily accessible to and usable by
individuals with handicaps. The definitions, requirements, and standards
of the Architectural Barriers Act (42 U.S.C. 4151-4157), as established
in 41 CFR 101-19.600 to 101-19.607, apply to buildings covered by this
section.

Sec. Sec. 1214.152-1214.159 [Reserved]

Sec. 1214.160 Communications.

(a) The agency shall take appropriate steps to ensure effective
communication with applicants, participants, personnel of other Federal
entities, and members of the public.
(1) The agency shall furnish appropriate auxiliary aids where
necessary to afford an individual with handicaps an equal opportunity to
participate in, and enjoy the benefits of, a program or activity
conducted by the agency.
(i) In determining what type of auxiliary aid will be provided, the
agency shall give primary consideration to the requests of the
individual with handicaps.
(ii) The agency need not provide individually prescribed devices,
readers for personal use or study, or other devices of a personal
nature.
(2) Where the agency communicates with applicants and beneficiaries
by telephone, telecommunication devices for deaf persons (TDD's) or
equally effective telecommunication systems shall be used to communicate
with persons with impaired hearing.
(b) The agency shall ensure that interested persons, including
persons with impaired vision or hearing, can obtain information as to
the existence and location of accessible services, activities, and
facilities.
(c) The agency shall provide a sign at a primary entrance to each of
its inaccessible facilities, directing users to a location at which they
can obtain information about accessible facilities. The international
symbol for accessibility shall be displayed at each primary entrance to
each accessible facility.
(d) This section does not require the agency to take any action that
it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and administrative
burdens. In those circumstances where agency personnel believe that the
proposed action would fundamentally alter the program or activity or
would result in undue financial and administrative burdens, the agency
has the burden of proving that compliance with Sec. 1214.160 would
result in such alteration or burdens. The decision that compliance would
result in such alteration or burdens must be made by the agency head or
his or her designee after considering all agency resources available for
use in the funding and operation of the conducted program or activity
and must be accompanied by a written statement of the reasons for
reaching that conclusion. If an action required to comply

[[Page 36]]

with this section would result in such alteration or such burdens, the
agency shall take any other action that would not result in such an
alteration or such burdens but would nevertheless ensure that, to the
maximum extent possible, individuals with handicaps receive the benefits
and services of the program or activity.

Sec. Sec. 1214.161-1214.169 [Reserved]

Sec. 1214.170 Compliance procedures.

PART 1216_NONDISPLACEMENT OF EMPLOYED WORKERS AND
NONIMPAIRMENT OF CONTRACTS FOR SERVICE--Table of Contents

Sec.
1216.1-1 Purpose.
1216.1-2 Applicability of this part.
1216.1-3 Policy.
1216.1-4 Exceptions.

Authority: 42 U.S.C. 5044(a).

Source: 40 FR 16209, Apr. 10, 1975, unless otherwise noted.

Sec. 1216.1-1 Purpose.

This part establishes rules to assure that the services of
volunteers in the Foster Grandparent Program, the Senior Companion
Program, and The Retired and Senior Volunteer Program (RSVP), are
limited to activities which would not otherwise be performed by employed
workers and which will not supplant the hiring of, or result in the
displacement of employed workers or impair existing contracts for
service. This part implements section 404(a) of the Domestic Volunteer
Service Act of 1973, Public Law 93-113 (the ``Act'').

[80 FR 63457, Oct. 20, 2015]

Sec. 1216.1-2 Applicability of this part.

(a) All volunteers in either the Foster Grandparent Program, the
Senior Companion Program, or The Retired and Senior Volunteer Program
(RSVP), who are assigned, referred or serving pursuant to grants,
contracts, or agreements made pursuant to the Act.
(b) All agencies and organizations to which the volunteers in
paragraph (a) of this section are assigned, referred or provide
services.

[40 FR 16209, Apr. 10, 1975, as amended at 80 FR 63457, Oct. 20, 2015]

Sec. 1216.1-3 Policy.

(a) Volunteers enrolled or participating in programs referred to in
paragraphs (a) and (b) of Sec. 1216.1-2 may not perform any services or
duties or engage in activities which would otherwise be performed by an
employed worker as part of his assigned duties as an employee.
(b) Volunteer referred to in paragraph (a) of this section may not
perform any services or duties or engage in activities which will
supplant the hiring of employed workers. This prohibition is violated
if, prior to engaging a volunteer, an agency or organization referred to
in Sec. 1216.1-2(c) had intended to hire a person to undertake all or a
substantial part of the services, duties, or other activities to be
provided by the volunteer.
(c) Volunteers referred to in paragraph (a) of this section may not
perform any services or duties or engage in activities which result in
the displacement of employed workers. Such volunteers may not perform
services or duties which have been performed by or were assigned to, any
of the following:
(1) Presently employed workers,
(2) Employees who recently resigned or were discharged,
(3) Employees who are on leave (terminal, temporary, vacation,
emergency, or sick), or
(4) Employees who are on strike or who are being locked out.

[[Page 37]]

(d) Volunteers referred to in paragraph (a) of this section may not
perform any services or duties or engage in activities which impair
existing contracts for service. This prohibition is violated if a
contract for services is modified or cancelled because an agency or
organization referred to in Sec. 1216.1-2(b) engages a volunteer to
provide or perform all or a substantial part of any services, duties, or
other activities set forth in such contract. The term ``contract for
services'' includes but is not limited to contracts, understandings and
arrangements, either written or oral, to provide professional,
managerial, technical, or administrative services.
(e) Agencies and organizations referred to in Sec. 1216.1-2(b) are
prohibited from assigning or permitting volunteers referred to in Sec.
1216.1-2(a) to perform any services or duties or engage in any
activities prohibited by paragraphs (a) through (d) of this section.

Sec. 1216.1-4 Exceptions.

(a) The requirements of Sec. 1216.1-3 are not applicable to the
following, or similar, situations:
(1) Funds are unavailable for the employment of sufficient staff to
accomplish a program authorized or of a character eligible for
assistance under the Act and the activity, service, or duty is otherwise
appropriate for the assignment of a volunteer.
(2) Volunteer services are required in order to avoid or relieve
suffering threatened by or resulting from major natural disasters or
civil disturbances.
(3) Reasonable efforts to obtain employed workers have been
unsuccessful due to the unavailability of persons within the community
who are able, willing, and qualified to perform the needed activities.
(4) The assignment of volunteers will significantly expand services
to a target community over those which could be performed by existing
paid staff, and the activity, service or duty is otherwise appropriate
for the assignment of a volunteer and no actual displacement of paid
staff will occur as a result of the assignment.
(b) For the purposes of paragraphs (a)(1) and (4) of this section,
the assignment is not appropriate for the assignment of a volunteer if:
(1) The service, duty, or activity is principally a routine
administrative or clerical task. This definition applies only to any
service, duty, or activity performed by a volunteer receiving financial
support apart from reimbursement for expenses.
(2) The volunteer is not directly in contact with groups or
individuals whom the Act is designed to serve or is not performing
services, duties, or engaged in activities authorized or of a character
eligible for assistance under the Act.

PART 1217 1219 [RESERVED]

PART 1220_PAYMENT OF VOLUNTEER LEGAL EXPENSES--Table of Contents

Subpart A_General

Sec.
1220.1-1 Purpose.

Subpart B_Criminal Proceedings

1220.2-1 Full-time volunteers.
1220.2-2 Part-time volunteers.
1220.2-3 Procedure.

Subpart C_Civil and Administrative Proceedings

1220.3-1 Full-time volunteers.
1220.3-2 Part-time volunteers.
1220.3-3 Procedure.

Authority: 42 U.S.C. 5059.

Source: 40 FR 28800, July 9, 1975, unless otherwise noted.

Subpart A_General

Sec. 1220.1-1 Purpose.

This part implements section 419 of the Domestic Volunteer Service
Act of 1973, Public Law 93-113 (the ``Act''). This part provides rules
to ensure that the Corporation for National and Community Service, which
administers the three federal programs, the Foster Grandparent Program
(FGP), the Senior Companion Program (SCP), and The Retired and Senior
Volunteer Program (RSVP), pays the expenses incurred in

[[Page 38]]

judicial and administrative proceedings for the defense of those
volunteers serving in those programs. Payment of such expenses by CNCS
for those volunteers include payment of counsel fees, court costs, bail
or other expenses incidental to the volunteer's defense.

[80 FR 63458, Oct. 20, 2015]

Subpart B_Criminal Proceedings

Sec. 1220.2-1 Full-time volunteers.

(a)(1) The Corporation for National and Community Service will pay
all reasonable expenses for defense of full-time volunteers up to and
including the arraignment of Federal, state, and local criminal
proceedings, except in cases where it is clear that the charged offense
results from conduct which is not related to his service as a volunteer.
(2) Situations where conduct is clearly unrelated to a volunteer's
service are those that arise either:
(i) In a period prior to volunteer service,
(ii) Under circumstances where the volunteer is not at his assigned
volunteer project location, such as during periods of administrative,
vacation, or emergency leave, or
(iii) When he is at his volunteer station, but the activity or
action giving rise to the charged offense is clearly not part of, or
required by, such assignment.
(b) Reasonable expenses in criminal proceedings beyond arraignment
may be paid in cases where:
(1) The charge against the volunteer relates to his assignment or
status as a volunteer, and not his personal status or personal matters.
A charge relating to a volunteer's assignment arises out of any activity
or action which is a part of, or required by, such assignment. A charge
relating to a volunteer's status is motivated exclusively by the fact
that a defendant is a volunteer.
(2) The volunteer has not admitted a willful or knowing violation of
law, and
(3) The charge(s) is not a minor misdemeanor, such as a minor
vehicle violation for which a fine or bail forfeiture will not exceed
$100.
(c) Notwithstanding the foregoing, there may be situations in which
the criminal proceeding results from a situation which could give rise
to a civil claim under the Federal Tort Claims Act. In such situations,
the Justice Department may agree to defend the volunteer. In those
cases, unless there is a conflict between the volunteer's interest and
that of the government, the Corporation for National and Community
Service will not pay for additional private representation for the
volunteer.

[40 FR 28800, July 9, 1975, as amended at 80 FR 63458, Oct. 20, 2015]

Sec. 1220.2-2 Part-time volunteers.

(a) With respect to a part-time volunteer, the Corporation for
National and Community Service will reimburse a sponsor for the
reasonable expense it incurs for the defense of the volunteer in
Federal, state and local criminal proceedings, including arraignment,
only under the following circumstances:
(1) The proceeding arises directly out of the volunteer's
performance of activities pursuant to the Act;
(2) The volunteer receives, or is eligible to receive, compensation,
including allowances, stipend, or reimbursement for out-of-pocket
expenses, under a Corporation for National and Community Service grant
project; and
(3) The conditions specified in paragraphs (b)(2) and (3) in Sec.
1220.2-1 are met.
(b) In certain circumstances volunteers who are ineligible for
reimbursement of legal expenses by the Corporation for National and
Community Service may be eligible for representation under the Criminal
Justice Act (18 U.S.C. 3006A).

[40 FR 28800, July 9, 1975, as amended at 80 FR 63458, Oct. 20, 2015]

Sec. 1220.2-3 Procedure.

(a) Immediately upon the arrest of any volunteer under circumstances
in which the payment or bail to prevent incarceration or other serious
consequences to the volunteer or the retention of an attorney prior to
arraignment is necessary and is covered under

[[Page 39]]

Sec. 1220.2-1 or Sec. 1220.2-2, sponsors shall immediately notify the
appropriate Corporation for National and Community Service state office
or if the state office cannot be reached, the appropriate Area Manager.
(b) Immediately after notification of the appropriate state office,
and with the approval thereof, the sponsor shall advance up to $500 for
the payment of bail or such other legal expenses as are necessary prior
to arraignment to prevent the volunteer from being incarcerated. In the
event it is subsequently determined that the Corporation for National
and Community Service or a sponsor is not responsible under this policy
for the volunteer's defense, any such advance may be recovered directly
from the volunteer or from allowances, stipends, or out-of-pocket
expenses which are payable or become payable to the volunteer. In the
case of a grassroots sponsor of full-time volunteers that is not able to
provide the $500, the Corporation for National and Community Service
state office or Area Manager shall immediately make such sum available
to the sponsor.
(c) Immediately upon receipt of notification from the sponsor, the
state or regional office shall notify the General Counsel, giving all
facts and circumstances at that time known to such office. Thereafter
the office shall cooperate with the General Counsel in making an
investigation of all surrounding facts and circumstances and shall
provide such information immediately to the General Counsel.
(d) The General Counsel shall, upon notification by the state office
or Area Manager, determine the extent to which the Corporation for
National and Community Service will provide funds for the volunteer's
defense or reimburse a sponsor for funds it spends on the volunteer's
behalf. Included in this responsibility shall be the negotiation of fees
and approval of other costs and expenses. State offices and Area
Managers are not authorized to commit the Corporation for National and
Community Service to the payment of volunteers' legal expenses or to
reimburse a sponsor except as provided in this section, without the
express consent of the General Counsel. Additionally, the General
Counsel shall, in cases arising directly out of the performance of
authorized project activities, ascertain whether the services of the
United States Attorney can be made available to the volunteer.
(e) The sponsor and the state and regional office shall have a
continuing responsibility for cooperation and coordination with the
Office of General Counsel during the pendency of any such litigation,
and of notifying the General Counsel of any facts and circumstances
which come to the attention of such office or the sponsor which affects
such litigation.

[40 FR 28800, July 9, 1975, as amended at 80 FR 63458, Oct. 20, 2015]

Subpart C_Civil and Administrative Proceedings

Sec. 1220.3-1 Full-time volunteers.

The Corporation for National and Community Service will pay
reasonable expenses incurred in the defense of full-time volunteers in
Federal, state, and local civil judicial and administrative proceedings
where:
(a) The complaint or charge against the volunteer is directly
related to his volunteer service and not to his personal activities or
obligations.
(b) The volunteer has not admitted willfully or knowingly pursuing a
course of conduct which would result in the plaintiff or complainant
initiating such a proceeding, and
(c) If the judgment sought involves a monetary award, the amount
sought exceeds $100.

[40 FR 28800, July 9, 1975, as amended at 80 FR 63458, Oct. 20, 2015]

Sec. 1220.3-2 Part-time volunteers.

The Corporation for National and Community Service will reimburse
sponsors for the reasonable expenses incidental to the defense of part-
time volunteers in Federal, state, and local civil judicial and
administrative proceedings where:
(a) The proceeding arises directly out of the volunteer's
performance of activities pursuant to the Act;
(b) The volunteer receives or is eligible to receive compensation,
including allowances, stipend, or reimbursement for out-of-pocket
expenses under the

[[Page 40]]

Corporation for National and Community Service grant; and
(c) The conditions specified in Sec. 1220.3-1(b) and (c) are met.

[80 FR 63458, Oct. 20, 2015]

Sec. 1220.3-3 Procedure.

Immediately upon the receipt by a volunteer of any court papers or
administrative orders making a party to any proceeding covered under
Sec. 1220.3-1 or Sec. 1220.3-2, the volunteer shall immediately notify
his sponsor who in turn shall notify the appropriate Corporation for
National and Community Service state office. The procedures referred to
in Sec. 1220.2-3(c) through (e) shall thereafter be followed as
appropriate.

[80 FR 63459, Oct. 20, 2015]

PART 1222 [RESERVED]

PART 1225_MEMBER AND VOLUNTEER DISCRIMINATION COMPLAINT
PROCEDURE--Table of Contents

Subpart A_General Provisions

Sec.
1225.1 Purpose.
1225.2 Policy.
1225.3 Definitions.
1225.4 Coverage.
1225.5 Representation.
1225.6 Freedom from reprisal.
1225.7 Review of allegations of reprisal.

Subpart B_Processing Individual Complaints of Discrimination

1225.8 Precomplaint procedure.
1225.9 Complaint procedure.
1225.10 Corrective action.
1225.11 Amount of attorney fees.

Subpart C_Processing Class Complaints of Discrimination

1225.12 Precomplaint procedure.
1225.13 Acceptance, rejection or cancellation of a complaint.
1225.14 Consolidation of complaints.
1225.15 Notification and opting out.
1225.16 Investigation and adjustment of complaint.
1225.17 Agency decision.
1225.18 Notification of class members of decision.
1225.19 Corrective action.
1225.20 Claim appeals.
1225.21 Judicial review.

Authority: 42 U.S.C. 5057(d), 12635(d), and 12651(c).

Source: 86 FR 30174, June 7, 2021, unless otherwise noted.

Subpart A_General Provisions

Sec. 1225.1 Purpose.

The purpose of this part is to establish a procedure for the filing,
investigation, and administrative determination of allegations of
discrimination based on race, color, national origin, religion, age,
sex, disability or political affiliation, which arise in connection with
the recruitment, selection, placement, service, or termination of
AmeriCorps and AmeriCorps Seniors applicants, candidates, Members and
Volunteers for part time and full time service, as appropriate.

Sec. 1225.2 Policy.

It is the policy of the Corporation for National and Community
Service (CNCS) to provide equal opportunity in all its national service
programs for all persons and to prohibit discrimination based on race,
color, national origin, religion, age, sex, disability or political
affiliation in the recruitment, selection, placement, service, and
termination of AmeriCorps and AmeriCorps Seniors applicants, candidates,
Members and Volunteers. It is the policy of CNCS, upon determining that
such prohibited discrimination has occurred, to take all necessary
corrective action to remedy the discrimination, and to prevent its
recurrence.

Sec. 1225.3 Definitions.

Unless the context requires otherwise, in this part:
Agent means a class member who acts for the class during the
processing of a class complaint. In order to be accepted as the agent
for a class complaint, in addition to those requirements of a complaint
found in Sec. 1225.3, the complaint must meet the requirements for a
class complaint as found in subpart C of this part.
AmeriCorps member means a person who serves in a national service
position for which a Segal AmeriCorps Education Award could be provided.
AmeriCorps Seniors Volunteer means a person who serves as a
volunteer

[[Page 41]]

through a program funded under Title II of the DVSA, including the
Retired Senior Volunteer Program, the Foster Grandparent Program, and
the Senior Companion Program.
Applicant means a person who has submitted a completed application
required for consideration of eligibility for CNCS national service as a
member or volunteer. Applicant may also mean a person who alleges that
the actions of recipient or subrecipient organization staff, or agency
personnel precluded him or her from submitting such an application or
any other information reasonably required by CNCS as necessary for a
determination of the individual's eligibility for national service.
Candidate means a person who has accepted an offer to commence
service as a member or volunteer but has not yet enrolled for service in
a CNCS national service program.
CEO means the Chief Executive Officer of CNCS. The term shall also
refer to any designee of the CEO.
Complaint means a written statement signed by the complainant and
submitted to the EEOP Director. A complaint shall set forth specifically
and in detail:
(1) A description of the management policy or practice during the
application stage as an applicant, during the candidacy stage as a
candidate, or during the service stage as a member or volunteer, if any,
giving rise to the complaint;
(2) A detailed description including names and dates, if possible,
of the actions of CNCS, recipients or subrecipients of CNCS assistance
or resources, or the officials of those recipients or subrecipients,
which resulted in the alleged illegal discrimination;
(3) The manner in which the action of CNCS, or the CNCS recipient or
subrecipient, directly affected the complainant; and
(4) The relief sought.
(5) A complaint shall be deemed filed on the date it is received by
the appropriate agency official. When a complaint does not conform with
the above definition, it shall nevertheless be accepted. The complainant
shall be notified of the steps necessary to correct the deficiencies of
the complaint. The complainant shall have 30 days from his or her
receipt of notification of the complaint defects to resubmit an amended
complaint.
Counselor means an official designated by the EEOP Director to
perform the functions of conciliation as detailed in this part.
EEOP Director means the Director of the Equal Employment Opportunity
Program of CNCS. The term shall also refer to any designee of the EEOP
Director.
Illegal discrimination means discrimination on the basis of race,
color, national origin, religion, age, sex, disability or political
affiliation as defined in Title VI of the Civil Rights Act of 1964 (42
U.S.C. 2000e et seq.); Title V of the Rehabilitation Act of 1973 (29
U.S.C. 791, et seq.); the Age Discrimination Act of 1975 (42 U.S.C.
6101, et seq.), Section 175 of the National and Community Service Act of
1990, as amended, and Section 5057 of the Domestic Volunteer Service Act
of 1973, as amended. Further clarification of the scope of matters
covered by this definition may be obtained by referring to the following
regulations: Sex Discrimination: 29 CFR part 1604; Religious
Discrimination: 29 CFR part 1605; National Origin Discrimination: 29 CFR
part 1606; Age Discrimination: 45 CFR part 90; Disability
Discrimination: 29 CFR part 1630.

Sec. 1225.4 Coverage.

(a) These procedures apply to all CNCS national service applicants,
candidates, members and volunteers throughout their term of service with
CNCS, or with recipients and subrecipients of CNCS assistance or
resources. When an applicant, candidate, member or volunteer makes a
complaint which contains an allegation of illegal discrimination in
connection with an action that would be otherwise be processed under a
grievance, early termination, or other administrative system of the
agency, the allegation of illegal discrimination shall be processed
under this part. At the discretion of the EEOP Director, any other
issues raised may be consolidated with the discrimination complaint for
processing under these regulations. Any issues which are not so
consolidated shall continue to

[[Page 42]]

be processed under those procedures in which they were originally
raised.
(b) The submission of class complaints alleging illegal
discrimination as defined above will be handled in accordance with the
procedure outlined in subpart C.

Sec. 1225.5 Representation.

Any aggrieved party may be represented and assisted in all stages of
these procedures by an attorney or representative of his or her own
choosing. An aggrieved party must immediately inform the agency if
counsel is retained. Attorney fees or other appropriate relief may be
awarded in the following circumstances;
(a) Informal adjustment of a complaint. An informal adjustment of a
complaint may include an award of attorney fees or other relief deemed
appropriate by the EEOP Director. Where the parties agree on an
adjustment of the complaint, but cannot agree on whether attorney fees
or costs should be awarded, or on their amount, this issue may be
appealed to the CEO, or their designee, in the manner detailed in Sec.
1225.11.
(b) Final agency decision. When discrimination is found, the CEO, or
their designee, shall advise the complainant that any request for
attorney fees or costs must be documented and submitted for review
within 20 calendar days after his or her receipt of the final agency
decision. The amount of such awards shall be determined under Sec.
1225.11. In the unusual situation in which it is determined not to award
attorney fees or other costs to a prevailing complainant, the CEO, or
their designee, in his or her final decision shall set forth the
specific reasons thereof.

Sec. 1225.6 Freedom from reprisal.

Aggrieved parties, their representatives, and witnesses will be free
from restraint, interference, coercion, discrimination, or reprisal at
any stage in the presentation and processing of a complaint, including
the counseling stage described in Sec. 1225.8, or any time thereafter.

Sec. 1225.7 Review of allegations of reprisal.

An aggrieved party, his or her representative, or a witness who
alleges restraint, interference, coercion, discrimination, or reprisal
in connection with the presentation of a complaint under this part, may
if covered by this part, request in writing that the allegation be
reviewed as an individual complaint of discrimination subject to the
procedures described in subpart B or that the allegation be considered
as an issue in the complaint at hand.

Subpart B_Processing Individual Complaints of Discrimination

Sec. 1225.8 Precomplaint procedure.

(a) An aggrieved person who believes that he or she has been subject
to illegal discrimination shall bring such allegations to the attention
of the appropriate Counselor within 30 days of the alleged
discrimination to attempt to resolve them. Aggrieved applicants,
candidates, members, and volunteers applying for, or enrolled in
programs operated by CNCS, or by recipients or subrecipients of CNCS
assistance or resources, shall direct their allegations to the
designated counselor.
(b) Upon receipt of the allegation, the counselor or designee shall
make whatever inquiry is deemed necessary into the facts alleged by the
aggrieved party and shall counsel the aggrieved party for the purpose of
attempting an informal resolution agreeable to all parties. The
counselor will keep a written record of his or her activities which will
be submitted to the EEOP Director if a formal complaint concerning the
matter is filed.
(c) If after such inquiry and counseling an informal resolution to
the allegation is not reached, the counselor shall notify the aggrieved
party in writing of the right to file a complaint of discrimination with
the EEOP Director within 15 calendar days of the aggrieved party's
receipt of the notice.
(d) The counselor shall not reveal the identity of the aggrieved
party who has come to him or her for consultation, except when
authorized to do so by the aggrieved party. However, the identity of the
aggrieved party may be revealed

[[Page 43]]

once the agency has accepted a complaint of discrimination from the
aggrieved party.

Sec. 1225.9 Complaint procedure.

(a) The EEOP Director must accept a complaint if the process set
forth above has followed, and the complaint states a charge of illegal
discrimination. The agency will extend the time limits set herein:
(1) When the complainant shows that he or she was not notified of
the time limits and was not otherwise aware of them, or
(2) The complainant shows that he or she was prevented by
circumstances beyond his or her control from submitting the matter in a
timely fashion, or
(3) For other reasons considered sufficiently by the agency. At any
time during the complaint procedure, the EEOP Director may cancel a
complaint because of failure of the aggrieved party to prosecute the
complaint. If the complaint is rejected for failure to meet one or more
of the requirements set out in the procedure outlined in Sec. 1225.8 or
is cancelled, the EEOP Director shall inform the aggrieved party in
writing of this final agency decision: That CNCS will take no further
action; and of the right, to file a civil action as described in Sec.
1225.21.
(b) Upon acceptance of the complaint and receipt of the counselor's
report, the EEOP Director shall provide for the prompt investigation of
the complaint. Whenever possible, the person assigned to investigate the
complaint shall occupy a position in the agency which is not, directly
or indirectly, under the jurisdiction of the head of that part of the
agency in which the complaint arose. The investigation shall include a
thorough review of the circumstances under which the alleged
discrimination occurred, and any other circumstances which may
constitute, or appear to constitute discrimination against the
complainant. The investigator shall compile an investigative file, which
includes a summary of the investigation, recommended findings of fact
and a recommended resolution of the complaint. The investigator shall
forward the investigative file to the EEOP Director and shall provide
the complainant with a copy.
(c) The EEOP Director shall review the complaint file including any
additional statements provided by the complainant, make findings of
fact, and shall offer an adjustment of the complaint if the facts
support the complaint. If the proposed adjustment is agreeable to all
parties, the terms of the adjustment shall be reduced to writing, signed
by both parties, and made part of the complaint file. A copy of the
terms of the adjustment shall be provided to the complainant. If the
proposed adjustment of the complaint is not acceptable to the
complainant, or the EEOP Director determines that such an offer is
inappropriate, the EEOP Director shall forward the complaint file with a
written notification of the findings of facts, and his or her
recommendations of the proposed disposition of the complaint to the CEO
or their designee. The aggrieved party shall receive a copy of the
notification and recommendation and shall be advised of the right to
appeal the recommended disposition to the CEO or their designee. Within
ten (10) calendar days of receipt of such notice the complainant may
submit his or her appeal of the recommended disposition to the CEO or
their designee.
(d) If no timely notice of appeal is received from the aggrieved
party, the CEO or their designee may adopt the proposed disposition as
the Final Agency Decision. If the aggrieved party appeals, the CEO, or a
designee who has been delegated authority to issue such a decision,
after review of the total complaint file, shall issue a decision to the
aggrieved party. The decision of the CEO, or their designee, shall be in
writing, state the reasons underlying the decision, shall be the Final
Agency Decision, shall inform the aggrieved party of the right to file a
civil action as described in Sec. 1225.21, and, if appropriate,
designate the procedure to be followed for the award of attorney fees or
costs.

Sec. 1225.10 Corrective action.

When it has been determined by final agency decision that the
aggrieved party has been subjected to illegal discrimination, the
following corrective actions may be taken:

[[Page 44]]

(a) Selection as a member or volunteer for aggrieved parties found
to have been denied selection based on prohibited discrimination.
(b) Reappointment to national service for aggrieved parties found to
have been early-terminated as a result of prohibited discrimination. To
the extent possible, a member or volunteer will be placed in the same
position previously held. However, reassignment to the specific position
previously held is contingent on several programmatic considerations
such as the continued availability of the position. If the same position
is deemed to be no longer available, the aggrieved party will be offered
a reassignment to a position in as similar circumstances to the position
previously held, or to resign from service for reasons beyond his or her
control. Such a reassignment may require both additional training and an
additional commitment to national service.
(c) Provision for reasonable attorney fees and other costs incurred
by the aggrieved party.
(d) Such other relief as may be deemed appropriate by the CEO or
their designee.

Sec. 1225.11 Amount of attorney fees.

(a) When a decision of the agency provides for an award of
attorney's fees or costs, the complainant's attorney shall submit a
verified statement of costs and attorney's fees as appropriate, to the
agency within 20 days of receipt of the decision. A statement of
attorney's fees shall be accompanied by an affidavit executed by the
attorney of record itemizing the attorney's charges for legal services.
Both the verified statement and the accompanying affidavit shall be made
a part of the complaint file. The amount of attorney's fees or costs to
be awarded the complainant shall be determined by agreement between the
complainant, the complainant's representative and the CEO or their
designee. Such agreement shall immediately be reduced to writing. If the
complainant, the representative and the agency cannot reach an agreement
on the amount of attorney's fees or costs within 20 calendar days of
receipt of the verified statement and accompanying affidavit, the CEO or
their designee shall issue a decision determining the amount of attorney
fees or costs within 30 calendar days of receipt of the statement and
affidavit. Such decision shall include the specific reasons for
determining the amount of the award.
(b) The amount of attorney's fees shall be made in accordance with
the following standards: The time and labor required, the novelty and
difficulty of the questions, the skills requisite to perform the legal
service properly, the preclusion of other employment by the attorney due
to acceptance of the case, the customary fee, whether the fee is fixed
or contingent, time limitation imposed by the client or the
circumstances, the amount involved and the results obtained, the
experience, reputation, and ability of the attorney, the undesirability
of the case, the nature and length of the professional relationship with
the client, and the awards in similar cases.

Subpart C_Processing Class Complaints of Discrimination

Sec. 1225.12 Precomplaint procedure.

An applicant, candidate, member or volunteer who believes that he or
she is among a group of present or former CNCS national service
applicants, candidates, members or volunteers, who have been illegally
discriminated against and who wants to be an agent for the class shall
follow those precomplaint procedures outlined in Sec. 1225.8.

Sec. 1225.13 Acceptance, rejection or cancellation of a complaint.

(a) Upon receipt of a class complaint, the counselor's report, and
any other information pertaining to timeliness or other relevant
circumstances related to the complaint, the EEOP Director shall review
the file to determine whether to accept or reject the complaint, or a
portion thereof, for any of the following reasons:
(1) It was not timely filed;
(2) It consists of an allegation which is identical to an allegation
contained in a previous complaint filed on behalf of the same class
which is pending in

[[Page 45]]

the agency or which has been resolved or decided by the agency;
(3) It is not within the purview of this subpart;
(4) The agent failed to consult a Counselor in a timely manner;
(5) It lacks specificity and detail;
(6) It was not submitted in writing or was not signed by the agent;
(7) It does not meet the following prerequisites.
(i) The class is so numerous that a consolidated complaint of the
members of the class is impractical;
(ii) There are questions of fact common to the class;
(iii) The claims of the agent of the class are representative of the
claims of the class;
(iv) The agent of the class, or his or her representative will
fairly and adequately protect the interest of the class.
(b) If an allegation is not included in the counselor's report, the
EEOP Director shall afford the agent 15 calendar days to explain whether
the matter was discussed and if not, why he or she did not discuss the
allegation with the counselor. If the explanation is not satisfactory,
the EEOP Director may decide to reject the allegation. If the
explanation is not satisfactory, the EEOP Director may require further
counseling of the agent.
(c) If an allegation lacks specificity and detail, or if it was not
submitted in writing or not signed by the agent, the EEOP Director shall
afford the agent 30 days from his or her receipt of notification of the
complaint defects to resubmit an amended complaint. The EEOP Director
may decide that the agency reject the complaint if the agent fails to
provide such information within the specified time period. If the
information provided contains new allegations outside the scope of the
complaint, the EEOP Director must advise the agent how to proceed on an
individual or class basis concerning these allegations.
(d) The EEOP Director may extend the time limits for filing a
complaint and for consulting with a Counselor when the agent, or his or
her representative, shows that he or she was not notified of the
prescribed time limits and was not otherwise aware of them or that he or
she was prevented by circumstances beyond his or her control from acting
within the time limit.
(e) When appropriate, the EEOP Director may determine that a class
be divided into subclasses and that each subclass be treated as a class,
and the provisions of this section than shall be construed and applied
accordingly.
(f) The EEOP Director may cancel a complaint after it has been
accepted because of failure of the agent to prosecute the complaint.
This action may be taken only after:
(1) The EEOP Director has provided the agent a written request,
including notice of proposed cancellation, that he or she provide
certain information or otherwise proceed with the complaint; and
(2) Within 30 days of his or her receipt of the request.
(g) An agent must be informed by the EEOP Director in a request
under paragraphs (b) or (c) of this section that his or her complaint
may be rejected if the information is not provided.

Sec. 1225.14 Consolidation of complaints.

The EEOP Director may consolidate the complaint if it involves the
same or sufficiently similar allegations as those contained in a
previous complaint filed on behalf of the same class which is pending in
the agency or which had been resolved or decided by the agency.

Sec. 1225.15 Notification and opting out.

(a) Upon acceptance of a class complaint, the agency, within 30
calendar days, shall use reasonable means such as delivery, mailing,
distribution, or posting, to notify all class members of the existence
of the class complaint.
(b) A notice shall contain:
(1) The name of the agency or organizational segment thereof, its
location and the date of acceptance of the complaint:
(2) A description of the issues accepted as part of the class
complaint;
(3) An explanation that class members may remove themselves from the
class by notifying the agency within 30 calendar days after issuance of
the notice; and

[[Page 46]]

(4) An explanation of the binding nature of the final decision or
resolution of the complaint.

Sec. 1225.16 Investigation and adjustment of complaint.

The complaint shall be processed promptly after it has been
accepted. Once a class complaint has been accepted, the procedure
outlined in 1225.9 of this part shall apply.

Sec. 1225.17 Agency decision.

(a) If an adjustment of the complaint cannot be made, the procedures
outlined in 1225.9 shall be followed by the EEOP Director except that
any notice required to be sent to the aggrieved party shall be sent to
the agent of the class or his or her representative.
(b) The final agency decision on a class complaint shall be binding
on all members of the class.

Sec. 1225.18 Notification of class members of decision.

Class members shall be notified by the agency of the final agency
decision and corrective action, if any, using at the minimum, the same
media employed to give notice of the existence of the class complaint.
The notice, where appropriate, shall include information concerning the
rights of class members to seek individual relief and of the procedures
to be followed. Notice shall be given by the Agency within ten (10)
calendar days of the transmittal of its decision to the agent.

Sec. 1225.19 Corrective action.

(a) When discrimination is found. CNCS, or the recipient or
subrecipient of CNCS assistance or resources, as appropriate, must take
appropriate action to eliminate or modify the policy or practice out of
which such discrimination arose, and provide individual corrective
action to the agent and other class members in accordance with Sec.
1225.10.
(b) When discrimination is found and a class member believes that
but for that discrimination he or she would have been accepted as a
member or volunteer or received some other volunteer service benefit,
the class member may file a written claim with the EEOP Director within
thirty (30) calendar days of notification by the agency of its decision.
(c) The claim must include a specific, detailed statement showing
that the claimant is a class member who was affected by an action or
matter resulting from the discriminatory policy or practice which arose
not more than 30 days preceding the filing of the class complaint.
(d) The Agency shall attempt to resolve the claim within sixty (60)
calendar days after the date the claim was postmarked, or in the absence
of a postmark, within sixty (60) calendar days after the date it was
received by the EEOP Director.

Sec. 1225.20 Claim appeals.

(a) If the EEOP Director and claimant do not agree that the claimant
is a member of the class, or upon the relief to which the claimant is
entitled, the EEOP Director shall refer the claim, with recommendations
concerning it, to the CEO or their designee for a Final Agency Decision
and shall so notify the claimant. The class member may submit written
evidence to the CEO or their designee concerning his or her status as a
member of the class. Such evidence must be submitted no later than ten
(10) calendar days after receipt of referral.
(b) The CEO or their designee shall decide the issue within thirty
(30) days of the date of referral by the EEOP Director. The claimant
shall be informed in writing of the decision and its basis and that it
will be the Final Agency Decision of the issue.

Sec. 1225.21 Judicial review.

(a) An applicant, candidate, member or volunteer is authorized to
file a civil action in an appropriate U.S. District Court:
(1) Within thirty (30) calendar days of his or her receipt of the
notice of final action taken by the agency; or
(2) After one hundred eighty (180) calendar days from the date of
filing a formal discrimination complaint with the agency if there has
been no final agency action.

[[Page 47]]

PART 1226_PROHIBITIONS ON ELECTORAL AND LOBBYING ACTIVITIES
--Table of Contents

Subpart A_General Provisions

Sec.
1226.1 Purpose.
1226.2 Scope.
1226.3 Definitions.

Subpart B_Sponsoring Organization

1226.4 General.
1226.5 Electoral, voter registration, and other activities.

Subpart C_Volunteer Activities

1226.6 General.
1226.7 Scope.
1226.8 Prohibited activities.
1226.9 Exceptions.

Subpart D_Sponsor Employee Activities

1226.10 Sponsor employees.
1226.11 Obligation of sponsors.

Authority: 42 U.S.C. 5043.

Source: 46 FR 8522, Jan. 27, 1981, unless otherwise noted.

Subpart A_General Provisions

Sec. 1226.1 Purpose.

This part implements sections 403(a) and (b) of the Domestic
Volunteer Service Act of 1973, Public Law 93-113, as amended,
hereinafter referred to as the Act, pertaining to the prohibited use of
Federal funds or involvement by certain Corporation for National and
Community Service programs and volunteers in electoral and lobbying
activities. This part implements those provisions of the Act, as they
apply to agency programs and volunteers authorized under title II of the
Act.

[80 FR 63459, Oct. 20, 2015]

Sec. 1226.2 Scope.

This part applies to all volunteers serving in a program authorized
by title II of the Act, including the Foster Grandparent Program, the
Senior Companion Program, and The Retired and Senior Volunteer Program
(RSVP). This part also applies to employees or sponsoring organizations,
whose salaries, or other compensation, are paid, in whole or in part,
with agency funds.

[80 FR 63459, Oct. 20, 2015]

Sec. 1226.3 Definitions.

(a) The Act means the Domestic Volunteer Service Act of 1973, as
amended, Pub. L. 93-113 (42 U.S.C. 4951 et seq.).
(b) Assistance means funds, volunteers or volunteer training, which
is paid for from funds appropriated for the purpose of supporting
activities under the Act, and includes locally provided funds required
by law, regulation or policy as a local contribution to activities
authorized by the Act.
(c) Full time when used in the context of volunteer service, means
service of not less than 35 hours per week.
(d) Part time when used in the context of volunteer service, means
service that is less than full time.
(e) Recipient or sponsor organization means any organization that
receives assistance under the Act.
(f) Volunteer means an individual enrolled for service in a program
or project that is authorized by or which receives assistance under the
Act.
(g) Legislative body includes the United States Congress, State and
Territorial Legislatures and locally elected or appointed bodies with
the authority to enact laws.
(h) Public office includes any Federal, State, local elective, or
party office.
(i) Party office means an elective position in a national, state or
local organization or committees or convention of such organization,
which has, as a principal purpose, support or opposition to candidates
for public office.
(j) Legislation means bills, resolutions, amendments, nominations
and other matters pending or proposed in a legislative body and includes
any other matter which may be the subject of action by the legislative
body.

Subpart B_Sponsoring Organization

Sec. 1226.4 General.

Under section 403 of the Act, volunteer programs may not be
conducted in a manner which supports or results in the identification of
such programs with prohibited activities. This section

[[Page 48]]

prescribes the nature and extent of involvement in such activity by an
organization which would preclude the assignment of volunteers to the
organization.

Sec. 1226.5 Electoral, voter registration, and other activities.

Volunteers or other assistance, in any program under the Act shall
not be assigned or provided to an organization if a principal purpose or
activity of the organization includes any of the following activities:
(a) Electoral Activities. Any activity designed to influence the
outcome of elections to any public office, such as:
(1) Actively campaigning for or against or supporting candidates for
public office;
(2) Raising, soliciting or collecting funds for candidates for
public office;
(3) Preparing, distributing or providing funds for campaign
literature for candidates, including leaflets pamphlets, and material
designed for the print or electronic media;
(b) Voter Registration Activities. Any voter registration activity,
such as
(1) Providing transportation of individuals to voter registration
sites;
(2) Providing assistance to individuals in the process of
registering to vote, including determinations of eligibility;
(3) Disseminating official voter registration material.
(c) Transportation to the Polls. Providing voters or prospective
voters with transportation to the polls or raising, soliciting or
collecting funds for such activity.
(d) Any program sponsor which, subsequent to the receipt of any
federal assistance under the Act, makes as one of its principal purposes
or activities any of the activities described in Sec. 1226.5 hereof
shall be subject to the suspension or termination of such assistance, as
provided in 45 CFR part 1206.

Subpart C_Volunteer Activities

Sec. 1226.6 General.

(a) All volunteers, full and part time, are subject to the
prohibitions on expenditure of federal funds for partisan and
nonpartisan electoral activities, voter registration activities and
transportation of voters to the polls, and efforts to influence the
passage or defeat of legislation, as contained in section 403 of the
Act.
(b) Full time volunteers, and certain part time volunteers as
specified herein, are also subject to the restrictions in subchapter
III, chapter 73 of title 5, United States Code, commonly referred to as
the Hatch Act, as provided in section 415(b) of the Act.

Sec. 1226.7 Scope.

The provisions in this subpart are applicable to full time
volunteers as described in Sec. 1226.3(c), and to such part-time
volunteers as may be otherwise specified herein. Full time volunteers
are deemed to be acting in their capacity as volunteers:
(a) When they are actually engaged in their volunteer assignments;
or
(b) Whenever they represent themselves, or may reasonably be
perceived by others, to be performing as a volunteer.

[46 FR 8522, Jan. 27, 1981, as amended at 80 FR 63459, Oct. 20, 2015]

Sec. 1226.8 Prohibited activities.

(a) Electoral Activity. Volunteers shall not engage in any activity
which may, directly or indirectly, affect or influence the outcome of
any election to public office. Volunteers are prohibited from engaging
in activities such as:
(1) Any activity in support of, or in opposition to a candidate for
election to public office in a partisan or nonpartisan election;
(2) Participating in the circulation of petitions, or the gathering
of signatures on nominating petitions or similar documents for
candidates for public office.
(3) Raising, soliciting, or collecting funds for a candidate for
public office;
(4) Preparing, distributing or providing funds for campaign material
for candidates, including leaflets, pamphlets, brochures and material
designed for the print or electronic media;
(5) Organizing political meetings or forums;
(6) Canvassing voters on behalf of a candidate for public office;

[[Page 49]]

(7) Raising, soliciting or collecting funds for groups that engage
in any of the activities described in paragraphs (a)(1) through (6) of
this section.
(b) Voter Registration. Volunteers shall not engage in any voter
registration activity, including:
(1) Providing transportation of individuals to voter registration
sites;
(2) Providing assistance to individuals in the process of
registering to vote, including determinations of eligibility;
(3) The dissemination of official voter registration materials; or
(4) Raising, soliciting or collecting funds to support activities
described in paragraphs (b)(1) through (3) of this section.
(c) Transportation to the Polls. Volunteers shall not engage in any
activity to provide voters or prospective voters with transportation to
the polls, nor shall they collect, raise, or solicit funds to support
such activity, including securing vehicles for such activity.
(d) Efforts to Influence Legislation. Except as provided in Sec.
1226.9, volunteers shall not engage in any activity for the purpose of
influencing the passage or defeat of legislation or any measures on the
ballot at a general or special election. For example, volunteers shall
not:
(1) Testify or appear before legislative bodies in regard to
proposed or pending legislation;
(2) Make telephone calls, write letters, or otherwise contact
legislators or legislative staff, concerning proposed or pending
legislation for the purpose of influencing the passage or defeat of such
legislation;
(3) Draft legislation;
(4) Prepare legislative testimony;
(5) Prepare letters to be mailed by third parties to members of
legislative bodies concerning proposed or pending legislation;
(6) Prepare or distribute any form of material, including pamphlets,
newspaper columns, and material designed for either the print or
electronic media, which urges recipients to contact their legislator or
otherwise seek passage or defeat of legislation;
(7) Raise, collect or solicit funds to support efforts to affect the
passage or defeat of legislation;
(8) Engage in any of the activities set forth in paragraphs (d)(1)
through (7) of this section for the purpose of influencing executive
action in approving or vetoing legislation.
(9) Circulate petitions, gather signatures on petitions, or urge or
organize others to do so, which seek to have measures placed on the
ballot at a general or special election.
(10) Engage in any of the activities enumerated in paragraphs (d)(1)
through (9) of this section in regard to the passage or defeat of any
measure on the ballot in a general or special election.

Sec. 1226.9 Exceptions.

(a) A volunteer may draft, review, testify or make representations
to a legislative body regarding a legislative measure upon request of
the legislative body, a committee, or a member thereof, provided that:
(1) The request to draft, review, testify or make representations is
in writing, addressed to the volunteer or the organization to which the
volunteer is assigned or placed, and signed by a member or members of
the legislative body.
(2) The request states the type of representation or assistance
requested and the issue to be addressed.
(3) The volunteer or the program sponsor provides a copy of such
request to the State Director.
(b) The volunteer may draft, review, testify, or make a written
representation to a legislative body regarding an authorization or
appropriation measure directly affecting the operation of the project or
program to which he or she is assigned: Provided:
(1) The sponsor organization provides notification to the State
Director on a quarterly basis of all activity occurring pursuant to this
exception.
(2) The legislative measure relates to the funding of the project or
program or affects the existence or basic structure of the project or
program.
(c) Notwithstanding the foregoing exceptions, any activity by a
volunteer pursuant to paragraph (b)(1) or (2) of this section shall be
incidental to his or her regular work assignment.

[[Page 50]]

Subpart D_Sponsor Employee Activities

Sec. 1226.10 Sponsor employees.

Sponsor employees whose salaries or other compensation are paid, in
whole or in part, with agency funds are subject to the restrictions
described in Sec. 1226.8 and the exceptions in Sec. 1226.9:
(a) Whenever they are engaged in an activity which is supported by
Corporation for National and Community Service funds; or
(b) Whenever they identify themselves as acting in their capacity as
an official of a project which receives Corporation for National and
Community Service funds, or could reasonably be perceived by others as
acting in such capacity.

[46 FR 8522, Jan. 27, 1981. Redesignated and revised at 80 FR 63459,
Oct. 20, 2015]

Sec. 1226.11 Obligations of sponsors.

(a) It shall be the obligation of program sponsors to ensure that
they:
(1) Fully understand the restrictions on volunteer activity set
forth herein;
(2) Provide training to volunteers on the restrictions and ensure
that all other training materials used in training volunteers are fully
consistent with these restrictions;
(3) Monitor on a continuing basis the activity of volunteers for
compliance with this provision;
(4) Report all violations, or questionable situations, immediately
to the State Director.
(b) Failure of a sponsor to meet the requirements set forth in
paragraph (a) of this section, or a violation of the rules contained
herein by either the sponsor, the sponsor's employees subject to Sec.
1226.12 or the volunteers assigned to the sponsor, at any time during
the course of the grant may be deemed to be a material failure to comply
with the terms and conditions of the grant as that term is used in 45
CFR 1206.1 regarding suspension and termination of assistance or a
violation of the Project Memorandum of Agreement, as applicable. The
sponsor shall be subject to the procedures and penalties contained in 45
CFR 1206.1.
(c) Violation by a volunteer of any of the rules and regulations set
forth herein may be cause for suspension or termination as set forth in
45 CFR 1213.5-5(2) or other disciplinary action.

[46 FR 8522, Jan. 27, 1981. Redesignated at 80 FR 63459, Oct. 20, 2015]

PART 1230_NEW RESTRICTIONS ON LOBBYING--Table of Contents

Subpart A_General

Sec.
1230.100 Conditions on use of funds.
1230.105 Definitions.
1230.110 Certification and disclosure.

Subpart B_Activities by Own Employees

1230.200 Agency and legislative liaison.
1230.205 Professional and technical services.
1230.210 Reporting.

Subpart C_Activities by Other Than Own Employees

1230.300 Professional and technical services.

Subpart D_Penalties and Enforcement

1230.400 Penalties.
1230.405 Penalty procedures.
1230.410 Enforcement.

Subpart E_Exemptions

1230.500 Secretary of Defense.

Subpart F_Agency Reports

1230.600 Semi-annual compilation.
1230.605 Inspector General report.

Appendix A to Part 1230--Certification Regarding Lobbying
Appendix B to Part 1230--Disclosure Form To Report Lobbying

Authority: Section 319, Pub. L. 101-121 (31 U.S.C. 1352); Pub. L.
93-113; 42 U.S.C. 4951, et seq.; 42 U.S.C. 5060.

Source: 55 FR 6737, 6755, Feb. 26, 1990, unless otherwise noted.

Cross Reference: See also Office of Management and Budget notice
published at 54 FR 52306, December 20, 1989.

Subpart A_General

Sec. 1230.100 Conditions on use of funds.

(a) No appropriated funds may be expended by the recipient of a
Federal contract, grant, loan, or cooperative ageement to pay any person
for influencing or attempting to influence an officer or employee of any
agency, a

[[Page 51]]

Member of Congress, an officer or employee of Congress, or an employee
of a Member of Congress in connection with any of the following covered
Federal actions: the awarding of any Federal contract, the making of any
Federal grant, the making of any Federal loan, the entering into of any
cooperative agreement, and the extension, continuation, renewal,
amendment, or modification of any Federal contract, grant, loan, or
cooperative agreement.
(b) Each person who requests or receives from an agency a Federal
contract, grant, loan, or cooperative agreement shall file with that
agency a certification, set forth in Appendix A, that the person has not
made, and will not make, any payment prohibited by paragraph (a) of this
section.
(c) Each person who requests or receives from an agency a Federal
contract, grant, loan, or a cooperative agreement shall file with that
agency a disclosure form, set forth in Appendix B, if such person has
made or has agreed to make any payment using nonappropriated funds (to
include profits from any covered Federal action), which would be
prohibited under paragraph (a) of this section if paid for with
appropriated funds.
(d) Each person who requests or receives from an agency a commitment
providing for the United States to insure or guarantee a loan shall file
with that agency a statement, set forth in Appendix A, whether that
person has made or has agreed to make any payment to influence or
attempt to influence an officer or employee of any agency, a Member of
Congress, an officer or employee of Congress, or an employee of a Member
of Congress in connection with that loan insurance or guarantee.
(e) Each person who requests or receives from an agency a commitment
providing for the United States to insure or guarantee a loan shall file
with that agency a disclosure form, set forth in Appendix B, if that
person has made or has agreed to make any payment to influence or
attempt to influence an officer or employee of any agency, a Member of
Congress, an officer or employee of Congress, or an employee of a Member
of Congress in connection with that loan insurance or guarantee.

Sec. 1230.105 Definitions.

For purposes of this part:
(a) Agency, as defined in 5 U.S.C. 552(f), includes Federal
executive departments and agencies as well as independent regulatory
commissions and Government corporations, as defined in 31 U.S.C.
9101(1).
(b) Covered Federal action means any of the following Federal
actions:
(1) The awarding of any Federal contract;
(2) The making of any Federal grant;
(3) The making of any Federal loan;
(4) The entering into of any cooperative agreement; and,
(5) The extension, continuation, renewal, amendment, or modification
of any Federal contract, grant, loan, or cooperative agreement.

Covered Federal action does not include receiving from an agency a
commitment providing for the United States to insure or guarantee a
loan. Loan guarantees and loan insurance are addressed independently
within this part.
(c) Federal contract means an acquisition contract awarded by an
agency, including those subject to the Federal Acquisition Regulation
(FAR), and any other acquisition contract for real or personal property
or services not subject to the FAR.
(d) Federal cooperative agreement means a cooperative agreement
entered into by an agency.
(e) Federal grant means an award of financial assistance in the form
of money, or property in lieu of money, by the Federal Government or a
direct appropriation made by law to any person. The term does not
include technical assistance which provides services instead of money,
or other assistance in the form of revenue sharing, loans, loan
guarantees, loan insurance, interest subsidies, insurance, or direct
United States cash assistance to an individual.
(f) Federal loan means a loan made by an agency. The term does not
include loan guarantee or loan insurance.
(g) Indian tribe and tribal organization have the meaning provided
in section 4 of the Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450B). Alaskan Natives are included

[[Page 52]]

under the definitions of Indian tribes in that Act.
(h) Influencing or attempting to influence means making, with the
intent to influence, any communication to or appearance before an
officer or employee or any agency, a Member of Congress, an officer or
employee of Congress, or an employee of a Member of Congress in
connection with any covered Federal action.
(i) Loan guarantee and loan insurance means an agency's guarantee or
insurance of a loan made by a person.
(j) Local government means a unit of government in a State and, if
chartered, established, or otherwise recognized by a State for the
performance of a governmental duty, including a local public authority,
a special district, an intrastate district, a council of governments, a
sponsor group representative organization, and any other instrumentality
of a local government.
(k) Officer or employee of an agency includes the following
individuals who are employed by an agency:
(1) An individual who is appointed to a position in the Government
under title 5, U.S. Code, including a position under a temporary
appointment;
(2) A member of the uniformed services as defined in section 101(3),
title 37, U.S. Code;
(3) A special Government employee as defined in section 202, title
18, U.S. Code; and,
(4) An individual who is a member of a Federal advisory committee,
as defined by the Federal Advisory Committee Act, title 5, U.S. Code
appendix 2.
(l) Person means an individual, corporation, company, association,
authority, firm, partnership, society, State, and local government,
regardless of whether such entity is operated for profit or not for
profit. This term excludes an Indian tribe, tribal organization, or any
other Indian organization with respect to expenditures specifically
permitted by other Federal law.
(m) Reasonable compensation means, with respect to a regularly
employed officer or employee of any person, compensation that is
consistent with the normal compensation for such officer or employee for
work that is not furnished to, not funded by, or not furnished in
cooperation with the Federal Government.
(n) Reasonable payment means, with respect to perfessional and other
technical services, a payment in an amount that is consistent with the
amount normally paid for such services in the private sector.
(o) Recipient includes all contractors, subcontractors at any tier,
and subgrantees at any tier of the recipient of funds received in
connection with a Federal contract, grant, loan, or cooperative
agreement. The term excludes an Indian tribe, tribal organization, or
any other Indian organization with respect to expenditures specifically
permitted by other Federal law.
(p) Regularly employed means, with respect to an officer or employee
of a person requesting or receiving a Federal contract, grant, loan, or
cooperative agreement or a commitment providing for the United States to
insure or guarantee a loan, an officer or employee who is employed by
such person for at least 130 working days within one year immediately
preceding the date of the submission that initiates agency consideration
of such person for receipt of such contract, grant, loan, cooperative
agreement, loan insurance commitment, or loan guarantee commitment. An
officer or employee who is employed by such person for less than 130
working days within one year immediately preceding the date of the
submission that initiates agency consideration of such person shall be
considered to be regularly employed as soon as he or she is employed by
such person for 130 working days.
(q) State means a State of the United States, the District of
Columbia, the Commonwealth of Puerto Rico, a territory or possession of
the United States, an agency or instrumentality of a State, and a multi-
State, regional, or interstate entity having governmental duties and
powers.

Sec. 1230.110 Certification and disclosure.

(a) Each person shall file a certification, and a disclosure form,
if required, with each submission that initiates agency consideration of
such person for:

[[Page 53]]

(1) Award of a Federal contract, grant, or cooperative agreement
exceeding $100,000; or
(2) An award of a Federal loan or a commitment providing for the
United States to insure or guarantee a loan exceeding $150,000.
(b) Each person shall file a certification, and a disclosure form,
if required, upon receipt by such person of:
(1) A Federal contract, grant, or cooperative agreement exceeding
$100,000; or
(2) A Federal loan or a commitment providing for the United States
to insure or guarantee a loan exceeding $150,000,

unless such person previously filed a certification, and a disclosure
form, if required, under paragraph (a) of this section.
(c) Each person shall file a disclosure form at the end of each
calendar quarter in which there occurs any event that requires
disclosure or that materially affects the accuracy of the information
contained in any disclosure form previously filed by such person under
paragraphs (a) or (b) of this section. An event that materially affects
the accuracy of the information reported includes:
(1) A cumulative increase of $25,000 or more in the amount paid or
expected to be paid for influencing or attempting to influence a covered
Federal action; or
(2) A change in the person(s) or individual(s) influencing or
attempting to influence a covered Federal action; or,
(3) A change in the officer(s), employee(s), or Member(s) contacted
to influence or attempt to influence a covered Federal action.
(d) Any person who requests or receives from a person referred to in
paragraph (a) or (b) of this section:
(1) A subcontract exceeding $100,000 at any tier under a Federal
contract;
(2) A subgrant, contract, or subcontract exceeding $100,000 at any
tier under a Federal grant;
(3) A contract or subcontract exceeding $100,000 at any tier under a
Federal loan exceeding $150,000; or,
(4) A contract or subcontract exceeding $100,000 at any tier under a
Federal cooperative agreement,

shall file a certification, and a disclosure form, if required, to the
next tier above.
(e) All disclosure forms, but not certifications, shall be forwarded
from tier to tier until received by the person referred to in paragraph
(a) or (b) of this section. That person shall forward all disclosure
forms to the agency.
(f) Any certification or disclosure form filed under paragraph (e)
of this section shall be treated as a material representation of fact
upon which all receiving tiers shall rely. All liability arising from an
erroneous representation shall be borne solely by the tier filing that
representation and shall not be shared by any tier to which the
erroneous representation is forwarded. Submitting an erroneous
certification or disclosure constitutes a failure to file the required
certification or disclosure, respectively. If a person fails to file a
required certification or disclosure, the United States may pursue all
available remedies, including those authorized by section 1352, title
31, U.S. Code.
(g) For awards and commitments in process prior to December 23,
1989, but not made before that date, certifications shall be required at
award or commitment, covering activities occurring between December 23,
1989, and the date of award or commitment. However, for awards and
commitments in process prior to the December 23, 1989 effective date of
these provisions, but not made before December 23, 1989, disclosure
forms shall not be required at time of award or commitment but shall be
filed within 30 days.
(h) No reporting is required for an activity paid for with
appropriated funds if that activity is allowable under either subpart B
or C.

Subpart B_Activities by Own Employees

Sec. 1230.200 Agency and legislative liaison.

[[Page 54]]

if the payment is for agency and legislative liaison activities not
directly related to a covered Federal action.
(b) For purposes of paragraph (a) of this section, providing any
information specifically requested by an agency or Congress is allowable
at any time.
(c) For purposes of paragraph (a) of this section, the following
agency and legislative liaison activities are allowable at any time only
where they are not related to a specific solicitation for any covered
Federal action:
(1) Discussing with an agency (including individual demonstrations)
the qualities and characteristics of the person's products or services,
conditions or terms of sale, and service capabilities; and,
(2) Technical discussions and other activities regarding the
application or adaptation of the person's products or services for an
agency's use.
(d) For purposes of paragraph (a) of this section, the following
agencies and legislative liaison activities are allowable only where
they are prior to formal solicitation of any covered Federal action:
(1) Providing any information not specifically requested but
necessary for an agency to make an informed decision about initiation of
a covered Federal action;
(2) Technical discussions regarding the preparation of an
unsolicited proposal prior to its official submission; and,
(3) Capability presentations by persons seeking awards from an
agency pursuant to the provisions of the Small Business Act, as amended
by Pub. L. 95-507 and other subsequent amendments.
(e) Only those activities expressly authorized by this section are
allowable under this section.

Sec. 1230.205 Professional and technical services.

(a) The prohibition on the use of appropriated funds, in Sec.
1230.100 (a), does not apply in the case of a payment of reasonable
compensation made to an officer or employee of a person requesting or
receiving a Federal contract, grant, loan, or cooperative agreement or
an extension, continuation, renewal, amendment, or modification of a
Federal contract, grant, loan, or cooperative agreement if payment is
for professional or technical services rendered directly in the
preparation, submission, or negotiation of any bid, proposal, or
application for that Federal contract, grant, loan, or cooperative
agreement or for meeting requirements imposed by or pursuant to law as a
condition for receiving that Federal contract, grant, loan, or
cooperative agreement.
(b) For purposes of paragraph (a) of this section, ``professional
and technical services'' shall be limited to advice and analysis
directly applying any professional or technical discipline. For example,
drafting of a legal document accompanying a bid or proposal by a lawyer
is allowable. Similarly, technical advice provided by an engineer on the
performance or operational capability of a piece of equipment rendered
directly in the negotiation of a contract is allowable. However,
communications with the intent to influence made by a professional (such
as a licensed lawyer) or a technical person (such as a licensed
accountant) are not allowable under this section unless they provide
advice and analysis directly applying their professional or technical
expertise and unless the advice or analysis is rendered directly and
solely in the preparation, submission or negotiation of a covered
Federal action. Thus, for example, communications with the intent to
influence made by a lawyer that do not provide legal advice or analysis
directly and solely related to the legal aspects of his or her client's
proposal, but generally advocate one proposal over another are not
allowable under this section because the lawyer is not providing
professional legal services. Similarly, communications with the intent
to influence made by an engineer providing an engineering analysis prior
to the preparation or submission of a bid or proposal are not allowable
under this section since the engineer is providing technical services
but not directly in the preparation, submission or negotiation of a
covered Federal action.
(c) Requirements imposed by or pursuant to law as a condition for
receiving a covered Federal award include

[[Page 55]]

those required by law or regulation, or reasonably expected to be
required by law or regulation, and any other requirements in the actual
award documents.
(d) Only those services expressly authorized by this section are
allowable under this section.

Sec. 1230.210 Reporting.

No reporting is required with respect to payments of reasonable
compensation made to regularly employed officers or employees of a
person.

Subpart C_Activities by Other Than Own Employees

Sec. 1230.300 Professional and technical services.

(a) The prohibition on the use of appropriated funds, in Sec.
1230.100 (a), does not apply in the case of any reasonable payment to a
person, other than an officer or employee of a person requesting or
receiving a covered Federal action, if the payment is for professional
or technical services rendered directly in the preparation, submission,
or negotiation of any bid, proposal, or application for that Federal
contract, grant, loan, or cooperative agreement or for meeting
requirements imposed by or pursuant to law as a condition for receiving
that Federal contract, grant, loan, or cooperative agreement.
(b) The reporting requirements in Sec. 1230.110 (a) and (b)
regarding filing a disclosure form by each person, if required, shall
not apply with respect to professional or technical services rendered
directly in the preparation, submission, or negotiation of any
commitment providing for the United States to insure or guarantee a
loan.
(c) For purposes of paragraph (a) of this section, ``professional
and technical services'' shall be limited to advice and analysis
directly applying any professional or technical discipline. For example,
drafting or a legal document accompanying a bid or proposal by a lawyer
is allowable. Similarly, technical advice provided by an engineer on the
performance or operational capability of a piece of equipment rendered
directly in the negotiation of a contract is allowable. However,
communications with the intent to influence made by a professional (such
as a licensed lawyer) or a technical person (such as a licensed
accountant) are not allowable under this section unless they provide
advice and analysis directly applying their professional or technical
expertise and unless the advice or analysis is rendered directly and
solely in the preparation, submission or negotiation of a covered
Federal action. Thus, for example, communications with the intent to
influence made by a lawyer that do not provide legal advice or analysis
directly and solely related to the legal aspects of his or her client's
proposal, but generally advocate one proposal over another are not
allowable under this section because the lawyer is not providing
professional legal services. Similarly, communications with the intent
to influence made by an engineer providing an engineering analysis prior
to the preparation or submission of a bid or proposal are not allowable
under this section since the engineer is providing technical services
but not directly in the preparation, submission or negotiation of a
covered Federal action.
(d) Requirements imposed by or pursuant to law as a condition for
receiving a covered Federal award include those required by law or
regulation, or reasonably expected to be required by law or regulation,
and any other requirements in the actual award documents.
(e) Persons other than officers or employees of a person requesting
or receiving a covered Federal action include consultants and trade
associations.
(f) Only those services expressly authorized by this section are
allowable under this section.

Subpart D_Penalties and Enforcement

Sec. 1230.400 Penalties.

(a) Any person who makes an expenditure prohibited herein shall be
subject to a civil penalty of not less than $24,497 and not more than
$244,957 for each such expenditure.

[[Page 56]]

(b) Any person who fails to file or amend the disclosure form (see
Appendix B) to be filed or amended if required herein, shall be subject
to a civil penalty of not less than $24,497 and not more than $244,957
for each such failure.
(c) A filing or amended filing on or after the date on which an
administrative action for the imposition of a civil penalty is commenced
does not prevent the imposition of such civil penalty for a failure
occurring before that date. An administrative action is commenced with
respect to a failure when an investigating official determines in
writing to commence an investigation of an allegation of such failure.
(d) In determining whether to impose a civil penalty, and the amount
of any such penalty, by reason of a violation by any person, the agency
shall consider the nature, circumstances, extent, and gravity of the
violation, the effect on the ability of such person to continue in
business, any prior violations by such person, the degree of culpability
of such person, the ability of the person to pay the penalty, and such
other matters as may be appropriate.
(e) First offenders under paragraph (a) or (b) of this section shall
be subject to a civil penalty of $24,497, absent aggravating
circumstances. Second and subsequent offenses by persons shall be
subject to an appropriate civil penalty between $24,497 and $244,957, as
determined by the agency head or his or her designee.
(f) An imposition of a civil penalty under this section does not
prevent the United States from seeking any other remedy that may apply
to the same conduct that is the basis for the imposition of such civil
penalty.

[55 FR 6737, 6755, Feb. 26, 1990, as amended at 81 FR 40820, June 23,
2016; 82 FR 1607, Jan. 6, 2017; 83 FR 2075, Jan. 16, 2018; 83 FR 67097,
Dec. 28, 2018; 84 FR 70903, Dec. 26, 2019; 86 FR 13823, Mar. 11, 2021;
87 FR 2729, Jan. 19, 2022; 88 FR 3930, Jan. 23, 2023; 89 FR 5436, Jan.
29, 2024]

Sec. 1230.405 Penalty procedures.

Agencies shall impose and collect civil penalties pursuant to the
provisions of the Program Fraud and Civil Remedies Act, 31 U.S.C.
sections 3803 (except subsection (c)), 3804, 3805, 3806, 3807, 3808, and
3812, insofar as these provisions are not inconsistent with the
requirements herein.

Sec. 1230.410 Enforcement.

The head of each agency shall take such actions as are necessary to
ensure that the provisions herein are vigorously implemented and
enforced in that agency.

Subpart E_Exemptions

Sec. 1230.500 Secretary of Defense.

(a) The Secretary of Defense may exempt, on a case-by-case basis, a
covered Federal action from the prohibition whenever the Secretary
determines, in writing, that such an exemption is in the national
interest. The Secretary shall transmit a copy of each such written
exemption to Congress immediately after making such a determination.
(b) The Department of Defense may issue supplemental regulations to
implement paragraph (a) of this section.

Subpart F_Agency Reports

Sec. 1230.600 Semi-annual compilation.

(a) The head of each agency shall collect and compile the disclosure
reports (see Appendix B) and, on May 31 and November 30 of each year,
submit to the Secretary of the Senate and the Clerk of the House of
Representatives a report containing a compilation of the information
contained in the disclosure reports received during the six-month period
ending on March 31 or September 30, respectively, of that year.
(b) The report, including the compilation, shall be available for
public inspection 30 days after receipt of the report by the Secretary
and the Clerk.
(c) Information that involves intelligence matters shall be reported
only to the Select Committee on Intelligence of the Senate, the
Permanent Select Committee on Intelligence of the House of
Representatives, and the Committees on Appropriations of the Senate and
the House of Representatives in accordance with procedures

[[Page 57]]

agreed to by such committees. Such information shall not be available
for public inspection.
(d) Information that is classified under Executive Order 12356 or
any successor order shall be reported only to the Committee on Foreign
Relations of the Senate and the Committee on Foreign Affairs of the
House of Representatives or the Committees on Armed Services of the
Senate and the House of Representatives (whichever such committees have
jurisdiction of matters involving such information) and to the
Committees on Appropriations of the Senate and the House of
Representatives in accordance with procedures agreed to by such
committees. Such information shall not be available for public
inspection.
(e) The first semi-annual compilation shall be submitted on May 31,
1990, and shall contain a compilation of the disclosure reports received
from December 23, 1989 to March 31, 1990.
(f) Major agencies, designated by the Office of Management and
Budget (OMB), are required to provide machine-readable compilations to
the Secretary of the Senate and the Clerk of the House of
Representatives no later than with the compilations due on May 31, 1991.
OMB shall provide detailed specifications in a memorandum to these
agencies.
(g) Non-major agencies are requested to provide machine-readable
compilations to the Secretary of the Senate and the Clerk of the House
of Representatives.
(h) Agencies shall keep the originals of all disclosure reports in
the official files of the agency.

Sec. 1230.605 Inspector General report.

(a) The Inspector General, or other official as specified in
paragraph (b) of this section, of each agency shall prepare and submit
to Congress each year, commencing with submission of the President's
Budget in 1991, an evaluation of the compliance of that agency with, and
the effectiveness of, the requirements herein. The evaluation may
include any recommended changes that may be necessary to strengthen or
improve the requirements.
(b) In the case of an agency that does not have an Inspector
General, the agency official comparable to an Inspector General shall
prepare and submit the annual report, or, if there is no such comparable
official, the head of the agency shall prepare and submit the annual
report.
(c) The annual report shall be submitted at the same time the agency
submits its annual budget justifications to Congress.
(d) The annual report shall include the following: All alleged
violations relating to the agency's covered Federal actions during the
year covered by the report, the actions taken by the head of the agency
in the year covered by the report with respect to those alleged
violations and alleged violations in previous years, and the amounts of
civil penalties imposed by the agency in the year covered by the report.

Sec. Appendix A to Part 1230--Certification Regarding Lobbying

Certification for Contracts, Grants, Loans, and Cooperative Agreements

The undersigned certifies, to the best of his or her knowledge and
belief, that:
(1) No Federal appropriated funds have been paid or will be paid, by
or on behalf of the undersigned, to any person for influencing or
attempting to influence an officer or employee of an agency, a Member of
Congress, an officer or employee of Congress, or an employee of a Member
of Congress in connection with the awarding of any Federal contract, the
making of any Federal grant, the making of any Federal loan, the
entering into of any cooperative agreement, and the extension,
continuation, renewal, amendment, or modification of any Federal
contract, grant, loan, or cooperative agreement.
(2) If any funds other than Federal appropriated funds have been
paid or will be paid to any person for influencing or attempting to
influence an officer or employee of any agency, a Member of Congress, an
officer or employee of Congress, or an employee of a Member of Congress
in connection with this Federal contract, grant, loan, or cooperative
agreement, the undersigned shall complete and submit Standard Form-LLL,
``Disclosure Form to Report Lobbying,'' in accordance with its
instructions.
(3) The undersigned shall require that the language of this
certification be included in the award documents for all subawards at
all tiers (including subcontracts, subgrants, and contracts under
grants, loans, and cooperative agreements) and that all subrecipients
shall certify and disclose accordingly.

This certification is a material representation of fact upon which
reliance was placed

[[Page 58]]

when this transaction was made or entered into. Submission of this
certification is a prerequisite for making or entering into this
transaction imposed by section 1352, title 31, U.S. Code. Any person who
fails to file the required certification shall be subject to a civil
penalty of not less than $24,497 and not more than $244,957 for each
such failure.

Statement for Loan Guarantees and Loan Insurance

The undersigned states, to the best of his or her knowledge and
belief, that:
If any funds have been paid or will be paid to any person for
influencing or attempting to influence an officer or employee of any
agency, a Member of Congress, an officer or employee of Congress, or an
employee of a Member of Congress in connection with this commitment
providing for the United States to insure or guarantee a loan, the
undersigned shall complete and submit Standard Form-LLL, ``Disclosure
Form to Report Lobbying,'' in accordance with its instructions.
Submission of this statement is a prerequisite for making or
entering into this transaction imposed by section 1352, title 31, U.S.
Code. Any person who fails to file the required statement shall be
subject to a civil penalty of not less than $24,497 and not more than
$244,957 for each such failure.

[[Page 59]]

Sec. Appendix B to Part 1230--Disclosure Form To Report Lobbying
[GRAPHIC] [TIFF OMITTED] TR24OC02.007

[[Page 60]]

[GRAPHIC] [TIFF OMITTED] TR24OC02.008

[[Page 61]]

[GRAPHIC] [TIFF OMITTED] TR24OC02.009

[[Page 62]]

PART 1232_NONDISCRIMINATION ON BASIS OF HANDICAP
IN PROGRAMS OR ACTIVITIES RECEIVING FEDERAL FINANCIAL ASSISTANCE
--Table of Contents

Subpart A_General Provisions

Sec.
1232.1 Purpose.
1232.2 Application.
1232.3 Definitions.
1232.4 General prohibitions against discrimination.
1232.5 Assurances required.
1232.6 Notice.
1232.7 Remedial action, voluntary action and self-evaluation.
1232.8 Effect of state or local law.

Subpart B_Employment and Volunteer Service Practices

1232.9 General prohibitions against employment and volunteer service
discrimination.
1232.10 Reasonable accommodation.
1232.11 Employment and volunteer selection criteria.
1232.12 Preemployment or pre-selection inquiries.

Subpart C_Accessibility

1232.13 General requirement concerning accessibility.
1232.14 Existing facilities.
1232.15 New construction.

Subpart D_Procedures

1232.16 Procedures.

Authority: 29 U.S.C. 794.

Source: 44 FR 31018, May 30, 1979, unless otherwise noted.

Subpart A_General Provisions

Sec. 1232.1 Purpose.

The purpose of this part is to effectuate section 504 of the
Rehabilitation Act of 1973, which is designed to eliminate
discrimination on the basis of handicap in any program or activity
receiving Federal financial assistance.

Sec. 1232.2 Application.

This part applies to each recipient of Federal financial assistance
from ACTION and to each program or activity that receives such
assistance, including, but not limited to VISTA, University Year for
ACTION (UYA), Senior Companion Program (SCP), Foster Grandparent Program
(FGP) and Retired Senior Volunteer Program (RSVP). This part does not
apply to recipients outside the United States which receive financial
assistance under the Peace Corps Act, 22 U.S.C. 2501, Pub. L. 87-293, as
amended.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.3 Definitions.

As used in this part the term:
(a) The Act means the Rehabilitation Act of 1973. Pub. L. 93-112, as
amended by the Rehabilitation Act Amendments of 1974, Pub. L. 93-516,
and the Rehabilitation Act Amendments of 1978, Pub. L. 95-602.
(b) Section 504 means section 504 of the Act.
(c) Director means the Director of ACTION.
(d) Recipient means any state or its political subdivision, any
instrumentality of a state or its political subdivision, any public or
private agency, institution, organization, or other entity, or any
person to which Federal financial assistance is extended directly or
through another recipient, including any successor, assignee, or
transferee of a recipient, but excluding the ultimate beneficiary of the
assistance.
(e) Applicant for assistance means one who submits an application,
request, or plan required to be approved by an ACTION official or by a
recipient as a condition to becoming a recipient.
(f) Federal financial assistance means any grant, loan, contract
(other than a procurement contract or a contract of insurance or
guaranty), or any other arrangement which provides or otherwise makes
available assistance in the form of:
(1) Funds;
(2) Services of Federal personnel;
(3) Real and personal property or any interest in or use of such
property, including:
(i) Transfers or leases of such property for less than fair market
value or for reduced consideration; and
(ii) Proceeds from a subsequent transfer or lease of such property
if the Federal share of its fair market value

[[Page 63]]

is not returned to the Federal Government.
(4) A Federal agreement, arrangement or other contract which has as
one of its purposes the provision of assistance, including the provision
of volunteers under the Domestic Volunteer Service Act of 1973, 42
U.S.C. 4951, Pub. L. 93-113, as amended.
(g) Facility means all or any portion of buildings, structures,
equipment, roads, walks, parking lots, or other real or personal
property or interest in such property.
(h) Handicapped person.
(1) Handicapped person means any person who has a physical or mental
impairment that substantially limits one or more major life activities,
has a record of such an impairment, or is regarded as having such an
impairment, except that as it relates to employment or volunteer service
the term ``handicapped person'' does not include any individual who is
an alcoholic or drug abuser whose current use of alcohol or drugs
prevents such individual from performing the duties of the job in
question or whose employment or volunteer service, by reason of such
current alcohol or drug abuse, would constitute a direct threat to
property or the safety of others.
(2) As used in paragraph (h)(1) of this section, the phrase:
(i) Physical or mental impairment means (A) any physiological
disorder or condition, cosmetic disfigurement, or anatomical loss
affecting one or more of the following body systems: Neurological;
musculoskeletal; special sense organs; respiratory, including speech
organs; cardiovascular; reproductive; digestive; genitourinary; hemic
and lymphatic; skin; and endocrine; or (B) any mental or psychological
disorder, such as mental retardation, organic brain syndrome, emotional
or mental illness, and specific learning disabilities. The term
``physical or mental impairment'' includes, but is not limited to, such
diseases and conditions as orthopedic, visual, speech, and hearing
impairments, cerebral palsy, epilepsy, muscular dystrophy, multiple
sclerosis, cancer, heart disease, diabetes, mental retardation,
emotional illness, drug addiction and alcoholism.
(ii) Major life activities means functions such as caring for one's
self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(iii) Has a record of such an impairment means has a history of, or
has been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(iv) Is regarded as having an impairment means (A) has a physical or
mental impairment that does not substantially limit major life
activities but is treated by a recipient as constituting such a
limitation; (B) has a physical or mental impairment that substantially
limits major life activities only as a result of the attitudes of others
toward such impairment; or (C) has none of the impairments defined in
paragraph (h)(2)(i) of this section but is treated by a recipient as
having such an impairment.
(i) Qualified handicapped person means (1) with respect to
employment or volunteer service, a handicapped person who, with
reasonable accommodation, can perform the essential functions of the job
or assignment in question; and (2) with respect to services, a
handicapped person who meets the essential eligibility requirements for
the receipt of such services.
(j) Handicap means any condition or characteristic that renders a
person a handicapped person as defined in paragraph (h) of this section.
(k) Volunteer and ``Volunteer service'' refers to any person serving
as a full time or part-time volunteer as authorized under the Domestic
Volunteer Service Act of 1973, Pub. L. 93-113, as amended.
(l) Work station means any public or private agency, institution,
organization or other entity to which volunteers are assigned by a
recipient.
(m) Program or activity means all of the operations of any entity
described in paragraphs (m)(1) through (4) of this section, any part of
which is extended Federal financial assistance:
(1)(i) A department, agency, special purpose district, or other
instrumentality of a State or of a local government; or

[[Page 64]]

(ii) The entity of such State or local government that distributes
such assistance and each such department or agency (and each other State
or local government entity) to which the assistance is extended, in the
case of assistance to a State or local government;
(2)(i) A college, university, or other postsecondary institution, or
a public system of higher education; or
(ii) A local educational agency (as defined in 20 U.S.C. 7801),
system of vocational education, or other school system;
(3)(i) An entire corporation, partnership, or other private
organization, or an entire sole proprietorship--
(A) If assistance is extended to such corporation, partnership,
private organization, or sole proprietorship as a whole; or
(B) Which is principally engaged in the business of providing
education, health care, housing, social services, or parks and
recreation; or
(ii) The entire plant or other comparable, geographically separate
facility to which Federal financial assistance is extended, in the case
of any other corporation, partnership, private organization, or sole
proprietorship; or
(4) Any other entity which is established by two or more of the
entities described in paragraph (m)(1), (2), or (3) of this section.

(Sec. 504, Rehabilitation Act of 1973, Pub. L. 93-112, 87 Stat. 394 (29
U.S.C. 794), sec. 111(a), Rehabilitation Act Amendments of 1974, Pub. L.
93-516, 88 Stat. 1619 (29 U.S.C. 706); Rehabilitation Act Amendments of
1978, Pub. L. 95-602, 92 Stat. 2955; Sec. 402(14), Pub. L. 93-113, 87
Stat. 398)

[44 FR 31018, May 30, 1979; 46 FR 6951, Jan. 22, 1981, as amended at 68
FR 51388, Aug. 26, 2003]

Sec. 1232.4 General prohibitions against discrimination.

(a) No qualified handicapped person, shall, on the basis of
handicap, be excluded from participation in, be denied the benefits of,
or otherwise be subjected to discrimination under any program or
activity to which this part applies.
(b)(1) A recipient, in providing any aid, benefit, or service, may
not, directly or through contractual, licensing, or other arrangements,
on the basis of handicap:
(i) Deny a qualified handicapped person the opportunity to
participate in or benefit from the aid, benefit, or service;
(ii) Afford a qualified handicapped person an opportunity to
participate in or benefit from the aid, benefit, or service that is not
equal to that afforded others;
(iii) Provide a qualified handicapped person with an aid, benefit,
or service that is not as effective in affording equal opportunity to
obtain the same result, to gain the same benefit, or to reach the same
level of achievement as that provided to others;
(iv) Provide different or separate aid, benefits, or services to
handicapped persons or to any class of handicapped persons than is
provided to others unless such action is necessary to provide qualified
handicapped persons with aid, benefits, or services that are as
effective as those provided to others;
(v) Aid or perpetuate discrimination against a qualified handicapped
person by providing significant assistance to an agency, organization,
or person that discriminates on the basis of handicap in providing any
aid, benefit, or service to beneficiaries of the recipient's program or
activity;
(vi) Deny a qualified handicapped person the opportunity to
participate as a member of planning or advisory boards; or
(vii) Otherwise limit a qualified handicapped person in the
enjoyment of any right, privilege, advantage, or opportunity enjoyed by
others receiving the aid, benefit, or service.
(2) A recipient may not deny a qualified handicapped person the
opportunity to participate in aid, benefits, or services that are not
separate or different, despite the existence of permissibly separate or
different programs or activities.
(3) A recipient may not, directly or through contractual or other
arrangements, utilize criteria or methods of administration:
(i) That have the effect of subjecting qualified handicapped persons
to discrimination on the basis of handicap,
(ii) That have the purpose or effect of defeating or substantially
impairing

[[Page 65]]

accomplishment of the objectives of the recipient's program or activity
with respect to handicapped persons, or
(iii) That perpetuate the discrimination of another recipient if
both recipients are subject to common administrative control or are
agencies of the same state.
(4) A recipient may not, in determining the site or location of a
facility, make selections:
(i) That have the effect of excluding handicapped persons from,
denying them the benefits of, or otherwise subjecting them to
discrimination under any program or activity that receives federal
financial assistance or
(ii) That have the purpose or effect of defeating or substantially
impairing the accomplishment of the objectives of the program or
activity with respect to handicapped persons.
(c) The exclusion of nonhandicapped persons from aid, benefits, or
services limited by federal statute or executive order to handicapped
persons or the exclusion of a specific class of handicapped persons from
aid, benefits, or services limited by federal statute or executive order
to a different class of handicapped persons is not prohibited by this
part.
(d) Recipients shall administer programs or activities in the most
integrated setting appropriate to the needs of qualified handicapped
persons.
(e) Recipients shall take appropriate steps to ensure that
communications with their applicants, employees, volunteers and
beneficiaries are available to persons with impaired vision and hearing.
(f) Recipients shall take appropriate steps to insure that no
handicapped individual is denied the benefits of, excluded from
participation in, or otherwise subjected to discrimination in any
program or activity receiving Federal financial assistance from ACTION
because of the absence of auxiliary aids for individuals with impaired
sensory, manual, or speaking skills.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.5 Assurances required.

(a) An applicant for Federal financial assistance to which this part
applies shall submit an assurance, on a form specified by the Director,
that the program or activity will be operated in compliance with this
part. An applicant may incorporate these assurances by reference in
subsequent applications to ACTION. The assurance will obligate the
recipient for the period during which Federal financial assistance is
extended.
(b) In the case of Federal financial assistance extended to provide
personal property, the assurance will obligate the recipient for the
period during which it retains ownership or possession of the property.
(c) A recipient operating a program or activity under which
volunteers are assigned to a number of work stations shall obtain an
assurance from each work station that neither volunteers nor the
beneficiaries they serve will be discriminated against on the basis of
handicap.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.6 Notice.

Recipients shall take appropriate initial and continuing steps to
notify participants, beneficiaries, applicants, volunteers and
employees, including those with impaired vision or hearing, that it does
not discriminate on the basis of handicap in violation of section 504
and this part.

Sec. 1232.7 Remedial action, voluntary action and self-evaluation.

(a) Remedial action. (1) If the Director finds that a recipient has
discriminated against persons on the basis of handicap in violation of
section 504 or this part, the recipient shall take such remedial action
as the Director deems necessary to overcome the effects of the
discrimination.
(2) Where a recipient is found to have discriminated against persons
on the basis of handicap in violation of section 504 or this part and
where another recipient exercises control over the recipient that has
discriminated, the Director, where appropriate, may require either or
both recipients to take remedial action.
(3) The Director may, where necessary to overcome the effects of
discrimination in violation of section 504

[[Page 66]]

or this part, require a recipient to take remedial action:
(i) With respect to handicapped persons who are no longer
participants in the recipient's program or activity but who were
participants in the program or activity when such discrimination
occurred or
(ii) With respect to handicapped persons who would have been
participants in the program or activity had the discrimination not
occurred, or
(iii) With respect to handicapped persons presently in the program
or activity, but not receiving full benefits or equal and integrated
treatment within the program or activity.
(b) Voluntary action. Recipient may take steps, in addition to any
action that is required by this part, to overcome the effects of
conditions that resulted in limited participation in the recipient's
program or activity by qualified handicapped persons.
(c) Self-evaluation. (1) Each recipient shall, within one year of
the effective date of this part, conduct a self-evaluation of its
compliance with Section 504, with the assistance of interested persons,
including handicapped persons or organizations representing handicapped
persons. Each recipient shall with the assistance of and consultation
with interested persons, including handicapped persons, evaluate its
current policies, practices and effects thereof; modify any that do not
meet the requirements of this part; and take appropriate remedial steps
to eliminate the effects of any discrimination that resulted from
adherence to these policies and practices.
(2) A recipient that employs fifteen or more persons shall, for at
least three years following completion of the evaluation required under
paragraph (c)(1) of this section, maintain on file, make available for
public inspection, and provide to the Director upon request: (i) A list
of the interested persons consulted,
(ii) A description of areas examined and any problems identified,
and
(iii) A description of any modifications made and of any remedial
steps taken.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.8 Effect of state or local law.

The obligation to comply with this part is not obviated or
alleviated by the existence of any state or local law or other
requirement that, on the basis of handicap, imposes prohibitions or
limits upon the eligibility of qualified handicapped persons to receive
services or to practice any occupation or profession.

Subpart B_Employment and Volunteer Service Practices

Sec. 1232.9 General prohibitions against employment and volunteer
service discrimination.

(a) No qualified handicapped person shall, on the basis of handicap,
be subjected to discrimination in employment or volunteer service under
any program or activity that receives federal financial assistance.
(b) A recipient shall make all decisions concerning employment or
volunteer service under any program or activity to which this part
applies in a manner which ensures that discrimination on the basis of
handicap does not occur and may not limit, segregate, or classify
applicants or employees or volunteers in any way that adversely affects
their opportunities or status because of handicap.
(c) The prohibition against discrimination in employment and
volunteer service applies to the following activities:
(1) Recruitment, advertising, and the processing of applications for
employment or volunteer service;
(2) Hiring, upgrading, promotion, award of tenure, demotion,
transfer, layoff, termination, right of return from layoff, and
rehiring;
(3) Rates of pay or any other form of compensation and changes in
compensation;
(4) Job assignments, job classifications, organizational structures,
position descriptions, lines of progression, and seniority lists;
(5) Leaves of absence, sick leave, or any other leave;
(6) Fringe benefits available by virtue of employment or volunteer
service, whether or not administered by the recipient;

[[Page 67]]

(7) Selection and financial support for training, including
apprenticeship, professional meetings, conferences, and other related
activities, and selection for leaves of absence to pursue training;
(8) Employer sponsored activities, including those that are social
or recreational; and
(9) Any other term, condition, or privilege of employment or
volunteer service.
(d) A recipient may not participate in a contractural or other
relationship that has the effect of subjecting qualified handicapped
applicants, volunteers or employees, to discrimination prohibited by
this subpart. The relationships referred to in this paragraph include
relationships with employment and referral agencies, with labor unions,
with organizations providing or administering fringe benefits to
employees of the recipient, and with organizations providing training
and apprenticeships.
(e) A recipient's obligation to comply with this subpart is not
affected by any inconsistent term of any collective bargaining agreement
to which it is a party.
(f) Recipients operating a program or activity under which
volunteers are assigned to work in a number of work stations will assure
that a representative sample of work stations are accessible to
handicapped persons.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.10 Reasonable accommodation.

(a) A recipient shall make reasonable accommodation to the known
physical or mental limitations of an otherwise qualified handicapped
applicant, employee or volunteer unless the recipient can demonstrate
that the accommodation would impose an undue hardship on the operation
of its program or activity.
(b) Reasonable accommodation may include: (1) Making facilities used
by employees or volunteers readily accessible to and usable by
handicapped persons, and
(2) Job restructuring, part-time or modified work schedules,
acquisition or modification of equipment or devices, the provision of
readers or interpreters, and other similar actions.
(c) In determining pursuant to paragraph (a) of this section whether
an accommodation would impose an undue hardship on the operation of a
recipient's program or activity, factors to be considered include:
(1) The overall size of the recipient's program or activity with
respect to number of employees or volunteers, number and type of
facilities, and size of budget;
(2) The type of the recipient's operation, including the composition
and structure of the recipient's workforce or volunteer force, and
(3) The nature and cost of the accommodation needed.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.11 Employment and volunteer selection criteria.

A recipient may not use employment tests or criteria that
discriminate against handicapped persons and shall ensure that
employment tests are adapted for use by persons who have handicaps that
impair sensory, manual, or speaking skills.

Sec. 1232.12 Preemployment or pre-selection inquiries.

(a) Except as provided in paragraphs (b) and (c) of this section, a
recipient may not conduct a preemployment medical examination or not
make pre-employment inquiry of an applicant as to whether the applicant
is a handicapped person or as to the nature of severity of a handicap. A
recipient may, however, make preemployment inquiry into an applicant's
ability to perform job-related functions. For the purpose of this
paragraph, ``pre-employment'' as applied to applicants for volunteer
positions means prior to selection as a volunteer.
(b) When a recipient is taking remedial action to correct the
effects of past discrimination pursuant to Sec. 1232.8(a), when a
recipient is taking voluntary action to overcome the effects of
conditions that resulted in limited participation in its federally
assisted program or activity pursuant to Sec. 1232.8(b) or when a
recipient is taking affirmative action pursuant to section

[[Page 68]]

503 of the Act, the recipient may invite applicants for employment or
volunteer service to indicate whether and to what extent they are
handicapped: Provided, That:
(1) The recipient states clearly on any written questionnaire used
for this purpose or makes clear orally if no written questionnaire is
used that the information requested is intended for use solely in
connection with its remedial action obligations or its voluntary or
affirmative action efforts; and
(2) The recipient states clearly that the information is being
requested on a voluntary basis, that it will be kept confidential as
provided in paragraph (d) of this section, that refusal to provide it
will not subject the applicant or employee to any adverse treatment, and
that it will be used only in accordance with this part.
(c) Nothing in this section shall prohibit a recipient from
conditioning an offer of employment or volunteer service on the results
of a medical examination conducted prior to the volunteer or employee's
entrance on duty. Provided, That:
(1) All entering volunteers or employees are subjected to such an
examination regardless of handicap, and
(2) The results of such an examination are used only in accordance
with the requirements of this part.
(d) Information obtained in accordance with this section as to the
medical condition or history of the applicant shall be collected and
maintained on separate forms that shall be accorded confidentiality as
medical records, except that:
(1) Supervisors and managers may be informed regarding restrictions
on the work or duties of handicapped persons and regarding necessary
accommodations;
(2) First aid and safety personnel may be informed, where
appropriate, if the condition might require emergency treatment; and
(3) Government officers investigating compliance with the Act shall
be provided relevant information upon request.

Subpart C_Accessibility

Sec. 1232.13 General requirement concerning accessibility.

No qualified handicapped person shall, because a recipient's
facilities are inaccessible to or unusable by handicapped persons, be
denied the benefits of, be excluded from participation in, or otherwise
be subjected to discrimination under any program or activity that
receives or benefits from federal financial assistance.

[44 FR 31018, May 30, 1979]

Sec. 1232.14 Existing facilities.

(a) A recipient shall operate each program or activity to which this
part applies so that when each part is viewed in its entirety it is
readily accessible and usable by handicapped persons. This paragraph
does not require a recipient to make each of its existing facilities or
every part of a facility accessible to and usable by handicapped
persons.
(b) A recipient is not required to make structural changes in
existing facilities where other methods are effective in achieving
compliance with this section. Where structural changes are necessary to
comply with paragraph (a) of this section, such changes shall be made as
soon as practicable, but in no event later than three years after the
effective date of the regulation.
(c) In the event that structural changes to facilities are necessary
to meet the requirement of paragraph (a) of this section, a recipient
shall develop, within six months of the effective date of this part, a
transition plan which sets forth in detail the steps necessary to
complete the changes, and a schedule for taking those steps. The plan
shall be developed with the assistance of interested persons, including
handicapped persons or organizations representing handicapped persons. A
copy of the plan shall be made available for public inspection.

[44 FR 31018, May 30, 1979, as amended at 68 FR 51388, Aug. 26, 2003]

Sec. 1232.15 New construction.

(a) Design, construction, and alteration. New facilities shall be
designed and constructed to be readily accessible to

[[Page 69]]

and usable by handicapped persons. construction shall be considered new
if ground breaking takes place after the effective date of the
regulation. Alterations to existing facilities shall, to the maximum
extent feasible, be designed and constructed to be readily accessible to
and usable by handicapped persons.
(b) Conformance with Uniform Federal Accessibility Standards. (1)
Effective as of January 18, 1991, design, construction, or alteration of
buildings in conformance with sections 3-8 of the Uniform Federal
Accessibility Standards (USAF) (appendix A to 41 CFR subpart 101-19.6)
shall be deemed to comply with the requirements of this section with
respect to those buildings. Departures from particular technical and
scoping requirements of UFAS by the use of other methods are permitted
where substantially equivalent or greater access to and usability of the
building is provided.
(2) For purposes of this section, section 4.1.6(1)(g) of UFAS shall
be interpreted to exempt from the requirements of UFAS only mechanical
rooms and other spaces that, because of their intended use, will not
require accessibility to the public or beneficiaries or result in the
employment or residence therein of persons with physical handicaps.
(3) This section does not require recipients to make building
alterations that have little likelihood of being accomplished without
removing or altering a load-bearing structural member.

[44 FR 31018, May 30, 1979, as amended at 55 FR 52138, 52142, Dec. 19,
1990]

Subpart D_Procedures

Sec. 1232.16 Procedures.

The procedural provisions applicable to title VI of the Civil Rights
Act of 1964 apply to this part. These procedures are found in Sec. Sec.
1203.6 through 1203.11 of this title.

PART 1233_INTERGOVERNMENTAL REVIEW OF ACTION PROGRAMS--Table of Contents

Sec.
1233.1 What is the purpose of these regulations?
1233.2 What definitions apply to these regulations?
1233.3 What programs of the Agency are subject to these regulations?
1233.4 [Reserved]
1233.5 What is the Director's obligation with respect to federal
interagency coordination?
1233.6 What procedures apply to the selection of programs under these
regulations?
1233.7 How does the Director communicate with state and local officials
concerning the Agency's programs?
1233.8 How does the Director provide states an opportunity to comment on
proposed federal financial assistance?
1233.9 How does the Director receive and respond to comments?
1233.10 How does the Director make efforts to accommodate
intergovernmental concerns?
1233.11-1233.12 [Reserved]
1233.13 May the Director waive any provision of these regulations?

Authority: E.O. 12372, July 14, 1982 (47 FR 30959), as amended April
8, 1983 (48 FR 15887); sec. 401 of the Intergovernmental Cooperation Act
of 1968, as amended (31 U.S.C. 6505).

Source: 48 FR 29284, June 24, 1983, unless otherwise noted.

Sec. 1233.1 What is the purpose of these regulations?

(a) The regulations in this part implement Executive Order 12372,
``Intergovernmental Review of Federal Programs,'' issued July 14, 1982,
and amended on April 8, 1983. These regulations also implement
applicable provisions of section 401 of the Intergovernmental
Cooperation Act of 1968.
(b) These regulations are intended to foster an intergovernmental
partnership and a strengthened Federalism by relying on state processes
and on state, areawide, regional and local coordination for review of
proposed federal financial assistance.
(c) These regulations are intended to aid the internal management of
the Agency, and are not intended to create any right or benefit
enforceable at law by a party against the Agency or its officers.

Sec. 1233.2 What definitions apply to these regulations?

Agency means ACTION, the National Volunteer Agency.
Order means Executive Order 12372, issued July 14, 1982, and amended
April

[[Page 70]]

8, 1983 and titled ``Intergovernmental Review of Federal Programs.''
Director means the Director of ACTION, or an official or employee of
the Agency acting for the Director under a delegation of authority.
State means any of the 50 states, the District of Columbia, the
Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana
Islands, Guam, American Samoa, the U.S. Virgin Islands, or the Trust
Territory of the Pacific Islands.

Sec. 1233.3 What programs of the Agency are subject to these regulations?

The Director publishes in the Federal Register a list of the
Agency's programs that are subject to these regulations.

Sec. 1233.4 [Reserved]

Sec. 1233.5 What is the Director's obligation with respect
to federal interagency coordination?

The Director, to the extent practicable, consults with and seeks
advice from all other substantially affected federal departments and
agencies in an effort to assure full coordination between such agencies
and ACTION regarding programs covered under these regulations.

Sec. 1233.6 What procedures apply to the selection of
programs under these regulations?

(a) A state may select any ACTION program published in the Federal
Register in accordance with Sec. 1233.3 of this part for
intergovernmental review under these regulations. Each state, before
selecting programs and activities, shall consult with local elected
officials.
(b) Each state that adopts a process shall notify the Director of
the Agency's programs selected for that process.
(c) A state may notify the Director of changes in its selections at
any time. For each change, the state shall submit to the Director an
assurance that the state has consulted with local elected officials
regarding the change. The Agency may establish deadlines by which states
are required to inform the Director of changes in their program
selections.
(d) The Director uses a state's process as soon as feasible,
depending on individual programs, after the Director is notified of its
selections.

Sec. 1233.7 How does the Director communicate with state and local
officials concerning the Agency's programs?

(a) The Director provides opportunities for consultation by elected
officials of those state and local governments that would provide the
nonfederal funds for, or that would be directly affected by, proposed
federal financial assistance from the Agency. For those programs covered
by a state process under Sec. 1233.6, the Director, to the extent
permitted by law:
(1) Uses the official state process to determine views of state and
local elected officials; and,
(2) Communicates with state and local elected officials, through the
official state process, as early in a program planning cycle as is
reasonably feasible to explain specific plans and actions.
(b) The Director provides notice to directly affected state,
areawide, regional, and local entities in a state of proposed federal
financial assistance if:
(1) The state has not adopted a process under the Order; or
(2) The assistance involves a program not selected for the state
process.

This notice may be made by publication in the Federal Register, or other
appropriate means, which the Agency in its discretion deems appropriate.

Sec. 1233.8 How does the Director provide states an opportunity
to comment on proposed federal financial assistance?

(a) Except in unusual circumstances, the Director gives state
processes or directly affected state, areawide, regional and local
officials and entities:
(1) At least 30 days from the date established by the Director to
comment on proposed federal financial assistance in the form of
noncompeting continuation awards; and
(2) At least 60 days from the date established by the Director to
comment on proposed federal financial assistance other than noncompeting
continuation awards.

[[Page 71]]

(b) This section also applies to comments in cases in which the
review, coordination, and communication with the Agency have been
delegated.

Sec. 1233.9 How does the Director receive and respond to comments?

(a) The Director follows the procedures in Sec. 1233.10 if:
(1) A state office or official is designated to act as a single
point of contact between a state process and all federal agencies, and
(2) That office or official transmits a state process recommendation
for a program selected under Sec. 1233.6.
(b)(1) The single point of contact is not obligated to transmit
comments from state, areawide, regional or local officials and entities
where there is no state process recommendation.
(2) If a state process recommendation is transmitted by a single
point of contact, all comments from state, areawide, regional, and local
officials and entities that differ from it must also be transmitted.
(c) If a state has not established a process, or is unable to submit
a state process recommendation, state, areawide, regional and local
officials and entities may submit comments either to the applicant or to
the Agency, or both.
(d) If a program is not selected for a state process, state,
areawide, regional and local officials and entities may submit comments
either to the applicant or to the Agency, or both. In addition, if a
state process recommendation for a nonselected program is transmitted to
the Agency by the single point of contact, the Director follows the
prodecures of Sec. 1233.10 of this part.
(e) The Director considers comments which do not constitute a state
process recommendation submitted under these regulations and for which
the Director is not required to apply the procedures of Sec. 1233.10 of
this part, when such comments are provided by a single point of contact,
by the applicant, or directly to the Agency by a commenting party.

Sec. 1233.10 How does the Director make efforts to accommodate
intergovernmental concerns?

(a) If a state process provides a state process recommendation to
the Agency through its single point of contact, the Director either:
(1) Accepts the recommendation;
(2) Reaches a mutually agreeable solution with the state process; or
(3) Provides the single point of contact with a written explanation
of the Agency's decision, in such form as the Director in his or her
discretion deems appropriate. The Director may also supplement the
written explanation by providing the explanation to the single point of
contact by telephone, other telecommunication, or other means.
(b) In any explanation under paragraph (a)(3) of this section, the
Director informs the single point of contact that:
(1) The Agency will not implement its decision for at least ten days
after the single point of contact receives the explanation; or
(2) The Director has reviewed the decision and determined that,
because of unusual circumstances, the waiting period of at least ten
days is not feasible.
(c) For purpose of computing the waiting period under paragraph
(b)(1) of this section, a single point of contact is presumed to have
received written notification 5 days after the date of mailing of such
notification.

Sec. Sec. 1233.11-1233.12 [Reserved]

Sec. 1233.13 May the Director waive any provision of these regulations?

In an emergency, the Director may waive any provision of these
regulations.

PART 1235_LOCALLY GENERATED CONTRIBUTIONS
IN OLDER AMERICAN VOLUNTEER PROGRAMS--Table of Contents

Sec.
1235.1 Definitions.
1235.2 Implementation guidance.
1235.3 Statement of policy.

Authority: 42 U.S.C. 5024; 42 U.S.C. 5060.

Source: 56 FR 4732, Feb. 6, 1991, unless otherwise noted.

[[Page 72]]

Sec. 1235.1 Definitions.

As used in this part and in section 224 of the Domestic Volunteer
Service Act of 1973, as amended, the following definitions shall apply:
(a) Director means the Director of ACTION.
(b) Locally Generated Contributions means all contributions
generated by the grantee in support of the grant, including non-ACTION
Federal, State, local government and privately raised contributions.
(c) Amount Required by the Director means the proportion of the non-
Federal contribution (including in-kind contributions) for a grant or
contract made under the Domestic Volunteer Service Act of 1973, as
amended, required by the Director in order to receive ACTION funds. This
proportion is generally 10% for the Foster Grandparent Program/Senior
Companion Program (FGP/SCP) and generally 10%, 20% and 30% for the
Retired Senior Volunteer Program (RSVP) in the first, second, and
subsequent years respectively. The ``amount required by the Director''
is also called the ``local match.''
(d) In Excess of the Amount Required by the Director means of the
total locally generated contributions, the amount over and above the
percentage match (generally 10% for FGP/SCP and 10%, 20% and 30% for
RSVP in the first, second, and subsequent years respectively) required
by the Director of ACTION to be raised from non-ACTION sources to
support the grant.
(e) Inconsistent with the Provisions of This Act means expenditures
not in support of ACTION programs, as defined by the Domestic Volunteer
Service Act of 1973, as amended. For example:
(1) Inconsistency with the age threshold for volunteers for all
Older American Volunteer Programs (OAVP);
(2) Inconsistency with the low income test for the FGP and SCP
programs;
(3) Variations from the approved stipend levels for the FGP and SCP
programs;
(4) Inconsistency with the prohibition against political activity
under all the OAVP programs; and/or
(5) Unreasonable cost for a low-cost volunteer program.

Sec. 1235.2 Implementation guidance.

ACTION's implementation of section 224 of the DVSA is based on
fundamental principles regarding the Congressional intent of the Section
as well as the Executive Branch's policy on Federal financial assistance
to grantees. These principles include:
(a) That ACTION may not restrict grantees' use of excess
contributions as long as those expenditures are ``not inconsistent''
with the Domestic Volunteer Service Act of 1973, as amended;
(b) That grantees are to fully account for and document expenditures
of non-Federal contributions, regardless of whether they are used to
meet ACTION's local match requirement or are in excess of the
requirement; and

[56 FR 4732, Feb. 6, 1991, as amended at 79 FR 76077, Dec. 19, 2014]

Sec. 1235.3 Statement of policy.

(a) Expenditures of locally generated non-Federal contributions
required by the Director as matching funds must meet the requirements
specified in ACTION's Grant Management and Program Operations Handbook,
ACTION Order 2650.2, as amended, and the Domestic Volunteer Service Act
of 1973, as amended. Copies of ACTION's Grants Management and Program
Operations Handbook, ACTION Order 2650.2, as amended, are available at
ACTION, 1100 Vermont Avenue, NW., Room 9200, Washington, DC 20525.
(b) All expenditures by the grantee of Federal and non-Federal funds
(including expenditures from excess locally generated contributions) in
support of the grant are subject to ACTION authorized audits.
(c) ACTION will not restrict the manner in which locally generated
contributions in excess of the required match are expended if these
expenditures are not inconsistent with the Domestic Volunteer Service
Act of 1973, as amended.

PARTS 1236 1299 [RESERVED]

[[Page 73]]

CHAPTER XIII--ADMINISTRATION FOR CHILDREN AND FAMILIES, DEPARTMENT OF
HEALTH AND HUMAN SERVICES

--------------------------------------------------------------------

SUBCHAPTER A--OFFICE OF HUMAN DEVELOPMENT SERVICES, GENERAL PROVISIONS
[RESERVED]
SUBCHAPTER B--THE ADMINISTRATION FOR CHILDREN AND FAMILIES, HEAD START
PROGRAM
Part Page
1301 Program governance.......................... 75
1302 Program operations.......................... 77
1303 Financial and administrative requirements... 122
1304 Federal administrative procedures........... 137
1305 Definitions................................. 148
SUBCHAPTER C--THE ADMINISTRATION FOR COMMUNITY LIVING
1321 Grants to State and community programs on
aging................................... 156
1322 Grants to Indian tribes and native Hawaiian
grantees for supportive, nutrition, and
caregiver services...................... 200
1324 Allotments for vulnerable elder rights
protection activities................... 212
1325 Requirements applicable to the developmental
disabilities program.................... 237
1326 Developmental disabilities formula grant
programs................................ 244
1327 Developmental disabilities projects of
national significance................... 267
1328 The national network of university centers
for excellence in developmental
disabilities, education, research, and
service................................. 267
1329 State independent living services and
centers for independent living.......... 271
1330 National Institute for Disability,
Independent Living, and Rehabilitation
Research................................ 282

[[Page 74]]

1331 State health insurance assistance program... 292
SUBCHAPTER D--THE ADMINISTRATION FOR NATIVE AMERICANS, NATIVE AMERICAN
PROGRAMS
1336 Native American programs.................... 295
SUBCHAPTER E [RESERVED]
SUBCHAPTER F--THE ADMINISTRATION FOR CHILDREN, YOUTH AND FAMILIES,
FAMILY AND YOUTH SERVICES BUREAU
1351 Runaway and Homeless Youth Program.......... 310
SUBCHAPTER G--THE ADMINISTRATION ON CHILDREN, YOUTH AND FAMILIES, FOSTER
CARE MAINTENANCE PAYMENTS, ADOPTION ASSISTANCE, AND CHILD AND FAMILY
SERVICES
1355 General..................................... 323
1356 Requirements applicable to Title IV-E....... 371
1357 Requirements applicable to Title IV-B....... 405
SUBCHAPTER H--FAMILY VIOLENCE PREVENTION AND SERVICES PROGRAMS
1370 Family violence prevention and services
programs................................ 421
SUBCHAPTER I--THE ADMINISTRATION ON INTELLECTUAL AND DEVELOPMENTAL
DISABILITIES, DEVELOPMENTAL DISABILITIES PROGRAM
1385-1399

[Reserved]

SUBCHAPTERS J-K [RESERVED]

[[Page 75]]

SUBCHAPTER A_OFFICE OF HUMAN DEVELOPMENT SERVICES, GENERAL PROVISIONS
[RESERVED]

SUBCHAPTER B_THE ADMINISTRATION FOR CHILDREN AND FAMILIES, HEAD START
PROGRAM

PART 1301_PROGRAM GOVERNANCE--Table of Contents

Sec.
1301.1 Purpose.
1301.2 Governing body.
1301.3 Policy council and policy committee.
1301.4 Parent committees.
1301.5 Training.
1301.6 Impasse procedures.

Authority: 42 U.S.C. 9801 et seq.

Source: 81 FR 61412, Sept. 6, 2016, unless otherwise noted.

Sec. 1301.1 Purpose.

An agency, as defined in part 1305 of this chapter, must establish
and maintain a formal structure for program governance that includes a
governing body, a policy council at the agency level and policy
committee at the delegate level, and a parent committee. Governing
bodies have a legal and fiscal responsibility to administer and oversee
the agency's Head Start programs. Policy councils are responsible for
the direction of the agency's Head Start programs.

[89 FR 67805, Aug. 21, 2024]

Sec. 1301.2 Governing body.

(a) Composition. The composition of a governing body must be in
accordance with the requirements specified at section 642(c)(1)(B) of
the Act, except where specific exceptions are authorized in the case of
public entities at section 642(c)(1)(D) of the Act. Agencies must ensure
members of the governing body do not have a conflict of interest,
pursuant to section 642(c)(1)(C) of the Act.
(b) Duties and responsibilities. (1) The governing body is
responsible for activities specified at section 642(c)(1)(E) of the Act.
(2) The governing body must use ongoing monitoring results, data on
school readiness goals, other information described in Sec. 1302.102,
and information described at section 642(d)(2) of the Act to conduct its
responsibilities.
(c) Advisory committees. (1) A governing body may establish advisory
committees as it deems necessary for effective governance and
improvement of the program.
(2) If a governing body establishes an advisory committee to oversee
key responsibilities related to program governance, it must:
(i) Establish the structure, communication, and oversight in such a
way that the governing body continues to maintain its legal and fiscal
responsibility for the Head Start agency; and,
(ii) Notify the responsible HHS official of its intent to establish
such an advisory committee.

Sec. 1301.3 Policy council and policy committee.

(a) Establishing policy councils and policy committees. Each agency
must establish and maintain a policy council responsible for the
direction of the Head Start program at the agency level, and a policy
committee at the delegate level. If an agency delegates operational
responsibility for the entire Head Start program to one delegate agency,
the policy council and policy committee may be the same body.
(b) Composition. (1) A program must establish a policy council in
accordance with section 642(c)(2)(B) of the Act, or a policy committee
at the delegate level in accordance with section 642(c)(3) of the Act,
as early in the program year as possible. Parents of children currently
enrolled in each program option must be proportionately represented on
the policy council and on the policy committee at the delegate level.
(2) The program must ensure members of the policy council, and of
the policy committee at the delegate level, do not have a conflict of
interest pursuant to sections 642(c)(2)(C) and 642(c)(3)(B) of the Act.
Staff may not serve on the policy council or policy

[[Page 76]]

committee at the delegate level except parents who occasionally
substitute as staff. In the case of tribal grant recipients, this
exclusion applies only to tribal staff who work in areas directly
related to or which directly impact administrative, fiscal, or
programmatic issues.
(c) Duties and responsibilities. (1) A policy council is responsible
for activities specified at section 642(c)(2)(D) of the Act. A policy
committee must approve and submit to the delegate agency its decisions
in each of the following areas referenced at section 642(c)(2)(D)(i)
through (vii) of the Act.
(2) A policy council, and a policy committee at the delegate level,
must use ongoing monitoring results, data on school readiness goals,
other information described in Sec. 1302.102, and information described
in section 642(d)(2) of the Act to conduct its responsibilities.
(d) Term. (1) A member will serve for one year.
(2) If the member intends to serve for another year, s/he must stand
for re-election.
(3) The policy council, and policy committee at the delegate level,
must include in its bylaws how many one-year terms, not to exceed five
terms, a person may serve.
(4) A program must seat a successor policy council, or policy
committee at the delegate level, before an existing policy council, or
policy committee at the delegate level, may be dissolved.
(e) Reimbursement. A program must enable low-income members to
participate fully in their policy council or policy committee
responsibilities by providing, if necessary, reimbursements for
reasonable expenses incurred by the low-income members.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67805, Aug. 21, 2024]

Sec. 1301.4 Parent committees.

(a) Establishing parent committees. A program must establish a
parent committee comprised exclusively of parents of currently enrolled
children as early in the program year as possible. This committee must
be established at the center level for center-based programs and at the
local program level for other program options. When a program operates
more than one option, parents may choose to have a separate committee
for each option or combine membership. A program must ensure that
parents of currently enrolled children understand the process for
elections to the policy council or policy committee and other leadership
opportunities.
(b) Requirements of parent committees. Within the parent committee
structure, a program may determine the best methods to engage families
using strategies that are most effective in their community, as long as
the program ensures the parent committee carries out the following
minimum responsibilities:
(1) Advise staff in developing and implementing local program
policies, activities, and services to ensure they meet the needs of
children and families;
(2) Have a process for communication with the policy council and
policy committee; and
(3) Within the guidelines established by the governing body, policy
council, or policy committee, participate in the recruitment and
screening of Head Start employees.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67806, Aug. 21, 2024]

Sec. 1301.5 Training.

An agency must provide appropriate training and technical assistance
or orientation to the governing body, any advisory committee members,
and the policy council, including training on program performance
standards and training indicated in Sec. 1302.12(m) to ensure the
members understand the information they receive and can effectively
oversee and participate in the programs in the Head Start agency.

Sec. 1301.6 Impasse procedures.

(a) To facilitate meaningful consultation and collaboration about
decisions of the governing body and the policy council, each agency's
governing body and policy council jointly must establish written
procedures for resolving internal disputes between the governing board
and policy council in a timely manner that include impasse procedures.
These procedures must:

[[Page 77]]

(1) Demonstrate that the governing body considers proposed decisions
from the policy council and that the policy council considers proposed
decisions from the governing body;
(2) If there is a disagreement, require the governing body and the
policy council to notify the other in writing why it does not accept a
decision; and,
(3) Describe a decision-making process and a timeline to resolve
disputes and reach decisions that are not arbitrary, capricious, or
illegal.
(b) If the agency's decision-making process does not result in a
resolution and an impasse continues, the governing body and policy
council must select a mutually agreeable third party mediator and
participate in a formal process of mediation that leads to a resolution
of the dispute.
(c) For all programs except American Indian and Alaska Native
programs, if no resolution is reached with a mediator, the governing
body and policy council must select a mutually agreeable arbitrator
whose decision is final.

PART 1302_PROGRAM OPERATIONS--Table of Contents

Sec.
1302.1 Overview.

Subpart A_Eligibility, Recruitment, Selection, Enrollment, and
Attendance

1302.10 Purpose.
1302.11 Determining community strengths, needs, and resources.
1302.12 Determining, verifying, and documenting eligibility.
1302.13 Recruitment of children.
1302.14 Selection process.
1302.15 Enrollment.
1302.16 Attendance.
1302.17 Suspension and expulsion.
1302.18 Fees.

Subpart B_Program Structure

1302.20 Determining program structure.
1302.21 Center-based option.
1302.22 Home-based option.
1302.23 Family child care option.
1302.24 Locally-designed program option variations.

Subpart C_Education and Child Development Program Services

1302.30 Purpose.
1302.31 Teaching and the learning environment.
1302.32 Curricula.
1302.33 Child screenings and assessments.
1302.34 Parent and family engagement in education and child development
services.
1302.35 Education in home-based programs.
1302.36 Tribal language preservation and revitalization.

Subpart D_Health and Mental Health Program Services

1302.40 Purpose.
1302.41 Collaboration and communication with parents.
1302.42 Child health status and care.
1302.43 Oral health practices.
1302.44 Child nutrition.
1302.45 Supports for mental health and well-being.
1302.46 Family support services for health, nutrition, and mental
health.
1302.47 Safety practices.

Subpart E_Family and Community Engagement Program Services

1302.50 Family engagement.
1302.51 Parent activities to promote child learning and development.
1302.52 Family partnership services.
1302.53 Community partnerships and coordination with other early
childhood and education programs.

Subpart F_Additional Services for Children With Disabilities

1302.60 Full participation in program services and activities.
1302.61 Additional services for children.
1302.62 Additional services for parents.
1302.63 Coordination and collaboration with the local agency responsible
for implementing IDEA.

Subpart G_Transition Services

1302.70 Transitions from Early Head Start.
1302.71 Transitions from Head Start Preschool to kindergarten.
1302.72 Transitions between programs.

Subpart H_Services to Enrolled Pregnant Women

1302.80 Enrolled pregnant women.
1302.81 Prenatal and postpartum information, education, and services.
1302.82 Family partnership services for enrolled pregnant women.

Subpart I_Human Resources Management

1302.90 Personnel policies.

[[Page 78]]

1302.91 Staff qualification and competency requirements.
1302.92 Training and professional development.
1302.93 Staff health and wellness.
1302.94 Volunteers.

Subpart J_Program Management and Quality Improvement

1302.100 Purpose.
1302.101 Management system.
1302.102 Program goals, continuous improvement, and reporting.

Authority: 42 U.S.C. 9801 et seq.

Source: 81 FR 61412, Sept. 6, 2016, unless otherwise noted.

Sec. 1302.1 Overview.

This part implements the statutory requirements in sections 641A,
645, 645A, and 648A of the Act by describing all of the program
performance standards that are required to operate Head Start Preschool,
Early Head Start, American Indian and Alaska Native and Migrant or
Seasonal Head Start programs. This part covers the full range of
operations from enrolling eligible children and providing program
services to those children and their families, to managing programs to
ensure staff are qualified and supported to effectively provide
services. This part also focuses on using data through ongoing program
improvement to ensure high-quality service. As required in the Act, the
provisions in this part do not narrow the scope or quality of services
covered in previous regulations. Instead, the regulations in this part
raise the quality standard to reflect science and best practices, and
streamline and simplify requirements so programs can better understand
what is required for quality services.

[89 FR 67806, Aug. 21, 2024]

Subpart A_Eligibility, Recruitment, Selection, Enrollment, and
Attendance

Sec. 1302.10 Purpose.

This subpart describes requirements of grant recipients for
determining community strengths, needs and resources as well as
recruitment areas. It contains requirements and procedures for the
eligibility determination, recruitment, selection, enrollment and
attendance of children and explains the policy concerning the charging
of fees.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67806, Aug. 21, 2024]

Sec. 1302.11 Determining community strengths, needs, and resources.

(a) Service area. (1) A program must propose a service area in the
grant application and define the area by county or sub-county area, such
as a municipality, town or census tract or jurisdiction of a federally
recognized Indian reservation.
(i) A tribal program may propose a service area that includes areas
where members of Indian tribes or those eligible for such membership
reside, including but not limited to Indian reservation land, areas
designated as near-reservation by the Bureau of Indian Affairs (BIA)
provided that the service area is approved by the tribe's governing
council, Alaska Native Villages, Alaska Native Regional Corporations
with land-based authorities, Oklahoma Tribal Statistical Areas, and
Tribal Designated Statistical Areas where federally recognized Indian
tribes do not have a federally established reservation.
(ii) If the tribe's service area includes any area specified in
paragraph (a)(1)(i) of this section, and that area is also served by
another program, the tribe may serve children from families who are
members of or eligible to be members of such tribe and who reside in
such areas as well as children from families who are not members of the
tribe, but who reside within the tribe's established service area.
(2) If a program decides to change the service area after ACF has
approved its grant application, the program must submit to ACF a new
service area proposal for approval.
(b) Community wide strategic planning and needs assessment
(community assessment). (1) A program must conduct a comprehensive
community assessment at least once over the five-year grant period and
annually review and update if any significant changes are needed as
described in paragraph (b)(5) of this section to:
(i) Identify populations most in need of services including
prevalent social

[[Page 79]]

or economic factors, challenges, and barriers experienced by families
and children;
(ii) Inform the program's design and to ensure equitable, inclusive,
and accessible service delivery that reflect needs and diversity of the
community;
(iii) Inform the enrollment, recruitment, and selection process to
prioritize the enrollment of those populations with relevant
circumstances identified under paragraph (b)(1)(i) of this section;
(iv) Identify strengths and resources in the community that can be
leveraged for service delivery, coordination, and partnership efforts
for education, health, nutrition, and referrals to social services to
eligible children and families; and,
(v) Identify the communication methods and modalities available to
the program that best engage with prospective and enrolled families in
accessible ways.
(2) In conducting the community assessment, a program must collect
and utilize data that describes community strengths, needs, and
resources and include, at a minimum:
(i) Relevant demographic data about eligible children and expectant
mothers, including:
(A) Race and ethnicity;
(B) Children living in poverty;
(C) Children experiencing homelessness in collaboration with, to the
extent possible, McKinney-Vento Local Education Agency Liaisons (42
U.S.C. 11432 (6)(A));
(D) Children in foster care;
(E) Children with disabilities, including types of disabilities and
relevant services and resources provided to these children by community
agencies; and
(F) Geographic location and languages they speak;
(ii) The education, health, nutrition and social service needs of
eligible children and their families, including prevalent social or
economic factors, challenges, and barriers to program participation such
as transportation needs;
(iii) Typical work, school, and training schedules of parents with
eligible children;
(iv) Other child development, child care centers, and family child
care programs that serve eligible children, including home visiting,
publicly funded State and local preschools, and the approximate number
of eligible children served and their ages;
(v) Resources that are available in the community to address the
needs of eligible children and their families, especially transportation
resources, and culturally appropriate and responsive supports;
(vi) Strengths of the community; and,
(vii) Gaps in community resources in areas relevant to addressing
the needs of eligible children and their families such as gaps in health
and human services, housing assistance, food assistance, employment
assistance, early childhood development, and social services.
(3) Programs should have a strategic approach:
(i) To determine what data to acquire to reach goals in paragraph
(b)(1) of this section prior to conducting the community assessment; and
(ii) For how to use the data acquired to reach goals in paragraph
(b)(1) of this section after conducting the community assessment.
(4) When determining what data to acquire under paragraph (b)(2) of
this section programs should consider what information is most relevant
to inform services for families most in need. Data gathering should be
informed by the program's understanding of the community and be
intentionally designed to help the program identify community strengths,
needs and resources, and plan the program accordingly. Programs are not
required to collect all information themselves; rather programs should
utilize community partners and utilize existing available data sources
relevant to the local community.
(5) A program must annually review and, where needed, update the
community assessment to identify any significant shifts in community
demographics, needs, and resources that may impact program design and
service delivery. As described in paragraph (b)(4) of this section,
programs should consider results from their self-assessment as required
in subpart J of this part (Sec. Sec. 1302.101 through 1302.103) and

[[Page 80]]

their annual funding application to inform this process. The annual
update review must consider at a minimum: changes related to children
and families experiencing homelessness; how the program addresses
equity, accessibility, and inclusiveness in its provision of services;
and changes to the availability of publicly funded pre-kindergarten and
whether it meets needs of families. Programs must consider how the
annual review and update can inform and support management approaches
for continuous quality improvement, program goals, and ongoing
oversight.
(6) A program must consider whether the characteristics of the
community allow it to include children from diverse economic backgrounds
that would be supported by other funding sources, including private pay,
in addition to the program's eligible funded enrollment. A program must
not enroll children from diverse economic backgrounds if it would result
in a program serving less than its eligible funded enrollment.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67806, Aug. 21, 2024]

Sec. 1302.12 Determining, verifying, and documenting eligibility.

(a) Process overview. (1) Program staff must:
(i) Conduct an in-person interview with each family, unless
paragraph (a)(2) of this section applies;
(ii) Verify information as required in paragraphs (h) and (i) of
this section; and,
(iii) Create an eligibility determination record for enrolled
participants according to paragraph (k) of this section.
(2) Program staff may interview the family over the telephone if an
in-person interview is not possible or convenient for the family.
(3) If a program has an alternate method to reasonably determine
eligibility based on its community assessment, geographic and
administrative data, or from other reliable data sources, it may
petition the responsible HHS official to waive requirements in
paragraphs (a)(1)(i) and (ii) of this section.
(b) Age requirements. (1) For Early Head Start, except when the
child is transitioning to Head Start Preschool, a child must be an
infant or a toddler younger than three years old.
(2) For Head Start Preschool, a child must:
(i) Be at least three years old or, turn three years old by the date
used to determine eligibility for public school in the community in
which the Head Start Preschool program is located; and,
(ii) Be no older than the age required to attend school.
(3) For Migrant or Seasonal Head Start, a child must be younger than
compulsory school age by the date used to determine public school
eligibility for the community in which the program is located.
(c) Eligibility requirements. (1) A pregnant woman or a child is
eligible if:
(i) The family's income is equal to or below the poverty line; or,
(ii) The family is eligible for or, in the absence of child care,
would be potentially eligible for public assistance; including TANF
child-only payments; or,
(iii) The child is homeless, as defined in part 1305; or,
(iv) The child is in foster care.
(2) If the family does not meet a criterion under paragraph (c)(1)
of this section, a program may enroll a child who would benefit from
services, provided that these participants only make up to 10 percent of
a program's enrollment in accordance with paragraph (d) of this section.
(d) Additional allowances for programs. (1) A program may enroll an
additional 35 percent of participants whose families do not meet a
criterion described in paragraph (c) of this section and whose incomes
are below 130 percent of the poverty line, if the program:
(i) Establishes and implements outreach, and enrollment policies and
procedures to ensure it is meeting the needs of eligible pregnant women,
children, and children with disabilities, before serving pregnant women
or children who do not meet the criteria in paragraph (c) of this
section; and,
(ii) Establishes criteria that ensure pregnant women and children
eligible

[[Page 81]]

under the criteria listed in paragraph (c) of this section are served
first.
(2) If a program chooses to enroll participants who do not meet a
criterion in paragraph (c) of this section, and whose family incomes are
between 100 and 130 percent of the poverty line, it must be able to
report to the Head Start regional program office:
(i) How it is meeting the needs of low-income families or families
potentially eligible for public assistance, homeless children, and
children in foster care, and include local demographic data on these
populations;
(ii) Outreach and enrollment policies and procedures that ensure it
is meeting the needs of eligible children or pregnant women, before
serving over-income children or pregnant women;
(iii) Efforts, including outreach, to be fully enrolled with
eligible pregnant women or children;
(iv) Policies, procedures, and selection criteria it uses to serve
eligible children;
(v) Its current enrollment and its enrollment for the previous year;
(vi) The number of pregnant women and children served, disaggregated
by the eligibility criteria in paragraphs (c) and (d)(1) of this
section; and,
(vii) The eligibility criteria category of each child on the
program's waiting list.
(e) Additional allowances for Indian tribes. (1) Notwithstanding
paragraph (c) of this section, a Tribal program may determine any
pregnant women or children in the approved service area to be eligible
for services regardless of income, if they meet the requirements of
paragraph (b) of this section.
(2) An Indian Tribe or Tribes that operates both an Early Head Start
program and a Head Start Preschool program may, at its discretion, at
any time during the grant period involved, reallocate funds between the
Early Head Start program and the Head Start Preschool program in order
to address fluctuations in client populations, including pregnant women
and children from birth to compulsory school age. The reallocation of
such funds between programs by an Indian Tribe or Tribes during a year
may not serve as a basis for any reduction of the base grant for either
program in succeeding years.
(f) Migrant or Seasonal eligibility requirements. Notwithstanding
paragraph (c) of this section, pregnant women and children are eligible
for Migrant or Seasonal Head Start if they have at least one family
member whose income comes primarily from agricultural employment as
defined in section 3 of the Migrant and Seasonal Agricultural Worker
Protection Act (29 U.S.C. 1802), and if they meet the requirements of
paragraph (b) of this section.
(g) Eligibility requirements for communities with 1,000 or fewer
individuals. (1) A program may establish its own criteria for
eligibility provided that it meets the criteria outlined in section
645(a)(2) of the Act.
(2) No child residing in such community whose family is eligible
under criteria described in paragraphs (c) through (f) of this section,
may be denied an opportunity to participate in the program under the
eligibility criteria established under this paragraph (g).
(h) Verifying age. Program staff must verify a child's age according
to program policies and procedures. A program's policies and procedures
cannot require families to provide documents that confirm a child's age,
if doing so creates a barrier for the family to enroll the child.
(i) Verifying eligibility. (1) To verify eligibility based on
income, program staff must use tax forms, pay stubs, or other proof of
income to determine the family income for the relevant time period.
(i) The program must calculate total gross income using applicable
sources of income.
(ii) A program may make an adjustment to a family's gross income
calculation for the purposes of determining eligibility to account for
excessive housing costs. A program may use available bills, bank
statements, and other relevant documentation provided by the family to
calculate total annual housing costs with appropriate multipliers to:
(A) Determine if a family spends more than 30 percent of their total
gross income on housing costs, as defined in part 1305 of this chapter;
and

[[Page 82]]

(B) If applicable, reduce the total gross income by the amount spent
on housing costs that exceed more than 30 percent.
(iii) If the family cannot provide tax forms, pay stubs, or other
proof of income for the relevant time period, program staff may accept
written statements from employers, including individuals who are self-
employed, for the relevant time period and use information provided to
calculate total annual income with appropriate multipliers.
(iv) If the family reports no income for the relevant time period, a
program may accept the family's signed declaration to that effect, if
program staff describes efforts made to verify the family's income, and
explains how the family's total income was calculated or seeks
information from third parties about the family's eligibility, if the
family gives written consent. If a family gives consent to contact third
parties, program staff must adhere to program safety and privacy
policies and procedures and ensure the eligibility determination record
adheres to paragraph (k)(2) of this section.
(v) If the family can demonstrate a significant change in income for
the relevant time period, program staff may consider current income
circumstances.
(2) To verify whether a family is eligible for, or in the absence of
child care, would be potentially eligible for public assistance, the
program must have documentation from either the state, local, or tribal
public assistance agency that shows the family either receives public
assistance or that shows the family is potentially eligible to receive
public assistance.
(3) To verify whether a family is homeless, a program may accept a
written statement from a homeless services provider, school personnel,
or other service agency attesting that the child is homeless or any
other documentation that indicates homelessness, including documentation
from a public or private agency, a declaration, information gathered on
enrollment or application forms, or notes from an interview with staff
to establish the child is homeless; or any other document that
establishes homelessness.
(i) If a family can provide one of the documents described in this
paragraph (i)(3), program staff must describe efforts made to verify the
accuracy of the information provided and state whether the family is
eligible because they are homeless.
(ii) If a family cannot provide one of the documents described in
this paragraph (i)(3) to prove the child is homeless, a program may
accept the family's signed declaration to that effect, if, in a written
statement, program staff describe the child's living situation that
meets the definition of homeless in part 1305 of this chapter.
(iii) Program staff may seek information from third parties who have
firsthand knowledge about a family's living situation, if the family
gives written consent. If the family gives consent to contact third
parties, program staff must adhere to program privacy policies and
procedures and ensure the eligibility determination record adheres to
paragraph (k) of this section.
(4) To verify whether a child is in foster care, program staff must
accept either a court order or other legal or government-issued
document, a written statement from a government child welfare official
that demonstrates the child is in foster care, or proof of a foster care
payment.
(j) Eligibility duration. (1) If a child is determined eligible
under this section and is participating in a Head Start program, he or
she will remain eligible through the end of the succeeding program year
except that the Head Start program may choose not to enroll a child when
there are compelling reasons for the child not to remain in Head Start,
such as when there is a change in the child's family income and there is
a child with a greater need for Head Start services.
(2) Children who are enrolled in a program receiving funds under the
authority of section 645A of the Act remain eligible while they
participate in the program.
(3) If a child moves from an Early Head Start program to a Head
Start Preschool program, program staff must verify the family's
eligibility again.
(4) If a program operates both an Early Head Start and a Head Start
Preschool program, and the parents wish

[[Page 83]]

to enroll their child who has been enrolled in the program's Early Head
Start, the program must ensure, whenever possible, the child receives
Head Start Preschool services until enrolled in school, provided the
child is eligible.
(5) If a program operates a Migrant and Seasonal Head Start program,
children younger than age three participating in the program remain
eligible until they turn three years old consistent with paragraph
(j)(2) of this section.
(k) Records. (1) A program must keep eligibility determination
records for each participant and ongoing records of the eligibility
training for staff required by paragraph (m) of this section. A program
may keep these records electronically.
(2) Each eligibility determination record must include:
(i) Copies of any documents or statements, including declarations,
that are deemed necessary to verify eligibility under paragraphs (h) and
(i) of this section;
(ii) A statement that program staff has made reasonable efforts to
verify information by:
(A) Conducting either an in-person, or a telephone interview with
the family as described under paragraph (a)(1)(i) or (a)(2) of this
section; and,
(B) Describing efforts made to verify eligibility, as required under
paragraphs (h) through (i) of this section; and, collecting documents
required for third party verification that includes the family's written
consent to contact each third party, the third parties' names, titles,
and affiliations, and information from third parties regarding the
family's eligibility.
(iii) A statement that identifies whether:
(A) The family's income is below income guidelines for its size, and
lists the family's size;
(B) The family is eligible for or, in the absence of child care,
potentially eligible for public assistance;
(C) The child is a homeless child or the child is in foster care;
(D) The family was determined to be eligible under the criterion in
paragraph (c)(2) of this section; or,
(E) The family was determined to be eligible under the criterion in
paragraph (d)(1) of this section.
(3) A program must keep eligibility determination records for those
currently enrolled, as long as they are enrolled, and, for one year
after they have either stopped receiving services; or are no longer
enrolled.
(l) Program policies and procedures on violating eligibility
determination regulations. A program must establish written policies and
procedures that describe all actions taken against staff who
intentionally violate Federal and program eligibility determination
regulations and who enroll pregnant women and children that are not
eligible to receive Head Start services.
(m) Training on eligibility. (1) A program must train all governing
body, policy council, management, and staff who determine eligibility on
applicable federal regulations and program policies and procedures.
Training must, at a minimum:
(i) Include methods on how to collect complete and accurate
eligibility information from families and third party sources;
(ii) Incorporate strategies for treating families with dignity and
respect and for dealing with possible issues of domestic violence,
stigma, and privacy; and,
(iii) Explain program policies and procedures that describe actions
taken against staff, families, or participants who attempt to provide or
intentionally provide false information.
(2) A program must train management and staff members who make
eligibility determinations within 90 days of hiring new staff.
(3) A program must train all governing body and policy council
members within 180 days of the beginning of the term of a new governing
body or policy council.
(4) A program must develop policies on how often training will be
provided after the initial training.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67807, Aug. 21, 2024]

Sec. 1302.13 Recruitment of children.

In order to reach those most in need of services, a program must
develop and implement a recruitment process

[[Page 84]]

designed to actively inform all families with eligible children within
the recruitment area of the availability of program services. A program
must include modern technologies to encourage and assist families in
applying for admission to the program, and to reduce the family's
administrative and paperwork burden in the application and enrollment
process. A program must include specific efforts to actively locate and
recruit children with disabilities and other children in need, including
children experiencing homelessness and children in foster care.

[89 FR 67807, Aug. 21, 2024]

Sec. 1302.14 Selection process.

(a) Selection criteria. (1) A program must annually establish
selection criteria that weigh the prioritization of selection of
participants, based on community needs identified in the community needs
assessment as described in Sec. 1302.11(b), and including family
income, whether the child is homeless, whether the child is in foster
care, the child's age, whether the child is eligible for special
education and related services, or early intervention services, as
appropriate, as determined under the Individuals with Disabilities
Education Act (IDEA) (20 U.S.C. 1400 et seq.) and, other relevant family
or child risk factors.
(2) An Indian Tribe that operates a Head Start program must annually
establish selection criteria that weigh the prioritization of selection
of participants, based on community needs identified in the community
needs assessment as described in Sec. 1302.11(b), and may, at its
discretion, give priority to children in families for which a child, a
family member, or a member of the same household, is a member of an
Indian Tribe, and would benefit from the Head Start program.
(3) If a program serves migrant or seasonal families, it must
annually establish selection criteria that weigh the prioritization of
selection of participants, based on community needs identified in the
community needs assessment as described in Sec. 1302.11(b), and give
priority to children whose families can demonstrate they have relocated
frequently within the past two-years to pursue agricultural work.
(4) If a program operates in a service area where Head Start
Preschool eligible children can enroll in high-quality publicly funded
pre-kindergarten for a full school day, the program must prioritize
younger children as part of the selection criteria in paragraph (a)(1)
of this section. If this priority would disrupt partnerships with local
education agencies, then it is not required. An American Indian and
Alaska Native or Migrant or Seasonal Head Start program must consider
whether such prioritization is appropriate in their community.
(5) A program must not deny enrollment based on a disability or
chronic health condition or its severity.
(6) A program may consider the enrollment of children of staff
members as part of the selection criteria in paragraph (a)(1) of this
section.
(b) Children eligible for services under IDEA. (1) A program must
ensure at least 10 percent of its total actual enrollment is filled by
children eligible for services under IDEA, unless the responsible HHS
official grants a waiver.
(2) If the requirement in paragraph (b)(1) of this section has been
met, children eligible for services under IDEA should be prioritized for
the available slots in accordance with the program's selection criteria
described in paragraph (a) of this section.
(c) Waiting lists. A program must develop at the beginning of each
enrollment year and maintain during the year a waiting list that ranks
children according to the program's selection criteria.
(d) Understanding barriers to enrollment. A program is required to
use data from the community assessment to identify the population of
eligible children and families and potential barriers to enrollment and
attendance, including using data to understand access to transportation
for the highest need families. A program must use this data to inform
ongoing program improvement efforts as described in Sec. 1302.102(c) to
promote enrolling the children most in need of program services.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67807, Aug. 21, 2024]

[[Page 85]]

Sec. 1302.15 Enrollment.

(a) Funded enrollment. A program must maintain its funded enrollment
level and fill any vacancy as soon as possible. A program must fill any
vacancy within 30 days.
(b) Continuity of enrollment. (1) A program must make efforts to
maintain enrollment of eligible children for the following year.
(2) Under exceptional circumstances, a program may maintain a
child's enrollment in Head Start Preschool for a third year, provided
that family income is verified again. A program may maintain a child's
enrollment in Early Head Start as described in Sec. 1302.12(j)(2).
(3) If a program serves homeless children or children in foster
care, it must make efforts to maintain the child's enrollment regardless
of whether the family or child moves to a different service area, or
transition the child to a program in a different service area, as
required in Sec. 1302.72(a), according to the family's needs.
(c) Reserved slots. If a program determines from the community
assessment there are families experiencing homelessness in the area, or
children in foster care that could benefit from services, the program
may reserve one or more enrollment slots for pregnant women and children
experiencing homelessness and children in foster care, when a vacancy
occurs. No more than three percent of a program's funded enrollment
slots may be reserved. If the reserved enrollment slot is not filled
within 30 days, the enrollment slot becomes vacant and then must be
filled in accordance with paragraph (a) of this section.
(d) Other enrollment. Children from diverse economic backgrounds who
are funded with other sources, including private pay, are not considered
part of a program's eligible funded enrollment.
(e) State immunization enrollment requirements. A program must
comply with state immunization enrollment and attendance requirements,
with the exception of homeless children as described in Sec.
1302.16(c)(1).
(f) Voluntary parent participation. Parent participation in any
program activity is voluntary, including consent for data sharing, and
is not required as a condition of the child's enrollment.
(g) User-friendly enrollment process. A program must regularly
examine their enrollment processes and implement any identified
improvements to streamline the enrollment experience for families.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67808, Aug. 21, 2024]

Sec. 1302.16 Attendance.

(a) Promoting regular attendance. A program must track attendance
for each child.
(1) A program must implement a process to ensure children are safe
when they do not arrive at school. If a child is unexpectedly absent and
a parent has not contacted the program within one hour of program start
time, the program must attempt to contact the parent to ensure the
child's well-being.
(2) A program must implement strategies to promote attendance. At a
minimum, a program must:
(i) Provide information about the benefits of regular attendance;
(ii) Support families to promote the child's regular attendance;
(iii) Conduct a home visit or make other direct contact with a
child's parents if a child has multiple unexplained absences (such as
two consecutive unexplained absences);
(iv) Within the first 60 days of program operation, and on an
ongoing basis thereafter, use individual child attendance data to
identify children with patterns of absence that put them at risk of
missing ten percent of program days per year and develop appropriate
strategies to improve individual attendance among identified children,
such as direct contact with parents or intensive case management, as
necessary; and
(v) Examine barriers to regular attendance, such as access to safe
and reliable transportation, and where possible, provide or facilitate
transportation for the child if needed.
(3) If a child ceases to attend, the program must make appropriate
efforts to reengage the family to resume attendance, including as
described in paragraph (a)(2) of this section. If the child's attendance
does not resume, then the program must consider that

[[Page 86]]

slot vacant. This action is not considered expulsion as described in
Sec. 1302.17.
(b) Managing systematic program attendance issues. If a program's
monthly average daily attendance rate falls below 85 percent, the
program must analyze the causes of absenteeism to identify any
systematic issues that contribute to the program's absentee rate. The
program must use this data to make necessary changes in a timely manner
as part of ongoing oversight and correction as described in Sec.
1302.102(b) and inform its continuous improvement efforts as described
in Sec. 1302.102(c).
(c) Supporting attendance of homeless children. (1) If a program
determines a child is eligible under Sec. 1302.12(c)(1)(iii), it must
allow the child to attend for up to 90 days or as long as allowed under
state licensing requirements, without immunization and other records, to
give the family reasonable time to present these documents. A program
must work with families to get children immunized as soon as possible in
order to comply with state licensing requirements.
(2) If a child experiencing homelessness is unable to attend classes
regularly because the family does not have transportation to and from
the program facility, the program must utilize community resources,
where possible, to provide transportation for the child.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67808, Aug. 21, 2024]

Sec. 1302.17 Suspension and expulsion.

(a) Limitations on suspension. (1) A program must prohibit or
severely limit the use of suspension due to a child's behavior. Such
suspensions may only be temporary in nature.
(2) A temporary suspension must be used only as a last resort in
extraordinary circumstances where there is a serious safety threat that
has not been reduced or eliminated by the provision of interventions and
supports recommended by the mental health consultant and the program
needs time to put additional appropriate services in place.
(3) Before a program determines whether a temporary suspension is
necessary, a program must engage with a mental health consultant,
collaborate with the parents, and utilize appropriate community
resources--such as behavior coaches, psychologists, other appropriate
specialists, or other resources--as needed, to determine no other
reasonable option is appropriate.
(4) If a temporary suspension is deemed necessary, a program must
help the child return to full participation in all program activities as
quickly as possible while ensuring child safety. A program must explore
all possible steps and document all steps taken to address the
behavior(s) and supports needed to facilitate the child's safe reentry
and continued participation in the program. Such steps must include, at
a minimum:
(i) Continuing to engage with the parents, mental health consultant,
and other appropriate staff, and continuing to utilize appropriate
community resources;
(ii) Providing additional program supports and services, including
home visits; and,
(iii) Determining whether a referral to a local agency responsible
for implementing IDEA is appropriate, or if the child has an
individualized family service plan (IFSP) or individualized education
program (IEP), consulting with the responsible agency to ensure the
child receives the needed support services.
(b) Prohibition on expulsion. (1) A program cannot expel or unenroll
a child from Head Start because of a child's behavior.
(2) When a child exhibits persistent and serious behavioral
concerns, a program must explore all possible steps and document all
steps taken to address such problems, and facilitate the child's safe
participation in the program. Such steps must include, at a minimum,
engaging a mental health consultant, considering the appropriateness of
providing appropriate services and supports under section 504 of the
Rehabilitation Act of 1973 to ensure that the child who satisfies the
definition of disability in 29 U.S.C. 705(9)(b) of the Rehabilitation
Act is not excluded from the program on the basis of disability, and
consulting with the parents and the child's teacher, and:

[[Page 87]]

(i) If the child has an individualized family service plan (IFSP) or
individualized education program (IEP), the program must consult with
the agency responsible for the IFSP or IEP to ensure the child receives
the needed support services; or,
(ii) If the child does not have an IFSP or IEP, the program must
collaborate, with parental consent, with the local agency responsible
for implementing IDEA to determine the child's eligibility for services.
(3) If, after a program has explored all possible steps and
documented all steps taken as described in paragraph (b)(2) of this
section, a program, in consultation with the parents, the child's
teacher, the agency responsible for implementing IDEA (if applicable),
and the mental health consultant, determines that the child's continued
enrollment presents a continued serious safety threat to the child or
other enrolled children and determines the program is not the most
appropriate placement for the child, the program must work with such
entities to directly facilitate the transition of the child to a more
appropriate placement.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67808, Aug. 21, 2024]

Sec. 1302.18 Fees.

(a) Policy on fees. A program must not charge eligible families a
fee to participate in Head Start, including special events such as field
trips, and cannot in any way condition an eligible child's enrollment or
participation in the program upon the payment of a fee.
(b) Allowable fees. (1) A program must only accept a fee from
families of enrolled children for services that are in addition to
services funded by Head Start, such as child care before or after funded
Head Start hours. A program may not condition a Head Start child's
enrollment on the ability to pay a fee for additional hours.
(2) In order to support programs serving children from diverse
economic backgrounds or using multiple funding sources, a program may
charge fees to private pay families and other non-Head Start enrolled
families to the extent allowed by any other applicable federal, state or
local funding sources.

Subpart B_Program Structure

Sec. 1302.20 Determining program structure.

(a) Choose a program option. (1) A program must choose to operate
one or more of the following program options: center- based, home-based,
family child care, or an approved locally designed variation as
described in Sec. 1302.24. The program option(s) chosen must meet the
needs of children and families based on the community assessment
described in Sec. 1302.11(b). A Head Start Preschool program may not
provide only the option described in Sec. 1302.22(a) and (c)(2).
(2) To choose a program option and develop a program calendar, a
program must consider in conjunction with the annual review of the
community assessment described in Sec. 1302.11(b)(2), whether it would
better meet child and family needs through conversion of existing slots
to full school day or full working day slots, extending the program
year, conversion of existing Head Start Preschool slots to Early Head
Start slots as described in paragraph (c) of this section, and ways to
promote continuity of care and services. A program must work to identify
alternate sources to support full working day services. If no additional
funding is available, program resources may be used.
(b) Comprehensive services. All program options must deliver the
full range of services, as described in subparts C, D, E, F, and G of
this part, except that Sec. Sec. 1302.30 through 1302.32 and Sec.
1302.34 do not apply to home-based options.
(c) Conversion. (1) Consistent with section 645(a)(5) of the Head
Start Act, grant recipients may request to convert Head Start Preschool
slots to Early Head Start slots through the refunding application
process or as a separate grant amendment.
(2) Any grant recipient proposing a conversion of Head Start
Preschool services to Early Head Start services must obtain policy
council and governing body approval and submit the request to their
regional office.
(3) With the exception of American Indian and Alaska Native grant
recipients as described in paragraph (c)(4) of

[[Page 88]]

this section, the request to the regional office must include:
(i) A grant application budget and a budget narrative that clearly
identifies the funding amount for the Head Start Preschool and Early
Head Start programs before and after the proposed conversion;
(ii) The results of the community assessment demonstrating how the
proposed use of funds would best meet the needs of the community,
including a description of how the needs of eligible Head Start children
will be met in the community when the conversion takes places;
(iii) A revised program schedule that describes the program
option(s) and the number of funded enrollment slots for Head Start
Preschool and Early Head Start programs before and after the proposed
conversion;
(iv) A description of how the needs of pregnant women, infants, and
toddlers will be addressed;
(v) A discussion of the agency's capacity to carry out an effective
Early Head Start program in accordance with the requirements of section
645A(b) of the Head Start Act and all applicable regulations;
(vi) Assurances that the agency will participate in training and
technical assistance activities required of all Early Head Start grant
recipients;
(vii) A discussion of the qualifications and competencies of the
child development staff proposed for the Early Head Start program, as
well as a description of the facilities and program infrastructure that
will be used to support the new or expanded Early Head Start program;
(viii) A discussion of any one-time funding necessary to implement
the proposed conversion and how the agency intends to secure such
funding; and,
(ix) The proposed timetable for implementing this conversion,
including updating school readiness goals as described in subpart J of
this part.
(4) Consistent with section 645(d)(3) of the Act, any American
Indian and Alaska Native grant recipient that operates both an Early
Head Start program and a Head Start Preschool program may reallocate
funds between the programs at its discretion and at any time during the
grant period involved, in order to address fluctuations in client
populations. An American Indian and Alaska Native program that exercises
this discretion must notify the regional office.
(d) Source of funding. A program may consider hours of service that
meet the Head Start Program Performance Standards, regardless of the
source of funding, as hours of planned class operations for the purposes
of meeting the Head Start Preschool and Early Head Start service
duration requirements in this subpart.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67808, Aug. 21, 2024]

Sec. 1302.21 Center-based option.

(a) Setting. The center-based option delivers the full range of
services, consistent with Sec. 1302.20(b). Education and child
development services are delivered primarily in classroom settings.
(b) Ratios and group size. (1) Staff-child ratios and group size
maximums must be determined by the age of the majority of children and
the needs of children present. A program must determine the age of the
majority of children in a class at the start of the year and may adjust
this determination during the program year, if necessary. Where state or
local licensing requirements are more stringent than the teacher-child
ratios and group size specifications in this section, a program must
meet the stricter requirements. A program must maintain appropriate
ratios during all hours of program operation, except:
(i) For brief absences of a teaching staff member for no more than
five minutes; and,
(ii) During nap time, one teaching staff member may be replaced by
one staff member or trained volunteer who does not meet the teaching
qualifications required for the age.
(2) An Early Head Start or Migrant or Seasonal Head Start class that
serves children under 36 months old must have two teachers with no more
than eight children, or three teachers with no more than nine children.
Each teacher must be assigned consistent, primary responsibility for no
more than four children to promote continuity of care for individual
children. A program must minimize teacher

[[Page 89]]

changes throughout a child's enrollment, whenever possible, and consider
mixed age group classes to support continuity of care.
(3) A class that serves a majority of children who are three years
old must have no more than 17 children with a teacher and teaching
assistant or two teachers. A double session class that serves a majority
of children who are three years old must have no more than 15 children
with a teacher and teaching assistant or two teachers.
(4) A class that serves a majority of children who are four and five
years old must have no more than 20 children with a teacher and a
teaching assistant or two teachers. A double session class that serves a
majority of children who are four and five years old must have no more
than 17 children with a teacher and a teaching assistant or two
teachers.

Table to Sec. 1302.21(b)--Center-Based Group Size
----------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------
4 and 5 year olds...................................... No more than 20 children enrolled in any class.
No more than 17 children enrolled in any double session
class.
3 year olds............................................ No more than 17 children enrolled in any class.
No more than 15 children enrolled in any double session
class.
Under 3 years old...................................... No more than 8 or 9 children enrolled in any class,
depending on the number of teachers.
----------------------------------------------------------------------------------------------------------------

(c) Service duration--(1) Early Head Start. (i) A program must
provide 1,380 annual hours of planned class operations for all enrolled
children.
(ii) A program that is designed to meet the needs of young parents
enrolled in school settings may meet the service duration requirements
in paragraph (c)(1)(i) of this section if it operates a center-based
program schedule during the school year aligned with its local education
agency requirements and provides regular home-based services during the
summer break.
(2) Head Start Preschool--(i) Service duration for at least 45
percent. A program must provide 1,020 annual hours of planned class
operation over the course of at least eight months per year for at least
45 percent of its Head Start Preschool center-based funded enrollment.
(ii) Service duration for remaining slots. A program must provide,
at a minimum, at least 160 days per year of planned class operations if
it operates for five days per week, or at least 128 days per year if it
operates four days per week. Classes must operate for a minimum of 3.5
hours per day.
(iii) Double session. Double session variation must provide classes
for four days per week for a minimum of 128 days per year and 3.5 hours
per day. Each double session class staff member must be provided
adequate break time during the course of the day. In addition, teachers,
assistants, and volunteers must have appropriate time to prepare for
each session together, to set up the classroom environment, and to give
individual attention to children entering and leaving the center.
(iv) Special provision for alignment with local education agency. A
Head Start Preschool program providing fewer than 1,020 annual hours of
planned class operations or fewer than eight months of service is
considered to meet the requirements described in paragraph (c)(2)(i) of
this section if its program schedule aligns with the annual hours
required by its local education agency for grade one and such alignment
is necessary to support partnerships for service delivery.
(3) Exemption for Migrant or Seasonal Head Start programs. A Migrant
or Seasonal program is not subject to the requirements described in
paragraph (c)(1) or (2) of this section, but must make every effort to
provide as many days and hours of service as possible to each child and
family.
(4) Calendar planning. A program must:

[[Page 90]]

(i) Plan its year using a reasonable estimate of the number of days
during a year that classes may be closed due to problems such as
inclement weather; and,
(ii) Make every effort to schedule makeup days using existing
resources if hours of planned class operations fall below the number
required per year.
(d) Licensing and square footage requirements. (1) The facilities
used by a program must meet state, tribal, or local licensing
requirements, even if exempted by the licensing entity. When state,
tribal, or local requirements vary from Head Start requirements, the
most stringent provision takes precedence.
(2) A center-based program must have at least 35 square feet of
usable indoor space per child available for the care and use of children
(exclusive of bathrooms, halls, kitchen, staff rooms, and storage
places) and at least 75 square feet of usable outdoor play space per
child.
(3) A program that operates two or more groups within an area must
ensure clearly defined, safe divisions to separate groups. A program
must ensure such spaces are learning environments that facilitate the
implementation of the requirements in subpart C of this part. The
divisions must limit noise transfer from one group to another to prevent
disruption of an effective learning environment.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67809, Aug. 21, 2024]

Sec. 1302.22 Home-based option.

(a) Setting. The home-based option delivers the full range of
services, consistent with Sec. 1302.20(b), through visits with the
child's parents, primarily in the child's home and through group
socialization opportunities in a Head Start classroom, community
facility, home, or on field trips. For Early Head Start programs, the
home-based option may be used to deliver services to some or all of a
program's enrolled children. For Head Start Preschool programs, the
home-based option may only be used to deliver services to a portion of a
program's enrolled children.
(b) Caseload. A program that implements a home-based option must
maintain an average caseload of 10 to 12 families per home visitor with
a maximum of 12 families for any individual home visitor.
(c) Service duration--(1) Early Head Start. By August 1, 2017, an
Early Head Start home-based program must:
(i) Provide one home visit per week per family that lasts at least
an hour and a half and provide a minimum of 46 visits per year; and,
(ii) Provide, at a minimum, 22 group socialization activities
distributed over the course of the program year.
(2) Head Start Preschool. A Head Start Preschool home-based program
must:
(i) Provide one home visit per week per family that lasts at least
an hour and a half and provide a minimum of 32 visits per year; and,
(ii) Provide, at a minimum, 16 group socialization activities
distributed over the course of the program year.
(3) Meeting minimum requirements. A program that implements a home-
based option must:
(i) Make up planned home visits or scheduled group socialization
activities that were canceled by the program, and to the extent possible
attempt to make up planned home visits canceled by the family, when this
is necessary to meet the minimums described in paragraphs (c)(1) and (2)
of this section; and,
(ii) Not replace home visits or scheduled group socialization
activities for medical or social service appointments for the purposes
of meeting the minimum requirements described in paragraphs (c)(1) and
(2) of this section.
(d) Safety requirements. The areas for learning, playing, sleeping,
toileting, preparing food, and eating in facilities used for group
socializations in the home-based option must meet the safety standards
described in Sec. 1302.47(1)(ii) through (viii).

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67809, Aug. 21, 2024]

Sec. 1302.23 Family child care option.

(a) Setting. The family child care program option delivers the full
range of services, consistent with Sec. 1302.20(b). Education and child
development services are primarily delivered by a family child care
provider in their home or other family-like setting. A program may
choose to offer the family child care option if:

[[Page 91]]

(1) The program has a legally binding agreement with one or more
family child care provider(s) that clearly defines the roles, rights,
and responsibilities of each party, or the program is the employer of
the family child care provider, and ensures children and families
enrolled in this option receive the full range of services described in
subparts C, D, E, F, and G of this part; and,
(2) The program ensures family child care homes are available that
can accommodate children and families with disabilities.
(b) Ratios and group size--(1) Group size. A program that operates
the family child care option where Head Start children are enrolled must
ensure group size does not exceed the limits specified in this section.
If the family child care provider's own children under the age of six
are present, they must be included in the group size.
(2) Mixed age with preschoolers. When there is one family child care
provider, with a mixed-age group of children that includes children over
36 months of age, the maximum group size is six children and no more
than two of the six may be under 24 months of age. When there are two
providers, the maximum group size is twelve children with no more than
four of the twelve children under 24 months of age.
(3) Infants and toddlers only. When there is one family child care
provider with a group of children that are all under 36 months of age,
the maximum group size is four children, and no more than two of the
four children may be under 18 months of age.
(4) Maintaining ratios. A program must maintain appropriate ratios
during all hours of program operation. A program must ensure providers
have systems to ensure the safety of any child not within view for any
period. A program must make substitute staff available with the
necessary training and experience to ensure quality services to children
are not interrupted.
(c) Service duration. Whether family child care option services are
provided directly or via contractual arrangement, a program must ensure
family child care providers operate sufficient hours to meet the child
care needs of families and not less than 1,380 hours per year.
(d) Licensing requirements. A family child-care provider must be
licensed by the state, tribal, or local entity to provide services in
their home or family-like setting. When state, tribal, or local
requirements vary from Head Start requirements, the most stringent
provision applies.
(e) Child development specialist. A program that offers the family
child care option must provide a child development specialist to support
family child care providers and ensure the provision of quality services
at each family child care home. Child development specialists must:
(1) Conduct regular visits to each home, some of which are
unannounced, not less than once every two weeks;
(2) Periodically verify compliance with either contract requirements
or agency policy;
(3) Facilitate ongoing communication between program staff, family
child care providers, and enrolled families; and,
(4) Provide recommendations for technical assistance and support the
family child care provider in developing relationships with other child
care professionals.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67809, Aug. 21, 2024]

Sec. 1302.24 Locally-designed program option variations.

(a) Waiver option. Programs may request to operate a locally-
designed program option, including a combination of program options, to
better meet the unique needs of their communities or to demonstrate or
test alternative approaches for providing program services. In order to
operate a locally-designed program option, programs must seek a waiver
as described in this section and must deliver the full range of
services, consistent with Sec. 1302.20(b), and demonstrate how any
change to their program design is consistent with achieving program
goals in subpart J of this part.
(b) Request for approval. A program's request to operate a locally-
designed variation may be approved by the responsible HHS official
through the end of a program's current grant or, if the

[[Page 92]]

request is submitted through a grant application for an upcoming project
period, for the project period of the new award. Such approval may be
revoked based on progress toward program goals as described in Sec.
1302.102 and monitoring as described in Sec. 1304.2.
(c) Waiver requirements. (1) The responsible HHS official may waive
one or more of the requirements contained in Sec. Sec. 1302.21(b),
(c)(1)(i), and (c)(2)(i); 1302.22(a) through (c); and 1302.23(b) and (c)
but may not waive ratios or group size for children under 24 months.
Center-based locally designed options must meet the minimums described
in section 640(k)(1) of the Act for center-based programs.
(2) If the responsible HHS official determines a waiver of group
size for center-based services would better meet the needs of children
and families in a community, the group size may not exceed the limits
below:
(i) A group that serves children 24 to 36 months of age must have no
more than ten children; and,
(ii) A group that serves predominantly three-year-old children must
have no more than twenty children; and,
(iii) A group that serves predominantly four-year-old children must
have no more than twenty-four children.
(3) If the responsible HHS official approves a waiver to allow a
program to operate below the minimums described in Sec.
1302.21(c)(2)(i), a program must meet the requirements described in
Sec. 1302.21(c)(2)(ii), or in the case of a double session variation, a
program must meet the requirements described in Sec.
1302.21(c)(2)(iii).
(4) In order to receive a waiver under this section, a program must
provide supporting evidence that demonstrates the locally-designed
variation effectively supports appropriate development and progress in
children's early learning outcomes.
(5) In order to receive a waiver of service duration, a program must
meet the requirement in paragraph (c)(4) of this section, provide
supporting evidence that it better meets the needs of parents than the
applicable service duration minimums described in Sec. 1302.21(c)(1)
and (c)(2)(i), Sec. 1302.22(c), or Sec. 1302.23(c), and assess the
effectiveness of the variation in supporting appropriate development and
progress in children's early learning outcomes.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67810, Aug. 21, 2024]

Subpart C_Education and Child Development Program Services

Sec. 1302.30 Purpose.

All programs must provide high-quality early education and child
development services, including for children with disabilities, that
promote children's cognitive, social, and emotional growth for later
success in school. A center-based or family child care program must
embed responsive and effective teacher-child interactions. A home-based
program must promote secure parent-child relationships and help parents
provide high-quality early learning experiences. All programs must
implement a research-based curriculum, and screening and assessment
procedures that support individualization and growth in the areas of
development described in the Head Start Early Learning Outcomes
Framework: Ages Birth to Five and support family engagement in
children's learning and development. A program must deliver
developmentally, culturally, and linguistically appropriate learning
experiences in language, literacy, mathematics, social and emotional
functioning, approaches to learning, science, physical skills, and
creative arts. To deliver such high-quality early education and child
development services, a center-based or family child care program must
implement, at a minimum, the elements contained in Sec. Sec. 1302.31
through 1302.34, and a home-based program must implement, at a minimum,
the elements in Sec. Sec. 1302.33 and 1302.35.

Sec. 1302.31 Teaching and the learning environment.

(a) Teaching and the learning environment. A center-based and family
child care program must ensure teachers and other relevant staff provide
responsive

[[Page 93]]

care, effective teaching, and an organized learning environment that
promotes healthy development and children's skill growth aligned with
the Head Start Early Learning Outcomes Framework: Ages Birth to Five,
including for children with disabilities. A program must also support
implementation of such environment with integration of regular and
ongoing supervision and a system of individualized and ongoing
professional development, as appropriate. This includes, at a minimum,
the practices described in paragraphs (b) through (e) of this section.
(b) Effective teaching practices. (1) Teaching practices must:
(i) Emphasize nurturing and responsive practices, interactions, and
environments that foster trust and emotional security; are communication
and language rich; promote critical thinking and problem-solving;
social, emotional, behavioral, and language development; provide
supportive feedback for learning; motivate continued effort; and support
all children's engagement in learning experiences and activities;
(ii) Focus on promoting growth in the developmental progressions
described in the Head Start Early Learning Outcomes Framework: Ages
Birth to Five by aligning with and using the Framework and the curricula
as described in Sec. 1302.32 to direct planning of organized
activities, schedules, lesson plans, and the implementation of high-
quality early learning experiences that are responsive to and build upon
each child's individual pattern of development and learning;
(iii) Integrate child assessment data in individual and group
planning; and,
(iv) Include developmentally appropriate learning experiences in
language, literacy, social and emotional development, math, science,
social studies, creative arts, and physical development that are focused
toward achieving progress outlined in the Head Start Early Learning
Outcomes Framework: Ages Birth to Five.
(2) For dual language learners, a program must recognize
bilingualism and biliteracy as strengths and implement research-based
teaching practices that support their development. These practices must:
(i) For an infant or toddler dual language learner, include teaching
practices that focus on the development of the home language, when there
is a teacher with appropriate language competency, and experiences that
expose the child to English;
(ii) For a preschool age dual language learner, include teaching
practices that focus on both English language acquisition and the
continued development of the home language; or,
(iii) If staff do not speak the home language of all children in the
learning environment, include steps to support the development of the
home language for dual language learners such as having culturally and
linguistically appropriate materials available and other evidence-based
strategies. Programs must work to identify volunteers who speak
children's home language/s who could be trained to work in the classroom
to support children's continued development of the home language.
(c) Learning environment. A program must ensure teachers implement
well-organized learning environments with developmentally appropriate
schedules, lesson plans, and indoor and outdoor learning experiences
that provide adequate opportunities for choice, play, exploration, and
experimentation among a variety of learning, sensory, and motor
experiences and:
(1) For infants and toddlers, promote relational learning and
include individualized and small group activities that integrate
appropriate daily routines into a flexible schedule of learning
experiences; and,
(2) For preschool age children, include teacher-directed and child-
initiated activities, active and quiet learning activities, and
opportunities for individual, small group, and large group learning
activities.
(d) Materials and space for learning. To support implementation of
the curriculum and the requirements described in paragraphs (a), (b),
(c), and (e) of this section a program must provide age-appropriate
equipment, materials, supplies and physical space for indoor and outdoor
learning environments, including functional space. The equipment,
materials and supplies

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must include any necessary accommodations and the space must be
accessible to children with disabilities. Programs must change materials
intentionally and periodically to support children's interests,
development, and learning.
(e) Promoting learning through approaches to rest, meals, routines,
and physical activity. (1) A program must implement an intentional, age
appropriate approach to accommodate children's need to nap or rest, and
that, for preschool age children in a program that operates for 6 hours
or longer per day provides a regular time every day at which preschool
age children are encouraged but not forced to rest or nap. A program
must provide alternative quiet learning activities for children who do
not need or want to rest or nap.
(2) A program must implement snack and meal times in ways that
support development and learning. For bottle-fed infants, this approach
must include holding infants during feeding to support socialization.
Snack and meal times must be structured and used as learning
opportunities that support teaching staff-child interactions and foster
communication and conversations that contribute to a child's learning,
development, and socialization. Programs are encouraged to meet this
requirement with family style meals when developmentally appropriate. A
program must also provide sufficient time for children to eat, not use
food as reward or punishment, and not force children to finish their
food.
(3) A program must approach routines, such as hand washing and
diapering, and transitions between activities, as opportunities for
strengthening development, learning, and skill growth.
(4) A program must recognize physical activity as important to
learning and integrate intentional movement and physical activity into
curricular activities and daily routines in ways that support health and
learning. A program must not use physical activity as reward or
punishment.

Sec. 1302.32 Curricula.

(a) Curricula. (1) Center-based and family child care programs must
implement developmentally appropriate research-based early childhood
curricula, including additional curricular enhancements, as appropriate
that:
(i) Are based on scientifically valid research and have standardized
training procedures and curriculum materials to support implementation;
(ii) Are aligned with the Head Start Early Learning Outcomes
Framework: Ages Birth to Five and, as appropriate, state early learning
and development standards; and are sufficiently content-rich to promote
measurable progress toward development and learning outlined in the
Framework; and,
(iii) Have an organized developmental scope and sequence that
include plans and materials for learning experiences based on
developmental progressions and how children learn.
(2) A program must support staff to effectively implement curricula
and at a minimum monitor curriculum implementation and fidelity, and
provide support, feedback, and supervision for continuous improvement of
its implementation through the system of training and professional
development.
(b) Adaptation. A program that chooses to make significant
adaptations to a curriculum or a curriculum enhancement described in
paragraph (a)(1) of this section to better meet the needs of one or more
specific populations must use an external early childhood education
curriculum or content area expert to develop such significant
adaptations. A program must assess whether the adaptation adequately
facilitates progress toward meeting school readiness goals, consistent
with the process described in Sec. 1302.102(b) and (c). Programs are
encouraged to partner with outside evaluators in assessing such
adaptations.

Sec. 1302.33 Child screenings and assessments.

(a) Screening. (1) In collaboration with each child's parent and
with parental consent, a program must complete or obtain a current
developmental screening to identify concerns regarding a child's
developmental, behavioral, motor, language, social, cognitive, and
emotional skills within 45 calendar days of when the child first attends
the program or, for the home-based program option, receives a home

[[Page 95]]

visit. A program that operates for 90 days or less must complete or
obtain a current developmental screening within 30 calendar days of when
the child first attends the program.
(2) A program must use one or more research-based developmental
standardized screening tools to complete the screening. A program must
use as part of the screening additional information from family members,
teachers, and relevant staff familiar with the child's typical behavior.
(3) If warranted through screening and additional relevant
information and with direct guidance from a mental health or child
development professional a program must, with the parent's consent,
promptly and appropriately address any needs identified through:
(i) Referral to the local agency responsible for implementing IDEA
for a formal evaluation to assess the child's eligibility for services
under IDEA as soon as possible, and not to exceed timelines required
under IDEA; and,
(ii) Partnership with the child's parents and the relevant local
agency to support families through the formal evaluation process.
(4) If a child is determined to be eligible for services under IDEA,
the program must partner with parents and the local agency responsible
for implementing IDEA, as appropriate, and deliver the services in
subpart F of this part.
(5) If, after the formal evaluation described in paragraph (a)(3)(i)
of this section, the local agency responsible for implementing IDEA
determines the child is not eligible for early intervention or special
education and related services under IDEA, the program must:
(i) Seek guidance from a mental health or child development
professional to determine if the formal evaluation shows the child has a
significant delay in one or more areas of development that is likely to
interfere with the child's development and school readiness; and,
(ii) If the child has a significant delay, partner with parents to
help the family access services and supports to help address the child's
identified needs.
(A) Such additional services and supports may be available through a
child's health insurance or it may be appropriate for the program to
provide needed services and supports under section 504 of the
Rehabilitation Act if the child satisfies the definition of disability
in 29 U.S.C. 705(9)(b) of the Rehabilitation Act, to ensure that the
child who satisfies the definition of disability in 29 U.S.C. 705(9)(b)
of the Rehabilitation Act is not excluded from the program on the basis
of disability.
(B) A program may use program funds for such services and supports
when no other sources of funding are available.
(b) Assessment for individualization. (1) A program must conduct
standardized and structured assessments, which may be observation-based
or direct, for each child that provide ongoing information to evaluate
the child's developmental level and progress in outcomes aligned to the
goals described in the Head Start Early Learning Child Outcomes
Framework: Ages Birth to Five. Such assessments must result in usable
information for teachers, home visitors, and parents and be conducted
with sufficient frequency to allow for individualization within the
program year.
(2) A program must regularly use information from paragraph (b)(1)
of this section along with informal teacher observations and additional
information from family and staff, as relevant, to determine a child's
strengths and needs, inform and adjust strategies to better support
individualized learning and improve teaching practices in center-based
and family child care settings, and improve home visit strategies in
home-based models.
(3) If warranted from the information gathered from paragraphs
(b)(1) and (2) of this section and with direct guidance from a mental
health or child development professional and a parent's consent, a
program must refer the child to the local agency responsible for
implementing IDEA for a formal evaluation to assess a child's
eligibility for services under IDEA.
(c) Characteristics of screenings and assessments. (1) Screenings
and assessments must be valid and reliable for the population and
purpose for which they will be used, including by being

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conducted by qualified and trained personnel, and being age,
developmentally, culturally and linguistically appropriate, and
appropriate for children with disabilities, as needed.
(2) If a program serves a child who speaks a language other than
English, a program must use qualified bilingual staff, contractor, or
consultant to:
(i) Assess language skills in English and in the child's home
language, to assess both the child's progress in the home language and
in English language acquisition;
(ii) Conduct screenings and assessments for domains other than
language skills in the language or languages that best capture the
child's development and skills in the specific domain; and,
(iii) Ensure those conducting the screening or assessment know and
understand the child's language and culture and have sufficient skill
level in the child's home language to accurately administer the
screening or assessment and to record and understand the child's
responses, interactions, and communications.
(3) If a program serves a child who speaks a language other than
English and qualified bilingual staff, contractors, or consultants are
not able to conduct screenings and assessments, a program must use an
interpreter in conjunction with a qualified staff person to conduct
screenings and assessments as described in paragraphs (c)(2)(i) through
(iii) of this section.
(4) If a program serves a child who speaks a language other than
English and can demonstrate that there is not a qualified bilingual
staff person or interpreter, then screenings and assessments may be
conducted in English. In such a case, a program must also gather and use
other information, including structured observations over time and
information gathered in a child's home language from the family, for use
in evaluating the child's development and progress.
(d) Prohibitions on use of screening and assessment data. The use of
screening and assessment items and data on any screening or assessment
authorized under this subchapter by any agent of the federal government
is prohibited for the purposes of ranking, comparing, or otherwise
evaluating individual children for purposes other than research,
training, or technical assistance, and is prohibited for the purposes of
providing rewards or sanctions for individual children or staff. A
program must not use screening or assessments to exclude children from
enrollment or participation.

Sec. 1302.34 Parent and family engagement in education and
child development services.

(a) Purpose. Center-based and family child care programs must
structure education and child development services to recognize parents'
roles as children's lifelong educators, and to encourage parents to
engage in their child's education.
(b) Engaging parents and family members. A program must offer
opportunities for parents and family members to be involved in the
program's education services and implement policies to ensure:
(1) The program's settings are open to parents during all program
hours;
(2) Teachers regularly communicate with parents to ensure they are
well-informed about their child's routines, activities, and behavior;
(3) Teachers hold parent conferences, as needed, but no less than
two times per program year, to enhance the knowledge and understanding
of both staff and parents of the child's education and developmental
progress and activities in the program;
(4) Parents have the opportunity to learn about and to provide
feedback on selected curricula and instructional materials used in the
program;
(5) Parents and family members have opportunities to volunteer in
the class and during group activities;
(6) Teachers inform parents, about the purposes of and the results
from screenings and assessments and discuss their child's progress;
(7) Teachers, except those described in paragraph (b)(8) of this
section, conduct at least two home visits per program year for each
family, including one before the program year begins, if feasible, to
engage the parents in the child's learning and development, except that
such visits may take place at a program site or another safe location

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that affords privacy at the parent's request, or if a visit to the home
presents significant safety hazards for staff;
(8) Teachers that serve migrant or seasonal families make every
effort to conduct home visits to engage the family in the child's
learning and development; and
(9) The program utilizes accessible communication methods and
modalities that meet the needs of the community when engaging with
prospective and enrolled families.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67810, Aug. 21, 2024]

Sec. 1302.35 Education in home-based programs.

(a) Purpose. A home-based program must provide home visits and group
socialization activities that promote secure parent-child relationships
and help parents provide high-quality early learning experiences in
language, literacy, mathematics, social and emotional functioning,
approaches to learning, science, physical skills, and creative arts. A
program must implement a research-based curriculum that delivers
developmentally, linguistically, and culturally appropriate home visits
and group socialization activities that support children's cognitive,
social, and emotional growth for later success in school.
(b) Home-based program design. A home-based program must ensure all
home visits are:
(1) Planned jointly by the home visitor and parents, and reflect the
critical role of parents in the early learning and development of their
children, including that the home visitor is able to effectively
communicate with the parent, directly or through an interpreter;
(2) Planned using information from ongoing assessments that
individualize learning experiences;
(3) Scheduled with sufficient time to serve all enrolled children in
the home and conducted with parents and are not conducted when only
babysitters or other temporary caregivers are present;
(4) Scheduled with sufficient time and appropriate staff to ensure
effective delivery of services described in subparts D, E, F, and G of
this part through home visiting, to the extent possible.
(c) Home visit experiences. A program that operates the home-based
option must ensure all home visits focus on promoting high-quality early
learning experiences in the home and growth towards the goals described
in the Head Start Early Learning Outcomes Framework: Ages Birth to Five
and must use such goals and the curriculum to plan home visit activities
that implement:
(1) Age and developmentally appropriate, structured child-focused
learning experiences;
(2) Strategies and activities that promote parents' ability to
support the child's cognitive, social, emotional, language, literacy,
and physical development;
(3) Strategies and activities that promote the home as a learning
environment that is safe, nurturing, responsive, and language- and
communication- rich;
(4) Research-based strategies and activities for children who are
dual language learners that recognize bilingualism and biliteracy as
strengths, and:
(i) For infants and toddlers, focus on the development of the home
language, while providing experiences that expose both parents and
children to English; and,
(ii) For preschoolers, focus on both English language acquisition
and the continued development of the home language; and,
(5) Follow-up with the families to discuss learning experiences
provided in the home between each visit, address concerns, and inform
strategies to promote progress toward school readiness goals.
(d) Home-based curriculum. A program that operates the home-based
option must:
(1) Ensure home-visiting and group socializations implement a
developmentally appropriate research-based early childhood home-based
curriculum that:
(i) Promotes the parent's role as the child's teacher through
experiences focused on the parent-child relationship and, as
appropriate, the family's traditions, culture, values, and beliefs;

[[Page 98]]

(ii) Aligns with the Head Start Early Learning Outcomes Framework:
Ages Birth to Five and, as appropriate, state early learning standards,
and, is sufficiently content-rich within the Framework to promote
measurable progress toward goals outlined in the Framework; and,
(iii) Has an organized developmental scope and sequence that
includes plans and materials for learning experiences based on
developmental progressions and how children learn.
(2) Support staff in the effective implementation of the curriculum
and at a minimum monitor curriculum implementation and fidelity, and
provide support, feedback, and supervision for continuous improvement of
its implementation through the system of training and professional
development.
(3) If a program chooses to make significant adaptations to a
curriculum or curriculum enhancement to better meet the needs of one or
more specific populations, a program must:
(i) Partner with early childhood education curriculum or content
experts; and,
(ii) Assess whether the adaptation adequately facilitates progress
toward meeting school readiness goals consistent with the process
described in Sec. 1302.102(b) and (c).
(4) Provide parents with an opportunity to review selected curricula
and instructional materials used in the program.
(e) Group socialization. (1) A program that operates the home-based
option must ensure group socializations are planned jointly with
families, conducted with both child and parent participation, occur in a
classroom, community facility, home or field trip setting, as
appropriate.
(2) Group socializations must be structured to:
(i) Provide age appropriate activities for participating children
that are intentionally aligned to school readiness goals, the Head Start
Early Learning Outcomes Framework: Ages Birth to Five and the home-based
curriculum; and,
(ii) Encourage parents to share experiences related to their
children's development with other parents in order to strengthen parent-
child relationships and to help promote parents understanding of child
development;
(3) For parents with preschoolers, group socializations also must
provide opportunities for parents to participate in activities that
support parenting skill development or family partnership goals
identified in Sec. 1302.52(c), as appropriate and must emphasize peer
group interactions designed to promote children's social, emotional and
language development, and progress towards school readiness goals, while
encouraging parents to observe and actively participate in activities,
as appropriate.
(f) Screening and assessments. A program that operates the home-
based option must implement provisions in Sec. 1302.33 and inform
parents about the purposes of and the results from screenings and
assessments and discuss their child's progress.

Sec. 1302.36 Tribal language preservation and revitalization.

A program that serves American Indian and Alaska Native children may
integrate efforts to preserve, revitalize, restore, or maintain the
tribal language for these children into program services. Such language
preservation and revitalization efforts may include full immersion in
the tribal language for the majority of the hours of planned class
operations. If children's home language is English, exposure to English
as described in Sec. 1302.31(b)(2)(i) and (ii) is not required.

Subpart D_Health and Mental Health Program Services

Sec. 1302.40 Purpose.

(a) A program must provide high-quality health, oral health, mental
health, and nutrition services that are developmentally, culturally, and
linguistically appropriate and that will support each child's growth and
school readiness.
(b) A program must establish and maintain a Health and Mental Health

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Services Advisory Committee that includes Head Start parents,
professionals, and other volunteers from the community.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67810, Aug. 21, 2024]

Sec. 1302.41 Collaboration and communication with parents.

(a) For all activities described in this part, programs must
collaborate with parents as partners in the health, mental health, and
well-being of their children in a linguistically and culturally
appropriate manner and communicate with parents about their child's
health and mental health needs and development concerns in a timely and
effective manner.
(b) At a minimum, a program must:
(1) Obtain advance authorization from the parent or other person
with legal authority for all health, mental health, and developmental
procedures administered through the program or by contract or agreement,
and, maintain written documentation if they refuse to give authorization
for health and mental health services; and,
(2) Share with parents the policies for health or mental health
emergencies that require rapid response on the part of staff or
immediate medical attention.

[89 FR 67810, Aug. 21, 2024]

Sec. 1302.42 Child health status and care.

(a) Source of health care. (1) A program, within 30 calendar days
after the child first attends the program or, for the home-based program
option, receives a home visit, must consult with parents to determine
whether each child has ongoing sources of continuous, accessible health
care--provided by a health care professional that maintains the child's
ongoing health record and is not primarily a source of emergency or
urgent care--and health insurance coverage.
(2) If the child does not have such a source of ongoing care and
health insurance coverage or access to care through the Indian Health
Service, the program must assist families in accessing a source of care
and health insurance that will meet these criteria, as quickly as
possible.
(b) Ensuring up-to-date child health status. (1) Within 90 calendar
days after the child first attends the program or, for the home-based
program option, receives a home visit, with the exceptions noted in
paragraph (b)(3) of this section, a program must:
(i) Obtain determinations from health care and oral health care
professionals as to whether or not the child is up-to-date on a schedule
of age appropriate preventive and primary medical, mental health, and
oral health care, based on: the well-child visits and dental periodicity
schedules as prescribed by the Early and Periodic Screening, Diagnosis,
and Treatment (EPSDT) program of the Medicaid agency of the State in
which they operate, immunization recommendations issued by the Centers
for Disease Control and Prevention, and any additional recommendations
from the local Health and Mental Health Services Advisory Committee that
are based on prevalent community health problems; and
(ii) Assist parents with making arrangements to bring the child up-
to-date as quickly as possible; and, if necessary, directly facilitate
provision of health services to bring the child up-to-date with parent
consent as described in Sec. 1302.41(b)(1).
(2) Within 45 calendar days after the child first attends the
program or, for the home-based program option, receives a home visit, a
program must either obtain or perform evidence-based vision and hearing
screenings.
(3) If a program operates for 90 days or less, it has 30 days from
the date the child first attends the program to satisfy paragraphs
(b)(1) and (2) of this section.
(4) A program must identify each child's nutritional health needs,
taking into account available health information, including the child's
health records, relevant developmental or mental health concerns, and
family and staff concerns, including special dietary requirements, food
allergies, and community nutrition issues as identified through the
community assessment or by the Health and Mental Health Services
Advisory Committee.

[[Page 100]]

(c) Ongoing care. (1) A program must help parents continue to follow
recommended schedules of well-child and oral health care.
(2) A program must implement periodic observations or other
appropriate strategies for program staff and parents to identify any new
or recurring developmental, medical, oral, or mental health concerns.
(3) A program must facilitate and monitor necessary oral health
preventive care, treatment and follow-up, including topical fluoride
treatments. In communities where there is a lack of adequate fluoride
available through the water supply and for every child with moderate to
severe tooth decay, a program must also facilitate fluoride supplements,
and other necessary preventive measures, and further oral health
treatment as recommended by the oral health professional.
(d) Extended follow-up care. (1) A program must facilitate further
diagnostic testing, evaluation, treatment, and follow-up plan, as
appropriate, by a licensed or certified professional for each child with
a health problem or developmental delay, such as elevated lead levels or
abnormal hearing or vision results that may affect child's development,
learning, or behavior.
(2) A program must develop a system to track referrals and services
provided and monitor the implementation of a follow-up plan to meet any
treatment needs associated with a health, oral health, social and
emotional, or developmental problem.
(3) A program must assist parents, as needed, in obtaining any
prescribed medications, aids or equipment for medical and oral health
conditions.
(e) Use of funds. (1) A program must use program funds for the
provision of diapers and formula for enrolled children during the
program day.
(2) A program may use program funds for professional medical and
oral health services when no other source of funding is available. When
program funds are used for such services, grant recipient and delegate
agencies must have written documentation of their efforts to access
other available sources of funding.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67810, Aug. 21, 2024]

Sec. 1302.43 Oral health practices.

A program must promote effective oral health hygiene by ensuring all
children with teeth are assisted by appropriate staff, or volunteers, if
available, in brushing their teeth with toothpaste containing fluoride
once daily.

Sec. 1302.44 Child nutrition.

(a) Nutrition service requirements. (1) A program must design and
implement nutrition services that are culturally and developmentally
appropriate, meet the nutritional needs of and accommodate the feeding
requirements of each child, including children with special dietary
needs and children with disabilities. Family style meals are encouraged
as described in Sec. 1302.31(e)(2).
(2) Specifically, a program must:
(i) Ensure each child in a program that operates for fewer than six
hours per day receives meals and snacks that provide one third to one
half of the child's daily nutritional needs;
(ii) Ensure each child in a program that operates for six hours or
more per day receives meals and snacks that provide one half to two
thirds of the child's daily nutritional needs, depending upon the length
of the program day;
(iii) Serve three- to five-year-olds meals and snacks that conform
to USDA requirements in 7 CFR parts 210, 220, and 226, and are high in
nutrients and low in fat, sugar, and salt;
(iv) Feed infants and toddlers according to their individual
developmental readiness and feeding skills as recommended in USDA
requirements outlined in 7 CFR parts 210, 220, and 226, and ensure
infants and young toddlers are fed on demand to the extent possible;
(v) Ensure bottle-fed infants are never laid down to sleep with a
bottle;
(vi) Serve all children in morning center-based settings who have
not received breakfast upon arrival at the program a nourishing
breakfast;
(vii) Provide appropriate healthy snacks and meals to each child
during group socialization activities in the home-based option;
(viii) Promote breastfeeding, including providing facilities to
properly store and handle breast milk and make

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accommodations, as necessary, for mothers who wish to breastfeed during
program hours, and if necessary, provide referrals to lactation
consultants or counselors; and,
(ix) Make safe drinking water available to children during the
program day.
(b) Payment sources. A program must use funds from USDA Food,
Nutrition, and Consumer Services Child Nutrition programs as the primary
source of payment for meal services. Head Start funds may be used to
cover those allowable costs not covered by the USDA.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67810, Aug. 21, 2024]

Sec. 1302.45 Supports for mental health and well-being.

(a) Program-wide wellness supports. To support a program-wide
culture that promotes mental health, social and emotional well-being,
and overall health and safety, a program must use a multidisciplinary
approach that:
(1) Coordinates supports for adult mental health and well-being,
including engaging in nurturing and responsive relationships with
families, engaging families in home visiting services, and promoting
staff health and wellness, as described in Sec. 1302.93.
(2) Coordinates supports for positive learning environments for all
children; supportive teacher practices; and strategies for supporting
children with social, emotional, behavioral, or mental health concerns.
(3) Secures ongoing mental health consultation services and examines
the approach to mental health consultation on an annual basis to
determine if it meets the needs of the program.
(4) Ensures mental health consultation services are available at a
frequency of at least once a month.
(i) If a mental health consultant is not available to provide
services at least once a month, programs must use other licensed mental
health professionals or behavioral health support specialists certified
and trained in their profession or recognized by their Tribal
governments, such as peer specialists, community health workers,
promotores, traditional practitioners, or behavioral health aides, to
ensure mental health supports are available on at least a monthly basis.
(ii) If the program uses other licensed mental health professionals
or behavioral health support specialists, the program must ensure their
regular coordination and consultation with mental health consultants.
(5) Ensures that all children receive adequate screening and
appropriate follow up and the parent receives referrals about how to
access services for potential social, emotional, behavioral, or other
mental health concerns, as described in Sec. 1302.33.
(6) Facilitates multidisciplinary coordination and collaboration
between mental health and other relevant program services, including
education, disability, family engagement, and health services.
(7) Builds community partnerships to facilitate access to additional
mental health resources and services, as needed, including through the
Health and Mental Health Services Advisory Committee in Sec. 1302.40.
(b) Mental health consultants. A program must ensure that mental
health consultants provide consultation services that build the capacity
of adults in an infant or young child's life to strengthen and support
the mental health and social and emotional development of children,
including consultation with any of the following:
(1) The program to implement strategies that promote a program-wide
culture of mental health, prevent mental health challenges from
developing, and identify and support children with mental health and
social and emotional concerns;
(2) Child and family services staff to implement strategies that
build nurturing and responsive relationships and create positive
learning environments that promote the mental health and social and
emotional development of all children;
(3) Staff who have contact with children to understand and
appropriately respond to prevalent child mental health concerns,
including internalizing problems such as appearing withdrawn;
externalizing problems such as behavioral concerns; and how exposure to
trauma and substance use can influence risk;

[[Page 102]]

(4) Families and staff to understand mental health and access mental
health interventions or supports, if needed, including in the event of a
natural disaster or crisis;
(5) The program to implement policies to limit suspension and
prohibit expulsion as described in Sec. 1302.17; and
(6) The program to support the well-being of children and families
involved in any significant child health, mental health, or safety
incident described in Sec. 1302.102(d)(1)(ii).

[89 FR 67810, Aug. 21, 2024]

Sec. 1302.46 Family support services for health, nutrition, and mental health.

(a) Parent collaboration. Programs must collaborate with parents to
promote children's health and well-being by providing medical, oral,
nutrition and mental health education support services that are
understandable to individuals, including individuals with low health
literacy.
(b) Opportunities. (1) Such collaboration must include opportunities
for parents to:
(i) Learn about preventive medical and oral health care, emergency
first aid, environmental hazards, and health and safety practices for
the home including health and developmental consequences of tobacco
products use and exposure to lead, and safe sleep;
(ii) Discuss their child's nutritional status with staff, including
the importance of physical activity, healthy eating, and the negative
health consequences of sugar-sweetened beverages, and how to select and
prepare nutritious foods that meet the family's nutrition and food
budget needs;
(iii) Learn about healthy pregnancy and postpartum care, as
appropriate, including breastfeeding support and treatment options for
parental mental health, including depression, anxiety, and substance use
concerns;
(iv) Discuss information related to their child's mental health with
staff, including typical and atypical behavior and development, and how
to appropriately respond to their child and promote their child's social
and emotional development; and,
(v) Learn about appropriate vehicle and pedestrian safety for
keeping children safe.
(2) A program must provide ongoing support to assist parents'
navigation through health and mental health systems to meet the general
health and specifically identified needs of their children and must
assist parents:
(i) In understanding how to access health insurance for themselves
and their families, including information about private and public
health insurance and designated enrollment periods;
(ii) In understanding the results of diagnostic and treatment
procedures as well as plans for ongoing care;
(iii) In familiarizing their children with services they will
receive while enrolled in the program and to enroll and participate in a
system of ongoing family health care; and
(iv) In providing information about how to access mental health
services for young children and their families, including referrals if
appropriate.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67811, Aug. 21, 2024]

Sec. 1302.47 Safety practices.

(a) A program must establish, train staff on, implement, and enforce
a system of health and safety practices that ensure children are kept
safe at all times. A program should consult Caring for our Children
Basics, available at http://www.acf.hhs.gov/sites/default/files/ecd/
caring_for_our_children_basics.pdf, for additional information to
develop and implement adequate safety policies and practices described
in this part.
(b) A program must develop and implement a system of management,
including ongoing training, oversight, correction and continuous
improvement in accordance with Sec. 1302.102, that includes policies
and practices to ensure all facilities, equipment and materials,
background checks, safety training, safety and hygiene practices and
administrative safety procedures are adequate to ensure child safety.
This system must ensure:
(1) Facilities. All facilities where children are served, including
areas for learning, playing, sleeping, toileting, and eating are, at a
minimum:

[[Page 103]]

(i) Meet licensing requirements in accordance with Sec. Sec.
1302.21(d)(1) and 1302.23(d);
(ii) Clean and free from pests;
(iii) Free from pollutants, hazards and toxins that are accessible
to children and could endanger children's safety;
(iv) Designed to prevent child injury and free from hazards,
including choking, strangulation, electrical, and drowning hazards,
hazards posed by appliances and all other safety hazards;
(v) Well lit, including emergency lighting;
(vi) Equipped with safety supplies that are readily accessible to
staff, including, at a minimum, fully-equipped and up-to-date first aid
kits and appropriate fire safety supplies;
(vii) Free from firearms or other weapons that are accessible to
children;
(viii) Designed to separate toileting and diapering areas from areas
for preparing food, cooking, eating, or children's activities; and,
(ix) Kept safe through an ongoing system of preventative
maintenance.
(2) Equipment and materials. Indoor and outdoor play equipment,
cribs, cots, feeding chairs, strollers, and other equipment used in the
care of enrolled children, and as applicable, other equipment and
materials meet standards set by the Consumer Product Safety Commission
(CPSC) or the American Society for Testing and Materials, International
(ASTM). All equipment and materials must at a minimum:
(i) Be clean and safe for children's use and are appropriately
disinfected;
(ii) Be accessible only to children for whom they are age
appropriate;
(iii) Be designed to ensure appropriate supervision of children at
all times;
(iv) Allow for the separation of infants and toddlers from
preschoolers during play in center-based programs; and,
(v) Be kept safe through an ongoing system of preventative
maintenance.
(3) Background checks. All staff have complete background checks in
accordance with Sec. 1302.90(b).
(4) Safety training--(i) Staff with regular child contact. All staff
with regular child contact have initial orientation training within
three months of hire and ongoing training in all state, local, tribal,
federal and program-developed health, safety and child care requirements
to ensure the safety of children in their care; including, at a minimum,
and as appropriate based on staff roles and ages of children they work
with, training in:
(A) The prevention and control of infectious diseases;
(B) Prevention of sudden infant death syndrome and use of safe
sleeping practices;
(C) Administration of medication, consistent with standards for
parental consent;
(D) Prevention and response to emergencies due to food and allergic
reactions;
(E) Building and physical premises safety, including identification
of and protection from hazards, bodies of water, and vehicular traffic;
(F) Prevention of shaken baby syndrome, abusive head trauma, and
child maltreatment;
(G) Emergency preparedness and response planning for emergencies;
(H) Handling and storage of hazardous materials and the appropriate
disposal of biocontaminants;
(I) Appropriate precautions in transporting children, if applicable;
(J) First aid and cardiopulmonary resuscitation; and,
(K) Recognition and reporting of child abuse and neglect, in
accordance with the requirement at paragraph (b)(5) of this section.
(ii) Staff without regular child contact. All staff with no regular
responsibility for or contact with children have initial orientation
training within three months of hire; ongoing training in all state,
local, tribal, federal and program-developed health and safety
requirements applicable to their work; and training in the program's
emergency and disaster preparedness procedures.
(5) Safety practices. All staff, consultants, contractors, and
volunteers follow appropriate practices to keep children safe during all
activities, including, at a minimum:
(i) Reporting of suspected or known child abuse and neglect, as
defined by

[[Page 104]]

the Federal Child Abuse Prevention and Treatment Act (CAPTA) (42 U.S.C.
5101 note), including that staff comply with applicable Federal, State,
local, and Tribal laws;
(ii) Safe sleep practices, including ensuring that all sleeping
arrangements for children under 18 months of age use firm mattresses or
cots, as appropriate, and for children under 12 months, soft bedding
materials or toys must not be used;
(iii) Appropriate supervision of children at all times;
(iv) Only releasing children to an authorized adult; and
(v) All standards of conduct described in Sec. 1302.90(c)(1)(ii).
(6) Hygiene practices. All staff systematically and routinely
implement hygiene practices that at a minimum ensure:
(i) Appropriate toileting, hand washing, and diapering procedures
are followed;
(ii) Safe food preparation; and,
(iii) Exposure to blood and body fluids are handled consistent with
standards of the Occupational Safety Health Administration.
(7) Administrative safety procedures. Programs establish, follow,
and practice, as appropriate, procedures for, at a minimum:
(i) Emergencies;
(ii) Fire prevention and response;
(iii) Protection from contagious disease, including appropriate
inclusion and exclusion policies for when a child is ill, and from an
infectious disease outbreak, including appropriate notifications of any
reportable illness;
(iv) The handling, storage, administration, and record of
administration of medication;
(v) Maintaining procedures and systems to ensure children are only
released to an authorized adult; and,
(vi) Child specific health care needs and food allergies that
include accessible plans of action for emergencies. For food allergies,
a program must also post individual child food allergies prominently
where staff can view wherever food is served.
(8) Disaster preparedness plan. The program has all-hazards
emergency management/disaster preparedness and response plans for more
and less likely events including natural and manmade disasters and
emergencies, and violence in or near programs.
(9) COVID-19 mitigation policy. The program has an evidence-based
COVID-19 mitigation policy developed in consultation with their Health
Services Advisory Committee (HSAC) that can be scaled up or down based
on the impact of COVID-19 in the community to protect staff, children,
and families from COVID-19 infection.
(10) Exposure to lead in water and paint prevention practices. A
program must develop a plan to prevent children from being exposed to
lead in water and paint in Head Start facilities. In facilities where
lead may exist, a program must implement ongoing practices, including
testing and inspection at least every two years, with support from
trained professionals. As needed, a program must pursue remediation or
abatement to prevent lead exposure.
(c) A program must report any safety incidents in accordance with
Sec. 1302.102(d)(1)(ii).

[81 FR 61412, Sept. 6, 2016, as amended at 86 FR 68101, Nov. 30, 2021;
88 FR 1008, Jan. 6, 2023; 89 FR 67811, Aug. 21, 2024]

Subpart E_Family and Community Engagement Program Services

Sec. 1302.50 Family engagement.

(a) Purpose. A program must integrate parent and family engagement
strategies into all systems and program services to support family well-
being and promote children's learning and development. Programs are
encouraged to develop innovative multi-generation approaches that
address prevalent needs of families across their program that may
leverage community partnerships or other funding sources. This includes
communicating with families in a format that meets the needs of each
individual family.
(b) Family engagement approach. A program must:
(1) Recognize parents as their children's primary teachers and
nurturers and implement intentional strategies to engage parents in
their children's learning and development and support parent-child
relationships, including

[[Page 105]]

specific strategies for father engagement;
(2) Develop relationships with parents and structure services to
encourage trust and respectful, ongoing two-way communication between
staff and parents to create welcoming program environments that
incorporate the unique cultural, ethnic, and linguistic backgrounds of
families in the program and community;
(3) Collaborate with families in a family partnership process that
identifies needs, interests, strengths, goals, and services and
resources that support family well-being, including family safety,
health, and economic stability;
(4) Provide parents with opportunities to participate in the program
as employees or volunteers;
(5) Conduct family engagement services in the family's preferred
language, or through an interpreter, to the extent possible, and ensure
families have the opportunity to share personal information in an
environment in which they feel safe; and,
(6) Implement procedures for teachers, home visitors, and family
support staff to share information with each other, as appropriate and
consistent with the requirements in part 1303, subpart C, of this
chapter; FERPA; or IDEA, to ensure coordinated family engagement
strategies with children and families in the classroom, home, and
community.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67811, Aug. 21, 2024]

Sec. 1302.51 Parent activities to promote child learning and development.

(a) A program must promote shared responsibility with parents for
children's early learning and development, and implement family
engagement strategies that are designed to foster parental confidence
and skills in promoting children's learning and development. These
strategies must include:
(1) Offering activities that support parent-child relationships and
child development including language, dual language, literacy, and bi-
literacy development as appropriate;
(2) Providing parents with information about the importance of their
child's regular attendance, and partner with them, as necessary, to
promote consistent attendance; and,
(3) For dual language learners, information and resources for
parents about the benefits of bilingualism and biliteracy.
(b) A program must, at a minimum, offer opportunities for parents to
participate in a research-based parenting curriculum that builds on
parents' knowledge and offers parents the opportunity to practice
parenting skills to promote children's learning and development. A
program that chooses to make significant adaptations to the parenting
curriculum to better meet the needs of one or more specific populations
must work with an expert or experts to develop such adaptations.

Sec. 1302.52 Family partnership services.

(a) Family partnership process. A program must implement a family
partnership process that includes a family partnership agreement and the
activities described in this section to support family well-being,
including family safety, health, and economic stability, to support
child learning and development, to provide, if applicable, services and
supports for children with disabilities, and to foster parental
confidence and skills that promote the early learning and development of
their children. The process must be initiated as early in the program
year as possible and continue for as long as the family participates in
the program, based on parent interest and need.
(b) Identification of family strengths and needs. A program must
implement intake and family assessment procedures to identify family
strengths and needs related to the family engagement outcomes as
described in the Head Start Parent Family and Community Engagement
Framework, including family well-being, parent-child relationships,
families as lifelong educators, families as learners, family engagement
in transitions, family connections to peers and the local community, and
families as advocates and leaders.
(c) Individualized family partnership services. A program must offer
individualized family partnership services that:

[[Page 106]]

(1) Collaborate with families to identify interests, needs, and
aspirations related to the family engagement outcomes described in
paragraph (b) of this section;
(2) Help families achieve identified individualized family
engagement outcomes; and
(3) Establish and implement a family partnership agreement process
that is jointly developed and shared with parents in which staff and
families review individual progress, revise goals, evaluate and track
whether identified needs and goals are met, and adjust strategies on an
ongoing basis, as necessary.
(d) Approaches to family partnership services. A program must:
(1) Ensure the family assignment process takes into account the
varied interests, urgency, and intensity of identified family needs and
goals.
(2) Ensure the planned number of families assigned to work with
staff that conduct the family partnership process and work on family,
health and community engagement services is no greater than 40:1. A
program must maintain this ratio, except:
(i) When the responsible HHS official grants a waiver if the program
can demonstrate staff competencies at Sec. 1302.92(b)(4); program
outcomes at paragraph (b) of this section; and reasonable staff workload
as described in paragraph (d)(3) of this section.
(ii) During temporary periods of staff absence or attrition; changes
in daily operations related to start-up or transitional activities; or
extenuating circumstances related to emergency response and recovery.
(3) Ensure meaningful employee engagement practices address family
services workload experiences, in accordance with Sec. 1302.101(a)(2).
(e) Existing plans and community resources. In implementing this
section, a program must take into consideration any existing plans for
the family made with other community agencies and availability of other
community resources to address family needs, strengths, and goals, in
order to avoid duplication of effort.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67811, Aug. 21, 2024]

Sec. 1302.53 Community partnerships and coordination with other
early childhood and education programs.

(a) Community partnerships. (1) A program must establish ongoing
collaborative relationships and partnerships with community
organizations such as establishing joint agreements, procedures, or
contracts and arranging for onsite delivery of services as appropriate,
to facilitate access to community services that are responsive to
children's and families' needs and family partnership goals, and
community needs and resources, as determined by the community
assessment.
(2) A program must establish necessary collaborative relationships
and partnerships, with community organizations that may include:
(i) Health care providers, including child and adult mental health
professionals, Medicaid managed care networks, dentists, other health
professionals, nutritional service providers, providers of prenatal and
postnatal support, and substance abuse treatment providers;
(ii) Individuals and agencies that provide services to children with
disabilities and their families, elementary schools, state preschool
providers, and providers of child care services;
(iii) Family preservation and support services and child protective
services and any other agency to which child abuse must be reported
under state or tribal law;
(iv) Educational and cultural institutions, such as libraries and
museums, for both children and families;
(v) Temporary Assistance for Needy Families, nutrition assistance
agencies, workforce development and training programs, adult or family
literacy, adult education, and post-secondary education institutions,
and agencies or financial institutions that provide asset-building
education, products and services to enhance family financial stability
and savings;
(vi) Housing assistance agencies and providers of support for
children and families experiencing homelessness, including the local
educational agency liaison designated under section 722(g)(1)(J)(ii) of
the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11431 et seq.);

[[Page 107]]

(vii) Domestic violence prevention and support providers; and,
(viii) Other organizations or businesses that may provide support
and resources to families.
(b) Coordination with other programs and systems. A program must
take an active role in promoting coordinated systems of comprehensive
early childhood services to low-income children and families in their
community through communication, cooperation, and the sharing of
information among agencies and their community partners, while
protecting the privacy of child records in accordance with subpart C of
part 1303 of this chapter and applicable federal, state, local, and
tribal laws.
(1) Memorandum of understanding. To support coordination between
Head Start Preschool and publicly funded preschool programs, a program
must enter into a memorandum of understanding with the appropriate local
entity responsible for managing publicly funded preschool programs in
the service area of the program, as described in section 642(e)(5) of
the Act.
(2) Quality Rating and Improvement Systems. A program, with the
exception of American Indian and Alaska Native programs, should
participate in its State or local Quality Rating and Improvement System
(QRIS), to the extent practicable, if a State or local QRIS has a
strategy to support Head Start participation without requiring programs
to duplicate existing documentation from Office of Head Start oversight.
(3) Data systems. A program, with the exception of American Indian
and Alaska Native programs unless they would like to and to the extent
practicable, should integrate and share relevant data with state
education data systems, to the extent practicable, if the program can
receive similar support and benefits as other participating early
childhood programs.
(4) American Indian and Alaska Native programs. An American Indian
and Alaska Native program should determine whether or not it will
participate in the systems described in paragraphs (b)(2) and (3) of
this section.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67812, Aug. 21, 2024]

Subpart F_Additional Services for Children With Disabilities

Sec. 1302.60 Full participation in program services and activities.

A program must ensure enrolled children with disabilities, including
but not limited to those who are eligible for services under IDEA, and
their families receive all applicable program services delivered in the
least restrictive possible environment and that they fully participate
in all program activities.

Sec. 1302.61 Additional services for children.

(a) Additional services for children with disabilities. Programs
must ensure the individualized needs of children with disabilities,
including but not limited to those eligible for services under IDEA, are
being met and all children have access to and can fully participate in
the full range of activities and services. Programs must provide any
necessary modifications to the environment, multiple and varied formats
for instruction, and individualized accommodations and supports as
necessary to support the full participation of children with
disabilities. Programs must ensure all individuals with disabilities are
protected from discrimination under and provided with all services and
program modifications required by section 504 of the Rehabilitation Act
(29 U.S.C. 794), the Americans with Disabilities Act (42 U.S.C. 12101 et
seq.), and their implementing regulations.
(b) Services during IDEA eligibility determination. While the local
agency responsible for implementing IDEA determines a child's
eligibility, a program must provide individualized services and
supports, to the maximum extent possible, to meet the child's needs.
Such additional supports may be available through a child's health
insurance or it may be appropriate or required to provide the needed
services and supports under section 504 of the Rehabilitation Act if the
child satisfies the definition of disability in section 705(9)(b) of the
Rehabilitation Act. When such supports are not available through
alternate means, pending the evaluation results and eligibility
determination, a program must individualize program

[[Page 108]]

services based on available information such as parent input and child
observation and assessment data and may use program funds for these
purposes.
(c) Additional services for children with an IFSP or IEP. To ensure
the individual needs of children eligible for services under IDEA are
met, a program must:
(1) Work closely with the local agency responsible for implementing
IDEA, the family, and other service partners, as appropriate, to ensure:
(i) Services for a child with disabilities will be planned and
delivered as required by their IFSP or IEP, as appropriate;
(ii) Children are working towards the goals in their IFSP or IEP;
(iii) Elements of the IFSP or IEP that the program cannot implement
are implemented by other appropriate agencies, related service providers
and specialists;
(iv) IFSPs and IEPs are being reviewed and revised, as required by
IDEA; and,
(v) Services are provided in a child's regular Head Start classroom
or family child care home to the greatest extent possible.
(2) Plan and implement the transition services described in subpart
G of this part, including at a minimum:
(i) For children with an IFSP who are transitioning out of Early
Head Start, collaborate with the parents, and the local agency
responsible for implementing IDEA, to ensure appropriate steps are
undertaken in a timely and appropriate manner to determine the child's
eligibility for services under Part B of IDEA; and,
(ii) For children with an IEP who are transitioning out of Head
Start Preschool to kindergarten, collaborate with the parents, and the
local agency responsible for implementing IDEA, to ensure steps are
undertaken in a timely and appropriate manner to support the child and
family as they transition to a new setting.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67812, Aug. 21, 2024]

Sec. 1302.62 Additional services for parents.

(a) Parents of all children with disabilities. (1) A program must
collaborate with parents of children with disabilities, including but
not limited to children eligible for services under IDEA, to ensure the
needs of their children are being met, including support to help parents
become advocates for services that meet their children's needs and
information and skills to help parents understand their child's
disability and how to best support the child's development;
(2) A program must assist parents to access services and resources
for their family, including securing adaptive equipment and devices and
supports available through a child's health insurance or other entities,
creating linkages to family support programs, and helping parents
establish eligibility for additional support programs, as needed and
practicable.
(b) Parents of children eligible for services under IDEA. For
parents of children eligible for services under IDEA, a program must
also help parents:
(1) Understand the referral, evaluation, and service timelines
required under IDEA;
(2) Actively participate in the eligibility process and IFSP or IEP
development process with the local agency responsible for implementing
IDEA, including by informing parents of their right to invite the
program to participate in all meetings;
(3) Understand the purposes and results of evaluations and services
provided under an IFSP or IEP; and,
(4) Ensure their children's needs are accurately identified in, and
addressed through, the IFSP or IEP.

Sec. 1302.63 Coordination and collaboration with the local agency
responsible for implementing IDEA.

(a) A program must coordinate with the local agency responsible for
implementing IDEA to identify children enrolled or who intend to enroll
in a program that may be eligible for services under IDEA, including
through the process described in Sec. 1302.33(a)(3) and through
participation in the local agency Child Find efforts.
(b) A program must work to develop interagency agreements with the
local agency responsible for implementing IDEA to improve service
delivery to children eligible for services under

[[Page 109]]

IDEA, including the referral and evaluation process, service
coordination, promotion of service provision in the least restrictive
appropriate community-based setting and reduction in dual enrollment
which causes reduced time in a less restrictive setting, and transition
services as children move from services provided under Part C of IDEA to
services provided under Part B of IDEA and from preschool to
kindergarten.
(c) A program must participate in the development of the IFSP or IEP
if requested by the child's parents, and the implementation of the IFSP
or IEP. At a minimum, the program must offer:
(1) To provide relevant information from its screenings,
assessments, and observations to the team developing a child's IFSP or
IEP; and,
(2) To participate in meetings with the local agency responsible for
implementing IDEA to develop or review an IEP or IFSP for a child being
considered for Head Start enrollment, a currently enrolled child, or a
child transitioning from a program.
(d) A program must retain a copy of the IEP or IFSP for any child
enrolled in Head Start for the time the child is in the program,
consistent with the IDEA requirements in 34 CFR parts 300 and 303.

Subpart G_Transition Services

Sec. 1302.70 Transitions from Early Head Start.

(a) Implementing transition strategies and practices. An Early Head
Start program must implement strategies and practices to support
successful transitions for children and their families transitioning out
of Early Head Start.
(b) Timing for transitions. To ensure the most appropriate placement
and service following participation in Early Head Start, such programs
must, at least six months prior to each child's third birthday,
implement transition planning for each child and family that:
(1) Takes into account the child's developmental level and health
and disability status, progress made by the child and family while in
Early Head Start, current and changing family circumstances and, the
availability of Head Start Preschool, other public pre-kindergarten, and
other early education and child development services in the community
that will meet the needs of the child and family; and
(2) Transitions the child into Head Start Preschool or another
program as soon as possible after the child's third birthday but permits
the child to remain in Early Head Start for a limited number of
additional months following the child's third birthday if necessary for
an appropriate transition.
(c) Family collaborations. A program must collaborate with parents
of Early Head Start children to implement strategies and activities that
support successful transitions from Early Head Start and, at a minimum,
provide information about the child's progress during the program year
and provide strategies for parents to continue their involvement in and
advocacy for the education and development of their child.
(d) Early Head Start and Head Start Preschool collaboration. Early
Head Start and Head Start Preschool programs must work together to
maximize enrollment transitions from Early Head Start to Head Start
Preschool, consistent with the eligibility provisions in subpart A of
this part, and promote successful transitions through collaboration and
communication.
(e) Transition services for children with an IFSP. A program must
provide additional transition services for children with an IFSP, at a
minimum, as described in subpart F of this part.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67812, Aug. 21, 2024]

Sec. 1302.71 Transitions from Head Start Preschool to kindergarten.

(a) Implementing transition strategies and practices. A program that
serves children who will enter kindergarten in the following year must
implement transition strategies to support a successful transition to
kindergarten.
(b) Family collaborations for transitions. (1) A program must
collaborate with parents of enrolled children to implement strategies
and activities that will help parents advocate for and promote
successful transitions to kindergarten for their children, including
their continued involvement in the

[[Page 110]]

education and development of their child.
(2) At a minimum, such strategies and activities must:
(i) Help parents understand their child's progress during Head
Start;
(ii) Help parents understand practices they use to effectively
provide academic and social support for their children during their
transition to kindergarten and foster their continued involvement in the
education of their child;
(iii) Prepare parents to exercise their rights and responsibilities
concerning the education of their children in the elementary school
setting, including services and supports available to children with
disabilities and various options for their child to participate in
language instruction educational programs; and,
(iv) Assist parents in the ongoing communication with teachers and
other school personnel so that parents can participate in decisions
related to their children's education.
(c) Community collaborations for transitions. (1) A program must
collaborate with local education agencies to support family engagement
under section 642(b)(13) of the Act and state departments of education,
as appropriate, and kindergarten teachers to implement strategies and
activities that promote successful transitions to kindergarten for
children, their families, and the elementary school.
(2) At a minimum, such strategies and activities must include:
(i) Coordination with schools or other appropriate agencies to
ensure children's relevant records are transferred to the school or next
placement in which a child will enroll, consistent with privacy
requirements in subpart C of part 1303 of this chapter;
(ii) Communication between appropriate staff and their counterparts
in the schools to facilitate continuity of learning and development,
consistent with privacy requirements in subpart C of part 1303 of this
chapter; and,
(iii) Participation, as possible, for joint training and
professional development activities for Head Start and kindergarten
teachers and staff.
(3) A program that does not operate during the summer must
collaborate with school districts to determine the availability of
summer school programming for children who will be entering kindergarten
and work with parents and school districts to enroll children in such
programs, as appropriate.
(d) Learning environment activities. A program must implement
strategies and activities in the learning environment that promote
successful transitions to kindergarten for enrolled children, and at a
minimum, include approaches that familiarize children with the
transition to kindergarten and foster confidence about such transition.
(e) Transition services for children with an IEP. A program must
provide additional transition services for children with an IEP, at a
minimum, as described in subpart F of this part.

Sec. 1302.72 Transitions between programs.

(a) For families and children who move out of the community in which
they are currently served, including families experiencing homelessness
and children in foster care, a program must undertake efforts to support
effective transitions to other Head Start programs. If Head Start is not
available, the program should assist the family to identify another
early childhood program that meets their needs.
(b) A program that serves children whose families have decided to
transition them to other early education programs, including public pre-
kindergarten, in the year prior to kindergarten entry must undertake
strategies and activities described in Sec. 1302.71(b) and (c)(1) and
(2), as practicable and appropriate.
(c) A migrant or seasonal Head Start program must undertake efforts
to support effective transitions to other migrant or seasonal Head Start
or, if appropriate, Early Head Start or Head Start Preschool programs
for families and children moving out of the community in which they are
currently served.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67812, Aug. 21, 2024]

[[Page 111]]

Subpart H_Services to Enrolled Pregnant Women

Sec. 1302.80 Enrolled pregnant women.

(a) Within 30 days of enrollment, a program must determine whether
each enrolled pregnant woman has an ongoing source of continuous,
accessible health care--provided by a health care professional that
maintains her ongoing health record and is not primarily a source of
emergency or urgent care--and, as appropriate, health insurance
coverage.
(b) If an enrolled pregnant woman does not have a source of ongoing
care as described in paragraph (a) of this section and, as appropriate,
health insurance coverage, a program must, as quickly as possible,
facilitate her access to such a source of care that will meet her needs.
(c) A program must facilitate the ability of all enrolled pregnant
women to access comprehensive services through referrals that, at a
minimum, include nutritional counseling, food assistance, oral health
care, mental health services, substance abuse prevention and treatment,
and emergency shelter or transitional housing in cases of domestic
violence.
(d) A program must provide a newborn visit with each mother and baby
to offer support and identify family needs. A program must schedule the
newborn visit within two weeks after the infant's birth. At a minimum,
the visit must include a discussion of the following: maternal mental
and physical health, safe sleep, infant health, and support for basic
needs.
(e) A program must track and record services an enrolled pregnant
woman receives both from the program and through referrals, to help
identify specific prenatal care services and resources the enrolled
pregnant woman needs to support a healthy pregnancy.
(f) The program must provide services that help reduce barriers to
healthy maternal and birthing outcomes for each family, including
services that address disparities across racial and ethnic groups, and
use data on enrolled pregnant women to inform program services.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67812, Aug. 21, 2024]

Sec. 1302.81 Prenatal and postpartum information, education,
and services.

(a) A program must provide enrolled pregnant women, mothers,
fathers, and partners or other family members the prenatal and
postpartum information, education and services that address, as
appropriate, fetal development, the importance of nutrition in the
prenatal and postpartum stage including breastfeeding, the risks of
alcohol, drugs, and smoking and the benefits of substance use treatment,
labor and delivery, postpartum recovery, and infant care and safe sleep
practices.
(b) A program must support pregnant women, mothers, fathers,
partners, or other family members to access mental health services,
including referrals, as appropriate, to address concerns including
prenatal and postpartum mental health concerns including but not limited
to anxiety, depression, grief or loss, birth trauma, and substance use.
(c) A program must also address pregnant women's needs for
appropriate supports for social and emotional well-being, nurturing and
responsive caregiving, and father, partner, or other family member
engagement during pregnancy and early childhood.

[89 FR 67813, Aug. 21, 2024]

Sec. 1302.82 Family partnership services for enrolled pregnant women.

(a) A program must engage enrolled pregnant women and other relevant
family members, such as fathers, in the family partnership services as
described in Sec. 1302.52 and include a specific focus on factors that
influence prenatal and postpartum maternal and infant health. If a
program uses a curriculum in the provision of services to pregnant
women, this should be a maternal health curriculum, to support prenatal
and postpartum education needs.
(b) A program must engage enrolled pregnant women and other relevant
family members, such as fathers, in discussions about program options,

[[Page 112]]

plan for the infant's transition to program enrollment, and support the
family during the transition process, where appropriate.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67813, Aug. 21, 2024]

Subpart I_Human Resources Management

Sec. 1302.90 Personnel policies.

(a) Establishing personnel policies and procedures. A program must
establish written personnel policies and procedures that are approved by
the governing body and policy council or policy committee and that are
available to all staff.
(b) Background checks and selection procedures. (1) Before a person
is hired, directly or through contract, including transportation staff
and contractors, a program must conduct an interview, verify references,
conduct a sex offender registry check and obtain one of the following:
(i) State or tribal criminal history records, including fingerprint
checks; or,
(ii) Federal Bureau of Investigation criminal history records,
including fingerprint checks.
(2) A program has 90 days after an employee is hired to complete the
background check process by obtaining:
(i) Whichever check listed in paragraph (b)(1) of this section was
not obtained prior to the date of hire; and,
(ii) Child abuse and neglect state registry check, if available.
(3) A program must review the information found in each employment
application and complete background check to assess the relevancy of any
issue uncovered by the complete background check including any arrest,
pending criminal charge, or conviction and must use Child Care and
Development Fund (CCDF) disqualification factors described in 42 U.S.C.
9858f(c)(1)(D) and 42 U.S.C. 9858f(h)(1) or tribal disqualifications
factors to determine whether the prospective employee can be hired or
the current employee must be terminated.
(4) A program must ensure a newly hired employee, consultant, or
contractor does not have unsupervised access to children until the
complete background check process described in paragraphs (b)(1) through
(3) of this section is complete.
(5) A program must conduct the complete background check for each
employee, consultant, or contractor at least once every five years which
must include each of the four checks listed in paragraphs (b)(1) and (2)
of this section, and review and make employment decisions based on the
information as described in paragraph (b)(3) of this section, unless the
program can demonstrate to the responsible HHS official that it has a
more stringent system in place that will ensure child safety.
(6) A program must consider current and former program parents for
employment vacancies for which such parents apply and are qualified.
(c) Standards of conduct. (1) A program must ensure all staff,
consultants, contractors, and volunteers abide by the program's
standards of conduct that:
(i) Ensure staff, consultants, contractors, and volunteers implement
positive strategies to support children's well-being and prevent and
address challenging behavior;
(ii) Ensure staff, consultants, contractors, and volunteers do not
engage in behaviors that maltreat or endanger the health or safety of
children, including at a minimum:
(A) Corporal punishment or physically abusive behavior, defined as
intentional use of physical force that results in, or has the potential
to result in, physical injury. Examples include, but are not limited to,
hitting, kicking, shaking, biting, pushing, restraining, force feeding,
or dragging;
(B) Sexually abusive behavior, defined as any completed or attempted
sexual act, sexual contact, or exploitation. Examples include, but are
not limited to, behaviors such as inappropriate touching, inappropriate
filming, or exposing a child to other sexual activities;
(C) Emotionally harmful or abusive behavior, defined as behaviors
that harm a child's self worth or emotional well-being. Examples
include, but are not limited to, using seclusion, using

[[Page 113]]

or exposing a child to public or private humiliation, or name calling,
shaming, intimidating, or threatening a child; and
(D) Neglectful behavior, defined as the failure to meet a child's
basic physical and emotional needs including access to food, education,
medical care, appropriate supervision by an adequate caregiver, and safe
physical and emotional environments. Examples include, but are not
limited to, leaving a child unattended on a bus, withholding food as
punishment or refusing to change soiled diapers as punishment;
(iii) Ensure staff, consultants, contractors, and volunteers report
reasonably suspected or known incidents of child abuse and neglect, as
defined by the Federal Child Abuse Prevention and Treatment Act (CAPTA)
(42 U.S.C. 5101 note) and in compliance with Federal, State, local, and
Tribal laws;
(iv) Ensure staff, consultants, contractors, and volunteers respect
and promote the unique identity of each individual and do not stereotype
on any basis, including gender, race, ethnicity, culture, religion,
disability, sexual orientation, or family composition; and
(v) Require staff, consultants, contractors, and volunteers to
comply with program confidentiality policies concerning personally
identifiable information about children, families, and other staff
members in accordance with subpart C of part 1303 of this chapter and
applicable Federal, State, local, and Tribal laws; and,
(vi) Ensure no child is left alone or unsupervised.
(2) Personnel policies and procedures must include appropriate
penalties for staff, consultants, and volunteers who violate the
standards of conduct.
(d) Communication with dual language learners and their families.
(1) A program must ensure staff and program consultants or contractors
are familiar with the ethnic backgrounds and heritages of families in
the program and are able to serve and effectively communicate, either
directly or through interpretation and translation, with children who
are dual language learners and to the extent feasible, with families
with limited English proficiency.
(2) If a majority of children in a class or home-based program speak
the same language, at least one class staff member or home visitor must
speak such language.
(e) Wages--(1) Pay scale. (i) By August 1, 2031, a program must
implement a salary scale, salary schedule, wage ladder, or other similar
pay structure for program staff salaries that incorporates the
requirements in paragraphs (e)(2) through (4) of this section; reflects
salaries or wages for all other staff in the program; promotes salaries
that are comparable to similar services in relevant industries in their
geographic area; and considers, at a minimum, responsibilities,
qualifications, experience relevant to the position, and schedule or
hours worked.
(ii) After August 1, 2031, a program must review its pay structure
at least once every 5 years to assess whether it continues to meet the
expectations described in paragraph (e)(1)(i) of this section.
(iii) A program must ensure that staff salaries are not in excess of
level II of the Executive Schedule, as required in 42 U.S.C. 9848(b)(1).
(2) Progress to pay parity for education staff with elementary
school staff. (i) By August 1, 2031, a program must demonstrate it has
made progress to parity with kindergarten through third grade teachers
by ensuring that each Head Start teacher receives an annual salary that
is at least comparable to the annual salary paid to preschool teachers
in public school settings in the program's local school district,
adjusted for responsibilities, qualifications, experience, and schedule
or hours worked. A program may provide annual salaries comparable to a
neighboring school district if the salaries are higher than a program's
local school district.
(ii) A program must make measurable progress towards pay parity for
all other Head Start education staff who work directly with children as
part of their daily job responsibilities. By August 1, 2031, a program
must demonstrate it has made progress to parity by ensuring that each
staff member described in this provision receives an annual salary that
is at least comparable to the salaries described in paragraph (e)(2)(i)
of this section, adjusted for role, responsibilities, qualifications,

[[Page 114]]

experience, and schedule or hours worked.
(iii) For Head Start teachers and education staff described in
paragraphs (e)(2)(i) and (ii) of this section, progress to parity must
be demonstrated for those staff who are employees as well as those whose
salary is funded by Head Start through a contract.
(iv) A program may use an alternative method to determine
appropriate comparison salaries in order to implement the requirements
in paragraphs (e)(2)(i) and (ii) of this section The alternative method
must use a comparison salary that is equivalent to at least 90 percent
of the annual salary paid to kindergarten teachers in public school
settings in the program's local school district, adjusted for role,
responsibilities, qualifications, experience, and schedule or hours
worked.
(v) To demonstrate measurable progress towards pay parity as
described in paragraph (e)(2)(i) of this section, a program must
regularly track data on how wages paid to their education staff compare
to wages paid to preschool through third grade teachers in their local
or neighboring school district.
(3) Salary floor. By August 1, 2031, a program must ensure, at a
minimum, the wage or salary structure established or updated under
paragraph (e)(1)(i) of this section provides all staff with a wage or
salary that is generally sufficient to cover basic needs such as food,
housing, utilities, medical costs, transportation, and taxes, or would
be sufficient if the worker's hourly rate were paid according to a full-
time, full-year schedule (or over 2,080 hours per year).
(4) Wage comparability for all ages served. A program must ensure
the wage or salary structure established or updated under paragraph
(e)(1)(i) of this section does not differ by age of children served for
similar program staff positions with similar qualifications and
experience.
(5) Small agency exemption. An agency with 200 or fewer funded slots
is exempt from the requirements described in this paragraph (e), except
that such an agency must still establish or update a pay scale or
structure that promotes competitive wages for all staff. The agency must
also make measurable improvements in wages for Head Start staff over
time and demonstrate progress towards meeting the requirements of
paragraphs (e)(2) through (4) of this section.
(6) Interim service providers. The exemption described in paragraph
(e)(5) of this section also applies to an interim service provider that
is temporarily providing Head Start services in place of a Head Start
agency that would otherwise qualify for the small agency exemption.
(7) Secretarial determination of waiver authority. Between January
1, 2028, and December 31, 2028, the Secretary may establish a waiver
process for the requirements described in paragraphs (e)(2) through (4)
of this section for eligible Head Start programs, if over the preceding
four fiscal years, the average annual increase in Federal appropriations
for the Head Start program was less than 1.3 percent.
(8) Waiver conditions. If the Secretary establishes the waiver
process described in paragraph (e)(7) of this section, the responsible
HHS official designated by the Secretary may grant a waiver if the
program requests a waiver and meets the following conditions:
(i) The program can demonstrate that it would need to reduce
enrolled Head Start slots in order to implement the requirements
described in paragraphs (e)(2) through (4) of this section;
(ii) The program is meeting quality benchmarks including:
(A) Demonstrated improvements in staff wages during the preceding
four years, to the greatest extent practicable;
(B) Has not been designated to compete under the Designation Renewal
System after August 21, 2024; and
(C) The responsible HHS official determines the program does not
have significant child health, safety, or quality concerns;
(iii) The program held the Head Start grant for the service area
prior to August 21, 2024; and
(iv) The program continues to make improvements in wages for Head
Start staff over time, to the greatest extent practicable.
(9) Reassessing waiver eligibility. For any program granted a waiver
under

[[Page 115]]

the process established in paragraph (e)(7) of this section, the
responsible HHS official will reassess waiver eligibility for each
successive grant period, in line with the process established and
criteria described in paragraph (e)(8) of this section.
(10) Ongoing waiver authority. Waivers granted under the process
established in paragraph (e)(7) of this section may only be granted if
over the preceding four fiscal years, the average annual increase in
Federal appropriations for the Head Start program was less than 1.3
percent.
(f) Staff benefits. (1) For each full-time staff member, defined as
those working 30 or more hours per week with the Head Start program
during the program year, a program must:
(i) Provide or facilitate access to high-quality affordable health
care coverage;
(ii) Offer paid leave; and,
(iii) Offer access to short-term, free or minimal cost behavioral
health services.
(2) For each part-time staff member, a program must facilitate
access to high-quality, affordable health care coverage.
(3) For each staff member, a program must facilitate access to
available resources and information on child care, including connections
to child care resource and referral agencies or other child care
consumer education organizations and, for staff who meet eligibility
guidelines, facilitate access to the child care subsidy program.
(4) For each staff member who may be eligible, a program must
facilitate access to the Public Service Loan Forgiveness (PSLF) program,
or other applicable student loan debt relief programs, including timely
certification of employment.
(5) To the extent practicable, a program must assess and determine
if their benefits package for full-time staff is at least comparable to
those provided to elementary school staff in the program's local or
neighboring school district at least once every 5 years. Programs may
offer additional benefits to staff, including more enhanced health
benefits, retirement benefits, flexible savings accounts, or life,
disability, and long-term care insurance.
(6) An agency with 200 or fewer funded slots is exempt from the
requirements described in this paragraph (f). Such an agency must make
measurable improvements in benefits for Head Start staff over time and
demonstrate progress towards meeting the requirements of paragraphs
(f)(1) through (5) of this section.
(7) The exemption described in paragraph (f)(6) of this section also
applies to an interim service provider that is temporarily providing
Head Start services in place of a Head Start agency that would otherwise
qualify for the small agency exemption.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67813, Aug. 21, 2024]

Sec. 1302.91 Staff qualifications and competency requirements.

(a) Purpose. A program must ensure all staff, consultants, and
contractors engaged in the delivery of program services have sufficient
knowledge, training and experience, and competencies to fulfill the
roles and responsibilities of their positions and to ensure high-quality
service delivery in accordance with the program performance standards. A
program must provide ongoing training and professional development to
support staff in fulfilling their roles and responsibilities.
(b) Head Start director. A program must ensure a Head Start director
hired after November 7, 2016, has, at a minimum, a baccalaureate degree
and experience in supervision of staff, fiscal management, and
administration.
(c) Fiscal officer. A program must assess staffing needs in
consideration of the fiscal complexity of the organization and
applicable financial management requirements and secure the regularly
scheduled or ongoing services of a fiscal officer with sufficient
education and experience to meet their needs. A program must ensure a
fiscal officer hired after November 7, 2016, is a certified public
accountant or has, at a minimum, a baccalaureate degree in accounting,
business, fiscal management, or a related field.
(d) Child and family services management staff qualification
requirements--(1)

[[Page 116]]

Family, health, and disabilities management. A program must ensure staff
responsible for management and oversight of family services, health
services, and services to children with disabilities hired after
November 7, 2016, have, at a minimum, a baccalaureate degree, preferably
related to one or more of the disciplines they oversee.
(2) Education management. As prescribed in section 648A(a)(2)(B)(i)
of the Act, a program must ensure staff and consultants that serve as
education managers or coordinators, including those that serve as
curriculum specialists, have a baccalaureate or advanced degree in early
childhood education or a baccalaureate or advanced degree and equivalent
coursework in early childhood education with early education teaching
experience.
(e) Child and family services staff--(1) Early Head Start center-
based teacher qualification requirements. As prescribed in section
645A(h) of the Act, a program must ensure center-based teachers that
provide direct services to infants and toddlers in Early Head Start
centers have a minimum of a Child Development Associate (CDA) credential
or comparable credential, and have been trained or have equivalent
coursework in early childhood development with a focus on infant and
toddler development.
(2) Head Start Preschool center-based teacher qualification
requirements. (i) The Secretary must ensure no less than fifty percent
of all Head Start Preschool teachers, nation- wide, have a baccalaureate
degree in child development, early childhood education, or equivalent
coursework.
(ii) As prescribed in section 648A(a)(3)(B) of the Act, a program
must ensure all center-based teachers have at least an associate's or
bachelor's degree in child development or early childhood education,
equivalent coursework, or otherwise meet the requirements of section
648A(a)(3)(B) of the Act.
(3) Head Start Preschool assistant teacher qualification
requirements. As prescribed in section 648A(a)(2)(B)(ii) of the Act, a
program must ensure Head Start Preschool assistant teachers, at a
minimum, have a CDA credential or a State-awarded certificate that meets
or exceeds the requirements for a CDA credential, are enrolled in a
program that will lead to an associate or baccalaureate degree or, are
enrolled in a CDA credential program to be completed within two years of
the time of hire.
(4) Family child care provider qualification requirements. (i) A
program must ensure family child care providers have previous early
child care experience and, at a minimum, are enrolled in a Family Child
Care CDA program or state equivalent, or an associate's or baccalaureate
degree program in child development or early childhood education prior
to beginning service provision, and for the credential acquire it within
eighteen months of beginning to provide services.
(ii) By August 1, 2018, a child development specialist, as required
for family child care in Sec. 1302.23(e), must have, at a minimum, a
baccalaureate degree in child development, early childhood education, or
a related field.
(5) Center-based teachers, assistant teachers, and family child care
provider competencies. A program must ensure center-based teachers,
assistant teachers, and family child care providers demonstrate
competency to provide effective and nurturing teacher-child
interactions, plan and implement learning experiences that ensure
effective curriculum implementation and use of assessment and promote
children's progress across the standards described in the Head Start
Early Learning Outcomes Framework: Ages Birth to Five and applicable
state early learning and development standards, including for children
with disabilities and dual language learners, as appropriate.
(6) Home visitors. A program must ensure home visitors providing
home-based education services:
(i) Have a minimum of a home-based CDA credential or comparable
credential, or equivalent coursework as part of an associate's or
bachelor's degree; and,
(ii) Demonstrate competency to plan and implement home-based
learning experiences that ensure effective implementation of the home
visiting curriculum and promote children's progress across the standards
described

[[Page 117]]

in the Head Start Early Learning Outcomes Framework: Ages Birth to Five,
including for children with disabilities and dual language learners, as
appropriate, and to build respectful, culturally responsive, and
trusting relationships with families.
(7) Family services staff qualification requirements. A program must
ensure staff who work directly with families on the family partnership
process hired after November 7, 2016, have within eighteen months of
hire, at a minimum, a credential or certification in social work, human
services, family services, counseling or a related field.
(8) Health professional qualification requirements. (i) A program
must ensure health procedures are performed only by a licensed or
certified health professional.
(ii) A program must ensure all mental health consultants are
licensed or under the supervision of a licensed mental health
professional. A program must use mental health consultants with
knowledge of and experience in serving young children and their
families.
(iii) A program must use staff or consultants to support nutrition
services who are registered dieticians or nutritionists with appropriate
qualifications.
(f) Coaches. A program must ensure coaches providing the services
described in Sec. 1302.92(c) have a minimum of a baccalaureate degree
in early childhood education or a related field.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67814, Aug. 21, 2024]

Sec. 1302.92 Training and professional development.

(a) A program must provide to all new staff, consultants, and
volunteers an orientation that focuses on, at a minimum, the goals and
underlying philosophy of the program and on the ways they are
implemented.
(b) A program must establish and implement a systematic approach to
staff training and professional development designed to assist staff in
acquiring or increasing the knowledge and skills needed to provide high-
quality, comprehensive services within the scope of their job
responsibilities, and attached to academic credit as appropriate, and
integrated with employee engagement practices in accordance with Sec.
1302.101(a)(2). At a minimum, the system must include:
(1) Staff completing a minimum of 15 clock hours of professional
development per year. For teaching staff, such professional development
must meet the requirements described in section 648A(a)(5) of the Act,
and includes creating individual professional development plans as
described in section 648A(f) of the Act;
(2) Annual training on mandatory reporting of suspected or known
child abuse and neglect, that complies with applicable Federal, State,
local, and Tribal laws;
(3) Annual training on positive strategies to understand and support
children's social and emotional development, such as tools for managing
children's behavior;
(4) Training for child and family services staff on best practices
for implementing family engagement strategies in a systemic way, as
described throughout this part;
(5) Training for child and family services staff, including staff
that work on family services, health, and disabilities, that builds
their knowledge, experience, and competencies to improve child and
family outcomes; and,
(6) Research-based approaches to professional development for
education staff, that are focused on effective curricula implementation,
knowledge of the content in Head Start Early Learning Outcomes
Framework: Ages Birth to Five, partnering with families, supporting
children with disabilities and their families, providing effective and
nurturing adult-child interactions, supporting dual language learners as
appropriate, addressing challenging behaviors, preparing children and
families for transitions (as described in subpart G of this part), and
use of data to individualize learning experiences to improve outcomes
for all children.
(c) A program must implement a research-based, coordinated coaching
strategy for education staff that:
(1) Assesses all education staff to identify strengths, areas of
needed support, and which staff would benefit most from intensive
coaching;

[[Page 118]]

(2) At a minimum, provides opportunities for intensive coaching to
those education staff identified through the process in paragraph (c)(1)
of this section, including opportunities to be observed and receive
feedback and modeling of effective teacher practices directly related to
program performance goals;
(3) At a minimum, provides opportunities for education staff not
identified for intensive coaching through the process in paragraph
(c)(1) of this section to receive other forms of research-based
professional development aligned with program performance goals;
(4) Ensures intensive coaching opportunities for the staff
identified through the process in paragraph (c)(1) of this section that:
(i) Align with the program's school readiness goals, curricula, and
other approaches to professional development;
(ii) Utilize a coach with adequate training and experience in adult
learning and in using assessment data to drive coaching strategies
aligned with program performance goals;
(iii) Provide ongoing communication between the coach, program
director, education director, and any other relevant staff; and,
(iv) Include clearly articulated goals informed by the program's
goals, as described in Sec. 1302.102, and a process for achieving those
goals; and,
(5) Establishes policies that ensure assessment results are not used
to solely determine punitive actions for staff identified as needing
support, without providing time and resources for staff to improve.
(d) If a program needs to develop or significantly adapt their
approach to research-based professional development to better meet the
training needs of education staff, such that it does not include the
requirements in paragraph (c) of this section, the program must partner
with external early childhood education professional development
experts. A program must assess whether the adaptation adequately
supports staff professional development, consistent with the process
laid out in subpart J of this part.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67815, Aug. 21, 2024]

Sec. 1302.93 Staff health and wellness.

(a) A program must ensure each staff member has an initial health
examination and a periodic re-examination as recommended by their health
care provider in accordance with state, tribal, or local requirements,
that include screeners or tests for communicable diseases, as
appropriate. The program must ensure staff do not, because of
communicable diseases, pose a significant risk to the health or safety
of others in the program that cannot be eliminated or reduced by
reasonable accommodation, in accordance with the Americans with
Disabilities Act and section 504 of the Rehabilitation Act.
(b) A program must make mental health and wellness information
available to staff regarding health issues that may affect their job
performance, and must provide regularly scheduled opportunities to learn
about mental health, wellness, and health education.
(c)(1) A program must provide, for each staff member, regular breaks
of adequate length and frequency based on hours worked, including, but
not limited to, time for meal breaks as appropriate.
(2) If applicable Federal, State, or local laws or regulations have
more stringent requirements for breaks, a program should comply with the
more stringent requirements.
(3) During break times for classroom staff described in paragraph
(c)(1) of this section, one teaching staff member may be replaced by one
staff member who does not meet the teaching qualifications required for
the age, provided that this staff member has the necessary training and
experience to ensure safety of children and minimal disruption to the
quality of services. If providing a break during nap time, a program may
comply with Sec. 1302.21(b)(1)(ii).
(d) A program should cultivate a program-wide culture of wellness
that empowers staff as professionals and supports staff to effectively
accomplish their job responsibilities in a high-quality manner, in line
with the requirement at Sec. 1302.101(a)(2).

[81 FR 61412, Sept. 6, 2016, as amended at 86 FR 68101, Nov. 30, 2021;
88 FR 41334, June 26, 2023; 89 FR 67815, Aug. 21, 2024]

[[Page 119]]

Sec. 1302.94 Volunteers.

(a) A program must ensure volunteers have been screened for
appropriate communicable diseases in accordance with State, Tribal, or
local laws. In the absence of State, Tribal, or local law, the Health
and Mental Health Services Advisory Committee must be consulted
regarding the need for such screenings.
(b) A program must ensure children are never left alone with
volunteers.

[81 FR 61412, Sept. 6, 2016, as amended at 86 FR 68101, Nov. 30, 2021;
88 FR 41334, June 26, 2023; 89 FR 67815, Aug. 21, 2024]

Subpart J_Program Management and Quality Improvement

Sec. 1302.100 Purpose.

A program must provide management and a process of ongoing
monitoring and continuous improvement for achieving program goals that
ensures child safety and the delivery of effective, high-quality program
services.

Sec. 1302.101 Management system.

(a) Implementation. A program must implement a management system
that:
(1) Ensures a program, fiscal, and human resource management
structure that provides effective management and oversight of all
program areas and fiduciary responsibilities to enable delivery of high-
quality services in all of the program services described in subparts C,
D, E, F, G, and H of this part;
(2) Promotes clear and reasonable roles and responsibilities for all
staff and provides regular and ongoing staff supervision with meaningful
and effective employee engagement practices;
(3) Ensures budget and staffing patterns that promote continuity of
care for all children enrolled, allow sufficient time for staff to
participate in appropriate training and professional development, and
allow for provision of the full range of services described in subparts
C, D, E, F, G, and H of this part;
(4) Maintains an automated accounting and record keeping system
adequate for effective oversight; and
(5) Ensures that all staff are trained to implement reporting
procedures in Sec. 1302.102(d)(1)(ii).
(b) Coordinated approaches. At the beginning of each program year,
and on an ongoing basis throughout the year, a program must design and
implement program-wide coordinated approaches that ensure:
(1) The training and professional development system, as described
in Sec. 1302.92, effectively supports the delivery and continuous
improvement of high-quality services;
(2) The full and effective participation of children who are dual
language learners and their families, by:
(i) Utilizing information from the program's community assessment
about the languages spoken throughout the program service area to
anticipate child and family needs;
(ii) Identifying community resources and establishing ongoing
collaborative relationships and partnerships with community
organizations consistent with the requirements in Sec. 1302.53(a); and,
(iii) Systematically and comprehensively addressing child and family
needs by facilitating meaningful access to program services, including,
at a minimum, curriculum, instruction, staffing, supervision, and family
partnerships with bilingual staff, oral language assistance and
interpretation, or translation of essential program materials, as
appropriate.
(3) The full and effective participation of all children with
disabilities, including but not limited to children eligible for
services under IDEA, by providing services with appropriate facilities,
program materials, curriculum, instruction, staffing, supervision, and
partnerships, at a minimum, consistent with section 504 of the
Rehabilitation Act and the Americans with Disabilities Act; and,
(4) The management of program data to effectively support the
availability, usability, integrity, and security of data. A program must
establish procedures on data management, and have them approved by the
governing body and policy council, in areas such as quality of data and
effective use and sharing of data, while protecting the privacy of child
records in accordance

[[Page 120]]

with subpart C of part 1303 of this chapter and applicable federal,
state, local, and tribal laws.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67815, Aug. 21, 2024]

Sec. 1302.102 Program goals, continuous improvement, and reporting.

(a) Establishing program goals. A program, in collaboration with the
governing body and policy council, must establish goals and measurable
objectives that include:
(1) Strategic long-term goals for ensuring programs are and remain
responsive to community needs as identified in their community
assessment as described in subpart A of this part;
(2) Goals for the provision of educational, health, nutritional, and
family and community engagement program services as described in the
program performance standards to further promote the school readiness of
enrolled children;
(3) School readiness goals that are aligned with the Head Start
Early Learning Outcomes Framework: Ages Birth to Five, state and tribal
early learning standards, as appropriate, and requirements and
expectations of schools Head Start children will attend, per the
requirements of subpart B of part 1304 of this part; and,
(4) Effective health and safety practices to ensure children are
safe at all times, per the requirements in Sec. Sec. 1302.47,
1302.90(b) and (c), 1302.92(c)(1), and 1302.94 and part 1303, subpart F,
of this chapter.
(b) Monitoring program performance--(1) Ongoing compliance oversight
and correction. In order to ensure effective ongoing oversight and
correction, a program must establish and implement a system of ongoing
oversight that ensures effective implementation of the program
performance standards, including ensuring child safety, and other
applicable federal regulations as described in this part, and must:
(i) Collect and use data to inform this process;
(ii) Correct quality and compliance issues immediately, or as
quickly as possible;
(iii) Work with the governing body and the policy council to address
issues during the ongoing oversight and correction process and during
federal oversight; and,
(iv) Implement procedures that prevent recurrence of previous
quality and compliance issues, including previously identified
deficiencies, safety incidents, and audit findings.
(2) Ongoing assessment of program goals. A program must effectively
oversee progress towards program goals on an ongoing basis and annually
must:
(i) Conduct a self-assessment that uses program data including
aggregated child assessment data, and professional development and
parent and family engagement data as appropriate, to evaluate the
program's progress towards meeting goals established under paragraph (a)
of this section, compliance with program performance standards
throughout the program year, and the effectiveness of the professional
development and family engagement systems in promoting school readiness;
(ii) Communicate and collaborate with the governing body and policy
council, program staff, and parents of enrolled children when conducting
the annual self-assessment; and,
(iii) Submit findings of the self-assessment, including information
listed in paragraph (b)(2)(i) of this section to the responsible HHS
official.
(c) Using data for continuous improvement. (1) A program must
implement a process for using data to identify program strengths and
needs, develop and implement plans that address program needs, and
continually evaluate compliance with program performance standards and
progress towards achieving program goals described in paragraph (a) of
this section.
(2) This process must:
(i) Ensure data is aggregated, analyzed and compared in such a way
to assist agencies in identifying risks and informing strategies for
continuous improvement in all program service areas;
(ii) Ensure child-level assessment data is aggregated and analyzed
at least three times a year, including for sub-groups, such as dual
language learners and children with disabilities, as appropriate, except
in programs operating fewer than 90 days, and used with other program
data described in

[[Page 121]]

paragraph (c)(2)(iv) of this section to direct continuous improvement
related to curriculum choice and implementation, teaching practices,
professional development, program design and other program decisions,
including changing or targeting scope of services; and,
(iii) For programs operating fewer than 90 days, ensures child
assessment data is aggregated and analyzed at least twice during the
program operating period, including for subgroups, such as dual language
learners and children with disabilities, as appropriate, and used with
other program data described in paragraph (c)(2)(iv) of this section to
direct continuous improvement related to curriculum choice and
implementation, teaching practices, professional development, program
design and other program decisions, including changing or targeting
scope of services;
(iv) Use information from ongoing monitoring and the annual self-
assessment, and program data on teaching practice, staffing and
professional development, child-level assessments, family needs
assessments, and comprehensive services, to identify program needs, and
develop and implement plans for program improvement; and,
(v) Use program improvement plans as needed to either strengthen or
adjust content and strategies for professional development, change
program scope and services, refine school readiness and other program
goals, and adapt strategies to better address the needs of sub-groups.
(d) Reporting. (1) A program must submit:
(i) Status reports, determined by ongoing oversight data, to the
governing body and policy council, at least semi-annually;
(ii) Reports, as appropriate, to the responsible HHS official
immediately but no later than 7 calendar days following the incident,
related to:
(A) Any significant incident that affects the health or safety of a
child that occurs in a setting where Head Start services are provided
and that involves:
(1) A staff member, contractor, or volunteer that participates in
either a Head Start program or a classroom at least partially funded by
Head Start, regardless of whether the child receives Head Start
services; or
(2) A child that receives services fully or partially funded by Head
Start or a child that participates in a classroom at least partially
funded by Head Start; or
(B) Circumstances affecting the financial viability of the program;
breaches of personally identifiable information, or program involvement
in legal proceedings; any matter for which notification or a report to
State, Tribal, or local authorities is required by applicable law; and
(iii) Reportable incidents under paragraph (d)(1)(ii) of this
section include at a minimum:
(A) Any mandated reports regarding agency staff or volunteer
compliance with Federal, State, Tribal, or local laws addressing child
abuse and neglect or laws governing sex offenders;
(B) Incidents that require classrooms or centers to be closed;
(C) Legal proceedings by any party that are directly related to
program operations;
(D) All conditions required to be reported under Sec. 1304.12 of
this chapter, including disqualification from the Child and Adult Care
Food Program (CACFP) and license revocation;
(E) Any suspected or known maltreatment or endangerment of a child
by staff, consultants, contractors, and volunteers under Sec.
1302.90(c)(1)(ii);
(F) Serious harm or injury of a child resulting from lack of
preventative maintenance;
(G) Serious harm, injury, or endangerment of a child resulting from
lack of supervision; and,
(H) Any unauthorized release of a child.
(2) Annually, a program must publish and disseminate a report that
complies with section 644(a)(2) of the Act and includes a summary of a
program's most recent community assessment, as described in Sec.
1302.11(b), consistent with privacy protections in subpart C of part
1303 of this chapter.

[[Page 122]]

(3) If a program has had a deficiency identified, it must submit, to
the responsible HHS official, a quality improvement plan as required in
section 641A(e)(2) of the Act.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67815, Aug. 21, 2024]

PART 1303_FINANCIAL AND ADMINISTRATIVE REQUIREMENTS--Table of Contents

Sec.
1303.1 Overview.

Subpart A_Financial Requirements

1303.2 Purpose.
1303.3 Other requirements.
1303.4 Federal financial assistance, non-federal match, and waiver
requirements.
1303.5 Limitations on development and administrative costs.

Subpart B_Administrative Requirements

1303.10 Purpose.
1303.11 Limitations and prohibitions.
1303.12 Insurance and bonding.

Subpart C_Protections for the Privacy of Child Records

1303.20 Establishing procedures.
1303.21 Program procedures--applicable confidentiality provisions.
1303.22 Disclosures with, and without, parental consent.
1303.23 Parental rights.
1303.24 Maintaining records.

Subpart D_Delegation of Program Operations

1303.30 Grant recipient responsibility and accountability.
1303.31 Determining and establishing delegate agencies.
1303.32 Evaluations and corrective actions for delegate agencies.
1303.33 Termination of delegate agencies.

Subpart E_Facilities

1303.40 Purpose.
1303.41 Approval of previously purchased facilities.
1303.42 Eligibility to purchase, construct, and renovate facilities.
1303.43 Use of grant funds to pay fees.
1303.44 Applications to purchase, construct, and renovate facilities.
1304.45 Cost-comparison to purchase, construct, and renovate facilities.
1303.46 Recording and posting notices of federal interest.
1303.47 Contents of notices of federal interest.
1303.48 Grant recipient limitations on Federal interest.
1303.49 Protection of federal interest in mortgage agreements.
1303.50 Third party leases and occupancy arrangements.
1303.51 Subordination of the federal interest.
1303.52 Insurance, bonding, and maintenance.
1303.53 Copies of documents.
1303.54 Record retention.
1303.55 Procurement procedures.
1303.56 Inspection of work.

Subpart F_Transportation

1303.70 Purpose.
1303.71 Vehicles.
1303.72 Vehicle operation.
1303.73 Trip routing.
1303.74 Safety procedures.
1303.75 Children with disabilities.

Authority: 42 U.S.C. 9801 et seq.

Source: 81 FR 61412, Sept. 6, 2016, unless otherwise noted.

Editorial Note: Nomenclature changes to part 1303 appear at 89 FR
67816, Aug. 21, 2024.

Sec. 1303.1 Overview.

Section 641A of the Act requires that the Secretary modify as
necessary program performance standards including administrative and
financial management standards (section 641A(a)(1)(C)). This part
specifies the financial and administrative requirements of agencies.
Subpart A of this part outlines the financial requirements consistent
with sections 640(b) and 644(b) and (c) of the Act. Subpart B of this
part specifies the administrative requirements consistent with sections
644(a)(1), 644(e), 653, 654, 655, 656, and 657A of the Act. Subpart C of
this part implements the statutory provision at section 641A(b)(4) of
the Act that directs the Secretary to ensure the confidentiality of any
personally identifiable data, information, and records collected or
maintained. Subpart D of this part prescribes regulations for the
operation of delegate agencies consistent with Section 641(A)(d).
Subpart E of this part implements the statutory requirements in Section
644(c), (f) and (g) related to facilities. Subpart F prescribes
regulations on transportation consistent with section 640(i) of the Act.

[[Page 123]]

Subpart A_Financial Requirements

Sec. 1303.2 Purpose.

This subpart establishes regulations applicable to program
administration and grants management for all grants under the Act.

Sec. 1303.3 Other requirements.

The following chart includes HHS regulations that apply to all
grants made under the Act:

------------------------------------------------------------------------
Cite Title
------------------------------------------------------------------------
45 CFR part 16.............. Department grant appeals process.
45 CFR part 30.............. HHS Standards and Procedures for Claims
collection.
45 CFR part 46.............. Protection of human subjects.
45 CFR part 75.............. Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for
Federal Awards.
45 CFR part 80.............. Nondiscrimination under programs receiving
federal assistance through the Department
of Health and Human Services--
Effectuation of title VI and VII of the
Civil Rights Act of 1964.
45 CFR part 81.............. Practice and procedure for hearings under
part 80.
45 CFR part 84.............. Nondiscrimination on the basis of handicap
in federally assisted programs.
45 CFR part 87.............. Equal treatment for faith based
organizations.
2 CFR part 170.............. FFATA Sub-award and executive
compensation.
2 CFR 25.110................ CCR/DUNS requirement.
------------------------------------------------------------------------

Sec. 1303.4 Federal financial assistance, non-federal match,
and waiver requirements.

In accordance with section 640(b) of the Act, federal financial
assistance to a grant recipient will not exceed 80 percent of the
approved total program costs. A grant recipient must contribute 20
percent as non-federal match each budget period. The responsible HHS
official may approve a waiver of all or a portion of the non-federal
match requirement on the basis of the grant recipient's written
application submitted for the budget period and any supporting evidence
the responsible HHS official requires. In deciding whether to grant a
waiver, the responsible HHS official will consider the circumstances
specified at section 640(b) of the Act and whether the grant recipient
has made a reasonable effort to comply with the non-federal match
requirement.

Sec. 1303.5 Limitations on development and administrative costs.

(a) Limitations. (1) Costs to develop and administer a program
cannot be excessive or exceed 15 percent of the total approved program
costs. Allowable costs to develop and administer a Head Start program
cannot exceed 15 percent of the total approved program costs, which
includes both federal costs and non-federal match, unless the
responsible HHS official grants a waiver under paragraph (b) of this
section that approves a higher percentage in order to carry out the
purposes of the Act.
(2) To assess total program costs and determine whether a grant
recipient meets this requirement, the grant recipient must:
(i) Determine the costs to develop and administer its program,
including the local costs of necessary resources;
(ii) Categorize total costs as development and administrative or
program costs;
(iii) Identify and allocate the portion of dual benefits costs that
are for development and administration;
(iv) Identify and allocate the portion of indirect costs that are
for development and administration versus program costs; and,
(v) Delineate all development and administrative costs in the grant
application and calculate the percentage of total approved costs
allocated to development and administration.
(b) Waivers. (1) The responsible HHS official may grant a waiver for
each budget period if a delay or disruption to program services is
caused by circumstances beyond the agency's control, or if an agency is
unable to administer the program within the 15 percent limitation and if
the agency can demonstrate efforts to reduce its development and
administrative costs.
(2) If at any time within the grant funding cycle, a grant recipient
estimates development and administration

[[Page 124]]

costs will exceed 15 percent of total approved costs, it must submit a
waiver request to the responsible HHS official that explains why costs
exceed the limit, that indicates the time period the waiver will cover,
and that describes what the grant recipient will do to reduce its
development and administrative costs to comply with the 15 percent limit
after the waiver period.

Subpart B_Administrative Requirements

Sec. 1303.10 Purpose.

A grant recipient must observe standards of organization,
management, and administration that will ensure, so far as reasonably
possible, that all program activities are conducted in a manner
consistent with the purposes of the Act and the objective of providing
assistance effectively, efficiently, and free of any taint of partisan
political bias or personal or family favoritism.

Sec. 1303.11 Limitations and prohibitions.

An agency must adhere to sections 644(e), 644(g)(3), 653, 654, 655,
656, and 657A of the Act. These sections pertain to union organizing,
the Davis-Bacon Act, limitations on compensation, nondiscrimination,
unlawful activities, political activities, and obtaining parental
consent.

Sec. 1303.12 Insurance and bonding.

An agency must have an ongoing process to identify risks and have
cost-effective insurance for those identified risks; a grant recipient
must require the same for its delegates. The agency must specifically
consider the risk of accidental injury to children while participating
in the program. The grant recipient must submit proof of appropriate
coverage in its initial application for funding. The process of
identifying risks must also consider the risk of losses resulting from
fraudulent acts by individuals authorized to disburse Head Start funds.
Consistent with 45 CFR part 75, if the agency lacks sufficient coverage
to protect the federal government's interest, the agency must maintain
adequate fidelity bond coverage.

Subpart C_Protections for the Privacy of Child Records

Sec. 1303.20 Establishing procedures.

A program must establish procedures to protect the confidentiality
of any personally identifiable information (PII) in child records.

Sec. 1303.21 Program procedures--applicable confidentiality provisions.

(a) If a program is an educational agency or institution that
receives funds under a program administered by the Department of
Education and therefore is subject to the confidentiality provisions
under the Family Educational Rights and Privacy Act (FERPA), then it
must comply with those confidentiality provisions of FERPA instead of
the provisions in this subpart.
(b) If a program serves a child who is referred to, or found
eligible for services under, IDEA, then a program must comply with the
applicable confidentiality provisions in Part B or Part C of IDEA to
protect the PII in records of those children, and, therefore, the
provisions in this subpart do not apply to those children.

Sec. 1303.22 Disclosures with, and without, parental consent.

(a) Disclosure with parental consent. (1) Subject to the exceptions
in paragraphs (b) and (c) of this section, the procedures to protect PII
must require the program to obtain a parent's written consent before the
program may disclose such PII from child records.
(2) The procedures to protect PII must require the program to ensure
the parent's written consent specifies what child records may be
disclosed, explains why the records will be disclosed, and identifies
the party or class of parties to whom the records may be disclosed. The
written consent must be signed and dated.
(3) ``Signed and dated written consent'' under this part may include
a record and signature in electronic form that:
(i) Identifies and authenticates a particular person as the source
of the electronic consent; and,
(ii) Indicates such person's approval of the information.

[[Page 125]]

(4) The program must explain to the parent that the granting of
consent is voluntary on the part of the parent and may be revoked at any
time. If a parent revokes consent, that revocation is not retroactive
and therefore it does not apply to an action that occurred before the
consent was revoked.
(b) Disclosure without parental consent but with parental notice and
opportunity to refuse. The procedures to protect PII must allow the
program to disclose such PII from child records without parental consent
if the program notifies the parent about the disclosure, provides the
parent, upon the parent's request, a copy of the PII from child records
to be disclosed in advance, and gives the parent an opportunity to
challenge and refuse disclosure of the information in the records,
before the program forwards the records to officials at a program,
school, or school district in which the child seeks or intends to enroll
or where the child is already enrolled so long as the disclosure is
related to the child's enrollment or transfer.
(c) Disclosure without parental consent. The procedures to protect
PII must allow the program to disclose such PII from child records
without parental consent to:
(1) Officials within the program or acting for the program, such as
contractors and subrecipients, if the official provides services for
which the program would otherwise use employees, the program determines
it is necessary for Head Start services, and the program maintains
oversight with respect to the use, further disclosure, and maintenance
of child records, such as through a written agreement;
(2) Officials within the program, acting for the program, or from a
federal or state entity, in connection with an audit or evaluation of
education or child development programs, or for enforcement of or
compliance with federal legal requirements of the program; provided the
program maintains oversight with respect to the use, further disclosure,
and maintenance of child records, such as through a written agreement,
including the destruction of the PII when no longer needed for the
purpose of the disclosure, except when the disclosure is specifically
authorized by federal law or by the responsible HHS official;
(3) Officials within the program, acting for the program, or from a
federal or state entity, to conduct a study to improve child and family
outcomes, including improving the quality of programs, for, or on behalf
of, the program, provided the program maintains oversight with respect
to the use, further disclosure, and maintenance of child records, such
as through a written agreement, including the destruction of the PII
when no longer needed for the purpose of the disclosure;
(4) Appropriate parties in order to address a disaster, health or
safety emergency during the period of the emergency, or a serious health
and safety risk such as a serious food allergy, if the program
determines that disclosing the PII from child records is necessary to
protect the health or safety of children or other persons;
(5) Comply with a judicial order or lawfully issued subpoena,
provided the program makes a reasonable effort to notify the parent
about all such subpoenas and court orders in advance of the compliance
therewith, unless:
(i) A court has ordered that neither the subpoena, its contents, nor
the information provided in response be disclosed;
(ii) The disclosure is in compliance with an ex parte court order
obtained by the United States Attorney General (or designee not lower
than an Assistant Attorney General) concerning investigations or
prosecutions of an offense listed in 18 U.S.C. 2332b(g)(5)(B) or an act
of domestic or international terrorism as defined in 18 U.S.C. 2331.
(iii) A parent is a party to a court proceeding directly involving
child abuse and neglect (as defined in section 3 of the Child Abuse
Prevention and Treatment Act (42 U.S.C. 5101)) or dependency matters,
and the order is issued in the context of that proceeding, additional
notice to the parent by the program is not required; or,
(iv) A program initiates legal action against a parent or a parent
initiates legal action against a program, then a program may disclose to
the court, also without a court order or subpoena, the child records
relevant for the program to act as plaintiff or defendant.

[[Page 126]]

(6) The Secretary of Agriculture or an authorized representative
from the Food and Nutrition Service to conduct program monitoring,
evaluations, and performance measurements for the Child and Adult Care
Food Program under the Richard B. Russell National School Lunch Act or
the Child Nutrition Act of 1966, if the results will be reported in an
aggregate form that does not identify any individual: Provided, that any
data collected must be protected in a manner that will not permit the
personal identification of students and their parents by other than the
authorized representatives of the Secretary of Agriculture and any PII
must be destroyed when the data are no longer needed for program
monitoring, evaluations, and performance measurements;
(7) A caseworker or other representative from a state, local, or
tribal child welfare agency, who has the right to access a case plan for
a child who is in foster care placement, when such agency is legally
responsible for the child's care and protection, under state or tribal
law, if the agency agrees in writing to protect PII, to use information
from the child's case plan for specific purposes intended of addressing
the child's needs, and to destroy information that is no longer needed
for those purposes; and,
(8) Appropriate parties in order to address suspected or known child
maltreatment and is consistent with applicable federal, state, local,
and tribal laws on reporting child abuse and neglect.
(d) Written agreements. When a program establishes a written
agreement with a third party, the procedures to protect such PII must
require the program to annually review and, if necessary, update the
agreement. If the third party violates the agreement, then the program
may:
(1) Provide the third party an opportunity to self-correct; or,
(2) Prohibit the third party from access to records for a set period
of time as established by the programs governing body and policy
council.
(e) Annual notice. The procedures to protect PII must require the
program to annually notify parents of their rights in writing described
in this subpart and applicable definitions in part 1305 of this chapter,
and include in that notice a description of the types of PII that may be
disclosed, to whom the PII may be disclosed, and what may constitute a
necessary reason for the disclosure without parental consent as
described in paragraph (c) of this section.
(f) Limit on disclosing PII. A program must only disclose the
information that is deemed necessary for the purpose of the disclosure.

Sec. 1303.23 Parental rights.

(a) Inspect record. (1) A parent has the right to inspect child
records.
(2) If the parent requests to inspect child records, the program
must make the child records available within a reasonable time, but no
more than 45 days after receipt of request.
(3) If a program maintains child records that contain information on
more than one child, the program must ensure the parent only inspects
information that pertains to the parent's child.
(4) The program shall not destroy a child record with an outstanding
request to inspect and review the record under this section.
(b) Amend record. (1) A parent has the right to ask the program to
amend information in the child record that the parent believes is
inaccurate, misleading, or violates the child's privacy.
(2) The program must consider the parent's request and, if the
request is denied, render a written decision to the parent within a
reasonable time that informs the parent of the right to a hearing.
(c) Hearing. (1) If the parent requests a hearing to challenge
information in the child record, the program must schedule a hearing
within a reasonable time, notify the parent, in advance, about the
hearing, and ensure the person who conducts the hearing does not have a
direct interest in its outcome.
(2) The program must ensure the hearing affords the parent a full
and fair opportunity to present evidence relevant to the issues.
(3) If the program determines from evidence presented at the hearing
that the information in the child records is inaccurate, misleading, or
violates the

[[Page 127]]

child's privacy, the program must either amend or remove the information
and notify the parent in writing.
(4) If the program determines from evidence presented at the hearing
that information in the child records is accurate, does not mislead, or
otherwise does not violate the child's privacy, the program must inform
the parent of the right to place a statement in the child records that
either comments on the contested information or that states why the
parent disagrees with the program's decision, or both.
(d) Right to copy of record. The program must provide a parent, free
of charge, an initial copy of child records disclosed to third parties
with parental consent and, upon parent request, an initial copy of child
records disclosed to third parties, unless the disclosure was for a
court that ordered neither the subpoena, its contents, nor the
information furnished in response be disclosed.
(e) Right to inspect written agreements. A parent has the right to
review any written agreements with third parties.

Sec. 1303.24 Maintaining records.

(a) A program must maintain child records in a manner that ensures
only parents, and officials within the program or acting on behalf of
the program have access, and such records must be destroyed within a
reasonable timeframe after such records are no longer needed or required
to be maintained.
(b) A program must maintain, with the child records, for as long as
the records are maintained, information on all individuals, agencies, or
organizations to whom a disclosure of PII from the child records was
made (except for program officials and parents) and why the disclosure
was made. If a program uses a web-based data system to maintain child
records, the program must ensure such child records are adequately
protected and maintained according to current industry security
standards.
(c) If a parent places a statement in the child record, the program
must maintain the statement with the contested part of the child record
for as long as the program maintains the record and, disclose the
statement whenever it discloses the portion of the child record to which
the statement relates.

Subpart D_Delegation of Program Operations

Sec. 1303.30 Grant recipient responsibility and accountability.

A grant recipient is accountable for the services its delegate
agencies provide. The grant recipient supports, oversees and ensures
delegate agencies provide high-quality services to children and families
and meet all applicable Head Start requirements. The grant recipient can
only terminate a delegate agency if the grant recipient shows cause why
termination is necessary and provides a process for delegate agencies to
appeal termination decisions. The grant recipient retains legal
responsibility and authority and bears financial accountability for the
program when services are provided by delegate agencies.

Sec. 1303.31 Determining and establishing delegate agencies.

(a) If a grant recipient enters into an agreement with another
entity to serve children, the grant recipient must determine whether the
agreement meets the definition of ``delegate agency'' in section 637(3)
of the Act.
(b) A grant recipient must not award a delegate agency federal
financial assistance unless there is a written agreement and the
responsible HHS official approves the agreement before the grant
recipient delegates program operations.

Sec. 1303.32 Evaluations and corrective actions for delegate agencies.

A grant recipient must evaluate and ensure corrective action for
delegate agencies according to section 641A(d) of the Act.

Sec. 1303.33 Termination of delegate agencies.

(a) If a grant recipient shows cause why termination is appropriate
or demonstrates cost effectiveness, the grant recipient may terminate a
delegate agency's contract.

[[Page 128]]

(b) The grant recipient's decision to terminate must not be
arbitrary or capricious.
(c) The grant recipient must establish a process for defunding a
delegate agency, including an appeal of a defunding decision and must
ensure the process is fair and timely.
(d) The grant recipient must notify the responsible HHS official
about the appeal and its decision.

Subpart E_Facilities

Sec. 1303.40 Purpose.

This subpart prescribes what a grant recipient must establish to
show it is eligible to purchase, construct and renovate facilities as
outlined in section 644(c), (f) and (g) of the Act. It explains how a
grant recipient may apply for funds, details what measures a grant
recipient must take to protect federal interest in facilities purchased,
constructed or renovated with grant funds, and concludes with other
administrative provisions. This subpart applies to major renovations. It
only applies to minor renovations and repairs, when they are included
with a purchase application and are part of purchase costs.

Sec. 1303.41 Approval of previously purchased facilities.

If a grant recipient purchased a facility after December 31, 1986,
and seeks to use grant funds to continue to pay purchase costs for the
facility or to refinance current indebtedness and use grant funds to
service the resulting debt, the grant recipient may apply for funds to
meet those costs. The grant recipient must submit an application that
conforms to requirements in this part and in the Act to the responsible
HHS official. If the responsible HHS official approves the grant
recipient's application, Head Start funds may be used to pay ongoing
purchase costs, which include principal and interest on approved loans.

Sec. 1303.42 Eligibility to purchase, construct, and renovate facilities.

Before a grant recipient can apply for funds to purchase, construct,
or renovate a facility under Sec. 1303.44, it must establish that:
(a) The facility will be available to Indian Tribes, or rural or
other low-income communities;
(b) The proposed purchase, construction, or major renovation is
within the grant recipient's designated service area;
(c) The proposed purchase, construction, or major renovation is
necessary because the lack of suitable facilities in the grant
recipient's service area will inhibit the operation of the program; and
(d) The proposed construction of a facility is more cost-effective
than the purchase of available facilities or renovation.

[89 FR 67816, Aug. 21, 2024]

Sec. 1303.43 Use of grant funds to pay fees.

If a recipient seeks to use Federal funds for reasonable fees and
costs necessary to submit an application under Sec. Sec. 1303.42 and
1303.44, they must be granted approval from the responsible HHS
official. Once approval is granted to use Federal funds to submit an
application, the funds are allowable regardless of the outcome of the
preliminary eligibility under Sec. 1303.42 and the application under
Sec. 1303.44.

[89 FR 67816, Aug. 21, 2024]

Sec. 1303.44 Applications to purchase, construct, and
renovate facilities.

(a) Application requirements. If a grant recipient is preliminarily
eligible under Sec. 1303.42 to apply for funds to purchase, construct,
or renovate a facility, it must submit to the responsible HHS official:
(1) A statement that explains the anticipated effect the proposed
purchase, construction or renovation has had or will have on program
enrollment, activities and services, and how it determined what the
anticipated effect would be;
(2) A deed or other document showing legal ownership of the real
property where facilities activity is proposed, legal description of the
facility site, and an explanation why the location is appropriate for
the grant recipient's service area;
(3) Plans and specifications for the facility, including square
footage,

[[Page 129]]

structure type, the number of rooms the facility will have or has, how
the rooms will be used, where the structure will be positioned or
located on the building site, whether there is space available for
outdoor play, and whether there is space available for parking, if
applicable;
(4) Certification by a licensed engineer or architect that the
facility is, or will be upon completion, structurally sound and safe for
use as a Head Start facility and that the facility complies, or will
comply upon completion, with local building codes, applicable child care
licensing requirements, the accessibility requirements of the Americans
with Disabilities Act, section 504 of the Rehabilitation Act of 1973,
the Flood Disaster Protection Act of 1973, and the National Historic
Preservation Act of 1966;
(5) A description of proposed renovations or repairs to make the
facility suitable for program activities, and plans and specification
that describe the facility after renovation or repair;
(6) A proposed schedule that details when the grant recipient will
acquire, renovate, repair and occupy the facility;
(7) An estimate by a licensed independent certified appraiser of the
facility's value after proposed purchase and associated repairs and
renovations, construction, or major renovation is completed, either on-
site or virtually, is required for all facilities activities except for
major renovations to leased property;
(8) The cost comparison described in Sec. 1303.45;
(9) A statement that shows what share of the purchase, construction,
or major renovation will be paid with grant funds and what the grant
recipient proposes to contribute as a nonfederal match to the purchase,
construction or major renovation;
(10) A statement from a lender, if a grant recipient applies to use
Head Start funds to continue purchase on a facility or refinance
existing debt on a facility that indicates the lender is willing to
comply with Sec. 1303.49;
(11) The terms of any proposed or existing loan(s) related to
purchase, construction or major renovation of the facility, including
copies of any funding commitment letters, mortgages, promissory notes,
potential security agreements to be entered into, information on all
other sources of funding, construction or major renovation, and any
restrictions or conditions imposed by other funding sources;
(12) A Phase I environmental site assessment that describes the
environmental condition of the proposed facility site and any structures
on the site;
(13) A description of the efforts by the grant recipient to
coordinate or collaborate with other providers in the community to seek
assistance, including financial assistance, prior to the use of funds
under this section; and,
(14) Any additional information the responsible HHS official needs
to determine compliance with the regulations in this part.
(b) Additional requirements for leased properties. (1) If a grant
recipient applies to renovate leased property, it must submit to the
responsible HHS official information described in paragraph (a) of this
section, a copy of the existing or proposed lease agreement, and the
landlord or lessor's consent.
(2) If a grant recipient applies to purchase a modular unit it
intends to site on leased property or on other property the grant
recipient does not own, the grant recipient must submit to the
responsible HHS official information described in paragraph (a) of this
section and a copy of the proposed lease or other occupancy agreement
that will allow the grant recipient access to the modular unit for at
least 15 years.
(c) Non-federal match. Any non-federal match associated with
facilities activities becomes part of the federal share of the facility.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67816, Aug. 21, 2024]

Sec. 1303.45 Cost-comparison to purchase, construct, and
renovate facilities.

(a) Cost comparison. (1) If a grant recipient proposes to purchase,
construct, or renovate a facility, it must submit a detailed cost
estimate of the proposed activity, compare the costs associated with the
proposed activity to other available alternatives in the service area,
and provide any additional information the responsible HHS official
requests. The grant recipient

[[Page 130]]

must demonstrate that the proposed activity will result in savings when
compared to the costs that would be incurred to acquire the use of an
alternative facility to carry out program.
(2) In addition to requirements in paragraph (a)(1) of this section,
the grant recipient must:
(i) Identify who owns the property;
(ii) List all costs related to the purchase, construction, or
renovation;
(iii) Identify costs over the structure's useful life, which is at
least 20 years for a facility that the grant recipient purchased or
constructed and at least 15 years for a modular unit the grant recipient
renovated, and deferred costs, including mortgage payments, as costs
with associated due dates; and,
(iv) Demonstrate how the proposed purchase, construction, or major
renovation is consistent with program management and fiscal goals,
community needs, enrollment and program options and how the proposed
facility will support the grant recipient as it provides quality
services to children and families.
(b) Continue purchase or refinance. To use funds to continue
purchase on a facility or to refinance an existing indebtedness, the
grant recipient must compare the costs of continued purchase against the
cost of purchasing a comparable facility in the service area over the
remaining years of the facility's useful life. The grant recipient must
demonstrate that the proposed activity will result in savings when
compared to the cost that would be incurred to acquire the use of an
alternative facility to carry out the program.
(c) Multi-purpose use. If the grant recipient intends to use a
facility to operate a Head Start program and for another purpose, it
must disclose what percentage of the facility will be used for non-Head
Start activities, along with costs associated with those activities, in
accordance with applicable cost principles.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67816, Aug. 21, 2024]

Sec. 1303.46 Recording and posting notices of federal interest.

(a) Survival of federal interest. A grant recipient that receives
funds under this subpart must file notices of federal interest as set
forth in paragraph (b) of this section. Federal interest cannot be
defeated by a grant recipient's failure to file a notice of federal
interest.
(b) Recording notices of federal interest. (1) If a grant recipient
uses federal funds to purchase real property or a facility, excluding
modular units, appurtenant to real property, it must record a notice of
federal interest in the official real property records for the
jurisdiction where the facility is or will be located. The grant
recipient must file the notice of federal interest as soon as it uses
Head Start funds to either fully or partially purchase a facility or
real property where a facility will be constructed or as soon as it
receives permission from the responsible HHS official to use Head Start
funds to continue purchase on a facility.
(2) If a grant recipient uses federal funds in whole or in part to
construct a facility, it must record the notice of federal interest in
the official real property records for the jurisdiction in which the
facility is located as soon as it receives the notice of award to
construct the facility.
(3) If a grant recipient uses federal funds to renovate a facility
that it, or a third party owns, the grant recipient must record the
notice of federal interest in the official real property records for the
jurisdiction in which the facility is located as soon as it receives the
notice of award to renovate the facility.
(4) If a grant recipient uses federal funds in whole or in part to
purchase a modular unit or to renovate a modular unit, the grant
recipient must post the notice of federal interest, in clearly visible
locations, on the exterior of the modular unit and inside the modular
unit.

Sec. 1303.47 Contents of notices of federal interest.

(a) Facility and real property a grant recipient owns. A notice of
federal interest for a facility, other than a modular unit, and real
property the grant recipient owns or will own, must include:
(1) The grant recipient's correct legal name and current mailing
address;
(2) A legal description of the real property;

[[Page 131]]

(3) Grant award number, amount and date of initial facilities
funding award or initial use of base grant funds for ongoing purchase or
mortgage payments;
(4) A statement that the notice of federal interest includes funds
awarded in grant award(s) and any Head Start funds subsequently used to
purchase, construct or to make major renovations to the real property;
(5) A statement that the facility and real property will only be
used for purposes consistent with the Act and applicable Head Start
regulations;
(6) A statement that the facility and real property will not be
mortgaged or used as collateral, sold or otherwise transferred to
another party, without the responsible HHS official's written
permission;
(7) A statement that the federal interest cannot be subordinated,
diminished, nullified or released through encumbrance of the property,
transfer of the property to another party or any other action the grant
recipient takes without the responsible HHS official's written
permission;
(8) A statement that confirms that the agency's governing body
received a copy of the notice of federal interest prior to filing and
the date the governing body was provided with a copy; and,
(9) The name, title, and signature of the person who drafted the
notice.
(b) Facility leased by a grant recipient. (1) A notice of federal
interest for a leased facility, excluding a modular unit, on land the
grant recipient does not own, must be recorded in the official real
property records for the jurisdiction where the facility is located and
must include:
(i) The grant recipient's correct legal name and current mailing
address;
(ii) A legal description of affected real property;
(iii) The grant award number, amount and date of initial funding
award or initial use of base grant funds for major renovation;
(iv) Acknowledgement that the notice of federal interest includes
any Head Start funds subsequently used to make major renovations on the
affected real property;
(v) A statement the facility and real property will only be used for
purposes consistent with the Act and applicable Head Start regulations;
and,
(vi) A lease or occupancy agreement that includes the required
information from paragraphs (b)(1)(i) through (v) of this section may be
recorded in the official real property records for the jurisdiction
where the facility is located to serve as a notice of federal interest.
(2) If a grant recipient cannot file the lease or occupancy
agreement described in paragraph (b)(1)(vi) of this section in the
official real property records for the jurisdiction where the facility
is located, it may file an abstract. The abstract must include the names
and addresses of parties to the lease or occupancy agreement, terms of
the lease or occupancy agreement, and information described in
paragraphs (a)(1) through (9) of this section.
(c) Modular units. A notice of federal interest on a modular unit
the grant recipient purchased or renovated must be visible and clearly
posted on the exterior of the modular and inside the modular and must
include:
(1) The grant recipient's correct legal name and current mailing
address;
(2) The grant award number, amount and date of initial funding award
or initial use of base grant funds to purchase or renovate;
(3) A statement that the notice of federal interest includes any
Head Start funds subsequently used for major renovations to the modular
unit;
(4) A statement that the facility and real property will only be
used for purposes consistent with the Act and applicable Head Start
regulations;
(5) A statement that the modular unit will not be mortgaged or used
as collateral, sold or otherwise transferred to another party, without
the responsible HHS official's written permission;
(6) A statement that the federal interest cannot be subordinated,
diminished, nullified or released through encumbrance of the property,
transfer to another party, or any other action the grant recipient takes
without the responsible HHS official's written permission;

[[Page 132]]

(7) A statement that the modular unit cannot be moved to another
location without the responsible HHS official's written permission;
(8) A statement that confirms that the agency's governing body has
received a copy of the filed notice of federal interest and the date the
governing body was provided with a copy; and,
(9) The name, title, and signature of the person who completed the
notice for the grant recipient agency.

Sec. 1303.48 Grant recipient limitations on Federal interest.

(a) A grant recipient cannot mortgage, use as collateral for a
credit line or for other loan obligations, or, sell or transfer to
another party, a facility, real property, or a modular unit it has
purchased, constructed or renovated with Head Start funds, without the
responsible HHS official's written permission.
(b) A grant recipient must have the responsible HHS official's
written permission before it can use real property, a facility, or a
modular unit subject to federal interest for a purpose other than that
for which the grant recipient's application was approved.

Sec. 1303.49 Protection of federal interest in mortgage agreements.

(a) Any mortgage agreement or other security instrument that is
secured by real property or a modular unit constructed or purchased in
whole or in part with federal funds or subject to renovation with
federal funds must:
(1) Specify that the responsible HHS official can intervene in case
the grant recipient defaults on, terminates or withdraws from the
agreement;
(2) Designate the responsible HHS official to receive a copy of any
notice of default given to the grant recipient under the terms of the
agreement and include the regional grants management officer's current
address;
(3) Include a clause that requires any action to foreclose the
mortgage agreement or security agreement be suspended for 60 days after
the responsible HHS official receives the default notice to allow the
responsible HHS official reasonable time to respond;
(4) Include a clause that preserves the notice of federal interest
and the grant recipient's obligation for its federal share if the
responsible HHS official fails to respond to any notice of default
provided under this section;
(5) Include a statement that requires the responsible HHS official
to be paid the federal interest before foreclosure proceeds are paid to
the lender, unless the official's rights under the notice of federal
interest have been subordinated by a written agreement in conformance
with Sec. 1303.51;
(6) Include a clause that gives the responsible HHS official the
right to cure any default under the agreement within the designated
period to cure the default; and,
(7) Include a clause that gives the responsible HHS official the
right to assign or transfer the agreement to another interim or
permanent grant recipient.
(b) A grant recipient must immediately notify the responsible HHS
official of any default under an agreement described in paragraph (a) of
this section.

Sec. 1303.50 Third party leases and occupancy arrangements.

(a) After November 7, 2016, if a grant recipient receives federal
funds to purchase, construct or renovate a facility on real property the
grant recipient does not own or to purchase or renovate a modular unit
on real property the grant recipient does not own, the grant recipient
must have a lease or other occupancy agreement of at least 30 years for
purchase or construction of a facility and at least 15 years for a major
renovation or placement of a modular unit.
(b) The lease or occupancy agreement must:
(1) Provide for the grant recipient's right of continued use and
occupancy of the leased or occupied premises during the entire term of
the lease;
(2) Designate the regional grants management officer to receive a
copy of any notice of default given to the grant recipient under the
terms of the agreement and include the regional grants management
officer's current address;

[[Page 133]]

(3) Specify that the responsible HHS official has the right to cure
any default under the lease or occupancy agreement within the designated
period to cure default; and,
(4) Specify that the responsible HHS official has the right to
transfer the lease to another interim or replacement grant recipient.

Sec. 1303.51 Subordination of the federal interest.

Only the responsible HHS official can subordinate federal interest
to the rights of a lender or other third party. Subordination agreements
must be in writing and the mortgage agreement or security agreement for
which subordination is requested must comply with Sec. 1303.49. When
the amount of federal funds already contributed to the facility exceeds
the amount to be provided by the lender seeking subordination, the
federal interest may only be subordinated if the grant recipient can
show that funding is not available without subordination of the federal
interest.

Sec. 1303.52 Insurance, bonding, and maintenance.

(a) Purpose. If a grant recipient uses federal funds to purchase or
continue purchase on a facility, excluding modular units, the grant
recipient must obtain a title insurance policy for the purchase price
that names the responsible HHS official as an additional loss payee.
(b) Insurance coverage. (1) If a grant recipient uses federal funds
to purchase or continue purchase on a facility or modular unit the grant
recipient must maintain physical damage or destruction insurance at the
full replacement value of the facility, for as long as the grant
recipient owns or occupies the facility.
(2) If a facility is located in an area the National Flood Insurance
Program defines as high risk, the grant recipient must maintain flood
insurance for as long as the grant recipient owns or occupies the
facility.
(3) A grant recipient must submit to the responsible HHS official,
within 10 days after coverage begins, proof of insurance coverage
required under paragraphs (a) and (b) of this section.
(c) Maintenance. A grant recipient must keep all facilities
purchased or constructed in whole or in part with Head Start funds in
good repair in accordance with all applicable federal, state, and local
laws, rules and regulations, including Head Start requirements, zoning
requirements, building codes, health and safety regulations and child
care licensing standards.

Sec. 1303.53 Copies of documents.

A grant recipient must submit to the responsible HHS official,
within 10 days after filing or execution, copies of deeds, leases, loan
instruments, mortgage agreements, notices of federal interest, and other
legal documents related to the use of Head Start funds for purchase,
construction, major renovation, or the discharge of any debt secured by
the facility.

Sec. 1303.54 Record retention.

A grant recipient must retain records pertinent to the lease,
purchase, construction or renovation of a facility funded in whole or in
part with Head Start funds, for as long as the grant recipient owns or
occupies the facility, plus three years.

Sec. 1303.55 Procurement procedures.

(a) A grant recipient must comply with all grants management
regulations, including specific regulations applicable to transactions
in excess of the current simplified acquisition threshold, cost
principles, and its own procurement procedures, and must provide, to the
maximum extent practical, open and full competition.
(b) A grant recipient must obtain the responsible HHS official's
written approval before it uses Head Start funds, in whole or in part,
to contract construction or renovation services. The grant recipient
must ensure these contracts are paid on a lump sum fixed-price basis.
(c) A grant recipient must obtain prior written approval from the
responsible HHS official for contract modifications that would change
the scope or objective of a project or would materially alter the costs,
by increasing the amount of grant funds needed to complete the project.

[[Page 134]]

(d) A grant recipient must ensure all construction and renovation
contracts paid, in whole or in part with Head Start funds contain a
clause that gives the responsible HHS official or his or her designee
access to the facility, at all reasonable times, during construction and
inspection.

Sec. 1303.56 Inspection of work.

The grant recipient must submit to the responsible HHS official a
final facility inspection report by a licensed engineer or architect
within 30 calendar days after the project is completed. The inspection
report must certify that the facility complies with local building
codes, applicable child care licensing requirements, is structurally
sound and safe for use as a Head Start facility, complies with the
access requirements of the Americans with Disabilities Act, section 504
of the Rehabilitation Act, and the Flood Disaster Protection Act of
1973, and complies with National Historic Preservation Act of 1966.

Subpart F_Transportation

Sec. 1303.70 Purpose.

(a) Applicability. This rule applies to all agencies, including
those that provide transportation services, with the exceptions and
exclusions provided in this section, regardless of whether such
transportation is provided directly on agency owned or leased vehicles
or through arrangement with a private or public transportation provider.
(b) Providing transportation services. (1) If a program does not
provide transportation services, either for all or a portion of the
children, it must provide reasonable assistance, such as information
about public transit availability, to the families of such children to
arrange transportation to and from its activities, and provide
information about these transportation options in recruitment
announcements.
(2) A program that provides transportation services must make
reasonable efforts to coordinate transportation resources with other
human services agencies in its community in order to control costs and
to improve the quality and the availability of transportation services.
(3) A program that provides transportation services must ensure all
accidents involving vehicles that transport children are reported in
accordance with applicable state requirements.
(c) Waiver. (1) A program that provides transportation services must
comply with all provisions in this subpart. A Head Start Preschool
program may request to waive a specific requirement in this part, in
writing, to the responsible HHS official, as part of an agency's annual
application for financial assistance or amendment and must submit any
required documentation the responsible HHS official deems necessary to
support the waiver. The responsible HHS official is not authorized to
waive any requirements with regard to children enrolled in an Early Head
Start program. A program may request a waiver when:
(i) Adherence to a requirement in this part would create a safety
hazard in the circumstances faced by the agency; and,
(ii) For preschool children, compliance with requirements related to
child restraint systems at Sec. Sec. 1303.71(d) and 1303.72(a)(1) or
bus monitors at Sec. 1303.72(a)(4) will result in a significant
disruption to the program and the agency demonstrates that waiving such
requirements is in the best interest of the children involved.
(2) The responsible HHS official is not authorized to waive any
requirements of the Federal Motor Vehicle Safety Standards (FMVSS) made
applicable to any class of vehicle under 49 CFR part 571.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67816, Aug. 21, 2024]

Sec. 1303.71 Vehicles.

(a) Required use of schools buses or allowable alternative vehicles.
A program, with the exception of transportation services to children
served under a home-based option, must ensure all vehicles used or
purchased with grant funds to provide transportation services to
enrolled children are school buses or allowable alternate vehicles that
are equipped for use of height- and weight-appropriate child restraint
systems, and that have reverse beepers.

[[Page 135]]

(b) Emergency equipment. A program must ensure each vehicle used in
providing such services is equipped with an emergency communication
system clearly labeled and appropriate emergency safety equipment,
including a seat belt cutter, charged fire extinguisher, and first aid
kit.
(c) Auxiliary seating. A program must ensure any auxiliary seating,
such as temporary or folding jump seats, used in vehicles of any type
providing such services are built into the vehicle by the manufacturer
as part of its standard design, are maintained in proper working order,
and are inspected as part of the annual inspection required under
paragraph (e)(2)(i) of this section.
(d) Child restraint systems. A program must ensure each vehicle used
to transport children receiving such services is equipped for use of
age-, height- and weight-appropriate child safety restraint systems as
defined in part 1305 of this chapter.
(e) Vehicle maintenance. (1) A program must ensure vehicles used to
provide such services are in safe operating condition at all times.
(2) The program must:
(i) At a minimum, conduct an annual thorough safety inspection of
each vehicle through an inspection program licensed or operated by the
state;
(ii) Carry out systematic preventive maintenance on vehicles; and,
(iii) Ensure each driver implements daily pre-trip vehicle
inspections.
(f) New vehicle inspection. A program must ensure bid announcements
for school buses and allowable alternate vehicles to transport children
in its program include correct specifications and a clear statement of
the vehicle's intended use. The program must ensure vehicles are
examined at delivery to ensure they are equipped in accordance with the
bid specifications and that the manufacturer's certification of
compliance with the applicable FMVSS is included with the vehicle.

Sec. 1303.72 Vehicle operation.

(a) Safety. A program must ensure:
(1) Each child is seated in a child restraint system appropriate to
the child's age, height, and weight;
(2) Baggage and other items transported in the passenger compartment
are properly stored and secured, and the aisles remain clear and the
doors and emergency exits remain unobstructed at all times;
(3) Up-to-date child rosters and lists of the adults each child is
authorized to be released to, including alternates in case of emergency,
are maintained and no child is left behind, either at the classroom or
on the vehicle at the end of the route; and,
(4) With the exception of transportation services to children served
under a home-based option, there is at least one bus monitor on board at
all times, with additional bus monitors provided as necessary.
(b) Driver qualifications. A program, with the exception of
transportation services to children served under a home-based option,
must ensure drivers, at a minimum:
(1) In states where such licenses are granted, have a valid
Commercial Driver's License (CDL) for vehicles in the same class as the
vehicle the driver will operating; and,
(2) Meet any physical, mental, and other requirements as necessary
to perform job-related functions with any necessary reasonable
accommodations.
(c) Driver application review. In addition to the applicant review
process prescribed Sec. 1302.90(b) of this chapter, a program, with the
exception of transportation services to children served under a home-
based option, must ensure the applicant review process for drivers
includes, at minimum:
(1) Disclosure by the applicant of all moving traffic violations,
regardless of penalty;
(2) A check of the applicant's driving record through the
appropriate state agency, including a check of the applicant's record
through the National Driver Register, if available;
(3) A check that drivers qualify under the applicable driver
training requirements in the state or tribal jurisdiction; and,
(4) After a conditional employment offer to the applicant and before
the applicant begins work as a driver, a medical examination, performed
by a licensed doctor of medicine or osteopathy, establishing that the
individual

[[Page 136]]

possesses the physical ability to perform any job-related functions with
any necessary accommodations.
(d) Driver training. (1) A program must ensure any person employed
as a driver receives training prior to transporting any enrolled child
and receives refresher training each year.
(2) Training must include:
(i) Classroom instruction and behind-the-wheel instruction
sufficient to enable the driver to operate the vehicle in a safe and
efficient manner, to safely run a fixed route, to administer basic first
aid in case of injury, and to handle emergency situations, including
vehicle evacuation, operate any special equipment, such as wheelchair
lifts, assistance devices or special occupant restraints, conduct
routine maintenance and safety checks of the vehicle, and maintain
accurate records as necessary; and,
(ii) Instruction on the topics listed in Sec. 1303.75 related to
transportation services for children with disabilities.
(3) A program must ensure the annual evaluation of each driver of a
vehicle used to provide such services includes an on-board observation
of road performance.
(e) Bus monitor training. A program must train each bus monitor
before the monitor begins work, on child boarding and exiting
procedures, how to use child restraint systems, completing any required
paperwork, how to respond to emergencies and emergency evacuation
procedures, how to use special equipment, child pick-up and release
procedures, how to conduct and pre- and post-trip vehicle checks. Bus
monitors are also subject to staff safety training requirements in Sec.
1302.47(b)(4) of this chapter including Cardio Pulmonary Resuscitation
(CPR) and first aid.

Sec. 1303.73 Trip routing.

(a) A program must consider safety of the children it transports
when it plans fixed routes.
(b) A program must also ensure:
(1) The time a child is in transit to and from the program must not
exceed one hour unless there is no shorter route available or any
alternative shorter route is either unsafe or impractical;
(2) Vehicles are not loaded beyond maximum passenger capacity at any
time;
(3) Drivers do not back up or make U-turns, except when necessary
for safety reasons or because of physical barriers;
(4) Stops are located to minimize traffic disruptions and to afford
the driver a good field of view in front of and behind the vehicle;
(5) When possible, stops are located to eliminate the need for
children to cross the street or highway to board or leave the vehicle;
(6) Either a bus monitor or another adult escorts children across
the street to board or leave the vehicle if curbside pick-up or drop off
is impossible; and,
(7) Drivers use alternate routes in the case of hazardous conditions
that could affect the safety of the children who are being transported,
such as ice or water build up, natural gas line breaks, or emergency
road closing.

Sec. 1303.74 Safety procedures.

(a) A program must ensure children who receive transportation
services are taught safe riding practices, safety procedures for
boarding and leaving the vehicle and for crossing the street to and from
the vehicle at stops, recognition of the danger zones around the
vehicle, and emergency evacuation procedures, including participating in
an emergency evacuation drill conducted on the vehicle the child will be
riding.
(b) A program that provides transportation services must ensure at
least two bus evacuation drills in addition to the one required under
paragraph (a) of this section are conducted during the program year.

Sec. 1303.75 Children with disabilities.

(a) A program must ensure there are school buses or allowable
alternate vehicles adapted or designed for transportation of children
with disabilities available as necessary to transport such children
enrolled in the program. This requirement does not apply to the
transportation of children receiving home-based services unless school
buses or allowable alternate vehicles are used to transport the other
children served under the home-based option by the grant recipient.
Whenever possible, children with disabilities

[[Page 137]]

must be transported in the same vehicles used to transport other
children enrolled in the Head Start program.
(b) A program must ensure special transportation requirements in a
child's IEP or IFSP are followed, including special pick-up and drop-off
requirements, seating requirements, equipment needs, any assistance that
may be required, and any necessary training for bus drivers and
monitors.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67817, Aug. 21, 2024]

PART 1304_FEDERAL ADMINISTRATIVE PROCEDURES--Table of Contents

Subpart A_Monitoring, Suspension, Termination, Denial of Refunding,
Reduction in Funding, and Their Appeals

Sec.
1304.1 Purpose.
1304.2 Monitoring.
1304.3 Suspension with notice.
1304.4 Emergency suspension without advance notice.
1304.5 Termination and denial of refunding.
1304.6 Appeal for prospective delegate agencies.
1304.7 Legal fees.

Subpart B_Designation Renewal

1304.10 Purpose and scope.
1304.11 Basis for determining whether a Head Start agency will be
subject to an open competition.
1304.12 Grant recipient reporting requirements concerning certain
conditions.
1304.13 Requirements to be considered for designation for a five-year
period when the existing grant recipient in a community is not
determined to be delivering a high-quality and comprehensive
Head Start program and is not automatically renewed.
1304.14 Tribal government consultation under the Designation Renewal
System for when an Indian Head Start grant is being considered
for competition.
1304.15 Designation request, review and notification process.
1304.16 Use of CLASS: Pre-K instrument in the Designation Renewal
System.
1304.17 Flexibility for Head Start Designation Renewal Determinations in
Certain Emergencies.

Subpart C_Selection of Grant Recipients Through Competition

1304.20 Selection among applicants.

Subpart D_Replacement of American Indian and Alaska Native Grant
Recipients

1304.30 Procedure for identification of alternative agency.
1304.31 Requirements of alternative agency.
1304.32 Alternative agency--prohibition.

Subpart E_Head Start Fellows Program

1304.40 Purpose.
1304.41 Fellows Program.

Authority: 42 U.S.C. 9801 et seq.

Source: 81 FR 61412, Sept. 6, 2016, unless otherwise noted.

Editorial Note: Nomenclature changes to part 1304 appear at 89 FR
67817, Aug. 21, 2024.

Subpart A_Monitoring, Suspension, Termination, Denial of Refunding,
Reduction in Funding, and Their Appeals

Sec. 1304.1 Purpose.

(a) Section 641A(c) of the Act requires the Secretary to monitor
whether a grant recipient meets program governance, program operations,
and financial and administrative standards described in this regulation
and to identify areas for improvements and areas of strength as part of
the grant recipient's ongoing self-assessment process. This subpart
focuses on the monitoring process. It discusses areas of noncompliance,
deficiencies, and corrective action through quality improvement plans.
(b) Section 646(a) of the Act requires the Secretary to prescribe
procedures for notice and appeal for certain adverse actions. This
subpart establishes rules and procedures to suspend financial assistance
to a grant recipient, deny a grant recipient's application for
refunding, terminate, or reduce a grant recipient's assistance under the
Act when the grant recipient improperly uses federal funds or fails to
comply with applicable laws, regulations, policies, instructions,
assurances, terms and conditions or, if the grant recipient loses its
legal status or financial viability. This subpart does not apply to
reductions to a grant recipient's financial assistance based on chronic
under-enrollment procedures at section 641A(h) of the Act or to matters
described in subpart B. This subpart does

[[Page 138]]

not apply to any administrative action based upon any violation, or
alleged violation, of title VI of the Civil Rights Act of 1964. Except
as otherwise provided for in this subpart, the appeals and processes in
this subpart will be governed by the Departmental Appeals Board
regulations at 45 CFR part 16.

Sec. 1304.2 Monitoring.

(a) Areas of noncompliance. If a responsible HHS official determines
through monitoring, pursuant to section 641(A)(c)(1) and (2) of the Act,
that a grant recipient fails to comply with any of the standards
described in parts 1301, 1302, and 1303 of this chapter, the official
will notify the grant recipient promptly in writing, identify the area
of noncompliance, and specify when the grant recipient must correct the
area of noncompliance.
(b) Deficiencies. If the Secretary determines that a grant recipient
meets one of the criteria for a deficiency, as defined in section
637(2)(C) of the Act, the Secretary shall inform the grant recipient of
the deficiency. The grant recipient must correct the deficiency pursuant
to section 641A(e)(1)(B) of the Act, as the responsible HHS official
determines.
(c) Quality improvement plans. If the responsible HHS official does
not require the grant recipient to correct a deficiency immediately as
prescribed under section 641A(e)(1)(B)(i) of the Act, the grant
recipient must submit to the official, for approval, a quality
improvement plan that adheres to section 641A(e)(2)(A) of the Act.

Sec. 1304.3 Suspension with notice.

(a) Grounds to suspend financial assistance with notice. If a grant
recipient breaches or threatens to breach any requirement stated in
Sec. Sec. 1304.3 through 1304.5, the responsible HHS official may
suspend the grant recipient's financial assistance, in whole or in part,
after it has given the grant recipient notice and an opportunity to show
cause why assistance should not be suspended.
(b) Notice requirements. (1) The responsible HHS official must
notify the grant recipient in writing that ACF intends to suspend
financial assistance, in whole or in part. The notice must:
(i) Specify grounds for the suspension;
(ii) Include the date suspension will become effective;
(iii) Inform the grant recipient that it has the opportunity to
submit to the responsible HHS official, at least seven days before
suspension becomes effective, any written material it would like the
official to consider, and to inform the grant recipient that it may
request, in writing, no later than seven days after the suspension
notice was mailed, to have an informal meeting with the responsible HHS
official;
(iv) Invite the grant recipient to voluntarily correct the
deficiency; and,
(v) Include a copy of this subpart.
(2) The responsible HHS official must promptly transmit the
suspension notice to the grant recipient. The notice becomes effective
when the grant recipient receives the notice, when the grant recipient
refuses delivery, or when the suspension notice is returned to sender
unclaimed.
(3) The responsible HHS official must send a copy of the suspension
notice to any delegate agency whose actions or whose failures to act
substantially caused or contributed to the proposed suspension. The
responsible HHS official will inform the delegate agency that it is
entitled to submit written material to oppose the suspension and to
participate in the informal meeting, if one is held. In addition, the
responsible HHS official may give notice to the grant recipient's other
delegate agencies.
(4) After the grant recipient receives the suspension notice, it has
three days to send a copy of the notice to delegate agencies that would
be financially affected by a suspension.
(c) Opportunity to show cause. The grant recipient may submit to the
responsible HHS official any written material to show why financial
assistance should not be suspended. The grant recipient may also
request, in writing, to have an informal meeting with the responsible
HHS official. If the grant recipient requests an informal meeting, the
responsible HHS official must schedule the meeting within seven days
after the grant recipient receives the suspension notice.

[[Page 139]]

(d) Extensions. If the responsible HHS official extends the time or
the date by which a grant recipient has to make requests or to submit
material, it must notify the grant recipient in writing.
(e) Decision. (1) The responsible HHS official will consider any
written material presented before or during the informal meeting, as
well as any proof the grant recipient has adequately corrected what led
to suspension, and will render a decision within five days after the
informal meeting. If no informal meeting is held, the responsible HHS
official will render a decision within five days after it receives
written material from all concerned parties.
(2) If the responsible HHS official finds the grant recipient failed
to show cause why ACF should not suspend financial assistance, the
official may suspend financial assistance, in whole or in part, and
under terms and conditions as he or she deems appropriate.
(3) A suspension must not exceed 30 days, unless the conditions
under section 646(a)(5)(B) are applicable or the grant recipient
requests the suspension continue for an additional period of time and
the responsible HHS official agrees.
(4) The responsible HHS official may appoint an agency to serve as
an interim grant recipient to operate the program until the grant
recipient's suspension is lifted, or as otherwise provided under section
646(a)(5)(B) of the Act.
(f) Obligations incurred during suspension. New obligations the
grant recipient incurs while under suspension are not allowed unless the
responsible HHS official expressly authorizes them in the suspension
notice or in an amendment to the suspension notice. Necessary and
otherwise allowable costs which the grant recipient could not reasonably
avoid during the suspension period will be allowed if they result from
obligations the grant recipient properly incurred before suspension and
not in anticipation of suspension or termination. The responsible HHS
official may allow third-party in-kind contributions applicable to the
suspension period to satisfy cost sharing or matching requirements.
(g) Modify or rescind suspension. The responsible HHS official may
modify or rescind suspension at any time, if the grant recipient can
satisfactorily show that it has adequately corrected what led to
suspension and that it will not repeat such actions or inactions.
Nothing in this section precludes the HHS official from imposing
suspension again for additional 30 day periods if the cause of the
suspension has not been corrected.

Sec. 1304.4 Emergency suspension without advance notice.

(a) Grounds to suspend financial assistance without advance notice.
The responsible HHS official may suspend financial assistance, in whole
or in part, without prior notice and an opportunity to show cause if
there is an emergency situation, such as a serious risk for substantial
injury to property or loss of project funds, a federal, state, or local
criminal statute violation, or harm to staff or participants' health and
safety.
(b) Emergency suspension notification requirements. (1) The
emergency suspension notification must:
(i) Specify the grounds for the suspension;
(ii) Include terms and conditions of any full or partial suspension;
(iii) Inform that grant recipient it cannot make or incur any new
expenditures or obligations under suspended portion of the program; and,
(iv) Advise that within five days after the emergency suspension
becomes effective, the grant recipient may request, in writing, an
informal meeting with the responsible HHS official to show why the basis
for the suspension was not valid and should be rescinded and that the
grant recipient has corrected any deficiencies.
(2) The responsible HHS official must promptly transmit the
emergency suspension notification to the grant recipient that shows the
date of receipt. The emergency suspension becomes effective upon
delivery of the notification or upon the date the grant recipient
refuses delivery, or upon return of the notification unclaimed.
(3) Within two workdays after the grant recipient receives the
emergency suspension notification, the grant recipient must send a copy
of the notice

[[Page 140]]

to delegate agencies affected by the suspension.
(4) The responsible HHS official must inform affected delegate
agencies that they have the right to participate in the informal
meeting.
(c) Opportunity to show cause. If the grant recipient requests an
informal meeting, the responsible HHS official must schedule a meeting
within five workdays after it receives the grant recipient's request.
The suspension will continue until the grant recipient has been afforded
such opportunity and until the responsible HHS official renders a
decision. Notwithstanding provisions in this section, the responsible
HHS official may proceed to deny refunding or to initiate termination
proceedings at any time even though the grant recipient's financial
assistance has been suspended in whole or in part.
(d) Decision. (1) The responsible HHS official will consider any
written material presented before or during the informal meeting, as
well as any proof the grant recipient has adequately corrected what led
to suspension, and render a decision within five work days after the
informal meeting.
(2) If the responsible HHS official finds the grant recipient failed
to show cause why suspension should be rescinded, the responsible HHS
official may continue the suspension, in whole or in part, and under the
terms and conditions specified in the emergency suspension notification.
(3) A suspension must not exceed 30 days, unless the conditions
under section 646(a)(5)(B) are applicable or the grant recipient
requests the suspension to continue for an additional period of time and
the responsible HHS official agrees.
(4) The responsible HHS official may appoint an agency to serve as
an interim grant recipient to operate the program until either the grant
recipient's emergency suspension is lifted or a new grant recipient is
selected.
(e) Obligations incurred during suspension. Any new obligations the
grant recipient incurs during the suspension period will not be allowed
unless the responsible HHS official expressly authorizes them in the
suspension notice or in an amendment to the suspension notice. Necessary
and otherwise allowable costs which the grant recipient could not
reasonably avoid during the suspension period will be allowed if those
costs result from obligations properly incurred before suspension and
not in anticipation of suspension, denial of refunding or termination.
The responsible HHS official may allow third-party in-kind contributions
applicable to the suspension period to satisfy cost sharing or matching
requirements.
(f) Modify or rescind suspension. The responsible HHS official may
modify or rescind suspension at any time, if the grant recipient can
satisfactorily show that is has adequately corrected what led to the
suspension and that it will not repeat such actions or inactions.
Nothing in this section precludes the HHS official from imposing
suspension again for additional 30 day periods if the cause of the
suspension has not been corrected.

Sec. 1304.5 Termination and denial of refunding.

(a) Grounds to terminate financial assistance or deny a grant
recipient's application for refunding. (1) A responsible HHS official
may terminate financial assistance in whole or in part to a grant
recipient or deny a grant recipient's application for refunding.
(2) The responsible HHS official may terminate financial assistance
in whole or in part, or deny refunding to a grant recipient for any one
or for all of the following reasons:
(i) The grant recipient is no longer financially viable;
(ii) The grant recipient has lost the requisite legal status or
permits;
(iii) The grant recipient has failed to timely correct one or more
deficiencies as defined in the Act;
(iv) The grant recipient has failed to comply with eligibility
requirements;
(v) The grant recipient has failed to comply with the Head Start
grants administration or fiscal requirements set forth in 45 CFR part
1303;
(vi) The grant recipient has failed to comply with requirements in
the Act;
(vii) The grant recipient is debarred from receiving federal grants
or contracts; or

[[Page 141]]

(viii) The grant recipient has failed to abide by any other terms
and conditions of its award of financial assistance, or any other
applicable laws, regulations, or other applicable federal or state
requirements or policies.
(b) Notice requirements. (1) The responsible HHS official will
notify the grant recipient and such notice will:
(i) Include the legal basis for termination or adverse action as
described in paragraph (a) of this section;
(ii) Include factual findings on which the action is based or
reference specific findings in another document that form the basis for
termination or denial of refunding;
(iii) Cite to any statutory provisions, regulations, or policy
issuances on which ACF relies for its determination;
(iv) Inform the grant recipient that it may appeal the denial or
termination within 30 days to the Departmental Appeals Board, that the
appeal will be governed by 45 CFR part 16, except as otherwise provided
in the Head Start appeals regulations, that a copy of the appeal must
sent to the responsible HHS official, and that it has the right to
request and receive a hearing, as mandated under section 646 of the Act;
(v) Inform the grant recipient that only its board of directors, or
an official acting on the board's behalf can appeal the decision;
(vi) Name the delegate agency, if the actions of that delegate are
the basis, in whole or in part, for the proposed action; and,
(vii) Inform the grant recipient that the appeal must meet
requirements in paragraph (c) of this section; and, that if the
responsible HHS official fails to meet requirements in this paragraph,
the pending action may be dismissed without prejudice or remanded to
reissue it with corrections.
(2) The responsible HHS official must provide the grant recipient as
much notice as possible, but must notify the grant recipient no later
than 30 days after ACF receives the annual application for refunding,
that it has the opportunity for a full and fair hearing on whether
refunding should be denied.
(c) Grant recipient's appeal. (1) The grant recipient must adhere to
procedures and requirements for appeals in 45 CFR part 16, file the
appeal with the Departmental Appeals Board, and serve a copy of the
appeal on the responsible HHS official who issued the termination or
denial of refunding notice. The grant recipients must also serve a copy
of its appeal on any affected delegate.
(2) Unless funding has been suspended, funding will continue while a
grant recipient appeals a termination decision, unless the responsible
HHS official renders an adverse decision, or unless the current budget
period is expired. If the responsible HHS official has not rendered a
decision by the end of the current budget period, the official will
award the grant recipient interim funding until a decision is made or
the project period ends.
(d) Funding during suspension. If a grant recipient's funding is
suspended, the grant recipient will not receive funding during the
termination proceedings, or at any other time, unless the action is
rescinded or the grant recipient's appeal is successful.
(e) Interim and replacement grant recipients. The responsible HHS
official may appoint an interim or replacement grant recipient as soon
as a termination action is affirmed by the Departmental Appeals Board.
(f) Opportunity to show cause. (1) If the Departmental Appeals Board
sets a hearing for a proposed termination or denial of refunding action,
the grant recipient has five workdays to send a copy of the notice it
receives from the Departmental Appeals Board, to all delegate agencies
that would be financially affected by termination and to each delegate
agency identified in the notice.
(2) The grant recipient must send to the Departmental Appeals Board
and to the responsible HHS official a list of the delegate agencies it
notified and the dates when it notified them.
(3) If the responsible HHS official initiated proceedings because of
a delegate agency's activities, the official must inform the delegate
agency that it may participate in the hearing. If the delegate agency
chooses to participate in the hearing, it must notify the responsible
HHS official in writing within 30 days of the grant recipient's appeal.
If any other delegate agency, person, agency or organization wishes

[[Page 142]]

to participate in the hearing, it may request permission to do so from
the Departmental Appeals Board.
(4) If the grant recipient fails to appear at the hearing, without
good cause, the grant recipient will be deemed to have waived its right
to a hearing and consented to have the Departmental Appeals Board make a
decision based on the parties' written information and argument.
(5) A grant recipient may waive the hearing and submit written
information and argument for the record, within a reasonable period of
time to be fixed by the Departmental Appeals Board.
(6) The responsible HHS official may attempt, either personally or
through a representative, to resolve the issues in dispute by informal
means prior to the hearing.
(g) Decision. The Departmental Appeals Board's decision and any
measure the responsible HHS official takes after the decision is fully
binding upon the grant recipient and its delegate agencies, whether or
not they actually participated in the hearing.

Sec. 1304.6 Appeal for prospective delegate agencies.

(a) Appeal. If a grant recipient denies, or fails to act on, a
prospective delegate agency's funding application, the prospective
delegate may appeal the grant recipient's decision or inaction.
(b) Process for prospective delegates. To appeal, a prospective
delegate must:
(1) Submits the appeal, including a copy of the funding application,
to the responsible HHS official within 30 days after it receives the
grant recipient's decision; or within 30 days after the grant recipient
has had 120 days to review but has not notified the applicant of a
decision; and,
(2) Provide the grant recipient with a copy of the appeal at the
same time the appeal is filed with the responsible HHS official.
(c) Process for grant recipients. When an appeal is filed with the
responsible HHS official, the grant recipient must respond to the appeal
and submit a copy of its response to the responsible HHS official and to
the prospective delegate agency within 30 work days.
(d) Decision. (1) The responsible HHS official will sustain the
grant recipient's decision, if the official determines the grant
recipient did not act arbitrarily, capriciously, or otherwise contrary
to law, regulation, or other applicable requirements.
(2) The responsible HHS official will render a written decision to
each party within a reasonable timeframe. The official's decision is
final and not subject to further appeal.
(3) If the responsible HHS official finds the grant recipient did
act arbitrarily, capriciously, or otherwise contrary to law, regulation,
or other applicable requirements, the grant recipient will be directed
to reevaluate their applications.

Sec. 1304.7 Legal fees.

(a) An agency is not authorized to charge to its grant legal fees or
other costs incurred to appeal terminations, reductions of funding, or
denials of applications of refunding decisions.
(b) If a program prevails in a termination, reduction, or denial of
refunding decision, the responsible HHS official may reimburse the
agency for reasonable and customary legal fees, incurred during the
appeal, if:
(1) The Departmental Appeals Board overturns the responsible HHS
official's decision;
(2) The agency can prove it incurred fees during the appeal; and,
(3) The agency can prove the fees incurred are reasonable and
customary.

Subpart B_Designation Renewal

Sec. 1304.10 Purpose and scope.

The purpose of this subpart is to set forth policies and procedures
for the designation renewal of Head Start programs. It is intended that
these programs be administered effectively and responsibly; that
applicants to administer programs receive fair and equitable
consideration; and that the legal rights of current Head Start grant
recipients be fully protected. The Designation Renewal System is
established in this part to determine whether Head Start agencies
deliver high-quality services to meet the educational, health,
nutritional, and social needs of the children and families they

[[Page 143]]

serve; meet the program and financial requirements and standards
described in section 641A(a)(1) of the Head Start Act; and qualify to be
designated for funding for five years without competing for such funding
as required under section 641(c) or 645A(b)(12) and (d) of the Head
Start Act. A competition to select a new Head Start agency to replace a
Head Start agency that has been terminated voluntarily or involuntarily
is not part of the Designation Renewal System established in this part,
and is subject instead to the requirements of Sec. 1304.20.

[89 FR 67817, Aug. 21, 2024]

Sec. 1304.11 Basis for determining whether a Head Start
agency will be subject to an open competition.

A Head Start agency will be required to compete for its next five
years of funding whenever the responsible HHS official determines that
one or more of the following seven conditions existed during the
relevant time period under Sec. 1304.15:
(a) An agency has two or more deficiencies across reviews conducted
under section 641A(c)(1)(A), (C), or (D) of the Act during the relevant
time period under Sec. 1304.15.
(b) An agency has not, based on a review conducted under section
641A(c)(1)(A), (C), or (D) of the Act during the relevant time period
under Sec. 1304.15:
(1) Established program goals for improving the school readiness of
children participating in its program in accordance with the
requirements of section 641A(g)(2) of the Act and demonstrated that such
goals:
(i) Appropriately reflect the ages of children, birth to five,
participating in the program;
(ii) Align with the Head Start Early Learning Outcomes Framework:
Ages Birth to Five, state early learning guidelines, and the
requirements and expectations of the schools, to the extent that they
apply to the ages of children, birth to five, participating in the
program and at a minimum address the domains of language and literacy
development, cognition and general knowledge, approaches toward
learning, physical well-being and motor development, and social and
emotional development;
(iii) Were established in consultation with the parents of children
participating in the program.
(2) Taken steps to achieve the school readiness goals described
under paragraph (b)(1) of this section demonstrated by:
(i) Aggregating and analyzing aggregate child-level assessment data
at least three times per year (except for programs operating less than
90 days, which will be required to do so at least twice within their
operating program period) and using that data in combination with other
program data to determine grant recipients' progress toward meeting its
goals, to inform parents and the community of results, and to direct
continuous improvement related to curriculum, instruction, professional
development, program design and other program decisions; and
(ii) Analyzing individual ongoing, child-level assessment data for
all children birth to age five participating in the program and using
that data in combination with input from parents and families to
determine each child's status and progress with regard to, at a minimum,
language and literacy development, cognition and general knowledge,
approaches toward learning, physical well-being and motor development,
and social and emotional development, and to individualize the
experiences, instructional strategies, and services to best support each
child.
(c) An agency has been determined during the relevant time period
covered by the responsible HHS official's review under Sec. 1304.15:
(1) To have an average score across all classrooms observed that is
below the following competitive thresholds on any of the three CLASS:
Pre-K domains from the most recent CLASS: Pre-K observation:
(i) For the Emotional Support domain, the competitive threshold is
5;
(ii) For the Classroom Organization domain, the competitive
threshold is 5;
(iii) For the Instructional Support domain, the competitive
threshold is 2.3 through July 31, 2025, and 2.5 on and after August 1,
2025.
(2) If an agency is determined to have an average score across all
classrooms

[[Page 144]]

observed below the quality threshold on any of the three CLASS: Pre-K
domains, the Office of Head Start will support the program to strengthen
its coordinated approach to training and professional development as
required in Sec. 1302.92(b) and (c), to help promote improvement in
teaching practices and teacher-child interactions. The quality threshold
for each domain is as follows:
(i) For the Emotional Support domain, the quality threshold is 6;
(ii) For the Classroom Organization domain, the quality threshold is
6;
(iii) For the Instructional Support domain, the quality threshold is
3.
(d) An agency has had a revocation of its license to operate a Head
Start center or program by a State or local licensing agency during the
relevant time period under Sec. 1304.15, and the revocation has not
been overturned or withdrawn before a competition for funding for the
next five-year period is announced. A pending challenge to the license
revocation or restoration of the license after correction of the
violation will not affect application of this requirement after the
competition for funding for the next five-year period has been
announced.
(e) An agency has been suspended from the Head Start program by ACF
during the relevant time period covered by the responsible HHS
official's review under Sec. 1304.15 and the suspension has not been
overturned or withdrawn. If the agency did not have an opportunity to
show cause as to why the suspension should not have been imposed or why
the suspension should have been lifted if it had already been imposed
under this part, the agency will not be required to compete based on
this condition. If an agency has received an opportunity to show cause
and the suspension remains in place, the condition will be implemented.
(f) An agency has been debarred from receiving federal or state
funds from any federal or state department or agency or has been
disqualified from the Child and Adult Care Food Program (CACFP) any time
during the relevant time period covered by the responsible HHS
official's review under Sec. 1304.15 but has not yet been terminated or
denied refunding by ACF. (A debarred agency will only be eligible to
compete for Head Start funding if it receives a waiver described in 2
CFR 180.135.)
(g) An agency meets one of two fiscal criteria, if the agency:
(1) Is at risk of failing to continue functioning as a going concern
within the current project period. The final determination is made by
the responsible HHS official based on a review of the findings and
opinions of an audit conducted in accordance with section 647 of the
Act; an audit, review or investigation by a state agency; a review by
the National External Audit Review (NEAR) Center; or an audit,
investigation or inspection by the Department of Health and Human
Services Office of Inspector General; or
(2) Has a total of two or more audit findings of material weakness
or questioned costs associated with its Head Start funds in audit
reports submitted to the Federal Audit Clearinghouse (in accordance with
section 647 of the Act) for a financial period within the current
project period.

[85 FR 53207, Aug. 28, 2020, as amended at 89 FR 67817, Aug. 21, 2024]

Sec. 1304.12 Grant recipient reporting requirements concerning certain conditions.

A Head Start agency must report in writing to the responsible HHS
official within 10 working days of occurrence of any of the following
events:
(a) The agency has had a revocation of a license to operate a center
by a state or local licensing entity.
(b) The agency has filed for bankruptcy or agreed to a
reorganization plan as part of a bankruptcy settlement.
(c) The agency has been debarred from receiving federal or state
funds from any federal or state department or agency or has been
disqualified from the Child and Adult Care Food Program (CACFP).
(d) The agency has received an audit, audit review, investigation or
inspection report from the agency's auditor, a state agency, or the
cognizant federal audit agency containing a determination that the
agency is at risk of ceasing to be a going concern.

[85 FR 53208, Aug. 28, 2020]

[[Page 145]]

Sec. 1304.13 Requirements to be considered for designation
for a five-year period when the existing grant recipient in
a community is not determined to be
delivering a high-quality and comprehensive Head Start program
and is not automatically renewed.

In order to compete for the opportunity to be awarded a five-year
grant, an agency must submit an application to the responsible HHS
official that demonstrates that it is the most qualified entity to
deliver a high-quality and comprehensive Head Start program. The
application must address the criteria for selection listed at section
641(d)(2) of the Head Start Act. Any agency that has had its Head Start
grant terminated for cause in the preceding five years is excluded from
competing in such competition for the next five years. A Head Start
agency that has had a denial of refunding, as defined in 45 CFR part
1305, in the preceding five years is also excluded from competing.

[89 FR 67817, Aug. 21, 2024]

Sec. 1304.14 Tribal government consultation
under the Designation Renewal System for when an Indian
Head Start grant is being considered for competition.

(a) In the case of an Indian Head Start agency determined not to be
delivering a high-quality and comprehensive Head Start program, the
responsible HHS official will engage in government-to-government
consultation with the appropriate Tribal government or governments for
the purpose of establishing a plan to improve the quality of the Head
Start program operated by the Indian Head Start agency.
(1) The plan will be established and implemented within six months
after the responsible HHS official's determination.
(2) Not more than six months after the implementation of that plan,
the responsible HHS official will reevaluate the performance of the
Indian Head Start agency.
(3) If the Indian Head Start agency is still not delivering a high-
quality and comprehensive Head Start program, the responsible HHS
official will conduct an open competition to select a grant recipient to
provide services for the community currently being served by the Indian
Head Start agency.
(b) A non-Indian Head Start agency will not be eligible to receive a
grant to carry out an Indian Head Start program, unless there is no
Indian Head Start agency available for designation to carry out an
Indian Head Start program.
(c) A non-Indian Head Start agency may receive a grant to carry out
an Indian Head Start program only until such time as an Indian Head
Start agency in such community becomes available and is designated
pursuant to this part.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67817, Aug. 21, 2024]

Sec. 1304.15 Designation request, review and notification process.

(a) A grant recipient must apply to be considered for Designation
Renewal. A Head Start agency wishing to be considered to have its
designation as a Head Start agency renewed for another five-year period
without competition must request that status from ACF at least 12 months
before the end of their five-year grant period or by such time as
required by the Secretary.
(b) ACF will review the relevant data to determine if one or more of
the conditions under Sec. 1304.11 were met by the Head Start agency
during the current project period.
(c) ACF will give notice to grant recipients on Designation Renewal
System status, except as provided in Sec. 1304.14, at least 12 months
before the expiration date of a Head Start agency's current grant,
stating:
(1) The Head Start agency will be required to compete for funding
for an additional five-year period because ACF finds that one or more
conditions under Sec. 1304.11 were met by the agency's program during
the relevant time period described in paragraph (b) of this section,
identifying the conditions ACF found, and summarizing the basis for the
finding; or
(2) That such agency has been determined on a preliminary basis to
be eligible for renewed funding for five years without competition
because ACF finds that none of the conditions under

[[Page 146]]

Sec. 1304.11 have been met during the relevant time period described in
paragraph (b) of this section. If prior to the award of that grant, ACF
determines that the grant recipient has met one of the conditions under
Sec. 1304.11 during the relevant time period described in paragraph (b)
of this section, this determination will change and the grant recipient
will receive notice under paragraph (c)(1) of this section that it will
be required to compete for funding for an additional five-year period.

[85 FR 53208, Aug. 28, 2020, as amended at 89 FR 67818, Aug. 21, 2024]

Sec. 1304.16 Use of CLASS: Pre-K instrument in the Designation
Renewal System.

Except when all children are served in a single classroom, ACF will
conduct observations of multiple classes operated by the grant recipient
based on a random sample of all classes and rate the conduct of the
classes observed using the CLASS: Pre-K instrument. When the grant
recipient serves children in its program in a single class, that class
will be observed and rated using the CLASS: Pre-K instrument. The domain
scores for that class will be the domain scores for the grant recipient
for that observation. After the observations are completed, ACF will
report to the grant recipient the scores of the classes observed during
the CLASS: Pre-K observations in each of the domains covered by the
CLASS: Pre-K instrument. ACF will average CLASS: Pre-K instrument scores
in each domain for the classes operated by the agency that ACF observed
to determine the agency's score in each domain.

Sec. 1304.17 Flexibility for Head Start Designation Renewal
Determinations in Certain Emergencies.

(a) In reviewing the relevant data as described in Sec. 1304.15(b),
if ACF determines that one or more data elements described in the
conditions in section Sec. 1304.11 is not available due to an emergency
described in paragraph (b) of this section, ACF may make a designation
renewal determination based on the data elements that are available.
(b) The emergencies are:
(1) A major disaster declared by the President under section 401 of
the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5170).
(2) An emergency declared by the President under section 501 of the
Robert T. Stafford Disaster Relief and Emergency Assistance Act (42
U.S.C. 5191).
(3) A public health emergency declared by the Secretary pursuant to
section 319 of the Public Health Service Act (42 U.S.C. 247d).

[85 FR 78792, Dec. 7, 2020]

Subpart C_Selection of Grant Recipients Through Competition

Sec. 1304.20 Selection among applicants.

(a) In selecting an agency to be designated to provide Head Start
Preschool, Early Head Start, Migrant or Seasonal Head Start or Tribal
Head Start Preschool or Early Head Start services, the responsible HHS
official will consider the applicable criteria at section 641(d) of the
Head Start Act and any other criteria outlined in the funding
opportunity announcement.
(b) In competitions to replace or potentially replace a grant
recipient the responsible HHS official will also consider the extent to
which the applicant supports continuity for participating children, the
community and the continued employment of effective, well qualified
personnel.
(c) In competitions to replace or potentially replace a current
grant recipient, the responsible HHS official will give priority to
applicants that have demonstrated capacity in providing effective,
comprehensive, and well-coordinated early childhood education and
development services and programs to children and their families.

[81 FR 61412, Sept. 6, 2016, as amended at 89 FR 67818, Aug. 21, 2024]

[[Page 147]]

Subpart D_Replacement of American Indian and Alaska Native Grant
Recipients

Sec. 1304.30 Procedure for indentification of alternative agency.

(a) An Indian tribe whose Head Start grant has been terminated,
relinquished, designated for competition or which has been denied
refunding as a Head Start agency, may identify an alternate agency and
request the responsible HHS official to designate such agency as an
alternative agency to provide Head Start services to the tribe if:
(1) The tribe was the only agency that was receiving federal
financial assistance to provide Head Start services to members of the
tribe; and,
(2) The tribe would be otherwise precluded from providing such
services to its members because of the termination or denial of
refunding.
(b)(1) The responsible HHS official, when notifying a tribal grant
recipient of the intent to terminate financial assistance or deny its
application for refunding, or its designation for competition must
notify the grant recipient that it may identify an agency and request
that the agency serve as the alternative agency in the event that the
grant is terminated or refunding denied, or the grant is not renewed
without competition.
(2) The tribe must identify the alternate agency to the responsible
HHS official in writing.
(3) The responsible HHS official will notify the tribe, in writing,
whether the alternative agency proposed by the tribe is found to be
eligible for Head Start funding and capable of operating a Head Start
program. If the alternative agency identified by the tribe is not an
eligible agency capable of operating a Head Start program, the tribe
will have 15 days from the date of the sending of the notification to
that effect from the responsible HHS official to identify another agency
and request that the agency be designated. The responsible HHS official
will notify the tribe in writing whether the second proposed alternate
agency is found to be an eligible agency capable of operating the Head
Start program.
(4) If the tribe does not identify an eligible, suitable alternative
agency, a grant recipient will be designated under these regulations.
(c) If the tribe appeals a termination of financial assistance or a
denial of refunding, it will, consistent with the terms of Sec. 1304.5,
continue to be funded pending resolution of the appeal. However, the
responsible HHS official and the grant recipient will proceed with the
steps outlined in this regulation during the appeal process.
(d) If the tribe does not identify an agency and request that the
agency be appointed as the alternative agency, the responsible HHS
official will seek a permanent replacement grant recipient under these
regulations.

Sec. 1304.31 Requirements of alternative agency.

The agency identified by the Indian tribe must establish that it
meets all requirements established by the Head Start Act and these
requirements for designation as a Head Start grant recipient and that it
is capable of conducting a Head Start program. The responsible HHS
official, in deciding whether to designate the proposed agency, will
analyze the capacity and experience of the agency according to the
criteria found in section 641(d) of the Head Start Act and Sec.
1304.20.

Sec. 1304.32 Alternative agency--prohibition.

(a) No agency will be designated as the alternative agency pursuant
to this subpart if the agency includes an employee who:
(1) Served on the administrative or program staff of the Indian
tribal grant recipient described under section 646(e)(1)(A) of the Act;
and
(2) Was responsible for a deficiency that:
(i) Relates to the performance standards or financial management
standards described in section 641A(a)(1) of the Act; and,
(ii) Was the basis for the termination of assistance under section
646(e)(1)(A) of the Act or denial of refunding described in Sec.
1304.4.
(b) The responsible HHS official shall determine whether an employee
was responsible for a deficiency within the meaning and context of this
section.

[[Page 148]]

Subpart E_Head Start Fellows Program

Sec. 1304.40 Purpose.

As provided in section 648A(d) of the Act, the Head Start Fellows
Program is designed to enhance the ability of Head Start Fellows to make
significant contributions to Head Start and to other child development
and family services programs.

Sec. 1304.41 Fellows Program.

(a) Selection. An applicant must be working on the date of
application in a local Head Start program or otherwise working in the
field of child development and family services. The qualifications of
the applicants for Head Start Fellowship positions will be competitively
reviewed.
(b) Placement. Head Start Fellows may be placed in the Head Start
national and regional offices; local Head Start agencies and programs;
institutions of higher education; public or private entities and
organizations concerned with services to children and families; and
other appropriate settings.
(c) Restrictions. A Head Start Fellow who is not an employee of a
local Head Start agency or program may only be placed in the national or
regional offices within the Department of Health and Human Services that
administer Head Start or local Head Start agencies. Head Start Fellows
shall not be placed in any agency whose primary purpose, or one of whose
major purposes is to influence federal, state or local legislation.
(d) Duration. Head Start Fellowships will be for terms of one year,
and may be renewed for a term of one additional year.
(e) Status. For the purposes of compensation for injuries under
chapter 81 of title 5, United States Code, Head Start Fellows shall be
considered to be employees, or otherwise in the service or employment,
of the federal government. Head Start Fellows assigned to the national
or regional offices within the Department of Health and Human Services
shall be considered employees in the Executive Branch of the federal
government for the purposes of chapter 11 of title 18, United States
Code, and for the purposes of any administrative standards of conduct
applicable to the employees of the agency to which they are assigned.

PART 1305_DEFINITIONS--Table of Contents

Sec.
1305.1 Purpose.
1305.2 Terms.

Authority: 42 U.S.C. 9801 et seq.

Source: 81 FR 61412, Sept. 6, 2016, unless otherwise noted.

Sec. 1305.1 Purpose.

The purpose of this part is to define terms for the purposes of this
subchapter.

Sec. 1305.2 Terms.

For the purposes of this subchapter, the following definitions
apply:
ACF means the Administration for Children and Families in the
Department of Health and Human Services.
Act means the Head Start Act, Sec. 635 et seq., Public Law 97-35, 95
Stat. 499-511 (codified as amended at 42 U.S.C. Section 9801, et seq.).
Agency means the body that receives the Head Start grant.
Aggregate child-level assessment data means the data collected by an
agency on the status and progress of the children it serves that have
been combined to provide summary information about groups of children
enrolled in specific classes, centers, home-based or other options,
groups or settings, or other groups of children such as dual language
learners, or to provide summary information by specific domains of
development.
Allowable alternate vehicle means a vehicle designed for carrying
eleven or more people, including the driver, that meets all the Federal
Motor Vehicle Safety Standards applicable to school buses, except 49 CFR
571.108 and 571.131.
Budget period means the interval of time, into which a multi-year
period of assistance (project period) is divided for budgetary and
funding purposes.
Case plan is defined as presented in 42 U.S.C. 675(1) which, in
summary, is a written document that must include a number of specified
items including, but is not limited to, a plan for safe and proper care
of the child in foster

[[Page 149]]

care placement, health records, and a plan for ensuring the educational
stability of the child in foster care.
Child-level assessment data means the data collected by an agency on
an individual child from one or more valid and reliable assessments of a
child's status and progress, including but not limited to direct
assessment, structured observations, checklists, staff or parent report
measures, and portfolio records or work samples.
Child records means records that:
(1) Are directly related to the child;
(2) Are maintained by the program, or by a party acting for the
program; and
(3) Include information recorded in any way, such as print,
electronic, or digital means, including media, video, image, or audio
format.
Child restraint system means any device designed to restrain, seat,
or position children that meets the current requirements of Federal
Motor Vehicle Safety Standard No. 213, Child Restraint Systems, 49 CFR
571.213, for children in the weight category established under the
regulation, or any device designed to restrain, seat, or position
children, other than a Type I seat belt as defined at 49 CFR 571.209,
for children not in the weight category currently established by 49 CFR
571.213.
Child with a disability is defined in the same manner as presented
in the Head Start Act, 42 U.S.C. 9801.
CLASS: Pre-K means The Classroom Assessment Scoring System (CLASS).
The CLASS is an observational instrument that assesses classroom quality
in preschool through third grade classrooms. This tool meets the
requirements described in 641(c)(1)(D) and 641A(c)(2)(F) of the Head
Start Act (42 U.S.C. 9836(c)(1)(D) and 9836a(c)(2)(F)). The CLASS
assesses three domains of classroom experience: Emotional Support,
Classroom Organization, and Instructional Support.
(1) Emotional Support measures children's social and emotional
functioning in the classroom, and includes four dimensions: Positive
Climate, Negative Climate, Teacher Sensitivity and Regard for Student
Perspectives. Positive Climate addresses the emotional connection,
respect, and enjoyment demonstrated between teachers and children and
among children. Negative Climate addresses the level of expressed
negativity such as anger, hostility, or aggression exhibited by teachers
and/or children in the classroom. Teacher Sensitivity addresses
teachers' awareness of and responsivity to children's academic and
emotional concerns. Regard for Student Perspectives addresses the degree
to which teachers' interactions with children and classroom activities
place an emphasis on children's interests, motivations, and points of
view.
(2) Classroom Organization measures a broad array of classroom
processes related to the organization and management of children's
behavior, time, and attention in the classroom. It includes three
dimensions: Behavior Management, Productivity, and Instructional
Learning Formats. Behavior Management addresses how effectively teachers
monitor, prevent, and redirect behavior. Productivity addresses how well
the classroom runs with respect to routines and the degree to which
teachers organize activities and directions so that maximum time can be
spent on learning activities. Instructional Learning Formats addresses
how teachers facilitate activities and provide interesting materials so
that children are engaged and learning opportunities are maximized.
(3) Instructional Support measures the ways in which teachers
implement curriculum to effectively support cognitive and language
development. It includes three dimensions: Concept Development, Quality
of Feedback, and Language Modeling. Concept Development addresses how
teachers use instructional discussions and activities to promote
children's higher order thinking skills in contrast to a focus on rote
instruction. Quality of Feedback addresses how teachers extend
children's learning through their responses to children's ideas,
comments, and work. Language Modeling addresses the extent to which
teachers facilitate and encourage children's language.
(4) Assessments with the CLASS involve observation-based measurement
of each dimension on a seven point

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scale. A score ranging from 1 (minimally characteristic) to 7 (highly
characteristic) is given for each dimension and represents the extent to
which that dimension is characteristic of that classroom. Relevant
dimension scores are used to calculate each domain score.
Commercial Driver's License (CDL) means a license issued by a state
or other jurisdiction, in accordance with the standards contained in 49
CFR part 383, to an individual which authorizes the individual to
operate a class of commercial motor vehicles.
Construction means new buildings, and excludes renovations,
alterations, additions, or work of any kind to existing buildings.
Continuity of care means Head Start services provided to children in
a manner that promotes primary caregiving and minimizes the number of
transitions in teachers and teacher assistants that children experience
over the course of the day, week, program year, and to the extent
possible, during the course of their participation from birth to age
three in Early Head Start and in Head Start Preschool.
Deficiency is defined in the same manner as presented in the Head
Start Act, 42 U.S.C. 9801.
Delegate agency is defined in the same manner as presented in the
Head Start Act, 42 U.S.C. 9801.
Denial of Refunding means the refusal of a funding agency to fund an
application for a continuation of a Head Start program for a subsequent
program year when the decision is based on a determination that the
grant recipient has improperly conducted its program, or is incapable of
doing so properly in the future, or otherwise is in violation of
applicable law, regulations, or other policies.
Development and administrative costs mean costs incurred in
accordance with an approved Head Start budget which do not directly
relate to the provision of program component services, including
services to children with disabilities, as set forth and described in
the Head Start program performance standards (45 CFR part 1304).
Disclosure means to permit access to or the release, transfer, or
other communication of PII contained in child records by any means,
including oral, written, or electronic means, to any party except the
party identified as the party that provided or created the record.
Double session variation means a center-based option that employs a
single teacher to work with one group of children in the morning and a
different group of children in the afternoon.
Dual benefit costs mean costs incurred in accordance with an
approved Head Start budget which directly relate to both development and
administrative functions and to the program component services,
including services to children with disabilities, as set forth and
described in the Head Start program performance standards (45 CFR part
1304).
Dual language learner means a child who is acquiring two or more
languages at the same time, or a child who is learning a second language
while continuing to develop their first language. The term ``dual
language learner'' may encompass or overlap substantially with other
terms frequently used, such as bilingual, English language learner
(ELL), Limited English Proficient (LEP), English learner, and children
who speak a Language Other Than English (LOTE).
Early Head Start means a program that serves pregnant women and
children from birth to age three, pursuant to section 645A(e) of the
Head Start Act. This includes Tribal and migrant or seasonal programs.
Enrolled (or any variation of) means a child has been accepted and
attended at least one class for center-based or family child care option
or at least one home visit for the home-based option.
Enrollment year means the period of time, not to exceed twelve
months, during which a Head Start program provides center or home-based
services to a group of children and their families.
Facility means a structure, such as a building or modular unit,
appropriate for use in carrying out a Head Start program and used
primarily to provide Head Start services, including services to children
and their families, or for administrative purposes or other activities
necessary to carry out a Head Start program.

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Family means all persons living in the same household who are
supported by the child's parent(s)' or guardian(s)' income; and are
related to the child's parent(s) or guardian(s) by blood, marriage, or
adoption; or are the child's authorized caregiver or legally responsible
party.
Federal interest is a property right which secures the right of the
Federal awarding agency to recover the current fair market value of its
percentage of participation in the cost of the facility subject to part
1303, subpart E, of this chapter funding in the event the facility is no
longer used for Head Start purposes by the grant recipient or upon the
disposition of the property. When a grant recipient uses Head Start
funds to purchase, construct or make major renovations to a facility, or
make mortgage payments, it creates a Federal interest. The Federal
interest includes any portion of the cost of purchase, construction, or
major renovation contributed by or for the entity, or a related donor
organization, to satisfy a matching requirement.
Federal Motor Vehicle Safety Standards (FMVSS) means the National
Highway and Traffic Safety Administration's standards for motor vehicles
and motor vehicle equipment (49 CFR part 571) established under section
30111 of Title 49, United States Code.
Financial viability means that an organization is able to meet its
financial obligations, balance funding and expenses and maintain
sufficient funding to achieve organizational goals and objectives.
Fixed route means the established routes to be traveled on a regular
basis by vehicles that transport children to and from Head Start program
activities, and which include specifically designated stops where
children board or exit the vehicle.
Foster care means 24-hour substitute care for children placed away
from their parents or guardians and for whom the state agency has
placement and care responsibility. This includes, but is not limited to,
placements in foster family homes, foster homes of relatives, group
homes, emergency shelters, residential facilities, child-care
institutions, and pre-adoptive homes. A child is in foster care in
accordance with this definition regardless of whether the foster care
facility is licensed and payments are made by the state or local agency
for the care of the child, whether adoption subsidy payments are being
made prior to the finalization of an adoption, or whether there is
federal matching of any payments that are made.
Full-working-day means not less than 10 hours of Head Start services
per day.
Funded enrollment means the number of participants which the Head
Start grant recipient is to serve, as indicated on the grant award.
Going concern means an organization that operates without the threat
of liquidation for the foreseeable future, a period of at least 12
months.
Grant recipient means the local public or private non-profit agency
or for-profit agency which has been designated as a Head Start agency
under 42 U.S.C. 9836 and which has been granted financial assistance by
the responsible HHS official to operate a Head Start program.
Head Start means any program authorized under the Head Start Act.
Head Start agency means a local public or private non-profit or for-
profit entity designated by ACF to operate a Head Start Preschool
program, an Early Head Start program, or Migrant or Seasonal Head Start
program pursuant to the Head Start Act.
Head Start Early Learning Outcomes Framework: Ages Birth to Five
means the Head Start Early Learning Outcomes Framework: Ages Birth to
Five, which describes the skills, behaviors, and knowledge that programs
must foster in all children. It includes five central domains:
Approaches to Learning; Social and Emotional Development; Language and
Literacy; Cognition; and Perceptual, Motor, and Physical Development.
These central domains are broken into five domains for infants and
toddlers and seven domains for preschoolers. Infant and Toddler domains
are Approaches to Learning; Social and Emotional Development; Language
and Communication; Cognition; and Perceptual, Motor, and Physical
Development. Preschool domains are Approaches to Learning; Social and
Emotional Development; Language and

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Communication; Literacy; Mathematics Development; Scientific Reasoning;
and Perceptual, Motor, and Physical Development. Domains are divided
into sub-domains with goals that describe broad skills, behaviors, and
concepts that are important for school success. Developmental
progressions describe the skills, behaviors and concepts that children
may demonstrate as they progress. As described in the Head Start Act,
the Framework is central to program operations that promote high-quality
early learning environments (42 U.S.C. 9832(21)(G)(iv)(II)(aa), 42
U.S.C. 9835(o), 42 U.S.C. 9836(d)(2)(C), 42 U.S.C. 9836a(g)(2)(A), 42
U.S.C. 9837(f)(3)(E), 42 U.S.C. 9837a(a)(3), 42 U.S.C. 9837a(a)(14), 42
U.S.C. 9837b(a)(2)(B)(iii), 42 U.S.C. 9837b(a)(4)(A)(i), and 42 U.S.C.
9837b(a)(4)(B)(iii)).
Head Start Preschool means a program that serves children aged three
to compulsory school age, pursuant to section 641(b) and (d) of the Head
Start Act. This includes Tribal and migrant or seasonal programs.
Homeless children means the same as homeless children and youths in
Section 725(2) of the McKinney-Vento Homeless Assistance Act at 42
U.S.C. 11434a(2).
Home visitor means the staff member in the home-based program option
assigned to work with parents to provide comprehensive services to
children and their families through home visits and group socialization
activities.
Hours of planned class operations means hours when children are
scheduled to attend. Professional development, training, orientation,
teacher planning, data analysis, parent-teacher conferences, home
visits, classroom sanitation, and transportation do not count toward the
hours of planned class operations.
Housing costs means the total annual applicable expenses on housing
which may include rent or mortgage payments, homeowner's or renter's
insurance, utilities, interest, and taxes on the home. Utilities include
electricity, gas, water, sewer, and trash.
Income means gross income and only includes wages, business income,
unemployment compensation, pension or annuity payments, gifts that
exceed the threshold for taxable income, and military income (excluding
special pay for a member subject to hostile fire or imminent danger
under 37 U.S.C. 310 or any basic allowance for housing under 37 U.S.C.
403 including housing acquired under the alternative authority under 10
U.S.C. 169 or any related provision of law). Gross income only includes
sources of income provided in this definition; it does not include
refundable tax credits nor any forms of public assistance.
Indian Head Start agency means a program operated by an Indian tribe
(as defined by the Act) or designated by an Indian tribe to operate on
its behalf.
Indian tribe is defined in the same manner as presented in the Head
Start Act, 42 U.S.C. 9801.
Individualized Education Program is defined in the same manner as
presented in the Individuals with Disabilities Education Act (20 U.S.C.
1400 et seq.).
Individualized Family Service Plan is defined in the same manner as
presented in the Individuals with Disabilities Education Act (20 U.S.C.
1400 et seq.).
Legal status means the existence of an applicant or grant recipient
as a public agency or organization under the law of the state in which
it is located, or existence as a private nonprofit or for-profit agency
or organization as a legal entity recognized under the law of the state
in which it is located. Existence as a private non-profit agency or
organization may be established under applicable state or federal law.
Local agency responsible for implementing IDEA means the early
intervention service provider under Part C of IDEA and the local
educational agency under Part B of IDEA.
Major renovation means any individual or collective group of
renovation activities related to the same facility that has a cost equal
to or exceeding $350,000 in Head Start funds. Renovation activities that
are intended to occur concurrently or consecutively, or altogether
address a specific part or feature of a facility, are considered a
collective group of renovation activities. Unless included in a purchase
application, minor renovations and repairs are excluded from major
renovations. To maintain alignment with the

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National Defense Authorization Act (NDAA), the major renovation
threshold will increase to account for any increases made to the
simplified acquisition threshold beyond $350,000. Tribes that jointly
apply to use both Tribal Child Care and Development Fund (CCDF) and Head
Start funds toward major renovations may comply with the CCDF threshold
for major renovation if it is higher.
Migrant family means, for purposes of Head Start eligibility, a
family with children under the age of compulsory school attendance who
changed their residence by moving from one geographic location to
another, either intrastate or interstate, within the preceding two years
for the purpose of engaging in agricultural work.
Migrant or Seasonal Head Start Program means:
(1) With respect to services for migrant farm workers, a Head Start
program that serves families who are engaged in agricultural labor and
who have changed their residence from one geographic location to another
in the preceding 2-year period; and,
(2) With respect to services for seasonal farmworkers, a Head Start
program that serves families who are engaged primarily in seasonal
agricultural labor and who have not changed their residence to another
geographic location in the preceding 2-year period.
Minor renovation means improvements to facilities, which do not meet
the definition of major renovation.
Modular unit means a portable prefabricated structure made at
another location and moved to a site for use by a Head Start grant
recipient to carry out a Head Start program, regardless of the manner or
extent to which the modular unit is attached to underlying real
property.
National Driver Register means the National Highway Traffic Safety
Administration's automated system for assisting state driver license
officials in obtaining information regarding the driving records of
individuals who have been denied licenses for cause; had their licenses
denied for cause, had their licenses canceled, revoked, or suspended for
cause, or have been convicted of certain serious driving offenses.
Parent means a Head Start child's mother or father, other family
member who is a primary caregiver, foster parent or authorized
caregiver, guardian or the person with whom the child has been placed
for purposes of adoption pending a final adoption decree.
Participant means a pregnant woman or child who is enrolled in and
receives services from a Head Start Preschool, an Early Head Start, a
Migrant or Seasonal Head Start, or an American Indian and Alaska Native
Head Start program.
Personally identifiable information (PII) means any information that
could identify a specific individual, including but not limited to a
child's name, name of a child's family member, street address of the
child, social security number, or other information that is linked or
linkable to the child.
Poverty line is set by the poverty guidelines updated periodically
in the Federal Register by the U.S. Department of Health and Human
Services under the authority of 42 U.S.C. 9902(2). Poverty guidelines
for the contiguous-states-and-DC apply to Puerto Rico and U.S.
Territories.
Program means any funded Head Start Preschool, Early Head Start,
Migrant or Seasonal Head Start, Tribal, or other program authorized
under the Act and carried out by an agency, or delegate agency, to
provide ongoing comprehensive child development services.
Program costs mean costs incurred in accordance with an approved
Head Start budget which directly relate to the provision of program
component services, including services to children with disabilities, as
set forth and described in the Head Start Program Performance Standards
(45 CFR part 1304).
Purchase means to buy an existing facility, including outright
purchase, down payment or through payments made in satisfaction of a
mortgage or other loan agreement, whether principal, interest or an
allocated portion principal and/or interest. The use of grant funds to
make a payment under a finance lease agreement, as defined in the cost
principles, is a purchase subject to these provisions. Purchase also
refers to an approved use of Head Start funds to continue paying the
cost

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of purchasing facilities or refinance an existing loan or mortgage
beginning in 1987.
Real property means land, including land improvements, buildings,
structures and all appurtenances thereto, excluding movable machinery
and equipment.
Recruitment area means that geographic locality within which a Head
Start program seeks to enroll Head Start children and families. The
recruitment area can be the same as the service area or it can be a
smaller area or areas within the service area.
Relevant time period means:
(1) The 12 months preceding the month in which the application is
submitted; or
(2) During the calendar year preceding the calendar year in which
the application is submitted, whichever more accurately reflects the
needs of the family at the time of application.
Repair means maintenance that is necessary to keep a Head Start
facility in working condition. Repairs do not add significant value to
the property or extend its useful life.
Responsible HHS official means the official of the Department of
Health and Human Services who has authority to make grants under the
Act.
School readiness goals mean the expectations of children's status
and progress across domains of language and literacy development,
cognition and general knowledge, approaches to learning, physical well-
being and motor development, and social and emotional development that
will improve their readiness for kindergarten.
School bus means a motor vehicle designed for carrying 11 or more
persons (including the driver) and which complies with the Federal Motor
Vehicle Safety Standards applicable to school buses.
Service area means the geographic area identified in an approved
grant application within which a grant recipient may provide Head Start
services.
Staff means paid adults who have responsibilities related to
children and their families who are enrolled in programs.
State is defined in the same manner as presented in the Head Start
Act, 42 U.S.C. 9801.
Suspension means the temporary removal of a child from the learning
setting due to a child's behavior including requiring the child to cease
attendance for a specified period of time, reducing the number of days
or amount of time that a child may attend, removing the child from the
regular group setting for an extended period of time, or requiring the
parent or the parent's designee to pick up a child for reasons other
than illness or injury.
Termination of a grant or delegate agency agreement means permanent
withdrawal of the grant recipient's or delegate agency's authority to
obligate previously awarded grant funds before that authority would
otherwise expire. It also means the voluntary relinquishment of that
authority by the grant recipient or delegate agency. Termination does
not include:
(1) Withdrawal of funds awarded on the basis of the grant
recipient's or delegate agency's underestimate of the unobligated
balance in a prior period;
(2) Refusal by the funding agency to extend a grant or award
additional funds (such as refusal to make a competing or noncompeting
continuation renewal, extension or supplemental award);
(3) Withdrawal of the unobligated balance as of the expiration of a
grant; and
(4) Annulment, i.e., voiding of a grant upon determination that the
award was obtained fraudulently or was otherwise illegal or invalid from
its inception.
Total approved costs mean the sum of all costs of the Head Start
program approved for a given budget period by the Administration for
Children and Families, as indicated on the Financial Assistance Award.
Total approved costs consist of the federal share plus any approved non-
federal match, including non-federal match above the statutory minimum.
Transportation services means the planned transporting of children
to and from sites where an agency provides services funded under the
Head Start Act. Transportation services can involve the pick-up and
discharge of children at regularly scheduled times and pre-arranged
sites, including trips between children's homes and program settings.
The term includes services

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provided directly by the Head Start grant recipient or delegate agency
and services which such agencies arrange to be provided by another
organization or an individual. Incidental trips, such as transporting a
sick child home before the end of the day, or such as might be required
to transport small groups of children to and from necessary services,
are not included under the term.
Verify or any variance of the word means to check or determine the
correctness or truth by investigation or by reference.

[81 FR 61412, Sept. 6, 2016, as amended at 85 FR 53209, Aug. 28, 2020;
89 FR 67818, Aug. 21, 2024]

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SUBCHAPTER C_THE ADMINISTRATION FOR COMMUNITY LIVING

PART 1321_GRANTS TO STATE AND COMMUNITY PROGRAMS ON
AGING--Table of Contents

Subpart A_Introduction

Sec.
1321.1 Basis and purpose of this part.
1321.3 Definitions.

Subpart B_State Agency Responsibilities

1321.5 Mission of the State agency.
1321.7 Organization and staffing of the State agency.
1321.9 State agency policies and procedures.
1321.11 Advocacy responsibilities.
1321.13 Designation of and designation changes to planning and service
areas.
1321.15 Interstate planning and service area.
1321.17 Appeal to the Departmental Appeals Board on planning and service
area designation.
1321.19 Designation of and designation changes to area agencies.
1321.21 Withdrawal of area agency designation.
1321.23 Appeal to the Departmental Appeals Board on area agency on aging
withdrawal of designation.
1321.25 Duration, format, and effective date of the State plan.
1321.27 Content of State plan.
1321.29 Public participation.
1321.31 Amendments to the State plan.
1321.33 Submission of the State plan or plan amendment to the Assistant
Secretary for Aging for approval.
1321.35 Notification of State plan or State plan amendment approval or
disapproval for changes requiring Assistant Secretary for
Aging approval.
1321.37 Notification of State plan amendment receipt for changes not
requiring Assistant Secretary for Aging approval.
1321.39 Appeals to the Departmental Appeals Board regarding State plan
on aging.
1321.41 When a disapproval decision is effective.
1321.43 How the State agency may appeal the Departmental Appeals Board's
decision.
1321.45 How the Assistant Secretary for Aging may reallot the State
agency's withheld payments.
1321.47 Conflicts of interest policies and procedures for State
agencies.
1321.49 Intrastate funding formula.
1321.51 Single planning and service area States.
1321.53 State agency Title III and Title VI coordination
responsibilities.

Subpart C_Area Agency Responsibilities

1321.55 Mission of the area agency.
1321.57 Organization and staffing of the area agency.
1321.59 Area agency policies and procedures.
1321.61 Advocacy responsibilities of the area agency.
1321.63 Area agency advisory council.
1321.65 Submission of an area plan and plan amendments to the State
agency for approval.
1321.67 Conflicts of interest policies and procedures for area agencies
on aging.
1321.69 Area agency on aging Title III and Title VI coordination
responsibilities.

Subpart D_Service Requirements

1321.71 Purpose of services allotments under Title III.
1321.73 Policies and procedures.
1321.75 Confidentiality and disclosure of information.
1321.77 Purpose of services--person- and family-centered, trauma-
informed.
1321.79 Responsibilities of service providers under State and area
plans.
1321.81 Client eligibility for participation.
1321.83 Client and service priority.
1321.85 Supportive services.
1321.87 Nutrition services.
1321.89 Evidence-based disease prevention and health promotion services.
1321.91 Family caregiver support services.
1321.93 Legal assistance.
1321.95 Service provider Title III and Title VI coordination
responsibilities.

Subpart E_Emergency and Disaster Requirements

1321.97 Coordination with State, Tribal, and local emergency management.
1321.99 Setting aside funds to address disasters.
1321.101 Flexibilities under a major disaster declaration.
1321.103 Title III and Title VI coordination for emergency and disaster
preparedness.
1321.105 Modification during major disaster declaration or public health
emergency.

Authority: 42 U.S.C. 3001 et seq.

Source: 89 FR 11656, Feb. 14, 2024, unless otherwise noted.

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Subpart A_Introduction

Sec. 1321.1 Basis and purpose of this part.

(a) The purpose of this part is to implement Title III of the Older
Americans Act, as amended (the Act) (42 U.S.C. 3001 et seq.). This part
prescribes requirements State agencies shall meet to receive grants to
develop comprehensive and coordinated systems for the delivery of the
following services: supportive, nutrition, evidence-based disease
prevention and health promotion, caregiver, legal, and, where
appropriate, other services. These services are provided via State
agencies, area agencies on aging, and local service providers under the
Act. These requirements include:
(1) Responsibilities of State agencies;
(2) Responsibilities of area agencies on aging;
(3) Service requirements; and
(4) Emergency and disaster requirements.
(b) The requirements of this part are based on Title III of the Act.
Title III provides for formula grants to State agencies on aging, under
approved State plans described in Sec. 1321.27, to develop or enhance
comprehensive and coordinated community-based systems resulting in a
continuum of person-centered services to older persons and family
caregivers, with special emphasis on older individuals with the greatest
economic need and greatest social need, with particular attention to
low-income minority older individuals. A responsive community-based
system of services shall include collaboration in planning, resource
allocation, and delivery of a comprehensive array of services and
opportunities for all older adults in the community. Title III funds are
intended to be used as a catalyst to bring together public and private
resources in the community to assure the provision of a full range of
efficient, well-coordinated, and accessible person-centered services for
older persons and family caregivers.
(c) Each State designates one State agency to:
(1) Develop and submit a State plan on aging, as set forth in Sec.
1321.33;
(2) Administer Title III and VII funds under the State plan and the
Act;
(3) Be responsible for planning, policy development, administration,
coordination, priority setting, monitoring, and evaluation of all State
activities related to the Act;
(4) Serve as an advocate for older individuals and family
caregivers;
(5) Designate planning and service areas;
(6) Designate an area agency on aging to serve each planning and
service area, except in single planning and service area States; and
(7) Provide funds as set forth in the Act to either:
(i) Area agencies on aging under approved area plans on aging, in
States with multiple planning and service areas, for their use in
fulfilling requirements under the Act and distribution to service
providers to provide direct services,
(ii) Service providers, in single planning and service area States,
to provide direct services, or
(iii) The Ombudsman program, as set forth in part 1324 of this
chapter.
(d) Terms used, but not otherwise defined, in this part will have
the meanings ascribed to them in the Act.

Sec. 1321.3 Definitions.

Access to services or access services, as used in this part and
sections 306 and 307 of the Act (42 U.S.C. 3026 and 3027), means
services which may facilitate connection to or receipt of other direct
services, including transportation, outreach, information and
assistance, options counseling, and case management services.
Acquiring, as used in the Act, means obtaining ownership of an
existing facility.
Act, means the Older Americans Act of 1965, as amended.
Altering or renovating, as used in this part, means making
modifications to or in connection with an existing facility which are
necessary for its effective use. Such modifications may include
alterations, improvements, replacements, rearrangements, installations,
renovations, repairs, expansions, upgrades, or additions, which are not
in excess of double the square footage of the original facility and all
physical improvements.

[[Page 158]]

Area agency on aging, as used in this part, means a single agency
designated by the State agency to perform the functions specified in the
Act for a planning and service area.
Area plan administration, as used in this part, means funds used to
carry out activities as set forth in section 306 of the Act (42 U.S.C.
3026) and other activities to fulfill the mission of the area agency as
set forth in Sec. 1321.55, including development of private pay
programs or other contracts and commercial relationships.
Best available data, as used in section 305(a)(2)(C) of the Act (42
U.S.C. 3025(a)(2)(C)), with respect to the development of the intrastate
funding formula, means the most current reliable data or population
estimates available from the U.S. Decennial Census, American Community
Survey, or other high-quality, representative data available to the
State agency.
Constructing, as used in this part, means building a new facility,
including the costs of land acquisition and architectural and
engineering fees, or making modifications to or in connection with an
existing facility which are in excess of double the square footage of
the original facility and all physical improvements.
Conflicts of interest, as used in this part, means:
(1) One or more conflicts between the private interests and the
official responsibilities of a person in a position of trust;
(2) One or more conflicts between competing duties of an individual,
or between the competing duties, services, or programs of an
organization, and/or portion of an organization; and
(3) Other conflicts of interest identified in guidance issued by the
Assistant Secretary for Aging and/or by State agency policies.
Cost sharing, as used in section 315(a) of the Act (42 U.S.C. 3030c-
2(a)), means requesting payment using a sliding scale, based only on an
individual's income and the cost of delivering the service, in a manner
consistent with the exceptions, prohibitions, and other conditions laid
out in the Act.
Department, means the U.S. Department of Health and Human Services.
Direct services, as used in this part, means any activity performed
to provide services directly to an older person or family caregiver,
groups of older persons or family caregivers, or to the general public
by the staff or volunteers of a service provider, an area agency on
aging, or a State agency whether provided in-person or virtually. Direct
services exclude State or area plan administration and program
development and coordination activities.
Domestically produced foods, as used in this part, means
Agricultural foods, beverages and other food ingredients which are a
product of the United States, its Territories or possessions, the
Commonwealth of Puerto Rico, or the Trust Territories of the Pacific
Islands (hereinafter referred to as ``the United States''), except as
may otherwise be required by law, and shall be considered to be such a
product if it is grown, processed, and otherwise prepared for sale or
distribution exclusively in the United States except with respect to
minor ingredients. Ingredients from nondomestic sources will be allowed
to be utilized as a United States product if such ingredients are not
otherwise:
(1) Produced in the United States; and
(2) Commercially available in the United States at fair and
reasonable prices from domestic sources.
Family caregiver, as used in this part, means an adult family
member, or another individual, who is an informal provider of in-home
and community care to an older individual; an adult family member, or
another individual, who is an informal provider of in-home and community
care to an individual of any age with Alzheimer's disease or a related
disorder with neurological and organic brain dysfunction; or an older
relative caregiver. For purposes of this part, family caregiver does not
include individuals whose primary relationship with the older adult is
based on a financial or professional agreement.
Fiscal year, as used in this part, means the Federal fiscal year.
Governor, as used in this part, means the chief elected officer of
each State and the mayor of the District of Columbia.

[[Page 159]]

Greatest economic need, as used in this part, means the need
resulting from an income level at or below the Federal poverty level and
as further defined by State and area plans based on local and individual
factors, including geography and expenses.
Greatest social need, as used in this part, means the need caused by
noneconomic factors, which include:
(1) Physical and mental disabilities;
(2) Language barriers;
(3) Cultural, social, or geographical isolation, including due to:
(i) Racial or ethnic status;
(ii) Native American identity;
(iii) Religious affiliation;
(iv) Sexual orientation, gender identity, or sex characteristics;
(v) HIV status;
(vi) Chronic conditions;
(vii) Housing instability, food insecurity, lack of access to
reliable and clean water supply, lack of transportation, or utility
assistance needs;
(viii) Interpersonal safety concerns;
(ix) Rural location; or
(x) Any other status that:
(A) Restricts the ability of an individual to perform normal or
routine daily tasks; or
(B) Threatens the capacity of the individual to live independently;
or
(4) Other needs as further defined by State and area plans based on
local and individual factors.
Immediate family, as used in this part pertaining to conflicts of
interest, means a member of the household or a relative with whom there
is a close personal or significant financial relationship.
In-home supportive services, as used in this part, references those
supportive services provided in the home as set forth in the Act, to
include:
(1) Homemaker, personal care, home care, home health, and other
aides;
(2) Visiting and telephone or virtual reassurance;
(3) Chore maintenance;
(4) Respite care for families, including adult day care; and
(5) Minor modification of homes that is necessary to facilitate the
independence and health of older individuals and that is not readily
available under another program.
Local sources, as used in the Act and local public sources, as used
in section 309(b)(1) of the Act (42 U.S.C. 3029(b)(1)), means tax-levy
money or any other non-Federal resource, such as State or local public
funding, funds from fundraising activities, reserve funds, bequests, or
cash or third-party in-kind contributions from non-client community
members or organizations.
Major disaster declaration, as used in this part and section 310 of
the Act (42 U.S.C. 3030), means a Presidentially declared disaster under
the Robert T. Stafford Relief and Emergency Assistance Act (42 U.S.C.
5121-5207).
Means test, as used in the Act, means the use of the income, assets,
or other resources of an older person, family caregiver, or the
households thereof to deny or limit that person's eligibility to receive
services under this part.
Multipurpose senior center, as used in the Act, means a community
facility for the organization and provision of a broad spectrum of
services, which shall include provision of health (including mental and
behavioral health), social, nutritional, and educational services and
the provision of facilities for recreational activities for older
individuals, as practicable, including as provided via virtual
facilities; as used in Sec. 1321.85, facilitation of services in such a
facility.
Native American, as used in the Act, means a person who is a member
of any Indian Tribe, band, nation, or other organized group or community
of Indians (including any Alaska Native village or regional or village
corporation as defined in or established pursuant to the Alaska Native
Claims Settlement Act (43 U.S.C. 1601 et seq.) who:
(1) Is recognized as eligible for the special programs and services
provided by the United States to Indians because of their status as
Indians; or
(2) Is located on, or in proximity to, a Federal or State
reservation or rancheria; or is a person who is a Native Hawaiian, who
is any individual any of whose ancestors were natives of the area which
consists of the Hawaiian Islands prior to 1778.
Nutrition Services Incentive Program, as used in the Act, means
grant funding to State agencies, eligible Tribal organizations, and
Native Hawaiian

[[Page 160]]

grantees to support congregate and home-delivered nutrition programs by
providing an incentive to serve more meals.
Official duties, as used in section 712 of the Act (42 U.S.C. 3058g)
with respect to representatives of the Long-Term Care Ombudsman Program,
means work pursuant to the Long-Term Care Ombudsman Program authorized
by the Act, 45 CFR part 1324, subpart A, and/or State law and carried
out under the auspices and general direction of, or by direct delegation
from, the State Long-Term Care Ombudsman.
Older relative caregiver, as used in section 372(a)(4) of the Act
(42 U.S.C. 3030s(a)(4)), means a caregiver who is age 55 or older and
lives with, is the informal provider of in-home and community care to,
and is the primary caregiver for, a child or an individual with a
disability;
(1) In the case of a caregiver for a child is:
(i) The grandparent, step-grandparent, or other relative (other than
the parent) by blood, marriage, or adoption, of the child;
(ii) Is the primary caregiver of the child because the biological or
adoptive parents are unable or unwilling to serve as the primary
caregivers of the child; and
(iii) Has a legal relationship to the child, such as legal custody,
adoption, or guardianship, or is raising the child informally; and
(2) In the case of a caregiver for an individual with a disability,
is the parent, grandparent, step-grandparent, or other relative by
blood, marriage, or adoption of the individual with a disability.
Periodic, as used in this part to refer to the frequency of client
assessment and data collection, means, at a minimum, once each fiscal
year, and as used in section 307(a)(4) of the Act (42 U.S.C. 3027(a)(4))
to refer to the frequency of evaluations of, and public hearings on,
activities and projects carried out under State and area plans, means,
at a minimum once each State or area plan cycle.
Planning and service area, as used in section 305 of the Act (42
U.S.C. 3025), means an area designated by a State agency under section
305(a)(1)(E) (42 U.S.C. 3025(a)(1)(E)), for the purposes of local
planning and coordination and awarding of funds under Title III of the
Act, including a single planning and service area.
Private pay programs, as used in section 306(g) of the Act (42
U.S.C. 3026(g)), are a type of contract or commercial relationship and
are programs, separate and apart from programs funded under the Act, for
which the individual consumer agrees to pay to receive services under
the programs.
Program development and coordination activities, as used in this
part, means those actions to plan, develop, provide training, and
coordinate at a systemic level those programs and activities which
primarily benefit and target older adult and family caregiver
populations who have the greatest social needs and greatest economic
needs, including development of contracts, commercial relationships, or
private pay programs.
Program income, means gross income earned by the non-Federal entity
that is directly generated by a supported activity or earned as a result
of the Federal award during the period of performance except as
otherwise provided under Federal grantmaking authorities. Program income
includes but is not limited to income from fees for services performed,
the use or rental of real or personal property acquired under Federal
awards, the sale of commodities or items fabricated under a Federal
award, license fees and royalties on patents and copyrights, and
principal and interest on loans made with Federal award funds. Interest
earned on advances of Federal funds is not program income. Except as
otherwise provided in Federal statutes, regulations, or the terms and
conditions of the Federal award, program income does not include
rebates, credits, discounts, and interest earned on any of them. See
also 35 U.S.C. 200-212 (which applies to inventions made under Federal
awards).
Reservation, as used in section 305(b)(2) of the Act (42 U.S.C.
3025(b)(2)) with respect to the designation of planning and service
areas, means any Federally or State recognized American Indian Tribe's
reservation, pueblo, or colony, including former reservations

[[Page 161]]

in Oklahoma, Alaska Native regions established pursuant to the Alaska
Native Claims Settlement Act (43 U.S.C. 1601 et seq.), and Indian
allotments.
Service provider, means an entity that is awarded funds, including
via a grant, subgrant, contract, or subcontract, to provide direct
services under the State or area plan.
Severe disability, as used to carry out the provisions of the Act,
means a severe, chronic disability attributable to mental or physical
impairment, or a combination of mental and physical impairments, that:
(1) Is likely to continue indefinitely; and
(2) Results in substantial functional limitation in three or more of
the following major life activities: self-care, receptive and expressive
language, learning, mobility, self-direction, capacity for independent
living, economic self-sufficiency, cognitive functioning, and emotional
adjustment.
Single planning and service area State, means a State which was
approved on or before October 1, 1980, as such and continues to operate
as a single planning and service area.
State, as used in this part, means one or more of the 50 States, the
District of Columbia, and the Territories of Guam, Puerto Rico, the
United States Virgin Islands, American Samoa, and the Commonwealth of
the Northern Mariana Islands, unless otherwise specified.
State agency, as used in this part, means the designated State unit
on aging for each of the 50 States, the District of Columbia, and the
Territories of Guam, Puerto Rico, the United States Virgin Islands,
American Samoa, and the Commonwealth of the Northern Mariana Islands,
unless otherwise specified.
State plan administration, as used in this part, means funds used to
carry out activities as set forth in section 307 of the Act (42 U.S.C.
3027) and other activities to fulfill the mission of the State agency as
set forth in Sec. 1321.5.
Supplemental foods, as used in this part, means foods that assist
with maintaining health, but do not alone constitute a meal.
Supplemental foods include liquid nutrition supplements or enhancements
to a meal, such as additional beverage or food items, and may be
specified by State agency policies and procedures. Supplemental foods
may be provided with a meal, or separately, to older adults who
participate in either congregate or home-delivered meal services.
Voluntary contributions, as used in section 315(b) of the Act (42
U.S.C. 3030c-2(b)), means donations of money or other personal resources
given freely, without pressure or coercion, by individuals receiving
services under the Act.

Subpart B_State Agency Responsibilities

Sec. 1321.5 Mission of the State agency.

(a) The Act intends that the State agency shall be a leader on all
aging issues on behalf of all older individuals and family caregivers in
the State. The State agency shall proactively carry out a wide range of
functions, including advocacy, planning, coordination, inter-agency
collaboration, information sharing, training, monitoring, and
evaluation. The State agency shall lead the development or enhancement
of comprehensive and coordinated community-based systems in, or serving,
communities throughout the State. These systems shall be designed to
assist older individuals and family caregivers in leading independent,
meaningful, and dignified lives in their own homes and communities.
(b) In States with multiple planning and service areas, the State
agency shall designate area agencies on aging to assist in carrying out
the mission described above for the State agency at the sub-State level.
The State agency shall designate as area agencies on aging only those
non-State agencies having the capacity and making the commitment to
fully carry out the mission described for area agencies in Sec.
1321.55.
(c) The State agency shall assure that the resources made available
to area agencies on aging under the Act are used to carry out the
mission described for area agencies in Sec. 1321.55.

[[Page 162]]

Sec. 1321.7 Organization and staffing of the State agency.

(a) The State shall designate a sole State agency to develop and
administer the State plan required under this part and part 1324 of this
chapter and to serve as the effective and visible advocate for older
adults within the State.
(b) The State agency shall have an adequate number of qualified
staff to fulfill the functions prescribed in this part.
(c) The State agency shall establish, contract, or otherwise arrange
with another agency or organization as permitted by section 307(a)(9)(A)
of the Act (42 U.S.C. 3027(a)(9)(A)), an Office of the State Long-Term
Care Ombudsman. Such Office must be headed by a full-time Ombudsman and
consist of other staff as appropriate to fulfill responsibilities as set
forth in part 1324, subpart A, of this chapter.
(d) If a State statute establishes an Ombudsman program which will
perform the functions of section 307(a)(9)(A) of the Act (42 U.S.C.
3027(a)(9)(A)), the State agency continues to be responsible for
assuring that the requirements of this program under the Act and as set
forth in part 1324, subpart A, of this chapter, are met, notwithstanding
any additional requirements or funding related to State law. In such
cases where State law may conflict with the Act, the Governor shall
confirm understanding of the State agency's continuing obligations under
the Act through an assurance in the State plan.
(e) The State agency shall have as set forth in section 307(a)(13)
(42 U.S.C. 3027(a)(13)) and section 731 of the Act (42 U.S.C. 3058j) and
45 CFR part 1324, subpart C, a Legal Assistance Developer, and such
other personnel as appropriate to provide State leadership in developing
legal assistance programs for older individuals throughout the State.

Sec. 1321.9 State agency policies and procedures.

(a) The State agency on aging shall develop policies and procedures
governing all aspects of programs operated as set forth in this part and
part 1324 of this chapter. These policies and procedures shall be
developed in consultation with area agencies on aging, program
participants, and other appropriate parties in the State. Except for the
Ombudsman program as set forth in 45 CFR part 1324, subpart A and where
otherwise indicated, the State agency policies may allow for such
policies and procedures to be developed at the area agency on aging
level. The State agency is responsible for implementing, monitoring, and
enforcing policies and procedures, where:
(1) The policies and procedures developed by the State agency shall
address how the State agency will monitor the programmatic and fiscal
performance of all programs and activities initiated under this part for
compliance with all requirements, and for quality and effectiveness. As
set forth in sections 305(a)(2)(A) and 306(a) of the Act (42 U.S.C.
3025(a)(2)(A) and 3026(a)), and consistent with section 305(a)(1)(C) (42
U.S.C. 3025(a)(1)(C)), the State agency shall be responsible for
monitoring the program and financial activities of subrecipients and
subgrantees to ensure that grant awards are used for the authorized
purposes and in compliance with Federal statutes, regulations, and the
terms and conditions of the grant award, including:
(i) Evaluating each subrecipient's risk of noncompliance to ensure
proper accountability and compliance with program requirements and
achievement of performance goals;
(ii) Reviewing subrecipient policies and procedures; and
(iii) Ensuring that all subrecipients and subgrantees complete
audits as required in 2 CFR part 200, subpart F and 45 CFR part 75,
subpart F.
(2) The State agency may not delegate to another agency the
authority to award or administer funds under this part.
(3) The State Long-Term Care Ombudsman shall be responsible for
monitoring the files, records, and other information maintained by the
Ombudsman program, as set forth in part 1324, subpart A. Such monitoring
may be conducted by a designee of the Ombudsman. Neither the Ombudsman
nor a designee shall disclose identifying information of any complainant
or long-

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term care facility resident to individuals outside of the Ombudsman
program, except as otherwise specifically provided in Sec.
1324.11(e)(3) of this chapter.
(b) The State agency shall ensure policies and procedures are
aligned with periodic data collection and reporting requirements,
including ensuring service and unit definitions are consistent with
definitions set forth in these regulations, policy guidance, and other
information developed by the Assistant Secretary for Aging.
(c) Policies and procedures developed and implemented by the State
agency shall address:
(1) Direct service provision for services as set forth in Sec. Sec.
1321.85, 1321.87, 1321.89, 1321.9, and 1321.93, including:
(i) Requirements for client eligibility, periodic assessment, and
person-centered planning, where appropriate;
(ii) A listing and definitions of services that may be provided in
the State with funds received under the Act;
(iii) Limitations on the frequency, amount, or type of service
provided;
(iv) Definition of those within the State in greatest social need
and greatest economic need;
(v) Specific actions the State agency will use or require the area
agency to use to target services to meet the needs of those in greatest
social need and greatest economic need;
(vi) How area agencies on aging may request to provide direct
services under provisions of Sec. 1321.65(b)(7), where appropriate;
(vii) Actions to be taken by area agencies and direct service
providers to implement requirements as set forth in paragraphs (c)(2)(x)
through (xi) of this section; and
(viii) The grievance process for older individuals and family
caregivers who are dissatisfied with or denied services under the Act.
(2) Fiscal requirements including:
(i) Intrastate funding formula (IFF). Distribution of Title III
funds via the intrastate funding formula or funds distribution plan and
of Nutrition Services Incentive Program funds as set forth in Sec.
1321.49 or Sec. 1321.51 shall be maintained by the State agency where
funds must be promptly disbursed.
(ii) Non-Federal share (match). As set forth in sections 301(d)(1)
(42 U.S.C. 3021(d)(1)), 304(c) (42 U.S.C. 3024(c)), 304(d)(1)(A) (42
U.S.C. 3024(d)(1)(A)), 304(d)(1)(D) (42 U.S.C. 3024(d)(1)(D)), 304(d)(2)
(42 U.S.C. 3024(d)(2)), 309(b) (42 U.S.C. 3029(b)), 316(b)(5) (42 U.S.C.
3030c-3(b)(5)), and 373(h)(2) (42 U.S.C. 3030s-2(h)(2)) of the Act, the
State agency shall maintain statewide match requirements, where:
(A) The match may be made by State and/or local public sources
except as set forth in paragraph (c)(2)(ii)(C) of this section.
(B) Non-Federal shared costs or match funds and all contributions,
including cash and third-party in-kind contributions must be accepted if
the funds meet the specified criteria for match. A State agency may not
require only cash as a match requirement.
(C) State or local public resources used to fund a program which
uses a means test shall not be used to meet the match.
(D) Proceeds from fundraising activities may be used to meet the
match as long as no Federal funds were used in the fundraising activity.
Fundraising activities are unallowable costs without prior written
approval, as set forth in 2 CFR 200.442.
(E) A State agency may use State and local funds expended for a non-
Title III funded program to meet the match requirement for Title III
expenditures when the non-Title III funded program:
(1) Is directly administered by the State or area agency;
(2) Does not conflict with requirements of the Act;
(3) Is used to match only the Title III program and not any other
Federal program; and
(4) Includes procedures to track and account expenditures used as
match for a Title III program or service.
(F) Match requirements for area agencies are determined by the State
agency.
(G) Match requirements for direct service providers are determined
by the State and/or area agency.
(H) A State or area agency may determine a match in excess of
required amounts.

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(I) Other Federal funds may not be used to meet required match
unless there is specific statutory authority.
(J) The required statewide match for grants awarded under Title III
of the Act is as follows:
(1) Administration. Federal funding for State, Territory, and area
plan administration may not account for more than 75 percent of the
total funding expended and requires a 25 percent match. As set forth in
2 CFR 200.306(c), prior written approval is hereby granted for
unrecovered indirect costs to be used as match.
(2) Supportive services and nutrition services. (i) Federal funding
for services funded under supportive services as set forth in Sec.
1321.85, less the portion of funds used for the Ombudsman program, may
not account for more than 85 percent of the total funding expended, and
requires a 15 percent match;
(ii) Federal funding for services funded under nutrition services as
set forth in Sec. 1321.87, less funds provided under the Nutrition
Services Incentive Program, may not account for more than 85 percent of
the total funding expended, and requires a 15 percent match;
(iii) One-third (\1/3\) of the 15 percent match must be met from
State resources, and the remaining two-thirds (\2/3\) match may be met
by State or local resources;
(iv) The match for supportive services and nutrition services may be
pooled.
(3) Family caregiver support services. The Federal funding for
services funded under family caregiver support services as set forth in
Sec. 1321.91 may not account for more than 75 percent of the total
dollars expended and requires a 25 percent match.
(4) Services not requiring match. Services for which no match is
required include:
(i) Evidence-based disease prevention and health promotion services
as set forth in Sec. 1321.89;
(ii) The Nutrition Services Incentive Program; and
(iii) The portion of funds from supportive services used for the
Ombudsman program.
(iii) Transfers. Transfer of service allotments elected by the State
agency which must meet the following requirements:
(A) A State agency must provide notification of the transfer amounts
elected pursuant to guidance as set forth by the Assistant Secretary for
Aging;
(B) A State agency shall not delegate to an area agency on aging or
any other entity the authority to make a transfer;
(C) A State agency may only elect to transfer between the Title III,
part B Supportive Services and Senior Centers, part C-1 Congregate
Nutrition Services, and part C-2 Home-Delivered Nutrition Services grant
awards;
(1) The State agency may elect to transfer up to 40 percent between
the Title III, part C-1 and part C-2 grant awards, per section
308(b)(4)(A) of the Act (42 U.S.C. 3028(b)(4)(A));
(i) The State agency must request and receive approval of a waiver
from the Assistant Secretary for Aging to exceed the 40 percent transfer
limit.
(ii) The State agency may request a waiver up to an additional 10
percent between the Title III part C-1 and part C-2 grant awards, per
section 308(b)(4)(B) of the Act (42 U.S.C. 3028(b)(4)(B)).
(2) The State agency may elect to transfer up to 30 percent between
Title III, parts B and C, per section 308(b)(5)(A) of the Act (42 U.S.C.
3028(b)(5)(A)); and
(i) The State agency must request and receive approval of a waiver
from the Assistant Secretary for Aging to exceed the 30 percent
limitation between parts B and C, per section 316(b)(4) of the Act (42
U.S.C. 3030c-3(b)(4));
(D) Percentages subject to transfer are calculated based on the
total original Title III award allotted;
(E) Transfer limitations apply to the State agency in aggregate;
(F) State agencies, in consultation with area agencies, shall:
(1) Ensure the process used by the State agencies in transferring
funds under this section (including requirements relating to the
authority and timing of such transfers) is simplified and clarified to
reduce administrative barriers; and

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(2) With respect to transfers between parts C-1 and C-2, direct
limited resources to the greatest nutrition service needs at the
community level; and
(G) State agencies do not have to apply equal limitations on
transfers to each area agency on aging.
(iv) State, Territory, and area plan administration. State and
Territory plan administration maximum allocation requirements must align
with the approved intrastate funding formula or funds allocation plan as
set forth in Sec. 1321.49 or Sec. 1321.51, as applicable. In addition:
(A) State and Territory plan administration maximum allocation
amounts. State and Territory plan administration maximum allocation
amounts may be taken from any part of the overall allotment to a State
agency under Title III of the Act. Maximum allocation amounts are
determined by the State agency's status as set forth in this paragraph
(c)(2)(iv)(A) and paragraph (c)(2)(iv)(B) of this section:
(1) A State agency which serves a State with multiple planning and
service areas may use the greater of $750,000, per section 308(b)(2)(A)
of the Act (42 U.S.C. 3028(b)(2)(A)), or five percent of the total Title
III Award.
(2) A State agency which serves a single planning and service area
State and is not listed in (3) below may elect to be subject to
paragraph (c)(2)(iv)(A)(1) of this section or to the area plan
administration limit of ten percent of the overall allotment to a State
agency under Title III, as specified in section 308(a)(3) (42 U.S.C.
3028(a)(3)) of the Act.
(3) Guam, the United States Virgin Islands, American Samoa, and the
Commonwealth of the Northern Mariana Islands shall have available the
greater of $100,000 or five percent of the total final Title III Award,
as set forth in section 308(b)(2)(B) (42 U.S.C. 3028(b)(2)(B)) of the
Act.
(B) Area plan administration maximum allocation amounts. Area plan
administration maximum allocation amounts may be allocated to any part
of the overall allotment to the State agency under Title III, with the
exception of part D, for use by area agencies on aging for activities as
set forth in sections 304(d)(1)(A) and 308 of the Act (42 U.S.C.
3024(d)(1)(A) and 3028) and in Sec. 1321.57(b). Single planning and
service area States may elect amounts for either State plan
administration or area plan administration, as set forth in the Act and
paragraph (c)(2)(iv)(A)(2) of this section.
(1) The State agency will determine the maximum amount of funding
available for area plan administration from the total Title III
allocation after deducting the amount of funding allocated for State
plan administration and calculating a maximum of ten percent of this
amount;
(2) The State agency may make no more than the amount calculated in
paragraph (c)(2)(iv)(B)(1) of this section available to area agencies on
aging for distribution in accordance with the intrastate funding formula
as set forth in Sec. 1321.49; and
(3) Any amounts available to the State agency for State plan
administration which the State agency determines are not needed for that
purpose may be used to supplement the amount available for area plan
administration (42 U.S.C. 3028(a)(2)).
(v) Minimum adequate proportion. The State agency will meet
expectations for the minimum adequate proportion of funds expended by
each area agency on aging and State agency to provide the categories of
services of access services, in-home supportive services, and legal
assistance, as identified in the approved State plan as set forth in
Sec. 1321.27(i).
(vi) Maintenance of effort. The State agency will meet expectations
regarding maintenance of effort, where:
(A) The State agency must expend for both services and
administration at least the average amount of State funds reported and
certified as expended under the State plan for these activities for the
three previous fiscal years for Title III;
(B) The amount certified must at least meet minimum match
requirements from State resources;
(C) Any amount of State resources included in the Title III
maintenance of effort certification that exceeds the minimum amount
mandated becomes part of the permanent maintenance of effort; and
(D) Excess State match reported on the Federal financial report does
not

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become part of the maintenance of effort unless the State agency
certifies the excess.
(vii) The State Long-Term Care Ombudsman Program. The State agency
shall maintain State Long-Term Care Ombudsman Program funding
requirements, where:
(A) Minimum Certification of Expenditures. The State agency must
expend annually under Title III and Title VII of the Act, respectively,
for the Ombudsman program no less than the minimum amounts that are
required to be expended by section 307(a)(9) of the Act (42 U.S.C.
3027(a)(9));
(B) Expenditure Information. The State agency must provide the
Ombudsman with verifiable expenditure information for the annual
certification of minimum expenditures and for completion of annual
reports; and
(C) Fiscal management and determination of resources. Fiscal
management and determination of resources appropriated or otherwise
available for the operation of the Office are in compliance as set forth
at Sec. 1324.13(f) of this chapter.
(viii) Rural minimum expenditures. The State agency shall maintain
minimum expenditures for services for older individuals residing in
rural areas, where:
(A) The State agency shall establish a process and control for
determining the definition of ``rural areas'' within their State;
(B) For each fiscal year, the State agency must spend on services
for older individuals residing in rural areas the minimum annual amount
that is not less than the amount expended for such services, as required
by the Act; and
(C) The State agency must project the cost of providing such
services for each fiscal year (including the cost of providing access to
such services) and must specify a plan for meeting the needs for such
services for each fiscal year.
(ix) Reallotment. The State agency shall maintain requirements for
reallotment of funds, where:
(A) The State agency must annually review and notify the Assistant
Secretary for Aging prior to the end of the fiscal year in which grant
funds were awarded if there is funding that will not be expended within
the grant period for Title III or VII that the State agency will release
to the Assistant Secretary for Aging.
(B) The State agency must annually review and notify the Assistant
Secretary for Aging of the amount of any released Title III or VII
funding from other State agencies that the State agency requests to
receive and expend within the grant period from the Assistant Secretary
for Aging.
(C) The State agency must use its intrastate funding formula or
funds distribution plan, as set forth in Sec. 1321.49 or Sec. 1321.51,
to distribute any Title III funds that the Assistant Secretary for Aging
reallots pursuant to the State agency's notification under paragraph
(c)(2)(ix)(B) of this section.
(x) Voluntary contributions. Voluntary contributions shall be
allowed and may be solicited for all services for which funds are
received under this Act, consistent with section 315(b) (42 U.S.C.
3030c-2(b)). Policies and procedures related to voluntary contributions
shall address these requirements:
(A) Suggested contribution levels. The suggested contribution levels
shall be based on the actual cost of services;
(B) Individuals encouraged to contribute. Voluntary contributions
shall be encouraged for individuals whose self-declared income is at or
above 185 percent of the Federal poverty level. Assets, savings, or
other property owned by an older individual or family caregiver may not
be considered when seeking voluntary contributions from any older
individual or family caregiver;
(C) Solicitation. The method of solicitation must be noncoercive,
and the solicitation:
(1) Must meet all the requirements of this provision; and
(2) Be conducted in such a manner so as not to cause a service
recipient to feel intimidated, or otherwise feel pressured into making a
contribution.
(D) Provisions to all service recipients. All recipients of services
shall be provided:
(1) An opportunity to voluntarily contribute to the cost of the
service;
(2) Clear information, including information in alternative formats
and in languages other than English in compliance with Federal civil
rights

[[Page 167]]

laws, explaining there is no obligation to contribute, and the
contribution is voluntary;
(3) Protection of privacy and confidentiality of each recipient with
respect to the recipient's income and contribution or lack of
contribution.
(E) Prohibition on means testing. Means testing, as defined in Sec.
1321.3, is prohibited;
(F) Prohibition on denial of services. Services shall not be denied
because the older individual or family caregiver will not or cannot make
a voluntary contribution;
(G) Procedures to be established. Appropriate procedures to
safeguard and account for all contributions are established; and
(H) Collection of program income. Amounts collected are considered
program income and are subject to the requirements in 2 CFR 200.307 and
in Sec. 1321.9(c)(2)(xii).
(xi) Cost sharing. A State agency is permitted under section 315(a)
of the Act (42 U.S.C. 3030c-2(a)), to implement cost sharing for
services funded by the Act by recipients of the services, except as
provided for in paragraph (c)(2)(xi)(D) of this section. If the State
agency allows for cost sharing, the State agency shall address these
requirements:
(A) Policies and procedures. The State agency shall develop policies
and procedures to be implemented statewide, including how an area agency
on aging may request and receive a waiver of cost sharing policies, if
the area agency on aging adequately demonstrates:
(1) A significant proportion of persons receiving services under the
Act have incomes below the threshold established in State agency
policies and procedures; or
(2) That cost sharing would be an unreasonable administrative or
financial burden upon the area agency on aging.
(B) Sliding contribution scale. The State agency shall establish a
sliding contribution scale and a description of the criteria to
participate in cost sharing to be implemented statewide, which shall:
(1) Meet all the requirements of this provision;
(2) Be based solely on individual income and the cost of delivering
services;
(3) Be communicated including in written materials and in
alternative formats upon request;
(4) Explain there is no obligation to contribute, and the
contribution is voluntary;
(5) Be conducted in such a manner so as not to cause a service
recipient to feel intimidated, or otherwise feel pressured into making a
contribution;
(6) Protect the privacy and confidentiality of each recipient with
respect to the recipient's income and contribution or lack of
contribution.
(C) Individuals eligible to cost share. Individuals shall be
determined eligible to cost share based solely on a confidential
declaration of income and with no requirement for verification;
(D) Prohibitions on cost sharing. Cost sharing is prohibited as
follows:
(1) By a low-income older individual if the income of such
individual is at or below the Federal poverty level;
(2) If State agency policies and procedures specify other low-income
individuals within the State excluded from cost sharing;
(3) For the following services:
(i) Information and assistance, outreach, benefits counseling, or
case management services;
(ii) Ombudsman, elder abuse prevention, legal assistance, or other
consumer protection services;
(iii) Congregate and home-delivered meals; and
(iv) Any services delivered through Tribal organizations.
(E) Prohibition on means testing. Means testing, as defined in Sec.
1321.3, is prohibited;
(F) Prohibition on denial of services. Services shall not be denied
because the older individual or family caregiver will not or cannot make
a cost sharing contribution;
(G) Procedures to be established. Appropriate procedures to
safeguard and account for all cost sharing contributions are
established; and
(H) Collection of program income. All cost sharing contributions
collected are considered program income and are subject to the
requirements of 2 CFR

[[Page 168]]

200.307, 45 CFR 75.307, and in Sec. 1321.9(c)(2)(xii).
(xii) Use of program income. Program income is subject to the
requirements in 2 CFR 200.307 and 45 CFR 75.307 and as follows:
(A) Voluntary contributions and cost sharing payments are considered
program income;
(B) Program income collected must be used to expand a service funded
under the Title III grant award pursuant to which the income was
originally collected;
(C) The State agency must use the addition alternative as set forth
in 2 CFR 200.307(e)(2) and 45 CFR 75.307(e)(2) when reporting program
income, and prior approval of the addition alternative from the
Assistant Secretary for Aging is not required;
(D) Program income must be expended or disbursed prior to requesting
additional Federal funds; and
(E) Program income may not be used to match grant awards funded by
the Act without prior approval.
(xiii) Private pay programs. The State agency shall maintain
requirements for private pay programs, where:
(A) State agencies, area agencies on aging, and service providers
may provide private pay programs, subject to State and/or area agency
policies and procedures;
(B) The State agency requires area agencies and service providers
under the Act that establish private pay programs to develop policies
and procedures to:
(1) Promote equity, fairness, inclusion, and adherence to the
requirements of the Act, including:
(i) Meeting conflict of interest requirements;
(ii) Meeting financial accountability requirements;
(iii) Prohibiting use of funds for direct services under Title III
to support provision of service via private pay programs, except as a
part of routine information and assistance or case management referrals;
and
(2) Require that persons who receive information about private pay
programs and who are eligible for services provided with Title III funds
in the planning and service area be made aware of Title III-funded and
any similar voluntary contributions-based service options, even if there
is a waiting list for those services, on an initial and periodic basis
to allow individuals to determine whether they will select voluntary
contributions-based services or private pay programs.
(xiv) Contracts and commercial relationships. The State agency shall
maintain requirements for contracts and commercial relationships, where:
(A) State agencies, area agencies on aging, and service providers
may enter into contracts and commercial relationships, subject to State
and/or area agency policies and procedures and guidance as set forth by
the Assistant Secretary for Aging, including through:
(1) Contracts with health care payers;
(2) Private pay programs; or
(3) Other arrangements with entities or individuals that increase
the availability of home-and community-based services and supports.
(B) The State agency shall require area agencies and service
providers under the Act that establish contracts and commercial
relationships to develop policies and procedures to:
(1) Promote fairness, inclusion, and adherence to the requirements
of the Act, including:
(i) Meeting conflict of interest requirements; and
(ii) Meeting financial accountability requirements.
(2) With the approval of the State and/or area agency, allow use of
funds for direct services under Title III to support provision of
service via contracts and commercial relationships when:
(i) All requirements for direct services provision are maintained,
as set forth in this part and the Act, or
(ii) In compliance with the requirements of the Act, as set forth in
section 212 (42 U.S.C. 3020c), and all other applicable Federal
requirements.
(C) The State agency shall, through the area plan or other process,
develop policies and procedures for area agencies on aging and service
providers to receive approval to establish contracts and commercial
relationships and participate in activities related to contracts and
commercial relationships.

[[Page 169]]

(xv) Buildings, alterations or renovations, maintenance, and
equipment. Buildings and equipment, where costs incurred for altering or
renovating, utilities, insurance, security, necessary maintenance,
janitorial services, repair, and upkeep (including Federal property
unless otherwise provided for) to keep buildings and equipment in an
efficient operating condition, including acquisition and replacement of
equipment, may be an allowable use of funds, and the following apply:
(A) Costs are only allowable to the extent not payable by third
parties through rental or other agreements;
(B) Costs must be allocated proportionally to the benefiting grant
program;
(C) Construction and acquisition activities are only allowable for
multipurpose senior centers. In addition to complying with the
requirements of the Act, as set forth in section 312 (42 U.S.C. 3030b),
as well as with all other applicable Federal laws, the grantee or
subrecipient as applicable must file a Notice of Federal Interest in the
appropriate official records of the jurisdiction where the property is
located at the time of acquisition or prior to commencement of
construction, as applicable. The Notice of Federal Interest must
indicate that the acquisition or construction, as applicable, has been
funded with an award under Title III of the Act, that the requirements
set forth in section 312 of the Act (42 U.S.C. 3030b) apply to the
property, and that inquiries regarding the Federal Government's interest
in the property should be directed in writing to the Assistant Secretary
for Aging;
(D) Altering and renovating activities are allowable for facilities
providing direct services with funds provided as set forth in Sec. Sec.
1321.85, 1321.87, 1321.89, and 1321.91 subject to Federal grant
requirements under 2 CFR part 200 and 45 CFR part 75;
(E) Altering and renovating activities are allowable for facilities
used to conduct area plan administration activities with funds provided
as set forth in paragraph (c)(2)(iv)(B) of this section, subject to
Federal grant requirements under 2 CFR part 200 and 45 CFR part 75; and
(F) Prior approval by the Assistant Secretary for Aging does not
apply.
(xvi) Supplement, not supplant. Funds awarded under the Act for
services provided under sections 306(a)(9)(B) (42 U.S.C. 3026(a)(9)(B)),
315(b)(4)(E) (42 U.S.C. 3030c-2(b)(4)(E)), 321(d) (42 U.S.C. 3030d(d)),
374 (42 U.S.C. 3030s-2), and 705(a)(4) (42 U.S.C. 3058d(a)(4)), must be
used to supplement, not supplant existing Federal, State, and local
funds expended to support those activities.
(xvii) Monitoring of State plan assurances. Monitoring for
compliance for assurances identified in the approved State plan as set
forth in Sec. 1321.27.
(xviii) Advance funding. If the State agency permits the advance of
funding to meet immediate cash needs of area agencies on aging and
service providers, the State agency shall have policies and procedures
which comply with all applicable Federal requirements, including
timeframes and amount limitations that may apply.
(xix) Fixed amount subawards. Fixed amount subawards up to the
simplified acquisition threshold are allowed.
(3) The State plan process, including compliance with requirements
as set forth in Sec. Sec. 1321.27 and 1321.29.
(4) In States with multiple planning and service areas, the area
plan process, including compliance with requirements as set forth in
Sec. 1321.65.

Sec. 1321.11 Advocacy responsibilities.

(a) The State agency shall:
(1) Review, monitor, evaluate, and comment on Federal, State, and
local plans, budgets, regulations, programs, laws, levies, hearings,
policies, and actions which affect or may affect older individuals or
family caregivers, and recommend any changes in these which the State
agency considers to be aligned with the interests identified in the Act;
(2) Provide technical assistance and training to agencies,
organizations, associations, or individuals representing older
individuals and family caregivers; and
(3) Review and comment on applications to State and Federal agencies
for assistance relating to meeting the needs of older individuals and
family caregivers.

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(b) No requirement in this section shall be deemed to supersede a
prohibition contained in a Federal appropriation on the use of Federal
funds to lobby.

Sec. 1321.13 Designation of and designation changes to planning and service areas.

(a) The State agency is responsible for designating distinct
planning and service areas within the State.
(b) No State agency may designate the entire State as a single
planning and service area, except for States designated as such on or
before October 1, 1980.
(c) State agencies must have policies and procedures regarding
designation of and changes to planning and service areas in accordance
with the Act. Such policies and procedures should provide due process to
affected parties, accountability, and transparency. Such policies and
procedures must address the following:
(1) The application process to change a planning and service area,
if initiated outside of the State agency;
(2) How notice to interested parties will be provided;
(3) How need for the action will be documented;
(4) Provisions for conducting a public hearing;
(5) Provisions for involving area agencies on aging, service
providers, and older individuals in the action or proceeding, such as
offering other opportunities for feedback from interested parties;
(6) The appeals process for affected parties; and
(7) Timeframes that apply to each of the items under this paragraph
(c).
(d) State agencies that seek to change one or more planning and
service area designations must consider the following:
(1) The geographical distribution of older individuals in the State;
(2) The incidence of the need for services under the Act;
(3) The distribution of older individuals who have greatest economic
need and greatest social need (with particular attention to low-income
older individuals, including low-income minority older individuals,
older individuals with limited English proficiency, and older
individuals residing in rural areas) residing in such areas;
(4) The distribution of older individuals who are Native Americans
residing in such areas;
(5) The distribution of resources available to provide such services
under the Act;
(6) The boundaries of existing areas within the State which were
drawn for the planning or administration of services under the Act;
(7) The location of units of general purpose local government, as
defined in section 302(4) of the Act (2 U.S.C. 3022(4)), within the
State; and
(8) Any other relevant factors.
(e) When the State agency issues a decision to change planning and
service areas, it shall provide an explanation of its consideration of
the factors in paragraph (d) of this section. Such explanations must be
included in the State plan amendment submitted as set forth in Sec.
1321.31(b) or State plan submitted as set forth in Sec. 1321.33.

Sec. 1321.15 Interstate planning and service area.

(a) An interstate planning and service area is an agreement between
the State agencies that have responsibility for administering the
programs within the interstate area, in which the agreement increases
the allotment of the State agency or agencies with lead responsibility
and decreases the allotment of the State agency or agencies without the
lead responsibility. The Governor of any State in which a planning and
service area crosses State boundaries, or in which an interstate Indian
reservation is located, may apply to the Assistant Secretary for Aging
to request redesignation as an interstate planning and service area
comprising the entire metropolitan area or Indian reservation. If the
Assistant Secretary for Aging approves such an application, the
Assistant Secretary for Aging shall adjust the State agency allotments
of the areas within the planning and service area in which the
interstate planning and service area is established to reflect the
number of older individuals within the area who will be served by an
interstate

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planning and service area not within the State.
(b) Before requesting permission of the Assistant Secretary for
Aging to designate an interstate planning and service area, the Governor
of each State shall execute a written agreement that specifies the State
agency proposed to have lead responsibility for administering the
programs within the interstate planning and service area and lists the
conditions, agreed upon by each State agency, governing the
administration of the interstate planning and service area.
(c) The lead State agency shall request permission of the Assistant
Secretary for Aging to designate an interstate planning and service area
by submitting the request, together with a copy of the agreement as part
of its State plan or as an amendment to its State plan.
(d) Prior to the Assistant Secretary for Aging's approval for State
agencies to designate an interstate planning and service area, the
Assistant Secretary for Aging shall determine that all applicable
requirements and procedures in Sec. Sec. 1321.27 and 1321.29 are met.
(e) If the request is approved, the Assistant Secretary for Aging,
based on the agreement between the State agencies, will increase the
allocation(s) of the State agency or agencies with lead responsibility
for administering the programs within the interstate area and will
reduce the allocation(s) of the State agency or agencies without lead
responsibility by one of these methods:
(1) Reallocation of funds in proportion to the number of individuals
age 60 and over for funding provided under Title III, parts B, C, and D
and in proportion to the number of individuals age 70 and over for
funding provided under Title III, part E for that portion of the
interstate planning and service area located in the State without lead
responsibility; or
(2) Reallocation of funds based on the intrastate funding formula of
the State agency or agencies without lead responsibility.
(f) Each State agency that is a party to an interstate planning and
service area agreement shall review and confirm their agreement as a
part of their State plan on aging as set forth in Sec. 1321.27.

Sec. 1321.17 Appeal to the Departmental Appeals Board on planning
and service area designation.

(a) This section sets forth the procedures for providing hearings to
applicants for designation as a planning and service area under Sec.
1321.13, whose application is denied by the State agency or Sec.
1321.15, whose application is denied by the Assistant Secretary for
Aging.
(b) Any applicant for designation as a planning and service area
whose application is denied, and who has been provided a hearing and a
written decision by the State agency, may appeal the denial to the
Departmental Appeals Board (DAB) in writing following receipt of the
State agency's written decision, in accordance with the procedures set
forth in 45 CFR part 16. The applicant must, at the time of filing an
appeal with the DAB, mail a copy of the appeal to the State agency, if
appealing subject to Sec. 1321.13, or the Assistant Secretary for
Aging, if appealing subject to Sec. 1321.15, and include a certificate
of service with its initial filing. The DAB may refer an appeal to its
Alternative Dispute Resolution Division for mediation prior to making a
decision.

Sec. 1321.19 Designation of and designation changes to area agencies.

(a) The State agency is responsible for designating an area agency
on aging to serve each planning and service area. Only one area agency
on aging shall be designated to serve each planning and service area. An
area agency on aging may serve more than one planning and service area.
An area agency that serves more than one planning and service area must
maintain separate funding, planning, and advocacy responsibilities for
each planning and service area. State agencies shall have policies and
procedures regarding designation of area agencies on aging and changes
to an agency's designation as an area agency on aging in accordance with
the Act. Such policies and procedures should provide due process to
affected parties, accountability, and transparency and must address the
following:

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(1) Provisions for designating an area agency on aging, including:
(i) The application process;
(ii) How notice to interested parties will be provided;
(iii) How views offered by the unit(s) of general purpose local
government in such area will be obtained and considered;
(iv) How the State agency will provide the right of first refusal to
a unit of general purpose local government if:
(A) Such unit demonstrates ability to meet the requirements as set
forth by the State agency, in accordance with the Act; and
(B) The boundaries of such a unit and the boundaries of the area are
reasonably contiguous.
(v) How the State agency shall then give preference to an
established office on aging if the unit of general purpose local
government chooses not to exercise the right of first refusal;
(vi) How the State agency will assume area agency on aging
responsibilities in the event there are no successful applicants in the
State agency's application process; and
(vii) The appeals process for affected parties.
(2) Provisions for an area agency on aging that voluntarily
relinquishes their area agency on aging designation, including that the
State agency's written acceptance of the voluntary relinquishment of
area agency on aging designation will be considered as the State
agency's withdrawal of area agency on aging designation, and
requirements under Sec. 1321.21(b) will apply;
(3) Provisions for when the State agency takes action to withdraw an
area agency on aging's designation, in accordance with Sec. 1321.21;
(4) Provisions for when the State agency administers area agency on
aging programs as provided for in section 306(f) (42 U.S.C. 3026(f)),
where the Assistant Secretary for Aging may extend the 90-day period if
the State agency requests an extension and demonstrates to the
satisfaction of the Assistant Secretary for Aging a need for the
extension; and
(5) If a State agency previously designated the entire State as a
single planning and service area, provisions for when the State agency
designates one or more additional planning and service areas.
(b) For any of the actions listed in paragraph (a) of this section,
the State agency must submit a State plan amendment as set forth in
Sec. 1321.31(b) or State plan as set forth in Sec. 1321.33;
(c) An area agency may be any of the following types of agencies:
(1) An established office on aging which is operating within a
planning and service area;
(2) Any office or agency of a unit of general purpose local
government, which is designated to function for the purpose of serving
as an area agency on aging by the chief elected official of such unit;
(3) Any office or agency designated by the appropriate chief elected
officials of any combination of units of general purpose local
government to act on behalf of such combination for such purpose; or
(4) Any non-State, local public, or nonprofit private agency in a
planning and service area, or any separate organizational unit within
such agency, which is under the supervision or direction for this
purpose of the designated State agency, and which demonstrates the
ability and willingness to engage in the planning or provision of a
broad range of services under the Act within such planning and service
area.
(d) A State agency may not designate any regional or local office of
the State as an area agency.

Sec. 1321.21 Withdrawal of area agency designation.

(a) In carrying out section 305 of the Act (42 U.S.C. 3025), the
State agency shall withdraw the area agency designation whenever it,
after reasonable notice and opportunity for a hearing, finds that:
(1) An area agency does not meet the requirements of this part;
(2) An area plan or plan amendment is not approved;
(3) There is substantial failure in the provisions or administration
of an approved area plan to comply with any provision of the Act,
regulations and other guidance as set forth by the Assistant Secretary
for Aging, terms and conditions of Federal grant awards

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under the Act, or policies and procedures established and published by
the State agency on aging;
(4) Activities of the area agency are inconsistent with the
statutory mission prescribed in the Act;
(5) The State agency changes one or more planning and service area
designations; or
(6) The area agency voluntarily requests the State agency withdraw
its designation.
(b) If a State agency withdraws an area agency's designation under
this section it shall:
(1) Provide a plan for the continuity of area agency functions and
services in the affected planning and service area;
(2) Submit a State plan amendment as set forth in Sec. 1321.31(b)
or State plan as set forth in Sec. 1321.33; and
(3) Designate a new area agency in the planning and service area in
a timely manner.
(c) If necessary to ensure continuity of services in a planning and
service area, the State agency may, for a period of up to 180 days after
its final decision to withdraw designation of an area agency:
(1) Perform the responsibilities of the area agency; or
(2) Assign the responsibilities of the area agency to another agency
in the planning and service area.
(d) The Assistant Secretary for Aging may extend the 180-day period
if a State agency:
(1) Notifies the Assistant Secretary for Aging in writing of its
action under this section;
(2) Requests an extension; and
(3) Demonstrates to the satisfaction of the Assistant Secretary for
Aging a need for the extension. Need for the extension may include the
State agency's reasonable but unsuccessful attempts to procure an
applicant to serve as the area agency.

Sec. 1321.23 Appeal to the Departmental Appeals Board on area agency
on aging withdrawal of designation.

(a) This section sets forth hearing procedures afforded to affected
parties if the State agency initiates an action or proceeding to
withdraw designation of an area agency on aging.
(b) Any area agency on aging that has appealed a State agency's
decision to withdraw area agency on aging designation, and that has been
provided a hearing and a written decision, may appeal the decision to
the Departmental Appeals Board in writing following receipt of the State
agency's written decision, in accordance with the procedures set forth
in 45 CFR part 16. The applicant must, at the time of filing an appeal
with the DAB, mail a copy of the appeal to the State agency and include
a certificate of service with its initial filing. The DAB may refer an
appeal to its Alternative Dispute Resolution Division for mediation
prior to making a decision.

Sec. 1321.25 Duration, format, and effective date of the State plan.

(a) A State agency will follow the guidance issued by the Assistant
Secretary for Aging regarding duration and formatting of the State plan.
Unless otherwise indicated, a State agency may determine the format, how
to collect information for the plan, and whether the plan will remain in
effect for two, three, or four years.
(b) An approved State plan or amendment identified in Sec.
1321.31(a) becomes effective on the date designated by the Assistant
Secretary for Aging.
(c) A State agency may not make expenditures under a new plan or
amendment requiring approval, as identified in Sec. 1321.27 or Sec.
1321.31(a), until it is approved.

Sec. 1321.27 Content of State plan.

To receive a grant under this part, a State agency shall have an
approved State plan as prescribed in section 307 of the Act (42 U.S.C.
3027). In addition to meeting the requirements of section 307, a State
plan shall include:
(a) Identification of the sole State agency that the State has
designated to develop and administer the plan.
(b) Statewide program objectives to implement the requirements under
Title III and Title VII of the Act and any objectives established by the
Assistant Secretary for Aging.
(c) Evidence that the State plan is informed by and based on area
plans, except for single planning and service area States.

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(d) A description of how greatest economic need and greatest social
need are determined and addressed by specifying:
(1) How the State agency defines greatest economic need and greatest
social need, which shall include the populations as set forth in the
Sec. 1321.3 definitions of greatest economic need and greatest social
need; and
(2) The methods the State agency will use to target services to the
populations identified in paragraph (d)(1) of this section, including
how funds under the Act may be distributed to serve prioritized
populations in accordance with requirements as set forth in Sec.
1321.49 or Sec. 1321.51, as appropriate.
(e) An intrastate funding formula or funds distribution plan
indicating the proposed use of all Title III funds administered by a
State agency, and the distribution of Title III funds to each planning
and service area, in accordance with Sec. 1321.49 or Sec. 1321.51, as
appropriate.
(f) Identification of the geographic boundaries of each planning and
service area and of area agencies on aging designated for each planning
and service area, if applicable.
(g) Demonstration that the determination of greatest economic need
and greatest social need specific to Native American persons is
identified pursuant to communication among the State agency and Tribes,
Tribal organizations, and Native communities, and that the services
provided under this part will be coordinated, where applicable, with the
services provided under Title VI of the Act and that the State agency
shall require area agencies to provide outreach where there are older
Native Americans in any planning and service area, including those
living outside of reservations and other Tribal lands.
(h) Certification that any program development and coordination
activities shall meet the following requirements:
(1) The State agency shall not fund program development and
coordination activities as a cost of supportive services under area
plans until it has first spent 10 percent of the total of its combined
allotments under Title III on the administration of area plans;
(2) Program development and coordination activities must only be
expended as a cost of State plan administration, area plan
administration, and/or Title III, part B supportive services;
(3) State agencies and area agencies on aging shall, consistent with
the area plan and budgeting cycles, submit the details of proposals to
pay for program development and coordination as a cost of Title III,
part B supportive services to the general public for review and comment;
and
(4) Expenditure by the State agency and area agency on program
development and coordination activities are intended to have a direct
and positive impact on the enhancement of services for older individuals
and family caregivers in the planning and service area.
(i) Specification of the minimum proportion of funds that will be
expended by each area agency on aging and the State agency to provide
each of the following categories of services:
(1) Access to services;
(2) In-home supportive services; and
(3) Legal assistance, as set forth in Sec. 1321.93.
(j) If the State agency allows for Title III, part C-1 funds to be
used as set forth in Sec. 1321.87(a)(1)(i):
(1) Evidence, using participation projections based on existing
data, that provision of such meals will enhance and not diminish the
congregate meals program, and a commitment to monitor the impact on
congregate meals program participation;
(2) Description of how provision of such meals will be targeted to
reach those populations identified as in greatest economic need and
greatest social need;
(3) Description of the eligibility criteria for service provision;
(4) Evidence of consultation with area agencies on aging, nutrition
and other direct services providers, other interested parties, and the
general public regarding the provision of such meals; and
(5) Description of how provision of such meals will be coordinated
with area agencies on aging, nutrition and other direct services
providers, and other interested parties.

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(k) How the State agency will use funds for prevention of elder
abuse, neglect, and exploitation as set forth in 45 CFR part 1324,
subpart B.
(l) How the State agency will meet responsibilities for the Legal
Assistance Developer, as set forth in 45 CFR part 1324, subpart C.
(m) Description of how the State agency will conduct monitoring that
the assurances to which they attest are being met.

Sec. 1321.29 Public participation.

The State agency shall:
(a) Have mechanisms and varied methods to obtain the views of older
individuals, family caregivers, service providers, and the public on a
periodic basis, with a focus on those in greatest economic need and
greatest social need;
(b) Consider those views in developing and administering the State
plan and policies and procedures regarding services provided under the
plan;
(c) Establish and comply with a reasonable minimum time period (at
least 30 calendar days) for public review and comment on new State plans
as set forth in Sec. 1321.27 and State plan amendments requiring
approval of the Assistant Secretary for Aging as set forth in Sec.
1321.31(a). State agencies may request a waiver of the minimum time
period from the Assistant Secretary for Aging during an emergency or
when a time sensitive action is otherwise necessary;
(d) Ensure the documents noted in paragraph (c) of this section and
final State plans and amendments are available to the public for review,
as well as available in alternative formats and other languages if
requested.

Sec. 1321.31 Amendments to the State plan.

(a) Subject to prior approval by the Assistant Secretary for Aging,
a State agency shall amend the State plan whenever necessary to reflect:
(1) New or revised statutes or regulations as determined by the
Assistant Secretary for Aging;
(2) An addition, deletion, or change to a State agency's goal,
assurance, or information requirement statement;
(3) A change in the State agency's intrastate funding formula or
funds distribution plan for Title III funds, as set forth in Sec.
1321.49 or Sec. 1321.51;
(4) A request to waive State plan requirements as set forth in
section 316 of the Act (42 U.S.C. 3030c-3), or as required by guidance
as set forth by the Assistant Secretary for Aging; or
(5) Other changes as required by guidance as set forth by the
Assistant Secretary for Aging.
(b) A State agency shall amend the State plan and notify the
Assistant Secretary for Aging of an amendment not requiring prior
approval whenever necessary and within 30 days of the action(s) listed
in paragraphs (b)(1) through (6) of this section:
(1) A significant change in a State law, organization, policy, or
State agency operation;
(2) A change in the name or organizational placement of the State
agency;
(3) Distribution of State plan administration funds for
demonstration projects;
(4) A change in planning and service area designation, as set forth
in Sec. 1321.13;
(5) A change in area agency on aging designation, as set forth in
Sec. 1321.19; or
(6) Exercising of major disaster declaration flexibilities, as set
forth in Sec. 1321.101.
(c) Information required by this section shall be submitted
according to guidelines prescribed by the Assistant Secretary for Aging.

Sec. 1321.33 Submission of the State plan or plan amendment
to the Assistant Secretary for Aging for approval.

(a) Each State plan, or plan amendment which requires approval of
the Assistant Secretary for Aging as set forth at Sec. 1321.31(a),
shall be signed by the Governor, or the Governor's designee, and
submitted to the Assistant Secretary for Aging to be considered for
approval at least 90 calendar days before the proposed effective date of
the plan or plan amendment according to guidance as set forth by the
Assistant Secretary for Aging, except in the case of a waiver provided
by the Assistant Secretary for Aging. Each State plan amendment which
does not require the prior approval of the Assistant Secretary for Aging
shall be submitted as set forth at Sec. 1321.31(b).

[[Page 176]]

(b) In advance of the submission to the Assistant Secretary for
Aging to be considered for approval, the State agency shall submit a
draft of the plan or amendment to the appropriate ACL Regional Office at
least 120 calendar days before the proposed effective date of the plan
or plan amendment, except in the case of a waiver request or as
otherwise provided in guidance as set forth by the Assistant Secretary
for Aging. The State agency shall work with the ACL Regional Office in
reviewing the plan or plan amendment for compliance.

Sec. 1321.35 Notification of State plan or State plan amendment
approval or disapproval for changes requiring Assistant Secretary
for Aging approval.

(a) The Assistant Secretary for Aging shall approve a State plan or
State plan amendment by notifying the Governor or the Governor's
designee in writing.
(b) When the Assistant Secretary for Aging proposes to disapprove a
State plan or amendment, the Assistant Secretary for Aging shall notify
the Governor in writing, giving the reasons for the proposed
disapproval, and inform the State agency that it may request a hearing
on the proposed disapproval following the procedures described in
guidance issued by the Assistant Secretary for Aging.

Sec. 1321.37 Notification of State plan amendment receipt
for changes not requiring Assistant Secretary for Aging approval.

The State agency shall submit an amendment not requiring Assistant
Secretary for Aging approval as set forth at Sec. 1321.31(b) to the
appropriate ACL Regional Office. The ACL Regional Office shall review
the amendment to confirm the contents do not require approval of the
Assistant Secretary for Aging and will acknowledge receipt of the State
plan amendment by notifying the head of the State agency in writing.

Sec. 1321.39 Appeal to the Departmental Appeals Board regarding
State plan on aging.

If the Assistant Secretary for Aging intends to disapprove a State
plan or State plan amendment, the Assistant Secretary for Aging shall
first afford the State agency notice and an opportunity for a hearing.
Administrative reviews of State plan disapprovals, as provided for in
sections 307(c) and 307(d) of the Act (42 U.S.C. 3027(c)-(d)) are
performed by the Department Appeals Board in accordance with the
procedures set forth in 45 CFR part 16. The DAB may refer an appeal to
its Alternative Dispute Resolution Division for mediation prior to
making a decision.

Sec. 1321.41 When a disapproval decision is effective.

(a) The Assistant Secretary for Aging shall specify the effective
date for reduction and withholding of the State agency's grant upon a
disapproval decision from the Departmental Appeals Board. This effective
date may not be earlier than the date of the Departmental Appeals
Board's decision or later than the first day of the next calendar
quarter.
(b) A disapproval decision issued by the DAB represents the final
determination of the Assistant Secretary for Aging and shall remain in
effect unless reversed or stayed on judicial appeal, or until the agency
or the plan is changed to meet all Federal requirements, except that the
Assistant Secretary for Aging may modify or set aside the decision
before the record of the proceedings under this subpart is filed in
court.

Sec. 1321.43 How the State agency may appeal the Departmental
Appeals Board's decision.

A State agency may appeal the final decision of the Departmental
Appeals Board disapproving the State plan or plan amendment, finding of
noncompliance, or finding that a State agency does not meet the
requirements of this part to the U.S. Court of Appeals for the circuit
in which the State is located. The State agency shall file the appeal
within 30 days of the Departmental Appeals Board's final decision.

Sec. 1321.45 How the Assistant Secretary for Aging may reallot
the State agency's withheld payments.

The Assistant Secretary for Aging may disburse funds withheld from
the

[[Page 177]]

State agency directly to any public or nonprofit private organization or
agency, or political subdivision of the State that has the authority and
capacity to carry out the functions of the State agency and submits a
State plan which meets the requirements of this part, and which contains
an agreement to meet the non-Federal share requirements.

Sec. 1321.47 Conflicts of interest policies and procedures
for State agencies.

(a) State agencies must have policies and procedures regarding
conflicts of interest, in accordance with the Act and all other
applicable Federal requirements. These policies and procedures must
safeguard against conflicts of interest on the part of the State agency,
employees, and agents of the State who have responsibilities relating to
Title III programs, including area agencies on aging, governing boards,
advisory councils, staff, and volunteers. Conflicts of interest policies
and procedures must establish mechanisms to identify, avoid, remove, and
remedy conflicts of interest in a Title III program at organizational
and individual levels, including:
(1) Ensuring that State agency employees and agents administering
Title III programs do not have a financial interest in a Title III
program;
(2) Removing and remedying actual, perceived, or potential conflicts
that arise due to an employee or agent's financial interest in a Title
III program;
(3) Establishing robust monitoring and oversight, including periodic
reviews, to identify conflicts of interest in a Title III program;
(4) Ensuring that no individual, or member of the immediate family
of an individual, involved in administration or provision of a Title III
program has a conflict of interest;
(5) Requiring that other agencies that operate a Title III program
have policies in place to prohibit the employment or appointment of
Title III program decision-makers, staff, or volunteers with a conflict
that cannot be adequately removed or remedied;
(6) Requiring that a Title III program takes reasonable steps to
suspend or remove Title III program responsibilities of an individual
who has a conflict of interest, or who has an immediate family member
with a conflict of interest, which cannot be adequately removed or
remedied;
(7) Ensuring that no organization which provides a Title III service
is subject to a conflict of interest;
(8) Prohibiting the officers, employees, or agents of the Title III
program from soliciting or accepting gratuities, favors, or anything of
monetary value from grantees, contractors, and/or subrecipients, except
where policies and procedures allow for situations where the financial
interest is not substantial, or the gift is an unsolicited item of
nominal value;
(9) Establishing the actions the State agency will require a Title
III program to take in order to remedy or remove such conflicts, as well
as disciplinary actions to be applied for violations of such standards
by officers, employees, or agents of the Title III program; and
(10) Documenting conflict of interest mitigation strategies, as
necessary and appropriate, when a State agency or Title III program
operates an Adult Protective Services or guardianship program.
(b) Individual conflicts include:
(1) An employee, or immediate member of an employee's family,
maintaining ownership, employment, consultancy, or fiduciary interest in
a Title III program organization or awardee when that employee or
immediate family member is in a position to derive personal benefit from
actions or decisions made in their official capacity;
(2) One or more conflicts between the private interests and the
official responsibilities of a person in a position of trust;
(3) One or more conflicts between competing duties; and
(4) Other conflicts of interest identified in guidance issued by the
Assistant Secretary for Aging and/or by State agency policies.
(c) Organizational conflicts include:
(1) One or more conflicts between competing duties, programs, and/or
services; and
(2) Other conflicts of interest identified in guidance issued by the
Assistant Secretary for Aging and/or by State agency policies.

[[Page 178]]

Sec. 1321.49 Intrastate funding formula.

(a) The State agency of a State with multiple planning and service
areas, as part of its State plan, in accordance with guidelines issued
by the Assistant Secretary for Aging, using the best available data, and
after consultation with all area agencies on aging in the State, shall
develop and publish for review and comment by older individuals, family
caregivers, other appropriate agencies and organizations, and the
general public, an intrastate funding formula for the allocation of
funds specific to each planning and service area to area agencies on
aging under Title III for supportive, nutrition, evidence-based disease
prevention and health promotion, and family caregiver services prior to
taking the steps as set forth in Sec. 1321.33. The intrastate funding
formula shall be made available for public review and comment for a
reasonable minimum time period (at least 30 calendar days, unless a
waiver is provided by the Assistant Secretary for Aging during an
emergency or when a time sensitive action is otherwise necessary). The
formula shall reflect the proportion among the planning and service
areas of persons age 60 and over in greatest economic need and greatest
social need with particular attention to low-income minority older
individuals. A separate formula may be provided for the evidence-based
disease prevention and health promotion allocation to target areas that
are medically underserved and in which there are large numbers of older
individuals who have the greatest economic need and greatest social need
for such services. The State agency shall review, update, and submit for
approval to the Assistant Secretary for Aging its formula as needed.
(b) The publication for review and comment required by the preceding
paragraph shall include:
(1) A descriptive statement of the formula's assumptions and goals,
and the application of the definitions of greatest economic need and
greatest social need, including addressing the populations identified
pursuant to Sec. 1321.27(d)(1), which includes the following
components:
(i) A statement that discloses if and how, prior to distribution
under the intrastate funding formula to the area agencies on aging,
funds are deducted from Title III funds for State plan administration,
disaster set-aside funds as set forth in Sec. 1321.99, and/or Long-Term
Care Ombudsman Program allocations;
(ii) A statement that describes if a separate formula will be used
for evidence-based disease prevention and health promotion allocation;
and
(iii) A statement of how the State agency's Nutrition Services
Incentive Program award will be distributed.
(2) A numerical mathematical statement of the actual funding formula
to be used for all supportive, nutrition, evidence-based disease
prevention and health promotion, and family caregiver allocations of
Title III funds, including the separate numerical mathematical statement
that may be provided for the evidence-based disease prevention and
health promotion allocation, which includes:
(i) A descriptive statement of each factor and the weight or
percentage used for each factor; and
(ii) Definitions of the terms used in the numerical mathematical
statement.
(3) A listing of the population, economic, and social data to be
used for each planning and service area in the State;
(4) A demonstration of the allocation of funds, pursuant to the
funding formula, to each planning and service area in the State by part
of Title III; and
(5) The source of the best available data used to allocate funding
through the intrastate funding formula, which may include:
(i) The most current U.S. Decennial Census results;
(ii) The most current and reliable American Community Survey
results; and/or
(iii) Other high-quality data available to the State agency.
(c) In meeting the requirement in paragraph (a) of this section, the
intrastate funding formula may not allow for:
(1) The State agency to hold funds at the State level except as
outlined in paragraph (b)(1)(i) of this section;

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(2) Exceeding the State plan and area plan administration caps set
in the Act, as set forth at Sec. 1321.9(c)(2)(iv);
(3) Use of Title III, part D funds for area plan administration;
(4) A State agency to directly provide Title III funds to any entity
other than a designated area agency on aging, with the exception of
State plan administration funds, Title III, part B Ombudsman program
funds, and disaster set-aside funds as described in Sec. 1321.99; or
(5) Any other use in conflict with the Act.
(d) In meeting the requirement in paragraph (b)(1)(iii) of this
section, the following apply:
(1) Cash must be promptly and equitably disbursed to recipients of
grants or contracts for nutrition projects under the Act;
(2) The statement of distribution of grant funds and procedures for
determining any commodities election amount must be followed;
(3) State agencies have the option to receive grant as cash and/or
agricultural commodities; and
(4) State agencies may consult with the area agencies on aging to
determine the amount of the commodities election.
(e) In meeting the requirements in this section, the following
apply:
(1) Title VII funds are not required to be subject to the intrastate
funding formula;
(2) Any funds allocated for the Long-Term Care Ombudsman Program
under Title III, part B are not required to be subject to the intrastate
funding formula;
(3) The intrastate funding formula may provide for a separate
allocation of funds received under Title III, part D for preventive
health services. In the award of such funds to selected planning and
service areas, the State agency shall give priority to areas of the
State:
(i) Which are medically underserved; and
(ii) In which there are large numbers of individuals who have the
greatest economic need and greatest social need for such services,
including the populations the State agency identifies pursuant to Sec.
1321.27(d)(1).
(4) The State agency may determine the amount of funds available for
area plan administration prior to deducting Title III, part B Ombudsman
program funds and disaster set-aside funds as described in Sec.
1321.99;
(5) After deducting any State plan administration funds, Title III,
part B Ombudsman program funds, and disaster set-aside funds as
described in Sec. 1321.99, the State agency must allocate all other
Title III funding to area agencies on aging designated to serve each
planning and service area;
(6) State agencies may reallocate funding within the State when an
area agency on aging voluntarily or otherwise returns funds, subject to
the State agency's policies and procedures which must include the
following:
(i) If an area agency voluntarily returns funds, the area agency on
aging must provide evidence that its governing board or chief elected
official approves the return of funds;
(ii) Funds must be made available to all area agencies on aging who
request funds available for reallocation;
(iii) The intrastate funding formula shall be proportionally
adjusted based on area agencies on aging that request redistributed
allocations; and
(iv) Title III funds subject to reallocation may only be reallocated
to area agencies on aging via the proportionally adjusted intrastate
funding formula described in paragraph (a) of this section.
(f) The State agency shall submit its proposed intrastate funding
formula to the Assistant Secretary for Aging for prior approval as part
of a State plan or State plan amendment as set forth in Sec. 1321.33.

Sec. 1321.51 Single planning and service area States.

(a) Unless otherwise specified, the State agency in single planning
and service area States must meet the requirements in the Act and
subpart C of this part, including maintaining an advisory council as set
forth in Sec. 1321.63.
(b) As part of their State plan submission, single planning and
service area States must provide a funds distribution plan which
includes:

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(1) A descriptive statement as to how the State agency determines
the geographical distribution of the Title III and Nutrition Services
Incentive Program funding;
(2) How the State agency targets the funding to reach individuals
with greatest economic need and greatest social need, with particular
attention to low-income minority older individuals;
(3) At the option of the State agency, a numerical/mathematical
statement as a part of their funds distribution plan; and
(4) Justification if the State agency determines it meets
requirements to provide services directly where:
(i) As set forth in section 307(a)(8)(A) of the Act (42 U.S.C.
3027(a)(8)(A)), no supportive services, except as set forth in paragraph
(b)(4)(i)(B) of this section, nutrition services, disease prevention and
health promotion, or family caregiver services will be directly provided
by the State agency, unless, in the judgment of the State agency:
(A) Provision of such services by the State agency is necessary to
assure an adequate supply of such services;
(B) Such services are directly related to such State agency's
administrative functions; or
(C) Such services may be provided more economically, and with
comparable quality, by such State agency.
(ii) The State agency may directly provide case management,
information and assistance services, and outreach.
(iii) Approval of the State agency to provide direct services may
only be granted for a maximum of the State plan period. For each time
that approval is granted to a State agency to provide direct services,
the State agency must demonstrate the State agency's efforts to identify
service providers prior to being granted a subsequent approval.
(c) Single planning and service area States must adhere to use of
the funds distribution plan for Title III and Nutrition Services
Incentive Program funds within the State. If a single planning and
service area State agency revises their Title III funds distribution
plan, they may do so by:
(1) Following their policies and procedures to publish the updated
funds distribution plan for public review and comment for a reasonable
minimum time period (30 calendar days or greater, unless a waiver is
provided by the Assistant Secretary for Aging during an emergency or
when a time sensitive action is otherwise necessary); and
(2) Submitting the revised funds distribution plan for Assistant
Secretary for Aging approval prior to implementing the changes as noted
at Sec. 1321.33.

Sec. 1321.53 State agency Title III and Title VI coordination responsibilities.

(a) For States where there are Title VI programs, the State agency's
policies and procedures, developed in coordination with the relevant
Title VI program director(s), as set forth in Sec. 1322.13(a), must
explain how the State's aging network, including area agencies and
service providers, will coordinate with Title VI programs to ensure
compliance with sections 306(a)(11)(B) and 307(a)(21)(A) of the Act (42
U.S.C. 3026(a)(11)(B) and 3027(a)(21)(A)). State agencies may meet these
requirements through a Tribal consultation policy that includes Title VI
programs.
(b) The policies and procedures set forth in paragraph (a) of this
section must at a minimum address:
(1) How the State's aging network, including area agencies on aging
and service providers, will provide outreach to Tribal elders and family
caregivers regarding services for which they may be eligible under Title
III and/or VII;
(2) The communication opportunities the State agency will make
available to Title VI programs, to include Title III and other funding
opportunities, technical assistance on how to apply for Title III and
other funding opportunities, meetings, email distribution lists,
presentations, and public hearings;
(3) The methods for collaboration on and sharing of program
information and changes, including coordinating with area agencies and
service providers where applicable;
(4) How Title VI programs may refer individuals who are eligible for
Title III and/or VII services;

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(5) How services will be provided in a culturally appropriate and
trauma-informed manner; and
(6) Opportunities to serve on advisory councils, workgroups, and
boards, including area agency advisory councils, as set forth in Sec.
1321.63.

Subpart C_Area Agency Responsibilities

Sec. 1321.55 Mission of the area agency.

(a) The Act intends that the area agency on aging shall be the lead
on all aging issues on behalf of all older individuals and family
caregivers in the planning and service area. The area agency shall
proactively carry out, under the leadership and direction of the State
agency, a wide range of functions including advocacy, planning,
coordination, inter-agency collaboration, information sharing,
monitoring, and evaluation. The area agency shall lead the development
or enhancement of comprehensive and coordinated community-based systems
in, or serving, each community in the planning and service area. These
systems shall be designed to assist older individuals and family
caregivers in leading independent, meaningful, healthy, and dignified
lives in their own homes and communities.
(b) A comprehensive and coordinated community-based system described
in of this section shall:
(1) Have a point of contact where anyone may go or contact for help,
information, and/or referral on any aging issue;
(2) Provide information on a range of available public and private
long-term care services and support options;
(3) Assure that these options are readily accessible to all older
individuals and family caregivers, no matter what their income;
(4) Include a commitment of public, private, voluntary, and personal
resources committed to supporting the system;
(5) Involve collaborative decision-making among public, private,
voluntary, faith-based, civic, and fraternal organizations, including
trusted leaders of communities in greatest economic need and greatest
social need, and older individuals and family caregivers in the
community;
(6) Offer special help or targeted resources for the most vulnerable
older individuals, family caregivers, and those in danger of losing
their independence;
(7) Provide effective referral from agency to agency to assure that
information and/or assistance is provided, no matter how or where
contact is made in the community;
(8) Evidence sufficient flexibility to respond with appropriate
individualized assistance, especially for vulnerable older individuals
or family caregivers;
(9) Be tailored to the specific nature of the community and the
needs of older adults in the community; and
(10) Have a board of directors comprised of leaders in the
community, including leaders from groups identified as in greatest
economic need and greatest social need, who have the respect, capacity,
and authority necessary to convene all interested persons, assess needs,
design solutions, track overall success, stimulate change, and plan
community responses for the present and for the future.
(c) The resources made available to the area agency on aging under
the Act shall be used consistent with the definition of area plan
administration as set forth in Sec. 1321.3 to finance those activities
necessary to achieve elements of a community-based system set forth in
paragraph (b) of this section and consistent with the requirements for
provision of direct services as set forth in Sec. Sec. 1321.85 through
1321.93.
(d) The area agency may not engage in any activity which is
inconsistent with its statutory mission prescribed in the Act or
policies prescribed by the State agency under Sec. 1321.9.

Sec. 1321.57 Organization and staffing of the area agency.

(a) An area agency may be either:
(1) An agency whose single purpose is to administer programs for
older individuals and family caregivers; or
(2) A separate organizational unit within a multipurpose agency
which functions as the area agency on aging. Where the State agency
designates a

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separate organizational unit of a multipurpose agency that has
previously been serving as an area agency, the State agency action shall
not be subject to section 305(b)(5)(B) of the Act (42 U.S.C.
3025(b)(5)(B)).
(b) The area agency, once designated, is responsible for providing
for adequate and qualified staff to facilitate the performance of the
functions as set forth in this part. Such functions, except for
provision of direct services, are considered to be area plan
administration functions.
(c) The designated area agency shall continue to function in that
capacity until either:
(1) The State agency withdraws the designation of the area agency as
provided in Sec. 1321.21(a)(1) through (5); or
(2) The area agency informs the State agency that it no longer
wishes to carry out the responsibilities of an area agency as provided
in Sec. 1321.21(a)(6).

Sec. 1321.59 Area agency policies and procedures.

(a) The area agency on aging shall develop policies and procedures
in compliance with State agency policies and procedures, including those
required under Sec. 1321.9, governing all aspects of programs operated
under this part, including those related to conflict of interest, and be
in alignment with the Act and all other applicable Federal requirements.
These policies and procedures shall be developed in consultation with
other appropriate parties in the planning and service area.
(b) The policies and procedures developed by the area agency shall
address the manner in which the area agency will monitor the
programmatic and fiscal performance of all programs, direct service
providers, and activities initiated under this part for quality and
effectiveness. Quality monitoring and measurement results are encouraged
to be publicly available in a format that may be understood by older
individuals, family caregivers, and their families.
(c) The area agency is responsible for enforcement of these policies
and procedures.
(d) The area agency may not delegate to another agency the authority
to award or administer funds under this part.

Sec. 1321.61 Advocacy responsibilities of the area agency.

(a) The area agency shall serve as the public advocate for the
development or enhancement of comprehensive and coordinated community-
based systems of services in each community throughout and specific to
each planning and service area.
(b) In carrying out this responsibility, the area agency shall:
(1) Monitor, evaluate, and comment on policies, programs, hearings,
levies, and community actions which affect older individuals and family
caregivers which the area agency considers to be aligned with the
interests identified in the Act;
(2) Solicit comments from the public on the needs of older
individuals and family caregivers;
(3) Represent the interests of older individuals and family
caregivers to local level and executive branch officials, public and
private agencies, or organizations;
(4) Consult with and support the State's Long-Term Care Ombudsman
Program; and
(5) Coordinate with public and private organizations, including
units of general purpose local government to promote new or expanded
benefits and opportunities for older individuals and family caregivers.
(c) Each area agency on aging shall undertake a leadership role in
assisting communities throughout the planning and service area to target
resources from all appropriate sources to meet the needs of older
individuals and family caregivers with greatest economic need and
greatest social need, with particular attention to low-income minority
individuals. Such activities may include location of services and
specialization in the types of services most needed by these groups to
meet this requirement. However, the area agency shall not permit a
grantee or contractor under this part to employ a means test for
services funded under this part.

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(d) No requirement in this section shall be deemed to supersede a
prohibition contained in the Federal appropriation on the use of Federal
funds to lobby the Congress; or the lobbying provision applicable to
private nonprofit agencies and organizations contained in OMB Circular
A-122.

Sec. 1321.63 Area agency advisory council.

(a) Functions of council. The area agency shall establish an
advisory council. The council shall carry out advisory functions which
further the area agency's mission of developing and coordinating
community-based systems of services for all older individuals and family
and older relative caregivers specific to each planning and service
area. The council shall advise the agency relative to:
(1) Developing and administering the area plan;
(2) Ensuring the plan is available to older individuals, family
caregivers, service providers, and the general public;
(3) Conducting public hearings;
(4) Representing the interests of older individuals and family
caregivers; and
(5) Reviewing and commenting on community policies, programs and
actions which affect older individuals and family caregivers with the
intent of assuring maximum coordination and responsiveness to older
individuals and family caregivers.
(b) Composition of council. The council shall include individuals
and representatives of community organizations from or serving the
planning and service area who will help to enhance the leadership role
of the area agency in developing community-based systems of services
targeting those in greatest economic need and greatest social need. The
advisory council shall be made up of:
(1) More than 50 percent older individuals, including minority
individuals who are participants or who are eligible to participate in
programs under this part, with efforts to include individuals identified
as in greatest economic need and individuals identified as in greatest
social need in Sec. 1321.65(b)(2);
(2) Representatives of older individuals;
(3) Family caregivers, which may include older relative caregivers;
(4) Representatives of health care provider organizations, including
providers of veterans' health care (if appropriate);
(5) Representatives of service providers, which may include legal
assistance, nutrition, evidence-based disease prevention and health
promotion, caregiver, long-term care ombudsman, and other service
providers;
(6) Persons with leadership experience in the private and voluntary
sectors;
(7) Local elected officials;
(8) The general public; and
(9) As available:
(i) Representatives from Indian Tribes, Pueblos, or Tribal aging
programs; and
(ii) Older relative caregivers, including kin and grandparent
caregivers of children or adults age 18 to 59 with a disability.
(c) Review by advisory council. The area agency shall submit the
area plan and amendments for review and comment to the advisory council
before it is transmitted to the State agency for approval.
(d) Conflicts of interest. The advisory council shall not operate as
a board of directors for the area agency. Individuals may not serve on
both the advisory council and the board of directors for the same
entity.

Sec. 1321.65 Submission of an area plan and plan amendments
to the State agency for approval.

(a) The area agency shall submit the area plan on aging and
amendments specific to each planning and service area to the State
agency for approval following procedures specified by the State agency
in the State agency policies prescribed by Sec. 1321.9.
(b) State agency policies and procedures regarding area plan
requirements will at a minimum address the following:
(1) Content, duration, and format;
(2) That the area agency shall identify populations within the
planning and service area at greatest economic need and greatest social
need, which

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shall include the populations as set forth in the Sec. 1321.3
definitions of greatest economic need and greatest social need.
(3) Assessment and evaluation of unmet need, such that each area
agency shall submit objectively collected, and where possible,
statistically valid, data with evaluative conclusions concerning the
unmet need for supportive services, nutrition services, evidence-based
disease prevention and health promotion services, family caregiver
support services, and multipurpose senior centers. The evaluations for
each area agency shall consider all services in these categories
regardless of the source of funding for the services;
(4) Public participation specifying mechanisms to obtain the
periodic views of older individuals, family caregivers, service
providers, and the public with a focus on those in greatest economic
need and greatest social need, including:
(i) A reasonable minimum time period (at least 30 calendar days,
unless a waiver is provided by the State agency during an emergency or
when a time sensitive action is otherwise necessary) for public review
and comment on area plans and area plan amendments; and
(ii) Ensuring the documents noted in (b)(4)(i) of this section and
final area plans and amendments are accessible in a public location, as
well as available in print by request.
(5) The services, including a definition of each type of service;
the number of individuals to be served; the type and number of units to
be provided; and corresponding expenditures proposed to be provided with
funds under the Act and related local public sources under the area
plan;
(6) Plans for how direct services funds under the Act will be
distributed within the planning and service area, in order to address
populations identified as in greatest social need and greatest economic
need, as identified in Sec. 1321.27(d)(1);
(7) Process for determining whether the area agency meets
requirements to provide services directly where:
(i) As set forth in section 307(a)(8)(A) of the Act (42 U.S.C.
3027(a)(8)(A)), no supportive services, nutrition services, evidence-
based disease prevention and health promotion services, or family
caregiver support services will be directly provided by an area agency
on aging in the State, unless, in the judgment of the State agency:
(A) Provision of such services by the area agency on aging is
necessary to assure an adequate supply of such services;
(B) Such services are directly related to such area agency on
aging's administrative functions; or
(C) Such services may be provided more economically, and with
comparable quality, by such area agency on aging.
(ii) At its discretion, the State agency may waive the conditions
set forth in paragraph (b)(7)(i) of this section and allow area agencies
on aging to directly provide the supportive services of case management,
information and assistance services, and outreach without additional
restriction.
(iii) Approval of the area agency to provide direct services shall
only be granted for a maximum of the area plan period. For each time
approval is granted to an area agency to provide direct services, the
area agency must demonstrate the area agency's efforts to identify
service providers prior to being granted a subsequent approval.
(8) Minimum adequate proportion requirements, as identified in the
approved State plan as set forth in Sec. 1321.27;
(9) Requirements for program development and coordination activities
as set forth in Sec. 1321.27(h), if allowed by the State agency;
(10) If the area agency requests to allow Title III, part C-1 funds
to be used as set forth in Sec. 1321.87(a)(1)(i) through (iii), it must
provide the following information to the State agency:
(i) Evidence, using participation projections based on existing
data, that provision of such meals will enhance and not diminish the
congregate meals program, and a commitment to monitor impact on
congregate meals program participation;
(ii) Description of how provision of such meals will be targeted to
reach those populations identified as in greatest economic need and
greatest social need;

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(iii) Description of the eligibility criteria for service provision;
(iv) Evidence of consultation with nutrition and other direct
services providers, other interested parties, and the general public
regarding the need for and provision of such meals; and
(v) Description of how provision of such meals will be coordinated
with nutrition and other direct services providers and other interested
parties.
(11) Initial submission and amendments;
(12) Approval by the State agency; and
(13) Appeals regarding area plans on aging.
(c) Area plans shall incorporate services which address the
incidence of hunger, food insecurity and malnutrition; social isolation;
and physical and mental health conditions.
(d) Pursuant to section 306(a)(16) of the Act (42 U.S.C.
3026(a)(16)), area plans shall provide, to the extent feasible, for the
furnishing of services under this Act, through self-direction.
(e) Area plans on aging shall develop objectives that coordinate
with and reflect the State plan goals for services under the Act.

Sec. 1321.67 Conflicts of interest policies and procedures for
area agencies on aging.

(a) The area agency must have policies and procedures regarding
conflicts of interest in accordance with the Act, guidance as set forth
by the Assistant Secretary for Aging, and State agency policies and
procedures as set forth at Sec. 1321.47. These policies and procedures
must safeguard against conflicts of interest on the part of the area
agency, area agency employees, governing board and advisory council
members, and awardees who have responsibilities relating to the area
agency's grants and contracts. Conflicts of interest policies and
procedures must establish mechanisms to avoid both actual and perceived
conflicts of interest and to identify, remove, and remedy any existing
or potential conflicts of interest at organizational and individual
levels, including:
(1) Reviewing service utilization and financial incentives to ensure
agency employees, governing board and advisory council members,
grantees, contractors, and other awardees who serve multiple roles, such
as assessment and service delivery, are appropriately stewarding Federal
resources while fostering services to enhance access to community
living;
(2) Ensuring that the area agency on aging employees and agents
administering Title III programs do not have a financial interest in
Title III programs;
(3) Complying with Sec. 1324.21 of this chapter regarding the
Ombudsman program, as appropriate;
(4) Removing and remedying any actual, perceived, or potential
conflict between the area agency on aging and the area agency on aging
employee or contractor's financial interest in a Title III program;
(5) Establishing robust monitoring and oversight, including periodic
reviews, to identify conflicts of interest in the Title III program;
(6) Ensuring that no individual, or member of the immediate family
of an individual, involved in Title III programs has a conflict of
interest;
(7) Requiring that agencies to which the area agency provides Title
III funds have policies in place to prohibit the employment or
appointment of Title III program decision makers, staff, or volunteers
with conflicts that cannot be adequately removed or remedied;
(8) Requiring that Title III programs take reasonable steps to
refuse, suspend or remove Title III program responsibilities of an
individual who has a conflict of interest, or who has a member of the
immediate family with a conflict of interest, that cannot be adequately
removed or remedied;
(9) Complying with the State agency's periodic review and
identification of conflicts of the Title III program;
(10) Prohibiting the officers, employees, or agents of the Title III
program from soliciting or accepting gratuities, favors, or anything of
monetary value from grantees, contractors, and/or subrecipients, except
where policies and procedures allow for situations where the financial
interest is not substantial, or the gift is an unsolicited item of
nominal value;
(11) Establishing the actions the area agency will require Title III
programs

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to take in order to remedy or remove such conflicts, as well as
disciplinary actions to be applied for violations of such standards by
officers, employees, or agents of the Title III program; and
(12) Documentation of conflict of interest mitigation strategies, as
necessary and appropriate, when operating an Adult Protective Services
or guardianship program.
(b) [Reserved]

Sec. 1321.69 Area agency on aging Title III and Title VI
coordination responsibilities.

(a) For planning and service areas where there are Title VI
programs, the area agency's policies and procedures, developed in
coordination with the relevant Title VI program director(s), as set
forth in Sec. 1322.13(a), must explain how the area agency's aging
network, including service providers, will coordinate with Title VI
programs to ensure compliance with section 306(a)(11)(B) of the Act (42
U.S.C. 3026(a)(11)(B)).
(b) The policies and procedures set forth in paragraph (a) of this
section must at a minimum address:
(1) How the area agency's aging network, including service
providers, will provide outreach to Tribal elders and family caregivers
regarding services for which they may be eligible under Title III;
(2) The communication opportunities the area agency will make
available to Title VI programs, to include Title III and other funding
opportunities, technical assistance on how to apply for Title III and
other funding opportunities, meetings, email distribution lists,
presentations, and public hearings;
(3) The methods for collaboration on and sharing of program
information and changes, including coordinating with service providers
where applicable;
(4) How Title VI programs may refer individuals who are eligible for
Title III services;
(5) How services will be provided in a culturally appropriate and
trauma-informed manner; and
(6) Opportunities to serve on advisory councils, workgroups, and
boards, including area agency advisory councils as set forth in Sec.
1321.63.

Subpart D_Service Requirements

Sec. 1321.71 Purpose of services allotments under Title III.

(a) Title III of the Act authorizes the distribution of Federal
funds to the State agency on aging for the following services:
(1) Supportive services;
(2) Nutrition services;
(3) Evidence-based disease prevention and health promotion services;
and
(4) Family caregiver support services.
(b) Funds authorized are for the purpose of assisting the State
agency and its area agencies to develop, provide, or enhance for older
individuals and family caregivers comprehensive and coordinated
community-based direct services and systems.
(c) Except for ombudsman services, State plan administration,
disaster assistance as noted at Sec. Sec. 1321.99 through 1321.101, or
as otherwise allowed in the Act, State agencies in States with multiple
planning and service areas will award the funds made available under
this section to designated area agencies on aging according to the
approved intrastate funding formula as set forth in Sec. 1321.49.
(d) Except for ombudsman services, State plan administration,
disaster assistance as noted at Sec. Sec. 1321.99 through 1321.101, or
as otherwise allowed in the Act, State agencies in States with single
planning and service areas shall award funds by grant or contract to
community services provider agencies and organizations for direct
services to older individuals and family caregivers in, or serving,
communities throughout the planning and service area, except as set
forth in Sec. 1321.51(b)(4).
(e) Except where the State agency approves the area agency to
provide direct services, as set forth in Sec. 1321.65(b)(7), after
subtracting funds for area plan administration as set forth in Sec.
1321.9(c)(2)(iv)(B) and program development and coordination activities,
if allowed by the State agency, as set forth in Sec. 1321.27(h), area
agencies shall award these funds by grant or contract to community
services provider agencies and organizations for direct services to
older individuals and

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family caregivers in, or serving, communities throughout the planning
and service area.

Sec. 1321.73 Policies and procedures.

(a) The area agency on aging and/or service provider shall ensure
the development and implementation of policies and procedures in
accordance with State agency policies and procedures, including those
required as set forth in Sec. 1321.9. The State agency may allow for
policies and procedures to be developed by the subrecipient(s), except
as set forth at Sec. Sec. 1321.9(a) and 1321.9(c)(2)(xi) and where
otherwise specified.
(b) The area agency on aging and/or service provider will provide
the State agency in a timely manner with statistical and other
information which the State agency requires to meet its planning,
coordination, evaluation, and reporting requirements established by the
State agency under Sec. 1321.9.
(c) The State agency and/or area agencies on aging must develop an
independent qualitative and quantitative monitoring process ensuring the
quality and effectiveness of services regarding meeting participant
needs and preferences, the goals described within the State and/or area
plan, and State and local requirements, as well as conflicts of interest
policies and procedures. Quality monitoring and measurement results are
encouraged to be made available to the public in plain language format
designed to support and provide information and choice among persons and
families receiving services.

Sec. 1321.75 Confidentiality and disclosure of information.

(a) State agencies and area agencies on aging shall have procedures
to protect the confidentiality of information about older individuals
and family caregivers collected in the conduct of their
responsibilities. The procedures shall ensure that no information about
an older person or family caregiver, or obtained from an older person or
family caregiver by a service provider or the State or area agencies, is
disclosed by the provider or agency in a form that identifies the person
without the informed consent of the person or of their legal
representative, unless the disclosure is required by law or court order,
or for program monitoring and evaluation by authorized Federal, State,
or local monitoring agencies.
(b) A State agency, area agency on aging or other contracting or
granting or auditing agency may not require a provider of long-term care
ombudsman services under this part to reveal any information that is
protected by disclosure provisions in 45 CFR part 1324, subpart A. State
agencies must comply with confidentiality and disclosure of information
provisions as directed in 45 CFR part 1324, as appropriate.
(c) A State or area agency on aging shall not require a provider of
legal assistance under this part to reveal any information that is
protected by attorney client privilege.
(d) State agencies must have policies and procedures that ensure
that entities providing services under this title promote the rights of
each older individual who receives such services. Such rights include
the right to confidentiality of records relating to such individual.
(e) State agencies' policies and procedures must explain that
individual information and records may be shared with other State and
local agencies, community-based organizations, and health care providers
and payers in order to provide services.
(f) State agencies' policies and procedures must comply with all
applicable Federal laws as well as guidance as the State determines, for
the collection, use, and exchange of both Personal Identifiable
Information (PII) and personal health information in the provision of
Title III services under the Act. State agencies are encouraged to
consult with Tribes regarding any Tribal data sovereignty expectations
that may apply.

Sec. 1321.77 Purpose of services--person- and family-centered, trauma-informed.

(a) Services must be provided to older adults and family caregivers
in a manner that is person-centered, trauma-informed, and culturally
sensitive. Services should be responsive to their interests, physical
and mental health, social and cultural needs, available supports,

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and desire to live where and with whom they choose. Person-centered
services may include community-centered and family-centered approaches
consistent with the traditions, practices, beliefs, and cultural norms
and expectations of older adults and family caregivers.
(b) Services should, as appropriate, provide older adults and family
caregivers with the opportunity to develop a person-centered plan that
is led by the individual or, if applicable, by the individual and the
individual's authorized representative. Services should be incorporated
into existing person-centered plans, as appropriate.
(c) State and area agencies and service providers should provide
training to staff and volunteers on person-centered and trauma-informed
service provision.

Sec. 1321.79 Responsibilities of service providers under State and area plans.

As a condition for receipt of funds under this part, each State
agency and/or area agency on aging shall assure that service providers
shall:
(a) Specify how the service provider intends to satisfy the service
needs of those identified as in greatest economic need and greatest
social need, with a focus on low-income minority individuals in the area
served, including attempting to provide services to low-income minority
individuals at least in proportion to the number of low-income minority
older individuals and family caregivers in the population serviced by
the provider;
(b) Provide recipients with an opportunity to contribute to the cost
of the service as provided in Sec. 1321.9(c)(2)(x) or (xi);
(c) Pursuant to section 306(a)(16) of the Act (42 U.S.C.
3026(a)(16)), provide, to the extent feasible, for the furnishing of
services under this Act through self-direction;
(d) Bring conditions or circumstances which place an older person,
or the household of an older person, in imminent danger to the attention
of adult protective services or other appropriate officials for follow-
up, provided that:
(1) The older person or their legal representative consents; or
(2) Such action is in accordance with local adult protective
services requirements, except as set forth at Sec. 1321.93 and part
1324, subpart A, of this chapter;
(e) Where feasible and appropriate, make arrangements for the
availability of services to older individuals and family caregivers in
weather-related and other emergencies;
(f) Assist participants in taking advantage of benefits under other
programs; and
(g) Assure that all services funded under this part are coordinated
with other appropriate services in the community, and that these
services do not constitute an unnecessary duplication of services
provided by other sources.

Sec. 1321.81 Client eligibility for participation.

(a) An individual must be age 60 or older at the time of service to
be eligible to participate in services under the Act, unless the Act
otherwise provides an explicit exception. Exceptions are limited to the
following specific services:
(1) Nutrition services:
(i) Services shall be available to spouses of any age of older
individuals;
(ii) Services may be available to:
(A) A person with a disability who lives with an adult age 60 or
older or who resides in a housing facility that is primarily occupied by
older adults at which congregate meals are served; and
(B) A volunteer during meal hours.
(2) Family caregiver support services for:
(i) Adults caring for older adults and adults caring for individuals
of any age with Alzheimer's or a related disorder;
(ii) Older relative caregivers who are caring for children and are
not the biological or adoptive parent of the child, where older relative
caregivers shall no longer be eligible for services under this part when
the child reaches 18 years of age; or
(iii) Older relative caregivers who are caring for individuals age
18 to 59 with disabilities and who may be of any relationship, including
the biological or adoptive parent.
(3) Services such as information and assistance and public
education, where recipients of information may not be

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age 60 or older, but the information is targeted to those who are age 60
or older and/or benefits those who are age 60 or older.
(4) Ombudsman program services, as provided in 45 CFR part 1324.
(b) State agencies, area agencies on aging, and local service
providers may develop further eligibility requirements for
implementation of services for older adults and family caregivers, as
long as they do not conflict with the Act, this part, or guidance as set
forth by the Assistant Secretary for Aging. Such requirements may
include:
(1) Assessment of greatest social need;
(2) Assessment of greatest economic need;
(3) Assessment of functional and support need;
(4) Geographic boundaries;
(5) Limitations on number of persons that may be served;
(6) Limitations on number of units of service that may be provided;
(7) Limitations due to availability of staff/volunteers;
(8) Limitations to avoid duplication of services; and
(9) Specification of settings where services shall or may be
provided.

Sec. 1321.83 Client and service priority.

(a) The State agency and/or area agency shall ensure service to
those identified as members of priority groups through assessment of
local needs and resources.
(b) The State agency and/or area agency shall establish criteria to
prioritize the delivery of services under Title III, parts B (except for
Ombudsman program services which are subject to provisions in 45 CFR
part 1324), C, and D, in accordance with the Act.
(c) The State agency and/or area agency shall establish criteria to
prioritize the delivery of services under Title III, part E, in
accordance with the Act, to include:
(1) Caregivers who are older individuals with greatest social need,
and older individuals with greatest economic need (with particular
attention to low-income older individuals);
(2) Caregivers who provide care for individuals with Alzheimer's
disease and related disorders with neurological and organic brain
dysfunction; and
(3) If serving older relative caregivers, older relative caregivers
of children or adults with severe disabilities.

Sec. 1321.85 Supportive services.

(a) Supportive services are community-based interventions set forth
in the Act under Title III, part B, section 321 (42 U.S.C. 3030d) which
meet standards established by the Assistant Secretary for Aging. They
include in-home supportive services, access services, which may include
multipurpose senior centers, and legal services.
(b) State agencies may allow use of Title III, part B funds for
acquiring, altering or renovating, or constructing facilities to serve
as multipurpose senior centers, in accordance with guidance as set forth
by the Assistant Secretary for Aging.
(c) For those Title III, part B services intended to benefit family
caregivers, such as those provided under sections 321(a)(6)(C),
321(a)(19), and 321(a)(21) of the Act (42 U.S.C. 3030d(a)(6)(C),
3030d(a)(19), and 3030d(a)(21)), State and area agencies shall ensure
that there is coordination and no inappropriate duplication of such
services available under Title III, part E.
(d) All funds provided under Title III, part B of the Act must be
distributed within a State pursuant to Sec. 1321.49 or Sec. 1321.51.

Sec. 1321.87 Nutrition services.

(a) Nutrition services are community-based interventions as set
forth in Title III, part C of the Act, and as further defined by the
Assistant Secretary for Aging. Nutrition services include congregate
meals, home-delivered meals, nutrition education, nutrition counseling,
and other nutrition services.
(1) Congregate meals are meals meeting the Dietary Guidelines for
Americans and Dietary Reference Intakes as set forth in section 339 of
the Act (42 U.S.C. 3030g-21) provided under Title III, part C-1 by a
qualified nutrition service provider to eligible individuals and
consumed while congregating virtually or in-person, except where:
(i) If included as part of an approved State plan as set forth in
Sec. 1321.27 or

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State plan amendment as set forth in Sec. 1321.31(a) and area plan or
plan amendment as set forth in Sec. 1321.65 and to complement the
congregate meals program, shelf-stable, pick-up, carry-out, drive-
through, or similar meals may be provided under Title III, part C-1;
(ii) Meals provided as set forth in paragraph (a)(1)(i) of this
section shall:
(A) Not exceed 25 percent of the funds expended by the State agency
under Title III, part C-1, to be calculated based on the amount of Title
III, part C-1 funds available after all transfers as set forth in Sec.
1321.9(c)(2)(iii) are completed;
(B) Not exceed 25 percent of the funds expended by any area agency
on aging under Title III, part C-1, to be calculated based on the amount
of Title III, part C-1 funds available after all transfers as set forth
in Sec. 1321.9(c)(2)(iii) are completed.
(iii) Meals provided as set forth in paragraph (a)(1)(i) of this
section may be provided to complement the congregate meal program:
(A) During disaster or emergency situations affecting the provision
of nutrition services;
(B) To older individuals who have an occasional need for such meal;
and/or
(C) To older individuals who have a regular need for such meal,
based on an individualized assessment, when targeting services to those
in greatest economic need and greatest social need.
(2) Home-delivered meals are meals meeting the Dietary Guidelines
for Americans and Dietary Reference Intakes as set forth in section 339
of the Act (42 U.S.C. 3030g-21) provided under Title III, part C-2 by a
qualified nutrition service provider to eligible individuals and
consumed at their residence or otherwise outside of a congregate
setting, as organized by a service provider under the Act. Meals may be
provided via home delivery, pick-up, carry-out, drive-through, or
similar meals.
(i) Eligibility criteria for home-delivered meals may include
consideration of an individual's ability to leave home unassisted,
ability to shop for and prepare nutritious meals, degree of disability,
or other relevant factors pertaining to their need for the service,
including social need and economic need.
(ii) Home-delivered meals service providers may encourage meal
participants to attend congregate meal sites and other health and
wellness activities, as feasible, based on a person-centered approach
and local service availability.
(3) Nutrition education is information provided under Title III,
parts C-1 or 2 which provides individuals with the knowledge and skills
to make healthy food and beverage choices. Congregate and home-delivered
nutrition services shall provide nutrition education, as appropriate,
based on the needs of meal participants.
(4) Nutrition counseling is a service provided under Title III,
parts C-1 or 2 which must align with the Academy of Nutrition and
Dietetics. Congregate and home-delivered nutrition services shall
provide nutrition counseling, as appropriate, based on the needs of meal
participants, the availability of resources, and the expertise of a
Registered Dietitian Nutritionist.
(5) Other nutrition services include additional services provided
under Title III, parts C-1 or 2 that may be provided to meet nutritional
needs or preferences of eligible participants, such as weighted
utensils, supplemental foods, oral nutrition supplements, or groceries.
(b) State agencies shall establish policies and procedures that
define a nutrition project and include how a nutrition project will
provide meals and nutrition services five or more days per week in
accordance with the Act. The definition of nutrition project established
by the State agency must consider the availability of resources and the
community's need for nutrition services as described in the State and
area plans.
(c) All funds provided under Title III, part C of the Act must be
distributed within a State pursuant to Sec. 1321.49 or Sec. 1321.51.
(d) Nutrition Services Incentive Program allocations are available
to States and Territories that provide nutrition services where:
(1) Nutrition Services Incentive Program allocation amounts are
based on

[[Page 191]]

the number of meals reported by the State agency which meet the
following requirements:
(i) The meal is served to an individual who is eligible to receive
services under the Act;
(ii) The meal is served to an individual who has not been means-
tested to receive the meal;
(iii) The meal is served to an individual who has been provided the
opportunity to provide a voluntary contribution to the cost of service;
(iv) The meal meets the other requirements of the Act, including
that the meal meets the Dietary Guidelines for Americans and Dietary
Reference Intakes as set forth in section 339 of the Act (42 U.S.C.
3030g-21); and
(v) The meal is served by an agency that has a grant or contract
with a State agency or area agency.
(2) The State agency may choose to receive their Nutrition Services
Incentive Program grant as cash, commodities, or a combination of cash
and commodities.
(3) Nutrition Services Incentive Program funds may only be used to
purchase domestically produced foods used in a meal as set forth under
the Act.
(4) Nutrition Services Incentive Program funds are distributed
within a State pursuant to Sec. 1321.49(b)(1)(iii) and (d) or Sec.
1321.51(b)(1).

Sec. 1321.89 Evidence-based disease prevention and health
promotion services.

(a) Evidence-based disease prevention and health promotion services
programs are community-based interventions as set forth in Title III,
part D of the Act, that have been proven to improve health and well-
being and/or reduce risk of injury, disease, or disability among older
adults. All programs provided using these funds must be evidence-based
and must meet the Act's requirements and guidance as set forth by the
Assistant Secretary for Aging.
(b) All funds provided under Title III, part D of the Act must be
distributed within a State pursuant to Sec. 1321.49 or Sec. 1321.51.

Sec. 1321.91 Family caregiver support services.

(a) Family caregiver support services are community-based
interventions set forth in Title III, part E of the Act, which meet
standards set forth by the Assistant Secretary for Aging and which may
be informed through the use of an evidence-informed or evidence-based
caregiver assessment, including:
(1) Information to family caregivers about available services via
public education;
(2) Assistance to family caregivers in gaining access to the
services through:
(i) Individual information and assistance; or
(ii) Case management or care coordination.
(3) Individual counseling, organization of support groups, and
caregiver training to assist family caregivers in those areas in which
they provide support, including health, nutrition, complex medical care,
and financial literacy, and in making decisions and solving problems
relating to their caregiving roles;
(4) Respite care to enable family caregivers to be temporarily
relieved from their caregiving responsibilities; and
(5) Supplemental services, on a limited basis, to complement the
care provided by family caregivers. State agencies and AAAs shall define
``limited basis'' for supplemental services and may consider limiting
units, episodes or expenditure amounts when making this determination.
(b) State agencies shall ensure that there is a plan to provide each
of the services authorized under this part in each planning and service
area, or statewide in accordance with a funds distribution plan for
single planning and service area States, subject to availability of
funds under the Act.
(c) To provide services listed in paragraphs (a)(4) and (5) of this
section to family caregivers of adults aged 60 and older or of
individuals of any age with Alzheimer's disease or a related disorder,
the individual for whom they are caring must be determined to be
functionally impaired because the individual:

[[Page 192]]

(1) Is unable to perform at least two activities of daily living
without substantial assistance, including verbal reminding, physical
cueing, or supervision;
(2) At the option of the State agency, is unable to perform at least
three such activities without such assistance; or
(3) Due to a cognitive or other mental impairment, requires
substantial supervision because the individual poses a serious health or
safety hazard to themself or others.
(d) All funds provided under Title III, part E of the Act must be
distributed within a State pursuant to Sec. 1321.49 or Sec. 1321.51.

Sec. 1321.93 Legal assistance.

(a) General--definition. (1) The provisions and restrictions in this
section apply to legal assistance funded by and provided pursuant to the
Act.
(2) Legal assistance means legal advice and/or representation
provided by an attorney to older individuals with economic or social
needs, per section 102(33) of the Act (42 U.S.C. 3002(33)). Legal
assistance may include, to the extent feasible, counseling, or other
appropriate assistance by a paralegal or law student under the direct
supervision of an attorney, and counseling or representation by a non-
lawyer as permitted by law.
(b) State agency on aging requirements. (1) Under section 307(a)(11)
of the Act (42 U.S.C. 3027(a)(11)), the roles and responsibilities of
the State agency shall include assurances for the provision of legal
assistance in the State plan as follows:
(i) Legal assistance, to the extent practicable, supplements and
does not duplicate or supplant legal services provided with funding from
other sources, including grants made by the Legal Services Corporation;
(ii) Legal assistance supplements existing sources of legal services
through focusing legal assistance delivery and provider capacity in the
specific areas of law affecting older adults with greatest economic need
or greatest social need;
(iii) Reasonable efforts will be made to maintain existing levels of
legal assistance for older individuals;
(iv) Advice, training, and technical assistance support for the
provision of legal assistance for older adults will be made available to
legal assistance providers, as provided in Sec. 1324.303 and section
420(a)(1) of the Act (42 U.S.C. 3032i(a)(1));
(v) The State agency in single planning and service area States or
area agencies on aging in States with multiple planning and service
areas shall award, through contract funds, only to legal assistance
providers that meet the standards and requirements as set forth in this
section and section (c); and
(vi) Attorneys and personnel under the supervision of attorneys
providing legal assistance shall adhere to the applicable Rules of
Professional Conduct including the obligation to preserve the attorney-
client privilege.
(2) As set forth in section 307(a)(2)(C) of the Act (42 U.S.C.
3027(a)(2)(C)) and Sec. 1321.27(i)(3), the State agency shall designate
the minimum proportion of Title III, part B funds and require the
expenditure of at least that sum for each planning and service area for
the purpose of procuring contract(s) for legal assistance.
(3) The State agency in States with a single planning and service
area shall meet the requirements for area agencies on aging as set forth
in paragraph (c) of this section.
(c) Area Agency on Aging requirements--(1) Adequate proportion
funding. The area agency on aging shall award at a minimum the required
adequate proportion of Title III, part B funds designated by the State
agency to procure legal assistance for older residents of the planning
and service area as set forth in Sec. Sec. 1321.27 and 1321.65.
(2) Standards for selection of legal assistance providers. Area
agencies on aging shall adhere to the following standards in selecting
legal assistance providers:
(i) The area agency on aging must select and procure through
contract the legal assistance provider or providers best able to provide
legal assistance as provided in this paragraph (c)(2) and paragraphs (d)
through (f) of this section; and
(ii) The area agency on aging must select the legal assistance
provider(s)

[[Page 193]]

that best demonstrate the capacity to conduct legal assistance, which
means having the requisite expertise and staff to fulfill the
requirements of the Act and all applicable Federal requirements for
provision of legal assistance.
(d) Standards for legal assistance provider selection. Selected
legal assistance providers shall exhibit the capacity to:
(1) Retain staff with expertise in specific areas of law affecting
older individuals with economic or social need, including the priority
areas identified in the Act;
(2) Demonstrate expertise in specific areas of law that are given
priority in the Act, including income and public entitlement benefits,
health care, long-term care, nutrition, consumer law, housing,
utilities, protective services, abuse, neglect, age discrimination, and
defense of guardianship, prioritizing focus from among the areas of law
based on the needs of the community served;
(i) Defense of guardianship means advice to and representation of
older individuals at risk of guardianship and older individuals subject
to guardianship to divert them from guardianship to less restrictive,
more person-directed forms of decisional support whenever possible, to
oppose appointment of a guardian in favor of such less restrictive
decisional supports, to seek limitation of guardianship and to seek
revocation of guardianship;
(ii) Defense of guardianship includes:
(A) Representation to maintain the rights of individuals at risk of
guardianship, and to advocate for limited guardianship if a court orders
guardianship to be imposed; assistance removing or limiting an existing
guardianship; or assistance to preserve or restore an individual's
rights or autonomy;
(B) Representation to advocate for and assert use of least-
restrictive alternatives to guardianship to preserve or restore an
individual's rights and or autonomy to support decision-making, or to
limit the scope of guardianship orders when such orders have or will be
entered by a court; and
(C) A legal assistance provider shall not represent a petitioner for
imposition of guardianship except in limited circumstances involving
guardianship proceedings of older individuals who seek to become
guardians only if other adequate representation is unavailable in the
proceedings, and the provider has exhausted, and documents efforts made
to explore less restrictive alternatives to guardianship.
(3) Provide effective administrative and judicial advocacy in the
areas of law affecting older individuals with greatest economic need or
greatest social need;
(4) Support other advocacy efforts, for example, the Long-Term Care
Ombudsman Program, including requiring a memorandum of agreement between
the State Long-Term Care Ombudsman and the legal assistance provider(s)
as required by section 712(h)(8) of the Act (42 U.S.C. 3058g(h)(8)); and
(5) Effectively provide legal assistance to older individuals
residing in congregate residential long-term settings as defined in the
Act in section 102(35) (42 U.S.C. 3002(35)), or who are isolated as
defined in the Act in section 102(24)(c) (42 U.S.C. 3002(24)(c)), or who
are restricted to the home due to cognitive or physical limitations.
(e) Standards for contracting between Area Agencies on Aging and
legal assistance providers. (1) The area agency shall enter into a
contract(s) with the selected legal assistance provider(s) that
demonstrate(s) the capacity to deliver legal assistance.
(2) The contract shall specify that legal assistance provider(s)
shall demonstrate capacity to:
(i) Maintain expertise in specific areas of law that are to be given
priority, as defined in paragraphs (d)(1) and (2) of this section.
(ii) Prioritize representation and advice that focus on the specific
areas of law that give rise to problems that are disparately experienced
by older adults with economic or social need.
(iii) Maintain staff with the expertise, knowledge, and skills to
deliver legal assistance as described in this section.
(iv) Engage in reasonable efforts to involve the private bar in
legal assistance activities authorized under the Act, including groups
within the private bar furnishing services to older individuals on a pro
bono and reduced fee basis.

[[Page 194]]

(v) Ensure that attorneys and personnel under the supervision of
attorneys providing legal assistance will adhere to the applicable Rules
of Professional Conduct including, but not limited to, the obligation to
preserve the attorney-client privilege.
(3) The contract shall include provisions:
(i) Describing the duty of the area agency to refer older adults to
the legal assistance provider(s) with whom the area agency contracts. In
fulfilling this duty, the area agency is precluded from requiring a pre-
screening of older individuals seeking legal assistance or from acting
as the sole and exclusive referral pathway to legal assistance.
(ii) Requiring the contracted legal assistance provider(s) to
maintain capacity to provide legal assistance in the preferred language
used by older individuals seeking and/or receiving legal assistance who
are limited English proficient (LEP), including in oral and written
communication, and to ensure effective communication for individuals
with disabilities, including by providing appropriate auxiliary aids and
services where necessary.
(A) This includes requiring legal assistance providers take
reasonable steps to ensure meaningful access to legal assistance by
older individuals with limited-English proficiency, including an
individualized assessment of an individual's need to understand and
participate in the legal process (as determined by each individual).
(B) This includes stating the responsibility of the legal assistance
provider to provide access to interpretation and translation services to
meet clients' needs.
(C) This includes taking appropriate steps to ensure communications
with persons with disabilities are as effective as communication with
others, including by providing appropriate auxiliary aids and services
where necessary to afford qualified persons with disabilities an equal
opportunity to participate in, and enjoy the benefits of, legal
assistance.
(iii) Providing that the area agency will provide outreach
activities that will include information about the availability of legal
assistance to address problems experienced by older adults that may have
legal solutions, such as those referenced in sections 306(a)(4)(B) and
306(a)(19) of the Act (42 U.S.C. 3026(a)(4)(B) and 3026(a)(19)). This
includes outreach to:
(A) Older adults with greatest economic need due to low income and
to those with greatest social need, including minority older
individuals; and
(B) Older adults of underserved communities, including:
(1) Older adults with limited-English proficiency and/or whose
primary language is not English;
(2) Older adults with severe disabilities;
(3) Older adults living in rural areas;
(4) Older adults at risk for institutional placement; and
(5) Older adults with Alzheimer's disease and related disorders with
neurological and organic brain dysfunction and their caregivers.
(iv) Providing that legal assistance provider attorney staff and
non-attorney personnel under the supervision of legal assistance
attorneys must adhere to the applicable State Rules of Professional
Conduct.
(v) Requiring that if the legal assistance provider(s) contracted by
the area agency is located within a Legal Services Corporation grantee
entity, that the legal assistance provider(s) shall adhere to the
specific restrictions on activities and client representation in the
Legal Services Corporation Act (42 U.S.C. 2996 et seq.). Exempted from
this requirement are:
(A) Restrictions governing eligibility for legal assistance under
such Act;
(B) Restrictions for membership of governing boards; and
(C) Any additional provisions as determined appropriate by the
Assistant Secretary for Aging.
(f) Legal assistance provider requirements. (1) The provisions and
restrictions in this section apply to legal assistance provider(s) when
they are providing legal assistance under section 307(a)(11) of the Act
(42 U.S.C. 3027(a)(11)).
(2) Legal assistance providers under contract with the State agency
in States with single planning and service areas or area agency in
States with multiple planning and service areas

[[Page 195]]

shall adhere to the following requirements:
(i) Provide legal assistance to meet complex and evolving legal
needs that may arise involving a range of private, public, and
governmental entities, programs, and activities that may impact an older
adult's independence, choice, or financial security; and
(ii) Maintain the capacity for and provision of effective
administrative and judicial representation.
(A) Effective administrative and judicial representation means the
expertise and ability to provide the range of services necessary to
adequately address the needs of older adults through legal assistance in
administrative and judicial forums, as required under the Act. This
includes providing the full range of legal services, from brief service
and advice through representation in administrative and judicial
proceedings.
(B) [Reserved]
(iii) Conduct administrative and judicial advocacy as is necessary
to meet the legal needs of older adults with economic or social need,
focusing on such individuals with the greatest economic need or greatest
social need:
(A) Economic need means the need for legal assistance resulting from
income at or below the Federal poverty level, as defined in section
102(44) of the Act (42 U.S.C. 3002(44)), that is insufficient to meet
the legal needs of an older individual or that causes barriers to
attaining legal assistance to assert the rights of older individuals as
articulated in the Act and in the laws, regulations, and Constitution.
(B) Social need means the need for legal assistance resulting from
social factors, as defined by in section 102(24) of the Act (42 U.S.C.
3002(24)), that cause barriers to attaining legal assistance to assert
the rights of older individuals.
(iv) Maintain the expertise required to capably handle matters
related to the priority case type areas specified under the Act,
including income and public entitlement benefits, health care, long-term
care, nutrition, housing, utilities, protective services, abuse,
neglect, age discrimination and defense of guardianship (as defined in
paragraph (d)(2)(i) of this section).
(v) Maintain the expertise required to deliver any matters in
addition to those specified in paragraph (f)(2)(iv) of this section that
are related to preserving, maintaining, and restoring an older adult's
independence, choice, or financial security.
(vi) Maintain the expertise and capacity to deliver a full range of
legal assistance, from brief service and advice through representation
in hearings, trials, and other administrative and judicial proceedings
in the areas of law affecting such older individuals with economic or
social need.
(vii) Maintain the capacity to provide effective legal assistance
and legal support to other advocacy efforts, including, but not limited
to, the Long-Term Care Ombudsman Program serving the planning and
service area, as required by section 712(h)(8) of the Act (42 U.S.C.
3058g(h)(8)), and maintain the capacity to form, develop and maintain
partnerships that support older adults' independence, choice, or
financial security.
(viii) Maintain and exercise the capacity to effectively provide
legal assistance to older adults regardless of whether they reside in
community or congregate settings, and to provide legal assistance to
older individuals who are confined to their home, and older adults whose
access to legal assistance may be limited by geography or isolation.
(ix) Maintain the capacity to provide legal assistance in the
preferred language used by older individuals seeking and/or receiving
legal assistance who are limited-English proficient (LEP), including in
oral and written communication.
(A) Legal assistance provider(s) shall take reasonable steps to
ensure meaningful access to legal assistance by older individuals with
limited English-speaking proficiency and other communication needs;
(B) Such reasonable steps require an individualized assessment of
the needs of individuals who are seeking legal assistance and legal
assistance clients to understand and participate in the legal process
(as determined by each individual); and

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(C) Legal assistance provider(s) are responsible for providing
access to interpretation, translation, and auxiliary aids and services
to meet older individuals' legal assistance needs.
(x) Maintain staff with knowledge of the unique experiences of older
adults with economic or social need and expertise in areas of law
affecting such older adults.
(xi) Meet the following legal assistance provider requirements:
(A) A legal assistance provider may not require an older person to
disclose information about income or resources as a condition for
providing legal assistance under this part.
(B) A legal assistance provider may ask about the person's financial
circumstances as a part of the process of providing legal advice,
counseling, and representation, or for the purpose of identifying
additional resources and benefits for which an older person may be
eligible.
(C) A legal assistance provider and its attorneys may engage in
other legal activities to the extent that there is no conflict of
interest nor other interference with their professional responsibilities
under this Act.
(D) Legal assistance providers that are not housed within Legal
Services Corporation grantee entities shall coordinate their services
with existing Legal Services Corporation projects to concentrate funds
under this Act in providing legal assistance to older adults with the
greatest economic need or greatest social need.
(E) Nothing in this section is intended to prohibit any attorney
from providing any form of legal assistance to an eligible client, or to
interfere with the fulfillment of any attorney's professional
responsibilities to a client.
(F) Legal assistance provider attorney staff and non-attorney
personnel under the supervision of legal assistance attorneys must
adhere to the applicable Rules of Professional Conduct.
(3) Restrictions on legal assistance.
(i) No legal assistance provider(s) shall use funds received under
the Act to provide legal assistance in a fee generating case unless
other adequate representation is unavailable or there is an emergency
requiring immediate legal action. All providers shall establish
procedures for the referral of fee generating cases.
(A) ``Fee generating case'' means any case or matter which, if
undertaken on behalf of an eligible client by an attorney in private
practice, reasonably may be expected to result in a fee for legal
services from an award to a client, from public funds, or from the
opposing party.
(B) [Reserved]
(ii) Other adequate representation is deemed to be unavailable when:
(A) Recovery of damages is not the principal object of the client;
or
(B) A court appoints a provider or an employee of a provider
pursuant to a statute or a court rule or practice of equal applicability
to all attorneys in the jurisdiction; or
(C) An eligible client is seeking benefits under Title II of the
Social Security Act (42 U.S.C. 401 et seq.), Federal Old Age, Survivors,
and Disability Insurance Benefits; or Title XVI of the Social Security
Act (42 U.S.C. 1381 et seq.), Supplemental Security Income for Aged,
Blind, and Disabled.
(iii) A provider may seek and accept a fee awarded or approved by a
court or administrative body or included in a settlement.
(iv) When a case or matter accepted in accordance with this section
results in a recovery of damages, other than statutory benefits, a
provider may accept reimbursement for out-of-pocket costs and expenses
incurred in connection with the case or matter.
(4) Legal assistance provider prohibited activities.
(i) A provider, employee of the provider, or staff attorney shall
not engage in the following prohibited political activities:
(A) No provider or its employees shall contribute or make available
funds, personnel, or equipment provided under the Act to any political
party or association or to the campaign of any candidate for public or
party office; or for use in advocating or opposing any ballot measure,
initiative, or referendum;
(B) No provider or its employees shall intentionally identify the
Title III program or provider with any partisan or nonpartisan political
activity, or with

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the campaign of any candidate for public or party office; or
(C) While engaged in legal assistance activities supported under the
Act, no attorney shall engage in any political activity.
(ii) No funds made available under the Act shall be used for
lobbying activities including, but not limited to, any activities
intended to influence any decision or activity by a nonjudicial Federal,
State, or local individual or body.
(A) Nothing in this section is intended to prohibit an employee
from:
(1) Communicating with a governmental agency for the purpose of
obtaining information, clarification, or interpretation of the agency's
rules, regulations, practices, or policies;
(2) Informing a client about a new or proposed statute, executive
order, or administrative regulation relevant to the client's legal
matter;
(3) Responding to an individual client's request for advice only
with respect to the client's own communications to officials unless
otherwise prohibited by the Act, Title III regulations or other
applicable law. This provision does not authorize publication or
training of clients on lobbying techniques or the composition of a
communication for the client's use;
(4) Making direct contact with the area agency for any purpose; or
(5) Testifying before a government agency, legislative body, or
committee at the request of the government agency, legislative body, or
committee.
(B) [Reserved]
(iii) A provider may use funds provided by private sources to:
(A) Engage in lobbying activities if a government agency, elected
official, legislative body, committee, or member thereof is considering
a measure directly affecting activities of the provider under the Act;
(B) [Reserved]
(iv) While carrying out legal assistance activities and while using
resources provided under the Act, by private entities or by a recipient,
directly or through a subrecipient, no provider or its employees shall:
(A) Participate in any public demonstration, picketing, boycott, or
strike, whether in person or online, except as permitted by law in
connection with the employee's own employment situation;
(B) Encourage, direct, or coerce others to engage in such
activities; or
(C) At any time engage in or encourage others to engage in:
(1) Rioting or civil disturbance;
(2) Activity determined by a court to be in violation of an
outstanding injunction of any court of competent jurisdiction;
(3) Any illegal activity;
(4) Any intentional identification of programs funded under the Act
or recipient with any partisan or nonpartisan political activity, or
with the campaign of any candidate for public or party office; or
(v) None of the funds made available under the Act may be used to
pay dues exceeding a reasonable amount per legal assistance provider per
annum to any organization (other than a bar association), a purpose or
function of which is to engage in activities prohibited under these
regulations. Such dues may not be used to engage in activities for which
Older Americans Act funds cannot be directly used.

Sec. 1321.95 Service provider Title III and Title VI coordination
responsibilities.

(a) For locations served by service providers under Title III of the
Act where there are Title VI programs, the area agency on aging's and/or
service provider's policies and procedures, developed in coordination
with the relevant Title VI program director(s), as set forth in Sec.
1322.13(a), must explain how the service provider will coordinate with
Title VI programs.
(b) The policies and procedures set forth in paragraph (a) of this
section must at a minimum address:
(1) How the service provider will provide outreach to Tribal elders
and family caregivers regarding services for which they may be eligible
under Title III;
(2) The communication opportunities the service provider will make
available to Title VI programs, to include meetings email distribution
lists, and presentations;

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(3) The methods for collaboration on and sharing of program
information and changes;
(4) How Title VI programs may refer individuals who are eligible for
Title III services;
(5) How services will be provided in a culturally appropriate and
trauma-informed manner; and
(6) Opportunities to serve on advisory councils, workgroups, and
boards.

Subpart E_Emergency and Disaster Requirements

Sec. 1321.97 Coordination with State, Tribal, and local emergency management.

(a) State agencies. (1) State agencies shall establish emergency
plans, as set forth in section 307(a)(28) of the Act (42 U.S.C.
3027(a)(28)). Such plans must include, at a minimum:
(i) The State agency's continuity of operations plan and an all-
hazards emergency response plan based on completed risk assessments for
all hazards and updated annually;
(ii) A plan to coordinate activities with area agencies on aging,
service providers, local emergency response agencies, relief
organizations, local governments, State agencies responsible for
emergency and disaster preparedness, and any other institutions that
have responsibility for disaster relief service delivery;
(iii) Processes for developing and updating long-range emergency and
disaster preparedness plans; and
(iv) Other relevant information as determined by the State agency.
(2) The plan shall include information describing the involvement of
the head of the State agency in the development, revision, and
implementation of emergency and disaster preparedness plans, including
the State Public Health Emergency Preparedness and Response Plan.
(3) The plan shall discuss coordination with area agencies on aging
and service providers and Tribal and local emergency management.
(b) Area agencies on aging. (1) Area agencies on aging shall
establish emergency plans. Such plans must include:
(i) The area agency's continuity of operations plan and an all-
hazards emergency response plan based on completed risk assessments for
all hazards and updated annually;
(ii) A description of coordination activities for both development
and implementation of long-range emergency and disaster preparedness
plans; and
(iii) Other information as deemed appropriate by the area agency on
aging.
(2) The area agency on aging shall coordinate with Federal, local,
and State emergency response agencies, service providers, relief
organizations, local and State governments, and any other entities that
have responsibility for disaster relief service delivery, as well as
with Tribal emergency management, as appropriate.

Sec. 1321.99 Setting aside funds to address disasters.

(a) Section 310 of the Act (42 U.S.C. 3030) authorizes the use of
funds during Presidentially declared major disaster declarations under
the Stafford Act (42 U.S.C. 5121-5207) without regard to distribution
through the State agency's intrastate funding formula or funds
distribution plan when the following apply:
(1) Title III services are impacted; and
(2) Flexibility is needed as determined by the State agency.
(b) When implementing this authority, State agencies may set aside
funds, up to five percent of their total Title III allocations, if
specified as being allowed to be withheld for the purpose in their
approved intrastate funding formula or funds distribution plan, or with
prior approval from the Assistant Secretary for Aging. The following
apply for use of set aside funds:
(1) Set aside funds that are awarded under this provision must
comply with the requirements at Sec. 1321.101; and
(2) The State agency must have policies and procedures in place to
award funds set aside through the intrastate funding formula, as set
forth in Sec. 1321.49, or funds distribution plan, as set forth in
Sec. 1321.51(b), if there are no funds awarded subject to this
provision within 30 days of the end of the fiscal year in which the
funds were received.

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Sec. 1321.101 Flexibilities under a major disaster declaration.

(a) If a State or Indian Tribe requests and receives a major
disaster declaration under the Stafford Act (42 U.S.C. 5121-5207), the
State agency may use disaster relief flexibilities under Title III as
set forth in this section to provide disaster relief services for areas
of the State where the specific major disaster declaration is authorized
and where older adults and family caregivers are affected.
(b) Flexibilities a State agency may exercise under a major disaster
declaration include:
(1) Allowing use of any portion of the funds of any open grant
awards under Title III of the Act for disaster relief services for older
individuals and family caregivers.
(2) Awarding portions of State plan administration, up to a maximum
of five percent of the Title III grant award or to a maximum of the
amounts set forth at Sec. 1321.9(c)(2)(iv), for use in a planning and
service area covered in whole or part under a major disaster declaration
without the requirement of allocation through the intrastate funding
formula or funds distribution plan to be used for direct service
provision.
(3) Awarding of funds set aside to address disasters, as set forth
in Sec. 1321.99, or as determined by the Assistant Secretary for Aging,
in the following ways:
(i) to an area agency serving a planning and service area covered in
whole or part under a major disaster declaration without the requirement
of allocation through the intrastate funding formula;
(ii) for single planning and service area States, to a service
provider without the requirement of allocation through a funds
distribution plan; or
(iii) to be used for direct service provision, direct expenditures,
and/or procurement of items on a statewide level, if the State agency
adheres to the following:
(A) The State agency judges that provision of services or
procurement of supplies by the State agency is necessary to ensure an
adequate supply of such services and/or that such services can be
provided/supplies procured more economically, and with comparable
quality, by the State agency;
(B) The State agency consults with area agencies on aging prior to
exercising the flexibility, and includes the Ombudsman as set forth in
part 1324, subpart A if funding for the Ombudsman program is affected;
(C) The State agency uses such set aside funding, as provided at
Sec. 1321.99, for services provided through area agencies on aging and
other aging network partners to the extent reasonably practicable, in
the judgment of the State agency; and
(D) The State agency ensures reporting of any clients, units, and
services provided through such expenditures.
(c) A State agency must submit a State plan amendment as set forth
in Sec. 1321.31(b) if the State agency exercises any of the
flexibilities as set forth in paragraph (b) of this section. The State
plan amendment must at a minimum include the specific entities receiving
funds; the amount, source, and intended use for funds; and other such
justification of the use of funds.
(d) Disaster relief services may include any allowable services
under the Act to eligible older individuals or family caregivers during
the period covered by the major disaster declaration.
(e) Expenditures of funds under disaster relief flexibilities must
be reported separately from the grant where funding was expended. State
agencies may expend funds from any source within open grant awards under
Title III and Title VII of the Act but must track the source of all
expenditures.
(f) State agencies must have policies and procedures outlining
communication with area agencies on aging and/or local service providers
regarding State agency expectations for eligibility, use, and reporting
of services and funds provided under these flexibilities, and include
the Ombudsman as set forth in part 1324, subpart A if funding for the
Ombudsman program is affected.
(g) A State agency may only make obligations exercising this
flexibility during the major disaster declaration incident period or 90
days thereafter or with prior approval from the Assistant Secretary for
Aging.

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Sec. 1321.103 Title III and Title VI coordination for emergency
and disaster preparedness.

State agencies, area agencies, and Title VI programs should
coordinate in emergency and disaster preparedness planning, response,
and recovery. State agencies and area agencies that have Title VI
programs in operation within their jurisdictions must have policies and
procedures, developed in communication with the relevant Title VI
program director(s) as set forth in Sec. 1322.13(c), in place for how
they will communicate and coordinate with Title VI programs regarding
emergency and disaster preparedness planning, response, and recovery.

Sec. 1321.105 Modification during major disaster declaration or
public health emergency.

The Assistant Secretary for Aging retains the right to modify the
requirements described in these regulations pursuant to a major disaster
declaration or public health emergency.

PART 1322_GRANTS TO INDIAN TRIBES AND NATIVE HAWAIIAN GRANTEES FOR
SUPPORTIVE, NUTRITION, AND CAREGIVER SERVICES--Table of Contents

Subpart A_Introduction

Sec.
1322.1 Basis and purpose of this part.
1322.3 Definitions.

Subpart B_Application

1322.5 Application requirements.
1322.7 Application approval.
1322.9 Hearing procedures.

Subpart C_Service Requirements

1322.11 Purpose of services allotments under Title VI.
1322.13 Policies and procedures.
1322.15 Confidentiality and disclosure of information.
1322.17 Purpose of services--person- and family-centered, trauma-
informed.
1322.19 Responsibilities of service providers.
1322.21 Client eligibility for participation.
1322.23 Client and service priority.
1322.25 Supportive services.
1322.27 Nutrition services.
1322.29 Family caregiver support services.
1322.31 Title VI and Title III coordination.

Subpart D_Emergency and Disaster Requirements

1322.33 Coordination with Tribal, State, and local emergency management.
1322.35 Flexibilities under a major disaster declaration.
1322.37 Title VI and Title III coordination for emergency and disaster
preparedness.
1322.39 Modification during major disaster declaration or public health
emergency.

Authority: 42 U.S.C. 3001 et seq.

Source: 89 FR 11681, Feb. 14, 2024, unless otherwise noted.

Subpart A_Introduction

Sec. 1322.1 Basis and purpose of this part.

(a) This program is established to meet the unique needs and
circumstances of American Indian and Alaskan Native elders and family
caregivers and of older Native Hawaiians and family caregivers, on
Indian reservations and/or in service areas as approved in Sec. 1322.7.
This program honors the sovereign government to government relationship
with a Tribal organization serving elders and family caregivers through
direct grants to serve the eligible participants and similar
considerations, as appropriate, for Hawaiian Native grantees
representing elders and family caregivers. This part implements Title VI
(parts A, B, and C) of the Older Americans Act, as amended (the Act), by
establishing the requirements that an Indian Tribal organization or
Hawaiian Native grantee shall meet in order to receive a grant to
promote the delivery of services for older Indians, Alaskan Native,
Native Hawaiians, and Native American family caregivers that are
comparable to services provided under Title III. This part also
prescribes application and hearing requirements and procedures for these
grants.
(b) Terms used, but not otherwise defined, in this part will have
the meanings ascribed to them in the Act.

Sec. 1322.3 Definitions.

Access to services or access services, as used in this part, means
services which may facilitate connection to or receipt of other direct
services, including transportation, outreach, information

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and assistance, options counseling, and case management services.
Acquiring, as used in this part, means obtaining ownership of an
existing facility.
Act, means the Older Americans Act of 1965 as amended.
Altering or renovating, as used in this part, means making
modifications to or in connection with an existing facility which are
necessary for its effective use. Such modifications may include
alterations, improvements, replacements, rearrangements, installations,
renovations, repairs, expansions, upgrades, or additions, which are not
in excess of double the square footage of the original facility and all
physical improvements.
Area agency on aging, as used in this part, means a single agency
designated by the State agency to perform the functions specified in the
Act for a planning and service area.
Budgeting period, as used in Sec. 1322.19, means the intervals of
time into which a period of assistance (project period) is divided for
budgetary and funding purposes.
Constructing, as used in this part, means building a new facility,
including the costs of land acquisition and architectural and
engineering fees, or making modifications to or in connection with an
existing facility which are in excess of double the square footage of
the original facility and all physical improvements.
Department, means the U.S. Department of Health and Human Services.
Domestically produced foods, as used in this part, means
agricultural foods, beverages and other food ingredients which are a
product of the United States, its Territories or possessions, the
Commonwealth of Puerto Rico, or the Trust Territories of the Pacific
Islands (hereinafter referred to as ``the United States''), except as
may otherwise be required by law, and shall be considered to be such a
product if it is grown, processed, and otherwise prepared for sale or
distribution exclusively in the United States except with respect to
minor ingredients. Ingredients from nondomestic sources will be allowed
to be utilized as a United States product if such ingredients are not
otherwise:
(1) Produced in the United States; and
(2) Commercially available in the United States at fair and
reasonable prices from domestic sources.
Eligible organization, means either a Tribal organization or a
public or nonprofit private organization having the capacity to provide
services under this part for older Hawaiian Natives.
Family caregiver, as used in this part, means an adult family
member, or another individual, who is an informal provider of in-home
and community care to an older Native American; an adult family member,
or another individual, who is an informal provider of in-home and
community care to an individual of any age with Alzheimer's disease or a
related disorder with neurological and organic brain dysfunction; or an
older relative caregiver. For purposes of this part, family caregiver
does not include individuals whose primary relationship with the older
adult is based on a financial or professional agreement.
Hawaiian Native or Native Hawaiian, as used in this part, means any
individual, any of whose ancestors were native of the area which
consists of the Hawaiian Islands prior to 1778.
Hawaiian Native grantee, as used in this part, means an eligible
organization that has received funds under Title VI of the Act to
provide services to older Hawaiians.
Indian reservation, means the reservation of any Federally
recognized Indian Tribe, including any band, nation, pueblo, or
rancheria, any former reservation in Oklahoma, any community on non-
trust land under the jurisdiction of an Indian Tribe, including a band,
nation, pueblo, or rancheria, with allotted lands, or lands subject to a
restriction against alienation imposed by the United States, and Alaska
Native regions established, pursuant to the Alaska Native Claims
Settlement Act (43 U.S.C. 1601 et seq.).
Indian Tribe, means any Indian Tribe, band, nation, or organized
group or community, including any Alaska Native village, regional or
village corporation as defined in or established pursuant to the Alaska
Native Claims Settlement Act (43 U.S.C. 1601 et seq.) which is
recognized as eligible for the

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special programs and services provided by the United States to Indians
because of their status as Indians (25 U.S.C. 450b).
In-home supportive services, as used in this part, references those
supportive services provided in the home as set forth in the Act, to
include:
(1) Homemaker, personal care, home care, home health, and other
aides;
(2) Visiting and telephone or virtual reassurance;
(3) Chore maintenance;
(4) Respite care for families, including adult day care as a respite
service for families; and
(5) Minor modification of homes that is necessary to facilitate the
independence and health of older Native Americans and that is not
readily available under another program.
Major disaster declaration, as used in this part and section 310 of
the Act (42 U.S.C. 3030), means a Presidentially declared disaster under
the Robert T. Stafford Relief and Emergency Assistance Act (42 U.S.C.
5121-5207).
Means test, as used in this part in the provision of services, means
the use of the income, assets, or other resources of an older Native
American, family caregiver, or the households thereof to deny or limit
that person's eligibility to receive services under this part.
Multipurpose senior center, as used in the Act, means a community
facility for the organization and provision of a broad spectrum of
services, which shall include provision of health (including mental and
behavioral health), social, nutritional, and educational services and
the provision of facilities for recreational activities for older Native
Americans, as practicable, including as provided via virtual facilities;
as used in Sec. 1322.25, facilitation of services in such a facility.
Native American, as used in the Act, means a person who is a member
of any Indian Tribe, band, nation, or other organized group or community
of Indians (including any Alaska Native village or regional or village
corporation as defined in or established pursuant to the Alaska Native
Claims Settlement Act (43 U.S.C. 1601 et seq.) who:
(1) Is recognized as eligible for the special programs and services
provided by the United States to Indians because of their status as
Indians; or
(2) Is located on, or in proximity to, a Federal or State
reservation or rancheria; or is a person who is a Native Hawaiian, who
is any individual any of whose ancestors were natives of the area which
consists of the Hawaiian Islands prior to 1778.
Nutrition Services Incentive Program, as used in the Act, means
grant funding to State agencies, eligible Tribal organizations, and
Native Hawaiian grantees to support congregate and home-delivered
nutrition programs by providing an incentive to serve more meals.
Older Indians, means those individuals who have attained the minimum
age determined by the Indian Tribe for services.
Older Native Hawaiian, means any individual, age 60 or over, who is
a Hawaiian Native.
Older relative caregiver, as used in section 631 of the Act (42
U.S.C. 3057k-11), means a caregiver who is age 55 or older and lives
with, is the informal provider of in-home and community care to, and is
the primary caregiver for, a child or an individual with a disability;
(1) In the case of a caregiver for a child is:
(i) The grandparent, step-grandparent, or other relative (other than
the parent) by blood, marriage, or adoption, of the child;
(ii) Is the primary caregiver of the child because the biological or
adoptive parents are unable or unwilling to serve as the primary
caregivers of the child; and
(iii) Has a legal relationship to the child, such as legal custody,
adoption, or guardianship, or is raising the child informally; and
(2) In the case of a caregiver for an individual with a disability,
is the parent, grandparent, step-grandparent, or other relative by
blood, marriage, or adoption of the individual with a disability.
Program income, as defined in 2 CFR part 200.1 means gross income
earned by the non-Federal entity that is directly generated by a
supported activity or earned as a result of the Federal award during the
period of performance

[[Page 203]]

except as provided in 2 CFR 200.307(f). Program income includes but is
not limited to income from fees for services performed, the use or
rental of real or personal property acquired under Federal awards, the
sale of commodities or items fabricated under a Federal award, license
fees and royalties on patents and copyrights, and principal and interest
on loans made with Federal award funds. Interest earned on advances of
Federal funds is not program income. Except as otherwise provided in
Federal statutes, regulations, or the terms and conditions of the
Federal award, program income does not include rebates, credits,
discounts, and interest earned on any of them. See also 2 CFR 200.307,
200.407 and 35 U.S.C. 200-212 (which applies to inventions made under
Federal awards).
Project period, as used in Sec. 1322.19, means the total time for
which a project is approved including any extensions.
Reservation, as used in section 305(b)(2) of the Act (42 U.S.C.
3025(b)(2)) with respect to the designation of planning and service
areas, means any Federally or State recognized American Indian Tribe's
reservation, pueblo, or colony, including former reservations in
Oklahoma, Alaska Native regions established pursuant to the Alaska
Native Claims Settlement Act (85 Stat. 688), and Indian allotments.
Service area, as used in Sec. 1322.5(b) and elsewhere in this part,
means that geographic area approved by the Assistant Secretary for Aging
in which the Tribal organization or Hawaiian Native grantee provides
supportive, nutrition, and/or family caregiver support services to older
Indians or Native Hawaiians residing there. Service areas are approved
through the funding application process, which may include Bureau of
Indian Affairs service area maps. A service area may include all or part
of the reservation or any portion of a county or counties which has a
common boundary with the reservation. A service area may also include a
non-contiguous area if the designation of such an area will further the
purpose of the Act and will provide for more effective administration of
the program by the Tribal organization.
Service provider, means an entity that is awarded funds, including
via a grant, subgrant, contract, or subcontract, from a Tribal
organization or Native Hawaiian grantee to provide direct services under
this part.
State agency, as used in this part, means the designated State unit
on aging for each of the 50 States, the District of Columbia, and the
Territories of Guam, Puerto Rico, the United States Virgin Islands,
American Samoa, and the Commonwealth of the Northern Mariana Islands,
unless otherwise specified.
Title VI director, as used in this part, means a single individual
who is the key personnel responsible for day-to-day management of the
Title VI program and who serves as a contact point for communications
regarding the Title VI program.
Tribal organization, as used in this part, means the recognized
governing body of any Indian Tribe, or any legally established
organization of Indians which is controlled, sanctioned, or chartered by
such governing body or which is democratically elected by the adult
members of the Indian community to be served by such organization and
which includes the maximum participation of Indians in all phases of its
activities. Provided that in any case where a contract is let or grant
made to an organization to perform services benefiting more than one
Indian Tribe, the approval of each Indian Tribe shall be a prerequisite
to the letting or making of the contract or grant (25 U.S.C. 450b).
Voluntary contributions, as used in section 315(b) of the Act (42
U.S.C. 3030c-2(b)), means donations of money or other personal resources
given freely, without pressure or coercion, by individuals receiving
services under the Act.

Subpart B_Application

Sec. 1322.5 Application requirements.

An eligible organization shall submit an application. The
application shall be submitted as prescribed in section 614 of the Act
(42 U.S.C. 3057e) and in accordance with the Assistant Secretary for
Aging's instructions for the specified project and budget periods. In

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addition to the requirements set out in section 614 of the Act (42
U.S.C. 3057e), the application shall provide for:
(a) Program objectives, as set forth in section 614(a)(5) of the Act
(42 U.S.C. 3057e(a)(5)), and any objectives established by the Assistant
Secretary for Aging;
(b) A map and/or description of the geographic boundaries of the
service area proposed by the eligible organization, which may include
Bureau of Indian Affairs service area maps;
(c) Documentation of the ability of the eligible organization to
deliver supportive and nutrition services to older Native Americans, or
documentation that the eligible organization has effectively
administered supportive and nutrition services within the last 3 years;
(d) Assurances as prescribed by the Assistant Secretary for Aging
that:
(1) The eligible organization represents at least 50 individuals who
have attained 60 years of age or older and reside in the service area;
(2) The eligible organization shall comply with all applicable State
and local license and safety requirements, if any, for the provision of
those services;
(3) If a substantial number of the older Native Americans residing
in the service area are limited English proficient, the Tribal
organization shall utilize the services of workers who are fluent in the
language used by a predominant number of older Native Americans;
(4) Procedures to ensure that all services under this part are
provided without use of any means tests;
(5) The eligible organization shall comply with all requirements set
forth in Sec. Sec. 1322.7 through 1322.17;
(6) The services provided under this part shall be coordinated,
where applicable, with services provided under Title III of the Act as
set forth in 45 CFR part 1321 and Title VII of the Act as set forth in
45 CFR part 1324, and the eligible organization shall establish and
follow policies and procedures as set forth in Sec. 1322.13;
(7) The eligible organization shall have a completed needs
assessment within the project period immediately prior to the
application identifying the need for nutrition and supportive services
for older Native Americans and, if applying for funds under Title VI
part C, for family caregivers;
(8) The eligible organization shall ensure policies and procedures
are aligned with periodic data collection and reporting requirements,
including ensuring service and unit definitions are consistent with
definitions set forth in these regulations, policy guidance, and other
information developed by the Assistant Secretary for Aging; and
(9) The eligible organization shall complete a program evaluation
using data as set forth by the Assistant Secretary for Aging and shall
use findings of such program evaluation to establish and update program
goals and objectives.
(e) A Tribal resolution(s) authorizing the Tribal organization to
apply for a grant under this part; and
(f) Signature by the principal official of the Indian Tribe or
eligible organization.

Sec. 1322.7 Application approval.

(a) Approval of any application under section 614(e) of the Act (42
U.S.C. 3057e(e)), shall not commit the Assistant Secretary for Aging in
any way to make additional, supplemental, continuation, or other awards
with respect to any approved application.
(b) The Assistant Secretary for Aging may give first priority in
awarding grants to grantees that have effectively administered such
grants in the prior year.
(c) Upon approval of an application and acceptance of the funding
award, the Tribal organization or Hawaiian Native grantee is required to
submit all performance and fiscal reporting as set forth by the
Assistant Secretary for Aging on a no less than an annual basis.
(d) If the Assistant Secretary for Aging disapproves of an
application, the Assistant Secretary for Aging must follow procedures
outlined in section 614(d) of the Act (42 U.S.C. 3057e(d)).

Sec. 1322.9 Hearing procedures.

In meeting the requirements of section 614(d)(3) of the Act (42
U.S.C. 3057e(d)(3)), if the Assistant Secretary for Aging disapproves an
application

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from an eligible organization, the eligible organization may file a
written request for a hearing with the Departmental Appeals Board (DAB)
in accordance with 45 CFR part 16.
(a) The request shall be postmarked or delivered in person within 30
days of the date of the disapproval notice. If it requests a hearing,
the eligible organization shall submit to the DAB, as part of the
request, a full written response to each objection specified in the
notice of disapproval, including the pertinent facts and reasons in
support of its response, and all documentation to support its position
as well as any documentation requested by the DAB.
(b) Upon receipt of appeal for reconsideration of a rejected
application or activities proposed by an applicant, the DAB will notify
the applicant by certified mail that the appeal has been received.
(c) The DAB may refer an appeal to its Alternative Dispute
Resolution Division for mediation prior to making a decision. After
consideration of the record, the DAB will issue a written decision,
based on the record, that sets forth the reasons for the decision and
the evidence on which it was based. A disapproval decision issued by the
DAB represents the final determination of the Assistant Secretary for
Aging and remains in effect unless reversed or stayed on judicial
appeal, except that the Assistant Secretary for Aging may modify or set
aside the decision before the record of the proceedings under this
subpart is filed in court.
(d) Either the eligible organization or the staff of the
Administration on Aging may request for good cause an extension of any
of the time limits specified in this section.

Subpart C_Service Requirements

Sec. 1322.11 Purpose of services allotments under Title VI.

(a) Title VI of the Act authorizes the distribution of Federal funds
to Tribal organizations and a Hawaiian Native grantee for the following
categories of services:
(1) Supportive services;
(2) Nutrition services; and
(3) Family caregiver support program services.
(b) Funds authorized under these categories are for the purpose of
assisting a Tribal organization or Hawaiian Native grantee to develop or
enhance comprehensive and coordinated community-based systems for older
Native Americans and family caregivers.

Sec. 1322.13 Policies and procedures.

The Tribal organization and Hawaiian Native grantee shall ensure the
development and implementation of policies and procedures, including
those required as set forth in this part.
(a) Upon approval of a program application and acceptance of
funding, the Tribal organization or Hawaiian Native grantee must appoint
a Title VI Director and provide appropriate contact information for the
Title VI Director consistent with guidance from the Assistant Secretary
for Aging.
(b) The Tribal organization or Hawaiian Native grantee shall provide
the Assistant Secretary for Aging with statistical and other information
in order to meet planning, coordination, evaluation and reporting
requirements in a timely manner and shall ensure policies and procedures
are aligned with periodic data collection and reporting requirements,
including ensuring service and unit definitions are consistent with
definitions set forth in these regulations, policy guidance, and other
information developed by the Assistant Secretary for Aging.
(c) A Tribal organization or Hawaiian Native grantee must maintain
program policies and procedures. Policies and procedures shall address:
(1) Direct service provision, including:
(i) Requirements for client eligibility, periodic assessment, and
person-centered planning, where appropriate;
(ii) Access to information and assistance to minimally address:
(A) Establishing or having a list of all services that are available
to older Native Americans in the service area;
(B) Maintaining a list of services needed or requested by older
Native Americans;
(C) Providing assistance to older Native Americans to help them take
advantage of available services;

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(D) Working with agencies, such as area agencies on aging and other
programs funded by Title III and Title VII as set forth in Sec. Sec.
1321.53 and 1321.69 of this chapter, to facilitate participation of
older Native Americans; and
(E) A listing and definitions of services that may be provided by
the Tribal organization or Native Hawaiian grantee with funds received
under the Act.
(iii) Limitations on the frequency, amount, or type of service
provided; and
(iv) The grievance process for older individuals and family
caregivers who are dissatisfied with or denied services under the Act.
(2) Fiscal requirements including:
(i) Voluntary contributions. Voluntary contributions, where:
(A) Each Tribal organization or Hawaiian Native grantee shall:
(1) Provide each older Native American with a voluntary opportunity
to contribute to the cost of the service;
(2) Protect the privacy of each older Native American with respect
to their contribution;
(3) Establish appropriate procedures to safeguard and account for
all contributions;
(4) Use all voluntary contributions to expand comprehensive and
coordinated services systems supported under this part, while using
voluntary contributions provided for nutrition services only to expand
nutrition services, consistent with Sec. 1322.27.
(B) Each Tribal organization or Native Hawaiian grantee may develop
a suggested contribution schedule for services provided under this part.
In developing a contribution schedule, the Tribal organization or Native
Hawaiian grantee shall consider the income ranges of older Native
Americans in the service area and the Tribal organization's or Hawaiian
Native grantee's other sources of income. However, means tests may not
be used.
(C) A Tribal organization or Hawaiian Native grantee that receives
funds under this part may not deny any older Native American a service
because the older Native American will not or cannot contribute to the
cost of the service.
(ii) Buildings and equipment. Buildings and equipment, where costs
incurred for altering or renovating, utilities, insurance, security,
necessary maintenance, janitorial services, repair, and upkeep
(including Federal property unless otherwise provided for) to keep
buildings and equipment in an efficient operating condition, may be an
allowable use of funds if:
(A) Costs are not payable by third parties through rental or other
agreements;
(B) Costs support an allowed activity under Title VI part A, B, or C
of the Act and are allocated proportionally to the benefiting grant
program;
(C) Constructing and acquiring activities are only allowable for
multipurpose senior centers;
(D) In addition to complying with 2 CFR part 200, the Tribal
organization or Native Hawaiian grantee (and all other necessary
parties) must file a Notice of Federal Interest in the appropriate
official records of the jurisdiction where the property is located at
the time of acquisition or prior to commencement of construction, as
applicable. The Notice of Federal Interest must indicate that the
acquisition or construction has been funded with an award under Title VI
of the Act and that inquiries regarding the Federal Government's
interest in the property should be directed in writing to the Assistant
Secretary for Aging;
(E) Altering and renovating activities are allowable for facilities
providing services with funds provided as set forth in this part and as
subject to 2 CFR part 200.
(iii) Supplement, not supplant. Funds awarded under this part must
be used to supplement, not supplant existing Federal, State, and local
funds expended to support activities.
(d) The Tribal organization or Hawaiian Native grantee must develop
a monitoring process ensuring the quality and effectiveness of services
regarding meeting participant needs, the goals outlined within the
approved application, and Tribal organization requirements.

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Sec. 1322.15 Confidentiality and disclosure of information.

A Tribal organization or Hawaiian Native grantee shall develop and
maintain confidentiality and disclosure procedures as follows:
(a) A Tribal organization or Hawaiian Native grantee shall have
procedures to ensure that no information about an older Native American
or obtained from an older Native American by any provider of services is
disclosed by the provider of such services in a form that identifies the
person without the informed consent of the person or their legal
representative, unless the disclosure is required by court order, or for
program monitoring by authorized Federal or Tribal monitoring agencies.
(b) A Tribal organization or Hawaiian Native grantee is not required
to disclose those types of information or documents that are exempt from
disclosure by a Federal agency under the Federal Freedom of Information
Act (5 U.S.C. 552).
(c) A Tribal organization or Hawaiian Native grantee shall not
require a provider of legal assistance under this part to reveal any
information that is protected by attorney client privilege.
(d) The Tribal organization or Hawaiian Native grantee must have
policies and procedures that ensure that entities providing services
under this title promote the rights of each older Native American who
receives such services. Such rights include the right to confidentiality
of records relating to such Native American.
(e) A Tribal organization's or Hawaiian Native grantee's policies
and procedures may explain that individual information and records may
be shared with other State and local agencies, community-based
organizations, and health care providers and payers, as appropriate, in
order to provide services.
(f) A Tribal organization's or Hawaiian Native grantee's policies
and procedures must comply with all applicable Federal laws, codes,
rules, and regulations, including the Health Insurance Portability and
Accountability Act (HIPAA) (42 U.S.C. 1301 et seq.), as well as guidance
as the Tribal organization or Hawaiian Native grantee determines, for
the collection, use, and exchange of both Personal Identifiable
Information (PII) and personal health information in the provision of
Title VI services under the Act.

Sec. 1322.17 Purpose of services--person- and family-centered,
trauma-informed.

(a) Services must be provided to older Native Americans and family
caregivers in a manner that is person-centered, trauma-informed, and
culturally sensitive. Services should be consistent with culturally
appropriate holistic traditional care and responsive to their interests,
physical and mental health, social and cultural needs, available
supports, and desire to live where and with whom they choose. Person-
centered services may include community-centered and family-centered
approaches consistent with the traditions, practices, beliefs, and
cultural norms and expectations of the Tribal organization or Hawaiian
Native grantee.
(b) Services should, as appropriate, be consistent with culturally
appropriate holistic traditional care and provide older Native Americans
and family caregivers with the opportunity to develop a person-centered
plan that is led by the individual or, if applicable, by the individual
and the individual's authorized representative. Services should be
incorporated into existing person-centered plans, as appropriate.
(c) Tribal organizations and Hawaiian Native grantees should provide
training to staff and volunteers on culturally appropriate holistic
traditional care and person-centered and trauma-informed service
provision.

Sec. 1322.19 Responsibilities of service providers.

As a condition for receipt of funds under this part, each Tribal
organization and Hawaiian Native grantee shall assure that providers of
services shall:
(a) Provide service participants with an opportunity to contribute
to the cost of the service as provided in Sec. 1322.13(c)(2)(i);
(b) Provide, to the extent feasible, for the furnishing of services
under this Act, through self-direction;
(c) With the consent of the older Native American, or their legal
representative if there is one, or in accordance

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with local adult protective services requirements, bring to the
attention of adult protective services or other appropriate officials
for follow-up, conditions or circumstances which place the older Native
American, or the household of the older Native American, in imminent
danger;
(d) Where feasible and appropriate, make arrangements for the
availability of services to older Native Americans and family caregivers
in weather-related and other emergencies;
(e) Assist participants in taking advantage of benefits under other
programs;
(f) Assure that all services funded under this part are coordinated
with other appropriate services in the community, and that these
services do not constitute an unnecessary duplication of services
provided by other sources; and
(g) Receive training to provide services in a culturally competent
manner and consistent with Sec. Sec. 1322.13 through 1322.17.

Sec. 1322.21 Client eligibility for participation.

(a) An individual must have attained the minimum age determined by
the Tribal organization or Hawaiian Native grantee as specified in their
approved application, to be eligible to participate in services under
the Act, unless the Act otherwise provides an explicit exception.
Exceptions are limited to the following specific services:
(1) Nutrition services:
(i) Services shall be available to spouses of any age of older
Native Americans;
(ii) Services may be available to:
(A) A person with a disability who lives with an adult, age 60 or
older, or who resides in a housing facility that is primarily occupied
by older adults at which congregate meals are served; and
(B) A volunteer during meal hours.
(2) Family caregiver support services for:
(i) Adults caring for older Native Americans or individuals of any
age with Alzheimer's or related disorder;
(ii) Older relative caregivers who are caring for children and are
not the biological or adoptive parent of the child, where older relative
caregivers shall no longer be eligible for services under this part when
the child reaches 18 years of age; or
(iii) Older relative caregivers who are caring for individuals age
18 to 59 with disabilities, and who may be of any relationship,
including the biological or adoptive parent.
(3) Services such as information and assistance and public
education, where recipients of information may not be older Native
Americans, but the information is targeted to those who are older Native
Americans and/or benefits those who are older Native Americans.
(b) A Tribal organization or Hawaiian Native grantee may develop
further eligibility requirements for implementation of services for
older Native Americans and family caregivers, consistent with the Act
and all applicable Federal requirements. Such requirements may include:
(1) Assessment of functional and support needs;
(2) Geographic boundaries;
(3) Limitations on number of persons that may be served;
(4) Limitations on number of units of service that may be provided;
(5) Limitations due to availability of staff/volunteers;
(6) Limitations to avoid duplication of services;
(7) Specification of settings where services shall or may be
provided;
(8) Whether to serve Native Americans who have Tribal or Native
Hawaiian membership other than those who are specified in the Tribal
organization's or Hawaiian Native grantee's approved application; and
(9) Whether to serve older individuals or family caregivers who are
non-Native Americans but live within the approved service area and are
considered members of the community by the Tribal organization.

Sec. 1322.23 Client and service priority.

(a) The Tribal organization or Hawaiian Native grantee shall ensure
service to those identified as members of priority groups through their
assessment of local needs and resources.
(b) The Tribal organization or Hawaiian Native grantee shall
identify criteria for being given priority in the delivery of services
under Title VI, parts

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A or B, consistent with the Act and all applicable Federal requirements.
(c) The Tribal organization or Hawaiian Native grantee shall
identify criteria for being given priority in the delivery of services
under Title VI, part C, consistent with the Act and all applicable
Federal requirements:
(1) Caregivers who are older Native Americans with greatest social
need, and older Native Americans with greatest economic need (with
particular attention to low-income older individuals);
(2) Caregivers who provide care for individuals with Alzheimer's
disease and related disorders with neurological and organic brain
dysfunction; and
(3) When serving older relative caregivers, older relative
caregivers of children or adults with severe disabilities shall be given
priority.

Sec. 1322.25 Supportive services.

(a) Supportive services are community-based interventions as set
forth in Title VI of the Act, are intended to be comparable to such
services set forth under Title III, and meet standards established by
the Assistant Secretary for Aging. They include in-home supportive
services, access services, which may include multipurpose senior
centers, and legal services.
(b) A Tribal organization or Hawaiian Native grantee may provide any
of the supportive services mentioned under Title III of the Act, and any
other supportive services that are necessary for the general welfare of
older Native Americans and older Hawaiian Natives.
(c) A Tribal organization or Hawaiian Native grantee may allow use
of Title VI, part A and B funds, respectively, for acquiring, altering
or renovating, or constructing facilities to serve as multipurpose
senior centers, in accordance with guidance as set forth by the
Assistant Secretary for Aging.
(d) For those Title VI, parts A and B services intended to benefit
family caregivers, a Tribal organization or Hawaiian Native grantee,
respectively, shall ensure that there is coordination and no duplication
of such services available under Title VI, part C or Title III.
(e) If a Tribal organization or Hawaiian Native grantee elects to
provide legal services, it shall comply with the requirements in Sec.
1321.93 of this chapter and legal services providers shall comply fully
with the requirements in Sec. 1321.93(f) of this chapter.

Sec. 1322.27 Nutrition services.

(a) Nutrition services are community-based interventions as set
forth in Title VI, parts A and B of the Act, and as further defined by
the Assistant Secretary for Aging. Nutrition services include congregate
meals, home-delivered meals, nutrition education, nutrition counseling,
and other nutrition services.
(1) Congregate meals are meals meeting the Dietary Guidelines for
Americans and Dietary Reference Intakes as set forth in section 339 of
the Act (42 U.S.C. 3030g-21) provided by a qualified nutrition service
provider to eligible individuals and consumed while congregating
virtually, in-person, or in community off-site.
(2) Home-delivered meals are meals meeting the Dietary Guidelines
for Americans and Dietary Reference Intakes as set forth in section 339
of the Act (42 U.S.C. 3030g-21) provided by a qualified nutrition
service provider to eligible individuals and consumed at their residence
or otherwise outside of a congregate setting, as organized by a service
provider under the Act. Meals may be provided via home delivery, pick-
up, carry-out or drive-through, or through other service as determined
by the Tribal organization or Hawaiian Native grantee.
(i) Eligibility criteria for home-delivered meals, as determined by
the Tribal organization or Hawaiian Native grantee, may include
consideration of an individual's ability to leave home unassisted,
ability to shop for and prepare nutritious meals, degree of disability,
or other relevant factors pertaining to their need for the service.
(ii) Home-delivered meals providers may encourage meal participants
to attend congregate meal sites and other health and wellness
activities, as feasible, based on a person-centered approach and local
service availability.
(3) Nutrition education is information provided which provides
individuals with the knowledge and skills to make healthy food and
beverage

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choices. Congregate and home-delivered nutrition services may provide
nutrition education, as appropriate, based on the needs of meal
participants.
(4) Nutrition counseling is a standardized service provided which
must align with the Academy of Nutrition and Dietetics. Congregate and
home-delivered nutrition services may provide nutrition counseling, as
appropriate, based on the needs of meal participants.
(5) Other nutrition services include additional services that may be
provided to meet nutritional needs or preferences, such as weighted
utensils, supplemental foods, or food items, based on the needs of
eligible participants.
(b) The Tribal organization or Hawaiian Native grantee shall provide
congregate meals and home-delivered meals to eligible participants and
may provide nutrition education, nutrition counseling, and other
nutrition services, as available. As set forth in section 614(a)(8) of
the Act (42 U.S.C. 3057e(a)(8)), if the need for nutrition services is
met from other sources, the Tribal organization or Hawaiian Native
grantee may use the available funding under the Act for supportive
services.
(c) Nutrition Services Incentive Program allocations are available
to a Tribal organization or Hawaiian Native grantee that provides
nutrition services where:
(1) Nutrition Services Incentive Program allocation amounts are
based on the number of meals reported by the Tribal organization or
Hawaiian Native grantee which meet the following requirements:
(i) The meal is served to an individual who is eligible to receive
services under the Act;
(ii) The meal is served to an individual who has not been means-
tested to receive the meal;
(iii) The meal is served to an individual who has been provided the
opportunity to provide a voluntary contribution to the cost of service;
(iv) The meal meets the other requirements of the Act, including
that the meal meets the Dietary Guidelines for Americans and Dietary
Reference Intakes as set forth in section 339 of the Act (42 U.S.C.
3030g-21); and
(v) The meal is served by an agency that is, or has a grant or
contract with, a Tribal organization or Hawaiian Native grantee.
(2) The Tribal organization or Hawaiian Native grantee may choose to
receive their Nutrition Services Incentive Program grant as cash,
commodities, or a combination of cash and commodities.
(3) Nutrition Services Incentive Program funds may only be used to
purchase domestically produced foods used in a meal as set forth under
the Act.
(d) Where applicable, the Tribal organization or Hawaiian Native
grantee shall work with agencies responsible for administering nutrition
and other programs to facilitate participation of older Native
Americans.

Sec. 1322.29 Family caregiver support services.

(a) Family caregiver support services are community-based
interventions set forth in Title VI, part C of the Act, which meet
standards set forth by the Assistant Secretary for Aging and which may
be informed through the use of an evidence-informed or evidence-based
caregiver assessment, including:
(1) Information to caregivers about available services via public
education;
(2) Assistance to caregivers in gaining access to the services
through:
(i) Individual information and assistance; or
(ii) Case management or care coordination.
(3) Individual counseling, organization of support groups, and
caregiver training to assist the caregivers in those areas in which they
provide support, including health, nutrition, complex medical care, and
financial literacy, and in making decisions and solving problems
relating to their caregiving roles;
(4) Respite care to enable caregivers to be temporarily relieved
from their caregiving responsibilities; and
(5) Supplemental services, on a limited basis, to complement the
care provided by caregivers. A Tribal organization or Hawaiian Native
grantee shall define ``limited basis'' for supplemental services and may
consider limiting

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units, episodes or expenditure amounts when making this determination.
(b) The Title VI Native American Family Caregiver Support Program is
intended to serve unpaid family caregivers and to provide services to
caregivers, not to the people for whom they care. Its primary purpose is
not to pay for care for an elder. However, respite care may be provided
to an unpaid family caregiver.
(c) To provide services listed in paragraphs (a)(4) and (5) of this
section to caregivers of older Native Americans or of individuals of any
age with Alzheimer's disease or a related disorder, the individual for
whom they are caring must be determined to be functionally impaired
because the individual:
(1) Is unable to perform at least two activities of daily living
without substantial assistance, including verbal reminding, physical
cueing, or supervision;
(2) At the option of the Tribal organization or Hawaiian Native
grantee, is unable to perform at least three such activities without
such assistance; or
(3) Due to a cognitive or other mental impairment, requires
substantial supervision because the individual behaves in a manner that
poses a serious health or safety hazard to the individual or to another
individual.

Sec. 1322.31 Title VI and Title III coordination.

(a) A Tribal organization or Hawaiian Native grantee under Title VI
of the Act must have policies and procedures, developed in coordination
with the relevant State agency, area agency or agencies, and service
provider(s) that explain how the Title VI program will coordinate with
Title III and/or VII funded services within the Tribal organization's or
Hawaiian Native grantee's approved service area for which older Native
Americans and family caregivers are eligible to ensure compliance with
sections 614(a)(11) and 624(a)(3) of the Act (42 U.S.C. 3057e(a)(11) and
3057j(a)(3)), respectively. A Tribal organization or Hawaiian Native
grantee may meet these requirements by participating in Tribal
consultation with the State agency regarding Title VI programs.
(b) The policies and procedures set forth in paragraph (a) of this
section must at a minimum address:
(1) How the Tribal organization or Hawaiian Native grantee will
provide outreach to Tribal elders and family caregivers regarding
services for which they may be eligible under Title III and/or VII of
the Act;
(2) The communication opportunities the Tribal organization or
Hawaiian Native grantee will make available to Title III and VII
programs, to include meetings, email distribution lists, and
presentations;
(3) The methods for collaboration on and sharing of program
information and changes;
(4) How Title VI programs may refer individuals who are eligible for
Title III services;
(5) How services will be provided in a culturally appropriate and
trauma-informed manner; and
(6) Processes the Title VI program will use for providing feedback
on the State plan on aging and any area plans on aging relevant to the
Tribal organization's or Hawaiian Native grantee's approved service
area.
(c) The Title VI program director, as set forth in Sec. 1322.13(a),
shall participate in the development of policies and procedures as set
forth in Sec. Sec. 1321.53, 1321.69, and 1321.95 of this chapter.

Subpart D_Emergency and Disaster Requirements

Sec. 1322.33 Coordination with Tribal, State, and local emergency management.

A Tribal organization or Hawaiian Native grantee shall establish
emergency plans. Such plans must include, at a minimum:
(a) A continuity of operations plan and an all-hazards emergency
response plan based on completed risk assessments for all hazards and
updated annually;
(b) A plan to coordinate activities with the State agency, any area
agencies on aging providing Title III and VII funded services within the
Tribal organization's or Hawaiian Native grantee's approved service
area, local emergency response and management agencies, relief
organizations, local

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governments, other State agencies responsible for emergency and disaster
preparedness, and any other institutions that have responsibility for
disaster relief service delivery;
(c) Processes for developing and updating long-range emergency and
disaster preparedness plans; and
(d) Other relevant information as determined by the Tribal
organization or Hawaiian Native grantee.

Sec. 1322.35 Flexibilities under a major disaster declaration.

(a) If a State or Indian Tribe requests and receives a major
disaster declaration under the Stafford Act (42 U.S.C. 5121-5207), the
Tribal organization or Hawaiian Native grantee may use disaster relief
flexibilities as set forth in this section to provide disaster relief
services within its approved service area for areas of the State or
Indian Tribe where the specific major disaster declaration is authorized
and where older Native Americans and family caregivers are affected.
(b) Flexibilities a Tribal organization or Hawaiian Native grantee
may exercise under a major disaster declaration include allowing use of
any portion of the funds of any open grant awards under Title VI of the
Act for disaster relief services for older individuals and family
caregivers.
(c) Disaster relief services may include any allowable services
under the Act to eligible older Native Americans or family caregivers
during the period covered by the major disaster declaration.
(d) Expenditures of funds under disaster relief flexibilities must
be reported separately from the grant where funding was expended. A
Tribal organization or Hawaiian Native grantee may expend funds from any
source within open grant awards under Title VI of the Act but must track
the source of all expenditures.
(e) A Tribal organization or Hawaiian Native grantee must have
policies and procedures outlining eligibility, use, and reporting of
services and funds provided under these flexibilities.
(f) A Tribal organization or Hawaiian Native grantee may only make
obligations exercising this flexibility during the major disaster
declaration incident period or 90 days thereafter or with prior approval
from the Assistant Secretary for Aging.

Sec. 1322.37 Title VI and Title III coordination for emergency
and disaster preparedness.

A Tribal organization or Hawaiian Native grantee under Title VI of
the Act and State and area agencies funded under Title III of the Act
should coordinate in emergency and disaster preparedness planning,
response, and recovery. A Tribal organization or Hawaiian Native grantee
must have policies and procedures in place for how they will communicate
and coordinate with State agencies and area agencies regarding emergency
and disaster preparedness planning, response, and recovery.

Sec. 1322.39 Modification during major disaster declaration or
public health emergency.

The Assistant Secretary for Aging retains the right to modify the
requirements described in these regulations pursuant to a major disaster
declaration or public health emergency.

PART 1324_ALLOTMENTS FOR VULNERABLE ELDER RIGHTS PROTECTION
ACTIVITIES--Table of Contents

Subpart A_State Long-Term Care Ombudsman Program

Sec.
1324.1 Definitions.
1324.11 Establishment of the Office of the State Long-Term Care
Ombudsman.
1324.13 Functions and responsibilities of the State Long-Term Care
Ombudsman.
1324.15 State agency responsibilities related to the Ombudsman program.
1324.17 Responsibilities of agencies hosting local Ombudsman entities.
1324.19 Duties of the representatives of the Office.
1324.21 Conflicts of interest.

Subpart B_Programs for Prevention of Elder Abuse, Neglect, and
Exploitation

1324.201 State agency responsibilities for the prevention of elder
abuse, neglect, and exploitation.

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Subpart C_State Legal Assistance Development

1324.301 Definitions.
1324.303 Legal Assistance Developer.

Subpart D_Adult Protective Services Programs

1324.400 Eligibility for funding.
1324.401 Definitions.
1324.402 Program administration.
1324.403 APS response.
1324.404 Conflict of interest.
1324.405 Accepting reports.
1324.406 Coordination with other entities.
1324.407 APS program performance.
1324.408 State plans.

Authority: 2 U.S.C. 3001 et seq. and 42 U.S.C. 1394m.

Source: 89 FR 11688, Feb. 14, 2024, unless otherwise noted.

Subpart A_State Long-Term Care Ombudsman Program

Sec. 1324.1 Definitions.

The following definitions apply to this part:
Immediate family, pertaining to conflicts of interest as used in
section 712 of the Older Americans Act (the Act) (42 U.S.C. 3058g),
means a member of the household or a relative with whom there is a close
personal or significant financial relationship.
Office of the State Long-Term Care Ombudsman, as used in sections
711 and 712 of the Act (42 U.S.C. 3058f and 3058g), means the
organizational unit in a State or Territory which is headed by a State
Long-Term Care Ombudsman.
Official duties, as used in section 712 of the Act (42 U.S.C. 3058g)
with respect to representatives of the Long-Term Care Ombudsman Program,
means work pursuant to the Long-Term Care Ombudsman Program authorized
by the Act, subpart A of this part, and/or State law and carried out
under the auspices and general direction of, or by direct delegation
from, the State Long-Term Care Ombudsman.
Representatives of the Office of the State Long-Term Care Ombudsman,
as used in sections 711 and 712 of the Act (42 U.S.C. 3058f and 3058g),
means the employees or volunteers designated by the Ombudsman to fulfill
the duties set forth in Sec. 1324.19(a), whether personnel supervision
is provided by the Ombudsman or their designees or by an agency hosting
a local Ombudsman entity designated by the Ombudsman pursuant to section
712(a)(5) of the Act (42 U.S.C. 3058g(a)(5)).
Resident representative means any of the following:
(1) An individual chosen by the resident to act on behalf of the
resident in order to support the resident in decision-making; access the
resident's medical, social, or other personal information; manage the
resident's financial matters; or receive notifications pertaining to the
resident;
(2) A person authorized by State or Federal law (including but not
limited to agents under power of attorney, representative payees, and
other fiduciaries) to act on behalf of the resident in order to support
the resident in decision-making; access the resident's medical, social
or other personal information; manage the resident's financial matters;
or receive notifications pertaining to the resident;
(3) Legal representative, as used in section 712 of the Act (42
U.S.C. 3058g);
(4) The court-appointed guardian or conservator of a resident;
(5) Nothing in this rule is intended to expand the scope of
authority of any resident representative beyond that authority
specifically authorized by the resident, State or Federal law, or a
court of competent jurisdiction.
State Long-Term Care Ombudsman, or Ombudsman, as used in sections
711 and 712 of the Act (42 U.S.C. 3058f and 3058g), means the individual
who heads the Office and is responsible to personally, or through
representatives of the Office, fulfill the functions, responsibilities
and duties set forth in Sec. Sec. 1324.13 and 1324.19.
State Long-Term Care Ombudsman program, Ombudsman program, or
program, as used in sections 711 and 712 of the Act (42 U.S.C. 3058f and
3058g), means the program through which the functions and duties of the
Office are carried out, consisting of the Ombudsman, the Office headed
by the Ombudsman, and the representatives of the Office.
Willful interference means actions or inactions taken by an
individual in an attempt to intentionally prevent, interfere with, or
attempt to impede the Ombudsman from performing any

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of the functions or responsibilities set forth in Sec. 1324.13, or the
Ombudsman or a representative of the Office from performing any of the
duties set forth in Sec. 1324.19.

Sec. 1324.11 Establishment of the Office of the State Long-Term Care Ombudsman.

(a) The Office of the State Long-Term Care Ombudsman shall be an
entity headed by the State Long-Term Care Ombudsman, who shall carry out
all of the functions and responsibilities set forth in Sec. 1324.13
and, directly and/or through local Ombudsman entities, the duties set
forth in Sec. 1324.19.
(b) The State agency shall establish the Office and thereby carry
out the Long-Term Care Ombudsman Program in either of the following
ways:
(1) The Office is a distinct entity, separately identifiable, and
located within or connected to the State agency; or
(2) The State agency enters into a contract or other arrangement
with any public agency or nonprofit organization which shall establish a
separately identifiable, distinct entity as the Office.
(c) The State agency shall require that the Ombudsman serve on a
full-time basis. In providing leadership and management of the Office,
the functions, responsibilities, and duties, as set forth in Sec. Sec.
1324.13 and 1324.19 are to constitute the entirety of the Ombudsman's
work. The State agency or other agency carrying out the Office shall not
require or request the Ombudsman to be responsible for leading, managing
or performing the work of non-ombudsman services or programs except on a
time-limited, intermittent basis.
(1) This provision does not limit the authority of the Ombudsman
program to provide ombudsman services to populations other than
residents of long-term care facilities so long as the appropriations
under the Act are utilized to serve residents of long-term care
facilities, as authorized by the Act.
(2) [Reserved]
(d) The State agency, and other entity selecting the Ombudsman, if
applicable, shall ensure that the Ombudsman meets minimum qualifications
which shall include, but not be limited to, demonstrated expertise in:
(1) Long-term services and supports or other direct services for
older individuals or individuals with disabilities;
(2) Consumer-oriented public policy advocacy;
(3) Leadership and program management skills; and
(4) Negotiation and problem resolution skills.
(e) Where the Ombudsman has the legal authority to do so, they shall
establish policies and procedures, in consultation with the State
agency, to carry out the Ombudsman program in accordance with the Act.
Where State law does not provide the Ombudsman with legal authority to
establish policies and procedures, the Ombudsman shall recommend
policies and procedures to the State agency or other agency in which the
Office is organizationally located, and such agency shall establish
Ombudsman program policies and procedures as recommended by the
Ombudsman. Where local Ombudsman entities are designated within area
agencies on aging or other entities, the Ombudsman and/or appropriate
agency shall develop such policies and procedures in consultation with
the agencies hosting local Ombudsman entities, area agencies on aging,
and representatives of the Office. The policies and procedures must
address the following:
(1) Program administration. Policies and procedures regarding
program administration must include, but not be limited to:
(i) A requirement that the agency in which the Office is
organizationally located must not have personnel policies or practices
that prohibit the Ombudsman from performing the functions and
responsibilities of the Ombudsman, as set forth in Sec. 1324.13, or
from adhering to the requirements of section 712 of the Act (42 U.S.C.
3058g). Nothing in this provision shall prohibit such agency from
requiring that the Ombudsman, or other employees or volunteers of the
Office, adhere to the personnel policies and procedures of the entity
which are otherwise lawful.
(ii) A requirement that an agency hosting a local Ombudsman entity
must not have personnel policies or

[[Page 215]]

practices which prohibit a representative of the Office from performing
the duties of the Ombudsman program or from adhering to the requirements
of section 712 of the Act (42 U.S.C. 3058g). Nothing in this provision
shall prohibit such agency from requiring that representatives of the
Office adhere to the personnel policies and procedures of the host
agency which are otherwise lawful.
(iii) A requirement that the Ombudsman shall, on a regular basis,
monitor the performance of local Ombudsman entities which the Ombudsman
has designated to carry out the duties of the Office.
(iv) A description of the process by which the agencies hosting
local Ombudsman entities will coordinate with the Ombudsman in the
employment or appointment of representatives of the Office.
(v) Standards to ensure that the Office and/or local Ombudsman
entities provide prompt response to complaints, with priority given to
complaints regarding abuse, neglect, exploitation, and complaints that
are time sensitive. At a minimum, the standards shall require
consideration of the severity of the risk to the resident, the imminence
of the threat of or potential harm to the resident, and the opportunity
for mitigating harm to the resident through provision of Ombudsman
program services.
(vi) Procedures that clarify appropriate fiscal responsibilities of
the local Ombudsman entity, including but not limited to clarifications
regarding access to programmatic fiscal information by appropriate
representatives of the Office.
(vii) Procedures that establish standard retention periods for
files, records, and other information maintained by the Ombudsman
program and allowable methods of storage and destruction.
(2) Procedures for access. Policies and procedures regarding timely
access to facilities, residents, and appropriate records (regardless of
format and including, upon request, copies of such records) by the
Ombudsman and representatives of the Office must include, but not be
limited to:
(i) Access to enter all long-term care facilities at any time during
a facility's regular business hours or regular visiting hours, and at
any other time when access may be required by the circumstances to be
investigated;
(ii) Access to all residents to perform the functions and duties set
forth in Sec. Sec. 1324.13 and 1324.19;
(iii) Access to the name and contact information of the resident
representative, if any, where needed to perform the functions and duties
set forth in Sec. Sec. 1324.13 and 1324.19;
(iv) Access to review the medical, social, and other records
relating to a resident, if:
(A) The resident or resident representative communicates informed
consent to the access and the consent is given in writing or through the
use of auxiliary aids and services;
(B) The resident or resident representative communicates informed
consent orally, visually, or through the use of auxiliary aids and
services, and such consent is documented contemporaneously by a
representative of the Office in accordance with such procedures;
(C) The resident is unable to communicate consent to the review and
has no legal representative, and the representative of the Office
obtains the approval of the Ombudsman; or
(D) Access is necessary in order to investigate a complaint, the
resident representative refuses to consent to the access, a
representative of the Office has reasonable cause to believe that the
resident representative is not acting in the best interests of the
resident, and the representative of the Office obtains the approval of
the Ombudsman.
(v) Access to the administrative records, policies, and documents,
to which the residents have, or the general public has access, of long-
term care facilities;
(vi) Access of the Ombudsman to, and, upon request, copies of all
licensing and certification records maintained by the State with respect
to long-term care facilities; and
(vii) Reaffirmation that the Health Insurance Portability and
Accountability Act of 1996 (HIPAA) Privacy Rule (42 U.S.C. 1301 et
seq.), 45 CFR part 160 and 45 CFR part 164, subparts A and E, does not
preclude release by covered

[[Page 216]]

entities of resident private health information or other resident
identifying information to the Ombudsman program, including but not
limited to residents' medical, social, or other records, a list of
resident names and room numbers, or information collected in the course
of a State or Federal survey or inspection process.
(3) Disclosure. Policies and procedures regarding disclosure of
files, records, and other information maintained by the Ombudsman
program must include, but not be limited to:
(i) Provision that the files, records, and information maintained by
the Ombudsman program may be disclosed only at the discretion of the
Ombudsman or designee of the Ombudsman for such purpose and in
accordance with the criteria developed by the Ombudsman, as required by
Sec. 1324.13(e);
(ii) Prohibition of the disclosure of identifying information of any
resident with respect to whom the Ombudsman program maintains files,
records, or information, except as otherwise provided by Sec.
1324.19(b)(5) through (8), unless:
(A) The resident or the resident representative communicates
informed consent to the disclosure and the consent is given in writing
or through the use of auxiliary aids and services;
(B) The resident or resident representative communicates informed
consent orally, visually, or through the use of auxiliary aids and
services and such consent is documented contemporaneously by a
representative of the Office in accordance with such procedures; or
(C) The disclosure is required by court order.
(iii) Prohibition of the disclosure of identifying information of
any complainant with respect to whom the Ombudsman program maintains
files, records, or information, unless:
(A) The complainant communicates informed consent to the disclosure
and the consent is given in writing or through the use of auxiliary aids
and services;
(B) The complainant communicates informed consent orally, visually,
or through the use of auxiliary aids and services and such consent is
documented contemporaneously by a representative of the Office in
accordance with such procedures; or
(C) The disclosure is required by court order.
(iv) Standard criteria for making determinations about disclosure of
resident information when the resident is unable to provide consent and
there is no resident representative or the resident representative
refuses consent as set forth in Sec. 1324.19(b)(5) through (8);
(v) Prohibition on requirements for mandatory reporting abuse,
neglect, or exploitation to adult protective services or any other
entity, long-term care facility, or other concerned person, including
when such reporting would disclose identifying information of a
complainant or resident without appropriate consent or court order,
except as otherwise provided in Sec. 1324.19(b)(5) through (8); and
(vi) Adherence to the provisions of paragraph (e)(3) of this
section, regardless of the source of the request for information or the
source of funding for the services of the Ombudsman program,
notwithstanding section 705(a)(6)(C) of the Act (42 U.S.C.
3058d(a)(6)(C)).
(4) Conflicts of interest. Policies and procedures regarding
conflicts of interest must establish mechanisms to identify and remove
or remedy conflicts of interest as provided in Sec. 1324.21, including:
(i) Ensuring that no individual, or member of the immediate family
of an individual, involved in the employment or appointment of the
Ombudsman has or may have a conflict of interest;
(ii) Requiring that other agencies in which the Office or local
Ombudsman entities are organizationally located have policies in place
to prohibit the employment or appointment of an Ombudsman or a
representative of the Office who has or may have a conflict that cannot
be adequately removed or remedied;
(iii) Requiring that the Ombudsman take reasonable steps to refuse,
suspend, or remove designation of an individual who has a conflict of
interest, or who has a member of the immediate family who has or may
have a conflict of interest, which cannot be removed or remedied;

[[Page 217]]

(iv) Establishing the methods by which the Office and/or State
agency will periodically review and identify conflicts of the Ombudsman
and representatives of the Office; and
(v) Establishing the actions the Office and/or State agency will
require the Ombudsman or representatives of the Office to take in order
to remedy or remove such conflicts.
(5) Systems advocacy. Policies and procedures related to systems
advocacy must assure that the Office is required and has sufficient
authority to carry out its responsibility to analyze, comment on, and
monitor the development and implementation of Federal, State, and local
laws, regulations, and other government policies and actions that
pertain to long-term care facilities and services and to the health,
safety, welfare, and rights of residents, and to recommend any changes
in such laws, regulations, and policies as the Office determines to be
appropriate.
(i) Such procedures must exclude the Ombudsman and representatives
of the Office from any State lobbying prohibitions to the extent that
such requirements are inconsistent with section 712 of the Act (42
U.S.C. 3058g).
(ii) Nothing in this part shall prohibit the Ombudsman or the State
agency or other agency in which the Office is organizationally located
from establishing policies which promote consultation regarding the
determinations of the Office related to recommended changes in laws,
regulations, and policies. However, such a policy shall not require a
right to review or pre-approve positions or communications of the
Office.
(6) Designation. Policies and procedures related to designation must
establish the criteria and process by which the Ombudsman shall
designate and/or refuse, suspend, or remove designation of local
Ombudsman entities and representatives of the Office.
(i) Such criteria should include, but not be limited to, the
authority to refuse, suspend, or remove designation of a local Ombudsman
entity or representative of the Office in situations in which an
identified conflict of interest cannot be removed or remedied as set
forth in Sec. 1324.21.
(ii) [Reserved]
(7) Grievance process. Policies and procedures related to grievances
must establish a grievance process for the receipt and review of
grievances regarding the determinations or actions of the Ombudsman and
representatives of the Office.
(i) Such process shall include an opportunity for reconsideration of
the Ombudsman decision to refuse, suspend, or remove designation of a
local Ombudsman entity or representative of the Office. Notwithstanding
the grievance process, the Ombudsman shall make the final determination
to designate or to refuse, suspend, or remove designation of a local
Ombudsman entity or representative of the Office.
(ii) [Reserved]
(8) Determinations of the Office. Policies and procedures related to
the determinations of the Office must ensure that the Ombudsman, as head
of the Office, shall be able to independently make determinations and
establish positions of the Office, and carry out the functions and
responsibilities authorized by Sec. 1324.13 without interference and
shall not be constrained by or necessarily represent the determinations
or positions of the State agency or other agency in which the Office is
organizationally located.
(9) Emergency planning. Policies and procedures related to emergency
planning must include continuity of operations procedures using an all-
hazards approach, and coordination with emergency management agencies.

Sec. 1324.13 Functions and responsibilities of the State Long-Term
Care Ombudsman.

The Ombudsman, as head of the Office, shall have responsibility and
authority for the leadership and management of the Office in
coordination with the State agency, and, where applicable, any other
agency carrying out the Ombudsman program, as follows.
(a) Functions. The Ombudsman shall, personally or through
representatives of the Office:
(1) Identify, investigate, and resolve complaints that:
(i) Are made by, or on behalf of, residents; and
(ii) Relate to action, inaction, or decisions, that may adversely
affect the

[[Page 218]]

health, safety, welfare, or rights of residents (including the welfare
and rights of residents with respect to the appointment and activities
of resident representatives) of:
(A) Providers, or representatives of providers, of long-term care;
(B) Public agencies; or
(C) Health and social service agencies.
(2) Provide services to protect the health, safety, welfare, and
rights of the residents;
(3) Inform residents about means of obtaining services provided by
the Ombudsman program;
(4) Ensure that residents have regular and timely access to the
services provided through the Ombudsman program and that residents and
complainants receive timely responses from representatives of the Office
to requests for information and complaints;
(5) Represent the interests of residents before governmental
agencies, assure that individual residents have access to, and pursue
(as the Ombudsman determines as necessary and consistent with resident
interests) administrative, legal, and other remedies to protect the
health, safety, welfare, and rights of residents;
(6) Provide administrative and technical assistance to
representatives of the Office and agencies hosting local Ombudsman
entities;
(7)(i) Analyze, comment on, and monitor the development and
implementation of Federal, State, and local laws, regulations, and other
governmental policies and actions, that pertain to the health, safety,
welfare, and rights of the residents, with respect to the adequacy of
long-term care facilities and services in the State;
(ii) Recommend any changes in such laws, regulations, policies, and
actions as the Office determines to be appropriate;
(iii) Facilitate public comment on the laws, regulations, policies,
and actions;
(iv) Provide leadership to statewide systems advocacy efforts of the
Office on behalf of long-term care facility residents, including
coordination of systems advocacy efforts carried out by representatives
of the Office;
(v) Provide information to public and private agencies, legislators,
the media, and other persons, regarding the problems and concerns of
residents and recommendations related to the problems and concerns;
(vi) Such determinations and positions shall be those of the Office
and shall not necessarily represent the determinations or positions of
the State agency or other agency in which the Office is organizationally
located;
(vii) In carrying out systems advocacy efforts of the Office on
behalf of long-term care facility residents and pursuant to the receipt
of grant funds under the Act, the provision of information,
recommendations of changes of laws to legislators, and recommendations
of changes to government agency regulations and policies by the
Ombudsman or representatives of the Office do not constitute lobbying
activities as defined by 45 CFR part 93.
(8) Coordinate with and promote the development of citizen
organizations consistent with the interests of residents; and
(9) Promote, provide technical support for the development of, and
provide ongoing support as requested by resident and family councils to
protect the well-being and rights of residents.
(b) Responsibilities. The Ombudsman shall be the head of a unified
statewide Long-Term Care Ombudsman Program and shall:
(1) Establish or recommend policies, procedures, and standards for
administration of the Ombudsman program pursuant to Sec. 1324.11(e);
(2) Require representatives of the Office to fulfill the duties set
forth in Sec. 1324.19 in accordance with Ombudsman program policies and
procedures.
(c) Designation. The Ombudsman shall determine designation and
refusal, suspension, or removal of designation, of local Ombudsman
entities and representatives of the Office pursuant to section 712(a)(5)
of the Act (42 U.S.C. 3058g(a)(5)) and the policies and procedures set
forth in Sec. 1324.11(e)(6).
(1) If an Ombudsman chooses to designate local Ombudsman entities,
the Ombudsman shall:
(i) Designate local Ombudsman entities to be organizationally
located

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within public or non-profit private entities;
(ii) Review and approve plans or contracts governing local Ombudsman
entity operations, including, where applicable, through area agency on
aging plans, in coordination with the State agency; and
(iii) Monitor, on a regular basis, the Ombudsman program performance
of local Ombudsman entities.
(2) The Ombudsman shall establish procedures for training for
certification and continuing education of the representatives of the
Office, based on and consistent with standards established by the
Director of the Office of Long-Term Care Ombudsman Programs as described
in section 201(d) of the Act (42 U.S.C. 3011(d)) and set forth by the
Assistant Secretary for Aging, in consultation with residents, resident
representatives, citizen organizations, long-term care providers, and
the State agency, that:
(i) Specify a minimum number of hours of initial training;
(ii) Specify the content of the training, including training
relating to Federal, State, and local laws, regulations, and policies,
with respect to long-term care facilities in the State; investigative
and resolution techniques; and such other matters as the Office
determines to be appropriate;
(iii) Specify that all program staff or volunteers who have access
to residents, files, records, and other information of the Ombudsman
program subject to disclosure requirements shall undergo training and
certification to be designated as representatives of the Office; and
(iv) Specify an annual number of hours of in-service training for
all representatives of the Office.
(3) Prohibit any representative of the Office from carrying out the
duties described in Sec. 1324.19 unless the representative:
(i) Has received the training required under paragraph (c)(2) of
this section or is performing such duties under supervision of the
Ombudsman or a designated representative of the Office as part of
certification training requirements; and
(ii) Has been approved by the Ombudsman as qualified to carry out
the activity on behalf of the Office.
(4) The Ombudsman shall investigate allegations of misconduct by
representatives of the Office in the performance of Ombudsman program
duties and, as applicable, coordinate such investigations with the State
agency in which the Office is organizationally located, agency hosting
the local Ombudsman entity and/or the local Ombudsman entity.
(5) Policies, procedures, or practices which the Ombudsman
determines to be in conflict with the laws, policies, or procedures
governing the Ombudsman program shall be sufficient grounds for refusal,
suspension, or removal of designation of the representative of the
Office and/or the local Ombudsman entity.
(d) Ombudsman program information. The Ombudsman shall manage the
files, records, and other information of the Ombudsman program, whether
in physical, electronic, or other formats, including information
maintained by representatives of the Office and local Ombudsman entities
pertaining to the cases and activities of the Ombudsman program. Such
files, records, and other information are the property of the Office.
Nothing in this provision shall prohibit a representative of the Office
or a local Ombudsman entity from maintaining such information in
accordance with Ombudsman program requirements. All program staff or
volunteers who access the files, records, and other information of the
Ombudsman program subject to disclosure requirements shall undergo
training and certification to be designated as representatives of the
Office.
(e) Disclosure. In making determinations regarding the disclosure of
files, records, and other information maintained by the Ombudsman
program, the Ombudsman shall:
(1) Have the sole authority to make or delegate determinations
concerning the disclosure of the files, records, and other information
maintained by the Ombudsman program. The Ombudsman shall comply with
section 712(d) of the Act (42 U.S.C. 3058g(d)) in responding to requests
for disclosure of files, records, and other information, regardless of

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the format of such file, record, or other information, the source of the
request, and the sources of funding to the Ombudsman program;
(2) Develop and adhere to criteria to guide the Ombudsman's
discretion in determining whether to disclose the files, records, or
other information of the Office. Criteria for disclosure of records
shall consider if the disclosure has the potential to:
(i) Cause retaliation against residents, complainants, or witnesses;
(ii) Undermine the working relationships between the Ombudsman
program, facilities, and/or other agencies; or
(iii) Undermine other official duties of the program.
(3) Develop and adhere to a process for the appropriate disclosure
of information maintained by the Office, including:
(i) Classification of at least the following types of files,
records, and information: medical, social, and other records of
residents; administrative records, policies, and documents of long-term
care facilities; licensing and certification records maintained by the
State with respect to long-term care facilities; and data collected in
the Ombudsman program reporting system;
(ii) Identification of the appropriate individual designee or
category of designee, if other than the Ombudsman, authorized to
determine the disclosure of specific categories of information in
accordance with the criteria described in this paragraph (e).
(f) Fiscal management. The Ombudsman shall determine the use of the
fiscal resources appropriated or otherwise available for the operation
of the Office. Where local Ombudsman entities are designated, the
Ombudsman shall approve the allocations of Federal and State funds
provided to such entities, subject to applicable Federal and State laws
and policies. The Ombudsman shall determine that program budgets and
expenditures of the Office and local Ombudsman entities are consistent
with laws, policies, and procedures governing the Ombudsman program.
(g) Annual report. In addition to the annual submission of the
National Ombudsman Reporting System report, the Ombudsman shall
independently develop, provide final approval of, and disseminate an
annual report as set forth in section 712(h)(1) of the Act (42 U.S.C.
3058g(h)(1)) and as otherwise required by the Assistant Secretary for
Aging.
(1) Such report shall:
(i) Describe the activities carried out by the Office in the year
for which the report is prepared;
(ii) Contain analysis of Ombudsman program data;
(iii) Describe evaluation of the problems experienced by, and the
complaints made by or on behalf of, residents;
(iv) Contain policy, regulatory, and/or legislative recommendations
for improving quality of the care and life of the residents; protecting
the health, safety, welfare, and rights of the residents; and resolving
resident complaints and identified problems or barriers;
(v) Contain analysis of the success of the Ombudsman program,
including success in providing services to residents of assisted living,
board and care facilities, and other similar adult care facilities; and
(vi) Describe barriers that prevent the optimal operation of the
Ombudsman program.
(2) The Ombudsman shall make such report available to the public and
submit it to the Assistant Secretary for Aging, the chief executive
officer of the State, the State legislature, the State agency
responsible for licensing or certifying long-term care facilities, and
other appropriate governmental entities.
(h) Memoranda of understanding. Through adoption of memoranda of
understanding or other means, the Ombudsman shall lead State-level
coordination and support appropriate local Ombudsman entity
coordination, between the Ombudsman program and other entities with
responsibilities relevant to the health, safety, well-being, or rights
of residents of long-term care facilities, including:
(1) The required adoption of memoranda of understanding between the
Ombudsman program and:
(i) Legal assistance programs provided under section 306(a)(2)(C) of
the Act (42 U.S.C. 3026(a)(2)(C)), addressing

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at a minimum referral processes and strategies to be used when the
Ombudsman program and a legal assistance program are both providing
program services to a resident;
(ii) Facility and long-term care provider licensure and
certification programs, addressing at minimum communication protocols
and procedures to share information including procedures for access to
copies of licensing and certification records maintained by the State
with respect to long-term care facilities.
(2) The recommended adoption of memoranda of understanding or other
means between the Ombudsman program and:
(i) Area agency on aging programs;
(ii) Aging and disability resource centers;
(iii) Adult protective services programs;
(iv) Protection and advocacy systems, as designated by the State,
and as established under the Developmental Disabilities Assistance and
Bill of Rights Act of 2000 (42 U.S.C. 15001 et seq.);
(v) The State Medicaid fraud control unit, as defined in section
1903(q) of the Social Security Act (42 U.S.C. 1396b(q));
(vi) Victim assistance programs;
(vii) State and local law enforcement agencies;
(viii) Courts of competent jurisdiction;
(ix) The State Legal Assistance Developer as provided under section
731 of the Act (42 U.S.C. 3058j) and as set forth in subpart C to this
part; and
(x) The State mental health authority.
(i) Other activities. The Ombudsman shall carry out such other
activities as the Assistant Secretary for Aging determines to be
appropriate and are consistent with the functions of the State Long-Term
Care Ombudsman Program as authorized by the Older Americans Act.

Sec. 1324.15 State agency responsibilities related to the Ombudsman program.

(a) Compliance. In addition to the responsibilities set forth in
part 1321 of this chapter, the State agency shall ensure that the
Ombudsman complies with the relevant provisions of the Act and of this
rule.
(b) Authority and access. The State agency shall ensure, through the
development of policies, procedures, and other means, consistent with
Sec. 1324.11(e)(2), that the Ombudsman program has sufficient authority
and access to facilities, residents, and information needed to fully
perform all of the functions, responsibilities, and duties of the
Office.
(c) Training. The State agency shall provide opportunities for
training for the Ombudsman and representatives of the Office in order to
maintain expertise to serve as effective advocates for residents. The
State agency may utilize funds appropriated under Title III and/or Title
VII of the Act designated for direct services in order to provide access
to such training opportunities.
(d) Personnel supervision and management. The State agency shall
provide personnel supervision and management for the Ombudsman and
representatives of the Office who are employees of the State agency.
Such management shall include an assessment of whether the Office is
performing all of its functions under the Act.
(e) State agency monitoring. The State agency shall provide
monitoring, as required by Sec. 1321.9(b) of this chapter, including
but not limited to fiscal monitoring, where the Office and/or local
Ombudsman entity is organizationally located within an agency under
contract or other arrangement with the State agency. Such monitoring
shall include an assessment of whether the Ombudsman program is
performing all of the functions, responsibilities and duties set forth
in Sec. Sec. 1324.13 and 1324.19. The State agency may make reasonable
requests for reports, including aggregated data regarding Ombudsman
program activities, to meet the requirements of this provision.
(f) Disclosure limitations. The State agency shall ensure that any
review of files, records, or other information maintained by the
Ombudsman program is consistent with the disclosure limitations set
forth in Sec. Sec. 1324.11(e)(3) and 1324.13(e).
(g) State and area plans on aging. The State agency shall integrate
the goals and objectives of the Office into the

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State plan and coordinate the goals and objectives of the Office with
those of other programs established under Title VII of the Act and other
State elder rights, disability rights, and elder justice programs,
including, but not limited to, legal assistance programs provided under
section 306(a)(2)(C) of the Act (42 U.S.C. 3026(a)(2)(C)), to promote
collaborative efforts and diminish duplicative efforts. Where
applicable, the State agency shall require inclusion of goals and
objectives of local Ombudsman entities into area plans on aging.
(h) Elder rights leadership. The State agency shall provide elder
rights leadership. In so doing, it shall require the coordination of
Ombudsman program services with the activities of other programs
authorized by Title VII of the Act, as well as other State and local
entities with responsibilities relevant to the health, safety, well-
being, or rights of older adults, including residents of long-term care
facilities as set forth in Sec. 1324.13(h).
(i) Interference, retaliation, and reprisals. The State agency
shall:
(1) Ensure that it has mechanisms to prohibit and investigate
allegations of interference, retaliation, and reprisals:
(i) By a long-term care facility, other entity, or individual with
respect to any resident, employee, or other person for filing a
complaint with, providing information to, or otherwise cooperating with
any representative of the Office; or
(ii) By a long-term care facility, other entity or individual
against the Ombudsman or representatives of the Office for fulfillment
of the functions, responsibilities, or duties enumerated at Sec. Sec.
1324.13 and 1324.19; and
(2) Provide for appropriate sanctions with respect to interference,
retaliation, and reprisals.
(j) Legal counsel. (1) The State agency shall ensure that:
(i) Legal counsel for the Ombudsman program is adequate, available,
is without conflict of interest (as defined by the State ethical
standards governing the legal profession), and has competencies relevant
to the legal needs of:
(A) The program, in order to provide consultation and/or
representation as needed to assist the Ombudsman and representatives of
the Office in the performance of their official functions,
responsibilities, and duties, including complaint resolution and systems
advocacy. Legal representation, arranged by or with the approval of the
Ombudsman, is provided to the Ombudsman or any representative of the
Office against whom suit or other legal action is brought or threatened
to be brought in connection with the performance of official duties.
(B) Residents, in order to provide consultation and representation
as needed for the Ombudsman program to protect the health, safety,
welfare, and rights of residents.
(ii) The Ombudsman and representatives of the Office assist
residents in seeking administrative, legal, and other appropriate
remedies. In so doing, the Ombudsman shall coordinate with the Legal
Assistance Developer, legal services providers, and victim assistance
services to promote the availability of legal counsel to residents.
(2) Such legal counsel may be provided by one or more entities,
depending on the nature of the competencies and services needed and as
necessary to avoid conflicts of interest (as defined by the State
ethical standards governing the legal profession). At a minimum, the
Office shall have access to an attorney knowledgeable about the Federal
and State laws protecting the rights of residents and governing long-
term care facilities.
(3) Legal representation of the Ombudsman program by the Ombudsman
or representative of the Office who is a licensed attorney shall not by
itself constitute sufficiently adequate legal counsel.
(4) The communications between the Ombudsman and their legal counsel
are subject to attorney-client privilege.
(k) Fiscal management. The State agency shall ensure that:
(1) The Ombudsman receives notification of all sources of funds
received by the State agency that are allocated or appropriated to the
Ombudsman program and provides information on any requirements of the
funds, and the Ombudsman is supported in their determination of the use
of funds;

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(2) The Ombudsman has full authority to determine the use of fiscal
resources appropriated or otherwise available for the operation of the
Office;
(3) Where local Ombudsman entities are designated, the Ombudsman
approves the allocations of Federal and State funds to such entities,
prior to any distribution of such funds, subject to applicable Federal
and State laws and policies; and
(4) The Ombudsman determines that program budgets and expenditures
of the Office and local Ombudsman entities are consistent with laws,
policies, and procedures governing the Ombudsman program.
(l) State agency requirements of the Office. The State agency shall
require the Office to:
(1) Develop and provide final approval of an annual report as set
forth in section 712(h)(1) of the Act (42 U.S.C. 3058g(h)(1)) and Sec.
1324.13(g) and as otherwise required by the Assistant Secretary for
Aging;
(2) Analyze, comment on, and monitor the development and
implementation of Federal, State, and local laws, regulations, and other
government policies and actions that pertain to long-term care
facilities and services, and to the health, safety, welfare, and rights
of residents, in the State, and recommend any changes in such laws,
regulations, and policies as the Office determines to be appropriate;
(3) Provide such information as the Office determines to be
necessary to public and private agencies, legislators, the media, and
other persons, regarding the problems and concerns of individuals
residing in long-term care facilities; and recommendations related to
such problems and concerns;
(4) Establish procedures for the training of the representatives of
the Office, as set forth in Sec. 1324.13(c)(2); and
(5) Coordinate Ombudsman program services with entities with
responsibilities relevant to the health, safety, welfare, and rights of
residents of long-term care facilities, as set forth in Sec.
1324.13(h).

Sec. 1324.17 Responsibilities of agencies hosting local Ombudsman entities.

(a) The agency in which a local Ombudsman entity is organizationally
located shall be responsible for the personnel management, but not the
programmatic oversight, of representatives, including employee and
volunteer representatives, of the Office.
(b) The agency in which a local Ombudsman entity is organizationally
located shall not have personnel policies or practices which prohibit
the representatives of the Office from performing the duties, or from
adhering to the access, confidentiality, and disclosure requirements of
section 712 of the Act (42 U.S.C. 3058g), as implemented through this
rule and the policies and procedures of the Office.
(1) Policies, procedures, and practices, including personnel
management practices of the host agency, which the Ombudsman determines
conflict with the laws or policies governing the Ombudsman program shall
be sufficient grounds for the refusal, suspension, or removal of the
designation of local Ombudsman entity by the Ombudsman.
(2) Nothing in this provision shall prohibit the host agency from
requiring that the representatives of the Office adhere to the personnel
policies and procedures of the agency which are otherwise lawful.

Sec. 1324.19 Duties of the representatives of the Office.

In carrying out the duties of the Office, the Ombudsman may
designate an entity as a local Ombudsman entity and may designate an
employee or volunteer of the local Ombudsman entity as a representative
of the Office. Representatives of the Office may also be designated
employees or volunteers within the Office.
(a) Duties. An individual so designated as a representative of the
Office shall, in accordance with the policies and procedures established
by the Office and the State agency:
(1) Identify, investigate, and resolve complaints made by or on
behalf of residents that relate to action, inaction, or decisions, that
may adversely affect the health, safety, welfare, or rights of the
residents;

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(2) Provide services to protect the health, safety, welfare, and
rights of residents;
(3) Ensure that residents in the service area of the local Ombudsman
entity have regular and timely access to the services provided through
the Ombudsman program and that residents and complainants receive timely
responses to requests for information and complaints;
(4) Represent the interests of residents before government agencies
and assure that individual residents have access to, and pursue (as the
representative of the Office determines necessary and consistent with
resident interest) administrative, legal, and other remedies to protect
the health, safety, welfare, and rights of the residents;
(5)(i) Review, and if necessary, comment on any existing and
proposed laws, regulations, and other government policies and actions,
that pertain to the rights and well-being of residents;
(ii) Facilitate the ability of the public to comment on the laws,
regulations, policies, and actions.
(6) Promote, provide technical support for the development of, and
provide ongoing support as requested by resident and family councils;
and
(7) Carry out other activities that the Ombudsman determines to be
appropriate and are consistent with the functions of the State Long-Term
Care Ombudsman Program as authorized by the Older Americans Act.
(b) Complaint processing. (1) With respect to identifying,
investigating, and resolving complaints, and regardless of the source of
the complaint (i.e., complainant), the Ombudsman and the representatives
of the Office serve the resident of a long-term care facility. The
Ombudsman or representative of the Office shall investigate a complaint,
including but not limited to a complaint related to abuse, neglect, or
exploitation, for the purposes of resolving the complaint to the
resident's satisfaction and of protecting the health, welfare, and
rights of the resident. The Ombudsman or representative of the Office
may identify, investigate, and resolve a complaint impacting multiple
residents or all residents of a facility.
(2) Regardless of the source of the complaint (i.e., the
complainant), including when the source is the Ombudsman or
representative of the Office, the Ombudsman or representative of the
Office must support and maximize resident participation in the process
of resolving the complaint as follows:
(i) The Ombudsman or representative of the Office shall offer
privacy to the resident for the purpose of confidentially providing
information and hearing, investigating, and resolving complaints.
(ii) The Ombudsman or representative of the Office shall discuss the
complaint with the resident (and, if the resident is unable to
communicate informed consent, the resident's representative) in order
to:
(A) Determine the perspective of the resident (or resident
representative, where applicable) of the complaint;
(B) Request the resident (or resident representative, where
applicable) to communicate informed consent in order to investigate the
complaint;
(C) Determine the wishes of the resident (or resident
representative, where applicable) with respect to resolution of the
complaint, including whether the allegations are to be reported and, if
so, whether the Ombudsman or representative of the Office may disclose
resident identifying information or other relevant information to the
facility and/or appropriate agencies. Such report and disclosure shall
be consistent with paragraph (b)(3) of this section;
(D) Advise the resident (and resident representative, where
applicable) of the resident's rights;
(E) Work with the resident (or resident representative, where
applicable) to develop a plan of action for resolution of the complaint;
(F) Investigate the complaint to determine whether the complaint can
be verified; and
(G) Determine whether the complaint is resolved to the satisfaction
of the resident (or resident representative, where applicable).
(iii) Where the resident is unable to communicate informed consent,
and has no resident representative, the Ombudsman or representative of
the Office shall:

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(A) Take appropriate steps to investigate and work to resolve the
complaint in order to protect the health, safety, welfare and rights of
the resident; and
(B) Determine whether the complaint was resolved to the satisfaction
of the complainant.
(iv) In determining whether to rely upon a resident representative
to communicate or make determinations on behalf of the resident related
to complaint processing, the Ombudsman or representative of the Office
shall ascertain the extent of the authority that has been granted to the
resident representative under court order (in the case of a guardian or
conservator), by power of attorney or other document by which the
resident has granted authority to the representative, or under other
applicable State or Federal law.
(3) The Ombudsman or representative of the Office may provide
information regarding the complaint to another agency in order for such
agency to substantiate the facts for regulatory, protective services,
law enforcement, or other purposes so long as the Ombudsman or
representative of the Office adheres to the disclosure requirements of
section 712(d) of the Act (42 U.S.C. 3058g(d)) and the procedures set
forth in Sec. 1324.11(e)(3).
(i) Where the goals of a resident or resident representative are for
regulatory, protective services or law enforcement action, and the
Ombudsman or representative of the Office determines that the resident
or resident representative has communicated informed consent to the
Office, the Office must assist the resident or resident representative
in contacting the appropriate agency and/or disclose the information for
which the resident has provided consent to the appropriate agency for
such purposes.
(ii) Where the goals of a resident or resident representative can be
served by disclosing information to a facility representative and/or
referrals to an entity other than those referenced in paragraph
(b)(3)(i) of this section, and the Ombudsman or representative of the
Office determines that the resident or resident representative has
communicated informed consent to the Ombudsman program, the Ombudsman or
representative of the Office may assist the resident or resident
representative in contacting the appropriate facility representative or
the entity, provide information on how a resident or representative may
obtain contact information of such facility representatives or entities,
and/or disclose the information for which the resident has provided
consent to an appropriate facility representative or entity, consistent
with Ombudsman program procedures.
(iii) In order to comply with the wishes of the resident, (or, in
the case where the resident is unable to communicate informed consent,
the wishes of the resident representative), the Ombudsman and
representatives of the Office shall not report suspected abuse, neglect
or exploitation of a resident when a resident or resident representative
has not communicated informed consent to such report except as set forth
in paragraphs (b)(5) through (7) of this section, notwithstanding State
laws to the contrary.
(4) For purposes of paragraphs (b)(1) through (3) of this section,
communication of informed consent may be made in writing, including
through the use of auxiliary aids and services. Alternatively,
communication may be made orally or visually, including through the use
of auxiliary aids and services, and such consent must be documented
contemporaneously by the Ombudsman or a representative of the Office, in
accordance with the procedures of the Office.
(5) For purposes of paragraphs (b)(1) through (3) of this section,
if a resident is unable to communicate their informed consent, or
perspective on the extent to which the matter has been satisfactorily
resolved, the Ombudsman or representative of the Office may rely on the
communication by a resident representative of informed consent and/or
perspective regarding the resolution of the complaint if the Ombudsman
or representative of the Office has no reasonable cause to believe that
the resident representative is not acting in the best interests of the
resident.
(6) For purposes of paragraphs (b)(1) through (3) of this section,
the procedures for disclosure, as required by Sec. 1324.11(e)(3), shall
provide that the

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Ombudsman or representative of the Office may refer the matter and
disclose resident-identifying information to the appropriate agency or
agencies for regulatory oversight; protective services; access to
administrative, legal, or other remedies; and/or law enforcement action
in the following circumstances:
(i) The resident is unable to communicate informed consent to the
Ombudsman or representative of the Office;
(ii) The resident has no resident representative;
(iii) The Ombudsman or representative of the Office has reasonable
cause to believe that an action, inaction, or decision may adversely
affect the health, safety, welfare, or rights of the resident;
(iv) The Ombudsman or representative of the Office has no evidence
indicating that the resident would not wish a referral to be made;
(v) The Ombudsman or representative of the Office has reasonable
cause to believe that it is in the best interest of the resident to make
a referral; and
(vi) The representative of the Office obtains the approval of the
Ombudsman or otherwise follows the policies and procedures of the Office
described in paragraph (b)(9) of this section.
(7) For purposes of paragraphs (b)(1) through (3) of this section,
the procedures for disclosure, as required by Sec. 1324.11(e)(3), shall
provide that, the Ombudsman or representative of the Office may refer
the matter and disclose resident-identifying information to the
appropriate agency or agencies for regulatory oversight; protective
services; access to administrative, legal, or other remedies; and/or law
enforcement action in the following circumstances:
(i) The resident is unable to communicate informed consent to the
Ombudsman or representative of the Office and the Ombudsman or
representative of the Office has reasonable cause to believe that the
resident representative has taken an action, inaction or decision that
may adversely affect the health, safety, welfare, or rights of the
resident;
(ii) The Ombudsman or representative of the Office has no evidence
indicating that the resident would not wish a referral to be made;
(iii) The Ombudsman or representative of the Office has reasonable
cause to believe that it is in the best interest of the resident to make
a referral; and
(iv) The representative of the Office obtains the approval of the
Ombudsman.
(8) The procedures for disclosure, as required by Sec.
1324.11(e)(3), shall provide that, if the Ombudsman or representative of
the Office personally witnesses suspected abuse, gross neglect, or
exploitation of a resident, the Ombudsman or representative of the
Office shall seek communication of informed consent from such resident
to disclose resident-identifying information to appropriate agencies.
(i) Where such resident is able to communicate informed consent, or
has a resident representative available to provide informed consent, the
Ombudsman or representative of the Office shall follow the direction of
the resident or resident representative as set forth in paragraphs
(b)(1) through (3) of this section; and
(ii) Where the resident is unable to communicate informed consent,
and has no resident representative available to provide informed
consent, the Ombudsman or representative of the Office shall open a case
with the Ombudsman or representative of the Office as the complainant,
follow the Ombudsman program's complaint resolution procedures, and
shall refer the matter and disclose identifying information of the
resident to the management of the facility in which the resident resides
and/or to the appropriate agency or agencies for substantiation of
abuse, gross neglect or exploitation in the following circumstances:
(A) The Ombudsman or representative of the Office has no evidence
indicating that the resident would not wish a referral to be made;
(B) The Ombudsman or representative of the Office has reasonable
cause to believe that disclosure would be in the best interest of the
resident; and
(C) The representative of the Office obtains the approval of the
Ombudsman or otherwise follows the policies and procedures of the Office
described in paragraph (b)(9) of this section.

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(iii) In addition, the Ombudsman or representative of the Office,
following the policies and procedures of the Office described in
paragraph (b)(9) of this section, may report the suspected abuse, gross
neglect, or exploitation to other appropriate agencies for regulatory
oversight; protective services; access to administrative, legal, or
other remedies; and/or law enforcement action.
(9) Prior to disclosing resident-identifying information pursuant to
paragraph (b)(6) or (8) of this section, a representative of the Office
must obtain approval by the Ombudsman or, alternatively, follow policies
and procedures of the Office which provide for such disclosure.
(i) Where the policies and procedures require Ombudsman approval,
they shall include a time frame in which the Ombudsman is required to
communicate approval or disapproval in order to assure that the
representative of the Office has the ability to promptly take actions to
protect the health, safety, welfare or rights of residents.
(ii) Where the policies and procedures do not require Ombudsman
approval prior to disclosure, they shall require that the representative
of the Office promptly notify the Ombudsman of any disclosure of
resident-identifying information under the circumstances set forth in
paragraph (b)(6) or (8) of this section.
(iii) Disclosure of resident-identifying information under paragraph
(b)(7) of this section shall require Ombudsman approval.

Sec. 1324.21 Conflicts of interest.

The State agency and the Ombudsman shall consider both the
organizational and individual conflicts of interest that may impact the
effectiveness and credibility of the work of the Office. In so doing,
both the State agency and the Ombudsman shall be responsible to identify
actual and potential conflicts and, where a conflict has been
identified, to remove or remedy such conflict as set forth in paragraphs
(b) and (d) of this section.
(a) Identification of organizational conflicts. In identifying
conflicts of interest pursuant to section 712(f) of the Act (42 U.S.C.
3058g(f)), the State agency and the Ombudsman shall consider the
organizational conflicts that may impact the effectiveness and
credibility of the work of the Office. Organizational conflicts of
interest include, but are not limited to, placement of the Office, or
requiring that an Ombudsman or representative of the Office perform
conflicting activities, in an organization that:
(1) Is responsible for licensing, surveying, or certifying long-term
care services, including facilities;
(2) Is an association (or an affiliate of such an association) of
long-term care facilities, or of any other residential facilities for
older individuals or individuals with disabilities;
(3) Has any ownership or investment interest (represented by equity,
debt, or other financial relationship) in, or receives grants or
donations from, a long-term care facility;
(4) Has governing board members with any ownership, investment, or
employment interest in long-term care facilities;
(5) Provides long-term care to residents of long-term care
facilities, including the provision of personnel for long-term care
facilities or the operation of programs which control access to or
services for long-term care facilities;
(6) Provides long-term care services, including programs carried out
under a Medicaid waiver approved under section 1115 of the Social
Security Act (42 U.S.C. 1315) or under subsection (b) or (c) of section
1915 of the Social Security Act (42 U.S.C. 1396n), or under a Medicaid
State plan under section 1905(a) or subsection (i), (j), or (k) of
section 1915 of the Social Security Act (42 U.S.C. 1396d(a); 42 U.S.C.
1396n(i)-(k));
(7) Provides long-term care coordination or case management,
including for residents of long-term care facilities;
(8) Sets reimbursement rates for long-term care facilities;
(9) Sets reimbursement rates for long-term care services;
(10) Provides adult protective services;
(11) Is responsible for eligibility determinations for the Medicaid
program carried out under title XIX of the Social Security Act (42
U.S.C. 1396-1396v);

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(12) Is responsible for eligibility determinations regarding
Medicaid or other public benefits for residents of long-term care
facilities;
(13) Conducts preadmission screening for long-term care facility
admission;
(14) Makes decisions regarding admission or discharge of individuals
to or from long-term care facilities; or
(15) Provides guardianship, conservatorship or other fiduciary or
surrogate decision-making services for residents of long-term care
facilities.
(b) Removing or remedying organizational conflicts. The State agency
and the Ombudsman shall identify and take steps to remove or remedy
conflicts of interest between the Office and the State agency or other
agency carrying out the Ombudsman program.
(1) The Ombudsman shall identify organizational conflicts of
interest in the Ombudsman program and describe steps taken to remove or
remedy conflicts within the annual report submitted to the Assistant
Secretary for Aging through the National Ombudsman Reporting System.
(2) Where the Office is located within or otherwise organizationally
attached to the State agency, the State agency shall:
(i) Take reasonable steps to avoid internal conflicts of interest;
(ii) Establish a process for review and identification of internal
conflicts;
(iii) Take steps to remove or remedy conflicts;
(iv) Ensure that no individual, or member of the immediate family of
an individual, involved in designating, appointing, otherwise selecting,
or terminating the Ombudsman is subject to a conflict of interest; and
(v) Assure that the Ombudsman has disclosed such conflicts and
described steps taken to remove or remedy conflicts within the annual
report submitted to the Assistant Secretary for Aging through the
National Ombudsman Reporting System.
(3) Where a State agency is unable to adequately remove or remedy a
conflict, it shall carry out the Ombudsman program by contract or other
arrangement with a public agency or nonprofit private organization,
pursuant to section 712(a)(4) of the Act (42 U.S.C. 3058g(a)(4)). The
State agency may not enter into a contract or other arrangement to carry
out the Ombudsman program if the other entity, and may not operate the
Office directly if it:
(i) Is responsible for licensing, surveying, or certifying long-term
care facilities;
(ii) Is an association (or an affiliate of such an association) of
long-term care facilities, or of any other residential facilities for
older individuals or individuals with disabilities; or
(iii) Has any ownership, operational, or investment interest
(represented by equity, debt, or other financial relationship) in a
long-term care facility.
(4) Where the State agency carries out the Ombudsman program by
contract or other arrangement with a public agency or nonprofit private
organization, pursuant to section 712(a)(4) of the Act (42 U.S.C.
3058g(a)(4)), the State agency shall:
(i) Prior to contracting or making another arrangement, take
reasonable steps to avoid conflicts of interest in such agency or
organization which is to carry out the Ombudsman program and to avoid
conflicts of interest in the State agency's oversight of the contract or
arrangement;
(ii) Establish a process for periodic review and identification of
conflicts;
(iii) Establish criteria for approval of steps taken by the agency
or organization to remedy or remove conflicts;
(iv) Require that such agency or organization have a process in
place to:
(A) Take reasonable steps to avoid conflicts of interest; and
(B) Disclose identified conflicts and steps taken to remove or
remedy conflicts to the State agency for review and approval.
(5) Where an agency or organization carrying out the Ombudsman
program by contract or other arrangement develops a conflict and is
unable to adequately remove or remedy a conflict, the State agency shall
either operate the Ombudsman program directly or by contract or other
arrangement with another public agency or nonprofit private
organization.
(6) Where local Ombudsman entities provide ombudsman services, the
Ombudsman shall:
(i) Prior to designating or renewing designation, take reasonable
steps to

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avoid conflicts of interest in any agency which may host a local
Ombudsman entity;
(ii) Establish a process for periodic review and identification of
conflicts of interest with the local Ombudsman entity in any agencies
hosting a local Ombudsman entity;
(iii) Require that such agencies disclose identified conflicts of
interest with the local Ombudsman entity and steps taken to remove or
remedy conflicts within such agency to the Ombudsman;
(iv) Establish criteria for approval of steps taken to remedy or
remove conflicts in such agencies; and
(v) Establish a process for review of and criteria for approval of
plans to remove or remedy conflicts with the local Ombudsman entity in
such agencies.
(7) Failure of an agency hosting a local Ombudsman entity to
disclose a conflict to the Office or inability to adequately remove or
remedy a conflict shall constitute grounds for refusal, suspension, or
removal of designation of the local Ombudsman entity by the Ombudsman.
(c) Identifying individual conflicts of interest. (1) In identifying
conflicts of interest pursuant to section 712(f) of the Act (42 U.S.C.
3058g(f)), the State agency and the Ombudsman shall consider individual
conflicts that may impact the effectiveness and credibility of the work
of the Office.
(2) Individual conflicts of interest for an Ombudsman,
representatives of the Office, and members of their immediate family
include, but are not limited to:
(i) Direct involvement in the licensing or certification of a long-
term care facility or of a provider of a long-term care service;
(ii) Ownership, operational, or investment interest (represented by
equity, debt, or other financial relationship) in an existing or
proposed long-term care facility or a long-term care service;
(iii) Employment of an individual by, or participation in the
management of, a long-term care facility or a related organization, in
the service area or by the owner or operator of any long-term care
facility in the service area;
(iv) Receipt of, or right to receive, directly or indirectly,
remuneration (in cash or in kind) under a compensation arrangement with
an owner or operator of a long-term care facility;
(v) Accepting gifts or gratuities of significant value from a long-
term care facility or its management, a resident, or a resident
representative of a long-term care facility in which the Ombudsman or
representative of the Office provides services (except where there is a
personal relationship with a resident or resident representative which
is separate from the individual's role as Ombudsman or representative of
the Office);
(vi) Accepting money or any other consideration from anyone other
than the Office, or an entity approved by the Ombudsman, for the
performance of an act in the regular course of the duties of the
Ombudsman or the representatives of the Office without Ombudsman
approval;
(vii) Serving as guardian, conservator or in another fiduciary or
surrogate decision-making capacity for a resident of a long-term care
facility in which the Ombudsman or representative of the Office provides
services;
(viii) Serving residents of a facility in which an immediate family
member resides;
(ix) Management responsibility for, or operating under the
supervision of, an individual with management responsibility for, adult
protective services; and
(x) Serving as a guardian or in another fiduciary capacity for
residents of long-term care facilities in an official capacity (as
opposed to serving as a guardian or fiduciary for a family member, in a
personal capacity).
(d) Removing or remedying individual conflicts. (1) The State agency
or Ombudsman shall develop and implement policies and procedures,
pursuant to Sec. 1324.11(e)(4), to ensure that no Ombudsman or
representatives of the Office are required or permitted to hold
positions or perform duties that would constitute a conflict of interest
as set forth in Sec. 1324.21(c). This rule does not prohibit a State
agency or Ombudsman from having policies or procedures that exceed these
requirements.

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(2) When considering the employment or appointment of an individual
as the Ombudsman or as a representative of the Office, the State agency
or other employing or appointing entity shall:
(i) Take reasonable steps to avoid employing or appointing an
individual who has an unremedied conflict of interest or who has a
member of the immediate family with an unremedied conflict of interest;
(ii) Take reasonable steps to avoid assigning an individual to
perform duties which would constitute an unremedied conflict of
interest;
(iii) Establish a process for periodic review and identification of
conflicts of the Ombudsman and representatives of the Office; and
(iv) Take steps to remove or remedy conflicts.
(3) In no circumstance shall the entity, which appoints or employs
the Ombudsman, appoint or employ an individual as the Ombudsman who:
(i) Has direct involvement in the licensing or certification of a
long-term care facility;
(ii) Has an ownership or investment interest (represented by equity,
debt, or other financial relationship) in a long-term care facility.
Divestment within a reasonable period may be considered an adequate
remedy to this conflict;
(iii) Has been employed by or participated in the management of a
long-term care facility within the previous twelve months; and
(iv) Receives, or has the right to receive, directly or indirectly,
remuneration (in cash or in kind) under a compensation arrangement with
an owner or operator of a long-term care facility.
(4) In no circumstance shall the State agency, other agency which
carries out the Office, or an agency hosting a local Ombudsman entity
appoint or employ an individual, nor shall the Ombudsman designate an
individual, as a representative of the Office who:
(i) Has direct involvement in the licensing or certification of a
long-term care facility;
(ii) Has an ownership or investment interest (represented by equity,
debt, or other financial relationship) in a long-term care facility.
Divestment within a reasonable period may be considered an adequate
remedy to this conflict;
(iii) Receives, directly or indirectly, remuneration (in cash or in
kind) under a compensation arrangement with an owner or operator of a
long-term care facility; or
(iv) Is employed by, or participating in the management of, a long-
term care facility.
(A) An agency which appoints or employs representatives of the
Office shall make efforts to avoid appointing or employing an individual
as a representative of the Office who has been employed by or
participated in the management of a long-term care facility within the
previous twelve months.
(B) Where such individual is appointed or employed, the agency shall
take steps to remedy the conflict.

Subpart B_Programs for Prevention of Elder Abuse, Neglect, and
Exploitation

Sec. 1324.201 State agency responsibilities for the prevention of
elder abuse, neglect, and exploitation.

(a) In accordance with Title VII, chapter 3 of the Act, the
distribution of Federal funds to the State agency on aging by formula is
authorized to carry out activities to develop, strengthen, and carry out
programs for the prevention, detection, assessment, and treatment of,
intervention in, investigation of, and response to elder abuse, neglect,
and exploitation.
(b) All programs using these funds must meet requirements as set
forth in the Act, including those of section 721(c), (d), (e) (42 U.S.C.
3058i(c)-(e)) and guidance as set forth by the Assistant Secretary for
Aging.

Subpart C_State Legal Assistance Development

Sec. 1324.301 Definitions.

(a) Definitions as set forth in Sec. 1321.3 of this chapter apply
to this part.
(b) Terms used, but not otherwise defined in this part will have the
meanings ascribed to them in the Act.

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Sec. 1324.303 Legal Assistance Developer.

(a) State Legal Assistance Developer. In accordance with section 731
of the Act (42 U.S.C. 3058j), the State agency shall designate an
individual who shall be known as a State Legal Assistance Developer, and
other personnel, sufficient to ensure:
(1) State leadership in securing and maintaining the legal rights of
older individuals;
(2) State capacity for coordinating the provision of legal
assistance, in accordance with section 102(23) and (24) and consistent
with section 102(33) of the Act (42 U.S.C. 3002(23), (24), (33)), to
include prioritizing such services provided to individuals with greatest
economic need, or greatest social need;
(3) State capacity to provide technical assistance, training, and
other supportive functions to area agencies on aging, legal assistance
providers, Long-Term Care Ombudsman programs, adult protective services,
and other service providers under the Act;
(i) The Legal Assistance Developer shall utilize the trainings, case
consultations, and technical assistance provided by the support and
technical assistance entity established pursuant to section 420(c) of
the Act (42 U.S.C. 3032i(c)).
(ii) [Reserved]
(4) State capacity to promote financial management services to older
individuals at risk of guardianship, conservatorship, or other fiduciary
proceedings;
(i) In so doing, the Legal Assistance Developer shall take into
consideration promotion of activities to increase awareness of and
access to self-directed financial management services and legal
assistance and;
(ii) The Legal Assistance Developer shall also take into
consideration promotion of activities that proactively enable older
adults and those they designate as decisional supporters through powers
of attorney, health care proxies, supported decision making and similar
instruments or approaches to be connected to resources and education to
manage their finances and the decisions they make about their lives so
as to limit their risk for guardianship, conservatorship, or more
restrictive fiduciary proceedings.
(5) State capacity to assist older individuals in understanding
their rights, exercising choices, benefiting from services and
opportunities authorized by law, and maintaining the rights of older
individuals at risk of guardianship, conservatorship, or other fiduciary
proceedings;
(i) In so doing, the Legal Assistance Developer shall take into
consideration engaging in activities aimed at preserving an individual's
rights or autonomy, including, but not limited to, increasing awareness
of and access to least-restrictive alternatives to guardianship,
conservatorship, or more restrictive fiduciary proceedings, such as
supported decision making, and legal assistance;
(ii) In so doing, the Legal Assistance Developer shall adhere to the
restrictions contained in section 321(a)(6)(B)(i) of the Act (42 U.S.C.
3030d(a)(6)(B)(i)) regarding the involvement of legal assistance
providers in guardianship proceedings, and shall apply these
restrictions to conservatorship and other fiduciary proceedings;
(iii) In undertaking this activity, the Legal Assistance Developer
shall take into consideration coordination of efforts with legal
assistance providers funded under the Act contracted by area agencies on
aging, any Bar Association Elder Law section, and other elder rights or
entities active in the State.
(6) State capacity to improve the quality and quantity of legal
services provided to older individuals.
(b) State plan. The activities designated by the State agency for
the Legal Assistance Developer, in accordance with paragraphs (a)(1)
through (6) of this section, shall be contained in the State plan, per
section 307 of the Act (42 U.S.C. 3027) and as set forth in Sec.
1321.27 of this chapter.
(c) Knowledge, resources, and capacity. The State agency shall
ensure that the Legal Assistance Developer has the knowledge, resources,
and capacity to conduct the activities outlined in paragraph (a) of this
section.
(d) Conflicts of interest. (1) In designating a Legal Assistance
Developer, the State agency shall consider any potential conflicts of
interest posed by any candidate for the role, and take

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steps to prevent, remedy, or remove such conflicts of interest.
(2) In designating a Legal Assistance Developer, the State agency
shall consider both organizational and individual interests that may
impact the effectiveness and credibility of the work of the Legal
Assistance Developer to coordinate legal assistance and work to secure,
protect, and promote the legal rights of older adults in the State.
(i) This includes holding a position or performing duties that could
lead to decisions that are or have the appearance of being contrary to
the Legal Assistance Developer's duties as defined in this section and
contained in the State plan as set forth in Sec. 1321.27 of this
chapter.
(ii) [Reserved]
(3) The State agency shall not designate as Legal Assistance
Developer any individual who is:
(i) Serving as a director of adult protective services, or as legal
counsel to adult protective services;
(ii) Serving as a State Long-Term Care Ombudsman, or as legal
counsel to a State Long-Term Care Ombudsman Program;
(iii) Serving as a hearing officer, administrative law judge, trier
of fact or counsel to these positions in an administrative proceeding
related to the legal rights of older adults, such as one in which a
legal assistance provider might appear;
(iv) Serving as legal counsel or a party to an administrative
proceeding related to long-term care settings, including residential
settings;
(v) Conducting surveys of and licensure certifications for long-term
care settings, including residential settings, or serving as counsel or
advisor to such positions;
(vi) Serving as a public or private guardian, conservator, or
fiduciary or operating such a program, or serving as counsel to these
positions or programs.
(4) The State agency and the Legal Assistance Developer shall be
responsible for identifying any other actual and potential conflicts of
interest and circumstances that may lead to the appearance of a conflict
of interest; identifying processes for preventing conflicts of interest
and, where a conflict of interest has been identified, for removing or
remedying the conflict.
(5) The State agency shall develop and implement policies and
procedures to ensure that the Legal Assistance Developer is not required
or permitted to hold positions or perform duties that would constitute a
conflict of interest.

Subpart D_Adult Protective Services Programs

Authority: 42 U.S.C. 3011(e)(3); 42 U.S.C. 1397m-1.

Source: 89 FR 39528, May 8, 2024, unless otherwise noted.

Sec. 1324.400 Eligibility for funding.

State entities are required to adhere to all provisions contained
herein to be eligible for funding under 42 U.S.C. 1397m-1(b).

Sec. 1324.401 Definitions.

As used in this part, the term--
Abuse means the knowing infliction of physical or psychological harm
or the knowing deprivation of goods or services that are necessary to
meet essential needs or to avoid physical or psychological harm.
Adult means older adults and adults with disabilities as defined by
State APS laws.
Adult maltreatment means the abuse, neglect, financial exploitation,
or sexual abuse of an adult at-risk of harm.
Adult Protective Services (APS) means such activities and services
the Assistant Secretary for Aging may specify in guidance and includes:
(1) Receiving reports of adult abuse, neglect, financial
exploitation, sexual abuse, and/or self-neglect;
(2) Investigating the reports described in paragraph (1) of this
definition;
(3) Case planning, monitoring, evaluation, and other case work and
services, and;
(4) Providing, arranging for, or facilitating the provision of
medical, social services, economic, legal, housing, law enforcement, or
other protective, emergency, or supportive services.
Adult Protective Services Program means local Adult Protective
Services

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providers within an Adult Protective Services system.
Adult Protective Services Systems means the totality of the State
entities and the local APS programs.
Allegation means an accusation of adult maltreatment and/or self-
neglect about each adult in a report made to APS.
At risk of harm means the strong likelihood that an adult will
imminently experience an event, condition, injury, or other outcome that
is adverse or detrimental.
Assistant Secretary for Aging means the position identified in
section 201(a) of the Older Americans Act (OAA), 42 U.S.C. 3002(7).
Case means all activities related to an APS investigation of, and
response to, an allegation of adult maltreatment and/or self-neglect.
Client means an adult who is the subject of an APS response
regarding a report of alleged adult maltreatment and/or self-neglect.
Conflict of interest means a situation that interferes with a
program or program employee or representative's ability to provide
objective information or act in the best interests of the adult.
Dual relationship means a relationship in which an APS worker
assumes one or more professional, personal, or volunteer roles in
addition to their role as an APS worker at the same time, or
sequentially, with a client.
Emergency Protective Action means immediate access to petition the
court for temporary or emergency orders or emergency out-of-home
placement.
Financial exploitation means the fraudulent or otherwise illegal,
unauthorized, or improper act or process of a person, including a
caregiver or fiduciary, that uses the resources of an adult for monetary
or personal benefit, profit, or gain, or that results in depriving an
adult of rightful access to, or use of, their benefits, resources,
belongings, or assets.
Finding means the decision made by APS after investigation that
evidence is or is not sufficient under State law to determine adult
maltreatment and/or self-neglect has occurred.
Intake or Pre-Screening means the APS process of receiving
allegations of adult maltreatment or self-neglect and gathering
information on the reports, the alleged victim, and the alleged
perpetrator.
Investigation means the process by which APS examines and gathers
information about a possible allegation of adult maltreatment and/or
self-neglect to determine if the circumstances of the allegation meet
the State's standards of evidence for a finding.
Mandated reporter means someone who works with an adult in the
course of their professional duties and who is required by State law to
report suspected adult maltreatment or self-neglect to APS.
Neglect means the failure of a caregiver or fiduciary to provide the
goods or services that are necessary to maintain the health and/or
safety of an adult.
Perpetrator means the person determined by APS to be responsible for
one or more instances of adult maltreatment.
Quality assurance means the process by which APS programs ensure
investigations meet or exceed established standards, and includes:
(1) Thorough documentation of all investigation and case management
activities;
(2) Review and approval of case closure; and
(3) Conducting a case review process.
Report means a formal account or statement made to APS regarding an
allegation or multiple allegations of adult maltreatment and/or self-
neglect and the relevant circumstances concerning the allegation or
allegations.
Response means the range of actions and activities undertaken as the
result of a report received by APS.
Screening means a process whereby APS carefully reviews the intake
information to determine if the report of adult maltreatment meets the
minimum requirements to be opened for investigation by APS, or if the
report should be referred to a service or program other than APS.
Self-neglect means a serious risk of imminent harm to oneself or
other created by an adult's inability, due to a

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physical or mental impairment or diminished capacity, to perform
essential self-care tasks, including at least one of the following:
(1) Obtaining essential food, clothing, shelter, and medical care;
(2) Obtaining goods and services necessary to maintain physical
health, mental health, or general safety; or,
(3) Managing one's own financial affairs.
Sexual abuse means the non-consensual sexual interaction (touching
and non-touching acts) of any kind with an adult.
State entity means the unit or units of State, District of Columbia,
or U.S. Territorial government designated as responsible for APS
programs, including through the establishment and enforcement of
policies and procedures, and that receive(s) Federal grant funding under
section 2042(b) of the EJA, 42 U.S.C. 1397m-1(b).
Victim means an adult who has experienced adult maltreatment.

Sec. 1324.402 Program administration.

(a) The State entity shall establish definitions for APS systems
that:
(1) Define the populations eligible for APS;
(2) Define the specific elements of adult maltreatment and self-
neglect that render an adult eligible for APS;
(3) Define the alleged perpetrators who are subject to APS
investigations in the State; and
(4) Define the settings and locations in which adults may experience
adult maltreatment and self-neglect and be eligible for APS in the
State.
(5) State entities are not required to uniformly adopt the
regulatory definitions in Sec. 1324.401, but State definitions may not
narrow the scope of adults eligible for APS or services provided.
(b) The State entity shall create, publish, and implement policies
and procedures for APS systems to receive and respond to reports of
adult maltreatment and self-neglect in a standardized fashion. Such
policies and procedures, at a minimum, shall:
(1) Incorporate principles of person-directed services and planning
and reliance upon least restrictive alternatives; and
(2) Define processes for receiving, screening, prioritizing, and
referring cases based on risk and type of adult maltreatment and self-
neglect consistent with Sec. 1324.403, including:
(i) Creation of at least a two-tiered response system for initial
contact with the alleged victim based on immediate risk of death,
irreparable harm, or significant loss of income, assets, or resources.
(A) For immediate risk, the response should occur in person and no
later than 24-four hours after receiving a report of adult maltreatment
and/or self-neglect.
(B) For non-immediate risk, response should occur no more than 7
calendar days after receiving a report of adult maltreatment and/or
self-neglect.
(c) Upon first contact, APS systems shall provide to potential APS
clients an explanation of their APS-related rights to the extent they
exist under State law, including:
(1) The right to confidentiality of personal information;
(2) The right to refuse to speak to APS; and
(3) The right to refuse APS services;
(d) Information shall be provided in a format and language
understandable by the adult, and in alternative formats as needed.
(e) The State entity shall establish policies and procedures for the
staffing of APS systems that include:
(1) Staff training and on-going education, including training on
conflicts of interest; and
(2) Staff supervision.

Sec. 1324.403 APS response.

The State entity shall adopt standardized and systematic policies
and procedures for APS response across and within the State including,
at a minimum:
(a) Screening, triaging, and decision-making criteria or protocols
to review and assign adult maltreatment and self-neglect reports for APS
investigation and/or to report to other authorities;
(b) Tools and/or decision-making processes for APS to review reports
of adult maltreatment and self-neglect for any emergency needs of the
adult

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and for immediate safety and risk factors affecting the adult or APS
worker when responding to the report and;
(c) Practices during investigations to collect information and
evidence to support findings on allegations, and service planning that
will:
(1) Recognize that acceptance of APS services is voluntary, except
where mandated by State law;
(2) Ensure the safety of APS client and worker;
(3) Ensure the preservation of a client's rights;
(4) Integrate principles of person-directedness and trauma-informed
approaches;
(5) Maximize engagement with the APS client, and;
(6) Permit APS the emergency use of APS funds to buy goods and
services;
(7) Permit APS to seek emergency protective action only as
appropriate and necessary as a measure of last resort to protect the
life and safety of the client.
(d) Methods to make findings on allegations and record case
findings, including:
(1) Ability for APS programs to consult with appropriate experts,
other team members, and supervisors;
(2) Protocols for the standards of evidence APS should apply when
making a finding on allegations.
(e) Provision of and/or referral to services, as appropriate, that:
(1) Respect the autonomy and authority of clients to make their own
life choices;
(2) Respect the client's views about safety, quality of life, and
success;
(3) Develop any service plan or referrals in consultation with the
client;
(4) Engage community partners through referrals for services or
purchase of services where services are not directly provided by APS,
and;
(f) Case handling criteria that:
(1) Establish timeframes for on-going review of open cases;
(2) Establish a reasonable length of time by which investigations
should be completed and findings be made; and
(3) Document, at a minimum:
(i) The APS response;
(ii) Significant changes in client status;
(iii) Assessment of safety and risk at case closure; and
(iv) The reason to close the case.

Sec. 1324.404 Conflict of interest.

The State entity shall establish standardized policies and
procedures to avoid both actual and perceived conflicts of interest for
APS. Such policies and procedures must include mechanisms to identify,
remove, and remedy any actual or perceived conflicts of interest at
organizational and individual levels, including to:
(a) Ensure that employees and individuals administering or
representing APS programs, and members of an employee or individual's
immediate family or household, do not have a conflict of interest;
(b) Ensure that employees and individuals administering or
representing APS programs. and members of an employee or individual's
immediate family or household, do not have a personal financial interest
in an entity to which an APS program may refer adults for services;
(c) Establish monitoring and oversight procedures to identify
conflicts of interest; and
(d) Prohibit avoidable dual relationships and ensure that
appropriate safeguards are established should a dual relationship be
unavoidable;
(1) In the case of an APS program petitioning for or serving as
guardian, it is an unavoidable dual relationship only if all less
restrictive alternatives to guardianship have been considered and
either:
(i) A Court has instructed the APS program to petition for or serve
as guardian; or
(ii) There is no other qualified individual or entity available to
petition for or serve as guardian;
(2) For all dual relationships, the APS program must document the
dual relationship in the case record and describe the mitigation
strategies it will take to address the conflict of interest.

Sec. 1324.405 Accepting reports.

(a) The State entity shall establish standardized policies and
procedures for receiving reports of adult maltreatment and self-neglect
24 hours per day,

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7 calendar days per week, using multiple methods of reporting, including
at least one online method, to ensure accessibility.
(b) The State entity shall establish standardized policies and
procedures for APS to accept reports of alleged adult maltreatment and
self-neglect by mandated reporters as defined in Sec. 1324.401 that:
(1) Share with the mandated reporter who made such report to APS
whether a case has been opened as a result of the report at the request
of the mandated reporter; and
(2) Obtain the consent of the adult to share such information prior
to its release.
(c) The State entity shall comply with all applicable State and
Federal confidentiality laws and establish and adhere to standardized
policies and procedures to maintain the confidentiality of adults,
reporters, and information provided in a report.

Sec. 1324.406 Coordination with other entities.

(a) State entities shall establish policies and procedures,
consistent with State law, to ensure coordination and to detect,
prevent, address, and remedy adult maltreatment and self-neglect with
other appropriate entities, including but not limited to:
(1) Other APS programs in the State, including Tribal APS programs,
when authority over APS is divided between different jurisdictions or
agencies;
(2) Other governmental agencies that investigate allegations of
adult maltreatment, including, but not limited to:
(i) The State Medicaid agency, for the purposes of coordination with
respect to critical incidents and other issues;
(ii) State nursing home licensing and certification;
(iii) State department of health and licensing and certification;
and
(iv) Tribal governments;
(3) Law enforcement agencies with jurisdiction to investigate
suspected crimes related to adult maltreatment: State or local police
agencies, Tribal law enforcement, State Medicaid Fraud Control Units,
State securities and financial regulators, Federal financial and
securities enforcement agencies, and Federal law enforcement agencies;
(4) Organizations with authority to advocate on behalf of adults who
experience alleged adult maltreatment, such as the State Long-Term Care
Ombudsman Program, and/or investigate allegations of adult maltreatment,
such as the Protection and Advocacy Systems;
(5) Emergency management systems, and;
(6) Banking and financial institutions.
(b) Policies and procedures must:
(1) Address coordination and collaboration to detect, prevent,
address, and remedy adult maltreatment and self-neglect during all
stages of a response conducted by APS or by other agencies and
organizations with authority and jurisdiction to respond to reports of
adult maltreatment and/or self-neglect;
(2) Address information sharing on the status and resolution of
response between the APS system and other entities responsible in the
State or other jurisdiction for response, to the extent permissible
under applicable State law;
(3) Facilitate information exchanges, quality assurance activities,
cross-training, development of formal multidisciplinary and cross agency
teams, co-location of staff within appropriate agencies through
memoranda of understanding, data sharing agreements, or other less
formal arrangements; and
(4) Address other activities as determined by the State entity.

Sec. 1324.407 APS program performance.

The State entity shall develop policies and procedures for the
collection and maintenance of data on APS system response. The State
entity shall:
(a) Collect and report annually to ACL such APS system-wide data as
required by the Assistant Secretary for Aging; and
(b) Develop policies and procedures to ensure that the APS system
retains individual case data obtained from APS investigations for a
minimum of 5 years.

Sec. 1324.408 State plans.

(a) State entities must develop and submit to the Director of the
Office of Elder Justice and Adult Protective

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Services, the position designated by 42 U.S.C. 3011(e)(1), a State APS
plan that meets the requirements set forth by the Assistant Secretary
for Aging.
(b) The State plan shall be developed by the State entity receiving
the Federal award under 42 U.S.C 1397m-1 in collaboration with APS
programs and other State APS entities, if applicable.
(c) The State plan shall be updated at least every 5 years but may
be updated more frequently as determined by the State entity.
(d) The State plan shall contain an assurance that all policies and
procedures required herein will be developed and adhered to by the State
APS system.
(e) State plans will be reviewed and approved by the Director of the
Office of Elder Justice and Adult Protective Services. Any State
dissatisfied with the final decision of the Director of the Office of
Elder Justice and Adult Protective Services may appeal to the Deputy
Assistant Secretary for Aging not later than 30 calendar days after the
date of the Director of the Office of Elder Justice and Adult Protective
Services' final decision and will be afforded the opportunity for a
hearing before the Deputy Assistant Secretary. If the State is
dissatisfied with the final decision of the Deputy Assistant Secretary
for Aging, it may appeal to the Assistant Secretary for Aging not later
than 30 calendar days after the date of the Deputy Assistant Secretary
for Aging's decision.

PART 1325_REQUIREMENTS APPLICABLE TO THE DEVELOPMENTAL
DISABILITIES PROGRAM--Table of Contents

Sec.
1325.1 General.
1325.2 Purpose of the regulations.
1325.3 Definitions.
1325.4 Rights of individuals with developmental disabilities.
1325.5 [Reserved]
1325.6 Employment of individuals with disabilities.
1325.7 Reports to the Secretary.
1325.8 Formula for determining allotments.
1325.9 Grants administration requirements.

Authority: 42 U.S.C. 15001 et seq.

Source: 80 FR 44807, July 27, 2015, unless otherwise noted.
Redesignated at 81 FR 35645, June 3, 2016.

Sec. 1325.1 General.

Except as specified in Sec. 1325.4, the requirements in this part
are applicable to the following programs and projects:
(a) Federal Assistance to State Councils on Developmental
Disabilities;
(b) Protection and Advocacy for Individuals with Developmental
Disabilities;
(c) Projects of National Significance; and
(d) National Network of University Centers for Excellence in
Developmental Disabilities Education, Research, and Service.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

Sec. 1325.2 Purpose of the regulations.

These regulations implement the Developmental Disabilities
Assistance and Bill of Rights Act of 2000 (42 U.S.C. 15001 et seq.).

Sec. 1325.3 Definitions.

For the purposes of parts 1325 through 1328 of this chapter, the
following definitions apply:
ACL. The term ``ACL'' means the Administration for Community Living
within the U.S. Department of Health and Human Services.
Act. The term ``Act'' means the Developmental Disabilities
Assistance and Bill of Rights Act of 2000 (DD Act of 2000) (42 U.S.C.
15001 et seq.).
Accessibility. The term ``Accessibility'' means that programs funded
under the DD Act of 2000 and facilities which are used in those programs
meet applicable requirements of section 504 of the Rehabilitation Act of
1973 (Pub. L. 93-112), its implementing regulation, 45 CFR part 84, the
Americans with Disabilities Act of 1990, as amended , Title VI of the
Civil Rights Act of 1964 (Pub. L. 88-352), and its implementing
regulation, 45 CFR part 80.
(1) For programs funded under the DD Act of 2000, information shall
be provided to applicants and program participants in plain language and
in a manner that is accessible and timely to:
(i) Individuals with disabilities, including accessible Web sites
and the provision of auxiliary aids and services at no cost to the
individual; and

[[Page 238]]

(ii) Individuals who are limited English proficient through the
provision of language services at no cost to the individual, including:
(A) Oral interpretation;
(B) Written translations; and
(C) Taglines in non-English languages indicating the availability of
language services.
AIDD. The term ``AIDD'' means the Administration on Intellectual and
Developmental Disabilities, within the Administration for Community
Living at the U.S. Department of Health and Human Services.
Advocacy activities. The term ``advocacy activities'' means active
support of policies and practices that promote systems change efforts
and other activities that further advance self-determination and
inclusion in all aspects of community living (including housing,
education, employment, and other aspects) for individuals with
developmental disabilities, and their families.
Areas of emphasis. The term ``areas of emphasis'' means the areas
related to quality assurance activities, education activities and early
intervention activities, child care-related activities, health-related
activities, employment-related activities, housing-related activities,
transportation-related activities, recreation-related activities, and
other services available or offered to individuals in a community,
including formal and informal community supports that affect their
quality of life.
Assistive technology device. The term ``assistive technology
device'' means any item, piece of equipment, or product system, whether
acquired commercially, modified or customized, that is used to increase,
maintain, or improve functional capabilities of individuals with
developmental disabilities.
Assistive technology service. The term ``assistive technology
service'' means any service that directly assists an individual with a
developmental disability in the selection, acquisition, or use of an
assistive technology device. Such term includes: Conducting an
evaluation of the needs of an individual with a developmental
disability, including a functional evaluation of the individual in the
individual's customary environment; purchasing, leasing, or otherwise
providing for the acquisition of an assistive technology device by an
individual with a developmental disability; selecting, designing,
fitting, customizing, adapting, applying, maintaining, repairing or
replacing an assistive technology device; coordinating and using another
therapy, intervention, or service with an assistive technology device,
such as a therapy, intervention, or service associated with an education
or rehabilitation plan or program; providing training or technical
assistance for an individual with a developmental disability, or, where
appropriate, a family member, guardian, advocate, or authorized
representative of an individual with a developmental disability; and
providing training or technical assistance for professionals (including
individuals providing education and rehabilitation services), employers,
or other individuals who provide services to, employ, or are otherwise
substantially involved in the major life functions of, an individual
with developmental disabilities.
Capacity building activities. The term ``capacity building
activities'' means activities (e.g. training and technical assistance)
that expand and/or improve the ability of individuals with developmental
disabilities, families, supports, services and/or systems to promote,
support and enhance self-determination, independence, productivity and
inclusion in community life.
Center. The term ``Center'' means a University Center for Excellence
in Developmental Disabilities Education, Research, and Service (UCEDD)
established under subtitle D of the Act.
Child care-related activities. The term ``child care-related
activities'' means advocacy, capacity building, and systemic change
activities that result in families of children with developmental
disabilities having access to and use of child care services, including
before-school, after-school, and out-of-school services, in their
communities.
Culturally competent. The term ``culturally competent,'' used with
respect to services, supports, and other assistance means that services,
supports, or other assistance that are conducted or provided in a manner
that is responsive

[[Page 239]]

to the beliefs, interpersonal styles, attitudes, language, and behaviors
of individuals who are receiving the services, supports or other
assistance, and in a manner that has the greatest likelihood of ensuring
their maximum participation in the program involved.
Department. The term ``Department'' means the U.S. Department of
Health and Human Services.
Developmental disability. The term ``developmental disability''
means a severe, chronic disability of an individual that:
(1) Is attributable to a mental or physical impairment or
combination of mental and physical impairments;
(2) Is manifested before the individual attains age 22;
(3) Is likely to continue indefinitely;
(4) Results in substantial functional limitations in three or more
of the following areas of major life activity:
(i) Self-care;
(ii) Receptive and expressive language;
(iii) Learning;
(iv) Mobility;
(vi) Self-direction;
(vii) Capacity for independent living; and
(viii) Economic self-sufficiency.
(5) Reflects the individual's need for a combination and sequence of
special, interdisciplinary or generic services, individualized supports,
or other forms of assistance that are of lifelong or extended duration
and are individually planned and coordinated.
(6) An individual from birth to age nine, inclusive, who has a
substantial developmental delay or specific congenital or acquired
condition, may be considered to have a developmental disability without
meeting three or more of the criteria described in paragraphs (1)
through (5) of this definition, if the individual, without services and
supports, has a high probability of meeting those criteria later in
life.
Early intervention activities. The term ``early intervention
activities'' means advocacy, capacity building, and systemic change
activities provided to infants and young children described in the
definition of ``developmental disability'' and their families to enhance
the development of the individuals to maximize their potential, and the
capacity of families to meet the special needs of the individuals.
Education activities. The term ``education activities'' means
advocacy, capacity building, and systemic change activities that result
in individuals with developmental disabilities being able to access
appropriate supports and modifications when necessary, to maximize their
educational potential, to benefit from lifelong educational activities,
and to be integrated and included in all facets of student life.
Employment-related activities. The term ``employment-related
activities'' means advocacy, capacity building, and systemic change
activities that result in individuals with developmental disabilities
acquiring, retaining, or advancing in paid employment, including
supported employment or self-employment, in integrated settings in a
community.
Family support services. The term ``family support services'' means
services, supports, and other assistance, provided to families with a
member or members who have developmental disabilities, that are designed
to: Strengthen the family's role as primary caregiver; prevent
inappropriate out-of-the-home placement of the members and maintain
family unity; and reunite, whenever possible, families with members who
have been placed out of the home. This term includes respite care,
provision of rehabilitation technology and assistive technology,
personal assistance services, parent training and counseling, support
for families headed by aging caregivers, vehicular and home
modifications, and assistance with extraordinary expenses associated
with the needs of individuals with developmental disabilities.
Fiscal year. The term ``fiscal year'' means the Federal fiscal year
unless otherwise specified.
Governor. The term ``Governor'' means the chief executive officer of
a State, as that term is defined in the Act, or his or her designee who
has been formally designated to act for the Governor in carrying out the
requirements of the Act and the regulations.

[[Page 240]]

Health-related activities. The term ``health-related activities''
means advocacy, capacity building, and systemic change activities that
result in individuals with developmental disabilities having access to
and use of coordinated health, dental, mental health, and other human
and social services, including prevention activities, in their
communities.
Housing-related activities. The term ``housing-related activities''
means advocacy, capacity building, and systemic change activities that
result in individuals with developmental disabilities having access to
and use of housing and housing supports and services in their
communities, including assistance related to renting, owning, or
modifying an apartment or home.
Inclusion. The term ``inclusion'', used with respect to individuals
with developmental disabilities, means the acceptance and encouragement
of the presence and participation of individuals with developmental
disabilities, by individuals without disabilities, in social,
educational, work, and community activities, that enable individuals
with developmental disabilities to have friendships and relationships
with individuals and families of their own choice; live in homes close
to community resources, with regular contact with individuals without
disabilities in their communities; enjoy full access to and active
participation in the same community activities and types of employment
as individuals without disabilities; and take full advantage of their
integration into the same community resources as individuals without
disabilities, living, learning, working, and enjoying life in regular
contact with individuals without disabilities.
Individualized supports. The term ``individualized supports'' means
supports that: Enable an individual with a developmental disability to
exercise self-determination, be independent, be productive, and be
integrated and included in all facets of community life; designed to
enable such individual to control such individual's environment,
permitting the most independent life possible; and prevent placement
into a more restrictive living arrangement than is necessary and enable
such individual to live, learn, work, and enjoy life in the community;
and include early intervention services, respite care, personal
assistance services, family support services, supported employment
services support services for families headed by aging caregivers of
individuals with developmental disabilities, and provision of
rehabilitation technology and assistive technology, and assistive
technology services.
Integration. The term ``integration,'' means exercising the equal
rights of individuals with developmental disabilities to access and use
the same community resources as are used by and available to other
individuals.
Not-for-profit. The term ``not-for-profit,'' used with respect to an
agency, institution or organization, means an agency, institution, or
organization that is owned or operated by one or more corporations or
associations, no part of the net earnings of which injures, or may
lawfully inure, to the benefit of any private shareholder or individual.
Personal assistance services. The term ``personal assistance
services'' means a range of services provided by one or more individuals
designed to assist an individual with a disability to perform daily
activities, including activities on or off a job, that such individual
would typically perform if such individual did not have a disability.
Such services shall be designed to increase such individual's control in
life and ability to perform everyday activities, including activities on
or off a job.
Prevention activities. The term ``prevention activities'' means
activities that address the causes of developmental disabilities and the
exacerbation of functional limitation, such as activities that:
Eliminate or reduce the factors that cause or predispose individuals to
developmental disabilities or that increase the prevalence of
developmental disabilities; increase the early identification of
problems to eliminate circumstances that create or increase functional
limitations; and mitigate against the effects of developmental
disabilities throughout the lifespan of an individual.
Productivity. The term ``productivity'' means engagement in income-

[[Page 241]]

producing work that is measured by increased income, improved employment
status, or job advancement, or engagement in work that contributes to a
household or community.
Protection and Advocacy (P&A) Agency. The term ``Protection and
Advocacy (P&A) Agency'' means a protection and advocacy system
established in accordance with section 143 of the Act.
Quality assurance activities. The term ``quality assurance
activities'' means advocacy, capacity building, and systemic change
activities that result in improved consumer and family-centered quality
assurance and that result in systems of quality assurance and consumer
protection that include monitoring of services, supports, and assistance
provided to an individual with developmental disabilities that ensures
that the individual will not experience abuse, neglect, sexual or
financial exploitation, or violation of legal or human rights; and will
not be subject to the inappropriate use of restraints or seclusion;
include training in leadership, self-advocacy, and self-determination
for individuals with developmental disabilities, their families, and
their guardians to ensure that those individuals will not experience
abuse, neglect, sexual or financial exploitation, or violation of legal
or human rights; and will not be subject to the inappropriate use of
restraints or seclusion; or include activities related to interagency
coordination and systems integration that result in improved and
enhanced services, supports, and other assistance that contribute to and
protect the self-determination, independence, productivity, and
integration and inclusion in all facets of community life of individuals
with developmental disabilities.
Rehabilitation technology. The term ``rehabilitation technology''
means the systematic application of technologies, engineering
methodologies, or scientific principles to meet the needs of, and
address the barriers confronted by individuals with developmental
disabilities in areas that include education, rehabilitation,
employment, transportation, independent living, and recreation. Such
term includes rehabilitation engineering, and the provision of assistive
technology devices and assistive technology services.
Required planning documents. The term ``required planning
documents'' means the State plans required by Sec. 1326.30 of this
chapter for the State Council on Developmental Disabilities, the Annual
Statement of Goals and Priorities required by Sec. 1326.22(c) of this
chapter for P&As, and the five-year plan and annual report required by
Sec. 1328.7 of this chapter for UCEDDs.
Secretary. The term ``Secretary'' means the Secretary of the U.S.
Department of Health and Human Services.
Self-determination activities. The term ``self-determination
activities'' means activities that result in individuals with
developmental disabilities, with appropriate assistance, having the
ability and opportunity to communicate and make personal decisions; the
ability and opportunity to communicate choices and exercise control over
the type and intensity of services, supports, and other assistance the
individuals receive; the authority to control resources to obtain needed
services, supports, and other assistance; opportunities to participate
in, and contribute to, their communities; and support, including
financial support, to advocate for themselves and others to develop
leadership skills through training in self-advocacy to participate in
coalitions, to educate policymakers, and to play a role in the
development of public policies that affect individuals with
developmental disabilities.
State. The term ``State'':
(1) Except as applied to the University Centers of Excellence in
Developmental Disabilities Education, Research and Service in section
155 of the Act, includes each of the several States of the United
States, the District of Columbia, the Commonwealth of Puerto Rico, the
United States Virgin Islands, Guam, American Samoa, and the Commonwealth
of the Northern Mariana Islands.
(2) For the purpose of UCEDDs in section 155 of the Act and part
1388 of this chapter, ``State'' means each of the several States of the
United States, the District of Columbia, the Commonwealth of Puerto
Rico, the United States Virgin Islands, and Guam.

[[Page 242]]

State Council on Developmental Disabilities (SCDD). The term ``State
Council on Developmental Disabilities (SCDD)'' means a Council
established under section 125 of the DD Act.
Supported employment services. The term ''supported employment
services'' means services that enable individuals with developmental
disabilities to perform competitive work in integrated work settings, in
the case of individuals with developmental disabilities for whom
competitive employment has not traditionally occurred; or for whom
competitive employment has been interrupted or intermittent as a result
of significant disabilities; and who, because of the nature and severity
of their disabilities, need intensive supported employment services or
extended services in order to perform such work.
Systemic change activities. The term ``systemic change activities''
means a sustainable, transferable and replicable change in some aspect
of service or support availability, design or delivery that promotes
positive or meaningful outcomes for individuals with developmental
disabilities and their families.
Transportation-related activities. The term ``transportation-related
activities'' means advocacy, capacity building, and systemic change
activities that result in individuals with developmental disabilities
having access to and use of transportation.
UCEDD. The term ``UCEDD'' means University Centers for Excellence in
Developmental Disabilities Education, Research, and Service, also known
by the term ``Center'' under section 102(5) of the Act.
Unserved and underserved. The term ``unserved and underserved''
includes populations such as individuals from racial and ethnic minority
backgrounds, disadvantaged individuals, individuals with limited English
proficiency, individuals from underserved geographic areas (rural or
urban), and specific groups of individuals within the population of
individuals with developmental disabilities, including individuals who
require assistive technology in order to participate in community life.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

Sec. 1325.4 Rights of individuals with developmental disabilities.

(a) Section 109 of the Act, Rights of Individuals with Developmental
Disabilities (42 U.S.C. 15009), is applicable to the SCDD.
(b) In order to comply with section 124(c)(5)(H) of the Act (42
U.S.C. 15024(c)(5)(H)), regarding the rights of individuals with
developmental disabilities, the State participating in the SCDD program
must meet the requirements of 45 CFR 1326.30(f).
(c) Applications from UCEDDs also must contain an assurance that the
human rights of individuals assisted by this program will be protected
consistent with section 101(c) (see section 154(a)(3)(D) of the Act).

[80 FR 44807, July 27, 2015, as amended at 85 FR 72911, Nov. 16, 2020]

Sec. 1325.5 [Reserved]

Sec. 1325.6 Employment of individuals with disabilities.

Each grantee which receives Federal funding under the Act must meet
the requirements of section 107 of the Act (42 U.S.C. 15007) regarding
affirmative action. The grantee must take affirmative action to employ
and advance in employment and otherwise treat qualified individuals with
disabilities without discrimination based upon their physical or mental
disability in all employment practices such: Advertising, recruitment,
employment, rates of pay or other forms of compensation, selection for
training, including apprenticeship, upgrading, demotion or transfer, and
layoff or termination. This obligation is in addition to the
requirements of 45 CFR part 84, subpart B, prohibiting discrimination in
employment practices on the basis of disability in programs receiving
assistance from the Department. Recipients of funds under the Act also
may be bound by the provisions of the Americans with Disabilities Act of
1990 (Pub. L. 101-336, 42 U.S.C. 12101 et seq.) with respect to
employment of individuals with disabilities. Failure to comply with
section 107 of the Act may result in loss of Federal funds under the
Act. If a compliance action is taken, the State will be

[[Page 243]]

given reasonable notice and an opportunity for a hearing as provided in
subpart E of 45 CFR part 1326.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

Sec. 1325.7 Reports to the Secretary.

All grantee submission of plans, applications and reports must label
goals, activities and results clearly in terms of the following: Area of
emphasis, type of activity (advocacy, capacity building, systemic
change), and categories of measures of progress.

Sec. 1325.8 Formula for determining allotments.

The Secretary, or his or her designee, will allocate funds
appropriated under the Act for the State Councils on Developmental
Disabilities and the P&As as directed in sections 122 and 142 of the Act
(42 U.S.C. 15022 and 15042).

Sec. 1325.9 Grants administration requirements.

(a) The following parts of this title and title 2 CFR apply to
grants funded under parts 1326 and 1328 of this chapter, and to grants
for Projects of National Significance under section 162 of the Act (42
U.S.C. 15082):
(1) 45 CFR part 16--Procedures of the Departmental Grant Appeals
Board.
(2) 45 CFR part 46--Protection of Human Subjects.
(3) 45 CFR part 75--Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for HHS Award.
(4) 2 CFR part 376--Nonprocurement Debarment and Suspension.
(5) 45 CFR part 80--Nondiscrimination under Programs Receiving
Federal Assistance through the Department of Health and Human Services
Effectuation of title VI of the Civil Rights Act of 1964.
(5) 45 CFR part 81--Practice and Procedure for Hearings under part
80 of this title.
(6) 45 CFR part 84--Nondiscrimination on the Basis of Handicap in
Programs and Activities Receiving Federal Financial Assistance.
(7) 45 CFR part 86--Nondiscrimination on the Basis of Sex in
Education Programs and Activities Receiving Federal Financial
Assistance.
(8) 45 CFR part 91--Nondiscrimination on the Basis of Age in
Programs or Activities Receiving Federal Financial Assistance from HHS.
(9) 45 CFR part 93--New Restrictions on Lobbying.
(b) The Departmental Appeals Board also has jurisdiction over
appeals by any grantee that has received grants under the UCEDD programs
or for Projects of National Significance. The scope of the Board's
jurisdiction concerning these appeals is described in 45 CFR part 16.
(c) The Departmental Appeals Board also has jurisdiction to decide
appeals brought by the States concerning any disallowances taken by the
Secretary, or his or her designee, with respect to specific expenditures
incurred by the States or by contractors or sub grantees of States. This
jurisdiction relates to funds provided under the two formula programs--
subtitle B of the Act--Federal Assistance to State Councils on
Developmental Disabilities, and subtitle C of the Act--Protection and
Advocacy for Individuals with Developmental Disabilities. Appeals filed
by States shall be decided in accordance with 45 CFR part 16.
(d) In making audits and examination to any books, documents,
papers, and transcripts of records of SCDDs, the P&As, the UCEDDs and
the Projects of National Significance grantees and sub grantees, as
provided for in 45 CFR part 75, the Department will keep information
about individual clients confidential to the maximum extent permitted by
law and regulations.
(e)(1) The Department or other authorized Federal officials may
access client and case eligibility records or other records of a P&A
system for audit purposes, and for purposes of monitoring system
compliance pursuant to section 103(b) of the Act. However, such
information will be limited pursuant to section 144(c) of the Act. No
personal identifying information such as name, address, and social
security number will be obtained. Only eligibility information will be
obtained regarding the type and level of disability of individuals being
served by the P&A and the nature of the issue

[[Page 244]]

concerning which the system represented an individual.
(2) Notwithstanding paragraph (e)(1) of this section, if an audit,
monitoring review, evaluation, or other investigation by the Department
produces evidence that the system has violated the Act or the
regulations, the system will bear the burden of proving its compliance.
The system's inability to establish compliance because of the
confidentiality of records will not relieve it of this responsibility.
The P&A may elect to obtain a release regarding personal information and
privacy from all individuals requesting or receiving services at the
time of intake or application. The release shall state that only
information directly related to client and case eligibility will be
subject to disclosure to officials of the Department.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

PART 1326_DEVELOPMENTAL DISABILITIES FORMULA GRANT PROGRAMS--Table of Contents

Subpart A_Basic Requirements

Sec.
1326.1 General.
1326.2 Obligation of funds.
1326.3 Liquidation of obligations.
1326.4 [Reserved]

Subpart B_Protection and Advocacy for Individuals With Developmental
Disabilities (PADD)

1326.19 Definitions.
1326.20 Agency designated as the State Protection and Advocacy System.
1326.21 Requirements and authority of the State Protection and Advocacy
System.
1326.22 Periodic reports: State Protection and Advocacy System.
1326.23 Non-allowable costs for the State Protection and Advocacy
System.
1326.24 Allowable litigation costs.

Subpart C_Access to Records, Service Providers, and Individuals With
Developmental Disabilities

1326.25 Access to records.
1326.26 Denial or delay of access to records.
1326.27 Access to service providers and individuals with developmental
disabilities.
1326.28 Confidentiality of State Protection and Advocacy System records.

Subpart D_Federal Assistance to State Councils on Developmental
Disabilities

1326.30 State plan requirements.
1326.31 State plan submittal and approval.
1326.32 Periodic reports: Federal assistance to State Councils on
Developmental Disabilities.
1326.33 Protection of employees interest.
1326.34 Designated State Agency.
1326.35 Allowable and non-allowable costs for Federal assistance to
State Councils on Developmental Disabilities.
1326.36 Final disapproval of the State plan or plan amendments.

Subpart E_Practice and Procedure for Hearings Pertaining to States'
Conformity and Compliance With Developmental Disabilities State Plans,
Reports, and Federal Requirements

General

1326.80 Definitions.
1326.81 Scope of rules.
1326.82 Records to the public.
1326.83 Use of gender and number.
1326.84 Suspension of rules.
1326.85 Filling and service of papers.

Preliminary Matters--Notice and Parties

1326.90 Notice of hearing or opportunity for hearing.
1326.91 Time of hearing.
1326.92 Place.
1326.93 Issues at hearing.
1326.94 Request to participate in hearing.

Hearing Procedures

1326.100 Who presides.
1326.101 Authority of presiding officer.
1326.102 Rights of parties.
1326.103 Discovery.
1326.104 Evidentiary purpose.
1326.105 Evidence.
1326.106 Exclusion from hearing for misconduct.
1326.107 Unsponsored written material.
1326.108 Official transcript.
1326.109 Record for decision.

Post-Hearing Procedures, Decisions

1326.110 Post-hearing briefs.
1326.111 Decisions following hearing.
1326.112 Effective date of decision by the Secretary.

Authority: 42 U.S.C. 15001 et seq.

Source: 80 FR 44807, July 27, 2015, unless otherwise noted.
Redesignated at 81 FR 35645, June 3, 2016.

[[Page 245]]

Subpart A_Basic Requirements

Sec. 1326.1 General.

All rules under this subpart are applicable to both the State
Councils on Developmental Disabilities and the agency designated as the
State Protection and Advocacy (P&As) System.

Sec. 1326.2 Obligation of funds.

(a) Funds which the Federal Government allots under this part during
a Federal fiscal year are available for obligation by States for a two-
year period beginning with the first day of the Federal fiscal year in
which the grant is awarded.
(b)(1) A State incurs an obligation for acquisition of personal
property or for the performance of work on the date it makes a binding,
legally enforceable, written commitment, or when the State Council on
Developmental Disabilities enters into an Interagency Agreement with an
agency of State government for acquisition of personal property or for
the performance of work.
(2) A State incurs an obligation for personal services, for services
performed by public utilities, for travel or for rental of real or
personal property on the date it receives the services, its personnel
takes the travel, or it uses the rented property.
(c)(1) A Protection & Advocacy System may elect to treat entry of an
appearance in judicial and administrative proceedings on behalf of an
individual with a developmental disability as a basis for obligating
funds for the litigation costs. The amount of the funds obligated must
not exceed a reasonable estimate of the costs, and the way the estimate
was calculated must be documented.
(2) For the purpose of this paragraph (c), litigation costs means
expenses for court costs, depositions, expert witness fees, travel in
connection with a case and similar costs, and costs resulting from
litigation in which the agency has represented an individual with
developmental disabilities (e.g., monitoring court orders, consent
decrees), but not for salaries of employees of the P&A. All funds made
available for Federal assistance to State Councils on Developmental
Disabilities and to the P&As obligated under this paragraph (c) are
subject to the requirement of paragraph (a) of this section. These
funds, if reobligated, may be reobligated only within a two-year period
beginning with the first day of the Federal fiscal year in which the
funds were originally awarded.

Sec. 1326.3 Liquidation of obligations.

(a) All obligations incurred pursuant to a grant made under the Act
for a specific Federal fiscal year, must be liquidated within two years
of the close of the Federal fiscal year in which the grant was awarded.
(b) The Secretary, or his or her designee, may waive the
requirements of paragraph (a) of this section when State law impedes
implementation or the amount of obligated funds to be liquidated is in
dispute.
(c) Funds attributable to obligations which are not liquidated in
accordance with the provisions of this section revert to the Federal
Government.

Sec. 1326.4 [Reserved]

Subpart B_Protection and Advocacy for Individuals With Developmental
Disabilities (PADD)

Sec. 1326.19 Definitions.

As used in this subpart and subpart C of this part, the following
definitions apply:
Abuse. The term ``abuse'' means any act or failure to act which was
performed, or which was failed to be performed, knowingly, recklessly,
or intentionally, and which caused, or may have caused, injury or death
to an individual with developmental disabilities, and includes but is
not limited to such acts as: Verbal, nonverbal, mental and emotional
harassment; rape or sexual assault; striking; the use of excessive force
when placing such an individual in bodily restraints; the use of bodily
or chemical restraints which is not in compliance with Federal and State
laws and regulations, or any other practice which is likely to cause
immediate physical or psychological harm or result in long term harm if
such practices continue. In addition, the P&A may determine, in its
discretion that a

[[Page 246]]

violation of an individual's legal rights amounts to abuse, such as if
an individual is subject to significant financial exploitation.
American Indian Consortium. The term ``American Indian Consortium''
means any confederation of 2 or more recognized American Indian Tribes,
created through the official resident population of 150,000 enrolled
tribal members and a contiguous territory of Indian lands in two or more
States.
Complaint. The term ``complaint'' includes, but is not limited to,
any report or communication, whether formal or informal, written or
oral, received by the P&A system, including media accounts, newspaper
articles, electronic communications, telephone calls (including
anonymous calls) from any source alleging abuse or neglect of an
individual with a developmental disability.
Designating official. The term ``designating official'' means the
Governor or other State official, who is empowered by the State
legislature or Governor to designate the State official or public or
private agency to be accountable for the proper use of funds by and
conduct of the agency designated to administer the P&A system.
Full investigation. The term ``full investigation'' means access to
service providers, individuals with developmental disabilities and
records authorized under these regulations, that are necessary for a P&A
system to make a determination about whether alleged or suspected
instances of abuse and neglect are taking place or have taken place.
Full investigations may be conducted independently or in cooperation
with other agencies authorized to conduct similar investigations.
Legal guardian, Conservator, and Legal representative. The terms
``legal guardian,'' ``conservator,'' and ``legal representative'' all
mean a parent of a minor, unless the State has appointed another legal
guardian under applicable State law, or an individual appointed and
regularly reviewed by a State court or agency empowered under State law
to appoint and review such officers, and having authority to make all
decisions on behalf of individuals with developmental disabilities. It
does not include persons acting only as a representative payee, persons
acting only to handle financial payments, executors and administrators
of estates, attorneys or other persons acting on behalf of an individual
with developmental disabilities only in individual legal matters, or
officials or their designees responsible for the provision of services,
supports, and other assistance to an individual with developmental
disabilities.
Neglect. The term ``neglect'' means a negligent act or omission by
an individual responsible for providing services, supports or other
assistance which caused or may have caused injury or death to an
individual with a developmental disability(ies) or which placed an
individual with developmental disability(ies) at risk of injury or
death, and includes acts or omissions such as failure to: establish or
carry out an appropriate individual program plan or treatment plan
(including a discharge plan); provide adequate nutrition, clothing, or
health care to an individual with developmental disabilities; or provide
a safe environment which also includes failure to maintain adequate
numbers of trained staff or failure to take appropriate steps to prevent
self-abuse, harassment, or assault by a peer.
Probable cause. The term ``probable cause'' means a reasonable
ground for belief that an individual with developmental disability(ies)
has been, or may be, subject to abuse or neglect, or that the health or
safety of the individual is in serious and immediate jeopardy. The
individual making such determination may base the decision on reasonable
inferences drawn from his or her experience or training regarding
similar incidents, conditions or problems that are usually associated
with abuse or neglect.
State Protection and Advocacy System. The term ``State Protection
and Advocacy System'' is synonymous with the term ``P&A'' used elsewhere
in this regulation, and the terms ``System'' and ``Protection and
Advocacy System'' used in this part and in subpart C of this part.

[[Page 247]]

Sec. 1326.20 Agency designated as the State Protection and Advocacy System.

(a) The designating official must designate the State official or
public or private agency to be accountable for proper use of funds and
conduct of the Protection and Advocacy System.
(b) An agency of the State or private agency providing direct
services, including guardianship services, may not be designated as the
agency to administer the Protection and Advocacy System.
(c) In the event that an entity outside of the State government is
designated to carry out the program, the designating official or entity
must assign a responsible State official to receive, on behalf of the
State, notices of disallowances and compliance actions as the State is
accountable for the proper and appropriate expenditure of Federal funds.
(d)(1) Prior to any redesignation of the agency which administers
and operates the State Protection and Advocacy System, the designating
official must give written notice of the intention to make the
redesignation to the agency currently administering and operating the
State Protection and Advocacy System by registered or certified mail.
The notice must indicate that the proposed redesignation is being made
for good cause. The designating official also must publish a public
notice of the proposed action. The agency and the public shall have a
reasonable period of time, but not less than 45 days, to respond to the
notice.
(2) The public notice must include:
(i) The Federal requirements for the State Protection and Advocacy
System for individuals with developmental disabilities (section 143 of
the Act); and where applicable, the requirements of other Federal
advocacy programs administered by the State Protection and Advocacy
System;
(ii) The goals and function of the State's Protection and Advocacy
System including the current Statement of Goals and Priorities;
(iii) The name and address of the agency currently designated to
administer and operate the State Protection and Advocacy System, and an
indication of whether the agency also operates other Federal advocacy
programs;
(iv) A description of the current agency operating and administering
the Protection and Advocacy System including, as applicable,
descriptions of other Federal advocacy programs it operates;
(v) A clear and detailed explanation of the good cause for the
proposed redesignation;
(vi) A statement suggesting that interested persons may wish to
write the current agency operating and administering the State
Protection and Advocacy System at the address provided in paragraph
(d)(2)(iii) of this section to obtain a copy of its response to the
notice required by paragraph (d)(1) of this section. Copies must be in a
format accessible to individuals with disabilities (including plain
language), and language assistance services will be provided to
individuals with limited English proficiency, such as translated
materials or interpretation, upon request;
(vii) The name of the new agency proposed to administer and operate
the State Protection and Advocacy System under the Developmental
Disabilities Program. This agency will be eligible to administer other
Federal advocacy programs;
(viii) A description of the system which the new agency would
administer and operate, including a description of all other Federal
advocacy programs the agency would operate;
(ix) The timetable for assumption of operations by the new agency
and the estimated costs of any transfer and start-up operations; and
(x) A statement of assurance that the proposed new designated State
Protection and Advocacy System will continue to serve existing clients
and cases of the current P&A system or refer them to other sources of
legal advocacy as appropriate, without disruption.
(3) The public notice as required by paragraph (d)(1) of this
section, must be in a format accessible to individuals with
disabilities, and language assistance services will be provided to
individuals with limited English proficiency, such as translated
materials

[[Page 248]]

or interpretation, upon request to individuals with developmental
disabilities or their representatives. The designating official must
provide for publication of the notice of the proposed redesignation
using the State register, statewide newspapers, public service
announcements on radio and television, or any other legally equivalent
process. Copies of the notice must be made generally available to
individuals with developmental disabilities and mental illness who live
in residential facilities through posting or some other means.
(4) After the expiration of the public comment period required in
paragraph (d)(1) of this section, the designating official must conduct
a public hearing on the redesignation proposal. After consideration of
all public and agency comments, the designating official must give
notice of the final decision to the currently designated agency and the
public through the same means used under paragraph (d)(3) of this
section. This notice must include a clear and detailed explanation of
the good cause finding. If the notice to the currently designated agency
states that the redesignation will take place, it also must inform the
agency of its right to appeal this decision to the Secretary, or his or
her designee, the authority to hear appeals by the Secretary, or his or
her designee, and provide a summary of the public comments received in
regard to the notice of intent to redesignate and the results of the
public hearing and its responses to those comments. The redesignation
shall not be effective until 10 working days after notifying the current
agency that administers and operates the State Protection and Advocacy
System or, if the agency appeals, until the Secretary, or his or her
designee, has considered the appeal.
(e)(1) Following notification as indicated in paragraph (d)(4) of
this section, the agency that administers and operates the State
Protection and Advocacy System which is the subject of such action, may
appeal the redesignation to the Secretary, or his or her designee. To do
so, the agency that administers and operates the State Protection and
Advocacy System must submit an appeal in writing to the Secretary, or
his or her designee, within 20 days of receiving official notification
under paragraph (d)(4) of this section, with a separate copy sent by
registered of certified mail to the designating official who made the
decision concerning redesignation.
(2) In the event that the agency subject to redesignation does
exercise its right to appeal under paragraph (e)(1) of this section, the
designating official must give public notice of the Secretary's, or his
or her designated person's, final decision regarding the appeal through
the same means utilized under paragraph (d)(3) of this section within 10
working days of receipt of the Secretary's, or his or her designee's,
final decision under paragraph (e)(6) of this section.
(3) The designating official within 10 working days from the receipt
of a copy of the appeal must provide written comments to the Secretary,
or his or her designee, (with a copy sent by registered or certified
mail to the Protection and Advocacy agency appealing under paragraph
(e)(1) of this section), or withdraw the redesignation. The comments
must include a summary of the public comments received in regard to the
notice of intent to redesignate and the results of the public hearing
and its responses to those comments.
(4) In the event that the designating official withdraws the
redesignation while under appeal pursuant to paragraph (e)(1) of this
section, the designating official must notify the Secretary, or his or
her designee, and the current agency, and must give public notice of his
or her decision through the same means utilized under paragraph (d)(3)
of this section.
(5) As part of their submission under paragraph (e)(1) or (3) of
this section, either party may request, and the Secretary, or his or her
designee, may grant an opportunity for a meeting with the Secretary, or
his or her designee, at which representatives of both parties will
present their views on the issues in the appeal. The meeting will be
held within 20 working days of the submission of written comments by the
designating official under paragraph (e)(2) of this section. The
Secretary, or

[[Page 249]]

his or her designee, will promptly notify the parties of the date and
place of the meeting.
(6) Within 30 days of the informal meeting under paragraph (e)(5) of
this section, or, if there is no informal meeting under paragraph (e)(5)
of this section, within 30 days of the submission under paragraph (e)(3)
of this section, the Secretary, or his or her designee, will issue to
the parties a final written decision on whether the redesignation was
for good cause as defined in paragraph (d)(1) of this section. The
Secretary, or his or her designee, will receive comments on the record
from agencies administering the Federal advocacy programs that will be
directly affected by the proposed redesignation. The P&A and the
designating official will have an opportunity to comment on the
submissions of the Federal advocacy programs. The Secretary, or his or
her designee, shall consider the comments of the Federal programs, the
P&A and the designating official in making his final decision on the
appeal.
(f)(1) Within 30 days after the redesignation becomes effective
under paragraph (d)(4) of this section, the designating official must
submit an assurance to the Secretary, or his or her designee, that the
newly designated agency that will administer and operate the State
Protection and Advocacy System meets the requirements of the statute and
the regulations.
(2) In the event that the agency administering and operating the
State Protection and Advocacy System subject to redesignation does not
exercise its rights to appeal within the period provided under paragraph
(e)(1) of this section, the designating official must provide to the
Secretary, or his or her designee, documentation that the agency was
redesignated for good cause. Such documentation must clearly demonstrate
that the Protection and Advocacy agency subject to redesignation was not
redesignated for any actions or activities which were carried out under
section 143 of the Act, this regulation or any other Federal advocacy
program's legislation or regulations.

Sec. 1326.21 Requirements and authority of the State Protection
and Advocacy System.

(a) In order for a State to receive Federal funding for Protection
and Advocacy activities under this subpart, as well as for the State
Council on Developmental Disabilities activities (subpart D of this
part), the Protection and Advocacy System must meet the requirements of
section 143 and 144 of the Act (42 U.S.C. 15043 and 15044) and that
system must be operational.
(b) Allotments must be used to supplement and not to supplant the
level of non-Federal funds available in the State for activities under
the Act, which shall include activities on behalf of individuals with
developmental disabilities to remedy abuse, neglect, and violations of
rights as well as information and referral activities.
(c) A P&A shall not implement a policy or practice restricting the
remedies that may be sought on behalf of individuals with developmental
disabilities or compromising the authority of the P&A to pursue such
remedies through litigation, legal action or other forms of advocacy.
Under this requirement, States may not establish a policy or practice,
which requires the P&A to: Obtain the State's review or approval of the
P&A's plans to undertake a particular advocacy initiative, including
specific litigation (or to pursue litigation rather than some other
remedy or approach); refrain from representing individuals with
particular types of concerns or legal claims, or refrain from otherwise
pursuing a particular course of action designed to remedy a violation of
rights, such as educating policymakers about the need for modification
or adoption of laws or policies affecting the rights of individuals with
developmental disabilities; restrict the manner of the P&A's
investigation in a way that is inconsistent with the System's required
authority under the DD Act; or similarly interfere with the P&A's
exercise of such authority. The requirements of this paragraph (c) shall
not prevent P&As, including those functioning as agencies within State
governments, from developing case or client acceptance criteria as part
of the annual priorities identified by the P&A as described in Sec.
1326.23(c).

[[Page 250]]

Clients must be informed at the time they apply for services of such
criteria.
(d) A Protection and Advocacy System shall be free from hiring
freezes, reductions in force, prohibitions on staff travel, or other
policies, imposed by the State, to the extent that such policies would
impact system program staff or functions funded with Federal funds, and
would prevent the system from carrying out its mandates under the Act.
(e) A Protection and Advocacy System shall have sufficient staff,
qualified by training and experience, to carry out the responsibilities
of the system in accordance with the priorities of the system and
requirements of the Act. These responsibilities include the
investigation of allegations of abuse, neglect and representations of
individuals with developmental disabilities regarding rights violations.
(f) A Protection and Advocacy System may exercise its authority
under State law where the State authority exceeds the authority required
by the Developmental Disabilities Assistance and Bill of Rights Act of
2000. However, State law must not diminish the required authority of the
Protection and Advocacy System as set by the Act.
(g) Each Protection and Advocacy System that is a public system
without a multimember governing or advisory board must establish an
advisory council in order to provide a voice for individuals with
developmental disabilities. The Advisory Council shall advise the
Protection and Advocacy System on program policies and priorities. The
Advisory Council and Governing Board shall be comprised of a majority of
individuals with disabilities who are eligible for services, have
received or are receiving services, parents, family members, guardians,
advocates, or authorized representatives of such individuals.
(h) Prior to any Federal review of the State program, a 30-day
notice and an opportunity for public comment must be published in the
Federal Register. Reasonable effort shall be made by AIDD to seek
comments through notification to major disability advocacy groups, the
State Bar, disability law resources, the State Councils on Developmental
Disabilities, and the University Centers for Excellence in Developmental
Disabilities Education, Research, and Service, for example, through
newsletters and publication of those organizations. The findings of
public comments may be consolidated if sufficiently similar issues are
raised and they shall be included in the report of the onsite visit.
(i) Before the Protection and Advocacy System releases information
to individuals not otherwise authorized to receive it, the Protection
and Advocacy System must obtain written consent from the client
requesting assistance or his or her guardian.
(j) Contracts for program operations. (1) An eligible P&A system may
contract for the operation of part of its program with another public or
private nonprofit organization with demonstrated experience working with
individuals with developmental disabilities, provided that:
(i) The eligible P&A system institutes oversight and monitoring
procedures which ensure that any and all subcontractors will be able to
meet all applicable terms, conditions and obligations of the Federal
grant, including but not limited to the ability to pursue all forms of
litigation under the DD Act;
(ii) The P&A exercises appropriate oversight to ensure that the
contracting organization meets all applicable responsibilities and
standards which apply to P&As, including but not limited to, the
confidentiality provisions in the DD Act and regulations, ethical
responsibilities, program accountability and quality controls;
(2) Any eligible P&A system should work cooperatively with existing
advocacy agencies and groups and, where appropriate, consider entering
into contracts for protection and advocacy services with organizations
already working on behalf of individuals with developmental
disabilities.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

Sec. 1326.22 Periodic reports: State Protection and Advocacy System.

(a) By January 1 of each year, each State Protection and Advocacy
System shall submit to AIDD, an Annual Program Performance Report. In
order to

[[Page 251]]

be accepted, the Report must meet the requirements of section 144(e) of
the Act (42 U.S.C. 15044), the applicable regulation and include
information on the System's program necessary for the Secretary, or his
or her designee, to comply with section 105(1), (2), and (3) of the Act
(42 U.S.C. 15005). The Report shall describe the activities,
accomplishments, and expenditures of the system during the preceding
fiscal year. Reports shall include a description of the system's goals
and the extent to which the goals were achieved, barriers to their
achievement; the process used to obtain public input, the nature of such
input, and how such input was used; the extent to which unserved or
underserved individuals or groups, particularly from ethnic or racial
groups or geographic regions (e.g., rural or urban areas) were the
target of assistance or service; and other such information on the
Protection and Advocacy System's activities requested by AIDD.
(b) Financial status reports (standard form 425) must be submitted
by the agency administering and operating the State Protection and
Advocacy System semiannually.
(c) By January 1 of each year, the State Protection and Advocacy
System shall submit to AIDD, an Annual Statement of Goals and
Priorities, (SGP), for the coming fiscal year as required under section
143(a)(2)(C) of the Act (42 U.S.C. 15043). In order to be accepted by
AIDD, an SGP must meet the requirements of section 143 of the Act.
(1) The SGP is a description and explanation of the system's goals
and priorities for its activities, selection criteria for its individual
advocacy and training activities, and the outcomes it strives to
accomplish. The SGP is developed through data driven strategic planning.
If changes are made to the goals or the indicators of progress
established for a year, the SGP must be amended to reflect those
changes. The SGP must include a description of how the Protection and
Advocacy System operates, and where applicable, how it coordinates the
State Protection and Advocacy program for individuals with developmental
disabilities with other Protection and Advocacy programs administered by
the State Protection and Advocacy System. This description must include
the System's processes for intake, internal and external referrals, and
streamlining of advocacy services. If the System will be requesting or
requiring fees or donations from clients as part of the intake process,
the SGP must state that the system will be doing so. The description
also must address collaboration, the reduction of duplication and
overlap of services, the sharing of information on service needs, and
the development of statements of goals and priorities for the various
advocacy programs.
(2) Priorities as established through the SGP serve as the basis for
the Protection and Advocacy System to determine which cases are selected
in a given fiscal year. Protection and Advocacy Systems have the
authority to turn down a request for assistance when it is outside the
scope of the SGP, but they must inform individuals when this is the
basis for turning them down.
(d) Each fiscal year, the Protection and Advocacy System shall:
(1) Obtain formal public input on its Statement of Goals and
Priorities;
(2) At a minimum, provide for a broad distribution of the proposed
Statement of Goals and Priorities for the next fiscal year in a manner
accessible to individuals with developmental disabilities and their
representatives, allowing at least 45 days from the date of distribution
for comment;
(3) Provide to the State Councils on Developmental Disabilities and
the University Centers for Excellence in Developmental Disabilities
Education, Research and Service a copy of the proposed Statement of
Goals and Priorities for comment concurrently with the public notice;
(4) Incorporate or address any comments received through public
input and any input received from the State Councils on Developmental
Disabilities and the University Centers for Excellence in Developmental
Disabilities Education, Research and Service in the final Statement
submitted; and
(5) Address how the Protection and Advocacy System, State Councils
on

[[Page 252]]

Developmental Disabilities, and University Centers for Excellence in
Developmental Disabilities Education Research and Service will
collaborate with each other and with other public and private entities.

Sec. 1326.23 Non-allowable costs for the State Protection
and Advocacy System.

(a) Federal financial participation is not allowable for:
(1) Costs incurred for activities on behalf of individuals with
developmental disabilities to solve problems not directly related to
their disabilities and which are faced by the general populace. Such
activities include but are not limited to: Preparation of wills, divorce
decrees, and real estate proceedings. Allowable costs in such cases
would include the Protection and Advocacy System providing disability-
related technical assistance information and referral to appropriate
programs and services; and
(2) Costs not allowed under other applicable statutes, Departmental
regulations and issuances of the Office of Management and Budget.
(b) Attorneys' fees are considered program income pursuant to 45 CFR
part 75 and must be added to the funds committed to the program and used
to further the objectives of the program. This requirement shall apply
to all attorneys' fees, including those earned by contractors and those
received after the project period in which they were earned.

Sec. 1326.24 Allowable litigation costs.

Allotments may be used to pay the otherwise allowable costs incurred
by a Protection and Advocacy System in bringing lawsuits in its own
right to redress incidents of abuse or neglect, discrimination and other
rights violations impacting the ability of individuals with
developmental disabilities to obtain access to records and when it
appears on behalf of named plaintiffs or a class of plaintiff for such
purposes.

Subpart C_Access to Records, Service Providers, and Individuals With
Developmental Disabilities

Sec. 1326.25 Access to records.

(a) Pursuant to sections 143(a)(2), (A)(i), (B), (I), and (J) of the
Act, and subject to the provisions of this section, a Protection and
Advocacy (P&A) System, and all of its authorized agents, shall have
access to the records of individuals with developmental disabilities
under the following circumstances:
(1) If authorized by an individual who is a client of the system, or
who has requested assistance from the system, or by such individual's
legal guardian, conservator or other legal representative.
(2) In the case of an individual to whom all of the following
conditions apply:
(i) The individual, due to his or her mental or physical condition,
is unable to authorize the system to have access;
(ii) The individual does not have a legal guardian, conservator or
other legal representative, or the individual's guardian is the State
(or one of its political subdivisions); and
(iii) The individual has been the subject of a complaint to the P&A
system, or the P&A system has probable cause (which can be the result of
monitoring or other activities including media reports and newspaper
articles) to believe that such individual has been subject to abuse and
neglect.
(3) In the case of an individual, who has a legal guardian,
conservator, or other legal representative, about whom a complaint has
been received by the system or, as a result of monitoring or other
activities, the system has determined that there is probable cause to
believe that the individual with developmental disability has been
subject to abuse or neglect, whenever the following conditions exist:
(i) The P&A system has made a good faith effort to contact the legal
guardian, conservator, or other legal representative upon prompt receipt
(within the timelines set forth in paragraph (c) of this section) of the
contact information (which is required to include

[[Page 253]]

but not limited to name, address, telephone numbers, and email address)
of the legal guardian, conservator, or other legal representative;
(ii) The system has offered assistance to the legal guardian,
conservator, or other legal representative to resolve the situation; and
(iii) The legal guardian, conservator, or other legal representative
has failed or refused to provide consent on behalf of the individual.
(4) If the P&A determines there is probable cause to believe that
the health or safety of an individual is in serious and immediate
jeopardy, no consent from another party is needed.
(5) In the case of death, no consent from another party is needed.
Probable cause to believe that the death of an individual with a
developmental disability resulted from abuse or neglect or any other
specific cause is not required for the P&A system to obtain access to
the records. Any individual who dies in a situation in which services,
supports, or other assistance are, have been, or may customarily be
provided to individuals with developmental disabilities shall, for the
purposes of the P&A system obtaining access to the individual's records,
be deemed an ``individual with a developmental disability.''
(b) Individual records to which P&A systems must have access under
section 143(a)(2), (A)(i), (B), (I), and (J) of the Act (whether written
or in another medium, draft, preliminary or final, including handwritten
notes, electronic files, photographs or video or audiotape records)
shall include, but shall not be limited to:
(1) Individual records prepared or received in the course of
providing intake, assessment, evaluation, education, training and other
services; supports or assistance, including medical records, financial
records, and monitoring and other reports prepared or received by a
service provider. This includes records stored or maintained at sites
other than that of the service provider, as well as records that were
not prepared by the service provider, but received by the service
provider from other service providers.
(2) Reports prepared by a Federal, State or local governmental
agency, or a private organization charged with investigating incidents
of abuse or neglect, injury or death. The organizations whose reports
are subject to this requirement include, but are not limited to,
agencies in the foster care systems, developmental disabilities systems,
prison and jail systems, public and private educational systems,
emergency shelters, criminal and civil law enforcement agencies such as
police departments, agencies overseeing juvenile justice facilities,
juvenile detention facilities, all pre- and post-adjudication juvenile
facilities, State and Federal licensing and certification agencies, and
private accreditation organizations such as the Joint Commission on the
Accreditation of Health Care Organizations or by medical care evaluation
or peer review committees, regardless of whether they are protected by
federal or state law. The reports subject to this requirement describe
any or all of the following:
(i) The incidents of abuse, neglect, injury, and/or death;
(ii) The steps taken to investigate the incidents;
(iii) Reports and records, including personnel records, prepared or
maintained by the service provider in connection with such reports of
incidents; or,
(iv) Supporting information that was relied upon in creating a
report including all information and records that describe persons who
were interviewed, physical and documentary evidence that was reviewed,
and the related investigative findings;
(3) Discharge planning records; and
(4) Information in professional, performance, building or other
safety standards, and demographic and statistical information relating
to a service provider.
(c) The time period in which the P&A system must be given access to
records of individuals with developmental disabilities under sections
143(a)(2)(A)(i), (B), (I), and (J) of the Act, and subject to the
provisions of this section, varies depending on the following
circumstances:
(1) If the P&A system determines that there is probable cause to
believe that the health or safety of the individual with a developmental
disability

[[Page 254]]

is in serious and immediate jeopardy, or in any case of the death of an
individual with a developmental disability, access to the records of the
individual with a developmental disability, as described in paragraph
(b) of this section shall be provided (including the right to inspect
and copy records as specified in paragraph (d) of this section) to the
P&A system within 24 hours of receipt of the P&A system's written
request for the records without the consent of another party.
(2) In all other cases, access to records of individuals with
developmental disabilities shall be provided to the P&A system within
three business days after the receipt of such a written request from the
P&A system.
(d) A P&A shall be permitted to inspect and copy information and
records, subject to a reasonable charge to offset duplicating costs. If
the service provider or its agents copy the records for the P&A system,
it may not charge the P&A system an amount that would exceed the amount
customarily charged other non-profit or State government agencies for
reproducing documents. At its option, the P&A may make written notes
when inspecting information and records, and may use its own
photocopying equipment to obtain copies. If a party other than the P&A
system performs the photocopying or other reproduction of records, it
shall provide the photocopies or reproductions to the P&A system within
the time frames specified in paragraph (c) of this section. In addition,
where records are kept or maintained electronically they shall be
provided to the P&A electronically.
(e) The Health Insurance Portability and Accountability Act Privacy
Rule permits the disclosure of protected health information (PHI)
without the authorization of the individual to a P&A system to the
extent that such disclosure is required by law and the disclosure
complies with the requirements of that law.
(f) Educational agencies, including public, private, and charter
schools, as well as, public and private residential and non-residential
schools, must provide a P&A with the name of and contact information for
the parent or guardian of a student for whom the P&A has probable cause
to obtain records under the DD Act.

Sec. 1326.26 Denial or delay of access to records.

If a P&A system's access is denied or delayed beyond the deadlines
specified in Sec. 1326.25, the P&A system shall be provided, within one
business day after the expiration of such deadline, with a written
statement of reasons for the denial or delay. In the case of a denial
for alleged lack of authorization, the name, address and telephone
number of individuals with developmental disabilities and legal
guardians, conservators, or other legal representative will be included
in the aforementioned response. All of the above information shall be
provided whether or not the P&A has probable cause to suspect abuse or
neglect, or has received a complaint.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

Sec. 1326.27 Access to service providers and individuals with
developmental disabilities.

(a) Access to service providers and individuals with developmental
disabilities shall be extended to all authorized agents of a P&A system.
(b) The P&A system shall have reasonable unaccompanied access to
individuals with developmental disabilities at all times necessary to
conduct a full investigation of an incident of abuse or neglect.
(1) Such access shall be afforded upon request, by the P&A system
when:
(i) An incident is reported or a complaint is made to the P&A
system;
(ii) The P&A system determines that there is probable cause to
believe that an incident has or may have occurred; or
(iii) The P&A system determines that there is or may be imminent
danger of serious abuse or neglect of an individual with a developmental
disability.
(2) A P&A system shall have reasonable unaccompanied access to
public and private service providers, programs in the State, and to all
areas of the service provider's premises that are used by individuals
with developmental disabilities or are accessible to them. Such access
shall be provided without

[[Page 255]]

advance notice and made available immediately upon request. This
authority shall include the opportunity to interview any individual with
developmental disability, employee, or other persons, including the
person thought to be the victim of such abuse, who might be reasonably
believed by the system to have knowledge of the incident under
investigation. The P&A may not be required to provide the name or other
identifying information regarding the individual with developmental
disability or staff with whom it plans to meet; neither may the P&A be
required to justify or explain its interaction with such persons.
(c) In addition to the access required under paragraph (b) of this
section, a P&A system shall have reasonable unaccompanied access to
service providers for routine circumstances. This includes areas which
are used by individuals with developmental disabilities and are
accessible to individuals with developmental disabilities at reasonable
times, which at a minimum shall include normal working hours and
visiting hours. A P&A also shall be permitted to attend treatment
planning meetings concerning individuals with developmental disabilities
with the consent of the individual or his or her guardian, conservator
or other legal representative, except that no consent is required if the
individual, due to his or mental or physical condition, is unable to
authorize the system to have access to a treatment planning meeting; and
the individual does not have a legal guardian, conservator or other
legal representative, or the individual's guardian is the State (or one
of its political subdivisions).
(1) Access to service providers shall be afforded immediately upon
an oral or written request by the P&A system. Except where complying
with the P&A's request would interfere with treatment or therapy to be
provided, service providers shall provide access to individuals for the
purpose covered by this paragraph. If the P&As access to an individual
must be delayed beyond 24 hours to allow for the provision of treatment
or therapy, the P&A shall receive access as soon as possible thereafter.
In cases where a service provider denies a P&A access to an individual
with a developmental disability on the grounds that such access would
interfere with the individual's treatment or therapy, the service
provider shall, no later than 24 hours of the P&A's request, provide the
P&A with a written statement from a physician stating that P&A access to
the individual will interfere with the individual's treatment and
therapy, and the time and circumstances under which the P&A can
interview the individual. If the physician states that the individual
cannot be interviewed in the next 24 hours, the P&A and the service
provider shall engage in a good faith interactive process to determine
when and under what circumstances the P&A can interview the individual.
If the P&A and the service provider are unable to agree upon the time
and circumstance, they shall select a mutually agreeable independent
physician who will determine when and under what circumstances the
individual may be interviewed. The expense of the independent
physician's services shall be paid for by the service provider.
Individuals with developmental disabilities subject to the requirements
in this paragraph include adults and minors who have legal guardians or
conservators.
(2) P&A activities shall be conducted so as to minimize interference
with service provider programs, respect individuals with developmental
disabilities' privacy interests, and honor a recipient's request to
terminate an interview. This access is for the purpose of:
(i) Providing information, training, and referral for programs
addressing the needs of individuals with developmental disabilities,
information and training about individual rights, and the protection and
advocacy services available from the P&A system, including the name,
address, and telephone number of the P&A system. P&As shall be permitted
to post, in an area which individuals with developmental disabilities
receive services, a poster which states the protection and advocacy
services available from the P&A system, including the name, address and
telephone number of the P&A system.

[[Page 256]]

(ii) Monitoring compliance with respect to the rights and safety of
individuals with developmental disabilities; and
(iii) Access including, but is not limited to inspecting, viewing,
photographing, and video recording all areas of a service provider's
premises or under the service provider's supervision or control which
are used by individuals with developmental disabilities or are
accessible to them. This authority does not include photographing or
video recording individuals with developmental disabilities unless they
consent or State laws allow such activities.
(d) Unaccompanied access to individuals with developmental
disabilities including, but not limited to, the opportunity to meet and
communicate privately with individuals regularly, both formally and
informally, by telephone, mail and in person. This authority shall also
include the opportunity to meet, communicate with, or interview any
individual with a developmental disability, including a person thought
to be the subject of abuse, who might be reasonably believed by the P&A
system to have knowledge of an incident under investigation or non-
compliance with respect to the rights and safety of individuals with
developmental disabilities. Except as otherwise required by law the P&A
shall not be required to provide the name or other identifying
information regarding the individual with a disability with whom it
plans to meet; neither may the P&A be required to justify or explain its
interaction with such persons.

Sec. 1326.28 Confidentiality of State Protection and Advocacy
System records.

(a) A P&A shall, at minimum, comply with the confidentiality
provisions of all applicable Federal and State laws.
(b) Records maintained by the P&A system are the property of the P&A
system which must protect them from loss, damage, tampering,
unauthorized use, or tampering. The P&A system must:
(1) Except as provided elsewhere in this section, keep confidential
all records and information, including information contained in any
automated electronic database pertaining to:
(i) Clients;
(ii) Individuals who have been provided general information or
technical assistance on a particular matter;
(iii) The identity of individuals who report incidents of abuse or
neglect, or who furnish information that forms the basis for a
determination that probable cause exists; and
(iv) Names of individuals who have received services, supports or
other assistance, and who provided information to the P&A for the
record.
(v) Peer review records.
(2) Have written policies governing the access, storage, duplication
and release of information from client records, including the release of
information peer review records.
(3) Obtain written consent from the client, or from his or her legal
representative; individuals who have been provided general information
or technical assistance on a particular matter; and individuals who
furnish reports or information that form the basis for a determination
of probable cause, before releasing information concerning such
individuals to those not otherwise authorized to receive it.
(c) Nothing in this subpart shall prevent the P&A system from
issuing a public report of the results of an investigation which
maintains the confidentiality of the individuals listed in paragraph
(a)(1) of this section, or reporting the results of an investigation in
a manner which maintains the confidentiality of such individuals, to
responsible investigative or enforcement agencies should an
investigation reveal information concerning the service provider, its
staff, or employees warranting possible sanctions or corrective action.
This information may be reported to agencies responsible for service
provider licensing or accreditation, employee discipline, employee
licensing or certification, or criminal investigation or prosecution.
(d) Notwithstanding the confidentiality requirements of this
section, the P&A may make a report to investigative or enforcement
agencies, as described in paragraph (b) of this section, which reveals
the identity of an

[[Page 257]]

individual with developmental disability, and information relating to
his or her status or treatment:
(1) When the system has received a complaint that the individual has
been or may be subject to abuse and neglect, or has probable cause
(which can be the result of monitoring or other activities including
media reports and newspaper articles) to believe that such individual
has been or may be subject to abuse or neglect;
(2) When the system determines that there is probable cause to
believe the health or safety of the individual is in serious and
immediate jeopardy; or
(3) In any case of the death of an individual whom the system
believes may have had a developmental disability.

Subpart D_Federal Assistance to State Councils on Developmental
Disabilities

Sec. 1326.30 State plan requirements.

(a) In order to receive Federal funding under this subpart, each
State Developmental Disabilities Council must prepare and submit a State
plan which meets the requirements of sections 124 and 125 of the Act (42
U.S.C. 15024 and 15025), and the applicable regulation. Development of
the State plan and its periodic updating are the responsibility of the
State Council on Developmental Disabilities. As provided in section
124(d) of the Act, the Council shall provide opportunities for public
input and review (in accessible formats and plain language
requirements), and will consult with the Designated State Agency to
determine that the plan is consistent with applicable State laws, and
obtain appropriate State plan assurances.
(b) Failure to comply with the State plan requirements may result in
the loss of Federal funds as described in section 127 of the Act (42
U.S.C. 15027). The Secretary, or his or her designee, must provide
reasonable notice and an opportunity for a hearing to the Council and
the Designated State Agency before withholding any payments for
planning, administration, and services.
(c) The State plan must be submitted through the designated system
by AIDD which is used to collect quantifiable and qualifiable
information from the State Councils on Developmental Disabilities. The
plan must:
(1) Identify the agency or office in the State designated to support
the Council in accordance with section 124(c)(2) and 125(d) of the Act.
The Designated State Agency shall provide required assurances and
support services requested from and negotiated with the Council.
(2) For a year covered by the State plan, include for each area of
emphasis under which a goal or goals have been identified, the measures
of progress the Council has established or is required to apply in its
progress in furthering the purpose of the Developmental Disabilities
Assistance and Bill of Rights Act through advocacy, capacity building,
and systemic change activities.
(3) Provide for the establishment and maintenance of a Council in
accordance with section 125 of the Act and describe the membership of
such Council. The non-State agency members of the Council shall be
subject to term limits to ensure rotating membership.
(d) The State plan must be updated during the five-year period when
substantive changes are contemplated in plan content, including changes
under paragraph (c)(2) of this section.
(e) The State plan may provide for funding projects to demonstrate
new approaches to direct services that enhance the independence,
productivity, and integration and inclusion into the community of
individuals with developmental disabilities. Direct service
demonstrations must be short-term, with a strategy to locate on-going
funding from other sources after five years. Any State desiring to
receive assistance beyond five years, under this subtitle, shall include
in the State plan the information listed in paragraphs (e)(1) through
(3) of this section, and AIDD reserves the right as the overseeing
agency to deny the continuation of the demonstration project beyond five
years.
(1) The estimated period for the project's continued duration;
(2) Justifications of why the project cannot be funded by the State
or other sources and should receive continued funding; and

[[Page 258]]

(3) Provide data outcomes showing evidence of success.
(f) The State plan may provide for funding of other demonstration
projects or activities, including but not limited to outreach, training,
technical assistance, supporting and educating communities, interagency
collaboration and coordination, coordination with related councils,
committees and programs, barrier elimination, systems design and
redesign, coalition development and citizen participation, and informing
policymakers. Demonstrations must be short-term, with a strategy to
locate on-going funding from other sources after five years. Any State
desiring to receive assistance beyond five years, under this subtitle,
shall include in the State plan the information listed in paragraphs
(f)(1) through (3) of this section, and AIDD reserves the right as the
overseeing agency to deny the continuation of the demonstration project
beyond five years.
(1) The estimated period for the project's continued duration;
(2) Justifications on why the project cannot be funded by the State
or other resources and should receive continued funding; and
(3) Provide data showing evidence of success.
(g) The State plan must contain assurances that are consistent with
section 124 of the Act (42 U.S.C. 15024).

Sec. 1326.31 State plan submittal and approval.

(a) The Council shall issue a public notice about the availability
of the proposed State plan or State plan amendment(s) for comment. The
notice shall be published in formats accessible to individuals with
developmental disabilities and the general public (e.g. public forums,
Web sites, newspapers, and other current technologies) and shall provide
a 45-day period for public review and comment. The Council shall take
into account comments submitted within that period, and respond in the
State plan to significant comments and suggestions. A summary of the
Council's responses to State plan comments shall be submitted with the
State plan and made available for public review. This document shall be
made available in accessible formats upon request.
(b) The State plan or amendment must be submitted to AIDD 45 days
prior to the fiscal year for which it is applicable.
(c) Failure to submit an approvable State plan or amendment prior to
the Federal fiscal year for which it is applicable may result in the
loss of Federal financial participation. Plans received during a quarter
of the Federal fiscal year are approved back to the first day of the
quarter so costs incurred from that point forward are approvable. Costs
resulting from obligations incurred during the period of the fiscal year
for which an approved plan is not in effect are not eligible for Federal
financial participation.
(d) The Secretary, or his or her designee, must approve any State
plan or plan amendment provided it meets the requirements of the Act and
this regulation.

Sec. 1326.32 Periodic reports: Federal assistance to State Councils
on Developmental Disabilities.

(a) The Governor or appropriate State financial officer must submit
financial status reports (AIDD-02B) on the programs funded under this
subpart semiannually.
(b) By January 1 of each year, the State Council on Developmental
Disabilities shall submit to AIDD, an Annual Program Performance Report
through the system established by AIDD. In order to be accepted by AIDD,
reports must meet the requirements of section 125(c)(7) of the Act (42
U.S.C. 15025) and the applicable regulations, include the information on
its program necessary for the Secretary, or his or her designee, to
comply with section 105(1), (2), and (3) of the Act (42 U.S.C. 15005),
and any other information requested by AIDD. Each Report shall contain
information about the progress made by the Council in achieving its
goals including:
(1) A description of the extent to which the goals were achieved;
(2) A description of the strategies that contributed to achieving
the goals;
(3) To the extent to which the goals were not achieved, a
description of factors that impeded the achievement;

[[Page 259]]

(4) Separate information on the self-advocacy goal described in
section 124(c)(4)(A)(ii) of the Act (42 U.S.C. 15024);
(5) As appropriate, an update on the results of the comprehensive
review and analysis of the extent to which services, supports, and other
assistance are available to individuals with developmental disabilities
and their families, including the extent of unmet needs for services,
supports, and other assistance for those individuals and their families,
in the State as required in section 124(c)(3) of the Act (42 U.S.C.
15024);
(6) Information on individual satisfaction with Council supported or
conducted activities;
(7) A description of the adequacy of health care and other services,
supports, and assistance that individuals with developmental
disabilities in Intermediate Care Facilities for Individuals with
Intellectual Disabilities (ICF/IID) receive;
(8) To the extent available, a description of the adequacy of health
care and other services, supports, and assistance received by
individuals with developmental disabilities served through home and
community-based waivers (authorized under section 1915(c) of the Social
Security Act);
(9) An accounting of the funds paid to the State awarded under the
DD Council program;
(10) A description of resources made available to carry out
activities to assist individuals with developmental disabilities
directly attributable to Council actions;
(11) A description of resources made available for such activities
that are undertaken by the Council in collaboration with other entities;
and
(12) A description of the method by which the Council will widely
disseminate the annual report to affected constituencies and the general
public and will assure that the report is available in accessible
formats.
(c) Each Council must include in its Annual Program Performance
Report information on its achievement of the measures of progress.

Sec. 1326.33 Protection of employees interests.

(a) Based on section 124(c)(5)(J) of the Act (42 U.S.C.
15024(c)(5)(J)), the State plan must assure fair and equitable
arrangements to protect the interest of all institutional employees
affected by actions under the plan to provide community living
activities. The State must inform employees of the State's decision to
provide for community living activities. Specific arrangements for the
protection of affected employees must be developed through negotiations
between the appropriate State authorities and employees or their
representatives.
(b) Fair and equitable arrangements must include procedures that
provide for the impartial resolution of disputes between the State and
an employee concerning the interpretation, application, and enforcement
of protection arrangements. To the maximum extent practicable, these
arrangements must include provisions for:
(1) The preservation of rights and benefits;
(2) Guaranteeing employment to employees affected by action under
the plan to provide alternative community living arrangements; and
(3) Employee training and retraining programs.

Sec. 1326.34 Designated State Agency.

(a) The Designated State Agency shall provide the required
assurances and other support services as requested and negotiated by the
Council. These include:
(1) Provision of financial reporting and other services as provided
under section 125(d)(3)(D) of the Act; and
(2) Information and direction, as appropriate, on procedures on the
hiring, supervision, and assignment of staff in accordance with State
law.
(b) If the State Council on Developmental Disabilities requests a
review by the Governor (or State legislature, if applicable) of the
Designated State Agency, the Council must provide documentation of the
reason for change, and recommend a new preferred Designated State Agency
by the Governor (or State legislature, if applicable).
(c) After the review is completed by the Governor (or State
legislature, if

[[Page 260]]

applicable), and if no change is made, a majority of the non-State
agency members of the Council may appeal to the Secretary, or his or her
designee, for a review of the Designated State Agency if the Council's
independence as an advocate is not assured because of the actions or
inactions of the Designated State agency.
(d) The following steps apply to the appeal of the Governor's (or
State legislature, if applicable) designation of the Designated State
Agency.
(1) Prior to an appeal to the Secretary, or his or her designee, the
State Council on Developmental Disabilities, must give a 30 day written
notice, by certified mail, to the Governor (or State legislature, if
applicable) of the majority of non-State members' intention to appeal
the designation of the Designated State Agency.
(2) The appeal must clearly identify the grounds for the claim that
the Council's independence as an advocate is not assured because of the
action or inactions of the Designated State Agency.
(3) Upon receipt of the appeal from the State Council on
Developmental Disabilities, the Secretary, or his or her designee, will
notify the State Council on Developmental Disabilities and the Governor
(or State legislature, if applicable), by certified mail, that the
appeal has been received and will be acted upon within 60 days. The
Governor (or State legislature, if applicable) shall within 10 working
days from the receipt of the Secretary's, or his or her designated
person's, notification provide written comments to the Secretary, or his
or her designee, (with a copy sent by registered or certified mail to
the Council) on the claims in the Council's appeal. Either party may
request, and the Secretary, or his or her designee, may grant, an
opportunity for an informal meeting with the Secretary, or his or her
designee, at which representatives from both parties will present their
views on the issues in the appeal. The meeting will be held within 20
working days of the submission of written comments by the Governor (or
State legislature, if applicable). The Secretary, or his or her
designee, will promptly notify the parties of the date and place of the
meeting.
(4) The Secretary, or his or her designee, will review the issue(s)
and provide a final written decision within 60 days following receipt of
the appeal from the State Council on Developmental Disabilities. If the
determination is made that the Designated State Agency should be
redesignated, the Governor (or State legislature, if applicable) must
provide written assurance of compliance within 45 days from receipt of
the decision.
(5) Anytime during this appeals process the State Council on
Developmental Disabilities may withdraw such request if resolution has
been reached with the Governor (or State legislature, if applicable) on
the Designated State Agency. The Governor (or State legislature, if
applicable) must notify the Secretary, or his or her designee, in
writing of such a decision.
(e) The Designated State Agency may authorize the Council to
contract with State agencies other than the Designated State Agency to
perform functions of the Designated State Agency.

Sec. 1326.35 Allowable and non-allowable costs for Federal
assistance to State Councils on Developmental Disabilities.

(a) Under this subpart, Federal funding is available for costs
resulting from obligations incurred under the approved State plan for
the necessary expenses of administering the plan, which may include the
establishment and maintenance of the State Council, and all programs,
projects, and activities carried out under the State plan.
(b) Expenditures which are not allowable for Federal financial
participation are:
(1) Costs incurred by institutions or other residential or non-
residential programs which do not comply with the Congressional findings
with respect to the rights of individuals with developmental
disabilities in section 109 of the Act (42 U.S.C. 15009).
(2) Costs incurred for activities not provided for in the approved
State plan; and
(3) Costs not allowed under other applicable statutes, Departmental
regulations, or issuances of the Office of Management and Budget.

[[Page 261]]

(c) Expenditure of funds that supplant State and local funds are not
allowed. Supplanting occurs when State or local funds previously used to
fund activities under the State plan are replaced by Federal funds for
the same purpose. However, supplanting does not occur if State or local
funds are replaced with Federal funds for a particular activity or
purpose in the approved State plan if the replaced State or local funds
are then used for other activities or purposes in the approved State
plan.
(d) For purposes of determining aggregate minimum State share of
expenditures, there are three categories of expenditures:
(1) Expenditures for projects or activities undertaken directly by
the Council and Council staff to implement State plan activities, as
described in section 126(a)(3) of the Act, require no non-Federal
aggregate of the necessary costs of such activities.
(2) Expenditures for projects whose activities or products target
individuals with developmental disabilities who live in urban or rural
poverty areas, as determined by the Secretary, or his or her designee,
but not carried out directly by the Council and Council staff, as
described in section 126(a)(2) of the Act, shall have non-Federal
funding of at least 10 percent in the aggregate of the necessary costs
of such projects.
(3) All other projects not directly carried out by the Council and
Council staff shall have non-Federal funding of at least 25 percent in
the aggregate of the necessary costs of such projects.
(e) The Council may vary the non-Federal funding required on a
project-by-project, activity-by-activity basis (both poverty and non-
poverty activities), including requiring no non-Federal funding from
particular projects or activities as the Council deems appropriate so
long as the requirement for aggregate non-Federal funding is met.

Sec. 1326.36 Final disapproval of the State plan or plan amendments.

The Department will disapprove any State plan or plan amendment only
after the following procedures have been complied with:
(a) The State plan has been submitted to AIDD for review. If after
contacting the State on issues with the plan with no resolution, a
detailed written analysis of the reasons for recommending disapproval
shall be prepared and provided to the State Council and State Designated
Agency.
(b) Once the Secretary, or his or her designee, has determined that
the State plan, in whole or in part, is not approvable, notice of this
determination shall be sent to the State with appropriate references to
the records, provisions of the statute and regulations, and all relevant
interpretations of applicable laws and regulations. The notification of
the decision must inform the State of its right to appeal in accordance
with subpart E of this part.
(c) The Secretary's, or his or her designee's, decision has been
forwarded to the State Council and its Designated State Agency by
certified mail with a return receipt requested.
(d) A State has filed its request for a hearing with the Secretary,
or his or her designee, within 21 days of the receipt of the decision.
The request for a hearing must be sent by certified mail to the
Secretary, or his or her designee. The date of mailing the request is
considered the date of filing if it is supported by independent evidence
of mailing. Otherwise the date of receipt shall be considered the date
of filing.

Subpart E_Practice and Procedure for Hearings Pertaining to States'
Conformity and Compliance With Developmental Disabilities State Plans,
Reports, and Federal Requirements

General

Sec. 1326.80 Definitions.

For purposes of this subpart:
Payment or allotment. The term ``payment'' or ``allotment'' means an
amount provided under part B or C of the Developmental Disabilities
Assistance and Bill or Rights Act of 2000. This term includes Federal
funds provided under the Act irrespective of whether the State must
match the Federal portion of the expenditure.

[[Page 262]]

This term shall include funds previously covered by the terms ``Federal
financial participation,'' ``the State's total allotment,'' ``further
payments,'' ``payments,'' ``allotment'' and ``Federal funds.''
Presiding officer. The term ``presiding officer'' means anyone
designated by the Secretary to conduct any hearing held under this
subpart. The term includes the Secretary, or the Secretary's designee,
if the Secretary or his or her designee presides over the hearing. For
purposes of this subpart the Secretary's ``designee'' refers to a
person, such as the Administrator of ACL, who has been delegated broad
authority to carry out all or some of the authorizing statute. The term
designee does not refer to a presiding officer designated only to
conduct a particular hearing or hearings.

Sec. 1326.81 Scope of rules.

(a) The rules of procedures in this subpart govern the practice for
hearings afforded by the Department to States pursuant to sections 124,
127, and 143 of the Act. (42 U.S.C. 15024, 15027 and 15043).
(b) Nothing in this part is intended to preclude or limit
negotiations between the Department and the State, whether before,
during, or after the hearing to resolve the issues that are, or
otherwise would be, considered at the hearing. Negotiation and
resolution of issues are not part of the hearing, and are not governed
by the rules in this subpart, except as otherwise provided in this
subpart.

Sec. 1326.82 Records to the public.

All pleadings, correspondence, exhibits, transcripts of testimony,
exceptions, briefs, decisions, and other documents filed in the docket
in any proceeding are subject to public inspection.

Sec. 1326.83 Use of gender and number.

As used in this subpart, words importing the singular number may
extend and be applied to several persons or things, and vice versa.
Words importing either gender may be applied to the other gender or to
organizations.

Sec. 1326.84 Suspension of rules.

Upon notice to all parties, the Secretary or the Secretary's
designee may modify or waive any rule in this subpart, unless otherwise
expressly provided, upon determination that no party will be unduly
prejudiced and justice will be served.

Sec. 1326.85 Filing and service of papers.

(a) All papers in the proceedings must be filed with the designated
individual in an original and two copies. Only the originals of exhibits
and transcripts of testimony need be filed.
(b) Copies of papers in the proceedings must be served on all
parties by personal delivery or by mail. Service on the party's
designated representative is deemed service upon the party.

Preliminary Matters--Notice and Parties

Sec. 1326.90 Notice of hearing or opportunity for hearing.

Proceedings are commenced by mailing a notice of hearing or
opportunity for hearing from the Secretary, or his or her designee, to
the State Council on Developmental Disabilities and the Designated State
Agency, or to the State Protection and Advocacy System or designating
official. The notice must state the time and place for the hearing and
the issues that will be considered. The notice must be published in the
Federal Register.

Sec. 1326.91 Time of hearing.

The hearing must be scheduled not less than 30 days, nor more than
60 days after the notice of the hearing is mailed to the State.

Sec. 1326.92 Place.

The hearing must be held on a date and at a time and place
determined by the Secretary, or his or her designee with due regard for
convenience, and necessity of the parties or their representatives. The
site of the hearing shall be accessible to individuals with
disabilities.

Sec. 1326.93 Issues at hearing.

(a) Prior to a hearing, the Secretary or his or her designee may
notify the State in writing of additional issues

[[Page 263]]

which will be considered at the hearing. That notice must be published
in the Federal Register. If that notice is mailed to the State less than
20 days before the date of the hearing, the State or any other party, at
its request, must be granted a postponement of the hearing to a date 20
days after the notice was mailed or such later date as may be agreed to
by the Secretary or his or her designee.
(b) If any issue is resolved in whole or in part, but new or
modified issues are presented, the hearing must proceed on the new or
modified issues.
(c)(1) If at any time, whether prior to, during, or after the
hearing, the Secretary, or his or her designee, finds that the State has
come into compliance with Federal requirements on any issue in whole or
in part, he or she must remove the issue from the proceedings in whole
or in part as may be appropriate. If all issues are removed the
Secretary, or his or her designee, must terminate the hearing.
(2) Prior to the removal of an issue, in whole or in part, from a
hearing involving issues relating to the conformity with Federal
requirements under part B of the Act, of the State plan or the
activities of the State Protection and Advocacy System, the Secretary,
or his or her designee, must provide all parties other than the
Department and the State (see Sec. 1326.94(b)) with the statement of
his or her intention to remove an issue from the hearing and the reasons
for that decision. A copy of the proposed State plan provision or
document explaining changes in the activities of the State's Protection
and Advocacy System on which the State and the Secretary, or his or her
designee, have settled must be sent to the parties. The parties must
have an opportunity to submit in writing within 15 days their views as
to, or any information bearing upon, the merits of the proposed
provision and the merits of the reasons for removing the issue from the
hearing.
(d) In hearings involving questions of noncompliance of a State's
operation of its program under part B of the Act, with the State plan or
with Federal requirements, or compliance of the State Protection and
Advocacy System with Federal requirements, the same procedure set forth
in paragraph (c)(2) of this section must be followed with respect to any
report or evidence resulting in a conclusion by the Secretary, or his or
her designee, that a State has achieved compliance.
(e) The issues considered at the hearing must be limited to those
issues of which the State is notified as provided in Sec. 1326.90 and
paragraph (a) of this section, and new or modified issues described in
paragraph (b) of this section, and may not include issues or parts of
issues removed from the proceedings pursuant to paragraph (c) of this
section.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016; 85
FR 72911, Nov. 16, 2020]

Sec. 1326.94 Request to participate in hearing.

(a) The Department, the State, the State Council on Developmental
Disabilities, the Designated State Agency, and the State Protection and
Advocacy System, as appropriate, are parties to the hearing without
making a specific request to participate.
(b)(1) Other individuals or groups may be recognized as parties if
the issues to be considered at the hearing have caused them injury and
their interests are relevant to the issues in the hearing.
(2) Any individual or group wishing to participate as a party must
file a petition with the designated individual within 15 days after
notice of the hearing has been published in the Federal Register, and
must serve a copy on each party of record at that time in accordance
with Sec. 1326.85(b). The petition must concisely state:
(i) Petitioner's interest in the proceeding;
(ii) Who will appear for petitioner;
(iii) The issues the petitioner wishes to address; and
(iv) Whether the petitioner intends to present witnesses.
(c)(1) Any interested person or organization wishing to participate
as amicus curiae must file a petition with the designated individual
before the commencement of the hearing. The petition must concisely
state:
(i) The petitioner's interest in the hearing;

[[Page 264]]

(ii) Who will represent the petitioner; and
(iii) The issues on which the petitioner intends to present
argument.
(2) The presiding officer may grant the petition if he or she finds
that the petitioner has a legitimate interest in the proceedings and
that such participation will not unduly delay the outcome and may
contribute materially to the proper disposition of the issues.
(3) An amicus curiae may present a brief oral statement at the
hearing at the point in the proceedings specified by the presiding
officer. It may submit a written statement of position to the presiding
officer prior to the beginning of a hearing and must serve a copy on
each party. It also may submit a brief or written statement at such time
as the parties submit briefs and must serve a copy on each party.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016]

Hearing Procedures

Sec. 1326.100 Who presides.

(a) The presiding officer at a hearing must be the Secretary, his or
her designee, or another person specifically designated for a particular
hearing or hearings.
(b) The designation of a presiding officer must be in writing. A
copy of the designation must be served on all parties and amici curiae.

Sec. 1326.101 Authority of presiding officer.

(a) The presiding officer has the duty to conduct a fair hearing,
avoid delay, maintain order, and make a record of the proceedings. The
presiding officer has all powers necessary to accomplish these ends,
including, but not limited to, the power to:
(1) Change the date, time, and place of the hearing, upon notice to
the parties. This includes the power to continue the hearing in whole or
in part;
(2) Hold conferences to settle or simplify the issues in a
proceeding, or to consider other matters that may aid in the expeditious
disposition of the proceedings;
(3) Regulate participation of parties and amici curiae and require
parties and amici curiae to state their positions with respect to the
issues in the proceeding;
(4) Administer oaths and affirmations;
(5) Rule on motions and other procedural items on matters pending
before him or her, including issuance of protective orders or other
relief to a party against whom discovery is sought;
(6) Regulate the course of the hearing and conduct of counsel
therein;
(7) Examine witnesses;
(8) Receive, rule on, exclude, or limit evidence or discovery;
(9) Fix the time for filing motions, petitions, briefs, or other
items in matters pending before him or her;
(10) If the presiding officer is the Secretary, or his or her
designee, make a final decision;
(11) If the presiding officer is a person other than the Secretary
or his or her designee, the presiding officer shall certify the entire
record, including recommended findings and proposed decision, to the
Secretary or his or her designee; and
(12) Take any action authorized by the rules in this subpart or 5
U.S.C. 551-559.
(b) The presiding officer does not have authority to compel the
production of witnesses, papers, or other evidence by subpoena.
(c) If the presiding officer is a person other than the Secretary or
his or her designee, his or her authority is to render a recommended
decision with respect to program requirements which are to be considered
at the hearing. In case of any noncompliance, he or she shall recommend
whether payments or allotments should be withheld with respect to the
entire State plan or the activities of the State's Protection and
Advocacy System, or whether the payments or allotments should be
withheld only with respect to those parts of the program affected by
such noncompliance.

Sec. 1326.102 Rights of parties.

All parties may:
(a) Appear by counsel, or other authorized representative, in all
hearing proceedings;
(b) Participate in any prehearing conference held by the presiding
officer;

[[Page 265]]

(c) Agree to stipulations of facts which will be made a part of the
record;
(d) Make opening statements at the hearing;
(e) Present relevant evidence on the issues at the hearing;
(f) Present witnesses who then must be available for cross-
examination by all other parties;
(g) Present oral arguments at the hearing; and
(h) Submit written briefs, proposed findings of fact, and proposed
conclusions of law, after the hearing.

Sec. 1326.103 Discovery.

The Department and any party named in the notice issued pursuant to
Sec. 1326.90 has the right to conduct discovery (including depositions)
against opposing parties as provided by the Federal Rules of Civil
Procedure. There is no fixed rule on priority of discovery. Upon written
motion, the presiding officer must promptly rule upon any objection to
discovery action. The presiding officer also has the power to grant a
protective order or relief to any party against whom discovery is sought
and to restrict or control discovery so as to prevent undue delay in the
conduct of the hearing. Upon the failure of any party to make discovery,
the presiding officer may issue any order and impose any sanction other
than contempt orders authorized by Rule 37 of the Federal Rules of Civil
Procedure.

[80 FR 44807, July 27, 2015, as amended at 85 FR 72911, Nov. 16, 2020]

Sec. 1326.104 Evidentiary purpose.

The hearing is directed to receiving factual evidence and expert
opinion testimony related to the issues in the proceeding. Argument will
not be received in evidence; rather, it must be presented in statements,
memoranda, or briefs, as directed by the presiding officer. Brief
opening statements, which shall be limited to a statement of the party's
position and what it intends to prove, may be made at hearings.

Sec. 1326.105 Evidence.

(a) Testimony. Testimony by witnesses at the hearing is given orally
under oath or affirmation. Witnesses must be available at the hearing
for cross-examination by all parties.
(b) Stipulations and exhibits. Two or more parties may agree to
stipulations of fact. Such stipulations, or any exhibit proposed by any
party, must be exchanged at the prehearing conference or at a different
time prior to the hearing if the presiding officer requires it.
(c) Rules of evidence. Technical rules of evidence do not apply to
hearings conducted pursuant to this subpart, but rules or principles
designed to assure production of the most credible evidence available
and to subject testimony to test by cross-examination are applied where
reasonably necessary by the presiding officer. A witness may be cross-
examined on any matter material to the proceeding without regard to the
scope of his or her direct examination. The presiding officer may
exclude irrelevant, immaterial, or unduly repetitious evidence. All
documents and other evidence offered or taken for the record is open to
examination by the parties and opportunity must be given to refute facts
and arguments advanced on either side of the issues.

Sec. 1326.106 Exclusion from hearing for misconduct.

Disrespectful, disorderly, or rebellious language or contemptuous
conduct, refusal to comply with directions, or continued use of dilatory
tactics by any person at the hearing before a presiding officer shall
constitute grounds for immediate exclusion of such person from the
hearing by the presiding officer.

Sec. 1326.107 Unsponsored written material.

Letters expressing views or urging action and other unsponsored
written material regarding matters in issue in a hearing is placed in
the correspondence section of the docket of the proceeding. This
material is not deemed part of the evidence or record in the hearing.

Sec. 1326.108 Official transcript.

The Department will designate the official reporter for all
hearings. The official transcript of testimony taken,

[[Page 266]]

together with any stipulations, exhibits, briefs, or memoranda of law
filed with them is filed with the Department. Transcripts of testimony
in hearings may be obtained from the official reporter by the parties
and the public at rates not to exceed the maximum rates fixed by the
contract between the Department and the reporter. Upon notice to all
parties, the presiding officer may authorize corrections to the
transcript which involve matters of substance. Transcripts must be taken
by stenotype machine and not be voice recording devices, unless
otherwise agreed by all of the parties and the presiding officer.

Sec. 1326.109 Record for decision.

The transcript of testimony, exhibits, and all papers and requests
filed in the proceedings, except the correspondence section of the
docket, including rulings and any recommended or initial decision,
constitute the exclusive record for decision.

Post-Hearing Procedures, Decisions

Sec. 1326.110 Post-hearing briefs.

The presiding officer must fix the time for filing post-hearing
briefs. This time may not exceed 30 days after termination of the
hearing and receipt of the transcript. Briefs may contain proposed
findings of fact and conclusions of law. If permitted, reply briefs may
be filed no later than 15 days after filing of the post-hearing briefs.

Sec. 1326.111 Decisions following hearing.

(a) If the Secretary, or his or her designee, is the presiding
officer, he or she must issue a decision within 60 days after the time
for submission of post-hearing briefs has expired.
(b)(1) If the presiding officer is another person designated for a
particular hearing or hearings, he or she must, within 30 days after the
time for submission of post-hearing briefs has expired, certify the
entire record to the Secretary (or his or her designee) including the
recommended findings and proposed decision.
(2) The Secretary, or his or her designee, must serve a copy of the
recommended findings and proposed decision upon all parties and amici.
(3) Any party may, within 20 days, file exceptions to the
recommended findings and proposed decision and supporting brief or
statement with the Secretary, or his or her designee.
(4) The Secretary, or his or her designee, must review the
recommended decision and, within 60 days of its issuance, issue his or
her own decision.
(c) If the Secretary, or his or her designee, concludes:
(1) In the case of a hearing pursuant to sections 124, 127, or 143
of the Act, that a State plan or the activities of the State's
Protection and Advocacy System does not comply with Federal
requirements, he or she shall also specify whether the State's payment
or allotment for the fiscal year will not be authorized for the State or
whether, in the exercise of his or her discretion, the payment or
allotment will be limited to the parts of the State plan or the
activities of the State's Protection and Advocacy System not affected by
the noncompliance.
(2) In the case of a hearing pursuant to section 127 of the Act that
the State is not complying with the requirements of the State plan, he
or she also must specify whether the State's payment or allotment will
be made available to the State or whether, in the exercise of his or her
discretion, the payment or allotment will be limited to the parts of the
State plan not affected by such noncompliance. The Secretary, or his or
her designee, may ask the parties for recommendations or briefs or may
hold conferences of the parties on these questions.
(d) The decision of the Secretary, or his or her designee, under
this section is the final decision of the Secretary and constitutes
``final agency action'' within the meaning of 5 U.S.C. 704 and the
``Secretary's action'' within the meaning of section 128 of the Act (42
U.S.C. 15028). The Secretary's, or his or her designee's, decision must
be promptly served on all parties and amici.

[[Page 267]]

Sec. 1326.112 Effective date of decision by the Secretary.

(a) If, in the case of a hearing pursuant to section 124 of the Act,
the Secretary, or his or her designee, concludes that a State plan does
not comply with Federal requirements, and the decision provides that the
payment or allotment will be authorized but limited to parts of the
State plan not affected by such noncompliance, the decision must specify
the effective date for the authorization of the payment or allotment.
(b) In the case of a hearing pursuant to sections 127 or 143 of the
Act, if the Secretary, or his or her designee, concludes that the State
is not complying with the requirements of the State plan or if the
activities of the State's Protection and Advocacy System do not comply
with Federal requirements, the decision that further payments or
allotments will not be made to the State, or will be limited to the
parts of the State plan or activities of the State Protection and
Advocacy System not affected, must specify the effective date for
withholding payments or allotments.
(c) The effective date may not be earlier than the date of the
decision of the Secretary, or his or her designee, and may not be later
than the first day of the next calendar quarter.
(d) The provision of this section may not be waived pursuant to
Sec. 1326.84.

[80 FR 44807, July 27, 2015, as amended at 85 FR 72911, Nov. 16, 2020]

PART 1327_DEVELOPMENTAL DISABILITIES PROJECTS OF NATIONAL
SIGNIFICANCE--Table of Contents

Authority: 42 U.S.C. 15001 et seq.

Source: 80 FR 44807, July 27, 2015, unless otherwise noted.
Redesignated at 81 FR 35645, June 3, 2016.

Sec. 1327.1 General requirements.

(a) All projects funded under this part must be of national
significance and serve or relate to individuals with developmental
disabilities to comply with subtitle E of the Act, sections 161-163 (42
U.S.C. 15081-15083).
(b) In general, Projects of National Significance (PNS) provide
technical assistance, collect data, demonstrate exemplary and innovative
models, disseminate knowledge at the local and national levels, and
otherwise meet the goals of Projects of National Significance section
161 (42 U.S.C. 15081).
(c) Projects of National Significance may engage in one or more of
the types of activities provided in section 161(2) of the Act.
(d) In general, eligible applicants for PNS funding are public and
private non-profit entities, 42 U.S.C. 15082, such as institutions of
higher learning, State and local governments, and Tribal governments.
The program announcements will specifically state any further
eligibility requirements for the priority areas in the fiscal year.
(e) Faith-based organizations are eligible to apply for PNS funding,
providing that the faith-based organizations meet the specific
eligibility criteria contained in the program announcement for the
fiscal year.

PART 1328_THE NATIONAL NETWORK OF UNIVERSITY CENTERS FOR
EXCELLENCE IN DEVELOPMENTAL DISABILITIES, EDUCATION,
RESEARCH, AND SERVICE--Table of Contents

Sec.
1328.1 Definitions.
1328.2 Purpose.
1328.3 Core functions.
1328.4 National training initiatives on critical and emerging needs.
1328.5 Applications.
1328.6 Governance and administration.
1328.7 Five-year plan and annual report.

Authority: 42 U.S.C. 15001 et seq.

Source: 80 FR 44807, July 27, 2015, unless otherwise noted.
Redesignated at 81 FR 35645, June 3, 2016.

Sec. 1328.1 Definitions.

States. For the purpose of this part, ``State'' means each of the
several States of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, the United States Virgin Islands, and Guam.

[[Page 268]]

Sec. 1328.2 Purpose.

(a) The Secretary, or his or her designee awards grants to eligible
entities designated as University Centers for Excellence in
Developmental Disabilities Education, Research, and Service (``UCEDDs'',
or ``Centers'') in each State to pay for the Federal share of the cost
of the administration and operation of the Centers. Centers shall:
(1) Provide leadership in, advise Federal, State, and community
policymakers about, and promote opportunities for individuals with
developmental disabilities to exercise self-determination, be
independent, be productive, and be integrated and included in all facets
of community life.
(2) Be interdisciplinary education, research, and public service
units of universities or public not-for-profit entities associated with
universities that engage in core functions, described in Sec. 1328.3,
addressing, directly or indirectly, one or more of the areas of
emphasis, as defined in Sec. 1325.3 of this chapter.
(b) To conduct National Training Initiatives on Critical and
Emerging Needs as described in Sec. 1328.4.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016; 85
FR 72911, Nov. 16, 2020]

Sec. 1328.3 Core functions.

The Centers described in Sec. 1328.2 must engage in the core
functions referred to in this section, which shall include:
(a) Provision of interdisciplinary pre-service preparation and
continuing education of students and fellows, which may include the
preparation and continuing education of leadership, direct service,
clinical, or other personnel to strengthen and increase the capacity of
States and communities to achieve the purpose of the DD Act of 2000.
(b) Provision of community services:
(1) That provide training or technical assistance for individuals
with developmental disabilities, their families, professionals,
paraprofessionals, policy-makers, students, and other members of the
community; and
(2) That may provide services, supports, and assistance for the
persons listed in paragraph (b)(1) of this section through demonstration
and model activities.
(c) Conduct of research, which may include basic or applied
research, evaluation, and the analysis of public policy in areas that
affect or could affect, either positively or negatively, individuals
with developmental disabilities and their families.
(d) Dissemination of information related to activities undertaken to
address the purpose of the DD Act of 2000, especially dissemination of
information that demonstrates that the network authorized under Subtitle
D of the Act is a national and international resource that includes
specific substantive areas of expertise that may be accessed and applied
in diverse settings and circumstances.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016; 85
FR 72911, Nov. 16, 2020]

Sec. 1328.4 National training initiatives on critical and emerging needs.

(a) Supplemental grant funds for National Training Initiatives
(NTIs) on critical and emerging needs may be reserved when each Center
described in section 152 of the DD Act has received a grant award of at
least $500,000, adjusted for inflation.
(b) The grants shall be awarded to Centers to pay for the Federal
share of the cost of training initiatives related to the unmet needs of
individuals with developmental disabilities and their families.
(c) The grants shall be awarded on a competitive basis, and for
periods of not more than 5 years.

Sec. 1328.5 Applications.

(a) To be eligible to receive a grant under Sec. 1388.2 for a
Center, an entity shall submit to the Secretary, or his or her designee,
an application at such time, in such manner, and containing such
information, as the Secretary, or his or her designee, may require for
approval.
(b) Each application shall describe a five-year plan that must
include:
(1) Projected goal(s) related to one or more areas of emphasis
described in Sec. 1325.3 of this chapter for each of the core
functions.
(2) Measures of progress.

[[Page 269]]

(c) The application shall contain or be supported by reasonable
assurances that the entity designated as the Center will:
(1) Meet the measures of progress;
(2) Address the projected goals, and carry out goal-related
activities, based on data driven strategic planning and in a manner
consistent with the objectives of subtitle D of the Act, that:
(i) Are developed in collaboration with the Consumer Advisory
Committee established pursuant to paragraph (c)(5) of this section;
(ii) Are consistent with, and to the extent feasible complement and
further, the Council goals contained in the State plan submitted under
section 124 of the DD Act of 2000 and the goals of the Protection and
Advocacy System established under section 143 of the DD Act of 2000; and
(iii) Will be reviewed and revised annually as necessary to address
emerging trends and needs.
(3) Use the funds made available through the grant to supplement,
and not supplant, the funds that would otherwise be made available for
activities described in Sec. 1328.2(a)(1) and (2).
(4) Protect, consistent with the policy specified in section 101(c)
of the DD Act of 2000 the legal and human rights of all individuals with
developmental disabilities (especially those individuals under State
guardianship who are involved in activities carried out under programs
assisted under subtitle D of the Act).
(5) Establish a Consumer Advisory Committee:
(i) Of which a majority of the members shall be individuals with
developmental disabilities and family members of such individuals;
(ii) That is comprised of:
(A) Individuals with developmental disabilities and related
disabilities;
(B) Family members of individuals with developmental disabilities;
(C) A representative of the State Protection and Advocacy System;
(D) A representative of the State Council on Developmental
Disabilities;
(E) A representative of a self-advocacy organization described in
section 124(c)(4)(A)(ii)(I) of the DD Act of 2000 (42 U.S.C.
15024(c)(4)(A)(ii)(I)); and
(F) Representatives of organizations that may include parent
training and information centers assisted under section 671or 672 of the
Individuals with Disabilities Education Act (20 U.S.C. 1471, 1472),
entities carrying out activities authorized under section 104 or 105 of
the Assistive Technology Act of 1998 (29 U.S.C. 3003, 3004), relevant
State agencies, and other community groups concerned with the welfare of
individuals with developmental disabilities and their families.
(iii) That reflects the racial and ethnic diversity of the State;
(iv) That shall:
(A) Consult with the Director of the Center regarding the
development of the five-year plan;
(B) Participate in an annual review of, and comment on, the progress
of the Center in meeting the projected goals contained in the plan;
(C) Make recommendations to the Director of the Center regarding any
proposed revisions of the plan that might be necessary; and
(v) Meet as often as necessary to carry out the role of the
committee, but at a minimum twice during each grant year.
(6) To the extent possible, utilize the infrastructure and resources
obtained through funds made available under the grant to leverage
additional public and private funds to successfully achieve the
projected goals developed in the five-year plan;
(7) Have a director with appropriate academic credentials,
demonstrated leadership, expertise regarding developmental disabilities,
significant experience in managing grants and contracts, and the ability
to leverage public and private funds; and
(i) Allocate adequate staff time to carry out activities related to
each of the core functions described in Sec. 1328.3.
(ii) [Reserved]
(8) Educate, and disseminate information related to the purpose of
the DD Act of 2000 to the legislature of the State in which the Center
is located, and to Members of Congress from such State.

[[Page 270]]

(d) All applications submitted under this section shall be subject
to technical and qualitative review by peer review groups as described
under paragraph (d)(1) of this section.
(1) Each peer review group shall include such individuals with
disabilities and parents, guardians, or advocates of or for individuals
with developmental disabilities, as are necessary to carry out this
section.
(2) [Reserved]
(e)(1) The Federal share of the cost of administration or operation
of a Center, or the cost of carrying out a training initiative,
supported by a grant made under subtitle D of the Act may not be more
than 75 percent of the necessary cost of such project, as determined by
the Secretary, or his or her designee.
(2) In the case of a project whose activities or products target
individuals with developmental disabilities who live in an urban or
rural poverty area, as determined by the Secretary, or his or her
designee, the Federal share of the cost of the project may not be more
than 90 percent of the necessary costs of the project, as determined by
the Secretary, or his or her designee.

[80 FR 44807, July 27, 2015, as amended at 81 FR 35647, June 3, 2016; 85
FR 72911, Nov. 16, 2020]

Editorial Note: At 85 FR 72911, Nov. 16, 2020, Sec. 1328.5 was
amended in part by removing the reference ``1388.2'' and adding in its
place ``45 CFR 1328.2''; however, the amendment could not be
incorporated due to inaccurate amendatory instruction.

Sec. 1328.6 Governance and administration.

(a) The UCEDD must be associated with, or an integral part of, a
university and promote the independence, productivity, integration, and
inclusion of individuals with developmental disabilities and their
families.
(b) The UCEDD must have a written agreement or charter with the
university, or affiliated university that specifies the UCEDD
designation as an official university component, the relationships
between the UCEDD and other university components, the university
commitment to the UCEDD, and the UCEDD commitment to the university.
(c) Within the university, the UCEDD must maintain the autonomy and
organizational structure required to carry out the UCEDD mission and
provide for the mandated activities.
(d) The UCEDD Director must report directly to, or be, a University
Administrator who will represent the interests of the UCEDD within the
University.
(e) The University must demonstrate its support for the UCEDD
through the commitment of financial and other resources.
(f) UCEDD senior professional staff, including the UCEDD Director,
Associate Director, Training Director, and Research Coordinator, must
hold faculty appointments in appropriate academic departments of the
host or an affiliated university, consistent with university policy.
UCEDD senior professional staff must contribute to the university by
participation on university committees, collaboration with other
university departments, and other university community activities.
(g) UCEDD faculty and staff must represent the broad range of
disciplines and backgrounds necessary to implement the full inclusion of
individuals with developmental disabilities in all aspects of society,
consonant with the spirit of the Americans with Disabilities Act (ADA).
(h) The management practices of the UCEDD, as well as the
organizational structure, must promote the role of the UCEDD as a bridge
between the University and the community. The UCEDD must actively
participate in community networks and include a range of collaborating
partners.
(i) The UCEDD's Consumer Advisory Committee must meet regularly. The
membership of the Consumer Advisory Committee must reflect the racial
and ethnic diversity of the State or community in which the UCEDD is
located. The deliberations of the Consumer Advisory Committee must be
reflected in UCEDD policies and programs.
(j) The UCEDD must maintain collaborative relationships with the
SCDD and P&A. In addition, the UCEDD must be a permanent member of the
SCDD and regularly participate in Council meetings and activities, as
prescribed by the Act.

[[Page 271]]

(k) The UCEDD must maintain collaborative relationships and be an
active participant with the UCEDD network and individual organizations.
(l) The UCEDD must demonstrate the ability to leverage additional
resources.
(m) The university must demonstrate that the UCEDD have adequate
space to carry out the mandated activities.
(n) The UCEDD physical facility and all program initiatives
conducted by the UCEDD must be accessible to individuals with
disabilities as provided for by section 504 of the Rehabilitation Act
and Titles II and III of the Americans with Disabilities Act.
(o) The UCEDD must integrate the mandated core functions into its
activities and
programs and must have a written plan for each core function area.
(p) The UCEDD must have in place a long range planning capability to
enable it to respond to emergent and future developments in the field.
(q) The UCEDD must utilize state-of-the-art methods, including the
active participation of individuals, families and others of UCEDD
programs and services to evaluate programs. The UCEDD must refine and
strengthen its programs based on evaluation findings.
(r) The UCEDD Director must demonstrate commitment to the field of
developmental disabilities, leadership, and vision in carrying out the
mission of the UCEDD.
(s) The UCEDD must meet the ``Employment of Individuals with
Disabilities'' requirements as described in section 107 of the Act.

Sec. 1328.7 Five-year plan and annual report.

(a) As required by section 154(a)(2) of the DD Act of 2000 (42
U.S.C. 15064), the application for core funding for a UCEDD shall
describe a five-year plan, including a projected goal or goals related
to one or more areas of emphasis for each of the core functions in
section 153(a)(2) of the DD Act of 2000 (42 U.S.C.15063).
(1) For each area of emphasis under which a goal has been
identified, the UCEDD must state in its application the measures of
progress with the requirements of the law and applicable regulation, in
accordance with current practice.
(2) If changes are made to the measures of progress established for
a year, the five-year plan must be amended to reflect those changes and
approved by AIDD upon review.
(3) By July 30 of each year, a UCEDD shall submit an Annual Report,
using the system established or funded by AIDD. In order to be accepted
by AIDD, an Annual Report must meet the requirements of section 154(e)
of the Act (42 U.S.C. 15064) and, the applicable regulations, and
include the information necessary for the Secretary, or his or her
designee, to comply with section 105(1), (2), and (3) of the Act (42
U.S.C. 15005) and any other information requested by AIDD. The Report
shall include information on progress made in achieving the UCEDD's
goals for the previous year, including:
(i) The extent to which the goals were achieved;
(ii) A description of the strategies that contributed to achieving
the goals;
(iii) The extent to which the goals were not achieved;
(iv) A detailed description of why goals were not met; and
(v) An accounting of the manner in which funds paid to the UCEDD for
a fiscal year were expended.
(4) The Report also must include information on proposed revisions
to the goals and a description of successful efforts to leverage funds,
other than funds under the Act, to pursue goals consistent with the
UCEDD program.
(5) Each UCEDD must include in its Annual Report information on its
achievement of the measures of progress.
(b) [Reserved]

PART 1329_STATE INDEPENDENT LIVING SERVICES AND CENTERS FOR
INDEPENDENT LIVING--Table of Contents

Subpart A_General Provisions

Sec.
1329.1 Programs covered.
1329.2 Purpose.
1329.3 Applicability of other regulations.
1329.4 Definitions.
1329.5 Indicators of minimum compliance.
1329.6 Reporting.

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1329.7 Enforcement and appeals procedures.

Subpart B_Independent Living Services

1329.10 Authorized use of funds for Independent Living Services.
1329.11 DSE eligibility and application.
1329.12 Role of the designated State entity.
1329.13 Allotment of Federal funds for State independent living (IL)
services.
1329.14 Establishment of SILC.
1329.15 Duties of the SILC.
1329.16 Authorities of the SILC.
1329.17 General requirements for a State plan.

Subpart C_Centers for Independent Living Program

1329.20 Centers for Independent Living (CIL) program.
1329.21 Continuation awards to entities eligible for assistance under
the CIL program.
1329.22 Competitive awards to new Centers for Independent Living.
1329.23 Compliance reviews.
1329.24 Training and technical assistance to Centers for Independent
Living.

Authority: 29 U.S.C. 709; 42 U.S.C. 3515e.

Source: 81 FR 74694, Oct. 27, 2016, unless otherwise noted.

Subpart A_General Provisions

Sec. 1329.1 Programs covered.

This part includes general requirements applicable to the conduct of
the following programs authorized under title VII, chapter 1 of the
Rehabilitation Act of 1973, as amended:
(a) Independent Living Services (ILS), title VII, chapter 1, part B
(29 U.S.C. 796e to 796e-3).
(b) The Centers for Independent Living (CIL), title VII, chapter 1,
part C (29 U.S.C. 796f to 796f-6).

Sec. 1329.2 Purpose.

The purpose of title VII of the Act is to promote a philosophy of
independent living (IL), including a philosophy of consumer control,
peer support, self-help, self-determination, equal access, and
individual and system advocacy, in order to maximize the leadership,
empowerment, independence, and productivity of individuals with
disabilities, and to promote the integration and full inclusion of
individuals with disabilities into the mainstream of American society
by:
(a) Providing financial assistance to States for providing,
expanding, and improving the provision of IL services;
(b) Providing financial assistance to develop and support statewide
networks of Centers for Independent Living (Centers or CILs);
(c) Providing financial assistance to States, with the goal of
improving the independence of individuals with disabilities, for
improving working relationships among--
(1) State Independent Living Services;
(2) Centers for Independent Living;
(3) Statewide Independent Living Councils (SILCs or Councils)
established under section 705 of the Act (29 U.S.C. 796d);
(4) State vocational rehabilitation (VR) programs receiving
assistance under Title 1 of the Act (29 U.S.C. 720 et seq.);
(5) State programs of supported employment services receiving
assistance under Title VI of the Act (29 U.S.C. 795g et seq.);
(6) Client assistance programs (CAPs) receiving assistance under
section 112 of the Act (29 U.S.C. 732);
(7) Programs funded under other titles of the Act;
(8) Programs funded under other Federal laws; and
(9) Programs funded through non-Federal sources with the goal of
improving the independence of individuals with disabilities.

Sec. 1329.3 Applicability of other regulations.

Several other regulations apply to all activities under this part.
These include but are not limited to:
(a) 45 CFR part 16--Procedures of the Departmental Grant Appeals
Board.
(b) 45 CFR part 46--Protection of Human Subjects.
(c) 45 CFR part 75--Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for HHS Awards.
(d) 45 CFR part 80--Nondiscrimination under Programs Receiving
Federal Assistance through the Department of Health and Human Services--
Effectuation of title VI of the Civil Rights Act of 1964.

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(e) 45 CFR part 81--Practice and Procedure for Hearings under Part
80 of this Title.
(f) 45 CFR part 84--Nondiscrimination on the Basis of Handicap in
Programs Activities Receiving Federal Financial Assistance.
(g) 45 CFR part 86--Nondiscrimination on the Basis of Sex in
Education Programs or Activities Receiving Federal Financial Assistance.
(h) 45 CFR part 91--Nondiscrimination on the Basis of Age in
Programs or Activities Receiving Federal Financial Assistance from HHS.
(i) 45 CFR part 93--New Restrictions on Lobbying.
(j) 2 CFR part 376--Nonprocurement Debarment and Suspension.
(k) 2 CFR part 382--Requirements for Drug-Free Workplace (Financial
Assistance).

Sec. 1329.4 Definitions.

For the purposes of this part, the following definitions apply:
Act means the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.), as
amended. Part B refers to part B of chapter 1 of title VII of the Act
(29 U.S.C. 796e to 796e-3). Part C refers to part C of chapter 1 of
title VII, of the Act (29 U.S.C. 796f to 796f-6).
Administrative support services means services and supports provided
by the designated State entity under Part B, and to Part C CILs
administered by the State under section 723 of the Act in support of the
goals, objectives and related activities under an approved State Plan
for Independent Living (SPIL). Such support includes any costs
associated with contracts and subgrants including fiscal and
programmatic oversight, among other services.
Administrator means the Administrator of the Administration for
Community Living (ACL) of the Department of Health and Human Services.
Advocacy means pleading an individual's cause or speaking or writing
in support of an individual. To the extent permitted by State law or the
rules of the agency before which an individual is appearing, a non-
lawyer may engage in advocacy on behalf of another individual. Advocacy
may--
(1) Involve representing an individual--
(i) Before private entities or organizations, government agencies
(whether State, local, or Federal), or in a court of law (whether State
or Federal); or
(ii) In negotiations or mediation, in formal or informal
administrative proceedings before government agencies (whether State,
local, or Federal), or in legal proceedings in a court of law; and
(2) Be on behalf of--
(i) A single individual, in which case it is individual advocacy;
(ii) A group or class of individuals, in which case it is systems
advocacy; or
(iii) Oneself, in which case it is self advocacy.
Attendant care means a personal assistance service provided to an
individual with significant disabilities in performing a variety of
tasks required to meet essential personal needs in areas such as
bathing, communicating, cooking, dressing, eating, homemaking,
toileting, and transportation.
Center for independent living (``Center'') means a consumer-
controlled, community-based, cross-disability, nonresidential, private
nonprofit agency for individuals with significant disabilities
(regardless of age or income) that--
(1) Is designed and operated within a local community by individuals
with disabilities;
(2) Provides an array of IL services as defined in section 7(18) of
the Act, including, at a minimum, independent living core services as
defined in this section; and
(3) Complies with the standards set out in Section 725(b) and
provides and complies with the assurances in section 725(c) of the Act
and Sec. 1329.5.
Completed their secondary education means, with respect to the
Independent Living Core Services that facilitate the transition of youth
who are individuals with significant disabilities in section
7(17)(e)(iii) of the Act, that an eligible youth has received a diploma;
has received a certificate of completion for high school or other
equivalent document marking the completion of participation in high
school; or has exceeded the age of eligibility for services under IDEA.

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Consumer control means, with respect to a Center or eligible agency,
that the Center or eligible agency vests power and authority in
individuals with disabilities, including individuals who are or have
been recipients of IL services, in terms of the management, staffing,
decision making, operation, and provision of services. Consumer control,
with respect to an individual, means that the individual with a
disability asserts control over his or her personal life choices, and in
addition, has control over his or her independent living plan (ILP),
making informed choices about content, goals and implementation.
Cross-disability means, with respect to services provided by a
Center, that a Center provides services to individuals with all
different types of significant disabilities, including individuals with
significant disabilities who are members of unserved or underserved
populations by programs under Title VII. Eligibility for services shall
be determined by the Center, and shall not be based on the presence of
any one or more specific significant disabilities.
Designated State entity (DSE) is the State agency designated in the
State Plan for Independent Living (SPIL) that acts on behalf of the
State to provide the functions described in title VII, chapter 1 of the
Act.
Eligible agency means a consumer-controlled, community-based, cross-
disability, nonresidential, private, nonprofit agency.
Independent living core services mean, for purposes of services that
are supported under the ILS or CIL programs--
(1) Information and referral services;
(2) Independent Living skills training;
(3) Peer counseling, including cross-disability peer counseling;
(4) Individual and systems advocacy;
(5) Services that:
(i) Facilitate the transition of individuals with significant
disabilities from nursing homes and other institutions to home and
community-based residences, with the requisite supports and services.
This process may include providing services and supports that a consumer
identifies are needed to move that person from an institutional setting
to community based setting, including systems advocacy required for the
individual to move to a home of his or her choosing;
(ii) Provide assistance to individuals with significant disabilities
who are at risk of entering institutions so that the individuals may
remain in the community. A determination of who is at risk of entering
an institution should include self-identification by the individual as
part of the intake or goal-setting process; and
(iii) Facilitate the transition of youth who are individuals with
significant disabilities, who were eligible for individualized education
programs under section 614(d) of the Individuals with Disabilities
Education Act (20 U.S.C. 1414(d)), and who have completed their
secondary education or otherwise left school, to postsecondary life.
Individuals who have reached the age of 18 and are still receiving
services in accordance with an Individualized Education Program (IEP)
under IDEA have not ``completed their secondary education.''
Independent living service includes the independent living core
services and such other services as described in section 7(18) of the
Act.
Individual with a disability means an individual who--
(1) Has a physical or mental impairment that substantially limits
one or more major life activities of such individual;
(2) Has a record of such an impairment; or
(3) Is regarded as having such an impairment, as described in
section 3(3) of the Americans with Disabilities Act of 1990 (42 U.S.C.
12102(3)).
Individual with a significant disability means an individual with a
severe physical or mental impairment whose ability to function
independently in the family or community or whose ability to obtain,
maintain, or advance in employment is substantially limited and for whom
the delivery of independent living services will improve the ability to
function, continue functioning, or move toward functioning independently
in the family or community or to continue in employment, respectively.
Majority means more than 50 percent.

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Minority group means American Indian, Alaskan Native, Asian
American, Black or African American (not of Hispanic origin), Hispanic
or Latino (including persons of Mexican, Puerto Rican, Cuban, and
Central or South American origin), and Native Hawaiian or other Pacific
Islander.
Nonresidential means, with respect to a Center, that the Center does
not operate or manage housing or shelter for individuals as an IL
service on either a temporary or long-term basis unless the housing or
shelter is--
(1) Incidental to the overall operation of the Center;
(2) Necessary so that the individual may receive an IL service; and
(3) Limited to a period not to exceed eight weeks during any six-
month period.
Peer relationships mean relationships involving mutual support and
assistance among individuals with significant disabilities who are
actively pursuing IL goals.
Peer role models mean individuals with significant disabilities
whose achievements can serve as a positive example for other individuals
with significant disabilities.
Personal assistance services mean a range of services, paid or
unpaid, provided by one or more persons, designed to assist an
individual with a disability to perform daily living activities that the
individual would typically perform if the individual did not have a
disability. These services must be designed to increase the individual's
control in life and ability to perform everyday activities and include
but are not limited to: Getting up and ready for work or going out into
the community (including bathing and dressing), cooking, cleaning or
running errands, engaging in social relationships including parenting.
Service provider means a Center for Independent Living that receives
financial assistance under Part B or C of chapter 1 of title VII of the
Act, or any other entity or individual that provides IL services under a
grant or contract from the DSE pursuant to Section 704(f) of the Act. A
designated State entity (DSE) may directly provide IL services to
individuals with significant disabilities only as specifically
authorized in the SPIL.
State includes, in addition to each of the several States of the
United States, the District of Columbia, the Commonwealth of Puerto
Rico, the United States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands.
State plan means the State Plan for Independent Living (SPIL)
required under Section 704 of the Act.
Unserved and underserved groups or populations include populations
such as individuals from racial and ethnic minority backgrounds,
disadvantaged individuals, individuals with limited English proficiency,
and individuals from underserved geographic areas (rural or urban).
Youth with a significant disability means an individual with a
significant disability who--
(1) Is not younger than 14 years of age; and
(2) Is not older than 24 years of age.

Sec. 1329.5 Indicators of minimum compliance.

To be eligible to receive funds under this part, a Center must
comply with the standards in section 725(b) and assurances in section
725(c) of the Act, with the indicators of minimum compliance, and the
requirements contained in the terms and conditions of the grant award.

Sec. 1329.6 Reporting.

(a) A Center must submit a performance report in a manner and at a
time described by the Administrator, consistent with section
704(m)(4)(D) of the Act, 29 U.S.C. 796c(m)(4)(D).
(b) The DSE must submit a report in a manner and at a time described
by the Administrator, consistent with section 704(c)(4) of the Act, 29
U.S.C. 796c(c)(4).
(c) The Administrator may require such other reports as deemed
necessary to carry out the responsibilities set forth in section 706 of
the Act, 29 U.S.C. 796d-1.

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Sec. 1329.7 Enforcement and appeals procedures.

(a) Process for Centers for Independent Living. (1) If the Director
of the Independent Living Administration (Director) determines that, as
the result of the Onsite Compliance Review process defined in section
706(c)(2), or other review activities, any Center receiving funds under
this part, other than a Center that is provided Part C funding by the
State under section 723 of the Act, is not in compliance with the
standards and assurances in section 725 (b) and (c) of the Act and of
this part, the Director must provide notice to the Center pursuant to
guidance determined by the Administrator.
(2) The Director may offer technical assistance to the Center to
develop a corrective action plan or to take such other steps as are
necessary to come into compliance with the standards and assurances.
(3) The Center may request a preliminary appeal to the Director in a
form and manner determined by the Administrator. The Director shall
review the appeal request and provide written notice of the
determination within a timely manner.
(4) Where there is a determination that falls within 45 CFR part 16,
appendix A, C.a.(1)-(4), the Center may appeal an unfavorable decision
by the Director to the Administrator within a time and manner
established by the Administrator. The Administrator shall review the
appeal request and provide written notice of the determination within a
timely manner.
(5) The Administrator may take steps to enforce a corrective action
plan or to terminate funding if the Administrator determines that the
Center remains out of compliance.
(6) Written notice of the determination by the Administrator shall
constitute a final determination for purposes of 45 CFR part 16. A
Center that receives such notice of a determination that falls within 45
CFR part 16, appendix A, C.a.(1)-(4), may appeal to the Departmental
Appeals Board pursuant to the provisions of 45 CFR part 16.
(7) A Center that is administered by the State under Section 723 of
the Act must first exhaust any State process before going through the
process described in paragraphs (a)(1) through (6) of this section.
(b) Process for States. (1) If the Director of the Independent
Living Administration determines that a State is out of compliance with
sections 704, 705, 713 or other pertinent sections of the Act, the
Director must provide notice to the State pursuant to guidance
determined by the Administrator.
(2) The Director may offer technical assistance to the State to
develop a corrective action plan or to take such other steps as are
necessary to ensure that the State comes in to compliance.
(3) Where there is a determination that falls within 45 CFR part 16,
appendix A, C.a.(1)-(4), the State may seek an appeal consistent with
the steps set forth in paragraphs (a)(3) and (4) of this section.
(4) The Administrator may take steps to enforce statutory or
regulatory requirements or to terminate funding if the Administrator
determines that the State remains out of compliance.
(5) Written notice of the determination by the Administrator shall
constitute a final determination for purposes of 45 CFR part 16 with
regard to the types of determinations set forth in 45 CFR part 16,
appendix A, C.a.(1)-(4). A State that receives such notice may appeal to
the Departmental Appeals Board pursuant to the provisions of 45 CFR part
16.

Subpart B_Independent Living Services

Sec. 1329.10 Authorized use of funds for Independent Living Services.

(a) The State:
(1) May use funds received under this part to support the SILC
resource plan described in section 705(e) of the Act but may not use
more than 30 percent of the funds unless an approved SPIL so specifies
pursuant to Sec. 1329.15(c);
(2) May retain funds under section 704(c)(5) of the Act; and
(3) Shall distribute the remainder of the funds received under this
part in a manner consistent with the approved State plan for the
activities described in paragraph (b) of this section.
(b) The State may use the remainder of the funds described in
paragraph (a)(3) of this section to--

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(1) Provide to individuals with significant disabilities the
independent living (IL) services required by section 704(e) of the Act,
particularly those in unserved areas of the State;
(2) Demonstrate ways to expand and improve IL services;
(3) Support the operation of Centers for Independent Living
(Centers) that are in compliance with the standards and assurances in
section 725 (b) and (c) of the Act;
(4) Support activities to increase the capacities of public or
nonprofit agencies and organizations and other entities to develop
comprehensive approaches or systems for providing IL services;
(5) Conduct studies and analyses, gather information, develop model
policies and procedures, and present information, approaches,
strategies, findings, conclusions, and recommendations to Federal,
State, and local policy makers in order to enhance IL services for
individuals with significant disabilities;
(6) Train individuals with disabilities and individuals providing
services to individuals with disabilities, and other persons regarding
the IL philosophy; and
(7) Provide outreach to populations that are unserved or underserved
by programs under title VII of the Act, including minority groups and
urban and rural populations.

Sec. 1329.11 DSE eligibility and application.

(a) Any designated State entity (DSE) identified by the State and
included in the signed SPIL pursuant to section 704(c) is eligible to
apply for assistance under this part in accordance with section 704 of
the Act, 29 U.S.C. 796c.
(b) To receive financial assistance under Parts B and C of chapter 1
of title VII, a State shall submit to the Administrator and obtain
approval of a State plan that meets the requirements of section 704 of
the Act, 29 U.S.C. 796c.
(c) Allotments to states are determined in accordance with section
711 of the Act, 29 U.S.C. 796e.

Sec. 1329.12 Role of the designated State entity.

(a) A DSE that applies for and receives assistance must:
(1) Receive, account for, and disburse funds received by the State
under Part B and Part C in a State under section 723 of the Act based on
the State plan;
(2) Provide administrative support services for a program under Part
B, as directed by the approved State plan, and for CILs under Part C
when administered by the State under section 723 of the Act, 29 U.S.C.
796f-2;
(3) Keep such records and afford such access to such records as the
Administrator finds to be necessary with respect to the programs;
(4) Submit such additional information or provide such assurances as
the Administrator may require with respect to the programs; and
(5) Retain not more than 5 percent of the funds received by the
State for any fiscal year under Part B, for the performance of the
services outlined in paragraphs (a)(1) through (4) of this section. For
purposes of these regulations, the 5 percent cap on funds for
administrative expenses applies only to the Part B funds allocated to
the State and to the State's required 10 percent Part B match. It does
not apply to other program income funds, including, but not limited to,
payments provided to a State from the Social Security Administration for
assisting Social Security beneficiaries and recipients to achieve
employment outcomes, any other federal funds, or to other funds
allocated by the State for IL purposes.
(b) The DSE must also carry out its other responsibilities under the
Act, including, but not limited to:
(1) Allocating funds for the delivery of IL services under Part B of
the Act as directed by the SPIL; and
(2) Allocating the necessary and sufficient resources needed by the
SILC to fulfill its statutory duties and authorities under section
705(c), consistent with the approved State Plan.
(c) Fiscal and accounting requirements: The DSE must adopt fiscal
control and fund accounting procedures as may be necessary to ensure the
proper disbursement of and accounting for federal funds provided to
CILs, SILCs, and/or other services providers under

[[Page 278]]

the ILS program. The DSE must comply with all applicable federal and
State laws and regulations, including those in 45 CFR part 75.

Sec. 1329.13 Allotment of Federal funds for State independent
living (IL) services.

(a) The allotment of Federal funds for State IL services for each
State is computed in accordance with the requirements of section
711(a)(1) of the Act.
(b) Notwithstanding paragraph (a) of this section, the allotment of
Federal funds for Guam, American Samoa, the United States Virgin
Islands, and the Commonwealth of the Northern Mariana Islands is
computed in accordance with section 711(a)(2) of the Act.
(c) The Administrator shall reserve between 1.8 percent and 2
percent of appropriated funds to provide, either directly or through
grants, contracts, or cooperative agreements, training and technical
assistance to SILCs. Training and technical assistance funds shall be
administered in accordance with section 711A of the Act.

Sec. 1329.14 Establishment of a SILC.

(a) To be eligible to receive assistance under this part, each State
shall establish and maintain a SILC that meets the requirements of
section 705 of the Act, including composition and appointment of
members.
(b) The SILC shall not be established as an entity within a State
agency, including the DSE. The SILC shall be independent of and
autonomous from the DSE and all other State agencies.

Sec. 1329.15 Duties of the SILC.

(a) The duties of the SILC are those set forth in section 705(c),
(d), and (e) of the Act.
(1) The SILC shall develop the SPIL in accordance with guidelines
developed by the Administrator;
(2) The SILC shall monitor, review and evaluate the implementation
of the SPIL on a regular basis as determined by the SILC and set forth
in the SPIL;
(3) The SILC shall meet regularly, and ensure that such meetings are
open to the public and sufficient advance notice of such meetings is
provided;
(4) The SILC shall submit to the Administrator such periodic reports
as the Administrator may reasonably request, and keep such records, and
afford such access to such records, as the Administrator finds necessary
to verify the information in such reports; and
(5) The SILC shall, as appropriate, coordinate activities with other
entities in the State that provide services similar to or complementary
to independent living services, such as entities that facilitate the
provision of or provide long-term community-based services and supports.
(b) In carrying out the duties under this section, the SILC may
provide contact information for the nearest appropriate CIL. Sharing of
such information shall not constitute the direct provision of
independent living services as defined in section 705(c)(3) of the Act.
(c) The SILC, in conjunction with the DSE, shall prepare a plan for
the provision of resources, including staff and personnel that are
necessary and sufficient to carry out the functions of the SILC.
(1) The resource plan amount shall be commensurate, to the extent
possible, with the estimated costs related to SILC fulfilment of its
duties and authorities consistent with the approved State Plan.
(2) Available resources include: Innovation and Expansion (I&E)
funds authorized by 29 U.S.C. 721(a)(18); Independent Living Part B
funds; State matching funds; other public funds (such as Social Security
reimbursement funds); and private sources.
(3) In accordance with Sec. 1329.10(a)(1), no more than 30 percent
of the State's allocation of Part B and Part B State matching funds may
be used to fund the resource plan, unless the approved SPIL provides
that more than 30 percent is needed and justifies the greater
percentage.
(4) No conditions or requirements may be included in the SILC's
resource plan that may compromise the independence of the SILC.
(5) The SILC is responsible for the proper expenditure of funds and
use of resources that it receives under the resource plan.

[[Page 279]]

(6) A description of the SILC's resource plan must be included in
the State plan. The plan should include:
(i) Staff/personnel;
(ii) Operating expenses;
(iii) Council compensation and expenses;
(iv) Meeting expenses, including public hearing expenses, such as
meeting space, alternate formats, interpreters, and other
accommodations;
(v) Resources to attend and/or secure training for staff and Council
members; and
(vi) Other costs as appropriate.
(d) The SILC shall carry out the activities in paragraph (a), to
better serve individuals with significant disabilities and help achieve
the purpose of section 701 of the Act.
(e) The SILC shall, consistent with State law, supervise and
evaluate its staff and other personnel as may be necessary to carry out
its functions under this section.

Sec. 1329.16 Authorities of the SILC.

(a) The SILC may conduct the following discretionary activities, as
authorized and described in the approved State Plan:
(1) Work with Centers for Independent Living to coordinate services
with public and private entities to improve services provided to
individuals with disabilities;
(2) Conduct resource development activities to support the
activities described in the approved SPIL and/or to support the
provision of independent living services by Centers for Independent
Living; and
(3) Perform such other functions, consistent with the purpose of
this part and comparable to other functions described in section 705(c)
of the Act, as the Council determines to be appropriate and authorized
in the approved SPIL.
(b) In undertaking the foregoing duties and authorities, the SILC
shall:
(1) Coordinate with the CILs in order to avoid conflicting or
overlapping activities within the CILs' established service areas;
(2) Not engage in activities that constitute the direct provision of
IL services to individuals, including the IL core services; and
(3) Comply with Federal prohibitions against lobbying.

Sec. 1329.17 General requirements for a State plan.

(a) The State may use funds received under Part B to support the
Independent Living Services program and to meet its obligations under
the Act, including the section 704(e) requirements that apply to the
provision of independent living services. The State plan must stipulate
that the State will provide IL services, directly and/or through grants
and contracts, with Federal, State or other funds, and must describe how
and to whom those funds will be disbursed for this purpose.
(b) In order to receive financial assistance under this part, a
State shall submit to the Administrator a State plan for independent
living.
(1) The State plan must contain, in the form prescribed by the
Administrator, the information set forth in section 704 of the Act,
including designation of an Agency to serve as the designated State
entity, and such other information requested by the Administrator.
(2) The State plan must contain the assurances set forth in section
704(m) of the Act.
(3) The State plan must be signed in accordance with the provisions
of this section.
(4) The State plan must be submitted 90 days before the completion
date of the proceeding plan, and otherwise in the time frame and manner
prescribed by the Administrator.
(5) The State plan must be approved by the Administrator.
(c) The State plan must cover a period of not more than three years
and must be amended whenever necessary to reflect any material change in
State law, organization, policy, or agency operations that affects the
administration of the State plan.
(d) The State plan must be jointly--
(1) Developed by the chairperson of the SILC, and the directors of
the CILs, after receiving public input from individuals with
disabilities and other stakeholders throughout the State; and
(2) Signed by the--

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(i) Chairperson of the SILC, acting on behalf of and at the
direction of the SILC;
(ii) The director of the DSE, signifying agreement to execute the
responsibilities of the DSE identified in section 704(c) of the Act; and
(iii) Not less than 51 percent of the directors of the CILs in the
State. For purposes of this provision, if a legal entity that
constitutes the ``CIL'' has multiple Part C grants considered as
separate Centers for all other purposes, for SPIL signature purposes, it
is only considered as one Center. CILs with service areas in more than
one State that meet the other applicable requirements are eligible to
participate in SPIL development and sign the SPIL in each of the
relevant States.
(e) The State plan must provide for the review and revision of the
plan, not less than once every three years, to ensure the existence of
appropriate planning, financial support and coordination, and other
assistance to meet the requirements of section 704(a) of the Act.
(f) The public, including people with disabilities and other
stakeholders throughout the State, must have an opportunity to comment
on the State plan prior to its submission to the Administrator and on
any revisions to the approved State plan. Meeting this standard for
public input from individuals with disabilities requires providing
reasonable modifications in policies, practices, or procedures;
effective communication and appropriate auxiliary aids and services for
individuals with disabilities, which may include the provision of
qualified interpreters and information in alternate formats, free of
charge.
(1) The requirement for public input in this section may be met by
holding public meetings before a preliminary draft State plan is
prepared and by providing a preliminary draft State plan for comment
prior to submission.
(2) To meet the public input standard of this section, a public
meeting requires:
(i) Accessible, appropriate and sufficient notice provided at least
30 days prior to the public meeting through various media available to
the general public, such as Web sites, newspapers and public service
announcements, and through specific contacts with appropriate
constituency groups.
(ii) All notices, including notices published on a Web site, and
other written materials provided at or prior to public meetings must be
available upon request in accessible formats.
(g) The State plan must identify those provisions that are State-
imposed requirements. For purposes of this section, a State-imposed
requirement includes any State law, regulation, rule, or policy relating
to the DSE's administration or operation of IL programs under Title VII
of the Act, including any rule or policy implementing any Federal law,
regulation, or guideline that is beyond what would be required to comply
with the regulations in this part.
(h) The State plan must address how the specific requirements in the
Act and in paragraph (f) of this section will be met.

Subpart C_Centers for Independent Living Program

Sec. 1329.20 Centers for Independent Living (CIL) program.

State allotments of Part C, funds shall be based on section 721(c)
of the Act, and distributed to Centers within the State in accordance
with the order of priorities in sections 722(e) and 723(e) of the Act.

Sec. 1329.21 Continuation awards to entities eligible for
assistance under the CIL program.

(a) In any State in which the Administrator has approved the State
plan required by section 704 of the Act, an eligible agency funded under
Part C in fiscal year 2015 may receive a continuation award in FY 2016
or a succeeding fiscal year if the Center has--
(1) Complied during the previous project year with the standards and
assurances in section 725 of the Act and the terms and conditions of its
grant; and
(2) Submitted an approvable annual performance report demonstrating
that the Center meets the indicators of minimum compliance referenced in
in Sec. 1329.5.

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(b) If an eligible agency administers more than one Part C grant,
each of the Center grants must meet the requirements of paragraph (a) of
this section to receive a continuation award.
(c) A designated State entity (DSE) that operated a Center in
accordance with section 724(a) of the Act in fiscal year (FY) 2015 is
eligible to continue receiving assistance under this part in FY 2016 or
a succeeding fiscal year if, for the fiscal year for which assistance is
sought--
(1) No nonprofit private agency submits and obtains approval of an
acceptable application under section 722 or 723 of the Act to operate a
Center for that fiscal year before a date specified by the
Administrator; or
(2) After funding all applications so submitted and approved, the
Administrator determines that funds remain available to provide that
assistance.
(d) A Center operated by the DSE under section 724(a) of the Act
must comply with paragraphs (a), (b), and (c) of this section to receive
continuation funding, except for the requirement that the Center be a
private nonprofit agency.
(e) A designated State entity that administered Part C funds and
awarded grants directly to Centers within the State under section 723 of
the Act in fiscal year (FY) 2015 is eligible to continue receiving
assistance under section 723 in FY 2016 or a succeeding fiscal year if
the Administrator determines that the amount of State funding earmarked
by the State to support the general operation of Centers during the
preceding fiscal year equaled or exceeded the amount of federal funds
allotted to the State under section 721(c) of the Act for that fiscal
year.
(f) A DSE may apply to administer Part C funds under section 723 in
the time and in the manner that the Administrator may require,
consistent with section 723(a)(1)(A) of the Act.
(g) Grants awarded by the DSE under section 723 of the Act are
subject to the requirements of paragraphs (a) and (b) of this section
and the order of priorities in section 723(e) of the Act, unless the DSE
and the SILC jointly agree on another order of priorities.

Sec. 1329.22 Competitive awards to new Centers for Independent Living.

(a) Subject to the availability of funds and in accordance with the
order of priorities in section 722(e) of the Act and the State Plan's
design for the statewide network of Centers, an eligible agency may
receive Part C funding as a new Center for Independent Living in a
State, if the eligible agency:
(1) Submits to the Administrator an application at the time and
manner required in the funding opportunity announcement (FOA) issued by
the Administrator which contains the information and meets the selection
criteria established by the Administrator in accordance with section
722(d) of the Act;
(2) Proposes to serve a geographic area that has been designated as
a priority unserved or underserved in the State Plan for Independent
Living and that is not served by an existing Part C-funded Center; and
(3) Is determined by the Administrator to be the most qualified
applicant to serve the designated priority area consistent with the
State plan setting forth the design of the State for establishing a
statewide network of Centers for independent living.
(b) An existing Part C-funded Center may apply to serve the
designated unserved or underserved areas if it proposes the
establishment of a separate and complete Center (except that the
governing board of the existing center may serve as the governing board
of the new Center) at a different geographic location, consistent with
the requirements in the FOA.
(c) An eligible agency located in a bordering, contiguous State may
be eligible for a new CIL award if the Administrator determines, based
on the submitted application, that the agency:
(1) Is the most qualified applicant meeting the requirements in
paragraphs (a) and (b) of this section; and
(2) Has the expertise and resources necessary to serve individuals
with significant disabilities who reside in the bordering, contiguous
State, in accordance with the requirements of the Act and these
regulations.
(d) If there are insufficient funds under the State's allotment to
fund a new Center, the Administrator may--

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(1) Use the excess funds in the State to assist existing Centers
consistent with the State plan; or
(2) Reallot these funds in accordance with section 721(d) of the
Act.

Sec. 1329.23 Compliance reviews.

(a) Centers receiving Part C funding shall be subject to periodic
reviews, including on-site reviews, in accordance with sections 706(c),
722(g), and 723(g) of the Act and guidance set forth by the
Administrator, to verify compliance with the standards and assurances in
section 725(b) and (c) of the Act and the grant terms and conditions.
The Administrator shall annually conduct reviews of at least 15 percent
of the Centers.
(b) A copy of each review under this section shall be provided, in
the case of section 723(g), by the director of the DSE to the
Administrator and to the SILC, and in the case of section 722(g), by the
Administrator to the SILC and the DSE.

Sec. 1329.24 Training and technical assistance to Centers for
Independent Living.

The Administrator shall reserve between 1.8% and 2% of appropriated
funds to provide training and technical assistance to Centers through
grants, contracts or cooperative agreements, consistent with section
721(b) of the Act. The training and technical assistance funds shall be
administered in accordance with section 721(b) of the Act.

PART 1330_NATIONAL INSTITUTE FOR DISABILITY, INDEPENDENT LIVING,
AND REHABILITATION RESEARCH--Table of Contents

Subpart A_Disability, Independent Living, and Rehabilitation Research
Projects and Centers Program

Sec.
1330.1 General.
1330.2 Eligibility for assistance and other regulations and guidance.
1330.3 Definitions.
1330.4 Stages of research.
1330.5 Stages of development.

Subpart B_Requirements for Awardees

1330.10 General requirements for awardees.
1330.11 Individuals with disabilities from minority backgrounds.

Subpart C_Selection of Awardees

1330.20 Peer review purpose.
1330.21 Peer review process.
1330.22 Composition of peer review panel.
1330.23 Evaluation process.
1330.24 Selection criteria.
1330.25 Additional considerations for field-initiated priorities.

Subpart D_Disability, Independent Living, and Rehabilitation Research
Fellowships

1330.30 Fellows program.

Subpart E_Special Projects and Demonstrations for Spinal Cord Injuries

1330.40 Spinal cord injuries program.

Authority: 29 U.S.C. 709, 3343.

Source: 81 FR 29159, May 11, 2016, unless otherwise noted.

Subpart A_Disability, Independent Living, and Rehabilitation Research
Projects and Centers Program

Sec. 1330.1 General.

(a) The Disability, Independent Living, and Rehabilitation Research
Projects and Centers Program provides grants to establish and support:
(1) The following Disability, Independent Living, and Rehabilitation
Research and Related Projects:
(i) Disability, Independent Living, and Rehabilitation Research
Projects;
(ii) Field-Initiated Projects;
(iii) Advanced Rehabilitation Research Training Projects; and
(2) The following Disability, Independent Living, and Rehabilitation
Research Centers:
(i) Rehabilitation Research and Training Centers;
(ii) Rehabilitation Engineering Research Centers.
(b) The purpose of the Disability, Independent Living, and
Rehabilitation Research Projects and Centers Program is to plan and
conduct research, development, demonstration projects, training,
dissemination, and related activities, including international
activities, to:

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(1) Develop methods, procedures, and rehabilitation technology, that
maximize the full inclusion and integration into society, employment,
education, independent living, family support, and economic and social
self-sufficiency of individuals with disabilities, especially
individuals with the most severe disabilities; and
(2) Improve the effectiveness of services authorized under the
Rehabilitation Act of 1973, 29 U.S.C. 701 et seq.

Sec. 1330.2 Eligibility for assistance and other regulations and guidance.

(a) Unless otherwise stated in this part or in a determination by
the NIDILRR Director, the following entities are eligible for an award
under this program:
(1) States.
(2) Public or private agencies, including for-profit agencies.
(3) Public or private organizations, including for-profit
organizations.
(4) Institutions of higher education.
(5) Indian tribes and tribal organizations.
(b) Other sources of regulation which may apply to awards under this
part include but are not limited to:
(1) 45 CFR part 16--Procedures of the Departmental Grant Appeals
Board.
(2) 45 CFR part 46--Protection of Human Subjects.
(3) 45 CFR part 75--Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for HHS Awards.
(4) 2 CFR parts 376 and 382--Nonprocurement Debarment and Suspension
and Requirements for Drug-Free Workplace (Financial Assistance).
(5) 45 CFR part 80--Nondiscrimination under Programs Receiving
Federal Assistance through the Department of Health and Human Services--
Effectuation of title VI of the Civil Rights Act of 1964.
(6) 45 CFR part 81--Practice and Procedure for Hearings under part
80 of this title.
(7) 45 CFR part 84--Nondiscrimination on the Basis of Handicap in
Programs or Activities Receiving Federal Financial Assistance.
(8) 45 CFR part 86--Nondiscrimination on the Basis of Sex in
Education Programs or Activities Receiving Federal Financial Assistance.
(9) 45 CFR part 87--Equal Treatment of Faith-Based Organizations.
(10) 45 CFR part 91--Nondiscrimination on the Basis of Age in
Programs or Activities Receiving Federal Financial Assistance from HHS.
(11) 45 CFR part 93--New Restrictions on Lobbying.

Sec. 1330.3 Definitions.

As used in this part:
(a) Secretary means the Secretary of the Department of Health and
Human Services.
(b) Administrator means the Administrator of the Administration for
Community Living.
(c) Director means the Director of the National Institute on
Disability, Independent Living, and Rehabilitation Research.
(d) Research is classified on a continuum from basic to applied:
(1) Basic research is research in which the investigator is
concerned primarily with gaining new knowledge or understanding of a
subject without reference to any immediate application or utility.
(2) Applied research is research in which the investigator is
primarily interested in developing new knowledge, information, or
understanding which can be applied to a predetermined rehabilitation
problem or need.
(e) Development activities use knowledge and understanding gained
from research to create materials, devices, systems, or methods
beneficial to the target population, including design and development of
prototypes and processes.
(f) Products encompass models, methods, tools, applications, and
devices, but are not necessarily limited to these types.

Sec. 1330.4 Stages of research.

For any Disability, Independent Living, and Rehabilitation Research
Projects and Centers Program competition, the Department may require in
the application materials for the competition that the applicant
identify the stage(s) of research in which it will focus the work of its
proposed project

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or center. The four stages of research are:
(a) Exploration and discovery mean the stage of research that
generates hypotheses or theories through new and refined analyses of
data, producing observational findings and creating other sources of
research-based information. This research stage may include identifying
or describing the barriers to and facilitators of improved outcomes of
individuals with disabilities, as well as identifying or describing
existing practices, programs, or policies that are associated with
important aspects of the lives of individuals with disabilities. Results
achieved under this stage of research may inform the development of
interventions or lead to evaluations of interventions or policies. The
results of the exploration and discovery stage of research may also be
used to inform decisions or priorities;
(b) Intervention development means the stage of research that
focuses on generating and testing interventions that have the potential
to improve outcomes for individuals with disabilities. Intervention
development involves determining the active components of possible
interventions, developing measures that would be required to illustrate
outcomes, specifying target populations, conducting field tests, and
assessing the feasibility of conducting a well-designed intervention
study. Results from this stage of research may be used to inform the
design of a study to test the efficacy of an intervention;
(c) Intervention efficacy means the stage of research during which a
project evaluates and tests whether an intervention is feasible,
practical, and has the potential to yield positive outcomes for
individuals with disabilities. Efficacy research may assess the strength
of the relationships between an intervention and outcomes, and may
identify factors or individual characteristics that affect the
relationship between the intervention and outcomes. Efficacy research
can inform decisions about whether there is sufficient evidence to
support ``scaling-up'' an intervention to other sites and contexts. This
stage of research may include assessing the training needed for wide-
scale implementation of the intervention, and approaches to evaluation
of the intervention in real-world applications; and
(d) Scale-up evaluation means the stage of research during which a
project analyzes whether an intervention is effective in producing
improved outcomes for individuals with disabilities when implemented in
a real-world setting. During this stage of research, a project tests the
outcomes of an evidence-based intervention in different settings. The
project examines the challenges to successful replication of the
intervention, and the circumstances and activities that contribute to
successful adoption of the intervention in real-world settings. This
stage of research may also include well-designed studies of an
intervention that has been widely adopted in practice, but lacks a
sufficient evidence base to demonstrate its effectiveness.

Sec. 1330.5 Stages of development.

For any Disability, Independent Living, and Rehabilitation Research
Projects and Centers Program competition, the Department may require in
the notice inviting applications for the competition that the applicant
identify the stage(s) of development in which it will focus the work of
its proposed project or center. The three stages of development are:
(a) Proof of concept means the stage of development where key
technical challenges are resolved. Stage activities may include
recruiting study participants, verifying product requirements;
implementing and testing (typically in controlled contexts) key
concepts, components, or systems, and resolving technical challenges. A
technology transfer plan is typically developed and transfer partner(s)
identified; and plan implementation may have started. Stage results
establish that a product concept is feasible.
(b) Proof of product means the stage of development where a fully-
integrated and working prototype, meeting critical technical
requirements is created. Stage activities may include recruiting study
participants, implementing and iteratively refining the prototype,
testing the prototype in natural or less-controlled contexts, and

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verifying that all technical requirements are met. A technology transfer
plan is typically ongoing in collaboration with the transfer partner(s).
Stage results establish that a product embodiment is realizable.
(c) Proof of adoption means the stage of development where a product
is substantially adopted by its target population and used for its
intended purpose. Stage activities typically include completing product
refinements; and continued implementation of the technology transfer
plan in collaboration with the transfer partner(s). Other activities
include measuring users' awareness of the product, opinion of the
product, decisions to adopt, use, and retain products; and identifying
barriers and facilitators impacting product adoption. Stage results
establish that a product is beneficial.

Subpart B_Requirements for Awardees

Sec. 1330.10 General requirements for awardees.

(a) In carrying out a research activity under this program, an
awardee must:
(1) Identify one or more hypotheses or research questions;
(2) Based on the hypotheses or research question identified, perform
an intensive systematic study in accordance with its approved
application directed toward:
(i) New or full scientific knowledge; or
(ii) Understanding of the subject or problem being studied.
(b) In carrying out a development activity under this program, an
awardee must create, using knowledge and understanding gained from
research, models, methods, tools, systems, materials, devices,
applications, or standards that are adopted by and beneficial to the
target population. Development activities span one or more stages of
development.
(c) In carrying out a training activity under this program, an
awardee shall conduct a planned and systematic sequence of supervised
instruction that is designed to impart predetermined skills and
knowledge.
(d) In carrying out a demonstration activity under this program, an
awardee shall apply results derived from previous research, testing, or
practice to determine the effectiveness of a new strategy or approach.
(e) In carrying out a utilization activity under this program, a
grantee must relate research findings to practical applications in
planning, policy making, program administration, and delivery of
services to individuals with disabilities.
(f) In carrying out a dissemination activity under this program, a
grantee must systematically distribute information or knowledge through
a variety of ways to potential users or beneficiaries.
(g) In carrying out a technical assistance activity under this
program, a grantee must provide expertise or information for use in
problem-solving.

Sec. 1330.11 Individuals with disabilities from minority backgrounds.

(a) If the director so indicates in the application materials or
elsewhere, an applicant for assistance under this program must
demonstrate in its application how it will address, in whole or in part,
the needs of individuals with disabilities from minority backgrounds.
(b) The approaches an applicant may take to meet this requirement
may include one or more of the following:
(1) Proposing project objectives addressing the needs of individuals
with disabilities from minority backgrounds.
(2) Demonstrating that the project will address a problem that is of
particular significance to individuals with disabilities from minority
backgrounds.
(3) Demonstrating that individuals from minority backgrounds will be
included in study samples in sufficient numbers to generate information
pertinent to individuals with disabilities from minority backgrounds.
(4) Drawing study samples and program participant rosters from
populations or areas that include individuals from minority backgrounds.
(5) Providing outreach to individuals with disabilities from
minority backgrounds to ensure that they are aware

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of rehabilitation services, clinical care, or training offered by the
project.
(6) Disseminating materials to or otherwise increasing the access to
disability information among minority populations.

Subpart C_Selection of Awardees

Sec. 1330.20 Peer review purpose.

The purpose of peer review is to insure that:
(a) Those activities supported by the National Institute on
Disability, Independent Living, and Rehabilitation Research (NIDILRR)
are of the highest scientific, administrative, and technical quality;
and
(b) Activity results may be widely applied to appropriate target
populations and rehabilitation problems.

Sec. 1330.21 Peer review process.

(a) The Director refers each application for an award governed by
these regulations in this part to a peer review panel established by the
Director.
(b) Peer review panels review applications on the basis of the
applicable selection criteria in Sec. 1330.23.

Sec. 1330.22 Composition of peer review panel.

(a) The Director selects as members of a peer review panel
scientists and other experts in disability, independent living,
rehabilitation or related fields who are qualified, on the basis of
training, knowledge, or experience, to give expert advice on the merit
of the applications under review.
(b) The scientific peer review process shall be conducted by
individuals who are not Department of Health and Human Services
employees.
(c) In selecting members to serve on a peer review panel, the
Director may take into account the following factors:
(1) The level of formal scientific or technical education completed
by potential panel members.
(2) The extent to which potential panel members have engaged in
scientific, technical, or administrative activities appropriate to the
category of applications that the panel will consider; the roles of
potential panel members in those activities; and the quality of those
activities.
(3) The recognition received by potential panel members as reflected
by awards and other honors from scientific and professional agencies and
organizations outside the Department.
(4) Whether the panel includes knowledgeable individuals with
disabilities, or parents, family members, guardians, advocates, or
authorized representatives of individuals with disabilities.
(5) Whether the panel includes individuals from diverse populations.

Sec. 1330.23 Evaluation process.

(a) The Director selects one or more of the selection criteria to
evaluate an application:
(1) The Director establishes selection criteria based on statutory
provisions that apply to the Program which may include, but are not
limited to:
(i) Specific statutory selection criteria;
(ii) Allowable activities;
(iii) Application content requirements; or
(iv) Other pre-award and post-award conditions; or
(2) The Director may use a combination of selection criteria
established under paragraph (a)(1) of this section and selection
criteria from Sec. 1330.24 to evaluate a competition.
(3) For Field-Initiated Projects, the Director does not consider
Sec. 1330.24(b) (Responsiveness to the Absolute or Competitive
Priority) in evaluating an application.
(b) In considering selection criteria in Sec. 1330.24, the Director
selects one or more of the factors listed in the criteria, but always
considers the factors in Sec. 1330.24(n) regarding people with
disabilities, and members of groups that have traditionally been
underrepresented based on race, ethnicity, national origin, sex
(including sexual orientation and gender identity), or age.
(c) The maximum possible score for an application is 100 points.
(d) In the application package or a notice published in the Federal
Register, the Director informs applicants of:
(1) The selection criteria chosen and the maximum possible score for
each of the selection criteria; and

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(2) The factors selected for considering the selection criteria and
if points are assigned to each factor, the maximum possible score for
each factor under each criterion. If no points are assigned to each
factor, the Director evaluates each factor equally.
(e) For all instances in which the Director chooses to allow field-
initiated research and development, the selection criteria in Sec.
1330.25 will apply, including the requirement that the applicant must
achieve a score of 85 percent or more of maximum possible points.

[81 FR 29159, May 11, 2016, as amended at 87 FR 50003, Aug. 15, 2022]

Sec. 1330.24 Selection criteria.

In addition to criteria established under Sec. 1330.23(a)(1), the
Director may select one or more of the following criteria in evaluating
an application:
(a) Importance of the problem. In determining the importance of the
problem, the Director considers one or more of the following factors:
(1) The extent to which the applicant clearly describes the need and
target population.
(2) The extent to which the proposed activities further the purposes
of the Rehabilitation Act.
(3) The extent to which the proposed activities address a
significant need of individuals with disabilities.
(4) The extent to which the proposed activities address a
significant need of rehabilitation service providers.
(5) The extent to which the proposed activities address a
significant need of those who provide services to individuals with
disabilities.
(6) The extent to which the applicant proposes to provide training
in a rehabilitation discipline or area of study in which there is a
shortage of qualified researchers, or to a trainee population in which
there is a need for more qualified researchers.
(7) The extent to which the proposed project will have beneficial
impact on the target population.
(b) Responsiveness to an absolute or competitive priority. In
determining the application's responsiveness to the application package
or the absolute or competitive priority published in the Federal
Register, the Director considers one or more of the following factors:
(1) The extent to which the applicant addresses all requirements of
the absolute or competitive priority.
(2) The extent to which the applicant's proposed activities are
likely to achieve the purposes of the absolute or competitive priority.
(c) Design of research activities. In determining the extent to
which the design is likely to be effective in accomplishing the
objectives of the project, the Director considers one or more of the
following factors:
(1) The extent to which the research activities constitute a
coherent, sustained approach to research in the field, including a
substantial addition to the state-of-the-art.
(2) The extent to which the methodology of each proposed research
activity is meritorious, including consideration of the extent to which:
(i) The proposed design includes a comprehensive and informed review
of the current literature, demonstrating knowledge of the state-of-the-
art;
(ii) Each research hypothesis or research question, as appropriate,
is theoretically sound and based on current knowledge;
(iii) Each sample is drawn from an appropriate, specified population
and is of sufficient size to address the proposed hypotheses or research
questions, as appropriate, and to support the proposed data analysis
methods;
(iv) The source or sources of the data and the data collection
methods are appropriate to address the proposed hypotheses or research
questions and to support the proposed data analysis methods;
(v) The data analysis methods are appropriate;
(vi) Implementation of the proposed research design is feasible,
given the current state of the science and the time and resources
available;
(vii) Input of individuals with disabilities and other key
stakeholders is used to shape the proposed research activities; and
(viii) The applicant identifies and justifies the stage of research
being proposed and the research methods associated with the stage.

[[Page 288]]

(3) The extent to which anticipated research results are likely to
satisfy the original hypotheses or answer the original research
questions, as appropriate, and could be used for planning additional
research, including generation of new hypotheses or research questions,
where applicable.
(4) The extent to which the stage of research is identified and
justified in the description of the research project(s) being proposed.
(5) The extent to which research activities use appropriate
engineering knowledge and techniques to collect, analyze, or synthesize
research data.
(d) Design of development activities. In determining the extent to
which the project design is likely to be effective in accomplishing
project objectives, the Director considers one or more of the following
factors:
(1) The extent to which the proposed project identifies a
significant need and a well-defined target population for the new or
improved product;
(2) The extent to which the proposed project methodology is
meritorious, including consideration of the extent to which:
(i) The proposed project shows awareness of the state-of-the-art for
current, related products;
(ii) The proposed project employs appropriate concepts, components,
or systems to develop the new or improved product;
(iii) The proposed project employs appropriate samples in tests,
trials, and other development activities;
(iv) The proposed project conducts development activities in
appropriate environment(s);
(v) Input from individuals with disabilities and other key
stakeholders is obtained to establish and guide proposed development
activities; and
(vi) The applicant identifies and justifies the stage(s) of
development for the proposed project; and activities associated with
each stage.
(3) The new product will be developed and tested in an appropriate
environment.
(4) The extent to which development activities apply appropriate
engineering knowledge and techniques to achieve development objectives.
(e) Design of demonstration activities. In determining the extent to
which the design of demonstration activities is likely to be effective
in accomplishing the objectives of the project, the Director considers
one or more of the following factors:
(1) The extent to which the proposed demonstration activities build
on previous research, testing, or practices.
(2) The extent to which the proposed demonstration activities
include the use of proper methodological tools and theoretically sound
procedures to determine the effectiveness of the strategy or approach.
(3) The extent to which the proposed demonstration activities
include innovative and effective strategies or approaches.
(4) The extent to which the proposed demonstration activities are
likely to contribute to current knowledge and practice and be a
substantial addition to the state-of-the-art.
(5) The extent to which the proposed demonstration activities can be
applied and replicated in other settings.
(f) Design of training activities. In determining the extent to
which the design is likely to be effective in accomplishing the
objectives of the project, the Director considers one or more of the
following factors:
(1) The extent to which the proposed training materials are likely
to be effective, including consideration of their quality, clarity, and
variety.
(2) The extent to which the proposed training methods are of
sufficient quality, intensity, and duration.
(3) The extent to which the proposed training content:
(i) Covers all of the relevant aspects of the subject matter; and
(ii) If relevant, is based on new knowledge derived from research
activities of the proposed project.
(4) The extent to which the proposed training materials, methods,
and content are appropriate to the trainees, including consideration of
the skill level of the trainees and the subject matter of the materials.
(5) The extent to which the proposed training materials and methods
are accessible to individuals with disabilities.

[[Page 289]]

(6) The extent to which the applicant's proposed recruitment program
is likely to be effective in recruiting highly qualified trainees,
including those who are individuals with disabilities.
(7) The extent to which the applicant is able to carry out the
training activities, either directly or through another entity.
(8) The extent to which the proposed didactic and classroom training
programs emphasize scientific methodology and are likely to develop
highly qualified researchers.
(9) The extent to which the quality and extent of the academic
mentorship, guidance, and supervision to be provided to each individual
trainee are of a high level and are likely to develop highly qualified
researchers.
(10) The extent to which the type, extent, and quality of the
proposed research experience, including the opportunity to participate
in advanced-level research, are likely to develop highly qualified
researchers.
(11) The extent to which the opportunities for collegial and
collaborative activities, exposure to outstanding scientists in the
field, and opportunities to participate in the preparation of scholarly
or scientific publications and presentations are extensive and
appropriate.
(g) Design of dissemination activities. In determining the extent to
which the design is likely to be effective in accomplishing the
objectives of the project, the Director considers one or more of the
following factors:
(1) The extent to which the content of the information to be
disseminated:
(i) Covers all of the relevant aspects of the subject matter; and
(ii) If appropriate, is based on new knowledge derived from research
activities of the project.
(2) The extent to which the materials to be disseminated are likely
to be effective and usable, including consideration of their quality,
clarity, variety, and format.
(3) The extent to which the methods for dissemination are of
sufficient quality, intensity, and duration.
(4) The extent to which the materials and information to be
disseminated and the methods for dissemination are appropriate to the
target population, including consideration of the familiarity of the
target population with the subject matter, format of the information,
and subject matter.
(5) The extent to which the information to be disseminated will be
accessible to individuals with disabilities.
(h) Design of utilization activities. In determining the extent to
which the design of utilization activities is likely to be effective in
accomplishing the objectives of the project, the Director considers one
or more of the following factors:
(1) The extent to which the potential new users of the information
or technology have a practical use for the information and are likely to
adopt the practices or use the information or technology, including new
devices.
(2) The extent to which the utilization strategies are likely to be
effective.
(3) The extent to which the information or technology is likely to
be of use in other settings.
(i) Design of technical assistance activities. In determining the
extent to which the design of technical assistance activities is likely
to be effective in accomplishing the objectives of the project, the
Director considers one or more of the following factors:
(1) The extent to which the methods for providing technical
assistance are of sufficient quality, intensity, and duration.
(2) The extent to which the information to be provided through
technical assistance covers all of the relevant aspects of the subject
matter.
(3) The extent to which the technical assistance is appropriate to
the target population, including consideration of the knowledge level of
the target population, needs of the target population, and format for
providing information.
(4) The extent to which the technical assistance is accessible to
individuals with disabilities.
(j) Plan of operation. In determining the quality of the plan of
operation, the Director considers one or more of the following factors:
(1) The adequacy of the plan of operation to achieve the objectives
of the proposed project on time and within

[[Page 290]]

budget, including clearly defined responsibilities, and timelines for
accomplishing project tasks.
(2) The adequacy of the plan of operation to provide for using
resources, equipment, and personnel to achieve each objective.
(k) Collaboration. In determining the quality of collaboration, the
Director considers one or more of the following factors:
(1) The extent to which the applicant's proposed collaboration with
one or more agencies, organizations, or institutions is likely to be
effective in achieving the relevant proposed activities of the project.
(2) The extent to which agencies, organizations, or institutions
demonstrate a commitment to collaborate with the applicant.
(3) The extent to which agencies, organizations, or institutions
that commit to collaborate with the applicant have the capacity to carry
out collaborative activities.
(l) Adequacy and reasonableness of the budget. In determining the
adequacy and the reasonableness of the proposed budget, the Director
considers one or more of the following factors:
(1) The extent to which the costs are reasonable in relation to the
proposed project activities.
(2) The extent to which the budget for the project, including any
subcontracts, is adequately justified to support the proposed project
activities.
(3) The extent to which the applicant is of sufficient size, scope,
and quality to effectively carry out the activities in an efficient
manner.
(m) Plan of evaluation. In determining the quality of the plan of
evaluation, the Director considers one or more of the following factors:
(1) The extent to which the plan of evaluation provides for periodic
assessment of progress toward:
(i) Implementing the plan of operation; and
(ii) Achieving the project's intended outcomes and expected impacts.
(2) The extent to which the plan of evaluation will be used to
improve the performance of the project through the feedback generated by
its periodic assessments.
(3) The extent to which the plan of evaluation provides for periodic
assessment of a project's progress that is based on identified
performance measures that:
(i) Are clearly related to the intended outcomes of the project and
expected impacts on the target population; and
(ii) Are objective, and quantifiable or qualitative, as appropriate.
(n) Project staff. In determining the quality of the applicant's
project staff, the Director considers one or more of the following
factors:
(1) The extent to which the applicant encourages applications for
employment from people with disabilities, who may include but are not
limited to people with disabilities who have the greatest support needs.
(2) The extent to which the applicant encourages applications for
employment from people who are members of other groups that have
traditionally been underrepresented in research professions based on
race, ethnicity, national origin, sex (including sexual orientation and
gender identity), or age.
(3) The extent to which the key personnel and other key staff have
appropriate training and experience in disciplines required to conduct
all proposed activities.
(4) The extent to which the commitment of staff time is adequate to
accomplish all the proposed activities of the project.
(5) The extent to which the key personnel are knowledgeable about
the methodology and literature of pertinent subject areas.
(6) The extent to which the project staff includes outstanding
scientists in the field.
(7) The extent to which key personnel have up-to-date knowledge from
research or effective practice in the subject area covered in the
priority.
(o) Adequacy and accessibility of resources. In determining the
adequacy and accessibility of the applicant's resources to implement the
proposed project, the Director considers one or more of the following
factors:
(1) The extent to which the applicant is committed to provide
adequate facilities, equipment, other resources, including
administrative support, and laboratories, if appropriate.

[[Page 291]]

(2) The quality of an applicant's past performance in carrying out a
grant.
(3) The extent to which the applicant has appropriate access to
populations and organizations representing individuals with disabilities
to support advanced disability, independent living and clinical
rehabilitation research.
(4) The extent to which the facilities, equipment, and other
resources are appropriately accessible to individuals with disabilities
who may use the facilities, equipment, and other resources of the
project.
(p) Quality of the project design. In determining the quality of the
design of the proposed project, the Director considers one or more of
the following factors:
(1) The extent to which the goals, objectives, and outcomes to be
achieved by the proposed project are clearly specified and measurable.
(2) The quality of the methodology to be employed in the proposed
project.
(3) The extent to which the design of the proposed project includes
a thorough, high-quality review of the relevant literature, a high-
quality plan for project implementation, and the use of appropriate
methodological tools to ensure successful achievement of project
objectives.
(4) The extent to which the design of the proposed project is
appropriate to, and will successfully address, the needs of the target
population or other identified needs.
(5) The extent to which the proposed development efforts include
adequate quality controls and, as appropriate, repeated testing of
products.
(6) The extent to which the proposed project will be coordinated
with similar or related efforts, and with other appropriate community,
State, and Federal resources.
(7) The extent to which the design of the proposed project reflects
up-to-date knowledge from research and effective practice.
(8) The extent to which the proposed project represents an
exceptional approach to the priority or priorities established for the
competition.

[81 FR 29159, May 11, 2016, as amended at 87 FR 50003, Aug. 15, 2022]

Sec. 1330.25 Additional considerations for field-initiated priorities.

(a) The Director reserves funds to support field-initiated
applications funded under this part when those applications have been
awarded points totaling 85 percent or more of the maximum possible
points under the procedures described in Sec. 1330.23.
(b) In making a final selection from applications received when
NIDILRR uses field-initiated priorities, the Director may consider
whether one of the following conditions is met and, if so, use this
information to fund an application out of rank order:
(1) The proposed project represents a unique opportunity to advance
rehabilitation and other knowledge to improve the lives of individual
with disabilities.
(2) The proposed project complements or balances research activity
already planned or funded by NIDILRR through its annual priorities or
addresses the research in a new and promising way.
(c) If the Director funds an application out of rank order under
paragraph (b) of this section, the public will be notified through a
notice on the NIDILRR Web site or through other means deemed appropriate
by the Director.

Subpart D_Disability, Independent Living, and Rehabilitation Research
Fellowships

Sec. 1330.30 Fellows program.

(a) The purpose of this program is to build research capacity by
providing support to highly qualified individuals, including those who
are individuals with disabilities, to perform research on
rehabilitation, independent living, and other experiences and outcomes
of individuals with disabilities.
(b) The eligibility requirements for the Fellows program are as
follows:
(1) Only individuals are eligible to be recipients of Fellowships.
(2) Any individual is eligible for assistance under this program who
has training and experience that indicate a potential for engaging in
scientific research related to rehabilitation and

[[Page 292]]

independent living for individuals with disabilities.
(3) This program provides two categories of Fellowships: Merit
Fellowships and Distinguished Fellowships.
(i) To be eligible for a Distinguished Fellowship, an individual
must have seven or more years of research experience in subject areas,
methods, or techniques relevant to disability and rehabilitation
research and must have a doctorate, other terminal degree, or comparable
academic qualifications.
(ii) The Director awards Merit Fellowships to individuals in earlier
stages of their careers in research. To be eligible for a Merit
Fellowship, an individual must have either advanced professional
training or experience in independent study in an area which is directly
pertinent to disability and rehabilitation.
(c) Fellowships will be awarded in the form of a grant to eligible
individuals.
(d) In making a final selection of applicants to support under this
program, the Director considers the extent to which applicants present a
unique opportunity to effect a major advance in knowledge, address
critical problems in innovative ways, present proposals which are
consistent with the Institute's Long-Range Plan, build research capacity
within the field, or complement and significantly increases the
potential value of already planned research and related activities.

Subpart E_Special Projects and Demonstrations for Spinal Cord Injuries

Sec. 1330.40 Spinal cord injuries program.

(a) This program provides assistance to establish innovative
projects for the delivery, demonstration, and evaluation of
comprehensive medical, vocational, independent living, and
rehabilitation services to meet the wide range of needs of individuals
with spinal cord injuries.
(b) The agencies and organizations eligible to apply under this
program are described in Sec. 1330.2.

PART 1331_STATE HEALTH INSURANCE ASSISTANCE PROGRAM--Table of Contents

Sec.
1331.1 Basis, scope, and definition.
1331.2 Eligibility for grants.
1331.3 Availability of grants.
1331.4 Number and size of grants.
1331.5 Limitations.
1331.6 Reporting requirements.
1331.7 Administration.

Authority: 42 U.S.C. 1395b-4.

Source: 81 FR 5918, Feb. 4, 2016, unless otherwise noted.

Sec. 1331.1 Basis, scope, and definition.

(a) Basis. This part implements, in part, the provisions of section
4360 of Public Law 101-508 by establishing a minimum level of funding
for grants made to States for the purpose of providing information,
counseling, and assistance relating to obtaining adequate and
appropriate health insurance coverage to individuals eligible to receive
benefits under the Medicare program.
(b) Scope of part. This part sets forth the following:
(1) Conditions of eligibility for the grant.
(2) Minimum levels of funding for those States qualifying for the
grants.
(3) Reporting requirements.
(c) Definition. For purposes of this subpart, the term ``State''
includes (except where otherwise indicated by the context) the 50
States, the District of Columbia, the Commonwealth of Puerto Rico, the
Virgin Islands, Guam, and American Samoa.

Sec. 1331.2 Eligibility for grants.

To be eligible for a grant under this subpart, the State must have
an approved Medicare supplemental regulatory program under section 1882
of the Act and submit a timely application to ACL that meets the
requirements of--
(a) Section 4360 of Public Law 101-508 (42 U.S.C. 1395b-4);
(b) This subpart; and
(c) The applicable solicitation for grant applications issued by
ACL.

Sec. 1331.3 Availability of grants.

ACL awards grants to States subject to availability of funds, and if
applicable, subject to the satisfactory progress

[[Page 293]]

in the State's project during the preceding grant period. The criteria
by which progress is evaluated and the performance standards for
determining whether satisfactory progress has been made are specified in
the terms and conditions included in the notice of grant award sent to
each State. ACL advises each State as to when to make application, what
to include in the application, and provides information as to the timing
of the grant award and the duration of the grant award. ACL also
provides an estimate of the amount of funds that may be available to the
State.

Sec. 1331.4 Number and size of grants.

(a) General. For available grant funds, up to and including
$10,000,000, grants will be made to States according to the terms and
formula in paragraphs (b) and (c) of this section. For any available
grant funds in excess of $10,000,000, distribution of grants will be at
the discretion of ACL, and will be made according to criteria that ACL
will communicate to the States via grant solicitation. ACL will provide
information to each State as to what must be included in the application
for grant funds. ACL awards the following type of grants:
(1) New program grants.
(2) Existing program enhancement grants.
(b) Grant award. Subject to the availability of funds, each eligible
State that submits an acceptable application receives a grant that
includes a fixed amount (minimum funding level) and a variable amount.
(1) A fixed portion is awarded to States in the following amounts:
(i) Each of the 50 States, $75,000.
(ii) The District of Columbia, $75,000.
(iii) Puerto Rico, $75,000.
(iv) American Samoa, $25,000.
(v) Guam, $25,000.
(vi) The Virgin Islands, $25,000.
(2) A variable portion which is based on the number and location of
Medicare beneficiaries residing in the State is awarded to each State.
The variable amount a particular State receives is determined as set
forth in paragraph (c) of this section.
(c) Calculation of variable portion of the grant. (1) ACL bases the
variable portion of the grant on--
(i) The amount of available funds, and
(ii) A comparison of each State with the average of all of the
States (except the State being compared) with respect to three factors
that relate to the size of the State's Medicare population and where
that population resides.
(2) The factors ACL uses to compare States' Medicare populations
comprise separate components of the variable amount. These factors, and
the extent to which they each contribute to the variable amount, are as
follows:
(i) Approximately 75 percent of the variable amount is based on the
number of Medicare beneficiaries living in the State as a percentage of
all Medicare beneficiaries nationwide.
(ii) Approximately 10 percent of the variable amount is based on the
percentage of the State's total population who are Medicare
beneficiaries.
(iii) Approximately 15 percent of the variable amount is based on
the percentage of the State's Medicare beneficiaries that reside in
rural areas (``rural areas'' are defined as all areas not included
within a metropolitan Statistical Area).
(3) Based on the foregoing four factors (that is, the amount of
available funds and the three comparative factors), ACL determines a
variable rate for each participating State for each grant period.
(d) Submission of revised budget. A State that receives an amount of
grant funds under this subpart that differs from the amount requested in
the budget submitted with its application must submit a revised budget
to ACL, along with its acceptance of the grant award, which reflects the
amount awarded.

Sec. 1331.5 Limitations.

(a) Use of grants. Except as specified in paragraph (b) of this
section, and in the terms and conditions in the notice of grant award, a
State that receives a grant under this subpart may use the grant for any
reasonable expenses for planning, developing, implementing and/or
operating the program for which the grant is made as described in the

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solicitation for application for the grant.
(b) Maintenance of effort. A State that receives a grant to
supplement an existing program (that is, an existing program enhancement
grant)--
(1) Must not use the grant to supplant funds for activities that
were conducted immediately preceding the date of the initial award of a
grant made under this subpart and funded through other sources
(including in-kind contributions).
(2) Must maintain the activities of the program at least at the
level that those activities were conducted immediately preceding the
initial award of a grant made under this subpart.

Sec. 1331.6 Reporting requirements.

A State that receives a grant under this subpart must submit at
least one annual report to ACL and any additional reports as ACL may
prescribe in the notice of grant award. ACL advises the State of the
requirements concerning the frequency, timing, and contents of reports
in the notice of grant award that it sends to the State.

Sec. 1331.7 Administration.

(a) General. Administration of grants will be in accordance with the
provisions of this subpart, 45 CFR part 75 (``Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments''), the terms of the solicitation, and the terms of the
notice of grant award. Except for the minimum funding levels established
by Sec. 1331.4(b)(1), in the event of conflict between a provision of
the notice of grant award, any provision of the solicitation, or of any
regulation enumerated in 45 CFR part 75, the terms of the notice of
grant award control.
(b) Notice. ACL provides notice to each applicant regarding ACL's
decision on an application for grant funding under Sec. 1331.4.
(c) Appeal. Any applicant for a grant under this subpart has the
right to appeal ACL's determination regarding its application. Appeal
procedures are governed by the regulations at 45 CFR part 16 (Procedures
of the Departmental Grant Appeals Board).

[[Page 295]]

SUBCHAPTER D_THE ADMINISTRATION FOR NATIVE AMERICANS, NATIVE AMERICAN
PROGRAMS

PART 1336_NATIVE AMERICAN PROGRAMS--Table of Contents

Subpart A_Definitions

Sec.
1336.10 Definitions.

Subpart B_Purpose of the Native American Programs

1336.20 Program purpose.

Subpart C_Native American Projects

1336.30 Eligibility under sections 804 and 805 of the Native American
Programs Act of 1974.
1336.31 Project approval procedures.
1336.32 Grants.
1336.33 Eligible applicants and proposed activities which are
ineligible.
1336.34 Notice of ineligibility.
1336.35 Appeal of ineligibility.

Subpart D_Evaluation

1336.40 General.

Subpart E_Financial Assistance Provisions

1336.50 Financial and administrative requirements.
1336.51 Project period.
1336.52 Appeals.

Subpart F_Native Hawaiian Revolving Loan Fund Demonstration Project

1336.60 Purpose of this subpart.
1336.61 Purpose of the Revolving Loan Fund.
1336.62 Definitions.
1336.63 General responsibilities of the Loan Administrator.
1336.64 Development of goals and strategies: Responsibilities of the
Loan Administrator.
1336.65 Staffing and organization of the Revolving Loan Fund:
Responsibilities of the Loan Administrator.
1336.66 Procedures and criteria for administration of the Revolving Loan
Fund: Responsibilities of the Loan Administrator.
1336.67 Security and collateral: Responsibilities of the Loan
Administrator.
1336.68 Defaults, uncollectible loans, liquidations: Responsibilities of
the Loan Administrator.
1336.69 Reporting requirements: Responsibilities of the Loan
Administrator.
1336.70 Technical assistance: Responsibilities of the Loan
Administrator.
1336.71 Administrative costs.
1336.72 Fiscal requirements.
1336.73 Eligible borrowers.
1336.74 Time limits and interest on loans.
1336.75 Allowable loan activities.
1336.76 Unallowable loan activities.
1336.77 Recovery of funds.

Authority: 42 U.S.C. 2991 et seq.

Source: 48 FR 55821, Dec. 15, 1983, unless otherwise noted.

Subpart A_Definitions

Sec. 1336.10 Definitions.

For the purposes of this part, unless the context otherwise
requires:
Act means the Native American Programs Act of 1974, as amended (42
U.S.C. 2991 et seq.).
Alaskan Native means a person who is an Alaskan Indian, Eskimo, or
Aleut, or any combination thereof. The term also includes any person who
is regarded as an Alaskan Native by the Alaskan Native Village or group
of which he or she claims to be a member and whose father or mother is
(or, if deceased, was) regarded as an Alaskan Native by an Alaskan
Native Village or group. The term includes any Alaskan Native as so
defined, either or both of whose adoptive parents are not Alaskan
Natives.
American Indian or Indian means any individual who is a member or a
descendant of a member of a North American tribe, band, Pueblo or other
organized group of native people who are indigenous to the Continental
United States, or who otherwise have a special relationship with the
United States or a State through treaty, agreement, or some other form
of recognition. This includes any individual who claims to be an Indian
and who is regarded as such by the Indian tribe, group, band, or
community of which he or she claims to be a member.
ANA means the Administration for Native Americans within the Office
of Human Development Services.
Applicant means an organization which has applied for financial
assistance from ANA.

[[Page 296]]

Budget period means the interval of time into which a project period
is divided for budgetary and funding purposes, and for which a grant is
made. A budget period usually lasts one year in a multi-year project
period.
Economic and social self-sufficiency means the ability of Native
Americans to define and achieve their own economic and social goals.
Indian tribe means a distinct political community of Indians which
exercises powers of self-government.
Native American means American Indian, Indian, Native Hawaiian, and
Alaskan Native, as defined in the Act, or in this section.
Project period means, for discretionary grants and cooperative
agreements, the total time for which the recipient's project or program
is approved for support, including any extension, subject to the
availability of funds, satisfactory progress, and a determination by HHS
that continued funding is in the best interest of the Government.
Recipient means an organization which has applied for financial
assistance, and to which financial assistance is awarded under this Act.
The term includes grantees and recipients of cooperative agreements.

Subpart B_Purpose of the Native American Programs

Sec. 1336.20 Program purpose.

The purpose of the Native American Programs authorized by the Native
American Programs Act of 1974 is to promote the goal of economic and
social self-sufficiency for Native Americans.

Subpart C_Native American Projects

Sec. 1336.30 Eligibility under sections 804 and 805 of the
Native American Programs Act of 1974.

Financial assistance under sections 804 and 805 may be made to
public or private agencies including ``for-profit'' organizations.

[48 FR 55821, Dec. 15, 1983, as amended at 53 FR 23968, June 24, 1988;
53 FR 28223, July 27, 1988; 54 FR 3452, Jan. 24, 1989; 61 FR 42820, Aug.
19, 1996]

Sec. 1336.31 Project approval procedures.

(a) Each applicant for financial assistance under section 803 of the
Act must submit a work plan that falls within the statutory requirements
of the Act and meets the criteria of program announcements published by
ANA in the Federal Register. If the proposed project extends beyond one
year, a work plan must be submitted for the period of time specified by
the Commissioner in the Program Announcement. ANA will determine whether
to approve all, part, or none of the requested work plan. Proposed
changes to the approved work plan must receive the written approval of
ANA prior to implementation by the recipient.
(b) ANA will negotiate the approved project goals, objectives, work
plan, and the funding level for each budget period with each recipient.
(c) The evaluation for the purpose of making an approval decision on
each proposed work plan will take into account the proposal's
conformance with ANA program purposes and the recipient's past
performance and accomplishments.
(d) Financial assistance awarded under section 803 may be renewed by
ANA to grantees based on acceptable work plans and past performance.

(Approved by the Office of Management and Budget under control number
0980-0016)

Sec. 1336.32 Grants.

Generally, financial assistance will be made available for a one-
year budget period and subsequent non-competing continuation awards with
the same project period will also be for one year. A recipient must
submit a separate application to have financial assistance continued for
each subsequent year, with the same project period, but the continuation
application need only contain budget and a summary progress report.

[[Page 297]]

Sec. 1336.33 Eligible applicants and proposed activities which are ineligible.

(a) Eligibility for the listed programs is restricted to the
following specified categories of organizations. In addition,
applications from tribal components which are tribally-authorized
divisions of a larger tribe must be approved by the governing body of
the Tribe. If the applicant, other than a tribe or an Alaska Native
Village government, is proposing a project benefiting Native Americans
or Native Alaskans, or both, it must provide assurance that its duly
elected or appointed board of directors is representative of the
community to be served.
(1) Social and Economic Development Strategies (SEDS) and
Preservation and Enhancement of Native American Languages:
(i) Federally recognized Indian Tribes;
(ii) Consortia of Indian Tribes;
(iii) Incorporated non-Federally recognized Tribes;
(iv) Incorporated nonprofit multi-purpose community-based Indian
organizations;
(v) Urban Indian Centers;
(vi) National and regional incorporated nonprofit Native American
organizations with Native American community-specific objectives;
(vii) Alaska Native villages as defined in the Alaska Native Claims
Settlement Act (ANSCA) and/or nonprofit village consortia;
(viii) Incorporated nonprofit Alaska Native multi-purpose community-
based organizations;
(ix) Nonprofit Alaska Native Regional Corporations/Associations in
Alaska with village specific projects;
(x) Nonprofit Native organizations in Alaska with village specific
projects;
(xi) Public and nonprofit private agencies serving Native Hawaiians;
(xii) Public and nonprofit private agencies serving native peoples
from Guam, American Samoa, Palau, or the Commonwealth of the Northern
Mariana Islands. (The populations served may be located on these islands
or in the United States);
(xiii) Tribally Controlled Community Colleges Tribally Controlled
Post-Secondary Vocational Institutions, and colleges and universities
located in Hawaii, Guam, American Samoa, Palau, or the Commonwealth of
the Northern Mariana Islands which serve Native American Pacific
Islanders; and
(xiv) Nonprofit Alaska Native community entities or tribal governing
bodies (Indian Reorganization Act or traditional councils) as recognized
by the Bureau of Indian Affairs.

(Statutory authority: Sections 803(a) and 803C of the Native American
Programs Act of 1974, as amended, 42 U.S.C. 2991 b(a) and 42 U.S.C.
2991b-3)

(2) Alaska-Specific Social and Economic Development Strategies
(SEDS) Projects:
(i) Federally recognized Indian Tribes in Alaska;
(ii) Alaska Native villages as defined in the Alaska Native Claims
Settlement Act (ANCSA) and/or nonprofit village consortia;
(iii) Incorporated nonprofit Alaska Native multi-purpose community-
based organizations;
(iv) Nonprofit Alaska Native Regional Corporations/Associations in
Alaska with village specific projects; and
(v) Nonprofit Native organizations in Alaska with village specific
projects.
(3) Mitigation of Environmental Impacts to Indian Lands Due to
Department of Defense Activities:
(i) Federally recognized Indian Tribes;
(ii) Incorporated non-Federally and State recognized Tribes;
(iii) Nonprofit Alaska Native community entities or tribal governing
bodies (Indian Reorganization Act (IRA) or traditional councils) as
recognized by the Bureau of Indian Affairs.
(iv) Nonprofit Alaska Native Regional Associations and/or
Corporations with village specific projects; and
(v) Other tribal or village organizations or consortia of Indian
Tribes. (Statutory authority: Sec. 8094A of the Department of Defense
Appropriations Act, 1994 (Public Law 103-139), Sec. 8094A of the Native
Americans Programs Act of 1974, as amended, 42 U.S.C. 2991h(b)).
(4) Improvement of the capability of tribal governing bodies to
regulate environmental quality:

[[Page 298]]

(i) Federally recognized Indian Tribes;
(ii) Incorporated non-Federally and State recognized Indian tribes;
(iii) Alaska Native villages as defined in the Alaska Native Claims
Settlement Act (ANSCA) and/or nonprofit village consortia;
(iv) Nonprofit Alaska Native Regional Corporations/Associations with
village-specific projects;
(v) Other tribal or village organizations or consortia of Indian
tribes: and
(vi) Tribal governing bodies (IRA or traditional councils) as
recognized by the Bureau of Indian Affairs. (Statutory authority:
Sections 803(d) of the Native Americans Programs Act of 1974, as amended
42 U.S.C. 2991b(d).)
(b) The following is a nonexclusive list of activities that are
ineligible for funding under programs authorized by the Native American
Programs Act of 1974:
(1) Projects in which a grantee would provide training and/or
technical assistance (T/TA) to other tribes or Native American
organizations (``third party T/TA''). However, the purchase of T/TA by a
grantee for its own use or for its members' use (as in the case of a
consortium), where T/TA is necessary to carry out project objectives, is
acceptable;
(2) Projects that request funds for feasibility studies, business
plans, marketing plans or written materials, such as manuals, that are
not an essential part of the applicant's SEDS long-range development
plan;
(3) The support of on-going social service delivery programs or the
expansion, or continuation, of existing social service delivery
programs;
(4) Core administration functions, or other activities, that
essentially support only the applicant's on-going administrative
functions; however, for Competitive Area 2, Alaska-Specific SEDS
Projects, ANA will consider funding core administrative capacity
building projects at the village government level if the village does
not have governing systems in place;
(5) The conduct of activities which are not responsive to one or
more of the three interrelated ANA goals (Governance Development,
Economic Development, and Social Development);
(6) Proposals from consortia of tribes that are not specific with
regard to support from, and roles of member tribes. An application from
a consortium must have goals and objectives that will create positive
impacts and outcomes in the communities of its members. ANA will not
fund activities by a consortium of tribes which duplicates activities
for which member tribes also receive funding from ANA; and
(7) The purchase of real estate. (Statutory authority: Sections 803B
of the Native American Programs Act of 1974, as amended, 42 U.S.C.
2991b-2)

[61 FR 42820, Aug. 19, 1996]

Sec. 1336.34 Notice of ineligibility.

(a) Upon a finding by the Commissioner that an organization which
has applied for funding is ineligible or that the activities proposed by
an organization are ineligible, the Commissioner shall inform the
applicant by certified letter of the decision.
(b) The letter must include the following:
(1) The legal and factual grounds for the Commissioner's finding
concerning eligibility;
(2) A copy of the regulations in this part; and
(3) The following statement: This is the final decision of the
Commissioner, Administration for Native Americans. It shall be the final
decision of the Department unless, within 30 days after receiving this
decision as provided in Sec. 810(b) of the Native Americans Programs
Act of 1974, as amended, and 45 CFR part 1336, you deliver or mail (you
should use registered or certified mail to establish the date) a written
notice of appeal to the HHS Departmental Appeals Board, 200 Independence
Avenue, S.W., Washington, D.C. 20201. You shall attach to the notice a
copy of this decision and note that you intend an appeal. The appeal
must clearly identify the issue(s) in dispute and contain a statement of
the applicant's position on such issue(s) along with pertinent facts and
reasons in support of the position. We are enclosing a copy of 45

[[Page 299]]

CFR part 1336 which governs the conduct of appeals under Sec. 810(b).
For additional information on the appeals process see 45 CFR 1336.35.
(Statutory authority: Sections 810(b) of the Native American Programs
Act of 1974, as amended, 42 U.S.C. 2991h(b).)

[61 FR 42821, Aug. 19, 1996]

Sec. 1336.35 Appeal of ineligibility.

The following steps apply when seeking an appeal on a finding of
ineligibility for funding:
(a) An applicant, which has had its application rejected either
because it has been found ineligible or because the activities it
proposes are ineligible for funding by the Commissioner of ANA, may
appeal the Commissioner's ruling to the HHS Departmental Appeals Board,
in writing, within 30 days following receipt of ineligibility
notification.
(b) The appeal must clearly identify the issue(s) in dispute and
contain a statement of the applicant's position on such issue(s) along
with pertinent facts and reasons in support of the position.
(c) Upon receipt of appeal for reconsideration of a rejected
application or activities proposed by an applicant, the Departmental
Appeals Board will notify the applicant by certified mail that the
appeal has been received.
(d) The applicant's request for reconsideration will be reviewed by
the Departmental Appeals Board in accordance with 45 CFR part 16, except
as otherwise provided in this part.
(e) The Commissioner shall have 45 days to respond to the
applicant's submission under paragraph (a) of this section.
(f) The applicant shall have 20 days to respond to the
Commissioner's submission and the parties may be requested to submit
additional information within a specified time period before closing the
record in the appeal.
(g) The Departmental Appeals Board will review the record in the
appeal and provide a final written decision within 30 days following the
closing of the record, unless the Board determines for good reason that
a decision cannot be issued within this time period and so notifies the
parties.
(h) If the Departmental Appeals Board determines that the applicant
is eligible or that the activities proposed by the applicant are
eligible for funding, such eligibility shall not be effective until the
next cycle of grant proposals are considered by the Administration for
Native Americans. (Statutory authority: Sections 810(b) of the Native
American Programs Act of 1974, as amended, 42 U.S.C. 2991h(b).)

[61 FR 42822, Aug. 19, 1996]

Subpart D_Evaluation

Sec. 1336.40 General.

Progress reports and continuation applications must contain
sufficient information for ANA to determine the extent to which the
recipient meets ANA project evaluation standards. Sufficient information
means information adequate to enable ANA to compare the recipient's
accomplishments with the goals and activities of the approved work plan
and with ANA project evaluation criteria.

(Approved by the Office of Management and Budget under control numbers
0980-0155 and 0980-0144)

Subpart E_Financial Assistance Provisions

Sec. 1336.50 Financial and administrative requirements.

(a) General. The following HHS regulations apply to all grants
awarded under this part:
45 CFR Part 16 Department grant appeals process.
45 CFR Part 46 Protection of human subjects.
45 CFR part 75--Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for HHS Awards
45 CFR Part 80 Nondiscrimination under programs receiving Federal
assistance through the Department of Health and Human Services--
Effectuation of title VI of the Civil Rights Act of 1964.
45 CFR Part 81 Practice and procedure for hearing under part 80.
45 CFR Part 84 Nondiscrimination on the basis of handicap in
federally assisted programs.

[[Page 300]]

45 CFR Part 86 Nondiscrimination on the basis of sex in education
programs and activities receiving or benefiting from Federal financial
assistance.
45 CFR Part 91 Nondiscrimination on the basis of age in programs or
activities receiving Federal financial assistance from HHS.
(b) Cost sharing or matching--(1) Policy. Recipients of financial
assistance under sections 803, 804, and 805 of the Act are required to
provide a matching share of 20 percent of the approved cost of the
assisted project.

This requirement may be waived in accordance with the criteria in Sec.
1336.50(b)(3). The matching share requirement may be met using either
cash or in-kind contributions.
(2) Application. If an applicant or recipient wishes to request a
waiver of the requirement for a 20 percent non-Federal matching share,
the following conditions must be met:
(i) If an applicant for an initial award or an applicant for a non-
competing continuation award anticipates that it will be unable to meet
the cost-sharing or matching requirement, the applicant may request a
waiver of the 20 percent non-Federal matching share. It must include
with its application for funding, the submission of a revised SF424A, a
written justification that clearly explains why the applicant cannot
provide the matching share including the amount of non-Federal share to
be waived, and how it meets the criteria indicated in paragraph (b)(3)
of this section. For an applicant for an initial award, or an applicant
seeking a non-competing continuation award, a request for a waiver must
be submitted at the time of the initial application or non-competing
continuation (NCC) application.
(ii) If a recipient is unable to contribute part or all of the
required non-Federal matching share during a budget period due to an
emergency situation such as a natural disaster, man-made disaster, act
of terrorism, public health emergency, or other qualifying event, the
recipient may request a waiver of all or part of the requirement for a
20 percent non-Federal matching share specified under paragraph (b)(1)
of this section. Any requests for an emergency waiver may be submitted
at any time during a budget period as soon as the adverse effect is
known to the recipient and must be submitted in accordance with the
requirements specified in paragraph (b)(3) of this section.
(3) Criteria. Both of the following criteria must be met for an
applicant or recipient to be eligible for a waiver of the non-Federal
matching requirement:
(i) Applicant or recipient lacks the available resources to meet
part or all of the non-Federal matching requirement. This must be
documented by an institutional audit if available, or a full disclosure
of applicant's or recipient's total assets and liabilities.
(ii) Applicants or recipients can document that reasonable efforts
to obtain cash or in-kind contributions for the purposes of the project
from third parties have been unsuccessful, including evidence and the
results of such attempts. Evidence of such efforts can include letters
from possible sources of funding or any relevant correspondence,
indicating that the requested resources are not available for that
project. The requests must be appropriate to the source in terms of
project purpose, applicant eligibility, and reasonableness of the
request.
(4) Approval. For a waiver to be approved, ANA must determine that
it will not prevent the award of other grants at levels it believes are
desirable for the purposes of the program. Waiver of all or part of the
non-Federal share shall apply only to the budget period for which
application was made.
(c) Maintenance of effort. (1) Applications for financial assistance
under this Part must include either a statement of compliance with the
maintenance of effort requirement contained in section 803(c) of the
Act, or a request for a waiver, in accordance with criteria established
in this paragraph.
(2) To be eligible for a waiver of the maintenance of effort
requirement, the applicant must demonstrate to ANA that the organization
whose funds previously supported the project discontinued its support:
(i) As a result of funding limitations; and

[[Page 301]]

(ii) Not as a result of an adverse evaluation of the project's
purpose or the manner in which it was conducted; and
(iii) Not because it was anticipated that Federal funds would
replace the original source of project funding.
(3) In addition, the applicant must demonstrate in the request for a
waiver that the maintenance of effort requirement would result in
insurmountable hardship for the recipient or would otherwise be
inconsistent with the purposes of this part.
(d) Delegation of project operations. (1) Each subgrant awarded to a
delegate agency must have specific prior approval by ANA. Such
delegation must be formalized by written agreement.
(2) The agreement must specify the activities to be performed by the
delegate agency, the time schedule, the policies and procedures to be
followed, the dollar limitations, and the costs allowed. The applicant
must submit a budget for each delegate agency as part of its
application.
(e) Unallowable costs. ANA funds may not be used by recipients to
purchase real property.
(f) Office of the Chief Executive. The costs of salaries and
expenses of the Office of Chief Executive of a federally recognized
Indian tribal government (as defined in Sec. 75.2 of this title ) are
allowable, provided that such costs exclude any portion of salaries and
expenses of the Office of Chief Executive that are a cost of general
government and provided they are related to a project assisted under
this part.

[48 FR 55821, Dec. 15, 1983, as amended at 81 FR 3022, Jan. 20, 2016; 88
FR 12226, Feb. 27, 2023]

Sec. 1336.51 Project period.

The Notice of Financial Assistance Awarded will specify the period
for which support is intended, although the Department makes funding
commitments only for one budget period at a time. Financial assistance
under section 803 of the Act may be ongoing, subject to policy decisions
and funding limitations.

Sec. 1336.52 Appeals.

(a) Right to appeal. Recipients whose financial assistance has been
suspended or terminated, or whose non-competing continuation
applications for refunding have been denied, may appeal such decisions
using the procedures described in this section. Denial of an application
for refunding means the refusal to fund a non-competing continuation
application for a budget period within a previously approved project
period.
(b) Suspension, termination, and denial of funding. Procedures for
and definitions of suspension and termination of financial assistance
are published in 45 CFR 75.371 through 75.380. Appeals from a denial of
refunding will be treated the same procedurally as appeals to
termination of financial assistance. The term ``denial of refunding''
does not include policy decisions to eliminate one or more activities of
an approved project. A decision not to fund an application at the end of
the recipients's project period is not a ``denial of refunding'' and is
not subject to appeal.
(c) Hearings. (1) A recipient shall be given an initial written
notice at least thirty (30) days prior to the suspension or termination
of financial assistance except in emergency situations, which occur when
Federal property is in imminent danger of dissipation, or when life,
health, or safety is endangered. During this period of time, the
recipient has the opportunity to show cause to ANA why such action
should not be taken.
(2) A recipient who has received final written notice of termination
or denial of refunding, or whose financial assistance will be suspended
for more than 30 days, or who has other appealable disputes with ANA as
provided by 45 CFR part 16 may request review by the Departmental Grant
Appeals Board under the provisions of 45 CFR part 16.
(3) If a recipient appeals a suspension of more than 30 days which
subsequently results in termination of financial assistance, both
actions may be considered simultaneously by the Departmental Grant
Appeals Board.

[48 FR 55821, Dec. 15, 1983, as amended at 81 FR 3022, Jan. 20, 2016]

[[Page 302]]

Subpart F_Native Hawaiian Revolving Loan Fund Demonstration Project

Authority: 88 Stat. 2324, 101 Stat. 976 (42 U.S.C. 2991, et seq.).

Source: 53 FR 23969, June 24, 1988; 53 FR 28223, July 27, 1988; 54
FR 3452, Jan. 24, 1989, unless otherwise noted.

Sec. 1336.60 Purpose of this subpart.

(a) The Administration for Native Americans will award a five-year
demonstration grant to one agency of the State of Hawaii or to one
community-based Native Hawaiian organization whose purpose is the
economic and social self-sufficiency of Native Hawaiians to develop
procedures for and to manage a revolving loan fund for Native Hawaiian
individuals and organizations in the State of Hawaii. (section
830A(a)(1))
(b) This subpart sets forth the requirements that the organization
or agency selected to administer the revolving loan fund must meet and
the terms and conditions applicable to loans made to borrowers from the
loan fund.

Sec. 1336.61 Purpose of the Revolving Loan Fund.

The purpose of the Native Hawaiian Revolving Loan Fund is to provide
funding not available from other sources on reasonable terms and
conditions to:
(a) Promote economic activities which result in expanded
opportunities for Native Hawaiians to increase their ownership of,
employment in, or income from local economic enterprise;
(b) Assist Native Hawaiians to overcome specific gaps in local
capital markets and to encourage greater private-sector participation in
local economic development activities; and
(c) Increase capital formation and private-sector jobs for Native
Hawaiians. (section 803A(a)(1)(A))

Sec. 1336.62 Definitions.

Applicant means an applicant for a loan from the Native Hawaiian
Revolving Loan Fund. An applicant must be an individual Native Hawaiian
or a Native Hawaiian organization. If the applicant is a group of people
organized for economic development purposes, the applicant ownership
must be 100% Native Hawaiian.
Commissioner means the Commissioner of the Administration for Native
Americans.
Cooperative association means an association of individuals
organized pursuant to State or Federal law, for the purpose of owning
and operating an economic enterprise for profit, with profits
distributed or allocated to patrons who are members of the organization.
Corporation means an entity organized pursuant to State or Federal
law, as a corporation, with or without stock, for the purpose of owning
and operating an economic enterprise.
Default means failure of a borrower to make scheduled payments on a
loan, failure to obtain the lender's approval for disposal of assets
mortgaged as security for a loan, or failure to comply with the
convenants, obligations or other provisions of a loan agreement.
Economic enterprise means any Native Hawaiian-owned, commercial,
industrial, agricultural or other business activity established or
organized for the purpose of profit.
Financing statement means the document filed or recorded in country
or State offices pursuant to the provisions of the Uniform Commercial
Code as enacted by Hawaii notifying third parties that a lender has a
lien on the chattel and/or crops of a borrower.
Loan Administrator means either the agency of the State of Hawaii or
the community-based Native Hawaiian organization whose purpose is the
economic and social self-sufficiency of Native Hawaiians selected to
administer the revolving loan fund.
Mortgages mean mortgages and deeds of trust evidencing an
encumbrance of trust or restricted land, mortgages and security
agreements executed as evidence of liens against crops and chattels, and
mortgages and deeds of trust evidencing a lien on leasehold interests.
Native Hawaiian means an individual any of whose ancestors were
natives of the area which consists of the Hawaiian Islands prior to
1778.

[[Page 303]]

Partnership means two or more persons engaged in the same business,
sharing its profits and risks, and organized pursuant to state or
Federal law.
Profits mean the net income earned after deducting operating
expenses from operating revenues.
Revolving Loan Fund (RLF) means all funds that are now or are
hereafter a part of the Native Hawaiian Revolving Loan Fund authorized
by the Native American Programs Act of 1974, as amended in 1987, and
supplemented by sums collected in repayment of loans made, including
interest or other charges on loans and any funds appropriated pursuant
to section 803A of the Native American Programs Act of 1974, as amended.

Sec. 1336.63 General responsibilities of the Loan Administrator.

(a) The Loan Administrator will make loans to Native Hawaiian
organizations and to individual Native Hawaiians for the purpose or
promoting economic development among Native Hawaiians in the State of
Hawaii. (Section 803(a)(1)(A).)
(b) Prior to any loan being made from the RLF, the Loan
Administrator will develop and obtain the Commissioner's approval of the
following organizational and administrative materials necessary to
implement the RLF:
(1) Goals and strategies;
(2) Staffing and organizational responsibilities;
(3) Preapplication and loan screening processes;
(4) Loan procedures including application forms;
(5) Criteria and procedures for loan review, evaluation and
decision-making;
(6) Loan closing procedures; and
(7) Procedures for loan servicing, monitoring and provision of
technical assistance.
(c) The Loan Administrator will set up fiscal management procedures
to satisfy the requirements of section 803A of the Native American
Programs Act and this subpart.
(d) The Loan Administrator must set up a separate account for the
RLF into which all payments, interest, charges, and other amounts
collected from loans made from the RLF will be deposited.

Sec. 1336.64 Development of goals and strategies: Responsibilities
of the Loan Administrator.

(a) Prior to the approval of any direct loan under the RLF, the Loan
Administrator will develop and obtain the Commissioner's approval for a
clear and comprehensive set of goals and strategies for the RLF. The
goals will specify the results the Loan Administrator expects to
accomplish from the Revolving Loan Fund, define the RLF's role and
responsibilities for potential users, and serve as the basis for the
development of an organizational strategy and operating plan. The RLF
strategies will provide the Loan Administrator with a sound
understanding of the economic and market conditions within the Native
Hawaiian community.
(b) The following factors shall be considered by the Loan
Administrator in developing the RLF's goals:
(1) Employment needs of the local population;
(2) Characteristics of the local economic base;
(3) Characteristics of the local capital base and the gaps in the
local availability of business capital;
(4) Local resources for economic development and their availability;
and
(5) Goals and strategies of other local organizations involved in
economic development.
(c) The loan fund strategies developed by the Revolving Loan Fund
must include the following:
(1) Business Targeting Strategy: to determine which types of
businesses are to be targeted by the loan fund. The Loan Administrator
will develop procedures to ensure that the loans made are directed to
Native Hawaiians.
(2) Financing Strategy: to determine the types of financing the loan
fund will provide;
(3) Business Assistance Strategy: to identify the possible or
potential management problems of a borrower and develop a workable plan
for providing borrowers with the needed management assistance;
(4) Marketing Strategy: to generate applications from potential
borrowers

[[Page 304]]

and to generate the support and participation of local financial
institutions;
(5) Capital Base Management Strategy: to develop and allocate the
financial resources of the fund in the most effective possible way to
meet the need or demand for financing; and
(6) Accountability Strategy: to develop policies and mechanisms to
hold borrowers accountable for providing the public benefits promised
(e.g. jobs) in return for financing; to ensure that, until expenditure,
loan proceeds are held by the borrower in secured, liquid financial
instruments; to hold borrowers accountable for upholding the commitments
made prior to the loan; and to develop the methods used by the RLF to
enforce these commitments.

Sec. 1336.65 Staffing and organization of the Revolving Loan Fund:
Responsibilities of the Loan Administrator.

Prior to the approval of any direct loan under the RLF, the Loan
Administrator must develop and obtain the Commissioner's approval for
the RLF's organization table, including:
(a) The structure and composition of the Board of Directors of the
RLF;
(b) The staffing requirements for the RLF, with position
descriptions and necessary personnel qualifications;
(c) The appointments to the advisory loan review committee; and
(d) The roles and responsibilities of the Board, staff and loan
review committee.

Sec. 1336.66 Procedures and criteria for administration of the
Revolving Loan Fund: Responsibilities of the Loan Administrator.

Prior to the approval of any direct loan under the RLF, the Loan
Administrator must develop and obtain the Commissioner's approval for
the following procedures:
(a) Preapplication and loan screening procedures. Some factors to be
considered in the loan screening process are:
(1) General eligibility criteria;
(2) Potential economic development criteria;
(3) Indication of business viability;
(4) The need for RLF financing; and
(5) The ability to properly utilize financing.
(b) Application process. The application package includes forms,
instructions, and policies and procedures for the loan application. The
package must also include instructions for the development of a business
and marketing plan and a financing proposal from the applicant.
(c) Loan evaluation criteria and procedures. The loan evaluation
must include the following topics:
(1) General and specific business trends;
(2) Potential market for the product or service;
(3) Marketing strategy;
(4) Management skills of the borrower;
(5) Operational plan of the borrower;
(6) Financial controls and accounting systems;
(7) Financial projections; and
(8) Structure of investment and financing package.
(d) Loan decision-making process. Decision-making on a loan
application includes the recommendations of the staff, the review by the
loan review committee and the decision by the Board.
(e) Loan closing process. The guidelines for the loan closing
process include the finalization of loan terms; conditions and
covenants; the exercise of reasonable and proper care to ensure
adherence of the proposed loan and borrower's operations to legal
requirements; and the assurance that any requirement for outside
financing or other actions on which disbursement is contingent are met
by the borrower.
(f) Loan closing documents. Documents used in the loan closing
process include:
(1) Term Sheet: an outline of items to be included in the loan
agreement. It should cover the following elements:
(i) Loan terms;
(ii) Security interest;
(iii) Conditions for closing the loan;
(iv) Covenants, including reporting requirements;
(v) Representations and warranties;
(vi) Defaults and remedies; and
(vii) Other provisions as necessary.

[[Page 305]]

(2) Closing Agenda: an outline of the loan documents, the background
documents, and the legal and other supporting documents required in
connection with the loan.
(g) Loan servicing and monitoring. The servicing of a loan will
include collections, monitoring, and maintenance of an up-to-date
information system on loan status.
(1) Collections: To include a repayment schedule, invoice for each
loan payment, late notices, provisions for late charges.
(2) Loan Monitoring: To include regular reporting requirements,
periodic analysis of corporate and industry information, scheduled
telephone contact and site visits, regular loan review committee
oversight of loan status, and systematic internal reports and files.

Sec. 1336.67 Security and collateral: Responsibilities of the
Loan Administrator.

The Loan Administrator may require any applicant for a loan from the
RLF to provide such collateral as the Loan Administrator determines to
be necessary to secure the loan. (Section 803A(b)(3))
(a) As a Credit Factor. The availability of collateral security
normally is considered an important factor in making loans. The types
and amount of collateral security required should be governed by the
relative strengths and weaknesses of other credit factors. The taking of
collateral as security should be considered with respect to each loan.
Collateral security should be sufficient to provide the lender
reasonable protection from loss in the case of adversity, but such
security or lack thereof should not be used as the primary basis for
deciding whether to extend credit.
(b) Security Interests. Security interests which may be taken by the
lender include, but are not limited to, liens on real or personal
property, including leasehold interests; assignments of income and
accounts receivable; and liens on inventory or proceeds of inventory
sales as well as marketable securities and cash collateral accounts.
(1) Motor vehicles. Liens ordinarily should be taken on licensed
motor vehicles, boats or aircraft purchased hereunder in order to be
able to transfer title easily should the lender need to declare a
default or repossess the property.
(2) Insurance on property secured. Hazard insurance up to the amount
of the loan or the replacement value of the property secured (whichever
is less) must be taken naming the lender as beneficiary. Such insurance
includes fire and extended coverage, public liability, property damage,
and other appropriate types of hazard insurance.
(3) Appraisals. Real property serving as collateral security must be
appraised by a qualified appraiser. For all other types of property, a
valuation shall be made using any recognized, standard technique
(including standard reference manuals), and this valuation shall be
described in the loan file.
(c) Additional security. The lender may require collateral security
or additional security at any time during the term of the loan if after
review and monitoring an assessment indicates the need for such
security.

Sec. 1336.68 Defaults, uncollectible loans, liquidations:
Responsibilities of the Loan Administrator.

(a) Prior to making loans from the RLF, the Loan Administrator will
develop and obtain the Commissioner's approval for written procedures
and definitions pertaining to defaults and collections of payments.
(section 803A(b)(4))
(b) The Loan Administrator will provide a copy of such procedures
and definitions to each applicant for a loan at the time the application
is made. (section 803A(b)(4))
(c) The Loan Administrator will report to the Commissioner whenever
a loan recipient is 90 days in arrears in the repayment of principal or
interest or has failed to comply with the terms of the loan agreement.
After making reasonable efforts to collect amounts payable, as specified
in the written procedures, the Loan Administrator shall notify the
Commissioner whenever a loan is uncollectible at reasonable cost. The
notice shall include recommendations for future action to be taken by
the Loan Administrator. (section 803A(c)(1) and (2))

[[Page 306]]

(d) Upon receiving such notices, the Commissioner will, as
appropriate, instruct the Loan Administrator:
(1) To demand the immediate and full repayment of the loan;
(2) To continue with its collection activities;
(3) To cancel, adjust, compromise, or reduce the amount of such
loan;
(4) To modify any term or condition of such loan, including any term
or condition relating to the rate of interest or the time of payment of
any installment of principal or interest, or portion thereof, that is
payable under such loan;
(5) To discontinue any further advance of funds contemplated by the
loan agreement;
(6) To take possession of any or all collateral given as security
and in the case of individuals, corporations, partnerships or
cooperative associations, the property purchased with the borrowed
funds;
(7) To prosecute legal action against the borrower or against the
officers of the borrowing organization;
(8) To prevent further disbursement of credit funds under the
control of the borrower;
(9) To assign or sell at a public or private sale, or otherwise
dispose of for cash or credit any evidence of debt, contract, claim,
personal or real property or security assigned to or held by the Loan
Administrator; or
(10) To liquidate or arrange for the operation of economic
enterprises financed with the revolving loan until the indebtedness is
paid or until the Loan Administrator has received acceptable assurance
of its repayment and compliance with the terms of the loan agreement.
(Section 803A(c)(2)(B))

Sec. 1336.69 Reporting requirements: Responsibilities of the Loan Administrator.

(a) The Loan Administrator will maintain the following internal
information and records:
(1) For each borrower: The loan repayment schedule, log of telephone
calls and site visits made with the date and the items discussed,
correspondence with the borrower, progress reports and analyses.
(2) Monthly status of all outstanding loans, noting all overdue
payments.
(3) Monthly status of the investments of the revolving loan fund
monies not currently used for loans.
(4) Monthly records on the revenue generated by the loan fund from
interest charges and late charges.
(5) Monthly administrative costs of the management of the loan fund
and the sources of the monies to support the administrative costs.
(b) The Loan Administrator must submit a quarterly report to the
Commissioner. The report may be in a format of the choice of the Loan
Administrator as long as it includes at a minimum the following topics:
(1) For each borrower:
(i) Name of the borrower;
(ii) Economic development purpose(s) of the loan;
(iii) Financing of the loan by source;
(iv) Loan status (current/delinquent/paid);
(v) Principal and interest outstanding; and
(vi) Amount delinquent/defaulted, if any.
(2) Financial status of the RLF:
(i) Administrative cost expenditures;
(ii) Level of base capital;
(iii) Level of current capital;
(iv) Amount of ANA funding;
(v) Matching share;
(vi) Other direct funding of the RLF;
(vii) Program income, including interest on loans, earnings from
investments, fee charges;
(viii) Loans made;
(ix) Losses on loans;
(x) Principal and interest outstanding;
(xi) Loans repaid;
(xii) Delinquent loans; and
(xiii) Collateral position of the RLF (the value of collateral as a
percent of the outstanding balance on direct loans).
(c) The Loan Administrator must submit a semi-annual report to the
Commissioner containing an analysis of the RLF progress to date.
(d) The Loan Administrator must submit to the Department a quarterly
SF-269, Financial Status Report, or any equivalent report required by
the Department.

[[Page 307]]

Sec. 1336.70 Technical assistance: Responsibilities of the
Loan Administrator.

The Loan Administrator will assure that competent management and
technical assistance is available to the borrower consistent with the
borrower's knowledge and experience and the nature and complexity of the
economic enterprise being financed by the RLF. Consultants, RLF staff,
and members of the loan review committee and Board may be used to assist
borrowers. (section 803A(d)(1)(B))

Sec. 1336.71 Administrative costs.

Reasonable administrative costs of the RLF may be paid out of the
loan fund. The grant award agreement between the Loan Administrator and
ANA will set forth the allowable administrative costs of the loan fund
during the five-year demonstration period. (sections 803A(a)(2) and
803A(d)(1)(A))

Sec. 1336.72 Fiscal requirements.

(a) Any portion of the revolving loan fund that is not required for
expenditure must be invested in obligations of the United States or in
obligations guaranteed or insured by the United States.
(b) Loans made under the RLF will be for a term that does not exceed
five years.
(c) No loan may be made by the RLF after November 29, 1992, the
close of the five-year period of the demonstration project. (section
803A(b)(6))
(d) All monies that are in the revolving loan fund on November 29,
1992 and that are not otherwise needed (as determined by the
Commissioner) to carry out the provisions of this subpart must be
deposited in the Treasury of the United States as miscellaneous
receipts. The Commissioner will make this determination based on
reports, audits and other appropriate documents as determined by the
Commissioner. The Commissioner will take into consideration the costs
necessary to collect loans outstanding beyond November 29, 1992, which
costs may be paid from interest and loan charges collected by the Fund
and in the Fund as of November 29, 1992. To use monies in the Fund for
the costs of collection after November 29, 1992, the Commissioner must
give prior approval for such use.
(e) All monies deposited in the revolving loan fund after November
29, 1992 must be deposited in the Treasury of the United States as
miscellaneous receipts.
(f) After November 29, 1992, the Loan Administrator will assume
responsibility for the collection of all outstanding loans without
additional financial assistance from ANA.

Sec. 1336.73 Eligible borrowers.

(a) Loans may be made to eligible applicants only if the Loan
Administrator determines that the applicant is unable to obtain
financing on reasonable terms and conditions from other sources such as
banks, Small Business Administration, Production Credit Associations,
Federal Land Banks; and
(b) Only if there is a reasonable prospect that the borrower will
repay the loan. (section 803A(b)(1)(A) and (B))
(c) The Loan Administrator will determine an applicant's inability
to obtain financing elsewhere on reasonable terms and conditions from
documentation provided by the applicant.
(d) Those eligible to receive loans from the revolving loan fund
are:
(1) Native Hawaiian individuals.
(2) Native Hawaiian non-profit organizations.
(3) Native Hawaiian businesses.
(4) Native Hawaiian cooperative associations.
(5) Native Hawaiian partnerships.
(6) Native Hawaiian associations.
(7) Native Hawaiian corporations.

Sec. 1336.74 Time limits and interest on loans.

(a) Loans made under the RLF will be for a term that does not exceed
5 years.
(b) Loans will be made to approved borrowers at a rate of interest
that is 2 percentage points below the average market yield on the most
recent public offering of United States Treasury bills occurring before
the date on which the loan is made. (section 803A(b)(2)(A) and (B))

[[Page 308]]

Sec. 1336.75 Allowable loan activities.

The following are among those activities for which a loan may be
made from the RLF:
(a) The establishment or expansion of businesses engaged in
commercial, industrial or agricultural activities, such as farming,
manufacturing, construction, sales, service;
(b) The establishment or expansion of cooperatives engaged in the
production and marketing of farm products, equipment, or supplies; the
manufacture and sale of industrial, commercial or consumer products; or
the provision of various commercial services;
(c) Business or job retention;
(d) Small business development;
(e) Private sector job creation; and
(f) Promotion of economic diversification, e.g. targeting firms in
growth industries that have not previously been part of a community's
economic base.

Sec. 1336.76 Unallowable loan activities.

The following activities are among those activities not eligible for
support under the revolving loan fund:
(a) Loans to the Loan Administrator or any representative or
delegate of the Loan Administrator (section 803A(b)(5));
(b) Loans which would create a potential conflict-of-interest for
any officer or employee of the Loan Administrator; loan activities which
directly benefit these individuals, or persons related to them by
marriage, or law.
(c) Eligible activities which are moved from the State of Hawaii;
(d) Investing in high interest account, certificates of deposit or
other investments;
(e) Relending of the loan amount by the borrower;
(f) The purchase of land or buildings;
(g) The construction of buildings; and
(h) Purchasing or financing equity in private businesses.

Sec. 1336.77 Recovery of funds.

(a) Funds provided under this Subpart may be recovered by the
Commissioner for both costs of administration of the Loan Fund and
losses incurred by the Fund (hereafter jointly referred to as ``costs'')
under the following circumstances:
(1) Whenever claimed costs are unallowable under the Native
Americans Programs Act of 1974, as amended, or under 45 CFR part 75,
subpart E, or both;
(2) For costs for loans made to ineligible persons or entities as
defined in Sec. 1336.73;
(3) For costs connected with the default of a borrower when the Loan
Administrator has failed to perfect any security interest or when the
Loan Administrator has failed to obtain collateral when provision of
collateral is a condition of a loan.
(4) For costs connected with any default when the Loan Administrator
has failed to perform a proper check of an applicant's credit;
(5) For costs whenever the Loan Administrator has failed to notify
the Commission of loans at risk as required by Sec. 1336.68 of these
regulations, and as may be required by the procedures approved pursuant
to that regulation;
(6) For costs whenever the Loan Administrator has failed to follow
properly instructions provided to it by the Commissioner pursuant to
Sec. 1336.68(d) of these regulations;
(7) For costs which are incurred due to faulty record keeping,
reporting, or both; or
(8) For costs which are in connection with any activity or action
which violates any Federal or State law or regulation not specifically
identified in these regulations.
(b) Whenever the Commissioner determines that funds have been
improperly utilized or accounted for, he will issue a disallowance
pursuant to the Act and to 45 CFR part 75 and will notify the Loan
Administrator of its appeal rights, which appeal must be taken pursuant
to 45 CFR part 16.
(c) If a disallowance is taken and not appealed, or if it is
appealed and the disallowance is upheld by the Departmental Grant
Appeals Board, the Loan Administrator must repay the disallowed amount
to the Loan Fund within 30 days, such repayment to be made with non-
Federal funds.

[53 FR 23969, June 24, 1988; 53 FR 28223, July 27, 1988; 54 FR 3452,
Jan. 24, 1989, as amended at 81 FR 3022, Jan. 20, 2016]

[[Page 309]]

SUBCHAPTER E [RESERVED]

[[Page 310]]

SUBCHAPTER F_THE ADMINISTRATION FOR CHILDREN, YOUTH AND FAMILIES, FAMILY
AND YOUTH SERVICES BUREAU

PART 1351_RUNAWAY AND HOMELESS YOUTH PROGRAM--Table of Contents

Subpart A_Definition of Terms

Sec.
1351.1 Significant terms.

Subpart B_Runaway and Homeless Youth Program Grants

1351.10 What is the purpose of Runaway and Homeless Youth Program
grants?
1351.11 Who is eligible to apply for a Runaway and Homeless Youth
Program grant?
1351.12 Who gets priority for the award of a Runaway and Homeless Youth
Program grant?
1351.13 What are the Federal and non-Federal match requirements under a
Runaway and Homeless Youth Program grant?
1351.14 What is the period for which a grant will be awarded?
1351.15 What costs are supportable under a Runaway and Homeless Youth
Program grant?
1351.16 What costs are not allowable under a Runaway and Homeless Youth
Program grant?
1351.17 How is application made for a Runaway and Homeless Youth Program
grant?
1351.18 What criteria has HHS established for deciding which Runaway and
Homeless Youth Program grant applications to fund?

Subpart C_Additional Requirements

1351.20 What Government-wide and HHS-wide regulations apply to these
programs?
1351.21 What confidentiality requirements apply to these programs?
1351.22 What additional requirements apply to these programs?
1351.23 What are the additional requirements that apply to the Basic
Center, Transitional Living and Street Outreach Program
grants?
1351.24 What are the additional requirements that the Basic Center
Program grantees must meet?
1351.25 What are the additional requirements that the Transitional
Living Program and Maternity Group Home grantees must meet?
1351.26 What are the additional requirements that both the Basic Center
and Transitional Living Program grantees must meet?
1351.27 What are the additional requirements that the Street Outreach
Program grantees must meet?

Subpart D_What are the Runaway and Homeless Youth Program-Specific
Performance Standards?

1351.30 What performance standards must Basic Center Program grantees
meet?
1351.31 What performance standards must Transitional Living Program
grantees, including Maternity Group Homes, meet?
1351.32 What performance standards must Street Outreach Program grantees
meet?

Authority: 42 U.S.C. 5701.

Source: 43 FR 55635, Nov. 28, 1978, unless otherwise noted.

Subpart A_Definition of Terms

Sec. 1351.1 Significant Terms.

For the purposes of this part:
Act means the Runaway and Homeless Youth Act as amended, 42 U.S.C.
5701 et seq.
Aftercare means additional services provided beyond the period of
residential stay that offer continuity and supportive follow-up to youth
served by the program.
Background check means the review of an individual employee's or
employment applicant's personal information, which shall include State
or Tribal criminal history records (including fingerprint checks);
Federal Bureau of Investigation criminal history records, including
fingerprint checks, to the extent FSYB determines this to be practicable
and specifies the requirement in a Funding Opportunity Announcement that
is applicable to a grantee's award; a child abuse and neglect registry
check, to the extent FSYB determines this to be practicable and
specifies the requirement in a Funding Opportunity Announcement that is
applicable to a grantee's award; and a sex

[[Page 311]]

offender registry check for all employees, consultants, contractors, and
volunteers who have regular, unsupervised contact with individual youth,
and for all adult occupants of host homes. As appropriate to job
functions, it shall also include verification of educational credentials
and employment experience, and an examination of the individual's
driving records (for those who will transport youth), and professional
licensing records.
Case management means identifying and assessing the needs of the
client, including consulting with the client, and, as appropriate,
arranging, coordinating, monitoring, evaluating, and advocating for a
package of services to meet the specific needs of the client.
Client means a runaway, homeless, or street youth, or a youth at
risk of running away or becoming homeless, who is served by a program
grantee.
Congregate care means a shelter type that combines living quarters
and restroom facilities with centralized dining services, shared living
spaces, and access to social and recreational activities, and which is
not a family home.
Contact means the engagement between Street Outreach Program staff
and youth who are at risk of homelessness or runaway status or homeless
youth in need of services that could reasonably lead to shelter or
significant harm reduction. Contact may occur on the streets, at a drop-
in center, or at other locations known to be frequented by homeless,
runaway, or street youth.
Core competencies of youth worker means the ability to demonstrate
skills in six domain areas:
(1) Professionalism (including, but not limited to, consistent and
reliable job performance, awareness and use of professional ethics to
guide practice);
(2) Applied positive youth development approach (including, but not
limited to, skills to develop a positive youth development plan and
identifying the client's strengths in order to best apply a positive
youth development framework);
(3) Cultural and human diversity (including, but not limited to,
gaining knowledge and skills to meet the needs of clients of a different
race, ethnicity, nationality, religion/spirituality, gender identity/
expression, sexual orientation);
(4) Applied human development (including, but not limited to,
understanding the developmental needs of those at risk and with special
needs);
(5) Relationship and communication (including, but not limited to,
working with clients in a collaborative manner); and
(6) Developmental practice methods (including, but not limited to,
utilizing methods focused on genuine relationships, health and safety,
intervention planning).
Counseling services means the provision of guidance, support,
referrals for services including, but not limited to, health services,
and advice to runaway or otherwise homeless youth and their families, as
well as to youth and families when a young person is at risk of running
away, as appropriate. These services are provided in consultation with
clients and are designed to alleviate the problems that have put the
youth at risk of running away or contributed to his or her running away
or being homeless. Any treatment or referral to treatment that aims to
change someone's sexual orientation, gender identity or gender
expression is prohibited.
Drop-in center means a place operated and staffed for runaway or
homeless youth that clients can visit without an appointment to get
advice or information, to receive services or service referrals, or to
meet other runaway or homeless youth.
Drug abuse education and prevention services means services to
prevent or reduce drug and/or alcohol abuse by runaway and homeless
youth, and may include: (1) Individual, family, group, and peer
counseling; (2) drop-in services; (3) assistance to runaway and homeless
youth in rural areas (including the development of community support
groups); (4) information and training relating to drug and/or alcohol
abuse by runaway and homeless youth for individuals involved in
providing services to such youth; and (5) activities to improve the
availability of local drug and/or alcohol abuse prevention services to
runaway and homeless youth.

[[Page 312]]

Education or employment means performance in and completion of
educational and training activities, especially for younger youth, and
starting and maintaining adequate and stable employment, particularly
for older youth.
Health care services means physical, mental, behavioral, and dental
health services. It includes services provided to runaway and homeless
youth and in the case of Maternity Group Homes also includes services
provided to a pregnant youth and the child(ren) of the youth. Where
applicable and allowable within a program, it includes information on
appropriate health related services provided to family or household
members of the youth. Any treatment or referral to treatment that aims
to change someone's sexual orientation, gender identity or gender
expression is prohibited.
Home-based services means services provided to youth and their
families for the purpose of preventing such youth from running away or
otherwise becoming separated from their families and assisting runaway
youth to return to their families. It includes services that are
provided in the residences of families (to the extent practicable),
including intensive individual and family counseling and training
relating to life skills and parenting.
Homeless youth means an individual who cannot live safely with a
parent, legal guardian, or relative, and who has no other safe
alternative living arrangement. For purposes of Basic Center Program
eligibility, a homeless youth must be less than 18 years of age (or
higher if allowed by a state or local law or regulation that applies to
licensure requirements for child- or youth-serving facilities). For
purposes of Transitional Living Program eligibility, a homeless youth
cannot be less than 16 years of age and must be less than 22 years of
age (unless the individual commenced his or her stay before age 22, and
the maximum service period has not ended).
Host family home means a family or single adult home or domicile,
other than that of a parent or permanent legal guardian, that provides
shelter to homeless youth.
Intake means a process for gathering information to assess
eligibility and the services required to meet the immediate needs of the
client. The intake process may be operated independently but grantees
should, at minimum, ensure they are working with their local Continuum
of Care Program to ensure that referrals are coordinated and youth have
access to all of the community's resources.
Juvenile justice system means agencies that include, but are not
limited to, juvenile courts, correctional institutions, detention
facilities, law enforcement, training schools, or agencies that use
probation, parole, and/or court ordered confinement.
Maternity group home means a community-based, adult-supervised
transitional living arrangement where client oversight is provided on
site or on-call 24 hours a day and that provides pregnant or parenting
youth and their children with a supportive environment in which to learn
parenting skills, including child development, family budgeting, health
and nutrition, and other skills to promote their long-term economic
independence and ensure the well-being of their children.
Outreach means finding runaway, homeless, and street youth, or youth
at risk of becoming runaway or homeless, who might not use services due
to lack of awareness or active avoidance, providing information to them
about services and benefits, and encouraging the use of appropriate
services.
Permanent connections means ongoing attachments to families or adult
role models, communities, schools, and other positive social networks
which support young people's ability to access new ideas and
opportunities that support thriving, and they provide a social safety
net when young people are at-risk of re-entering homelessness
Risk and protective factors mean those factors that are measureable
characteristics of a youth that can occur at multiple levels, including
biological, psychological, family, community, and cultural levels, that
precede and are associated with an outcome. Risk factors are associated
with higher likelihood of problematic outcomes, and protective factors
are associated with higher likelihood of positive outcomes.

[[Page 313]]

Runaway youth means an individual under 18 years of age who absents
himself or herself from home or place of legal residence without the
permission of a parent or legal guardian.
Runaway and Homeless Youth project means a community-based program
outside the juvenile justice or child welfare systems that provides
runaway prevention, outreach, shelter, or transition services to
runaway, homeless, or street youth or youth at risk of running away or
becoming homeless.
Safe and appropriate exits means settings that reflect achievement
of the intended purposes of the Basic Center and Transitional Living
Programs as outlined in section 382(a) of the Act. Examples of Safe and
Appropriate Exits are exits:
(1) To the private residence of a parent, guardian, another adult
relative, or another adult that has the youth's best interest in mind
and can provide a stable arrangement;
(2) To another residential program if the youth's transition to the
other residential program is consistent with the youth's needs; or
(3) To independent living if consistent with the youth's needs and
abilities.
Safe and appropriate exits are not exits:
(1) To the street;
(2) To a locked correctional institute or detention center if the
youth became involved in activities that lead to this exit after
entering the program;
(3) To another residential program if the youth's transition to the
other residential program is inconsistent with the youth's needs; or
(4) To an unknown or unspecified other living situation.
Screening and assessment means valid and reliable standardized
instruments and practices used to identify each youth's individual
strengths and needs across multiple aspects of health, wellbeing and
behavior in order to inform appropriate service decisions and provide a
baseline for monitoring outcomes over time. Screening involves
abbreviated instruments, for example with trauma and health problems,
which can indicate certain youth for more thorough diagnostic
assessments and service needs. Assessment, which is used here to mean
assessment more broadly than for the purposes of diagnosis, involves
evaluating multiple aspects of social, emotional, and behavioral
competencies and functioning in order to inform service decisions and
monitor outcomes.
Service plan or treatment plan means a written plan of action based
on the assessment of client needs and strengths and engaging in joint
problem solving with the client that identifies problems, sets goals,
and describes a strategy for achieving those goals. To the extent
possible, the plan should incorporate the use of trauma informed,
evidence-based, or evidence-informed interventions. As appropriate, the
service and treatment plans should address both physical and mental
safety issues.
Short-term training means the provision of local, state, or
regionally-based instruction to runaway or otherwise homeless youth
service providers in skill areas that will directly strengthen service
delivery.
Social and emotional well-being means the development of key
competencies, attitudes, and behaviors that equip a young person
experiencing homelessness to avoid unhealthy risks and to succeed across
multiple domains of daily life, including school, work, relationships,
and community.
Stable housing means a safe and reliable place to call home. Stable
housing fulfills a critical and basic need for homeless youth. It is
essential to enabling enable functioning across a range of life
activities.
State means any State of the United States, the District of
Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the
Northern Mariana Islands, and any territory or possession of the United
States.
Street youth means an individual who is a runaway youth or an
indefinitely or intermittently homeless youth who spends a significant
amount of time on the street or in other areas that increase the risk to
such youth for sexual abuse, sexual exploitation, prostitution, or drug
and/or alcohol abuse. For purposes of this definition, youth means an
individual who is age 21 or less.
Supervised apartments mean a type of shelter setting using
building(s) with

[[Page 314]]

separate residential units where client supervision is provided on site
or on call 24 hours a day.
Technical assistance means the provision of expertise or support for
the purpose of strengthening the capabilities of grantee organizations
to deliver services.
Temporary shelter means all Basic Center Program shelter settings in
which runaway and homeless youth are provided room and board, crisis
intervention, and other services on a 24-hour basis for up to 21 days.
The 21 day restriction is on the use of RHY funds through the Basic
Center Program, not a restriction on the length of stay permitted by the
facility.

[81 FR 93058, Dec. 20, 2016]

Subpart B_Runaway and Homeless Youth Program Grants

Sec. 1351.10 What is the purpose of Runaway and Homeless Youth
Program grants?

(a) The purpose of Runaway and Homeless Youth Program grants is to
establish or strengthen community-based projects to provide runaway
prevention, outreach, shelter, and transition services to runaway,
homeless, or street youth or youth at risk of running away or becoming
homeless.
(b) Youth who have become homeless or who leave and remain away from
home without parental permission are disproportionately subject to
serious health, behavioral, and emotional problems. They lack sufficient
resources to obtain care and may live on the street for extended
periods, unable to achieve stable, safe living arrangements that at
times put them in danger. Many are urgently in need of shelter, which,
depending on the type of Runaway and Homeless Youth project, can include
host family homes, drop-in centers, congregate care, or supervised
apartments, and services, including services that are linguistically
appropriate, responsive to their complex social identities (i.e., race,
ethnicity, nationality, religion/spirituality, gender identity/
expression, sexual orientation, socioeconomic status, physical ability,
language, beliefs, values, behavior patterns, or customs), and
acknowledge the environment they come from. Runaway and Homeless Youth
grant services should have a positive youth development approach that
ensures a young person has a sense of safety and structure; belonging
and membership; self-worth and social contribution; independence and
control over one's life; skills to develop plans for the future and set
goals; and closeness in interpersonal relationships. To make a
successful transition to adulthood, runaway youth, homeless youth, and
street youth also need opportunities to complete high school or earn a
general equivalency degree, learn job skills, and obtain employment. HHS
operates three programs to carry out these purposes through direct local
services: The Basic Center Program; the Transitional Living Program
(including Maternity Group Homes); and the Street Outreach Program. HHS
operates three additional activities to support achievement of these
purposes: Research, evaluation, and service projects; a national
communications system to assist runaway and homeless youth in
communicating with service providers; and technical assistance and
training.

[81 FR 93060, Dec. 20, 2016]

Sec. 1351.11 Who is eligible to apply for a Runaway and
Homeless Youth Program grant?

Public (state and local) and private non-profit entities, and
coordinated networks of such entities, are eligible to apply for a
Runaway and Homeless Youth Program grant unless they are part of the
juvenile justice system.

[81 FR 93060, Dec. 20, 2016]

Sec. 1351.12 Who gets priority for the award of a Runaway
and Homeless Youth Program grant?

(a) In selecting applications for grants under the Basic Center
Program the Secretary shall give priority to--
(1) Eligible applicants who have demonstrated experience in
providing services to runaway and homeless youth; and
(2) Eligible applicants that request grants of less than $200,000 or
such figure as Congress may specify.
(b) In selecting applications for grants under the Transitional
Living

[[Page 315]]

Program, the Secretary shall give priority to entities that have
experience in providing to homeless youth shelter (such as group homes,
including maternity group homes, host family homes, and supervised
apartments) and services (including information and counseling services
in basic life skills which shall include money management, budgeting,
consumer education, and use of credit, parenting skills (as
appropriate), interpersonal skill building, educational advancement, job
attainment skills, and mental and physical health care) to homeless
youth.
(c) In selecting applicants to receive grants under the Street
Outreach Program, the Secretary shall give priority to public and
nonprofit private agencies that have experience in providing services to
runaway and homeless, and street youth.
(d) In selecting grants for the national communication system to
assist runaway and homeless youth in communicating with their families
and with service providers, the Secretary shall give priority to grant
applicants that have experience in providing electronic communications
services to runaway and homeless youth, including telephone, Internet,
mobile applications, and other technology-driven services.
(e) In selecting grants for research, evaluation, demonstration and
service projects, the Secretary shall give priority to proposed projects
outlined in section 343(b) and (c) of the Act.
(f) The Secretary shall integrate the performance standards outlined
in Sec. Sec. 1351.30, 1351.31, or 1351.32 into the grantmaking,
monitoring, and evaluation processes of the Basic Center Program,
Transitional Living Program, and Street Outreach Program. Specific
details about how performance standards will be considered, along with
examples of performance documentation, will be provided in the annual
funding opportunity announcements.

[81 FR 93060, Dec. 20, 2016]

Sec. 1351.13 What are the Federal and non-Federal match requirements
under a Runaway and Homeless Youth Program grant?

The federal share of the project represents 90 percent of the total
project cost supported by the federal government. The remaining 10
percent represents the required project match cost by the grantee. This
may be a cash or in-kind contribution.

[81 FR 93060, Dec. 20, 2016]

Sec. 1351.14 What is the period for which a grant will be awarded?

(a) The initial notice of grant award specifies how long HHS intends
to support the project without requiring the project to recompete for
funds. This period, called the project period, will not exceed five
years.
(b) Generally the grant will initially be for one year. A grantee
must submit a separate application to have the support continued for
each subsequent year. Continuation awards within the project period will
be made provided the grantee has made satisfactory progress, funds are
available, and HHS determines that continued funding is in the best
interest of the Government.

[43 FR 55635, Nov. 28, 1978, as amended at 65 FR 50141, Aug. 17, 2000]

Sec. 1351.15 What costs are supportable under a Runaway and Homeless
Youth Program grant?

(a) For all grant programs, costs that can be supported include, but
are not limited to, staff training and core services such as outreach,
intake, case management, data collection, temporary shelter,
transitional living arrangements, referral services, counseling
services, and aftercare services. Costs for acquisition and renovation
of existing structures may not normally exceed 15 percent of the grant
award. HHS may waive this limitation upon written request under special
circumstances based on demonstrated need.
(b) For grants that support research, evaluation, and service
projects; a national communications system to assist runaway and
homeless youth in communicating with service providers; and for
technical assistance and training grants; costs that can be supported
include those enumerated above as well as services such as data
collection and analysis, telecommunications services,

[[Page 316]]

and preparation and publication of materials in support of the purposes
of such grants.

[81 FR 93060, Dec. 20, 2016]

Sec. 1351.16 What costs are not allowable under a Runaway and
Homeless Youth Program grant?

(a) A Runaway and Homeless Youth Program grant does not cover the
capital costs of constructing new facilities, or operating costs of
existing community centers or other facilities that are used partially
or incidentally for services to runaway or homeless youth clients,
except to the extent justified by application of cost allocation methods
accepted by HHS as reasonable and appropriate.
(b) A Runaway and Homeless Youth Program grant does not cover any
treatment or referral to treatment that aims to change someone's sexual
orientation, gender identity or gender expression.

[81 FR 93061, Dec. 20, 2016]

Sec. 1351.17 How is application made for a Runaway and Homeless
Youth Program grant?

An applicant should follow instructions included in funding
opportunity announcements, which describe procedures for receipt and
review of applications.

[81 FR 93061, Dec. 20, 2016]

Sec. 1351.18 What criteria has HHS established for deciding which
Runaway and Homeless Youth Program grant applications to fund?

In reviewing applications for a Runaway and Homeless Youth Program
grant, HHS takes into consideration a number of factors, including, but
not limited to:
(a) Whether the grant application meets the particular priorities,
requirements, standards, or evaluation criteria established in funding
opportunity announcements;
(b) A need for Federal support based on the likely number of
estimated runaway or otherwise homeless youth in the area in which the
Runaway and Homeless Youth project is or will be located exceeding the
availability of existing services for such youth in that area;
(c) For runaway and homeless youth centers, whether there is a
minimum residential capacity of four (4) and a maximum residential
capacity of twenty (20) youth in a single structure (except where the
applicant assures that the state where the center or locally controlled
facility is located has a state or local law or regulation that requires
a higher maximum to comply with licensure requirements for child and
youth serving facilities), or within a single floor of a structure in
the case of apartment buildings, with a number of staff sufficient to
assure adequate supervision and treatment for the number of clients to
be served and the guidelines followed for determining the appropriate
staff ratio;
(d) Plans for meeting the best interests of the youth involving,
when reasonably possible, both the youth and the family. For Basic
Center grantee applicants, the grantee shall develop adequate plans for
contacting the parents or other relatives of the youth and ensuring the
safe return of the youth according to the best interests of the youth,
for contacting local government officials pursuant to informal
arrangements established with such officials by the runaway and homeless
youth center, and for providing for other appropriate alternative living
arrangements;
(e) Plans for the delivery of aftercare or counseling services to
runaway or otherwise homeless youth and their families;
(f) Whether the estimated cost to HHS for the Runaway and Homeless
Youth project is reasonable considering the anticipated results;
(g) Whether the proposed personnel are well qualified and the
applicant agency has adequate facilities and resources;
(h) Past performance on a RHY grant, including but not limited to
program performance standards;
(i) Whether the proposed project design, if well executed, is
capable of attaining program objectives;
(j) The consistency of the grant application with the provisions of
the Act and these regulations; and

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(k) Other factors as outlined in funding opportunity announcements.

[81 FR 93061, Dec. 20, 2016]

Subpart C_Additional Requirements

Source: 81 FR 93061, Dec. 20, 2016, unless otherwise noted.

Sec. 1351.20 What Government-wide and HHS-wide regulations
apply to these programs?

A number of other rules and regulations apply or potentially apply
to applicants and grantees. These include:
(a) 2 CFR part 182--Government-wide Requirements for Drug Free
Workplace;
(b) 2 CFR part 376--Nonprocurement Debarment and Suspension
(c) 45 CFR part 16--Procedures of the Departmental Grant Appeals
Board;
(d) 45 CFR part 30--Claims Collection;
(e) 45 CFR part 46--Protection of Human Subjects;
(f) 45 CFR part 75--Uniform Administrative Requirements, Cost
principles, and Audit Requirements for HHS Awards, including
nondiscrimination requirements.
(g) 45 CFR part 80--Nondiscrimination Under Programs Receiving
Federal Assistance Through the Department of Health and Human Services
Effectuation of Title VI of the Civil Rights Act of 1964;
(h) 45 CFR part 81--Practice and Procedure for Hearings Under part
80;
(i) 45 CFR part 84--Nondiscrimination on the Basis of Handicap in
Programs or Activities Receiving Federal Financial Assistance;
(j) 45 CFR part 86--Nondiscrimination on the Basis of Sex in
Education Programs or Activities receiving Federal Financial Assistance;
(k) 45 CFR part 87--Equal Treatment for Faith Based Organizations;
(l) 45 CFR part 91--Nondiscrimination on the Basis of Age in
Programs or Activities Receiving Federal Financial Assistance;
(m) 45 CFR part 92--Nondiscrimination in Health Programs and
Activities; and
(n) 45 CFR part 93--New Restrictions on Lobbying.

Sec. 1351.21 What confidentiality requirements apply to these programs?

Several program policies regarding confidentiality of information,
treatment, conflict of interest and state protection apply to recipients
of Runaway and Homeless Youth Program grants. These include:
(a) Confidential information. Pursuant to the Act, no records
containing the identity of individual youth, including but not limited
to lists of names, addresses, photographs, or records of evaluation of
individuals served by a Runaway and Homeless Youth project, may be
disclosed or transferred to any individual or to any public or private
agency except:
(1) For Basic Center Program grants, records maintained on
individual runaway and homeless youth shall not be disclosed without the
informed consent of the individual youth and parent or legal guardian to
anyone other than another agency compiling statistical records or a
government agency involved in the disposition of criminal charges
against an individual runaway and homeless youth;
(2) For Transitional Living Programs, records maintained on
individual homeless youth shall not be disclosed without the informed
consent of the individual youth to anyone other than an agency compiling
statistical records;
(3) Research, evaluation, and statistical reports funded by grants
provided under section 343 of the Act are allowed to be based on
individual data, but only if such data are de-identified in ways that
preclude disclosing information on identifiable individuals; and
(4) Youth served by a Runaway and Homeless Youth project shall have
the right to review their records; to correct a record or file a
statement of disagreement; and to be apprised of the individuals who
have reviewed their records.
(b) State law protection. HHS policies regarding confidential
information and experimentation and treatment shall not apply if HHS
finds that state law is more protective of the rights of runaway or
otherwise homeless youth.
(c) Procedures shall be established for the training of project
staff in the protection of these rights and for the secure storage of
records.

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Sec. 1351.22 What additional requirements apply to these programs?

(a) Non-discriminatory and culturally and linguistically sensitive
services and training. Service delivery and staff training must
comprehensively address the individual strengths and needs of youth as
well as be language appropriate, gender appropriate (interventions that
are sensitive to the diverse experiences of male, female, and
transgender youth and consistent with the gender identity of
participating youth), and culturally sensitive and respectful of the
complex social identities of youth (i.e., race, ethnicity, nationality,
age, religion/spirituality, gender identity/expression, sexual
orientation, socioeconomic status, physical or cognitive ability,
language, beliefs, values, behavior patterns, or customs). No runaway
youth or homeless youth shall, on any of the foregoing bases, be
excluded from participation in, be denied the benefits of, or be subject
to discrimination under, any program or activity funded in whole or in
part under the Runaway and Homeless Youth Act.
(1) The criteria that grantees adopt to determine eligibility for
the program, or any activity or service, may include an assessment of
the needs of each applicant, and the health and safety of other
beneficiaries, among other factors.
(2) [Reserved]
(b) Medical, psychiatric or psychological treatment. No youth shall
be subject to medical, psychiatric, or psychological treatment without
the consent of the youth and, for youth under the age of emancipation in
their state of residence, consent of a parent or guardian, if required
by state law.
(c) Conflict of interest. Employees or individuals participating in
a program or project under the Act shall not use their positions for a
purpose that is, or gives the appearance of being, motivated by a desire
for private gain for themselves or others, particularly those with whom
they have family, business or other ties.

Sec. 1351.23 What are the additional requirements that apply to the Basic Center, Transitional Living and Street Outreach Program grants?

To improve the administration of these Runaway and Homeless Youth
Programs by increasing the capacity of Runaway and Homeless Youth
projects to deliver services, by improving their performance in
delivering services, and by providing for the evaluation of performance:
(a) Grantees shall participate in technical assistance, monitoring,
and short-term training as a condition of funding, as determined
necessary by HHS, in such areas as: Aftercare services and counseling;
background checks; core competencies of youth workers; core support
services; crisis intervention techniques; culturally and linguistically
sensitive services; participation in or development of coordinated
networks of private nonprofit agencies and/or public agencies to provide
services; ethics and staff safety; fiscal management; low cost community
alternatives for runaway or otherwise homeless youth; positive youth
development; program management; risk and protective factors related to
youth homelessness; screening and assessment practices; shelter facility
staff development; special populations (tribal youth; lesbian, gay,
bisexual, transgender, questioning (LGBTQ), and intersex youth; youth
with disabilities; youth victims of trafficking, sexual exploitation or
sexual abuse); trauma and the effects of trauma on youth; use of
evidence-based and evidence-informed interventions; and youth and family
counseling. It is not a requirement that every staff person receives
training in every subject but all staff members who work directly with
youth should receive training sufficient to meet the stated core-
competencies of youth workers.
(b) Grantees shall coordinate their activities with the 24-hour
National toll-free and Internet communication system, which links
Runaway and Homeless Youth projects and other service providers with
runaway or otherwise homeless youth, as appropriate to the specific
activities provided by the grantee.

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(c) Grantees shall submit statistical reports profiling the clients
served and providing management and performance information in
accordance with guidance provided by HHS.
(d) Grantees shall perform outreach to locate runaway and homeless
youth and to coordinate activities with other organizations serving the
same or similar client populations, such as child welfare agencies,
juvenile justice systems, schools, and Continuums of Care, as defined by
HUD.
(e) Grantees shall develop and implement a plan for addressing youth
who have run away from foster care placement or correctional
institutions, in accordance with federal, state, or local laws or
regulations that apply to these situations. In accordance with section
312(b)(4) of the Act, Basic Center grantees must also develop a plan
that ensures the return of runaway and homeless youth who have run away
from the correctional institution back to the correctional institution.
(f) Grantees shall take steps to ensure that youth who are or should
be under the legal jurisdiction of the juvenile justice or child welfare
systems obtain and receive services from those systems until such time
as they are released from the jurisdiction of those systems.
(g) Grantees shall develop and document plans that address steps to
be taken in case of a local or national situation that poses risk to the
health and safety of staff and youth. Emergency preparedness plans
should, at a minimum, include routine preventative maintenance of
facilities as well as preparedness, response, and recovery efforts. The
plan should contain strategies for addressing evacuation, security,
food, medical supplies, and notification of youths' families, as
appropriate. In the event of an evacuation due to specific facility
issues, such as a fire, loss of utilities, or mandatory evacuation by
the local authorities, an alternative location needs to be designated
and included in the plan. Grantees must immediately provide notification
to their project officer and grants officer when evacuation plans are
executed.
(h) Grantees shall ensure that all shelters that they operate are
licensed and determine that any shelters to which they regularly refer
clients have evidence of current licensure, in states or localities with
licensure requirements. Grantees shall promptly report to HHS instances
in which shelters are cited for failure to meet licensure or related
requirements, or lose licensure. For grantee-operated facilities,
failure to meet any applicable state or local legal requirements as a
condition of operation may be grounds for grant termination.
(i) Grantees shall utilize and integrate into the operation of their
projects the principles of positive youth development, including healthy
messages, safe and structured places, adult role models, skill
development, and opportunities to serve others.
(j) No later than October 1, 2017, grantees shall have a plan,
procedures, and standards for ensuring background checks on all
employees, contractors, volunteers, and consultants who have regular and
unsupervised private contact with youth served by the grantee, and on
all adults who reside in or operate host homes. The plans, procedures,
and standards must identify the background check findings that would
disqualify an applicant from consideration for employment to provide
services for which assistance is made available in accordance with this
part.
(1) Required background checks include:
(i) State or tribal criminal history records, including fingerprint
checks;
(ii) Federal Bureau of Investigation criminal history records,
including fingerprint checks, to the extent FSYB determines this to be
practicable and specifies the requirement in a Funding Opportunity
Announcement that is applicable to a grantee's award;
(iii) Child abuse and neglect state registry check, to the extent
FSYB determines this to be practicable and specifies the requirement in
a Funding Opportunity Announcement that is applicable to a grantee's
award;
(iv) Sex offender registry check; and,
(v) Any other checks required under state or tribal law.
(2) Programs must document the justification for any hire where an
arrest, pending criminal charge or conviction, is present.

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(k) Grantees shall provide such other services and meet such
additional requirements as HHS determines are necessary to carry out the
purposes of the statute, as appropriate to the services and activities
for which they are funded. These services and requirements are
articulated in the funding opportunity announcements and other
instructions issued by the Secretary or secretarial designees. This
includes operational instructions and standards of execution determined
by the Secretary or secretarial designees to be necessary to properly
perform or document meeting the requirements applicable to particular
programs or projects.

Sec. 1351.24 What are the additional requirements that the
Basic Center Program grantees must meet?

(a) Grantees shall have an intake procedure that is available 24
hours a day and 7 days a week to all youth seeking services and
temporary shelter that addresses and responds to immediate needs for
crisis counseling, food, clothing, shelter, and health care services.
(b) Grantees shall provide, either directly or through arrangements,
access to temporary shelter 24 hours a day and 7 days a week.
(c) Grantees shall provide trauma-informed case management,
counseling and referral services that meet client needs and that
encourage, when in the best interests of the youth particularly with
regard to safety, the involvement of parents or legal guardians.
(d) Grantees shall provide additional core support services to
clients both residentially and non-residentially as appropriate. The
core services must include case planning, skill building, recreation and
leisure activities.
(e) Grantees shall, as soon as feasible and no later than 72 hours
of the youth entering the program, contact the parents, legal guardians
or other relatives of each youth according to the best interests of the
youth. If a grantee determines that it is not in the best interest of
the client to contact the parents, legal guardian or other relatives of
the client, or if the grantee is unable to locate, or the youth refuses
to disclose the contact information of, the parent, legal guardian or
other relative of the client, they must:
(1) Inform another adult identified by the child;
(2) Document why it is not in the client's best interest to contact
the parent, legal guardian or other relative, or why they are not able
to contact the parent, legal guardian or other relative; and
(3) Send a copy of the documentation to the regional program
specialist for review.
(f) Additional requirements included in the funding opportunity
announcement.

Sec. 1351.25 What are the additional requirements that the
Transitional Living Program and Maternity Group Home grantees
must meet?

(a) Grantees shall provide transitional living arrangements and
additional core services including case planning/management, counseling,
skill building, consumer education, referral to needed social and health
care services, and education, recreation and leisure activities,
aftercare and, as appropriate to grantees providing maternity-related
services, parenting skills, child care, and child nutrition.
(b) Additional requirements included in the funding opportunity
announcement.

Sec. 1351.26 What are the additional requirements that both
the Basic Center and Transitional Living Program grantees must meet?

(a) Basic Center and Transitional Living grantees shall develop and
implement an aftercare plan, covering at least 3 months, to stay in
contact with youth who leave the program in order to ensure their
ongoing safety and access to services. A youth's individual aftercare
plan shall outline what services were and will be provided as well as
the youth's housing status during and after the program. The plan shall
be provided to the youth in exit counseling or before. Follow-up efforts
shall be made for all youth. For those contacted after 3 months, the
plan shall be updated to record the rate of participation and completion
of the services in the plan at 3 months after exiting the program. In
accordance with section 312(b)(5) of the Act, as possible, Basic

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Center grantees shall also provide a plan for providing counseling and
aftercare services to youth who are returned beyond the state in which
the runaway and homeless youth service is located.
(b) Basic Center and Transitional Living grantees shall develop and
implement a plan for health care services referrals for youth during the
service and aftercare periods. Such referral plans shall include health
care services and referrals and counseling on insurance coverage through
family health insurance plans, or to agencies that assist in enrolling
persons in Medicaid or in insurance plans offered under Affordable Care
Act exchanges.
(c) Basic Center and Transitional Living grantees shall develop and
implement a plan to assist youth to stay connected with their schools or
to obtain appropriate educational services, training, or employment
services. This includes coordination with McKinney-Vento school district
liaisons, designated under the McKinney-Vento Homeless Assistance Act,
to assure that runaway and homeless youth are provided information about
the services available under that Act. This also includes coordination
with local employment and employment training coordinating agencies or
programs, coordination with local college placement services, and
providing access to the Free Application for Federal Student Aid (FAFSA)
application.

Sec. 1351.27 What are the additional requirements that the Street
Outreach Program grantees must meet?

(a) Grantees shall provide services that are designed to assist
clients in leaving the streets, making healthy choices, and building
trusting relationships in areas where targeted youth congregate.
(b) Grantees shall directly or by referral provide treatment,
counseling, prevention, and education services to clients as well as
referral for emergency shelter.
(c) Additional requirements included in the funding opportunity
announcement.

Subpart D_What are the Runaway and Homeless Youth Program-Specific
Performance Standards?

Source: 81 FR 93064, Dec. 20, 2016, unless otherwise noted.

Sec. 1351.30 What performance standards must Basic Center Program
grantees meet?

(a)(1) Grantees shall consistently enhance outcomes for youth in the
following four core areas:
(i) Social and Emotional Well-being;
(ii) Permanent Connections;
(iii) Education or Employment; and
(iv) Stable Housing.
(2) Each grantee shall report data related to these outcomes, using
existing data collection processes found under PRA OMB Control Numbers
0970-0406 and 0970-0123, and their successors.
(b) Grantees shall ensure that youth receive counseling services
that are trauma informed and match the individual needs of each client.
Data shall be reported by each grantee on the type of counseling each
youth received (individual, family and/or group counseling), the
participation rate based on a youth's service plan or treatment plan,
and the completion rate based on a youth's service plan or treatment
plan, where applicable.
(c) Grantees that choose to provide street-based services, home-
based services, drug and/or alcohol abuse education and prevention
services, and/or testing for sexually transmitted diseases (at the
request of the youth) shall ensure youth receive the appropriate
services. Data shall be reported on the completion rate for each service
provided based on the youth's service or treatment plan.
(d) Grantees shall ensure that youth have safe and appropriate exits
when leaving the program. Each grantee shall report data on the type of
exit experienced by each young person departing a Basic Center Program.

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Sec. 1351.31 What performance standards must Transitional Living
Program grantees, including Maternity Group Homes, meet?

(a)(1) Grantees shall consistently enhance outcomes for youth in the
following four core areas:
(i) Social and Emotional Well-being;
(ii) Permanent Connections;
(iii) Education or Employment; and
(iv) Stable Housing.
(2) Each grantee shall report data related to these outcomes, using
existing data collection and reporting processes, in accordance with the
Paperwork Reduction Act and the Office of Management and Budget Control
Numbers 0970-0406 and 0970-0123, and their successors.
(b) Grantees shall ensure youth are engaged in educational
advancement, job attainment skills or work activities while in the
program. Each grantee shall report data on the type of education or job-
related activities that each youth is engaged in.
(c) Grantees shall ensure and report that youth receive health care
referrals, including both services and insurance, as determined within
their health care referral plan.
(d) Maternity Group Home Grantees shall ensure and report that youth
receive consistent pre-natal care, well-baby exams, and immunizations
for the infant while in the program.
(e) Grantees shall ensure that youth have safe and appropriate exits
when leaving the program. Each grantee shall report data on the type of
exit experienced by each young person departing a Transitional Living
Program.

Sec. 1351.32 What performance standards must Street Outreach
Program grantees meet?

Grantees shall contact youth who are or who are at risk of homeless
or runaway status on the streets in numbers that are reasonably
attainable for the staff size of the project. Grantees with larger staff
will be expected to contact larger numbers of youth in approximate
proportion, as determined by HHS, to the larger number of staff
available to provide this service. Each grantee shall report data
related to this outcome, using existing data collection and reporting
processes, in accordance with the Paperwork Reduction Act and the Office
of Management and Budget Control Numbers 0970-0406 and 0970-0123, and
their successors.

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SUBCHAPTER G_THE ADMINISTRATION ON CHILDREN, YOUTH AND FAMILIES, FOSTER
CARE MAINTENANCE PAYMENTS, ADOPTION ASSISTANCE, AND CHILD AND FAMILY
SERVICES

PART 1355_GENERAL--Table of Contents

Sec.
1355.10 Scope.
1355.20 Definitions.
1355.21 Plan requirements for titles IV-E and IV-B.
1355.22 Designated Placement requirements under titles IV-E and IV-B for
LGBTQI+ children.
1355.25 Principles of child and family services.
1355.30 Other applicable regulations.
1355.31 Elements of the child and family services review system.
1355.32 Timetable for the reviews.
1355.33 Procedures for the review.
1355.34 Criteria for determining substantial conformity.
1355.35 Program improvement plans.
1355.36 Withholding Federal funds due to failure to achieve substantial
conformity or failure to successfully complete a program
improvement plan.
1355.37 Opportunity for public inspection of review reports and
materials.
1355.38 Enforcement of section 471(a)(18) of the Act regarding the
removal of barriers to interethnic adoption.
1355.39 Administrative and judicial review.
1355.40 [Reserved]
1355.41 Scope of the Adoption and Foster Care Analysis and Reporting
System.
1355.42 Reporting populations.
1355.43 Data reporting requirements.
1355.44 Out-of-home care data file elements.
1355.45 Adoption and guardianship assistance data file elements.
1355.46 Compliance.
1355.47 Penalties.
1355.50 Purpose.
1355.51 Definitions applicable to Comprehensive Child Welfare
Information Systems (CCWIS).
1355.52 CCWIS project requirements.
1355.53 CCWIS design requirements.
1355.54 CCWIS options.
1355.55 Review and assessment of CCWIS projects.
1355.56 Requirements for S/TACWIS and non-S/TACWIS projects during and
after the transition period.
1355.57 Cost allocation for CCWIS projects.
1355.58 Failure to meet the conditions of the approved APD.
1355.59 [Reserved]

Authority: 42 U.S.C. 620 et seq., 42 U.S.C. 670 et seq.; 42 U.S.C.
1302.

Sec. 1355.10 Scope.

Unless otherwise specified, part 1355 applies to States and Indian
Tribes and contains general requirements for Federal financial
participation under titles IV-B and IV-E of the Social Security Act.

[61 FR 58653, Nov. 18, 1996]

Sec. 1355.20 Definitions.

(a) Unless otherwise specified, the following terms as they appear
in 45 CFR parts 1355, 1356 and 1357 of this title are defined as
follows--
Act means the Social Security Act, as amended.
ACYF means the Administration on Children, Youth and Families,
Administration for Children and Families (ACF), U. S. Department of
Health and Human Services.
Adoption means the method provided by State law, or for a Tribal
title IV-E agency, Tribal law, which establishes the legal relationship
of parent and child between persons who are not so related by birth,
with the same mutual rights and obligations that exist between children
and their birth parents. This relationship can only be termed
``adoption'' after the legal process is complete.
Child abuse and neglect means the definition contained in 42 U.S.C.
5106(g)(2).
Child care institution means a private child care institution, or a
public child care institution which accommodates no more than twenty-
five children, and is licensed by the licensing authority responsible
for licensing or approval of institutions of this type as meeting the
standards established for such licensing. The licensing authority must
be a State authority in the State in which the child care institution is
located, a Tribal authority with respect to a child care institution on
or near an Indian Reservation, or a Tribal authority of a Tribal title
IV-E agency with respect to a child care institution in the Tribal title
IV-E agency's service area. This

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definition must not include detention facilities, forestry camps,
training schools, or any other facility operated primarily for the
detention of children who are determined to be delinquent.
Commissioner means the Commissioner on Children, Youth and Families,
Administration for Children and Families, U.S. Department of Health and
Human Services.
Date a child is considered to have entered foster care means the
earlier of: The date of the first judicial finding that the child has
been subjected to child abuse or neglect; or, the date that is 60
calendar days after the date on which the child is removed from the home
pursuant to Sec. 1356.21(k). A title IV-E agency may use a date earlier
than that required in this definition, such as the date the child is
physically removed from the home. This definition determines the date
used in calculating all time period requirements for the periodic
reviews, permanency hearings, and termination of parental rights
provision in section 475(5) of the Act and for providing time-limited
reunification services described at section 431(a)(7) of the Act. The
definition has no relationship to establishing initial title IV-E
eligibility.
Department means the United States Department of Health and Human
Services.
Detention facility in the context of the definition of child care
institution in section 472(c)(2) of the Act means a physically
restricting facility for the care of children who require secure custody
pending court adjudication, court disposition, execution of a court
order or after commitment.
Entity, as used in Sec. 1355.38, means any organization or agency
(e.g., a private child placing agency) that is separate and independent
of the title IV-E agency; performs title IV-E functions pursuant to a
contract or subcontract with the title IV-E agency; and, receives title
IV-E funds. A State or Tribal court is not an ``entity'' for the
purposes of Sec. 1355.38 except if an administrative arm of the State
or Tribal court carries out title IV-E administrative functions pursuant
to a contract with the title IV-E agency.
Foster care means 24-hour substitute care for children placed away
from their parents or guardians and for whom the title IV-E agency has
placement and care responsibility. This includes, but is not limited to,
placements in foster family homes, foster homes of relatives, group
homes, emergency shelters, residential facilities, child care
institutions, and preadoptive homes. A child is in foster care in
accordance with this definition regardless of whether the foster care
facility is licensed and payments are made by the State, Tribal or local
agency for the care of the child, whether adoption subsidy payments are
being made prior to the finalization of an adoption, or whether there is
Federal matching of any payments that are made.
Foster care maintenance payments are payments made on behalf of a
child eligible for title IV-E foster care to cover the cost of (and the
cost of providing) food, clothing, shelter, daily supervision, school
supplies, a child's personal incidentals, liability insurance with
respect to a child, and reasonable travel for a child's visitation with
family, or other caretakers. Local travel associated with providing the
items listed above is also an allowable expense. In the case of child
care institutions, such term must include the reasonable costs of
administration and operation of such institutions as are necessarily
required to provide the items described in the preceding sentences.
``Daily supervision'' for which foster care maintenance payments may be
made includes:
(1) Foster family care--licensed child care, when work
responsibilities preclude foster parents from being at home when the
child for whom they have care and responsibility in foster care is not
in school, licensed child care when the foster parent is required to
participate, without the child, in activities associated with parenting
a child in foster care that are beyond the scope of ordinary parental
duties, such as attendance at administrative or judicial reviews, case
conferences, or foster parent training. Payments to cover these costs
may be: included in the basic foster care maintenance payment; a
separate payment to the foster parent, or a separate payment to the
child care provider; and

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(2) Child care institutions--routine day-to-day direction and
arrangements to ensure the well-being and safety of the child.
Foster family home means, for the purpose of title IV-E eligibility,
the home of an individual or family licensed or approved as meeting the
standards established by the licensing or approval authority(ies), that
provides 24-hour out-of-home care for children. The licensing or
approval authority must be a state authority in the state in which the
foster family home is located, a tribal authority with respect to a
foster family home on or near an Indian Reservation, or a tribal
authority of a tribal title IV-E agency with respect to a foster family
home in the tribal title IV-E agency's service area. Agencies may
establish one set of foster family home licensing or approval standards
for all relative or kinship foster family homes that are different from
the set of standards used to license or approve all non-relative foster
family homes. Anything less than full licensure or approval is
insufficient for meeting title IV-E eligibility requirements. Title IV-E
agencies may, however, claim title IV-E reimbursement during the period
of time between the date a prospective foster family home satisfies all
requirements for licensure or approval and the date the actual license
is issued, not to exceed 60 days.
Full review means the joint Federal and title IV-E agency review of
all federally-assisted child and family services programs, including
family preservation and support services, child protective services,
foster care, adoption, and independent living services, for the purpose
of determining the title IV-E agency's substantial conformity with the
plan requirements of titles IV-B and IV-E as listed in Sec. 1355.34 of
this part. A full review consists of two phases, the statewide
assessment (or for a Tribal title IV-E agency, an assessment of the
service area) and a subsequent on-site review, as described in Sec.
1355.33 of this part.
Legal guardianship means a judicially-created relationship between
child and caretaker which is intended to be permanent and self-
sustaining as evidenced by the transfer to the caretaker of the
following parental rights with respect to the child: protection,
education, care and control of the person, custody of the person, and
decision-making. The term legal guardian means the caretaker in such a
relationship.
National Child Abuse and Neglect Data System (NCANDS) means the
voluntary national data collection and analysis system established by
the Administration for Children and Families in response to a
requirement in the Child Abuse Prevention and Treatment Act (Pub. L. 93-
247), as amended.
Partial review means:
(1) For the purpose of the child and family services review, the
joint Federal and State/Tribal review of one or more federally-assisted
child and family services program(s), including family preservation and
support services, child protective services, foster care, adoption, and
independent living services. A partial review may consist of any of the
components of the full review, as mutually agreed upon by the title IV-E
agency and the Administration for Children and Families as being
sufficient to determine substantial conformity of the reviewed
components with the plan requirements of titles IV-B and IV-E as listed
in Sec. 1355.34 of this part;
(2) For the purpose of title IV-B and title IV-E State plan
compliance issues that are outside the prescribed child and family
services review format, e.g., compliance with AFCARS requirements, a
review of State laws, policies, regulations, or other information
appropriate to the nature of the concern, to determine State compliance;
or
(3) For the purpose of title IV-E plan compliance issues for a
Tribal title IV-E agency which are outside of the prescribed child and
family services review format, a review of Tribal laws, policies,
regulations, or other information appropriate to the nature of the
concern, to determine plan compliance.
Permanency hearing means:
(1) The hearing required by section 475(5)(C) of the Act to
determine the permanency plan for a child in foster care. Within this
context, the court (including a Tribal court) or administrative body
determines whether and, if applicable, when the child will be:
(i) Returned to the parent;

[[Page 326]]

(ii) Placed for adoption, with the title IV-E agency filing a
petition for termination of parental rights;
(iii) Referred for legal guardianship;
(iv) Placed permanently with a fit and willing relative; or
(v) Placed in another planned permanent living arrangement, but only
in cases where the title IV-E agency has documented to the State or
Tribal court a compelling reason for determining that it would not be in
the best interests of the child to follow one of the four specified
options above.
(2) The permanency hearing must be held no later than 12 months
after the date the child is considered to have entered foster care in
accordance with the definition at Sec. 1355.20 of this part or within
30 days of a judicial determination that reasonable efforts to reunify
the child and family are not required. After the initial permanency
hearing, subsequent permanency hearings must be held not less frequently
than every 12 months during the continuation of foster care. The
permanency hearing must be conducted by a family or juvenile court or
another court of competent jurisdiction or by an administrative body
appointed or approved by the court which is not a part of or under the
supervision or direction of the title IV-E agency. Paper reviews, ex
parte hearings, agreed orders, or other actions or hearings which are
not open to the participation of the parents of the child, the child (if
of appropriate age), and foster parents or preadoptive parents (if any)
are not permanency hearings.
State means, for title IV-B, the 50 States, the District of
Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin Islands, the
Commonwealth of the Northern Mariana Islands, and American Samoa. For
title IV-E the term ``State'' means the 50 States, the District of
Columbia, the Commonwealth of Puerto Rico, the United States Virgin
Islands, Guam, and American Samoa.
State agency means the State agency administering or supervising the
administration of the title IV-B and title IV-E State plans and the
title XX social services block grant program. An exception to this
requirement is permitted by section 103(d) of the Adoption Assistance
and Child Welfare Act of 1980 (Pub. L. 96-272). Section 103(d) provides
that, if on December 1, 1974, the title IV-B program (in a State or
local agency) and the social services program under section 402(a)(3) of
the Act (the predecessor program to title XX) were administered by
separate agencies, that separate administration of the programs could
continue at State option.
Statewide assessment (or Tribal assessment) means the initial phase
of a full review of all federally-assisted child and family services
programs in the States (or for a Tribal title IV-E agency, in the
service area), including family preservation and support services, child
protective services, foster care, adoption, and independent living
services as described in Sec. 1355.33(b) of this part, for the purpose
of determining substantial conformity with the plan requirements of
titles IV-B and IV-E as listed in Sec. 1355.34 of this part.
Title IV-E agency means the State or Tribal agency administering or
supervising the administration of the title IV-B and title IV-E plans.
Tribal agency means, for the purpose of title IV-E, the agency of
the Indian Tribe, Indian Tribal organization (as those terms are defined
in section 479B(a) of the Act) or consortium of Indian Tribes that is
administering or supervising the administration of the title IV-E and
title IV-B, subpart 1 plan.
(b) Unless otherwise specified, the definitions contained in section
475 of the Act apply to all programs under titles IV-E and IV-B of the
Act.

[48 FR 23114, May 23, 1983, as amended at 57 FR 30429, July 9, 1992; 58
FR 67924, Dec. 22, 1993; 61 FR 58653, Nov. 18, 1996; 65 FR 4076, Jan.
25, 2000; 66 FR 58675, Nov. 23, 2001; 77 FR 925, Jan. 6, 2012; 88 FR
66708, Sept. 28, 2023]

Sec. 1355.21 Plan requirements for titles IV-E and IV-B.

(a) The plans for titles IV-E and IV-B must provide for safeguards
on the use and disclosure of information which meet the requirements
contained in section 471(a)(8) of the Act.
(b) The plans for titles IV-E and IV-B must provide for compliance
with the Department's regulations applicable to

[[Page 327]]

the State and/or Tribe as listed in 45 CFR 1355.30.
(c) The State agency and the Indian Tribe must make available for
public review and inspection the Child and Family Services Plan (CFSP)
and the Annual Progress and Services Reports. (See 45 CFR 1357.15 and
1357.16.) The title IV-E agency also must make available for public
review and inspection the title IV-E Plan.

[48 FR 23114, May 23, 1983, as amended at 61 FR 58654, Nov. 18, 1996; 77
FR 926, Jan. 6, 2012]

Sec. 1355.22 Designated Placement requirements under titles IV-E
and IV-B for LGBTQI+ children.

LGBTQI+ children (including children with lesbian, gay, bisexual,
transgender, queer, or questioning, and intersex status or identity)
shall be placed and receive services in accordance with the following
requirements:
(a) Protections generally applicable. As part of meeting the
requirement to provide a safe and appropriate placement for all children
in foster care, the title IV-E/IV-B agency must ensure that all
placements, including those for LGBTQI+ children, are free from
harassment, mistreatment, or abuse.
(b) Designated Placements and services for LGBTQI+ children. The
title IV-E/IV-B agency must meet the following requirements for each
LGBTQI+ child in foster care:
(1) Designated Placements. The title IV-E/IV-B agency must ensure
there is a Designated Placement available for all LGBTQI+ children in
foster care who request or would benefit from such a placement. Nothing
in this section requires any provider to become or serve as a Designated
Placement. As used in this section, for a placement to be specifically
designated for an LGBTQI+ child, the provider must meet the protections
generally applicable as defined at paragraph (a) of this section and:
(i) Commit to establish an environment that supports the child's
LGBTQI+ status or identity;
(ii) Be trained with the appropriate knowledge and skills to provide
for the needs of the child related to the child's self-identified sexual
orientation, gender identity, and gender expression. The training must
reflect evidence, studies, and research about the impacts of rejection,
discrimination, and stigma on the safety and wellbeing of LGBTQI+
children, and provide information for providers about professional
standards and recommended practices that promote the safety and
wellbeing of LGBTQI+ children; and
(iii) Facilitate the child's access to age- or developmentally
appropriate resources, services, and activities that support their
health and well-being as described in paragraph (e) of this section.
(2) Process for notification of and request for Designated
Placements. The IV-E/IV-B agency must implement a process by which an
LGBTQI+ child may request a Designated Placement as described in
paragraph (b)(1) of this section or request that their current placement
be offered services to become a Designated Placement. The title IV-E/IV-
B agency's process for considering such a request must provide the child
with an opportunity to express their needs and concerns. The process
must safeguard the privacy and confidentiality of the child, consistent
with section 471(a)(8) of the Act and 45 CFR 205.50, and must include
the following components:
(i) Notice of the availability of Designated Placements and the
ability to request that services be offered to their current placement
must be provided to, at minimum:
(A) All children age 14 and over; and
(B) Children under age 14 who:
(1) Have been removed from their home due, in whole or part, to
familial conflict about their sexual orientation, gender identity,
gender expression or sex characteristics; or
(2) Have disclosed their LGBTQI+ status or identity or whose LGBTQI+
status or identity is otherwise known to the agency;
(ii) The notice must be provided in an age- or developmentally
appropriate manner, both verbally and in writing, and must inform the
child of how they may request a Designated Placement or services for
their current placement and the process the title IV-E/IV-B agency will
use in responding to their request; and

[[Page 328]]

(iii) The notice must inform the child of the nonretaliation
protections described at paragraph (d) of this section and describe the
process by which a child may report a concern about retaliation.
(3) Placement and services decisions and changes. When making
placement and service decisions related to an LGBTQI+ child, the title
IV-E/IV-B agency shall give substantial weight to the child's expressed
concerns or requests when determining the child's best interests. To
promote placement stability, when an LGBTQI+ child requests a Designated
Placement and before initiating any placement changes, the title IV-E/
IV-B agency must consider whether additional services and training would
allow the current provider to meet the conditions for a Designated
Placement. If so, and if the current provider is willing to meet the
conditions for a Designated Placement, the IV-E/IV-B agency must use the
case review system to regularly review the provider's progress towards
meeting the conditions of such a designation.
(c) Process for reporting concerns about placements and concerns
about retaliation. The title IV-E/IV-B agency must implement a process
for LGBTQI+ children to report concerns about a placement that fails to
meet the applicable requirements of this section, and to report concerns
about retaliation as described in paragraph (d) of this section. The
process must safeguard the privacy and confidentiality of the child,
consistent with section 471(a)(8) of the Act and 45 CFR 205.50. The
title IV-E/IV-B agency must respond promptly to an LGBTQI+ child's
reported concern, consistent with the agency's timeframes for
investigating child abuse and neglect reports depending on the nature of
the child's report.
(d) Retaliation prohibited. (1) The title IV-E/IV-B agency must have
a procedure to ensure that neither the title IV-E/IV-B agency, nor any
provider, nor any entity or person acting on behalf of the agency or a
provider retaliates against an LGBTQI+ child in foster care based on the
child's actual or perceived LGBTQI+ status or identity, any disclosure
of that status or identity by the child or a third party, or the child's
request or report related to the requirements for placements or services
under this part.
(2) Conduct by the title IV-E/IV-B agency, provider, or any entity
or person acting on behalf of the agency or a provider that will be
considered retaliation includes, but is not limited to:
(i) Harassment, mistreatment, or abuse as described in paragraph (a)
of this section.
(ii) Attempts to undermine, suppress, change, or stigmatize a
child's sexual orientation or gender identity or expression through
``conversion therapy.''
(iii) Unwarranted placement changes, including unwarranted
placements in congregate care facilities, or restricting an LGBTQI+
child's access to LGBTQI+ peers, siblings, family members, or age- or
developmentally appropriate materials and community resources.
(iv) Disclosing the child's LGBTQI+ status or identity in ways that
cause harm or risk the privacy of the child or that infringe on any
privacy rights of the child.
(v) Using information about the child's LGBTQI+ status or identity
to initiate or sustain a child protection investigation or disclosing
information about the child's LGBTQI+ status or identity to law
enforcement in any manner not permitted by law.
(vi) Taking action against current or potential caregivers
(including foster parents, pre-adoptive parents, adoptive parents, kin
caregivers and birth families) because they support or have supported a
child's LGBTQI+ status or identity.
(e) Access to supportive and age- or developmentally appropriate
services. The title IV-E/IV-B agency must ensure that LGBTQI+ children
have access to age- or developmentally appropriate services that are
supportive of their sexual orientation and gender identity or
expression, including clinically appropriate mental and behavioral
health supports.
(f) Placement of transgender and gender non-conforming children in
foster care. When considering placing a child, the title IV-E/IV-B
agency must offer the child a placement consistent with their gender
identity. The title IV-E/IV-B

[[Page 329]]

agency must also consult with the child to provide an opportunity to
voice any concerns related to placement.
(g) Compliance with privacy laws. The title IV-E/IV-B agency must
comply with all applicable privacy laws, including section 471(a)(8) of
the Act and 45 CFR 205.50, in all aspects of its implementation of this
section. Information that reveals a child's LGBTQI+ status or identity
may only be disclosed in accordance with law and any such disclosure
must be the minimum necessary to accomplish the legally-permitted
purposes.
(h) Training and notification requirements. In addition to meeting
the requirements of paragraph (b)(1)(ii) of this section, the title IV-
E-/IV-B agency must:
(1) Ensure that its employees who have responsibility for placing
children in foster care, making placement decisions, or providing
services:
(i) Are trained to implement the procedural requirements of this
section; and
(ii) Are adequately prepared with the appropriate knowledge and
skills to serve an LGBTQI+ child related to their sexual orientation,
gender identity, and gender expression.
(2) Ensure that all its contractors and subrecipients who have
responsibility for placing children in foster care, making placement
decisions, or providing services are informed of the procedural
requirements to comply with this section, including the required non-
retaliation provisions outlined in paragraph (d) of this section.
(3) Ensure that all placement providers are informed of the
procedural requirements to comply with this section, including the
required non-retaliation provision outlined in paragraph (d) of this
section.
(i) Protections for religious freedom, conscience, and free speech.
Insofar as the application of any requirement under this section would
violate applicable Federal protections for religious freedom,
conscience, and free speech, such application shall not be required.
(j) No penalties for providers that do not seek to qualify as
Designated Placements. Nothing in this section shall be construed to
require or authorize a State or Tribe to penalize a provider in the
titles IV-E or IV-B programs because the provider does not seek or is
determined not to qualify as a Designated Placement under this section.
(k) Severability. Any provision of this section held to be invalid
or unenforceable as applied to any person or circumstance shall be
construed so as to continue to give the maximum effect to the provision
permitted by law, including as applied to persons not similarly situated
or to dissimilar circumstances, unless such holding is that the
provision of this section is invalid and unenforceable in all
circumstances, in which event the provision shall be severable from the
remainder of this section and shall not affect the remainder thereof.
(l) Implementation. Title IV-E/IV-B agencies must follow the
requirements of this section beginning on October 1, 2026.
(m) No effect on more protective laws or policies. Nothing in this
section shall limit any State, Tribe, or local government from imposing
or enforcing, as a matter of law or policy, requirements that provide
greater protection to LGBTQI+ children than this section provides.

[89 FR 34859, Apr. 30, 2024]

Sec. 1355.25 Principles of child and family services.

The following principles, most often identified by practitioners and
others as helping to assure effective services for children, youth, and
families, should guide the States and Indian Tribes in developing,
operating, and improving the continuum of child and family services.
(a) The safety and well-being of children and of all family members
is paramount. When safety can be assured, strengthening and preserving
families is seen as the best way to promote the healthy development of
children. One important way to keep children safe is to stop violence in
the family including violence against their mothers.
(b) Services are focused on the family as a whole; service providers
work with families as partners in identifying and meeting individual and
family needs; family strengths are identified, enhanced, respected, and
mobilized to

[[Page 330]]

help families solve the problems which compromise their functioning and
well-being.
(c) Services promote the healthy development of children and youth,
promote permanency for all children and help prepare youth emancipating
from the foster care system for self-sufficiency and independent living.
(d) Services may focus on prevention, protection, or other short or
long-term interventions to meet the needs of the family and the best
interests and need of the individual(s) who may be placed in out-of-home
care.
(e) Services are timely, flexible, coordinated, and accessible to
families and individuals, principally delivered in the home or the
community, and are delivered in a manner that is respectful of and
builds on the strengths of the community and cultural groups.
(f) Services are organized as a continuum, designed to achieve
measurable outcomes, and are linked to a wide variety of supports and
services which can be crucial to meeting families' and children's needs,
for example, housing, substance abuse treatment, mental health, health,
education, job training, child care, and informal support networks.
(g) Most child and family services are community-based, involve
community organizations, parents and residents in their design and
delivery, and are accountable to the community and the client's needs.
(h) Services are intensive enough and of sufficient duration to keep
children safe and meet family needs. The actual level of intensity and
length of time needed to ensure safety and assist the family may vary
greatly between preventive (family support) and crisis intervention
services (family preservation), based on the changing needs of children
and families at various times in their lives. A family or an individual
does not need to be in crisis in order to receive services.

[61 FR 58654, Nov. 18, 1996]

Sec. 1355.30 Other applicable regulations.

Except as specified, the following regulations are applicable to
State and Tribal programs funded under titles IV-B and IV-E of the Act.
(a) 45 CFR Part 16--Procedures of the Departmental Grant Appeals
Board.
(b) 45 CFR Part 30--Claims Collection.
(c) 2 CFR part 376--Nonprocurement Debarment and Suspension.
(d) 2 CFR part 382--Requirements for Drug-Free Workplace (Financial
Assistance).
(e) 45 CFR Part 80--Nondiscrimination Under Programs Receiving
Federal Assistance Through the Department of Health and Human Services
Effectuation of Title VI of the Civil Rights Act of 1964.
(f) 45 CFR Part 81--Practice and Procedure for Hearings Under Part
80 of This Title.
(g) 45 CFR Part 84--Nondiscrimination on the Basis of Handicap in
Programs and Activities Receiving Federal Financial Assistance.
(h) 45 CFR Part 91--Nondiscrimination on the Basis of Age in HHS
Programs or Activities Receiving Federal Financial Assistance.
(i) 45 CFR part 75--Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for HHS Awards. Part 75 of this title
is applicable to title IV-B programs and the John H. Chafee Foster Care
Independence Program under Section 477 of the Act that are operated by
States and/or Tribes. Part 75 of this title is applicable to title IV-E
foster care and adoption assistance programs operated by a State title
IV-E agency, except that section 75.306 Cost sharing or matching and
section 75.341 Financial reporting do not apply. Part 75 of this title
is applicable to title IV-E foster care and adoption assistance programs
operated by a Tribal title IV-E agency pursuant to section 479B, except
that section 75.341 and the sections specified in Sec. 1356.68 do not
apply to a Tribal title IV-E agency.
(j) 45 CFR Part 93--New Restrictions on Lobbying.
(k) 45 CFR part 95--General Administration--Grant Programs (Public
Assistance and Medical Assistance). Part 95 of this title is applicable
to State and Indian Tribe operated title IV-B and title IV-E programs,
except:
(1) Notwithstanding 45 CFR 95.1(a), subpart A, Time Limits for
States to File Claims, does not apply to State

[[Page 331]]

and Indian Tribe-operated title IV-B (subparts 1 and 2) program and the
John H. Chafee Foster Care Independence Program; and
(2) 45 CFR part 95 Subpart E, Cost Allocation Plans, is not
applicable to Indian Tribe-operated title IV-E foster care and adoption
assistance pursuant to section 479B of the Act (ACYF-CB-PI-10-13).
(l) 45 CFR Part 97--Consolidation of Grants to the Insular Areas.
(Applicable only to the title IV-B programs).
(m) 45 CFR part 100--Intergovernmental Review of Department of
Health and Human Services Programs and Activities. Only one section is
applicable: 45 CFR 100.12, How may a State simplify, consolidate, or
substitute federally required State plans? This section is applicable to
a State title IV-E agency only.
(n) 45 CFR part 201--Grants to States for Public Assistance
Programs. Only the following sections are applicable:
(1) Sec. 201.5--Grants. Applicable to title IV-E foster care and
adoption assistance only.
(2) Sec. 201.6--Withholding of payment; reduction of Federal
financial participation in the costs of social services and training.
Applicable only to an unapprovable change in an approved plan, or the
failure of the agency to change its approved plan to conform to a new
Federal requirement for approval of plans.
(3) Sec. 201.15--Deferral of claims for Federal financial
participation. Applicable only to title IV-E foster care and adoption
assistance.
(4) Sec. 201.66--Repayment of Federal funds by installments.
Applicable only to title IV-E foster care and adoption assistance.
(o) 45 CFR 204.1--Submittal of State Plans for Governor's Review.
Applicable to State title IV-E agencies only.
(p) 45 CFR Part 205--General Administration--Public Assistance
Programs. Only the following sections are applicable:
(1) Sec. 205.5--Plan amendments.
(2) Sec. 205.10--Hearings.
(3) Sec. 205.50--Safeguarding information for the financial
assistance programs.
(4) Sec. 205.100--Single State agency.

[61 FR 58654, Nov. 18, 1996, as amended at 66 FR 58675, Nov. 23, 2001;
77 FR 926, Jan. 6, 2012; 81 FR 3022, Jan. 20, 2016]

Sec. 1355.31 Elements of the child and family services review system.

Scope. Sections 1355.32 through 1355.37 of this part apply to
reviews of child and family services programs under subparts 1 and 2 of
title IV-B of the Act, and reviews of foster care and adoption
assistance programs under title IV-E of the Act.

[77 FR 926, Jan. 6, 2012]

Sec. 1355.32 Timetable for the reviews.

(a) Initial reviews. Each State must complete an initial full review
as described in Sec. 1355.33 of this part during the four-year period
after the final rule becomes effective. Each Tribal title IV-E agency
must complete an initial full review as described in Sec. 1355.33 of
this part, during the four-year period after the ACF determines that the
Tribe has approved title IV-B, subpart 1 and 2 and title IV-E plans and
has sufficient cases for ACF to apply the procedures in Sec.
1355.33(c).
(b) Reviews following the initial review. (1) A title IV-E agency
found to be operating in substantial conformity during an initial or
subsequent review, as defined in Sec. 1355.34 of this part, must:
(i) Complete a full review every five years; and
(ii) Submit a completed statewide assessment, or in the case of a
Tribal title IV-E agency, a completed Tribal assessment of the service
area, to ACF three years after the on-site review. The assessment will
be reviewed jointly by the title IV-E agency and ACF to determine the
State's or Indian Tribe's continuing substantial conformity with the
plan requirements subject to review. No formal approval of this interim
assessment by ACF is required.
(2) A program found not to be operating in substantial conformity
during an initial or subsequent review will:
(i) Be required to develop and implement a program improvement plan,
as defined in Sec. 1355.35 of this part; and
(ii) Begin a full review two years after approval of the program
improvement plan.

[[Page 332]]

(c) Reinstatement of reviews based on information that a title IV-E
agency is not in substantial conformity. (1) ACF may require a full or a
partial review at any time, based on any information, regardless of the
source, that indicates the title IV-E agency may no longer be operating
in substantial conformity.
(2) Prior to reinstating a full or partial review, ACF will conduct
an inquiry and require the title IV-E agency to submit additional data
whenever ACF receives information that the title IV-E agency may not be
in substantial conformity.
(3) If the additional information and inquiry indicates to ACF's
satisfaction that the title IV-E agency is operating in substantial
conformity, ACF will not proceed with any further review of the issue
addressed by the inquiry. This inquiry will not substitute for the full
reviews conducted by ACF under Sec. 1355.32(b).
(4) ACF may proceed with a full or partial review if the title IV-E
agency does not provide the additional information as requested, or the
additional information confirms that the title IV-E agency may not be
operating in substantial conformity.
(d) Partial reviews based on noncompliance with plan requirements
that are outside the scope of a child and family services review. When
ACF becomes aware of a title IV-B or title IV-E compliance issue that is
outside the scope of the child and family services review process, we
will:
(1) Conduct an inquiry and require the title IV-E agency to submit
additional data.
(2) If the additional information and inquiry indicates to ACF's
satisfaction that the title IV-E agency is in compliance, we will not
proceed with any further review of the issue addressed by the inquiry.
(3) ACF will institute a partial review, appropriate to the nature
of the concern, if the title IV-E agency does not provide the additional
information as requested, or the additional information confirms that
the title IV-E agency may not be in compliance.
(4) If the partial review determines that the title IV-E agency is
not in compliance with the applicable plan requirement, the title IV-E
agency must enter into a program improvement plan designed to bring the
title IV-E agency into compliance, if the provisions for such a plan are
applicable. The terms, action steps and time-frames of the program
improvement plan will be developed on a case-by-case basis by ACF and
the title IV-E agency. The program improvement plan must take into
consideration the extent of noncompliance and the impact of the
noncompliance on the safety, permanency or well-being of children and
families served through the title IV-E agency's title IV-B or IV-E
allocation. If the title IV-E agency remains out of compliance, the
title IV-E agency will be subject to a penalty related to the extent of
the noncompliance.

[65 FR 4076, Jan. 25, 2000, as amended at 66 FR 58675, Nov. 23, 2001; 77
FR 926, Jan. 6, 2012]

Sec. 1355.33 Procedures for the review.

(a) The full child and family services reviews will:
(1) Consist of a two-phase process that includes a statewide
assessment and an on-site review; and
(2) Be conducted by a team of Federal, and State or Tribal reviewers
that includes:
(i) Staff of the child and family services agency, including the
offices that represent the service areas that are the focus of any
particular review;
(ii) Representatives selected by the title IV-E agency, in
collaboration with the ACF Regional Office, from those with whom the
title IV-E agency was required to consult in developing its CFSP, as
described and required in 45 CFR 1357.15(l);
(iii) Federal staff of HHS; and
(iv) Other individuals, as deemed appropriate and agreed upon by the
title IV-E agency and ACF.
(b) Statewide or Tribal Assessment. The first phase of the full
review will be a statewide assessment, or for a Tribal title IV-E agency
a service area assessment, conducted by the title IV-E agency's internal
and external members of the review team. The assessment must:
(1) Address each systemic factor under review including the
statewide/Tribal information system; case review system; quality
assurance system; staff

[[Page 333]]

training; service array; agency responsiveness to the community; and
foster and adoptive parent licensing, recruitment and retention;
(2) Assess the outcome areas of safety, permanence, and well-being
of children and families served by the title IV-E agency using data from
AFCARS and NCANDS. For the initial review, ACF may approve another data
source to substitute for AFCARS, and in all reviews, ACF may approve
another data source to substitute for NCANDS. The title IV-E agency must
also analyze and explain its performance in meeting the national
standards for the statewide/Tribal service area data indicators;
(3) Assess the characteristics of the title IV-E agency that have
the most significant impact on the agency's capacity to deliver services
to children and families that will lead to improved outcomes;
(4) Assess the strengths and areas of the title IV-E agency's child
and family services programs that require further examination through an
on-site review;
(5) Include a listing of all the persons external to the title IV-E
agency who participated in the preparation of the assessment pursuant to
Sec. 1355.33(a)(2)(ii) and (iv); and
(6) Be completed and submitted to ACF within 4 months of the date
that ACF transmits the information for the assessment to the title IV-E
agency.
(c) On-site review. The second phase of the full review will be an
on-site review.
(1) The on-site review will cover the title IV-E agency's programs
under titles IV-B and IV-E of the Act, including in-home services and
foster care. It will be jointly planned by the title IV-E agency and
ACF, and guided by information in the completed assessment that
identifies areas in need of improvement or further review.
(2) The on-site review may be concentrated in several specific
political subdivisions or jurisdictions of the title IV-E agency, as
agreed upon by the ACF and the title IV-E agency; however, for a State
title IV-E agency, a State's largest metropolitan subdivision must be
one of the locations selected.
(3) ACF has final approval of the selection of specific areas of the
title IV-E agency's child and family services continuum described in
paragraph (c)(1) of this section and selection of the political
subdivisions or jurisdiction referenced in paragraph (c)(2) of this
section.
(4) Sources of information collected during the on-site review to
determine substantial conformity must include, but are not limited to:
(i) Case records on children and families served by the agency;
(ii) Interviews with children and families whose case records have
been reviewed and who are, or have been, recipients of services of the
agency;
(iii) Interviews with caseworkers, foster parents, and service
providers for the cases selected for the on-site review; and
(iv) Interviews with key stakeholders, both internal and external to
the agency, which, at a minimum, must include those individuals who
participated in the development of the State's or Tribal title IV-E
agency's CFSP required at 45 CFR 1357.15(1), courts, administrative
review bodies, children's guardians ad litem and other individuals or
bodies assigned responsibility for representing the best interests of
the child.
(5) The sample will range from 30-50 cases. Foster care cases must
be drawn randomly from AFCARS, or, for the initial review, from another
source approved by ACF and include children who entered foster care
during the year under review. In-home cases must be drawn randomly from
NCANDS or from another source approved by ACF. To ensure that all
program areas are adequately represented, the sample size may be
increased.
(6) The sample of 30-50 cases reviewed on-site will be selected from
a randomly drawn oversample of no more than 150 foster care and 150 in-
home services cases. The oversample must be statistically significant at
a 90 percent compliance rate (95 percent in subsequent reviews), with a
tolerable sampling error of 5 percent and a confidence coefficient of 95
percent. The additional cases in the oversample not selected for the on-
site review will

[[Page 334]]

form the sample of cases to be reviewed, if needed, in order to resolve
discrepancies between the statewide/Tribal assessment and the on-site
review in accordance with paragraph (d)(2) of this section.
(d) Resolution of discrepancies between the assessment and the
findings of the on-site portion of the review. Discrepancies between the
statewide or Tribal assessment and the findings of the on-site portion
of the review will be resolved by either of the following means, at the
title IV-E agency's option:
(1) The submission of additional information by the title IV-E
agency; or
(2) ACF and the title IV-E agency will review additional cases using
only those indicators in which the discrepancy occurred. ACF and the
title IV-E agency will determine jointly the number of additional cases
to be reviewed, not to exceed 150 foster care cases or 150 in-home
services cases to be selected as specified in paragraph (c)(6) of this
section.
(e) Partial review. A partial child and family services review, when
required, will be planned and conducted jointly by ACF and the title IV-
E agency based on the nature of the concern. A partial review does not
substitute for the full reviews as required under Sec. 1355.32(b).
(f) Notification. Within 30 calendar days following either a partial
child and family services review, full child and family services review,
or the resolution of a discrepancy between the assessment and the
findings of the on-site portion of the review, ACF will notify the title
IV-E agency in writing of whether the title IV-E agency is, or is not,
operating in substantial conformity.

[65 FR 4077, Jan. 25, 2000, as amended at 66 FR 58675, Nov. 23, 2001; 77
FR 927, Jan. 6, 2012]

Sec. 1355.34 Criteria for determining substantial conformity.

(a) Criteria to be satisfied. ACF will determine a title IV-E
agency's substantial conformity with title IV-B and title IV-E plan
requirements based on the following:
(1) Its ability to meet national standards, set by the Secretary,
for the statewide/Tribal service area data indicators associated with
specific outcomes for children and families;
(2) Its ability to meet criteria related to outcomes for children
and families; and
(3) Its ability to meet criteria related to the title IV-E agency's
capacity to deliver services leading to improved outcomes.
(b) Criteria related to outcomes. (1) A title IV-E agency's
substantial conformity will be determined by its ability to
substantially achieve the following child and family service outcomes:
(i) In the area of child safety:
(A) Children are, first and foremost, protected from abuse and
neglect; and,
(B) Children are safely maintained in their own homes whenever
possible and appropriate;
(ii) In the area of permanency for children:
(A) Children have permanency and stability in their living
situations; and
(B) The continuity of family relationships and connections is
preserved for children; and
(iii) In the area of child and family well-being:
(A) Families have enhanced capacity to provide for their children's
needs;
(B) Children receive appropriate services to meet their educational
needs; and
(C) Children receive adequate services to meet their physical and
mental health needs.
(2) A title IV-E agency's level of achievement with regard to each
outcome reflects the extent to which a title IV-E agency has:
(i) Met the national standard(s) for the statewide/Tribal service
area data indicator(s) associated with that outcome, if applicable; and,
(ii) Implemented the following CFSP requirements or assurances:
(A) The requirements in 45 CFR 1357.15(p) regarding services
designed to assure the safety and protection of children and the
preservation and support of families;
(B) The requirements in 45 CFR 1357.15(q) regarding the permanency
provisions for children and families in sections 422 and 471 of the Act;

[[Page 335]]

(C) The requirements in section 422(b)(7) of the Act regarding
recruitment of potential foster and adoptive families;
(D) The assurances as required by section 422(b)(8)(B) of the Act
regarding policies and procedures for abandoned children;
(E) The requirements in section 422(b)(9) of the Act regarding the
State's compliance with the Indian Child Welfare Act;
(F) The requirements in section 422(b)(10) of the Act regarding a
title IV-E agency's plan for effective use of cross-jurisdictional
resources to facilitate timely adoptive or permanent placements; and,
(G) The requirements in section 471(a)(15) of the Act regarding
reasonable efforts to prevent removals of children from their homes, to
make it possible for children in foster care to safely return to their
homes, or, when the child is not able to return home, to place the child
in accordance with the permanency plan and complete the steps necessary
to finalize the permanent placement.
(3) A title IV-E agency will be determined to be in substantial
conformity if its performance on:
(i) Each statewide/Tribal service area data indicator developed
pursuant to paragraph (b)(4) of this section meets the national standard
described in paragraph (b)(5) of this section; and,
(ii) Each outcome listed in paragraph (b)(1) of this section is
rated as ``substantially achieved'' in 95 percent of the cases examined
during the on-site review (90 percent of the cases for an initial
review). Information from various sources (case records, interviews)
will be examined for each outcome and a determination made as to the
degree to which each outcome has been achieved for each case reviewed.
(4) The Secretary may, using AFCARS and NCANDS, develop statewide/
Tribal service area data indicators for each of the specific outcomes
described in paragraph (b)(1) of this section for use in determining
substantial conformity. The Secretary may add, amend, or suspend any
such statewide/Tribal service area data indicator(s) when appropriate.
To the extent practical and feasible, the statewide/Tribal service area
data indicators will be consistent with those developed in accordance
with section 203 of the Adoption and Safe Families Act of 1997 (Pub. L.
105-89).
(5) The initial national standards for the statewide data indicators
described in paragraph (b)(4) of this section will be based on the 75th
percentile of all State performance for that indicator, as reported in
AFCARS or NCANDS. The Secretary may adjust these national standards if
appropriate. The initial national standard will be set using the
following data sources:
(i) The 1997 and 1998 submissions to NCANDS (or the most recent and
complete 2 years available), for those statewide data indicators
associated with the safety outcomes; and,
(ii) The 1998b, 1999c, and 2000a submissions to AFCARS (or the most
recent and complete report periods available), for those statewide data
indicators associated with the permanency outcomes.
(c) Criteria related to title IV-E agency capacity to deliver
services leading to improved outcomes for children and families. In
addition to the criteria related to outcomes contained in paragraph (b)
of this section, the title IV-E agency also must satisfy criteria
related to the delivery of services. Based on information from the
assessment and onsite review, the title IV-E agency must meet the
following criteria for each systemic factor in paragraphs (c)(2) through
(c)(7) of this section to be considered in substantial conformity: All
of the plan requirements associated with the systemic factor must be in
place, and no more than one of the plan requirements fails to function
as described in paragraphs (c)(2) through (c)(7) of this section. The
systemic factor in paragraph (c)(1) of this section is rated on the
basis of only one plan requirement. To be considered in substantial
conformity, the plan requirement associated with statewide/Tribal
information system capacity must be both in place and functioning as
described in the requirement. ACF will use a rating scale to make the
determinations of substantial conformity. The systemic factors under
review are:
(1) Statewide/Tribal information system: The State/Tribal title IV-E
agency is

[[Page 336]]

operating a statewide/Tribal information system that, at a minimum, can
readily identify the status, demographic characteristics, location, and
goals for the placement of every child who is (or within the immediately
preceding 12 months, has been) in foster care (section (422)(b)(8)(A)(i)
of the Act);
(2) Case review system: The title IV-E agency has procedures in
place that:
(i) Provide, for each child, a written case plan to be developed
jointly with the child's parent(s) that includes provisions: for placing
the child in the least restrictive, most family-like placement
appropriate to the child's needs, and in close proximity to the parents'
home where such placement is in the child's best interests; for visits
with a child placed out of State/Tribal service area at least every 12
months by a caseworker of the agency or of the agency in the State/
Tribal service area where the child is placed; for documentation of the
steps taken to make and finalize an adoptive or other permanent
placement when the child cannot return home; and for implementation of
the requirements of Sec. 1355.22(b) and (d) as applicable (sections
422(b)(8)(A)(ii), 471(a)(16), and 475(5)(A) of the Act and Sec.
1355.22(b) and (d));
(ii) Provide for periodic review of the status of each child no less
frequently than once every six months by either a court or by
administrative review (sections 422(b)(8)(A)(ii), 471(a)(16) and
475(5)(B) of the Act);
(iii) Assure that each child in foster care under the supervision of
the title IV-E agency has a permanency hearing in a family or juvenile
court or another court of competent jurisdiction (including a Tribal
court), or by an administrative body appointed or approved by the court,
which is not a part of or under the supervision or direction of the
title IV-E agency, no later than 12 months from the date the child
entered foster care (and not less frequently than every 12 months
thereafter during the continuation of foster care) (sections
422(b)(8)(A)(ii), 471(a)(16) and 475(5)(C) of the Act);
(iv) Provide a process for termination of parental rights
proceedings in accordance with sections 422(b)(8)(A)(ii), 475(5)(E) and
(F) of the Act; and,
(v) Provide foster parents, preadoptive parents, and relative
caregivers of children in foster care with notice of and a right to be
heard in permanency hearings and six-month periodic reviews held with
respect to the child (sections 422(b)(8)(A)(ii), 475(5)(G) of the Act,
and 45 CFR 1356.21(o)).
(3) Quality assurance system: The title IV-E agency has developed
and implemented standards to ensure that children in foster care
placements are provided quality services that protect the safety and
health of the children (section 471(a)(22)) and is operating an
identifiable quality assurance system (45 CFR 1357.15(u)) as described
in the CFSP that:
(i) Is in place in the jurisdictions within the State/Tribal service
area where services included in the CFSP are provided;
(ii) Is able to evaluate the adequacy and quality of services
provided under the CFSP;
(iii) Is able to identify the strengths and needs of the service
delivery system it evaluates;
(iv) Provides reports to agency administrators on the quality of
services evaluated and needs for improvement; and
(v) Evaluates measures implemented to address identified problems.
(4) Staff training: The title IV-E agency is operating a staff
development and training program (45 CFR 1357.15(t)) that:
(i) Supports the goals and objectives in the title IV-E agency's
CFSP;
(ii) Addresses services provided under both subparts of title IV-B
and the training plan under title IV-E of the Act;
(iii) Provides training for all staff who provide family
preservation and support services, child protective services, foster
care services, adoption services and independent living services soon
after they are employed and that includes the basic skills and knowledge
required for their positions;
(iv) Provides ongoing training for staff that addresses the skills
and knowledge base needed to carry out their duties with regard to the
services included in the CFSP; and,
(v) Provides training for current or prospective foster parents,
adoptive

[[Page 337]]

parents, and the staff of State/Tribal-licensed or State/Tribal-approved
child care institutions providing care to foster and adopted children
receiving assistance under title IV-E that addresses the skills and
knowledge base needed to carry out their duties with regard to caring
for foster and adopted children.
(5) Service array: Information from the assessment and on-site
review determines that the title IV-E agency has in place an array of
services (45 CFR 1357.15(n) and section 422(b)(8)(A)(iii) and (iv) of
the Act) that includes, at a minimum:
(i) Services that assess the strengths and needs of children and
families assisted by the agency and are used to determine other service
needs;
(ii) Services that address the needs of the family, as well as the
individual child, in order to create a safe home environment;
(iii) Services designed to enable children at risk of foster care
placement to remain with their families when their safety and well-being
can be reasonably assured;
(iv) Services designed to help children achieve permanency by
returning to families from which they have been removed, where
appropriate, be placed for adoption or with a legal guardian or in some
other planned, permanent living arrangement, and through post-legal
adoption services;
(v) Services that are accessible to families and children in all
political subdivisions and/or the entire service area covered in the
CFSP; and,
(vi) Services that can be individualized to meet the unique needs of
children and families served by the agency.
(6) Agency responsiveness to the community:
(i) The title IV-E agency, in implementing the provisions of the
CFSP, engages in ongoing consultation with a broad array of individuals
and organizations representing the State/Tribal and county/local
agencies responsible for implementing the CFSP and other major
stakeholders in the services delivery system including, at a minimum,
Tribal representatives, consumers, service providers, foster care
providers, the juvenile court, and other public and private child and
family serving agencies (45 CFR 1357.15(l)(3));
(ii) The agency develops, in consultation with these or similar
representatives, annual reports of progress and services delivered
pursuant to the CFSP (45 CFR 1357.16(a));
(iii) There is evidence that the agency's goals and objectives
included in the CFSP reflect consideration of the major concerns of
stakeholders consulted in developing the plan and on an ongoing basis
(45 CFR 1357.15(m)); and
(iv) There is evidence that the services under the plan are
coordinated with services or benefits under other Federal or federally-
assisted programs serving the same populations to achieve the goals and
objectives in the plan (45 CFR 1357.15(m)).
(7) Foster and adoptive parent licensing, recruitment and retention:
(i) The State or Tribe has established and maintains standards for
foster family homes and child care institutions which are reasonably in
accord with recommended standards of national organizations concerned
with standards for such institutions or homes (section 471(a)(10) of the
Act);
(ii) The standards so established are applied by the State or Tribe
to every licensed or approved foster family home or child care
institution receiving funds under title IV-E or IV-B of the Act (section
471(a)(10) of the Act);
(iii) The title IV-E agency complies with the safety requirements
for foster care and adoptive placements in accordance with sections
471(a)(16), 471(a)(20) and 475(1) of the Act and 45 CFR 1356.30;
(iv) The title IV-E agency has in place an identifiable process for
assuring the diligent recruitment of potential foster and adoptive
families that reflect the ethnic and racial diversity of children in the
State or Tribe for whom foster and adoptive homes are needed (section
422(b)(7) of the Act); and,
(v) The title IV-E agency has developed and implemented plans for
the effective use of cross-jurisdictional resources to facilitate timely
adoptive or permanent placements for waiting children (section
422(b)(10) of the Act).
(d) Availability of review instruments. ACF will make available to
the title

[[Page 338]]

IV-E agencies copies of the review instruments, which will contain the
specific standards to be used to determine substantial conformity, on an
ongoing basis, whenever significant revisions to the instruments are
made.

[65 FR 4078, Jan. 25, 2000, as amended at 66 FR 58675, Nov. 23, 2001; 77
FR 928, Jan. 6, 2012; 89 FR 34861, Apr. 30, 2024]

Sec. 1355.35 Program improvement plans.

(a) Mandatory program improvement plan. (1) Title IV-E agencies
found not to be operating in substantial conformity shall develop a
program improvement plan. The program improvement plan must:
(i) Be developed jointly by title IV-E agency and Federal staff in
consultation with the review team;
(ii) Identify the areas in which the title IV-E agency's program is
not in substantial conformity;
(iii) Set forth the goals, the action steps required to correct each
identified weakness or deficiency, and dates by which each action step
is to be completed in order to improve the specific areas;
(iv) Set forth the amount of progress the statewide/Tribal data will
make toward meeting the national standards;
(v) Establish benchmarks that will be used to measure the title IV-E
agency's progress in implementing the program improvement plan and
describe the methods that will be used to evaluate progress;
(vi) Identify how the action steps in the plan build on and make
progress over prior program improvement plans;
(vii) Identify the technical assistance needs and sources of
technical assistance, both Federal and non-Federal, which will be used
to make the necessary improvements identified in the program improvement
plan.
(2) In the event that ACF and the title IV-E agency cannot reach
consensus regarding the content of a program improvement plan or the
degree of program or data improvement to be achieved, ACF retains the
final authority to assign the contents of the plan and/or the degree of
improvement required for successful completion of the plan. Under such
circumstances, ACF will render a written rationale for assigning such
content or degree of improvement.
(b) Voluntary program improvement plan. Title IV-E agencies found to
be operating in substantial conformity may voluntarily develop and
implement a program improvement plan in collaboration with the ACF
Regional Office, under the following circumstances:
(1) The title IV-E agency and Regional Office agree that there are
areas of the title IV-E agency's child and family services programs in
need of improvement which can be addressed through the development and
implementation of a voluntary program improvement plan;
(2) ACF approval of the voluntary program improvement plan will not
be required; and
(3) No penalty will be assessed for the title IV-E agency's failure
to achieve the goals described in the voluntary program improvement
plan.
(c) Approval of program improvement plans. (1) A title IV-E agency
determined not to be in substantial conformity must submit a program
improvement plan to ACF for approval within 90 calendar days from the
date the title IV-E agency receives the written notification from ACF
that it is not operating in substantial conformity.
(2) Any program improvement plan will be approved by ACF if it meets
the provisions of paragraph (a) of this section.
(3) If the program improvement plan does not meet the provisions of
paragraph (a) of this section, the title IV-E agency will have 30
calendar days from the date it receives notice from ACF that the plan
has not been approved to revise and resubmit the plan for approval.
(4) If the title IV-E agency does not submit a revised program
improvement plan according to the provisions of paragraph (c)(3) of this
section or if the plan does not meet the provisions of paragraph (a) of
this section, withholding of funds pursuant to the provisions of Sec.
1355.36 of this part will begin.
(d) Duration of program improvement plans. (1) ACF retains the
authority to establish time frames for the program improvement plan
consistent with the

[[Page 339]]

seriousness and complexity of the remedies required for any areas
determined not in substantial conformity, not to exceed two years.
(2) Particularly egregious areas of nonconformity impacting child
safety must receive priority in both the content and time frames of the
program improvement plans and must be addressed in less than two years.
(3) The Secretary may approve extensions of deadlines in a program
improvement plan not to exceed one year. The circumstances under which
requests for extensions will be approved are expected to be rare. The
title IV-E agency must provide compelling documentation of the need for
such an extension. Requests for extensions must be received by ACF at
least 60 days prior to the affected completion date.
(4) Title IV-E agencies must provide quarterly status reports
(unless ACF and the title IV-E agency agree to less frequent reports) to
ACF. Such reports must inform ACF of progress in implementing the
measures of the plan.
(e) Evaluating program improvement plans. Program improvement plans
will be evaluated jointly by the title IV-E agency and ACF, in
collaboration with other members of the review team, as described in the
title IV-E agency's program improvement plan and in accordance with the
following criteria:
(1) The methods and information used to measure progress must be
sufficient to determine when and whether the title IV-E agency is
operating in substantial conformity or has reached the negotiated
standard with respect to statewide/Tribal service area data indicators
that failed to meet the national standard for that indicator;
(2) The frequency of evaluating progress will be determined jointly
by the title IV-E agency and Federal team members, but no less than
annually. Evaluation of progress will be performed in conjunction with
the annual updates of the title IV-E agency's CFSP, as described in
paragraph (f) of this section;
(3) Action steps may be jointly determined by the title IV-E agency
and ACF to be achieved prior to projected completion dates, and will not
require any further evaluation at a later date; and
(4) The title IV-E agency and ACF may jointly renegotiate the terms
and conditions of the program improvement plan as needed, provided that:
(i) The renegotiated plan is designed to correct the areas of the
title IV-E agency's program determined not to be in substantial
conformity and/or achieve a standard for the statewide/Tribal service
area data indicators that is acceptable to ACF;
(ii) The amount of time needed to implement the provisions of the
plan does not extend beyond three years from the date the original
program improvement plan was approved;
(iii) The terms of the renegotiated plan are approved by ACF; and
(iv) The Secretary approves any extensions beyond the two-year
limit.
(f) Integration of program improvement plans with CFSP planning. The
elements of the program improvement plan must be incorporated into the
goals and objectives of the title IV-E agency's CFSP. Progress in
implementing the program improvement plan must be included in the annual
reviews and progress reports related to the CFSP required in 45 CFR
1357.16.

(This requirement has been approved by the Office of Management and
Budget under OMB Control Number 0970-0214. In accordance with the
Paperwork Reduction Act of 1995, an agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a currently valid OMB control number.)

[65 FR 4080, Jan. 25, 2000, as amended at 66 FR 58675, Nov. 23, 2001; 77
FR 929, Jan. 6, 2012]

Sec. 1355.36 Withholding Federal funds due to failure to achieve substantial conformity or failure to successfully complete a program improvement plan.

(a) For the purposes of this section:
(1) The term ``title IV-B funds'' refers to the title IV-E agency's
combined allocation of title IV-B subpart 1 and subpart 2 funds; and
(2) The term ``title IV-E funds'' refers to the title IV-E agency's
reimbursement for administrative costs for the foster care program under
title IV-E.
(b) Determination of the amount of Federal funds to be withheld. ACF
will determine the amount of title IV-B and

[[Page 340]]

IV-E funds to be withheld due to a finding that the title IV-E agency is
not operating in substantial conformity, as follows:
(1) A title IV-E agency will have the opportunity to develop and
complete a program improvement plan prior to any withholding of funds.
(2) Title IV-B and IV-E funds will not be withheld from a title IV-E
agency if the determination of nonconformity was caused by the title IV-
E agency's correct use of formal written statements of Federal law or
policy provided the title IV-E agency by DHHS.
(3) A portion of the title IV-E agency's title IV-B and IV-E funds
will be withheld by ACF for the year under review and for each
succeeding year until the title IV-E agency either successfully
completes a program improvement plan or is found to be operating in
substantial conformity.
(4) The amount of title IV-B and title IV-E funds subject to
withholding due to a determination that a title IV-E agency is not
operating in substantial conformity is based on a pool of funds defined
as follows:
(i) The title IV-E agency's allotment of title IV-B funds for each
of the years to which the withholding applies; and
(ii) An amount equivalent to 10 percent of the title IV-E agency's
Federal claims for title IV-E foster care administrative costs for each
of the years to which withholding applies;
(5) The amount of funds to be withheld from the pool in paragraph
(b)(4) of this section will be computed as follows:
(i) Except as provided for in paragraphs (b)(7) and (b)(8) of this
section, an amount equivalent to one percent of the funds described in
paragraph (b)(4) of this section for each of the years to which
withholding applies will be withheld for each of the seven outcomes
listed in Sec. 1355.34(b)(1) of this part that is determined not to be
in substantial conformity; and
(ii) Except as provided for in paragraphs (b)(7) and (b)(8) of this
section, an amount equivalent to one percent of the funds described in
paragraph (b)(4) of this section for each of the years to which
withholding applies will be withheld for each of the seven systemic
factors listed in Sec. 1355.34(c) of this part that is determined not
to be in substantial conformity.
(6) Except as provided for in paragraphs (b)(7), (b)(8), and (e)(4)
of this section, in the event the title IV-E agency is determined to be
in nonconformity on each of the seven outcomes and each of the seven
systemic factors subject to review, the maximum amount of title IV-B and
title IV-E funds to be withheld due to the title IV-E agency's failure
to comply is 14 percent per year of the funds described in paragraph
(b)(4) of this section for each year.
(7) Title IV-E agencies determined not to be in substantial
conformity that fail to correct the areas of nonconformity through the
successful completion of a program improvement plan, and are determined
to be in nonconformity on the second full review following the first
full review in which a determination of nonconformity was made will be
subject to increased withholding as follows:
(i) The amount of funds described in paragraph (b)(5) of this
section will increase to two percent for each of the seven outcomes and
each of the seven systemic factors that continues in nonconformity since
the immediately preceding child and family services review;
(ii) The increased withholding of funds for areas of continuous
nonconformity is subject to the provisions of paragraphs (c), (d), and
(e) of this section;
(iii) The maximum amount of title IV-B and title IV-E funds to be
withheld due to the title IV-E agency's failure to comply on the second
full review following the first full review in which the determination
of nonconformity was made is 28 percent of the funds described in
paragraph (b)(4) of this section for each year to which the withholding
of funds applies.
(8) Title IV-E agencies determined not to be in substantial
conformity that fail to correct the areas of nonconformity through the
successful completion of a program improvement plan, and are determined
to be in nonconformity on the third and any subsequent full reviews
following the first full review in which a determination of

[[Page 341]]

nonconformity was made will be subject to increased withholding as
follows:
(i) The amount of funds described in paragraph (b)(5) of this
section will increase to three percent for each of the seven outcomes
and each of the seven systemic factors that continues in nonconformity
since the immediately preceding child and family services review;
(ii) The increased withholding of funds for areas of continuous
nonconformity is subject to the provisions of paragraphs (c), (d), and
(e) of this section;
(iii) The maximum amount of title IV-B and title IV-E funds to be
withheld due to the title IV-E agency's failure to comply on the third
and any subsequent full reviews following the first full review in which
the determination of nonconformity was made is 42 percent of the funds
described in paragraph (b)(4) of this section for each year to which the
withholding of funds applies.
(c) Suspension of withholding. (1) For title IV-E agencies
determined not to be operating in substantial conformity, ACF will
suspend the withholding of the title IV-E agencies' title IV-B and title
IV-E funds during the time that a program improvement plan is in effect,
provided that:
(i) The program improvement plan conforms to the provisions of Sec.
1355.35 of this part; and
(ii) The title IV-E agency is actively implementing the provisions
of the program improvement plan.
(2) Suspension of the withholding of funds is limited to three years
following each review, or the amount of time approved for implementation
of the program improvement plan, whichever is less.
(d) Terminating the withholding of funds. For title IV-E agencies
determined not to be in substantial conformity, ACF will terminate the
withholding of the title IV-E agency's title IV-B and title IV-E funds
related to the nonconformity upon determination by the title IV-E agency
and ACF that the title IV-E agency has achieved substantial conformity
or has successfully completed a program improvement plan. ACF will
rescind the withholding of the portion of title IV-B and title IV-E
funds related to specific goals or action steps as of the date at the
end of the quarter in which they were determined to have been achieved.
(e) Withholding of funds. (1) Title IV-E agencies determined not to
be in substantial conformity that fail to successfully complete a
program improvement plan will be notified by ACF of this final
determination of nonconformity in writing within 10 business days after
the relevant completion date specified in the plan, and advised of the
amount of title IV-B and title IV-E funds which are to be withheld.
(2) Title IV-B and title IV-E funds will be withheld based on the
following:
(i) If the title IV-E agency fails to submit status reports in
accordance with Sec. 1355.35(d)(4), or if such reports indicate that
the title IV-E agency is not making satisfactory progress toward
achieving goals or actions steps, funds will be withheld at that time
for a period beginning October 1 of the fiscal year for which the
determination of nonconformity was made and ending on the specified
completion date for the affected goal or action step.
(ii) Funds related to goals and action steps that have not been
achieved by the specified completion date will be withheld at that time
for a period beginning October 1 of the fiscal year for which the
determination of nonconformity was made and ending on the completion
date of the affected goal or action step; and
(iii) The withholding of funds commensurate with the level of
nonconformity at the end of the program improvement plan will begin at
the latest completion date specified in the program improvement plan and
will continue until a subsequent full review determines the title IV-E
agency to be in substantial conformity or the title IV-E agency
successfully completes a program improvement plan developed as a result
of that subsequent full review.
(3) When the date the title IV-E agency is determined to be in
substantial conformity or to have successfully completed a program
improvement plan falls within a specific quarter, the amount of funds to
be withheld will be computed to the end of that quarter.

[[Page 342]]

(4) A title IV-E agency that refuses to participate in the
development or implementation of a program improvement plan, as required
by ACF, will be subject to the maximum increased withholding of 42
percent of its title IV-B and title IV-E funds, as described in
paragraph (b)(8) of this section, for each year or portion thereof to
which the withholding of funds applies.
(5) The title IV-E agency will be liable for interest on the amount
of funds withheld by the Department, in accordance with the provisions
of 45 CFR 30.18.

[65 FR 4081, Jan. 25, 2000, as amended at 66 FR 58675, Nov. 23, 2001; 77
FR 930, Jan. 6, 2012]

Sec. 1355.37 Opportunity for public inspection of review reports
and materials.

The title IV-E agency must make available for public review and
inspection all statewide or Tribal assessments (Sec. 1355.33(b)),
report of findings (Sec. 1355.33(e)), and program improvement plans
(Sec. 1355.35(a)) developed as a result of a full or partial child and
family services review.

[77 FR 931, Jan. 6, 2012]

Sec. 1355.38 Enforcement of section 471(a)(18) of the Act regarding
the removal of barriers to interethnic adoption.

(a) Determination that a violation has occurred in the absence of a
court finding. (1) If ACF becomes aware of a possible section 471(a)(18)
violation, whether in the course of a child and family services review,
the filing of a complaint, or through some other mechanism, it will
refer such a case to the Department's Office for Civil Rights (OCR) for
investigation.
(2) Based on the findings of the OCR investigation, ACF will
determine if a violation of section 471(a)(18) has occurred. A section
471(a)(18) violation occurs if a title IV-E agency or an entity in the
State/Tribe:
(i) Has denied to any person the opportunity to become an adoptive
or foster parent on the basis of the race, color, or national origin of
the person, or of the child, involved;
(ii) Has delayed or denied the placement of a child for adoption or
into foster care on the basis of the race, color, or national origin of
the adoptive or foster parent, or the child involved; or,
(iii) With respect to a title IV-E agency, maintains any statute,
regulation, policy, procedure, or practice that on its face, is a
violation as defined in paragraphs (a)(2)(i) and (2)(ii) of this
section.
(3) ACF will provide the title IV-E agency or entity with written
notification of its determination.
(4) If there has been no violation, there will be no further action.
If ACF determines that there has been a violation of section 471(a)(18),
it will take enforcement action as described in this section.
(5) Compliance with the Indian Child Welfare Act of 1978 (Pub. L.
95-608) does not constitute a violation of section 471(a)(18).
(b) Corrective action and penalties for violations with respect to a
person or based on a court finding. (1) A title IV-E agency or entity
found to be in violation of section 471(a)(18) of the Act with respect
to a person, as described in paragraphs (a)(2)(i) and (a)(2)(ii) of this
section, will be penalized in accordance with paragraph (g)(2) of this
section. A title IV-E agency or entity determined to be in violation of
section 471(a)(18) of the Act as a result of a court finding will be
penalized in accordance with paragraph (g)(4) of this section. The title
IV-E agency may develop, obtain approval of, and implement a plan of
corrective action any time after it receives written notification from
ACF that it is in violation of section 471(a)(18) of the Act.
(2) Corrective action plans are subject to ACF approval.
(3) If the corrective action plan does not meet the provisions of
paragraph (d) of this section, the title IV-E agency must revise and
resubmit the plan for approval until it has an approved plan.
(4) A title IV-E agency or entity found to be in violation of
section 471(a)(18) of the Act by a court must notify ACF within 30 days
from the date of entry of the final judgment once all appeals have been
exhausted, declined, or the appeal period has expired.
(c) Corrective action for violations resulting from a title IV-E
agency's statute,

[[Page 343]]

regulation, policy, procedure, or practice. (1) A title IV-E agency
found to have committed a violation of the type described in paragraph
(a)(2)(iii) of this section must develop and submit a corrective action
plan within 30 days of receiving written notification from ACF that it
is in violation of section 471(a)(18). Once the plan is approved the
title IV-E agency will have to complete the corrective action and come
into compliance. If the title IV-E agency fails to complete the
corrective action plan within six months and come into compliance, a
penalty will be imposed in accordance with paragraph (g)(3) of this
section.
(2) Corrective action plans are subject to ACF approval.
(3) If the corrective action plan does not meet the provisions of
paragraph (d) of this section, the title IV-E agency must revise and
resubmit the plan within 30 days from the date it receives a written
notice from ACF that the plan has not been approved. If the title IV-E
agency does not submit a revised corrective action plan according to the
provisions of paragraph (d) of this section, withholding of funds
pursuant to the provisions of paragraph (g) of this section will apply.
(d) Contents of a corrective action plan. A corrective action plan
must:
(1) Identify the issues to be addressed;
(2) Set forth the steps for taking corrective action;
(3) Identify any technical assistance needs and Federal and non-
Federal sources of technical assistance which will be used to complete
the action steps; and,
(4) Specify the completion date. This date will be no later than 6
months from the date ACF approves the corrective action plan.
(e) Evaluation of corrective action plan. ACF will evaluate
corrective action plans and notify the title IV-E agency (in writing) of
its success or failure to complete the plan within 30 calendar days. If
the title IV-E agency has failed to complete the corrective action plan,
ACF will calculate the amount of reduction in the title IV-E agency's
title IV-E payment and include this information in the written
notification of failure to complete the plan.
(f) Funds to be withheld. The term ``title IV-E funds'' refers to
the amount of Federal funds advanced or paid to the title IV-E agency
for allowable costs incurred by a title IV-E agency for: foster care
maintenance payments, adoption assistance payments, administrative
costs, and training costs under title IV-E and includes the title IV-E
agency's allotment for the Chafee Foster Care Independence Program under
section 477 of the Act.
(g) Reduction of title IV-E funds. (1) Title IV-E funds shall be
reduced in specified amounts in accordance with paragraph (h) of this
section under the following circumstances:
(i) A determination that a title IV-E agency or entity is in
violation of section 471(a)(18) of the Act with respect to a person as
described in paragraphs (a)(2)(i) and (a)(2)(ii) of this section, or:
(ii) After a title IV-E agency's failure to implement and complete a
corrective action plan and come into compliance as described in
paragraph (c) of this section.
(2) Once ACF notifies a title IV-E agency (in writing) that it has
committed a section 471(a)(18) violation with respect to a person, the
title IV-E agency's title IV-E funds will be reduced for the fiscal
quarter in which the title IV-E agency received written notification and
for each succeeding quarter within that fiscal year or until the title
IV-E agency completes a corrective action plan and comes into
compliance, whichever is earlier. Once ACF notifies an entity (in
writing) that it has committed a section 471(a)(18) violation with
respect to a person, the entity must remit to the Secretary all title
IV-E funds paid to it by the title IV-E agency during the quarter in
which the entity is notified of the violation.
(3) For title IV-E agencies that fail to complete a corrective
action plan within 6 months, title IV-E funds will be reduced by ACF for
the fiscal quarter in which the title IV-E agency received notification
of its violation. The reduction will continue for each succeeding
quarter within that fiscal year or until the title IV-E agency completes
the corrective action plan and comes into compliance, whichever is
earlier.

[[Page 344]]

(4) If, as a result of a court finding, a title IV-E agency or
entity is determined to be in violation of section 471(a)(18) of the
Act, ACF will assess a penalty without further investigation. Once the
title IV-E agency is notified (in writing) of the violation, its title
IV-E funds will be reduced for the fiscal quarter in which the court
finding was made and for each succeeding quarter within that fiscal year
or until the title IV-E agency completes a corrective action plan and
comes into compliance, whichever is sooner. Once an entity is notified
(in writing) of the violation, the entity must remit to the Secretary
all title IV-E funds paid to it by the title IV-E agency during the
quarter in which the court finding was made.
(5) The maximum number of quarters that a title IV-E agency will
have its title IV-E funds reduced due to a finding of a title IV-E
agency's failure to conform to section 471(a)(18) of the Act is limited
to the number of quarters within the fiscal year in which a
determination of nonconformity was made. However, an uncorrected
violation may result in a subsequent review, another finding, and
additional penalties.
(6) No penalty will be imposed for a court finding of a violation of
section 471(a)(18) until the judgement is final and all appeals have
been exhausted, declined, or the appeal period has expired.
(h) Determination of the amount of reduction of Federal funds. ACF
will determine the reduction in title IV-E funds due to a section
471(a)(18) violation in accordance with section 474(d)(1) and (2) of the
Act.
(1) Title IV-E agencies that violate section 471(a)(18) with respect
to a person or fail to implement or complete a corrective action plan as
described in paragraph (c) of this section will be subject to a penalty.
The penalty structure will follow section 474(d)(1) of the Act.
Penalties will be levied for the quarter of the fiscal year in which the
title IV-E agency is notified of its section 471(a)(18) violation, and
for each succeeding quarter within that fiscal year until the title IV-E
agency comes into compliance with section 471(a)(18). The reduction in
title IV-E funds will be computed as follows:
(i) 2 percent of the title IV-E agency's title IV-E funds for the
fiscal year quarter, as defined in paragraph (f) of this section, for
the first finding of noncompliance in that fiscal year;
(ii) 3 percent of the title IV-E agency's title IV-E funds for the
fiscal year quarter, as defined in paragraph (f) of this section, for
the second finding of noncompliance in that fiscal year;
(iii) 5 percent of the title IV-E agency's title IV-E funds for the
fiscal year quarter, as defined in paragraph (f) of this section, for
the third or subsequent finding of noncompliance in that fiscal year.
(2) Any entity (other than the title IV-E agency) which violates
section 471(a)(18) of the Act during a fiscal quarter must remit to the
Secretary all title IV-E funds paid to it by the title IV-E agency in
accordance with the procedures in paragraphs (g)(2) or (g)(4) of this
section.
(3) No fiscal year payment to a title IV-E agency will be reduced by
more than 5 percent of its title IV-E funds, as defined in paragraph (f)
of this section, where the title IV-E agency has been determined to be
out of compliance with section 471(a)(18) of the Act.
(4) The title IV-E agency or an entity, as applicable, will be
liable for interest on the amount of funds reduced by the Department, in
accordance with the provisions of 45 CFR 30.18.
(This requirement has been approved by the Office of Management and
Budget under OMB Control Number 0970-0214. In accordance with the
Paperwork Reduction Act of 1995, an agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a currently valid OMB control number.)

[65 FR 4082, Jan. 25, 2000, as amended at 66 FR 58676, Nov. 23, 2001; 77
FR 931, Jan. 6, 2012]

Sec. 1355.39 Administrative and judicial review.

A title IV-E agency determined not to be in substantial conformity
with titles IV-B and IV-E plan requirements, or a title IV-E agency or
an entity in violation of section 471(a)(18) of the Act:
(a) May appeal, pursuant to 45 CFR part 16, the final determination
and

[[Page 345]]

any subsequent withholding of, or reduction in, funds to the HHS
Departmental Appeals Board within 60 days after receipt of a notice of
nonconformity described in Sec. 1355.36(e)(1) of this part, or receipt
of a notice of noncompliance by ACF as described in Sec. 1355.38(a)(3)
of this part; and
(b) Will have the opportunity to obtain judicial review of an
adverse decision of the Departmental Appeals Board within 60 days after
the title IV-E agency or entity receives notice of the decision by the
Board. Appeals of adverse Department Appeals Board decisions must be
made to the district court of the United States for the judicial
district in which the principal or headquarters office of the agency
responsible for administering the program is located.
(c) The procedure described in paragraphs (a) and (b) of this
section will not apply to a finding that a title IV-E agency or an
entity has been determined to be in violation of section 471(a)(18)
which is based on a judicial decision.

[65 FR 4083, Jan. 25, 2000, as amended at 77 FR 932, Jan. 6, 2012]

Sec. 1355.40 [Reserved]

Sec. 1355.41 Scope of the Adoption and Foster Care Analysis
and Reporting System.

(a) This section applies to state and tribal title IV-E agencies
unless indicated for state title IV-E agencies only.
(b) An agency described in paragraph (a) of this section must report
information on the characteristics and experiences of a child in the
reporting populations described in Sec. 1355.42. The title IV-E agency
must submit the information collected to ACF on a semi-annual basis in
an out-of-home care data file and adoption assistance data file as
required in Sec. 1355.43, pertaining to information described in
Sec. Sec. 1355.44 and 1355.45 and in a format according to ACF's
specifications.

[81 FR 90569, Dec. 14, 2016, as amended at 85 FR 28424, May 12, 2020]

Sec. 1355.42 Reporting populations.

(a) Out-of-home care reporting population. (1) A title IV-E agency
must report a child of any age who is in out-of-home care for more than
24 hours. The out-of-home care reporting population includes a child in
the following situations:
(i) A child in foster care as defined in Sec. 1355.20.
(ii) A child on whose behalf title IV-E foster care maintenance
payments are made and who is under the placement and care responsibility
of another public agency or an Indian tribe, tribal organization or
consortium with which the title IV-E agency has an agreement pursuant to
section 472(a)(2)(B)(ii) of the Act.
(iii) A child who runs away or whose whereabouts are unknown at the
time the child is placed under the placement and care responsibility of
the title IV-E agency.
(2) Once a child enters the out-of-home care reporting population,
the child remains in the out-of-home care reporting population through
the end of the report period in which the title IV-E agency's placement
and care responsibility ends, or a child's title IV-E foster care
maintenance payment pursuant to a title IV-E agreement per section
472(a)(2) of the Act ends, regardless of any subsequent living
arrangement.
(b) Adoption and guardianship assistance reporting population. (1)
The title IV-E agency must include in the adoption and guardianship
assistance reporting population any child who is:
(i) In a finalized adoption under a title IV-E adoption assistance
agreement pursuant to section 473(a) of the Act with the reporting title
IV-E agency that is or was in effect at some point during the current
report period; or
(ii) In a legal guardianship under a title IV-E guardianship
assistance agreement pursuant to section 473(d) of the Act with the
reporting title IV-E agency that is or was in effect at some point
during the current report period.
(2) A child remains in the adoption or guardianship assistance
reporting population through the end of the report period in which the
title IV-E agreement ends or is terminated.

[81 FR 90569, Dec. 14, 2016]

[[Page 346]]

Sec. 1355.43 Data reporting requirements.

(a) Report periods and deadlines. There are two six-month report
periods based on the Federal fiscal year: October 1 to March 31 and
April 1 to September 30. The title IV-E agency must submit the out-of-
home care and adoption assistance data files to ACF within 45 days of
the end of the report period (i.e., by May 15 and November 14). If the
reporting deadline falls on a weekend, the title IV-E agency has through
the end of the following Monday to submit the data file.
(b) Out-of-home care data file. A title IV-E agency must report the
information required in Sec. 1355.44 pertaining to each child in the
out-of-home care reporting population, in accordance with the following:
(1) The title IV-E agency must report the most recent information
for the applicable data elements in Sec. 1355.44(a) and (b).
(2) Except as provided in paragraph (b)(3) of this section, the
title IV-E agency must report the most recent information and all
historical information for the applicable data elements described in
Sec. 1355.44(c) through (h).
(3) For a child who had an out-of-home care episode(s) as defined in
Sec. 1355.42(a) prior to October 1, 2022, the title IV-E agency must
report only the information for the data described in Sec.
1355.44(d)(1) and (g)(1) and (3) for the out-of-home care episode(s)
that occurred prior to October 1, 2022.
(c) Adoption and guardianship assistance data file. A title IV-E
agency must report the most recent information for the applicable data
elements in Sec. 1355.45 that pertains to each child in the adoption
and guardianship assistance reporting population on the last day of the
report period.
(d) Missing information. If the title IV-E agency fails to collect
the information for a data element, the title IV-E agency must report
the element as blank or otherwise missing. The title IV-E agency is not
permitted to default or map missing information that was not collected
to a valid response option.
(e) Electronic submission. The title IV-E agency must submit the
required data files electronically and in a format according to ACF's
specifications.
(f) Record retention. The title IV-E agency must retain all records
necessary to comply with the data requirements in Sec. Sec. 1355.41
through 1355.45. The title IV-E agency's retention of such records is
not limited to the requirements of 45 CFR 92.42(b) and (c).

[81 FR 90569, Dec. 14, 2016, as amended at 85 FR 28424, May 12, 2020]

Sec. 1355.44 Out-of-home care data file elements.

(a) General information--(1) Title IV-E agency. Indicate the title
IV-E agency responsible for submitting the Adoption and Foster Care
Analysis and Reporting System (AFCARS) data in a format according to
ACF's specifications.
(2) Report date. The report date corresponds with the end of the
report period. Indicate the last month and the year of the report
period.
(3) Local agency. Indicate the local county, jurisdiction, or
equivalent unit that has primary responsibility for the child in a
format according to ACF's specifications.
(4) Child record number. Indicate the child's record number. This is
an encrypted, unique person identification number that is the same for
the child, no matter where the child lives while in the placement and
care responsibility of the title IV-E agency in out-of-home care and
across all report periods and episodes. The title IV-E agency must apply
and retain the same encryption routine or method for the person
identification number across all report periods. The record number must
be encrypted in accordance with ACF standards.
(b) Child information--(1) Child's date of birth. Indicate the
month, day and year of the child's birth. If the actual date of birth is
unknown because the child has been abandoned, provide an estimated date
of birth. ``Abandoned'' means that the child was left alone or with
others and the identity of the parent(s) or legal guardian(s) is unknown
and cannot be ascertained. This includes a child left at a ``safe
haven.''
(2) Child's sex. Indicate whether the child is ``male'' or
``female.''
(3) Reason to know a child is an ``Indian Child'' as defined in the
Indian Child Welfare Act (ICWA). For state

[[Page 347]]

title IV-E agencies only: Indicate whether the state title IV-E agency
made inquiries whether the child is an Indian child as defined in ICWA.
Indicate ``yes'' or ``no.''
(4) Child's tribal membership. For state title IV-E agencies only:
(i) Indicate whether the child is a member of or eligible for
membership in a federally recognized Indian tribe. Indicate ``yes,''
``no,'' or ``unknown''.
(ii) If the state title IV-E agency indicated ``yes'' in paragraph
(b)(4)(i) of this section, indicate all federally recognized Indian
tribe(s) that may potentially be the Indian child's tribe(s). The title
IV-E agency must submit the information in a format according to ACF's
specifications.
(5) Application of ICWA. For state title IV-E agencies only:
(i) Indicate whether ICWA applies for the child. Indicate ``yes,''
``no,'' or ``unknown''.
(ii) If the state title IV-E agency indicated ``yes'' in paragraph
(b)(5)(i) of this section, indicate the date that the state title IV-E
agency was notified by the Indian tribe or state or tribal court that
ICWA applies.
(6) Notification. For state title IV-E agencies only: If the state
title IV-E agency indicated ``yes'' to paragraph (b)(5)(i) of this
section, the state title IV-E agency must indicate whether the Indian
child's tribe(s) was sent legal notice in accordance with 25 U.S.C.
1912(a). Indicate ``yes'' or ``no.''
(7) Child's race. In general, a child's race is determined by the
child, the child's parent(s) or legal guardian(s). Indicate whether each
race category listed in paragraphs (b)(7)(i) through (viii) of this
section applies with a ``yes'' or ``no.''
(i) Race--American Indian or Alaska Native. An American Indian or
Alaska Native child has origins in any of the original peoples of North
or South America (including Central America), and maintains tribal
affiliation or community attachment.
(ii) Race--Asian. An Asian child has origins in any of the original
peoples of the Far East, Southeast Asia or the Indian subcontinent
including, for example, Cambodia, China, India, Japan, Korea, Malaysia,
Pakistan, the Philippine Islands, Thailand and Vietnam.
(iii) Race--Black or African American. A Black or African American
child has origins in any of the black racial groups of Africa.
(iv) Race--Native Hawaiian or Other Pacific Islander. A Native
Hawaiian or Other Pacific Islander child has origins in any of the
original peoples of Hawaii, Guam, Samoa or other Pacific Islands.
(v) Race--White. A white child has origins in any of the original
peoples of Europe, the Middle East or North Africa.
(vi) Race--unknown. The child or parent or legal guardian does not
know, or is unable to communicate the race, or at least one race of the
child. This category does not apply when the child has been abandoned or
the parents failed to return and the identity of the child, parent(s),
or legal guardian(s) is known.
(vii) Race--abandoned. The child's race is unknown because the child
has been abandoned. ``Abandoned'' means that the child was left alone or
with others and the identity of the parent(s) or legal guardian(s) is
unknown and cannot be ascertained. This includes a child left at a
``safe haven.''
(viii) Race--declined. The child or parent(s) or legal guardian(s)
has declined to identify a race.
(8) Child's Hispanic or Latino ethnicity. In general, a child's
ethnicity is determined by the child or the child's parent(s) or legal
guardian(s). A child is of Hispanic or Latino ethnicity if the child is
a person of Cuban, Mexican, Puerto Rican, South or Central American or
other Spanish culture or origin, regardless of race. Indicate whether
this category applies with a ``yes'' or ``no.'' If the child or the
child's parent(s) or legal guardian(s) does not know or is unable to
communicate whether the child is of Hispanic or Latino ethnicity,
indicate ``unknown.'' If the child is abandoned indicate ``abandoned.''
Abandoned means that the child was left alone or with others and the
identity of the parent(s) or legal guardian(s) is unknown and cannot be
ascertained. This includes a child left at a ``safe haven.'' If the
child or the child's parent(s) or legal guardian(s) refuses to identify
the child's ethnicity, indicate ``declined.''

[[Page 348]]

(9) Health assessment. Indicate whether the child had a health
assessment during the current out-of-home care episode. This assessment
could include an initial health screening or any follow-up health
screening pursuant to section 422(b)(15)(A) of the Act. Indicate ``yes''
or ``no.''
(10) Health, behavioral or mental health conditions. Indicate
whether the child was diagnosed by a qualified professional, as defined
by the state or tribe, as having a health, behavioral or mental health
condition, prior to or during the child's current out-of-home care
episode as of the last day of the report period. Indicate ``child has a
diagnosed condition'' if a qualified professional has made such a
diagnosis and for each paragraph (b)(10)(i) through (xi) of this
section, indicate ``existing condition,'' ``previous condition'' or
``does not apply,'' as applicable. ``Previous condition'' means a
previous diagnoses that no longer exists as a current condition.
Indicate ``no exam or assessment conducted'' if a qualified professional
has not conducted a medical exam or assessment of the child and leave
paragraphs (b)(10)(i) through (xi) of this section blank. Indicate
``exam or assessment conducted and none of the conditions apply'' if a
qualified professional has conducted a medical exam or assessment and
has concluded that the child does not have one of the conditions listed
and leave paragraphs (b)(10)(i) through (xi) of this section blank.
Indicate ``exam or assessment conducted but results not received'' if a
qualified professional has conducted a medical exam or assessment but
the title IV-E agency has not yet received the results of such an exam
or assessment and leave paragraphs (b)(10)(i) through (xi) of this
section blank.
(i) Intellectual disability. The child has, or had previously,
significantly sub-average general cognitive and motor functioning
existing concurrently with deficits in adaptive behavior manifested
during the developmental period that adversely affect the child's
socialization and learning.
(ii) Autism spectrum disorder. The child has, or had previously, a
neurodevelopment disorder, characterized by social impairments,
communication difficulties, and restricted, repetitive, and stereotyped
patterns of behavior. This includes the range of disorders from autistic
disorder, sometimes called autism or classical autism spectrum disorder,
to milder forms known as Asperger syndrome and pervasive developmental
disorder not otherwise specified.
(iii) Visual impairment and blindness. The child has, or had
previously, a visual impairment that may adversely affect the day-to-day
functioning or educational performance, such as blindness, amblyopia, or
color blindness.
(iv) Hearing impairment and deafness. The child has, or had
previously, an impairment in hearing, whether permanent or fluctuating,
that adversely affects the child's day-to-day functioning and
educational performance.
(v) Orthopedic impairment or other physical condition. The child
has, or had previously, a physical deformity, such as amputations and
fractures or burns that cause contractures, or an orthopedic impairment,
including impairments caused by a congenital anomalies or disease, such
as cerebral palsy, spina bifida, multiple sclerosis, or muscular
dystrophy.
(vi) Mental/emotional disorders. The child has, or had previously,
one or more mood or personality disorders or conditions over a long
period of time and to a marked degree, such as conduct disorder,
oppositional defiant disorder, emotional disturbance, anxiety disorder,
obsessive-compulsive disorder, or eating disorder.
(vii) Attention deficit hyperactivity disorder. The child has, or
had previously, a diagnosis of the neurobehavioral disorders of
attention deficit hyperactivity disorder (ADHD) or attention deficit
disorder (ADD).
(viii) Serious mental disorders. The child has, or had previously, a
diagnosis of a serious mental disorder or illness, such as bipolar
disorder, depression, psychotic disorders, or schizophrenia.
(ix) Developmental delay. The child has been assessed by appropriate
diagnostic instruments and procedures and is experiencing delays in one
or more of the following areas: Physical development or motor skills,
cognitive development, communication, language,

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or speech development, social or emotional development, or adaptive
development.
(x) Developmental disability. The child has, or had previously been
diagnosed with a developmental disability as defined in the
Developmental Disabilities Assistance and Bill of Rights Act of 2000
(Pub. L. 106-402), section 102(8). This means a severe, chronic
disability of an individual that is attributable to a mental or physical
impairment or combination of mental and physical impairments that
manifests before the age of 22, is likely to continue indefinitely and
results in substantial functional limitations in three or more areas of
major life activity. Areas of major life activity include self-care,
receptive and expressive language, learning, mobility, self-direction,
capacity for independent living, economic self-sufficiency, and reflects
the individual's need for a combination and sequence of special,
interdisciplinary, or generic services, individualized supports or other
forms of assistance that are of lifelong or extended duration and are
individually planned and coordinated. If a child is given the diagnosis
of ``developmental disability,'' do not indicate the individual
conditions that form the basis of this diagnosis separately in other
data elements.
(xi) Other diagnosed condition. The child has, or had previously, a
diagnosed condition or other health impairment other than those
described in paragraphs (b)(10)(i) through (x) of this section, which
requires special medical care, such as asthma, diabetes, chronic
illnesses, a diagnosis as HIV positive or AIDS, epilepsy, traumatic
brain injury, other neurological disorders, speech/language impairment,
learning disability, or substance use issues.
(11) School enrollment. Indicate whether the child is a full-time
student at, and enrolled in (or in the process of enrolling in),
``elementary'' or ``secondary'' education, or is a full or part-time
student at and enrolled in a ``post-secondary education or training'' or
``college,'' as of the earlier of the last day of the report period or
the day of exit for a child exiting out-of-home care prior to the end of
the report period. A child is still considered enrolled in school if the
child would otherwise be enrolled in a school that is currently out of
session. An ``elementary or secondary school student'' is defined in
section 471(a)(30) of the Act as a child that is enrolled (or in the
process of enrolling) in an institution which provides elementary or
secondary education, as determined under the law of the state or other
jurisdiction in which the institution is located, instructed in
elementary or secondary education at home in accordance with a home
school law of the state or other jurisdiction in which the home is
located, in an independent study elementary or secondary education
program in accordance with the law of the state or other jurisdiction in
which the program is located, which is administered by the local school
or school district, or incapable of attending school on a full-time
basis due to the medical condition of the child, which incapability is
supported by a regularly updated information in the case plan of the
child. Enrollment in ``post-secondary education or training'' refers to
full or part-time enrollment in any post-secondary education or
training, other than an education pursued at a college or university.
Enrollment in ``college'' refers to a child that is enrolled full or
part-time at a college or university. If child has not reached
compulsory school age, indicate ``not school-age.'' If the child has
reached compulsory school-age, but is not enrolled or is in the process
of enrolling in any school setting full-time, indicate ``not enrolled.''
(12) Educational level. Indicate the highest educational level from
kindergarten to college or post-secondary education/training completed
by the child as of the last day of the report period. If child has not
reached compulsory school-age, indicate ``not school-age.'' Indicate
``kindergarten'' if the child is currently in or about to begin 1st
grade. Indicate ``1st grade'' if the child is currently in or about to
begin 2nd grade. Indicate ``2nd grade'' if the child is currently in or
about to begin 3rd grade. Indicate ``3rd grade'' if the child is
currently in or about to begin 4th grade. Indicate ``4th grade'' if the
child is currently in or about to begin 5th grade. Indicate ``5th
grade'' if the child is currently in or about to begin 6th grade.
Indicate ``6th grade'' if the

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child is currently in or about to begin 7th grade. Indicate ``7th
grade'' if the child is currently in or about to begin 8th grade.
Indicate ``8th grade'' if the child is currently in or about to begin
9th grade. Indicate ``9th grade'' if the child is currently in or about
to begin 10th grade. Indicate ``10th grade'' if the child is currently
in or about to begin 11th grade. Indicate ``11th grade'' if the child is
currently in or about to begin 12th grade. Indicate ``12th grade'' if
the child has graduated from high school. Indicate ``GED'' if the child
has completed a general equivalency degree or other high school
equivalent. Indicate ``Post-secondary education or training'' if the
child has completed any post-secondary education or training, including
vocational training, other than an education pursued at a college or
university. Indicate ``College'' if the child has completed at least a
semester of study at a college or university.
(13) Pregnant or parenting. (i) Indicate whether the child is
pregnant as of the end of the report period. Indicate ``yes'' or ``no.''
(ii) Indicate whether the child has ever fathered or bore a child.
Indicate ``yes'' or ``no.''
(iii) Indicate whether the child and his/her child(ren) are placed
together at any point during the report period, if the response in
paragraph (b)(13)(ii) of this section is ``yes.'' Indicate ``yes,''
``no,'' or ``not applicable'' if the response in paragraph (b)(13)(ii)
of this section is ``no.''
(14) Special education. Indicate whether the child has an
Individualized Education Program (IEP) as defined in section 614(d)(1)
of Part B of Title I of the Individuals with Disabilities Education Act
(IDEA) and implementing regulations, or an Individualized Family Service
Program (IFSP) as defined in section 636 of Part C of Title I of IDEA
and implementing regulations, as of the end of the report period.
Indicate ``yes'' if the child has either an IEP or an IFSP or ``no'' if
the child has neither.
(15) Prior adoption. Indicate whether the child experienced a prior
legal adoption before the current out-of-home care episode. Include any
public, private or independent adoption in the United States or adoption
in another country and tribal customary adoptions. Indicate ``yes,''
``no'' or ``abandoned'' if the information is unknown because the child
has been abandoned. ``Abandoned'' means that the child was left alone or
with others and the identity of the parent(s) or legal guardian(s) is
unknown and cannot be ascertained. This includes a child left at a
``safe haven.'' If the child has experienced a prior legal adoption, the
title IV-E agency must complete paragraphs (b)(15)(i) and (ii) of this
section; otherwise the title IV-E agency must leave those paragraphs
blank.
(i) Prior adoption date. Indicate the month and year that the most
recent prior adoption was finalized. In the case of a prior intercountry
adoption where the adoptive parent(s) readopted the child in the United
States, the title IV-E agency must provide the date of the adoption
(either the original adoption in the home country or the re-adoption in
the United States) that is considered final in accordance with
applicable laws.
(ii) Prior adoption intercountry. Indicate whether the child's most
recent prior adoption was an intercountry adoption, meaning that the
child's prior adoption occurred in another country or the child was
brought into the United States for the purposes of finalizing the prior
adoption. Indicate ``yes'' or ``no.''
(16) Prior guardianship general--(i) Prior guardianship. Indicate
whether the child experienced a prior legal guardianship before the
current out-of-home care episode. Include any public, private or
independent guardianship(s) in the United States that meets the
definition in section 475(7) of the Act. This includes any judicially
created relationship between a child and caretaker which is intended to
be permanent and self-sustaining, as evidenced by the transfer to the
caretaker of the following parental rights with respect to the child:
Protection, education, care and control, custody, and decision making.
Indicate ``yes,'' ``no,'' or ``abandoned'' if the information is unknown
because the child has been abandoned. ``Abandoned'' means that the child
was left alone or with others and the identity of the parent(s) or

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legal guardian(s) is unknown and cannot be ascertained. This includes a
child left at a ``safe haven.'' If the child has experienced a prior
legal guardianship, the title IV-E agency must complete paragraph
(b)(16)(ii) of this section; otherwise the title IV-E agency must leave
it blank.
(ii) Prior guardianship date. Indicate the month and year that the
most recent prior guardianship became legalized.
(17) Child financial and medical assistance. Indicate whether the
child received financial and medical assistance at any point during the
six-month report period. Indicate ``child has received support/
assistance'' if the child was the recipient of such assistance during
the report period, and indicate which of the following sources of
support described in paragraphs (b)(17)(i) through (viii) of this
section ``applies'' or ``does not apply.'' Indicate ``no support/
assistance received'' if none of these apply.
(i) State/Tribal adoption assistance. The child is receiving an
adoption subsidy or other adoption assistance paid for solely by the
state or Indian tribe.
(ii) State/Tribal foster care. The child is receiving a foster care
payment that is solely funded by the state or Indian tribe.
(iii) Title IV-E adoption subsidy. The child is determined eligible
for a title IV-E adoption assistance subsidy.
(iv) Title IV-E guardianship assistance. The child is determined
eligible for a title IV-E guardianship assistance subsidy.
(v) Title IV-A TANF. The child is living with relatives who are
receiving a Temporary Assistance for Needy Families (TANF) cash
assistance payment on behalf of the child.
(vi) Title IV-B. The child's living arrangement is supported by
funds under title IV-B of the Act.
(vii) Chafee Program. The child is living independently and is
supported by funds under the John H. Chafee Foster Care Program for
Successful Transition to Adulthood.
(viii) Other. The child is receiving financial support from another
source not previously listed in paragraphs (b)(17)(i) through (vii) of
this section.
(18) Title IV-E foster care during report period. Indicate whether a
title IV-E foster care maintenance payment was paid on behalf of the
child at any point during the report period that is claimed under title
IV-E foster care with a ``yes'' or ``no,'' as appropriate. Indicate
``yes'' if the child has met all eligibility requirements of section
472(a) of the Act and the title IV-E agency has claimed, or intends to
claim, Federal reimbursement for foster care maintenance payments made
on the child's behalf during the report period.
(19) Total number of siblings. Indicate the total number of siblings
of the child. A sibling to the child is his or her brother or sister by
biological, legal, or marital connection. Do not include the child who
is subject of this record in the total number. If the child does not
have any siblings, the title IV-E agency must indicate ``0.'' If the
title IV-E agency indicates ``0,'' the title IV-E agency must leave
paragraphs (b)(20) and (21) of this section blank.
(20) Siblings in foster care. Indicate the number of siblings of the
child who are in foster care, as defined in Sec. 1355.20. A sibling to
the child is his or her brother or sister by biological, legal, or
marital connection. Do not include the child who is subject of this
record in the total number. If the child does not have any siblings, the
title IV-E agency must leave this paragraph (b)(20) blank. If the child
has siblings, but they are not in foster care as defined in Sec.
1355.20, the title IV-E agency must indicate ``0.'' If the title IV-E
agency reported ``0,'' leave paragraph (b)(21) of this section blank.
(21) Siblings in living arrangement. Indicate the number of siblings
of the child who are in the same living arrangement as the child, on the
last day of the report period. A sibling to the child is his or her
brother or sister by biological, legal, or marital connection. Do not
include the child who is subject of this record in the total number. If
the child does not have any siblings, the title IV-E agency must leave
this paragraph (b)(21) blank. If the child has siblings, but they are
not in the same living arrangement as the

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child, the title IV-E agency must indicate ``0.''
(c) Parent or legal guardian information--(1) Year of birth of first
parent or legal guardian. If applicable, indicate the year of birth of
the first parent (biological, legal or adoptive) or legal guardian of
the child. To the extent that a child has both a parent and a legal
guardian, or two different sets of legal parents, the title IV-E agency
must report on those who had legal responsibility for the child. We are
not seeking information on putative parent(s) in this paragraph (c)(1).
If there is only one parent or legal guardian of the child, that
person's year of birth must be reported here. If the child was abandoned
indicate ``abandoned.'' ``Abandoned'' means that the child was left
alone or with others and the identity of the child's parent(s) or legal
guardian(s) is unknown and cannot be ascertained. This includes a child
left at a ``safe haven.''
(2) Year of birth of second parent or legal guardian. If applicable,
indicate the year of birth of the second parent (biological, legal or
adoptive) or legal guardian of the child. We are not seeking information
on putative parent(s) in this paragraph (c)(2). If the child was
abandoned, indicate ``abandoned.'' ``Abandoned'' means that the child
was left alone or with others and the identity of the child's parent(s)
or legal guardian(s) is unknown and cannot be ascertained. This includes
a child left at a ``safe haven.'' Indicate ``not applicable'' if there
is not another parent or legal guardian.
(3) Tribal membership mother. For state title IV-E agencies only:
Indicate whether the biological or adoptive mother is a member of an
Indian tribe. Indicate ``yes,'' ``no,'' or ``unknown.''
(4) Tribal membership father. For state title IV-E agencies only:
Indicate whether the biological or adoptive father is a member of an
Indian tribe. Indicate ``yes,'' ``no,'' or ``unknown.''
(5) Termination/modification of parental rights. Indicate whether
the termination/modification of parental rights for each parent
(biological, legal and/or putative) was voluntary or involuntary.
``Voluntary'' means the parent voluntarily relinquished their parental
rights to the title IV-E agency, with or without court involvement.
Indicate ``voluntary'' or ``involuntary.'' Indicate ``not applicable''
if there was no termination/modification and leave paragraphs (c)(5)(i)
and (ii) of this section blank.
(i) Termination/modification of parental rights petition. Indicate
the month, day and year that each petition to terminate/modify the
parental rights of a biological, legal and/or putative parent was filed
in court, if applicable. Indicate ``deceased'' if the parent is
deceased. If a petition has not been filed, leave this paragraph
(c)(5)(i) blank.
(ii) Termination/modification of parental rights. Enter the month,
day and year that the parental rights were voluntarily or involuntarily
terminated/modified, for each biological, legal and/or putative parent,
if applicable. If the parent is deceased, enter the date of death.
(d) Removal information--(1) Date of child's removal. Indicate the
removal date(s) in month, day and year format for each removal of a
child who enters the placement and care responsibility of the title IV-E
agency. For a child who is removed and is placed initially in foster
care, indicate the date that the title IV-E agency received placement
and care responsibility. For a child who ran away or whose whereabouts
are unknown at the time the child is removed and is placed in the
placement and care responsibility of the title IV-E agency, indicate the
date that the title IV-E agency received placement and care
responsibility. For a child who is removed and is placed initially in a
non-foster care setting, indicate the date that the child enters foster
care as the date of removal.
(2) Removal transaction date. A non-modifiable, computer-generated
date which accurately indicates the month, day and year each response to
paragraph (d)(1) of this section was entered into the information
system.
(3) Environment at removal. Indicate the type of environment
(household or facility) the child was living in at the time of each
removal for each removal reported in paragraph (d)(1) of this section.
Indicate ``parent household'' if the child was living in a household
that included one or both of the child's parents, whether biological,
adoptive or

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legal. Indicate ``relative household'' if the child was living with a
relative(s), the relative(s) is not the child's legal guardian and
neither of the child's parents were living in the household. Indicate
``legal guardian household'' if the child was living with a legal
guardian(s), the guardian(s) is not the child's relative and neither of
the child's parents were living in the household. Indicate ``relative
legal guardian household'' if the child was living with a relative(s)
who is also the child's legal guardian. Indicate ``justice facility'' if
the child was in a detention center, jail or other similar setting where
the child was detained. Indicate ``medical/mental health facility'' if
the child was living in a facility such as a medical or psychiatric
hospital or residential treatment center. Indicate ``other'' if the
child was living in another situation not so described, such as living
independently or homeless.
(4) Child and family circumstances at removal. Indicate all child
and family circumstances that were present at the time of the child's
removal and/or related to the child being placed into foster care for
each removal reported in paragraph (d)(1) of this section. Indicate
whether each circumstance described in paragraphs (d)(4)(i) through
(xxxiv) of this section ``applies'' or ``does not apply'' for each
removal indicated in paragraph (d)(1) of this section.
(i) Runaway. The child has left, without authorization, the home or
facility where the child was residing.
(ii) Whereabouts unknown. The child's whereabouts are unknown and
the title IV-E agency does not consider the child to have run away.
(iii) Physical abuse. Alleged or substantiated physical abuse,
injury or maltreatment of the child by a person responsible for the
child's welfare.
(iv) Sexual abuse. Alleged or substantiated sexual abuse or
exploitation of the child by a person who is responsible for the child's
welfare.
(v) Psychological or emotional abuse. Alleged or substantiated
psychological or emotional abuse, including verbal abuse, of the child
by a person who is responsible for the child's welfare.
(vi) Neglect. Alleged or substantiated negligent treatment or
maltreatment of the child, including failure to provide adequate food,
clothing, shelter, supervision or care by a person who is responsible
for the child's welfare.
(vii) Medical neglect. Alleged or substantiated medical neglect
caused by a failure to provide for the appropriate health care of the
child by a person who is responsible for the child's welfare, although
the person was financially able to do so, or was offered financial or
other means to do so.
(viii) Domestic violence. Alleged or substantiated violent act(s),
including any forceful detention of an individual that results in,
threatens to result in, or attempts to cause physical injury or mental
harm. This is committed by a person against another individual residing
in the child's home and with whom such person is in an intimate
relationship, dating relationship, is or was related by marriage, or has
a child in common. This circumstance includes domestic violence between
the child and his or her partner and applies to a child or youth of any
age including those younger and older than the age of majority. This
does not include alleged or substantiated maltreatment of the child by a
person who is responsible for the child's welfare.
(ix) Abandonment. The child was left alone or with others and the
parent or legal guardian's identity is unknown and cannot be
ascertained. This does not include a child left at a ``safe haven'' as
defined by the title IV-E agency. This category does not apply when the
identity of the parent(s) or legal guardian(s) is known.
(x) Failure to return. The parent, legal guardian or caretaker did
not or has not returned for the child or made his or her whereabouts
known. This category does not apply when the identity of the parent,
legal guardian or caretaker is unknown.
(xi) Caretaker's alcohol use. A parent, legal guardian or other
caretaker responsible for the child uses alcohol compulsively that is
not of a temporary nature.
(xii) Caretaker's drug use. A parent, legal guardian or other
caretaker responsible for the child uses drugs compulsively that is not
of a temporary nature.

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(xiii) Child alcohol use. The child uses alcohol.
(xiv) Child drug use. The child uses drugs.
(xv) Prenatal alcohol exposure. The child has been identified as
prenatally exposed to alcohol, resulting in fetal alcohol spectrum
disorders such as fetal alcohol exposure, fetal alcohol effect, or fetal
alcohol syndrome.
(xvi) Prenatal drug exposure. The child has been identified as
prenatally exposed to drugs.
(xvii) Diagnosed condition. The child has a clinical diagnosis by a
qualified professional of a health, behavioral or mental health
condition, such as one or more of the following: Intellectual
disability, emotional disturbance, specific learning disability,
hearing, speech or sight impairment, physical disability or other
clinically diagnosed condition.
(xviii) Inadequate access to mental health services. The child and/
or child's family has inadequate resources to access the necessary
mental health services outside of the child's out-of-home care
placement.
(xix) Inadequate access to medical services. The child and/or
child's family has inadequate resources to access the necessary medical
services outside of the child's out-of-home care placement.
(xx) Child behavior problem. The child's behavior in his or her
school and/or community adversely affects his or her socialization,
learning, growth and/or moral development. This includes all child
behavior problems, as well as adjudicated and non-adjudicated status or
delinquency offenses and convictions.
(xxi) Death of caretaker. Existing family stress in caring for the
child or an inability to care for the child due to the death of a
parent, legal guardian or other caretaker.
(xxii) Incarceration of caretaker. The child's parent, legal
guardian or caretaker is temporarily or permanently placed in jail or
prison which adversely affects his or her ability to care for the child.
(xxiii) Caretaker's significant impairment--physical/emotional. A
physical or emotional illness or disabling condition of the child's
parent, legal guardian or caretaker that adversely limits his or her
ability to care for the child.
(xxiv) Caretaker's significant impairment--cognitive. The child's
parent, legal guardian or caretaker has cognitive limitations that
impact his or her ability to function in areas of daily life, which
adversely affect his or her ability to care for the child. It also may
be characterized by a significantly below-average score on a test of
mental ability or intelligence.
(xxv) Inadequate housing. The child's or his or her family's housing
is substandard, overcrowded, unsafe or otherwise inadequate which
results in it being inappropriate for the child to reside.
(xxvi) Voluntary relinquishment for adoption. The child's parent has
voluntarily relinquished the child by assigning the physical and legal
custody of the child to the title IV-E agency, in writing, for the
purpose of having the child adopted. This includes a child left at a
``safe haven'' as defined by the title IV-E agency.
(xxvii) Child requested placement. The child, age 18 or older, has
requested placement into foster care.
(xxviii) Sex trafficking. The child is a victim of sex trafficking
at the time of removal.
(xxix) Parental immigration detainment or deportation. The parent is
or was detained or deported by immigration officials.
(xxx) Family conflict related to child's sexual orientation, gender
identity, or gender expression. There is family conflict related to the
child's expressed or perceived sexual orientation, gender identity, or
gender expression. This includes any conflict related to the ways in
which a child manifests masculinity or femininity.
(xxxi) Educational neglect. Alleged or substantiated failure of a
parent or caregiver to enroll a child of mandatory school age in school
or provide appropriate home schooling or needed special educational
training, thus allowing the child or youth to engage in chronic truancy.
(xxxii) Public agency title IV-E agreement. The child is in the
placement and care responsibility of another public agency that has an
agreement with the title IV-E agency pursuant to section

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472(a)(2)(B) of the Act and on whose behalf title IV-E foster care
maintenance payments are made.
(xxxiii) Tribal title IV-E agreement. The child is in the placement
and care responsibility of an Indian tribe, tribal organization or
consortium with which the title IV-E agency has an agreement and on
whose behalf title IV-E foster care maintenance payments are made.
(xxxiv) Homelessness. The child or his or her family has no regular
or adequate place to live. This includes living in a car, or on the
street, or staying in a homeless or other temporary shelter.
(5) Victim of sex trafficking prior to entering foster care.
Indicate whether the child had been a victim of sex trafficking before
the current out-of-home care episode. Indicate ``yes'' if the child was
a victim or ``no'' if the child had not been a victim.
(i) Report to law enforcement. If the title IV-E agency indicated
``yes'' in paragraph (d)(5) of this section, indicate whether the title
IV-E agency made a report to law enforcement for entry into the National
Crime Information Center (NCIC) database. Indicate ``yes'' if the agency
made a report to law enforcement and indicate ``no'' if the agency did
not make a report.
(ii) Date. If the title IV-E agency indicated ``yes'' in paragraph
(d)(5)(i) of this section, indicate the date that the agency made the
report to law enforcement.
(6) Victim of sex trafficking while in foster care. Indicate ``yes''
if the child was a victim of sex trafficking while in out-of-home care
during the current out-of-home care episode. Indicate ``no'' if the
child was not a victim of sex trafficking during the current out-of-home
care episode.
(i) Report to law enforcement. If the title IV-E agency indicated
``yes'' in paragraph (d)(6) of this section, indicate whether the agency
made a report to law enforcement for entry into the NCIC database.
Indicate ``yes'' if the title IV-E agency made a report(s) to law
enforcement and indicate ``no'' if the title IV-E agency did not make a
report.
(ii) Date. If the title IV-E agency indicated ``yes'' in paragraph
(d)(6)(i) of this section, indicate the date(s) the agency made the
report(s) to law enforcement.
(e) Living arrangement and provider information--(1) Date of living
arrangement. Indicate the month, day and year representing the first
date of placement in each of the child's living arrangements for each
out-of-home care episode. In the case of a child who has run away, whose
whereabouts are unknown, or who is already in a living arrangement and
remains there when the title IV-E agency receives placement and care
responsibility, indicate the date of the Voluntary Placement Agreement
or court order providing the title IV-E agency with placement and care
responsibility for the child, rather than the date when the child was
originally placed in the living arrangement.
(2) Foster family home. Indicate whether each of the child's living
arrangements is a foster family home, with a ``yes'' or ``no'' as
appropriate. If the child has run away or the child's whereabouts are
unknown, indicate ``no.'' If the title IV-E agency indicates that the
child is living in a foster family home, by indicating ``yes,'' the
title IV-E agency must complete paragraph (e)(3) of this section. If the
title IV-E agency indicates ``no,'' the title IV-E agency must complete
paragraph (e)(4) of this section.
(3) Foster family home type. If the title IV-E agency indicated that
the child is living in a foster family home in paragraph (e)(2) of this
section, indicate whether each foster family home type listed in
paragraphs (e)(3)(i) through (vi) of this section applies or does not
apply; otherwise the title IV-E agency must leave paragraph (e)(3)
blank.
(i) Licensed home. The child's living arrangement is licensed or
approved by the state or tribal licensing/approval authority.
(ii) Therapeutic foster family home. The home provides specialized
care and services.
(iii) Shelter care foster family home. The home is so designated by
the state or tribal licensing/approval authority, and is designed to
provide short-term or transitional care.
(iv) Relative foster family home. The foster parent(s) is related to
the child by biological, legal or marital connection and the relative
foster parent(s)

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lives in the home as his or her primary residence.
(v) Pre-adoptive home. The home is one in which the family and the
title IV-E agency have agreed on a plan to adopt the child.
(vi) Kin foster family home. The home is one in which there is a kin
relationship as defined by the title IV-E agency, such as one where
there is a psychological, cultural or emotional relationship between the
child or the child's family and the foster parent(s) and there is not a
legal, biological, or marital connection between the child and foster
parent.
(4) Other living arrangement type. If the title IV-E agency
indicated that the child's living arrangement is other than a foster
family home in paragraph (e)(2) of this section, indicate the type of
setting; otherwise the title IV-E agency must leave this paragraph
(e)(4) blank. Indicate ``group home-family operated'' if the child is in
a group home that provides 24-hour care in a private family home where
the family members are the primary caregivers. Indicate ``group home-
staff operated'' if the child is in a group home that provides 24-hour
care for children where the care-giving is provided by shift or rotating
staff. Indicate ``group home-shelter care'' if the child is in a group
home that provides 24-hour care which is short-term or transitional in
nature, and is designated by the state or tribal licensing/approval
authority to provide shelter care. Indicate ``residential treatment
center'' if the child is in a facility that has the purpose of treating
children with mental health or behavioral conditions or if the child is
placed with a parent who is in a licensed residential family-based
treatment facility for substance abuse pursuant to section 472(j) of the
Act. This does not include a qualified residential treatment program
defined in section 472(k)(4) of the Act. Indicate ``qualified
residential treatment program'' if the child is in a placement that
meets all of the requirements of section 472(k)(2)(A) and (4) of the
Act. Indicate ``child care institution'' if the child is in a private
child care institution, or a public child care institution which
accommodates no more than 25 children, and is licensed by the state or
tribal authority responsible for licensing or approving child care
institutions. This includes a setting specializing in providing
prenatal, post-partum, or parenting supports for youth pursuant to
section 472(k)(2)(B) of the Act, and a setting providing high-quality
residential care and supportive services to children and youth who have
been found to be, or are at risk of becoming, sex trafficking victims
pursuant to section 472(k)(2)(D) of the Act. This does not include
detention facilities, forestry camps, training schools or any other
facility operated primarily for the detention of children who are
determined to be delinquent. Indicate ``child care institution-shelter
care'' if the child is in a child care institution and the institution
is designated to provide shelter care by the state or tribal authority
responsible for licensing or approving child care institutions and is
short-term or transitional in nature. Indicate ``supervised independent
living'' if the child is living independently in a supervised setting.
Indicate ``juvenile justice facility'' if the child is in a secure
facility or institution where alleged or adjudicated juvenile
delinquents are housed. Indicate ``medical or rehabilitative facility''
if the child is in a facility where an individual receives medical or
physical health care, such as a hospital. Indicate ``psychiatric
hospital'' if the child is in a facility that provides emotional or
psychological health care and is licensed or accredited as a hospital.
Indicate ``runaway'' if the child has left, without authorization, the
home or facility where the child was placed. Indicate ``whereabouts
unknown'' if the child is not in the physical custody of the title IV-E
agency or person or institution with whom the child has been placed, the
child's whereabouts are unknown, and the title IV-E agency does not
consider the child to have run away. Indicate ``placed at home'' if the
child is home with the parent(s) or legal guardian(s) in preparation for
the title IV-E agency to return the child home permanently.
(5) Location of living arrangement. Indicate whether each of the
child's living arrangements reported in paragraph (e)(1) of this section
is located within or outside of the reporting state

[[Page 357]]

or tribal service area or is outside of the country. Indicate ``out-of-
state or out-of-tribal service area'' if the child's living arrangement
is located outside of the reporting state or tribal service area but
inside the United States. Indicate ``in-state or in-tribal service
area'' if the child's living arrangement is located within the reporting
state or tribal service area. Indicate ``out-of-country'' if the child's
living arrangement is outside of the United States. Indicate ``runaway
or whereabouts unknown'' if the child has run away from his or her
living arrangement or the child's whereabouts are unknown. If the title
IV-E agency indicates either ``out-of-state or out-of-tribal service
area'' or ``out-of-country'' for the child's living arrangement, the
title IV-E agency must complete paragraph (e)(6) of this section;
otherwise the title IV-E agency must leave paragraph (e)(6) of this
section blank.
(6) Jurisdiction or country where child is living. Indicate the
state, tribal service area, Indian reservation, or country where the
reporting title IV-E agency placed the child for each living
arrangement, if the title IV-E agency indicated either ``out-of-state''
or ``out-of-tribal service area'' or ``out-of-country'' in paragraph
(e)(5) of this section; otherwise the title IV-E agency must leave this
paragraph (e)(6) blank. The title IV-E agency must report the
information in a format according to ACF's specifications.
(7) Marital status of the foster parent(s). Indicate the marital
status of the child's foster parent(s) for each foster family home
living arrangement in which the child is placed, as indicated in
paragraph (e)(3) of this section. Indicate ``married couple'' if the
foster parents are considered united in matrimony according to
applicable laws. Include common law marriage, where provided by
applicable laws. Indicate ``unmarried couple'' if the foster parents are
living together as a couple, but are not united in matrimony according
to applicable laws. Indicate ``separated'' if the foster parent is
legally separated or is living apart from his or her spouse. Indicate
``single adult'' if the foster parent is not married and is not living
with another individual as part of a couple. If the response is either
``married couple'' or ``unmarried couple,'' the title IV-E agency must
complete the paragraphs for the second foster parent in paragraphs
(e)(14) through (18) of this section; otherwise the title IV-E agency
must leave those paragraphs blank.
(8) Child's relationship to the foster parent(s). Indicate the type
of relationship between the child and his or her foster parent(s), for
each foster family home living arrangement in which the child is placed,
as indicated in paragraph (e)(3) of this section. Indicate
``relative(s)'' if the foster parent(s) is the child's relative (by
biological, legal or marital connection). Indicate ``non-relative(s)''
if the foster parent(s) is not related to the child (by biological,
legal or marital connection). Indicate ``kin'' if the foster parent(s)
has kin relationship to the child as defined by the title IV-E agency,
such as one where there is a psychological, cultural or emotional
relationship between the child or the child's family and the foster
parent(s) and there is not a legal, biological, or marital connection
between the child and foster parent.
(9) Year of birth for first foster parent. Indicate the year of
birth for the first foster parent for each foster family home living
arrangement in which the child is placed, as indicated in paragraph
(e)(3) of this section.
(10) First foster parent tribal membership. For state title IV-E
agencies only: Indicate whether the first foster parent is a member of
an Indian tribe. Indicate ``yes,'' ``no,'' or ``unknown.''
(11) Race of first foster parent. Indicate the race of the first
foster parent for each foster family home living arrangement in which
the child is placed, as indicated in paragraph (e)(3) of this section.
In general, an individual's race is determined by the individual.
Indicate whether each race category listed in paragraphs (e)(11)(i)
through (vii) of this section applies with a ``yes'' or ``no.''
(i) Race--American Indian or Alaska Native. An American Indian or
Alaska Native individual has origins in any of the original peoples of
North or South America (including Central America) and maintains tribal
affiliation or community attachment.

[[Page 358]]

(ii) Race--Asian. An Asian individual has origins in any of the
original peoples of the Far East, Southeast Asia or the Indian
subcontinent including, for example, Cambodia, China, India, Japan,
Korea, Malaysia, Pakistan, the Philippine Islands, Thailand and Vietnam.
(iii) Race--Black or African American. A Black or African American
individual has origins in any of the black racial groups of Africa.
(iv) Race--Native Hawaiian or Other Pacific Islander. A Native
Hawaiian or Other Pacific Islander individual has origins in any of the
original peoples of Hawaii, Guam, Samoa or other Pacific Islands.
(v) Race--White. A White individual has origins in any of the
original peoples of Europe, the Middle East or North Africa.
(vi) Race--unknown. The first foster parent does not know his or her
race, or at least one race.
(vii) Race--declined. The first foster parent has declined to
identify a race.
(12) Hispanic or Latino ethnicity of first foster parent. Indicate
the Hispanic or Latino ethnicity of the first foster parent for each
foster family home living arrangement in which the child is placed, as
indicated in paragraph (e)(3) of this section. In general, an
individual's ethnicity is determined by the individual. An individual is
of Hispanic or Latino ethnicity if the individual is a person of Cuban,
Mexican, Puerto Rican, South or Central American or other Spanish
culture or origin, regardless of race. Indicate whether this category
applies with a ``yes'' or ``no.'' If the first foster parent does not
know his or her ethnicity indicate ``unknown.'' If the individual
refuses to identify his or her ethnicity, indicate ``declined.''
(13) Sex of first foster parent. Indicate whether the first foster
parent is ``female'' or ``male.''
(14) Year of birth for second foster parent. Indicate the birth year
of the second foster parent for each foster family home living
arrangement in which the child is placed, as indicated in paragraph
(e)(3) of this section, if applicable. The title IV-E agency must leave
this paragraph (e)(14) blank if there is no second foster parent
according to paragraph (e)(7) of this section.
(15) Second foster parent tribal membership. For state title IV-E
agencies only: Indicate whether the second foster parent is a member of
an Indian tribe. Indicate ``yes,'' ``no,'' or ``unknown.''
(16) Race of second foster parent. Indicate the race of the second
foster parent for each foster family home living arrangement in which
the child is placed, as indicated in paragraph (e)(3) of this section,
if applicable. In general, an individual's race is determined by the
individual. Indicate whether each race category listed in paragraphs
(e)(16)(i) through (vii) of this section applies with a ``yes'' or
``no.'' The title IV-E agency must leave this paragraph (e)(16) blank if
there is no second foster parent according to paragraph (e)(7) of this
section.
(i) Race--American Indian or Alaska Native. An American Indian or
Alaska Native individual has origins in any of the original peoples of
North or South America (including Central America) and maintains tribal
affiliation or community attachment.
(ii) Race--Asian. An Asian individual has origins in any of the
original peoples of the Far East, Southeast Asia or the Indian
subcontinent including, for example, Cambodia, China, India, Japan,
Korea, Malaysia, Pakistan, the Philippine Islands, Thailand and Vietnam.
(iii) Race--Black or African American. A Black or African American
individual has origins in any of the black racial groups of Africa.
(iv) Race--Native Hawaiian or Other Pacific Islander. A Native
Hawaiian or Other Pacific Islander individual has origins in any of the
original peoples of Hawaii, Guam, Samoa or other Pacific Islands.
(v) Race--White. A White individual has origins in any of the
original peoples of Europe, the Middle East or North Africa.
(vi) Race--unknown. The second foster parent does not know his or
her race, or at least one race.
(vii) Race--declined. The second foster parent has declined to
identify a race.
(17) Hispanic or Latino ethnicity of second foster parent. Indicate
the Hispanic

[[Page 359]]

or Latino ethnicity of the second foster parent for each foster family
home living arrangement in which the child is placed, as indicated in
paragraph (e)(3) of this section, if applicable. In general, an
individual's ethnicity is determined by the individual. An individual is
of Hispanic or Latino ethnicity if the individual is a person of Cuban,
Mexican, Puerto Rican, South or Central American or other Spanish
culture or origin, regardless of race. Indicate whether this category
applies with a ``yes'' or ``no.'' If the second foster parent does not
know his or her ethnicity, indicate ``unknown.'' If the individual
refuses to identify his or her ethnicity, indicate ``declined.'' The
title IV-E agency must leave this paragraph (e)(17) blank if there is no
second foster parent according to paragraph (e)(7) of this section.
(18) Sex of second foster parent. Indicate whether the second foster
parent is ``female'' or ``male.''
(f) Permanency planning--(1) Permanency plan. Indicate each
permanency plan established for the child. Indicate ``reunify with
parent(s) or legal guardian(s)'' if the plan is to keep the child in
out-of-home care for a limited time and the title IV-E agency is to work
with the child's parent(s) or legal guardian(s) to establish a stable
family environment. Indicate ``live with other relatives'' if the plan
is for the child to live permanently with a relative(s) (by biological,
legal or marital connection) who is not the child's parent(s) or legal
guardian(s). Indicate ``adoption'' if the plan is to facilitate the
child's adoption by relatives, foster parents, kin or other unrelated
individuals. Indicate ``guardianship'' if the plan is to establish a new
legal guardianship. Indicate ``planned permanent living arrangement'' if
the plan is for the child to remain in foster care until the title IV-E
agency's placement and care responsibility ends. The title IV-E agency
must only select ``planned permanent living arrangement'' consistent
with the requirements in section 475(5)(C)(i) of the Act. Indicate
``permanency plan not established'' if a permanency plan has not yet
been established.
(2) Date of permanency plan. Indicate the month, day and year that
each permanency plan(s) was established during each out-of-home care
episode.
(3) Date of periodic review(s). Enter the month, day and year of
each periodic review, either by a court or by administrative review (as
defined in section 475(6) of the Act) that meets the requirements of
section 475(5)(B) of the Act.
(4) Date of permanency hearing(s). Enter the month, day and year of
each permanency hearing held by a court or an administrative body
appointed or approved by the court that meets the requirements of
section 475(5)(C) of the Act.
(5) Caseworker visit dates. Enter each date in which a caseworker
had an in-person, face-to-face visit with the child consistent with
section 422(b)(17) of the Act. Indicate the month, day and year of each
visit.
(6) Caseworker visit locations. Indicate the location of each in-
person, face-to-face visit between the caseworker and the child.
Indicate ``child's residence'' if the visit occurred at the location
where the child is currently residing, such as the current foster care
provider's home, child care institution or facility. Indicate ``other
location'' if the visit occurred at any location other than where the
child currently resides, such as the child's school, a court, a child
welfare office or in the larger community.
(g) General exit information. Provide exit information for each out-
of-home care episode. An exit occurs when the title IV-E agency's
placement and care responsibility of the child ends.
(1) Date of exit. Indicate the month, day and year for each of the
child's exits from out-of-home care. An exit occurs when the title IV-E
agency's placement and care responsibility of the child ends. If the
child has not exited out-of-home care the title IV-E agency must leave
this paragraph (g)(1) blank. If this paragraph (g)(1) is applicable,
paragraphs (g)(2) and (3) of this section must have a response.
(2) Exit transaction date. A non-modifiable, computer-generated date
which accurately indicates the month, day and year each response to
paragraph (g)(1) of this section was entered into the information
system.

[[Page 360]]

(3) Exit reason. Indicate the reason for each of the child's exits
from out-of-home care. Indicate ``not applicable'' if the child has not
exited out-of-home care. Indicate ``reunify with parent(s)/legal
guardian(s)'' if the child was returned to his or her parent(s) or legal
guardian(s) and the title IV-E agency no longer has placement and care
responsibility. Indicate ``live with other relatives'' if the child
exited to live with a relative (related by a biological, legal or
marital connection) other than his or her parent(s) or legal
guardian(s). Indicate ``adoption'' if the child was legally adopted.
Indicate ``emancipation'' if the child exited care due to age. Indicate
``guardianship'' if the child exited due to a legal guardianship of the
child. Indicate ``runaway or whereabouts unknown'' if the child ran away
or the child's whereabouts were unknown at the time that the title IV-E
agency's placement and care responsibility ends. Indicate ``death of
child'' if the child died while in out-of-home care. Indicate ``transfer
to another agency'' if placement and care responsibility for the child
was transferred to another agency, either within or outside of the
reporting state or tribal service area.
(4) Transfer to another agency. If the title IV-E agency indicated
the child was transferred to another agency in paragraph (g)(3) of this
section, indicate the type of agency that received placement and care
responsibility for the child from the following options: ``State title
IV-E agency,'' ``Tribal title IV-E agency,'' ``Indian tribe or tribal
agency (non-IV-E),'' ``juvenile justice agency,'' ``mental health
agency,'' ``other public agency'' or ``private agency.''
(h) Exit to adoption and guardianship information. Report
information in this paragraph (h) only if the title IV-E agency
indicated the child exited to adoption or legal guardianship in
paragraph (g)(3) of this section. Otherwise the title IV-E agency must
leave paragraphs (h)(1) through (15) of this section blank.
(1) Marital status of the adoptive parent(s) or guardian(s).
Indicate the marital status of the adoptive parent(s) or legal
guardian(s). Indicate ``married couple'' if the adoptive parents or
legal guardians are considered united in matrimony according to
applicable laws. Include common law marriage, where provided by
applicable laws. Indicate ``married but individually adopting or
obtaining legal guardianship'' if the adoptive parents or legal
guardians are considered united in matrimony according to applicable
laws, but are individually adopting or obtaining legal guardianship.
Indicate ``separated'' if the foster parent is legally separated or is
living apart from his or her spouse. Indicate ``unmarried couple'' if
the adoptive parents or guardians are living together as a couple, but
are not united in matrimony according to applicable laws. Use this
response option even if only one person of the unmarried couple is the
adoptive parent or legal guardian of the child. Indicate ``single
adult'' if the adoptive parent or legal guardian is not married and is
not living with another individual as part of a couple. If the response
is ``married couple'' or ``unmarried couple,'' the title IV-E agency
also must complete paragraphs for the second adoptive parent or second
legal guardian in paragraphs (h)(8) through (12) of this section;
otherwise the title IV-E agency must leave those paragraphs blank.
(2) Child's relationship to the adoptive parent(s) or guardian(s).
Indicate the type of relationship between the child and his or her
adoptive parent(s) or legal guardian(s). Indicate whether each
relationship listed in paragraphs (h)(2)(i) through (iv) of this section
``applies'' or ``does not apply.''
(i) Relative(s). The adoptive parent(s) or legal guardian(s) is the
child's relative (by biological, legal or marital connection).
(ii) Kin. The adoptive parent(s) or legal guardian(s) has a kin
relationship with the child, as defined by the title IV-E agency, such
as one where there is a psychological, cultural or emotional
relationship between the child or the child's family and the adoptive
parent(s) or legal guardian(s) and there is not a legal, biological, or
marital connection between the child and foster parent.

[[Page 361]]

(iii) Non-relative(s). The adoptive parent(s) or legal guardian(s)
is not related to the child by biological, legal or marital connection.
(iv) Foster parent(s). The adoptive parent(s) or legal guardian(s)
was the child's foster parent(s).
(3) Date of birth of first adoptive parent or guardian. Indicate the
month, day and year of the birth of the first adoptive parent or legal
guardian.
(4) First adoptive parent or guardian tribal membership. For state
title IV-E agencies only: Indicate whether the first adoptive parent or
guardian is a member of an Indian tribe. Indicate ``yes,'' ``no'' or
``unknown.''
(5) Race of first adoptive parent or guardian. In general, an
individual's race is determined by the individual. Indicate whether each
race category listed in paragraphs (h)(5)(i) through (vii) of this
section applies with a ``yes'' or ``no.''
(i) Race--American Indian or Alaska Native. An American Indian or
Alaska Native individual has origins in any of the original peoples of
North or South America (including Central America), and maintains tribal
affiliation or community attachment.
(ii) Race--Asian. An Asian individual has origins in any of the
original peoples of the Far East, Southeast Asia or the Indian
subcontinent including, for example, Cambodia, China, India, Japan,
Korea, Malaysia, Pakistan, the Philippine Islands, Thailand and Vietnam.
(iii) Race--Black or African American. A Black or African American
individual has origins in any of the black racial groups of Africa.
(iv) Race--Native Hawaiian or Other Pacific Islander. A Native
Hawaiian or Other Pacific Islander individual has origins in any of the
original peoples of Hawaii, Guam, Samoa or other Pacific Islands.
(v) Race--White. A White individual has origins in any of the
original peoples of Europe, the Middle East or North Africa.
(vi) Race--Unknown. The first adoptive parent or legal guardian does
not know his or her race, or at least one race.
(vii) Race--Declined. The first adoptive parent, or legal guardian
has declined to identify a race.
(6) Hispanic or Latino ethnicity of first adoptive parent or
guardian. In general, an individual's ethnicity is determined by the
individual. An individual is of Hispanic or Latino ethnicity if the
individual is a person of Cuban, Mexican, Puerto Rican, South or Central
American or other Spanish culture or origin, regardless of race.
Indicate whether this category applies with a ``yes'' or ``no.'' If the
first adoptive parent or legal guardian does not know his or her
ethnicity, indicate ``unknown.'' If the individual refuses to identify
his or her ethnicity, indicate ``declined.''
(7) Sex of first adoptive parent or guardian. Indicate whether the
first adoptive parent is ``female'' or ``male.''
(8) Date of birth of second adoptive parent, guardian, or other
member of the couple. Indicate the month, day and year of the date of
birth of the second adoptive parent, legal guardian, or other member of
the couple. The title IV-E agency must leave this paragraph (h)(8) blank
if there is no second adoptive parent, legal guardian, or other member
of the couple according to paragraph (h)(1) of this section.
(9) Second adoptive parent, guardian, or other member of the couple
tribal membership. For state title IV-E agencies only: Indicate whether
the second adoptive parent or guardian is a member of an Indian tribe.
Indicate ``yes,'' ``no'' or ``unknown.''
(10) Race of second adoptive parent, guardian, or other member of
the couple. In general, an individual's race is determined by the
individual. Indicate whether each race category listed in paragraphs
(h)(10)(i) through (vii) of this section applies with a ``yes'' or
``no.'' The title IV-E agency must leave this paragraph (h)(10) blank if
there is no second adoptive parent, legal guardian, or other member of
the couple according to paragraph (h)(1) of this section.
(i) Race--American Indian or Alaska Native. An American Indian or
Alaska Native individual has origins in any of the original peoples of
North or South America (including Central America), and maintains tribal
affiliation or community attachment.

[[Page 362]]

(ii) Race--Asian. An Asian individual has origins in any of the
original peoples of the Far East, Southeast Asia or the Indian
subcontinent including, for example, Cambodia, China, India, Japan,
Korea, Malaysia, Pakistan, the Philippine Islands, Thailand and Vietnam.
(iii) Race--Black or African American. A Black or African American
individual has origins in any of the black racial groups of Africa.
(iv) Race--Native Hawaiian or Other Pacific Islander. A Native
Hawaiian or Other Pacific Islander individual has origins in any of the
original peoples of Hawaii, Guam, Samoa or other Pacific Islands.
(v) Race--White. A White individual has origins in any of the
original peoples of Europe, the Middle East or North Africa.
(vi) Race--Unknown. The second adoptive parent, legal guardian, or
other member of the couple does not know his or her race, or at least
one race.
(vii) Race--Declined. The second adoptive parent, legal guardian, or
other member of the couple has declined to identify a race.
(11) Hispanic or Latino ethnicity of second adoptive parent,
guardian, or other member of the couple. In general, an individual's
ethnicity is determined by the individual. An individual is of Hispanic
or Latino ethnicity if the individual is a person of Cuban, Mexican,
Puerto Rican, South or Central American or other Spanish culture or
origin, regardless of race. Indicate whether this category applies with
a ``yes'' or ``no.'' If the second adoptive parent, legal guardian, or
other member of the couple does not know his or her ethnicity, indicate
``unknown.'' If the individual refuses to identify his or her ethnicity,
indicate ``declined.'' The title IV-E agency must leave this paragraph
(h)(11) blank if there is no second adoptive parent, legal guardian, or
other member of the couple according to paragraph (h)(1) of this
section.
(12) Sex of second adoptive parent, guardian, or other member of the
couple. Indicate whether the second adoptive parent, guardian, or other
member of the couple is ``female'' or ``male.''
(13) Inter/Intrajurisdictional adoption or guardianship. Indicate
whether the child was placed within the state or tribal service area,
outside of the state or tribal service area or into another country for
adoption or legal guardianship. Indicate ``interjurisdictional adoption
or guardianship'' if the reporting title IV-E agency placed the child
for adoption or legal guardianship outside of the state or tribal
service area but within the United States. Indicate ``intercountry
adoption or guardianship'' if the reporting title IV-E agency placed the
child for adoption or legal guardianship outside of the United States.
Indicate ``intrajurisdictional adoption or guardianship'' if the
reporting title IV-E agency placed the child within the same state or
tribal service area as the one with placing responsibility.
(14) Assistance agreement type. Indicate the type of assistance
agreement between the title IV-E agency and the adoptive parent(s) or
legal guardian(s): ``Title IV-E adoption assistance agreement'';
``State/tribal adoption assistance agreement''; ``Adoption-Title IV-E
agreement non-recurring expenses only''; ``Adoption-Title IV-E agreement
Medicaid only''; ``Title IV-E guardianship assistance agreement'';
``State/tribal guardianship assistance agreement''; or ``no agreement''
if there is no assistance agreement.
(15) Siblings in adoptive or guardianship home. Indicate the number
of siblings of the child who are in the same adoptive or guardianship
home as the child. A sibling to the child is his or her brother or
sister by biological, legal, or marital connection. Do not include the
child who is subject of this record in the total number. If the child
does not have any siblings, the title IV-E agency must indicate ``not
applicable.'' If the child has siblings, but they are not in the same
adoptive or guardianship home as the child, the title IV-E agency must
indicate ``0.''

[85 FR 28424, May 12, 2020]

Sec. 1355.45 Adoption and guardianship assistance data file elements.

A title IV-E agency must report the following information for each
child in

[[Page 363]]

the adoption and guardianship assistance reporting population, if
applicable based on Sec. 1355.42(b).
(a) General information--(1) Title IV-E agency. Indicate the title
IV-E agency responsible for submitting the AFCARS data to ACF per
requirements issued by ACF.
(2) Report date. The report date corresponds to the end of the
current report period. Indicate the last month and the year of the
report period.
(3) Child record number. The child record number is the encrypted,
unique person identification number. The record number must be encrypted
in accordance with ACF standards. Indicate the record number for the
child.
(b) Child demographics--(1) Child's date of birth. Indicate the
month, day and year of the child's birth.
(2) Child's sex. Indicate ``male'' or ``female.''
(3) Child's race. In general, a child's race is determined by the
child or the child's parent(s) or legal guardian(s). Indicate whether
each race category listed in the data elements described in paragraphs
(b)(2)(i) through (viii) of this section applies with a ``yes'' or
``no.''
(i) Race--American Indian or Alaska Native. An American Indian or
Alaska Native child has origins in any of the original peoples of North
or South America (including Central America), and maintains Tribal
affiliation or community attachment.
(ii) Race--Asian. An Asian child has origins in any of the original
peoples of the Far East, Southeast Asia or the Indian subcontinent
including, for example, Cambodia, China, India, Japan, Korea, Malaysia,
Pakistan, the Philippine Islands, Thailand and Vietnam.
(iii) Race--Black or African American. A Black or African American
child has origins in any of the black racial groups of Africa.
(iv) Race--Native Hawaiian or Other Pacific Islander. A Native
Hawaiian or Other Pacific Islander child has origins in any of the
original peoples of Hawaii, Guam, Samoa or other Pacific Islands.
(v) Race--White. A White child has origins in any of the original
peoples of Europe, the Middle East or North Africa.
(vi) Race--Unknown. The child or parent or legal guardian does not
know the race, or at least one race of the child. This category does not
apply when the child has been abandoned or the parents failed to return
and the identity of the child, parent(s), or legal guardian(s) is known.
(vii) Race--Abandoned. The child's race is unknown because the child
has been abandoned. Abandoned means that the child was left alone or
with others and the parent(s) or legal guardian(s)' identity is unknown
and cannot be ascertained. This includes a child left at a ``safe
haven.''
(viii) Race--Declined. The child or parent or legal guardian has
declined to identify a race.
(4) Hispanic or Latino ethnicity. In general, a child's ethnicity is
determined by the child or the child's parent(s) or legal guardian(s). A
child is of Hispanic or Latino ethnicity if the child is a person of
Cuban, Mexican, Puerto Rican, South or Central American or other Spanish
culture or origin, regardless of race. Indicate whether this category
applies with a ``yes'' or ``no.'' If the child or the child's parent or
legal guardian does not know or cannot communicate whether the child is
of Hispanic or Latino ethnicity, indicate ``unknown.'' If the child was
abandoned indicate ``abandoned.'' Abandoned means that the child was
left alone or with others and the parent(s) or legal guardian(s)'
identity is unknown and cannot be ascertained. This includes a child
left at a ``safe haven.'' If the child or the child's parent(s) or legal
guardian(s) refuses to identify the child's ethnicity, indicate
``declined.''
(c) Adoption and guardianship assistance agreement information--(1)
Assistance agreement type. Indicate whether the child is or was in a
finalized adoption with a title IV-E adoption assistance agreement or in
a legal guardianship with a title IV-E guardianship assistance
agreement, pursuant to sections 473(a) and 473(d) of the Act, in effect
during the report period. Indicate ``title IV-E adoption assistance
agreement'' or ``title IV-E guardianship assistance agreement,'' as
appropriate.
(2) Adoption or guardianship subsidy amount. Indicate the per diem
dollar amount of the financial subsidy paid to

[[Page 364]]

the adoptive parent(s) or legal guardian(s) on behalf of the child
during the last month of the current report period, if any. The title
IV-E agency must indicate ``0'' if a financial subsidy was not paid
during the last month of the report period.
(d) Adoption finalization or guardianship legalization date.
Indicate the month, day and year that the child's adoption was finalized
or the guardianship became legalized.
(e) Agreement termination date. If the title IV-E agency terminated
the adoption assistance or guardianship assistance agreement or the
agreement expired during the report period, indicate the month, day and
year that the agreement terminated or expired; otherwise leave this data
element blank.
(f) Adoption or guardianship placing agency. Indicate the agency
that placed the child for adoption or legal guardianship. Indicate
``title IV-E agency'' if the reporting title IV-E agency placed the
child for adoption or legal guardianship. Indicate ``private agency
under agreement'' if a private agency placed the child for adoption or
legal guardianship through an agreement with the reporting title IV-E
agency. Indicate ``Indian tribe under contract/agreement'' if an Indian
tribe, tribal organization or consortia placed the child for adoption or
legal guardianship through a contract or an agreement with the reporting
title IV-E agency.

[81 FR 90569, Dec. 14, 2016, as amended at 85 FR 28433, May 12, 2020]

Sec. 1355.46 Compliance.

(a) Files subject to compliance. ACF will evaluate the out-of-home
care and adoption and guardianship assistance data files that a title
IV-E agency submits to determine whether the data complies with the
requirements of Sec. 1355.43 and the data file submission and data
quality standards described in paragraphs (c) and (d) of this section.
ACF will exempt records related to a child in either data file whose
18th birthday occurred in a prior report period and will exempt records
relating to a child in the adoption and guardianship assistance data
file who is in a title IV-E guardianship from a compliance determination
as described in paragraph (e) of this section.
(b) Errors. ACF will utilize the error definitions in paragraphs
(b)(1) through (5) of this section to assess a title IV-E agency's out-
of-home care and adoption and guardianship assistance data files. This
assessment of errors will help ACF to determine if the title IV-E
agency's submitted data files meet the data file submission and data
quality standards outlined in paragraphs (c) and (d) of this section.
ACF will develop and issue error specifications.
(1) Missing data. Missing data refers to instances in which a data
element has a blank or otherwise missing response, when such a response
is not a valid option as described in Sec. Sec. 1355.44 or 1355.45.
(2) Invalid data. Invalid data refers to instances in which a data
element contains a value that is outside the parameters of acceptable
responses or exceeds, either positively or negatively, the acceptable
range of response options as described in Sec. Sec. 1355.44 or 1355.45.
(3) Internally inconsistent data. Internally inconsistent data
refers to instances in which a data element fails an internal
consistency check designed to validate the logical relationship between
data elements within each record. This assessment will identify all data
elements involved in a particular check as in error.
(4) Cross-file errors. A cross-file error occurs when a cross-file
check determines that a response option for a data element recurs across
the records in either the out-of-home care data file or adoption and
guardianship assistance data file beyond a specified acceptable
threshold as specified per ACF.
(5) Tardy transactions. Tardy transactions are instances in which
the removal transaction date or exit transaction date described in Sec.
1355.44(d)(2) and (g)(2) respectively, are entered into the title IV-E
agency's information system more than 30 days after the event.
(c) Data file standards. To be in compliance with the AFCARS
requirements, the title IV-E agency must submit a data file in
accordance with the data file standards described in paragraphs (c)(1)
through (3) of this section.

[[Page 365]]

(1) Timely submission. ACF must receive the data files on or before
the reporting deadline described in Sec. 1355.43(a).
(2) Proper format. The data files must meet the technical standards
issued by ACF for data file construction and transmission. In addition,
each record subject to compliance standards within the data file must
have the data elements described in Sec. Sec. 1355.44(a) and (b)(1) and
(2) and 1355.45(a) and (b)(1) and (2) be 100 percent free of missing
data, invalid data, and internally inconsistent data (see paragraphs
(b)(1) through (3) of this section). ACF will not process a title IV-E
agency's data file that does not meet the proper format standard.
(d) Data quality standards. (1) To be in compliance with the AFCARS
requirements, the title IV-E agency must submit a data file that has no
more than 10 percent total of missing, invalid, or internally
inconsistent data, or tardy transactions for each data element of
applicable records. These standards are in addition to the formatting
standards described in paragraph (c)(2) of this section.
(2) Acceptable cross-file. The data files must be free of cross-file
errors that exceed the acceptable thresholds, as defined by ACF.
(e) Compliance determination and corrected data. (1) ACF will first
determine whether the title IV-E agency's out-of-home care data file and
adoption and guardianship assistance data file meets the data file
standards in paragraph (c) of this section. Compliance is determined
separately for each data file.
(2) If each data file meets the data file standards, ACF will then
determine whether each data file meets the data quality standards in
paragraph (d) of this section. For every data element, we will divide
the total number of applicable records in error (numerator) by the total
number of applicable records (denominator), to determine whether the
title IV-E agency has met the applicable data quality standards.
(3) In general, a title IV-E agency that has not met either the data
file formatting standards or data quality standards must submit a
corrected data file(s) no later than when data is due for the subsequent
six month report period (i.e., by May 15 and November 14), as
applicable. ACF will determine that the corrected data file(s) is in
compliance if it meets the data file and data standards in paragraphs
(c) and (d) of this section. Exception: If ACF determines initially that
the title IV-E agency's data file has not met the data quality standard
related to tardy transactions, ACF will determine compliance with regard
to the transaction dates only in the out-of-home care data file
submitted for the subsequent report period.
(f) Noncompliance. If the title IV-E agency does not submit a
corrected data file, or submits a corrected data file that fails to meet
the compliance standards in paragraphs (c) and (d) of this section, ACF
will notify the title IV-E agency of such and apply penalties as
provided in Sec. 1355.47.
(g) Other assessments. ACF may use other monitoring tools or
assessment procedures to determine whether the title IV-E agency is
meeting all of the requirements of Sec. Sec. 1355.41 through 1355.45.

[81 FR 90569, Dec. 14, 2016, as amended at 85 FR 28434, May 12, 2020]

Sec. 1355.47 Penalties.

(a) Federal funds subject to a penalty. The funds that are subject
to a penalty are the title IV-E agency's claims for title IV-E foster
care administration and training for the quarter in which the title IV-E
agency is required to submit the data files. For data files due on May
15, ACF will assess the penalty based on the title IV-E agency's claims
for the third quarter of the Federal fiscal year. For data files due on
November 14, ACF will assess the penalty based on the title IV-E
agency's claims for the first quarter of the Federal fiscal year.
(b) Penalty amounts. ACF will assess penalties in the following
amounts:
(1) First six month period. ACF will assess a penalty in the amount
of one sixth of one percent (\1/6\ of 1%) of the funds described in
paragraph (a) of this section for the first six month period in which
the title IV-E agency's submitted corrected data file does not comply
with Sec. 1355.46.
(2) Subsequent six month periods. ACF will assess a penalty in the
amount of

[[Page 366]]

one fourth of one percent (\1/4\ of 1%) of the funds described in
paragraph (a) of this section for each subsequent six month period in
which the title IV-E agency continues to be out of compliance.
(c) Penalty reduction from grant. ACF will offset the title IV-E
agency's title IV-E foster care grant award in the amount of the penalty
from the title IV-E agency's claims following the title IV-E agency
notification of ACF's final determination of noncompliance.
(d) Appeals. The title IV-E agency may appeal ACF's final
determination of noncompliance to the HHS Departmental Appeals Board
pursuant to 45 CFR part 16.

[81 FR 90569, Dec. 14, 2016]

Sec. 1355.50 Purpose.

Sections 1355.50 through 1355.59 contain the requirements a title
IV-E agency must meet to receive Federal financial participation
authorized under sections 474(a)(3)(C) and (D), and 474(c) of the Act
for the planning, design, development, installation, operation, and
maintenance of a comprehensive child welfare information system.

[81 FR 35479, June 2, 2016]

Sec. 1355.51 Definitions applicable to Comprehensive Child
Welfare Information Systems (CCWIS).

(a) The following terms as they appear in Sec. Sec. 1355.50 through
1355.59 are defined as follows--
Approved activity means a project task that supports planning,
designing, developing, installing, operating, or maintaining a CCWIS.
Automated function means a computerized process or collection of
related processes to achieve a purpose or goal.
Child welfare contributing agency means a public or private entity
that, by contract or agreement with the title IV-E agency, provides
child abuse and neglect investigations, placement, or child welfare case
management (or any combination of these) to children and families.
Data exchange means the automated, electronic submission or receipt
of information, or both, between two automated data processing systems.
Data exchange standard means the common data definitions, data
formats, data values, and other guidelines that the state's or tribe's
automated data processing systems follow when exchanging data.
New CCWIS project means a project to build an automated data
processing system meeting all requirements in Sec. 1355.52 and all
automated functions meet the requirements in Sec. 1355.53(a).
Non-S/TACWIS project means an active automated data processing
system or project that, prior to the effective date of these
regulations, ACF had not classified as a S/TACWIS and for which:
(i) ACF approved a development procurement; or
(ii) The applicable state or tribal agency approved a development
procurement below the thresholds of 45 CFR 95.611(a); or
(iii) The operational automated data processing system provided the
data for at least one AFCARS or NYTD file for submission to the federal
system or systems designated by ACF to receive the report.
Notice of intent means a record from the title IV-E agency, signed
by the governor, tribal leader, or designated state or tribal official
and provided to ACF declaring that the title IV-E agency plans to build
a CCWIS project that is below the APD approval thresholds of 45 CFR
95.611(a).
S/TACWIS project means an active automated data processing system or
project that, prior to the effective date of these regulations, ACF
classified as a S/TACWIS and for which:
(i) ACF approved a procurement to develop a S/TACWIS; or
(ii) The applicable state or tribal agency approved a development
procurement for a S/TACWIS below the thresholds of 45 CFR 95.611(a).
Transition period means the 24 months after the effective date of
these regulations.
(b) Other terms as they appear in Sec. Sec. 1355.50 through 1355.59
are defined in 45 CFR 95.605.

[81 FR 35479, June 2, 2016]

Sec. 1355.52 CCWIS project requirements.

(a) Efficient, economical, and effective requirement. The title IV-E
agency's

[[Page 367]]

CCWIS must support the efficient, economical, and effective
administration of the title IV-B and IV-E plans pursuant to section
474(a)(3)(C)(iv) of the Act by:
(1) Improving program management and administration by maintaining
all program data required by federal, state or tribal law or policy;
(2) Appropriately applying information technology;
(3) Not requiring duplicative application system development or
software maintenance; and
(4) Ensuring costs are reasonable, appropriate, and beneficial.
(b) CCWIS data requirements. The title IV-E agency's CCWIS must
maintain:
(1) Title IV-B and title IV-E data that supports the efficient,
effective, and economical administration of the programs including:
(i) Data required for ongoing federal child welfare reports;
(ii) Data required for title IV-E eligibility determinations,
authorizations of services, and expenditures under IV-B and IV-E;
(iii) Data to support federal child welfare laws, regulations, and
policies; and
(iv) Case management data to support federal audits, reviews, and
other monitoring activities;
(2) Data to support state or tribal child welfare laws, regulations,
policies, practices, reporting requirements, audits, program
evaluations, and reviews;
(3) For states, data to support specific measures taken to comply
with the requirements in section 422(b)(9) of the Act regarding the
state's compliance with the Indian Child Welfare Act; and
(4) For each state, data for the National Child Abuse and Neglect
Data System.
(c) Reporting requirements. The title IV-E agency's CCWIS must use
the data described in paragraph (b) of this section to:
(1) Generate, or contribute to, required title IV-B or IV-E federal
reports according to applicable formatting and submission requirements;
and
(2) Generate, or contribute to, reports needed by state or tribal
child welfare laws, regulations, policies, practices, reporting
requirements, audits, and reviews that support programs and services
described in title IV-B and title IV-E.
(d) Data quality requirements. (1) The CCWIS data described in
paragraph (b) of this section must:
(i) Meet the most rigorous of the applicable federal, and state or
tribal standards for completeness, timeliness, and accuracy;
(ii) Be consistently and uniformly collected by CCWIS and, if
applicable, child welfare contributing agency systems;
(iii) Be exchanged and maintained in accordance with confidentiality
requirements in section 471(a)(8) of the Act, and 45 CFR 205.50, and 42
U.S.C. 5106a(b)(2)(B)(viii) through (x) of the Child Abuse Prevention
and Treatment Act, if applicable, and other applicable federal and state
or tribal laws;
(iv) Support child welfare policies, goals, and practices; and
(v) Not be created by default or inappropriately assigned.
(2) The title IV-E agency must implement and maintain automated
functions in CCWIS to:
(i) Regularly monitor CCWIS data quality;
(ii) Alert staff to collect, update, correct, and enter CCWIS data;
(iii) Send electronic requests to child welfare contributing agency
systems to submit current and historical CCWIS data to the CCWIS;
(iv) Prevent, to the extent practicable, the need to re-enter data
already captured or exchanged with the CCWIS; and
(v) Generate reports of continuing or unresolved CCWIS data quality
problems.
(3) The title IV-E agency must conduct biennial data quality reviews
to:
(i) Determine if the title IV-E agency and, if applicable, child
welfare contributing agencies, meet the requirements of paragraphs (b),
(d)(1), and (d)(2) of this section; and
(ii) Confirm that the bi-directional data exchanges meet the
requirements of paragraphs (e) and (f) of this section, and other
applicable ACF regulations and policies.

[[Page 368]]

(4) The title IV-E agency must enhance CCWIS or the electronic bi-
directional data exchanges or both to correct any findings from reviews
described at paragraph (d)(3) of this section.
(5) The title IV-E agency must develop, implement, and maintain a
CCWIS data quality plan in a manner prescribed by ACF and include it as
part of Annual or Operational APDs submitted to ACF as required in 45
CFR 95.610. The CCWIS data quality plan must:
(i) Describe the comprehensive strategy to promote data quality
including the steps to meet the requirements at paragraphs (d)(1)
through (3) of this section; and
(ii) Report the status of compliance with paragraph (d)(1) of this
section.
(e) Bi-directional data exchanges. (1) The CCWIS must support
efficient, economical, and effective bi-directional data exchanges to
exchange relevant data with:
(i) Systems generating the financial payments and claims for titles
IV-B and IV-E per paragraph (b)(1)(ii) of this section, if applicable;
(ii) Systems operated by child welfare contributing agencies that
are collecting or using data described in paragraph (b) of this section,
if applicable;
(iii) Each system used to calculate one or more components of title
IV-E eligibility determinations per paragraph (b)(1)(ii) of this
section, if applicable; and
(iv) Each system external to CCWIS used by title IV-E agency staff
to collect CCWIS data, if applicable.
(2) To the extent practicable, the title IV-E agency's CCWIS must
support one bi-directional data exchange to exchange relevant data,
including data that may benefit IV-E agencies and data exchange partners
in serving clients and improving outcomes, with each of the following
state or tribal systems:
(i) Child abuse and neglect system(s);
(ii) System(s) operated under title IV-A of the Act;
(iii) Systems operated under title XIX of the Act including:
(A) Systems to determine Medicaid eligibility described in 42 CFR
433.111(b)(2)(ii)(A); and
(B) Medicaid Management Information Systems as defined at 42 CFR
433.111(b)(2)(ii)(B);
(iv) Systems operated under title IV-D of the Act;
(v) Systems operated by the court(s) of competent jurisdiction over
title IV-E foster care, adoption, and guardianship programs;
(vi) Systems operated by the state or tribal education agency, or
school districts, or both.
(f) Data exchange standard requirements. The title IV-E agency must
use a single data exchange standard that describes data, definitions,
formats, and other specifications upon implementing a CCWIS:
(1) For bi-directional data exchanges between CCWIS and each child
welfare contributing agency; and
(2) For data exchanges with systems described under paragraph
(e)(1)(iv) of this section.
(g) Automated eligibility determination requirements. (1) A state
title IV-E agency must use the same automated function or the same group
of automated functions for all title IV-E eligibility determinations.
(2) A tribal title IV-E agency must, to the extent practicable, use
the same automated function or the same group of automated functions for
all title IV-E eligibility determinations.
(h) Software provision requirement. The title IV-E agency must
provide a copy of the agency-owned software that is designed, developed,
or installed with FFP and associated documentation to the designated
federal repository within the Department upon request.
(i) Submission requirements. (1) Before claiming funding in
accordance with a CCWIS cost allocation, a title IV-E agency must submit
an APD or, if below the APD submission thresholds defined at 45 CFR
95.611, a Notice of Intent that includes:
(i) A description of how the CCWIS will meet the requirements in
paragraphs (a) through (h) of this section and, if applicable Sec.
1355.54;
(ii) A list of all automated functions included in the CCWIS; and
(iii) A notation of whether each automated function listed in
paragraph (i)(1)(ii) of this section meets, or when

[[Page 369]]

implemented will meet, the following requirements:
(A) The automated function supports at least one requirement of this
section or, if applicable Sec. 1355.54;
(B) The automated function is not duplicated within the CCWIS or
systems supporting child welfare contributing agencies and is
consistently used by all child welfare users responsible for the area
supported by the automated function; and
(C) The automated function complies with the CCWIS design
requirements described under Sec. 1355.53(a), unless exempted in
accordance with Sec. 1355.53(b).
(2) Annual APD Updates and Operational APDs for CCWIS projects must
include:
(i) An updated list of all automated functions included in the
CCWIS;
(ii) A notation of whether each automated function listed in
paragraph (i)(2)(i) of this section meets the requirements of paragraph
(i)(1)(iii)(B) of this section; and
(iii) A description of changes to the scope or the design criteria
described at Sec. 1355.53(a) for any automated function listed in
paragraph (i)(2)(i) of this section.
(j) Other applicable requirements. Regulations at 45 CFR 95.613
through 95.621 and 95.626 through 95.641 are applicable to all CCWIS
projects below the APD submission thresholds at 45 CFR 95.611.

[81 FR 35479, June 3, 2016]

Sec. 1355.53 CCWIS design requirements.

(a) Except as exempted in paragraph (b) of this section, automated
functions contained in a CCWIS must:
(1) Follow a modular design that includes the separation of business
rules from core programming;
(2) Be documented using plain language;
(3) Adhere to a state, tribal, or industry defined standard that
promotes efficient, economical, and effective development of automated
functions and produces reliable systems; and
(4) Be capable of being shared, leveraged, and reused as a separate
component within and among states and tribes.
(b) CCWIS automated functions may be exempt from one or more of the
requirements in paragraph (a) of this section if:
(1) The CCWIS project meets the requirements of Sec. 1355.56(b) or
(f)(1); or
(2) ACF approves, on a case-by-case basis, an alternative design
proposed by a title IV-E agency that is determined by ACF to be more
efficient, economical, and effective than what is found in paragraph (a)
of this section.

[81 FR 35481, June 2, 2016]

Sec. 1355.54 CCWIS options.

If a project meets, or when completed will meet, the requirements of
Sec. 1355.52, then ACF may approve CCWIS funding described at Sec.
1355.57 for other ACF-approved data exchanges or automated functions
that are necessary to achieve title IV-E or IV-B programs goals.

[81 FR 35481, June 2, 2016]

Sec. 1355.55 Review and assessment of CCWIS projects.

ACF will review, assess, and inspect the planning, design,
development, installation, operation, and maintenance of each CCWIS
project on a continuing basis, in accordance with APD requirements in 45
CFR part 95, subpart F, to determine the extent to which the project
meets the requirements in Sec. Sec. 1355.52, 1355.53, 1355.56, and, if
applicable, Sec. 1355.54.

[81 FR 35481, June 2, 2016]

Sec. 1355.56 Requirements for S/TACWIS and non-S/TACWIS
projects during and after the transition period.

(a) During the transition period a title IV-E agency with a S/TACWIS
project may continue to claim title IV-E funding according to the cost
allocation methodology approved by ACF for development or the
operational cost allocation plan approved by the Department, or both.
(b) A S/TACWIS project must meet the submission requirements of
Sec. 1355.52(i)(1) during the transition period to qualify for the
CCWIS cost allocation methodology described in Sec. 1355.57(a) after
the transition period.
(c) A title IV-E agency with a S/TACWIS may request approval to
initiate a new CCWIS and qualify for the CCWIS cost allocation
methodology described in Sec. 1355.57(b) by meeting the

[[Page 370]]

submission requirements of Sec. 1355.52(i)(1).
(d) A title IV-E agency that elects not to transition a S/TACWIS
project to a CCWIS project must:
(1) Notify ACF in an APD or Notice of Intent submitted during the
transition period of this election; and
(2) Continue to use the S/TACWIS through its life expectancy in
accordance with 45 CFR 95.619.
(e) A title IV-E agency that elects not to transition its S/TACWIS
project to a CCWIS and fails to meet the requirements of paragraph (d)
of this section is subject to funding recoupment described under Sec.
1355.58(d).
(f) A title IV-E agency with a non-S/TACWIS (as defined in Sec.
1355.51) that elects to build a CCWIS or transition to a CCWIS must meet
the submission requirements of Sec. 1355.52(i)(1):
(1) During the transition period to qualify for a CCWIS cost
allocation as described at Sec. 1355.57(a); or
(2) At any time to request approval to initiate a new CCWIS and
qualify for a CCWIS cost allocation as described at Sec. 1355.57(b).

[81 FR 35481, June 2, 2016]

Sec. 1355.57 Cost allocation for CCWIS projects.

(a) CCWIS cost allocation for projects transitioning to CCWIS. (1)
All automated functions developed after the transition period for
projects meeting the requirements of Sec. 1355.56(b) or Sec.
1355.56(f)(1) must meet the CCWIS design requirements described under
Sec. 1355.53(a), unless exempted by Sec. 1355.53(b)(2).
(2) The Department may approve the applicable CCWIS cost allocation
for an automated function of a project transitioning to a CCWIS if the
automated function:
(i) Supports programs authorized under titles IV-B or IV-E, and at
least one requirement of Sec. 1355.52 or, if applicable Sec. 1355.54;
and
(ii) Is not duplicated within the CCWIS or systems supporting child
welfare contributing agencies and is consistently used by all child
welfare users responsible for the area supported by the automated
function.
(b) CCWIS cost allocation for new CCWIS projects. (1) Unless
exempted in accordance with Sec. 1355.53(b)(2), all automated functions
of a new CCWIS project must meet the CCWIS design requirements described
under Sec. 1355.53(a).
(2) An automated function of a CCWIS project described in paragraph
(b)(1) of this section may qualify for a CCWIS cost allocation if the
automated function:
(i) Supports programs authorized under titles IV-B or IV-E, and at
least one requirement of Sec. 1355.52 or, if applicable Sec. 1355.54;
and
(ii) Is not duplicated within the CCWIS or systems supporting child
welfare contributing agencies and is consistently used by all child
welfare users responsible for the area supported by the automated
function.
(c) CCWIS cost allocation for approved activities. The Department
may approve a CCWIS cost allocation for an approved activity for a CCWIS
project meeting the requirements of paragraph (a) or (b) of this
section.
(d) Project cost allocation. A title IV-E agency must allocate
project costs in accordance with applicable HHS regulations and other
guidance.
(e) CCWIS cost allocation. (1) A title IV-E agency may allocate
CCWIS development and operational costs to title IV-E for the share of
approved activities and automated functions that:
(i) Are approved by the Department;
(ii) Meet the requirements of paragraphs (a), (b), or (c) of this
section; and
(iii) Benefit federal, state or tribal funded participants in
programs and allowable activities described in title IV-E of the Act to
the title IV-E program.
(2) A title IV-E agency may also allocate CCWIS development costs to
title IV-E for the share of system approved activities and automated
functions that meet requirements (e)(1)(i) and (ii) of this section and:
(i) Benefit title IV-B programs; or
(ii) Benefit both title IV-E and child welfare related programs.
(f) Non-CCWIS cost allocation. Title IV-E costs not previously
described in this section may be charged to title IV-E in accordance
with Sec. 1356.60(d) .

[81 FR 35481, June 2, 2016]

[[Page 371]]

Sec. 1355.58 Failure to meet the conditions of the approved APD.

(a) In accordance with 45 CFR 75.371 through 75.375 and 45 CFR
95.635, ACF may suspend title IV-B and title IV-E funding approved in
the APD for a CCWIS if ACF determines that the title IV-E agency fails
to comply with APD requirements in 45 CFR part 95, subpart F, or meet
the requirements at Sec. 1355.52 or, if applicable, Sec. 1355.53,
Sec. 1355.54, or Sec. 1355.56.
(b) Suspension of CCWIS funding begins on the date that ACF
determines the title IV-E agency failed to:
(1) Comply with APD requirements in 45 CFR part 95, subpart F; or
(2) Meet the requirements at Sec. 1355.52 or, if applicable, Sec.
1355.53, Sec. 1355.54, or Sec. 1355.56 and has not corrected the
failed requirements according to the time frame in the approved APD.
(c) The suspension will remain in effect until the date that ACF:
(1) Determines that the title IV-E agency complies with 45 CFR part
95, subpart F; or
(2) Approves a plan to change the application to meet the
requirements at Sec. 1355.52 and, if applicable, Sec. 1355.53, Sec.
1355.54, or Sec. 1355.56.
(d) If ACF suspends an APD, or the title IV-E agency voluntarily
ceases the design, development, installation, operation, or maintenance
of an approved CCWIS, ACF may recoup all title IV-E funds claimed for
the CCWIS project.

[81 FR 35482, June 2, 2016]

Sec. 1355.59 [Reserved]

PART 1356_REQUIREMENTS APPLICABLE TO TITLE IV-E--Table of Contents

Sec.
1356.10 Scope.
1356.20 Title IV-E plan document and submission requirements.
1356.21 Foster care maintenance payments program implementation
requirements.
1356.22 Implementation requirements for children voluntarily placed in
foster care.
1356.30 Safety requirements for foster care and adoptive home providers.
1356.40 Adoption assistance program: Administrative requirements to
implement section 473 of the Act.
1356.41 Nonrecurring expenses of adoption.
1356.50 Withholding of funds for non-compliance with the approved title
IV-E plan.
1356.60 Fiscal requirements (title IV-E).
1356.65-1356.66 [Reserved]
1356.67 Procedures for the transfer of placement and care responsibility
of a child from a State to a Tribal title IV-E agency or an
Indian Tribe with a title IV-E agreement.
1356.68 Tribal title IV-E agency requirements for in-kind administrative
and training contributions from third-party sources.
1356.69-1356.70 [Reserved]
1356.71 Federal review of the eligibility of children in foster care and
the eligibility of foster care providers in title IV-E
programs.
1356.80 Scope of the National Youth in Transition Database.
1356.81 Reporting population.
1356.82 Data collection requirements.
1356.83 Reporting requirements and data elements.
1356.84 Sampling.
1356.85 Compliance.
1356.86 Penalties for noncompliance.

Appendix A to Part 1356--NYTD Data Elements
Appendix B to Part 1356--NYTD Youth Outcome Survey
Appendix C to Part 1356--Calculating Sample Size for NYTD Follow-Up
Populations

Authority: 42 U.S.C. 620 et seq., 42 U.S.C. 670 et seq.; 42 U.S.C.
1302.

Sec. 1356.10 Scope.

This part applies to title IV-E agency programs for foster care
maintenance payments, adoption assistance payments, related foster care
and adoption administrative and training expenditures, and the
independent living services program under title IV-E of the Act.

[77 FR 946, Jan. 6, 2012]

Sec. 1356.20 Title IV-E plan document and submission requirements.

(a) To be in compliance with the title IV-E plan requirements and to
be eligible to receive Federal financial participation (FFP) in the
costs of foster care maintenance payments and adoption assistance under
this part, a title IV-E agency must have a plan approved by the
Secretary that meets the requirements of this part, part 1355, section
471(a) of the Act and for Tribal title IV-E agencies, section 479B(c) of
the

[[Page 372]]

Act. The title IV-E plan must be submitted to the appropriate Regional
Office, ACYF, in a form determined by the title IV-E agency.
(b) Failure by a title IV-E agency to comply with the requirements
and standards for the data reporting system for foster care and adoption
(Sec. 1355.40 of this chapter) shall be considered a substantial
failure by the title IV-E agency in complying with the plan.
(c) The following procedures for approval of plans and amendments
apply to the title IV-E program:
(1) Plan. The plan consists of written documents furnished by the
title IV-E agency to cover its program under part E of title IV. After
approval of the original plan by the Commissioner, ACYF, all relevant
changes, required by new statutes, rules, regulations, interpretations,
and court decisions, are required to be submitted currently so that ACYF
may determine whether the plan continues to meet Federal requirements
and policies.
(2) Submittal. Plans and revisions of the plans are submitted first
to the State governor or his/her designee, or the Tribal leader or his/
her designee for review and then to the regional office, ACYF. Title IV-
E agencies are encouraged to obtain consultation of the regional staff
when a plan is in process of preparation or revision.
(3) Review. Staff in the regional offices are responsible for review
of plans and amendments. They also initiate discussion with the title
IV-E agency on clarification of significant aspects of the plan which
come to their attention in the course of this review. Plan material on
which the regional staff has questions concerning the application of
Federal policy is referred with recommendations as required to the
central office for technical assistance. Comments and suggestions,
including those of consultants in specified areas, may be prepared by
the central office for use by the regional staff in negotiations with
the title IV-E agency.
(4) Action. ACYF has the authority to approve plans and amendments
thereto which provide for the administration of foster care maintenance
payments and adoption assistance programs under section 471 of the Act.
The Commissioner, ACYF, retains the authority to determine that proposed
plan material is not approvable, or that a previously approved plan no
longer meets the requirements for approval. The Regional Office, ACYF,
formally notifies the title IV-E agency of the actions taken on plans or
revisions.
(5) Basis for approval. Determinations as to whether plans
(including plan amendments and administrative practice under the plans)
originally meet or continue to meet, the requirements for approval are
based on relevant Federal statutes and regulations.
(6) Prompt approval of plans. The determination as to whether a plan
submitted for approval conforms to the requirements for approval under
the Act and regulations issued pursuant thereto shall be made promptly
and not later than the 45th day following the date on which the plan
submittal is received in the regional office, unless the Regional
Office, ACYF, has secured from the title IV-E agency a written agreement
to extend that period.
(7) Prompt approval of plan amendments. Any amendment of an approved
plan may, at the option of the title IV-E agency, be considered as a
submission of a new plan. If the title IV-E agency requests that such
amendment be so considered, the determination as to its conformity with
the requirements for approval shall be made promptly and not later than
the 45th day following the date on which such a request is received in
the regional office with respect to an amendment that has been received
in such office, unless the Regional Office, ACYF, has secured from the
title IV-E agency a written agreement to extend that period. In absence
of request by a title IV-E agency that an amendment of an approved plan
shall be considered as a submission of a new plan, the procedures under
Sec. 201.6(a) and (b) shall be applicable.
(8) Effective date. The effective date of a new plan may not be
earlier than the first day of the calendar quarter in which an
approvable plan is submitted, and with respect to expenditures for
assistance under such plan, may not be earlier than the first day on
which the plan is in operation on a statewide basis or, in the case of a
Tribal title

[[Page 373]]

IV-E agency, in operation in the Tribal title IV-E agency's entire
service area. The same applies with respect to plan amendments.
(d) Once the title IV-E plan has been submitted and approved, it
shall remain in effect until amendments are required. An amendment is
required if there is any significant and relevant change in the
information or assurances in the plan, or the organization, policies or
operations described in the plan.

[77 FR 946, Jan. 6, 2012]

Sec. 1356.21 Foster care maintenance payments program implementation
requirements.

(a) Statutory and regulatory requirements of the Federal foster care
program. To implement the foster care maintenance payments program
provisions of the title IV-E plan and to be eligible to receive Federal
financial participation (FFP) for foster care maintenance payments under
this part, a title IV-E agency must meet the requirements of this
section, 45 CFR 1356.22, 45 CFR 1356.30, and sections 472, 475(1),
475(4), 475(5), 475(6), and for a Tribal title IV-E agency section
479(B)(c)(1)(C)(ii)(II) of the Act.
(b) Reasonable efforts. The title IV-E agency must make reasonable
efforts to maintain the family unit and prevent the unnecessary removal
of a child from his/her home, as long as the child's safety is assured;
to effect the safe reunification of the child and family (if temporary
out-of-home placement is necessary to ensure the immediate safety of the
child); and to make and finalize alternate permanency plans in a timely
manner when reunification is not appropriate or possible. In order to
satisfy the ``reasonable efforts'' requirements of section 471(a)(15)
(as implemented through section 472(a)(2) of the Act), the title IV-E
agency must meet the requirements of paragraphs (b) and (d) of this
section. In determining reasonable efforts to be made with respect to a
child and in making such reasonable efforts, the child's health and
safety must be the paramount concern.
(1) Judicial determination of reasonable efforts to prevent a
child's removal from the home. (i) When a child is removed from his/her
home, the judicial determination as to whether reasonable efforts were
made, or were not required to prevent the removal, in accordance with
paragraph (b)(3) of this section, must be made no later than 60 days
from the date the child is removed from the home pursuant to paragraph
(k)(1)(ii) of this section.
(ii) If the determination concerning reasonable efforts to prevent
the removal is not made as specified in paragraph (b)(1)(i) of this
section, the child is not eligible under the title IV-E foster care
maintenance payments program for the duration of that stay in foster
care.
(2) Judicial determination of reasonable efforts to finalize a
permanency plan. (i) The title IV-E agency must obtain a judicial
determination that it has made reasonable efforts to finalize the
permanency plan that is in effect (whether the plan is reunification,
adoption, legal guardianship, placement with a fit and willing relative,
or placement in another planned permanent living arrangement) within
twelve months of the date the child is considered to have entered foster
care in accordance with the definition at Sec. 1355.20 of this part,
and at least once every twelve months thereafter while the child is in
foster care.
(ii) If such a judicial determination regarding reasonable efforts
to finalize a permanency plan is not made in accordance with the
schedule prescribed in paragraph (b)(2)(i) of this section, the child
becomes ineligible under title IV-E at the end of the month in which the
judicial determination was required to have been made, and remains
ineligible until such a determination is made.
(3) Circumstances in which reasonable efforts are not required to
prevent a child's removal from home or to reunify the child and family.
Reasonable efforts to prevent a child's removal from home or to reunify
the child and family are not required if the title IV-E agency obtains a
judicial determination that such efforts are not required because:
(i) A court of competent jurisdiction has determined that the parent
has subjected the child to aggravated circumstances (as defined in
State, or for a Tribal title IV-E agency, Tribal law,

[[Page 374]]

which definition may include but need not be limited to abandonment,
torture, chronic abuse, and sexual abuse);
(ii) A court of competent jurisdiction has determined that the
parent has been convicted of:
(A) Murder (which would have been an offense under section 1111(a)
of title 18, United States Code, if the offense had occurred in the
special maritime or territorial jurisdiction of the United States) of
another child of the parent;
(B) Voluntary manslaughter (which would have been an offense under
section 1112(a) of title 18, United States Code, if the offense had
occurred in the special maritime or territorial jurisdiction of the
United States) of another child of the parent;
(C) Aiding or abetting, attempting, conspiring, or soliciting to
commit such a murder or such a voluntary manslaughter; or
(D) A felony assault that results in serious bodily injury to the
child or another child of the parent; or,
(iii) The parental rights of the parent with respect to a sibling
have been terminated involuntarily.
(4) Concurrent planning. Reasonable efforts to finalize an alternate
permanency plan may be made concurrently with reasonable efforts to
reunify the child and family.
(5) Use of the Federal Parent Locator Service. The State agency may
seek the services of the Federal Parent Locator Service to search for
absent parents at any point in order to facilitate a permanency plan.
(c) Contrary to the welfare determination. Under section 472(a)(2)
of the Act, a child's removal from the home must have been the result of
a judicial determination (unless the child was removed pursuant to a
voluntary placement agreement) to the effect that continuation of
residence in the home would be contrary to the welfare, or that
placement would be in the best interest, of the child. The contrary to
the welfare determination must be made in the first court ruling that
sanctions (even temporarily) the removal of a child from home. If the
determination regarding contrary to the welfare is not made in the first
court ruling pertaining to removal from the home, the child is not
eligible for title IV-E foster care maintenance payments for the
duration of that stay in foster care.
(d) Documentation of judicial determinations. The judicial
determinations regarding contrary to the welfare, reasonable efforts to
prevent removal, and reasonable efforts to finalize the permanency plan
in effect, including judicial determinations that reasonable efforts are
not required, must be explicitly documented and must be made on a case-
by-case basis and so stated in the court order.
(1) If the reasonable efforts and contrary to the welfare judicial
determinations are not included as required in the court orders
identified in paragraphs (b) and (c) of this section, a transcript of
the court proceedings is the only other documentation that will be
accepted to verify that these required determinations have been made.
(2) Neither affidavits nor nunc pro tunc orders will be accepted as
verification documentation in support of reasonable efforts and contrary
to the welfare judicial determinations except for a Tribal title IV-E
agency for the first 12 months that agency's title IV-E plan is in
effect as provided for in section 479B(c)(1)(C)(ii)(I) of the Act.
(3) Court orders that reference State or Tribal law to substantiate
judicial determinations are not acceptable, even if such law provides
that a removal must be based on a judicial determination that remaining
in the home would be contrary to the child's welfare or that removal can
only be ordered after reasonable efforts have been made.
(e) Trial home visits. A trial home visit may not exceed six months
in duration, unless a court orders a longer trial home visit. If a trial
home visit extends beyond six months and has not been authorized by the
court, or exceeds the time period the court has deemed appropriate, and
the child is subsequently returned to foster care, that placement must
then be considered a new placement and title IV-E eligibility must be
newly established. Under these circumstances the judicial determinations
regarding contrary to the welfare and reasonable efforts to prevent
removal are required.
(f) Case review system. In order to satisfy the provisions of
section 471(a)(16)

[[Page 375]]

of the Act regarding a case review system, each title IV-E agency's case
review system must meet the requirements of sections 475(5) and 475(6)
of the Act.
(g) Case plan requirements. In order to satisfy the case plan
requirements of sections 471(a)(16), 475(1) and 475(5)(A) and (D) of the
Act, the title IV-E agency must promulgate policy materials and
instructions for use by staff to determine the appropriateness of and
necessity for the foster care placement of the child. The case plan for
each child must:
(1) Be a written document, which is a discrete part of the case
record, in a format determined by the title IV-E agency, which is
developed jointly with the parent(s) or guardian of the child in foster
care; and
(2) Be developed within a reasonable period, to be established by
the title IV-E agency, but in no event later than 60 days from the
child's removal from the home pursuant to paragraph (k) of this section;
(3) Include a discussion of how the case plan is designed to achieve
a safe placement for the child in the least restrictive (most family-
like) setting available and in close proximity to the home of the
parent(s) when the case plan goal is reunification and a discussion of
how the placement is consistent with the best interests and special
needs of the child. (FFP is not available when a court orders a
placement with a specific foster care provider);
(4) Include a description of the services offered and provided to
prevent removal of the child from the home and to reunify the family;
and
(5) Document the steps to finalize a placement when the case plan
goal is or becomes adoption or placement in another permanent home in
accordance with sections 475(1)(E) and (5)(E) of the Act. When the case
plan goal is adoption, at a minimum, such documentation shall include
child-specific recruitment efforts such as the use of State, Tribal,
regional, and national adoption exchanges including electronic exchange
systems.

(This requirement has been approved by the Office of Management and
Budget under OMB Control Number 0980-0140. In accordance with the
Paperwork Reduction Act of 1995, an agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a currently valid OMB control number.)

(h) Application of the permanency hearing requirements. (1) To meet
the requirements of the permanency hearing, the title IV-E agency must,
among other requirements, comply with section 475(5)(C) of the Act.
(2) In accordance with paragraph (b)(3) of this section, when a
court determines that reasonable efforts to return the child home are
not required, a permanency hearing must be held within 30 days of that
determination, unless the requirements of the permanency hearing are
fulfilled at the hearing in which the court determines that reasonable
efforts to reunify the child and family are not required.
(3) If the title IV-E agency concludes, after considering
reunification, adoption, legal guardianship, or permanent placement with
a fit and willing relative, that the most appropriate permanency plan
for a child is placement in another planned permanent living
arrangement, the title IV-E agency must document to the court the
compelling reason for the alternate plan. Examples of a compelling
reason for establishing such a permanency plan may include:
(i) The case of an older teen who specifically requests that
emancipation be established as his/her permanency plan;
(ii) The case of a parent and child who have a significant bond but
the parent is unable to care for the child because of an emotional or
physical disability and the child's foster parents have committed to
raising him/her to the age of majority and to facilitate visitation with
the disabled parent; or,
(iii) the Tribe has identified another planned permanent living
arrangement for the child.

[[Page 376]]

(4) When an administrative body, appointed or approved by the court,
conducts the permanency hearing, the procedural safeguards set forth in
the definition of permanency hearing must be so extended by the
administrative body.
(i) Application of the requirements for filing a petition to
terminate parental rights at section 475(5)(E) of the Social Security
Act. (1) Subject to the exceptions in paragraph (i)(2) of this section,
the title IV-E agency must file a petition (or, if such a petition has
been filed by another party, seek to be joined as a party to the
petition) to terminate the parental rights of a parent(s):
(i) Whose child has been in foster care under the responsibility of
the title IV-E agency for 15 of the most recent 22 months. The petition
must be filed by the end of the child's fifteenth month in foster care.
In calculating when to file a petition for termination of parental
rights, the title IV-E agency:
(A) Must calculate the 15 out of the most recent 22 month period
from the date the child is considered to have entered foster care as
defined at section 475(5)(F) of the Act and Sec. 1355.20 of this part;
(B) Must use a cumulative method of calculation when a child
experiences multiple exits from and entries into foster care during the
22 month period;
(C) Must not include trial home visits or runaway episodes in
calculating 15 months in foster care; and,
(D) Need only apply section 475(5)(E) of the Act to a child once if
the title IV-E agency does not file a petition because one of the
exceptions at paragraph (i)(2) of this section applies;
(ii) Whose child has been determined by a court of competent
jurisdiction to be an abandoned infant (as defined under State or for a
Tribal title IV-E agency, Tribal law). The petition to terminate
parental rights must be filed within 60 days of the judicial
determination that the child is an abandoned infant; or,
(iii) Who has been convicted of one of the felonies listed at
paragraph (b)(3)(ii) of this section. Under such circumstances, the
petition to terminate parental rights must be filed within 60 days of a
judicial determination that reasonable efforts to reunify the child and
parent are not required.
(2) The title IV-E agency may elect not to file or join a petition
to terminate the parental rights of a parent per paragraph (i)(1) of
this section if:
(i) At the option of the title IV-E agency, the child is being cared
for by a relative;
(ii) The title IV-E agency has documented in the case plan (which
must be available for court review) a compelling reason for determining
that filing such a petition would not be in the best interests of the
individual child. Compelling reasons for not filing a petition to
terminate parental rights include, but are not limited to:
(A) Adoption is not the appropriate permanency goal for the child;
or,
(B) No grounds to file a petition to terminate parental rights
exist; or,
(C) The child is an unaccompanied refugee minor as defined in 45 CFR
400.111; or
(D) There are international legal obligations or compelling foreign
policy reasons that would preclude terminating parental rights; or
(iii) The title IV-E agency has not provided to the family,
consistent with the time period in the case plan, services that the
title IV-E agency deems necessary for the safe return of the child to
the home, when reasonable efforts to reunify the family are required.
(3) When the title IV-E agency files or joins a petition to
terminate parental rights in accordance with paragraph (i)(1) of this
section, it must concurrently begin to identify, recruit, process, and
approve a qualified adoptive family for the child.
(j) Child of a minor parent in foster care. Foster care maintenance
payments made on behalf of a child placed in a foster family home or
child care institution, who is the parent of a son or daughter in the
same home or institution, must include amounts which are necessary to
cover costs incurred on behalf of the child's son or daughter. Said
costs must be limited to funds expended on items listed in the
definition of foster care maintenance payments in Sec. 1355.20 of this
part.
(k) Removal from the home of a specified relative. (1) For the
purposes of

[[Page 377]]

meeting the requirements of section 472(a)(1) of the Act, a removal from
the home must occur pursuant to:
(i) A voluntary placement agreement entered into by a parent or
guardian which leads to a physical or constructive removal (i.e., a non-
physical or paper removal of custody) of the child from the home; or
(ii) A judicial order for a physical or constructive removal of the
child from a parent or specified relative.
(2) A removal has not occurred in situations where legal custody is
removed from the parent or relative and the child remains with the same
relative in that home under supervision by the title IV-E agency.
(3) A child is considered constructively removed on the date of the
first judicial order removing custody, even temporarily, from the
appropriate specified relative or the date that the voluntary placement
agreement is signed by all relevant parties.
(l) Living with a specified relative. For purposes of meeting the
requirements for living with a specified relative prior to removal from
the home under section 472(a)(1) of the Act, all of the conditions under
section 472(a)(3), and for Tribal title IV-E agencies section
479B(c)(1)(C)(ii)(II) of the Act, one of the two following situations
must apply:
(1) The child was living with the parent or specified relative, and
was AFDC eligible in that home in the month of the voluntary placement
agreement or initiation of court proceedings; or
(2) The child had been living with the parent or specified relative
within six months of the month of the voluntary placement agreement or
the initiation of court proceedings, and the child would have been AFDC
eligible in that month if s/he had still been living in that home.
(m) Review of payments and licensing standards. In meeting the
requirements of section 471(a)(11) of the Act, the title IV-E agency
must review at reasonable, specific, time-limited periods to be
established by the agency:
(1) The amount of the payments made for foster care maintenance to
assure their continued appropriateness, and that the amount made to a
licensed or approved relative or kinship foster family home is the same
as the amount that would have been made if the child was placed in a
licensed or approved non-relative foster family home;
(2) The amount of the payments made for adoption assistance to
assure their continued appropriateness; and
(3) The licensing or approval standards for child care institutions
and foster family homes.
(n) Foster care goals. The specific foster care goals required under
section 471(a)(14) of the Act must be incorporated into State law or
Tribal law by statute, code, resolution, Tribal proceedings or
administrative regulation with the force of law.
(o) Notice and right to be heard. The title IV-E agency must provide
the foster parent(s) of a child and any preadoptive parent or relative
providing care for the child with timely notice of and the opportunity
to be heard in any proceedings held with respect to the child during the
time the child is in the care of such foster parent, preadoptive parent,
or relative caregiver. Notice of and opportunity to be heard does not
include the right to standing as a party to the case.

[65 FR 4088, Jan. 25, 2000, as amended at 66 FR 58677, Nov. 23, 2001; 77
FR 947, Jan. 6, 2012; 88 FR 66708, Sept. 28, 2023]

Sec. 1356.22 Implementation requirements for children voluntarily
placed in foster care.

(a) As a condition of receipt of Federal financial participation
(FFP) in foster care maintenance payments for a dependent child removed
from his home under a voluntary placement agreement, the title IV-E
agency must meet the requirements of:
(1) Section 472 of the Act, as amended;
(2) Sections 422(b)(8) and 475(5) of the Act;
(3) 45 CFR 1356.21(e), (f), (g), (h), and (i); and
(4) The requirements of this section.
(b) Federal financial participation is available only for voluntary
foster care maintenance expenditures made within the first 180 days of
the child's placement in foster care unless there has been a judicial
determination by a court of competent jurisdiction, within

[[Page 378]]

the first 180 days of such placement, to the effect that the continued
voluntary placement is in the best interests of the child.
(c) The title IV-E agency must establish and maintain a uniform
procedure or system, consistent with State or Tribal law, for revocation
by the parent(s) of a voluntary placement agreement and return of the
child.

[65 FR 4090, Jan. 25, 2000, as amended at 66 FR 58677, Nov. 23, 2001; 77
FR 949, Jan. 6, 2012]

Sec. 1356.30 Safety requirements for foster care and adoptive home providers.

(a) The title IV-E agency must provide documentation that criminal
records checks have been conducted with respect to prospective foster
and adoptive parents.
(b) The title IV-E agency may not approve or license any prospective
foster or adoptive parent, nor may the title IV-E agency claim FFP for
any foster care maintenance or adoption assistance payment made on
behalf of a child placed in a foster home operated under the auspices of
a child placing agency or on behalf of a child placed in an adoptive
home through a private adoption agency, if the title IV-E agency finds
that, based on a criminal records check conducted in accordance with
paragraph (a) of this section, a court of competent jurisdiction has
determined that the prospective foster or adoptive parent has been
convicted of a felony involving:
(1) Child abuse or neglect;
(2) Spousal abuse;
(3) A crime against a child or children (including child
pornography); or,
(4) A crime involving violence, including rape, sexual assault, or
homicide, but not including other physical assault or battery.
(c) The title IV-E agency may not approve or license any prospective
foster or adoptive parent, nor may the title IV-E agency claim FFP for
any foster care maintenance or adoption assistance payment made on
behalf of a child placed in a foster home operated under the auspices of
a child placing agency or on behalf of a child placed in an adoptive
home through a private adoption agency, if the title IV-E agency finds,
based on a criminal records check conducted in accordance with paragraph
(a) of this section, that a court of competent jurisdiction has
determined that the prospective foster or adoptive parent has, within
the last five years, been convicted of a felony involving:
(1) Physical assault;
(2) Battery; or,
(3) A drug-related offense.
(d) [Reserved]
(e) In all cases where the State opted out of the criminal records
check requirement, as permitted prior to the amendments made by section
152 of Public Law 109-248, the licensing file for that foster or
adoptive family must contain documentation which verifies that safety
considerations with respect to the caretaker(s) have been addressed.
(f) In order for a child care institution to be eligible for title
IV-E funding, the licensing file for the institution must contain
documentation which verifies that safety considerations with respect to
the staff of the institution have been addressed.

[65 FR 4090, Jan. 25, 2000, as amended at 77 FR 949, Jan. 6, 2012]

Sec. 1356.40 Adoption assistance program: Administrative requirements
to implement section 473 of the Act.

(a) To implement the adoption assistance program provisions of the
title IV-E plan and to be eligible for Federal financial participation
in adoption assistance payments under this part, the title IV-E agency
must meet the requirements of this section and section 471(a),
applicable provisions of section 473, and section 475(3) of the Act.
(b) The adoption assistance agreement for payments pursuant to
section 473(a)(2) must meet the requirements of section 475(3) of the
Act and must:
(1) Be signed and in effect at the time of or prior to the final
decree of adoption. A copy of the signed agreement must be given to each
party; and
(2) Specify its duration; and
(3) Specify the nature and amount of any payment, services and
assistance to be provided under such agreement and, for purposes of
eligibility under title XIX of the Act, specify that the child is
eligible for Medicaid services; and

[[Page 379]]

(4) Specify, with respect to agreements entered into on or after
October 1, 1983, that the agreement shall remain in effect regardless of
the place of residence of the adoptive parents at any given time.
(c) There must be no income eligibility requirement (means test) for
the prospective adoptive parent(s) in determining eligibility for
adoption assistance payments.
(d) In the event an adoptive family moves from one place of
residence to another, the family may apply for social services on behalf
of the adoptive child in the new place of residence. If a needed
service(s) specified in the adoption assistance agreement is not
available in the new place of residence, the title IV-E agency making
the original adoption assistance payment remains financially responsible
for providing the specified service(s).
(e) A title IV-E agency may make an adoption assistance agreement
with adopting parent(s) who reside in another State or a Tribal service
area. If so, all provisions of this section apply.
(f) The title IV-E agency must actively seek ways to promote the
adoption assistance program.

[48 FR 23116, May 23, 1983, as amended at 53 FR 50220, Dec. 14, 1988; 77
FR 949, Jan. 6, 2012]

Sec. 1356.41 Nonrecurring expenses of adoption.

(a) The amount of the payment made for nonrecurring expenses of
adoption shall be determined through agreement between the adopting
parent(s) and the title IV-E agency administering the program. The
agreement must indicate the nature and amount of the nonrecurring
expenses to be paid.
(b) The agreement for nonrecurring expenses may be a separate
document or a part of an agreement for either State, Tribal, or Federal
adoption assistance payments or services.
(c) There must be no income eligibility requirement (means test) for
adopting parents in determining whether payments for nonrecurring
expenses of adoption shall be made. However, parents cannot be
reimbursed for out-of-pocket expenses for which they have otherwise been
reimbursed.
(d) For purposes of payment of nonrecurring expenses of adoption,
the title IV-E agency must determine that the child is a ``child with
special needs'' as defined in section 473(c) of the Act, and that the
child has been placed for adoption in accordance with applicable laws;
the child need not meet the categorical eligibility requirements at
section 473(a)(2).
(e)(1) The title IV-E agency must notify all appropriate courts and
all public and licensed private nonprofit adoption agencies of the
availability of funds for the nonrecurring expenses of adoption of
children with special needs as well as where and how interested persons
may apply for these funds. This information should routinely be made
available to all persons who inquire about adoption services.
(2) The agreement for nonrecurring expenses must be signed at the
time of or prior to the final decree of adoption. Claims must be filed
with the title IV-E agency within two years of the date of the final
decree of adoption.
(f)(1) Funds expended by the title IV-E agency under an adoption
assistance agreement, with respect to nonrecurring adoption expenses
incurred by or on behalf of parents who adopt a child with special
needs, shall be considered an administrative expenditure of the title
IV-E Adoption Assistance Program. Federal reimbursement is available at
a 50 percent matching rate, for title IV-E agency expenditures up to
$2,000, for any adoptive placement.
(2) Title IV-E agencies may set a reasonable lower maximum which
must be based on reasonable charges, consistent with State, Tribal, and
local practices, for special needs adoptions within the State or Tribal
service area. The basis for setting a lower maximum must be documented
and available for public inspection.
(3) In cases where siblings are placed and adopted, either
separately or as a unit, each child is treated as an individual with
separate reimbursement for nonrecurring expenses up to the maximum
amount allowable for each child.
(g) Federal financial participation for nonrecurring expenses of
adoption is limited to costs incurred by or on behalf of adoptive
parents that are not otherwise reimbursed from other

[[Page 380]]

sources. Payments for nonrecurring expenses shall be made either
directly by the title IV-E agency or through another public or licensed
nonprofit private agency.
(h) When the adoption of the child involves a placement outside the
State or Tribal service area, the title IV-E agency that enters into an
adoption assistance agreement under section 473(a)(1)(B)(ii) of the Act
or under a State or Tribal subsidy program will be responsible for
paying the nonrecurring adoption expenses of the child. In cases where
there is placement outside the State or Tribal service area but no
agreement for other Federal, Tribal, or State adoption assistance, the
title IV-E agency in the jurisdiction in which the final adoption decree
is issued will be responsible for reimbursement of nonrecurring expenses
if the child meets the requirements of section 473(c).
(i) The term ``nonrecurring adoption expenses'' means reasonable and
necessary adoption fees, court costs, attorney fees and other expenses
which are directly related to the legal adoption of a child with special
needs, which are not incurred in violation of State, Tribal or Federal
law, and which have not been reimbursed from other sources or other
funds. ``Other expenses which are directly related to the legal adoption
of a child with special needs'' means the costs of the adoption incurred
by or on behalf of the parents and for which parents carry the ultimate
liability for payment. Such costs may include the adoption study,
including health and psychological examination, supervision of the
placement prior to adoption, transportation and the reasonable costs of
lodging and food for the child and/or the adoptive parents when
necessary to complete the placement or adoption process.
(j) Failure to honor all eligible claims will be considered non-
compliance by the title IV-E agency with title IV-E of the Act.
(k) A title IV-E expenditure is considered made in the quarter
during which the payment was made by a title IV-E agency to a private
nonprofit agency, individual or vendor payee.

[53 FR 50220, Dec. 14, 1988, as amended at 77 FR 949, Jan. 6, 2012]

Sec. 1356.50 Withholding of funds for non-compliance with the
approved title IV-E plan.

(a) To be in compliance with the title IV-E plan requirements, a
title IV-E agency must meet the requirements of the Act and 45 CFR
1356.20, 1356.21, 1356.30, and 1356.40 of this part.
(b) To be in compliance with the title IV-E plan requirements, a
title IV-E agency that chooses to claim FFP for voluntary placements
must meet the requirements of the Act, 45 CFR 1356.22 and paragraph (a)
of this section; and
(c) For purposes of this section, the procedures in Sec. 1355.39 of
this chapter apply.

[48 FR 23117, May 23, 1983, as amended at 65 FR 4091, Jan. 25, 2000; 66
FR 58677, Nov. 23, 2001; 77 FR 950, Jan. 6, 2012]

Sec. 1356.60 Fiscal requirements (title IV-E).

(a) Federal matching funds for foster care maintenance and adoption
assistance payments. (1) Federal financial participation (FFP) is
available to title IV-E agencies under an approved title IV-E plan for
allowable costs in expenditures for:
(i) Foster care maintenance payments as defined in section 475(4) of
the Act, made in accordance with Sec. Sec. 1356.20 through 1356.30,
section 472 of the Act, and, for a Tribal title IV-E agency, section
479B of the Act; and
(ii) Adoption assistance payments made in accordance with Sec. Sec.
1356.20 and 1356.40, applicable provisions of section 473, section
475(3), and, for a Tribal title IV-E agency, section 479B of the Act.
(2) Federal financial participation is available at the rate of the
Federal medical assistance percentage as defined in section 1905(b),
474(a)(1) and (2), and 479B(d) of the Act as applicable, definitions,
and pertinent regulations as promulgated by the Secretary, or the
designee.
(b) Federal matching funds for title IV-E agency training for foster
care and adoption assistance under title IV-E. (1) Federal financial
participation is available at the rate of seventy-five percent (75%) in
the costs of:
(i) Training personnel employed or preparing for employment by the
title

[[Page 381]]

IV-E agency administering the plan, and;
(ii) Providing short-term training (including travel and per diem
expenses) to current or prospective foster or adoptive parents and the
members of the state licensed or approved child care institutions
providing care to foster and adopted children receiving title IV-E
assistance.
(2) All training activities and costs funded under title IV-E shall
be included in the agency's training plan for title IV-B.
(3) Short and long term training at educational institutions and in-
service training may be provided in accordance with the provisions of
Sec. Sec. 235.63 through 235.66(a) of this title.
(c) Federal matching funds for other title IV-E agency
administrative expenditures for foster care and adoption assistance
under title IV-E. Federal financial participation is available at the
rate of fifty percent (50%) for administrative expenditures necessary
for the proper and efficient administration of the title IV-E plan. The
State's cost allocation plan shall identify which costs are allocated
and claimed under this program.
(1) The determination and redetermination of eligibility, fair
hearings and appeals, rate setting and other costs directly related only
to the administration of the foster care program under this part are
deemed allowable administrative costs under this paragraph. They may not
be claimed under any other section or Federal program.
(2) The following are examples of allowable administrative costs
necessary for the administration of the foster care program:
(i) Referral to services;
(ii) Preparation for and participation in judicial determinations;
(iii) Placement of the child;
(iv) Development of the case plan;
(v) Case reviews;
(vi) Case management and supervision;
(vii) Recruitment and licensing of foster homes and institutions;
(viii) Rate setting;
(ix) A proportionate share of related agency overhead;
(x) Costs related to data collection and reporting; and
(xi) Costs related to legal representation described in paragraph
(c)(4) of this section.
(3) Allowable administrative costs do not include the costs of
social services provided to the child, the child's family or foster
family which provide counseling or treatment to ameliorate or remedy
personal problems, behaviors or home conditions.
(4) The following are allowable administrative costs of legal
representation:
(i) Legal representation in foster care proceedings provided by an
attorney representing the title IV-E agency or any other public agency
(including an Indian tribe) which has an agreement in effect under which
the other agency has placement and care responsibility of a title IV-E
eligible child pursuant to 472(a)(2)(B)(ii) of the Act;
(ii) Independent legal representation provided by an attorney
representing a child in title IV-E foster care, a child who is a
candidate for title IV-E foster care, the child's parent(s), the child's
relative caregiver(s), and the child's Indian custodian(s) in foster
care and other civil legal proceedings as necessary to carry out the
requirements in the agency's title IV-E foster care plan. Independent
legal representation in civil proceedings includes facilitating,
arranging, brokering, advocating, or otherwise linking clients with
providers and services as identified in the child's case plan pursuant
to sections 422, 471(a)(16), and 475 of the Act; and
(iii) Legal representation provided by an attorney representing an
Indian child's tribe (as defined by 25 U.S.C.1903(5)), or representation
of an Indian child's tribe provided by a non-attorney, when the child's
tribe participates or intervenes in any state court proceeding for the
foster care placement or termination of parental rights of an Indian
child who is in title IV-E foster care or an Indian child who is a
candidate for title IV-E foster care.

[[Page 382]]

(d) Cost of the data collection system. (1) Costs related to data
collection system initiation, implementation and operation may be
charged as an administrative cost of title IV-E at the 50 percent
matching rate subject to the restrictions in paragraph (d)(2) of this
section
(2) For information systems used for purposes other than those
specified by section 479 of the Act, costs must be allocated and must
bear the same ratio as the foster care and adoption population bears to
the total population contained in the information system as verified by
reports from all other programs included in the system.
(e) Federal matching funds for CCWIS and Non-CCWIS. Federal matching
funds are available at the rate of fifty percent (50%). Requirements for
the cost allocation of CCWIS and non-CCWIS project costs are at Sec.
1355.57 of this chapter.

[47 FR 30925, July 15, 1982, as amended at 48 FR 23117, May 23, 1983; 53
FR 50221, Dec. 14, 1988; 58 FR 67938, 67947, Dec. 22, 1993; 65 FR 4091,
Jan. 25, 2000; 66 FR 58677, Nov. 23, 2001; 77 FR 950, Jan. 6, 2012; 81
FR 35482, June 2, 2016; 87 FR 42339, July 15, 2022; 89 FR 40417, May 10,
2024]

Sec. Sec. 1356.65-1356.66 [Reserved]

Sec. 1356.67 Procedures for the transfer of placement and care
responsibility of a child from a State to a Tribal title IV-E agency
or an Indian Tribe with a
title IV-E agreement.

(a) Each State with a title IV-E plan approved under section 471 of
the Act must establish and maintain procedures, in consultation with
Indian Tribes, for the transfer of responsibility for the placement and
care of a child under a State title IV-E plan to a Tribal title IV-E
agency or an Indian Tribe with a title IV-E agreement in a way that does
not affect a child's eligibility for, or payment of, title IV-E and the
child's eligibility for medical assistance under title XIX of the Act.
(b) The procedures must, at a minimum, provide for the State to:
(1) Determine, if the eligibility determination is not already
completed, the child's eligibility under section 472 or 473 of the Act
at the time of the transfer of placement and care responsibility of a
child to a Tribal title IV-E agency or an Indian Tribe with a title IV-E
agreement.
(2) Provide essential documents and information necessary to
continue a child's eligibility under title IV-E and Medicaid programs
under title XIX to the Tribal title IV-E agency, including, but not
limited to providing:
(i) All judicial determinations to the effect that continuation in
the home from which the child was removed would be contrary to the
welfare of the child and that reasonable efforts described in section
471(a)(15) of the Act have been made;
(ii) Other documentation the State has that relates to the child's
title IV-E eligibility under sections 472 and 473 of the Act;
(iii) Information and documentation available to the agency
regarding the child's eligibility or potential eligibility for other
Federal benefits;
(iv) The case plan developed pursuant to section 475(1) of the Act,
including health and education records of the child pursuant to section
475(1)(C) of the Act; and
(v) Information and documentation of the child's placement settings,
including a copy of the most recent provider's license or approval.

[77 FR 950, Jan. 6, 2012]

Sec. 1356.68 Tribal title IV-E agency requirements for in-kind
administrative and training contributions from third-party sources.

(a) Option to claim in-kind expenditures from third-party sources
for non-Federal share of administrative and training costs. A Tribal
title IV-E agency may claim allowable in-kind expenditures from third-
party sources for the purpose of determining the non-Federal share of
administrative or training costs subject to paragraphs (b) through (d)
of this section.
(b) In-kind expenditures for fiscal years 2010 and 2011--(1)
Administrative costs. A Tribal title IV-E agency may claim allowable in-
kind expenditures from third-party sources of up to 25 percent of the
total administrative funds expended during a fiscal quarter pursuant to
section 474(a)(3)(C), (D) or (E) of the Act.

[[Page 383]]

(2) Training costs. A Tribal title IV-E agency may claim in-kind
training expenditures of up to 12 percent of the total training funds
expended during a fiscal year quarter pursuant to section 474(a)(3)(A)
and (B) of the Act, but only from the following sources:
(i) A State or local government;
(ii) An Indian Tribe, Tribal organization, or Tribal consortium
other than the Indian Tribe, organization, or consortium submitting the
title IV-E plan;
(iii) A public institution of higher education;
(iv) A Tribal College or University (as defined in section 316 of
the Higher Education Act of 1965 (20 U.S.C. 1059c)); and
(v) A private charitable organization.
(c) In-kind expenditures for fiscal years 2012 and thereafter--(1)
Administrative costs. A Tribal title IV-E agency may claim in-kind
expenditures from third-party sources of up to 50 percent of the total
administrative funds expended during a fiscal quarter pursuant to
section 474(a)(3)(C), (D) or (E) of the Act.
(2) Training costs. A Tribal title IV-E agency may claim in-kind
training expenditures of up to 25 percent (or 30 percent consistent with
section 203(b) of Pub. L. 110-351) of the total training funds expended
during each quarter of fiscal year 2012 pursuant to section 474(a)(3)(A)
and (B) of the Act. For fiscal year 2013 and thereafter, a Tribal title
IV-E agency may claim in-kind training expenditures of up to 25 percent
of the total training funds expended during a fiscal quarter pursuant to
section 474(a)(3)(A) and (B) of the Act.
(3) Third-party sources. A Tribal title IV-E agency may claim in-
kind training expenditures for training funds from any allowable third-
party source.

[77 FR 950, Jan. 6, 2012]

Sec. Sec. 1356.69-1356.70 [Reserved]

Sec. 1356.71 Federal review of the eligibility of children in
foster care and the eligibility of foster care providers in
title IV-E programs.

(a) Purpose, scope and overview of the process. (1) This section
sets forth requirements governing Federal reviews of compliance with the
title IV-E eligibility provisions as they apply to children and foster
care providers under paragraphs (a) and (b) of section 472 of the Act.
(2) The requirements of this section apply to title IV-E agencies
that receive Federal payments for foster care under title IV-E of the
Act.
(3) The review process begins with a primary review of foster care
cases for the title IV-E eligibility requirements.
(i) Title IV-E agencies in substantial compliance. Title IV-E
agencies determined to be in substantial compliance based on the primary
review will be subject to another review in three years.
(ii) Title IV-E agencies not in substantial compliance. Title IV-E
agencies that are determined not to be in substantial compliance based
on the primary review will develop and implement a program improvement
plan designed to correct the areas of noncompliance. A secondary review
will be conducted after the completion of the program improvement plan.
A subsequent primary review will be held three years from the date of
the secondary review.
(b) Composition of review team and preliminary activities preceding
an on-site review. (1) The review team must be composed of
representatives of the title IV-E agency, and ACF's Regional and Central
Offices.
(2) The title IV-E agency must provide ACF with the complete payment
history for each of the sample and oversample cases prior to the on-site
review.
(c) Sampling guidance and conduct of review. (1) The list of
sampling units in the target population (i.e., the sampling frame) will
be drawn by ACF statistical staff from the Adoption and Foster Care
Analysis and Reporting System (AFCARS) data which are transmitted by the
title IV-E agency to ACF. The sampling frame will consist of cases of
children who were eligible for foster care maintenance payments during
the reporting period reflected in a title IV-E agency's most recent
AFCARS data submission. For the initial primary review, if these data
are not available or are deficient, an alternative sampling frame,
consistent with one AFCARS six-month reporting period, will be selected
by

[[Page 384]]

ACF in conjunction with the title IV-E agency.
(2) A sample of 80 cases (plus a 10 percent oversample of eight
cases) from the title IV-E foster care program will be selected for the
primary review utilizing probability sampling methodologies. Usually,
the chosen methodology will be simple random sampling, but other
probability samples may be utilized, when necessary and appropriate.
(3) Cases from the oversample will be substituted and reviewed for
each of the original sample of 80 cases which is found to be in error.
(4) At the completion of the primary review, the review team will
determine the number of ineligible cases. When the total number of
ineligible cases does not exceed eight, ACF can conclude with a
probability of 88 percent that in a population of 1000 or more cases the
population ineligibility case error rate is less than 15 percent and the
title IV-E agency will be considered in substantial compliance.For
primary reviews held subsequent to the initial primary reviews, the
acceptable population ineligibility case error rate threshold will be
reduced from less than 15 percent (eight or fewer ineligible cases) to
less than 10 percent (four or fewer ineligible cases)). A title IV-E
agency which meets this standard is considered to be in ``substantial
compliance'' (see paragraph (h) of this section). A disallowance will be
assessed for the ineligible cases for the period of time the cases are
ineligible.
(5) A title IV-E agency which has been determined to be in
``noncompliance'' (i.e., not in substantial compliance) will be required
to develop a program improvement plan according to the specifications
discussed in paragraph (i) of this section, as well as undergo a
secondary review. For the secondary review, a sample of 150 cases (plus
a 10 percent oversample of 15 cases) will be drawn from the most recent
AFCARS submission. Usually, the chosen methodology will be simple random
sampling, but other probability samples may be utilized, when necessary
and appropriate. Cases from the oversample will be substituted and
reviewed for each of the original sample of 150 cases which is found to
be in error.
(6) At the completion of the secondary review, the review team will
calculate both the sample case ineligibility and dollar error rates for
the cases determined ineligible during the review. An extrapolated
disallowance equal to the lower limit of a 90 percent confidence
interval for the population total dollars in error for the amount of
time corresponding to the AFCARS reporting period will be assessed if
both the child/provider (case) ineligibility and dollar error rates
exceed 10 percent. If neither, or only one, of the error rates exceeds
10 percent, a disallowance will be assessed for the ineligible cases for
the period of time the cases are ineligible.
(d) Requirements subject to review. Title IV-E agencies will be
reviewed against the requirements of title IV-E of the Act regarding:
(1) The eligibility of the children on whose behalf the foster care
maintenance payments are made (section 472(a)(1)-(4) of the Act) to
include:
(i) Judicial determinations regarding ``reasonable efforts'' and
``contrary to the welfare'' in accordance with Sec. 1356.21(b) and (c),
respectively;
(ii) Voluntary placement agreements in accordance with Sec.
1356.22;
(iii) Responsibility for placement and care vested with the title
IV-E or other public agency per section 472(a)(2)(B) of the Act;
(iv) Placement in a licensed foster family home or child care
institution; and,
(v) Eligibility for AFDC under such State plan as it was in effect
on July 16, 1996 per section 472(a)(3) or 479B(c)(1)(C)(ii)(II) of the
Act, as appropriate.
(2) Allowable payments made to foster care providers who comport
with sections 471(a)(10), 471(a)(20), 472(b) and (c), and 479B(c)(2) of
the Act and Sec. 1356.30.
(e) Review instrument. A title IV-E foster care eligibility review
checklist will be used when conducting the eligibility review.
(f) Eligibility determination--child. The case record of the child
must contain sufficient documentation to verify a child's eligibility in
accordance with paragraph (d)(1) of this section, in

[[Page 385]]

order to substantiate payments made on the child's behalf.
(g) Eligibility determination--provider. (1) For each case being
reviewed, the title IV-E agency must make available a licensing file
which contains the licensing history, including a copy of the
certificate of licensure/approval or letter of approval, for each of the
providers in the following categories:
(i) Public child care institutions with 25 children or less in
residence;
(ii) Private child care institutions;
(iii) Group homes; and
(iv) Foster family homes, including relative homes.
(2) The licensing file must contain documentation that the title IV-
E agency has complied with the safety requirements for foster and
adoptive placements in accordance with Sec. 1356.30.
(3) If the licensing file does not contain sufficient information to
support a child's placement in a licensed facility, the title IV-E
agency may provide supplemental information from other sources (e.g., a
computerized database).
(h) Standards of compliance. (1) Disallowances will be taken, and
plans for program improvement required, based on the extent to which a
title IV-E agency is not in substantial compliance with recipient or
provider eligibility provisions of title IV-E, or applicable regulations
in 45 CFR parts 1355 and 1356.
(2) Substantial compliance and noncompliance are defined as follows:
(i) Substantial compliance--For the primary review (of the sample of
80 cases), no more than eight of the title IV-E cases reviewed may be
determined to be ineligible. (This critical number of allowable
``errors,'' i.e., ineligible cases, is reduced to four errors or less in
primary reviews held subsequent to the initial primary review). For the
secondary review (if required), substantial compliance means either the
case ineligibility or dollar error rate does not exceed 10 percent.
(ii) Noncompliance--means not in substantial compliance. For the
primary review (of the sample of 80 cases), nine or more of the title
IV-E cases reviewed must be determined to be ineligible. (This critical
number of allowable ``errors,'' i.e., ineligible cases, is reduced to
five or more in primary reviews subsequent to the initial primary
review). For the secondary review (if required), noncompliance means
both the case ineligibility and dollar error rates exceed 10 percent.
(3) ACF will notify the title IV-E agency in writing within 30
calendar days after the completion of the review of whether the title
IV-E agency is, or is not, operating in substantial compliance.
(4) Title IV-E agencies which are determined to be in substantial
compliance must undergo a subsequent review after a minimum of three
years.
(i) Program improvement plans. (1) Title IV-E agencies which are
determined to be in noncompliance with recipient or provider eligibility
provisions of title IV-E, or applicable regulations in 45 CFR Parts 1355
and 1356, will develop a program improvement plan designed to correct
the areas determined not to be in substantial compliance. The program
improvement plan will:
(i) Be developed jointly by title IV-E agency and Federal staff;
(ii) Identify the areas in which the title IV-E agency's program is
not in substantial compliance;
(iii) Not extend beyond one year. A title IV-E agency will have a
maximum of one year in which to implement and complete the provisions of
the program improvement plan unless State/Tribal legislative action is
required. In such instances, an extension may be granted with the title
IV-E agency and ACF negotiating the terms and length of such extension
that shall not exceed the last day of the first legislative session
after the date of the program improvement plan; and
(iv) Include:
(A) Specific goals;
(B) The action steps required to correct each identified weakness or
deficiency; and,
(C) a date by which each of the action steps is to be completed.
(2) Title IV-E agencies determined not to be in substantial
compliance as a result of a primary review must submit the program
improvement plan to ACF for approval within 90 calendar days from the
date the title IV-E agency receives written notification that it is not
in substantial compliance. This

[[Page 386]]

deadline may be extended an additional 30 calendar days when a title IV-
E agency submits additional documentation to ACF in support of cases
determined to be ineligible as a result of the on-site eligibility
review.
(3) The ACF Regional Office will intermittently review, in
conjunction with the title IV-E agency, the title IV-E agency's progress
in completing the prescribed action steps in the program improvement
plan.
(4) If a title IV-E agency does not submit an approvable program
improvement plan in accordance with the provisions of paragraphs (i)(1)
and (2) of this section, ACF will move to a secondary review in
accordance with paragraph (c) of this section.
(j) Disallowance of funds. The amount of funds to be disallowed will
be determined by the extent to which a title IV-E agency is not in
substantial compliance with recipient or provider eligibility provisions
of title IV-E, or applicable regulations in 45 CFR parts 1355 and 1356.
(1) Title IV-E agencies which are found to be in substantial
compliance during the primary or secondary review will have
disallowances (if any) determined on the basis of individual cases
reviewed and found to be in error. The amount of disallowance will be
computed on the basis of payments associated with ineligible cases for
the entire period of time that each case has been ineligible.
(2) Title IV-E agencies which are found to be in noncompliance
during the primary review will have disallowances determined on the
basis of individual cases reviewed and found to be in error, and must
implement a program improvement plan in accordance with the provisions
contained within it. A secondary review will be conducted no later than
during the AFCARS reporting period which immediately follows the program
improvement plan completion date on a sample of 150 cases drawn from the
title IV-E agency's most recent AFCARS data. If both the case
ineligibility and dollar error rates exceed 10 percent, the title IV-E
agency is not in compliance and an additional disallowance will be
determined based on extrapolation from the sample to the universe of
claims paid for the duration of the AFCARS reporting period (i.e., all
title IV-E funds expended for a case during the quarter(s) that case is
ineligible, including administrative costs). If either the case
ineligibility or dollar rate does not exceed 10 percent, the amount of
disallowance will be computed on the basis of payments associated with
ineligible cases for the entire period of time the case has been
determined to be ineligible.
(3) The title IV-E agency will be liable for interest on the amount
of funds disallowed by the Department, in accordance with the provisions
of 45 CFR 30.18.
(4) Title IV-E agencies may appeal any disallowance actions taken by
ACF to the HHS Departmental Appeals Board in accordance with regulations
at 45 CFR part 16.

[65 FR 4091, Jan. 25, 2000, as amended at 66 FR 58677, Nov. 23, 2001; 77
FR 951, Jan. 6, 2012]

Sec. 1356.80 Scope of the National Youth in Transition Database.

The requirements of the National Youth in Transition Database (NYTD)
Sec. Sec. 1356.81 through 1356.86 of this part apply to the agency in
any State, the District of Columbia, or Territory, that administers, or
supervises the administration of the Chafee Foster Care Independence
Program (CFCIP) under section 477 of the Social Security Act (the Act).

[73 FR 10365, Feb. 26, 2008]

Sec. 1356.81 Reporting population.

The reporting population is comprised of all youth in the following
categories:
(a) Served population. Each youth who receives an independent living
service paid for or provided by the State agency during the reporting
period.
(b) Baseline population. Each youth who is in foster care as defined
in 45 CFR 1355.20 and reaches his or her 17th birthday during Federal
fiscal year (FFY) 2011, and such youth who reach a 17th birthday during
every third year thereafter.
(c) Follow-up population. Each youth who reaches his or her 19th or
21st birthday in a Federal fiscal year and had participated in data
collection as

[[Page 387]]

part of the baseline population, as specified in section 1356.82(a)(2)
of this part. A youth has participated in the outcomes data collection
if the State agency reports to ACF a valid response (i.e., a response
option other than ``declined'' and ``not applicable'') to any of the
outcomes-related elements described in section 1356.83(g)(37) through
(g)(58) of this part.

[73 FR 10365, Feb. 26, 2008]

Sec. 1356.82 Data collection requirements.

(a) The State agency must collect applicable information as
specified in section 1356.83 of this part on the reporting population
defined in section 1356.81 of this part in accordance with the
following:
(1) For each youth in the served population, the State agency must
collect information for the data elements specified in section
1356.83(b) and 1356.83(c) of this part on an ongoing basis, for as long
as the youth receives services.
(2) For each youth in the baseline population, the State agency must
collect information for the data elements specified in section
1356.83(b) and 1356.83(d) of this part. The State agency must collect
this information on a new baseline population every three years.
(i) For each youth in foster care who turns age 17 in FFY 2011, the
State agency must collect this information within 45 days following the
youth's 17th birthday, but not before that birthday.
(ii) Every third Federal fiscal year thereafter, the State agency
must collect this information on each youth in foster care who turns age
17 during the year within 45 days following the youth's 17th birthday,
but not before that birthday.
(iii) The State agency must collect this information using the
survey questions in appendix B of this part entitled ``Information to
collect from all youth surveyed for outcomes, whether in foster care or
not.''
(3) For each youth in the follow-up population, the State agency
must collect information on the data elements specified in sections
1356.83(b) and 1356.83(e) of this part within the reporting period of
the youth's 19th and 21st birthday. The State agency must collect the
information using the appropriate survey questions in appendix B of this
part, depending upon whether the youth is in foster care.
(b) The State agency may select a sample of the 17-year-olds in the
baseline population to follow over time consistent with the sampling
requirements described in section 1356.84 of this part to satisfy the
data collection requirements in paragraph (a)(3) of this section for the
follow-up population. A State that samples must identify the youth at
age 19 who participated in the outcomes data collection as part of the
baseline population at age 17 who are not in the sample in accordance
with 45 CFR 1356.83(e).

[73 FR 10365, Feb. 26, 2008]

Sec. 1356.83 Reporting requirements and data elements.

(a) Reporting periods and deadlines. The six-month reporting periods
are from October 1 to March 31 and April 1 to September 30. The State
agency must submit data files that include the information specified in
this section to ACF on a semi-annual basis, within 45 days of the end of
the reporting period (i.e., by May 15 and November 14).
(b) Data elements for all youth. The State agency must report the
data elements described in paragraphs (g)(1) through (g)(13) of this
section for each youth in the entire reporting population defined in
section 1356.81 of this part.
(c) Data elements for served youth. The State agency must report the
data elements described in paragraphs (g)(14) through (g)(33) of this
section for each youth in the served population defined in section
1356.81(a) of this part.
(d) Data elements for baseline youth. The State agency must report
the data elements described in paragraphs (g)(34) through (g)(58) of
this section for each youth in the baseline population defined in
section 1356.81(b) of this part.
(e) Data elements for follow-up youth. The State agency must report
the data elements described in paragraphs (g)(34) through (g)(58) of
this section for each youth in the follow-up population defined in
section 1356.81(c) of this part or alternatively, for each youth
selected in accordance with the sampling

[[Page 388]]

procedures in section 1356.84 of this part. A State that samples must
identify in the outcomes reporting status element described in paragraph
(g)(34), the 19-year-old youth who participated in the outcomes data
collection as a part of the baseline population at age 17, who are not
in the sample.
(f) Single youth record. The State agency must report all applicable
data elements for an individual youth in one record per reporting
period.
(g) Data element descriptions. For each element described in
paragraphs (g)(1) through (58) of this section, the State agency must
indicate the applicable response as instructed.
(1) State. State means the State responsible for reporting on the
youth. Indicate the first two digits of the State's Federal Information
Processing Standard (FIPS) code for the State submitting the report to
ACF.
(2) Report date. The report date corresponds with the end of the
current reporting period. Indicate the last month and the year of the
reporting period.
(3) Record number. The record number is the encrypted, unique person
identification number for the youth. The State agency must apply and
retain the same encryption routine or method for the person
identification number across all reporting periods. The record number
must be encrypted in accordance with ACF standards. Indicate the record
number for the youth.
(i) If the youth is in foster care as defined in 45 CFR 1355.20 or
was during the current or previous reporting period, the State agency
must use and report to the NYTD the same person identification number
for the youth the State agency reports to AFCARS. The person
identification number must remain the same for the youth wherever the
youth is living and in any subsequent NYTD reports.
(ii) If the youth was never in the State's foster care system as
defined in 45 CFR 1355.20, the State agency must assign a person
identification number that must remain the same for the youth wherever
the youth is living and in any subsequent reports to NYTD.
(4) Date of birth. The youth's date of birth. Indicate the year,
month, and day of the youth's birth.
(5) Sex. The youth's sex. Indicate whether the youth is male or
female as appropriate.
(6) Race: American Indian or Alaska Native. In general, a youth's
race is determined by the youth or the youth's parent(s). An American
Indian or Alaska Native youth has origins in any of the original peoples
of North or South America (including Central America), and maintains
tribal affiliation or community attachment. Indicate whether this racial
category applies for the youth, with a ``yes'' or ``no.''
(7) Race: Asian. In general, a youth's race is determined by the
youth or the youth's parent(s). An Asian youth has origins in any of the
original peoples of the Far East, Southeast Asia, or the Indian
subcontinent including, for example, Cambodia, China, India, Japan,
Korea, Malaysia, Pakistan, the Philippine Islands, Thailand, and
Vietnam. Indicate whether this racial category applies for the youth,
with a ``yes'' or ``no.''
(8) Race: Black or African American. In general, a youth's race is
determined by the youth or the youth's parent(s). A Black or African
American youth has origins in any of the black racial groups of Africa.
Indicate whether this racial category applies for the youth, with a
``yes'' or ``no.''
(9) Race: Native Hawaiian or Other Pacific Islander. In general, a
youth's race is determined by the youth or the youth's parent(s). A
Native Hawaiian or Other Pacific Islander youth has origins in any of
the original peoples of Hawaii, Guam, Samoa, or other Pacific Islands.
Indicate whether this racial category applies for the youth, with a
``yes'' or ``no.''
(10) Race: White. In general, a youth's race is determined by the
youth or the youth's parent(s). A White youth has origins in any of the
original peoples of Europe, the Middle East, or North Africa. Indicate
whether this racial category applies for the youth, with a ``yes'' or
``no.''
(11) Race: unknown. The race, or at least one race of the youth is
unknown, or the youth and/or parent is not able to communicate the
youth's race. Indicate whether this category applies for the youth, with
a ``yes'' or ``no.''

[[Page 389]]

(12) Race: declined. The youth or parent has declined to identify a
race. Indicate whether this category applies for the youth, with a
``yes'' or ``no.''
(13) Hispanic or Latino ethnicity. In general, a youth's ethnicity
is determined by the youth or the youth's parent(s). A youth is of
Hispanic or Latino ethnicity if the youth is a person of Cuban, Mexican,
Puerto Rican, South or Central American, or other Spanish culture or
origin, regardless of race. Indicate which category applies, with
``yes,'' ``no,'' ``unknown'' or ``declined,'' as appropriate.
``Unknown'' means that the youth and/or parent is unable to communicate
the youth's ethnicity. ``Declined'' means that the youth or parent has
declined to identify the youth's Hispanic or Latino ethnicity.
(14) Foster care status--services. The youth receiving services is
or was in foster care during the reporting period if the youth is or was
in the placement and care responsibility of the State title IV-B/IV-E
agency in accordance with the definition of foster care in 45 CFR
1355.20. Indicate whether the youth is or was in foster care at any
point during the reporting period, with a ``yes'' or ``no'' as
appropriate. If the youth is not in the served population this element
must be left blank.
(15) Local agency. The local agency is the county or equivalent
jurisdictional unit that has primary responsibility for placement and
care of a youth who is in foster care consistent with the definition in
45 CFR 1355.20, or that has primary responsibility for providing
services to a youth who is not in foster care. Indicate the five-digit
Federal Information Processing Standard (FIPS) code(s) that corresponds
to the identity of the county or equivalent unit jurisdiction(s) that
meets these criteria during the reporting period. If a youth who is not
in foster care is provided services by a centralized unit only, rather
than a county agency, indicate ``centralized unit.'' If the youth is not
in the served population this element must be left blank.
(16) Federally recognized tribe. The youth is enrolled in or
eligible for membership in a federally recognized tribe. The term
``federally recognized tribe'' means any Indian tribe, band, nation, or
other organized group or community of Indians, including any Alaska
Native village or regional or village corporation, as defined in or
established pursuant to the Alaska Native Claims Settlement Act (43
U.S.C 1601 et seq.), that is recognized as eligible for the special
programs and services provided by the United States to Indians because
of their status as Indians pursuant to the Indian Self-Determination and
Educational Assistance Act (25 U.S.C. 450 et seq.). Indicate ``yes'' or
``no'' as appropriate. If the youth is not in the served population this
element must be left blank.
(17) Adjudicated delinquent. Adjudicated delinquent means that a
State or Federal court of competent jurisdiction has adjudicated the
youth as a delinquent. Indicate ``yes,'' or ``no'' as appropriate. If
the youth is not in the served population this element must be left
blank.
(18) Educational level. Educational level means the highest
educational level completed by the youth. For example, for a youth
currently in 11th grade, ``10th grade'' is the highest educational level
completed. Post-secondary education or training refers to any post-
secondary education or training, other than an education pursued at a
college or university. College refers to completing at least a semester
of study at a college or university. Indicate the highest educational
level completed by the youth during the reporting period. If the youth
is not in the served population this element must be left blank.
(19) Special education. The term ``special education,'' means
specifically designed instruction, at no cost to parents, to meet the
unique needs of a child with a disability. Indicate whether the youth
has received special education instruction during the reporting period
with a ``yes'' or ``no'' as appropriate. If the youth is not in the
served population this element must be left blank.
(20) Independent living needs assessment. An independent living
needs assessment is a systematic procedure to identify a youth's basic
skills, emotional and social capabilities, strengths, and needs to match
the youth with appropriate independent living services. An independent
living

[[Page 390]]

needs assessment may address knowledge of basic living skills, job
readiness, money management abilities, decision-making skills, goal
setting, task completion, and transitional living needs. Indicate
whether the youth received an independent living needs assessment that
was paid for or provided by the State agency during the reporting period
with a ``yes'' or ``no'' as appropriate. If the youth is not in the
served population this element must be left blank.
(21) Academic support. Academic supports are services designed to
help a youth complete high school or obtain a General Equivalency Degree
(GED). Such services include the following: Academic counseling;
preparation for a GED, including assistance in applying for or studying
for a GED exam; tutoring; help with homework; study skills training;
literacy training; and help accessing educational resources. Academic
support does not include a youth's general attendance in high school.
Indicate whether the youth received academic supports during the
reporting period that were paid for or provided by the State agency with
a ``yes'' or ``no'' as appropriate. If the youth is not in the served
population this element must be left blank.
(22) Post-secondary educational support. Post-secondary educational
support are services designed to help a youth enter or complete a post-
secondary education and include the following: Classes for test
preparation, such as the Scholastic Aptitude Test (SAT); counseling
about college; information about financial aid and scholarships; help
completing college or loan applications; or tutoring while in college.
Indicate whether the youth received post-secondary educational support
during the reporting period that was paid for or provided by the State
agency with a ``yes'' or ``no'' as appropriate. If the youth is not in
the served population this element must be left blank.
(23) Career preparation. Career preparation services focus on
developing a youth's ability to find, apply for, and retain appropriate
employment. Career preparation includes the following types of
instruction and support services: Vocational and career assessment,
including career exploration and planning, guidance in setting and
assessing vocational and career interests and skills, and help in
matching interests and abilities with vocational goals; job seeking and
job placement support, including identifying potential employers,
writing resumes, completing job applications, developing interview
skills, job shadowing, receiving job referrals, using career resource
libraries, understanding employee benefits coverage, and securing work
permits; retention support, including job coaching; learning how to work
with employers and other employees; understanding workplace values such
as timeliness and appearance; and understanding authority and customer
relationships. Indicate whether the youth received career preparation
services during the reporting period that was paid for or provided by
the State agency with a ``yes'' or ``no'' as appropriate. If the youth
is not in the served population this element must be left blank.
(24) Employment programs or vocational training. Employment programs
and vocational training are designed to build a youth's skills for a
specific trade, vocation, or career through classes or on-site training.
Employment programs include a youth's participation in an
apprenticeship, internship, or summer employment program and do not
include summer or after-school jobs secured by the youth alone.
Vocational training includes a youth's participation in vocational or
trade programs and the receipt of training in occupational classes for
such skills as cosmetology, auto mechanics, building trades, nursing,
computer science, and other current or emerging employment sectors.
Indicate whether the youth attended an employment program or received
vocational training during the reporting period that was paid for or
provided by the State agency, with a ``yes'' or ``no'' as appropriate.
If the youth is not in the served population this element must be left
blank.
(25) Budget and financial management. Budget and financial
management assistance includes the following types of training and
practice: Living within a budget; opening and using a checking and
savings account; balancing a checkbook; developing consumer

[[Page 391]]

awareness and smart shopping skills; accessing information about credit,
loans and taxes; and filling out tax forms. Indicate whether the youth
received budget and financial management assistance during the reporting
period that was paid for or provided by the State agency with a ``yes''
or ``no'' as appropriate. If the youth is not in the served population
this element must be left blank.
(26) Housing education and home management training. Housing
education includes assistance or training in locating and maintaining
housing, including filling out a rental application and acquiring a
lease, handling security deposits and utilities, understanding practices
for keeping a healthy and safe home, understanding tenants rights and
responsibilities, and handling landlord complaints. Home management
includes instruction in food preparation, laundry, housekeeping, living
cooperatively, meal planning, grocery shopping and basic maintenance and
repairs. Indicate whether the youth received housing education or home
management training during the reporting period that was paid for or
provided by the State agency with a ``yes'' or ``no'' as appropriate. If
the youth is not in the served population this element must be left
blank.
(27) Health education and risk prevention. Health education and risk
prevention includes providing information about: Hygiene, nutrition,
fitness and exercise, and first aid; medical and dental care benefits,
health care resources and insurance, prenatal care and maintaining
personal medical records; sex education, abstinence education, and HIV
prevention, including education and information about sexual development
and sexuality, pregnancy prevention and family planning, and sexually
transmitted diseases and AIDS; substance abuse prevention and
intervention, including education and information about the effects and
consequences of substance use (alcohol, drugs, tobacco) and substance
avoidance and intervention. Health education and risk prevention does
not include the youth's actual receipt of direct medical care or
substance abuse treatment. Indicate whether the youth received these
services during the reporting period that were paid for or provided by
the State agency with a ``yes'' or ``no'' as appropriate. If the youth
is not in the served population this element must be left blank.
(28) Family support and healthy marriage education. Such services
include education and information about safe and stable families,
healthy marriages, spousal communication, parenting, responsible
fatherhood, childcare skills, teen parenting, and domestic and family
violence prevention. Indicate whether the youth received these services
that were paid for or provided by the State agency during the reporting
period with a ``yes'' or ``no'' as appropriate. If the youth is not in
the served population this element must be left blank.
(29) Mentoring. Mentoring means that the youth has been matched with
a screened and trained adult for a one-on-one relationship that involves
the two meeting on a regular basis. Mentoring can be short-term, but it
may also support the development of a long-term relationship. While
youth often are connected to adult role models through school, work, or
family, this service category only includes a mentor relationship that
has been facilitated, paid for or provided by the State agency or its
staff. Indicate whether the youth received mentoring services that were
paid for or provided by the State agency during the reporting period
with a ``yes'' or ``no'' as appropriate. If the youth is not in the
served population this element must be left blank.
(30) Supervised independent living. Supervised independent living
means that the youth is living independently under a supervised
arrangement that is paid for or provided by the State agency. A youth in
supervised independent living is not supervised 24 hours a day by an
adult and often is provided with increased responsibilities, such as
paying bills, assuming leases, and working with a landlord, while under
the supervision of an adult. Indicate whether the youth was living in a
supervised independent living setting that was paid or provided by the
State agency during the reporting period with a ``yes'' or ``no'' as
appropriate. If the youth is not

[[Page 392]]

in the served population this element must be left blank.
(31) Room and board financial assistance. Room and board financial
assistance is a payment that is paid for or provided by the State agency
for room and board, including rent deposits, utilities, and other
household start-up expenses. Indicate whether the youth received
financial assistance for room and board that was paid for or provided by
during the reporting period with a ``yes'' or ``no'' as appropriate. If
the youth is not in the served population this element must be left
blank.
(32) Education financial assistance. Education financial assistance
is a payment that is paid for or provided by the State agency for
education or training, including allowances to purchase textbooks,
uniforms, computers, and other educational supplies; tuition assistance;
scholarships; payment for educational preparation and support services
(i.e., tutoring), and payment for GED and other educational tests. This
financial assistance also includes vouchers for tuition or vocational
education or tuition waiver programs paid for or provided by the State
agency. Indicate whether the youth received education financial
assistance during the reporting period that was paid for or provided by
the State agency with a ``yes'' or ``no'' as appropriate. If the youth
is not in the served population this element must be left blank.
(33) Other financial assistance. Other financial assistance includes
any other payments made or provided by the State agency to help the
youth live independently. Indicate whether the youth received any other
financial assistance that was paid for or provided by the State agency
during the reporting period with a ``yes'' or ``no'' as appropriate. If
the youth is not in the served population this element must be left
blank.
(34) Outcomes reporting status. The outcomes reporting status
represents the youth's participation, or lack thereof, in the outcomes
data collection. If the State agency collects and reports information on
any of the data elements in paragraphs (g)(37) through (g)(58) of this
section for a youth in the baseline or follow-up sample or population,
indicate that the youth participated. If a youth is in the baseline or
follow-up sample or population, but the State agency is unable to
collect the information, indicate the reason and leave the data elements
in paragraph (g)(37) through (g)(58) of this section blank. If a 19-year
old youth in the follow-up population is not in the sample, indicate
that the youth is not in the sample. If the youth is not in the baseline
or follow-up population this element must be left blank.
(i) Youth participated. The youth participated in the outcome
survey, either fully or partially.
(ii) Youth declined. The State agency located the youth successfully
and invited the youth's participation, but the youth declined to
participate in the data collection.
(iii) Parent declined. The State agency invited the youth's
participation, but the youth's parent/guardian declined to grant
permission. This response may be used only when the youth has not
reached the age of majority in the State and State law or policy
requires a parent/guardian's permission for the youth to participate in
information collection activities.
(iv) Incapacitated. The youth has a permanent or temporary mental or
physical condition that prevents him or her from participating in the
outcomes data collection.
(v) Incarcerated. The youth is unable to participate in the outcomes
data collection because of his or her incarceration.
(vi) Runaway/missing. A youth in foster care is known to have run
away or be missing from his or her foster care placement.
(vii) Unable to locate/invite. The State agency could not locate a
youth who is not in foster care or otherwise invite such a youth's
participation.
(viii) Death. The youth died prior to his participation in the
outcomes data collection.
(ix) Not in sample. The 19-year-old youth participated in the
outcomes data collection as a part of the baseline population at age 17,
but the youth is not in the State's follow-up sample. This response
option applies only when the outcomes data collection is required on the
follow-up population of 19-year-old youth.

[[Page 393]]

(35) Date of outcome data collection. The date of outcome data
collection is the latest date that the agency collected data from a
youth for the elements described in paragraphs (g)(38) through (g)(58)
of this section. Indicate the month, day and year of the outcomes data
collection. If the youth is not in the baseline or follow-up population
this element must be left blank.
(36) Foster care status--outcomes. The youth is in foster care if
the youth is under the placement and care responsibility of the State
title IV-B/IV-E agency in accordance with the definition of foster care
in 45 CFR 1355.20. Indicate whether the youth is in foster care on the
date of outcomes data collection with a ``yes'' or ``no'' as
appropriate. If the youth is not in the baseline or follow-up population
this element must be left blank.
(37) Current full-time employment. A youth is employed full-time if
employed at least 35 hours per week, in one or multiple jobs, as of the
date of the outcome data collection. Indicate whether the youth is
employed full-time, with a ``yes'' or ``no'' as appropriate. If the
youth does not answer this question indicate ``declined.'' If the youth
is not in the baseline or follow-up population this element must be left
blank.
(38) Current part-time employment. A youth is employed part-time if
employed between one and 34 hours per week, in one or multiple jobs, as
of the date of the outcome data collection. Indicate whether the youth
is employed part-time, with a ``yes'' or ``no.'' If the youth does not
answer this question, indicate ``declined.'' If the youth is not in the
baseline or follow-up population this element must be left blank.
(39) Employment-related skills. A youth has obtained employment-
related skills if the youth completed an apprenticeship, internship, or
other on-the-job training, either paid or unpaid, in the past year. The
experience must help the youth acquire employment-related skills, such
as specific trade skills such as carpentry or auto mechanics, or office
skills such as word processing or use of office equipment. Indicate
whether the youth has obtained employment-related skills, with a ``yes''
or ``no'' as appropriate. If the youth does not answer this question,
indicate ``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(40) Social Security. A youth is receiving some form of Social
Security if receiving Supplemental Security Income (SSI) or Social
Security Disability Insurance (SSDI), either directly or as a dependent
beneficiary as of the date of the outcome data collection. SSI payments
are made to eligible low-income persons with disabilities. SSDI payments
are made to persons with a certain amount of work history who become
disabled. A youth may receive SSDI payments through a parent. Indicate
whether the youth is receiving a form of Social Security payments, with
a ``yes'' or ``no'' as appropriate. If the youth does not answer this
question, indicate ``declined.'' If the youth is not in the baseline or
follow-up population this element must be left blank.
(41) Educational aid. A youth is receiving educational aid if using
a scholarship, voucher (including education or training vouchers
pursuant to section 477(h)(2) of the Social Security Act), grant,
stipend, student loan, or other type of educational financial aid to
cover educational expenses as of the date of the outcome data
collection. Scholarships, grants, and stipends are funds awarded for
spending on expenses related to gaining an education. ``Student loan''
means a government-guaranteed, low-interest loan for students in post-
secondary education. Indicate whether the youth is receiving educational
aid with a ``yes'' or ``no'' as appropriate. If the youth does not
answer this question, indicate ``declined.'' If the youth is not in the
baseline or follow-up population this element must be left blank.
(42) Public financial assistance. A youth is receiving public
financial assistance if receiving ongoing cash welfare payments from the
government to cover some of his or her basic needs, as of the date of
the outcome data collection. Public financial assistance does not
include government payments or subsidies for specific purposes, such as
unemployment insurance, child care subsidies, education assistance, food
stamps or housing assistance. Indicate

[[Page 394]]

whether the youth is receiving public financial assistance, with ``yes''
or ``no'' as appropriate, and ``not applicable'' for a youth still in
foster care. If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(43) Public food assistance. A youth is receiving public food
assistance if receiving food stamps in any form (i.e., government-
sponsored checks, coupons or debit cards) to buy eligible food at
authorized stores as of the date of the outcome data collection. This
definition includes receiving public food assistance through the Women,
Infants, and Children (WIC) program. Indicate whether the youth is
receiving some form of public food assistance with ``yes'' or ``no,''
and ``not applicable'' for a youth still in foster care. If the youth
does not answer this question, indicate ``declined.'' If the youth is
not in the baseline or follow-up population this element must be left
blank.
(44) Public housing assistance. A youth is receiving public housing
assistance if the youth is living in government-funded public housing,
or receiving a government-funded housing voucher to pay for part of his/
her housing costs as of the date of the outcome data collection. CFCIP
room and board payments are not included in this definition. Indicate
whether the youth is receiving housing assistance with ``yes'' or ``no''
and ``not applicable'' for a youth still in foster care. If the youth
does not answer this question, indicate ``declined.'' If the youth is
not in the baseline or follow-up population this element must be left
blank.
(45) Other financial support. A youth has other financial support if
receiving any other periodic and/or significant financial resources or
support from another source not listed in the elements described in
paragraphs (g)(41) through (g)(44) of this section as of the date of
outcome data collection. Such support can include payments from a spouse
or family member (biological, foster or adoptive), child support that
the youth receives for him or herself, or funds from a legal settlement.
This definition does not include occasional gifts, such as birthday or
graduation checks or small donations of food or personal incidentals,
child care subsidies, child support for a youth's child, or other
financial support which does not benefit the youth directly in
supporting himself or herself. Indicate whether the youth is receiving
any other financial support with a ``yes'' or ``no.'' If the youth does
not answer this question, indicate ``declined.'' If the youth is not in
the baseline or follow-up population this element must be left blank.
(46) Highest educational certification received. A youth has
received an education certificate if the youth has a high school diploma
or general equivalency degree (GED), vocational certificate, vocational
license, associate's degree (e.g., A.A.), bachelor's degree (e.g., B.A.
or B.S.), or a higher degree as of the date of the outcome data
collection. Indicate the highest degree that the youth has received. If
the youth does not answer this question, indicate ``declined.'' If the
youth is not in the baseline or follow-up population this element must
be left blank.
(i) A vocational certificate is a document stating that a person has
received education or training that qualifies him or her for a
particular job, e.g., auto mechanics or cosmetology.
(ii) A vocational license is a document that indicates that the
State or local government recognizes an individual as a qualified
professional in a particular trade or business.
(iii) An associate's degree is generally a two-year degree from a
community college.
(iv) A bachelor's degree is a four-year degree from a college or
university.
(v) A higher degree indicates a graduate degree, such as a Master's
Degree or a Juris Doctor (J.D.).
(vi) None of the above means that the youth has not received any of
the above educational certifications.
(47) Current enrollment and attendance. Indicate whether the youth
is enrolled in and attending high school, GED classes, or postsecondary
vocational training or college, as of the date of the outcome data
collection. A youth is still considered enrolled in and attending school
if the youth would otherwise be enrolled in and attending a school that
is currently out of session.

[[Page 395]]

Indicate whether the youth is currently enrolled and attending school
with a ``yes'' or ``no.'' If the youth does not answer this question,
indicate ``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(48) Connection to adult. A youth has a connection to an adult if,
as of the date of the outcome data collection, the youth knows an adult
who he or she can go to for advice or guidance when there is a decision
to make or a problem to solve, or for companionship when celebrating
personal achievements. The adult must be easily accessible to the youth,
either by telephone or in person. This can include, but is not limited
to adult relatives, parents or foster parents. The definition excludes
spouses, partners, boyfriends or girlfriends and current caseworkers.
Indicate whether the youth has such a connection with an adult with a
``yes'' or ``no.'' If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(49) Homelessness. A youth is considered to have experienced
homelessness if the youth had no regular or adequate place to live. This
definition includes situations where the youth is living in a car or on
the street, or staying in a homeless or other temporary shelter. For a
17-year-old youth in the baseline population, the data element relates
to a youth's lifetime experiences. For a 19- or 21-year-old youth in the
follow-up population, the data element relates to the youth's experience
in the past two years. Indicate if the youth has been homeless with a
``yes'' or ``no.'' If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(50) Substance abuse referral. A youth has received a substance
abuse referral if the youth was referred for an alcohol or drug abuse
assessment or counseling. For a 17-year-old youth in the baseline
population, the data element relates to a youth's lifetime experience.
For a 19-or 21-year-old youth in the follow-up population, the data
element relates to the youth's experience in the past two years. This
definition includes either a self-referral or referral by a social
worker, school staff, physician, mental health worker, foster parent, or
other adult. Alcohol or drug abuse assessment is a process designed to
determine if someone has a problem with alcohol or drug use. Indicate
whether the youth had a substance abuse referral with a ``yes'' or
``no.'' If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(51) Incarceration. A youth is considered to have been incarcerated
if the youth was confined in a jail, prison, correctional facility, or
juvenile or community detention facility in connection with allegedly
committing a crime (misdemeanor or felony). For a 17-year-old youth in
the baseline population, the data element relates to a youth's lifetime
experience. For a 19-or 21-year-old youth in the follow-up population,
the data element relates to the youth's experience in the past two
years. Indicate whether the youth was incarcerated with a ``yes'' or
``no''. If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(52) Children. A youth is considered to have a child if the youth
has given birth herself, or the youth has fathered any children who were
born. For a 17-year-old youth in the baseline population, the data
element relates to a youth's lifetime experience. For a 19-or 21-year-
old youth in the follow-up population, the data element refers to
children born to the youth in the past two years only. This refers to
biological parenthood. Indicate whether the youth had a child with a
``yes'' or ``no.'' If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(53) Marriage at child's birth. A youth is married at the time of
the child's birth if he or she was united in matrimony according to the
laws of the State to the child's other parent. Indicate whether the
youth was married to

[[Page 396]]

the child's other parent at the time of the birth of any child reported
in the element described in paragraph (g)(52) of this section with a
``yes'' or ``no''. If the youth does not answer this question, indicate
``declined.'' If the answer to the element described in paragraph
(g)(52) of this section is ``no,'' indicate ``not applicable.'' If the
youth is not in the baseline or follow-up population this element must
be left blank.
(54) Medicaid. A youth is receiving Medicaid if the youth is
participating in a Medicaid-funded State program, which is a medical
assistance program supported by the Federal and State government under
title XIX of the Social Security Act as of the date of outcomes data
collection. Indicate whether the youth receives Medicaid with ``yes,''
``no,'' or ``don't know'' as appropriate. If the youth does not answer
this question, indicate ``declined.'' If the youth is not in the
baseline or follow-up population this element must be left blank.
(55) Other health insurance coverage. A youth has other health
insurance if the youth has a third party pay (other than Medicaid) for
all or part of the costs of medical care, mental health care, and/or
prescription drugs, as of the date of the outcome data collection. This
definition includes group coverage offered by employers, schools or
associations, an individual health plan, self-employed plans, or
inclusion in a parent's insurance plan. This also could include access
to free health care through a college, Indian Health Service, or other
source. Medical or drug discount cards or plans are not insurance.
Indicate ``yes'', ``no'', or ``don't know'' as appropriate. If the youth
does not answer this question, indicate ``declined.''
(56) Health insurance type: Medical. If the youth has indicated that
he or she has health insurance coverage in the element described in
paragraph (g)(55) of this section, indicate whether the youth has
insurance that pays for all or part of medical health care services.
Indicate ``yes'', ``no'', or ``don't know'' as appropriate, or ``not
applicable'' if the youth did not indicate any health insurance
coverage. If the youth does not answer this question, indicate
``declined.'' If the youth is not in the baseline or follow-up
population this element must be left blank.
(57) Health insurance type: Mental health. If the youth has
indicated that he or she has medical health insurance coverage as
described in paragraph (g)(56) of this section, indicate whether the
youth has insurance that pays for all or part of the costs for mental
health care services, such as counseling or therapy. Indicate ``yes'',
``no'', or ``don't know'' as appropriate, or ``not applicable'' if the
youth did not indicate having medical health insurance coverage. If the
youth does not answer this question, indicate ``declined.'' If the youth
is not in the baseline or follow-up population this element must be left
blank.
(58) Health insurance type: Prescription drugs. If the youth has
indicated that he or she has medical health insurance coverage as
described in paragraph (g)(56) of this section, indicate whether the
youth has insurance coverage that pays for part or all of the costs of
some prescription drugs. Indicate ``yes'', ``no'', or ``don't know'' as
appropriate, or ``not applicable'' if the youth did not indicate having
medical health insurance coverage. If the youth does not answer this
question, indicate ``declined.'' If the youth is not in the baseline or
follow-up population this element must be left blank.
(h) Electronic reporting. The State agency must report all data to
ACF electronically according to ACF's specifications and appendix A of
this part.

(This requirement has been approved by the Office of Management and
Budget under OMB Control Number OMB 0970-0340. In accordance with the
Paperwork Reduction Act of 1995, an agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a currently valid OMB control number.)

[73 FR 10365, Feb. 26, 2008, as amended at 77 FR 952, Jan. 6, 2012]

Sec. 1356.84 Sampling.

(a) The State agency may collect and report the information required
in section 1356.83(e) of this part on a sample of the baseline
population consistent with the sampling requirements described in
paragraphs (b) and (c) of this section.

[[Page 397]]

(b) The State agency must select the follow-up sample using simple
random sampling procedures based on random numbers generated by a
computer program, unless ACF approves another sampling procedure. The
sampling universe consists of youth in the baseline population
consistent with 45 CFR 1356.81(b) who participated in the State agency's
data collection at age 17.
(c) The sample size is based on the number of youth in the baseline
population who participated in the State agency's data collection at age
17.
(1) If the number of youth in the baseline population who
participated in the outcome data collection at age 17 is 5,000 or less,
the State agency must calculate the sample size using the formula in
appendix C of this part, with the Finite Population Correction (FPC).
The State agency must increase the resulting number by 30 percent to
allow for attrition, but the sample size may not be larger than the
number of youth who participated in data collection at age 17.
(2) If the number of youth in the baseline population who
participated in the outcome data collection at age 17 is greater than
5,000, the State agency must calculate the sample size using the formula
in appendix C of this part, without the FPC. The State agency must
increase the resulting number by 30 percent to allow for attrition, but
the sample size must not be larger than the number of youth who
participated in data collection at age 17.

[73 FR 10365, Feb. 26, 2008]

Sec. 1356.85 Compliance.

(a) File submission standards. A State agency must submit a data
file in accordance with the following file submission standards:
(1) Timely data. The data file must be received in accordance with
the reporting period and timeline described in section 1356.83(a) of
this part;
(2) Format. The data file must be in a format that meets ACF's
specifications; and
(3) Error-free information. The file must contain data in the
general and demographic elements described in section 1356.83(g)(1)
through (g)(5), (g)(14), and (g)(36) of this part that is 100 percent
error-free as defined in paragraph (c) of this section.
(b) Data standards. A State agency also must submit a file that
meets the following data standards:
(1) Error-free. The data for the applicable demographic, service and
outcomes elements defined in section 1356.83(g)(6) through (13), (g)(15)
through (35) and (g)(37) through (58) of this part must be 90 percent
error-free as described and assessed according to paragraph (c) of this
section.
(2) Outcomes universe. In any Federal fiscal year for which the
State agency is required to submit information on the follow-up
population, the State agency must submit a youth record containing at
least outcomes data for the outcomes status element described in section
1356.83(g)(34) of this part on each youth for whom the State agency
reported outcome information as part of the baseline population.
Alternatively, if the State agency has elected to conduct sampling in
accordance with section 1356.84 of this part, the State agency must
submit a record containing at least outcomes data for the outcomes
status element described in section 1356.83(g)(34) of this part on each
19-year-old youth in the follow-up population, inclusive of those youth
who are not in the sample, and each 21-year-old youth in the follow-up
sample.
(3) Outcomes participation rate. The State agency must report
outcome information on each youth in the follow-up population at the
rates described in paragraphs (b)(3)(i) through (iii) of this section. A
youth has participated in the outcomes data collection if the State
agency collected and reported a valid response (i.e., a response option
other than ``declined'' or ``not applicable'') to any of the outcomes-
related elements described in section 1356.83(g)(37) through (g)(58) of
this part. ACF will exclude from the calculation of the participation
rate any youth in the follow-up population who is reported as deceased,
incapacitated or incarcerated in section 1356.83(g)(34) at the time
information on the follow-up population is required.
(i) Foster care youth participation rate. The State agency must
report outcome information on at least 80 percent of youth in the
follow-up population who

[[Page 398]]

are in foster care on the date of outcomes data collection as indicated
in section 1356.83(g)(35) and (g)(36) of this part.
(ii) Discharged youth participation rate. The State agency must
report outcome information on at least 60 percent of youth in the
follow-up population who are not in foster care on the date of outcomes
data collection as indicated in section 1356.83(g)(35) and (g)(36) of
this part.
(iii) Effect of sampling on participation rates. For State agencies
electing to sample in accordance with section 1356.84 and appendix C of
this part, ACF will apply the outcome participation rates in paragraphs
(b)(2)(i) and (ii) of this section to the required sample size for the
State.
(c) Errors. ACF will assess each State agency's data file for the
following types of errors: Missing data, out-of-range data, or
internally inconsistent data. The amount of errors acceptable for each
reporting period is described in paragraphs (a) and (b) of this section.
(1) Missing data is any element that has a blank response when a
blank response is not a valid response option as described in section
1356.83(g) of this part.
(2) Out-of-range data is any element that contains a value that is
outside the parameters of acceptable responses or exceeds, either
positively or negatively, the acceptable range of response options as
described in section 1356.83(g) of this part; and
(3) Internally inconsistent data is any element that fails an
internal consistency check designed to evaluate the logical relationship
between elements in each record. The evaluation will identify all
elements involved in a particular check as in error.
(d) Review for compliance. (1) ACF will determine whether a State
agency's data file for each reporting period is in compliance with the
file submission standards and data standards in paragraphs (a) and (b)
of this section.
(i) For State agencies that achieve the file submission standards,
ACF will determine whether the State agency's data file meets the data
standards.
(ii) For State agencies that do not achieve the file submission
standards or data standards, ACF will notify the State agency that they
have an opportunity to submit a corrected data file by the end of the
subsequent reporting period in accordance with paragraph (e) of this
section.
(2) ACF may use monitoring tools or assessment procedures to
determine whether the State agency is meeting all the requirements of
section 1356.81 through 1356.85 of this part.
(e) Submitting corrected data and noncompliance. A State agency that
does not submit a data file that meets the standards in section 1356.85
of this part will have an opportunity to submit a corrected data file in
accordance with paragraphs (e)(1) and (e)(2) of this section.
(1) A State agency must submit a corrected data file no later than
the end of the subsequent reporting period as defined in section
1356.83(a) of this part (i.e., by September 30 or March 31).
(2) If a State agency fails to submit a corrected data file that
meets the compliance standards in section 1356.85 of this part and the
deadline in paragraph (e)(1) of this section, ACF will make a final
determination that the State is out of compliance, notify the State
agency, and apply penalties as defined in section 1356.86 of this part.

[73 FR 10365, Feb. 26, 2008]

Sec. 1356.86 Penalties for noncompliance.

(a) Definition of Federal funds subject to a penalty. The funds that
are subject to a penalty are the CFCIP funds allocated or reallocated to
the State agency under section 477(c)(1) of the Act for the Federal
fiscal year that corresponds with the reporting period for which the
State agency was required originally to submit data according to section
1356.83(a) of this part.
(b) Assessed penalty amounts. ACF will assess penalties in the
following amounts, depending on the area of noncompliance:
(1) Penalty for not meeting file submission standards. ACF will
assess a penalty in an amount equivalent to two and one half percent
(2.5%) of the funds subject to a penalty for each reporting period in
which ACF makes a final determination that the State agency's data file
does not comply with the file

[[Page 399]]

submission standards defined in section 1356.85(a) of this part.
(2) Penalty for not meeting certain data standards. ACF will assess
a penalty in an amount equivalent to:
(i) One and one quarter percent (1.25%) of the funds subject to a
penalty for each reporting period in which ACF makes a final
determination that the State agency's data file does not comply with the
data standard for error-free data as defined in section 1356.85(b)(1) of
this part.
(ii) One and one quarter percent (1.25%) of the funds subject to a
penalty for each reporting period in which ACF makes a final
determination that the State agency's data file does not comply with the
outcome universe standard defined in section 1356.85(b)(2) of this part.
(iii) One half of one percent (0.5%) of the funds subject to a
penalty for each reporting period in which ACF makes a final
determination that the State agency's data file does not comply with the
participation rate for youth in foster care standard defined in section
1356.85(b)(3)(i) of this part.
(iv) One half of one percent (0.5%) of the funds subject to a
penalty for each reporting period in which ACF makes a final
determination that the State agency's data file does not comply with the
participation rate for discharged youth standard defined in section
1356.85(b)(3)(ii) of this part.
(c) Calculation of the penalty amount. ACF will add together any
assessed penalty amounts described in paragraphs (b)(1) or (b)(2) of
this section to determine the total calculated penalty result. If the
total calculated penalty result is less than one percent of the funds
subject to a penalty, the State agency will be penalized in the amount
of one percent.
(d) Notification of penalty amount. ACF will advise the State agency
in writing of a final determination of noncompliance and the amount of
the total calculated penalty as determined in paragraph (c) of this
section.
(e) Interest. The State agency will be liable for interest on the
amount of funds penalized by the Department, in accordance with the
provisions of 45 CFR 30.18.
(f) Appeals. The State agency may appeal, pursuant to 45 CFR part
16, ACF's final determination to the HHS Departmental Appeals Board.

[73 FR 10365, Feb. 26, 2008, as amended at 77 FR 952, Jan. 6, 2012]

Sec. Appendix A to Part 1356--NYTD Data Elements

------------------------------------------------------------------------
Responses Applicable
Element No. Element name options population
------------------------------------------------------------------------
1................. State........... 2 digit FIPS
code.
2................. Report date..... CYYMM...........
CC = century
year (i.e., 20).
YY = decade year
(00-99).
MM = month (01-
12).
3................. Record number... Encrypted,
unique person
identification
number.
4................. Date of birth... CCYYMMDD........
CC = century
year (i.e., 20).
YY = decade year
(00-99).
MM = month (01-
12).
DD= day (01-31).
5................. Sex............. Male............
Female..........
6................. Race--American Yes............. All youth in
Indian or served,
Alaska Native. baseline and
follow-up
populations.
No..............
7................. Race--Asian..... Yes.............
No..............
8................. Race--Black or Yes.............
African
American.
No..............
9................. Race--Native Yes.............
Hawaiian or
Other Pacific
Islander.
No..............
10................ Race--White..... Yes.............
No..............
11................ Race--Unknown... Yes.............
No..............

[[Page 400]]

12................ Race--Declined.. Yes.............
No..............
13................ Hispanic or Yes.............
Latino
Ethnicity.
No..............
Unknown.........
Declined........
14................ Foster care Yes............. Served
status--service population
s. only.
No..............
15................ Local agency.... FIPS code(s)....
Centralized unit
16................ Federally- Yes.............
recognized
tribe.
No..............
17................ Adjudicated Yes.............
delinquent.
No..............
18................ Education level. Less than 6th Served
grade. population
only.
6th grade.......
7th grade.......
8th grade.......
9th grade.......
10th grade......
11th grade......
12th grade......
Postsecondary
education or
training.
College, at
least one
semester.
19................ Special Yes.............
education.
No..............
20................ Independent Yes.............
living needs
assessment.
No..............
21................ Academic support Yes.............
No..............
22................ Post-secondary Yes.............
educational
support.
No..............
23................ Career Yes.............
preparation.
No..............
24................ Employment Yes.............
programs or
vocational
training.
No..............
25................ Budget and Yes.............
financial
management.
No..............
26................ Housing Yes.............
education and
home management
training.
No..............
27................ Health education Yes.............
and risk
prevention.
No..............
28................ Family Support/ Yes.............
Healthy
Marriage
Education.
No..............
29................ Mentoring....... Yes.............
No..............
30................ Supervised Yes.............
independent
living.
No..............
31................ Room and board Yes.............
financial
assistance.
No..............
32................ Education Yes.............
financial
assistance.
No..............
33................ Other financial Yes.............
assistance.
No..............
34................ Outcomes Youth Baseline and
reporting Participated. follow-up
status. Youth Declined. populations
Parent Declined. (with the
Youth exception of
Incapacitated. the response
Incarcerated. option ``not in
Runaway/Missing. sample'' which
Unable to locate/ is applicable
invite. to 19-year olds
Death. in the follow-
Not in sample. up only).
35................ Date of outcome CCYYMMDD........ Baseline and
data collection. follow-up
populations.
CC = century
year (i.e., 20).

[[Page 401]]

YY = decade year
(00-99).
MM = month (01-
12).
DD = day (01-31)
36................ Foster care Yes.............
status-outcomes.
No..............
37................ Current full- Yes.............
time employment.
No..............
Declined........
38................ Current part- Yes.............
time employment.
No..............
Declined........
39................ Employment- Yes.............
related skills.
No..............
Declined........
40................ Social Security. Yes.............
No..............
Declined........
41................ Educational aid. Yes.............
No..............
Declined........
42................ Public financial Yes............. Follow-up
assistance. population not
in foster care.
No..............
Not applicable..
Declined........
43................ Public food Yes.............
assistance.
No..............
Not applicable..
Declined........
44................ Public housing Yes.............
assistance.
No..............
Not applicable..
Declined........
45................ Other financial Yes............. Baseline and
support. follow-up
population.
No..............
Declined........
46................ Highest High school
educational diploma/GED.
certification
received.
Vocational
certificate.
Vocational
license.
Associate's
degree.
Bachelor's
degree.
Higher degree...
None of the
above.
Declined........
47................ Current Yes.............
enrollment and
attendance.
No..............
Declined........
48................ Connection to Yes.............
adult.
No..............
Declined........
49................ Homelessness.... Yes.............
No..............
Declined........
50................ Substance abuse Yes.............
referral.
No..............
Declined........
51................ Incarceration... Yes.............
No..............
Declined........
52................ Children........ Yes.............
No..............
Declined........
53................ Marriage at Yes.............
child's birth.
No..............
Not applicable..
Declined........
54................ Medicaid........ Yes.............
No..............
Don't know......
Declined........
55................ Other health Yes............. Baseline and
insurance. follow-up
population.
No..............

[[Page 402]]

Don't know......
Declined........
56................ Health insurance Yes.............
type--medical.
No..............
Don't know......
Not Applicable..
Declined........
57................ Health insurance Yes.............
type--mental
health.
No..............
Don't know......
Not applicable..
Declined........
58................ Health insurance Yes.
type--prescript No.
ion drugs. Don't know.
Not applicable.
Declined........
------------------------------------------------------------------------

[77 FR 952, Jan. 6, 2012]

Sec. Appendix B to Part 1356--NYTD Youth Outcome Survey

------------------------------------------------------------------------
Question to youth
Topic/element No. and response Definition
options
------------------------------------------------------------------------
INFORMATION TO COLLECT FROM ALL YOUTH SURVEYED FOR OUTCOMES, WHETHER IN
FOSTER CARE OR NOT
------------------------------------------------------------------------
Current full-time employment Currently are you ``Full-time'' means
(37). employed full- working at least 35
time? hours per week at
one or multiple
jobs.
__Yes
__No
__Declined
Current part-time employment Currently are you ``Part-time'' means
(38). employed part- working at least 1-
time? 34 hours per week at
one or multiple
jobs.
__Yes
__No
__Declined
Employment-related skills (39) In the past year, This means
did you complete apprenticeships,
an internships, or
apprenticeship, other on-the-job
internship, or trainings, either
other on-the-job paid or unpaid, that
training, either helped the youth
paid or unpaid? acquire employment-
__Yes related skills
__No (which can include
__Declined specific trade
skills such as
carpentry or auto
mechanics, or office
skills such as word
processing or use of
office equipment).
Social Security (40).......... Currently are you These are payments
receiving social from the government
security to meet basic needs
payments for food, clothing,
(Supplemental and shelter of a
Security Income person with a
(SSI, Social disability. A youth
Security may be receiving
Disability these payments
Insurance because of a parent
(SSDI), or or guardian's
dependents' disability, rather
payments)? than his/her own.
__Yes
__No
__Declined
Educational Aid (41).......... Currently are you Scholarships, grants,
using a and stipends are
scholarship, funds awarded for
grant, stipend, spending on expenses
student loan, related to gaining
voucher, or an education.
other type of ``Student loan''
educational means a government-
financial aid to guaranteed, low-
cover any interest loan for
educational students in post-
expenses? secondary education.
__Yes
__No
__Declined
Other financial support (45).. Currently are you This means periodic
receiving any and/or significant
periodic and/or financial support
significant from a spouse or
financial family member
resources or (biological, foster
support from or adoptive), child
another source support that the
not previously youth receives or
indicated and funds from a legal
excluding paid settlement. This
employment? does not include
__Yes occasional gifts,
__No such as birthday or
__Declined graduation checks or
small donations of
food or personal
incidentals, child
care subsidies,
child support for a
youth's child or
other financial help
that does not
benefit the youth
directly in
supporting himself
or herself.

[[Page 403]]

Highest educational What is the ``Vocational
certification received (46). highest certificate'' means
educational a document stating
degree or that a person has
certification received education
that you have or training that
received? qualifies him or her
__High school for a particular
diploma/GED job, e.g., auto
__Vocational mechanics or
certificate cosmetology.
__Vocational ``Vocational
license license'' means a
__Associate's document that
degree (e.g., indicates that the
A.A.) State or local
__Bachelor's government
degree (e.g., recognizes an
B.A. or B.S.) individual as a
__Higher degree qualified
__None of the professional in a
above particular trade or
__Declined business. An
Associate's degree
is generally a two-
year degree from a
community college,
and a Bachelor's
degree is a four-
year degree from a
college or
university. ``Higher
degree'' indicates a
graduate degree,
such as a Masters or
Doctorate degree.
``None of the
above'' means that
the youth has not
received any of the
above educational
certifications.
Current enrollment and Currently are you This means both
attendance (47). enrolled in and enrolled in and
attending high attending high
school, GED school, GED classes,
classes, post- or postsecondary
high school vocational training
vocational or college. A youth
training, or is still considered
college? enrolled in and
__Yes attending school if
__No the youth would
__Declined otherwise be
enrolled in and
attending a school
that is currently
out of session
(e.g., Spring break,
summer vacation,
etc.).
Connection to adult (48)...... Currently is This refers to an
there at least adult who the youth
one adult in can go to for advice
your life, other or guidance when
than your there is a decision
caseworker, to to make or a problem
whom you can go to solve, or for
for advice or companionship to
emotional share personal
support? achievements. This
__Yes can include, but is
__No not limited to,
__Declined adult relatives,
parents or foster
parents. The
definition excludes
spouses, partners,
boyfriends or
girlfriends and
current caseworkers.
The adult must be
easily accessible to
the youth, either by
telephone or in
person.
Homelessness (49)............. Have you ever ``Homeless'' means
been homeless? that the youth had
OR no regular or
__In the past two adequate place to
years, were you live. This includes
homeless at any living in a car, or
time? on the street, or
__Yes staying in a
__No homeless or other
__Declined temporary shelter.
Substance abuse referral (50). Have you ever This includes either
referred self-referring or
yourself or has being referred by a
someone else social worker,
referred you for school staff,
an alcohol or physician, mental
drug abuse health worker,
assessment or foster parent, or
counseling? other adult for an
OR alcohol or drug
abuse assessment or
counseling. Alcohol
or drug abuse
assessment is a
process designed to
determine if someone
has a problem with
alcohol or drug use.
In the past two
years, did you
refer yourself,
or had someone
else referred
you for an
alcohol or drug
abuse assessment
or counseling?
__Yes
__No
__Declined
Incarceration (51)............ Have you ever This means that the
been confined in youth was confined
a jail, prison, in a jail, prison,
correctional correctional
facility, or facility, or
juvenile or juvenile or
community community detention
detention facility in
facility, in connection with a
connection with crime (misdemeanor
allegedly or felony) allegedly
committing a committed by the
crime? youth.
OR
In the past two
years, were you
confined in a
jail, prison,
correctional
facility, or
juvenile or
community
detention
facility, in
connection with
allegedly
committing a
crime?
__Yes
__No
__Declined
Children (52)................. Have you ever This means giving
given birth or birth to or
fathered any fathering at least
children that one child that was
were born? born. If males do
OR not know, answer
``No.''

[[Page 404]]

In the past two
years, did you
give birth to or
father any
children that
were born?
__Yes
__No
__Declined
Marriage at Child's Birth (53) If you responded This means that when
yes to the every child was born
previous the youth was
question, were married to the other
you married to parent of the child.
the child's
other parent at
the time each
child was born?
__Yes
__No
__Declined
Medicaid (54)................. Currently are you Medicaid (or the
on Medicaid [or State medical
use the name of assistance program)
the State's is a health
medical insurance program
assistance funded by the
program under government.
title XIX]?
__Yes
__No
__Don't know
__Declined
Other Health insurance Currently do you ``Health insurance''
Coverage (55). have health means having a third
insurance, other party pay for all or
than Medicaid? part of health care.
__Yes Youth might have
__No health insurance
__Don't know such as group
__Declined coverage offered by
employers or
schools, or
individual policies
that cover medical
and/or mental health
care and/or
prescription drugs,
or youth might be
covered under
parents' insurance.
This also could
include access to
free health care
through a college,
Indian Tribe, or
other source.
Health insurance type--medical Does your health This means that the
(56). insurance youth's health
coverage include insurance covers at
coverage for least some medical
medical services or
services? procedures. This
__Yes question is for only
__No those youth who
__Don't know responded ``yes'' to
__Not Applicable having health
__Declined insurance.
Health insurance type--mental Does your health This means that the
health (57). insurance youth's health
include coverage insurance covers at
for mental least some mental
health services? health services.
__Yes This question is for
__No only those youth who
__Don't know responded ``yes'' to
Not Applicable having health
__Declined insurance with
medical coverage.
Health insurance type-- Does your health This means that the
prescription drugs (58). insurance youth's health
include coverage insurance covers at
for prescription least some
drugs? prescription drugs.
__Yes This question is for
__No only those youth who
__Don't know responded ``yes'' to
__Declined having health
insurance with
medical coverage.
------------------------------------------------------------------------
ADDITIONAL OUTCOMES INFORMATION TO COLLECT FROM YOUTH OUT OF FOSTER CARE
------------------------------------------------------------------------
Public financial assistance Currently are you This refers to
(42). receiving ongoing welfare
ongoing welfare payments from the
payments from government to
the government support your basic
to support your needs. Do not
basic needs? consider payments or
[The State may subsidies for
add and/or specific purposes,
substitute the such as unemployment
name(s) of the insurance, child
State's welfare care subsidies,
program]. education
assistance, food
stamps or housing
assistance in this
category.
__Yes
__No
__Declined
Public food assistance (43)... Currently are you Public food
receiving public assistance includes
food assistance? food stamps, which
__Yes are government-
__No issued coupons or
__Declined debit cards that
recipients can use
to buy eligible food
at authorized
stores. Public food
assistance also
includes assistance
from the Women,
Infants and Children
(WIC) program.

[[Page 405]]

Public housing assistance (44) Currently are you Public housing is
receiving any rental housing
sort of housing provided by the
assistance from government to keep
the government, rents affordable for
such as living eligible individuals
in public and families, and a
housing or housing voucher
receiving a allows participants
housing voucher? to choose their own
__Yes housing while the
__No government pays part
__Declined of the housing
costs. This does not
include payments
from the child
welfare agency for
room and board
payments.
------------------------------------------------------------------------

[77 FR 952, Jan. 6, 2012]

Sec. Appendix C to Part 1356--Calculating Sample Size for NYTD Follow-Up
Populations

1. Using Finite Population Correction

The Finite Population Correction (FPC) is applied when the sample is
drawn from a population of one to 5,000 youth, because the sample is
more than five percent of the population.
[GRAPHIC] [TIFF OMITTED] TR26FE08.000

(Py)(Pn), an estimate of the percent of responses
to a dichotomous variable, is (.50)(.50) for the most conservative
estimate.
[GRAPHIC] [TIFF OMITTED] TR26FE08.001

Acceptable level of error = .05 (results are plus
or minus five percentage points from the actual score)
Z = 1.645 (90 percent confidence interval)
[GRAPHIC] [TIFF OMITTED] TR26FE08.002

N = number of youth from whom the sample is being
drawn

2. Not Using Finite Population Correction

The FPC is not applied when the sample is drawn from a population of
over 5,000 youth.
[GRAPHIC] [TIFF OMITTED] TR26FE08.003

[73 FR 10372, Feb. 26, 2008]

PART 1357_REQUIREMENTS APPLICABLE TO TITLE IV-B--Table of Contents

Sec.
1357.10 Scope and definitions.
1357.15 Comprehensive child and family services plan requirements.
1357.16 Annual progress and services reports.
1357.20 Child abuse and neglect programs.
1357.25 Requirements for eligibility for additional payments under
section 427.
1357.30 State fiscal requirements (title IV-B, subpart 1, child welfare
services).

[[Page 406]]

1357.32 State fiscal requirements (title IV-B, subpart 2, family
preservation and family support services).
1357.40 Direct payments to Indian Tribal Organizations (title IV-B,
subpart 1, child welfare services).
1357.50 Direct payments to Indian Tribal organizations (title IV-B,
subpart 2, family preservation and support services).

Authority: 42 U.S.C. 620 et seq., 42 U.S.C. 670 et seq.; 42 U.S.C.
1302.

Sec. 1357.10 Scope and definitions.

(a) Scope. This part applies to State and Indian Tribal programs for
child welfare services under subpart 1, and family preservation and
family support services under subpart 2 of title IV-B of the Act.
(b) Eligibility. Child and family services under title IV-B,
subparts 1 and 2, must be available on the basis of need for services
and must not be denied on the basis of income or length of residence in
the State or within the Indian Tribe's jurisdiction.
(c) Definitions.
Child and Family Services Plan (CFSP) means the document, developed
through joint planning, which describes the publicly-funded State child
and family services continuum (family support and family preservation
services; child welfare services, including child abuse and neglect
prevention, intervention, and treatment services; services to support
reunification, adoption, kinship care, foster care, independent living,
or other permanent living arrangements). For Indian Tribes, the document
describes the child welfare and/or family preservation and support
services to be provided by the Indian Tribe; includes goals and
objectives both for improved outcomes for the safety, permanency and
well-being of children and families and for service delivery system
reform; specifies the services and other implementation activities that
will be undertaken to carry out the goals and objectives; and includes
plans for program improvement and allocation of resources.
Child welfare services means public social services directed to
accomplish the following purposes:
(1) Protecting and promoting the welfare and safety of all children,
including individuals with disabilities; homeless, dependent, or
neglected children;
(2) Preventing or remedying, or assisting in the solution of
problems which may result in the neglect, abuse, exploitation, or
delinquency of children;
(3) Preventing the unnecessary separation of children from their
families by identifying family problems and assisting families in
resolving their problems and preventing the breakup of the family where
the prevention of child removal is desirable and possible;
(4) Restoring to their families children who have been removed and
may be safely returned, by the provision of services to the child and
the family;
(5) Assuring adequate care of children away from their homes, in
cases where the child cannot be returned home or cannot be placed for
adoption; and
(6) Placing children in suitable adoptive homes, in cases where
restoration to the biological family is not possible or appropriate.
Children refers to individuals from birth to the age of 21 (or such
age of majority as provided under State law) including infants,
children, youth, adolescents, and young adults.
Community-based services refers to programs delivered in accessible
settings in the community and responsive to the needs of the community
and the individuals and families residing therein. These services may be
provided under public or private nonprofit auspices.
Families includes, but is not limited to, biological, adoptive,
foster, and extended families.
Family preservation services refers to services for children and
families designed to protect children from harm and help families
(including foster, adoptive, and extended families) at risk or in
crisis, including--
(1) Preplacement preventive services programs, such as intensive
family preservation programs, designed to help children at risk of
foster care placement remain with their families, where possible;
(2) Service programs designed to help children, where appropriate,
return to families from which they have been removed; or be placed for
adoption, with a legal guardian, or, if adoption or legal guardianship
is determined not to be appropriate for a child, in some

[[Page 407]]

other planned, permanent living arrangement;
(3) Service programs designed to provide follow-up care to families
to whom a child has been returned after a foster care placement;
(4) Respite care of children to provide temporary relief for parents
and other caregivers (including foster parents);
(5) Services designed to improve parenting skills (by reinforcing
parents' confidence in their strengths, and helping them to identify
where improvement is needed and to obtain assistance in improving those
skills) with respect to matters such as child development, family
budgeting, coping with stress, health, and nutrition; and
(6) Case management services designed to stabilize families in
crisis such as transportation, assistance with housing and utility
payments, and access to adequate health care.
Family support services means community-based services to promote
the well-being of children and families designed to increase the
strength and stability of families (including adoptive, foster, and
extended families), to increase parents' confidence and competence in
their parenting abilities, to afford children a stable and supportive
family environment, and otherwise to enhance child development. Family
support services may include:
(1) Services, including in-home visits, parent support groups, and
other programs designed to improve parenting skills (by reinforcing
parents' confidence in their strengths, and helping them to identify
where improvement is needed and to obtain assistance in improving those
skills) with respect to matters such as child development, family
budgeting, coping with stress, health, and nutrition;
(2) Respite care of children to provide temporary relief for parents
and other caregivers;
(3) Structured activities involving parents and children to
strengthen the parent-child relationship;
(4) Drop-in centers to afford families opportunities for informal
interaction with other families and with program staff;
(5) Transportation, information and referral services to afford
families access to other community services, including child care,
health care, nutrition programs, adult education literacy programs,
legal services, and counseling and mentoring services; and
(6) Early developmental screening of children to assess the needs of
such children, and assistance to families in securing specific services
to meet these needs.
Joint planning means an ongoing partnership process between ACF and
the State and between ACF and an Indian Tribe in the development,
review, analysis, and refinement and/or revision of the State's and the
Indian Tribe's child and family services plan. Joint planning involves
discussions, consultation, and negotiation between ACF and the State or
Indian Tribe in all areas of CFSP creation such as, but not limited to,
identifying the service needs of children, youth, and families;
selecting the unmet service needs that will be addressed; developing
goals and objectives that will result in improving outcomes for children
and families; developing a plan to meet the matching requirements; and
establishing a more comprehensive, coordinated and effective child and
family services delivery system. The expectation of joint planning is
that both ACF and the State or Indian Tribe will reach agreement on
substantive and procedural matters related to the CFSP.

[61 FR 58655, Nov. 18, 1996]

Sec. 1357.15 Comprehensive child and family services plan requirements.

(a) Scope. (1) The CFSP provides an opportunity to lay the
groundwork for a system of coordinated, integrated, culturally relevant
family focused services. This section describes the requirements for the
development, implementation and phase-in of the five-year comprehensive
child and family services plan (CFSP). The State's CFSP must meet the
requirements of both of the following programs. The Indian Tribe's CFSP
must meet the requirements of one or both of the following programs
depending on the Tribe's eligibility:
(i) Child welfare services under title IV-B, subpart 1; and
(ii) Family preservation and family support services under title IV-
B, subpart 2.

[[Page 408]]

(2) For States only, the CFSP also must contain information on the
following programs:
(i) The independent living program under title IV-E, section 477 of
the Act; and
(ii) The Child Abuse and Neglect State grant program (known as the
Basic State Grant) under the Child Abuse Prevention and Treatment Act
(CAPTA) (42 U.S.C. 5101 et. seq.).
(3) States must meet all requirements of this section except those
that apply only to Indian Tribes. Indian Tribes must meet the
requirements of this section only as specified.
(4) States and eligible Indian Tribes have the option to phase-in
the requirements for a consolidated CFSP. The consolidated CFSP
requirements must be in place by June 30, 1997 and meet the requirements
of 45 CFR 1357.16.
(b) Eligibility for funds. (1) In order to receive funding under
title IV-B, subparts 1 and 2, each State and eligible Indian Tribe must
submit and have approved a consolidated, five-year Child and Family
Services Plan (CFSP) and a CFS-101, Budget Request and Estimated
Expenditure Report that meets the requirements under 45 CFR 1357.16.
(2) States and Indian Tribes that are consolidating the requirements
for a CFSP in FY 1995, in accordance with Sec. 1357.15(a), must submit
the CFSP and a CFS-101 for FY 1995 and 1996 by June 30, 1995.
(3) States and eligible Indian Tribes choosing to phase-in the
requirements for a consolidated CFSP in FY 1996 and 1997 must submit the
CFSP, the CFS-101 for FY 1995 for subpart 1 and 2, and the CFS-101 for
subpart 2 for FY 1996 by June 30, 1995.
(4) The CFSP will be approved only if the plan was developed jointly
by ACF and the State (or the Indian Tribe), and only after broad
consultation by the State (and the Indian Tribe) with a wide range of
appropriate public and non-profit private agencies and community-based
organizations with experience in administering programs of services for
children and families (including family preservation and support
services).
(5) By June 30, 1996, each grantee must submit and have approved the
first Annual Progress and Services Report and a CFS 101 for FY 1997 that
meets the statutory and regulatory requirements of title IV-B, subparts
1 and 2.
(6) The Annual Progress and Services Report will be approved if it
was developed jointly by ACF and the State (or the Indian Tribe) and if
it meets the requirements of 45 CFR 1357.16.
(7) The five-year CFSP for FYs 1995-1999 may be submitted in the
format of the State's or the Indian Tribe's choice and must be submitted
no later than June 30, 1995, to the appropriate ACF Regional Office.
(c) Assurances. The following assurances will remain in effect on an
ongoing basis and will need to be re-submitted only if a significant
change in the State or the Indian Tribe's program affects an assurance:
(1) The State or Indian Tribe must assure that it will participate
in any evaluations the Secretary of HHS may require.
(2) The State or Indian Tribe must assure that it will administer
the CFSP in accordance with methods determined by the Secretary to be
proper and efficient.
(3) The State or Indian Tribe must assure that it has a plan for the
training and use of paid paraprofessional staff, with particular
emphasis on the full-time or part-time employment of low-income persons,
as community service aides; and a plan for the use of nonpaid or
partially paid volunteers in providing services and in assisting any
advisory committees established by the State or Tribe.
(4) The State or Indian Tribe must assure that standards and
requirements imposed with respect to child care under title XX shall
apply with respect to day care services, if provided under the CFSP,
except insofar as eligibility for such services is involved.
(d) The child and family services plan (CFSP): general. The State
and the Indian Tribe must base the development of the CFSP on a planning
process that includes:
(1) broad involvement and consultation with a wide range of
appropriate public and non-profit private agencies and community-based
organizations,

[[Page 409]]

parents, including parents who are involved or have experience with the
child welfare system, and others;
(2) coordination of the provision of services under the plan with
other Federal and federally assisted programs serving children and
families, including youth and adolescents; and
(3) collection of existing or available information to help
determine vulnerable or at-risk populations or target areas; assess
service needs and resources; identify gaps in services; select
priorities for targeting funding and services; formulate goals and
objectives; and develop opportunities for bringing about more effective
and accessible services for children and families.
(e) State agency administering the programs. (1) The State's CFSP
must identify the name of the State agency that will administer the
title IV-B programs under the plan. Except as provided by statute, the
same agency is required to administer or supervise the administration of
all programs under titles IV-B and IV-E of the Act and the social
services block grant program under title XX of the Act. (See the
definition of ``State agency'' in 45 CFR 1355.20.)
(2) The CFSP must include a description of the organization and
function of the State agency and organizational charts as appropriate.
It also must identify the organizational unit(s) within the State agency
responsible for the operation and administration of the CFSP, and
include a description of the unit's organization and function and a copy
of the organizational chart(s).
(f) Indian Tribal organization administering the program(s). (1) The
Indian Tribe's CFSP must provide the name of the Indian Tribal
organization (ITO) designated to administer funds under title IV-B,
subpart 1, child welfare services and/or under subpart 2, family
preservation and family support services. If the Indian Tribe receives
funds under both subparts, the same agency or organization must
administer both programs.
(2) The Indian Tribe's CFSP must include a description of the
organization and function of the office responsible for the operation
and administration of the CFSP, an organizational chart of that office,
and a description of how that office relates to Tribal and other offices
operating or administering services programs within the Indian Tribe's
service area (e.g., Indian Health Service.)
(g) Vision Statement. The CFSP must include a vision statement which
articulates the grantee's philosophy in providing child and family
services and developing or improving a coordinated service delivery
system. The vision should reflect the service principles at section
1355.25.
(h) Goals. The CFSP must specify the goals, based on the vision
statement, that will be accomplished during and by the end of the five-
year period of the plan. The goals must be expressed in terms of
improved outcomes for and the safety, permanency and well-being of
children and families, and in terms of a more comprehensive,
coordinated, and effective child and family service delivery system.
(i) Objectives. (1) The CFSP must include the realistic, specific,
quantifiable and measurable objectives that will be undertaken to
achieve each goal. Each objective should focus on outcomes for children,
youth, and/or their families or on elements of service delivery (such as
quality) that are linked to outcomes in important ways. Each objective
should include both interim benchmarks and a long-term timetable, as
appropriate, for achieving the objective.
(2) For States and Indian Tribes administering the title IV-B,
subpart 1 program, the CFSP must include objectives to make progress in
covering additional political subdivisions, reaching additional children
in need of services, expanding and strengthening the range of existing
services, and developing new types of services.
(j) Measures of progress. The CFSP must describe the methods to be
used in measuring the results, accomplishments, and annual progress
toward meeting the goals and objectives, especially the outcomes for
children, youth, and families. Processes and procedures assuring the
production of valid and reliable data and information must be specified.
The data and information must be capable of determining

[[Page 410]]

whether or not the interim benchmarks and multiyear timetable for
accomplishing CFSP goals and objectives are being met.
(k) Baseline information. (1) For FY 1995, the State and the Indian
Tribe must base the development of the CFSP vision, goals, objectives,
and funding and service decisions on an analysis of available baseline
information and any trends over time on indicators in the following
areas: the well-being of children and families; the needs of children
and families; the nature, scope, and adequacy of existing child and
family and related social services. Additional and updated information
on service needs and organizational capacities must be obtained
throughout the five-year period to measure progress in accomplishing the
goals and objectives cited in the CFSP. A description of how this
process will continue to be carried out must be included in the CFSP,
and any revisions should be provided in the Annual Progress and Services
Report.
(2) The State must collect and analyze State-wide information on
family preservation and family support services currently available to
families and children, including the nature and scope of existing public
and privately funded family support and family preservation services;
the extent to which each service is available and being provided in
different geographic areas and to different types of families; and
important gaps in service, including mismatches between available
services and family needs as identified through baseline data and the
consultation process. Other services which impact on the ability to
preserve and support families may be included in the assessment. The
Indian Tribe must collect and analyze information on family preservation
and family support services currently available within their service
delivery area including the information in this paragraph as
appropriate. An Indian Tribe may submit documentation prepared to
satisfy the requirements of other Federal child welfare grants, or
contracts (such as the section 638 reporting form), along with a
descriptive addendum addressing specifically the family preservation and
family support services available.
(3) The CFSP must include a summary of the information used in
developing the plan; an explanation of how this information and analysis
were used in developing the goals, objectives, and funding and service
decisions, including decisions about geographic targeting and service
mix; a description of how information will be used to measure progress
over the five-year period; and how this information will be used to
facilitate the coordination of services.
(l) Consultation. (1) The State's CFSP must describe the internal
and external consultation process used to obtain broad and active
involvement of major actors across the entire spectrum of the child and
family service delivery system in the development of the plan. The
description should explain how this process was coordinated with or was
a part of other planning processes in the State; how it led or will lead
to improved coordination of services.
(2) The Indian Tribe's CFSP must describe the consultation process
appropriate to its needs and circumstances used to obtain the active
involvement of major actors providing child and family services within
the Tribe's area of jurisdiction.
(3) For States and Indian Tribes, the consultation process must
involve:
(i) All appropriate offices and agencies within the State agency or
within the Indian Tribal service delivery system (e.g., child protective
services (CPS), foster care and adoption, the social services block
grant, reunification services, independent living, and other services to
youth;)
(ii) In a State-supervised, county-administered State, county social
services and/or child welfare directors or representatives of the county
social services/child welfare administrators' association;
(iii) A wide array of State, local, Tribal, and community-based
agencies and organizations, both public and private nonprofit with
experience in administering programs of services for infants, children,
youth, adolescents, and families, including family preservation and
family support services;
(iv) Parents, including birth and adoptive parents, foster parents,
families with a member with a disability,

[[Page 411]]

children both in and outside the child welfare system, and consumers of
services from diverse groups;
(v) For States, representatives of Indian Tribes within the State;
(vi) For States, representatives of local government (e.g.,
counties, cities, and other communities, neighborhoods, or areas where
needs for services are great;)
(vii) Representatives of professional and advocacy organizations
(including, for example foundations and national resource centers with
expertise to assist States and Indian Tribes to design, expand, and
improve the delivery of services); individual practitioners working with
children and families; the courts; representatives or other States or
Indian Tribes with experience in administering family preservation and
family support services; and academicians, especially those assisting
the child and family service agency with management information systems,
training curricula, and evaluations;
(viii) Representatives of State and local agencies administering
Federal and federally assisted programs which may include: Head Start;
the local education agency (school-linked social services, adult
education and literacy programs, Part H programs); developmental
disabilities; nutrition services (Food Stamps, Special Supplemental Food
Program for Women, Infants and Children (WIC)); Title IV-A; runaway
youth, youth gang, juvenile justice programs and youth residential and
training institutions; child care and development block grant (CCDBG)
and respite care programs; domestic and community violence prevention
and services programs; housing programs; the health agency (substance
abuse, Healthy Start, maternal and child health, Early and Periodic
Screening, Diagnosis, and Treatment (EPSDT), mental health, and public
health nursing); law enforcement; Children's Trust Funds; Community-
Based Family Resource Programs, and new Federal initiatives such as the
Empowerment Zones and Enterprise Communities Program; and
(ix) Administrators, supervisors and front line workers (direct
service providers) of the State child and family services agency.
(4) The CFSP must describe the ongoing consultation process that
each grantee will use to ensure the continued involvement of a wide
range of major actors in meeting the goals and objectives over the five-
year operational period of the plan and developing the Annual Progress
and Services Report.
(m) Services coordination. (1) States must include in the ongoing
coordination process representatives of the full range of child and
family services provided by the State agency as well as other service
delivery systems providing social, health, education, and economic
services (including mental health, substance abuse, developmental
disabilities, and housing) to improve access and deliver a range of
services to children and their families.
(2) The State's CFSP must describe how services under the plan will
be coordinated over the five-year period with services or benefits under
other Federal or federally assisted programs serving the same
populations to achieve the goals and objectives in the plan. The
description must include the participants in the process and examples of
how the process led or will lead to additional coordination of services
(e.g., integrated service models, improved accessibility, use of a
consolidated application or intake form, inter-disciplinary training,
coordinated case management for several programs, pooled resources
through blended financing, shared information across services providers
and compatible and linked automated information systems, co-location of
several services or programs.)
(3) The Indian Tribe must include in the coordination process
representatives of other Federal or federally assisted child and family
services or related programs. The Indian Tribe's CFSP must describe how
services under the plan will be coordinated over the five-year period
with services or benefits under other Federal or federally assisted
programs serving the same populations to achieve the goals and
objectives in the plan. The descriptions must include the participants
in the process and any examples of how the process led or will lead to
additional coordination of services.

[[Page 412]]

(n) Services. (1) The State's CFSP must describe the publicly funded
child and family services continuum: child welfare services (including
child abuse and neglect prevention, intervention, and treatment
services; and foster care); family preservation services; family support
services; and services to support reunification, adoption, kinship care,
independent living, or other permanent living arrangements.
(2) The Indian Tribe's CFSP must describe the child welfare services
(including child abuse and neglect prevention, intervention, treatment
services and foster care) and/or the family support and family
preservation services to be provided.
(3) For each service described, the CFSP must include the following
information, or it must be listed on the CFS-101, Part II:
(i) The population(s) to be served;
(ii) The geographic area(s) where the services will be available;
(iii) The estimated number of individuals and/or families to be
served;
(iv) The estimated expenditures for these services from Federal,
State, local, and donated sources, including title IV-B, subparts 1 and
2, the CAPTA program referenced in paragraph (a) of this section, and
the independent living program.
(o) Family preservation and family support services and linkages to
other social and health services. (1) The State's CFSP must explain how
the funds under title IV-B, subpart 2 of the Act, will be used to
develop or expand family support and family preservation services; how
the family support and family preservation services relate to existing
family support and family preservation services; and how these family
support and preservation services will be linked to other services in
the child and family services continuum.
(2) The State's CFSP must explain whether and/or how funds under the
CAPTA and independent living programs are coordinated with and
integrated into the child and family services continuum described in the
plan.
(3) The State's CFSP must describe the existing or current linkages
and the coordination of services between the services in the child and
family services continuum and the services in other public services
systems (e.g., health, education, housing, substance abuse, the courts),
and other Federal and non-federally funded public and nonprofit private
programs (e.g., Children's Trust Funds, Community-Based Family Resource
Programs, private foundations.)
(p) Services in relation to service principles. The CFSP must
describe how the child and family services to be provided are designed
to assure the safety and protection of children as well as the
preservation and support of families, and how they are or will be
designed to be consistent with the other service principles in 45 CFR
1355.25.
(q) Services in relation to permanency planning. For States
administering both title IV-B programs (subparts 1 and 2), the CFSP must
explain how these services will help meet the permanency provisions for
children and families in sections 422(b)(9) and 471 of the Act (e.g.,
preplacement preventive services, reunification services, independent
living services.) The CFSP must describe the arrangements, jointly
developed with the Indian Tribes within its borders, made for the
provision of the child welfare services and protections in section
422(b)(9) to Indian children under both State and Tribal jurisdiction.
(r) Decision-making process: selection of family support programs
for funding. The State's CFSP must include an explanation of how
agencies and organizations were selected for funding to provide family
support services and how these agencies and organizations meet the
requirement that family support services be community-based.
(s) Significant portion of funds used for family support and family
preservation services. With each fiscal year's budget request, each
State must indicate the specific percentage of family preservation and
family support funds (title IV-B, subpart 2) that the State will expend
for community-based family support and for family preservation services,
and the rationale for the decision. The State must have an especially
strong rationale if the request for either percentage is below 25
percent. It must also include an explanation of how this distribution
was reached and why it

[[Page 413]]

meets the requirements that a ``significant portion'' of the service
funds must be spent for each service. Examples of important
considerations might include the nature of the planning efforts that led
to the decision, the level of existing State effort in each area, and
the resulting need for new or expanded services.
(t) Staff training, technical assistance, and evaluation. (1) The
State's CFSP must include a staff development and training plan in
support of the goals and objectives in the CFSP which addresses both of
the title IV-B programs covered by the plan. This training plan also
must be combined with the training plan under title IV-E as required by
45 CFR 1356.60(b)(2). Training must be an on-going activity and must
include content from various disciplines and knowledge bases relevant to
child and family services policies, programs and practices. Training
content must also support the cross-system coordination consultation
basic to the development of the CFSP.
(2) The State's CFSP must describe the technical assistance
activities that will be undertaken in support of the goals and
objectives in the plan.
(3) The State's CFSP must describe any evaluation and research
activities underway or planned with which the State agency is involved
or participating and which are related to the goals and objectives in
the plan.
(u) Quality assurance. The State must include in the CFSP a
description of the quality assurance system it will use to regularly
assess the quality of services under the CFSP and assure that there will
be measures to address identified problems.
(v) Distribution of the CFSP and the annual progress and services
report. The CFSP must include a description of how the State and the
Indian Tribe will make available to interested parties the CFSP and the
Annual Progress and Services Report. (See 45 CFR 1355.21(c) and 45 CFR
1357.16(d)). State agencies and Indian Tribal organizations within the
State must exchange copies of their CFSPs and their annual services
reports.

(This requirement has been approved by the Office of Management and
Budget under OMB Control Number 0980-0047. In accordance with the
Paperwork Reduction Act of 1995, an agency may not conduct or sponsor,
and a person is not required to respond to, a collection of information
unless it displays a currently valid OMB control number.)

[61 FR 58656, Nov. 18, 1996, as amended at 66 FR 58677, Nov. 23, 2001]

Sec. 1357.16 Annual progress and services reports.

(a) Annual progress and services reports. Annually, each State and
each Indian Tribe must conduct an interim review of the progress made in
the previous year toward accomplishing the goals and objectives in the
plan, based on updated information. In developing paragraphs (a)(2)
through (a)(4) of this section, the State and the Indian Tribe must
involve the agencies, organizations, and individuals who are a part of
the on-going CFSP-related consultation and coordination process. On the
basis of this review, each State and Indian Tribe must prepare and
submit to ACF, and make available to the public, an Annual Progress and
Services Report which must include the following--
(1) A report on the specific accomplishments and progress made in
the past fiscal year toward meeting each goal and objective, including
improved outcomes for children and families, and a more comprehensive,
coordinated, effective child and family services continuum;
(2) Any revisions in the statement of goals and objectives, or to
the training plan, if necessary, to reflect changed circumstances;
(3) For Indian Tribes, a description of the child welfare and/or
family preservation and family support services to be provided in the
upcoming fiscal year highlighting any changes in services or program
design and including the information required in 45 CFR 1357.15(n);
(4) For States, a description of the child protective, child
welfare, family preservation, family support, and independent living
services to be provided in the upcoming fiscal year highlighting any
additions or changes in

[[Page 414]]

services or program design and including the information required in 45
CFR 1357.15(n);
(5) Information on activities in the areas of training, technical
assistance, research, evaluation, or management information systems that
will be carried out in the upcoming fiscal year in support of the goals
and objectives in the plan;
(6) For States only, the information required to meet the
maintenance of effort (non-supplantation) requirement in section
432(a)(7) and (8) of the Act;
(7) For States and eligible Indian Tribes phasing in requirements
for a consolidated CFSP, information on activities and progress directed
toward a consolidated plan by June 30, 1996 or 1997. The report must
include information that demonstrates States' and eligible Indian
Tribes' progress toward the consolidation of a CFSP, including
activities that have been accomplished and still need to be
accomplished; and
(8) Any other information the State or the Indian Tribe wishes to
include.
(b) Submittal of the annual progress and services report and CFS-
101. (1) The State and the Indian Tribe must send the Annual Progress
and Services Report and the CFS-101 to the appropriate ACF Regional
Office no later than June 30 of the year prior to the fiscal year in
which the services will be provided (e.g., the report submitted and made
public by June 30, 1996 will describe the services to be provided in FY
1997. The report covering FY 1998 services must be submitted by June 30,
1997.)
(2) In order for States and eligible Indian Tribes to receive title
IV-B, subparts 1 and 2 allocations a CFS-101 must be submitted for each
fiscal year.
(3) States and Indian Tribes which have consolidated the
requirements for title IV-B, subparts 1 and 2, must submit the CFS-101
to the appropriate ACF Regional Office no later than June 30 of the year
prior to the fiscal year in which the services will be provided (e.g.,
for FY 1997 allocations, the CFS-101 must be submitted by June 30, 1996;
for FY 1998 allocations, the CFS-101 must be submitted by June 30,
1997.)
(4) States and eligible Indian Tribes choosing to phase-in the
requirements for a consolidated CFSP must:
(i) Submit by June 30, 1996 a CFS-101 for title IV-B, subpart 1 for
FY 1996 allocations; a CFS-101 for title IV-B, subpart 2 for FY 1997
allocations; and, if a State or eligible Indian Tribe chooses, a CFS-101
for subpart 1 FY 1997 allocations.
(ii) Submit by June 30, 1997 a CFS-101 for title IV-B, subpart 1 for
FY 1997 allocations, if not previously submitted by June 30, 1996; and a
CFS-101 for FY 1998 for subparts 1 and 2 allocations.
(c) Annual progress and services reports on FY 1994 family support
and family preservation services. Each State and Indian Tribe that used
FY 1994 funds under title IV-B, subpart 2, for services must describe in
the CFSP what services were provided, the population(s) served, and the
geographic areas where services were available. The CFSP also must
include the amount of FY 1994 funds used for planning, for family
preservation services, for family support services, and a brief
statement on how these services met the service priorities of the State
or the Indian Tribe.
(d) Availability of the annual progress and services report. The
State and the Indian Tribe must make the Annual Progress and Services
Report available to the public including the agencies, organizations,
and individuals with which the State or the Indian Tribe is coordinating
services or consulting and to other interested members of the public.
Each State and eligible Indian Tribe within the State must exchange
copies of their Annual Progress and Services Reports.
(e) FY 1999 Final Review. In FY 1999, each State and eligible Indian
Tribe must conduct a final review of progress toward accomplishing the
goals and objectives in the plan. On the basis of the final review, it
must--
(1) Prepare a final report on the progress made toward accomplishing
the goals and objectives; and
(2) Send the final report to the ACF Regional Office and make it
available to the public.
(f) FY 2000 Five-Year State Plan. Based on the FY 1999 final review
and final Annual Progress and Services Report, and in consultation with
a broad range of agencies, organizations, and individuals, the States
and eligible Indian Tribes must develop a new five-year

[[Page 415]]

CFSP following the requirements of 45 CFR 1357.15.

[61 FR 58659, Nov. 18, 1996, as amended at 66 FR 58677, Nov. 23, 2001]

Sec. 1357.20 Child abuse and neglect programs.

The State agency must assure that, with regard to any child abuse
and neglect programs or projects funded under title IV-B of the Act, the
requirements of section 106(b)(1) and (2) of the Child Abuse Prevention
and Treatment Act, as amended, are met. These requirements relate to the
State plan and assurances required for the Child Abuse and Neglect State
Grant Program.

[61 FR 58660, Nov. 18, 1996]

Sec. 1357.25 Requirements for eligibility for additional
payments under section 427.

(a) For any fiscal year after FY 1979 in which a sum in excess of
$141,000,000 is appropriated under Section 420 of the Act, a State is
not eligible for payment of an amount greater than the amount for which
it would be eligible if the appropriation were equal to $141,000,000
unless the State complies with the requirements of Section 427(a) of the
Act.
(b) In meeting the requirements for the inventory and statewide
information system in sections 427 (a)(1) and (2)(A) of the Act, the
inventory and statewide information system must include those children
under the placement and care responsibility of the State title IV-B or
IV-E agencies. At the State's discretion, other children may be
included. The six month requirement in section 427(a)(1) and the twelve
month requirement in section 427(a)(2)(A) of the Act must also be met.

(The requirement has been approved by the Office of Management and
Budget under OMB Control Number 0980-0138)

(c) If, for each of any two consecutive fiscal years after FY 1979,
there is appropriated under Section 420 of the Act a sum equal to or
greater than $266,000,000, a State's allotment amount for any fiscal
year after two such consecutive fiscal years shall be reduced to an
amount equal to what the allotment amount would have been for FY 1979
unless the State has implemented the requirements of section 427(b) of
the Act.
(d) In meeting the requirements of section 427(a)(2)(B) of the Act
for dispositional hearings the State agency must meet the requirements
of section 475(5)(C) of the Act and 45 CFR 1356.21(e).
(e) A State may appeal a final decision by ACYF that the State has
not met the requirements of this section and section 427 of the Act to
the Department Grant Appeals Board under the provisions of 45 CFR part
16.

[48 FR 23118, May 23, 1983]

Sec. 1357.30 State fiscal requirements (title IV-B,
subpart 1, child welfare services).

(a) Scope. The requirements of this section shall apply to all funds
allotted or reallotted to States under title IV-B, subpart 1.
(b) Allotments. Allotments for each State shall be determined in
accordance with section 421 of the Act.
(c) Payments. Payments to States shall be made in accordance with
section 423 of the Act.
(d) Enforcement and termination. In the event of a State's failure
to comply with the terms of the grant under title IV-B, subpart 1, the
provisions of 45 CFR 75.371 through 75.372 will apply.
(e) Matching or cost-sharing. Federal financial participation is
available only if costs are incurred in implementing sections 422, 423,
and 425 of the Act in accordance with the grants administration
requirements of 45 CFR part 75 with the following conditions--
(1) The State's contribution may be in cash, donated funds, and non-
public third party in-kind contributions.
(2) The total of Federal funds used for the following purposes under
title IV-B, subpart 1 may not exceed an amount equal to the FY 1979
Federal payment under title IV-B:

[[Page 416]]

(i) Child day care necessary solely because of the employment, or
training to prepare for employment, of a parent or other relative with
whom the child involved is living, plus;
(ii) Foster care maintenance payments, plus;
(iii) Adoption assistance payments.
(3) Notwithstanding paragraph (e)(2) of this section, State
expenditures required to match the title IV-B, subpart 1 allotment may
include foster care maintenance expenditures in any amount.
(f) Prohibition against purchase or construction of facilities.
Funds awarded under title IV-B may not be used for the purchase or
construction of facilities.
(g) Maintenance of effort. (1) A State may not receive an amount of
Federal funds under title IV-B in excess of the Federal payment made in
FY 1979 under title IV-B unless the State's total expenditure of State
and local appropriated funds for child welfare services under title IV-B
of the Act is equal to or greater than the total of the State's
expenditure from State and local appropriated funds used for similar
covered services and programs under title IV-B in FY 1979.
(2) In computing a State's level of expenditures under this section
in FY 1979 and any subsequent fiscal year, the following costs shall not
be included--
(i) Expenditures and costs for child day care necessary to support
the employment of a parent or other relative;
(ii) Foster care maintenance payments; and
(iii) Adoption assistance payments.
(3) A State applying for an amount of Federal funds under title IV-B
greater than the amount of title IV-B, subpart 1 funds received by that
State in FY 1979 shall certify:
(i) The amount of their expenditure in FY 1979 for child welfare
services as described in paragraphs (g)(1) and (2) of this section, and
(ii) The amount of State and local funds that have been appropriated
and are available for child welfare services as described in paragraphs
(g)(1) and (2) of this section for the fiscal year for which application
for funds is being made. Records verifying the required certification
shall be maintained by the State and made available to the Secretary as
necessary to confirm compliance with this section.
(h) Reallotment. (1) When a State certifies to the Commissioner that
funds available to that State under its title IV-B, subpart 1 allotment
will not be required, those funds shall be available for reallotment to
other States.
(2) When a State, after receiving notice from the Commissioner of
the availability of funds, does not certify by a date fixed by the
Commissioner that it will be able to expend during the period stated in
paragraph (i) of this section all of the funds available to it under its
title IV-B, subpart 1 allotment, those funds shall be available for
reallotment to other States.
(3) The Commissioner may reallot available funds to another State
when it is determined that--
(i) The requesting State's plan requires funds in excess of the
State's original allotment; and
(ii) the State will be able to expend the additional funds during
the period stated in paragraph (i) of this section.
(i) Time limit on expenditures. Funds under title IV-B, subpart 1,
must be expended by September 30 of the fiscal year following the fiscal
year in which the funds were awarded.

[61 FR 58660, Nov. 18, 1996, as amended at 81 FR 3023, Jan. 20, 2016]

Sec. 1357.32 State fiscal requirements (title IV-B,
subpart 2, family preservation and family support services).

(a) Scope. The requirements of this section apply to all funds
allocated to States under title IV-B, subpart 2, of the Act.
(b) Allotments. The annual allotment to each State shall be made in
accordance with section 433 of the Act.
(c) Payments. Payments to each State will be made in accordance with
section 434 of the Act.
(d) Matching or cost sharing. Funds used to provide services in FY
1994 and in subsequent years will be federally reimbursed at 75 percent
of allowable expenditures. (This is the same Federal financial
participation rate as title IV-B, subpart 1.) Federal funds, however,
will not exceed the amount of the State's allotment.

[[Page 417]]

(1) The State's contribution may be in cash, donated funds, and non-
public third party in-kind contributions.
(2) Except as provided by Federal statute, other Federal funds may
not be used to meet the matching requirement.
(e) Prohibition against purchase or construction of facilities.
Funds awarded under title IV-B may not be used for the purchase or
construction of facilities.
(f) Maintenance of effort. States may not use the Federal funds
under title IV-B, subpart 2, to supplant Federal or non-Federal funds
for existing family preservation and family support services. For the
purpose of implementing this requirement, ``non-Federal funds'' means
State funds. ACF will collect information annually from each State on
expenditures for family support and family preservation using the State
fiscal year 1992 as the base year.
(g) Time limits on expenditures. Funds must be expended by September
30 of the fiscal year following the fiscal year in which the funds were
awarded.
(h) Administrative costs. (1) States claiming Federal financial
participation for services provided in FY 1994 and subsequent years may
not claim more than 10 percent of expenditures under subpart 2 for
administrative costs. There is no limit on the percentage of
administrative costs which may be reported as State match.
(2) For the purposes of title IV-B, subpart 2, ``administrative
costs'' are costs of auxiliary functions as identified through as
agency's accounting system which are:
(i) Allocable (in accordance with the agency's approved cost
allocation plan) to the title IV-B, subpart 2 program cost centers;
(ii) necessary to sustain the direct effort involved in
administering the State plan for title IV-B, subpart 2, or an activity
providing service to the program: and
(iii) centralized in the grantee department or in some other agency,
and may include but are not limited to the following: Procurement;
payroll; personnel functions; management, maintenance and operation of
space and property; data processing and computer services; accounting;
budgeting; auditing.
(3) Program costs are costs, other than administrative costs,
incurred in connection with developing and implementing the CFSP (e.g.,
delivery of services, planning, consultation, coordination, training,
quality assurance measures, data collection, evaluations, supervision).

[61 FR 58661, Nov. 18, 1996]

Sec. 1357.40 Direct payments to Indian Tribal Organizations
(title IV-B, subpart 1, child welfare services).

(a) Who may apply for direct funding? Any Indian Tribal Organization
(ITO) that meets the definitions in section 428(c) of the Act, or any
consortium or other group of eligible Tribal organizations authorized by
the membership of the Tribes to act for them is eligible to apply for
direct funding if the ITO, consortium or group has a plan for child
welfare services that is jointly developed by the ITO and the
Department.
(b) Title IV-B Child and Family Services Plan (CFSP). (1) In order
to receive funds under title IV-B, subpart 1, beginning in FY 1995, the
Indian Tribe or Tribal organization must have in effect an approved
five-year child and family services plan that meets the applicable
requirements of Sec. 1357.15 of this part.
(2) The Indian Tribe or Tribal organization must also comply with
section 422(b)(1-8) of the Act; 45 CFR part 1355 (except that the
requirements in Sec. 1355.30 for a single Tribal agency and Governor's
review of the CFSP do not apply); and other applicable requirements of
Sec. Sec. 1357.10 and 1357.16.
(c) Information related to the requirements of Section 422(b)(9) of
the Act. The following information must be submitted with the assurances
required to be eligible for title IV-B, subpart 1 funds:
(1) A description of the arrangements, jointly developed with the
State, made for the provision of the child welfare services and
protections in section 422(b)(9) to Indian children under both State and
Tribal jurisdiction;
(2) A statement of the legal responsibility, if any, for children
who are in foster care on the reservation and those awaiting adoption;

[[Page 418]]

(3) A description of Tribal jurisdiction in civil and criminal
matters, existence or nonexistence of a Tribal court and the type of
court and codes, if any;
(4) An identification of the standards for foster family homes and
institutional care and day care;
(5) The Indian Tribal organization's political subdivisions, if any;
(6) Whether the Tribal organization is controlled, sanctioned or
chartered by the governing body of Indians to be served and if so,
documentation of that fact;
(7) Any limitations on authorities granted to the Indian Tribal
organizations; and
(8) The Tribal resolution(s) authorizing an application for a direct
title IV-B, subpart 1 grant under this Part.
(d) Grants: General. (1) Grants may be made to eligible Indian
Tribal organizations in a State which has a jointly developed child and
family services plan approved and in effect.
(2) Federal funds made available for a direct grant to an eligible
ITO shall be paid by the Department, from the title IV-B allotment for
the State in which the ITO is located. Should a direct grant be
approved, the Department shall promptly notify the State(s) affected.
(3) If an eligible ITO includes population from more than one State,
a proportionate amount of the grant will be paid from each State's
allotment.
(4) The receipt of title IV-B funds must be in addition to and not a
substitute for funds otherwise previously expended by the ITO for child
welfare services.
(5) The following fiscal and administrative requirements apply to
Indian Tribal grants under this section:
(i) Enforcement and termination. In the event of an Indian Tribe's
failure to comply with the terms of the grant under title IV-B, subpart
1, the provisions of 45 CFR 75.371 through 75.372 will apply.
(ii) Matching or cost-sharing. Federal financial participation is
available only if costs are incurred in implementing sections 422, 423,
and 425 of the Act in accordance with the grants administration
requirements of 45 CFR part 75 with the following conditions--
(A) The ITO's contribution may be in cash, donated funds, and non-
public third party in-kind contributions.
(B) The total of Federal funds used for the following purposes under
title IV-B, subpart 1 may not exceed an amount equal to the FY 1979
Federal payment under title IV-B:
(1) Child day care necessary solely because of the employment, or
training to prepare for employment, of a parent or other relative with
whom the child involved is living, plus;
(2) Foster care maintenance payments, plus;
(3) Adoption assistance payments.
(C) Notwithstanding paragraph (d)(5)(ii)(B) of this section, Tribal
expenditures required to match the title IV-B, subpart 1 allotment may
include foster care maintenance expenditures in any amount.
(iii) Prohibition against purchase or construction of facilities.
Funds awarded under title IV-B may not be used for the purchase or
construction of facilities.
(iv) Time limit on expenditures. Funds under title IV-B, subpart 1,
must be expended by September 30 of the fiscal year following the fiscal
year in which the funds were awarded.
(6) In order to determine the amount of Federal funds available for
a direct grant to an eligible ITO, the Department shall first divide the
State's title IV-B allotment by the number of children in the State,
then multiply the resulting amount by a multiplication factor determined
by the Secretary, and then multiply that amount by the number of Indian
children in the ITO population. The multiplication factor will be set at
a level designed to achieve the purposes of the act and revised as
appropriate.

[61 FR 58661, Nov. 18, 1996, as amended at 65 FR 4093, Jan. 25, 2000; 81
FR 3023, Jan. 20, 2016]

Sec. 1357.50 Direct payments to Indian Tribal organizations
(title IV-B, subpart 2, family preservation and support services).

(a) Definitions.
Alaska Native Organization means any organized group of Alaska
Natives eligible to operate a Federal program under the Indian Self-
Determination

[[Page 419]]

Act (Pub. L. 93-638) or such group's designee as defined in section
482(i)(7)(A) of the Act.
Indian Tribe means any Tribe, band, nation, or other organized group
or community of Indians that is recognized as eligible for the special
programs and services provided by the United States to Indians because
of their status as Indians; and for which a reservation (including
Indian reservations, public domain Indian allotments, and former Indian
reservations in Oklahoma) exists.
Tribal organization means the recognized governing body of the
Indian Tribe.
(b) Eligibility for funds: FY 1994. (1) Section 432(b)(2) of the Act
provides that the Secretary may not approve a plan of an Indian Tribe
whose FY 1995 allotment under subpart 2 would be less than $10,000.
Therefore, only those Indian Tribes whose FY 1995 allotment is $10,000
or more are eligible to receive funds beginning in FY 1994.
(2) ACF will pay any amount to which an Indian Tribe is entitled to
the Tribal organization of the Indian Tribe.
(c) Eligibility for funds: FY 1995. In order to receive funds under
title IV-B, subpart 2, in FY 1995, an Indian Tribe that is eligible for
planning funds in FY 1994 must submit a Child and Family Services Plan
that meets the applicable requirements in section 1357.15 of this Part.
(d) Eligibility for funds: FY 1996 through FY 1998. (1) ACF will
make grants to additional Indian Tribes in Fys 1996 through 1998 in the
event that there are increased appropriations.
(2) Allotments will be calculated in Fys 1996, 1997, and 1998 as
required in section 433 of the Act. Those Indian Tribes in each year
whose allotment is at least $10,000 will be notified of their
eligibility to apply.
(3) In order to receive funds, additional Indian Tribes which become
eligible for grants in FY 1996, 1997, and 1998 must submit either a five
year Child and Family Services Plan (CFSP) that meets the applicable
requirements of 45 CFR 1357.15 or an application for planning funds by
June 30 of the year in which they first become eligible for grants.
Those Indian Tribes which submitted an application for planning funds in
their first year of funding must submit a five year CFSP that meets the
applicable requirements of 45 CFR 1357.15 by June 30 of the second year
they receive funding. For example, in order to receive funds, an Indian
Tribe which becomes eligible to receive funding beginning in FY 1996
must submit either an application for planning funds or a CFSP by June
30, 1996. If the Indian Tribe submitted an application for planning
funds in FY 1996, they must submit a CFSP by June 30, 1997.
(4) All Indian Tribes will be Federally reimbursed at 75 percent of
allowable expenditures. Federal funds without match are available in the
first year of receipt of funds for additional Indian Tribes meeting the
following criteria:
(i) Submittal of an application for planning funds, and not a five
year CFSP;
(ii) Receipt of an initial award in FY 1996 or 1997 or 1998; and
(iii) A proposal to spend the entire grant in the first year on
planning.
(e) Allotments. Allotments to Indian Tribes are computed based on
section 433 of the Act and are based on a ratio of the number of
children in each Indian Tribe with an approved plan compared to the
number of children in all Indian Tribes with approved plans, based on
the most current and reliable data available.
(f) Exemptions of requirements. (1) ACF has exempted Indian Tribes
from three statutory requirements:
(i) The limitation on administrative costs to 10 percent of total
Federal and Tribal funds--Indian Tribes may use the indirect cost rate
agreement in effect for the Tribe;
(ii) The requirement for maintenance of effort that funds under this
program may not be used to supplant other Federal and non-Federal funds;
and
(iii) The requirement that a significant portion of funds must be
used for both family support and family preservation services.
(2) Specific exemptions from other statutory requirements may be
requested by the Tribe in the course of its joint planning. Such a
request must contain a compelling reason.
(g) Matching requirement. (1) Funds used to provide services in FY
1994 and in subsequent years will be federally

[[Page 420]]

reimbursed at 75 percent of allowable expenditures. (This is the same
Federal financial participation rate as title IV-B, subpart 1.) The
Indian Tribe's match must be at least 25 percent of the total project
costs or one-third of the Federal share. Federal funds, however, will
not exceed the amount of the Indian Tribe's allotment.
(2) The Indian Tribe's contribution may be in cash, donated funds,
and non-public third party in-kind contributions.
(3) Indian Tribes, by statute, may use the following three Federal
sources of funds as matching funds: Indian Child Welfare Act funds,
Indian Self-Determination and Education Assistance Act funds, and
Community Development Block Grant funds.
(h) Time limits on expenditures. An Indian Tribe must expend all
funds by September 30 of the fiscal year following the fiscal year in
which the funds were awarded.

[61 FR 58662, Nov. 18, 1996]

[[Page 421]]

SUBCHAPTER H_FAMILY VIOLENCE PREVENTION AND SERVICES PROGRAMS

PART 1370_FAMILY VIOLENCE PREVENTION AND SERVICES PROGRAMS
--Table of Contents

Subpart A_General Provisions

Sec.
1370.1 What are the purposes of the Family Violence Prevention and
Services Act Programs?
1370.2 What definitions apply to these programs?
1370.3 What Government-wide and HHS-wide regulations apply to these
programs?
1370.4 What confidentiality requirements apply to these programs?
1370.5 What additional non-discrimination requirements apply to these
programs?
1370.6 What requirements for reports and evaluations apply to these
programs?

Subpart B_State and Indian Tribal Grants

1370.10 What additional requirements apply to State and Indian Tribal
grants?

Subpart C_State Domestic Violence Coalition Grants

1370.20 What additional requirements apply to State Domestic Violence
Coalitions?

Subpart D_Discretionary Grants and Contracts

1370.30 What National Resource Center and Training and Technical
Assistance grant programs are available and what additional
requirements apply?
1370.31 What additional requirements apply to grants for specialized
services for abused parents and their children?
1370.32 What additional requirements apply to National Domestic Violence
Hotline grants?

Authority: 42 U.S.C. 10401 et seq.

Source: 81 FR 76471, Nov. 2, 2016, unless otherwise noted.

Subpart A_General Provisions

Sec. 1370.1 What are the purposes of the Family Violence
Prevention and Services Act Programs?

This part addresses sections 301 through 313 of the Family Violence
Prevention and Services Act (FVPSA), as amended, and codified at 42
U.S.C. 10401 et seq. FVPSA authorizes the Secretary to implement
programs for the purposes of increasing public awareness about and
preventing family violence, domestic violence, and dating violence;
providing immediate shelter and supportive services for victims of
family violence, domestic violence, and dating violence and their
dependents; providing for technical assistance and training relating to
family violence, domestic violence, and dating violence programs;
providing for State Domestic Violence Coalitions; providing specialized
services for abused parents and their children; and operating a national
domestic violence hotline. FVPSA emphasizes both primary, and secondary,
prevention of violence.

Sec. 1370.2 What definitions apply to these programs?

For the purposes of this part:
Dating violence means violence committed by a person who is or has
been in a social relationship of a romantic or intimate nature with the
victim and where the existence of such a relationship shall be
determined based on a consideration of the following factors: The length
of the relationship, the type of relationship, and the frequency of
interaction between the persons involved in the relationship. This part
of the definition reflects the definition also found in Section 40002(a)
of VAWA (as amended), 42 U.S.C. 13925(a), as required by FVPSA. Dating
violence also includes but is not limited to the physical, sexual,
psychological, or emotional violence within a dating relationship,
including stalking. It can happen in person or electronically, and may
involve financial abuse or other forms of manipulation which may occur
between a current or former dating partner regardless of actual or
perceived sexual orientation or gender identity.
Domestic violence means felony or misdemeanor crimes of violence
committed by a current or former spouse or intimate partner of the
victim, by a person with whom the victim shares a

[[Page 422]]

child in common, by a person who is cohabitating with or has cohabitated
with the victim as a spouse or intimate partner, by a person similarly
situated to a spouse of the victim under the domestic or family violence
laws of the jurisdiction receiving grant monies, or by any other person
against an adult or youth victim who is protected from that person's
acts under the domestic or family violence laws of the jurisdiction.
This definition also reflects the statutory definition of ``domestic
violence'' found in Section 40002(a) of VAWA (as amended), 42 U.S.C.
13925(a). This definition also includes but is not limited to criminal
or non-criminal acts constituting intimidation, control, coercion and
coercive control, emotional and psychological abuse and behavior,
expressive and psychological aggression, financial abuse, harassment,
tormenting behavior, disturbing or alarming behavior, and additional
acts recognized in other Federal, Tribal State, and local laws as well
as acts in other Federal regulatory or sub-regulatory guidance. This
definition is not intended to be interpreted more restrictively than
FVPSA and VAWA but rather to be inclusive of other, more expansive
definitions. The definition applies to individuals and relationships
regardless of actual or perceived sexual orientation or gender identity.
Family violence means any act or threatened act of violence,
including any forceful detention of an individual, that results or
threatens to result in physical injury and is committed by a person
against another individual, to or with whom such person is related by
blood or marriage, or is or was otherwise legally related, or is or was
lawfully residing.
Personally identifying information (PII) or personal information is
individually identifying information for or about an individual
including information likely to disclose the location of a victim of
domestic violence, dating violence, sexual assault, or stalking,
regardless of whether the information is encoded, encrypted, hashed, or
otherwise protected, including, a first and last name; a home or other
physical address; contact information (including a postal, email or
Internet protocol address, or telephone or facsimile number); a social
security number, driver license number, passport number, or student
identification number; and any other information, including date of
birth, racial or ethnic background, or religious affiliation, that would
serve to identify any individual.
Primary prevention means strategies, policies, and programs to stop
both first-time perpetration and first-time victimization. Primary
prevention is stopping domestic and dating violence before they occur.
Primary prevention includes, but is not limited to: School-based
violence prevention curricula, programs aimed at mitigating the effects
on children of witnessing domestic or dating violence, community
campaigns designed to alter norms and values conducive to domestic or
dating violence, worksite prevention programs, and training and
education in parenting skills and self-esteem enhancement.
Primary-purpose domestic violence service provider, for the term
only as it appears in the definition of State Domestic Violence
Coalition, means an entity that operates a project of demonstrated
effectiveness carried out by a nonprofit, nongovernmental, private
entity, Tribe, or Tribal organization, that has as its project's
primary-purpose the operation of shelters and supportive services for
victims of domestic violence and their dependents; or has as its
project's primary purpose counseling, advocacy, or self-help services to
victims of domestic violence. Territorial Domestic Violence Coalitions
may include government-operated domestic violence projects as primary-
purpose domestic violence service providers for complying with the
membership requirement, provided that Territorial Coalitions can
document providing training, technical assistance, and capacity-building
of community-based and privately operated projects to provide shelter
and supportive services to victims of family, domestic, or dating
violence, with the intention of recruiting such projects as members once
they are sustainable as primary-purpose domestic violence service
providers.
Secondary prevention is identifying risk factors or problems that
may lead to future family, domestic, or dating

[[Page 423]]

violence, and taking the necessary actions to eliminate the risk factors
and the potential problem, and may include, but are not limited to,
healing services for children and youth who have been exposed to
domestic or dating violence, home visiting programs for high-risk
families, and screening programs in health care settings.
Shelter means the provision of temporary refuge in conjunction with
supportive services in compliance with applicable State or Tribal law or
regulations governing the provision, on a regular basis, of shelter,
safe homes, meals, and supportive services to victims of family
violence, domestic violence, or dating violence, and their dependents.
State and Tribal law governing the provision of shelter and supportive
services on a regular basis is interpreted by ACF to mean, for example,
the laws and regulations applicable to zoning, fire safety, and other
regular safety, and operational requirements, including State, Tribal,
or local regulatory standards for certifying domestic violence advocates
who work in shelter. This definition also includes emergency shelter and
immediate shelter, which may include housing provision, rental
subsidies, temporary refuge, or lodging in properties that could be
individual units for families and individuals (such as apartments) in
multiple locations around a local jurisdiction, Tribe/reservation, or
State; such properties are not required to be owned, operated, or leased
by the program. Temporary refuge includes a residential service,
including shelter and off-site services such as hotel or motel vouchers
or individual dwellings, which is not transitional or permanent housing,
but must also provide comprehensive supportive services. The mere act of
making a referral to shelter or housing shall not itself be considered
provision of shelter. Should other jurisdictional laws conflict with
this definition of temporary refuge, the definition which provides more
expansive housing accessibility governs.
State means each of the several States, the District of Columbia,
the Commonwealth of Puerto Rico, and, except as otherwise provided in
statute, Guam, American Samoa, the United States Virgin Islands, and the
Commonwealth of the Northern Mariana Islands.
State Domestic Violence Coalition means a Statewide,
nongovernmental, nonprofit 501(c)(3) organization whose membership
includes a majority of the primary-purpose domestic violence service
providers in the State; whose board membership is representative of
these primary-purpose domestic violence service providers and which may
include representatives of the communities in which the services are
being provided in the State; that has as its purpose to provide
education, support, and technical assistance to such service providers
to enable the providers to establish and maintain supportive services
and to provide shelter to victims of domestic violence and their
children; and that serves as an information clearinghouse, primary point
of contact, and resource center on domestic violence for the State and
supports the development of policies, protocols and procedures to
enhance domestic violence intervention and prevention in the State/
Territory.
Supportive services means services for adult and youth victims of
family violence, domestic violence, or dating violence, and their
dependents that are designed to meet the needs of such victims and their
dependents for short-term, transitional, or long-term safety and
recovery. Supportive services include, but are not limited to: Direct
and/or referral-based advocacy on behalf of victims and their
dependents, counseling, case management, employment services, referrals,
transportation services, legal advocacy or assistance, child care
services, health, behavioral health and preventive health services,
culturally and linguistically appropriate services, and other services
that assist victims or their dependents in recovering from the effects
of the violence. To the extent not already described in this definition,
supportive services also include but are not limited to other services
identified in FVPSA at 42 U.S.C. 10408(b)(1)(A)-(H). Supportive services
may be directly provided by grantees and/or by providing advocacy or
referrals to assist victims in accessing such services.
Underserved populations means populations who face barriers in
accessing

[[Page 424]]

and using victim services, and includes populations underserved because
of geographic location, religion, sexual orientation, gender identity,
underserved racial and ethnic populations, and populations underserved
because of special needs including language barriers, disabilities,
immigration status, and age. Individuals with criminal histories due to
victimization and individuals with substance use disorders and mental
health issues are also included in this definition. The reference to
racial and ethnic populations is primarily directed toward racial and
ethnic minority groups (as defined in section 1707(g) of the Public
Health Service Act (42 U.S.C. 300(u-6)(g)), which means American Indians
(including Alaska Natives, Eskimos, and Aleuts); Asian American; Native
Hawaiians and other Pacific Islanders; Blacks and Hispanics. The term
``Hispanic'' or ``Latino'' means individuals whose origin is Mexican,
Puerto Rican, Cuban, Central or South American, or any other Spanish-
speaking country. This underserved populations' definition also includes
other population categories determined by the Secretary or the
Secretary's designee to be underserved.

Sec. 1370.3 What Government-wide and HHS-wide regulations apply to these programs?

(a) A number of government-wide and HHS regulations apply or
potentially apply to all grantees. These include but are not limited to:
(1) 2 CFR part 182--Government-wide Requirements for Drug Free
Workplaces;
(2) 2 CFR part 376--Nonprocurement Debarment and Suspension;
(3) 45 CFR part 16--Procedures of the Departmental Grant Appeals
Board;
(4) 45 CFR part 30--Claims Collection;
(5) 45 CFR part 46--Protection of Human Subjects;
(6) 45 CFR part 75--Uniform Administrative Requirements, Cost
Principles and Audit Requirements for HHS Awards
(7) 45 CFR part 80--Nondiscrimi-nation Under Programs Receiving
Federal Assistance Through the Department of Health and Human Services
Effectuation of Title VI of the Civil Rights Act of 1964;
(8) 45 CFR part 81--Practice and Procedure for Hearings under part
80;
(9) 45 CFR part 84--Nondiscrimi-nation on the Basis of Handicap in
Programs or Activities Receiving Federal Financial Assistance;
(10) 45 CFR part 86--Nondiscrimi-nation on the Basis of Sex in
Education Programs or Activities Receiving Federal Financial Assistance;
(11) 45 CFR part 87--Equal Treatment for Faith-Based Organizations;
(12) 45 CFR part 91--Nondiscrimi-nation on the Basis of Age in
Programs or Activities Receiving Federal Financial Assistance for HHS;
(13) 45 CFR part 92--Nondiscrimi-nation in Health Programs and
Activities; and
(14) 45 CFR part 93--New Restrictions on Lobbying.
(b) A number of government-wide and HHS regulations apply to all
contractors. These include but are not limited to:
(15) 48 CFR Chapter 1--Federal Acquisition Regulations; and
(16) 48 CFR Chapter 3--Federal Acquisition Regulations--Department
of Health and Human Services.

Sec. 1370.4 What confidentiality requirements apply
to these programs?

(a) In order to ensure the safety of adult, youth, and child victims
of family violence, domestic violence, or dating violence, and their
families, grantees and subgrantees under FVPSA shall protect the
confidentiality and privacy of such victims and their families. Subject
to paragraphs (c), (d), and (e) of this section, grantees and
subgrantees shall not--
(1) Disclose any personally identifying information (as defined in
Sec. 1370.2) collected in connection with services requested (including
services utilized or denied) through grantees' and subgrantees'
programs;
(2) Reveal any personally identifying information without informed,
written, reasonably time-limited consent by the person about whom
information is sought, whether for this program or any other Federal,
Tribal or State

[[Page 425]]

grant program, including but not limited to whether to comply with
Federal, Tribal, or State reporting, evaluation, or data collection
requirements; or
(3) Require an adult, youth, or child victim of family violence,
domestic violence, and dating violence to provide a consent to release
his or her personally identifying information as a condition of
eligibility for the services provided by the grantee or subgrantee.
(b) Consent shall be given by the person, except in the case of an
unemancipated minor it shall be given by both the minor and the minor's
parent or guardian; or in the case of an individual with a guardian it
shall be given by the individual's guardian. A parent or guardian may
not give consent if: he or she is the abuser or suspected abuser of the
minor or individual with a guardian; or, the abuser or suspected abuser
of the other parent of the minor. If a minor or a person with a legally
appointed guardian is permitted by law to receive services without the
parent's or guardian's consent, the minor or person with a guardian may
release information without additional consent. Reasonable
accommodations shall also be made for those who may be unable, due to
disability or other functional limitation, to provide consent in
writing.
(c) If the release of information described in paragraphs (a) and
(b) of this section is compelled by statutory or court mandate:
(1) Grantees and sub-grantees shall make reasonable attempts to
provide notice to victims affected by the release of the information;
and
(2) Grantees and subgrantees shall take steps necessary to protect
the privacy and safety of the persons affected by the release of the
information.
(d) Grantees and subgrantees may share:
(1) Non-personally identifying information, in the aggregate,
regarding services to their clients and demographic non-personally
identifying information in order to comply with Federal, State, or
Tribal reporting, evaluation, or data collection requirements;
(2) Court-generated information and law enforcement-generated
information contained in secure, governmental registries for protective
order enforcement purposes; and
(3) Law enforcement- and prosecution-generated information necessary
for law enforcement and prosecution purposes.
(4) Personally identifying information may be shared with a health
care provider or payer, but only with the informed, written, reasonably
time-limited consent of the person about whom such information is
sought.
(e) Nothing in this section prohibits a grantee or subgrantee, where
mandated or expressly permitted by the State or Indian Tribe, from
reporting abuse and neglect, as those terms are defined by law, or from
reporting imminent risk of serious bodily injury or death of the victim
or another person.
(f) Nothing in this section shall be construed to supersede any
provision of any Federal, State, Tribal, or local law that provides
greater protection than this section for victims of family violence,
domestic violence, or dating violence.
(g) The address or location of any shelter facility assisted that
maintains a confidential location shall, except with written
authorization of the person or persons responsible for the operation of
such shelter, not be made public.
(1) Shelters which choose to remain confidential pursuant to this
rule must develop and maintain systems and protocols to remain secure,
which must include policies to respond to disruptive or dangerous
contact from abusers, and
(2) Tribal governments, while exercising due diligence to comply
with statutory provisions and this rule, may determine how best to
maintain the safety and confidentiality of shelter locations.

Sec. 1370.5 What additional non-discrimination requirements
apply to these programs?

(a) No person shall on the ground of actual or perceived sex,
including gender identity, be excluded from participation in, be denied
the benefits of, or be subject to discrimination under, any program or
activity funded in whole or in part through FVPSA.
(1) FVPSA grantees and subgrantees must provide comparable services
to

[[Page 426]]

victims regardless of actual or perceived sex, including gender
identity. This includes not only providing access to services for all
victims, including male victims, of family, domestic, and dating
violence regardless of actual or perceived sex, including gender
identity, but also making sure not to limit services for victims with
adolescent children (under the age of 18) on the basis of the actual or
perceived sex, including gender identity, of the children. Victims and
their minor children must be sheltered or housed together, regardless of
actual or perceived sex, including gender identity, unless requested
otherwise or unless the factors or considerations identified in Sec.
1370.5(a)(2) require an exception to this general rule.
(2) No such program or activity is required to include an individual
in such program or activity without taking into consideration that
individual's sex in those certain instances where sex is a bona fide
occupational qualification or a programmatic factor reasonably necessary
to the essential operation of that particular program or activity. If
sex segregation or sex-specific programming is essential to the normal
or safe operation of the program, nothing in this paragraph shall
prevent any such program or activity from consideration of an
individual's sex. In such circumstances, grantees and subgrantees may
meet the requirements of this paragraph by providing comparable services
to individuals who cannot be provided with the sex-segregated or sex-
specific programming, including access to a comparable length of stay,
supportive services, and transportation as needed to access services. If
a grantee or subgrantee determines that sex-segregated or sex-specific
programming is essential for the normal or safe operation of the
program, it must support its justification with an assessment of the
facts and circumstances surrounding the specific program, including an
analysis of factors discussed in paragraph (a)(3) of this section, and
take into account established field-based best practices and research
findings, as applicable. The justification cannot rely on unsupported
assumptions or overly-broad sex-based generalizations. An individual
must be treated consistent with their gender identity in accordance with
this section.
(3) Factors that may be relevant to a grantee's or subgrantee's
evaluation of whether sex-segregated or sex-specific programming is
essential to the normal or safe operations of the program include, but
are not limited, to the following: The nature of the service, the
anticipated positive and negative consequences to all eligible
beneficiaries of not providing the program in a sex-segregated or sex-
specific manner, the literature on the efficacy of the service being
sex-segregated or sex-specific, and whether similarly-situated grantees
and subgrantees providing the same services have been successful in
providing services effectively in a manner that is not sex-segregated or
sex-specific. A grantee or subgrantee may not provide sex-segregated or
sex-specific services for reasons that are trivial or based on the
grantee's or subgrantee's convenience.
(4) As with all individuals served, transgender and gender
nonconforming individuals must have equal access to FVPSA-funded shelter
and nonresidential programs. Programmatic accessibility for transgender
and gender nonconforming survivors and minor children must be afforded
to meet individual needs consistent with the individual's gender
identity. ACF requires that a FVPSA grantee or subgrantee that makes
decisions about eligibility for or placement into single-sex emergency
shelters or other facilities offer every individual an assignment
consistent with their gender identity. For the purpose of assigning a
service beneficiary to sex-segregated or sex-specific services, the
grantee/subgrantee may ask a beneficiary which group or services the
beneficiary wishes to join. The grantee/subgrantee may not, however, ask
questions about the beneficiary's anatomy or medical history or make
demands for identity documents or other documentation of gender. A
victim's/beneficiary's or potential victim's/beneficiary's request for
an alternative or additional accommodation for purposes of personal
health, privacy, or safety must be given serious consideration in making
the placement. For instance, if the potential

[[Page 427]]

victim/beneficiary requests to be placed based on his or her sex
assigned at birth, ACF requires that the provider will place the
individual in accordance with that request, consistent with health,
safety, and privacy concerns of the individual. ACF also requires that a
provider will not make an assignment or re-assignment of the transgender
or gender nonconforming individual based on complaints of another person
when the sole stated basis of the complaint is a victim/client or
potential victim/client's non-conformance with gender stereotypes or
sex, including gender identity.
(b) An organization that participates in programs funded through the
FVPSA shall not, in providing services, discriminate against a program
beneficiary or prospective program beneficiary on the basis of religion,
a religious belief, a refusal to hold a religious belief, or a refusal
to attend or participate in a religious practice.
(1) Dietary practices dictated by particular religious beliefs may
require reasonable accommodation in cooking or feeding arrangements for
particular beneficiaries as practicable. Additionally, other forms of
religious practice may require reasonable accommodation including, but
not limited to, shelters that have cleaning schedules may need to
account for a survivor's religion which prohibits him/her from working
on religious holidays.
(c) No person shall on the ground of actual or perceived sexual
orientation be excluded from participation in, be denied the benefits
of, or be subject to discrimination under, any program or activity
funded in whole or in part through FVPSA.
(1) All programs must take into account participants' needs and be
inclusive and not stigmatize participants based on actual or perceived
sexual orientation.
(d) All FVPSA-funded services must be provided without requiring
documentation of immigration status because HHS has determined that
FVPSA-funded services do not fall within the definition of federal
public benefit that would require verification of immigration status.
(e) Grantees and subgrantees should create a plan to ensure
effective communication and equal access, including:
(1) How to identify and communicate with individuals with Limited
English Proficiency, and how to identify and properly use qualified
interpretation and translation services, and taglines; and
(2) How to take appropriate steps to ensure that communications with
applicants, participants, beneficiaries, members of the public, and
companions with disabilities are as effective as communications with
others; and furnish appropriate auxiliary aids and services where
necessary to afford qualified individuals with disabilities, including
applicants, participants, beneficiaries, and members of the public, an
equal opportunity to participate in, and enjoy the benefits of, a
service, program, or activity. Auxiliary aids and services include
qualified interpreters and large print materials.
(f) Nothing in this section shall be construed to invalidate or
limit the rights, remedies, procedures, or legal standards available to
individuals under other applicable law.
(g) The Secretary shall enforce the provisions of paragraphs (a) and
(b) of this section in accordance with section 602 of the Civil Rights
Act of 1964 (42 U.S.C. 2000d-1). Section 603 of the Civil Rights Act of
1964 (42 U.S.C. 2000d-2) shall apply with respect to any action taken by
the Secretary to enforce this section.

Sec. 1370.6 What requirements for reports and evaluations apply
to these programs?

Each entity receiving a grant or contract under these programs shall
submit a performance report to the Secretary at such time as required by
the Secretary. Such performance report shall describe the activities
that have been carried out, contain an evaluation of the effectiveness
of such activities, and provide such additional information as the
Secretary may require. Territorial governments which consolidate FVPSA
funds with other HHS funds in a Consolidated Block Grant pursuant to 45
CFR part 97 are not required to submit annual FVPSA performance

[[Page 428]]

progress reports and programmatic assurances if FVPSA funds are not
designated in the consolidation application for FVPSA purposes. If a
territorial government either does not consolidate FVPSA funds with
other HHS funds or does consolidate but indicates that FVPSA funds will
be used for FVPSA purposes, the territorial government must submit an
annual FVPSA performance progress report and programmatic assurances to
FYSB.

Subpart B_State and Indian Tribal Grants

Sec. 1370.10 What additional requirements apply to State
and Indian Tribal grants?

(a) These grants assist States and Tribes to support the
establishment, maintenance, and expansion of programs and projects to
prevent incidents of family violence, domestic violence, and dating
violence; to provide immediate shelter, supportive services, and access
to community-based programs for victims of family violence, domestic
violence, or dating violence, and their dependents; and to provide
specialized services for children exposed to family violence, domestic
violence, or dating violence, including victims who are members of
underserved populations. States must consult with and provide for the
participation of State Domestic Violence Coalitions and Tribal
Coalitions in the planning and monitoring of the distribution and
administration of subgrant programs and projects. At a minimum to
further FVPSA requirements, States and State Domestic Violence
Coalitions will work together to determine grant priorities based upon
jointly identified needs; to identify strategies to address needs; to
define mutual expectations regarding programmatic performance and
monitoring; and to implement an annual collaboration plan that
incorporates concrete steps for accomplishing these tasks. If States
also fund State Domestic Violence Coalitions to provide training,
technical assistance, or other programming, nothing in this rule is
intended to conflict with State contracting requirements regarding
conflicts of interest but rather that this rule's requirements should be
interpreted to complement States' contracting and procurement laws and
regulations. States must involve community-based organizations that
primarily serve underserved populations, including culturally- and
linguistically-specific populations, to determine how such populations
can assist the States in serving the unmet needs of underserved
populations and culturally- and linguistically-specific populations.
Tribes should be involved in these processes where appropriate, but this
rule is not intended to encroach upon Tribal sovereignty. States also
must consult with and provide for the participation of State Domestic
Violence Coalitions and Tribal Coalitions in State planning and
coordinate such planning with needs assessments to identify service gaps
or problems and develop appropriate responsive plans and programs.
Similar coordination and collaboration processes for Tribes and State
Domestic Violence Coalitions are expected when feasible and appropriate
with deference to Tribal sovereignty as previously indicated.
(b) A State application must be submitted by the Chief Executive of
the State and signed by the Chief Executive Officer or the Chief Program
Official designated as responsible for the administration of FVPSA. Each
application must contain the following information or documentation:
(1) The name of the State agency, the name and contact information
for the Chief Program Official designated as responsible for the
administration of funds under FVPSA and coordination of related programs
within the State, and the name and contact information for a contact
person if different from the Chief Program Official;
(2) A plan describing in detail how the needs of underserved
populations will be met, including:
(i) Identification of which populations in the State are
underserved, a description of those that are being targeted for outreach
and services, and a brief explanation of why those populations were
selected to receive outreach and services, including how often the State
revisits the identification and selection of the populations to be
served with FVPSA funding. States

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must review their State demographics and other relevant metrics at least
every three years or explain why this process is unnecessary;
(ii) A description of the outreach plan, including the domestic
violence training to be provided, the means for providing technical
assistance and support, and the leadership role played by those
representing and serving the underserved populations in question;
(iii) A description of the specific services to be provided or
enhanced, such as new shelters or services, improved access to shelters
or services, or new services for underserved populations; and
(iv) A description of the public information component of the
State's outreach program, including the elements of the program that are
used to explain domestic violence, the most effective and safe ways to
seek help, and tools to identify available resources; and
(v) A description of the means by which the program will provide
meaningful access for limited English proficient individuals and
effective communication for individuals with disabilities.
(3) A description of the process and procedures used to involve the
State Domestic Violence Coalition and Tribal Coalition where one exists,
knowledgeable individuals, and interested organizations, including those
serving or representing underserved populations in the State planning
process;
(4) Documentation of planning, consultation with and participation
of the State Domestic Violence Coalition and Tribal Coalition where one
exists, in the administration and distribution of FVPSA programs,
projects, and grant funds awarded to the State;
(5) A description of the procedures used to assure an equitable
distribution of grants and grant funds within the State and between
urban and rural areas. States may use one of the Census definitions of
rural or non-metro areas or another State-determined definition. A
State-determined definition must be supported by data and be available
for public input prior to its adoption. The State must show that the
definition selected achieves an equitable distribution of funds within
the State and between urban and rural areas. The plan should describe
how funding processes and allocations will address the needs of
underserved populations as defined in Sec. 1370.2, including Tribal
populations, with an emphasis on funding organizations that can meet
unique needs including culturally- and linguistically-specific
populations. Other Federal, State, local, and private funds may be
considered in determining compliance;
(6) A description of:
(i) how the State plans to use the grant funds including a State
plan developed in consultation with State and Tribal Domestic Violence
Coalitions and representatives of underserved populations;
(ii) the target populations;
(iii) the number of shelters and programs providing shelter to be
funded;
(iv) the number of non-residential programs to be funded; the
services the State will provide; and
(v) the expected results from the use of the grant funds. To fulfill
these requirements, it is critically important that States work with
State Domestic Violence Coalitions and Tribes to solicit their feedback
on program effectiveness which may include recommendations such as
establishing program standards and participating in program monitoring;
(7) An assurance that the State has a law or procedure to bar an
abuser from a shared household or a household of the abused person,
which may include eviction laws or procedures, where appropriate;
(8) An assurance that not less than 70 percent of the funds
distributed by a State to sub-recipients shall be distributed to
entities for the primary purpose of providing immediate shelter and
supportive services to adult and youth victims of family violence,
domestic violence, or dating violence, and their dependents, and that
not less than 25 percent of the funds distributed by a State to
subgrantees/recipients shall be distributed to entities for the purpose
of providing supportive services and prevention services (these
percentages may overlap with respect to supportive services but are not
included in the 5 percent cap applicable to State administrative costs).
In the distribution of funds, States will give

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special emphasis to the support of community-based projects of
demonstrated effectiveness that are carried out by primary-purpose
domestic violence providers. No grant shall be made under this section
to an entity other than a State unless the entity agrees that, with
respect to the costs to be incurred by the entity in carrying out the
program or project for which the grant is awarded, the entity will make
available (directly or through donations from public or private
entities) non-Federal contributions in an amount that is not less than
$1 for every $5 of Federal funds provided under the grant. The non-
Federal contributions required under this paragraph may be in cash or in
kind;
(9) Documentation of policies, procedures and protocols that ensure
individual identifiers of client records will not be used when providing
statistical data on program activities and program services or in the
course of grant monitoring, that the confidentiality of records
pertaining to any individual provided family violence, domestic
violence, or dating violence prevention or intervention services by any
program or entity supported under the FVPSA will be strictly maintained,
and the address or location of any shelter supported under the FVPSA
will not be made public without the written authorization of the person
or persons responsible for the operation of such shelter;
(10) Such additional agreements, assurances, and information, in
such form, and submitted in such manner as the Funding Opportunity
Announcement and related program guidance prescribe. Moreover,
additional agreements, assurances, and information required by the
Funding Opportunity Announcement and other program guidance will include
that no requirement for participating in supportive services offered by
FVPSA-funded programs may be imposed by grantees or subgrantees for the
receipt of emergency shelter and receipt of all supportive services
shall be voluntary. Similarly, the receipt of shelter cannot be
conditioned on participation in other services, such as, but not limited
to counseling, parenting classes, mental health or substance use
disorders treatment, pursuit of specific legal remedies, or life skill
classes. Additionally, programs cannot impose conditions for admission
to shelter by applying inappropriate screening mechanisms, such as
criminal background checks, sobriety requirements, requirements to
obtain specific legal remedies, or mental health or substance use
disorder screenings. An individual's or family's stay in shelter cannot
be conditioned upon accepting or participating in services. Based upon
the capacity of a FVPSA-funded service provider, victims and their
dependents do not need to reside in shelter to receive supportive
services. Nothing is these requirements prohibits a shelter operator
from adopting reasonable policies and procedures reflecting field-based
best practices, to ensure that persons receiving services are not
currently engaging in illegal drug use, if that drug use presents a
danger to the safety of others, creates an undue hardship for the
shelter operator, or causes a fundamental alteration to the operator's
services. In the case of an apparent conflict with State, Federal, or
Tribal laws, case-by-case determinations will be made by ACF if they are
not resolved at the State or Tribal level. In general, when two or more
laws apply, a grantee/subgrantee must meet the highest standard for
providing programmatic accessibility to victims and their dependents.
These provisions are not intended to deny a shelter the ability to
manage its services and secure the safety of all shelter residents
should, for example, a client become violent or abusive to other
clients.
(c) An application from a Tribe or Tribal Organization must include
documentation demonstrating that the governing body of the organization
on whose behalf the application is submitted approves the application's
submission to ACF for the current FVPSA grant period. Each application
must contain the following information or documentation:
(1) Written Tribal resolutions, meeting minutes from the governing
body, and/or letters from the authorizing official reflecting approval
of the application's submittal, depending on what

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is appropriate for the applicant's governance structure. Such
documentation must reflect the applicant's authority to submit the
application on behalf of members of the Tribes and administer programs
and activities pursuant to FVPSA;
(2) The resolution or equivalent documentation must specify the
name(s) of the Tribe(s) on whose behalf the application is submitted and
the service areas for the intended grant services;
(3) Applications from consortia must provide letters of commitment,
memoranda of understanding, or their equivalent identifying the primary
applicant that is responsible for administering the grant, documenting
commitments made by partnering eligible applicants, and describing their
roles and responsibilities as partners in the consortia or
collaboration;
(4) A description of the procedures designed to involve
knowledgeable individuals and interested organizations in providing
services under the FVPSA. For example, knowledgeable individuals and
interested organizations may include Tribal officials or social services
staff involved in child abuse or family violence prevention, Tribal law
enforcement officials, representatives of Tribal or State Domestic
Violence Coalitions, and operators of domestic violence shelters and
service programs;
(5) A description of the applicant's operation of and/or capacity to
carry out a family violence prevention and services program. This might
be demonstrated in ways such as:
(i) The current operation of a shelter, safe house, or domestic
violence prevention program;
(ii) The establishment of joint or collaborative service agreements
with a local public agency or a private, non- profit agency for the
operation of family violence prevention and intervention activities or
services; or
(iii) The operation of social services programs as evidenced by
receipt of grants or contracts awarded under Indian Child Welfare grants
from the Bureau of Indian Affairs; Child Welfare Services grants under
Title IV-B of the Social Security Act; or Family Preservation and Family
Support grants under Title IV-B of the Social Security Act.
(6) A description of the services to be provided, how the applicant
organization plans to use the grant funds to provide the direct
services, to whom the services will be provided, and the expected
results of the services;
(7) An assurance that the Indian Tribe has a law or procedure to bar
an abuser from a shared household or a household of the abused person,
which may include eviction laws or procedures, where appropriate;
(8) Documentation of the policies and procedures developed and
implemented, including copies of the policies and procedures, to ensure
that individual identifiers of client records will not be used when
providing statistical data on program activities and program services or
in the course of grant monitoring and that the confidentiality of
records pertaining to any individual provided domestic violence
prevention or intervention services by any FVPSA-supported program will
be strictly maintained; and
(9) Such agreements, assurances, and information, in such form, and
submitted in such manner as the Funding Opportunity Announcement and
related program guidance prescribe.
(d) Given the unique needs of victims of trafficking, FVPSA-funded
programs are strongly encouraged to safely screen for and identify
victims of human trafficking who are also victims or survivors of
domestic violence or dating violence and provide services that support
their unique needs.

Subpart C_State Domestic Violence Coalition Grants

Sec. 1370.20 What additional requirements apply to State
Domestic Violence Coalitions?

(a) State Domestic Violence Coalitions reflect a Federal commitment
to reducing domestic violence; to urge States, localities, cities, and
the private sector to improve the responses to and the prevention of
domestic violence and encourage stakeholders and service providers to
plan toward an integrated service delivery approach that meets the needs
of all victims, including those in underserved communities; to provide
for technical assistance and training relating to domestic violence

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programs; and to increase public awareness about and prevention of
domestic violence and increase the quality and availability of shelter
and supportive services for victims of domestic violence and their
dependents.
(b) To be eligible to receive a grant under this section, an
organization shall be a Statewide, non-governmental, non-profit
501(c)(3) domestic violence coalition, designated as such by the
Department. To obtain this designation the organization must meet the
following criteria:
(1) The membership must include representatives from a majority of
the primary-purpose domestic violence service providers operating within
the State (a Coalition also may include representatives of Indian Tribes
and Tribal organizations as defined in the Indian Self-Determination and
Education Assistance Act);
(2) The Board membership of the Coalition must be representative of
such programs, and may include representatives of communities in which
the services are being provided in the State;
(3) Financial sustainability of State Domestic Violence Coalitions,
as independent, autonomous non-profit organizations, also must be
supported by their membership, including those member representatives on
the Coalitions' Boards of Directors;
(4) The purpose of a State Domestic Violence Coalition is to provide
education, support, and technical assistance to such service providers
to enable the providers to establish and maintain shelter and supportive
services for victims of domestic violence and their dependents; and to
serve as an information clearinghouse, primary point of contact, and
resource center on domestic violence for the State; and support the
development of polices, protocols, and procedures to enhance domestic
violence intervention and prevention in the State.
(c) To apply for a grant under this section, an organization shall
submit an annual application that:
(1) Includes a complete description of the applicant's plan for the
operation of a State Domestic Violence Coalition, including
documentation that the Coalition's work will demonstrate the capacity to
support state-wide efforts to improve system responses to domestic and
dating violence as outlined in (c)(1)(i) through (vii) of this section.
Coalitions must also have documented experience in administering Federal
grants to conduct the activities of a Coalition or a documented history
of active participation in:
(i) Working with local family violence, domestic violence, and
dating violence service programs and providers of direct services to
encourage appropriate and comprehensive responses to family violence,
domestic violence, and dating violence against adults or youth within
the State involved, including providing training and technical
assistance and conducting State needs assessments and participate in
planning and monitoring of the distribution of subgrants within the
States and in the administration of grant programs and projects;
(ii) In conducting needs assessments, Coalitions and States must
work in partnership on the statutorily required FVPSA State planning
process to involve representatives from underserved populations and
culturally- and linguistically-specific populations to plan, assess and
voice the needs of the communities they represent. Coalitions will
assist States in identifying underserved populations and culturally- and
linguistically- specific community based organizations in State planning
and to work with States to unify planning and needs assessment efforts
so that comprehensive and culturally-specific services are provided. The
inclusion of the populations targeted will emphasize building the
capacity of culturally- and linguistically-specific services and
programs.
(iii) Working in collaboration with service providers and community-
based organizations to address the needs of family violence, domestic
violence, and dating violence victims, and their dependents, who are
members of underserved populations and culturally- and linguistically-
specific populations;
(iv) Collaborating with and providing information to entities in
such fields as housing, health care, mental health, social welfare, or
business to support the development and implementation

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of effective policies, protocols, and programs that address the safety
and support needs of adult and youth victims of family violence,
domestic violence, or dating violence;
(v) Encouraging appropriate responses to cases of family violence,
domestic violence, or dating violence against adults or youth, including
by working with judicial and law enforcement agencies;
(vi) Working with family law judges, criminal court judges, child
protective service agencies, and children's advocates to develop
appropriate responses to child custody and visitation issues in cases of
child exposure to family violence, domestic violence, or dating violence
and in cases in which family violence, domestic violence, or dating
violence is present and child abuse is present;
(vii) Providing information to the public about prevention of family
violence, domestic violence, and dating violence, including information
targeted to underserved populations, including limited English
proficient individuals; and
(viii) Collaborating with Indian Tribes and Tribal organizations
(and corresponding Native Hawaiian groups or communities) to address the
needs of Indian (including Alaska Native) and Native Hawaiian victims of
family violence, domestic violence, or dating violence, as applicable in
the State;
(2) Contains such agreements, assurances, and information, in such
form, and submitted in such manner as the Funding Opportunity
Announcement and related program guidance prescribe.
(d) Nothing in this section limits the ability of a Coalition to use
non-Federal or other Federal funding sources to conduct required
functions, provided that if the Coalition uses funds received under
section 2001(c)(1) of the Omnibus Crime Control and Safe Streets Act of
1968 to perform the functions described in FVPSA at 42 U.S.C. 10411(e)
in lieu of funds provided under the FVPSA, it shall provide an annual
assurance to the Secretary that it is using such funds, and that it is
coordinating the activities conducted under this section with those of
the State's activities under Part T of title I of the Omnibus Crime
Control and Safe Streets Act of 1968.
(e) In cases in which two or more organizations seek designation,
the designation of each State's individual Coalition is within the
exclusive discretion of HHS. HHS will determine which applicant best
fits statutory criteria, with particular attention paid to the
applicant's documented history of effective work, support of primary-
purpose domestic violence service providers and programs that serve
underserved populations, coordination and collaboration with the State
government, and capacity to accomplish the FVPSA-mandated role of a
Coalition.
(f) Regarding FVPSA funding, in cases where a Coalition financially
or otherwise dissolves, is newly formed, or merges with another entity,
the designation of a new Coalition is within the exclusive discretion of
HHS. HHS will seek individual feedback from domestic violence service
providers, community stakeholders, State leaders, and representatives of
underserved populations and culturally- and linguistically-specific
populations to identify an existing organization that can serve as the
Coalition or to develop a new organization. The new Coalition must
reapply for designation and funding following steps determined by the
Secretary. HHS will determine whether the applicant fits the statutory
criteria, with particular attention paid to the applicant's documented
history of effective work, support of primary-purpose domestic violence
programs and programs that serve underserved populations, coordination
and collaboration with the State government, and capacity to accomplish
the FVPSA mandated role of a Coalition.

Subpart D_Discretionary Grants and Contracts

Sec. 1370.30 What National Resource Center and Training and
Technical Assistance grant programs are available and what additional
requirements apply?

(a) These grants are to provide resource information, training, and
technical assistance to improve the capacity of individuals,
organizations, governmental entities, and communities

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to prevent family violence, domestic violence, and dating violence and
to provide effective intervention services. They fund national, special
issue, and culturally-specific resource centers addressing key areas of
domestic violence intervention and prevention, and may include State
resource centers to reduce disparities in domestic violence in States
with high proportions of Native American (including Alaska Native or
Native Hawaiian) populations and to support training and technical
assistance that address emerging issues related to family violence,
domestic violence, or dating violence, to entities demonstrating
expertise in these areas. Grants may be made for:
(1) A National Resource Center on Domestic Violence which will
conduct the following activities:
(i) offer a comprehensive array of technical assistance and training
resources to Federal, State, and local governmental agencies, domestic
violence service providers, community-based organizations, and other
professionals and interested parties, related to domestic violence
service programs and research, including programs and research related
to victims and their children who are exposed to domestic violence; and
(ii) Maintain a central resource library in order to collect,
prepare, analyze, and disseminate information and statistics related to
the incidence and prevention of family violence and domestic violence;
and the provision of shelter, supportive services, and prevention
services to adult and youth victims of domestic violence (including
services to prevent repeated incidents of violence).
(2) A National Indian Resource Center Addressing Domestic Violence
and Safety for Indian Women which will conduct the following activities:
(i) Offer a comprehensive array of technical assistance and training
resources to Indian Tribes and Tribal organizations, specifically
designed to enhance the capacity of the Tribes and Tribal organizations
to respond to domestic violence and increase the safety of Indian women;
and
(ii) Enhance the intervention and prevention efforts of Indian
Tribes and Tribal organizations to respond to domestic violence and
increase the safety of Indian women, and
(iii) To coordinate activities with other Federal agencies, offices,
and grantees that address the needs of Indians (including Alaska
Natives) and Native Hawaiians that experience domestic violence.
(3) Special issue resource centers to provide national information,
training, and technical assistance to State and local domestic violence
service providers. Each special issue resource center shall focus on
enhancing domestic violence intervention and prevention efforts in at
least one of the following areas:
(i) Response of the criminal and civil justice systems to domestic
violence victims, which may include the response to the use of the self-
defense plea by domestic violence victims and the issuance and use of
protective orders;
(ii) Response of child protective service agencies to victims of
domestic violence and their dependents and child custody issues in
domestic violence cases;
(iii) Response of the interdisciplinary health care system to
victims of domestic violence and access to health care resources for
victims of domestic violence; and
(iv) Response of mental health systems, domestic violence service
programs, and other related systems and programs to victims of domestic
violence and to their children who are exposed to domestic violence.
(4) Culturally-Specific Special Issue Resource Centers enhance
domestic violence intervention and prevention efforts for victims of
domestic violence who are members of racial and ethnic minority groups,
to enhance the cultural and linguistic relevancy of service delivery,
resource utilization, policy, research, technical assistance, community
education, and prevention initiatives.
(5) State resource centers to provide Statewide information,
training, and technical assistance to Indian Tribes, Tribal
organizations, and local domestic violence service organizations serving
Native Americans (including Alaska Natives and Native Hawaiians) in a

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culturally sensitive and relevant manner. These centers shall:
(i) Offer a comprehensive array of technical assistance and training
resources to Indian Tribes, Tribal organizations, and providers of
services to Native Americans (including Alaska Natives and Native
Hawaiians) specifically designed to enhance the capacity of the Tribes,
organizations, and providers to respond to domestic violence, including
offering the resources in States in which the population of Indians
(including Alaska Natives) or Native Hawaiians exceeds 2.5 percent of
the total population of the State;
(ii) Coordinate all projects and activities with the National Indian
Resource Center Addressing Domestic Violence and Safety for Indian
Women, including projects and activities that involve working with State
and local governments to enhance their capacity to understand the unique
needs of Native Americans (including Alaska Natives and Native
Hawaiians); and
(iii) Provide comprehensive community education and domestic
violence prevention initiatives in a culturally sensitive and relevant
manner; and
(iv) Otherwise meet certain eligibility requirements for state
resource centers to reduce tribal disparities, pursuant to 42 U.S.C.
10410(c)(4).
(6) Other discretionary purposes to support training and technical
assistance that address emerging issues related to family violence,
domestic violence, or dating violence, to entities demonstrating related
experience.
(b) To receive a grant under any part of this section, an entity
shall submit an application that shall meet such eligibility standards
as are prescribed in the FVPSA and contains such agreements, assurances,
and information, in such form, and submitted in such manner as the
Funding Opportunity Announcement and related program guidance prescribe.

Sec. 1370.31 What additional requirements apply to grants for
specialized services for abused parents and their children?

(a) These grants serve to expand the capacity of family violence,
domestic violence, and dating violence service programs and community-
based programs to prevent future domestic violence by addressing, in an
appropriate manner, the needs of children exposed to family violence,
domestic violence, or dating violence. To be eligible an entity must be
a local agency, a nonprofit private organization (including faith-based
and charitable organizations, community-based organizations, and
voluntary associations), or a Tribal organization, with a demonstrated
record of serving victims of family violence, domestic violence, or
dating violence and their children.
(b) To be eligible to receive a grant under this section, an entity
shall submit an application that:
(1) Includes a complete description of the applicant's plan for
providing specialized services for abused parents and their children,
including descriptions of:
(i) How the entity will prioritize the safety of, and
confidentiality of, information about victims of family violence,
victims of domestic violence, and victims of dating violence and their
children, and will comply with the confidentiality requirements of
FVPSA, 42 U.S.C. 10406(c)(5) and this rule at Sec. 1370.4;
(ii) How the entity will provide developmentally appropriate and
age-appropriate services, and culturally and linguistically appropriate
services, to the victims and children;
(iii) How the entity will ensure that professionals working with the
children receive the training and technical assistance appropriate and
relevant to the unique needs of children exposed to family violence,
domestic violence, or dating violence; and
(iv) How, in the case of victims who choose to or by virtue of their
circumstances must remain in contact with an abusive partner/parent, the
entity will: consider the victim's decision-making for keeping children
safe within the continuum of domestic violence (see the definition of
domestic violence in the regulatory text at Sec. 1370.2 which describes
the potential range of behaviors constituting domestic violence); not
place burdens or demands on the non-abusive parent that the parent
cannot comply with due to the coercive control of the offender; and take

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precautions to avoid actions that discourage victims from help-seeking,
such as making unnecessary referrals to child protective services when
survivors go to community-based organizations for assistance in safety
planning to protect children.
(2) Demonstrates that the applicant has the ability to effectively
provide, or partner with an organization that provides, direct
counseling, appropriate services, and advocacy on behalf of victims of
family violence, domestic violence, or dating violence, and their
children, including coordination with services provided by the child
welfare system, schools, health care providers, home visitors, family
court systems, and any other child or youth serving system;
(3) Demonstrates that the applicant can effectively provide services
for non-abusing parents to support those parents' roles as caregivers
and their roles in responding to the social, emotional, and
developmental needs of their children; and
(4) Contains such agreements, assurances, and information, in such
form, and submitted in such manner as the Funding Opportunity
Announcement and related program guidance prescribe.
(c) Eligible applicants may use funds under a grant pursuant to this
section:
(1) To provide early childhood development and mental health
services;
(2) To coordinate activities with and provide technical assistance
to community-based organizations serving victims of family violence,
domestic violence, or dating violence or children exposed to family
violence, domestic violence, or dating violence; and
(3) To provide additional services and referrals to services for
children, including child care, transportation, educational support,
respite care, supervised visitation, or other necessary services.
(d) If Congressional appropriations in any fiscal year for the
entirety of programs covered in this part (exclusive of the National
Domestic Violence Hotline which receives a separate appropriation)
exceed $130 million, not less than 25 percent of such excess funds shall
be made available to carry out this grant program. If appropriations
reach this threshold, HHS will specify funding levels in future Funding
Opportunity Announcements.

Sec. 1370.32 What additional requirements apply to National
Domestic Violence Hotline grants?

(a) These grants are for one or more private entities to provide for
the ongoing operation of a 24-hour, national, toll-free telephone
hotline to provide information and assistance to adult and youth victims
of family violence, domestic violence, or dating violence, family and
household members of such victims, and persons affected by the
victimization.
(b) Telephone is defined as a communications device that permits two
or more callers or users to engage in transmitted analog, digital, short
message service (SMS), cellular/wireless, laser, cable/broadband,
internet, voice-over internet protocol (IP), video, or other
communications, including telephone, smartphone, chat, text, voice
recognition, or other technological means which connects callers or
users together.
(c) To be eligible to receive a grant under this section, an entity
shall submit an application that:
(1) Includes a complete description of the applicant's plan for the
operation of a national domestic violence telephone hotline, including
descriptions of:
(i) The training program for hotline personnel, including technology
training to ensure that all persons affiliated with the hotline are able
to effectively operate any technological systems used by the hotline,
and are familiar with effective communication and equal access
requirements, to ensure access for all, including people who are Limited
English Proficient and people with disabilities;
(ii) The hiring criteria and qualifications for hotline personnel;
(iii) The methods for the creation, maintenance, and updating of a
resource database;
(iv) A plan for publicizing the availability of the hotline;
(v) A plan for providing service such as advocacy and supportive
services to

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Limited English Proficient callers, including service through hotline
personnel who are qualified to interpret in non-English languages;
(vi) A plan for facilitating access to the hotline by persons with
disabilities, including persons who are deaf or have hearing
impairments; and
(vii) A plan for providing assistance and referrals to youth victims
of domestic violence and for victims of dating violence who are minors,
which may be carried out through a national teen dating violence
hotline.
(2) Demonstrates that the applicant has recognized expertise in the
area of family violence, domestic violence, or dating violence and a
record of high quality service to victims of family violence, domestic
violence, or dating violence, including a demonstration of support from
advocacy groups and State Domestic violence Coalitions;
(3) Demonstrates that the applicant has the capacity and the
expertise to maintain a domestic violence hotline and a comprehensive
database of service providers;
(4) Demonstrates the ability to provide information and referrals
for callers, directly connect callers to service providers, and employ
crisis interventions meeting the standards of family violence, domestic
violence, and dating violence providers;
(5) Demonstrates that the applicant has a commitment to diversity
and to the provision of services to underserved populations, including
to ethnic, racial, and Limited English Proficient individuals, in
addition to older individuals and individuals with disabilities;
(6) Demonstrates that the applicant follows comprehensive quality
assurance practices; and
(7) Contains such agreements, information, and assurances, including
nondisclosure of confidential or private information, in such form, and
submitted in such manner as the Funding Opportunity Announcement and
related program guidance prescribe.
(d) The entity receiving a grant under this section shall submit a
performance report to the Secretary at such time as reasonably required
by the Secretary that shall describe the activities that have been
carried out with grant funds, contain an evaluation of the effectiveness
of such activities, and provide additional information as the Secretary
may reasonably require.

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SUBCHAPTER I_THE ADMINISTRATION ON INTELLECTUAL AND DEVELOPMENTAL
DISABILITIES, DEVELOPMENTAL DISABILITIES PROGRAM

PARTS 1385 1399 [RESERVED]

SUBCHAPTERS J K [RESERVED]

[[Page 439]]

CHAPTER XVI--LEGAL SERVICES CORPORATION

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Part Page
1600 Definitions................................. 441
1601

[Reserved]

1602 Procedures for disclosure of information
under the Freedom of Information Act.... 442
1603 Testimony by employees and production of
documents in proceedings where the
United States is not a party............ 453
1604 Outside practice of law..................... 455
1605 Appeals on behalf of clients................ 456
1606 Termination, limited reduction of funding,
and debarment procedures; recompetition. 457
1607 Governing bodies............................ 464
1608 Prohibited political activities............. 467
1609 Fee-generating cases........................ 468
1610 Use of non-LSC funds; program integrity..... 470
1611 Financial eligibility....................... 473
1612 Restrictions on lobbying and certain other
activities.............................. 478
1613 Restrictions on legal assistance with
respect to criminal proceedings......... 482
1614 Private attorney involvement................ 483
1615 Restrictions on actions collaterally
attacking criminal convictions.......... 490
1616 Attorney hiring............................. 491
1617 Class actions............................... 492
1618 Enforcement procedures...................... 492
1619 Disclosure of information................... 493
1620 Priorities in use of resources.............. 494
1621 Client grievance procedures................. 496
1622 Public access to meetings under the
Government in the Sunshine Act.......... 497
1623 Suspension procedures....................... 500
1624 Prohibition against discrimination on the
basis of disability..................... 503
1625

[Reserved]

1626 Restrictions on legal assistance to aliens.. 506

[[Page 440]]

1627 Subgrants................................... 512
1628 Recipient fund balances..................... 516
1629 Bonding requirements for recipients......... 518
1630 Cost standards and procedures............... 519
1631 Purchasing and property management.......... 525
1632 Redistricting............................... 532
1633 Restriction on representation in certain
eviction proceedings.................... 533
1634 Competitive bidding for grants and contracts 533
1635 Timekeeping requirement..................... 538
1636 Client identity and statement of facts...... 540
1637 Representation of prisoners................. 541
1638 Restriction on solicitation................. 541
1639 Welfare reform.............................. 542
1640 Application of Federal law to LSC recipients 543
1641 Debarment, suspension and removal of
recipient auditors...................... 544
1642

[Reserved]

1643 Restriction on assisted suicide, euthanasia,
and mercy killing....................... 552
1644 Disclosure of case information.............. 553
1645-1699

[Reserved]

[[Page 441]]

PART 1600_DEFINITIONS--Table of Contents

Authority: 42 U.S.C. 2996g(e).

Sec. 1600.1 Definitions.

As used in these regulations, chapter XVI, unless otherwise
indicated, the term--
Act means the Legal Services Corporation Act, Pub. L. 93-355 (1974),
as amended, Pub. L. 95-222 (1977), 42 U.S.C. 2996-29961.
Appeal means any appellate proceeding in a civil action as defined
by law or usage in the jurisdiction in which the action is filed.
Attorney means a person who provides legal assistance to eligible
clients and who is authorized to practice law in the jurisdiction where
assistance is rendered.
Control means the direct or indirect ability to determine the
direction of management and policies or to influence the management or
operating policies of another organization to the extent that an arm's-
length transaction may not be achieved.
Corporation means the Legal Services Corporation established under
the Act.
Corporation funds or LSC funds means any funds appropriated to LSC
by Congress to carry out the purposes of the Legal Services Corporation
Act of 1974, 42 U.S.C. 2996 et seq., as amended.
Director of a recipient means a person directly employed by a
recipient in an executive capacity who has overall day-to-day
responsibility for management of operations by a recipient.
Eligible client means any person determined to be eligible for legal
assistance under the Act, these regulations or other applicable law.
Employee means a person employed by the Corporation or by a
recipient, or a person employed by a subrecipient whose salary is paid
in whole or in major part with funds provided by the Corporation.
Fee generating case means any case or matter which, if undertaken on
behalf of an eligible client by an attorney in private practice,
reasonably may be expected to result in a fee for legal services from an
award to a client from public funds or from an opposing party.
Financial assistance means annualized funding from the Corporation
granted under section 1006(a)(1)(A) for the direct delivery of legal
assistance to eligible clients.
Legal assistance means the provisions of any legal services
consistent with the purposes and provisions of the Act or other
applicable law.
Non-LSC funds means any funds that are not Corporation funds or LSC
funds.
Outside practice of law means the provisions of legal assistance to
a client who is not eligible to receive legal assistance from the
employer of the attorney rendering assistance, but does not include,
among other activities, teaching, consulting, or performing evaluations.
Political means that which relates to engendering public support for
or opposition to candidates for public office, ballot measures, or
political parties, and would include publicity or propaganda used for
that purpose.
President means the President of the Corporation.
Public funds means the funds received directly or indirectly from
the Corporation or a Federal, State, or local government or
instrumentality of a government.
Recipient means any grantee or contractor receiving financial
assistance from the Corporation under section 1006(a)(1)(A) of the Act.
Staff attorney means an attorney more than one half of whose annual
professional income is derived from the proceeds of a grant from the
Legal Services Corporation or is received from a recipient,
subrecipient, grantee, or contractor that limits its activities to
providing legal assistance to clients eligible for assistance under the
Act.
Tribal funds means funds received from an Indian tribe or from a
private foundation for the benefit of an Indian tribe.

[49 FR 21327, May 21, 1984, as amended at 51 FR 24827, July 9, 1986; 82
FR 37337, Aug. 10, 2017]

PART 1601 [RESERVED]

[[Page 442]]

PART 1602_PROCEDURES FOR DISCLOSURE OF INFORMATION
UNDER THE FREEDOM OF INFORMATION ACT--Table of Contents

Sec.
1602.1 Purpose.
1602.2 Definitions.
1602.3 Policy.
1602.4 Records published in the Federal Register.
1602.5 Public reading room.
1602.6 Procedures for use of public reading room.
1602.7 Index of records.
1602.8 Requests for records.
1602.9 Timing and responses to requests for records.
1602.10 Exemptions for withholding records.
1602.11 Officials authorized to grant or deny requests for records.
1602.12 Denials.
1602.13 Appeals of denials.
1602.14 Fees.
1602.15 Submitter's rights process.

Authority: 42 U.S.C. 2996g(e).

Source: 81 FR 91039, Dec. 16, 2016, unless otherwise noted.

Sec. 1602.1 Purpose.

This part contains the rules and procedures the Legal Services
Corporation (LSC) follows in making records available to the public
under the Freedom of Information Act.

Sec. 1602.2 Definitions.

(a) Commercial use request means a request from or on behalf of one
who seeks information for a use or purpose that furthers the commercial,
trade, or profit interests of the requester or the person on whose
behalf the request is made. In determining whether a requester properly
belongs in this category, LSC will look to the use to which a requester
will put the documents requested. When LSC has reasonable cause to doubt
the requester's stated use of the records sought, or where the use is
not clear from the request itself, it will seek additional clarification
before assigning the request to a category.
(b) Confidential commercial information means records provided to
LSC by a submitter that arguably contain material exempt from release
under Exemption 4 of the FOIA, 5 U.S.C. 552(b)(4).
(c) Duplication means the process of making a copy of a requested
record pursuant to this part in a form appropriate for release in
response to a FOIA request.
(d) Educational institution means a preschool, a public or private
elementary or secondary school, an institution of undergraduate or
graduate higher education, or an institution of professional or
vocational education which operates a program or programs of scholarly
research.
(e) FOIA means the Freedom of Information Act, 5 U.S.C. 552.
(f) LSC means the Legal Services Corporation. Unless explicitly
stated otherwise, LSC includes the Office of Inspector General.
(g) Non-commercial scientific institution means an institution that
is not operated on a commercial basis and which is operated solely for
the purpose of conducting scientific research, the results of which are
not intended to promote any particular product or industry.
(h) Office refers to the Office of Legal Affairs and/or the Office
of Inspector General (OIG).
(i) Person includes an individual, partnership, corporation,
association, or public or private organization other than LSC or a
Federal agency.
(j) Records are any type of information made or received by LSC or
the OIG for purposes of transacting LSC or OIG business and preserved by
LSC or the OIG (either directly or maintained by a third party under
contract to LSC or the OIG for records management purposes) regardless
of form (e.g., paper or electronic, formal or informal, copies or
original) as evidence of LSC's or OIG's organization, functions,
policies, decisions, procedures, operations, or other activities of LSC
or the OIG or because the record has informational value.
(k) Representative of the news media means any person or entity that
gathers information of potential interest to a segment of the public,
uses its editorial skills to turn the raw materials into a distinct
work, and distributes that work to an audience. In this clause, the term
``news'' means information that is about current events or that would be
of current interest to the

[[Page 443]]

public. Examples of news media entities are television or radio stations
broadcasting to the public at large and publishers of periodicals (but
only if such entities qualify as disseminators of ``news'') who make
their products available for purchase or subscription or by free
distribution to the general public. These examples are not all-
inclusive. Moreover, as methods of news delivery evolve (for example,
the adoption of the electronic dissemination of newspapers through
telecommunications services), such alternative media shall be considered
to be news media entities. A freelance journalist shall be regarded as
working for a news media entity if the journalist can demonstrate a
solid basis for expecting publication through that entity, whether or
not the journalist is actually employed by the entity. A publication
contract would present a solid basis for such an expectation. LSC may
also consider the past publication record of the requester in making
such a determination.
(l) Review means the process of examining documents located in
response to a request to determine whether any portion of any such
document is exempt from disclosure. It also includes processing any such
documents for disclosure. Review does not include time spent resolving
general legal or policy issues regarding the application of exemptions.
(m) Rule means the whole or a part of an LSC statement of general or
particular applicability and future effect designed to implement,
interpret, or prescribe law or policy or describing the organization,
procedure, or practice requirements of LSC.
(n) Search means the process of looking for and retrieving records
that are responsive to a request for records. It includes page-by-page
or line-by-line identification of material within documents and also
includes reasonable efforts to locate and retrieve information from
records maintained in electronic form or format. Searches may be
conducted manually or by automated means and will be conducted in the
most efficient and least expensive manner.
(o) Submitter means any person or applicant for funds who provides
confidential commercial information to LSC.

Sec. 1602.3 Policy.

LSC will make records concerning its operations, activities, and
business available to the public to the maximum extent reasonably
possible. LSC will withhold records from the public only in accordance
with the FOIA and this part. LSC will disclose records otherwise exempt
from disclosure under the FOIA when LSC does not reasonably foresee that
disclosure would harm an interest protected by an exemption and
disclosure is not prohibited by law or protected under Exemption 3.

Sec. 1602.4 Records published in the Federal Register.

LSC routinely publishes in the Federal Register information on its
basic structure and operations necessary to inform the public how to
deal effectively with LSC. LSC will make reasonable efforts to currently
update such information, which will include basic information on LSC's
location, functions, rules of procedure, substantive rules, statements
of general policy, and information regarding how the public may obtain
information, make submittals or requests, or obtain decisions.

Sec. 1602.5 Public reading room.

(a) LSC will maintain a public reading room at its offices at 3333 K
St. NW., Washington, DC 20007. This room will be supervised and will be
open to the public during LSC's regular business hours. Procedures for
use of the public reading room are described in Sec. 1602.6. LSC also
maintains an electronic public reading room that may be accessed at
http://www.lsc.gov/about-lsc/foia/foia-electronic-public-reading-room.
(b) Subject to the limitation stated in paragraph (c) of this
section, LSC will make available for public inspection in its electronic
public reading room the records described in 5 U.S.C. 552(a)(2).
(c) Records required by FOIA to be available in the public reading
room may be exempt from mandatory disclosure pursuant to 5 U.S.C.
552(b). LSC will not make such records available in

[[Page 444]]

the public reading room. LSC may edit other records maintained in the
reading room by redacting details about individuals to prevent clearly
unwarranted invasions of personal privacy. In such cases, LSC will
attach a full explanation of the redactions to the record. LSC will
indicate the extent of the redactions unless doing so would harm an
interest protected by the exemption under which the redactions are made.
If technically feasible, LSC will indicate the extent of the redactions
at the place in the record where the redactions were made.

Sec. 1602.6 Procedures for use of public reading room.

(a) A person who wishes to inspect or copy records in the public
reading room should arrange a time in advance, by telephone or letter
request made to the Office of Legal Affairs, Legal Services Corporation,
3333 K Street NW., Washington, DC 20007 or by email to .
(1) In appropriate circumstances, LSC will advise persons making
telephonic requests to use the public reading room that a written
request would aid in the identification and expeditious processing of
the records sought.
(2) Written requests should identify the records sought in the
manner provided in Sec. 1602.8(b) and should request a specific date
for inspecting the records.
(b) LSC will advise the requester as promptly as possible if, for
any reason, it is not feasible to make the records sought available on
the date requested.
(c) A computer terminal and printer are available upon request in
the public reading room for accessing Electronic Reading Room records.

FOIA@lsc.gov
Sec. 1602.7 Index of records.

LSC will maintain and make available for public inspection in an
electronic format a current index identifying any matter within the
scope of Sec. 1602.4 and Sec. 1602.5(b).

Sec. 1602.8 Requests for records.

(a) LSC will make its records promptly available, upon request, to
any person in accordance with this section, unless:
(1) the FOIA requires the records to be published in the Federal
Register (Sec. 1602.4) or to be made available in the public reading
room (Sec. 1602.5); or
(2) LSC determines that such records should be withheld and are
exempt from mandatory disclosure under the FOIA and Sec. 1602.10.
(b)(1) Requests for LSC records. All requests for LSC records must
be clearly marked Freedom of Information Act Request and shall be
addressed to the FOIA Analyst, Office of Legal Affairs, Legal Services
Corporation, 3333 K Street NW., Washington, DC 20007. Email requests
shall be sent to . Requests for LSC Records may also be made
online using the FOIA Request Electronic Submission Form located at
http://www.lsc.gov/about-lsc/foia.
(2) Requests for Office of Inspector General records. All requests
for records maintained by the OIG must be clearly marked Freedom of
Information Act Request and shall be addressed to the FOIA Officer,
Office of Inspector General, Legal Services Corporation, 3333 K Street
NW., Washington, DC 20007. Email requests shall be sent to
.
(3) Any request not marked and addressed as specified in this
section will be so marked by LSC personnel as soon as it is properly
identified, and will be forwarded immediately to the appropriate Office.
A request improperly addressed will be deemed to have been received as
in accordance with Sec. 1602.9 only when it has been received by the
appropriate Office. Upon receipt of an improperly addressed request, the
Chief FOIA Officer, Office of Inspector General Legal Counsel or their
designees shall notify the requester of the date on which the time
period began.
(c) A request must reasonably describe the records requested so that
employees of LSC who are familiar with the subject area of the request
are able, with a reasonable amount of effort, to determine which
particular records are within the scope of the request. Before
submitting their requests, requesters may contact LSC's or OIG's FOIA
Analyst or FOIA Public Liaison to discuss the records they seek and to
receive assistance in describing the records. If LSC determines

[[Page 445]]

that a request does not reasonably describe the records sought, LSC will
inform the requester what additional information is needed or why the
request is otherwise insufficient. Requesters who are attempting to
reformulate or modify their request may discuss their request with LSC's
or OIG's FOIA Analyst or FOIA Public Liaison. If a request does not
reasonably describe the records sought, LSC's response to the request
may be delayed.
(d) To facilitate the location of records by LSC, a requester should
try to provide the following kinds of information, if known:
(1) The specific event or action to which the record refers;
(2) The unit or program of LSC that may be responsible for or may
have produced the record;
(3) The date of the record or the date or period to which it refers
or relates;
(4) The type of record, such as an application, a grant, a contract,
or a report;
(5) Personnel of LSC who may have prepared or have knowledge of the
record;
(6) Citations to newspapers or publications which have referred to
the record.
(e) Requests may specify the preferred form or format (including
electronic formats) for the records sought. LSC will provide records in
the form or format indicated by the requester to the extent such records
are readily reproducible in the requested form or format. LSC reserves
the right to limit the number of copies of any document that will be
provided to any one requester or to require that special arrangements
for duplication be made in the case of bound volumes or other records
representing unusual problems of handling or reproduction.
(f) Requesters must provide contact information, such as their phone
number, email address, and/or mailing address, to assist LSC in
communicating with them and providing released records.
(g) LSC is not required to create a record or to perform research to
satisfy a request.
(h) Any request for a waiver or reduction of fees should be included
in the FOIA request, and any such request should indicate the grounds
for a waiver or reduction of fees, as set out in Sec. 1602.14(g).

FOIA@lsc.govFOIA@oig.lsc.gov
Sec. 1602.9 Timing and responses to requests for records.

(a)(1) Upon receiving a request for LSC or Inspector General records
under Sec. 1602.8, the Chief FOIA Officer, Office of Inspector General
Legal Counsel or their designees shall make an initial determination of
whether to comply with or deny such request. The Chief FOIA Officer,
Office of Inspector General Legal Counsel or their designees will send
the determination to the requester within 20 business days after receipt
of the request and will notify the requester of their right to seek
assistance from an LSC FOIA Public Liaison.
(2) The 20-day period under paragraph (a)(1) of this section shall
commence on the date on which the request is first received by the
appropriate Office, but in no event later than 10 working days after the
request has been received by either the Office of Legal Affairs or the
Office of Inspector General. The 20-day period shall not be tolled by
the Office processing the request except that the processing Office may
make one request to the requester for information pursuant to paragraph
(b) of this section and toll the 20-day period while
(i) It is awaiting such information that it has reasonably requested
from the requester under this section; or
(ii) It communicates with the requester to clarify issues regarding
fee assessment.
In either case, the processing Office's receipt of the requester's
response to such a request for information or clarification ends the
tolling period.
(b) Consultation. When records originated with the Office processing
the request, but contain within them information of interest to another
Office or Federal agency, the Office processing the request should
typically consult with that other entity prior to making a release
determination.
(c) Referral. (1) If the processing Office determines that the other
Office or Federal agency is best able to determine whether to disclose
the record, the processing Office will typically refer the
responsibility for responding

[[Page 446]]

to the request for that record to the other Office or Federal agency.
Ordinarily, the Office that originated the record is presumed to be the
best Office to make the disclosure determination. However, if the
Offices or Federal agency jointly agree that the processing Office is in
the best position to respond regarding the record, then the record may
be released by the processing Office after consultation with the other
Office or Federal agency.
(2) Whenever a referral occurs, the processing Office must document
the referral, maintain a copy of the record that it refers, and notify
the requester of the referral, informing the requester of the name(s) of
the Office or Federal agency to which the record was referred, including
that Office's or Federal agency's FOIA contact information.
(d)(1) In unusual circumstances, as specified in paragraph (d)(3) of
this section, LSC may extend the time limit for up to 10 working days by
written notice to the requester setting forth the reasons for such
extension and the date on which LSC expects to send its determination.
(2) LSC may also provide an opportunity to the requester to narrow
the request. In addition, to aid the requester, LSC shall make available
a FOIA Public Liaison, who shall assist in the resolution of any
disputes between the requester and LSC, and shall notify the requester
of his right to seek dispute resolution services from the U.S. National
Archives and Records Administration's Office of Government Information
Services.
(3) Unusual circumstances. As used in this part, unusual
circumstances are limited to the following, but only to the extent
reasonably necessary for the proper processing of the particular
request:
(i) The need to search for and collect the requested records from
establishments that are separate from the office processing the request;
(ii) The need to search for, collect, and appropriately examine a
voluminous amount of separate and distinct records which are demanded in
a single request; or
(iii) The need for consultation, which shall be conducted with all
practicable speed, with another Office, Federal agency, or organization
having a substantial interest in the determination of the request.
(c)(1) When the processing Office cannot send a determination to the
requester within the applicable time limit, the Chief FOIA Officer,
Office of the Inspector General Legal Counsel, or their designees shall
inform the requester of the reason for the delay, the date on which the
processing Office expects to send its determination, and the requester's
right to treat the delay as a denial and to appeal to LSC's President or
Inspector General, in accordance with Sec. 1602.13, or to seek dispute
resolution services from a FOIA Public Liaison or the Office of
Government Information Services.
(2) If the processing Office has not sent its determination by the
end of the 20-day period or the last extension thereof, the requester
may deem the request denied, and exercise a right of appeal in
accordance with Sec. 1602.13, or seek dispute resolution services from
LSC's or OIG's FOIA Public Liaison or the National Archives and Records
Administration's Office of Government Information Services. The Chief
FOIA Officer, Office of Inspector General Legal Counsel, or their
designees may ask the requester to forego appeal until a determination
is made.
(d) After the processing Office determines that a request will be
granted, LSC or the OIG will act with due diligence in providing a
substantive response.
(e)(1) Expedited treatment. Requests and appeals will be taken out
of order and given expedited treatment whenever the requester
demonstrates a compelling need. A compelling need means:
(i) Circumstances in which the lack of expedited treatment could
reasonably be expected to pose an imminent threat to the life or
physical safety of an individual;
(ii) An urgency to inform the public about an actual or alleged LSC
activity and the request is made by a person primarily engaged in
disseminating information;
(iii) The loss of substantial due process rights; or

[[Page 447]]

(iv) A matter of widespread and exceptional media interest raising
questions about LSC's integrity which may affect public confidence in
LSC.
(2) A request for expedited processing may be made at the time of
the initial request for records or at any later time. For a prompt
determination, a request for expedited processing must be properly
addressed and marked and received by LSC pursuant to Sec. 1602.8.
(3) A requester who seeks expedited processing must submit a
statement demonstrating a compelling need and explaining in detail the
basis for requesting expedited processing. The requester must certify
that the statement is true and correct to the best of the requester's
knowledge and belief.
(4) Within 10 calendar days of receiving a request for expedited
processing, the Chief FOIA Officer, Office of Inspector General Legal
Counsel or their designees shall decide whether to grant the request and
shall notify the requester of the decision. If a request for expedited
treatment is granted, the request shall be given priority and shall be
processed as soon as practicable. If a request for expedited processing
is denied, the requester may appeal in writing to LSC's President or
Inspector General in the format described in Sec. 1602.13(a). Any
appeal of a denial for expedited treatment shall be acted on
expeditiously by LSC.

Sec. 1602.10 Exemptions for withholding records.

(a) LSC shall--
(1) Withhold information under this section only if--
(i) LSC reasonably foresees that disclosure would harm an interest
protected by an exemption described in paragraph (b); or
(ii) Disclosure is prohibited by law; and
(2)(i) Consider whether partial disclosure of information is
possible whenever LSC determines that a full disclosure of a requested
record is not possible; and
(ii) Take reasonable steps necessary to segregate and release
nonexempt information;
(b) LSC may withhold a requested record from public disclosure only
if one or more of the following exemptions authorized by the FOIA apply:
(1)(i) Matter that is specifically authorized under criteria
established by an Executive order to be kept secret in the interest of
national defense or foreign policy; and
(ii) Is in fact properly classified pursuant to such Executive
Order;
(2) Matter that is related solely to the internal personnel rules
and practices of LSC;
(3) Matter that is specifically exempted from disclosure by statute
(other than the exemptions under FOIA at 5 U.S.C. 552(b)), provided that
such statute requires that the matters be withheld from the public in
such a manner as to leave no discretion on the issue, or establishes
particular criteria for withholding, or refers to particular types of
matters to be withheld;
(4) Trade secrets and commercial or financial information obtained
from a person and privileged or confidential;
(5) Inter-agency or intra-agency memoranda or letters that would not
be available by law to a party other than an agency in litigation with
LSC, provided that the deliberative process privilege shall not apply to
records created 25 years or more before the date on which the records
were requested;
(6) Personnel and medical files and similar files, the disclosure of
which would constitute a clearly unwarranted invasion of personal
privacy;
(7) Records or information compiled for law enforcement purposes,
including enforcing the Legal Services Corporation Act or any other law,
but only to the extent that the production of such law enforcement
records or information:
(i) Could reasonably be expected to interfere with enforcement
proceedings;
(ii) Would deprive a person or a recipient of a right to a fair
trial or an impartial adjudication;
(iii) Could reasonably be expected to constitute an unwarranted
invasion of personal privacy;
(iv) Could reasonably be expected to disclose the identity of a
confidential source, including a State, local, or foreign agency or
authority or any private institution that furnished information on a
confidential basis, and in

[[Page 448]]

the case of a record or information compiled by a criminal law
enforcement authority in the course of a criminal investigation,
information furnished by a confidential source;
(v) Would disclose techniques and procedures for law enforcement
investigations or prosecutions, or would disclose guidelines for law
enforcement investigations or prosecutions if such disclosure could
reasonably be expected to risk circumvention of the law; or
(vi) Could reasonably be expected to endanger the life or physical
safety of any individual;
(8) Matter that is contained in or related to examination,
operating, or condition reports prepared by, on behalf of, or for the
use of an agency responsible for the regulation or supervision of
financial institutions; or
(9) Geological and geophysical information and data, including maps,
concerning wells.
(c) In the event that one or more of the exemptions in paragraph (b)
of this section applies, any reasonably segregable portion of a record
shall be provided to the requester after redaction of the exempt
portions. The amount of information redacted and the exemption under
which the redaction is being made shall be indicated on the released
portion of the record, unless doing so would harm the interest protected
by the exemption under which the redaction is made. If technically
feasible, the amount of information redacted and the exemption under
which the redaction is being made shall be indicated at the place in the
record where the redaction occurs.
(d) No requester shall have a right to insist that any or all of the
techniques in paragraph (c) of this section should be employed in order
to satisfy a request.
(e) Records that may be exempt from disclosure pursuant to paragraph
(b) of this section may be made available at the discretion of the LSC
official authorized to grant or deny the request for records, after
appropriate consultation as provided in Sec. 1602.11. LSC will disclose
records otherwise exempt from disclosure under the FOIA when LSC does
not reasonably foresee that disclosure would harm an interest protected
by an exemption and disclosure is not prohibited by law or protected
under Exemption 3.

Sec. 1602.11 Officials authorized to grant or deny requests for records.

(a) The Chief FOIA Officer, Office of Inspector General Legal
Counsel or their designees are authorized to grant or deny requests
under this part. In the absence of an Office of Inspector General Legal
Counsel, the Inspector General shall name a designee who will be
authorized to grant or deny requests under this part and who will
perform all other functions of the Office of Inspector General Legal
Counsel under this part.
(b)(1) The Chief FOIA Officer or designee shall consult with the
Office of Inspector General Legal Counsel or designee prior to granting
or denying any request for records or portions of records which
originated with the OIG, or which contain information which originated
with the OIG, but which are maintained by other components of LSC.
(2) The Office of Inspector General Legal Counsel or designee shall
consult with the Chief FOIA Officer or designee prior to granting or
denying any request for records or portions of records which originated
with any component of LSC other than the OIG, or which contain
information which originated with a component of LSC other than the OIG,
but which are maintained by the OIG.

Sec. 1602.12 Denials.

(a) A denial of a written request for a record that complies with
the requirements of Sec. 1602.8 shall be in writing and shall include
the following:
(1) A reference to the applicable exemption or exemptions in Sec.
1602.10(b) upon which the denial is based;
(2) An explanation of how the exemption applies to the requested
records;
(3) A statement explaining why it is deemed unreasonable to provide
segregable portions of the record after deleting the exempt portions;
(4) An estimate of the volume of requested matter denied unless
providing such estimate would harm the interest protected by the
exemption under which the denial is made;

[[Page 449]]

(5) The name and title of the person or persons responsible for
denying the request;
(6) An explanation of the right to appeal the denial and of the
procedures for submitting an appeal, as described in Sec. 1602.13,
including the address of the official to whom appeals should be
submitted; and
(7) An explanation of the right of the requester to seek dispute
resolution services from a FOIA Public Liaison or the Office of
Government Information Services.
(b) Whenever LSC makes a record available subject to the deletion of
a portion of the record, such action shall be deemed a denial of a
record for purposes of paragraph (a) of this section.
(c) All denials shall be treated as final opinions under Sec.
1602.5(b).

Sec. 1602.13 Appeals of denials.

(a) Any person whose written request has been denied is entitled to
appeal the denial within 90 days of the date of the response by writing
to the President of LSC or, in the case of a denial of a request for OIG
records, the Inspector General, at the mailing or email addresses given
in Sec. 1602.8(b)(1) and (2). The envelope and letter or email appeal
should be clearly marked: ``Freedom of Information Appeal.'' An appeal
need not be in any particular form, but should adequately identify the
denial, if possible, by describing the requested record, identifying the
official who issued the denial, and providing the date on which the
denial was issued.
(b) No personal appearance, oral argument, or hearing will
ordinarily be permitted on appeal of a denial. Upon request and a
showing of special circumstances, however, this limitation may be waived
and an informal conference may be arranged with the President, Inspector
General or their designees for this purpose.
(c)(1) The decision of the President or the Inspector General on an
appeal shall be in writing and, in the event the denial is in whole or
in part upheld, shall contain an explanation responsive to the arguments
advanced by the requester, the matters described in Sec. 1602.12(a)(1)
through (4), and the provisions for judicial review of such decision
under 5 U.S.C. 552(a)(4). The decision must also notify the requester of
the dispute resolution services offered by the National Archives and
Records Administration's Office of Government Information Systems as a
non-exclusive alternative to litigation. A requester may contact the
Office of Government Information Services in any of the following ways:
(i) Office of Government Information Services, National Archives and
Records Administration, 8601 Adelphi Road--OGIS, College Park, MD 20740.
(ii) ogis.archives.gov.
(iii) Email: .
(iv) Telephone: 202-741-5770.
(v) Facsimile: 202-741-5769.
(vi) Toll-free: 1-877-684-6448.
(2) Dispute resolution through the Office of Government Information
Services is a voluntary process. If LSC agrees to participate in the
dispute resolution services provided by the Office of Government
Information Services, it will actively engage in the process in an
attempt to resolve the dispute.
(d) LSC will send its decision to the requester within 20 business
days after receipt of the appeal, unless an additional period is
justified due to unusual circumstances, as described in Sec. 1602.9, in
which case LSC may extend the time limit for up to 10 working days by
written notice to the requester setting forth the reasons for such
extension and the date on which LSC expects to send its determination.
The decision of the President or the Inspector General shall constitute
the final action of LSC. All such decisions shall be treated as final
opinions under Sec. 1602.5(b)(1).
(e) On an appeal, the President or designee shall consult with the
OIG prior to reversing in whole or in part the denial of any request for
records or portions of records which originated with the OIG, or which
contain information which originated with the OIG, but which are
maintained by LSC. The Inspector General or designee shall consult with
the President prior to reversing in whole or in part the denial of any
request for records or portions of records which originated with LSC, or
which contain information which originated with LSC, but which are
maintained by the OIG.

[[Page 450]]

ogis@nara.gov
Sec. 1602.14 Fees.

(a) LSC will not charge fees for information routinely provided in
the normal course of doing business.
(b)(1) When records are requested for commercial use, LSC shall
limit fees to reasonable standard charges for document search, review,
and duplication.
(2) LSC shall not assess any search fees (or if the requester is a
representative of the news media, duplication fees) if LSC has failed to
comply with the time limits set forth in Sec. 1602.9 and no unusual
circumstances, as defined in that section apply.
(3)(i) If LSC has determined that unusual circumstances as defined
in Sec. 1602.9 apply and LSC has provided timely written notice to the
requester in accordance with Sec. 1602.9, a failure described in
paragraph (2) is excused for an additional 10 days. If LSC fails to
comply with the extended time limit, LSC may not assess any search fees
(or, if the requester is a representative of the news media, duplication
fees) except as provided in paragraphs (a)(3)(ii)-(iii) of this section.
(ii) If LSC has determined that unusual circumstances as defined in
Sec. 1602.9 apply and more than 5,000 pages are necessary to respond to
the request, LSC may charge search fees or duplication fees if LSC has
provided a timely written notice to the requester in accordance with
Sec. 1602.9 and LSC has discussed with the requester via written mail,
electronic mail, or telephone (or made not less than three good faith
attempts to do so) how the requester could effectively limit the scope
of the request in accordance with Sec. 1602.9.
(iii) If a court has determined that exceptional circumstances
exist, as defined by the FOIA, a failure to comply with the time limits
shall be excused for the length of time provided by the court order.
(c) When records are sought by a representative of the news media or
by an educational or non-commercial scientific institution, LSC shall
limit fees to reasonable standard charges for document duplication after
the first 100 pages; and
(d) For all other requests, LSC shall limit fees to reasonable
standard charges for search time after the first 2 hours and duplication
after the first 100 pages.
(e) The schedule of charges and fees for services regarding the
production or disclosure of the Corporation's records is as follows:
(1) Manual search for and review of records will be charged as
follows:
(i) Administrative fee: $22.35/hour;
(ii) Professional fee: $66.26/hour;
(iii) Charges for search and review time less than a full hour will
be billed by quarter-hour segments;
(2) Duplication by paper copy: 35 cents per page;
(3) Duplication by other methods: actual charges as incurred;
(4) Packing and mailing records: no charge for regular mail;
(5) Express mail: actual charges as incurred.
(f) LSC may charge for time spent searching even if it does not
locate any responsive records or it withholds the records located as
exempt from disclosure.
(g) Fee waivers. A requester may seek a waiver or reduction of the
fees established under paragraph (e) of this section. A fee waiver or
reduction request will be granted where LSC has determined that the
requester has demonstrated that disclosure of the information is in the
public interest because it is likely to contribute significantly to
public understanding of the operations of LSC and is not primarily in
the commercial interest of the requester.
(1) In order to determine whether disclosure of the information is
in the public interest because it is likely to contribute significantly
to public understanding of the operations or activities of LSC, LSC
shall consider the following four factors:
(i) The subject of the request: Whether the subject of the requested
records concerns ``the operations or activities of LSC.'' The subject of
the requested records must concern identifiable operations or activities
of LSC, with a connection that is direct and clear, not remote or
attenuated.
(ii) The informative value of the information to be disclosed:
Whether the disclosure is ``likely to contribute'' to an understanding
of LSC operations or activities. The requested records must be

[[Page 451]]

meaningfully informative about LSC operations or activities in order to
be likely to contribute to an increased public understanding of those
operations or activities. The disclosure of information that is already
in the public domain, in either a duplicative or a substantially
identical form, would not be likely to contribute to such understanding
where nothing new would be added to the public's understanding.
(iii) The contribution to an understanding of the subject by the
public likely to result from disclosure: Whether disclosure of the
requested records will contribute to ``public understanding.'' The
disclosure must contribute to a reasonably broad audience of persons
interested in the subject, as opposed to the personal interest of the
requester. A requester's expertise in the subject area and ability and
intention to effectively convey information to the public shall be
considered. LSC shall presume that a representative of the news media
will satisfy this consideration.
(iv) The significance of the contribution to public understanding:
Whether the disclosure is likely to contribute ``significantly'' to
public understanding of LSC operations or activities. The disclosure
must enhance the public's understanding of the subject in question to a
significant extent.
(2) In order to determine whether disclosure of the information is
not primarily in the commercial interest of the requester, LSC will
consider the following two factors:
(i) The existence and magnitude of a commercial interest: Whether
the requester has a commercial interest that would be furthered by the
requested disclosure. LSC shall consider any commercial interest of the
requester (with reference to the definition of commercial use in this
part) or of any person on whose behalf the requester may be acting, that
would be furthered by the requested disclosure.
(ii) The primary interest in disclosure: Whether the magnitude of
the identified commercial interest is sufficiently large, in comparison
with the public interest in disclosure, that disclosure is ``primarily''
in the commercial interest of the requester. A fee waiver or reduction
is justified where the public interest is of greater magnitude than is
any identified commercial interest in disclosure. LSC ordinarily shall
presume that where a news media requester has satisfied the public
interest standard, the public interest will be the interest primarily
served by disclosure to that requester. Disclosure to data brokers or
others who merely compile and market government information for direct
economic return shall not be presumed primarily to serve a public
interest.
(3) Where LSC has determined that a fee waiver or reduction request
is justified for only some of the records to be released, LSC shall
grant the fee waiver or reduction for those records.
(4) Requests for fee waivers and reductions shall be made in writing
and must address the factors listed in this paragraph as they apply to
the request.
(h) Requesters must agree to pay all fees charged for services
associated with their requests. LSC will assume that requesters agree to
pay all charges for services associated with their requests up to $25
unless otherwise indicated by the requester. For requests estimated to
exceed $25, LSC will consult with the requester prior to processing the
request, and such requests will not be deemed to have been received by
LSC until the requester agrees in writing to pay all fees charged for
services. LSC will also make available its FOIA Public Liaison or other
FOIA professional to assist any requester in reformulating a request to
meet the requester's needs at a lower cost.
(i) No requester will be required to make an advance payment of any
fee unless:
(1) The requester has previously failed to pay a required fee within
30 days of the date of billing, in which case an advance deposit of the
full amount of the anticipated fee together with the fee then due plus
interest accrued may be required (and the request will not be deemed to
have been received by LSC until such payment is made); or
(2) LSC determines that an estimated fee will exceed $250, in which
case the requester shall be notified of the amount of the anticipated
fee or such portion thereof as can readily be estimated. Such
notification shall be transmitted as soon as possible, but in

[[Page 452]]

any event within five working days of receipt by LSC, giving the best
estimate then available. The notification shall offer the requester the
opportunity to confer with appropriate representatives of LSC for the
purpose of reformulating the request so as to meet the needs of the
requester at a reduced cost. The request will not be deemed to have been
received by LSC for purposes of the initial 20-day response period until
the requester makes a deposit on the fee in an amount determined by LSC.
(j) Interest may be charged to those requesters who fail to pay the
fees charged. Interest will be assessed on the amount billed, starting
on the 31st day following the day on which the billing was sent. The
rate charged will be as prescribed in 31 U.S.C. 3717.
(k) If LSC reasonably believes that a requester or group of
requesters is attempting to break a request into a series of requests
for the purpose of evading the assessment of fees, LSC shall aggregate
such requests and charge accordingly. Likewise, LSC will aggregate
multiple requests for documents received from the same requester within
45 days.

Sec. 1602.15 Submitter's rights process.

(a) When LSC receives a FOIA request seeking the release of
confidential commercial information, LSC shall provide prompt written
notice of the request to the submitter in order to afford the submitter
an opportunity to object to the disclosure of the requested confidential
commercial information. The notice shall reasonably describe the
confidential commercial information requested, inform the submitter of
the process required by paragraph (b) of this section, and provide a
reasonable time period for the submitter to respond.
(b) If a submitter who has received notice of a request for the
submitter's confidential commercial information wishes to object to the
disclosure of the confidential commercial information, the submitter
must provide LSC within the time period set forth in the notice, a
detailed written statement identifying the information which it objects.
The submitter must send its objections to the Office of Legal Affairs
or, if it pertains to Office of Inspector General records, to the Office
of Inspector General, and must specify the grounds for withholding the
information under FOIA or this part. In particular, the submitter must
demonstrate why the information is commercial or financial information
that is privileged or confidential. If the submitter fails to respond to
the notice from LSC within the time period specified in the notice, LSC
will deem the submitter to have no objection to the disclosure of the
information.
(c) Upon receipt of written objection to disclosure by a submitter,
LSC shall consider the submitter's objections and specific grounds for
withholding in deciding whether to release the disputed information.
Whenever LSC decides to disclose information over the objection of the
submitter, LSC shall give the submitter written notice which shall
include:
(1) A description of the information to be released and a notice
that LSC intends to release the information;
(2) A statement of the reason(s) why the submitter's request for
withholding is being rejected; and
(3) A specified disclosure date, which must be a reasonable time
after the notice.
(d) The requirements of this section shall not apply if:
(1) LSC determines upon initial review of the requested confidential
commercial information that the requested information should not be
disclosed;
(2) The information has been previously published or officially made
available to the public; or
(3) Disclosure of the information is required by statute (other than
FOIA) or LSC's regulations.
(e) Whenever a requester files a lawsuit seeking to compel
disclosure of a submitter's information, LSC shall promptly notify the
submitter.
(f) Whenever LSC provides a submitter with notice and opportunity to
oppose disclosure under this section, LSC shall notify the requester
that the submitter's rights process under this section has been
triggered. Likewise, whenever a submitter files a lawsuit seeking to
prevent the disclosure of the submitter's information, LSC shall notify
the requester.

[[Page 453]]

PART 1603_TESTIMONY BY EMPLOYEES AND PRODUCTION OF DOCUMENTS
IN PROCEEDINGS WHERE THE UNITED STATES IS NOT A PARTY--
Table of Contents

Sec.
1603.1 Scope, purpose, and applicability.
1603.2 Definitions.
1603.3 What is LSC's policy on presentation of testimony and production
of documents?
1603.4 How does a person request voluntary testimony from an employee?
1603.5 How will LSC respond to a request for expert testimony from an
employee?
1603.6 How will LSC respond to a subpoena for documents?
1603.7 When will LSC certify the authenticity of records?
1603.8 Does this part give individuals any rights?

Authority: 42 U.S.C. 2996g(e).

Source: 83 FR 17087, April 18, 2018, unless otherwise noted.

Sec. 1603.1 Scope, purpose, and applicability.

(a) This part sets forth rules to be followed when a litigant
requests an employee of the Legal Services Corporation (LSC), including
LSC's Office of the Inspector General (OIG), to provide testimony in a
deposition, trial, or other similar proceeding concerning information
acquired in the course of performing official duties or because of such
person's official capacity with LSC. This part also sets forth
procedures for the handling of subpoenas for documents and other
requests for documents in the possession of LSC or the OIG, and for the
processing of requests for certification of copies of documents.
(b) It is LSC's policy to provide information, data, and records to
non-federal litigants to the same extent and in the same manner that
they are made available to the public. When subject to the jurisdiction
of a court or other tribunal presiding over litigation between non-
federal parties, LSC will follow all applicable procedural and
substantive rules relating to the production of information, data, and
records by a non-party. The availability of LSC employees to testify in
litigation not involving federal parties is governed by LSC's policy to
maintain strict impartiality with respect to private litigants and to
minimize the disruption of official duties.
(c) This part applies to state, local, and tribal judicial,
administrative, and legislative proceedings, and to federal judicial and
administrative proceedings.
(d) This part does not apply to:
(1) Any civil or criminal proceedings to which LSC is a party.
(2) Congressional requests or subpoenas for testimony or documents.
(3) Consultative services and technical assistance provided by LSC
in carrying out its normal program activities.
(4) Employees serving as expert witnesses in connection with
professional and consultative services as approved outside activities.
In cases where employees are providing such outside services, they must
state for the record that the testimony represents their own views and
does not necessarily represent the official position of LSC.
(5) Employees making appearances in their private capacity in legal
or administrative proceedings that do not relate to LSC, such as cases
arising out of traffic accidents, crimes, domestic relations, etc., and
not involving professional and consultative services.
(6) Any civil or criminal proceedings in State court brought on
behalf of LSC.
(7) Any criminal proceeding brought as a result of a referral for
prosecution by the OIG or by any other Inspector General in connection
with a case worked jointly with the OIG.

Sec. 1603.2 Definitions.

(a) Certify means to authenticate official LSC documents.
(b) Employee means current and former LSC employees, including
temporary employees, OIG employees, and members of the Board of
Directors and its Committees.
(c) LSC means the Legal Services Corporation. Unless explicitly
stated otherwise, LSC includes the OIG.
(d) Testify and testimony include in-person, oral statements before
a court, legislative or administrative body and statements made pursuant
to depositions, interrogatories, declarations, affidavits, or other
formal participation.

[[Page 454]]

Sec. 1603.3 What is LSC's policy on presentation of testimony
and production of documents?

In any proceedings to which this part applies, no employee may
provide testimony or produce documents concerning information acquired
in the course of performing official duties or because of the person's
official relationship with LSC unless authorized by the General Counsel
or the OIG Legal Counsel pursuant to this part based on his or her
determination that compliance with the request would promote LSC's
objectives.

Sec. 1603.4 How does a person request voluntary testimony
from an employee?

(a) All requests for testimony by an employee in his or her official
capacity, except employees of OIG described in paragraph (b) of this
section, and not subject to the exceptions set forth in Sec. 1603.1(d)
of this part must be in writing and addressed to the General Counsel.
(b) All requests for testimony by an employee of the OIG must be in
writing and addressed to the OIG Legal Counsel.
(c) Requests must state the nature of the requested testimony, why
the information sought is unavailable by any other means, and the
reasons why the testimony would be in the interest of LSC.

Sec. 1603.5 How will LSC respond to a request for expert testimony
from an employee?

No employee shall serve as an expert witness in any proceeding
described in Sec. 1603.1(c) of this part or before a court or agency of
the United States unless the General Counsel or the OIG Legal Counsel
authorizes the employee's participation.

Sec. 1603.6 How will LSC respond to a subpoena for documents?

(a) Whenever a subpoena commanding the production of any LSC record
has been served upon an employee, the employee shall refer the subpoena
to the General Counsel or the OIG Legal Counsel, as appropriate. The
General Counsel or the OIG Legal Counsel shall determine whether the
subpoena is legally sufficient, whether the subpoena was properly
served, and whether the issuing court or other tribunal has jurisdiction
over LSC. If the General Counsel or the OIG Legal Counsel determines
that the subpoena satisfies all three factors, LSC shall comply with the
terms of the subpoena unless LSC takes affirmative action to modify or
quash the subpoena in accordance with Fed. R. Civ. P. 45 (c).
(b) If a subpoena commanding the production of any record served
upon an employee is determined by the General Counsel or the OIG Legal
Counsel to be legally insufficient, improperly served, or from a
tribunal not having jurisdiction, LSC shall deem the subpoena a request
for records under the Freedom of Information Act. LSC shall handle the
subpoena pursuant to the rules governing public disclosure established
in 45 CFR part 1602.
(c) If the General Counsel or the OIG Legal Counsel denies approval
to comply with a subpoena for testimony or has not acted by the return
date, the employee will be directed to appear at the stated time and
place, unless advised by the General Counsel or the OIG Legal Counsel
that responding to the subpoena would be inappropriate. The employee
will be directed to produce a copy of these regulations and respectfully
decline to testify or produce any documents on the basis of these
regulations.

Sec. 1603.7 When will LSC certify the authenticity of records?

Upon request, LSC will certify the authenticity of copies of records
that are to be disclosed. The requesting party will be responsible for
reasonable fees for copying and certification.

Sec. 1603.8 Does this part give individuals any rights?

This part is intended only to provide a process for receipt and
processing of private litigants' requests for LSC documents and
testimony. It does not, and may not be relied upon, to create a right or
benefit, substantive or procedural, enforceable at law by a party
against LSC.

[[Page 455]]

PART 1604_OUTSIDE PRACTICE OF LAW--Table of Contents

Sec.
1604.1 Purpose.
1604.2 Definitions.
1604.3 General policy.
1604.4 Permissible outside practice.
1604.5 Compensation.
1604.6 Use of recipient resources.
1604.7 Court appointments.

Authority: 42 U.S.C. 2996e(b)(3), 2996e(d)(6), 2996f(a)(4),
2996g(e).

Source: 68 FR 67377, Dec. 2, 2003, unless otherwise noted.

Sec. 1604.1 Purpose.

This part is intended to provide guidance to recipients in adopting
written policies relating to the outside practice of law by recipients'
full-time attorneys. Under the standards set forth in this part,
recipients are authorized, but not required, to permit attorneys, to the
extent that such activities do not hinder fulfillment of their
overriding responsibility to serve those eligible for assistance under
the Act, to engage in pro bono legal assistance and comply with the
reasonable demands made upon them as members of the Bar and as officers
of the Court.

Sec. 1604.2 Definitions.

As used in this part--
(a) Full-time attorney means an attorney who is employed full-time
by a recipient in legal assistance activities supported in major part by
the Corporation, and who is authorized to practice law in the
jurisdiction where assistance is provided.
(b) Outside practice of law means the provision of legal assistance
to a client who is not receiving that legal assistance from the employer
of the full-time attorney rendering assistance, but does not include
court appointments except where specifically stated or the performance
of duties as a Judge Advocate General Corps attorney in the United
States armed forces reserves.
(c) Court appointment means an appointment in a criminal or civil
case made by a court or administrative agency under a statute, rule or
practice applied generally to attorneys practicing in the court or
before the administrative agency where the appointment is made.

Sec. 1604.3 General policy.

(a) A recipient shall adopt written policies governing the outside
practice of law by full-time attorneys that are consistent with the LSC
Act, this part and applicable rules of professional responsibility.
(b) A recipient's policies may permit the outside practice of law by
full-time attorneys only to the extent allowed by the LSC Act and this
part, but may impose additional restrictions as necessary to meet the
recipient's responsibilities to clients.

Sec. 1604.4 Permissible outside practice.

A recipient's written policies may permit a full-time attorney to
engage in a specific case or matter that constitutes the outside
practice of law if:
(a) The director of the recipient or the director's designee
determines that representation in such case or matter is consistent with
the attorney's responsibilities to the recipient's clients;
(b) Except as provided in Sec. 1604.7, the attorney does not
intentionally identify the case or matter with the Corporation or the
recipient; and
(c) The attorney is--
(1) Newly employed and has a professional responsibility to close
cases from a previous law practice, and does so on the attorney's own
time as expeditiously as possible; or
(2) Acting on behalf of him or herself, a close friend, family
member or another member of the recipient's staff; or
(3) Acting on behalf of a religious, community, or charitable group;
or
(4) Participating in a voluntary pro bono or legal referral program
affiliated with or sponsored by a bar association, other legal
organization or religious, community or charitable group.

Sec. 1604.5 Compensation.

(a) Except as provided in paragraph (b) of this section and Sec.
1604.7(a), a recipient's written policies shall not permit a full-time
attorney to receive any compensation for the outside practice of law.

[[Page 456]]

(b) A recipient's written policies which permit a full-time attorney
who meets the criteria set forth in Sec. 1604.4(c)(1) to engage in the
outside practice of law shall permit full-time attorneys to seek and
receive personal compensation for work performed pursuant to that
section.

Sec. 1604.6 Use of recipient resources.

(a) For cases undertaken pursuant to Sec. 1604.4(c)(1), a
recipient's written policies may permit a full-time attorney to use de
minimis amounts of the recipient's resources for permissible outside
practice if necessary to carry out the attorney's professional
responsibilities, as long as the recipient's resources, whether funded
with Corporation or private funds, are not used for any activities for
which the use of such funds is prohibited.
(b) For cases undertaken pursuant to Sec. 1604.4(c)(2) through (4),
a recipient's written policies may permit a full-time attorney to use
limited amounts of the recipient's resources for permissible outside
practice if necessary to carry out the attorney's professional
responsibilities, as long as the recipient's resources, whether funded
with Corporation or private funds are not used for any activities for
which the use of such funds is prohibited.

Sec. 1604.7 Court appointments.

(a) A recipient's written policies may permit a full-time attorney
to accept a court appointment if the director of the recipient or the
director's designee determines that:
(1) Such an appointment is consistent with the recipient's primary
responsibility to provide legal assistance to eligible clients in civil
matters;
(2) The appointment is made and the attorney will receive
compensation for the court appointment under the same terms and
conditions as are applied generally to attorneys practicing in the court
where the appointment is made; and
(3) Subject to the applicable law and rules of professional
responsibility, the attorney agrees to remit to the recipient any
compensation received.
(b) A recipient's written policies may permit a full-time attorney
to use program resources to undertake representation pursuant to a court
appointment.
(c) A recipient's written policies may permit a full-time attorney
to identify the recipient as his or her employer when engaged in
representation pursuant to a court appointment.
(d) If, under the applicable State or local court rules or practices
or rules of professional responsibility, legal services attorneys are
mandated to provide pro bono legal assistance in addition to the
attorneys' work on behalf of the recipient's clients, the recipient's
written policies shall treat such legal assistance in the same manner as
court appointments under paragraphs (a)(1), (a)(3), (b) and (c) of this
section, provided that the policies may only permit mandatory pro bono
activities that are not otherwise prohibited by the LSC Act, applicable
appropriations laws, or LSC regulation.

PART 1605_APPEALS ON BEHALF OF CLIENTS--Table of Contents

Sec.
1605.1 Purpose.
1605.2 Definition.
1605.3 Review of Appeals.

Authority: Secs. 1007(a)(7), 1008(e), 42 U.S.C. 2996f(a)(7),
2996g(e).

Source: 41 FR 18513, May 5, 1976, unless otherwise noted.

Sec. 1605.1 Purpose.

This part is intended to promote efficient and effective use of
Corporation funds. It does not apply to any case or matter in which
assistance is not being rendered with funds provided under the Act.

Sec. 1605.2 Definition.

Appeal means any appellate proceeding in a civil action as defined
by law or usage in the jurisdiction in which the action is filed.

Sec. 1605.3 Review of Appeals.

The governing body of a recipient shall adopt a policy and procedure
for review of every appeal to an appellate court taken from a decision
of any court or tribunal. The policy adopted shall
(a) Discourage frivolous appeals, and

[[Page 457]]

(b) Give appropriate consideration to priorities in resource
allocation adopted by the governing body, or required by the Act, or
Regulations of the Corporation; but
(c) Shall not interfere with the professional responsibilities of an
attorney to a client.

PART 1606_TERMINATION, LIMITED REDUCTION OF FUNDING, AND DEBARMENT
PROCEDURES; RECOMPETITION--Table of Contents

Sec.
1606.1 Purpose.
1606.2 Definitions.
1606.3 Grounds for a termination or a limited reduction of funding.
1606.4 Grounds for debarment.
1606.5 Procedures.
1606.6 Preliminary determination and final decision.
1606.7 Corrective action, informal conference, review of written
materials, and final decision.
1606.8 Hearing for a termination or debarment.
1606.9 Recommended decision for a termination or debarment.
1606.10 Final decision for a termination, debarment, or limited
reduction of funding.
1606.11 Qualifications on hearing procedures.
1606.12 Time and waiver.
1606.13 Interim and termination funding; reprogramming, implementation.
1606.14 Recompetition.

Authority: 42 U.S.C. 2996e(b)(1), 2996f(a)(3), and 2996f(d); Pub. L.
105-119, Title V, Secs. 501(b) and (c), 502, 503, and 504, 111 Stat.
2440, 2510-12; Pub. L. 104-134, Title V, Sec. 503(f), 110 Stat. 1321,
1321-53.

Source: 78 FR 10093, Feb. 13, 2013, unless otherwise noted.

Sec. 1606.1 Purpose.

The purpose of this rule is to:
(a) Ensure that the Corporation is able to take timely action to
deal with incidents of substantial noncompliance by recipients with a
provision of the LSC Act, the Corporation's appropriations act or other
law applicable to LSC funds, a Corporation rule, regulation, guideline
or instruction, or the terms and conditions of the recipient's grant or
contract with the Corporation;
(b) Provide timely and fair due process procedures, proportional to
the proposed action, when the Corporation has made a preliminary
decision to terminate a recipient's LSC grant or contract, to debar a
recipient from receiving future LSC awards of financial assistance, or
to impose a limited reduction in funding; and
(c) Ensure that scarce funds are provided to recipients who can
provide the most effective and economical legal assistance to eligible
clients.
(d) None of the following actions are subject to the procedures or
requirements of this part:
(1) A reduction of funding required by law, including but not
limited to a reduction in, or rescission of, the Corporation's
appropriation that is apportioned among all recipients of the same class
in proportion to their current level of funding;
(2) A reduction or deduction of LSC support for a recipient under
the Corporation's fund balance regulation at 45 CFR part 1628;
(3) A recovery of disallowed costs under the Corporation's
regulation on costs standards and procedures at 45 CFR part 1630;
(4) A withholding of funds pursuant to the Corporation's Private
Attorney Involvement rule at 45 CFR part 1614.

Sec. 1606.2 Definitions.

For the purposes of this part:
Corporation, when used to refer to decisions by the Legal Services
Corporation, means that those decisions are made by an individual acting
with a seniority level at, or equivalent to, the level of an office
director or higher.
Days shall mean the number of calendar days as determined by the
rules for computing time in the Federal Rules of Civil Procedure, Rule
6, except that computation of business days shall exclude Saturdays,
Sundays, and legal holidays (as defined in those rules).
Debarment means an action taken by the Corporation to exclude a
recipient from receiving an additional award of financial assistance
from the Corporation or from receiving additional LSC funds from another
recipient of the Corporation pursuant to any other means, including a
subgrant, subcontract or similar agreement, for the period of time
stated in the final debarment decision.

[[Page 458]]

Funding term means the maximum time period for an award or awards of
financial assistance under section 1006(a)(1)(A) of the LSC Act provided
by the Corporation to a recipient selected pursuant the competition
requirements at 45 CFR part 1634. LSC may award grants or contracts for
a period of the entire funding term or for shorter periods that may be
renewed or extended up to the funding term.
Knowing and willful means that the recipient had actual knowledge
that its action or lack thereof constituted a violation and despite such
knowledge, undertook or failed to undertake the action, as the case may
be.
Limited reduction of funding means a reduction of funding of less
than five percent of a recipient's current level of financial assistance
imposed by the Corporation in accordance with the procedures and
requirements of this part. A limited reduction of funding will affect
only the recipient's current year's funding.
LSC requirements means the same as that term is defined in 45 CFR
Part 1618.
Receipt of materials shall mean that the materials were sent to the
normal address for physical mail, email, or fax transmission, and there
is reliable secondary confirmation of delivery. For physical delivery,
confirmation may be provided through tracking information from the
delivery service. For other forms of delivery, confirmation may be
provided through a document such as a confirmation email or a fax sent
from an authorized person at the recipient. Receipt of materials by the
LSC recipient or the Corporation is sufficient for the running of
applicable time periods. Proof of receipt by the Chair of the governing
body is not necessary unless delivery to the recipient itself cannot be
reasonably accomplished.
Recipient means the same as the term is defined in 45 CFR Part 1600.
Substantial noncompliance means either a substantial violation, as
defined in this part, or a substantial failure, as indicated at Sec.
1606.3(a) of this part.
Substantial violation means a violation that merits action under
this part based on consideration of the following criteria by the
Corporation:
(1) The number of restrictions or requirements violated;
(2) Whether the violation represents an instance of noncompliance
with a substantive statutory or regulatory restriction or requirement,
rather than an instance of noncompliance with a non-substantive
technical or procedural requirement;
(3) The extent to which the violation is part of a pattern of
noncompliance with LSC requirements or restrictions;
(4) The extent to which the recipient failed to take action to cure
the violation when it became aware of the violation; and
(5) Whether the violation was knowing and willful.
Termination means that a recipient's level of financial assistance
under its grant or contract with the Corporation will be reduced in
whole or in part in the amount of five percent or greater prior to the
expiration of the funding term of a recipient's current grant or
contract. A partial termination will affect only the level of funding
for the current grant year, unless the Corporation provides otherwise in
the final decision.
Violation means a violation by the recipient of the LSC
requirements.

Sec. 1606.3 Grounds for a termination or a limited reduction of funding.

(a) A grant or contract may be terminated in whole or in part when:
(1) There has been a substantial violation by the recipient, and the
violation occurred less than 5 years prior to the date the recipient
receives a preliminary determination pursuant to Sec. 1606.6(a) of this
part; or
(2) There has been a substantial failure by the recipient to provide
high quality, economical, and effective legal assistance, as measured by
generally accepted professional standards, the provisions of the LSC Act
or LSC appropriations, or a rule, regulation, including 45 CFR
1634.9(a)(2), or guidelines or instructions issued by the Corporation.
(b) The Corporation may impose a limited reduction of funding when
the Corporation determines that there has been a substantial violation
by the recipient but that termination of the recipient's grant, in whole
or in part, is

[[Page 459]]

not warranted, and the violation occurred less than 5 years prior to the
date the recipient receives a preliminary determination pursuant to
Sec. 1606.6(a) of this part.
(c) A determination of whether there has been a substantial
violation for the purposes of this part, and the magnitude of any
termination, in whole or in part, or any limited reduction in funding,
shall be based on consideration of the criteria set forth in the
definition of ``substantial violation'' in Sec. 1606.2 of this part.

Sec. 1606.4 Grounds for debarment.

(a) The Corporation may debar a recipient, on a showing of good
cause, from receiving an additional award of financial assistance from
the Corporation.
(b) As used in paragraph (a) of this section, ``good cause'' means:
(1) A termination of financial assistance to the recipient pursuant
to part 1640 of this chapter;
(2) A termination of financial assistance in whole of the most
recent grant or contract of financial assistance;
(3) The substantial violation by the recipient of the restrictions
delineated in Sec. 1610.2(a) and (b) of this chapter, provided that the
violation occurred within 5 years prior to the receipt of the debarment
notice by the recipient;
(4) Knowing entry by the recipient into:
(i) Any agreement or arrangement, including, but not limited to, a
subgrant, subcontract, or other similar agreement, with an entity
debarred by the Corporation during the period of debarment if so
precluded by the terms of the debarment; or
(ii) An agreement for professional services with an independent
public accountant or other auditor debarred by the Corporation during
the period of debarment if so precluded by the terms of the debarment;
or
(5) The filing of a lawsuit by a recipient, provided that the
lawsuit:
(i) Was filed on behalf of the recipient as plaintiff, rather than
on behalf of a client of the recipient;
(ii) Named the Corporation, or any agency or employee of a Federal,
State, or local government as a defendant;
(iii) Seeks judicial review of an action by the Corporation or such
government agency that affects the recipient's status as a recipient of
Federal funding, except for a lawsuit that seeks review of whether the
Corporation or agency acted outside of its statutory authority or
violated the recipient's constitutional rights; and
(iv) Was initiated after December 23, 1998.

Sec. 1606.5 Procedures.

(a) Before any final action is taken under this part, the recipient
will be provided notice and an opportunity to be heard as set out in
this part.
(b) Prior to a preliminary determination involving a limited
reduction of funding, the Corporation shall designate either the
President or another senior Corporation employee to conduct any final
review that is requested pursuant to Sec. 1606.10 of this part. The
Corporation shall ensure that the person so designated has had no prior
involvement in the proceedings under this part so as to meet the
criterion set out in Sec. 1606.10(d) of this part.

Sec. 1606.6 Preliminary determination and final decision.

(a) When the Corporation has made a preliminary determination of one
or more of the following, the Corporation shall issue a written notice
to the recipient and the Chair of the recipient's governing body: that a
recipient's grant or contract should be terminated, that a limited
reduction of funding shall be imposed, or that a recipient should be
debarred. The notice shall:
(1) State the substantial noncompliance that constitutes the grounds
for the proposed action;
(2) Identify, with reasonable specificity, any facts or documents
relied upon as justification for the proposed action;
(3) Inform the recipient of the proposed amount and proposed
effective date for the proposed action;
(4) Advise the recipient of its procedural rights for review of the
proposed action under this part;
(5) Inform the recipient of its right to receive interim funding
pursuant to Sec. 1606.13 of this part;

[[Page 460]]

(6) Specify what, if any, corrective action the recipient can take
to avoid the proposed action; and
(7) Summarize prior attempts, if any, for resolution of the
substantial noncompliance.
(b) If the recipient does not request review, as provided for in
this part, before the relevant time limits have expired, then the
Corporation may issue a final decision to the recipient. No further
appeal or review will be available under this part.

Sec. 1606.7 Corrective action, informal conference, review of
written materials, and final decision.

(a) If the Corporation proposes a corrective action in the
preliminary determination pursuant to Sec. 1606.6(a)(6) of this part,
then the recipient may accept and implement the corrective action, in
lieu of an informal conference or submission of written materials under
this section, subject to the following requirements:
(1) Within 10 business days of receipt of the preliminary
determination, the recipient may submit a draft compliance agreement to
accept the terms of the proposed corrective action, which must include
an implementation plan and timeline;
(2) If the Corporation approves the draft compliance agreement,
including any modifications suggested by the recipient or the
Corporation, then it shall be memorialized in a final compliance
agreement signed by the Corporation and the recipient, which shall stay
these proceedings;
(3) If the recipient completes the terms of the written compliance
agreement in a time and manner that is satisfactory to the Corporation,
then the Corporation shall withdraw the preliminary determination; and
(4) If the Corporation determines at any time that the recipient has
not presented an acceptable draft compliance agreement, or has not
fulfilled any terms of the final compliance agreement, then the
Corporation shall notify the recipient in writing. Within 15 calendar
days of that notice, the Corporation shall modify or affirm the
preliminary determination as a draft final decision. The draft final
decision shall summarize these attempts at resolution. The draft final
decision need not engage in a detailed analysis of the failure to
resolve the substantial noncompliance.
(b) A recipient may submit written materials in opposition to the
preliminary determination, request an informal conference, or both, as
follows:
(1) For terminations or debarments, within 30 calendar days of
receipt of the preliminary determination; or
(2) For limited reductions in funding, within 10 business days of
receipt of the preliminary determination.
(c) Within 5 business days of receipt of a request for a conference,
the Corporation shall notify the recipient of the time and place the
conference will be held. Some or all of the participants in the
conference may attend via telephone, unless the recipient requests an
in-person meeting between the Corporation and at least one
representative of the recipient. If the recipient requests an in-person
meeting, then other participants may attend via telephone. Alternative
means of participation other than the telephone are permissible at the
sole discretion of the Corporation.
(d) The informal conference shall be conducted by the Corporation
employee who issued the preliminary determination or any other
Corporation employee with a seniority level equivalent to the level of
an office director or higher.
(e) At the informal conference, the Corporation and the recipient
shall both have an opportunity to state their case, seek to narrow the
issues, explore the possibilities of settlement or compromise including
implementation of corrective actions, and submit written materials.
(f) If an informal conference is conducted or written materials are
submitted in opposition to the proposed determination by the recipient,
or both, the Corporation shall consider any written materials and any
oral presentation or written materials submitted by the recipient at an
informal conference. Based on any of these materials or the informal
conference, or both, the Corporation shall modify, withdraw, or affirm
the preliminary determination through a draft final decision in writing,
which shall be provided

[[Page 461]]

to the recipient within the later of 15 calendar days after the
conclusion of the informal conference or after the recipient of written
materials in opposition to the proposed determination (when no informal
conference is requested). Except for decisions to withdraw the
preliminary determination, the draft final decision shall include a
summary of the issues raised in the informal conference and presented in
any written materials. The draft final decision need not engage in a
detailed analysis of all issues raised.
(g) If the recipient does not request further process, as provided
for in this part, then, after the relevant time limits have expired, the
Corporation shall notify the recipient that no further appeal or review
will be available under this part and may proceed to issue the final
decision.

Sec. 1606.8 Hearing for a termination or debarment.

(a) For terminations or debarments only, the recipient may make a
written request for a hearing within the later of: 30 calendar days of
its receipt of the preliminary determination, or 15 calendar days of
receipt of the draft final decision issued under Sec. 1606.7 of this
part, as the case may be.
(b) Within 10 business days after receipt of a request for a
hearing, the Corporation shall notify the recipient in writing of the
date, time, and place of the hearing and the names of the hearing
officer and of the attorney who will represent the Corporation. The
time, date, and location of the hearing may be changed upon agreement of
the Corporation and the recipient.
(c) A hearing officer shall be appointed by the President or
designee and may be an employee of the Corporation. The hearing officer
shall not have been involved in the current termination or debarment
action, and the President or designee shall determine that the person is
qualified to preside over the hearing as an impartial decision maker. An
impartial decision maker is a person who has not formed a prejudgment on
the case and does not have a pecuniary interest or personal bias in the
outcome of the proceeding.
(d) The hearing shall be scheduled to commence at the earliest
appropriate date, ordinarily not later than 30 calendar days after the
Corporation receives the notice required by paragraph (b) of this
section.
(e) The hearing officer shall preside over and conduct a full and
fair hearing, avoid delay, maintain order, and insure that a record
sufficient for full disclosure of the facts and issues is maintained.
(f) The hearing shall be open to the public unless, for good cause
and the interests of justice, the hearing officer determines otherwise.
(g) The Corporation and the recipient shall be entitled to be
represented by counsel or by another person.
(h) At the hearing, the Corporation and the recipient each may
present its case by oral or documentary evidence, conduct examination
and cross-examination of witnesses, examine any documents submitted, and
submit rebuttal evidence.
(i) The hearing officer shall not be bound by the technical rules of
evidence and may make any procedural or evidentiary ruling that may help
to insure full disclosure of the facts, to maintain order, or to avoid
delay. Irrelevant, immaterial, repetitious or unduly prejudicial matter
may be excluded.
(j) Official notice may be taken of published policies, rules,
regulations, guidelines, and instructions of the Corporation, of any
matter of which judicial notice may be taken in a Federal court, or of
any other matter whose existence, authenticity, or accuracy is not open
to serious question.
(k) A stenographic or electronic record shall be made in a manner
determined by the hearing officer, and a copy shall be made available to
the recipient at no cost.
(l) The Corporation shall have the initial burden to show grounds
for a termination or debarment. The burden of persuasion shall then
shift to the recipient to show by a preponderance of evidence on the
record that its funds should not be terminated or that it should not be
debarred.

Sec. 1606.9 Recommended decision for a termination or debarment.

(a) For termination or debarment hearings under Sec. 1606.8 of this
part,

[[Page 462]]

within 20 calendar days after the conclusion of the hearing, the hearing
officer shall issue a written recommended decision to the recipient and
the Corporation, which may:
(1) Terminate financial assistance to the recipient commencing as of
a specific date;
(2) Impose a limited reduction of funding commencing as of a
specific date;
(3) Continue the recipient's current level of financial assistance
under the grant or contract, subject to any modification or condition
that may be deemed necessary on the basis of information adduced at the
hearing; or
(4) Debar the recipient from receiving an additional award of
financial assistance from the Corporation.
(b) The recommended decision shall contain findings of the
significant and relevant facts and shall state the reasons for the
decision. Findings of fact shall be based solely on the record of, and
the evidence adduced at the hearing or on matters of which official
notice was taken.

Sec. 1606.10 Final decision for a termination, debarment, or
limited reduction of funding.

(a) If neither the Corporation nor the recipient requests review by
the President of a draft final decision pursuant to Sec. 1606.7 of this
part or a recommended decision pursuant to Sec. 1606.9, as provided for
in this part, within 10 business days after receipt by the recipient,
then the Corporation shall issue to the recipient a final decision
containing either the draft final decision or the recommended decision,
as the case may be. No further appeal or review will be available under
this part.
(b) The recipient or the Corporation may seek review by the
President of a draft final decision or a recommended decision. A request
shall be made in writing within 10 business days after receipt of the
draft final decision or recommended decision by the party seeking review
and shall state in detail the reasons for seeking review.
(c) The President's review shall be based solely on the
administrative record of the proceedings, including the appeal to the
President, and any additional submissions, either oral or in writing,
that the President may request. A recipient shall be given a copy of,
and an opportunity to respond to, any additional submissions made to the
President. All submissions and responses made to the President shall
become part of the administrative record. Upon request, the Corporation
shall provide a copy of the administrative record to the recipient.
(d) For an appeal of a draft final decision involving a limited
reduction of funding pursuant to Sec. 1606.7 of this part (for which
there is no right to a hearing under Sec. 1606.8 of this part) the
President may not review the appeal if the President has had prior
involvement in the proceedings under this part. If the President cannot
review the appeal, or the President chooses not to do so, then the
appeal shall be reviewed by either the individual designated to do so
pursuant to Sec. 1606.5(b) of this part, or by another senior
Corporation employee designated by the President who has not had prior
involvement in the proceedings under this part.
(e) As soon as practicable after receipt of the request for review
of a draft final decision or a recommended decision, but not later than
30 calendar days thereafter, the President or designee shall adopt,
modify, or reverse the draft final decision or the recommended decision,
or direct further consideration of the matter. In the event of
modification or reversal of a recommended decision pursuant to Sec.
1606.9 of this part, this decision shall conform to the requirements of
Sec. 1606.9(b) of this part.
(f) The decision of the President or designee under this section
shall become final upon receipt by the recipient.

Sec. 1606.11 Qualifications on hearing procedures.

(a) Except as modified by paragraph (c) of this section, the hearing
rights set out in Sec. Sec. 1606.6 through 1606.10 of this part shall
apply to any action to debar a recipient or to terminate a recipient's
funding.
(b) The Corporation may simultaneously take action to debar and
terminate a recipient within the same

[[Page 463]]

hearing procedure that is set out in Sec. Sec. 1606.6 through 1606.10
of this part. In such a case, the same hearing officer shall oversee
both the termination and debarment actions in the same hearing.
(c) If the Corporation does not simultaneously take action to debar
and terminate a recipient under paragraph (b) of this section and
initiates a debarment action based on a prior termination under Sec.
1606.4(b)(1) or (2), the hearing procedures set out in Sec. 1606.6
through 1606.10 of this part shall not apply. Instead:
(1) The President shall appoint a hearing officer, as described in
Sec. 1606.8(c), to review the matter and make a written recommended
decision on debarment.
(2) The hearing officer's recommended decision shall be based solely
on the information in the administrative record of the termination
proceedings providing grounds for the debarment and any additional
submissions, either oral or in writing, that the hearing officer may
request. The recipient shall be given a copy of and an opportunity to
respond to any additional submissions made to the hearing officer. All
submissions and responses made to the hearing officer shall become part
of the administrative record.
(3) If neither party appeals the hearing officer's recommended
decision within 10 business days of receipt of the recommended decision,
the decision shall become final and the final decision shall be issued
by the Corporation to the recipient within 5 business days.
(4) Either party may appeal the recommended decision to the
President who shall review the matter and issue a final written decision
pursuant to Sec. 1606.9(b).
(d) All final debarment decisions shall state the effective date of
the debarment and the period of debarment, which shall be commensurate
with the seriousness of the cause for debarment but shall not be for
longer than 6 years.
(e) The Corporation may reverse a debarment decision upon request
for the following reasons:
(1) Newly discovered material evidence;
(2) Reversal of the conviction or civil judgment upon which the
debarment was based;
(3) Bona fide change in ownership or management of a recipient;
(4) Elimination of other causes for which the debarment was imposed;
or
(5) Other reasons the Corporation deems appropriate.

Sec. 1606.12 Time and waiver.

(a) Except for the 6-year time limit for debarments in Sec.
1606.11(d) of this part, any period of time provided in these rules may,
upon good cause shown and determined, be extended in writing:
(1) By the Corporation, unless a hearing officer has been appointed;
(2) By the hearing officer, until the recommended decision has been
issued; or
(3) By the President at any time.
(b) Failure by the Corporation to meet a time requirement of this
part does not preclude the Corporation from terminating a recipient's
grant or contract with the Corporation or imposing a limited reduction
of funding.

Sec. 1606.13 Interim and other funding, reprogramming, implementation.

(a) Pending the completion of termination or limited reduction of
funding proceedings under this part, the Corporation shall provide the
recipient with the level of financial assistance provided for under its
current grant or contract for financial assistance with the Corporation.
(b) After a final decision has been made to terminate a recipient's
grant or contract or to impose a limited reduction of funding, the
recipient loses all rights to the terminated or reduced funds.
(c) After a final decision has been made to terminate a recipient's
grant or contract, the Corporation may authorize closeout or transition
funding, or both, if necessary to enable the recipient to close or
transfer current matters in a manner consistent with the recipient's
professional responsibilities to its present clients.
(d) The Corporation has sole discretion to determine the manner in
which the final decision is implemented. The Corporation's discretion
includes, but

[[Page 464]]

is not limited to the decision to pro-rate the amount of funds reduced
over the remaining disbursements in the funding term or deduct the sum
in a single disbursement, or any other method the Corporation deems
appropriate.
(e) Funds recovered by the Corporation pursuant to a termination or
limited reduction of funding shall be reallocated by the Corporation for
basic field purposes at its sole discretion.

Sec. 1606.14 Recompetition.

After a final decision has been issued by the Corporation
terminating financial assistance to a recipient in whole for any service
area, the Corporation shall implement a new competitive bidding process
for the affected service area. Until a new recipient has been awarded a
grant pursuant to such process, the Corporation shall take all practical
steps to ensure the continued provision of legal assistance in the
service area pursuant to Sec. 1634.11 of this part.

PART 1607_GOVERNING BODIES--Table of Contents

Sec.
1607.1 Purpose.
1607.2 Definitions.
1607.3 Composition.
1607.4 Functions of a governing body.
1607.5 Compensation.
1607.6 Waiver.

Authority: 42 U.S.C. 2996g(e).

Source: 59 FR 65254, Dec. 19, 1994, unless otherwise noted.

Sec. 1607.1 Purpose.

This part is designed to insure that the governing body of a
recipient will be well qualified to guide a recipient in its efforts to
provide high-quality legal assistance to those who otherwise would be
unable to obtain adequate legal counsel and to insure that the recipient
is accountable to its clients.

Sec. 1607.2 Definitions.

As used in this part,
(a) Attorney member means a board member who is an attorney admitted
to practice in a State within the recipient's service area.
(b) Board member means a member of a recipient's governing body or
policy body.
(c) Eligible client member means a board member who is financially
eligible to receive legal assistance under the Act and part 1611 of this
chapter, without regard to whether the person actually has received or
is receiving legal assistance at that time. Eligibility of client
members must be determined by the recipient or, if the recipient so
chooses, by the nominating organization(s) or group(s) in accordance
with written policies adopted by the recipient.
(d) Governing body means the board of directors or other body with
authority to govern the activities of a recipient receiving funds under
Sec. 1006(a)(1)(A) of the Act.
(e) Policy body means a policy board or other body established by a
recipient to formulate and enforce policy with respect to the services
provided under a grant or contract made under the Act.
(f) Recipient means any grantee or contractor receiving financial
assistance from the Corporation under Sec. 1006(a)(1)(A) of the Act.

[59 FR 65254, Dec. 19, 1994, as amended at 84 FR 1407, Feb. 4, 2019]

Sec. 1607.3 Composition.

(a) A recipient shall be incorporated in a State in which it
provides legal assistance and shall have a governing body which
reasonably reflects the interests of the eligible clients in the area
served and which consists of members, each of whom is supportive of the
purposes of the Act and has an interest in, and knowledge of, the
delivery of quality legal services to the poor.
(b) At least sixty percent (60%) of a governing body shall be
attorney members.
(1) A majority of the members of the governing body shall be
attorney members appointed by the governing body(ies) of one or more
State, county or municipal bar associations, the membership of which
represents a majority of attorneys practicing law in the localities in
which the recipient provides legal assistance.
(i) Appointments may be made either by the bar association which
represents

[[Page 465]]

a majority of attorneys in the recipient's service area or by bar
associations which collectively represent a majority of the attorneys
practicing law in the recipient's service area.
(ii) Recipients that provide legal assistance in more than one State
may provide that appointments of attorney members be made by the
appropriate bar association(s) in the State(s) or locality(ies) in which
the recipient's principal office is located or in which the recipient
provides legal assistance.
(2) Any additional attorney members may be selected by the
recipient's governing body or may be appointed by other organizations
designated by the recipient which have an interest in the delivery of
legal services to the poor.
(3) Appointments shall be made so as to insure that the attorney
members reasonably reflect the diversity of the legal community and the
population of the areas served by the recipient, including race,
ethnicity, gender and other similar factors.
(c) At least one-third of the members of a recipient's governing
body must be eligible client members when initially appointed by the
recipient. The recipient must solicit recommendations for eligible
client members from a variety of appropriate groups designated by the
recipient that may include, but are not limited to, client and
neighborhood associations and community-based organizations that
advocate for or deliver services or resources to the client community
served by the recipient. Recipients should solicit recommendations from
groups in a manner that reflects, to the extent possible, the variety of
interests within the client community, and eligible client members
should be selected so that they reasonably reflect the diversity of the
eligible client population served by the recipient, including race,
gender, ethnicity and other similar factors.
(d) The remaining members of a governing body may be appointed by
the recipient's governing body or selected in a manner described in the
recipient's bylaws or policies, and the appointment or selection shall
be made so that the governing body as a whole reasonably reflects the
diversity of the areas served by the recipient, including race,
ethnicity, gender and other similar factors.
(e) The nonattorney members of a governing body shall not be
dominated by persons serving as the representatives of a single
association, group or organization, except that eligible client members
may be selected from client organizations that are composed of
coalitions of numerous smaller or regionally based client groups.
(f) Members of a governing body may be selected by appointment,
election, or other means consistent with this part and with the
recipient's bylaws and applicable State law.
(g) Recipients shall make reasonable and good faith efforts to
insure that governing body vacancies are filled as promptly as possible.
(h) Recipients may recommend candidates for governing body
membership to the appropriate bar associations and other appointing
groups and should consult with the appointing organizations to insure
that:
(1) Appointees meet the criteria for board membership set out in
this part, including financial eligibility for persons appointed as
eligible clients, bar admittance requirements for attorney board
members, and the general requirements that all members be supportive of
the purposes of the Act and have an interest in and knowledge of the
delivery of legal services to the poor;
(2) The particular categories of board membership and the board as a
whole meet the diversity requirements described in Sec. Sec.
1607.3(b)(3), 1607.3(c) and 1607.3(d);
(3) Appointees do not have actual and significant individual or
institutional conflicts of interest with the recipient or the
recipient's client community that could reasonably be expected to
influence their ability to exercise independent judgment as members of
the recipient's governing body.

[59 FR 65254, Dec. 19, 1994, as amended at 84 FR 1407, Feb. 4, 2019]

Effective Date Note: At 89 FR 65551, Aug. 12, 2024, Sec. 1607.3 was
amended by revising paragraphs (b) through (e), effective Jan. 1, 2025.
For the convenience of the user, the revised text is set forth as
follows:

[[Page 466]]

Sec. 1607.3 Composition.

* * * * *

(b) A recipient's governing body must be composed of:
(1) At least 33% attorneys;
(i) Attorney members may be selected by the recipient's governing
body or may be selected by other organizations designated by the
recipient which have an interest in the delivery of legal services to
low-income populations.
(ii) Selections shall be made to ensure that the attorney members
reasonably reflect the diversity of the legal community and the
population of the areas served by the recipient, including race,
ethnicity, gender, and other similar factors.
(2) At least one-third eligible client members who are eligible
client members when initially selected by the recipient.
(i) Recipients must solicit recommendations for eligible client
members from a variety of appropriate groups designated by the recipient
that may include, but are not limited to, client and neighborhood
associations and community-based organizations that advocate for or
deliver services or resources to the client community served by the
recipient.
(ii) Recipients should solicit recommendations from groups in a
manner that reflects, to the extent possible, the variety of interests
within the client community, and eligible client members should be
selected so that they reasonably reflect the diversity of the eligible
client population served by the recipient, including race, gender,
ethnicity, and other similar factors.
(3) Other members selected by the recipients' governing body or in
another manner described in the recipient's bylaws or policies.
(i) Recipients must appoint or select members so that the governing
body as a whole reasonably reflects the diversity of the areas served by
the recipient, including race, ethnicity, gender, and other similar
factors.
(ii) Recipients should consider recruiting and selecting members
possessing fiscal or nonprofit governance expertise or other skills
necessary to effectively govern the recipient's operations.
(iii) Members of a governing body shall not be dominated by persons
serving as the representatives of a single association, group or
organization, except that eligible client members may be selected from
client organizations that are composed of coalitions of numerous smaller
or regionally based client groups.
(c) Members of a governing body may be selected by appointment,
election, or other means consistent with this part and with the
recipient's bylaws and applicable State law.
(d) Recipients shall make reasonable and good faith efforts to
ensure that governing body vacancies are filled as promptly as possible.
(e) Recipient staff may recommend candidates for governing body
membership to its governing body and other appointing groups and should
consult with the appointing organizations to ensure that:
(1) Appointees meet the criteria for board membership set out in
this part, including financial eligibility for persons appointed as
eligible clients, bar admittance requirements for attorney board
members, and the general requirements that all members be supportive of
the purposes of the Act and have an interest in and knowledge of the
delivery of legal services to low-income populations;
(2) The particular categories of board membership and the board as a
whole meet the diversity requirement described in paragraphs (b)(1)(ii),
(b)(2)(ii), and (b)(3)(ii) of this section;
(3) Appointees do not have actual and significant individual or
institutional conflicts of interest with the recipient or the
recipient's client community that could reasonably be expected to
influence their ability to exercise independent judgement as members of
the recipient's governing body.

* * * * *

Sec. 1607.4 Functions of a governing body.

(a) A governing body shall have at least four meetings a year. A
recipient shall give timely and reasonable prior public notice of all
meetings, and all meetings shall be public except for those concerned
with matters properly discussed in executive session in accordance with
written policies adopted by the recipient's governing body.
(b) In addition to other powers and responsibilities that may be
provided for by State law, a governing body shall establish and enforce
broad policies governing the operation of a recipient, but neither the
governing body nor any member thereof shall interfere with any
attorney's professional responsibilities to a client or obligations as a
member of the profession or interfere with the conduct of any ongoing
representation.
(c) A governing body shall adopt bylaws which are consistent with
State law and the requirements of this part. Recipients shall submit a
copy of such bylaws to the Corporation and shall give the Corporation
notice of any

[[Page 467]]

changes in such bylaws within a reasonable time after the change is
made.

Sec. 1607.5 Compensation.

(a) While serving on the governing body of a recipient, no attorney
member shall receive compensation from that recipient, but any member
may receive a reasonable per diem expense payment or reimbursement for
actual expenses for normal travel and other reasonable out-of-pocket
expenses in accordance with written policies adopted by the recipient.
(b) Pursuant to a waiver granted under Sec. 1607.6(b)(1), a
recipient may adopt policies that would permit partners or associates of
attorney members to participate in any compensated private attorney
involvement activities supported by the recipient.
(c) A recipient may adopt policies that permit attorney members,
subject to terms and conditions applicable to other attorneys in the
service area:
(1) To accept referrals of fee-generating cases under part 1609 of
these regulations;
(2) To participate in any uncompensated private attorney involvement
activities supported by the recipient;
(3) To seek and accept attorneys' fees awarded by a court or
administrative body or included in a settlement in cases undertaken
pursuant to Sec. Sec. 1607.5 (c)(1) and (2); and
(4) To receive reimbursement from the recipient for out-of-pocket
expenses incurred by the attorney member as part of the activities
undertaken pursuant to Sec. 1607.5(c)(2).

[59 FR 65254, Dec. 19, 1994, as amended at 60 FR 2330, Jan. 9, 1995]

Sec. 1607.6 Waiver.

(a) Upon application, the president shall waive the requirements of
this part to permit a recipient that was funded under Sec. 222(a)(3) of
the Economic Opportunity Act of 1964 and, on July 25, 1974, had a
majority of persons who were not attorneys on its governing body, to
continue such nonattorney majority.
(b) Upon application, the president may waive any of the
requirements of this part which are not mandated by applicable law if a
recipient demonstrates that it cannot comply with them because of: (1)
The nature of the population, legal community or area served; or (2)
Special circumstances, including but not limited to, conflicting
requirements of the recipient's other major funding source(s) or State
law.
(c) A recipient seeking a waiver under Sec. 1607.6(b)(1) shall
demonstrate that it has made diligent efforts to comply with the
requirements of this part.
(d) As a condition of granting a waiver under Sec. 1607.6(b)(2) of
any of the requirements imposed upon governing bodies by Sec. 1607.3,
the president shall require that a recipient have a policy body with a
membership composed and appointed in the manner prescribed by Sec.
1607.3. Such policy body shall be subject to the meeting requirements of
Sec. 1607.4(a) and its attorney members shall be subject to the
restrictions on compensation contained in Sec. 1607.5. The policy body
shall have such specific powers and responsibilities as the President
determines are necessary to enable it to formulate and enforce policy
with respect to the services provided under the recipient's LSC grant or
contract.

PART 1608_PROHIBITED POLITICAL ACTIVITIES--Table of Contents

Sec.
1608.1 Purpose.
1608.2 Definition.
1608.3 Prohibitions applicable to the Corporation and to recipients.
1608.4 Prohibitions applicable to all employees.
1608.5 Prohibitions applicable to Corporation employees and staff
attorneys.
1608.6 Prohibitions applicable to attorneys and to staff attorneys.
1608.7 Attorney-client relationship.
1608.8 Enforcement.

Authority: Secs. 1001(5), 1005(b)(2), 1006(b)(3), 1006(b)(5)(B),
1006(d)(3), 1006 (d)(4), 1006(e)(1), 1006(e)(2), 1007(a)(6), 1007(b)(2);
42 U.S.C. 2996(5), 2996d(b)(2), 2996e(b)(3), 2996e(b)(5)(B),
2996e(d)(3), 2996e(d)(4), 2996e(e)(1), 2996e(e)(2), 2996f(a)(6),
2996(b)(2).

Source: 43 FR 32773, July 28, 1978, unless otherwise noted.

Sec. 1608.1 Purpose.

This part is designed to insure that the Corporation's resources
will be

[[Page 468]]

used to provide high quality legal assistance and not to support or
promote political activities or interests. The part should be construed
and applied so as to further this purpose without infringing upon the
constitutional rights of employees or the professional responsibilities
of attorneys to their clients.

Sec. 1608.2 Definition.

Legal assistance activities, as used in this part, means any
activity.
(a) Carried out during an employee's working hours;
(b) Using resources provided by the Corporation or by a recipient;
or
(c) That, in fact, provides legal advice, or representation to an
eligible client.

Sec. 1608.3 Prohibitions applicable to the Corporation and to recipients.

(a) Neither the Corporation nor any recipient shall use any
political test or qualification in making any decision, taking any
action, or performing any function under the act.
(b) Neither the Corporation nor any recipient shall contribute or
make available Corporation funds, or any personnel or equipment
(1) To any political party or association;
(2) To the campaign of any candidate for public or party office; or
(3) For use in advocating or opposing any ballot measure,
initiative, or referendum.

Sec. 1608.4 Prohibitions applicable to all employees.

(a) No employee shall intentionally identify the Corporation or a
recipient with any partisian or nonpartisan political activity, or with
the campaign of any candidate for public or party office.
(b) No employee shall use any Corporation funds for activities
prohibited to attorneys under Sec. 1608.6; nor shall an employee
intentionally identify or encourage others to identify the Corporation
or a recipient with such activities.

Sec. 1608.5 Prohibitions applicable to Corporation employees
and to staff attorneys.

While employed under the act, no Corporation employee and no staff
attorney shall, at any time,
(a) Use official authority or influence for the purpose of
interfering with or affecting the result of an election or nomination
for office, whether partisan of nonpartisan;
(b) Directly or indirectly coerce, attempt to coerce, command or
advise an employee of the Corporation or of any recipient to pay, lend,
or contribute anything of value to a political party, or committee,
organization, agency or person for political purposes; or
(c) Be a candidate for partisan elective public office.

Sec. 1608.6 Prohibitions applicable to attorneys and
to staff attorneys.

While engaged in legal assistance activities supported under the
act, no attorney shall engage in
(a) Any political activity,
(b) Any activity to provide voters with transportation to the polls,
or to provide similar assistance in connection with an election, or
(c) Any voter registration activity.

Sec. 1608.7 Attorney-client relationship.

Nothing in this part is intended to prohibit an attorney or staff
attorney from providing any form of legal assistance to an eligible
client, or to interfere with the fulfillment of any attorney's
professional responsibilities to a client.

Sec. 1608.8 Enforcement.

This part shall be enforced according to the procedures set forth in
Sec. 1612.5.

PART 1609_FEE-GENERATING CASES--Table of Contents

Sec.
1609.1 Purpose.
1609.2 Definitions.
1609.3 Authorized representation in a fee-generating case.
1609.4 Requesting and receiving attorneys' fees.
1609.5 Receiving reimbursement from a client.
1609.6 Recipient policies, procedures and recordkeeping.

[[Page 469]]

Authority: 42 U.S.C. 2996g(e).

Source: 62 FR 19399, Apr. 21, 1997, unless otherwise noted.

Sec. 1609.1 Purpose.

This part is designed:
(a) To ensure that recipients do not use scarce legal services
resources when private attorneys are available to provide effective
representation and
(b) To assist eligible clients to obtain appropriate and effective
legal assistance.

Sec. 1609.2 Definitions.

(a) Fee-generating case means any case or matter which, if
undertaken on behalf of an eligible client by an attorney in private
practice, reasonably may be expected to result in a fee for legal
services from an award to a client.
(b) Fee-generating case does not include a case where:
(1) A court appoints a recipient or an employee of a recipient to
provide representation in a case pursuant to a statute or a court rule
or practice equally applicable to all attorneys in the jurisdiction;
(2) A recipient undertakes representation under a contract with a
government agency or other entity; or
(3) A recipient provides only advice and counsel or limited
services, as those terms are defined in 45 CFR 1611.1(a) and (e), to an
eligible client.

[62 FR 19399, Apr. 21, 1997, as amended at 82 FR 20446, May 2, 2017]

Sec. 1609.3 Authorized representation in a fee-generating case.

(a) Except as provided in paragraph (b) of this section, a recipient
may not use Corporation funds to provide legal assistance in a fee-
generating case unless:
(1) The case has been rejected by the local lawyer referral service,
or by two private attorneys; or
(2) Neither the referral service nor two private attorneys will
consider the case without payment of a consultation fee.
(b) A recipient may provide legal assistance in a fee-generating
case without first attempting to refer the case pursuant to paragraph
(a) of this section only when:
(1) An eligible client is seeking benefits under Subchapter II of
the Social Security Act, 42 U.S.C. 401 et seq., as amended, Federal Old
Age, Survivors, and Disability Insurance Benefits; or Subchapter XVI of
the Social Security Act, 42 U.S.C. 1381 et seq., as amended,
Supplemental Security Income for Aged, Blind, and Disabled;
(2) The recipient, after consultation with appropriate
representatives of the private bar, has determined that the type of case
is one that private attorneys in the area served by the recipient
ordinarily do not accept, or do not accept without prepayment of a fee;
or
(3) The director of the recipient, or the director's designee, has
determined that referral of the case to the private bar is not possible
because:
(i) Documented attempts to refer similar cases in the past generally
have been futile;
(ii) Emergency circumstances compel immediate action before referral
can be made, but the client is advised that, if appropriate, and
consistent with professional responsibility, referral will be attempted
at a later time; or
(iii) Recovery of damages is not the principal object of the
recipient's client's case and substantial statutory attorneys' fees are
not likely to be available.

[62 FR 19399, Apr. 21, 1997, as amended at 75 FR 6818, Feb. 11, 2010; 76
FR 23504, Apr. 27, 2011; 82 FR 20447, May 2, 2017]

Sec. 1609.4 Requesting and receiving attorneys' fees.

(a) Any petition seeking attorneys' fees for representation
supported in whole or in part with funds provided by LSC, shall, to the
extent permitted by law and rules in the jurisdiction, be filed in the
name of the recipient.
(b) Attorneys' fees received by a recipient or an employee of a
recipient for representation supported in whole or in part with funds
provided by LSC shall be allocated to the fund in which the recipient's
LSC grant is recorded in the same proportion that the amount of LSC
funds expended bears to the total amount expended by the recipient to
support the representation.
(c) Attorneys' fees received shall be recorded during the accounting
period in which the money from the fee award

[[Page 470]]

is actually received by the recipient and may be expended for any
purpose permitted by the LSC Act, regulations, and other law applicable
at the time the money is received.

[82 FR 20447, May 2, 2017]

Sec. 1609.5 Receiving reimbursement from a client.

(a) When a case results in recovery of damages or statutory
benefits, a recipient may accept reimbursement from the client for out-
of-pocket costs and expenses incurred in connection with the case, if
the client has agreed in writing to reimburse the recipient for such
costs and expenses out of any such recovery.
(b) A recipient may require a client to pay court costs when the
client does not qualify to proceed in forma pauperis under the rules of
the jurisdiction.

[75 FR 6818, Feb. 11, 2010, as amended at 82 FR 20447, May 2, 2017]

Sec. 1609.6 Recipient policies, procedures and recordkeeping.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part and shall maintain records
sufficient to document the recipient's compliance with this part.

[62 FR 19399, Apr. 21, 1997. Redesignated at 75 FR 6818, Feb. 11, 2010]

PART 1610_USE OF NON-LSC FUNDS; PROGRAM INTEGRITY--Table of Contents

Subpart A_General Provisions

Sec.
1610.1 Purpose.
1610.2 Definitions.
1610.3 Other requirements on recipients' funds.

Subpart B_Use of Non-LSC Funds

1610.4 Prohibitions on the use of non-LSC funds.
1610.5 Grants, subgrants, donations, and gifts made by recipients.
1610.6 Exceptions for public defender programs and criminal or related
cases.
1610.7 Notification to non-LSC funders and donors.

Subpart C_Program Integrity

1610.8 Program integrity of recipient.

Subpart D_Accounting and Compliance

1610.9 Accounting.
1610.10 Compliance.

Authority: 42 U.S.C. 2996g(e).

Source: 85 FR 63214, Oct. 7, 2020, unless otherwise noted.

Subpart A_General Provisions

Sec. 1610.1 Purpose.

This part is designed to implement restrictions and requirements on
the use of non-LSC funds by LSC recipients and to set requirements for
each LSC recipient to maintain program integrity with respect to any
organization that engages in LSC-restricted activities.

Sec. 1610.2 Definitions.

(a) Use of funds means the expenditure of funds by an LSC recipient.
(1) Authorized use of funds means any use of funds within the
purpose for which the funds were provided. The following non-exhaustive
list provides examples of some of the types of purposes that a grantor,
donor, or other might identify.
(i) A grant stating that the funds provided are available to support
legal services for victims of domestic violence regardless of income or
financial resources are authorized for those purposes;
(ii) A grant stating that the funds provided are available to
support any civil legal services to people with household incomes below
200% of the Federal Poverty Guidelines are authorized for those
purposes;
(iii) A private donation stating that the funds are for eviction
work are authorized for that purpose; or
(iv) A private donation without any instructions from the donor or
grantor regarding the use of the funds are available for any purposes.
(2) Unauthorized use of funds means any use of funds that is not an
authorized use as defined above.
(b) Derived from means the recipient obtained the funds either
directly from the source or as the result of a series of grants and
subgrants (or similar arrangements) originating from the source. For
example, a state provides public funds to a private, non-LSC-

[[Page 471]]

funded statewide legal aid entity. The statewide legal aid entity
subgrants some of those public funds to an LSC recipient to provide
services in six counties. The subgranted funds remain public funds under
this rule because they are derived from public funds.
(c) Non-LSC funds means funds derived from any source other than
LSC.
(1) Private funds means funds that are derived from any source other
than LSC or the other categories of non-LSC funds in this section.
Examples of private funds are donations from individuals or grants that
do not qualify as public funds or tribal funds in this section.
(2) Public funds means funds that are:
(i) Derived from a Federal, State, or local government or
instrumentality of a government; or
(ii) Derived from Interest on Lawyers' Trust Account (IOLTA or IOLA)
programs established by State court rules or legislation that collect
and distribute interest on lawyers' trust accounts.
(3) Tribal funds means funds that are derived from an Indian tribe
or from a private nonprofit foundation or organization for the benefit
of Indians or Indian tribes.
(d) Restrictions means the prohibitions or limitations on the use of
LSC funds by a recipient and on the use of non-LSC funds as described in
this part. LSC has four categories of restrictions: Extended, standard,
limited, and other. The restrictions appear in 45 CFR parts 1600 through
1644, in the LSC Act at 42 U.S.C. 2996-2996l and in the sections of
LSC's annual appropriation (Appropriations Restrictions) that
incorporate the restrictions enacted in section 504 of Title V in Public
Law 104-134, 122 Stat. 1321-50 (1996), as incorporated through Public
Law 105-119, tit. V, Sec. 502(a)(2), 111 Stat. 2440, 2510 (1998) and
subject to modifications in other statutes.
(1) Extended restrictions are the restrictions on:
(i) Abortion litigation (other abortion activities are subject to a
standard restriction)--Section 504(a)(14) of the Appropriations
Restrictions;
(ii) Aliens (representation of non-U.S. citizens)--45 CFR part 1626;
(iii) Class actions--45 CFR part 1617;
(iv) Evictions from public housing involving illegal drug
activities--45 CFR part 1633;
(v) Lobbying in general--45 CFR1612.3, subject to the limitations
and exceptions in 45 CFR 1612.5 (activities that are not lobbying) and
45 CFR 1612.6 (exceptions for non-LSC funds that are a limited
restriction);
(vi) Prisoner litigation--45 CFR part 1637;
(vii) Redistricting or census--45 CFR part 1632;
(viii) Solicitation of clients--45 CFR part 1638;
(ix) Training on prohibited topics--45 CFR 1612.8; and
(x) Welfare reform--45 CFR part 1639.
(2) Standard restrictions are the restrictions on:
(i) Abortion activities (other than abortion litigation subject to
an extended restriction)--42 U.S.C. 2996f(b)(8);
(ii) Criminal proceedings--45 CFR part 1613;
(iii) Draft registration violations (violations of Military
Selective Service Act) or military desertion--42 U.S.C. 2996f(b)(10);
(iv) Desegregation of schools--42 U.S.C. 2996f(b)(9);
(v) Fee-generating cases--45 CFR part 1609;
(vi) Habeas corpus (collaterally attacking criminal convictions)--45
CFR part 1615;
(vii) Organizing--45 CFR 1612.9;
(viii) Persistent incitement of litigation and other activities
prohibited by rules of professional responsibility for attorneys--
Section 42 U.S.C. 2996f(a)(10); and
(ix) Political activities--the provisions of 45 CFR part 1608 that
are stated as restrictions on the use of LSC funds (e.g., the clause of
Sec. 1608.4(b) regarding ``the use of any Corporation funds'') but not
the other provisions of part 1608, which are included in the category
for other restrictions (e.g., Sec. 1608.3(a) prohibiting the use of
``any political test or qualification''). ).
(3) Limited restrictions are the restrictions on:
(i) Lobbying permitted with non-LSC funds (upon government request,
in public rulemaking, or regarding state

[[Page 472]]

or local funding of the recipient)--45 CFR 1612.6;
(ii) Assisted suicide, euthanasia, and mercy killing--45 CFR part
1643; and
(iii) Use of appropriated LSC funds to file or pursue a lawsuit
against LSC--Section 506 of the Appropriations Restrictions.
(4) Other restrictions are the restrictions on:
(i) Demonstrations, picketing, boycotts, or strikes--45 CFR
1612.7(a).
(ii) Political activities--the provisions of 45 CFR part 1608 other
than those stated as restrictions on the use of LSC funds (which are
standard restrictions) (e.g., Sec. 1608.3(a) prohibiting the use of
``any political test or qualification'' is an other restriction).
(iii) Rioting, civil disturbances, or violations of injunctions--45
CFR 1612.7(b).
(e) Restricted activity means an activity prohibited or limited by
the restrictions.
(f) Program integrity means that a recipient is maintaining
objective integrity and independence from any organization that engages
in restricted activities, as required by subpart C of this part.

Sec. 1610.3 Other requirements on recipients' funds.

The following requirements apply to non-LSC funds as provided in the
referenced regulations. This part neither expands nor limits those
requirements.
(a) Client identity and statement of facts--45 CFR part 1636.
(b) Disclosure of case information--45 CFR part 1644.
(c) Priorities for the provision of services--45 CFR part 1620.
(d) Timekeeping--45 CFR part 1635.

Subpart B_Use of Non-LSC Funds

Sec. 1610.4 Prohibitions on the use of non-LSC funds.

(a) Non-LSC funds. Non-LSC funds may not be used by recipients for
restricted activities as described in this section, subject to the
exceptions in Sec. Sec. 1610.5 and 1610.6 of this part.
(b) Extended restrictions. The extended restrictions apply to the
following uses of non-LSC funds:
(1) Private funds--any use of private funds;
(2) Public funds--any use of public funds; and
(3) Tribal funds--any unauthorized use of tribal funds.
(c) Standard restrictions. The standard restrictions apply to the
following uses of non-LSC funds:
(1) Private funds--any use of private funds;
(2) Public funds--any unauthorized use of public funds; and
(3) Tribal funds--any unauthorized use of tribal funds.
(d) Limited restrictions. The limited restrictions do not apply to
the use of non-LSC funds.
(e) Other restrictions. The other restrictions apply to non-LSC
funds as provided in the referenced regulations. This part neither
expands nor limits those requirements.
(f) Inapplicability to part 1611--financial eligibility. This part
does not expand, limit, or otherwise apply to the financial eligibility
rules of 45 CFR part 1611.

Sec. 1610.5 Grants, subgrants, donations, and gifts made by recipients.

(a) Subgrants in which a recipient provides LSC funds or LSC-funded
resources as some or all of a subgrant to a subrecipient are governed by
45 CFR part 1627. That rule states how the restrictions apply to the
subgrant and to the non-LSC funds of the subrecipient, which can vary
with different types of subgrants.
(b) Donations and gifts using LSC funds are prohibited by 45 CFR
part 1630.
(c) Use of non-LSC funds. Grants, subgrants, donations, or gifts
provided by a recipient and funded entirely with non-LSC funds are not
subject to this part.

Sec. 1610.6 Exceptions for public defender programs and
criminal or related cases.

The following restrictions do not apply to: (1) A recipient's or
subrecipient's separately funded public defender program or project; or
(2) Criminal or related cases accepted by a recipient or subrecipient
pursuant to a court appointment.

[[Page 473]]

(a) Criminal proceedings--45 CFR part 1613;
(b) Actions challenging criminal convictions--45 CFR part 1615;
(c) Aliens--45 CFR part 1626;
(d) Prisoner litigation--45 CFR part 1637;

Sec. 1610.7 Notification to non-LSC funders and donors.

(a) No recipient may accept funds from any source other than LSC
unless the recipient provides the source of the funds with written
notification of LSC prohibitions and conditions that apply to the funds,
except as provided in paragraph (b) of this section.
(b) LSC does not require recipients to provide written notification
for receipt of any single contribution of less than $250.

Subpart C_Program Integrity

Sec. 1610.8 Program integrity of recipient.

(a) A recipient must have objective integrity and independence from
any organization that engages in restricted activities. A recipient will
be found to have objective integrity and independence from such an
organization if:
(1) The other organization is a legally separate entity;
(2) The other organization receives no subgrant of LSC funds from
the recipient, as defined in 45 CFR part 1627, and LSC funds do not
subsidize restricted activities; and
(3) The recipient is physically and financially separate from the
other organization. Mere bookkeeping separation of LSC funds from other
funds is not sufficient. LSC will determine whether sufficient physical
and financial separation exists on a case-by-case basis and will base
its determination on the totality of the facts. The presence or absence
of any one or more factors will not be determinative. Factors relevant
to this determination shall include but will not be limited to:
(i) The existence of separate personnel;
(ii) The existence of separate accounting and timekeeping records;
(iii) The degree of separation from facilities in which restricted
activities occur, and the extent of such restricted activities; and
(iv) The extent to which signs and other forms of identification
that distinguish the recipient from the organization are present.
(b) Each recipient's governing body must certify to LSC on an annual
basis that the recipient is in compliance with the requirements of this
section.

Subpart D_Accounting and Compliance

Sec. 1610.9 Accounting.

(a) Recipients shall account for funds received from a source other
than LSC as separate and distinct receipts and disbursements in a manner
directed by LSC.
(b) Recipients shall adopt written policies and procedures to
implement the requirements of this part.
(c) Recipients shall maintain records sufficient to document the
expenditure of non-LSC funds for any restricted activities as defined in
Subpart A and to otherwise demonstrate compliance with the requirements
of this part.

Sec. 1610.10 Compliance.

In addition to all other compliance and enforcement options, LSC may
recover from a recipient's LSC funds an amount not to exceed the amount
improperly charged to non-LSC funds, as provided in Sec. 1630.16 of
this chapter.

PART 1611_FINANCIAL ELIGIBILITY--Table of Contents

Sec.
1611.1 Purpose.
1611.2 Definitions.
1611.3 Financial eligibility policies.
1611.4 Financial eligibility for legal assistance.
1611.5 Authorized exceptions to the recipient's annual income ceiling.
1611.6 Representation of groups.
1611.7 Manner of determining financial eligibility.
1611.8 Changes in financial eligibility status.
1611.9 Retainer agreements.

Appendix A to Part 1611--Income Level for Individuals Eligible for
Assistance

Authority: 42 U.S.C. 2996g(e).

Source: 70 FR 45562, Aug. 8, 2005, unless otherwise noted.

[[Page 474]]

Sec. 1611.1 Purpose.

This part sets forth requirements relating to the financial
eligibility of individual applicants for legal assistance supported with
LSC funds and recipients' responsibilities in making financial
eligibility determinations. This part is not intended to and does not
create any entitlement to service for persons deemed financially
eligible. This part also seeks to ensure that financial eligibility is
determined in a manner conducive to development of an effective
attorney-client relationship. In addition, this part sets forth
standards relating to the eligibility of groups for legal assistance
supported with LSC funds. Finally, this part sets forth requirements
relating to recipients' responsibilities in executing retainer
agreements with clients.

Sec. 1611.2 Definitions.

(a) ``Advice and counsel'' means legal assistance that is limited to
the review of information relevant to the client's legal problem(s) and
counseling the client on the relevant law and/or suggested course of
action. Advice and counsel does not encompass drafting of documents or
making third-party contacts on behalf of the client.
(b) ``Applicable rules of professional responsibility'' means the
rules of ethics and professional responsibility generally applicable to
attorneys in the jurisdiction where the recipient provides legal
services.
(c) ``Applicant'' means an individual who is seeking legal
assistance supported with LSC funds from a recipient. The term does not
include a group, corporation or association.
(d) ``Assets'' means cash or other resources of the applicant or
members of the applicant's household that are readily convertible to
cash, which are currently and actually available to the applicant.
(e) ``Brief services'' means legal assistance in which the recipient
undertakes to provide a discrete and time-limited service to a client
beyond advice and consultation, including but not limited to activities,
such as the drafting of documents or making limited third party contacts
on behalf of a client.
(f) ``Extended service'' means legal assistance characterized by the
performance of multiple tasks incident to continuous representation.
Examples of extended service would include representation of a client in
litigation, an administrative adjudicative proceeding, alternative
dispute resolution proceeding, extended negotiations with a third party,
or other legal representation in which the recipient undertakes
responsibility for protecting or advancing a client's interest beyond
advice and counsel or brief services.
(g) ``Governmental program for low income individuals or families''
means any Federal, State or local program that provides benefits of any
kind to persons whose eligibility is determined on the basis of
financial need.
(h) ``Governmental program for persons with disabilities'' means any
Federal, State or local program that provides benefits of any kind to
persons whose eligibility is determined on the basis of mental and/or
physical disability.
(i) ``Income'' means actual current annual total cash receipts
before taxes of all persons who are resident members and contribute to
the support of an applicant's household, as that term is defined by the
recipient. Total cash receipts include, but are not limited to, wages
and salaries before any deduction; income from self-employment after
deductions for business or farm expenses; regular payments from
governmental programs for low income persons or persons with
disabilities; social security payments; unemployment and worker's
compensation payments; strike benefits from union funds; veterans
benefits; training stipends; alimony; child support payments; military
family allotments; public or private employee pension benefits; regular
insurance or annuity payments; income from dividends, interest, rents,
royalties or from estates and trusts; and other regular or recurring
sources of financial support that are currently and actually available
to the applicant. Total cash receipts do not include the value of food
or rent received by the applicant in lieu of wages; money withdrawn from
a bank; tax refunds; gifts; compensation and/or one-time insurance
payments for injuries sustained;

[[Page 475]]

non-cash benefits; and up to $2,000 per year of funds received by
individual Native Americans that is derived from Indian trust income or
other distributions exempt by statute.

Sec. 1611.3 Financial eligibility policies.

(a) The governing body of a recipient shall adopt policies
consistent with this part for determining the financial eligibility of
applicants and groups. The governing body shall review its financial
eligibility policies at least once every three years and make
adjustments as necessary. The recipient shall implement procedures
consistent with its policies.
(b) As part of its financial eligibility policies, every recipient
shall specify that only individuals and groups determined to be
financially eligible under the recipient's financial eligibility
policies and LSC regulations may receive legal assistance supported with
LSC funds.
(c)(1) As part of its financial eligibility policies, every
recipient shall establish annual income ceilings for individuals and
households, which may not exceed one hundred and twenty five percent
(125%) of the current official Federal Poverty Guidelines amounts. The
Corporation shall annually calculate 125% of the Federal Poverty
Guidelines amounts and publish such calculations in the Federal Register
as a revision to Appendix A to this part.
(2) As part of its financial eligibility policies, a recipient may
adopt authorized exceptions to its annual income ceilings consistent
with Sec. 1611.5.
(d)(1) As part of its financial eligibility policies, every
recipient shall establish reasonable asset ceilings for individuals and
households. In establishing asset ceilings, the recipient may exclude
consideration of a household's principal residence, vehicles used for
transportation, assets used in producing income, and other assets which
are exempt from attachment under State or Federal law.
(2) The recipient's policies may provide authority for waiver of its
asset ceilings for specific applicants under unusual circumstances and
when approved by the recipient's Executive Director, or his/her
designee. When the asset ceiling is waived, the recipient shall record
the reasons for such waiver and shall keep such records as are necessary
to inform the Corporation of the reasons for such waiver.
(e) Notwithstanding any other provision of this part, or other
provision of the recipient's financial eligibility policies, every
recipient shall specify as part of its financial eligibility policies
that in assessing the income or assets of an applicant who is a victim
of domestic violence, the recipient shall consider only the assets and
income of the applicant and members of the applicant's household other
than those of the alleged perpetrator of the domestic violence and shall
not include any assets held by the alleged perpetrator of the domestic
violence, jointly held by the applicant with the alleged perpetrator of
the domestic violence, or assets jointly held by any member of the
applicant's household with the alleged perpetrator of the domestic
violence.
(f) As part of its financial eligibility policies, a recipient may
adopt policies that permit financial eligibility to be established by
reference to an applicant's receipt of benefits from a governmental
program for low-income individuals or families consistent with Sec.
1611.4(c).
(g) Before establishing its financial eligibility policies, a
recipient shall consider the cost of living in the service area or
locality and other relevant factors, including but not limited to:
(1) The number of clients who can be served by the resources of the
recipient;
(2) The population that would be eligible at and below alternative
income and asset ceilings; and
(3) The availability and cost of legal services provided by the
private bar and other free or low cost legal services providers in the
area.

Sec. 1611.4 Financial eligibility for legal assistance.

(a) A recipient may provide legal assistance supported with LSC
funds only to individuals whom the recipient has determined to be
financially eligible for such assistance. Nothing in this part, however,
prohibits a recipient from providing legal assistance to an

[[Page 476]]

individual without regard to that individual's income and assets if the
legal assistance is wholly supported by funds from a source other than
LSC, and is otherwise permissible under applicable law and regulation.
(b) Consistent with the recipient's financial eligibility policies
and this part, the recipient may determine an applicant to be
financially eligible for legal assistance if the applicant's assets do
not exceed the recipient's applicable asset ceiling established pursuant
to Sec. 1611.3(d)(1), or the applicable asset ceiling has been waived
pursuant Sec. 1611.3(d)(2), and:
(1) The applicant's income is at or below the recipient's applicable
annual income ceiling; or
(2) The applicant's income exceeds the recipient's applicable annual
income ceiling but one or more of the authorized exceptions to the
annual income ceilings, as provided in Sec. 1611.5, applies.
(c) Consistent with the recipient's policies, a recipient may
determine an applicant to be financially eligible without making an
independent determination of income or assets, if the applicant's income
is derived solely from a governmental program for low-income individuals
or families, provided that the recipient's governing body has determined
that the income standards of the governmental program are at or below
125% of the Federal Poverty Guidelines amounts and that the governmental
program has eligibility standards which include an assets test.

Sec. 1611.5 Authorized exceptions to the annual income ceiling.

(a) Consistent with the recipient's policies and this part, a
recipient may determine an applicant whose income exceeds the
recipient's applicable annual income ceiling to be financially eligible
if the applicant's assets do not exceed the recipient's applicable asset
ceiling established pursuant to Sec. 1611.3(d), or the asset ceiling
has been waived pursuant to Sec. 1611.3(d)(2), and:
(1) The applicant is seeking legal assistance to maintain benefits
provided by a governmental program for low income individuals or
families; or
(2) The Executive Director of the recipient, or his/her designee,
has determined on the basis of documentation received by the recipient,
that the applicant's income is primarily committed to medical or nursing
home expenses and that, excluding such portion of the applicant's income
which is committed to medical or nursing home expenses, the applicant
would otherwise be financially eligible for service; or
(3) The applicant's income does not exceed 200% of the applicable
Federal Poverty Guidelines amount and:
(i) The applicant is seeking legal assistance to obtain governmental
benefits for low income individuals and families; or
(ii) The applicant is seeking legal assistance to obtain or maintain
governmental benefits for persons with disabilities; or
(4) The applicant's income does not exceed 200% of the applicable
Federal Poverty Guidelines amount and the recipient has determined that
the applicant should be considered financially eligible based on
consideration of one or more of the following factors as applicable to
the applicant or members of the applicant's household:
(i) Current income prospects, taking into account seasonal
variations in income;
(ii) Unreimbursed medical expenses and medical insurance premiums;
(iii) Fixed debts and obligations;
(iv) Expenses such as dependent care, transportation, clothing and
equipment expenses necessary for employment, job training, or
educational activities in preparation for employment;
(v) Non-medical expenses associated with age or disability;
(vi) Current taxes; or
(vii) Other significant factors that the recipient has determined
affect the applicant's ability to afford legal assistance.
(b) In the event that a recipient determines that an applicant is
financially eligible pursuant to this section and is provided legal
assistance, the recipient shall document the basis for the financial
eligibility determination. The recipient shall keep such records as may
be necessary to inform the Corporation of the specific facts and factors
relied on to make such determination.

[[Page 477]]

Sec. 1611.6 Representation of groups.

(a) A recipient may provide legal assistance to a group,
corporation, association or other entity if it provides information
showing that it lacks, and has no practical means of obtaining, funds to
retain private counsel and either:
(1) The group, or for a non-membership group the organizing or
operating body of the group, is primarily composed of individuals who
would be financially eligible for LSC-funded legal assistance; or
(2) The group has as a principal activity the delivery of services
to those persons in the community who would be financially eligible for
LSC-funded legal assistance and the legal assistance sought relates to
such activity.
(b)(1) In order to make a determination that a group, corporation,
association or other entity is eligible for legal services as required
by paragraph (a) of this section, a recipient shall consider the
resources available to the group, such as the group's income and income
prospects, assets and obligations and either:
(i) For a group primarily composed of individuals who would be
financially eligible for LSC-funded legal assistance, whether the
financial or other socioeconomic characteristics of the persons
comprising the group are consistent with those of persons who are
financially eligible for LSC-funded legal assistance; or
(ii) For a group having as a principal activity the delivery of
services to those persons in the community who would be financially
eligible for LSC-funded legal assistance, whether the financial or other
socioeconomic characteristics of the persons served by the group are
consistent with those of persons who are financially eligible for LSC-
funded legal assistance and the assistance sought relates to such
activity of the group.
(2) A recipient shall collect information that reasonably
demonstrates that the group, corporation, association or other entity
meets the eligibility criteria set forth herein.
(c) The eligibility requirements set forth herein apply only to
legal assistance supported by funds from LSC, provided that any legal
assistance provided by a recipient, regardless of the source of funds
supporting the assistance, must be otherwise permissible under
applicable law and regulation.

Sec. 1611.7 Manner of determining financial eligibility.

(a)(1) In making financial eligibility determinations regarding
individual applicants, a recipient shall make reasonable inquiry
regarding sources of the applicant's income, income prospects and
assets. The recipient shall record income and asset information in the
manner specified in this section.
(2) In making financial eligibility determinations regarding groups
seeking LSC-supported legal assistance, a recipient shall follow the
requirements set forth in Sec. 1611.6(b) of this part.
(b) A recipient shall adopt simple intake forms and procedures to
obtain information from applicants and groups to determine financial
eligibility in a manner that promotes the development of trust between
attorney and client. The forms shall be preserved by the recipient.
(c) If there is substantial reason to doubt the accuracy of the
financial eligibility information provided by an applicant or group, a
recipient shall make appropriate inquiry to verify the information, in a
manner consistent with the attorney-client relationship.
(d) When one recipient has determined that a client is financially
eligible for service in a particular case or matter, that recipient may
request another recipient to extend legal assistance or undertake
representation on behalf of that client in the same case or matter in
reliance upon the initial financial eligibility determination. In such
cases, the receiving recipient is not required to review or redetermine
the client's financial eligibility unless there is a change in financial
eligibility status as described in Sec. 1611.8 or there is substantial
reason to doubt the validity of the original determination, provided
that the referring recipient provides and the receiving recipient
retains a copy of the intake form documenting the financial eligibility
of the client.

[[Page 478]]

Sec. 1611.8 Change in financial eligibility status.

(a) If, after making a determination of financial eligibility and
accepting a client for service, the recipient becomes aware that a
client has become financially ineligible through a change in
circumstances, a recipient shall discontinue representation supported
with LSC funds if the change in circumstances is sufficient, and is
likely to continue, to enable the client to afford private legal
assistance, and discontinuation is not inconsistent with applicable
rules of professional responsibility.
(b) If, after making a determination of financial eligibility and
accepting a client for service, the recipient later determines that the
client is financially ineligible on the basis of later discovered or
disclosed information, a recipient shall discontinue representation
supported with LSC funds if the discontinuation is not inconsistent with
applicable rules of professional responsibility.

Sec. 1611.9 Retainer agreements.

(a) When a recipient provides extended service to a client, the
recipient shall execute a written retainer agreement with the client.
The retainer agreement shall be executed when representation commences
or as soon thereafter as is practicable. Such retainer agreement must be
in a form consistent with the applicable rules of professional
responsibility and prevailing practices in the recipient's service area
and shall include, at a minimum, a statement identifying the legal
problem for which representation is sought, and the nature of the legal
services to be provided.
(b) No written retainer agreement is required for advice and counsel
or brief service provided by the recipient to the client or for legal
services provided to the client by a private attorney pursuant to 45 CFR
part 1614.
(c) The recipient shall maintain copies of all retainer agreements
generated in accordance with this section.

Sec. Appendix A to Part 1611--Income Level for Individuals Eligible for
Assistance

Legal Services Corporation 2024 Income Guidelines *
------------------------------------------------------------------------
48
Contiguous
states and
Size of household the Alaska Hawaii
District of
Columbia
------------------------------------------------------------------------
1................................ $18,825 $23,513 $21,638
2................................ 25,550 31,925 29,375
3................................ 32,275 40,338 37,113
4................................ 39,000 48,750 44,850
5................................ 45,725 57,163 52,588
6................................ 52,450 65,575 60,325
7................................ 59,175 73,988 68,063
8................................ 65,900 82,400 75,800
For each additional member of the 6,725 8,413 7,738
household in excess of 8, add:..
------------------------------------------------------------------------
* The figures in this table represent 125% of the Federal Poverty
Guidelines by household size as determined by HHS.

Reference Chart--200% of Federal Poverty Guidelines *
------------------------------------------------------------------------
48
Contiguous
states and
Size of household the Alaska Hawaii
District of
Columbia
------------------------------------------------------------------------
1................................ $30,120 $37,620 $ 34,620
2................................ 40,880 51,080 47,000
3................................ 51,640 64,540 59,380
4................................ 62,400 78,000 71,760
5................................ 73,160 91,460 84,140
6................................ 83,920 104,920 96,520
7................................ 94,680 118,380 108,900
8................................ 105,440 131,840 121,280
For each additional member of the 10,760 13,460 12,380
household in excess of 8, add:..
------------------------------------------------------------------------
* The figures in this table represent 200% of the Federal Poverty
Guidelines by household size as determined by HHS.

(Authority: 42 U.S.C. 2996g(e))

[89 FR 4563, Jan. 24, 2024; 89 FR 7294, Feb. 2, 2024]

PART 1612_RESTRICTIONS ON LOBBYING AND CERTAIN
OTHER ACTIVITIES--Table of Contents

Sec.
1612.1 Purpose.
1612.2 Definitions.
1612.3 Prohibited legislative and administrative activities.
1612.4 Grassroots lobbying.
1612.5 Permissible activities using any funds.

[[Page 479]]

1612.6 Permissible activities using non-LSC funds.
1612.7 Public demonstrations and activities.
1612.8 Training.
1612.9 Organizing.
1612.10 Recordkeeping and accounting for activities funded with non-LSC
funds.
1612.11 Recipient policies and procedures.

Authority: Pub. L. 104-208, 110 Stat. 3009; Pub. L. 104-134, 110
Stat. 1321, secs. 504(a)(2), (3), (4), (5), (6), and (12), 504(b) and
(e); 42 U.S.C. 2996e(b)(5), 2996f(a)(5) and (6), 2996f(b)(4), (6) and
(7), and 2996g(e).

Source: 62 FR 19404, Apr. 21, 1997, unless otherwise noted.

Sec. 1612.1 Purpose.

The purpose of this part is to ensure that LSC recipients and their
employees do not engage in certain prohibited activities, including
representation before legislative bodies or other direct lobbying
activity, grassroots lobbying, participation in rulemaking, public
demonstrations, advocacy training, and certain organizing activities.
The part also provides guidance on when recipients may participate in
public rulemaking or in efforts to encourage State or local governments
to make funds available to support recipient activities, and when they
may respond to requests of legislative and administrative officials.

Sec. 1612.2 Definitions.

(a)(1) Grassroots lobbying means any oral, written or electronically
transmitted communication or any advertisement, telegram, letter,
article, newsletter, or other printed or written matter or device which
contains a direct suggestion to the public to contact public officials
in support of or in opposition to pending or proposed legislation,
regulations, executive decisions, or any decision by the electorate on a
measure submitted to it for a vote. It also includes the provision of
financial contributions by recipients to, or participation by recipients
in, any demonstration, march, rally, fundraising drive, lobbying
campaign, letter writing or telephone campaign for the purpose of
influencing the course of such legislation, regulations, decisions by
administrative bodies, or any decision by the electorate on a measure
submitted to it for a vote.
(2) Grassroots lobbying does not include communications which are
limited solely to reporting on the content or status of, or explaining,
pending or proposed legislation or regulations.
(b)(1) Legislation means any action or proposal for action by
Congress or by a State or local legislative body which is intended to
prescribe law or public policy. The term includes, but is not limited
to, action on bills, constitutional amendments, ratification of treaties
and intergovernmental agreements, approval of appointments and budgets,
and approval or disapproval of actions of the executive.
(2) Legislation does not include those actions of a legislative body
which adjudicate the rights of individuals under existing laws; nor does
it include legislation adopted by an Indian Tribal Council.
(c) Public policy means an overall plan embracing the general goals
and procedures of any governmental body and pending or proposed
statutes, rules, and regulations.
(d)(1) Rulemaking means any agency process for formulating,
amending, or repealing rules, regulations or guidelines of general
applicability and future effect issued by the agency pursuant to
Federal, State or local rulemaking procedures, including:
(i) The customary procedures that are used by an agency to formulate
and adopt proposals for the issuance, amendment or revocation of
regulations or other statements of general applicability and future
effect, such as negotiated rulemaking and ``notice and comment''
rulemaking procedures under the Federal Administrative Procedure Act or
similar procedures used by State or local government agencies; and
(ii) Adjudicatory proceedings that are formal adversarial
proceedings to formulate or modify an agency policy of general
applicability and future effect.
(2) Rulemaking does not include:
(i) Administrative proceedings that produce determinations that are
of particular, rather than general, applicability and affect only the
private rights, benefits or interests of individuals, such as Social
Security hearings,

[[Page 480]]

welfare fair hearings, or granting or withholding of licenses;
(ii) Communication with agency personnel for the purpose of
obtaining information, clarification, or interpretation of the agency's
rules, regulations, guidelines, policies or practices.
(e) Public rulemaking means any rulemaking proceeding or portion of
such proceeding or procedure that is open to the public through notices
of proposed rulemaking published in the Federal Register or similar
State or local journals, announcements of public hearings on proposed
rules or notices of proposed rulemaking including those that are
routinely sent to interested members of the public, or other similar
notifications to members of the public;
(f) Similar procedure refers to a legislative process by which
matters must be determined by a vote of the electorate.

[62 FR 19404, Apr. 21, 1997; 62 FR 22895, Apr. 28, 1997]

Sec. 1612.3 Prohibited legislative and administrative activities.

(a) Except as provided in Sec. Sec. 1612.5 and 1612.6, recipients
shall not attempt to influence:
(1) The passage or defeat of any legislation or constitutional
amendment;
(2) Any initiative, or any referendum or any similar procedure of
the Congress, any State legislature, any local council, or any similar
governing body acting in any legislative capacity;
(3) Any provision in a legislative measure appropriating funds to,
or defining or limiting the functions or authority of, the recipient or
the Corporation; or,
(4) The conduct of oversight proceedings concerning the recipient or
the Corporation.
(b) Except as provided in Sec. Sec. 1612.5 and 1612.6, recipients
shall not participate in or attempt to influence any rulemaking, or
attempt to influence the issuance, amendment or revocation of any
executive order.
(c) Recipients shall not use any funds to pay for any personal
service, advertisement, telegram, telephone communication, letter,
printed or written matter, administrative expense, or related expense
associated with an activity prohibited in paragraphs (a) and (b) in this
section.

Sec. 1612.4 Grassroots lobbying.

A recipient shall not engage in any grassroots lobbying.

Sec. 1612.5 Permissible activities using any funds.

(a) A recipient may provide administrative representation for an
eligible client in a proceeding that adjudicates the particular rights
or interests of such eligible client or in negotiations directly
involving that client's legal rights or responsibilities, including pre-
litigation negotiation and negotiation in the course of litigation.
(b) A recipient may initiate or participate in litigation
challenging agency rules, regulations, guidelines or policies, unless
such litigation is otherwise prohibited by law or Corporation
regulations.
(c) Nothing in this part is intended to prohibit a recipient from:
(1) Applying for a governmental grant or contract;
(2) Communicating with a governmental agency for the purpose of
obtaining information, clarification, or interpretation of the agency's
rules, regulations, practices, or policies;
(3) Informing clients, other recipients, or attorneys representing
eligible clients about new or proposed statutes, executive orders, or
administrative regulations;
(4) Communicating directly or indirectly with the Corporation for
any purpose including commenting upon existing or proposed Corporation
rules, regulations, guidelines, instructions and policies;
(5) Permitting its employees to participate in bar association
activities, provided that recipient resources are not used to support
and the recipient is not identified with activities of bar associations
that are devoted to activities prohibited by this part.
(6) Advising a client of the client's right to communicate directly
with an elected official; or
(7) Participating in activity related to the judiciary, such as the
promulgation of court rules, rules of professional responsibility and
disciplinary rules.

[[Page 481]]

Sec. 1612.6 Permissible activities using non-LSC funds.

(a) If the conditions of paragraphs (b) and (c) of this section are
met, recipients and their employees may use non-LSC funds to respond to
a written request from a governmental agency or official thereof,
elected official, legislative body, committee, or member thereof made to
the employee, or to a recipient to:
(1) Testify orally or in writing;
(2) Provide information which may include analysis of or comments
upon existing or proposed rules, regulations or legislation, or drafts
of proposed rules, regulations or legislation; or
(3) Participate in negotiated rulemaking under the Negotiated
Rulemaking Act of 1990, 5 U.S.C. 561, et seq., or comparable State or
local laws.
(b) Communications made in response to requests under paragraph (a)
may be distributed only to the party or parties that made the request
and to other persons or entities only to the extent that such
distribution is required to comply with the request.
(c) No employee of the recipient shall solicit or arrange for a
request from any official to testify or otherwise provide information in
connection with legislation or rulemaking.
(d) Recipients shall maintain copies of all written requests
received by the recipient and written responses made in response thereto
and make such requests and written responses available to monitors and
other representatives of the Corporation upon request.
(e) Recipients may use non-LSC funds to provide oral or written
comment to an agency and its staff in a public rulemaking proceeding.
(f) Recipients may use non-LSC funds to contact or communicate with,
or respond to a request from, a State or local government agency, a
State or local legislative body or committee, or a member thereof,
regarding funding for the recipient, including a pending or proposed
legislative or agency proposal to fund such recipient.

Sec. 1612.7 Public demonstrations and activities.

(a) During working hours, while providing legal assistance or
representation to the recipient's clients or while using recipient
resources provided by the Corporation or by private entities, no person
shall:
(1) Participate in any public demonstration, picketing, boycott, or
strike, except as permitted by law in connection with the employee's own
employment situation; or
(2) Encourage, direct, or coerce others to engage in such
activities.
(b) No employee of a recipient shall at any time engage in or
encourage others to engage in any:
(1) Rioting or civil disturbance;
(2) Activity determined by a court to be in violation of an
outstanding injunction of any court of competent jurisdiction; or
(3) Other illegal activity that is inconsistent with an employee's
responsibilities under applicable law, Corporation regulations, or the
rules of professional responsibility of the jurisdiction where the
recipient is located or the employee practices law.
(c) Nothing in this section shall prohibit an attorney from:
(1) Informing and advising a client about legal alternatives to
litigation or the lawful conduct thereof; or
(2) Taking such action on behalf of a client as may be required by
professional responsibilities or applicable law of any State or other
jurisdiction.

Sec. 1612.8 Training.

(a) A recipient may not support or conduct training programs that:
(1) Advocate particular public policies;
(2) Encourage or facilitate political activities, labor or anti-
labor activities, boycotts, picketing, strikes or demonstrations, or the
development of strategies to influence legislation or rulemaking;
(3) Disseminate information about such policies or activities; or
(4) Train participants to engage in activities prohibited by the
Act, other applicable law, or Corporation regulations, guidelines or
instructions.
(b) Nothing in this section shall be construed to prohibit training
of any attorneys or paralegals, clients, lay advocates, or others
involved in the representation of eligible clients necessary for
preparing them:

[[Page 482]]

(1) To provide adequate legal assistance to eligible clients; or
(2) To provide advice to any eligible client as to the legal rights
of the client.

Sec. 1612.9 Organizing.

(a) Recipients may not use funds provided by the Corporation or by
private entities to initiate the formation, or to act as an organizer,
of any association, federation, labor union, coalition, network,
alliance, or any similar entity.
(b) This section shall not be construed to apply to:
(1) Informational meetings attended by persons engaged in the
delivery of legal services at which information about new developments
in law and pending cases or matters are discussed; or
(2) Organizations composed exclusively of eligible clients formed
for the purpose of advising a legal services program about the delivery
of legal services.
(c) Recipients and their employees may provide legal advice or
assistance to eligible clients who desire to plan, establish or operate
organizations, such as by preparing articles of incorporation and
bylaws.

Sec. 1612.10 Recordkeeping and accounting for activities
funded with non-LSC funds.

(a) No funds made available by the Corporation shall be used to pay
for administrative overhead or related costs associated with any
activity listed in Sec. 1612.6.
(b) Recipients shall maintain separate records documenting the
expenditure of non-LSC funds for legislative and rulemaking activities
permitted by Sec. 1612.6.
(c) Recipients shall submit semi-annual reports describing their
legislative activities with non-LSC funds conducted pursuant to Sec.
1612.6, together with such supporting documentation as specified by the
Corporation.

[62 FR 19404, Apr. 21, 1997; 62 FR 22895, Apr. 28, 1997]

Sec. 1612.11 Recipient policies and procedures.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part.

PART 1613_RESTRICTIONS ON LEGAL ASSISTANCE WITH
RESPECT TO CRIMINAL PROCEEDINGS--Table of Contents

Sec.
1613.1 Purpose.
1613.2 Definition.
1613.3 Prohibition.
1613.4 Authorized representation.
1613.5 Criminal representation in Indian tribal courts.

Authority: Sec. 234(d), Public Law 111-211, 124. Stat. 2282; 42
U.S.C. 2996f(b)(2); 42 U.S.C. 2996g(e).

Source: 43 FR 32775, July 28, 1978, unless otherwise noted.

Sec. 1613.1 Purpose.

This part is designed to ensure that Corporation funds will not be
used to provide legal assistance with respect to criminal proceedings
unless such assistance is authorized by this part.

[79 FR 21150, Apr. 15, 2014]

Sec. 1613.2 Definition.

Criminal proceeding means the adversary judicial process prosecuted
by a public officer and initiated by a formal complaint, information, or
indictment charging a person with an offense denominated ``criminal'' by
applicable law and punishable by death, imprisonment, or a jail
sentence.

[79 FR 21150, Apr. 15, 2014]

Sec. 1613.3 Prohibition.

Corporation funds shall not be used to provide legal assistance with
respect to a criminal proceeding, unless authorized by this part.

Sec. 1613.4 Authorized representation.

Legal assistance may be provided with respect to a criminal
proceeding.
(a) Pursuant to a court appointment made under a statute or a court
rule of equal applicability to all attorneys in the jurisdiction, if
authorized by the recipient after a determination that

[[Page 483]]

acceptance of the appointment would not impair the recipient's primary
responsibility to provide legal assistance to eligible clients in civil
matters.
(b) When professional responsibility requires representation in a
criminal proceeding arising out of a transaction with respect to which
the client is being, or has been, represented by a recipient.

[43 FR 32775, July 28, 1978, as amended at 79 FR 21150, Apr. 15, 2014]

Sec. 1613.5 Criminal representation in Indian tribal courts.

(a) Legal assistance may be provided with Corporation funds to a
person charged with a criminal offense in an Indian tribal court who is
otherwise eligible.
(b) Legal assistance may be provided in a criminal proceeding in an
Indian tribal court pursuant to a court appointment only if the
appointment is made under a statute or a court rule or practice of equal
applicability to all attorneys in the jurisdiction, and is authorized by
the recipient after a determination that acceptance of the appointment
would not impair the recipient's primary responsibility to provide legal
assistance to eligible clients in civil matters.

[79 FR 21151, Apr. 15, 2014]

PART 1614_PRIVATE ATTORNEY INVOLVEMENT--Table of Contents

Sec.
1614.1 Purpose.
1614.2 General policy.
1614.3 Definitions.
1614.4 Range of activities.
1614.5 Compensation of recipient staff and private attorneys; blackout
period.
1614.6 Procedure.
1614.7 Fiscal recordkeeping.
1614.8 Prohibition of revolving litigation funds.
1614.9 Waivers.
1614.10 Failure to comply.

Authority: 42 U.S.C. 2996g(e).

Source: 79 FR 61781, Oct. 15, 2014, unless otherwise noted.

Sec. 1614.1 Purpose.

Private attorney involvement shall be an integral part of a total
local program undertaken within the established priorities of that
program, and consistent with LSC's governing statutes and regulations,
in a manner that furthers the statutory requirement of providing high
quality, economical, and effective client-centered legal assistance and
legal information to eligible clients. This part is designed to ensure
that recipients of LSC funds involve private attorneys, and encourages
recipients to involve law students, law graduates, or other
professionals, in the delivery of legal information and legal assistance
to eligible clients.

Sec. 1614.2 General policy.

(a) A recipient of LSC funding shall devote an amount equal to at
least twelve and one-half percent (12.5%) of the recipient's annualized
Basic Field-General award to the involvement of private attorneys, law
students, law graduates, or other professionals in the delivery of legal
information and legal assistance to eligible clients. This requirement
is hereinafter referred to as the ``PAI requirement.''
(b) Basic Field-Native American grants, Basic Field-Migrant grants,
and non-Basic Field grants are not subject to the PAI requirement. For
example, Technology Initiative Grants are not subject to the PAI
requirement. However, recipients of Native American or migrant funding
shall provide opportunity for involvement in the delivery of legal
information and legal assistance by private attorneys, law students, law
graduates, or other professionals in a manner that is generally open to
broad participation in those activities undertaken with those funds, or
shall demonstrate to the satisfaction of the Corporation that such
involvement is not feasible.

Sec. 1614.3 Definitions.

(a) Attorney means a person who is authorized to practice law in the
jurisdiction in which assistance is rendered. For purposes of this part,
attorney does not have the meaning stated in 45 CFR 1600.1.
(b) Incubator project means a program that provides legal training
and support, for a limited period of time, to law students, law
graduates, or attorneys who are establishing, or upon graduation and bar
admission intend to

[[Page 484]]

establish, their own independent law practices.
(c) Law graduate means an individual who, within the last two years,
has completed the education and/or training requirements necessary for
application to the bar in any U.S. state or territory.
(d) Law student means an individual who is, or has been, enrolled,
full-time or part-time, within the past year, and not expelled from:
(1) A law school that can provide the student with a degree that is
a qualification for application to the bar in any U.S. state or
territory; or
(2) An apprenticeship program that can provide the student with
sufficient qualifications for application to the bar in any U.S. state
or territory.
(e) Legal assistance means service on behalf of a client or clients
that is specific to the client's or clients' unique circumstances,
involves a legal analysis that is tailored to the client's or clients'
factual situation, and involves applying legal judgment in interpreting
the particular facts and in applying relevant law to the facts
presented.
(f) Legal information means substantive legal information not
tailored to address a person's specific problem and that does not
involve applying legal judgment or recommending a specific course of
action.
(g) Other professional means an individual, not engaged in the
practice of law and not employed by the recipient, providing services in
furtherance of the recipient's provision of legal information or legal
assistance to eligible clients. For example, a paralegal representing a
client in a Supplemental Security Income (SSI) case, an accountant
providing tax advice to an eligible client, or an attorney not
authorized to practice law in the jurisdiction in which the recipient is
located would fit within the definition of other professional. An
individual granted a limited license to practice law by a body
authorized by court rule or state law to grant such licenses in the
jurisdiction in which the recipient is located would also meet the
definition of other professional.
(h) PAI Clinic means an activity under this part in which private
attorneys, law students, law graduates, or other professionals are
involved in providing legal information and/or legal assistance to the
public at a specified time and location.
(i) Private attorney means an attorney. Private attorney does not
include:
(1) An attorney employed half time or more per calendar year by an
LSC recipient or subrecipient; or
(2) An attorney employed less than half time by an LSC recipient or
subrecipient acting within the terms of his or her employment by the LSC
recipient or subrecipient; or
(3) An attorney acting within the terms of his or her employment by
a non-profit organization whose primary purpose is the delivery of free
civil legal services to low-income individuals; or
(4) An attorney acting within the terms of his or her employment by
a component of a non-profit organization, where the component's primary
purpose is the delivery of free civil legal services to low-income
individuals.
(j) Screen for eligibility means to screen individuals for
eligibility using the same criteria recipients use to determine an
individual's eligibility for cases accepted by the recipient and whether
LSC funds or non-LSC funds can be used to provide legal assistance
(e.g., income and assets, citizenship, eligible alien status, within
priorities, applicability of LSC restrictions).
(k) Subrecipient has the meaning stated in 45 CFR 1627.2(b)(1),
except that as used in this part, such term shall not include entities
that meet the definition of subrecipient solely because they receive
more than $25,000 from an LSC recipient for services provided through a
fee-for-service arrangement, such as services provided by a private law
firm or attorney representing a recipient's clients on a contract or
judicare basis.

Sec. 1614.4 Range of activities.

(a) Direct delivery of legal assistance to recipient clients. (1)
Activities undertaken by the recipient to meet the requirements of this
part must include the direct delivery of legal assistance to eligible
clients by private attorneys through programs such as organized pro bono
plans, reduced fee plans,

[[Page 485]]

judicare panels, private attorney contracts, or those modified pro bono
plans which provide for the payment of nominal fees by eligible clients
and/or organized referral systems; except that payment of attorney's
fees through ``revolving litigation fund'' systems, as described in
Sec. 1614.8, shall neither be used nor funded under this part nor
funded with any LSC support.
(2) In addition to the activities described in paragraph (a)(1) of
this section, direct delivery of legal assistance to eligible clients
may include representation by a non-attorney in an administrative
tribunal that permits non-attorneys to represent individuals before the
tribunal.
(3) Systems designed to provide direct legal assistance to eligible
clients of the recipient by private attorneys on either a pro bono or
reduced fee basis, shall include at a minimum, the following components:
(i) Intake and case acceptance procedures consistent with the
recipient's established priorities in meeting the legal needs of
eligible clients;
(ii) Case assignments which ensure the referral of cases according
to the nature of the legal problems involved and the skills, expertise,
and substantive experience of the participating attorney;
(iii) Case oversight and follow-up procedures to ensure the timely
disposition of cases to achieve, if possible, the result desired by the
client and the efficient and economical utilization of recipient
resources; and
(iv) Access by private attorneys to LSC recipient resources that
provide back-up on substantive and procedural issues of the law.
(b) Support and other activities. Activities undertaken by
recipients to meet the requirements of this part may also include, but
are not limited to:
(1) Support provided by private attorneys to the recipient or a
subrecipient as part of its delivery of legal assistance or legal
information to eligible clients on either a reduced fee or pro bono
basis such as the provision of community legal education, training,
technical assistance, research, advice and counsel; co-counseling
arrangements; or the use of the private attorney's facilities,
libraries, computer-assisted legal research systems or other resources;
(2) Support provided by other professionals in their areas of
professional expertise to the recipient as part of its delivery of legal
information or legal assistance to eligible clients on either a reduced
fee or pro bono basis such as the provision of intake support, research,
training, technical assistance, or direct assistance to an eligible
client of the recipient; and
(3) Support provided by the recipient in furtherance of activities
undertaken pursuant to this section including the provision of training,
technical assistance, research, advice and counsel or the use of
recipient facilities, libraries, computer assisted legal research
systems or other resources.
(4) Support provided to bar associations or courts establishing
legal clinics. A recipient may allocate to its PAI requirement costs
associated with providing a bar association or court with technical
assistance in planning and establishing a legal clinic at which private
attorneys will provide legal information and/or legal assistance.
(5) PAI Clinics--(i) Legal information provided in PAI clinics. A
recipient may allocate to its PAI requirement costs associated with
providing support to clinics, regardless of whether the clinic screens
for eligibility, if the clinic provides only legal information.
(ii) Legal assistance provided in PAI clinics. A recipient may
provide support to a PAI clinic that provides legal assistance if the
PAI clinic screens for eligibility.
(A) A recipient may allocate to its PAI requirement costs associated
with its support of such clinics for legal assistance provided to
individuals who are eligible to receive LSC-funded legal services.
(B) Where a recipient supports a clinic that provides legal
assistance to individuals who are eligible for permissible non-LSC-
funded services, the recipient may not allocate to its PAI requirement
costs associated with the legal assistance provided to such individuals.
For example, a recipient may not allocate to its PAI requirement costs
associated with legal assistance provided through a clinic to an
individual who exceeds the income and

[[Page 486]]

asset tests for LSC eligibility, but is otherwise eligible.
(C) For clinics providing legal information to the public and legal
assistance to clients screened for eligibility, a recipient may allocate
to its PAI requirement costs associated with its support of both parts
of the clinic. If the clinic does not screen for eligibility, the
recipient may allocate to the PAI requirement costs associated with the
legal information portion of the PAI clinic, but may not allocate to the
PAI requirement costs associated with the legal assistance portion of
the clinic.
(D) In order to allocate to its PAI requirement costs associated
with support of the legal assistance portion of a clinic, a recipient
must maintain records sufficient to document that such clinic has an
eligibility screening process and that each individual provided with
legal assistance in the portion of the clinic supported by the recipient
was properly screened for eligibility under the process.
(6) Screening and referral systems. (i) A recipient may participate
in a referral system in which the recipient conducts intake screening
and refers LSC-eligible applicants to programs that assign applicants to
private attorneys on a pro bono or reduced fee basis.
(ii) In order to allocate to its PAI requirement costs associated
with participating in such referral systems, a recipient must be able to
report the number of eligible persons referred by the recipient to each
program and the number of eligible persons who were placed with a
private attorney through the program receiving the referral.
(7) Law student activities. A recipient may allocate to its PAI
requirement costs associated with law student work supporting the
recipient's provision of legal information or delivery of legal
assistance to eligible clients. Compensation paid by the recipient to
law students may not be allocated to the PAI requirement.
(c) Determination of PAI activities. The specific methods to be
undertaken by a recipient to involve private attorneys, law students,
law graduates, or other professionals in the provision of legal
information and legal assistance to eligible clients will be determined
by the recipient's taking into account the following factors:
(1) The priorities established pursuant to part 1620 of this
chapter;
(2) The effective and economic delivery of legal assistance and
legal information to eligible clients;
(3) The linguistic and cultural barriers to effective advocacy;
(4) The actual or potential conflicts of interest between specific
participating attorneys, law students, law graduates, or other
professionals and individual eligible clients; and
(5) The substantive and practical expertise, skills, and willingness
to undertake new or unique areas of the law of participating attorneys
and other professionals.
(d) Unauthorized practice of law. This part is not intended to
permit any activities that would conflict with the rules governing the
unauthorized practice of law in the recipient's jurisdiction.

Sec. 1614.5 Compensation of recipient staff and private
attorneys; blackout period.

(a) A recipient may allocate to its PAI requirement costs associated
with compensation paid to its employees only for facilitating the
involvement of private attorneys, law students, law graduates, or other
professionals in activities under this part.
(b) A recipient may not allocate to its PAI requirement costs
associated with compensation paid to a private attorney, law graduate,
or other professional for services under this part for any hours an
individual provides above 800 hours per calendar year.
(c) No costs may be allocated to the PAI requirement for direct
payment to any individual who for any portion of the current year or the
previous year was employed more than 1,000 hours per calendar year by an
LSC recipient or subrecipient, except for employment as a law student;
provided, however:
(1) This paragraph (c) shall not be construed to prohibit the
allocation of costs to the PAI requirement for payments made to such an
individual participating in a pro bono or judicare project on the same
terms that are available to other attorneys;

[[Page 487]]

(2) This paragraph (c) shall not apply to the allocation of costs to
the PAI requirement for payments to attorneys who were employed for less
than a year by an LSC recipient or subrecipient as part of an incubator
project; and
(3) This paragraph (c) shall not be construed to restrict recipients
from allocating to their PAI requirement the payment of funds as a
result of work performed by an attorney or other individual who
practices in the same business with such former employee.

Sec. 1614.6 Procedure.

(a) The recipient shall develop a plan and budget to meet the
requirements of this part which shall be incorporated as a part of the
refunding application or initial grant application. The budget shall be
modified as necessary to fulfill this part. That plan shall take into
consideration:
(1) The legal needs of eligible clients in the geographical area
served by the recipient and the relative importance of those needs
consistent with the priorities established pursuant to section
1007(a)(2)(C) of the Legal Services Corporation Act (42 U.S.C.
2996f(a)(2)(C)) and 45 CFR part 1620 adopted pursuant thereto;
(2) The delivery mechanisms potentially available to provide the
opportunity for private attorneys, law students, law graduates, or other
professionals to meet the established priority legal needs of eligible
clients in an economical and effective manner; and
(3) The results of the consultation as required below.
(b) The recipient shall consult with significant segments of the
client community, private attorneys, and bar associations, including
minority and women's bar associations, in the recipient's service area
in the development of its annual plan to provide for the involvement of
private attorneys, law students, law graduates, or other professionals
in the provision of legal information and legal assistance to eligible
clients and shall document that each year its proposed annual plan has
been presented to all local bar associations within the recipient's
service area and shall summarize their response.
(c) In the case of recipients whose service areas are adjacent,
coterminous, or overlapping, the recipients may enter into joint efforts
to involve private attorneys, law students, law graduates, or other
professionals in the delivery of legal information and legal assistance
to eligible clients, subject to the prior approval of LSC. In order to
be approved, the joint venture plan must meet the following conditions:
(1) The recipients involved in the joint venture must plan to expend
at least twelve and one-half percent (12.5%) of the aggregate of their
basic field awards on PAI. In the case of recipients with adjacent
service areas, twelve and one-half percent (12.5%) of each recipient's
grant shall be expended to PAI; provided, however, that such expenditure
is subject to waiver under this section;
(2) Each recipient in the joint venture must be a bona fide
participant in the activities undertaken by the joint venture; and
(3) The joint PAI venture must provide an opportunity for involving
private attorneys, law students, law graduates, or other professionals
throughout the entire joint service area(s).

Sec. 1614.7 Fiscal recordkeeping.

The recipient shall demonstrate compliance with this part by
utilizing financial systems and procedures and maintaining supporting
documentation to identify and account separately for costs related to
the PAI effort. Such systems and records shall meet the requirements of
the Corporation's Audit Guide for Recipients and Auditors and the
Accounting Guide for LSC Recipients and shall have the following
characteristics:
(a) They shall accurately identify and account for:
(1) The recipient's administrative, overhead, staff, and support
costs related to PAI activities. Non-personnel costs shall be allocated
on the basis of reasonable operating data. All methods of allocating
common costs shall be clearly documented. If any direct or indirect time
of staff attorneys or paralegals is to be allocated as a cost to PAI,
such costs must be documented by time sheets accounting for the time

[[Page 488]]

those employees have spent on PAI activities. The timekeeping
requirement does not apply to such employees as receptionists,
secretaries, intake personnel or bookkeepers; however, personnel cost
allocations for non-attorney or non-paralegal staff should be based on
other reasonable operating data which is clearly documented;
(2) Payments to private attorneys, law graduates, or other
professionals for support or direct client services rendered. The
recipient shall maintain contracts on file that set forth payment
systems, hourly rates, and maximum allowable fees. Bills and/or invoices
from private attorneys, law graduates, or other professionals shall be
submitted before payments are made. Encumbrances shall not be included
in calculating whether a recipient has met the requirement of this part;
(3) Contractual payments or subgrants to individuals or
organizations that undertake administrative, support, and/or direct
services to eligible clients on behalf of the recipient consistent with
the provisions of this part. Contracts or subgrants concerning transfer
of LSC funds for PAI activities shall require that such funds be
accounted for by the recipient in accordance with LSC guidelines,
including the requirements of the Audit Guide for Recipients and
Auditors and the Accounting Guide for LSC Recipients and 45 CFR parts
1610, 1627 and 1630;
(4) Other such actual costs as may be incurred by the recipient in
this regard.
(b) Support and expenses relating to the PAI effort must be reported
separately in the recipient's year-end audit. This shall be done by
establishing a separate fund or providing a separate schedule in the
financial statement to account for the entire PAI allocation. Recipients
are not required to establish separate bank accounts to segregate funds
allocated to PAI. Auditors are required to perform sufficient audit
tests to enable them to render an opinion on the recipient's compliance
with the requirements of this part.
(c) Attorneys, law students, law graduates, or other professionals
may be reimbursed for actual costs and expenses.
(d) Fees paid to individuals for providing services under this part
may not exceed 50% of the local prevailing market rate for that type of
service.

Sec. 1614.8 Prohibition of revolving litigation funds.

(a) A revolving litigation fund system is a system under which a
recipient systematically encourages the acceptance of fee-generating
cases as defined in Sec. 1609.2 of this chapter by advancing funds to
private attorneys, law students, law graduates, or other professionals
to enable them to pay costs, expenses, or attorneys' fees for
representing clients.
(b) No funds received from the Corporation shall be used to
establish or maintain revolving litigation fund systems.
(c) The prohibition in paragraph (b) of this section does not
prevent recipients from reimbursing or paying private attorneys, law
students, law graduates, or other professionals for costs and expenses,
provided:
(1) The private attorney, law student, law graduate, or other
professional is representing an eligible client in a matter in which
representation of the eligible client by the recipient would be allowed
under LSC's governing statutes and regulations; and
(2) The private attorney, law student, law graduate, or other
professional has expended such funds in accordance with a schedule
previously approved by the recipient's governing body or, prior to
initiating action in the matter, has requested the recipient to advance
the funds.
(d) Nothing in this section shall prevent a recipient from
recovering from a private attorney, law student, law graduate, or other
professional the amount advanced for any costs, expenses, or fees from
an award to the attorney for representing an eligible client.

Sec. 1614.9 Waivers.

(a) While it is the expectation and experience of the Corporation
that most basic field programs can effectively expend their PAI
requirement, there are

[[Page 489]]

some circumstances, temporary or permanent, under which the goal of
economical and effective use of Corporation funds will be furthered by a
partial, or in exceptional circumstances, a complete waiver of the PAI
requirement.
(b) A complete waiver shall be granted by LSC when the recipient
shows to the satisfaction of LSC that:
(1) Because of the unavailability of qualified private attorneys,
law students, law graduates, or other professionals an attempt to carry
out a PAI program would be futile; or
(2) All qualified private attorneys, law students, law graduates, or
other professionals in the program's service area either refuse to
participate or have conflicts generated by their practice which render
their participation inappropriate.
(c) A partial waiver shall be granted by LSC when the recipient
shows to the satisfaction of LSC that:
(1) The population of qualified private attorneys, law students, law
graduates, or other professionals available to participate in the
program is too small to use the full PAI allocation economically and
effectively; or
(2) Despite the recipient's best efforts too few qualified private
attorneys, law students, law graduates, or other professionals are
willing to participate in the program to use the full PAI allocation
economically and effectively; or
(3) Despite a recipient's best efforts--including, but not limited
to, communicating its problems expending the required amount to LSC and
requesting and availing itself of assistance and/or advice from LSC
regarding the problem--expenditures already made during a program year
are insufficient to meet the PAI requirement, and there is insufficient
time to make economical and efficient expenditures during the remainder
of a program year, but in this instance, unless the shortfall resulted
from unforeseen and unusual circumstances, the recipient shall accompany
the waiver request with a plan to avoid such a shortfall in the future;
or
(4) The recipient uses a fee-for-service program whose current
encumbrances and projected expenditures for the current fiscal year
would meet the requirement, but its actual current expenditures do not
meet the requirement, and could not be increased to do so economically
and effectively in the remainder of the program year, or could not be
increased to do so in a fiscally responsible manner in view of
outstanding encumbrances; or
(5) The recipient uses a fee-for-service program and its PAI
expenditures in the prior year exceeded the twelve and one-half percent
(12.5%) requirement but, because of variances in the timing of work
performed by the private attorneys and the consequent billing for that
work, its PAI expenditures for the current year fail to meet the twelve
and one-half percent (12.5%) requirement; or
(6) If, in the reasonable judgment of the recipient's governing
body, it would not be economical and efficient for the recipient to
expend its full twelve and one-half percent (12.5%) of Corporation funds
on PAI activities, provided that the recipient has handled and expects
to continue to handle at least twelve and one-half percent (12.5%) of
cases brought on behalf of eligible clients through its PAI program(s).
(d)(1) A waiver of special accounting and bookkeeping requirements
of this part may be granted by LSC, if the recipient shows to the
satisfaction of LSC that such waiver will advance the purpose of this
part as expressed in Sec. Sec. 1614.1 and 1614.2.
(2) As provided in 45 CFR 1627.3(c) with respect to subgrants,
alternatives to Corporation audit requirements or to the accounting
requirements of this Part may be approved for subgrants by LSC; such
alternatives for PAI subgrants shall be approved liberally where
necessary to foster increased PAI participation.
(e) Waivers of the PAI expenditure requirement may be full or
partial, that is, the Corporation may waive all or some of the required
expenditure for a fiscal year.
(1) Applications for waivers of any requirement under this Part may
be for the current or next fiscal year. All such applications must be in
writing. Applications for waivers for the current fiscal year must be
received by the

[[Page 490]]

Corporation during the current fiscal year.
(2) At the expiration of a waiver a recipient may seek a similar or
identical waiver.
(f) All waiver requests shall be addressed to LSC. The Corporation
shall make a written response to each such request postmarked not later
than thirty (30) days after its receipt. If the request is denied, the
Corporation will provide the recipient with an explanation and statement
of the grounds for denial. If the waiver is to be denied because the
information submitted is insufficient, the Corporation will inform the
recipient as soon as possible, both orally and in writing, about what
additional information is needed. Should the Corporation fail to so
respond, the request shall be deemed to be granted.

Sec. 1614.10 Failure to comply.

(a)(1) If a recipient fails to comply with the expenditure required
by this part and that recipient fails without good cause to seek a
waiver during the term of the grant or contract, the Corporation shall
withhold from the recipient's grant payments an amount equal to the
difference between the amount expended on PAI and twelve and one-half
percent (12.5%) of the recipient's basic field award.
(2) If the Corporation determines that a recipient failed without
good cause to seek a waiver, the Corporation shall give the recipient
written notice of that determination. The written notice shall state the
determination, the amount to be withheld, and the process by which the
recipient may appeal the determination.
(3) The appeal process will follow the procedures for the appeal of
disallowed costs set forth at 45 CFR 1630.7(c)-(g), except that:
(i) The subject matter of the appeal shall be limited to the
Corporation's determination that the recipient failed without good cause
to seek a waiver; and
(ii) Withholding of funds shall be the method for the Corporation to
recover the amount to be withheld.
(b) If a recipient fails with good cause to seek a waiver, or
applies for but does not receive a waiver, or receives a waiver of part
of the PAI requirement and does not expend the amount required to be
expended, the PAI expenditure requirement for the ensuing year shall be
increased for that recipient by an amount equal to the difference
between the amount actually expended and the amount required to be
expended.
(c)(1) Any funds withheld by the Corporation pursuant to this
section shall be made available by the Corporation for use in providing
legal services through PAI programs. When such funds are available for
competition, LSC shall publish notice of the requirements concerning
time, format, and content of the application and the procedures for
submitting an application for such funds. Disbursement of these funds
for PAI activities shall be made through a competitive solicitation and
awarded on the basis of efficiency, quality, creativity, and
demonstrated commitment to PAI service delivery to low-income people.
Competition for these funds may be held in the recipient's service area,
or if the recipient from which funds are withheld is the only LSC
recipient applying for the funds in the competitive solicitation, in
additional service areas.
(2) Recipients shall expend funds awarded through the competitive
process in paragraph (c)(1) of this section in addition to twelve and
one-half percent (12.5%) of their Basic Field-General awards.
(d) The withholding of funds under this section shall not be
construed as any action under 45 CFR parts 1606, 1618, 1623, or 1630.

PART 1615_RESTRICTIONS ON ACTIONS COLLATERALLY ATTACKING
CRIMINAL CONVICTIONS--Table of Contents

Sec.
1615.1 Purpose.
1615.2 Prohibition.
1615.3 Application of this part.

Authority: Sec. 1007(b)(1); (42 U.S.C. 2996f(b)(1)).

Source: 41 FR 38508, Sept. 10, 1976, unless otherwise noted.

[[Page 491]]

Sec. 1615.1 Purpose.

This part prohibits the provision of legal assistance in an action
in the nature of habeas corpus seeking to collaterally attack a criminal
conviction.

Sec. 1615.2 Prohibition.

Except as authorized by this part, no Corporation funds shall be
used to provide legal assistance in an action in the nature of habeas
corpus collaterally attacking a criminal conviction if the action
(a) Is brought against an officer of a court, a law enforcement
official, or a custodian of an institution for persons convicted of
crimes; and
(b) Alleges that the conviction is invalid because of any alleged
acts or failures to act by an officer of a court or a law enforcement
official.

Sec. 1615.3 Application of this part.

This part does not prohibit legal assistance--
(a) To challenge a conviction resulting from a criminal proceeding
in which the defendant received representation from a recipient pursuant
to Corporation regulations; or
(b) Pursuant to a court appointment made under a statute or a court
rule or practice of equal applicability to all attorneys in the
jurisdiction, if authorized by the recipient after a determination that
it is consistent with the primary responsibility of the recipient to
provide legal assistance to eligible clients in civil matters.

PART 1616_ATTORNEY HIRING--Table of Contents

Sec.
1616.1 Purpose.
1616.2 Definition.
1616.3 Qualifications.
1616.4 Recommendations.
1616.5 Preference to local applicants.
1616.6 Equal employment opportunity.
1616.7 Language ability.

Authority: Secs. 1007(a)(8); 1006(b)(6); 1006(b)(4); (42 U.S.C.
2996f(a)(8); 2996e(b)(6); 2996e(b)(4)).

Source: 41 FR 38509, Sept. 10, 1976, unless otherwise noted.

Sec. 1616.1 Purpose.

This part is designed to promote a mutually beneficial relationship
between a recipient and the local Bar and community, and to insure that
a recipient will choose highly qualified attorneys for its staff.

Sec. 1616.2 Definition.

Community, as used in this part, means the geographical area most
closely corresponding to the area served by a recipient.

Sec. 1616.3 Qualifications.

A recipient shall establish qualifications for individual positions
for attorneys providing legal assistance under the Act, that may
include, among other relevant factors:
(a) Academic training and performance;
(b) The nature and extent of prior legal experience;
(c) Knowledge and understanding of the legal problems and needs of
the poor;
(d) Prior working experience in the client community, or in other
programs to aid the poor;
(e) Ability to communicate with persons in the client community,
including, in areas where significant numbers of eligible clients speak
a language other than English as their principal language, ability to
speak that language; and
(f) Cultural similarity with the client community.

Sec. 1616.4 Recommendations.

(a) Before filling an attorney position, a recipient shall notify
the organized Bar in the community of the existence of a vacancy, and of
the qualifications established for it, and seek recommendations for
attorneys who meet the qualifications established for the position.
(b) A recipient shall similarly notify and seek recommendations from
other organizations, deemed appropriate by the recipient, that have
knowledge of the legal needs of persons in the community unable to
afford legal assistance.

Sec. 1616.5 Preference to local applicants.

When equally qualified applicants are under consideration for an
attorney position, a recipient shall give preference

[[Page 492]]

to an applicant residing in the community to be served.

Sec. 1616.6 Equal employment opportunity.

A recipient shall adopt employment qualifications, procedures, and
policies that meet the requirements of applicable laws prohibiting
discrimination in employment, and shall take affirmative action to
insure equal employment opportunity.

Sec. 1616.7 Language ability.

In areas where a significant number of clients speak a language
other than English as their principal language, a recipient shall adopt
employment policies that insure that legal assistance will be provided
in the language spoken by such clients.

PART 1617_CLASS ACTIONS--Table of Contents

Sec.
1617.1 Purpose.
1617.2 Definitions.
1617.3 Prohibition.
1617.4 Recipient policies and procedures.

Authority: 29 U.S.C. 2996e(d)(5); 110 Stat. 3009 (1996); 110 Stat.
1321 (1996).

Source: 61 FR 63755, Dec. 2, 1996, unless otherwise noted.

Sec. 1617.1 Purpose.

This rule is intended to ensure that LSC recipients do not initiate
or participate in class actions.

Sec. 1617.2 Definitions.

(a) Class action means a lawsuit filed as, or otherwise declared by
the court having jurisdiction over the case to be, a class action
pursuant to Rule 23 of the Federal Rules of Civil Procedure or the
comparable State statute or rule of civil procedure applicable in the
court in which the action is filed.
(b)(1) Initiating or participating in any class action means any
involvement at any stage of a class action prior to or after an order
granting relief. ``Involvement'' includes acting as amicus curiae, co-
counsel or otherwise providing representation relating to a class
action.
(2) Initiating or participating in any class action does not include
representation of an individual client seeking to withdraw from or opt
out of a class or obtain the benefit of relief ordered by the court, or
non-adversarial activities, including efforts to remain informed about,
or to explain, clarify, educate or advise others about the terms of an
order granting relief.

Sec. 1617.3 Prohibition.

Recipients are prohibited from initiating or participating in any
class action.

Sec. 1617.4 Recipient policies and procedures.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part.

PART 1618_ENFORCEMENT PROCEDURES--Table of Contents

Sec.
1618.1 Purpose.
1618.2 Definition.
1618.3 Complaints.
1618.4 Duties of recipients.
1618.5 Duties of the Corporation.

Authority: 42 U.S.C. 2996e(b)(1), 2996e(b)(2), 2996e(b)(5),
2996f(a)(3), 2996f(d), and 2996g(e).

Source: 78 FR 10097, Feb. 13, 2013, unless otherwise noted.

Sec. 1618.1 Purpose.

In order to ensure uniform and consistent interpretation and
application of the provisions of the LSC Act, the Corporation's
appropriations act or other law applicable to LSC funds, a Corporation
rule, regulation, guideline or instruction, or the terms and conditions
of the recipient's grant or contract with the Corporation, and to
prevent a question of whether these requirements have been violated from
becoming an ancillary issue in any case undertaken by a recipient, this
part establishes a systematic procedure for enforcing compliance with
them.

Sec. 1618.2 Definitions.

LSC requirements means the provisions of the LSC Act, the
Corporation's appropriations act or other law applicable to LSC funds, a
Corporation rule, regulation, guideline or instruction, or the terms or
conditions of the recipient's grant or contract with the Corporation.

[[Page 493]]

Violation means a violation by the recipient of the LSC
requirements.

Sec. 1618.3 Complaints.

A complaint of a violation by a recipient or an employee of a
recipient may be made to the recipient, the State Advisory Council, or
the Corporation.

Sec. 1618.4 Duties of recipients.

(a) A recipient shall:
(1) Advise its employees of their responsibilities under the LSC
requirements;
(2) Establish procedures, consistent with the notice and hearing
requirements of section 1011 of the LSC Act, for determining whether an
employee has committed a violation and whether the violation merits a
sanction based on consideration of the totality of the circumstances;
and
(3) Establish a policy for determining the appropriate sanction to
be imposed for a violation, including:
(i) Administrative reprimand if a violation is found to be minor and
unintentional, or otherwise affected by mitigating circumstances;
(ii) Suspension and termination of employment; and
(iii) Other sanctions appropriate for enforcement of the LSC
requirements.
(b) Before suspending or terminating the employment of any person
for a violation, a recipient shall consult the Corporation to ensure
that its interpretation of these requirements is consistent with
Corporation policy.
(c) This section provides procedural requirements between the
Corporation and recipients. It does not create rights for recipient
employees.

Sec. 1618.5 Duties of the Corporation.

(a) Whenever the Corporation learns that there is reason to believe
that a recipient or a recipient's employee may have committed a
violation, the Corporation shall investigate the matter promptly and
attempt to resolve it through informal consultation with the recipient.
Such actions may be limited to determining if the recipient is
sufficiently investigating and resolving the matter itself.
(b) Whenever there is substantial reason to believe that a recipient
has persistently or intentionally violated the LSC requirements, or,
after notice, has failed to take appropriate remedial or disciplinary
action to ensure compliance by its employees with the LSC requirements,
and attempts at informal resolution have been unsuccessful, the
Corporation may proceed to suspend or terminate financial support of the
recipient, or impose a limited reduction in funding, pursuant to the
procedures set forth in parts 1623 and 1606, or may take other action to
enforce compliance with the LSC requirements.
(c) Whenever the Corporation determines that a recipient has
committed a violation, that corrective actions by the recipient are
required to remedy the violation and/or prevent recurrence of the
violation, and that imposition of special grant conditions are needed
prior to the next grant renewal or competition for the service area, the
Corporation may immediately impose Special Grant Conditions on the
recipient to require completion of those corrective actions.

PART 1619_DISCLOSURE OF INFORMATION--Table of Contents

Sec.
1619.1 Purpose.
1619.2 Policy.
1619.3 Referral to the Corporation.
1619.4 Exemptions.

Authority: Sec. 1006(b)(1), (42 U.S.C. 2996e(b)(1)); sec. 1008(e),
(42 U.S.C. 2996g(e)).

Source: 42 FR 4848, Jan. 26, 1977, unless otherwise noted.

Sec. 1619.1 Purpose.

This part is designed to insure disclosure of information that is a
valid subject of public interest in the activities of a recipient.

Sec. 1619.2 Policy.

A recipient shall adopt a procedure for affording the public
appropriate access to the Act, Corporation rules, regulations and
guidelines, the recipient's written policies, procedures, and
guidelines, the names and addresses of the members of its governing
body, and other materials that the recipient determines should be
disclosed. The procedure adopted shall be subject to approval by the
Corporation.

[[Page 494]]

Sec. 1619.3 Referral to the Corporation.

If a person requests information, not required to be disclosed by
this part, that the Corporation may be required to disclose pursuant to
part 1602 of this chapter implementing the Freedom of Information Act,
the recipient shall either provide the information or inform the person
seeking it how to request it from the Corporation.

Sec. 1619.4 Exemptions.

Nothing in this part shall require disclosure of:
(a) Any information furnished to a recipient by a client;
(b) The work product of an attorney or paralegal;
(c) Any material used by a recipient in providing representation to
clients;
(d) Any matter that is related solely to the internal personnel
rules and practices of the recipient; or
(e) Personnel, medical, or similar files.

PART 1620_PRIORITIES IN USE OF RESOURCES--Table of Contents

Sec.
1620.1 Purpose.
1620.2 Definitions.
1620.3 Establishing priorities.
1620.4 Establishing policies and procedures for emergencies.
1620.5 Annual review.
1620.6 Signed written agreement.
1620.7 Reporting.

Authority: 42 U.S.C. 2996f(a)(2); Pub. L. 104-208, 110 Stat. 3009;
Pub. L. 104-134,110 Stat. 1321.

Source: 62 FR 19408, Apr. 21, 1997, unless otherwise noted.

Sec. 1620.1 Purpose.

This part is designed to provide guidance to recipients for setting
priorities and to ensure that a recipient's governing body adopts
written priorities for the types of cases and matters, including
emergencies, to which the recipient's staff will limit its commitment of
time and resources.

Sec. 1620.2 Definitions.

(a) A case is a form of program service in which an attorney or
paralegal of a recipient provides legal services to one or more specific
clients, including, without limitation, providing representation in
litigation, administrative proceedings, and negotiations, and such
actions as advice, providing brief services and transactional
assistance, and assistance with individual Private Attorney Involvement
(PAI) cases.
(b) A matter is an action which contributes to the overall delivery
of program services but does not involve direct legal advice to or legal
representation of one or more specific clients. Examples of matters
include both direct services, such as community education presentations,
operating pro se clinics, providing information about the availability
of legal assistance, and developing written materials explaining legal
rights and responsibilities; and indirect services, such as training,
continuing legal education, general supervision of program services,
preparing and disseminating desk manuals, PAI recruitment, intake when
no case is undertaken, and tracking substantive law developments.

Sec. 1620.3 Establishing priorities.

(a) The governing body of a recipient must adopt procedures for
establishing priorities for the use of all of its Corporation and non-
Corporation resources and must adopt a written statement of priorities,
pursuant to those procedures, that determines the cases and matters
which may be undertaken by the recipient.
(b) The procedures adopted must include an effective appraisal of
the needs of eligible clients in the geographic area served by the
recipient, and their relative importance, based on information received
from potential or current eligible clients that is solicited in a manner
reasonably calculated to obtain the views of all significant segments of
the client population. The appraisal must also include and be based on
information from the recipient's employees, governing body members, the
private bar, and other interested persons. The appraisal should address
the need for outreach, training of the recipient's employees, and
support services.
(c) The following factors shall be among those considered by the
recipient in establishing priorities:

[[Page 495]]

(1) The suggested priorities promulgated by the Legal Services
Corporation;
(2) The appraisal described in paragraph (b) of this section;
(3) The population of eligible clients in the geographic areas
served by the recipient, including all significant segments of that
population with special legal problems or special difficulties of access
to legal services;
(4) The resources of the recipient;
(5) The availability of another source of free or low-cost legal
assistance in a particular category of cases or matters;
(6) The availability of other sources of training, support, and
outreach services;
(7) The relative importance of particular legal problems to the
individual clients of the recipient;
(8) The susceptibility of particular problems to solution through
legal processes;
(9) Whether legal efforts by the recipient will complement other
efforts to solve particular problems in the area served;
(10) Whether legal efforts will result in efficient and economic
delivery of legal services; and
(11) Whether there is a need to establish different priorities in
different parts of the recipient's service area.

Sec. 1620.4 Establishing policies and procedures for emergencies.

The governing body of a recipient shall adopt written policies and
procedures to guide the recipient in undertaking emergency cases or
matters not within the recipient's established priorities. Emergencies
include those non-priority cases or matters that require immediate legal
action to:
(a) Secure or preserve the necessities of life,
(b) Protect against or eliminate a significant risk to the health or
safety of the client or immediate family members, or
(c) Address other significant legal issues that arise because of new
and unforeseen circumstances.

Sec. 1620.5 Annual review.

(a) Priorities shall be set periodically and shall be reviewed by
the governing body of the recipient annually or more frequently if the
recipient has accepted a significant number of emergency cases outside
of its priorities.
(b) The following factors should be among those considered in
determining whether the recipient's priorities should be changed:
(1) The extent to which the objectives of the recipient's priorities
have been accomplished;
(2) Changes in the resources of the recipient;
(3) Changes in the size, distribution, or needs of the eligible
client population; and
(4) The volume of non-priority emergency cases or matters in a
particular legal area since priorities were last reviewed.

Sec. 1620.6 Signed written agreement.

All staff who handle cases or matters, or are authorized to make
decisions about case acceptance, must sign a simple agreement developed
by the recipient which indicates that the signatory:
(a) Has read and is familiar with the priorities of the recipient;
(b) Has read and is familiar with the definition of an emergency
situation and the procedures for dealing with an emergency that have
been adopted by the recipient; and
(c) Will not undertake any case or matter for the recipient that is
not a priority or an emergency.

Sec. 1620.7 Reporting.

(a) The recipient shall report to the recipient's governing body on
a quarterly basis information on all emergency cases or matters
undertaken that were not within the recipient's priorities, and shall
include a rationale for undertaking each such case or matter.
(b) The recipient shall report annually to the Corporation, on a
form provided by the Corporation, information on all emergency cases or
matters undertaken that were not within the recipient's priorities.
(c) The recipient shall submit to the Corporation and make available
to the public an annual report summarizing the review of priorities; the
date of the most recent appraisal; the timetable

[[Page 496]]

for the future appraisal of needs and evaluation of priorities;
mechanisms which will be utilized to ensure effective client
participation in priority-setting; and any changes in priorities.

PART 1621_CLIENT GRIEVANCE PROCEDURES--Table of Contents

Sec.
1621.1 Purpose.
1621.2 Grievance committee.
1621.3 Complaints by applicants about denial legal assistance.
1621.4 Complaints by clients about manner or quality of legal
assistance.

Authority: Sec. 1006(b)(1), 42 U.S.C. 2996e(b)(1); sec. 1006(b)(3),
42 U.S.C. 2996e(b)(3); sec. 1007(a)(1), 42 U.S.C. 2996f(a)(1).

Source: 72 FR 3954, Jan. 29, 2007, unless otherwise noted.

Sec. 1621.1 Purpose.

This Part is intended to help ensure that recipients provide the
highest quality legal assistance to clients as required by the LSC Act
and are accountable to clients and applicants for legal assistance by
requiring recipients to establish grievance procedures to process
complaints by applicants about the denial of legal assistance and
clients about the manner or quality of legal assistance provided. This
Part is further intended to help ensure that the grievance procedures
adopted by recipients will result, to the extent possible, in the
provision of an effective remedy in the resolution of complaints.

Sec. 1621.2 Grievance Committee.

The governing body of a recipient shall establish a grievance
committee or committees, composed of lawyer and client members of the
governing body, in approximately the same proportion in which they are
on the governing body.

Sec. 1621.3 Complaints by applicants about denial of legal assistance.

A recipient shall establish a simple procedure for review of
complaints by applicants about decisions to deny legal assistance to the
applicant. The procedure shall, at a minimum, provide: A practical
method for the recipient to provide applicants with adequate notice of
the complaint procedures and how to make a complaint; and an opportunity
for applicants to confer with the Executive Director or the Executive
Director's designee, and, to the extent practical, with a representative
of the governing body. The procedure shall be designed to foster
effective communications between the recipient and complaining
applicants.

Sec. 1621.4 Complaints by clients about manner or quality of
legal assistance.

(a) A recipient shall establish procedures for the review of
complaints by clients about the manner or quality of legal assistance
that has been rendered by the recipient to the client.
(b) The procedures shall be designed to foster effective
communications between the recipient and the complaining client and, at
a minimum, provide:
(1) A method for providing a client, at the time the person is
accepted as a client or as soon thereafter as is practical, with
adequate notice of the complaint procedures and how to make a complaint;
(2) For prompt consideration of each complaint by the Executive
Director or the Executive Director's designee,
(3) An opportunity for the complainant, if the Executive Director or
the Executive Director's designee is unable to resolve the matter, to
submit an oral or written statement to a grievance committee established
by the governing body as required by Sec. 1621.2 of this Part. The
procedures shall also: provide that the opportunity to submit an oral
statement may be accomplished in person, by teleconference, or through
some other reasonable alternative; permit a complainant to be
accompanied by another person who may speak on that complainant's
behalf; and provide that, upon request of the complainant, the recipient
shall transcribe a brief written statement, dictated by the complainant
for inclusion in the recipient's complaint file.
(c) Complaints received from clients about the manner or quality of
legal assistance that has been rendered by a private attorney pursuant
to the recipient's private attorney involvement program under 45 CFR
Part 1614 shall

[[Page 497]]

be processed in a manner consistent with its responsibilities under 45
CFR Sec. 1614.3(d)(3) and with applicable state or local rules of
professional responsibility.
(d) A file containing every complaint and a statement of its
disposition shall be preserved for examination by LSC. The file shall
include any written statement submitted by the complainant or
transcribed by the recipient from a complainant's oral statement.

PART 1622_PUBLIC ACCESS TO MEETINGS UNDER THE GOVERNMENT
IN THE SUNSHINE ACT--Table of Contents

Sec.
1622.1 Purpose and scope.
1622.2 Definitions.
1622.3 Open meetings.
1622.4 Public announcement of meetings.
1622.5 Grounds on which meetings may be closed or information withheld.
1622.6 Procedures for closing discussion or withholding information.
1622.7 Certification by the General Counsel.
1622.8 Records of closed meetings.
1622.9 Emergency procedures.
1622.10 Report to Congress.

Authority: Sec. 1004(g), Pub. L. 95-222, 91 Stat. 1619, (42 U.S.C.
2996c(g)).

Source: 49 FR 30940, Aug. 2, 1984, unless otherwise noted.

Sec. 1622.1 Purpose and scope.

This part is designed to provide the public with full access to the
deliberations and decisions of the Board of Directors of the Legal
Services Corporation, committees of the Board, and state Advisory
Councils, while maintaining the ability of those bodies to carry out
their responsibilities and protecting the rights of individuals.

Sec. 1622.2 Definitions.

Board means the Board of Directors of the Legal Services
Corporation.
Committee means any formally designated subdivision of the Board
established pursuant to Sec. 1601.27 of the By-Laws of the Corporation.
Council means a state Advisory Council appointed by a state Governor
or the Board pursuant to section 1004(f) of the Legal Services
Corporation Act of 1974, 42 U.S.C. 2996c(f).
Director means a voting member of the Board or a Council. Reference
to actions by or communications to a ``Director'' means action by or
communications to Board members with respect to proceedings of the
Board, committee members with respect to proceedings of their
committees, and council members with respect to proceedings of their
councils.
General Counsel means the General Counsel of the Corporation, or, in
the absence of the General Counsel of the Corporation, a person
designated by the President to fulfill the duties of the General Counsel
or a member designated by a council to act as its chief legal officer.
Meetings means the deliberations of a quorum of the Board, or of any
committee, or of a council, when such deliberations determine or result
in the joint conduct or disposition of Corporation business, but does
not include deliberations about a decision to open or close a meeting, a
decision to withhold information about a meeting, or the time, place, or
subject of a meeting.
Public observation means the right of any member of the public to
attend and observe a meeting within the limits of reasonable
accommodations made available for such purposes by the Corporation, but
does not include any right to participate unless expressly invited by
the Chairman of the Board of Directors, and does not include any right
to disrupt or interfere with the disposition of Corporation business.
Publicly available for the purposes of Sec. 1622.6(e) means to be
procurable either from the Secretary of the Corporation at the site of
the meeting or from the Office of Government Relations at Corporation
Headquarters upon reasonable request made during business hours.
Quorum means the number of Board or committee members authorized to
conduct Corporation business pursuant to the Corporation's By-laws, or
the number of council members authorized to conduct its business.
Secretary means the Secretary of the Corporation, or, in the absence
of the Secretary of the Corporation, a person appointed by the Chairman
of the meeting to fulfill the duties of the Secretary, or a member
designated by a council to act as its secretary.

[[Page 498]]

Sec. 1622.3 Open meetings.

Every meeting of the Board, a committee or a council shall be open
in its entirety to public observation except as otherwise provided in
Sec. 1622.5.

Sec. 1622.4 Public announcement of meetings.

(a) Public announcement shall be posted of every meeting. The
announcement shall include: (1) The time, place, and subject matter to
be discussed;
(2) Whether the meeting or a portion thereof is to be open or closed
to public observation; and
(3) The name and telephone number of the official designated by the
Board, committee, or council to respond to requests for information
about the meeting.
(b) The announcement shall be posted at least seven calendar days
before the meeting, unless a majority of the Directors determines by a
recorded vote that Corporation business requires a meeting on fewer than
seven days notice. In the event that such a determination is made,
public announcement shall be posted at the earliest practicable time.
(c) Each public announcement shall be posted at the offices of the
Corporation in an area to which the public has access, and promptly
submitted to the Federal Register for publication. Reasonable effort
shall be made to communicate the announcement of a Board or committee
meeting to the chairman of each council and the governing body and the
program director of each recipient of funds from the Corporation, and of
a council meeting to the governing body and program director of each
recipient within the same State.
(d) An amended announcement shall be issued of any change in the
information provided by a public announcement. Such changes shall be
made in the following manner:
(1) The time or place of a meeting may be changed without a recorded
vote.
(2) The subject matter of a meeting, or a decision to open or close
a meeting or a portion thereof, may be changed by recorded vote of a
majority of the Directors that Corporation business so requires and that
no earlier announcement of the change was possible.

An amended public announcement shall be made at the earliest practicable
time and in the manner specified by Sec. 1622.4 (a) and (c). In the
event that changes are made pursuant to Sec. 1622.4(d)(2), the amended
public announcement shall also include the vote of each Director upon
such change.

[49 FR 30940, Aug. 2, 1984, as amended at 50 FR 30714, July 29, 1985]

Sec. 1622.5 Grounds on which meetings may be closed or information
withheld.

Except when the Board or council finds that the public interest
requires otherwise, a meeting or a portion thereof may be closed to
public observation, and information pertaining to such meeting or
portion thereof may be withheld, if the Board or council determines that
such meeting or portion thereof, or disclosure of such information, will
more probably than not:
(a) Relate solely to the internal personnel rules and practices of
the Corporation;
(b) Disclose matters specifically exempted from disclosure by
statute (other than the Freedom of Information Act, 5 U.S.C. 552):
Provided, That such statute (1) requires that the matters be withheld
from the public in such a manner as to leave no discretion on the issue,
or
(2) Establishes particular types of matters to be withheld;
(c) Disclose trade secrets and commercial or financial information
obtained from a person and privileged or confidential;
(d) Involve accusing any person of a crime or formally censuring any
person;
(e) Disclose information of a personal nature where disclosure would
constitute a clearly unwarranted invasion of personal privacy;
(f) Disclose investigatory records compiled for the purpose of
enforcing the Act or any other law, or information which if written
would be contained in such records, but only to the extent that
production of such records or information would: (1) Interfere with
enforcement proceedings,

[[Page 499]]

(2) Deprive a person of a right to a fair trial or an impartial
adjudication,
(3) Constitute an unwarranted invasion of personal privacy,
(4) Disclose the identity of a confidential source,
(5) Disclose investigative techniques and procedures, or
(6) Endanger the life or physical safety of law enforcement
personnel;
(g) Disclose information the premature disclosure of which would be
likely to frustrate significantly implementation of a proposed
Corporation action, except that this paragraph shall not apply in any
instance where the Corporation has already disclosed to the public the
content or nature of its proposed action, or where the Corporation is
required by law to make such disclosure on its own initiative prior to
taking final action on such proposal; or
(h) Specifically concern the Corporation's participation in a civil
action or proceeding, an action in a foreign court or international
tribunal, or an arbitration, or the initiation, conduct, or disposition
by the Corporation of a particular case involving a determination on the
record after opportunity for a hearing.

Sec. 1622.6 Procedures for closing discussion or withholding information.

(a) No meeting or portion of a meeting shall be closed to public
observation, and no information about a meeting shall be withheld from
the public, except by a recorded vote of a majority of the Directors
with respect to each meeting or portion thereof proposed to be closed to
the public, or with respect to any information that is proposed to be
withheld.
(b) A separate vote of the Directors shall be taken with respect to
each meeting or portion thereof proposed to be closed to the public, or
with respect to any information which is proposed to be withheld;
except, a single vote may be taken with respect to a series of meetings
or portions thereof which are proposed to be closed to the public, or
with respect to any information concerning such series of meetings, so
long as each meeting in such series involves the same particular matters
and is scheduled to be held no more than thirty days after the initial
meeting in such series.
(c) Whenever any person's interest may be directly affected by a
matter to be discussed at a meeting, the person may request that a
portion of the meeting be closed to public observation by filing a
written statement with the Secretary. The statement shall set forth the
person's interest, the manner in which that interest will be affected at
the meeting, and the grounds upon which closure is claimed to be proper
under Sec. 1622.5. The Secretary shall promptly communicate the request
to the Directors, and a recorded vote as required by paragraph (a) of
this section shall be taken if any Director so requests.
(d) With respect to each vote taken pursuant to paragraphs (a)
through (c) of this section, the vote of each Director participating in
the vote shall be recorded and no proxies shall be allowed.
(e) With respect to each vote taken pursuant to paragraphs (a)
through (c) of this section, the Corporation shall, within one business
day, make publicly available:
(1) A written record of the vote of each Director on the question;
(2) A full written explanation of the action closing the meeting,
portion(s) thereof, or series of meetings, with reference to the
specific exemptions listed in Sec. 1622.5, including a statement of
reasons as to why the specific discussion comes within the cited
exemption and a list of all persons expected to attend the meeting(s) or
portion(s) thereof and their affiliation.

[49 FR 30940, Aug. 2, 1984, as amended at 50 FR 30714, July 29, 1985]

Sec. 1622.7 Certification by the General Counsel.

Before a meeting or portion thereof is closed, the General Counsel
shall publicly certify that, in his opinion, the meeting may be so
closed to the public and shall state each relevant exemption. A copy of
the certification, together with a statement from the presiding officer
of the meeting setting forth the time and place of the meeting and the
persons present, shall be retained by the Corporation.

[[Page 500]]

Sec. 1622.8 Records of closed meetings.

(a) The Secretary shall make a complete transcript or electronic
recording adequate to record fully the proceedings of each meeting or
portion thereof closed to the public, except that in the case of meeting
or any portion thereof closed to the public pursuant to paragraph (h) of
Sec. 1622.5, a transcript, a recording, or a set of minutes shall be
made.
Any such minutes shall describe all matters discussed and shall
provide a summary of any actions taken and the reasons therefor,
including a description of each Director's views expressed on any item
and the record of each Director's vote on the question. All documents
considered in connection with any action shall be identified in the
minutes.
(b) A complete copy of the transcript, recording, or minutes
required by paragraph (a) of this section shall be maintained at the
Corporation for a Board or committee meeting, and at the appropriate
Regional Office for a council meeting, for a period of two years after
the meeting, or until one year after the conclusion of any Corporation
proceeding with respect to which the meeting was held, whichever occurs
later.
(c) The Corporation shall make available to the public all portions
of the transcript, recording, or minutes required by paragraph (a) of
this section that do not contain information that may be withheld under
Sec. 1622.5. A copy of those portions of the transcript, recording, or
minutes that are available to the public shall be furnished to any
person upon request at the actual cost of duplication or transcription.
(d) Copies of Corporation records other than notices or records
prepared under this part may be pursued in accordance with part 1602 of
these regulations.

Sec. 1622.9 Emergency procedures.

If, in the opinion of the Chairman, the Directors are rendered
incapable of conducting a meeting by the acts or conduct of any members
of the public present at the meeting, the Directors may thereupon
determine by a recorded vote of the majority of the number of Directors
present at the meeting that the Chairman or presiding officer of the
Board shall have the authority to have such members of the public who
are responsible for such acts or conduct removed from the meeting.

[50 FR 30714, July 29, 1985]

Sec. 1622.10 Report to Congress.

The Corporation shall report to the Congress annually regarding its
compliance with the requirements of the Government in the Sunshine Act,
5 U.S.C. 552(b), including a tabulation of the number of meetings open
to the public, the number of meetings or portions of meetings closed to
the public, the reasons for closing such meetings or portions thereof,
and a description of any litigation brought against the Corporation
under 5 U.S.C. 552b, including any costs assessed against the
Corporation in such litigation.

PART 1623_SUSPENSION PROCEDURES--Table of Contents

Sec.
1623.1 Purpose.
1623.2 Definitions.
1623.3 Grounds for suspension.
1623.4 Suspension procedures.
1623.5 Time extensions and waiver.
1623.6 Interim funding.

Authority: 42 U.S.C. 2996e(b)(1), 2996f(a)(3), and 2996f(d); Pub. L.
105-119, Title V, Secs. 501(b), 502, and 503, 111 Stat. 2440, 2510-11;
Pub. L. 104-134, Title V, Secs. 503(f) and 509(c), 110 Stat. 1321, 1321-
53, 1321-58, and 1321-59.

Source: 78 FR 10098, Feb. 13, 2013, unless otherwise noted.

Sec. 1623.1 Purpose.

The purpose of this rule is to:
(a) Ensure that the Corporation is able to take prompt action when
necessary to safeguard LSC funds or to ensure the compliance of a
recipient with applicable provisions of law, or a rule, regulation,
guideline or instruction issued by the Corporation, or the terms and
conditions of a recipient's grant or contract with the Corporation; and
(b) Provide procedures for prompt review that will ensure informed
deliberation by the Corporation when it has made a proposed
determination that financial assistance to a recipient should be
suspended.

[[Page 501]]

Sec. 1623.2 Definitions.

For the purposes of this part the definitions in 45 CFR part 1606
shall apply and also:
Suspension means an action taken during the term of the recipient's
current year's grant or contract with the Corporation that withholds
financial assistance to a recipient, in whole or in part, until the end
of the suspension period pending prompt corrective action by the
recipient or a decision by the Corporation to initiate termination
proceedings.

Sec. 1623.3 Grounds for suspension.

(a) Financial assistance provided to a recipient may be suspended
when the Corporation determines that there has been a substantial
violation by the recipient of the LSC requirements, and the Corporation
has reason to believe that prompt action is necessary to:
(1) Safeguard LSC funds; or
(2) Ensure immediate corrective action necessary to bring a
recipient into compliance with an applicable provision of law, or a
rule, regulation, guideline or instruction issued by the Corporation, or
the terms and conditions of the recipient's grant or contract with the
Corporation.
(b) Financial assistance provided to a recipient may also be
suspended by the Corporation pursuant to a recommendation by the Office
of Inspector General when the recipient has failed to have an acceptable
audit in accordance with the guidance promulgated by the Corporation's
Office of Inspector General.

Sec. 1623.4 Suspension procedures.

(a) Prior to a preliminary determination involving a suspension of
funding, the Corporation shall designate either the President or another
senior Corporation employee to conduct any final review that is
requested pursuant this part. The Corporation shall ensure that the
person so designated has had no prior involvement in the proceedings
under this part so as to meet the criterion of impartiality described in
this section.
(b) When the Corporation has made a proposed determination, based on
the grounds set out in Sec. 1623.3 of this part, that financial
assistance to a recipient should be suspended, the Corporation shall
serve a written proposed determination on the recipient. The proposed
determination shall:
(1) State the grounds and effective date for the proposed
suspension;
(2) Identify, with reasonable specificity, any facts or documents
relied upon as justification for the suspension;
(3) Specify what, if any, prompt corrective action the recipient can
take to avoid or end the suspension;
(4) Advise the recipient that it may request, within 5 business days
of receipt of the proposed determination, an informal meeting with the
Corporation at which it may attempt to show that the proposed suspension
should not be imposed; and
(5) Advise the recipient that, within 10 business days of its
receipt of the proposed determination and without regard to whether it
requests an informal meeting, it may submit written materials in
opposition to the proposed suspension.
(c) If the recipient requests an informal meeting with the
Corporation, the Corporation shall designate the time and place for the
meeting. The meeting shall occur within 5 business days after the
recipient's request is received.
(d) The informal meeting shall be conducted by the Corporation
employee who issued the preliminary determination or any other
Corporation employee with a seniority level at, or equivalent to, the
level of an office director or higher.
(e) At the informal meeting, the Corporation and the recipient shall
both have an opportunity to state their case, seek to narrow the issues,
explore the possibilities of settlement or compromise including
implementation of corrective actions, and submit written materials.
(f) The Corporation shall consider any written materials submitted
by the recipient in opposition to the proposed suspension and any oral
presentation or written materials submitted by the recipient at an
informal meeting. If, after considering such materials, the Corporation
determines that the recipient has failed to show that the suspension
should not become effective, the Corporation may issue a

[[Page 502]]

written final determination to suspend financial assistance to the
recipient in whole or in part and under such terms and conditions the
Corporation deems appropriate and necessary. The final determination
shall include a summary of the issues raised in the informal conference
and presented in any written materials. The final determination need not
engage in a detailed analysis of all issues raised.
(g) The final determination shall be promptly transmitted to the
recipient in a manner that verifies receipt of the determination by the
recipient, and the suspension shall become effective when the final
determination is received by the recipient or on such later date as is
specified therein.
(h) If a suspension lasts for more than 30 days, then the recipient
may seek review of the suspension by the President. A request may be
made in writing on the thirty-first day or any day thereafter, and shall
state, in detail, the reasons for seeking review.
(1) The President may not review the suspension appeal if the
President has had prior involvement in the suspension proceedings. If
the President cannot review, or the President chooses not to do so, then
the appeal shall be reviewed by either the individual designated to do
so pursuant to Sec. 1623.4(a) of this part, or by another senior
Corporation employee designated by the President who has not had prior
involvement in the suspension proceedings.
(2) The President's review shall be based on the administrative
record of the proceedings, including the appeal to the President, and
any additional submissions, either oral or in writing that the President
may request. A recipient shall be given a copy of, and an opportunity to
respond to, any additional submissions made to the President. All
submissions and responses made to the President shall become part of the
administrative record. Upon request, the Corporation shall provide a
copy of the administrative record to the recipient.
(3) The President shall affirm, modify, or terminate the suspension
through a suspension appeal decision within 15 calendar days of receipt
of the appeal by the Corporation, unless the Corporation and the
recipient agree to a later date.
(i) The Corporation may at any time rescind or modify the terms of
the final determination to suspend and, on written notice to the
recipient, may reinstate the suspension without further proceedings
under this part.
(j) Except as provided in Sec. 1623.4(k) of this part, the total
time of a suspension shall not exceed 90 calendar days, unless the
Corporation and the recipient agree to a continuation of the suspension
without further proceedings under this part.
(k) When the suspension is based on the grounds in Sec. 1623.3(b)
of this part, a recipient's funds may be suspended until an acceptable
audit is completed. No appeal to the President will be available for
audit-based suspensions pursuant to Sec. 1623.3(b).

Sec. 1623.5 Time extensions and waiver.

(a) Except for the time limits in Sec. 1623.4(i) and (j), any
period of time provided in this part may be extended by the Corporation
for good cause. Requests for extensions of time shall be considered in
light of the overall objective that the procedures prescribed by this
part ordinarily shall be concluded within 30 calendar days of the
service of the proposed determination.
(b) Any other provision of this part may be waived or modified by
agreement of the recipient and the Corporation for good cause.
(c) Failure by the Corporation to meet a time requirement of this
part shall not preclude the Corporation from suspending a recipient's
grant or contract with the Corporation.

Sec. 1623.6 Interim funding.

(a) Pending the completion of suspension proceedings under this
part, the Corporation shall provide the recipient with the level of
financial assistance provided for under its current grant or contract
with the Corporation.
(b) Funds withheld pursuant to a suspension shall be released to the
recipient at the end of the suspension period.

[[Page 503]]

PART 1624_PROHIBITION AGAINST DISCRIMINATION ON THE BASIS
OF DISABILITY--Table of Contents

Sec.
1624.1 Purpose.
1624.2 Application.
1624.3 Definitions.
1624.4 Discrimination prohibited.
1624.5 Accessibility of legal services.
1624.6 Employment.
1624.7 Enforcement.

Authority: 49 U.S.C. 794; 42 U.S.C. 2996f(a)(1) and (3).

Source: 71 FR 65059, Nov. 7, 2006, unless otherwise noted.

Sec. 1624.1 Purpose.

The purpose of this part is to assist and provide guidance to legal
services programs supported in whole or in part by Legal Services
Corporation funds in removing any impediments that may exist to the
provision of legal assistance to persons with disabilities eligible for
such assistance in accordance with section 504 of the Rehabilitation Act
of 1973, as amended, 29 U.S.C. 794 and with sections 1007(a)(1) and (3)
of the Legal Services Corporation Act, as amended, 42 U.S.C. 2996f(a)(1)
and (3), with respect to the provision of services to and employment of
persons with disabilities. The requirements of this Part apply in
addition to any responsibilities legal services programs may have under
applicable requirements of the Americans with Disabilities Act and
applicable implementing regulations of the Department of Justice and the
Equal Employment Opportunity Commission.

Sec. 1624.2 Application.

This part applies to each legal services program receiving financial
assistance from the Legal Services Corporation.

Sec. 1624.3 Definitions.

As used in this part, the term:
(a) Legal services program means any recipient, as defined by Sec.
1600.1 of this chapter, or any other public or private agency,
institution, organization, or other entity, or any person to which or to
whom financial assistance is extended by the Legal Services Corporation
directly or through another agency, institution, organization, entity or
person, including any successor, assignee, or transferee of a legal
services program, but does not include the ultimate beneficiary of legal
assistance;
(b) Facility means all or any portion of buildings, structures,
equipment, roads, walks, parking lots, or other real or personal
property or interest in such property;
(c)(1) Person with a disability means any person who:
(i) Has a physical or mental impairment which substantially limits
one or more major life activities,
(ii) has a record of such an impairment, or (iii) is regarded as
having such an impairment;
(2) As used in paragraph (c)(1) of this section the phrase:
(i) Physical or mental impairment means: (A) Any physiological
disorder or condition, cosmetic disfigurement, or anatomical loss
affecting one or more of the following body systems: Neurological;
musculoskeletal; special sense organs; digestive; genitourinary; hemic
and lymphatic; skin; and endocrine; or (B) any mental or psychological
disorder, such as mental retardation, organic brain syndrome, emotional
or mental illness, and specific learning disabilities; The phrase
includes, but is not limited to, such diseases and conditions as
orthopedic, visual, speech, and hearing impairments, cerebral palsy,
epilepsy, muscular dystrophy, multiple sclerosis, cancer, heart disease,
diabetes, mental retardation, emotional illness, and drug addiction and
alcoholism;
(ii) Major life activities means functions such as caring for one's
self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working;
(iii) Has a record of such impairment means has a history of, or has
been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities;
(iv) Is regarded as having an impairment means: (A) Has a physical
or mental impairment that does not substantially limit major life
activities but is treated by a legal services program as constituting
such a limitation; (B) has a physical or mental impairment that

[[Page 504]]

substantially limits major life activities only as a result of the
attitudes of others toward such impairments; or (C) has none of the
impairments defined in paragraph (c)(2)(i) of this section but is
treated by a legal services program as having such an impairment;
(d) Qualified person with a disability means:
(1) With respect to employment, a person with a disability who, with
reasonable accommodation, can perform the essential functions of the job
in question;
(2) with respect to other services, a person with a disability who
meets the eligibility requirements for the receipt of such services from
the legal services program.
(e) Auxiliary aids and/or other assistive technologies means any
item, piece of equipment, or product system whether acquired
commercially off the shelf, modified or customized, that is used to
increase, maintain, or improve functional capabilities of individuals
with disabilities. Auxiliary aids and/or other assistive technologies
include, but are not limited to, brailled and taped material,
interpreters, telecommunications equipment for the deaf, voice
recognition software, computer screen magnifiers, screen reader
software, wireless amplification systems, and other aids.

Sec. 1624.4 Discrimination prohibited.

(a) No qualified person with a disability shall, on the basis of
disability, be excluded from participation in, be denied the benefits
of, or otherwise be subjected to discrimination by any legal services
program, directly or through any contractual or other arrangement.
(b) A legal services program may not deny a qualified person with a
disability the opportunity to participate in any of its programs or
activities or to receive any of its services provided at a facility on
the ground that the program operates a separate or different program,
activity or facility that is specifically designed to serve persons with
disabilities.
(c) In determining the geographic site or location of a facility, a
legal services program may not make selections that have the purpose or
effect of excluding persons with disabilities from, denying them the
benefits of, or otherwise subjecting them to discrimination under any
program or activity of the legal services program.
(d)(1) A legal services program that employs a total of fifteen or
more persons, regardless of whether such persons are employed at one or
more locations, shall provide, when necessary, appropriate auxiliary
aids and/or other assistive technologies to persons with impaired
sensory, manual or speaking skills, in order to afford such persons an
equal opportunity to benefit from the legal services program's services.
A legal services program is not required to maintain such aids at all
times, provided they can be obtained on reasonable notice.
(2) The Corporation may require legal services programs with fewer
than fifteen employees to provide auxiliary aids and/or other assistive
technologies where the provision of such aids would not significantly
impair the ability of the legal services program to provide its
services.
(e) A legal services program shall take reasonable steps to ensure
that communications with its applicants, employees, and beneficiaries
are available to persons with impaired vision and hearing.
(f) A legal services program may not deny persons with disabilities
the opportunity to participate as members of or in the meetings or
activities of any planning or advisory board or process established by
or conducted by the legal services program, including but not limited to
meetings and activities conducted in response to the requirements of 45
CFR part 1620.

Sec. 1624.5 Accessibility of legal services.

(a) No qualified person with a disability shall, because a legal
services program's facilities are inaccessible to or unusable by persons
with disabilities, be denied the benefits of, be excluded from
participation in, or otherwise be subjected to discrimination by any
legal services program.
(b) A legal services program shall conduct its programs and
activities so that, when viewed in their entirety, they are readily
accessible to and usable by persons with disabilities. This

[[Page 505]]

paragraph does not necessarily require a legal services program to make
each of its existing facilities or every part of an existing facility
accessible to and usable by persons with disabilities, or require a
legal services program to make structural changes in existing facilities
when other methods are effective in achieving compliance. In choosing
among available methods for meeting the requirements of this paragraph,
a legal services program shall give priority to those methods that offer
legal services to persons with disabilities in the most integrated
setting appropriate.
(c) A legal services program shall, to the maximum extent feasible,
ensure that new facilities that it rents or purchases are accessible to
persons with disabilities. Prior to entering into any lease or contract
for the purchase of a building, a legal services program shall submit a
statement to LSC certifying that the facilities covered by the lease or
contract will be accessible to persons with disabilities, or if the
facilities will not be accessible, a detailed description of the efforts
the program made to obtain accessible space, the reasons why the
inaccessible facility was nevertheless selected, and the specific steps
that will be taken by the legal services program to ensure that its
services are accessible to persons with disabilities who would otherwise
use that facility. After a statement certifying facility accessibility
has been submitted, additional statements need not be resubmitted with
respect to the same facility, unless substantial changes have been made
in the facility that affect its accessibility.
(d) A legal services program shall ensure that new facilities
designed or constructed for it are readily accessible to and usable by
persons with disabilities. Alterations to existing facilities shall, to
the maximum extent feasible, be designed and constructed to make the
altered facilities readily accessible to and usable by persons with
disabilities.

Sec. 1624.6 Employment.

(a) No qualified person with a disability shall, on the basis of
disability, be subjected to discrimination in employment by any legal
services program.
(b) A legal services program shall make all decisions concerning
employment under any program or activity to which this part applies in a
manner that ensures that discrimination on the basis of disability does
not occur, and may not limit, segregate, or classify applicants or
employees in any way that adversely affects their opportunities or
status because of disability.
(c) The prohibition against discrimination in employment applies to
the following activities:
(1) Recruitment, advertising, and the processing of applications for
employment;
(2) Hiring, upgrading, promotion, award of tenure, demotion,
transfer, layoff, termination, right of return from layoff, and
rehiring;
(3) Rates of pay or any other form of compensation and changes in
compensation;
(4) Job assignments, job classifications, organizational structures,
position descriptions, lines of progression, and seniority lists;
(5) Leaves of absence, sick leave, or any other leave;
(6) Fringe benefits available by virtue of employment, whether or
not administered by the legal services program;
(7) Selection and financial support for training, including
apprenticeship, professional meetings, conferences, and other related
activities, and selection for leaves of absence to pursue training;
(8) Employer sponsored activities, including social or recreational
programs; and
(9) Any other term, condition, or privilege of employment.
(d) A legal services program may not participate in any contractual
or other relationship with persons, agencies, organizations or other
entities such as, but not limited to, employment and referral agencies,
labor unions, organizations providing or administering fringe benefits
to employees of the legal services program, and organizations providing
training and apprenticeship programs, if the practices of such person,
agency, organization, or other entity have the effect of subjecting
qualified

[[Page 506]]

applicants or employees with disabilities to discrimination prohibited
by this paragraph.
(e) A legal services program shall make reasonable accommodation to
the known physical or mental limitations of an otherwise qualified
applicant or employee with a disability unless the accommodation would
impose an undue hardship on the operation of the program.
(1) For purposes of this paragraph (e), reasonable accommodation may
include:
(i) Making facilities used by employees readily accessible to and
usable by persons with disabilities; and
(ii) job restructuring, part-time or modified work schedules,
acquisition or modification of equipment or devices, the provision of
auxiliary aids and/or other assistive technologies, and other similar
actions.
(2) In determining whether an accommodation would impose an undue
hardship on the operation of a legal services program, factors to be
considered include, but are not limited to, the overall size of the
legal services program with respect to number of employees, number and
type of facilities, and size of budget, and the nature and costs of the
accommodation needed.
(3) A legal services program may not deny any employment opportunity
to a qualified employee or applicant with a disability if the basis for
the denial is a need to make reasonable accommodation to the physical or
mental limitations of the employee or applicant.
(f) A legal services program may not use employment tests or
criteria that discriminate against persons with disabilities, and shall
ensure that employment tests are adapted for use by persons who have
disabilities that impair sensory, manual, or speaking skills.
(g) A legal services program may not conduct a pre-employment
medical examination or make a pre-employment inquiry as to whether an
applicant is a person with a disability or as to the nature or severity
of a disability except under the circumstances described in 45 CFR
84.14(a) through (d)(2). The Corporation shall have access to relevant
information obtained in accordance with this section to permit
investigations of alleged violations of this part.
(h) A legal services program shall post in prominent places in each
of its offices a notice stating that the legal services program does not
discriminate on the basis of disability.
(i) Any recruitment materials published or used by a legal services
program shall include a statement that the legal services program does
not discriminate on the basis of disability.

Sec. 1624.7 Enforcement.

(a) The procedures described in part 1618 of these regulations shall
apply to any alleged violation of this Part by a legal services program.
(b) When LSC receives a complaint of a violation of this part, LSC
policy is generally to refer such complainants promptly to the
appropriate Federal, state or local agencies, although LSC retains the
discretion to investigate all complaints and/or to maintain an open
complaint file during the pendency of an investigation being conducted
by such other Federal, state or local agency. LSC may use, at its
discretion, information obtained by such other agency as may be
available to LSC, including findings of such other agency of whether
discrimination on the basis of disability occurred.

PART 1625 [RESERVED]

PART 1626_RESTRICTIONS ON LEGAL ASSISTANCE TO ALIENS--Table of Contents

Sec.
1626.1 Purpose.
1626.2 Definitions.
1626.3 Prohibition.
1626.4 Aliens eligible for assistance under anti-abuse laws.
1626.5 Aliens eligible for assistance based on immigration status.
1626.6 Verification of citizenship.
1626.7 Verification of eligible alien status.
1626.8 Emergencies.
1626.9 Change in circumstances.
1626.10 Special eligibility questions.
1626.11 H-2 agricultural and forestry workers.
1626.12 Recipient policies, procedures, and recordkeeping.

Authority: 42 U.S.C. 2996g(e).

Source: 79 FR 21871, Apr. 18, 2014, unless otherwise noted.

[[Page 507]]

Sec. 1626.1 Purpose.

This part is designed to ensure that recipients provide legal
assistance only to citizens of the United States and eligible aliens. It
is also designed to assist recipients in determining the eligibility and
immigration status of persons who seek legal assistance.

Sec. 1626.2 Definitions.

(a) Anti-abuse statutes means the Violence Against Women Act of
1994, Pub. L. 103-322, 108 Stat. 1941, as amended, and the Violence
Against Women and Department of Justice Reauthorization Act of 2005,
Public Law 109-162, 119 Stat. 2960 (collectively referred to as
``VAWA''); Section 101(a)(15)(U) of the INA, 8 U.S.C. 1101(a)(15)(U);
and the incorporation of these statutory provisions in section
502(a)(2)(C) of LSC's FY 1998 appropriation, Public Law 105-119, Title
V, 111 Stat. 2440, 2510 as incorporated by reference thereafter; the
Victims of Trafficking and Violence Protection Act of 2000, Public Law
106-386, 114 Stat. 1464 (``TVPA''), as amended; and Section
101(a)(15)(T) of the Immigration and Nationality Act (``INA''), 8 U.S.C.
1101(a)(15)(T).
(b) Battered or subjected to extreme cruelty includes, but is not
limited to, being the victim of any act or threatened act of violence,
including any forceful detention, which results or threatens to result
in physical or mental injury. Psychological or sexual abuse or
exploitation, including rape, molestation, incest (if the victim is a
minor), or forced prostitution may be considered acts of violence. Other
abusive actions may also be acts of violence under certain
circumstances, including acts that, in and of themselves, may not
initially appear violent but that are a part of an overall pattern of
violence.
(c) Certification means the certification prescribed in 22 U.S.C.
7105(b)(1)(E).
(d) Citizen means a person described or defined as a citizen or
national of the United States in 8 U.S.C. 1101(a)(22) and Title III of
the Immigration and Nationality Act (INA), Chapter 1 (8 U.S.C. 1401 et
seq.) (citizens by birth) and Chapter 2 (8 U.S.C. 1421 et seq.)
(citizens by naturalization) or antecedent citizen statutes.
(e) Eligible alien means a person who is not a citizen but who meets
the requirements of Sec. 1626.4 or Sec. 1626.5.
(f) Ineligible alien means a person who is not a citizen and who
does not meet the requirements of Sec. 1626.4 or Sec. 1626.5.
(g) On behalf of an ineligible alien means to render legal
assistance to an eligible client that benefits an ineligible alien and
does not affect a specific legal right or interest of the eligible
client.
(h)(1) Qualifies for immigration relief under section 101(a)(15)(U)
of the INA means:
(i) A person who has been granted relief under that section;
(ii) A person who has applied for relief under that section and who
the recipient determines has evidentiary support for such application;
or
(iii) A person who has not filed for relief under that section, but
who the recipient determines has evidentiary support for filing for such
relief.
(2) A person who qualifies for immigration relief under section
101(a)(15)(U) of the INA includes any person who may apply for primary U
visa relief under subsection (i) of section 101(a)(15)(U) of the INA (8
U.S.C. 1101(a)(15)(U)(i)) or for derivative U visa relief for family
members under subsection (ii) of section 101(a)(15)(U) of the INA (8
U.S.C. 1101(a)(15)(U)(ii)). Recipients may provide assistance for any
person who qualifies for derivative U visa relief regardless of whether
such a person has been subjected to abuse.
(i) Rejected refers to an application for adjustment of status that
has been denied by the Department of Homeland Security (DHS) and is not
subject to further administrative appeal.
(j) Victim of severe forms of trafficking means any person described
at 22 U.S.C. 7105(b)(1)(C).
(k) Victim of sexual assault or trafficking means:
(1) A victim of sexual assault subjected to any conduct included in
the definition of sexual assault in VAWA, 42 U.S.C. 13925(a)(29); or
(2) A victim of trafficking subjected to any conduct included in the
definition of ``trafficking'' under law, including, but not limited to,
local, state, and federal law, and T visa holders regardless

[[Page 508]]

of certification from the U.S. Department of Health and Human Services
(HHS).
(l) United States, for purposes of this part, has the same meaning
given that term in section 101(a)(38) of the INA (8 U.S.C. 1101(a)(38)).

[79 FR 30052, May 27, 2014]

Sec. 1626.3 Prohibition.

Recipients may not provide legal assistance for or on behalf of an
ineligible alien. For purposes of this part, legal assistance does not
include normal intake and referral services.

Sec. 1626.4 Aliens eligible for assistance under anti-abuse laws.

(a) Subject to all other eligibility requirements and restrictions
of the LSC Act and regulations and other applicable law:
(1) A recipient may provide related legal assistance to an alien who
is within one of the following categories:
(i) An alien who has been battered or subjected to extreme cruelty,
or is a victim of sexual assault or trafficking in the United States, or
qualifies for immigration relief under section 101(a)(15)(U) of the INA
(8 U.S.C. 1101(a)(15)(U)); or
(ii) An alien whose child, without the active participation of the
alien, has been battered or subjected to extreme cruelty, or has been a
victim of sexual assault or trafficking in the United States, or
qualifies for immigration relief under section 101(a)(15)(U) of the INA
(8 U.S.C. 1101(a)(15)(U)).
(2)(i) A recipient may provide legal assistance, including but not
limited to related legal assistance, to:
(A) An alien who is a victim of severe forms of trafficking of
persons in the United States; or
(B) An alien classified as a non-immigrant under section
101(a)(15)(T)(ii) of the INA (8 U.S.C. 1101(a)(15)(T)(ii), regarding
others related to the victim).
(ii) For purposes of this part, aliens described in paragraphs
(a)(2)(i)(A) and (a)(2)(i)(B) of this section include individuals
seeking certification as victims of severe forms of trafficking and
certain family members applying for immigration relief under section
101(a)(15)(T)(ii) of the INA (8 U.S.C. 1101(a)(15)(T)(ii)).
(b)(1) Related legal assistance means legal assistance directly
related:
(i) To the prevention of, or obtaining relief from, the battery,
cruelty, sexual assault, or trafficking;
(ii) To the prevention of, or obtaining relief from, crimes listed
in section 101(a)(15)(U)(iii) of the INA (8 U.S.C. 1101(a)(15)(U)(iii));
or
(iii) To an application for relief:
(A) Under section 101(a)(15)(U) of the INA (8 U.S.C.
1101(a)(15)(U)); or
(B) Under section 101(a)(15)(T) of the INA (8 U.S.C.
1101(a)(15)(T)).
(2) Such assistance includes representation in matters that will
assist a person eligible for assistance under this part to escape from
the abusive situation, ameliorate the current effects of the abuse, or
protect against future abuse, so long as the recipient can show the
necessary connection of the representation to the abuse. Such
representation may include immigration law matters and domestic or
poverty law matters (such as obtaining civil protective orders, divorce,
paternity, child custody, child and spousal support, housing, public
benefits, employment, abuse and neglect, juvenile proceedings and
contempt actions).
(c) Relationship to the United States. An alien must satisfy both
paragraph (c)(1) and either paragraph (c)(2)(i) or (ii) of this section
to be eligible for legal assistance under this part.
(1) Relation of activity to the United States. An alien is eligible
under this section if the activity giving rise to eligibility violated a
law of the United States, regardless of where the activity occurred, or
occurred in the United States (including in Indian country and military
installations) or the territories and possessions of the United States.
(2) Relationship of alien to the United States. (i) An alien defined
in Sec. 1626.2(b), (h), or (k)(1) need not be present in the United
States to be eligible for assistance under this section.
(ii) An alien defined in Sec. 1626.2(j) or (k)(2) must be present
in the United States to be eligible for assistance under this section.
(d) Evidentiary support--(1) Intake and subsequent evaluation. A
recipient may determine that an alien is qualified for assistance under
this section if there is

[[Page 509]]

evidentiary support that the alien falls into any of the eligibility
categories or if the recipient determines there will likely be
evidentiary support after a reasonable opportunity for further
investigation. If the recipient determines that an alien is eligible
because there will likely be evidentiary support, the recipient must
obtain evidence of support as soon as possible and may not delay in
order to provide continued assistance.
(2) Documentary evidence. Evidentiary support may include, but is
not limited to, affidavits or unsworn written statements made by the
alien; written summaries of statements or interviews of the alien taken
by others, including the recipient; reports and affidavits from police,
judges, and other court officials, medical personnel, school officials,
clergy, social workers, other social service agency personnel; orders of
protection or other legal evidence of steps taken to end abuse; evidence
that a person sought safe haven in a shelter or similar refuge;
photographs; documents; or other evidence of a series of acts that
establish a pattern of qualifying abuse.
(3) Victims of severe forms of trafficking. Victims of severe forms
of trafficking may present any of the forms of evidence listed in
paragraph (d)(2) of this section or any of the following:
(i) A certification letter issued by the Department of Health and
Human Services (HHS).
(ii) Verification that the alien has been certified by calling the
HHS trafficking verification line, (202) 401-5510 or (866) 401-5510.
(iii) An interim eligibility letter issued by HHS, if the alien was
subjected to severe forms of trafficking while under the age of 18.
(iv) An eligibility letter issued by HHS, if the alien was subjected
to severe forms of trafficking while under the age of 18.
(e) Recordkeeping. Recipients are not required by Sec. 1626.12 to
maintain records regarding the immigration status of clients represented
pursuant to this section. If a recipient relies on an immigration
document for the eligibility determination, the recipient shall document
that the client presented an immigration document by making a note in
the client's file stating that a staff member has seen the document, the
type of document, the client's alien registration number (``A number''),
the date of the document, and the date of the review, and containing the
signature of the staff member that reviewed the document.
(f) Changes in basis for eligibility. If, during the course of
representing an alien eligible pursuant to Sec. 1626.4(a)(1), a
recipient determines that the alien is also eligible under Sec.
1626.4(a)(2) or Sec. 1626.5, the recipient should treat the alien as
eligible under that section and may provide all the assistance available
pursuant to that section.

Sec. 1626.5 Aliens eligible for assistance based on immigration status.

Subject to all other eligibility requirements and restrictions of
the LSC Act and regulations and other applicable law, a recipient may
provide legal assistance to an alien who is present in the United States
and who is within one of the following categories:
(a) An alien lawfully admitted for permanent residence as an
immigrant as defined by section 101(a)(20) of the INA (8 U.S.C.
1101(a)(20));
(b) An alien who is either married to a United States citizen or is
a parent or an unmarried child under the age of 21 of such a citizen and
who has filed an application for adjustment of status to permanent
resident under the INA, and such application has not been rejected;
(c) An alien who is lawfully present in the United States pursuant
to an admission under section 207 of the INA (8 U.S.C. 1157) (relating
to refugee admissions) or who has been granted asylum by the Attorney
General or the Secretary of DHS under section 208 of the INA (8 U.S.C.
1158);
(d) An alien who is lawfully present in the United States as a
result of being granted conditional entry pursuant to section 203(a)(7)
of the INA (8 U.S.C. 1153(a)(7), as in effect on March 31, 1980) before
April 1, 1980, because of persecution or fear of persecution on account
of race, religion, or political opinion or because of being uprooted by
catastrophic natural calamity;
(e) An alien who is lawfully present in the United States as a
result of the

[[Page 510]]

Attorney General's withholding of deportation or exclusion under section
243(h) of the INA (8 U.S.C. 1253(h), as in effect on April 16, 1996) or
withholding of removal pursuant to section 241(b)(3) of the INA (8
U.S.C. 1231(b)(3)); or
(f) An alien who meets the requirements of Sec. 1626.10 or Sec.
1626.11.

Sec. 1626.6 Verification of citizenship.

(a) A recipient shall require all applicants for legal assistance
who claim to be citizens to attest in writing in a standard form
provided by the Corporation that they are citizens, unless the only
service provided for a citizen is brief advice and consultation by
telephone, or by other non-in-person means, which does not include
continuous representation.
(b) When a recipient has reason to doubt that an applicant is a
citizen, the recipient shall require verification of citizenship. A
recipient shall not consider factors such as a person's accent, limited
English-speaking ability, appearance, race, or national origin as a
reason to doubt that the person is a citizen.
(1) If verification is required, a recipient may accept originals,
certified copies, or photocopies that appear to be complete, correct,
and authentic of any of the following documents as evidence of
citizenship:
(i) United States passport;
(ii) Birth certificate;
(iii) Naturalization certificate;
(iv) United States Citizenship Identification Card (INS Form 1-197
or I-197); or
(v) Baptismal certificate showing place of birth within the United
States and date of baptism within two months after birth.
(2) A recipient may also accept any other authoritative document,
such as a document issued by DHS, by a court, or by another governmental
agency, that provides evidence of citizenship.
(3) If a person is unable to produce any of the above documents, the
person may submit a notarized statement signed by a third party, who
shall not be an employee of the recipient and who can produce proof of
that party's own United States citizenship, that the person seeking
legal assistance is a United States citizen.

Sec. 1626.7 Verification of eligible alien status.

(a) An alien seeking representation shall submit appropriate
documents to verify eligibility, unless the only service provided for an
eligible alien is brief advice and consultation by telephone, or by
other non-in-person means, which does not include continuous
representation of a client.
(1) As proof of eligibility, a recipient may accept originals,
certified copies, or photocopies that appear to be complete, correct,
and authentic, of any documents establishing eligibility. LSC will
publish a list of examples of such documents from time to time in the
form of a program letter or equivalent.
(2) A recipient may also accept any other authoritative document
issued by DHS, by a court, or by another governmental agency, that
provides evidence of alien status.
(b) A recipient shall upon request furnish each person seeking legal
assistance with a current list of documents establishing eligibility
under this part as is published by LSC.

Sec. 1626.8 Emergencies.

In an emergency, legal services may be provided prior to compliance
with Sec. Sec. 1626.4, 1626.6, and 1626.7 if:
(a) An applicant cannot feasibly come to the recipient's office or
otherwise transmit written documentation to the recipient before
commencement of the representation required by the emergency, and the
applicant provides oral information to establish eligibility which the
recipient records, and the applicant submits the necessary documentation
as soon as possible; or
(b) An applicant is able to come to the recipient's office but
cannot produce the required documentation before commencement of the
representation, and the applicant signs a statement of eligibility and
submits the necessary documentation as soon as possible; and
(c) The recipient informs clients accepted under paragraph (a) or
(b) of this section that only limited emergency legal assistance may be
provided without satisfactory documentation and that, if the client
fails to produce

[[Page 511]]

timely and satisfactory written documentation, the recipient will be
required to discontinue representation consistent with the recipient's
professional responsibilities.

Sec. 1626.9 Change in circumstances.

If, to the knowledge of the recipient, a client who was an eligible
alien becomes ineligible through a change in circumstances, continued
representation is prohibited by this part and a recipient must
discontinue representation consistent with applicable rules of
professional responsibility.

Sec. 1626.10 Special eligibility questions.

(a)(1) This part is not applicable to recipients providing services
in the Commonwealth of the Northern Mariana Islands, the Republic of
Palau, the Federated States of Micronesia, or the Republic of the
Marshall Islands.
(2) All citizens of the Republic of Palau, the Federated States of
Micronesia, and the Republic of the Marshall Islands residing in the
United States are eligible to receive legal assistance provided that
they are otherwise eligible under the Act.
(b) All Canadian-born American Indians at least 50% Indian by blood
are eligible to receive legal assistance provided they are otherwise
eligible under the Act.
(c) Members of the Texas Band of Kickapoo are eligible to receive
legal assistance provided they are otherwise eligible under the Act.
(d) An alien who qualified as a special agricultural worker and
whose status is adjusted to that of temporary resident alien under the
provisions of the Immigration Reform and Control Act (``IRCA'') is
considered a permanent resident alien for all purposes except
immigration under the provisions of section 302 of 100 Stat. 3422, 8
U.S.C. 1160(g). Since the status of these aliens is that of permanent
resident alien under section 101(a)(20) of the INA (8 U.S.C.
1101(a)(20)), these workers may be provided legal assistance. These
workers are ineligible for legal assistance in order to obtain the
adjustment of status of temporary resident under IRCA, but are eligible
for legal assistance after the application for adjustment of status to
that of temporary resident has been filed, and the application has not
been rejected.
(e) A recipient may provide legal assistance to indigent foreign
nationals who seek assistance pursuant to the Hague Convention on the
Civil Aspects of International Child Abduction and the Federal
implementing statute, the International Child Abduction Remedies Act, 42
U.S.C. 11607(b), provided that they are otherwise financially eligible.

Sec. 1626.11 H-2 agricultural and forestry workers.

(a) Nonimmigrant agricultural workers admitted to, or permitted to
remain in, the United States under the provisions of section
101(a)(15)(h)(ii)(a) of the INA (8 U.S.C. 1101(a)(15)(h)(ii)(a)),
commonly called H-2A agricultural workers, may be provided legal
assistance regarding the matters specified in paragraph (c) of this
section.
(b) Nonimmigrant forestry workers admitted to, or permitted to
remain in, the United States under the provisions of section
101(a)(15)(h)(ii)(b) of the INA (8 U.S.C. 1101(a)(15)(h)(ii)(b)),
commonly called H-2B forestry workers, may be provided legal assistance
regarding the matters specified in paragraph (c) of this section.
(c) The following matters which arise under the provisions of the
worker's specific employment contract may be the subject of legal
assistance by an LSC-funded program:
(1) Wages;
(2) Housing;
(3) Transportation; and
(4) Other employment rights as provided in the worker's specific
contract under which the nonimmigrant worker was admitted.

Sec. 1626.12 Recipient policies, procedures, and recordkeeping.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part and shall maintain records
sufficient to document the recipient's compliance with this part.

[79 FR 21871, Apr. 18, 2014]

[[Page 512]]

PART 1627_SUBGRANTS--Table of Contents

Sec.
1627.1 Purpose.
1627.2 Definitions.
1627.3 Characteristics of subgrants.
1627.4 Requirements for all subgrants.
1627.5 Applicability of restrictions, recordkeeping, and recipient
priorities; private attorney involvement subgrants.
1627.6 Transfers to other recipients.
1627.7 Recipient policies, procedures and recordkeeping.

Authority: 42 U.S.C. 2996g(e).

Source: 82 FR 10283, Feb. 10, 2017, unless otherwise noted.

Sec. 1627.1 Purpose.

The purpose of this part is to establish the requirements for
subgrants of LSC funds from recipients to third parties to assist in the
recipient's provision of legal assistance to eligible clients.

Sec. 1627.2 Definitions.

(a) Private attorney has the meaning given that term in 45 CFR
1614.3(i).
(b) Procurement contract means an agreement between a recipient and
a third party under which the recipient purchases property or services
that does not qualify as a subgrant as defined in paragraph (e)(1) of
this section.
(c) Property means real estate or personal property.
(d) Recipient as used in this part means any recipient as defined in
section 1002(6) of the Act and any grantee or contractor receiving funds
from LSC under section 1006(a)(1)(B) of the Act.
(e) Subgrant. (1) Subgrant means an award of LSC funds or property
or services purchased in whole or in part with LSC funds from a
recipient to a subrecipient for the subrecipient to carry out part of
the recipient's legal assistance activities. A subgrant has the
characteristics set forth in Sec. 1627.3(b).
(2) Subgrant includes fee-for-service arrangements, such as those
provided by a private law firm or attorney representing a recipient's
clients on a contract or judicare basis, only when the cost of such
arrangements exceed $60,000.
(f) Subrecipient means any entity receiving a subgrant. A single
entity may be a subrecipient with respect to some activities it conducts
for a recipient while not being a subrecipient with respect to other
activities it conducts for a recipient.

Sec. 1627.3 Characteristics of subgrants.

(a) In determining whether an agreement between a recipient and
another entity should be considered a subgrant or a procurement
contract, the substance of the relationship is more important than the
form of the agreement. All of the characteristics listed in paragraph
(b) of this section may not be present in all cases, and the recipient
must use judgment in classifying each agreement as a subgrant or a
procurement contract. The recipient must make case-by-case
determinations whether each agreement that it makes with another entity
constitutes a subgrant or a procurement contract.
(b) Characteristics that support the classification of the agreement
as a subgrant include when the other entity:
(1) Determines who is eligible to receive legal assistance under the
recipient's LSC grant;
(2) Has its performance measured in relation to whether objectives
of the LSC grant were met;
(3) Has responsibility for programmatic decision-making regarding
the delivery of legal assistance under the recipient's LSC grant;
(4) Is responsible for adherence to applicable LSC program
requirements specified in the LSC grant award; and
(5) In accordance with its agreement, uses the LSC funds or property
or services acquired in whole or in part with LSC funds, to carry out a
program for a public purpose specified in LSC's governing statutes and
regulations, as opposed to providing goods or services for the benefit
of the recipient.

Sec. 1627.4 Requirements for all subgrants.

(a) Threshold. (1) A recipient must obtain LSC's written approval
prior to making a subgrant when the cost of the subgrant is $20,000 of
LSC funds or greater.
(2) Valuation of in-kind subgrants. (i) If either the actual cost to
the recipient of the subgranted property or service

[[Page 513]]

or the fair market value of the subgranted property or service exceeds
$20,000 of LSC funds, the recipient must seek written approval from LSC
prior to making a subgrant.
(ii) The valuation of the subgrant, either by fair market value or
actual cost to the recipient of property or services, must be documented
and to the extent feasible supported by the same methods used internally
by the recipient.
(b) Corporation approval of subgrants. Recipients must submit all
applications for subgrants exceeding the $20,000 threshold to LSC in
writing for prior written approval. LSC will publish notice of the
requirements concerning the format and contents of the application
annually in the Federal Register and on LSC's Web site.
(1) Basic Field Grants. (i) Recipients should submit applications
for subgrants of Basic Field Grant funds along with the recipient's
proposal for funding, including applications for renewal of funding.
(ii) LSC will notify a recipient of its decision to approve,
disapprove, or suggest modifications to an application for subgrant
approval prior to, or at the same time as LSC provides notice of its
decision with respect to the applicant's proposal for Basic Field Grant
funding.
(2) Special grants. (i) Recipients of special grants (e.g.,
Technology Initiative Grants, Pro Bono Innovation Fund grants, emergency
relief grants), should submit their subgrant applications following
notification of approval of special grant funds.
(ii) A subgrant application must be submitted at least 45 days in
advance of its proposed effective date. Within 45 days of the date of
receipt, LSC will notify the recipient in writing of its decision to
approve, disapprove, or suggest modifications to the subgrant; or, if
LSC has not made a decision, the date by which LSC expects to make a
decision. A subgrant that is disapproved or to which LSC has suggested
modifications may be resubmitted for approval.
(3) Mid-year subgrant requests. A recipient may apply for prior
approval of a subgrant outside of the periods prescribed in paragraphs
(a)(1) and (2) of this section as needed. LSC will follow the time
periods prescribed in paragraph (a)(2)(ii) of this section to consider
and notify a recipient of its decision to approve, disapprove, or
suggest modifications to the subgrant.
(4) Failure to comply. Any subgrant not approved according to
paragraphs (a)(1) through (3) of this section will be subject to
disallowance and recovery of all funds expended under the subgrant.
(5) Changes to subgrants requiring prior approval. (i) If a
recipient needs to make substantial changes to the scope or objectives,
or increase or decrease the amount of funding of more than 10%, of a
subgrant approved under paragraph (b) of this section, the recipient
must obtain LSC's prior written approval. Minor changes in the scope or
objectives or changes in support of less than 10% do not require prior
approval, but the recipient must notify LSC of such changes in writing.
(ii) If a subgrant did not require prior approval, and the recipient
proposes a change that will cause the total value of the subgrant to
exceed the threshold for prior approval, the recipient must obtain LSC's
prior written approval before making the change.
(c) Duration of subgrant. (1) For Basic Field grants, a subgrant may
not be for a period longer than one year. All funds unexpended at the
end of the subgrant period will be considered part of the recipient's
available LSC funds.
(2) For special grants (e.g., Pro Bono Innovation Fund grants,
Technology Initiative Grants, emergency relief grants), a subgrant may
not be for a period longer than the term of the grant. Absent written
approval from LSC, all unexpended funds must be returned to LSC at the
end of the subgrant period.
(d) Provisions for termination and suspension of subgrants. All
subgrants must contain provisions for their orderly termination in the
event that the recipient is no longer an LSC recipient, and for
suspension of activities if the recipient's funding is suspended.
(e) Recipient responsibilities. (1) Recipients must ensure that
subrecipients comply with LSC's financial and audit provisions to the
extent required by this part.

[[Page 514]]

(2) The recipient must ensure that the subrecipient properly spends,
accounts for, and audits funds or property or services acquired in whole
or in part with LSC funds received through the subgrant.
(3) The recipient must repay LSC for any disallowed expenditures by
a subrecipient. Repayment is required regardless of whether the
recipient is able to recover such expenditures from the subrecipient.
(f) Accounting and auditing requirements--(1) Subgrants of funds.
(i) Any LSC funds paid by a recipient to a subrecipient through a
subgrant are subject to the audit and financial requirements of the
Audit Guide for Recipients and Auditors and the Accounting Guide for LSC
Recipients. The relationship between the recipient and subrecipient will
determine the proper method of financial reporting following generally
accepted accounting principles.
(ii) Subgranted funds may be separately disclosed and accounted for,
and reported upon in the audited financial statements of a recipient; or
such funds may be included in a separate audit report of the
subrecipient. A subgrant agreement may provide for alternative means of
assuring the propriety of subrecipient expenditures, especially in
instances where an organization receives a small subgrant. Any request
to use an alternative means of assuring propriety of subrecipient funds
must be submitted to LSC for consideration as part of the subgrant
approval process. If LSC approves a request to use an alternative means,
the information provided thereby shall satisfy the recipient's annual
audit requirement with regard to the subgrant funds.
(2) In-kind subgrants. (i) The value of property or services funded
in whole or in part with LSC funds provided by a recipient to a
subrecipient through a subgrant is subject to the audit and financial
requirements of the Audit Guide for Recipients and Auditors and the
Accounting Guide for LSC Recipients. The relationship between the
recipient and subrecipient will determine the proper method of financial
reporting following generally accepted accounting principles.
(ii) Subgrants involving in-kind exchanges of property or services
may be separately disclosed and accounted for, and reported upon in the
audited financial statements of a recipient. A subgrant agreement may
provide for alternative means of assuring the propriety of subrecipient
expenditures and use of property or services acquired in whole or in
part with LSC funds, especially in instances where an organization
receives a small subgrant. Any request to use an alternative means of
assuring propriety of subrecipient funds must be submitted to LSC for
consideration as part of the subgrant approval process. If LSC approves
a request to use an alternative means, the information provided thereby
shall satisfy the recipient's annual audit requirement with regard to
the subgrant funds.
(iii) If accounting for in-kind subgrants is not practicable, a
recipient may convert the subgrant to a cash payment and follow the
accounting procedures in paragraph (f)(1) of this section.
(iv) Subrecipients described in Sec. 1627.5(d)(2) are not subject
to the audit and financial requirements of the Audit Guide for
Recipients and Auditors and the Accounting Guide for LSC Recipients.
Such subrecipients must have financial management systems in place that
would allow the recipient and LSC to determine that any resources the
subrecipient receives or uses under the subgrant are used consistent
with 45 CFR part 1610.
(g) Oversight. To ensure subrecipient compliance with the LSC Act,
LSC's appropriations statutes, Congressional restrictions having the
force of law, and LSC's regulations, guidelines, and instructions,
agreements between a recipient and a subrecipient must provide the same
oversight rights for LSC with respect to subgrants as apply to
recipients.

Sec. 1627.5 Applicability of restrictions, recordkeeping,
and recipient priorities; private attorney involvement subgrants.

(a) Applicability of restrictions. The prohibitions and requirements
set forth in 45 CFR part 1610 apply both to the subgrant and to the
subrecipient's non-

[[Page 515]]

LSC funds, except as modified by paragraphs (b), (c), and (d) of this
section.
(b) Priorities. Subrecipients must either:
(1) Use the subgrant consistent with the recipient's priorities; or
(2) Establish their own priorities for the use of the subgrant
consistent with 45 CFR part 1620.
(c) Recordkeeping. A recipient must be able to account for how its
subrecipients spend LSC funds or use property or services funded in
whole or in part with LSC funds. A subrecipient must provide to the
recipient records as described in paragraphs (c)(1) and (2) of this
section.
(1) A subrecipient that handles matters as defined at 45 CFR
1635.2(b) must maintain adequate records to demonstrate that its
attorneys and paralegals used the LSC funds or property or services
funded in whole or in part with LSC funds:
(i) To carry out the activities described in the subgrant agreement;
and
(ii) Consistent with the restrictions set forth at 45 CFR part 1610.
(2) A subrecipient that handles cases as defined at 45 CFR
1635.2(a):
(i) Must require its attorneys and paralegals to maintain records
for each case that show the amount of time spent on the case and the
activity conducted by date, and a unique client name or case number; and
(ii) Either the subrecipient or the recipient must maintain records
for each case that show the problem type and the closing code for the
case.
(iii) This requirement does not apply to subrecipients described in
paragraph (d)(2)(ii) of this section.
(3) A subrecipient who handles both cases and matters must maintain
the types of records described in paragraphs (c)(1) and (2).
(d) Subgrants for engaging private attorneys--(1) Subgrants of
funds. The prohibitions and requirements set forth in 45 CFR part 1610
apply only to the subgranted funds when the subrecipient is a bar
association, pro bono program, private attorney or law firm, or other
entity that receives a subgrant for the sole purpose of funding private
attorney involvement activities (PAI) pursuant to 45 CFR part 1614.
(2) In-kind subgrants. The prohibitions and requirements set forth
in 45 CFR part 1610 apply only to the subgranted property or services
acquired in whole or in part with LSC funds when the subrecipient is a
bar association, pro bono program, private attorney or law firm, or
other entity that receives a subgrant for the sole purpose of:
(i) Conducting private attorney involvement activities (PAI)
pursuant to 45 CFR part 1614; or
(ii) Providing legal information or legal assistance on a pro bono
or reduced fee basis to individuals who have been screened and found
eligible to receive legal assistance from an LSC recipient.
(3) Treatment of non-LSC funds. Any funds or property or services
acquired in whole or in part with LSC funds and used by a recipient as
payment for a PAI subgrant are deemed LSC funds for purposes of this
paragraph (d).
(4) Recordkeeping exception. The recordkeeping requirement in
paragraph (c) of this section does not apply to private attorneys
providing legal assistance on a pro bono or reduced fee basis.

Sec. 1627.6 Transfers to other recipients.

(a) The requirements of this part apply to all subgrants from one
recipient to another recipient.
(b) The subrecipient must audit any funds or property or services
acquired in whole or in part with LSC funds provided by the recipient
under a subgrant in its annual audit and supply a copy of this audit to
the recipient. The recipient must either submit the relevant part of
this audit with its next annual audit or, if an audit has been recently
submitted, submit it as an addendum to that recently submitted audit.
(c) In addition to the provisions of Sec. 1627.4(c)(3), LSC may
hold the recipient responsible for any disallowed expenditures of
subgrant funds. Thus, LSC may recover all of the disallowed costs from
either the recipient or the subrecipient or may divide the recovery
between the two. LSC's total recovery may not exceed the amount of
expenditures disallowed.

[[Page 516]]

Sec. 1627.7 Recipient policies, procedures and recordkeeping.

Each recipient must adopt written policies and procedures to guide
its staff in complying with this part and must maintain records
sufficient to document the recipient's compliance with this part.

PART 1628_RECIPIENT FUND BALANCES--Table of Contents

Sec.
1628.1 Purpose.
1628.2 Definitions.
1628.3 Policy.
1628.4 Procedures.
1628.5 Fund balance deficits.

Authority: 42 U.S.C. 2996g(e).

Source: 65 FR 66642, Nov. 7, 2000, unless otherwise noted.

Sec. 1628.1 Purpose

The purpose of this part is to set out the Corporation's policies
and procedures applicable to recipient fund balances. The Corporation's
fund balance policies are intended to ensure the timely expenditure of
LSC funds for the effective and economical provision of high quality
legal assistance to eligible clients.

Sec. 1628.2 Definitions.

(a) Excess fund balance means a recipient's LSC fund balance that
exceeds the amount a recipient is permitted to retain under this part.
(b) LSC support means the sum of:
(1) The amount of financial assistance awarded by the Corporation to
the recipient for the fiscal year included in the recipient's annual
audited financial statement, not including one-time and special purpose
grants; and
(2) Any LSC derivative income, as defined in Sec. 1630.2(c), earned
by the recipient for the fiscal year included in the recipient's annual
audited financial statement, not including derivative income from one-
time and special purpose grants.
(c) The LSC fund balance is the excess of LSC support plus the prior
year carryover amount over expenditures of LSC funds (including capital
acquisitions), as each is reported in the recipient's annual financial
statements.
(d) The fund balance percentage is the amount of the LSC fund
balance expressed as a percentage of the recipient's LSC support.
(e) Recipient, as used in this part, means any grantee or contractor
receiving financial assistance from the Corporation under section
1006(a)(1)(A) of the LSC Act.

Sec. 1628.3 Policy.

(a) Recipients are permitted to retain from one fiscal year to the
next LSC fund balances up to 10% of their LSC support.
(b) Recipients may request a waiver to retain a fund balance up to a
maximum of 25% of their LSC support for special circumstances.
(c) Recipients may request a waiver to retain a fund balance in
excess of 25% of a recipient's LSC support only for extraordinary and
compelling circumstances, such as when a natural disaster or other
catastrophic event prevents the timely expenditure of LSC funds, or when
the recipient receives an insurance reimbursement, the proceeds from the
sale of real property, a payment from a lawsuit in which the recipient
was a party, or a payment from an LSC-funded lawsuit, regardless of
whether the recipient was a party to the lawsuit.
(d) A waiver pursuant to paragraph (b) or (c) of this section may be
granted at the discretion of the Corporation pursuant to the criteria
set out in Sec. 1628.4(e).
(e) In the absence of a waiver, a fund balance in excess of 10% of
LSC support shall be repaid to the Corporation. If a waiver of the 10%
ceiling is granted, any fund balance in excess of the amount permitted
to be retained shall be repaid to the Corporation.
(f) A recovery of an excess fund balance pursuant to this part does
not constitute a termination under 45 CFR part 1606. See Sec.
1606.2(c)(2)(ii).
(g) One-time and special purpose grants awarded by the Corporation
are not subject to the fund balance policy set forth in this part.
Revenue and expenses relating to such grants shall be reflected
separately in the audit report submitted to the Corporation. This may be
done by establishing a separate

[[Page 517]]

fund or by providing a separate supplemental schedule of revenue and
expenses related to such grants as a part of the audit report. No funds
provided under a one-time or special purpose grant may be expended
subsequent to the expiration date of the grant without the prior written
approval of the Corporation. Absent approval from the Corporation, all
unexpended funds under such grants shall be returned to the Corporation.

[65 FR 66642, Nov. 7, 2000, as amended at 80 FR 43968, July 24, 2015]

Sec. 1628.4 Procedures.

(a) A recipient may request a waiver of the 10% ceiling on LSC fund
balances within 30 days after the submission to LSC of its annual
audited financial statements. The request shall specify:
(1) The LSC fund balance as reported in the recipient's annual
audited financial statements;
(2) The reason(s) for the excess fund balance;
(3) The recipient's plan for disposing of the excess fund balance
during the current fiscal year;
(4) The amount of fund balance projected to be carried forward at
the close of the recipient's current fiscal year; and
(5) The special circumstances justifying the retention of the excess
fund balance up to 25%, or the extraordinary and compelling
circumstances set out in Sec. 1628.3(c) justifying a fund balance in
excess of 25%.
(b) Within 45 days of receipt of the recipient's waiver request
submitted pursuant to paragraph (a) of this section, the Corporation
shall provide a written response to the request and a written notice to
the recipient of any fund balance due and payable to the Corporation as
well as the method for repayment.
(c) In the event that repayment is required, the Corporation shall
give written notice 30 days prior to the effective date for repayment.
Repayment shall be in a lump sum or by pro rata deductions from the
recipient's grant checks for a specific number of months. The
Corporation shall determine which of the specified methods of repayment
is reasonable and appropriate in each case after consultation with the
recipient.
(d) A recipient may submit a waiver request to retain a fund balance
in excess of 25% of its LSC support prior to the submission of its
audited financial statements. The Corporation may, at its discretion,
provide approval in writing. The request shall specify the extraordinary
and compelling circumstances justifying the fund balance in excess of
25%; the estimated fund balance that the recipient anticipates it will
accrue by the time of the submission of its audited financial
statements; and the recipient's plan for disposing of the excess fund
balance. Upon the submission of its annual audited financial statements,
the recipient must submit updated information consistent with the
requirements of paragraph (a) of this section to confirm the actual fund
balance to be retained.
(e) The Corporation's written approval of a request for a waiver
shall require that the recipient use the funds it is permitted to retain
within the time period set out in the approval and for the purposes
approved by the Corporation.
(f) Excess fund balances approved by the Corporation for expenditure
by a recipient shall be separately reported by natural line item in the
current fiscal year's audited financial statements. This may be done by
establishing a separate fund or by providing a separate supplemental
schedule as part of the audit report.
(g) The recipient shall promptly inform and seek guidance from the
Corporation when it determines a need for any changes to the conditions
on timing or purposes set out in the Corporation's written approval of a
recipient's request for a waiver.

[65 FR 66642, Nov. 7, 2000, as amended at 80 FR 43968, July 24, 2015]

Sec. 1628.5 Fund balance deficits.

(a) Sound financial management practices such as those set out in
Chapter 3 of the Corporation's Accounting Guide for LSC Recipients
should preclude deficit spending. Use of current year LSC grant funds to
liquidate deficit balances in the LSC fund from a preceding period
requires the prior written approval of the Corporation.

[[Page 518]]

(b) Within 30 days of the submission of the recipient's annual
audit, the recipient may apply to the Corporation for approval of the
expenses associated with the liquidation of the deficit balance in the
LSC fund.
(c) In the absence of approval by the Corporation, expenditures of
current year LSC grant funds to liquidate a deficit from a prior year
shall be identified as questioned costs under 45 CFR part 1630.
(d) The recipient's request must specify the same information
relative to the deficit LSC fund balance as that set forth in Sec.
1628.4(a)(1) and (2). Additionally, the recipient must develop and
submit a plan approved by its governing body describing the measures
which will be implemented to prevent a recurrence of a deficit balance
in the LSC fund. The Corporation reserves the right to require changes
in the submitted plan.
(e) The decision of the Corporation regarding acceptance of these
deficit-related costs shall be guided by the statutory mandate requiring
the recipient to provide high quality legal services performed in an
effective and economical manner. Special consideration will be given for
emergencies, unusual occurrences, or other special circumstances giving
rise to a deficit balance.

PART 1629_BONDING REQUIREMENTS FOR RECIPIENTS--Table of Contents

Sec.
1629.1 Purpose.
1629.2 Definitions.
1629.3 Who must be bonded?
1629.4 What forms of bonds can recipients use?
1629.5 What losses must the bond cover?
1629.6 What is the required minimum level of coverage?
1629.7 Can LSC funds be used to cover bonding costs?

Authority: 42 U.S.C. 2996e(1)(A) and 2996f(3).

Source: 82 FR 37180, Aug. 9, 2017, unless otherwise noted.

Sec. 1629.1 Purpose.

This part is intended to protect LSC funds by requiring that
recipients be bonded or have similar insurance coverage to indemnify
recipients against losses resulting from fraudulent or dishonest acts
committed by one or more employees, officers, directors, agents,
volunteers, and third-party contractors who handle LSC funds.

Sec. 1629.2 Definitions.

Annualized funding level means the amount of:
(1) Basic Field Grant funds (including Agricultural Worker and
Native American) and (2) Special grants of LSC funds, including
Technology Initiative Grants, Pro Bono Innovation Fund grants, and
emergency relief grants, awarded by LSC to the recipient for the fiscal
year included in the recipient's annual audited financial statements.

Sec. 1629.3 Who must be bonded?

(a) A recipient must supply fidelity bond coverage for all
employees, officers, directors, agents, and volunteers.
(b) If a recipient uses a third party for payroll, billing, or
collection services, the recipient must either supply coverage covering
the third party or ensure that the third party has a fidelity bond or
similar insurance coverage.
(c) For recipients with subgrants:
(1) The recipient must extend its fidelity bond coverage to supply
identical coverage to the subrecipient and the subrecipient's directors,
officers, employees, agents, and volunteers to the extent required to
comply with this Part; or
(2) The subrecipient must supply proof of its own fidelity bond
coverage that meets the requirements of this Part for the subrecipient's
directors, officers, employees, agents, and volunteers.

Sec. 1629.4 What forms of bonds can recipients use?

(a) A recipient may use any form of bond, such as individual, name
schedule, position schedule, blanket, or any combination of such forms
of bonds, as long as the type or combination of bonds secured adequately
protects LSC funds.
(b) A recipient may use similar forms of insurance that essentially
fulfill the same purpose as a fidelity bond.

[[Page 519]]

Sec. 1629.5 What losses must the bond cover?

The bond must provide recovery for loss caused by such acts as
fraud, dishonesty, larceny, theft, embezzlement, forgery,
misappropriation, wrongful abstraction, wrongful conversion, willful
misapplication, or any other fraudulent or dishonest act committed by an
employee, officer, director, agent, or volunteer.

Sec. 1629.6 What is the required minimum level of coverage?

(a) A recipient must carry fidelity bond coverage or similar
coverage at a minimum level of at least ten percent of its annualized
funding level for the previous fiscal year.
(b) If a recipient is a new recipient, the coverage must be at a
minimum level of at least ten percent of the initial grant.
(c) Notwithstanding paragraphs (a) and (b) of this section,
recipients must not carry coverage under this part at a level less than
$100,000.

Sec. 1629.7 Can LSC funds be used to cover bonding costs?

Costs of bonding required by this part are allowable if expended
consistent with 45 CFR part 1630. Costs of bonding such as rates,
deductibles, single loss retention, and premiums, are allowable as an
indirect cost if such bonding is in accordance with sound business
practice and is reasonable.

PART 1630_COST STANDARDS AND PROCEDURES--Table of Contents

Subpart A_General Provisions

Sec.
1630.1 Purpose.
1630.2 Definitions.
1630.3 Time.
1630.4 Burden of proof.

Subpart B_Cost Standards and Prior Approval

1630.5 Standards governing allowability of costs under LSC grants or
contracts.
1630.6 Prior approval.
1630.7 Membership fees or dues.
1630.8 Contributions.
1630.9 Tax-sheltered annuities, retirement accounts, and penalties.
1630.10 Recipient policies, procedures, and recordkeeping.

Subpart C_Questioned Cost Proceedings

1630.11 Review of questioned costs.
1630.12 Appeals to the president.
1630.13 Recovery of disallowed costs and other corrective action.
1630.14 Other remedies; effect on other parts.
1630.15 Applicability to subgrants.
1630.16 Applicability to non-LSC funds.
1630.17 Applicability to derivative income.

Subpart D_Closeout Procedures

1630.18 Applicability.
1630.19 Closeout plan; timing.
1630.20 Closeout costs.
1630.21 Returning funds to LSC.

Authority: 42 U.S.C. 2996g(e).

Source: 82 FR 37337, Aug. 10, 2017, unless otherwise noted.

Subpart A_General Provisions

Sec. 1630.1 Purpose.

This part is intended to provide uniform standards for allowability
of costs and to provide a comprehensive, fair, timely, and flexible
process for the resolution of questioned costs.

Sec. 1630.2 Definitions.

As used in this part:
(a) Corrective action means action taken by a recipient that:
(1) Corrects identified deficiencies;
(2) Produces recommended improvements; or
(3) Demonstrates that audit or other findings are either invalid or
do not warrant recipient action.
(b) Derivative income means income earned by a recipient from LSC-
supported activities during the term of an LSC grant or contract, and
includes, but is not limited to, income from fees for services
(including attorney fee awards and reimbursed costs), sales and rentals
of real or personal property, and interest earned on LSC grant or
contract advances.
(c) Disallowed cost means those charges to an LSC award that LSC
determines to be unallowable, in accordance with the applicable
statutes, regulations, or terms and conditions of the grant award.

[[Page 520]]

(d) Final written decision means either:
(1) The decision issued by the Vice President for Grants Management
after reviewing all information provided by a recipient in response to a
notice of questioned costs; or
(2) The notice of questioned costs if a recipient does not respond
to the notice within 30 days of receipt.
(e) Membership fees or dues means payments to an organization on
behalf of a program or individual to be a member thereof, or to acquire
voting or participatory rights therein. Membership fees or dues include,
but are not limited to, fees or dues paid to a state supreme court or to
a bar organization acting as an administrative arm of the court or in
some other governmental capacity if such fees or dues are required for
an attorney to practice law in that jurisdiction.
(f) Questioned cost means a cost that LSC has questioned because of
an audit or other finding that:
(1) There may have been a violation of a provision of a law,
regulation, contract, grant, or other agreement or document governing
the use of LSC funds;
(2) The cost is not supported by adequate documentation; or
(3) The cost incurred appears unnecessary or unreasonable and does
not reflect the actions a prudent person would take in the
circumstances.
(g) Real estate means land and buildings (including capital
improvements), excluding moveable personal property.
(h) Single purchase, single lease, and single contract mean a single
order or lease of goods or a single contract for services from a single
vendor.

Sec. 1630.3 Time.

(a) Computation. In computing any period of time under this part,
the time period begins the day following the event and includes the last
day of the period, unless the last day is a Saturday, Sunday, or legal
holiday observed by the Federal government. In those cases, the time
period includes the next business day. When the prescribed time period
is seven days or less, intermediate Saturdays, Sundays, and legal
holidays shall be excluded from the computation.
(b) Extensions. A recipient may, within the applicable timeframe for
a particular response under this part, submit a written request for an
extension of time for good cause to LSC. LSC will respond to the request
for extension within seven calendar days from the date of receiving the
request. LSC may grant the request for extension and shall notify the
recipient of its decision in writing.

Sec. 1630.4 Burden of proof.

The recipient shall have the burden of proof under this part.

Subpart B_Cost Standards and Prior Approval

Sec. 1630.5 Standards governing allowability of costs under LSC grants or contracts.

(a) General criteria. Expenditures are allowable under an LSC grant
or contract only if the recipient can demonstrate that the cost was:
(1) Actually incurred in the performance of the grant or contract
and the recipient was liable for payment;
(2) Reasonable and necessary for the performance of the grant or
contract as approved by LSC;
(3) Allocable to the grant or contract;
(4) In compliance with the Act, applicable appropriations law, LSC
rules, regulations, guidelines, and instructions, the Accounting Guide
for LSC Recipients, the terms and conditions of the grant or contract,
and other applicable law;
(5) Consistent with accounting policies and procedures that apply
uniformly to both LSC-funded and non-LSC-funded activities;
(6) Accorded consistent treatment over time;
(7) Determined in accordance with generally accepted accounting
principles; and
(8) Adequately and contemporaneously documented in business records
accessible during normal business hours to LSC management, the Office of
Inspector General, the General Accounting Office, and independent
auditors or other audit organizations authorized to conduct audits of
recipients.

[[Page 521]]

(b) Reasonable costs. A cost is reasonable if, in its nature or
amount, it does not exceed that which would be incurred by a prudent
person under the same or similar circumstances prevailing at the time
the decision was made to incur the cost. In determining the
reasonableness of a given cost, consideration shall be given to:
(1) Whether the cost is of a type generally recognized as ordinary
and necessary for the operation of the recipient or the performance of
the grant or contract;
(2) The restraints or requirements imposed by such factors as
generally accepted sound business practices, arms-length bargaining,
Federal and State laws and regulations, and the terms and conditions of
the grant or contract;
(3) Whether the recipient acted with prudence under the
circumstances, considering its responsibilities to its clients and
employees, the public at large, the Corporation, and the Federal
government; and
(4) Significant deviations from the recipient's established
practices, which may unjustifiably increase the grant or contract costs.
(c) Allocable costs. (1) A cost is allocable to a particular cost
objective, such as a grant, project, service, or other activity, in
accordance with the relative benefits received. Costs may be allocated
to LSC funds either as direct or indirect costs according to the
provisions of this section.
(2) A cost is allocable to an LSC grant or contract if it is treated
consistently with other costs incurred for the same purpose in like
circumstances and if it:
(i) Is incurred specifically for the grant or contract;
(ii) Benefits both the grant or contract and other work and can be
distributed in reasonable proportion to the benefits received; or
(iii) Is necessary to the recipient's overall operation, although a
direct relationship to any particular cost objective cannot be shown.
(3) Recipients must maintain accounting systems sufficient to
demonstrate the proper allocation of costs to each of their funding
sources.
(d) Direct costs. Direct costs are those that can be identified
specifically with a particular grant award, project, service, or other
direct activity of an organization. Costs identified specifically with
grant awards are direct costs of the awards and are to be assigned
directly thereto. Direct costs include, but are not limited to, the
salaries and wages of recipient staff who are working on cases or
matters that are identified with specific grants or contracts. Salary
and wages charged directly to LSC grants and contracts must be supported
by personnel activity reports.
(e) Indirect costs. Indirect costs are those that have been incurred
for common or joint objectives and cannot be readily identified with a
particular final cost objective. A recipient may treat any direct cost
of a minor amount as an indirect cost for reasons of practicality where
the accounting treatment for such cost is consistently applied to all
final cost objectives. Indirect costs include, but are not limited to,
the costs of operating and maintaining facilities, and the costs of
general program administration, such as the salaries and wages of
program staff whose time is not directly attributable to a particular
grant or contract. Such staff may include, but are not limited to,
executive officers and personnel, accounting, secretarial and clerical
staff.
(f) Allocation of indirect costs. Where a recipient has only one
major function, i.e., the delivery of legal services to low-income
clients, allocation of indirect costs may be by a simplified allocation
method, whereby total allowable indirect costs (net of applicable
credits) are divided by an equitable distribution base and distributed
to individual grant awards accordingly. The distribution base may be
total direct costs, direct salaries and wages, attorney hours, numbers
of cases, numbers of employees, or another base which results in an
equitable distribution of indirect costs among funding sources.
(g) Exception for certain indirect costs. Some funding sources may
refuse to allow the allocation of certain indirect costs to an award. In
such instances, a recipient may allocate a proportional share of another
funding source's share

[[Page 522]]

of an indirect cost to LSC funds, provided that the activity associated
with the indirect cost is permissible under the LSC Act, LSC
appropriations statutes, and regulations.
(h) Applicable credits. Applicable credits are those receipts or
reductions of expenditures which operate to offset or reduce expense
items that are allocable to grant awards as direct or indirect costs.
Applicable credits include, but are not limited to, purchase discounts,
rebates or allowances, recoveries or indemnities on losses, insurance
refunds, and adjustments of overpayments or erroneous charges. To the
extent that such credits relate to allowable costs, they shall be
credited as a cost reduction or cash refund in the same fund to which
the related costs are charged.
(i) Fundraising. Costs associated with fundraising for the purpose
of increasing recipient funds available to carry out the purposes of the
LSC grant are allowable and allocable to the LSC grant if they meet the
requirements of this section.
(j) Guidance. The regulations of the Office of Management and Budget
shall provide guidance for all allowable cost questions arising under
this part when relevant policies or criteria therein are not
inconsistent with the provisions of the Act, applicable appropriations
law, this part, the Accounting Guide for LSC Recipients, LSC rules,
regulations, guidelines, instructions, and other applicable law.

Sec. 1630.6 Prior approval.

(a) Advance understandings. Under any given grant award, the
reasonableness and allocability of certain cost items may be difficult
to determine. To avoid subsequent disallowance or dispute based on
unreasonableness or nonallocability, a recipient may seek a written
understanding from LSC in advance of incurring special or unusual costs.
If a recipient elects not to seek an advance understanding from LSC, the
absence of an advance understanding on any element of a cost will not
affect the reasonableness or allocability of the cost.
(b) Costs requiring prior approval. (1) Without LSC's prior written
approval, a recipient may not expend $25,000 or more of LSC funds on any
of the following:
(i) A single purchase or single lease of personal property;
(ii) A single contract for services;
(iii) A single combined purchase or lease of personal property and
contract for services; and
(iv) Capital improvements.
(2) Without LSC's prior written approval, a recipient may not expend
LSC funds on a purchase of real estate.
(3) For costs apportioned between LSC funds and one or more other
funding sources, this requirement applies when the cost allocable to LSC
funds is $25,000 or greater.
(4) The process and substantive requirements for requests for prior
approval are in 45 CFR part 1631--Purchasing and Property Management.
(c) Duration. LSC's advance understanding or approval shall be valid
for one year, or for a greater period of time which LSC may specify in
its approval or advance understanding.

[82 FR 37337, Aug. 10, 2017; 82 FR 55053, Nov. 20, 2017]

Sec. 1630.7 Membership fees or dues.

(a) LSC funds may not be used to pay membership fees or dues to any
private or nonprofit organization, whether on behalf of the recipient or
an individual.
(b) Paragraph (a) of this section does not apply to the payment of
membership fees or dues mandated by a governmental organization to
engage in a profession, or to the payment of membership fees or dues
from non-LSC funds.

Sec. 1630.8 Contributions.

Any contributions or gifts of LSC funds to another organization or
to an individual are prohibited.

Sec. 1630.9 Tax-sheltered annuities, retirement accounts, and penalties.

No provision contained in this part shall be construed to affect any
payment by a recipient on behalf of its employees for the purpose of
contributing to or funding a tax-sheltered annuity, retirement account,
or pension fund.

[[Page 523]]

Sec. 1630.10 Recipient policies, procedures, and recordkeeping.

Each recipient must adopt written policies and procedures to guide
its staff in complying with this subpart and must maintain records
sufficient to document the recipient's compliance with this subpart.

Subpart C_Questioned Cost Proceedings

Sec. 1630.11 Review of questioned costs.

(a) LSC may identify questioned costs:
(1) When the Office of Inspector General, the General Accounting
Office, or an independent auditor or other audit organization authorized
to conduct an audit of a recipient has identified and referred a
questioned cost to LSC;
(2) In the course of its oversight of recipients; or
(3) As a result of complaints filed with LSC.
(b) If LSC determines that there is a basis for disallowing a
questioned cost, LSC must provide the recipient with written notice of
its intent to disallow the cost. The notice of questioned costs must
state the amount of the cost and the factual and legal basis for
disallowing it.
(c) If a questioned cost is disallowed solely because it is
excessive, only the amount that is larger than reasonable shall be
disallowed.
(d)(1) Within 30 days of receiving the notice of questioned costs,
the recipient may respond with written evidence and argument to show
that the cost was allowable, or that LSC, for equitable, practical, or
other reasons, should not recover all or part of the amount, or that the
recovery should be made in installments.
(2) The written notice shall become LSC's final written decision
unless:
(i) The recipient responds to LSC's written notice within 30 days;
(ii) The recipient requests an extension of time pursuant to Sec.
1630.3(b) within 30 days; or
(iii) LSC grants an extension of time pursuant to Sec. 1630.3(b)
within 30 days.
(e) Within 60 days of receiving the recipient's written response to
the notice of questioned costs, LSC management must issue a final
written decision stating whether the cost has been disallowed and the
reasons for the decision.
(f) If LSC has determined that the questioned cost should be
disallowed, the final written decision must:
(1) State that the recipient may appeal the decision as provided in
Sec. 1630.12 and describe the process for seeking an appeal;
(2) Describe how it expects the recipient to repay the cost,
including the method and schedule for collection of the amount of the
cost;
(3) State whether LSC is requiring the recipient to make financial
adjustments or take other corrective action to prevent a recurrence of
the circumstances giving rise to the disallowed cost.

Sec. 1630.12 Appeals to the president.

(a)(1) If the amount of a disallowed cost exceeds $2,500, the
recipient may appeal in writing to LSC's President within 30 days of
receiving LSC's final written decision to disallow the cost. The
recipient should state in detail the reasons why LSC should not disallow
part or all of the questioned cost.
(2) If the recipient did not respond to LSC's notice of questioned
costs and the notice became LSC's final written decision pursuant to
Sec. 1630.11(d)(2), the recipient may not appeal the final written
decision.
(b) If the President has had prior involvement in the consideration
of the disallowed cost, the President shall designate another senior LSC
employee who has not had prior involvement to review the recipient's
appeal. In circumstances where the President has not had prior
involvement in the disallowed cost proceeding, the President has
discretion to designate another senior LSC employee who also has not had
prior involvement in the proceeding to review the appeal.
(c) Within 30 days of receiving the recipient's written appeal, the
President or designee will adopt, modify, or reverse LSC's final written
decision.
(d) The decision of the President or designee shall be final and
shall be based on the written record, consisting of LSC's notice of
questioned costs, the

[[Page 524]]

recipient's response, LSC's final written decision, the recipient's
written appeal, any additional response or analysis provided to the
President or designee by LSC staff, and the relevant findings, if any,
of the Office of Inspector General, General Accounting Office, or other
authorized auditor or audit organization. Upon request, LSC shall
provide the recipient with a copy of the written record.

Sec. 1630.13 Recovery of disallowed costs and other corrective action.

(a) LSC will recover any disallowed costs from the recipient within
the time limits and conditions set forth in either LSC's final written
decision or the President's decision on an appeal. Recovery of the
disallowed costs may be in the form of a reduction in the amount of
future grant checks or in the form of direct payment from you to LSC.
(b) LSC shall ensure that a recipient who has incurred a disallowed
cost takes any additional necessary corrective action within the time
limits and conditions set forth in LSC's final written decision or the
President's decision.

Sec. 1630.14 Other remedies; effect on other parts.

(a) In cases of serious financial mismanagement, fraud, or
defalcation of funds, LSC shall refer the matter to the Office of
Inspector General and may take appropriate action pursuant to parts
1606, 1623, and 1640 of this chapter.
(b) The recovery of a disallowed cost according to the procedures of
this part does not constitute a permanent reduction in a recipient's
annualized funding level, nor does it constitute a limited reduction of
funding or termination of financial assistance under part 1606, or a
suspension of funding under part 1623 of this chapter.

Sec. 1630.15 Applicability to subgrants.

When disallowed costs arise from expenditures incurred under a
subgrant of LSC funds, the recipient and the subrecipient will be
jointly and severally responsible for the actions of the subrecipient,
as provided by 45 CFR part 1627, and will be subject to all remedies
available under this part. Both the recipient and the subrecipient shall
have access to the review and appeal procedures of this part.

Sec. 1630.16 Applicability to non-LSC funds.

(a) No cost may be charged to non-LSC funds in violation of 45 CFR
1610.3 or 1610.4.
(b) LSC may recover from a recipient's LSC funds an amount not to
exceed the amount improperly charged to non-LSC funds. The review and
appeal procedures of Sec. Sec. 1630.11 and 1630.12 govern any decision
by LSC to recover funds under this paragraph.

[85 FR 63216, Oct. 7, 2020]

Sec. 1630.17 Applicability to derivative income.

(a) Derivative income resulting from an activity supported in whole
or in part with LSC funds shall be allocated to the fund in which the
recipient's LSC grant is recorded in the same proportion that the amount
of LSC funds expended bears to the total amount expended by the
recipient to support the activity.
(b) Derivative income allocated to the LSC fund in accordance with
paragraph (a) of this section is subject to the requirements of this
part.

Subpart D_Closeout Procedures

Sec. 1630.18 Applicability.

This subpart applies when a recipient of LSC funds:
(a) Ceases to exist as a legal entity, including merging or
consolidating functions with another LSC recipient when the other
recipient becomes the LSC recipient for the service area; or
(b) Otherwise ceases to receive funds directly from LSC. This may
include voluntary termination by the recipient or involuntary
termination by LSC of the recipient's LSC grant, and may occur at the
end of a grant term or during the grant term.

Sec. 1630.19 Closeout plan; timing.

(a) A recipient must provide LSC with a plan for the orderly
conclusion of the recipient's role and responsibilities. LSC will
maintain a list of the

[[Page 525]]

required elements for the closeout plan on its Web site. LSC will
provide recipients with a link to the list in the grant award documents.
(b)(1) A recipient must notify LSC no less than 60 days prior to any
of the above events, except for an involuntary termination of its LSC
grant by LSC. The recipient must submit the closeout plan described in
paragraph (a) of this section at the same time.
(2) If LSC terminates a recipient's grant, the recipient must submit
the closeout plan described in paragraph (a) of this section within 15
days of being notified by LSC that it is terminating the recipient's
grant.

Sec. 1630.20 Closeout costs.

(a) The recipient must submit to LSC a detailed budget and timeline
for all closeout procedures described in the closeout plan. LSC must
approve the budget, either as presented or after negotiations with the
recipient, before the recipient may proceed with implementing the
budget, timeline, and plan.
(b) LSC will withhold funds for all closeout expenditures, including
costs for the closing audit, all staff and consultant services needed to
perform closeout activities, and file storage and retention.
(c) LSC will release any funding installments that the recipient has
not received as of the date it notified LSC of a merger, change in
status, or voluntary termination or that LSC notified the recipient of
an involuntary termination of funding only upon the recipient's
satisfactory completion of all closeout obligations.

Sec. 1630.21 Returning funds to LSC.

(a) Excess fund balance. If the recipient has an LSC fund balance
after the termination of funding and closeout, the recipient must return
the full amount of the fund balance to LSC at the time it submits the
closing audit to LSC.
(b) Derivative income. Any attorneys' fees claimed or collected and
retained by the recipient after funding ceases that result from LSC-
funded work performed during the grant term are derivative income
attributable to the LSC grant. Such derivative income must be returned
to LSC within 15 days of the date on which the recipient receives the
income.

PART 1631_PURCHASING AND PROPERTY MANAGEMENT--Table of Contents

Subpart A_General Provisions

Sec.
1631.1 Purpose.
1631.2 Definitions.
1631.3 Prior approval process.
1631.4 Use of funds.
1631.5 Recipient policies, procedures, and recordkeeping.

Subpart B_Procurement Policies and Procedures

1631.6 Characteristics of procurements.
1631.7 Procurement policies and procedures.
1631.8 Requests for prior approval.
1631.9 Applicability of part 1630 of this chapter.

Subpart C_Personal Property Management

1631.10 Use of property in compliance with LSC's statutes and
regulations.
1631.11 Intellectual property.
1631.12 Disposing of personal property purchased with LSC funds.
1631.13 Use of derivative income from sale of personal property
purchased with LSC funds.

Subpart D_Real Estate Acquisition and Capital Improvements

1631.14 Purchasing real estate with LSC funds.
1631.15 Capital improvements.

Subpart E_Real Estate Management

1631.16 Using real estate purchased with LSC funds.
1631.17 Maintenance.
1631.18 Insurance.
1631.19 Accounting and reporting to LSC.
1631.20 Disposing of real estate purchased with LSC funds.
1631.21 Retaining income from sale of real estate purchased with LSC
funds.

Authority: 42 U.S.C. 2996g(e).

Source: 82 FR 37341, Aug. 10, 2017, unless otherwise noted.

[[Page 526]]

Subpart A_General Provisions

Sec. 1631.1 Purpose.

The purpose of this part is to set standards for purchasing,
leasing, using, and disposing of LSC-funded personal property and real
estate and using LSC funds to contract for services.

Sec. 1631.2 Definitions.

As used in this part:
(a) Capital improvement means spending more than $25,000 of LSC
funds to improve real estate through construction or the addition of
fixtures that become an integral part of real estate.
(b) LSC property interest agreement means a formal written agreement
between the recipient and LSC establishing the terms of LSC's legal
interest in real estate purchased with LSC funds.
(c) Personal property means property other than real estate.
(d) Purchase means buying personal property or real estate or
contracting for services with LSC funds.
(e) Quote means a quotation or bid from a potential source
interested in selling or leasing property or providing services to a
recipient.
(f) Real estate means land and buildings (including capital
improvements), excluding moveable personal property.
(g)(1) Services means professional and consultant services rendered
by persons who are members of a particular profession or possess a
special skill and who are not officers or employees of an LSC recipient.
Services includes, but is not limited to intangible products such as
accounting, banking, cleaning, consultants, training, expert services,
maintenance of equipment, and transportation.
(2) Services does not include:
(i) Services provided by recipients to their employees as
compensation in addition to regular salaries and wages, including but
not limited to employee insurance, pensions, and unemployment benefit
plans;
(ii) Insurance, including malpractice insurance provided to staff
attorneys and organizational insurance (e.g., directors and officers
liability insurance, employment practices liability insurance, and
commercial liability insurance);
(iii) Annual audits required by section 509(a) of Public Law 104-
134;
(iv) Services necessary to conduct litigation on behalf of clients
(e.g., expert witnesses, discovery);
(v) Contracts for services necessary to address a recipient's
internal personnel issues, such as labor counsel, investigators, and
mediators; and
(vi) Contracts for employees, whether with the employee directly or
with a placement agency.
(h) Source means a seller, supplier, vendor, or contractor who has
agreed:
(1) To sell or lease property to the recipient through a purchase or
lease agreement; or
(2) To provide services to the recipient through a contract.

Sec. 1631.3 Prior approval process.

(a) LSC shall grant prior approval of a cost listed in Sec.
1630.6(b) of this chapter if the recipient has provided sufficient
written information to demonstrate that the cost would be consistent
with the standards and policies of this part. LSC may request additional
information if necessary to make a decision on the recipient's request.
(b)(1) For purchases or leases of personal property, contracts for
services, and capital improvements, LSC will make a decision to approve
or deny a request for prior approval within 30 days of receiving
materials LSC deems sufficient to decide. LSC will inform a recipient
within 20 days of receiving the initial prior approval request whether
LSC needs additional information to make a decision.
(2) For purchases of real estate, LSC will make a decision within 60
days of receiving materials LSC deems sufficient to decide. LSC will
inform a recipient within 20 days of receiving the initial prior
approval request whether LSC needs additional information to make a
decision.
(3) If LSC cannot make a decision whether to approve the request
within the allotted time, it will provide the requester with a date by
which it expects to make a decision.

[[Page 527]]

(c) If LSC denies a request for prior approval, LSC shall provide
the recipient with a written explanation of the grounds for denying the
request.
(d) Exigent circumstances. (1) A recipient may use more than $25,000
of LSC funds to purchase personal property or award a contract for
services without seeking LSC's prior approval if the purchase or
contract is necessary;
(i) To avoid imminent harm to the recipient's personnel, physical
facilities, or systems;
(ii) To remediate or mitigate damage to the recipient's personnel,
physical facilities or systems;
(iii) To avoid disruption to the recipient's client-service delivery
system (e.g., an event that causes a recipient's telecommunications
system to cease functioning); or
(iv) To respond to a natural disaster (e.g., a flood washes out
roads leading to the recipient's offices such that the recipient must
contract for services that will enable it to contact its clients).
(2) The recipient must provide LSC with a description of the exigent
circumstances and the information described in Sec. 1631.8(b) within 30
days after the circumstances necessitating the purchase or contract have
ended.

[82 FR 37341, Aug. 10, 2017; 82 FR 55053, Nov. 20, 2017]

Sec. 1631.4 Use of funds.

When LSC receives funds from a disposition of property under this
section, LSC will use those funds to make emergency and other special
grants to recipients. LSC generally will make such grants to the same
service area as the returned funds originally supported.

Sec. 1631.5 Recipient policies, procedures, and recordkeeping.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part and shall maintain records
sufficient to document the recipient's compliance with this part.

Subpart B_Procurement Policies and Procedures

Sec. 1631.6 Characteristics of procurements.

(a) Characteristics indicative of a procurement relationship between
a recipient and another entity are when the other entity:
(1) Provides the goods and services within its normal business
operations;
(2) Provides similar goods or services to many different purchasers;
(3) Normally operates in a competitive environment;
(4) Provides goods or services that are ancillary to the operation
of the LSC grant; and
(5) Is not subject to LSC's compliance requirements as a result of
the agreement, though similar requirements may apply for other reasons.
(b) In determining whether an agreement between a recipient and
another entity constitutes a contract under this part or a subgrant
under part 1627 of this chapter, the substance of the relationship is
more important than the form of the agreement. All the characteristics
above may not be present in all cases, and a recipient must use judgment
in classifying each agreement as a subgrant or a contract.

Sec. 1631.7 Procurement policies and procedures.

Recipients must have written procurement policies and procedures.
These policies must:
(a) Identify competition thresholds that establish the basis (for
example, price, risk level, or type of purchase) for the level of
competition required at each threshold (for example, certification that
a purchase reflects the best value to the recipient; a price comparison
for alternatives that the recipient considered; or requests for
information, quotes, or proposals);
(b) Establish the grounds for non-competitive purchases;
(c) Establish the level of documentation necessary to justify
procurements. The level of documentation needed may be proportional to
the nature of the purchase or tied to competition thresholds;
(d) Establish internal controls that, at a minimum, provide for
segregation

[[Page 528]]

of duties in the procurement process, identify which employees,
officers, or directors who have authority to make purchases for the
recipient, and identify procedures for approving purchases;
(e) Establish procedures to ensure quality and cost control in
purchasing, including procedures for selecting sources, fair and
objective criteria for selecting sources; and
(f) Establish procedures for identifying and preventing conflicts of
interest in the purchasing process.

Sec. 1631.8 Requests for prior approval.

(a) As required by 45 CFR 1630.6 and 1631.3, a recipient using more
than $25,000 of LSC funds to purchase or lease personal property or
contract for services must request and receive LSC's prior approval.
(b) A request for prior approval must include:
(1) A statement of need;
(2) A copy of the recipient's procurement policy; and
(3) Documentation showing that the recipient followed its
procurement policies and procedures in soliciting, reviewing, and
approving the purchase, lease, or contract for services.

Sec. 1631.9 Applicability of part 1630 of this chapter.

All purchases and leases of personal property and contracts for
services made with LSC funds must comply with the provisions of 45 CFR
part 1630 (Cost Standards and Procedures).

Subpart C_Personal Property Management

Sec. 1631.10 Use of property in compliance with LSC's
statutes and regulations.

(a) A recipient may use personal property purchased or leased, in
whole or in part, with LSC funds primarily to deliver legal services to
eligible clients under the requirements of the LSC Act, applicable
appropriations acts, and LSC regulations.
(b) A recipient may use personal property purchased or leased, in
whole or in part, with LSC funds for the performance of an LSC grant or
contract for other activities, if such other activities do not interfere
with the performance of the LSC grant or contract.
(c) If a recipient uses personal property purchased or leased, in
whole or in part, with LSC funds to provide services to an organization
that engages in activity restricted by the LSC Act, LSC regulations, or
other applicable law, the recipient must charge the organization a fee
no less than that which private nonprofit organizations in the same area
charge for the same services under similar conditions.

Sec. 1631.11 Intellectual property.

(a) A recipient owns all products, technologies, and software
developed or improved using LSC funds, subject to any agreement the
recipient may have with a third-party vendor. LSC retains a royalty-
free, nonexclusive, and irrevocable license to use, reproduce,
distribute, publish, and prepare derivative works of any LSC-funded
products, technologies, and software, including making them available to
other LSC grantees or the broader access to justice community and
partners.
(b) A recipient must have a written contract with vendors who
develop or improve LSC-funded products, technologies, and software. The
contract must include a provision disclosing LSC's royalty-free,
nonexclusive, and irrevocable license and prohibiting third-party
vendors from denying its existence, challenging its legality, or
interfering with LSC's full exercise of it.

Sec. 1631.12 Disposing of personal property purchased with LSC funds.

(a) Disposal by LSC recipients. During the term of an LSC grant or
contract, a recipient may dispose of personal property purchased with
LSC funds by:
(1) Trading in the personal property when it acquires replacement
property;
(2) Selling or otherwise disposing of the personal property with no
further obligation to LSC when the fair market value of the personal
property is negligible;
(3) Where the current fair market value of the personal property is
$15,000 or less, selling the property at a reasonable negotiated price,
without advertising;

[[Page 529]]

(4) Where the current fair market value of the personal property
exceeds $15,000, advertising the property for 14 days and selling the
property after receiving reasonable offers. If the recipient receives no
reasonable offers after advertising the property for 14 days, it may
sell the property at a reasonable negotiated price;
(5) Transferring the property to another recipient of LSC funds; or
(6) With the approval of LSC, transferring the personal property to
another nonprofit organization serving the poor in the same service
area.
(b) Disposal when no longer a recipient. When a recipient stops
receiving LSC funds, it must obtain LSC's approval to dispose of
personal property purchased with LSC funds in one of the following ways:
(1) Transferring the property to another recipient of LSC funds, in
which case the former recipient will be entitled to compensation in the
amount of the percentage of the property's current fair market value
that is equal to the percentage of the property's purchase cost borne by
non-LSC funds;
(2) Transferring the property to another nonprofit organization
serving the poor in the same service area, in which case LSC will be
entitled to compensation from the recipient for the percentage of the
property's current fair market value that is equal to the percentage of
the property's purchase cost borne by LSC funds;
(3) Selling the property and retaining the proceeds from the sale
after compensating LSC for the percentage of the property's current fair
market value that is equal to the percentage of the property's purchase
cost borne by LSC funds; or
(4) Retaining the property, in which case LSC will be entitled to
compensation from the recipient for the percentage of the property's
current fair market value that is equal to that percentage of the
property's purchase cost borne by LSC funds.
(c) Disposal upon merger with or succession by another LSC
recipient. When a recipient stops receiving LSC funds because it merged
with or is succeeded by another grantee, the recipient may transfer the
property to the new recipient, if the two entities execute an LSC-
approved successor in interest agreement that requires the new recipient
to use the property primarily to provide legal services to eligible
clients under the requirements of the LSC Act, applicable appropriations
acts, and LSC regulations.
(d) Prohibition. A recipient may not dispose of personal property by
sale, donation, or other transfer of the property to its board members
or employees.

Sec. 1631.13 Use of derivative income from sale of personal
property purchased with LSC funds.

(a) During the term of an LSC grant or contract, a recipient may
retain and use income from any sale of personal property purchased with
LSC funds according to 45 CFR 1630.17 (Cost Standards and Procedures:
Applicability to derivative income) and 45 CFR 1628.3 (Recipient Fund
Balances: Policy).
(b) The recipient must account for income earned from the sale,
rent, or lease of personal property purchased with LSC funds according
to the requirements of 45 CFR 1630.17.

Subpart D_Real Estate Acquisition and Capital Improvements

Sec. 1631.14 Purchasing real estate with LSC funds.

(a) Pre-purchase planning requirements. (1) Before purchasing real
estate with LSC funds, a recipient must conduct an informal market
survey and evaluate at least three potential equivalent properties.
(2) When a recipient evaluates potential properties, it must
consider:
(i) The average annual cost of the purchase, including the costs of
a down payment, interest and principal payments on a mortgage financing
the purchase; closing costs; renovation costs; and the costs of
utilities, maintenance, and taxes, if any;
(ii) The estimated total costs of buying and using the property
throughout the mortgage term compared to the estimated total costs of
leasing and using a similar property over the same period of time;
(iii) The property's quality; and
(iv) Whether the property is conducive to delivering legal services
(e.g.

[[Page 530]]

property is accessible to the client population (ADA compliant) and near
public transportation, courts, and other government or social services
agencies).
(3) If a recipient cannot evaluate three potential properties, it
must be able to explain why such evaluation was not possible.
(b) Prior approval. Before a recipient may purchase real estate with
LSC funds, LSC must approve the purchase as required by 45 CFR 1630.6
and 1631.3. The request for approval must be in writing and include:
(1) A statement of need, including:
(i) The information obtained and considered in paragraph (a) of this
section;
(ii) Trends in funding and program staffing levels in relation to
space needs;
(iii) Why the recipient needs to purchase real estate; and
(iv) Why purchasing real estate is reasonable and necessary to
performing the LSC grant.
(2) A brief analysis comparing:
(i) The estimated average annual cost of the purchase including the
costs of a down payment, interest and principal payments on a mortgage
financing the purchase; closing costs; renovation costs; and the costs
of utilities, maintenance, and taxes, if any; and
(ii) The estimated average annual cost of leasing or purchasing
similar property over the same period of time;
(3) Anticipated financing of the purchase, including:
(i) The estimated total acquisition costs, including capital
improvements, taxes, recordation fees, maintenance costs, insurance
costs, and closing costs;
(ii) The anticipated breakdown of LSC funds and non-LSC funds to be
applied toward the total costs of the purchase;
(iii) The monthly amount of principal and interest payments on debt
secured to finance the purchase, if any;
(4) A current, independent appraisal sufficient to secure a
mortgage;
(5) A comparison of available loan terms considered by the recipient
before selecting the chosen financing method;
(6) Board approval of the purchase in either a board resolution or
board minutes, including Board approvals that are contingent on LSC's
approval;
(7) Whether the property will replace or supplement existing program
offices;
(8) A statement that the property
(i) Currently complies with the Americans with Disabilities Act
(ADA) or applicable state law, whichever is stricter, and 45 CFR 1624.5;
or
(ii) Will comply with the ADA, any applicable state law, and 45 CFR
1624.5 upon completion of any necessary capital improvements. Such
improvements must be completed within 60 days of the date of purchase;
and
(9) A copy of a purchase agreement, contract, or other document
containing a description of the property and the terms of the purchase.
(c) Property interest agreement. Once LSC approves the purchase, the
recipient must enter a written property interest agreement with LSC. The
agreement must include:
(1) The recipient's agreement to use the property consistent with
Sec. 1631.15;
(2) The recipient's agreement to record, under appropriate state
law, LSC's interest in the property;
(3) The recipient's agreement not to encumber the property without
prior LSC approval; and
(4) The recipient's agreement not to dispose of the property without
prior LSC approval.

Sec. 1631.15 Capital improvements.

(a) As required by 45 CFR 1630.6 and 1631.3, a recipient must obtain
LSC's prior written approval before using more than $25,000 LSC funds to
make capital improvements to real estate.
(b) The written request must include:
(1) A statement of need;
(2) A brief description of the nature of the work to be done, the
name of the sources performing the work, and the total expected cost of
the improvement; and
(3) Documentation showing that the recipient followed its
procurement policies and procedures in competing, selecting, and
awarding contracts to perform the work.
(c) A recipient must maintain supporting documentation to accurately
identify and account for any use of

[[Page 531]]

LSC funds to make capital improvements to real estate owned by the
recipient.

Subpart E_Real Estate Management

Sec. 1631.16 Using real estate purchased with LSC funds.

(a) Recipients must use real estate purchased or leased in whole or
in part with LSC funds to deliver legal assistance to eligible clients
consistent with the requirements of the LSC Act, applicable
appropriations acts, other applicable Federal law, and LSC's
regulations. If a recipient does not need to use some or all such real
estate to deliver legal assistance to eligible clients, it may use the
space for other activities as described in paragraphs (b) and (c) of
this section.
(b) A recipient may use real estate purchased or leased, in whole or
part, with LSC funds for the performance of an LSC grant or contract for
other activities, if they do not interfere with the performance of the
LSC grant or contract.
(c) If a recipient uses real estate purchased or leased, in whole or
part, with LSC funds to provide space to an organization that engages in
activity restricted by the LSC Act, applicable appropriations acts, LSC
regulations, or other applicable law, the recipient must charge the
organization rent no less than that which private nonprofit
organizations in the same area charge for the same amount of space under
similar conditions.

Sec. 1631.17 Maintenance.

A recipient must maintain real estate acquired with LSC funds:
(a) In an efficient operating condition; and
(b) In compliance with state and local government property standards
and building codes.

Sec. 1631.18 Insurance.

At the time of purchase, a recipient must obtain insurance coverage
for real estate purchased with LSC funds which is not lower in value
than coverage it has obtained for other real estate it owns and which
provides at least the following coverage:
(a) Title insurance that:
(1) Insures the fee interest in the property for an amount not less
than the full appraised value as approved by LSC, or the amount of the
purchase price, whichever is greater; and
(2) Contains an endorsement identifying LSC as a loss payee to be
reimbursed if the title fails.
(3) If no endorsement naming LSC as loss payee is made, the
recipient must pay LSC the title insurance proceeds it receives in the
event of a failure.
(b) A physical destruction insurance policy, including flood
insurance where appropriate, which insures the full replacement value of
the facility from risk of partial and total physical destructions. The
recipient must maintain this policy for the period of time that the
recipient owns the real estate.

Sec. 1631.19 Accounting and reporting to LSC.

A recipient must maintain an accounting of the amount of LSC funds
relating to the purchase or maintenance of real estate purchased with
LSC funds. The accounting must include the amount of LSC funds used to
pay for acquisition costs, financing, and capital improvements. The
recipient must provide the accounting for each year to LSC no later than
April 30 of the following year or in its annual audited financial
statements submitted to LSC.

Sec. 1631.20 Disposing of real estate purchased with LSC funds.

(a) Disposal by LSC recipients. During the term of an LSC grant or
contract, a recipient must seek LSC's prior written approval to dispose
of real estate purchased with LSC funds by:
(1) Selling the property after having advertised for and received
offers; or
(2) Transferring the property to another recipient of LSC funds, in
which case the recipient may be compensated by the recipient receiving
the property for the percentage of the property's current fair market
value that is equal to the percentage of the costs of the original
acquisition and costs of any capital improvements borne by non-LSC
funds.
(b) Disposal after a recipient no longer receives LSC funding. When
a recipient

[[Page 532]]

who owns real estate purchased with LSC funds stops receiving LSC funds,
it must seek LSC's prior written approval to dispose of the property in
one of the following ways:
(1) Transfer the property title to another grantee of LSC funds, in
which case the recipient may be compensated the percentage of the
property's current fair market value that is equal to the percentage of
the costs of the original acquisition and costs of any capital
improvements by non-LSC funds;
(2) Buyout LSC's interest in the property (i.e., pay LSC the
percentage of the property's current fair market value proportional to
its percent interest in the property); or
(3) Sell the property to a third party and pay LSC a share of the
sale proceeds proportional to its interest in the property, after
deducting actual and reasonable closing costs, if any.
(4) When a recipient stops receiving LSC funds because it merged
with or is succeeded by another recipient, it may transfer the property
to the new recipient. The two entities must execute an LSC-approved
successor in interest agreement that requires the transferee to use the
property primarily to provide legal services to eligible clients under
the requirements of the LSC Act, applicable appropriations acts, and LSC
regulations.
(c) Prior approval process. No later than 60 days before a recipient
or former recipient proposes to dispose of real estate purchased with
LSC funds, the recipient or former recipients must submit a written
request for prior approval to dispose of the property to LSC. The
request must include:
(1) The proposed method of disposition and an explanation of why the
proposed method is in the best interests of LSC and the recipient;
(2) Documentation showing the fair market value of the property at
the time of transfer or sale, including, but not limited to, an
independent appraisal of the property and competing bona fide offers to
purchase the property;
(3) A description of the recipient's process for advertising the
property for sale and receiving offers;
(4) An accounting of all LSC funds used in the acquisition and any
capital improvements of the property. The accounting must include the
amount of LSC funds used to pay for acquisition costs, financing, and
capital improvements; and
(5) Information on the proposed transferee or buyer of the property
and a document evidencing the terms of transfer or sale.

Sec. 1631.21 Retaining income from sale of real estate
purchased with LSC funds.

(a) During the term of an LSC grant or contract, a recipient may
retain and use income from any sale of real estate purchased with LSC
funds according to 45 CFR 1630.17 (Cost Standards and Procedures:
Applicability to derivative income.) and 45 CFR 1628.3 (Recipient Fund
Balances: Policy.).
(b) The recipient must account for income earned from the sale,
rent, or lease of real or personal property purchased with LSC funds
according to the requirements of 45 CFR 1630.17.

PART 1632_REDISTRICTING--Table of Contents

Sec.
1632.1 Purpose.
1632.2 Definitions.
1632.3 Prohibition.
1632.4 Recipient policies.

Authority: 42 U.S.C. 2996e(b)(1)(A); 2996f(a)(2)(C); 2996f(a)(3);
2996(g)(e); 110 Stat. 3009; 110 Stat. 1321(1996).

Source: 61 FR 63756, Dec. 2, 1996, unless otherwise noted.

Sec. 1632.1 Purpose.

This part is intended to ensure that recipients do not engage in
redistricting activities.

Sec. 1632.2 Definitions.

(a) Advocating or opposing any plan means any effort, whether by
request or otherwise, even if of a neutral nature, to revise a
legislative, judicial, or elective district at any level of government.
(b) Recipient means any grantee or contractor receiving funds made
available by the Corporation under sections 1006(a)(1) or 1006(a)(3) of
the LSC Act. For the purposes of this part, recipient includes
subrecipient and employees of recipients and subrecipients.

[[Page 533]]

(c) Redistricting means any effort, directly or indirectly, that is
intended to or would have the effect of altering, revising, or
reapportioning a legislative, judicial, or elective district at any
level of government, including influencing the timing or manner of the
taking of a census.

Sec. 1632.3 Prohibition.

(a) Neither the Corporation nor any recipient shall make available
any funds, personnel, or equipment for use in advocating or opposing any
plan or proposal, or representing any party, or participating in any
other way in litigation, related to redistricting.
(b) This part does not prohibit any litigation brought by a
recipient under the Voting Rights Act of 1965, as amended, 42 U.S.C.
1971 et seq., provided such litigation does not involve redistricting.

Sec. 1632.4 Recipient policies.

Each recipient shall adopt written policies to implement the
requirements of this part.

PART 1633_RESTRICTION ON REPRESENTATION IN CERTAIN EVICTION
PROCEEDINGS--Table of Contents

Sec.
1633.1 Purpose.
1633.2 Definitions.
1633.3 Prohibition.
1633.4 Recipient policies, procedures and recordkeeping.

Authority: 42 U.S.C. 2996e(a), 2996e(b)(1)(A), 2996f(a)(2)(C),
2996f(a)(3), 2996g(e); 110 Stat. 3009; 110 Stat. 1321 (1996).

Source: 61 FR 63758, Dec. 2, 1996, unless otherwise noted.

Sec. 1633.1 Purpose.

This part is designed to ensure that in certain public housing
eviction proceedings recipients refrain from defending persons charged
with or convicted of illegal drug activities.

Sec. 1633.2 Definitions.

(a) Controlled substance has the meaning given that term in section
102 of the Controlled Substances Act (21 U.S.C. 802);
(b) Public housing project and public housing agency have the
meanings given those terms in section 3 of the United States Housing Act
of 1937 (42 U.S.C. 1437a);
(c) Charged with means that a person is subject to a pending
criminal proceeding instituted by a governmental entity with authority
to initiate such proceeding against that person for engaging in illegal
drug activity.

Sec. 1633.3 Prohibition.

Recipients are prohibited from defending any person in a proceeding
to evict that person from a public housing project if:
(a) The person has been charged with or has been convicted of the
illegal sale, distribution, or manufacture of a controlled substance, or
possession of a controlled substance with the intent to sell or
distribute; and
(b) The eviction proceeding is brought by a public housing agency on
the basis that the illegal drug activity for which the person has been
charged or for which the person has been convicted threatens the health
or safety of other tenants residing in the public housing project or
employees of the public housing agency.

Sec. 1633.4 Recipient policies, procedures and recordkeeping.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part and shall maintain records
sufficient to document the recipient's compliance with this part.

PART 1634_COMPETITIVE BIDDING FOR GRANTS AND CONTRACTS--Table of Contents

Sec.
1634.1 Purpose.
1634.2 Definitions.
1634.3 Competition for grants and contracts.
1634.4 Announcement of competition.
1634.5 Identification of qualified applicants for grants and contracts.
1634.6 Notice of intent to compete.
1634.7 Application process.
1634.8 Selection process.
1634.9 Selection criteria.
1634.10 Transition provisions.
1634.11 Replacement of recipient that does not complete grant term.
1634.12 Emergency procedures and waivers.

Authority: 42 U.S.C. 2996e(a)(1)(A); 2996f(a)(3).

[[Page 534]]

Source: 61 FR 14258, Apr. 1, 1996, unless otherwise noted.

Sec. 1634.1 Purpose.

This part is designed to improve the delivery of legal assistance to
eligible clients through the use of a competitive system to award grants
and contracts for the delivery of legal services. The purposes of such a
competitive system are to:
(a) Encourage the effective and economical delivery of high quality
legal services to eligible clients that is consistent with the
Corporation's Performance Criteria and the American Bar Association's
Standards for Providers of Civil Legal Services to the Poor through an
integrated system of legal services providers;
(b) Provide opportunities for qualified attorneys and entities to
compete for grants and contracts to deliver high quality legal services
to eligible clients;
(c) Encourage ongoing improvement of performance by recipients in
providing high quality legal services to eligible clients;
(d) Preserve local control over resource allocation and program
priorities; and
(e) Minimize disruptions in the delivery of legal services to
eligible clients within a service area during a transition to a new
provider.

Sec. 1634.2 Definitions.

(a) Qualified applicants are those persons, groups or entities
described in section 1634.5(a) of this part who are eligible to submit
notices of intent to compete and applications to participate in a
competitive bidding process as described in this part.
(b) Review panel means a group of individuals who are not
Corporation staff but who are engaged by the Corporation to review
applications and make recommendations regarding awards of grants or
contracts for the delivery of legal assistance to eligible clients. A
majority of review panel members shall be lawyers who are supportive of
the purposes of the LSC Act and experienced in and knowledgeable about
the delivery of legal assistance to low-income persons, and eligible
clients or representatives of low-income community groups. The remaining
members of the review panel shall be persons who are supportive of the
purposes of the LSC Act and have an interest in and knowledge of the
delivery of quality legal services to the poor. No person may serve on a
review panel for an applicant with whom the person has a financial
interest or ethical conflict; nor may the person have been a board
member of or employed by that applicant in the past five years.
(c) Service area is the area defined by the Corporation to be served
by grants or contracts to be awarded on the basis of a competitive
bidding process. A service area is defined geographically and may
consist of all or part of the area served by a current recipient, or it
may include an area larger than the area served by a current recipient.
(d) Subpopulation of eligible clients includes Native Americans and
migrant farm workers and may include other groups of eligible clients
that, because they have special legal problems or face special
difficulties of access to legal services, might better be addressed by a
separate delivery system to serve that client group effectively.

Sec. 1634.3 Competition for grants and contracts.

(a) After the effective date of this part, all grants and contracts
for legal assistance awarded by the Corporation under Section
1006(a)(1)(A) of the LSC Act shall be subject to the competitive bidding
process described in this part. No grant or contract for the delivery of
legal assistance shall be awarded by the Corporation for any period
after the effective date of this part, unless the recipient of that
grant has been selected on the basis of the competitive bidding process
described in this part.
(b) The Corporation shall determine the service areas to be covered
by grants or contracts and shall determine whether the population to be
served will consist of all eligible clients within the service area or a
specific subpopulation of eligible clients within one or more service
areas.
(c) The use of the competitive bidding process to award grant(s) or
contract(s) shall not constitute a termination or denial of refunding of
financial assistance to a current recipient

[[Page 535]]

pursuant to parts 1606 and 1625 of this chapter.
(d) Wherever possible, the Corporation shall award no more than one
grant or contract to provide legal assistance to eligible clients or a
subpopulation of eligible clients within a service area. The Corporation
may award more than one grant or contract to provide legal assistance to
eligible clients or a subpopulation of eligible clients within a service
area only when the Corporation determines that it is necessary to award
more than one such grant or contract in order to ensure that all
eligible clients within the service area will have access to a full
range of high quality legal services in accordance with the LSC Act or
other applicable law.
(e) In no event may the Corporation award a grant or contract for a
term longer than five years. The amount of funding provided annually
under each such grant or contract is subject to changes in congressional
appropriations or restrictions on the use of those funds by the
Corporation. A reduction in a recipient's annual funding required as a
result of a change in the law or a reduction in funding appropriated to
the Corporation shall not be considered a termination or denial of
refunding under parts 1606 or 1625 of this chapter.

Sec. 1634.4 Announcement of competition.

(a) The Corporation shall give public notice that it intends to
award a grant or contract for a service area on the basis of a
competitive bidding process, shall take appropriate steps to announce
the availability of such a grant or contract in the periodicals of State
and local bar associations, and shall publish a notice of the Request
For Proposals (RFP) in at least one daily newspaper of general
circulation in the area to be served under the grant or contract. In
addition, the Corporation shall notify current recipients, other bar
associations, and other interested groups within the service area of the
availability of the grant or contract and shall conduct such other
outreach as the Corporation determines to be appropriate to ensure that
interested parties are given an opportunity to participate in the
competitive bidding process.
(b) The Corporation shall issue an RFP which shall include
information regarding: who may apply, application procedures, the
selection process, selection criteria, the service areas that will be
the subject of the competitive bidding process, the amount of funding
available for the service area, if known, applicable timetables and
deadlines, and the LSC Act, regulations, guidelines and instructions and
any other applicable federal law. The RFP may also include any other
information that the Corporation determines to be appropriate.
(c) The Corporation shall make a copy of the RFP available to any
person, group or entity that requests a copy in accordance with
procedures established by the Corporation.

Sec. 1634.5 Identification of qualified applicants for grants and contracts.

(a) The following persons, groups and entities are qualified
applicants who may submit a notice of intent to compete and an
application to participate in the competitive bidding process:
(1) Current recipients;
(2) Other non-profit organizations that have as a purpose the
furnishing of legal assistance to eligible clients;
(3) Private attorneys, groups of attorneys or law firms (except that
no private law firm that expends 50 percent or more of its resources and
time litigating issues in the broad interests of a majority of the
public may be awarded a grant or contract under the LSC Act);
(4) State or local governments;
(5) Substate regional planning and coordination agencies which are
composed of substate areas and whose governing boards are controlled by
locally elected officials.
(b) All persons, groups and entities listed in paragraph (a) of this
section must have a governing or policy body consistent with the
requirements of part 1607 of this chapter or other law that sets out
requirements for recipients' governing bodies, unless such governing
body requirements are inconsistent with applicable law.

[[Page 536]]

(c) Applications may be submitted jointly by more than one qualified
applicant so long as the application delineates the respective roles and
responsibilities of each qualified applicant.

Sec. 1634.6 Notice of intent to compete.

(a) In order to participate in the competitive bidding process, an
applicant must submit a notice of intent to compete on or before the
date designated by the Corporation in the RFP. The Corporation may
extend the date if necessary to take account of special circumstances or
to permit the Corporation to solicit additional notices of intent to
compete.
(b) At the time of the filing of the notice of intent to compete,
each applicant must provide the Corporation with the following
information as well as any additional information that the Corporation
determines is appropriate:
(1) Names and resumes of principals and key staff;
(2) Names and resumes of current and proposed governing board or
policy body members and their appointing organizations;
(3) Initial description of area proposed to be served by the
applicant and the services to be provided.

Sec. 1634.7 Application process.

(a) The Corporation shall set a date for receipt of applications and
shall announce the date in the RFP. The date shall afford applicants
adequate opportunity, after filing the notice of intent to compete, to
complete the application process. The Corporation may extend the
application date if necessary to take account of special circumstances.
(b) The application shall be submitted in a form to be determined by
the Corporation.
(c) A completed application shall include all of the information
requested by the RFP. It may also include any additional information
needed to fully address the selection criteria, and any other
information requested by the Corporation. Incomplete applications will
not be considered for awards by the Corporation.
(d) The Corporation shall establish a procedure to provide
notification to applicants of receipt of the application.

Sec. 1634.8 Selection process.

(a) After receipt of all applications for a particular service area,
Corporation staff shall:
(1) Review each application and any additional information that the
Corporation has regarding each applicant, including for any applicant
that is or includes a current or former recipient, past monitoring and
compliance reports, performance evaluations and other pertinent records
for the past six years;
(2) Request from an applicant and review any additional information
that the Corporation determines is appropriate to evaluate the
application fully;
(3) Conduct one or more on-site visits to an applicant if the
Corporation determines that such visits are appropriate to evaluate the
application fully;
(4) Summarize in writing information regarding the applicant that is
not contained in the application if appropriate for the review process;
and
(5) Convene a review panel unless there is only one applicant for a
particular service area and the Corporation determines that use of a
review panel is not appropriate. The review panel shall:
(i) Review the applications and the summaries prepared by the
Corporation staff. The review panel may request other information
identified by the Corporation as necessary to evaluate the applications
fully; and
(ii) Make a written recommendation to the Corporation regarding the
award of grants or contracts from the Corporation for a particular
service area.
(6) After considering the recommendation made by the review panel,
if a review panel was convened, make a staff recommendation to the
President. The staff recommendation shall include the recommendation of
the review panel and, if the staff recommendation differs from that of
the review panel, an explanation of the basis for the difference in the
recommendations.

[[Page 537]]

(b) After reviewing the written recommendations, the President shall
select the applicants to be awarded grants or contracts from the
Corporation and the Corporation shall notify each applicant in writing
of the President's decision regarding each applicant's application.
(c) In the event that there are no applicants for a service area or
that the Corporation determines that no applicant meets the criteria and
therefore determines not to award a grant or contract for a particular
service area, the Corporation shall take all practical steps to ensure
the continued provision of legal assistance in that service area. The
Corporation shall have discretion to determine how legal assistance is
to be provided to the service area, including, but not limited to,
enlarging the service area of a neighboring recipient, putting a current
recipient on month-to-month funding or entering into a short term,
interim grant or contract with another qualified provider for the
provision of legal assistance in the service area until the completion
of a competitive bidding process within a reasonable period of time.

Sec. 1634.9 Selection criteria.

(a) The criteria to be used to select among qualified applicants
shall include the following:
(1) Whether the applicant has a full understanding of the basic
legal needs of the eligible clients in the area to be served;
(2) The quality, feasibility and cost-effectiveness of the
applicant's legal services delivery and delivery approach in relation to
the Corporation's Performance Criteria and the American Bar
Association's Standards for Providers of Civil Legal Services to the
Poor, as evidenced by, among other things, the applicant's experience
with the delivery of the type of legal assistance contemplated under the
proposal;
(3) Whether the applicant's governing or policy body meets or will
meet all applicable requirements of the LSC Act, regulations,
guidelines, instructions and any other requirements of law in accordance
with a time schedule set out by the Corporation;
(4) The applicant's capacity to comply with all other applicable
provisions of the LSC Act, rules, regulations, guidelines and
instructions, as well as with ethical requirements and any other
requirements imposed by law. Evidence of the applicant's capacity to
comply with this criterion may include, among other things, the
applicant's compliance experience with the Corporation or other funding
sources or regulatory agencies, including but not limited to Federal or
State agencies, bar associations or foundations, courts, IOLTA programs,
and private foundations;
(5) The reputations of the applicant's principals and key staff;
(6) The applicant's knowledge of the various components of the legal
services delivery system in the State and its willingness to coordinate
with the various components as appropriate to assure the availability of
a full range of legal assistance, including:
(i) its capacity to cooperate with State and local bar associations,
private attorneys and pro bono programs to increase the involvement of
private attorneys in the delivery of legal assistance and the
availability of pro bono legal services to eligible clients; and
(ii) its knowledge of and willingness to cooperate with other legal
services providers, community groups, public interest organizations and
human services providers in the service area;
(7) The applicant's capacity to develop and increase non-Corporation
resources;
(8) The applicant's capacity to ensure continuity in client services
and representation of eligible clients with pending matters; and
(9) The applicant does not have known or potential conflicts of
interest, institutional or otherwise, with the client community and
demonstrates a capacity to protect against such conflicts.
(b) In selecting recipients of awards for grants or contracts under
this part, the Corporation shall not grant any preference to current or
previous recipients of funds from the Corporation.

Sec. 1634.10 Transition provisions.

(a) When the competitive bidding process results in the award of a
grant or contract to an applicant, other than

[[Page 538]]

the current recipient, to serve the area currently served by that
recipient, the Corporation--
(1) may provide, if the law permits, continued funding to the
current recipient, for a period of time and at a level to be determined
by the Corporation after consultation with the recipient, to ensure the
prompt and orderly completion of or withdrawal from pending cases or
matters or the transfer of such cases or matters to the new recipient or
to other appropriate legal service providers in a manner consistent with
the rules of ethics or professional responsibility for the jurisdiction
in which those services are being provided; and
(2) shall ensure, after consultation with the recipient, the
appropriate disposition of real and personal property purchased by the
current recipient in whole or in part with Corporation funds consistent
with the Corporation's policies.
(b) Awards of grants or contracts for legal assistance to any
applicant that is not a current recipient may, in the Corporation's
discretion, provide for incremental increases in funding up to the
annualized level of the grant or contract award in order to ensure that
the applicant has the capacity to utilize Corporation funds in an
effective and economical manner.

Sec. 1634.11 Replacement of recipient that does not complete grant term.

In the event that a recipient is unable or unwilling to continue to
perform the duties required under the terms of its grant or contract,
the Corporation shall take all practical steps to ensure the continued
provision of legal assistance in that service area. The Corporation
shall have discretion to determine how legal assistance is to be
provided to the service area, including, but not limited to, enlarging
the service area of a neighboring recipient, putting a current recipient
on month-to-month funding or entering into a short term, interim grant
or contract with another qualified provider for the provision of legal
assistance in the service area until the completion of a competitive
bidding process within a reasonable period of time.

Sec. 1634.12 Emergency procedures and waivers.

The President of the Corporation may waive the requirements of
Sec. Sec. 1634.6 and 1634.8(a)(3) and (5) when necessary to comply with
requirements imposed by law on the awards of grants and contracts for a
particular fiscal year.

PART 1635_TIMEKEEPING REQUIREMENT--Table of Contents

Sec.
1635.1 What is the purpose of this part?
1635.2 Definitions.
1635.3 Who is covered by the timekeeping requirement?
1635.4 What are LSC's timekeeping standards?
1635.5 Who outside the recipient has access to these records?

Authority: 42 U.S.C. 2996g(e).

Source: 86 FR 27041, May 19, 2021, unless otherwise noted.

Sec. 1635.1 What is the purpose of this part?

This part is intended to improve recipient accountability for the
use of all funds by:
(a) Assuring that allocations of direct costs to a recipient's LSC
grant pursuant to 45 CFR part 1630 are supported by accurate records of
the cases, matters, and supporting activities for which the funds have
been expended;
(b) Enhancing the recipient's ability to determine the cost of
specific functions; and
(c) Increasing the information available to LSC for assuring
recipient compliance with Federal law and LSC rules and regulations.

Sec. 1635.2 Definitions.

As used in this part--
(a) Case means a form of program service in which a recipient
employee provides legal assistance to one or more specific clients,
including but not limited to providing representation in litigation,
administrative proceedings, and negotiations, and such actions as
advice, providing brief services, and transactional assistance.
(b)(1) Case oversight means a supervisor's review of a case for
regulatory compliance, consistency with Case Service Report reporting
rules, and

[[Page 539]]

quality control purposes. Case oversight activities include, but are not
limited to, review of file for retainer, citizenship attestation or
documentation of eligible non-citizen status, and documentation of
financial eligibility determination; review of closing codes; and review
of advice provided or pleadings filed.
(2) Case oversight activities may be counted as case activity when
the supervisor conducts extended review of the substantive legal advice
provided in the case. Case oversight activities may be reported as a
supporting activity when it represents the aggregate of a supervisor's
time spent doing brief review of a large number of cases.
(c) Matter means an action that contributes to the overall delivery
of program services but does not involve direct legal advice to or legal
representation of one or more specific clients. Examples of matters
include both direct services, such as community education presentations,
operating pro se clinics, providing information about the availability
of legal assistance, and developing written materials explaining legal
rights and responsibilities; and indirect services, such as training,
continuing legal education, supervision of program services, preparing
and disseminating desk manuals, PAI recruitment, referral, intake when
no case is undertaken, and tracking substantive law developments.
(d) Restricted activities means those activities that recipients may
not engage in pursuant to 45 CFR part 1610.
(e) Supporting activity means any action that is not a case or
matter.

Sec. 1635.3 Who is covered by the timekeeping requirement?

Any attorney, paralegal, or other recipient employee who performs
work that is charged to one or more awards as a direct cost (as defined
in 45 CFR 1630.5(d)) must keep time according to the standards set forth
in Sec. 1635.4.

Sec. 1635.4 What are LSC's timekeeping standards?

(a) Recipients must base allocations of salaries and wages on
records that accurately reflect the work performed. These records must:
(1) Be supported by a system of internal control which provides
reasonable assurance that the charges are accurate, allowable, and
properly allocated;
(2) Be incorporated into the recipient's official records by no
later than the end of the employee's pay period, generally every two
weeks;
(3) Reflect the total activity for which the recipient compensates
the employee;
(4) Encompass within the grantee's case management system both LSC-
funded and all other direct cost activities compensated by the
recipient, but may include the use of subsidiary records as defined in
the recipient's written policies;
(5) Comply with the recipient's established accounting policies and
practices;
(6) Support the distribution of the employee's salary or wages among
specific activities or cost objectives if the employee works on more
than one award or an indirect cost activity and a direct cost activity;
(7) Contain
(i) For cases, a unique client name or case number, the amount of
time spent on the case, a description of the activities performed, and
the dates on which a recipient employee worked on the case;
(ii) For matters or supporting activities, the amount of time and
type of activity on which a recipient employee spent time and sufficient
information to link the activity to a specific award or indirect cost
amount. For example, if a recipient employee conducts a legal
information session on filing a pro se divorce petition, the employee
could record ``pro se divorce group information session, 1.5 hours.''
(b) In accordance with Department of Labor regulations implementing
the Fair Labor Standards Act (FLSA) (29 CFR part 516), charges for the
salaries and wages of nonexempt employees, in addition to the supporting
documentation described in this section, must also be supported by
records indicating the total number of hours worked each day.
(c) Salaries and wages of employees used in meeting cost sharing or
matching requirements of Federal awards must be supported in the same
manner

[[Page 540]]

as salaries and wages claimed for reimbursement from Federal awards.
(d) Recipients may establish the increments of time for which
employees must record their activities (e.g., .25 hours, one-sixth of an
hour). LSC recommends that recipients require employees to record their
time in increments no greater than one quarter of an hour.
(e)(1) Any recipient employee subject to this part who works part-
time for the recipient and part-time for an organization that engages in
restricted activities shall certify in writing that the employee has not
engaged in restricted activity during any time for which the employee
was compensated by the recipient or has not used recipient resources to
carry out restricted activities.
(2) The certification requirement does not apply to a de minimis
action related to a restricted activity. Actions consistent with the de
minimis standard are those that meet all or most of the following
criteria: Actions that are of little substance; require little time; are
not initiated by the part-time employee; and, for the most part, are
unavoidable. Employees shall make the required certification on a
quarterly basis using a form determined by LSC.

Sec. 1635.5 Who outside the recipient has access to these records?

Recipients must make time records required by this section available
for examination by auditors and representatives of LSC, and by any other
person or entity statutorily entitled to access to such records. LSC
shall not disclose any time record except to a Federal, State, or local
law enforcement official or to an official of an appropriate bar
association to enable such bar association official to investigate of an
alleged violation of the rules of professional conduct.

PART 1636_CLIENT IDENTITY AND STATEMENT OF FACTS--Table of Contents

Sec.
1636.1 Purpose.
1636.2 Requirements.
1636.3 Access to written statements.
1636.4 Applicability.
1636.5 Recipient policies, procedures and recordkeeping.

Authority: Pub. L. 104-208, 110 Stat. 3009; Pub. L. 104-134, 110
Stat. 1321.

Source: 62 FR 19420, Apr. 21, 1997, unless otherwise noted.

Sec. 1636.1 Purpose.

The purpose of this rule is to ensure that, when an LSC recipient
files a complaint in a court of law or otherwise initiates or
participates in litigation against a defendant or engages in pre-
complaint settlement negotiations, the recipient identifies the
plaintiff it represents to the defendant and ensures that the plaintiff
has a colorable claim.

Sec. 1636.2 Requirements.

(a) When a recipient files a complaint in a court of law or
otherwise initiates or participates in litigation against a defendant,
or before a recipient engages in pre-complaint settlement negotiations
with a prospective defendant on behalf of a client who has authorized it
to file suit in the event that the settlement negotiations are
unsuccessful, it shall:
(1) Identify each plaintiff it represents by name in any complaint
it files, or in a separate notice provided to the defendant against whom
the complaint is filed where disclosure in the complaint would be
contrary to law or court rules or practice, and identify each plaintiff
it represents to prospective defendants in pre-litigation settlement
negotiations, unless a court of competent jurisdiction has entered an
order protecting the client from such disclosure based on a finding,
after notice and an opportunity for a hearing on the matter, of
probable, serious harm to the plaintiff if the disclosure is not
prevented; and
(2) Prepare a dated written statement signed by each plaintiff it
represents, enumerating the particular facts supporting the complaint,
insofar as they are known to the plaintiff when the statement is signed.
(b) The statement of facts must be written in English and, if
necessary, in a language other than English that the plaintiff
understands.
(c) In the event of an emergency, where the recipient reasonably
believes that delay is likely to cause harm to a significant safety,
property or liberty

[[Page 541]]

interest of the client, the recipient may proceed with the litigation or
negotiation without a signed statement of facts, provided that the
statement is prepared and signed as soon as possible thereafter.

Sec. 1636.3 Access to written statements.

(a) Written statements of facts prepared in accordance with this
part are to be kept on file by the recipient and made available to the
Corporation or to any Federal department or agency auditing or
monitoring the activities of the recipient or to any auditor or monitor
receiving Federal funds to audit or monitor on behalf of a Federal
department or agency or on behalf of the Corporation.
(b) This part does not give any person or party other than those
listed in paragraph (a) of this section any right of access to the
plaintiff's written statement of facts, either in the lawsuit or through
any other procedure. Access to the statement of facts by such other
persons or parties is governed by applicable law and the discovery rules
of the court in which the action is brought.

Sec. 1636.4 Applicability.

This part applies to cases for which private attorneys are
compensated by the recipient as well as to those cases initiated by the
recipient's staff.

Sec. 1636.5 Recipient policies, procedures and recordkeeping.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part and shall maintain records
sufficient to document the recipient's compliance with this part.

PART 1637_REPRESENTATION OF PRISONERS--Table of Contents

Sec.
1637.1 Purpose.
1637.2 Definitions.
1637.3 Prohibition.
1637.4 Change in circumstances.
1637.5 Recipient policies, procedures and recordkeeping.

Authority: 42 U.S.C. 2996g(e); Pub. L. 104-208, 110 Stat. 3009; Pub.
L. 104-134, 110 Stat. 1321.

Source: 62 FR 19422, Apr. 21, 1997, unless otherwise noted.

Sec. 1637.1 Purpose.

This part is intended to ensure that recipients do not participate
in any civil litigation on behalf of persons incarcerated in Federal,
State or local prisons.

Sec. 1637.2 Definitions.

(a) Incarcerated means the involuntary physical restraint of a
person who has been arrested for or convicted of a crime.
(b) Federal, State or local prison means any penal facility
maintained under governmental authority.

Sec. 1637.3 Prohibition.

A recipient may not participate in any civil litigation on behalf of
a person who is incarcerated in a Federal, State or local prison,
whether as a plaintiff or as a defendant, nor may a recipient
participate on behalf of such an incarcerated person in any
administrative proceeding challenging the conditions of incarceration.

Sec. 1637.4 Change in circumstances.

If, to the knowledge of the recipient, a client becomes incarcerated
after litigation has commenced, the recipient must use its best efforts
to withdraw promptly from the litigation, unless the period of
incarceration is anticipated to be brief and the litigation is likely to
continue beyond the period of incarceration.

Sec. 1637.5 Recipient policies, procedures and recordkeeping.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part and shall maintain records
sufficient to document the recipient's compliance with this part.

PART 1638_RESTRICTION ON SOLICITATION--Table of Contents

Sec.
1638.1 Purpose.
1638.2 Definitions.
1638.3 Prohibition.
1638.4 Permissible activities.
1638.5 Recipient policies.

[[Page 542]]

Authority: 42 U.S.C. 2996g(e).

Source: 62 FR 19424, Apr. 21, 1997, unless otherwise noted.

Sec. 1638.1 Purpose.

This part is designed to ensure that recipients and their employees
do not solicit clients.

Sec. 1638.2 Definitions.

(a) Communicate or communication means to share information.
Permissible forms of communication include, but are not limited to,
sending information via mailings, text message, email, or other methods
of voice or electronic communication.
(b) In-person means a face-to-face encounter, including virtual
clinics or other encounters via videoconference.
(c) Unsolicited advice means advice to obtain counsel or take legal
action given by a recipient or its employee to an individual who did not
seek the advice and with whom the recipient does not have an attorney-
client relationship.

[89 FR 25816, Apr. 12, 2024]

Sec. 1638.3 Prohibition.

(a) Recipients and their employees shall not represent a client as a
result of in-person unsolicited advice.
(b) Recipients and their employees shall not refer to other
recipients individuals to whom they have given in-person unsolicited
advice.

[89 FR 25816, Apr. 12, 2024]

Sec. 1638.4 Permissible activities.

A recipient may:
(a) Communicate about legal rights and responsibilities or the
recipient's services and intake procedures or provide the same
information through community legal education activities. Recipients may
engage in various activities including, but not limited to, outreach,
public service announcements, maintaining an ongoing presence in a
courthouse to provide advice, disseminating community legal education
publications, and giving presentations to groups that request them.
(b) Communicate to parties in civil cases to notify them that a case
has been filed against them; to inform them of upcoming court dates; to
inform them that counsel may be available to represent them; and to
provide information about intake.
(c) Represent an otherwise eligible individual requesting legal
assistance from the recipient as a result of a communication or
information provided as described in paragraph (a) of this section,
provided that the request has not resulted from in-person unsolicited
advice.
(d) Represent or refer clients pursuant to a statutory or private
ombudsman program that provides investigatory and referral services and/
or legal assistance on behalf of persons who are unable to seek
assistance on their own, including institutionalized individuals or
individuals living with a physical or mental disability.
(e) Represent an individual with whom the recipient initiated
contact over the phone or via an electronic platform so long as the
communication provides only generic information that is not tailored to
the individual or the specific facts of the individual's legal issues.

[89 FR 25816, Apr. 12, 2024]

Sec. 1638.5 Recipient policies.

Each recipient shall adopt written policies to implement the
requirements of this part.

PART 1639_WELFARE REFORM--Table of Contents

Sec.
1639.1 Purpose.
1639.2 Definitions.
1639.3 Prohibition.
1639.4 Permissible representation of eligible clients.
1639.5 Exceptions for public rulemaking and responding to requests with
non-LSC funds.
1639.6 Recipient policies and procedures.

Authority: 42 U.S.C. 2996g(e); Pub. L. 104-208, 110 Stat. 3009; Pub.
L. 104-134, 110 Stat. 1321.

Source: 62 FR 30766, June 5, 1997, unless otherwise noted.

Sec. 1639.1 Purpose.

The purpose of this rule is to ensure that LSC recipients do not
initiate litigation involving, or challenge or participate in, efforts
to reform a Federal or State welfare system. The rule also

[[Page 543]]

clarifies when recipients may engage in representation on behalf of an
individual client seeking specific relief from a welfare agency and
under what circumstances recipients may use funds from sources other
than the Corporation to comment on public rulemaking or respond to
requests from legislative or administrative officials involving a reform
of a Federal or State welfare system.

Sec. 1639.2 Definitions.

An effort to reform a Federal or State welfare system includes all
of the provisions, except for the Child Support Enforcement provisions
of Title III, of the Personal Responsibility and Work Opportunity
Reconciliation Act of 1996 (Personal Responsibility Act), 110 Stat. 2105
(1996), and subsequent legislation enacted by Congress or the States to
implement, replace or modify key components of the provisions of the
Personal Responsibility Act or by States to replace or modify key
components of their General Assistance or similar means-tested programs
conducted by States or by counties with State funding or under State
mandates.

[67 FR 19343, Apr. 19, 2002]

Sec. 1639.3 Prohibition.

Except as provided in Sec. Sec. 1639.4 and 1639.5, recipients may
not initiate legal representation, or participate in any other way in
litigation, lobbying or rulemaking, involving an effort to reform a
Federal or State welfare system. Prohibited activities include
participation in:
(a) Litigation challenging laws or regulations enacted as part of an
effort to reform a Federal or State welfare system.
(b) Rulemaking involving proposals that are being considered to
implement an effort to reform a Federal or State welfare system.
(c) Lobbying before legislative or administrative bodies undertaken
directly or through grassroots efforts involving pending or proposed
legislation that is part of an effort to reform a Federal or State
welfare system.

Sec. 1639.4 Permissible representation of eligible clients.

Recipients may represent an individual eligible client who is
seeking specific relief from a welfare agency.

[62 FR 30766, June 5, 1997, as amended at 67 FR 19343, Apr. 19, 2002]

Sec. 1639.5 Exceptions for public rulemaking and responding to
requests with non-LSC funds.

Consistent with the provisions of 45 CFR 1612.6 (a) through (e),
recipients may use non-LSC funds to comment in a public rulemaking
proceeding or respond to a written request for information or testimony
from a Federal, State or local agency, legislative body, or committee,
or a member thereof, regarding an effort to reform a Federal or State
welfare system.

Sec. 1639.6 Recipient policies and procedures.

Each recipient shall adopt written policies and procedures to guide
its staff in complying with this part.

PART 1640_APPLICATION OF FEDERAL LAW TO LSC RECIPIENTS--Table of Contents

Sec.
1640.1 Purpose.
1640.2 Applicable Federal laws.
1640.3 Contractual agreement.
1640.4 Violation of agreement.

Authority: 42 U.S.C. 2996e(g).

Source: 80 FR 21656, Apr. 20, 2015, unless otherwise noted.

Sec. 1640.1 Purpose.

The purpose of this part is to ensure that recipients use their LSC
funds in accordance with Federal law related to the proper use of
Federal funds. This part also provides notice to recipients of the
consequences of a violation of such Federal laws by a recipient, its
employees or board members.

Sec. 1640.2 Applicable federal laws.

(a) LSC will maintain an exhaustive list of applicable Federal laws
relating to the proper use of Federal funds on its Web site and provide
recipients with a link to the list in the contractual agreement. The
list may be modified with the approval of the Corporation's

[[Page 544]]

Board of Directors at a public meeting. LSC will provide recipients with
notice when the list is modified.
(b) For the purposes of this part and the laws referenced in
paragraph (a) of this section, LSC is considered a Federal agency and a
recipient's LSC funds are considered Federal funds provided by grant or
contract.

Sec. 1640.3 Contractual agreement.

As a condition of receiving LSC funds, a recipient must enter into a
written agreement with the Corporation that, with respect to its LSC
funds, will subject the recipient to the applicable Federal laws
relating to the proper use of Federal funds. The agreement must include
a statement that all of the recipient's employees and board members have
been informed of such Federal law and of the consequences of a violation
of such law, both to the recipient and to themselves as individuals.

Sec. 1640.4 Violation of agreement.

(a) LSC will determine that a recipient has violated the agreement
described in Sec. 1640.3 when the recipient has been convicted of, or
judgment has been entered against the recipient for, a violation of an
applicable Federal law relating to the proper use of Federal funds with
respect to its LSC grant or contract, by the court having jurisdiction
of the matter, and any appeals of the conviction or judgment have been
exhausted or the time for appeal has expired.
(b) A violation of the agreement by a recipient based on recipient
conduct will result in the Corporation terminating the recipient's LSC
grant or contract without need for a termination hearing. While an
appeal of a conviction or judgment is pending, the Corporation may take
any necessary steps to safeguard its funds.
(c) LSC will determine that the recipient has violated the agreement
described in Sec. 1640.3 when an employee or board member of the
recipient has been convicted of, or judgment has been entered against
the employee or board member for, a violation of an applicable Federal
law relating to the proper use of Federal funds with respect to the
recipient's grant or contract with LSC, by the court having jurisdiction
of the matter, and any appeals of the conviction or judgment have been
exhausted or the time for appeal has expired, and the Corporation finds
that the recipient has knowingly or through gross negligence allowed the
employee or board member to engage in such activities.
(d) A violation of the agreement by the recipient based on employee
or board member conduct will result in the Corporation terminating the
recipient's LSC grant or contract. Prior to termination, the Corporation
will provide notice and an opportunity to be heard for the sole purpose
of determining whether the recipient knowingly or through gross
negligence allowed the employee or board member to engage in the
activities leading to the conviction or judgment. While an appeal of a
conviction or judgment or a hearing is pending, the Corporation may take
any necessary steps to safeguard its funds.

PART 1641_DEBARMENT, SUSPENSION AND REMOVAL OF RECIPIENT
AUDITORS--Table of Contents

Subpart A_General

Sec.
1641.1 Purpose/Applicability.
1641.2 Definitions.
1641.3 Scope of debarment, suspension and removal.
1641.4 Duration of debarment, suspension and removal.

Subpart B_Debarment

1641.5 Debarment.
1641.6 Procedures for debarment.
1641.7 Causes for debarment.
1641.8 Notice of proposed debarment.
1641.9 Response to notice of proposed debarment.
1641.10 Additional proceedings as to disputed material facts.

Subpart C_Suspension

1641.11 Suspension.
1641.12 Procedures for suspension.
1641.13 Causes for suspension.
1641.14 Notice of proposed suspension.
1641.15 Response to notice of proposed suspension.

[[Page 545]]

Subpart D_Removal

1641.16 Removal.
1641.17 Procedures for removal.
1641.18 Causes for removal.
1641.19 Notice of proposed removal.
1641.20 Response to notice of proposed removal.
1641.21 Additional proceedings as to disputed material facts.

Subpart E_Decisions

1641.22 Decisions of debarring official.
1641.23 Exceptions to debarment, suspension and removal.
1641.24 Appeal and reconsideration of debarring official decisions.

Authority: 42 U.S.C. 2996e(g); Pub. L. 105-277.

Source: 64 FR 67507, Dec. 2, 1999, unless otherwise noted.

Subpart A_General

Sec. 1641.1 Purpose/Applicability.

In order to assist in ensuring that recipients receive acceptable
audits, this part sets out the authority of the Legal Services
Corporation (``LSC'') Office of Inspector General (``OIG'') to debar,
suspend or remove independent public accountants (``IPAs'') from
performing audit services for recipients. This rule informs IPAs of
their rights to notice and an opportunity to be heard on actions
involving debarment, suspension or removal, and the standards upon which
such actions will be taken. This part applies to IPAs performing audit
services for recipients, subrecipients or other entities which receive
LSC funds and are required to have an audit performed in accordance with
guidance promulgated by the OIG.

Sec. 1641.2 Definitions.

Adequate evidence means information sufficient to support the
reasonable belief that a particular act or omission has occurred.
Audit services means the annual financial statement audit of a
recipient, including an audit of the recipient's financial statements,
systems of internal control, and compliance with laws and regulations.
Contract means an agreement between a recipient and an IPA for an
IPA to provide audit services to the recipient.
Conviction means a judgment or conviction of a criminal offense by
any court, whether entered upon a verdict or plea, including but not
limited to, pleas of nolo contendere.
Debarment means a decision by the debarring official to prohibit an
IPA from soliciting or entering into new contracts to perform audit
services for recipient(s) based upon a finding by a preponderance of the
evidence that any of the causes for debarment set out in Sec. 1641.7
exist. Debarment may cover an IPA's contracts with all recipients or
with one or more specific recipients.
Debarring official is the official responsible for debarment,
suspension or removal actions under this part. The OIG legal counsel is
the debarring official. In the absence of an OIG legal counsel or in the
discretion of the Inspector General, the debarring official shall be the
OIG staff person or other individual designated by the Inspector
General.
Indictment means a charge by a grand jury that the person named
therein has committed a criminal offense. An information, presentment,
or other filing by competent authority charging a criminal offense shall
be given the same effect as an indictment.
IPA means an independent public accountant or firm of accountants.
Knowingly means that an act was done voluntarily and intentionally
and not because of mistake or accident.
Material fact means one which is necessary to determine the outcome
of an issue or case and without which the case could not be supported.
Person means an individual or a firm, partnership, corporation,
association, or other legal entity.
Preponderance of the evidence means proof by information that,
compared with that opposing it, leads to the conclusion that the fact at
issue is more probably true than not.
Removal means a decision by the debarring official to prohibit an
IPA from performing audit services in subsequent years of an existing
contract with one or more specific recipients based upon a finding by a
preponderance of the evidence that any of the causes set out in Sec.
1641.18 exist.
Suspension means a decision by the debarring official, in
anticipation of a

[[Page 546]]

debarment, to prohibit an IPA from soliciting or entering into new
contracts to perform audit services for recipient(s) based upon a
finding of adequate evidence that any of the causes referred to in Sec.
1641.13 exist. Suspension may preclude an IPA from soliciting or
entering into new contracts with all recipients or with one or more
specific recipients.

Sec. 1641.3 Scope of debarment, suspension and removal.

An IPA may be debarred, suspended or removed under this part only if
the IPA is specifically named and given notice of the proposed action
and an opportunity to respond in accordance with this part.
(a) Actions against individual IPAs. Debarment, suspension or
removal of an individual IPA, debars, suspends or removes that
individual from performing audit services as an individual or as an
employee, independent contractor, agent or other representative of an
IPA firm.
(b) Actions against IPA firms. (1) Debarment, suspension or removal
shall affect only those divisions or other organizational elements
materially involved in the relevant engagement and as to which there is
cause to debar, suspend or remove.
(2) The debarment, suspension or removal action contemplated in
paragraph (b)(1) of this section may include any firm that is an
affiliate, subcontractor, joint venturer, agent or representative of the
IPA firm only if such firm was materially involved in the relevant
engagement and is specifically named and given notice of the proposed
action and an opportunity to respond in accordance with this part.
(3) The debarment, suspension or removal action contemplated in
paragraph (b)(1) of this section may include an individual officer,
director, or partner responsible for the engagement, or an individual
employee, independent contractor, agent, representative or other
individual associated with an IPA firm only if such individual is
specifically named and given notice of the proposed action and an
opportunity to respond in accordance with this part.

Sec. 1641.4 Duration of debarment, suspension and removal.

A debarment, suspension or removal is effective as set out in the
debarring official's decision to debar, suspend or remove, issued
pursuant to Sec. 1641.22.
(a) Debarment. (1) Debarment generally should not exceed three
years, but may be for a shorter period based on a consideration of the
evidence presented by the IPA. Debarment may exceed three years in
extraordinary circumstances.
(2) If a suspension precedes a debarment, the suspension period
shall be considered in determining the debarment period.
(3) The debarring official may extend an existing debarment for an
additional period if the debarring official determines, based on
additional facts not previously in the record, that an extension is
necessary to protect LSC funds. The standards and procedures in this
part shall be applied in any proceeding to extend a debarment.
(b) Suspension. (1) The debarring official may determine that a
cause for suspension exists, but that an investigation or other legal or
debarment proceeding should be completed before proceeding to a
debarment. Suspension shall be for a temporary period pending the
completion of an investigation or other legal or debarment proceedings,
including a proceeding conducted by the OIG, a law enforcement or other
government agency, an investigative or audit official from another OIG,
a court, or a state licensing body or other organization with authority
over IPAs.
(2) If debarment proceedings are not initiated within 12 months
after the date of the suspension notice, the suspension shall be
terminated unless an official or organization conducting a proceeding
referred to in paragraph (b)(1) of this section requests its extension
in writing. In such cases, the suspension may be extended up to an
additional six months. In no event may a suspension be imposed for more
than 18 months, unless debarment proceedings have been initiated within
that period.
(3) The OIG shall notify the appropriate official or organization
conducting a proceeding referred to in paragraph (b)(1) of this section,
if any,

[[Page 547]]

of the suspension within 10 days of its implementation, and shall notify
such official or organization of an impending termination of a
suspension at least 30 days before the 12-month period expires to allow
an opportunity to request an extension.
(4) The limit on the duration of a suspension in paragraph (b)(2) of
this section may be waived by the affected IPA.
(c) Removal. Removal shall be effective for the years remaining on
the existing contract(s) between the IPA and the recipient(s).

Subpart B_Debarment

Sec. 1641.5 Debarment.

(a) IPAs debarred from providing audit services for all recipients
are prohibited from soliciting or entering into any new contracts for
audit services with recipients for the duration of the specified period
of debarment. Recipients shall not knowingly award contracts to, extend
or modify existing contracts with, or solicit proposals from, such IPAs.
Debarred IPAs also are prohibited from providing audit services to
recipients as agents or representatives of other IPAs.
(b) IPAs debarred from providing audit services for one or more
specific recipient(s) are prohibited from soliciting or entering into
any new contracts for audit services with such recipient(s) for the
duration of the period of debarment as determined pursuant to this part.
The affected recipient(s) shall not knowingly award contracts to, extend
or modify existing contracts with, or solicit proposals from, such IPAs.
Debarred IPAs also are prohibited from providing audit services to the
affected recipient(s) as agents or representatives of other IPAs, and
are required to provide prior written notice to the debarring official
before providing such services to other recipients. Debarred IPAs also
must provide prior written notice of the debarment to any recipient for
which the IPA provides audit services.

Sec. 1641.6 Procedures for debarment.

Before debarring an IPA, the OIG shall provide the IPA with a
hearing in accordance with the procedures set out in Sec. Sec. 1641.7
through 1641.9. Such hearing shall be held entirely by written
submissions, except:
(a) Additional proceedings shall be held under Sec. 1641.10 if the
debarring official finds there is a genuine dispute of material fact;
and/or
(b) A meeting may be held under Sec. 1641.9(c).

Sec. 1641.7 Causes for debarment.

The debarring official may debar an IPA from performing audit
services in accordance with the procedures set forth in this part upon a
finding by a preponderance of the evidence that:
(a) The IPA has failed significantly to comply with government
auditing standards established by the Comptroller General of the United
States, generally accepted auditing standards and/or OIG audit guidance
as stated in the OIG Audit Guide for Recipients and Auditors, including
the Compliance Supplement for Audits of LSC Recipients, and in OIG Audit
Bulletins;
(b) The IPA is currently debarred from contracting with any Federal
agency or entity receiving Federal funds, including when the IPA has
stipulated to such debarment;
(c) The IPA's license to practice accounting has been revoked,
terminated or suspended by a state licensing body or other organization
with authority over IPAs;
(d) The IPA has been convicted of any offense indicating a breach of
trust, dishonesty or lack of integrity, or conspiracy to commit such an
offense, and the conviction is final; or
(e) The IPA has been found subject to a civil judgment for any
action indicating a breach of trust, dishonesty or lack of integrity, or
conspiracy to take such action, and the judgment is final.

Sec. 1641.8 Notice of proposed debarment.

(a) Before debarring an IPA, the OIG shall send the IPA written
notice of the proposed debarment. The notice shall be sent in a manner
that provides evidence of its receipt and shall:
(1) State that debarment is being considered;
(2) Identify the reasons for the proposed debarment sufficient to
put the

[[Page 548]]

IPA on notice of the conduct or transaction(s) upon which a debarment
proceeding is based;
(3) Identify the regulatory provisions governing the debarment
proceeding; and
(4) State that debarment may be for a period of up to three years or
longer under extraordinary circumstances. If the OIG has determined that
extraordinary circumstances warranting debarment in excess of three
years may exist, the notice shall so state.
(b) A copy of the notice also shall be sent to the affected
recipient(s), if any, which may comment on the proposed action in the
time frame set out in Sec. 1641.9.

Sec. 1641.9 Response to notice of proposed debarment.

(a) The IPA shall have 30 days from receipt of the notice within
which to respond.
(b) The response shall be in writing and may include information and
argument in opposition to the proposed debarment, including any
additional specific information pertaining to the possible causes for
debarment, and information and argument in mitigation of the proposed
period of debarment.
(c) The response may request a meeting with the debarring official
to permit the IPA to discuss issues of fact or law relating to the
proposed debarment, or to otherwise resolve the pending matters. Any
such meeting shall take the form that the debarring official deems
appropriate and shall be held within 20 days of the response. If the IPA
requests an in person meeting, it shall be held at LSC headquarters.
(d) Failure to respond to the notice shall be deemed an admission of
the existence of the cause(s) for debarment set forth in the notice and
an acceptance of the period of debarment. In such circumstances, without
further proceedings, the debarring official may enter a final decision
stating the period of debarment.

Sec. 1641.10 Additional proceedings as to disputed material facts.

(a) In actions not based upon a conviction or civil judgment under
Sec. 1641.7 (d) or (e), if the debarring official finds that the IPA's
submission raises a genuine dispute of material fact, the IPA shall be
afforded an opportunity to appear (with counsel, if desired), submit
documentary evidence, present witnesses, and confront any witnesses the
OIG presents. If the debarring official finds that the IPA's submission
does not raise a genuine issue of material fact, additional proceedings
will not be provided. In such case, the hearing shall be held entirely
by written submissions, except that a meeting may be held under Sec.
1641.9(c).
(b) If the debarring official determines additional proceedings to
be warranted, OIG shall notify the IPA. Such notice shall include notice
of the procedures under which such proceedings shall be conducted.
(c) A transcribed record of any additional proceedings shall be
prepared and a copy shall be made available to the IPA without cost.
(d) The debarring official may refer disputed material facts to a
fact finder, who need not be a member of the OIG staff, for fact
finding, analysis and recommendation.

Subpart C_Suspension

Sec. 1641.11 Suspension.

(a) IPAs suspended from providing audit services for all recipients
are prohibited from soliciting or entering into any new contracts for
audit services with recipients for the duration of the suspension.
Recipients shall not knowingly award contracts to, extend or modify
existing contracts with, or solicit proposals from, such IPAs. Suspended
IPAs also are prohibited from providing audit services to recipients as
agents or representatives of other IPAs.
(b) IPAs suspended from providing audit services for one or more
specific recipient(s) are prohibited from soliciting or entering into
any new contracts for audit services with such recipient(s) for the
duration of the period of suspension as determined pursuant to this
part. The affected recipient(s) shall not knowingly award contracts to,
extend or modify existing contracts with, or solicit proposals from,
such IPAs. Suspended IPAs also are prohibited from providing audit
services to the affected recipient(s) as agents or

[[Page 549]]

representatives of other IPAs, and are required to provide prior written
notice to the debarring official before providing such services to other
recipients. Suspended IPAs also must provide prior written notice of the
suspension to any recipient for which the IPA provides audit services.

Sec. 1641.12 Procedures for suspension.

Before suspending an IPA, the OIG shall provide the IPA with a show
cause hearing in accordance with the procedures set out in Sec. Sec.
1641.13 through 1641.15. Such hearing shall be held entirely by written
submissions, except that a meeting may be held under Sec. 1641.15(c).

Sec. 1641.13 Causes for suspension.

The debarring official may suspend an IPA in accordance with the
procedures set forth in this part upon adequate evidence that:
(a) A cause for debarment under Sec. 1641.7 may exist;
(b) The IPA has been indicted for or convicted of any offense
described in Sec. 1641.7;
(c) The IPA has been found subject to a civil judgment described in
Sec. 1641.7(e), whether the judgment is final or not.
(d) The IPA has been suspended from contracting with a Federal
agency or entity receiving Federal funds including when the IPA has
stipulated to the suspension.

Sec. 1641.14 Notice of proposed suspension.

(a) Before suspending an IPA, OIG shall send it written notice of
cause to suspend. Such notice shall:
(1) Include a directive to show cause, signed by the debarring
official, which shall inform the IPA that unless the IPA responds within
10 days as provided in Sec. 1641.15, a suspension will be imposed;
(2) Identify the reasons for the proposed suspension sufficient to
put the IPA on notice of the conduct or transaction(s) upon which a
suspension proceeding is based;
(3) Identify the regulatory provisions governing the suspension
proceeding; and
(4) State that, if imposed, the suspension shall be for a temporary
period pending the completion of an investigation or other legal or
debarment proceeding.
(b) A copy of the notice also shall be sent to the affected
recipient(s), if any, who may comment on the proposed action in the time
frame set out in Sec. 1641.15.

Sec. 1641.15 Response to notice of proposed suspension.

(a) The IPA shall have 10 days from receipt of the notice within
which to respond.
(b) The response shall be in writing and may include information and
argument in opposition to the proposed suspension, including any
additional specific information pertaining to the possible causes for
suspension, and information and argument in mitigation of the proposed
period of suspension.
(c) The response may request a meeting with the OIG official
identified in the notice to permit the IPA to discuss issues of fact or
law relating to the proposed suspension, or to otherwise resolve the
pending matters.
(1) Any such meeting shall take such form as the debarring official
deems appropriate and shall be held within 10 days of the response.
(2) No meeting will be held if a law enforcement official, an
investigative or audit official from another OIG, a state licensing body
or other organization with authority over IPAs, or a governmental agency
has advised in writing that the substantial interest of a governmental
unit would be prejudiced by such a meeting and the debarring official
determines that the suspension is based on the same facts as the pending
legal proceedings referenced by the law enforcement official.
(d) Failure to respond to the notice shall be deemed an admission of
the existence of the cause(s) for suspension set forth in the notice and
an acceptance of the period of suspension. In such circumstances, the
OIG may proceed to a final decision without further proceedings.

[[Page 550]]

Subpart D_Removal

Sec. 1641.16 Removal.

Removed IPAs are prohibited from performing audit services in
subsequent years under an existing contract(s) with one or more specific
recipients. The affected recipient(s) shall not extend existing
contracts with such IPAs. Removed IPAs also are prohibited from
providing audit services to the affected recipient(s) as agents or
representatives of other IPAs, and are required to provide prior written
notice to the debarring official before providing such services to other
recipients. Removed IPAs also must provide prior written notice of the
removal to any such recipient.

Sec. 1641.17 Procedures for removal.

(a) Before removing an IPA, the OIG shall provide the IPA with a
hearing in accordance with the procedures set out in Sec. Sec. 1641.18
through 1641.21. Such hearing shall be held entirely by written
submissions, except:
(1) Additional proceedings shall be held under Sec. 1641.21 if the
debarring official finds there is a genuine dispute of material fact;
and/or
(2) A meeting may be held under Sec. 1641.20(c).
(b) A Notice of Proposed Removal normally will be accompanied by a
Notice of Proposed Debarment, and the proceedings may be consolidated.

Sec. 1641.18 Causes for removal.

The debarring official may remove an IPA from performing audit
services in accordance with the procedures set forth in this part upon a
finding by a preponderance of the evidence that:
(a) The IPA has failed significantly to comply with government
auditing standards established by the Comptroller General of the United
States, generally accepted auditing standards and/or OIG audit guidance
as stated in the OIG Audit Guide for Recipients and Auditors, including
the Compliance Supplement for Audits of LSC Recipients, and in OIG Audit
Bulletins;
(b) The IPA is currently debarred from contracting with any Federal
agency or entity receiving Federal funds, including when the IPA has
stipulated to such debarment;
(c) The IPA's license to practice accounting has been revoked,
terminated or suspended by a state licensing body or other organization
with authority over IPAs;
(d) The IPA has been convicted of any offense indicating a breach of
trust, dishonesty or lack of integrity, or conspiracy to commit such an
offense, and the conviction is final; or
(e) The IPA has been found subject to a civil judgment for any
action indicating a breach of trust, dishonesty or lack of integrity, or
conspiracy to take such action, and the judgment is final.

Sec. 1641.19 Notice of proposed removal.

(a) Before removing an IPA, the OIG shall send the IPA written
notice of the proposed removal. The notice shall be sent in a manner
that provides evidence of its receipt and shall:
(1) State that removal is being considered;
(2) Identify the reasons for the proposed removal sufficient to put
the IPA on notice of the conduct or transaction(s) upon which a removal
proceeding is based;
(3) Identify the regulatory provisions governing the removal
proceeding; and
(4) State that removal shall be for the years remaining on the
existing contract(s) between the IPA and the recipient(s).
(b) A copy of the notice also shall be sent to the affected
recipient(s), if any, which may comment on the proposed action in the
time frame set out in Sec. 1641.20.

Sec. 1641.20 Response to notice of proposed removal.

[[Page 551]]

deems appropriate and shall be held within 20 days of the response. If
the IPA requests an in person meeting, it shall be held at LSC
headquarters.
(d) Failure to respond to the notice shall be deemed an admission of
the existence of the cause(s) for removal set forth in the notice and an
acceptance of the removal. In such circumstances, without further
proceedings, the debarring official may enter a final decision removing
the IPA.

Sec. 1641.21 Additional proceedings as to disputed material facts.

(a) In actions not based upon a conviction or civil judgment under
Sec. 1641.18(d) or (e), if the debarring official finds that the IPA's
submission raises a genuine dispute of material fact, the IPA shall be
afforded an opportunity to appear (with counsel, if desired), submit
documentary evidence, present witnesses, and confront any witnesses the
OIG presents. If the debarring official finds that the IPA's submission
does not raise a genuine issue of material fact, additional proceedings
will not be provided. In such case, the hearing shall be held entirely
by written submissions, except that a meeting may be held under Sec.
1641.20(c).
(b) If the debarring official determines additional proceedings to
be warranted, OIG shall notify the IPA. Such notice shall include notice
of the procedures under which such proceedings shall be conducted.
(c) A transcribed record of any additional proceedings shall be
prepared and a copy shall be made available to the IPA without cost.
(d) The debarring official may refer disputed material facts to a
fact finder, who need not be a member of the OIG staff, for fact
finding, analysis and recommendation.

Subpart E_Decisions

Sec. 1641.22 Decisions of debarring official.

(a) Standard of proof. (1) A debarment or removal must be based on a
finding that the cause or causes for debarment or removal are
established by a preponderance of the evidence in the administrative
record of the case.
(2) A suspension must be based on a finding that the cause or causes
are established by adequate evidence in the administrative record of the
case.
(b) The administrative record consists of any information, reports,
documents or other evidence identified and relied upon in the Notice of
Proposed Debarment, the Notice of Proposed Suspension, or the Notice of
Proposed Removal, together with any relevant material contained in the
IPA's response or submitted by an affected recipient. In the case of
debarment or removal, when additional proceedings are necessary to
determine disputed material facts, the administrative record also shall
consist of any relevant material submitted or presented at such
proceedings.
(c) Failure of the OIG to meet a time requirement of this part does
not preclude the OIG from debarring, suspending or removing an IPA. In
extraordinary circumstances, the OIG may grant an IPA an extension of
the time requirements set out in this part.
(d) Notice of decisions. IPAs shall be given prompt notice of the
debarring official's decision. A copy of the decision also will be sent
to the affected recipient. If the debarring official debars, suspends or
removes an IPA, the decision shall:
(1) Set forth the finding(s) upon which the decision is based;
(2) Set forth the effect of the debarment, suspension or removal
action and the effective dates of the action;
(3) Refer the IPA to its procedural rights of appeal and
reconsideration under Sec. 1641.24; and
(4) Inform the IPA that a copy of the debarring official's decision
will be a public document and the fact of debarment, suspension or
removal will be a matter of public record.
(e) If the debarring official decides that a debarment, suspension,
or removal is not warranted, the Notice may be withdrawn or the
proceeding may be otherwise terminated.
(f) If the debarring official deems it appropriate, the debarring
official may, at any time, settle by agreement with the IPA a debarment,
suspension, or removal action. Such a negotiated settlement may include
the imposition of appropriate conditions on the IPA.

[[Page 552]]

Sec. 1641.23 Exceptions to debarment, suspension and removal.

Exceptions to the effects of debarment, suspension or removal may be
available in unique circumstances, when there are compelling reasons to
use a particular IPA for a specific task. Requests for such exceptions
may be submitted only by the recipient requiring audit services. The
Inspector General may except a contract from the effects of debarment,
suspension or removal upon a written determination that a compelling
reason exists for using the IPA in the particular instance.

Sec. 1641.24 Appeal and reconsideration of debarring official decisions.

(a) Appeal and reconsideration generally. A debarred, suspended or
removed IPA may submit the debarring official's decision for appeal or
reconsideration in accordance with this section. Within 60 days, IPAs
shall be given notice of decisions on appeal and reconsideration. The
relief, if any, granted upon appeal or reconsideration shall be limited
to the relief stated in the decision on the appeal or reconsideration.
(b) Appeal. (1) A debarred, suspended or removed IPA may appeal the
decision to the Inspector General, who may uphold, reverse or modify the
debarring official's decision.
(2) The appeal shall be filed in writing:
(i) By a debarred or removed IPA, within 30 days of receipt of the
decision;
(ii) By a suspended IPA, within 15 days of receipt of the decision.
(3) The Inspector General, at his or her discretion and after
determining that a compelling reason exists, may stay the effect of the
debarment, suspension or removal pending conclusion of his or her review
of the matter.
(c) Reconsideration. (1) A debarred, suspended or removed IPA may
submit a request to the debarring official to reconsider the debarment,
suspension or removal decision, reduce the period of debarment or
removal, or terminate the suspension.
(2) Such requests shall be in writing and supported by documentation
that the requested action is justified by:
(i) In the case of suspension, reversal of the conviction or civil
judgment upon which the suspension was based;
(ii) Newly discovered material evidence;
(iii) Bona fide change in ownership or management;
(iv) Elimination of other causes for which the debarment, suspension
or removal was imposed; or
(v) Other reasons the debarring official deems appropriate.
(3) A request for reconsideration of a suspension which was based a
conviction, civil judgment, or sanction that has been reversed may be
filed at any time.
(4) Requests for reconsideration based on other grounds may only be
filed during the period commencing 60 days after the debarring
official's decision imposing the debarment or suspension. Only one such
request may be filed in any twelve month period.
(5) The debarring official's decision on a request for
reconsideration is subject to the appeal procedure set forth in
paragraph (b) of this section.

PART 1642 [RESERVED]

PART 1643_RESTRICTION ON ASSISTED SUICIDE,
EUTHANASIA, AND MERCY KILLING--Table of Contents

Sec.
1643.1 Purpose.
1643.2 Definitions.
1643.3 Prohibition.
1643.4 Applicability.
1643.5 Recipient policies and recordkeeping.

Authority: Pub. L. 105-12; 42 U.S.C. 2996f(b)(11).

Source: 62 FR 67749, Dec. 30, 1997, unless otherwise noted.

Sec. 1643.1 Purpose.

This part is intended to ensure that recipients do not use any LSC
funds for any assisted suicide, euthanasia or mercy killing activities
prohibited by this part.

Sec. 1643.2 Definitions.

(a) Assisted suicide means the provision of any means to another
person with the intent of enabling or assisting that person to commit
suicide.

[[Page 553]]

(b) Euthanasia (or mercy killing) is the use of active means by one
person to cause the death of another person for reasons assumed to be
merciful, regardless of whether the person killed consents to be killed.
(c) Suicide means the act or instance of taking one's own life
voluntarily and intentionally.

Sec. 1643.3 Prohibition.

No recipient may use LSC funds to assist in, support, or fund any
activity or service which has a purpose of assisting in, or to bring
suit or provide any other form of legal assistance for the purpose of:
(a) Securing or funding any item, benefit, program, or service
furnished for the purpose of causing, or the purpose of assisting in
causing, the suicide, euthanasia, or mercy killing of any individual;
(b) Compelling any person, institution, or governmental entity to
provide or fund any item, benefit, program, or service for such purpose;
or
(c) Asserting or advocating a legal right to cause, or to assist in
causing, the suicide, euthanasia, or mercy killing of any individual.

Sec. 1643.4 Applicability.

(a) Nothing in Sec. 1643.3 shall be interpreted to apply to:
(1) The withholding or withdrawing of medical treatment or medical
care;
(2) The withholding or withdrawing of nutrition or hydration;
(3) Abortion;
(4) The use of items, goods, benefits, or services furnished for
purposes relating to the alleviation of pain or discomfort even if they
may increase the risk of death, unless they are furnished for the
purpose of causing or assisting in causing death; or
(5) The provision of factual information regarding applicable law on
assisted suicide, euthanasia and mercy killing. Nor shall Sec. 1643.3
be interpreted as limiting or interfering with the operation of any
other statute or regulation governing the activities listed in this
paragraph.
(b) This part does not apply to activities funded with a recipient's
non-LSC funds.

Sec. 1643.5 Recipient policies and recordkeeping.

The recipient shall adopt written policies to guide its staff in
complying with this part and shall maintain records sufficient to
document the recipient's compliance with this part.

PART 1644_DISCLOSURE OF CASE INFORMATION--Table of Contents

Sec.
1644.1 Purpose.
1644.2 Definitions.
1644.3 Applicability.
1644.4 Case disclosure requirement.
1644.5 Recipient policies and procedures.

Authority: Pub. L. 105-119, 111 Stat. 2440, Sec. 505; Pub. L. 104-
134, 110 Stat. 1321; 42 U.S.C. 2996g(a).

Source: 63 FR 33254, June 18, 1994, unless otherwise noted.

Sec. 1644.1 Purpose.

The purpose of this rule is to ensure that recipients disclose to
the public and to the Corporation certain information on cases filed in
court by their attorneys.

Sec. 1644.2 Definitions.

For the purposes of this part:
(a) To disclose the cause of action means to provide a sufficient
description of the case to indicate the type r principal nature of the
case.
(b) Recipient means any entity receiving funds from the Corporation
pursuant to a grant or contract under section 1006(a)(1)(A) of the Act.
(c) Attorney means any full-time or part-time attorney employed by
the recipient as a regular or contract employee.

Sec. 1644.3 Applicability.

(a) The case disclosure requirements of this part apply:
(1) To actions filed on behalf of plaintiffs or petitioners who are
clients of a recipient;
(2) Only to the original filing of a case, except for appeals filed
in appellate courts by a recipient if the recipient was not the attorney
of record in the case below and the recipient's client is the appellant;
(3) To a request filed on behalf of a client of the recipient in a
court of

[[Page 554]]

competent jurisdiction for judicial review of an administrative action;
and
(4) To cases filed pursuant to subgrants under 45 CFR part 1627 for
the direct representation of eligible clients, except for subgrants for
private attorney involvement activities under part 1614 of this chapter.
(b) This part does not apply to any cases filed by private attorneys
as part of a recipient's private attorney involvement activities
pursuant to part 1614 of this chapter.

Sec. 1644.4 Case disclosure requirement.

(a) For each case filed in court by its attorneys on behalf of a
client of the recipient after January 1, 1998, a recipient shall
disclose, in accordance with the requirements of this part, the
following information:
(1) The name and full address of each party to a case, unless:
(i) the information is protected by an order or rule of court or by
State or Federal law; or
(ii) the recipient's attorney reasonably believes that revealing
such information would put the client of the recipient at risk of
physical harm;
(2) The cause of action;
(3) The name and full address of the court where the case is filed;
and
(4) The case number assigned to the case by the court.
(b) Recipients shall provide the information required in paragraph
(a) of this section to the Corporation in semiannual reports in the
manner specified by the Corporation. Recipients may file such reports on
behalf of their subrecipients for cases that are filed under subgrants.
Reports filed with the Corporation will be made available by the
Corporation to the public upon request pursuant to the Freedom of
Information Act, 5 U.S.C. 552.
(c) Upon request, a recipient shall make the information required in
paragraph (a) of this section available in written form to any person.
Recipients may charge a reasonable fee for mailing and copying
documents.

Sec. 1644.5 Recipient policies and procedures.

Each recipient shall adopt written policies and procedures to
implement the requirements of this part.

PARTS 1645 1699 [RESERVED]

[[Page 555]]

CHAPTER XVII--NATIONAL COMMISSION ON LIBRARIES AND INFORMATION SCIENCE

--------------------------------------------------------------------
Part Page
1700 Organization and functions.................. 557
1701 Disclosure of information................... 558
1703 Government in the Sunshine Act.............. 561
1705 Privacy regulations......................... 566
1706 Enforcement of nondiscrimination on the
basis of handicap in programs or
activities conducted by National
Commission on Libraries and Information
Science................................. 568
1707-1799

[Reserved]

[[Page 557]]

PART 1700_ORGANIZATION AND FUNCTIONS--Table of Contents

Sec.
1700.1 Purpose.
1700.2 Functions.
1700.3 Membership.
1700.4 Chairperson.
1700.5 Executive Director.

Authority: 5 U.S.C. 552; 20 U.S.C. 1501 et seq.

Source: 63 FR 51533, Sept. 28, 1998, unless otherwise noted.

Sec. 1700.1 Purpose.

The National Commission on Libraries and Information Science
(NCLIS):
(a) Advises the President and the Congress on library and
information services adequate to meet the needs of the people of the
United States;
(b) Advises Federal, State, and local governments, and other public
and private organizations regarding library services and information
science, including consultations on relevant treaties, international
agreements, and implementing legislation; and
(c) Promotes research and development activities to extend and
improve the nation's library and information handling capabilities as
essential links in national and international networks.

Sec. 1700.2 Functions.

The Commission's functions include the following:
(a) Developing and recommending overall plans for library and
information services adequate to meet the needs of the people of the
United States;
(b) Coordinating, at the Federal, State and local levels,
implementation of the plans referred to in paragraph (a) of this section
and related activities;
(c) Conducting studies, surveys and analyses of, and hearings on,
the library and informational needs of the Nation, including the special
needs of rural areas, economically, socially or culturally deprived
persons and the elderly;
(d) Evaluating the means by which the needs referred to in paragraph
(c) of this section may be met through the establishment or improvement
of information centers and libraries;
(e) Appraising the adequacies and deficiencies of current library
and information resources and services; and
(f) Evaluating current library and information science programs.

Sec. 1700.3 Membership.

(a) The Commission is composed of the Librarian of Congress, the
Director of the Institute of Museum and Library Services (who serves as
an ex officio, nonvoting member), and 14 members appointed by the
President, by and with the advice and consent of the Senate.
(b) The President designates one of the members of the Commission as
the Chairperson.

Sec. 1700.4 Chairperson.

(a) To facilitate its work, the Commission from time to time
delegates to the Chairperson various duties and responsibilities.
(b) The Commission records formal delegation of the duties and
responsibilities referred to in paragraph (a) of this section in
resolutions and in the minutes of its meetings.
(c) The Chairperson may delegate the duties and responsibilities
referred to in paragraph (a) of this section, as necessary, to other
Commissioners or the Executive Director of the Commission.

Sec. 1700.5 Executive Director.

(a) The Executive Director serves as the administrative and
technical head of the Commission staff, directly responsible for
managing its day-to-day operations and assuring that Commission
operations conform to all applicable Federal laws.
(b) The Executive Director is directly responsible to the
Commission, works under the general direction of the Chairperson, and
assists the Chairperson in carrying out the Commission's organizational
and administrative responsibilities.
(c) The Executive Director acts as the principal staff advisor to
the Chairperson and Commissioners, participating with the Commissioners
in the development, recommendation and implementation of overall plans
and policies to achieve the Commission's goals.
(d) To facilitate its work, the Commission from time to time
delegates to

[[Page 558]]

the Executive Director various duties and responsibilities.
(e) The Commission records formal delegation of the duties and
responsibilities referred to in paragraph (d) of this section in
resolutions and in the minutes of its meetings.
(f) The Executive Director may delegate the duties and
responsibilities referred to in paragraph (d) of this section, as
necessary, to other members of the Commission staff.

PART 1701_DISCLOSURE OF INFORMATION--Table of Contents

Sec.
1701.1 Statement of policy.
1701.2 Disclosure of records and informational materials.
1701.3 Requests.
1701.4 Fees.
1701.5 Prompt response.
1701.6 Form of denial.
1701.7 Appeals.

Authority: 5 U.S.C. 552, 20 U.S.C. 1501 et seq.

Sec. 1701.1 Statement of policy.

The records of the National Commission on Libraries and Information
Science shall be available to the fullest extent possible consistent
with the terms and policies of 5 U.S.C. section 552 and on request will
be promptly furnished to any member of the public.

[39 FR 39879, Nov. 4, 1974]

Sec. 1701.2 Disclosure of records and informational materials.

(a) With the exception of records and materials exempt from
disclosure pursuant to paragraph (b) of this section, any person in
accordance with the procedure provided in Sec. 1701.3 may inspect and
copy any document of the National Commission on Libraries and
Information Science.
(b) The provisions of 5 U.S.C. section 552 which require that
agencies make their records available for public inspection and copying
do not apply to Commission records which are:
(1)(i) Specifically authorized under criteria established by an
Executive Order to be kept secret in the interest of national defense or
foreign policy and (ii) are in fact properly classified pursuant to such
Executive Order;
(2) Related solely to the internal personnel rules and practices of
the Commission;
(3) Specifically exempted from disclosure by statute;
(4) Trade secrets and information which is privileged or which
relates to the business, personal or financial affairs of any person and
which is furnished in confidence;
(5) Inter-agency and intra-agency memoranda or letters which would
not be available by law to a private party in litigation with the
Commission;
(6) Personnel, medical and similar files the disclosure of which
would constitute a clearly unwarranted invasion of personal privacy;
(7) Investigatory records compiled for law enforcement purposes, but
only to the extent that the production of such records would: (i)
Interfere with enforcement proceedings, (ii) deprive a person of a right
to a fair trial or an impartial adjudication, (iii) constitute an
unwarranted invasion of personal privacy, (iv) disclose the identity of
a confidential source and, in the case of a record compiled by a
criminal law enforcement authority in the course of a criminal
investigation, or by an agency conducting a lawful national security
intelligence investigation, confidential information furnished only by
the confidential source, (v) disclose investigative techniques and
procedures, or (vi) endanger the life or physical safety of law
enforcement personnel.
(8) Contained in or related to examination, operating or condition
reports prepared by, on behalf of, or for the use of an agency
responsible for the regulation or supervision of financial institutions;
or
(9) Geological and geophysical information and data, including maps,
concerning wells.
(c) The Commission shall maintain and make available for public
inspection and copying a current index providing identifying information
for the public as to any matter issued, adopted, or promulgated by the
Commission since its creation on July 20, 1970, and required by section
552(a)(2) of title 5 to be made available or published. However, in
accordance with 5 U.S.C. 552(a)(4)(A) the Commission deems that
publication of the index or supplements

[[Page 559]]

thereto would be unnecessary and impracticable. Accordingly, it shall
provide copies of such index on request but shall not publish and
distribute it quarterly or more frequently.

[39 FR 39879, Nov. 12, 1974, as amended at 40 FR 7652, Feb. 21, 1975]

Sec. 1701.3 Requests.

(a) A member of the public may request records from the National
Commission on Libraries and Information Science by writing to the
Associate Director, National Commission on Libraries and Information
Science, Suite 601, 1717 K Street, NW, Washington, DC 20036.
(b) A request for access to records should reasonably describe the
records requested such that Commission personnel will be able to locate
them with a reasonable amount of effort. Where possible, specific
information regarding dates, titles, file designations, and other
information which may help identify the records should be supplied by
the requester.
(c) Records or materials will be available for inspection and
copying at the offices of the Commission during the normal business
hours of regular business days or they may be obtained by mail.

[39 FR 39879, Nov. 12, 1974, as amended at 40 FR 7652, Feb. 21, 1975]

Sec. 1701.4 Fees.

(a) A fee may be charged for direct costs of document search and
duplication at the rate of $0.10 per page for copying and $5.00 per hour
for time expended in identifying and locating records.
(b) A fee may be waived in whole or in part where it is determined
that it is in the public interest because furnishing the information can
be considered as primarily benefiting the general public or where other
circumstances indicate that a waiver is appropriate.
(c) The Commission may limit the number of copies of any document
provided to any person.

[40 FR 7653, Feb. 21, 1975]

Sec. 1701.5 Prompt response.

(a) Within ten days (excluding Saturdays, Sundays and legal public
holidays) of the receipt of a request, the Associate Director shall
determine whether to comply with or deny such request and shall dispatch
such determination to the requester, unless an extension is made under
paragraph (c) of this section.
(b) Only the Associate Director may deny a request and is the
``person responsible for the denial'' within the meaning of 5 U.S.C.
552(a). When a denial is made at the behest of another agency, the
person in that agency responsible for urging the denial may also be a
``person responsible for the denial'' if he is so advised before the
Associate Director informs the requester that his request is denied.
(c) In unusual circumstances as specified in this paragraph, the
Associate Director may extend the time for the initial determination of
a request up to a total of ten days (excluding Saturdays, Sundays and
legal public holidays). Extensions shall be made by written notice to
the requester setting forth the reason for the extension and the date
upon which a determination is expected to be dispatched. As used in this
paragraph ``unusual circumstances'' means, but only to the extent
necessary to the proper processing of the request--
(1) The need to search for and collect the requested records from
field facilities or other establishments that are separate from the
Commission;
(2) The need to search for, collect, and appropriately examine a
voluminous amount of separate and distinct records which are demanded in
a single request; or
(3) The need for consultation, which shall be conducted with all
practicable speed, with another agency having substantial interest in
the determination of the request.
(d) If no determination has been dispatched at the end of the ten-
day period, or the last extension thereof, the requester may deem his
request denied, and exercise a right of appeal in accordance with Sec.
1701.7. When no determination can be dispatched within the applicable
time limit, the Associate Director shall nevertheless continue to

[[Page 560]]

process the request. On expiration of the time limit he shall inform the
requester of the reason for the delay, of the date on which a
determination may be expected to be dispatched, and of his rights to
treat the delay as a denial and appeal to the Executive Director in
accordance with Sec. 1701.7. He may also ask the requester to forgo
appeal until a determination is made.

[40 FR 7653, Feb. 21, 1975]

Sec. 1701.6 Form of denial.

A reply denying a request shall be in writing, signed by the
Associate Director, and shall include: (a) A specific reference to the
exemption or exemptions under the Freedom of Information Act authorizing
the withholding of the record, (b) brief explanation of how the
exemption(s) applies to the record(s) withheld, (c) a statement that the
denial may be appealed under Sec. 1701.7 within thirty days by writing
to the Executive Director, National Commission on Libraries and
Information Science, Suite 601, 1717 K Street NW., Washington, DC 20036,
and (d) that judicial review will thereafter be available in the
district in which the requester resides or has his principal place of
business, the district in which the agency records are situated, or in
the District of Columbia.

[40 FR 7653, Feb. 21, 1975]

Sec. 1701.7 Appeals.

(a) When the Associate Director has denied a request for records in
whole or in part, the requester may, within thirty days of receipt of
the letter notifying him of the denial, appeal to the Commission.
Appeals to the Commission shall be in writing, addressed to the
Executive Director, National Commission on Libraries and Information
Science, 1717 K Street NW., Washington, DC 20036.
(b) The Commission will act upon an appeal within twenty days
(excepting Saturdays, Sundays or legal public holidays) of its receipt,
unless an extension is made under paragraph (c) of this section.
(c) In unusual circumstances as specified in this paragraph, the
time for action on an appeal may be extended up to ten days (excluding
Saturdays, Sundays, and legal public holidays) minus any extension
granted at the initial request level pursuant to Sec. 1701.5(c). Such
extension shall be made by written notice to the requester setting forth
the reason for the extension and the date on which a determination is
expected to be dispatched. As used in this paragraph ``unusual
circumstances'' means, but only to the extent necessary to the proper
processing of the appeal--
(1) The need to search for and collect the requested records from
field facilities or other establishments that are separate from the
Commission;
(2) The need to search for, collect, and appropriately examine a
voluminous amount of separate and distinct records which are demanded in
a single request; or
(3) The need for consultation, which shall be conducted with all
practicable speed, with another agency having substantial interest in
the determination of the request.
(d) If no determination of the appeal has been dispatched at the end
of the twenty-day period or the last extension thereof, the requester is
deemed to have exhausted his administrative remedies, giving rise to a
right of review in a district court of the United States as specified in
5 U.S.C. 552(a)(4). When no determination can be dispatched within the
applicable time limit, the appeal will nevertheless continue to be
processed. On expiration of the time limit the requester shall be
informed of the reason for the delay, of the date on which a
determination may be expected to be dispatched, and of his right to seek
judicial review in the United States district court in the district in
which he resides or has his principal place of business, the district in
which the records are situated, or the District of Columbia. The
requester may be asked to forgo judicial review until determination of
the appeal.
(e) The Commission's determination on appeal shall be in writing. An
affirmance in whole or in part of a denial on appeal shall include: (1)
A reference to the specific exemption or exemptions under the Freedom of
Information Act authorizing the withholding of the record,

[[Page 561]]

(2) A brief explanation of how the exemption(s) applies to the
record(s) withheld, and
(3) A statement that judicial review of the denial is available in
the district in which the requester resides or has his principal place
of business, the district in which the agency records are situated, or
the District of Columbia.

[40 FR 7653, Feb. 21, 1975]

PART 1703_GOVERNMENT IN THE SUNSHINE ACT--Table of Contents

Subpart A_General Provisions

Sec.
1703.101 Purpose.
1703.102 Definitions.
1703.103 Applicability and scope.
1703.104 Open meeting policy.

Subpart B_Procedures Governing Decisions About Meetings

1703.201 Decision to hold meetings.
1703.202 Provisions under which a meeting may be closed.
1703.203 Decision to close meeting.
1703.204 Public availability of recorded vote to close meeting.
1703.205 Public announcement of meeting.
1703.206 Providing information to the public.
1703.207 Change in meeting plans after public announcement.
1703.208 Meetings for extraordinary agency business.
1703.209 Notice of meeting in Federal Register.

Subpart C_Conduct of Meetings

1703.301 Meeting place.
1703.302 Role of observers.

Subpart D_Maintenance of Meeting Records

1703.401 Requirements for maintaining records of closed meetings.
1703.402 Availability of records to the public.
1703.403 Requests for records under Freedom of Information and Privacy
Acts.
1703.404 Copying and transcription charges.

Subpart E_Administrative Review

1703.501 Administrative Review.

Subpart F_Judicial Review

1703.601 Judicial review.

Authority: 5 U.S.C. 552b.

Source: 42 FR 13553, Mar. 11, 1977, unless otherwise noted.

Subpart A_General Provisions

Sec. 1703.101 Purpose.

This part sets forth the regulations under which the Commission
shall engage in public decision-making processes, make public
announcement of meetings at which a quorum of or all Commission members
consider and determine official Commission action, and inform the public
of which meetings they are entitled to observe.

Sec. 1703.102 Definitions.

In this part:
(a) Meeting means the deliberations of a majority of the Commission
members who have been appointed by the President and confirmed by the
Senate where such deliberations determine or result in the joint conduct
of official Commission business.
(b) Member means one of the Commissioners of the National Commission
on Libraries and Information Science (NCLIS) who is appointed to that
position by the President with the advice and consent of the Senate.

Sec. 1703.103 Applicability and scope.

This part applies to deliberations of a majority of the Commission
members who have been appointed by the President and confirmed by the
Senate. Excluded from coverage of this part are deliberations of
interagency committees whose composition includes Commission members and
deliberations of Commission officials who are not members; individual
member's consideration of official agency business circulated to the
members in writing for disposition or notation; and deliberations by the
agency in determining whether or not to close a portion or portions of a
meeting or series of meetings as provided in Sec. 1703.202.

Sec. 1703.104 Open meeting policy.

The public is entitled to the fullest practicable information
regarding the decision-making processes of the Commission. Commission
meetings involving deliberations which determine or result in the joint
conduct or disposition of official Commission business

[[Page 562]]

are presumptively open to the public. It is the intent of these
regulations to open such meetings to public observation while protecting
individuals' rights and the Commission's ability to carry out its
responsibilities. Meetings or portions of meetings may be closed to
public observation only if closure can be justified under one of the
provisions set forth in Sec. 1703.202.

Subpart B_Procedures Governing Decisions About Meetings

Sec. 1703.201 Decision to hold meeting.

When Commission members make a decision to hold a meeting, the
proposed meeting will ordinarily be scheduled for a date no earlier than
eight days after the decision to allow sufficient time to give
appropriate public notice. At the time a decision is made to hold a
meeting, the time, place, and subject matter of the meeting will be
determined, as well as whether the meeting is to be open or closed to
the public.

Sec. 1703.202 Provisions under which a meeting may be closed.

(a) A meeting or portion thereof may be closed to public
observation, and information pertaining to such meeting may be withheld
from the public, where the Commission determines that such portion or
portions of its meeting or disclosure of such information is likely to:
(1) Disclose matters that are: (i) Specifically authorized under
criteria established by an Executive order to be kept secret in the
interests of national defense or foreign policy and
(ii) In fact properly classified pursuant to such Executive order;
(2) Relate solely to the internal personnel rules and practices of
an agency;
(3) Disclose matters specifically exempted from disclosure by
statute (other than section 552 of this title). Provided that such
statute: (i) Requires that the matters be withheld from the public in
such a manner as to leave no discretion on the issue, or
(ii) Establishes particular criteria for withholding or refers to
particular types of matters to be withheld;
(4) Disclose trade secrets and commercial or financial information
obtained from a person and privileged or confidential;
(5) Involve accusing any person of a crime, or formally censuring
any person;
(6) Disclose information of a personal nature where disclosure would
constitute a clearly unwarranted invasion of personal privacy;
(7) Disclose investigatory records compiled for law enforcement
purposes, or information which if written would be contained in such
records, but only to the extent that the production of such records or
information would: (i) Interfere with enforcement proceedings,
(ii) Deprive a person of a right to a fair trial or an impartial
adjudication,
(iii) Constitute an unwarranted invasion of personal privacy,
(iv) Disclose the identity of a confidential source and, in the case
of a record compiled by a criminal law enforcement authority in the
course of a criminal investigation, or by an agency conducting a lawful
national security intelligence investigation, confidential information
furnished only by the confidential source,
(v) Disclose investigative techniques and procedures, or
(vi) Endanger the life or physical safety of law enforcement
personnel;
(8) Disclose information contained in or related to examination,
operating, or condition reports prepared by, on behalf of, or for the
use of an agency responsible for the regulation or supervision of
financial institutions;
(9) Disclose information the premature disclosure of which would be
likely to significantly frustrate implementation of a proposed agency
action, except this subparagraph shall not apply in any instance where
the agency has already disclosed to the public the content or nature of
its proposed action, or where the agency is required by law to make such
disclosure on its own initiative prior to taking final agency action on
such proposal; or
(10) Specifically concern the agency's issuance of a subpoena, or
the agency's participation in a civil action or proceeding, an action in
a foreign court or

[[Page 563]]

international tribunal, or an arbitration, or the initiation, conduct,
or disposition by the agency of a particular case of formal agency
adjudication pursuant to the procedures in section 554 of this title or
otherwise involving a determination on the record after opportunity for
a hearing.
(b) The Commission may exercise its authority to open to public
observation a meeting which could be closed under one of the provisions
of Sec. 1703.202(a), if it would be in the public interest to do so.
The Commission will determine whether the discussion comes within one of
the specific exemptions. If the discussion is determined to be exempt,
the Commission will consider and determine whether the public interest
nevertheless requires that the meeting be open.

Sec. 1703.203 Decision to close meeting.

(a) Commission members may decide before the meeting to close to
public observation a meeting or portion or portions thereof, or to
withhold information pertaining to such meeting, only if a majority of
the members vote on the record to take such action. No proxy votes on
this action shall be allowed. A single vote may be taken with respect to
a series of meetings, a portion or portions of which are proposed to be
closed to the public, or with respect to any information concerning such
series of meetings, so long as each meeting in such series involves the
same particular matters and is scheduled to be held no more than thirty
days after the initial meeting in such series. If a decision is made to
close a portion or portions of a meeting or a series of meetings, the
Commission shall prepare a full written explanation of the closure
action together with a list naming all persons expected to attend the
meeting and identifying their affiliation.
(b) For every meeting or portion thereof which Commission members
have voted to close, the Chairman of NCLIS shall certify that, in his or
her opinion, the meeting may properly be closed to the public. In
addition, the Chairman shall state each relevant exemptive provision as
set forth in Sec. 1703.202(a). A copy of the Chairman's certification,
together with a statement from the Chairman setting forth the time and
place of the meeting and listing the persons present, shall be retained
by the Commission.
(c) Whenever any person whose interests may be directly affected by
a portion of a meeting requests that the Commission close such portion
to the public for any of the reasons referred to in Sec. 1703.202
(a)(5), (6), or (7), the Commission members, upon request of any of the
Commissioners, shall decide by recorded vote whether to close such
portion. If a closure decision is made, the Commission shall prepare a
full written explanation of the closure action together with a list
naming all persons expected to attend the meeting and identifying their
affiliation.

Sec. 1703.204 Public availability of recorded vote to close meeting.

Within one day of any vote taken on a proposal to close a meeting,
the Commission shall make publicly available a record reflecting the
vote of each member on the question. In addition, within one day of any
vote which closes a portion or portions of a meeting to the public, the
Commission shall make publicly available a full written explanation of
its closure action together with a list naming all persons expected to
attend and identifying their affiliation, unless such disclosure would
reveal the information that the meeting itself was closed to protect.

Sec. 1703.205 Public announcement of meeting.

(a) Except as provided in Sec. Sec. 1703.207 and 1703.208, the
Commission shall make a public announcement at least one week before the
scheduled meeting, to include the following:
(1) Time, place, and subject matter of the meeting;
(2) Whether the meeting is to be open or closed; and
(3) Name and telephone number of agency official who will respond to
requests for information about the meeting.
(b) If announcement of the subject matter of a closed meeting would
reveal the information that the meeting was closed to protect, the
subject matter shall not be announced.

[[Page 564]]

Sec. 1703.206 Providing information to the public.

Individuals or organizations interested in obtaining copies of
information available in accordance with Sec. 1703.204 may request same
under provisions set forth in Sec. Sec. 1703.402 and 1704.404.
Individuals or organizations having a special interest in activities of
the Commission may request the Executive Director to the Commissioners
to place them on a mailing list for receipt of information available
under Sec. 1703.205. The Commission shall provide information to
publications whose readers are likely to have a special interest in the
work of the Commission.

Sec. 1703.207 Change in meeting plans after public announcement.

(a) Following public announcement of a meeting, the time or place of
a meeting may be changed only if the change is announced publicly at the
earliest practicable time.

Sec. 1703.208 Meetings for extraordinary agency business.

Where agency business so requires, Commission members may decide by
majority, recorded vote to schedule a meeting for a date earlier than
eight days after the decision. Such a decision would obviate the general
requirement for a public announcement at least one week before the
scheduled meeting. At the earliest practicable time, however, the
Commission will announce publicly the time, place, and subject matter of
the meeting, whether the meeting is to be open or closed, and the name
and telephone number of an agency official who will respond to requests
for information about the meeting.

Sec. 1703.209 Notice of meeting in Federal Register.

Immediately following each public announcement required by this
subpart, the following information, as applicable, shall be submitted
for publication in the Federal Register:
(a) Notice of the time, place, and subject matter of a meeting;
(b) Whether the meeting is open or closed;
(c) Any change in one of the preceding; and
(d) The name and telephone number of an agency official who will
respond to requests for information about the meeting.

Subpart C_Conduct of Meetings

Sec. 1703.301 Meeting place.

Meetings will be held in meeting rooms designated in the public
announcement. Whenever the number of observers is greater than can be
accommodated in the meeting room designated, every reasonable effort
will be made to provide alternative facilities.

Sec. 1703.302 Role of observers.

The public may attend open meetings for the sole purpose of
observation and may not record any of the discussions by means of
electronic or other devices or cameras unless approved in advance by the
Executive Committee of the Commission. Observers may not participate in
meetings unless expressly invited or create distractions to interfere
with the conduct and disposition of Commission business. Such
participation or attempted participation shall be cause for removal of
any person so engaged at the discretion of the presiding member of the
Commission. When meetings are partially closed, observers will leave the
meeting room promptly upon request so that discussion, of matters exempt
under provisions of subpart B of this part, Sec. 1703.202, may take
place expeditiously.

Subpart D_Maintenance of Meeting Records

Sec. 1703.401 Requirements for maintaining records of closed meetings.

(a) A record of each meeting or portion thereof which is closed to
the public must be made and retained for two years or for one year after
the conclusion of the Commission proceeding involved in the meeting. The
record of any portion of a meeting closed to the public shall be a
transcript or electronic recording.
(b) When minutes are produced, such minutes shall fully and clearly
describe all matters discussed, and will provide a full and accurate
summary of any actions taken and the reasons expressed

[[Page 565]]

therefor. The minutes must also reflect the vote of each member on any
roll call vote taken during the proceedings and identify all documents
produced at the meeting.
(c) The following documents produced under provisions of paragraph
(b) of this section shall be retained by the agency as part of the
minutes of the meeting:
(1) Certification by the Chairman that the meeting may properly be
closed; and
(2) Statement from the presiding officer of the meeting setting
forth the date, time and place of the meeting and listing the persons
present.

Sec. 1703.402 Availability of records to the public.

(a) The Commission shall make promptly available to the public the
minutes maintained as a record of a closed meeting, except for such
information as may be withheld under one of the provisions of Sec.
1703.202(a) of this report. Copies of such minutes, disclosing the
identity of each speaker, shall be furnished to any person at the actual
cost of duplication or transcription.
(b) The nonexempt part of the minutes shall be in the official
custody of the Executive Director of the Commission. Appropriate
facilities will be made available to any persons who make a request to
review these records.
(c) Requests for copies of nonexempt parts of minutes, shall be
directed to the Executive Director of the Commission. Such requests
shall identify the records being sought and include a statement that
whatever costs are involved in furnishing the records will be acceptable
or, alternatively, that costs will be acceptable up to a specified
amount.

Sec. 1703.403 Requests for records under Freedom of
Information and Privacy Acts.

Requests to review or obtain copies of records other than the
minutes of a meeting will be processed under the Freedom of Information
Act (5 U.S.C. 552) or, where applicable, the Privacy Act (5 U.S.C.
552a).

Sec. 1703.404 Copying and transcription charges.

(a) The Commission will charge fees for furnishing records at the
rate of ten cents per page for photocopies and at the actual cost of
transcription. When the anticipated charges exceed $50, a deposit of 20
percent of the amount anticipated must be made within 30 days. Requested
information will not be released until the deposit is received. Fees
shall be paid by check or money order made payable to the National
Commission on Libraries and Information Science.
(b) The Executive Director of the Commission has the discretion to
waive charges whenever release of the copies is determined to be in the
public interest.

Subpart E_Administrative Review

Sec. 1703.501 Administrative Review.

Any person who believes a Commission action governed by this part to
be contrary to the provisions of this part may file an objection in
writing with the Executive Director to the Commissioners. Wherever
possible, the Executive Director will respond within two working days to
objections concerning decisions to close meetings or portions thereof.
Responses to objections concerning matters other than closed meetings
will be made within ten working days.

Subpart F_Judicial Review

Sec. 1703.601 Judicial review.

Any person may bring an action in a United States District Court to
challenge or enforce the provisions of this part or the manner of their
implementation. Such action may be brought prior to or within sixty days
after the meeting in question, except that if proper public announcement
of the meeting is not made, the action may be instituted at any time
within sixty days after such announcement is made. An action may be
brought where the Commission meeting was or is to be held or in the
District of Columbia.

[[Page 566]]

PART 1705_PRIVACY REGULATIONS--Table of Contents

Sec.
1705.1 Purpose and scope.
1705.2 Definitions.
1705.3 Procedures for requests pertaining to individual records in the
D/AC File.
1705.4 Times, places, and requirements for identification of individuals
making requests.
1705.5 Disclosure of requested information to individuals.
1705.6 Request for correction or amendment to the record.
1705.7 Agency review of request for correction or amendment of the
record.
1705.8 Appeal of an initial adverse agency determination on correction
or amendment of the record.
1705.9 Disclosure of record to a person other than the individual to
whom the record pertains.
1705.10 Fees.
1705.11 Penalties.
1705.12 Exemptions.

Authority: 5 U.S.C. 552a.

Source: 43 FR 47195, Oct. 13, 1978, unless otherwise noted.

Sec. 1705.1 Purpose and scope.

These procedures provide the means by which individuals may
safeguard their privacy by obtaining access to, and requesting
amendments or corrections in, information, if any, about these
individuals which is contained in the White House Conference Delegate/
Alternate Certification File (D/AC File), which is under the control of
the National Commission on Libraries and Information Science (hereafter,
the Commission).

Sec. 1705.2 Definitions.

For the purpose of these procedures:
(a) The term individual means a citizen of the United States or an
alien lawfully admitted for permanent residence;
(b) The term maintain includes maintain, collect, use or
disseminate;
(c) The term record means any item or set of items about an
individual that is maintained by the Commission in either hard copy or
computerized form, including name, residence and other information
obtained from the form, ``Certification of State/Territorial Delegates/
Alternates to the White House Conference on Library and Information
Services.''
(d) The term routine use means, with respect to the disclosure of a
record, the use of such record for a purpose which is compatible with
the purpose for which it was collected.

Sec. 1705.3 Procedures for requests pertaining to individual
records in the D/AC File.

(a) An individual who wishes to know whether the D/AC File contains
a record pertaining to him or her shall submit a written request to that
effect to the System Manager at the Commission. The System Manager
shall, within 10 days of receipt of such submission, inform the
individual whether the D/AC File contains such a record.
(b) An individual who desires access to any identified record shall
file a request therefor addressed to the System Manager indicating
whether such individual intends to appear in person at the Commission's
offices or whether he or she desires to receive a copy of any identified
record through the mail.

Sec. 1705.4 Times, places, and requirements for identification of
individuals making requests.

(a) An individual who, in accord with Sec. 1705.3(b) indicated that
he or she would appear personally shall do so at the Commission's
offices, 1717 K Street NW., Suite 601, Washington, DC, between the hours
of 8:30 a.m. and 4 p.m. Monday through Friday (legal holidays excluded)
and present either: (1) The response from the System Manager indicating
that such a record exists; or
(2) A copy of the executed certification form, as well as another
suitable form of identification, such as a valid drivers license or
equivalent.
(b) In response to a request for mail delivery, the Commission will
mail only to the home address appearing in the D/AC File a copy of the
record for that individual within 10 working days.

Sec. 1705.5 Disclosure of requested information to individuals.

Upon verification of identity, the System Manager shall disclose to
the individual: (a) The information contained in the record which
pertains to that individual; and (b) the accounting

[[Page 567]]

of disclosures of the record, if any, required by 5 U.S.C. 552a(c).

Sec. 1705.6 Request for correction or amendment to the record.

If a person wishes a change to be made in the record, he or she
should follow the procedures for making changes which are included in
the instructions accompanying the certification form by which the
information was obtained. Copies of these instructions will be mailed to
any delegate/alternate upon request.

Sec. 1705.7 Agency review of request for correction or amendment
of the record.

Within 10 days of the receipt of the request to correct or to amend
the record, the System Manager will acknowledge in writing such receipt
and promptly either: (a) Make any correction or amendment of any portion
thereof which the individual believes is not accurate, relevant, timely,
or complete and inform the individual of same: or
(b) Inform the individual of his or her refusal to correct or amend
the record in accordance with the request, the reason for the refusal,
and the procedures established by the Commission for the individual to
request a review of that refusal.

Sec. 1705.8 Appeal of an initial adverse agency determination on
correction or amendment of the record.

An individual who disagrees with the refusal of the System Manager
to correct or to amend his or her record may submit a request for review
of such refusal to the Chairman of the Commission, 1717 K Street NW.,
Suite 601, Washington, DC 20036. The Chairman will, not later than 30
days from the date on which the individual requests such review,
complete such review and make a final determination unless, for good
cause shown, the Chairman extends such 30-day period. If, after his or
her review, the Chairman also refuses to correct or to amend the record
in accordance with the request, the individual may file with the
Commission a concise statement setting forth the reasons for his or her
disagreement with the refusal of the Commission and may seek judicial
review of the Chairman's determination under 5 U.S.C. 552a(g)(1)(A).

Sec. 1705.9 Disclosure of record to a person other than the
individual to whom the record pertains.

An individual to whom a record is to be disclosed in person may have
a person of his or her own choosing accompany the individual when the
record is disclosed.

Sec. 1705.10 Fees.

(a) The Commission will not charge an individual for the costs of
making a search for a record or the costs of reviewing the record. When
the Commission makes a copy of a record as a necessary part of the
process of disclosing the record to an individual, the Commission will
not charge the individual for the cost of making that copy.
(b) If an individual requests the Commission to furnish him or her
with a copy of the record (when a copy has not otherwise been made as a
necessary part of the process of disclosing the record to the
individual) the Commission will charge a fee of $0.25 per page (maximum
per page dimension of 8\1/2\ by 13 inches) to the extent that the
request exceeds $5 in cost to the Commission. Requests not exceeding $5
in cost to the Commission will be met without cost to the requester.

Sec. 1705.11 Penalties.

Title 18 U.S.C. 1001, Crimes and Criminal Procedures, makes it a
criminal offense, subject to a maximum fine of $10,000 or imprisonment
for not more than 5 years or both to knowingly and willfully make or
cause to be made any false or fraudulent statements or representations
in any matter within the jurisdiction of any agency of the United
States. Section 552a(i)(3) of the Privacy Act (5 U.S.C. 552a(i)(3)),
makes it a misdemeanor, subject to a maximum fine of $5,000, to
knowingly and willfully request or obtain any record concerning an
individual under false pretenses. Section 552a(i) (1) and (2) of the
Privacy Act (5 U.S.C. 552a(i)(1) and (2)) provide penalties for
violations by agency employees of the Privacy Act or regulations
established thereunder.

[[Page 568]]

Sec. 1705.12 Exemptions.

No Commission records system is exempted from the provisions of 5
U.S.C. 552a as permitted under certain conditions by 5 U.S.C. 552a (j)
and (k).

PART 1706_ENFORCEMENT OF NONDISCRIMINATION ON THE BASIS OF
HANDICAP IN PROGRAMS OR ACTIVITIES CONDUCTED BY NATIONAL
COMMISSION ON LIBRARIES AND INFORMATION
SCIENCE--Table of Contents

Sec.
1706.101 Purpose.
1706.102 Application.
1706.103 Definitions.
1706.104-1706.109 [Reserved]
1706.110 Self-evaluation.
1706.111 Notice.
1706.112-1706.129 [Reserved]
1706.130 General prohibitions against discrimination.
1706.131-1706.139 [Reserved]
1706.140 Employment.
1706.141-1706.148 [Reserved]
1706.149 Program accessibility: Discrimination prohibited.
1706.150 Program accessibility: Existing facilities.
1706.151 Program accessibility: New construction and alterations.
1706.152-1706.159 [Reserved]
1706.160 Communications.
1706.161-1706.169 [Reserved]
1706.170 Compliance procedures.
1706.171-1706.999 [Reserved]

Authority: 29 U.S.C. 794.

Source: 51 FR 4578, 4579, Feb. 5, 1986, unless otherwise noted.

Sec. 1706.101 Purpose.

This part effectuates section 119 of the Rehabilitation,
Comprehensive Services, and Developmental Disabilities Amendments of
1978, which amended section 504 of the Rehabilitation Act of 1973 to
prohibit discrimination on the basis of handicap in programs or
activities conducted by Executive agencies or the United States Postal
Service.

Sec. 1706.102 Application.

This part applies to all programs or activities conducted by the
agency.

Sec. 1706.103 Definitions.

[[Page 569]]

(ii) Any mental or psychological disorder, such as mental
retardation, organic brain syndrome, emotional or mental illness, and
specific learning disabilities. The term ``physical or mental
impairment'' includes, but is not limited to, such diseases and
conditions as orthopedic, visual, speech, and hearing impairments,
cerebral palsy, epilepsy, muscular dystrophy, multiple sclerosis,
cancer, heart disease, diabetes, mental retardation, emotional illness,
and drug addition and alcholism.
(2) Major life activities includes functions such as caring for
one's self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(3) Has a record of such an impairment means has a history of, or
has been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(4) Is regarded as having an impairment means--
(i) Has a physical or mental impairment that does not substantially
limit major life activities but is treated by the agency as constituting
such a limitation;
(ii) Has a physical or mental impairment that substantially limits
major life activities only as a result of the attitudes of others toward
such impairment; or
(iii) Has none of the impairments defined in subparagraph (1) of
this definition but is treated by the agency as having such an
impairment.
Qualified handicapped person means--
(1) With respect to any agency program or activity under which a
person is required to perform services or to achieve a level of
accomplishment, a handicapped person who meets the essential eligibility
requirements and who can achieve the purpose of the program or activity
without modifications in the program or activity that the agency can
demonstrate would result in a fundamental alteration in its nature; or
(2) With respect to any other program or activity, a handicapped
person who meets the essential eligibility requirements for
participation in, or receipt of benefits from, that program or activity.
(3) Qualified handicapped person is defined for purposes of
employment in 29 CFR 1613.702(f), which is made applicable to this part
by Sec. 1706.140.
Section 504 means section 504 of the Rehabilitation Act of 1973
(Pub. L. 93-112, 87 Stat. 394 (29 U.S.C. 794)), as amended by the
Rehabilitation Act Amendments of 1974 (Pub. L. 93-516, 88 Stat. 1617),
and the Rehabilitation, Comprehensive Services, and Developmental
Disabilities Amendments of 1978 (Pub. L. 95-602, 92 Stat. 2955). As used
in this part, section 504 applies only to programs or activities
conducted by Executive agencies and not to federally assisted programs.

[51 FR 4578, 4579, Feb. 5, 1986; 51 FR 7543, Mar. 5, 1986]

Sec. Sec. 1706.104-1706.109 [Reserved]

Sec. 1706.110 Self-evaluation.

(a) The agency shall, by April 9, 1987, evaluate its current
policies and practices, and the effects thereof, that do not or may not
meet the requirements of this part, and, to the extent modification of
any such policies and practices is required, the agency shall proceed to
make the necessary modifications.
(b) The agency shall provide an opportunity to interested persons,
including handicapped persons or organizations representing handicapped
persons, to participate in the self-evaluation process by submitting
comments (both oral and written).
(c) The agency shall, until three years following the completion of
the self-evaluation, maintain on file and make available for public
inspections:
(1) A description of areas examined and any problems identified, and
(2) A description of any modifications made.

Sec. 1706.111 Notice.

[[Page 570]]

of the protections against discrimination assured them by section 504
and this regulation.

Sec. Sec. 1706.112-1706.129 [Reserved]

Sec. 1706.130 General prohibitions against discrimination.

(a) No qualified handicapped person shall, on the basis of handicap,
be excluded from participation in, be denied the benefits of, or
otherwise be subjected to discrimination under any program or activity
conducted by the agency.
(b)(1) The agency, in providing any aid, benefit, or service, may
not, directly or through contractual, licensing, or other arrangements,
on the basis of handicap--
(i) Deny a qualified handicapped person the opportunity to
participate in or benefit from the aid, benefit, or service;
(ii) Afford a qualfied handicapped person an opportunity to
participate in or benefit from the aid, benefit, or service that is not
equal to that afforded others;
(iii) Provide a qualified handicapped person with an aid, benefit,
or service that is not as effective in affording equal opportunity to
obtain the same result, to gain the same benefit, or to reach the same
level of achievement as that provided to others;
(iv) Provide different or separate aid, benefits, or services to
handicapped persons or to any class of handicapped persons than is
provided to others unless such action is necessary to provide qualified
handicapped persons with aid, benefits, or services that are as
effective as those provided to others;
(v) Deny a qualified handicapped person the opportunity to
participate as a member of planning or advisory boards; or
(vi) Otherwise limit a qualified handicapped person in the enjoyment
of any right, privilege, advantage, or opportunity enjoyed by others
receiving the aid, benefit, or service.
(2) The agency may not deny a qualified handicapped person the
opportunity to participate in programs or activities that are not
separate or different, despite the existence of permissibly separate or
different programs or activities.
(3) The agency may not, directly or through contractual or other
arrangements, utilize criteria or methods of administration the purpose
or effect of which would--
(i) Subject qualified handicapped persons to discrimination on the
basis of handicap; or
(ii) Defeat or substantially impair accomplishment of the objectives
of a program or activity with respect to handicapped persons.
(4) The agency may not, in determining the site or location of a
facility, make selections the purpose or effect of which would--
(i) Exclude handicapped persons from, deny them the benefits of, or
otherwise subject them to discrimination under any program or activity
conducted by the agency; or
(ii) Defeat or substantially impair the accomplishment of the
objectives of a program or activity with respect to handicapped persons.
(5) The agency, in the selection of procurement contractors, may not
use criteria that subject qualified handicapped persons to
discrimination on the basis of handicap.
(c) The exclusion of nonhandicapped persons from the benefits of a
program limited by Federal statute or Executive order to handicapped
persons or the exclusion of a specific class of handicapped persons from
a program limited by Federal statute or Executive order to a different
class of handicapped persons is not prohibited by this part.
(d) The agency shall administer programs and activities in the most
integrated setting appropriate to the needs of qualified handicapped
persons.

Sec. Sec. 1706.131-1706.139 [Reserved]

Sec. 1706.140 Employment.

No qualified handicapped person shall, on the basis of handicap, be
subjected to discrimination in employment under any program or activity
conducted by the agency. The definitions, requirements, and procedures
of section 501 of the Rehabilitation Act of 1973 (29 U.S.C. 791), as
established by the Equal Employment Opportunity

[[Page 571]]

Commission in 29 CFR part 1613, shall apply to employment in federally
conducted programs or activities.

Sec. Sec. 1706.141-1706.148 [Reserved]

Sec. 1706.149 Program accessibility: Discrimination prohibited.

Except as otherwise provided in Sec. 1706.150, no qualified
handicapped person shall, because the agency's facilities are
inaccessible to or unusable by handicapped persons, be denied the
benefits of, be excluded from participation in, or otherwise be
subjected to discrimination under any program or activity conducted by
the agency.

Sec. 1706.150 Program accessibility: Existing facilities.

(a) General. The agency shall operate each program or activity so
that the program or activity, when viewed in its entirety, is readily
accessible to and usable by handicapped persons. This paragraph does
not--
(1) Necessarily require the agency to make each of its existing
facilities accessible to and usable by handicapped persons; or
(2) Require the agency to take any action that it can demonstrate
would result in a fundamental alteration in the nature of a program or
activity or in undue financial and administrative burdens. In those
circumstances where agency personnel believe that the proposed action
would fundamentally alter the program or activity or would result in
undue financial and administrative burdens, the agency has the burden of
proving that compliance with Sec. 1706.150(a) would result in such
alteration or burdens. The decision that compliance would result in such
alteration or burdens must be made by the agency head or his or her
designee after considering all agency resources available for use in the
funding and operation of the conducted program or activity, and must be
accompanied by a written statement of the reasons for reaching that
conclusion. If an action would result in such an alteration or such
burdens, the agency shall take any other action that would not result in
such an alteration or such burdens but would nevertheless ensure that
handicapped persons receive the benefits and services of the program or
activity.
(b) Methods. The agency may comply with the requirements of this
section through such means as redesign of equipment, reassignment of
services to accessible buildings, assignment of aides to beneficiaries,
home visits, delivery of services at alternate accessible sites,
alteration of existing facilities and construction of new facilities,
use of accessible rolling stock, or any other methods that result in
making its programs or activities readily accessible to and usable by
handicapped persons. The agency is nor required to make structural
changes in existing facilities where other methods are effective in
achieving compliance with this section. The agency, in making
alterations to existing buildings, shall meet accessibility requirements
to the extent compelled by the Architectural Barriers Act of 1968, as
amended (42 U.S.C. 4151-4157), and any regulations implementing it. In
choosing among available methods for meeting the requirements of this
section, the agency shall give priority to those methods that offer
programs and activities to qualified handicapped persons in the most
integrated setting appropriate.
(c) Time period for compliance. The agency shall comply with the
obligations established under this section by June 6, 1986, except that
where structural changes in facilities are undertaken, such changes
shall be made by April 7, 1989, but in any event as expeditiously as
possible.
(d) Transition plan. In the event that structural changes to
facilities will be undertaken to achieve program accessibility, the
agency shall develop, by October 7, 1986, a transition plan setting
forth the steps necessary to complete such changes. The agency shall
provide an opportunity to interested persons, including handicapped
persons or organizations representing handicapped persons, to
participate in the development of the transition plan by submitting
comments (both oral and written). A copy of the transition plan shall be
made available for public inspection. The plan shall, at a minimum--

[[Page 572]]

(1) Identify physical obstacles in the agency's facilities that
limit the accessibility of its programs or activities to handicapped
persons;
(2) Describe in detail the methods that will be used to make the
facilities accessible;
(3) Specify the schedule for taking the steps necessary to achieve
compliance with this section and, if the time period of the transition
plan is longer than one year, identify steps that will be taken during
each year of the transition period; and
(4) Indicate the official responsible for implementation of the
plan.

[51 FR 4578, 4579, Feb. 5, 1986; 51 FR 7543, Mar. 5, 1986]

Sec. 1706.151 Program accessibility: New construction and alterations.

Each building or part of a building that is constructed or altered
by, on behalf of, or for the use of the agency shall be designed,
constructed, or altered so as to be readily accessible to and usable by
handicapped persons. The definitions, requirements, and standards of the
Architectural Barriers Act (42 U.S.C. 4151-4157), as established in 41
CFR 101-19.600 to 101-19.607, apply to buildings covered by this
section.

Sec. Sec. 1706.152-1706.159 [Reserved]

Sec. 1706.160 Communications.

(a) The agency shall take appropriate steps to ensure effective
communication with applicants, participants, personnel of other Federal
entities, and members of the public.
(1) The agency shall furnish appropriate auxiliary aids where
necessary to afford a handicapped person an equal opportunity to
participate in, and enjoy the benefits of, a program or activity
conducted by the agency.
(i) In determining what type of auxiliary aid is necessary, the
agency shall give primary consideration to the requests of the
handicapped person.
(ii) The agency need not provide individually prescribed devices,
readers for personal use or study, or other devices of a personal
nature.
(2) Where the agency communicates with applicants and beneficiaries
by telephone, telecommunication devices for deaf persons (TDD's) or
equally effective telecommunication systems shall be used.
(b) The agency shall ensure that interested persons, including
persons with impaired vision or hearing, can obtain information as to
the existence and location of accessible services, activities, and
facilities.
(c) The agency shall provide signage at a primary entrance to each
of its inaccessible facilities, directing users to a location at which
they can obtain information about accessible facilities. The
international symbol for accessibility shall be used at each primary
entrance of an accessible facility.
(d) This section does not require the agency to take any action that
it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and administrative
burdens. In those circumstances where agency personnel believe that the
proposed action would fundamentally alter the program or activity or
would result in undue financial and administrative burdens, the agency
has the burden of proving that compliance with Sec. 1706.160 would
result in such alteration or burdens. The decision that compliance would
result in such alteration or burdens must be made by the agency head or
his or her designee after considering all agency resources available for
use in the funding and operation of the conducted program or activity,
and must be accompanied by a written statement of the reasons for
reaching that conclusion. If an action required to comply with this
section would result in such an alteration or such burdens, the agency
shall take any other action that would not result in such an alteration
or such burdens but would nevertheless ensure that, to the maximum
extent possible, handicapped persons receive the benefits and services
of the program or activity.

Sec. Sec. 1706.161-1706.169 [Reserved]

Sec. 1706.170 Compliance procedures.

(a) Except as provided in paragraph (b) of this section, this
section applies to all allegations of discrimination on the basis of
handicap in programs or activities conducted by the agency.

[[Page 573]]

(b) The agency shall process complaints alleging violations of
section 504 with respect to employment according to the procedures
established by the Equal Employment Opportunity Commission in 29 CFR
part 1613 pursuant to section 501 of the Rehabilitation Act of 1973 (29
U.S.C. 791).
(c) The Deputy Director shall be responsible for coordinating
implementation of this section. Complaints may be sent to Deputy
Director, National Commission on Libraries and Information Science,
Suite 3122, GSA-ROB 3, Washington, DC 20024.
(d) The agency shall accept and investigate all complete complaints
for which it has jurisdiction. All complete complaints must be filed
within 180 days of the alleged act of discrimination. The agency may
extend this time period for good cause.
(e) If the agency receives a complaint over which it does not have
jurisdiction, it shall promptly notify the complainant and shall make
reasonable efforts to refer the complaint to the appropriate government
entity.
(f) The agency shall notify the Architectural and Transportation
Barriers Compliance Board upon receipt of any complaint alleging that a
building or facility that is subject to the Architectural Barriers Act
of 1968, as amended (42 U.S.C. 4151-4157), or section 502 of the
Rehabilitation Act of 1973, as amended (29 U.S.C. 792), is not readily
accessible to and usable by handicapped persons.
(g) Within 180 days of the receipt of a complete complaint for which
it has jurisdiction, the agency shall notify the complainant of the
results of the investigation in a letter containing--
(1) Findings of fact and conclusions of law;
(2) A description of a remedy for each violation found;
(3) A notice of the right to appeal.
(h) Appeals of the findings of fact and conclusions of law or
remedies must be filed by the complainant within 90 days of receipt from
the agency of the letter required by Sec. 1706.170(g). The agency may
extend this time for good cause.
(i) Timely appeals shall be accepted and processed by the head of
the agency.
(j) The head of the agency shall notify the complainant of the
results of the appeal within 60 days of the receipt of the request. If
the head of the agency determines that additional information is needed
from the complainant, he or she shall have 60 days from the date of
receipt of the additional information to make his or her determination
on the appeal.
(k) The time limits cited in paragraphs (g) and (j) of this section
may be extended with the permission of the Assistant Attorney General.
(l) The agency may delegate its authority for conducting complaint
investigations to other Federal agencies, except that the authority for
making the final determination may not be delegated to another agency.

[51 FR 4578, 4579, Feb. 5, 1986, as amended at 51 FR 4578, Feb. 5, 1986]

Sec. Sec. 1706.171-1706.999 [Reserved]

PARTS 1707 1799 [RESERVED]

[[Page 575]]

CHAPTER XVIII--HARRY S. TRUMAN SCHOLARSHIP FOUNDATION

--------------------------------------------------------------------
Part Page
1800 Privacy Act of 1974......................... 577
1801 Harry S. Truman Scholarship Program......... 578
1802 Public meeting procedures of the board of
trustees................................ 585
1803 Nondiscrimination on the basis of handicap.. 589
1804-1899

[Reserved]

[[Page 577]]

PART 1800_PRIVACY ACT OF 1974--Table of Contents

Sec.
1800.1 Purpose and scope.
1800.2 Definitions.
1800.3 Procedures for requests for access to individual records in a
record system.
1800.4 Times, places, and requirements for the identification of the
individual making a request.
1800.5 Access to requested information to the individual.
1800.6 Request for correction or amendment to the record.
1800.7 Agency review of request for correction or amendment of the
record.
1800.8 Appeal of an initial adverse agency determination on correction
or amendment of the record.
1800.9 Disclosure of record to a person other than the individual to
whom the record pertains.
1800.10 Fees.

Authority: 5 U.S.C. 552a; Pub. L. 93-579.

Source: 41 FR 52677, Dec. 1, 1976, unless otherwise noted.

Sec. 1800.1 Purpose and scope.

The purposes of these regulations are to:
(a) Establish a procedure by which an individual can determine if
the Harry S. Truman Scholarship Foundation (hereafter known as the
Foundation) maintains a system of records which includes a record
pertaining to the individual; and
(b) Establish a procedure by which an individual can gain access to
a record pertaining to him or her for the purpose of review, amendment
and/or correction.

Sec. 1800.2 Definitions.

For the purpose of these regulations--
(a) The term individual means a citizen of the United States or an
alien lawfully admitted for permanent residence;
(b) The term maintain includes maintain, collect, use or
disseminate;
(c) The term record means any item, collection or grouping of
information about an individual that is maintained by the Foundation,
including, but not limited to, his or her employment history, payroll
information, and financial transactions and that contains his or her
name, or the identifying number, symbol, or other identifying particular
assigned to the individual, such as social security number;
(d) The term system of records means a group of any records under
the control of the Foundation from which information is retrieved by the
name of the individual or by some identifying number, symbol, or other
identifying particular assigned to the individual; and
(e) The term routine use means, with respect to the disclosure of a
record, the use of such record for a purpose which is compatible with
the purpose for which it was collected.

Sec. 1800.3 Procedures for requests for access to individual
records in a record system.

An individual shall submit a request to the Deputy Executive
Secretary of the Foundation to determine if a system of records named by
the individual contains a record pertaining to the individual. The
individual shall submit a request to the Deputy Executive Secretary of
the Foundation which states the individual's desire to review his or her
record.

Sec. 1800.4 Times, places, and requirements for the
identification of the individual making a request.

An individual making a request to the Deputy Executive Secretary of
the Foundation pursuant to Sec. 1800.3 shall present the request at the
Foundation offices, 712 Jackson Place, NW., Washington, DC 20006, on any
business day between the hours of 9 a.m. and 5 p.m. The individual
submitting the request should present himself or herself at the
Foundation's offices with a form of identification which will permit the
Foundation to verify that the individual is the same individual as
contained in the record requested.

Sec. 1800.5 Access to requested information to the individual.

Upon verification of identity the Foundation shall disclose to the
individual the information contained in the record which pertains to
that individual.

[[Page 578]]

Sec. 1800.6 Request for correction or amendment to the record.

The individual should submit a request to the Deputy Executive
Secretary of the Foundation which states the individual's desire to
correct or to amend his or her record. This request is to be made in
accord with the provisions of Sec. 1800.4.

Sec. 1800.7 Agency review of request for correction or
amendment of the record.

Within ten working days of the receipt of the request to correct or
to amend the record, the Deputy Executive Secretary of the Foundation
will acknowledge in writing such receipt and promptly either--
(a) Make any correction or amendment of any portion thereof which
the individual believes is not accurate, relevant, timely, or complete;
or
(b) Inform the individual of his or her refusal to correct or to
amend the record in accordance with the request, the reason for the
refusal, and the procedures established by the Foundation for the
individual to request a review of that refusal.

Sec. 1800.8 Appeal of an initial adverse agency determination
on correction or amendment of the record.

An individual who disagrees with the refusal of the Deputy Executive
Secretary of the Foundation to correct or to amend his or her record may
submit a request for a review of such refusal to the Executive
Secretary, Harry S. Truman Scholarship Foundation, 712 Jackson Place,
NW., Washington, DC 20006. The Executive Secretary will, not later than
thirty working days from the date on which the individual requests such
review, complete such review and make a final determination unless, for
good cause shown, the Executive Secretary extends such thirty day
period. If, after his or her review, the Executive Secretary also
refuses to correct or to amend the record in accordance with the
request, the individual may file with the Foundation a concise statement
setting forth the reasons for his or her disagreement with the refusal
of the Foundation and may seek judicial review of the Executive
Secretary's determination under 5 U.S.C. 552a(g)(1)(A).

Sec. 1800.9 Disclosure of record to a person other than the
individual to whom the record pertains.

The Foundation will not disclose a record to any individual other
than to the individual to whom the record pertains without receiving the
prior written consent of the individual to whom the record pertains,
unless the disclosure has been listed as a ``routine use'' in the
Foundation's notices of its systems of records.

Sec. 1800.10 Fees.

If an individual requests copies of his or her record, he or she
shall be charged ten cents per page, excluding the cost of any search
for review of the record, in advance of receipt of the pages.

PART 1801_HARRY S. TRUMAN SCHOLARSHIP PROGRAM--Table of Contents

Subpart A_General

Sec.
1801.1 Annual Truman Scholarship competition.
1801.2 Truman Scholars are selected from qualified applicants from each
State.
1801.3 Students eligible for nomination.
1801.4 Definitions.

Subpart B_Nominations

1801.10 Nomination by institution of higher education.
1801.11 Annual nomination.
1801.12 Institutions with more than one campus.
1801.13 Two-year institutions.
1801.14 Faculty Representative.
1801.15 Submission of application to the Foundation.
1801.16 Closing date for receipt of nominations.
1801.17 Contents of application.
1801.18 Limitations on nominations.

Subpart C_The Competition

1801.20 Selection of finalists.
1801.21 Evaluation criteria.
1801.22 Interview of finalists with panel.
1801.23 Recommendation by panel.
1801.24 Selection of Truman Scholars by the Foundation.

[[Page 579]]

Subpart D_Graduate Study

1801.30 Continuation into graduate study.
1801.31 Approval of graduate programs by the Foundation.
1801.32 Eligible institutions and degree programs.

Subpart E_Payments to finalists and Scholars

1801.40 Travel expenses of finalists.
1801.41 Scholarship stipends.
1801.42 Definition of ``fee''.
1801.43 Allowance for books.
1801.44 Allowance for room and board.
1801.45 Deduction for benefits from other sources.

Subpart F_Payment Conditions and Procedures

1801.50 Acceptance of the scholarship.
1801.51 Report at the beginning of each term.
1801.52 Payment schedule.
1801.53 Postponement of payment.
1801.54 Annual report.

Subpart G_Duration of Scholarship

1801.60 Renewal of scholarship.
1801.61 Termination of scholarship.
1801.62 Recovery of scholarship funds.
1801.63 Scholar Accountability.

Authority: Pub. L. 93-642, 88 Stat. 2276 (20 U.S.C. 2001-2012).

Source: 65 FR 81405, Dec. 26, 2000, unless otherwise noted.

Subpart A_General

Sec. 1801.1 Annual Truman Scholarship competition.

Each year, the Harry S. Truman Scholarship Foundation carries out a
nationwide competition to select students to be Truman Scholars.

Sec. 1801.2 Truman Scholars are selected from qualified
applicants from each State.

(a) At least one Truman Scholar is selected each year from each
State in which there is a resident applicant who meets minimum
eligibility criteria as established by the Foundation. These minimum
eligibility criteria are stated in Sec. Sec. 1801.3, 1801.21 and
1801.23.
(b) As used in this part, State means each of the States, the
District of Columbia, the Commonwealth of Puerto Rico, and considered as
a single entity: Guam, the Virgin Islands, American Samoa, and the
Commonwealth of the Northern Mariana Islands (The Islands).

Sec. 1801.3 Students eligible for nomination.

A student is eligible to be nominated for a Truman Scholarship if he
or she:
(a) Is a junior-level student pursuing a bachelor's degree as a
full-time student at an accredited institution of higher education and
will receive a baccalaureate degree the following academic year; or, is
a full-time senior level student from the Commonwealth of Puerto Rico or
from The Islands;
(b) Has an undergraduate field of study that permits admission to a
graduate program leading to a career in public service;
(c) Ranks in the upper quarter of his or her class; and
(d) Is a U.S. citizen, a U.S. national, or a permanent resident of
the Commonwealth of the Northern Mariana Islands.

Sec. 1801.4 Definitions.

As used in this part:
Academic year means the period of time, typically 8 or 9 months in
which a full-time student would normally complete two semesters, three
quarters, or the equivalent.
Foundation means the Harry S. Truman Scholarship Foundation.
Full-time student means a student who is carrying a sufficient
number of credit hours or their equivalent to secure the degree or
certificate toward which he or she is working, in no more time than the
length of time normally taken at his or her institution.
Graduate study means the courses of study beyond the baccalaureate
level which lead to an advanced degree.
Institution means an institution of higher education. ``Institution
of higher education'' has the meaning given in section 1201(a) of the
Higher Education Act of 1965 (20 U.S.C. 1141 (a)).
Junior means a student who, following completion of the current
academic year, has one more year of full-time course work to receive a
baccalaureate degree.

[[Page 580]]

President means the principal official responsible for the overall
direction of the operations of an institution.
Public service means employment in: government at any level, the
uniformed services, public interest organizations, non-governmental
research and/or educational organizations, public and private schools,
and public service oriented non-profit organizations such as those whose
primary purposes are to help needy or disadvantaged persons or to
protect the environment.
Resident means a person who has legal residence in the State,
recognized under State law. If a question arises concerning the State of
residence, the Foundation determines, for the purposes of this program
of which State the person is a resident, taking into account place of
registration to vote, family's place of residence, home address listed
for school registration, and eligibility for ``in-State'' tuition rates
at public institutions of higher education.
Scholar means a person who has been selected by the Foundation as a
Truman Scholar, has accepted the Scholarship and agreed to the
conditions of the award, and is eligible for Scholarship stipend(s).
Senior means a student who is in his or her last year of study
before receiving a baccalaureate degree.
Term means the period which the institution uses to divide its
academic year: semester, trimester, or quarter.

Subpart B_Nominations

Sec. 1801.10 Nomination by institution of higher education.

To be considered in the competition a student must be nominated by
the institution that he or she attends.

Sec. 1801.11 Annual nomination.

(a) Except as provided in Sec. Sec. 1801.11 (b), 1801.12, and
1801.24, each institution may nominate up to four students annually.
Additionally, a four-year institution may nominate up to three currently
enrolled juniors who completed their first two college years at a two-
year institution. Nominees may have legal residence in the same State as
the institution or in different States.
(b) The Foundation may announce each year in its Bulletin of
Information or on its website (http://www.truman.gov) special
circumstances under which an institution may nominate additional
candidates.
(c) All nominations must be made by the President of the institution
or the designated Faculty Representative.

Sec. 1801.12 Institutions with more than one campus.

If an institution has more than one component separately listed in
the current edition of the Directory of Postsecondary Institutions
published by the U.S. Department of Education, each component will be
considered to be a separate institution under this regulation, and each
may nominate up to four students. However, a component that is organized
solely for administrative purposes and has no students may not nominate
a student.

Sec. 1801.13 Two-year institutions.

If an institution does not offer education beyond the sophomore
level, the institution may nominate only students who have completed two
years at that institution and who are currently enrolled as full-time
juniors at accredited four-year institutions. Faculty Representatives at
two-year institutions may submit the materials directly to the
Foundation or they may forward the nomination materials to the Faculty
Representative of the four-year institution attended by the nominee.

Sec. 1801.14 Faculty Representative.

(a) Each institution which nominates a student must give the
Foundation the name, business address, and business telephone number of
a member of the faculty or administrator who will serve as liaison
between the institution and the Foundation.
(b) The Faculty Representative is responsible for a timely
submission of all nominations and supporting documentation.
(c) The Foundation delegates the responsibility to the Faculty
Representative to establish a process to publicize the scholarship,
recruit candidates, select nominees, and assist nominees.

[[Page 581]]

Sec. 1801.15 Submission of application to the Foundation.

To nominate a student for the competition, the Faculty
Representative must submit the completed nomination packet to the
Foundation as provided in Sec. 1801.16. The Foundation does not accept
nominations packets directly from students.

Sec. 1801.16 Closing date for receipt of nominations.

The Foundation announces in its Bulletin of Information and in the
Federal Register and posts on its website (http://www.truman.gov) the
date and address at which the Foundation must receive nominations.
Nominations not received by this date at the address specified will not
be considered.

Sec. 1801.17 Contents of application.

(a) The Foundation provides a form that must be used as the
application.
(b) Each application must include the following:
(1) A certification of nomination and eligibility signed by the
Faculty Representative;
(2) A completed Truman Scholarship Application signed by the
nominee;
(3) A policy proposal written by the nominee;
(4) A current official college transcript; and
(5) A letter of nomination from the Faculty Representative and three
letters of recommendation.

Sec. 1801.18 Limitations on nominations.

A candidate nominated by an institution and not selected as a Truman
Scholar may not be renominated the following year.

Subpart C_The Competition

Sec. 1801.20 Selection of Finalists.

The Foundation selects Finalists from the students who are
nominated.

Sec. 1801.21 Evaluation criteria.

(a) The Foundation appoints a committee to select finalists from the
students nominated on the basis of the following criteria:
(1) Extent and quality of community service and government
involvement;
(2) Leadership record;
(3) Academic performance and writing and analytical skills; and
(4) Suitability of the nominee's proposed program of study and its
appropriateness for a leadership career in public service.
(b) The Foundation selects Finalists solely on the basis of the
information required under Sec. 1801.17.

Sec. 1801.22 Interview of Finalists with panel.

The Foundation invites each Finalist to an interview with a regional
review panel. Panels evaluate Truman Finalists primarily on:
(a) Leadership potential and communication skills;
(b) Likelihood of ``making a difference'' in public service; and
(c) Intellectual strength, analytical abilities, and prospects of
performing well in graduate school.

Sec. 1801.23 Recommendation by panel.

(a) Each Panel is asked to recommend to the Board of Trustees the
name of one candidate from each state in the region to be appointed as a
Truman Scholar. The Foundation may authorize each regional review panel
to recommend additional Scholars from the States in its region.
(b) A panel's recommendations are based on the material required
under Sec. 1801.17 and, as determined in the interview, the panel's
assessment of each Finalist in terms of criteria presented in Sec.
1801.22.
(c) In the event that a regional review panel determines that none
of the Finalists from a state meets all the requirements expected of a
Truman Scholar, it does not provide a recommendation. The Foundation
will carry over the Scholarship for that state making two Scholarships
available the following year.

Sec. 1801.24 Selection of Truman Scholars by the Foundation.

The Foundation names Truman Scholars after receiving recommendations
from the regional review panels.

[[Page 582]]

Subpart D_Graduate Study

Sec. 1801.30 Continuation into graduate study.

(a) Only Scholars who satisfactorily complete their undergraduate
education and who comply with Sec. 1801.31 shall be eligible for
continued Foundation support for an approved program of graduate study.
(b) The Foundation does not conduct a competition for graduate
scholarships and does not add new Truman Scholars at the graduate level.

Sec. 1801.31 Approval of graduate programs by the Foundation.

(a) By December 1, Scholars desiring Foundation support for graduate
study the following academic year must submit a proposed program of
graduate study to the Foundation for approval. The graduate program
proposed for approval may differ from that proposed by the Scholar when
nominated for a Truman Scholarship. Factors to be used by the Foundation
in considering approval include being consistent with:
(1) Field of study initially proposed in the Scholar's Application;
(2) Graduate school programs given priority in the current Bulletin
of Information;
(3) Undergraduate educational program and work experience of the
Scholar; and
(4) Preparation specifically for a career in public service.
(b) Foundation approval in writing of the Scholar's proposal is
required before financial support is granted for graduate work.
(c) Scholars must include in their submission to the Foundation a
statement of interest in a career in public service that specifies in
detail how their graduate program and their overall educational and work
experience plans will realistically prepare them for their chosen career
goal in government or elsewhere in public service.
(d) After completing his or her undergraduate studies, a Scholar
each year may request in writing a deferral of support for graduate
studies. Deferrals must be requested no later than June 15 for the
succeeding academic year. Scholars failing to request a year's deferral
and to receive written approval from the Foundation may lose one year of
funding support for each year for which they fail to request and receive
deferrals. Total deferrals may not exceed four years unless an extension
is granted in writing by the Foundation.

Sec. 1801.32 Eligible institutions and degree programs.

(a) Truman Scholars at the graduate level may use Foundation support
to study at any accredited college or university in the United States or
abroad that offers graduate study appropriate and relevant to their
public service career goals.
(b) They may enroll in any relevant graduate program for a career in
public service.
(c) Foundation support for graduate study is restricted to three
years of full-time study.

Subpart E_Payments to Finalists and Scholars

Sec. 1801.40 Travel expenses of finalists.

The Foundation will provide partial funding for intercity round-trip
transportation from the finalist's nominating institution to the
interview site. The Foundation does not reimburse finalists for lodging,
meals, local transportation, or other expenses. The Foundation announces
the terms and conditions of support on its website (http://
www.truman.gov) and in the Bulletin of Information.

Sec. 1801.41 Scholarship stipends.

The Scholarship stipend may be used only for eligible expenses in
the following categories: tuition, fees, books, and room and board.
Payments from the Foundation may be received to supplement, but not to
duplicate, benefits received by the Scholar from the educational
institution or from other foundations or organizations. The designated
benefits received from all sources combined may not exceed the costs of
tuition, fees, books, and room and board as determined by the
Foundation. The Foundation's Bulletin of Information, current at the
time of the Scholar's selection, contains additional information about
the terms and conditions of scholarship support.

[[Page 583]]

Sec. 1801.42 Definition of ``fee''.

As used in this part, fee means a typical and usual non-refundable
charge by the institution for a service, a privilege, or the use of
property which is required for a Scholar's enrollment and registration.

Sec. 1801.43 Allowance for books.

The cost allowance for a Scholar's books is $1000 per year, or such
higher amount published on the Foundation's website (http://
www.truman.gov).

Sec. 1801.44 Allowance for room and board.

The cost allowed for a Scholar's room and board is the amount the
institution reports to the Foundation as the average cost of room and
board for the Scholar's institution, given the type of housing the
Scholar occupies.

Sec. 1801.45 Deduction for benefits from other sources.

The cost allowed for a Scholar's tuition, fees, books, room and
board must be reduced to the extent that the cost is paid by another
organization, or provided for or waived by the Scholar's institution.

Subpart F_Payment Conditions and Procedures

Sec. 1801.50 Acceptance of the scholarship.

To receive any payment, a Scholar must sign an acceptance of the
scholarship and acknowledgement of the conditions of the award and
submit it to the Foundation.

Sec. 1801.51 Report at the beginning of each term.

(a) To receive a Scholarship stipend, a Scholar must submit a
current transcript and Payment Request Form containing the following:
(1) A statement of the Scholar's costs for tuition, fees, books,
room and board;
(2) A certification by an authorized official of the institution
that the Scholar is a full-time student and is taking a course of study,
training, or other educational activities to prepare for a career in
public service; and is not engaged in gainful employment that interferes
with the Scholar's studies; and
(3) A certification by an authorized official of the institution of
whether the Scholar is in academic good standing.
(b) At the beginning of each academic year, the Scholar must have
his or her institution submit a certified Educational Expense Form
containing the following:
(1) A certification by an authorized official of the institution
that the Scholar's statement of costs for tuition, fees, books, room and
board and other expenses required for the academic year is accurate; and
(2) A certification of the amounts of those costs that are paid or
waived by the institution or paid by another organization.

Sec. 1801.52 Payment schedule.

The Foundation will pay the Scholar a portion of the award of the
Scholarship stipend (as described in the Foundation's Bulletin of
Information) after each report submitted under Sec. 1801.51.

Sec. 1801.53 Postponement of payment.

(a) A Scholar may request the Foundation to postpone one or more
payments because of sickness or other circumstances.
(b) If the Foundation grants a postponement, it may impose
conditions as it deems appropriate.

Sec. 1801.54 Annual report.

(a) Scholars with remaining eligibility for scholarship stipends
must submit no later than July 15 an annual report to the Foundation.
(b) The annual report should be in narrative form and cover: courses
taken and grades earned; courses planned for the coming year if
Foundation support will be requested; public service and school
activities; part-time or full-time employment and summer employment or
internships; and achievements, awards and recognition, publications or
significant developments.
(c) Newly selected Scholars are required to submit by the July 15
following their selection an annual report

[[Page 584]]

updating the Foundation on their activities and accomplishments since
the time they submitted their applications for the Truman Scholarship.

Subpart G_Duration of Scholarship

Sec. 1801.60 Renewal of scholarship.

It is the intent of the Foundation to provide scholarship awards for
a period not to exceed a total of four academic years, only in
accordance with the regulations established by its Board of Trustees,
and subject to an annual review for compliance with the requirements of
this part.

Sec. 1801.61 Termination of scholarship.

(a) The Foundation may suspend or terminate a scholarship under the
following specific conditions:
(1) Unsatisfactory academic performance for two terms, failure to
pursue preparation for a career in public service, or loss of interest
in a career in public service;
(2) Failure to meet the criteria in Sec. 1801.3(d), Sec.
1801.30(a) Sec. 1801.31(a) and (b), or Sec. 1801.51;
(3) Failure to submit a report or request required by the Foundation
or providing false, misleading, or materially incomplete information on
any report, payment request or other submission to the Foundation; or
(4) Failure to begin use of the graduate portion of the scholarship
within four years of the date of receipt of a baccalaureate degree
unless granted an extension in writing by the Foundation.
(b) Before it terminates a scholarship, the Foundation will notify
the Scholar of the proposed action and will provide an opportunity to be
heard with respect to the grounds for termination.

Sec. 1801.62 Recovery of scholarship funds.

(a) When a Truman Scholarship is terminated for any reason, the
Scholar must return to the Foundation any stipend funds which have not
yet been spent or which the Scholar may recover.
(b) A Scholar who fails for any reason to complete, as a full-time
student, a school term for which he or she has received a Foundation
stipend, must return the amount of that stipend to the Foundation. The
Foundation may waive this requirement upon application by the Scholar
showing good cause for doing so.

Sec. 1801.63 Scholar Accountability.

(a) A Scholar selected after January 2005 must be employed in public
service for three of the seven years following completion of his or her
Foundation funded graduate education.
(b) Following completion of Foundation funded graduate education,
Scholars must submit a report to the Foundation by July 15 of each year.
This report will include the Scholar's current contact information as
well as a brief description of his or her employment during the past
twelve months. This reporting requirement ends when the Foundation
determines that a Scholar has reported three years of public service
employment and the Foundation notifies him or her that he or she no
longer is required to submit reports. Scholars who fail for two
consecutive years to submit the required report to the Foundation will
be considered to have failed to complete the three year public service
requirement of paragraph (a) of this section.
(c) A Scholar who fails to be employed in public service for three
out of the first seven years following completion of his or her
Foundation funded graduate education must repay to the Foundation an
amount equal to:
(1) All of the Scholarship stipends received,
(2) Interest at the rate of 6% per annum from the date of receipt of
each payment until repayment is made to the Foundation, and
(3) Reasonable collection fees.
(d)(1) The repayment obligation of paragraph (c) of this section
accrues on the first July 15 on which it becomes impossible for a
Scholar to fulfill the three year public service requirement of
paragraph (a) of this section. For example, the repayment obligation
would accrue on July 15 of the sixth year following completion of
Foundation funded graduate education for a Scholar who has been employed
in the public service for only one of those six years.

[[Page 585]]

(2) The Foundation will send to the Scholar's last known address a
notice that his or her repayment obligation has accrued. The failure,
however, of the Foundation to send, or the Scholar to receive, such a
notice does not alter or delay the Scholar's repayment obligation.
(e) The Foundation may employ whatever remedies are available to it
to collect any unpaid obligation accruing under this Sec. 1801.63.
(f) Upon application by the Scholar showing good cause for doing so,
the Foundation may waive or modify the repayment obligation established
by paragraph (c) of this section.
(g) The Foundation will establish a process for appealing any
disputes concerning the accrual of the repayment obligation imposed by
paragraph (c) of this section. The Foundation will publish on its Web
site http://www.truman.gov information about this appeals process and
other information pertinent to repayment obligations accruing under this
Sec. 1801.63.

[70 FR 36039, June 22, 2005]

PART 1802_PUBLIC MEETING PROCEDURES OF THE BOARD OF TRUSTEES
--Table of Contents

Sec.
1802.1 Purpose and scope.
1802.2 Definitions.
1802.3 Open meetings.
1802.4 Grounds on which meetings may be closed, or information may be
withheld.
1802.5 Procedure for announcing meetings.
1802.6 Procedure for closing meetings.
1802.7 Transcripts, recordings, minutes of meetings.

Authority: 5 U.S.C. 552b(g); 20 U.S.C. 2001-2012.

Source: 42 FR 14722, Mar. 16, 1977, unless otherwise noted.

Sec. 1802.1 Purpose and scope.

The Harry S. Truman Scholarship Foundation will provide the public
with the fullest practical information regarding its decision-making
processes while protecting the rights of individuals and the
Foundation's abilities to carry out its responsibilities. Accordingly,
these procedures apply to meetings of the Board of Trustees, Harry S.
Truman Scholarship Foundation, including committees of the Board of
Trustees.

Sec. 1802.2 Definitions.

As used in this part:
Board or Board of Trustees means the collegial body that conducts
the business of the Harry S. Truman Scholarship Foundation as specified
in section 5(b), Pub. L. 93-642 (20 U.S.C. 2004), consisting of:
(a) Eight persons appointed by the President, by and with the advice
and consent of the Senate;
(b) Two members of the Senate, one from each political party,
appointed by the President of the Senate;
(c) Two members of the House of Representatives, one from each
political party, appointed by the Speaker; and
(d) The Commissioner of Education or his designee, who serves as an
ex officio member of the Board.
Chairman means the presiding officer of the Board.
Committee means any formally designated subdivision of the Board,
consisting of at least two Board members, authorized to act on behalf of
the Board, including the Board's standing committees and any ad hoc
committees appointed by the Board for special purposes.
Executive Secretary means the individual appointed by the Board to
serve as the chief executive officer of the Foundation.
Meeting means the deliberations of at least the number of individual
voting members of the Board required to take action on behalf of the
Board, where such deliberations determine or result in the joint conduct
or disposition of official business of the Board, but does not include:
(1) Deliberations to open or close a meeting, to establish the agenda
for a meeting, or to release or withhold information, required or
permitted by Sec. 1802.5 or Sec. 1802.6, (2) notation voting or
similar consideration of matters whether by circulation of material to
members individually in writing, or polling of members individually by
telephone or telegram and (3) instances where individual members,
authorized to conduct business on behalf of the Board or to take action
on behalf of the Board, meet with members

[[Page 586]]

of the public or staff. Conference telephone calls that involve the
requisite number of members, and otherwise come within the definition,
are included.
Member means a member of the Board of Trustees.
Staff includes the employees of the Harry S. Truman Scholarship
Foundation, other than the members of the Board.

Sec. 1802.3 Open meetings.

(a) Members shall not jointly conduct or dispose of business of the
Board of Trustees other than in accordance with these procedures. Every
portion of every meeting of the Board of Trustees or any committees of
the Board shall be open to public observation subject to the exceptions
provided in Sec. 1802.4.
(b) Open meetings will be attended by members of the Board, certain
staff, and any other individual or group desiring to observe the
meeting. The public will be invited to observe and listen to the meeting
but not to participate. The use of cameras and disruptive recording
devices will not be permitted.

Sec. 1802.4 Grounds on which meetings may be closed,
or information may be withheld.

Except in a case where the Board or a committee finds that the
public interest requires otherwise, the open meeting requirement as set
forth in the second sentence of Sec. 1802.3(a) shall not apply to any
portion of a Board or committee meeting, and the informational
disclosure requirements of Sec. Sec. 1802.5 and 1802.6 shall not apply
to any information pertaining to such meeting otherwise required by this
part to be disclosed to the public, where the Board or committee, as
applicable, properly determines that such portion or portions of its
meetings or the disclosure of such information is likely to:
(a) Disclose matters that are: (1) Specifically authorized under
criteria established by an Executive Order to be kept secret in the
interests of national defense or foreign policy and (2) in fact properly
classified pursuant to such Executive Order;
(b) Relate solely to the internal personnel rules and practices of
the Harry S. Truman Scholarship Foundation;
(c) Disclose matters specifically exempted from disclosure by
statute (other than section 552, Title 5, United States Code), provided
that such statute: (1) Requires that the matters be withheld from the
public in such a manner as to leave no discretion on the issue, or (2)
establishes particular criteria for withholding or refers to particular
types of matters to be withheld;
(d) Disclose trade secrets and commercial and financial information
obtained from a person and privileged or confidential;
(e) Involve accusing any person of a crime or formally censuring any
person;
(f) Disclose information of a personal nature where disclosure would
constitute a clearly unwarranted invasion of personal privacy;
(g) Disclose investigatory records compiled for law enforcement
purposes, or information which if written would be contained in such
records, but only to the extent that the production of such records or
information would: (1) Interfere with enforcement proceedings,
(2) Deprive a person of a right to a fair trial or an impartial
adjudication,
(3) Constitute an unwarranted invasion of personal privacy,
(4) Disclose the identity of a confidential source and, in the case
of a record compiled by a criminal law enforcement authority in the
course of a criminal investigation, or by an agency conducting a lawful
national security intelligence investigation, confidential information
furnished only by the confidential source,
(5) Disclose investigative techniques and procedures, or
(6) Endanger the life or physical safety of law enforcement
personnel;
(h) Disclose information contained in or related to examination,
operating, or condition reports prepared by, on behalf of, or for the
use of an agency responsible for the regulation or supervision of
financial institutions;
(i) Disclose information the premature disclosure of which would be
likely to significantly frustrate implementation of a proposed agency
action, except that this paragraph shall not apply in any instance where
the agency has already disclosed to the public the

[[Page 587]]

content or nature of its proposed action, or where the agency is
required by law to make such disclosure on its own initiative prior to
taking final agency action on such proposal; or
(j) Specifically concern the issuance of a subpoena, or Foundation
participation in a civil action or proceeding, an action in a foreign
court or international tribunal, or an arbitration, or the initiation,
conduct, or disposition by the Foundation of a particular case of formal
adjudication pursuant to the procedures in section 554 of title 5,
United States Code, or otherwise involving a determination on the record
after opportunity for a hearing.

Sec. 1802.5 Procedure for announcing meetings.

(a) Except to the extent that such information is exempt from
disclosure under the provisions of Sec. 1802.4, in the case of each
Board or committee meeting, the Executive Secretary, acting at the
direction of the Board, shall publish in the Federal Register, at least
seven days before the meeting, the following information:
(1) Time of the meeting;
(2) Place of the meeting;
(3) Subject matter of the meeting;
(4) Whether the meeting or parts thereof are to be open or closed to
the public; and
(5) The name and phone number of the person designated by the Board
or committee to respond to requests for information about the meeting.
(b) The seven-day period for the public announcement required by
paragraph (a) of this section may be reduced if a majority of the
members of the Board or committee, as applicable, determine by a
recorded vote that Board or committee business requires that such
expedited meeting be called at an earlier date. The Board or committee
shall make public announcement of the time, place, and subject matter of
such meeting, and whether open or closed to the public, at the earliest
practicable time.
(c) The time or place of a meeting may be changed following the
public announcement required by paragraph (a) only if the Executive
Secretary, acting at the direction of the Board, publicly announces such
change at the earliest practicable time. Such change need not be voted
on by the members.
(d) The subject matter of a meeting, or the determination of the
Board or committee, as applicable, to open or close a meeting, or
portion of a meeting, to the public, may be changed following the public
announcement required by paragraph (a) of this section only if: (1) A
majority of the entire voting membership of the Board or a majority of
the entire voting membership of a committee, determines by a recorded
vote that Board or committee business so requires and that no earlier
announcement of the change was possible, and
(2) The Board or committee publicly announces such change and the
vote of each member upon such change at the earliest practicable time.
(e) The ``earliest practicable time'' as used in this section, means
as soon as possible, which should in few, if any, instances be no later
than commencement of the meeting or portion in question.
(f) Immediately following each public announcement required by this
section, notice of the time, place and subject matter of a meeting,
whether the meeting is open or closed, any change in one of the
preceding, and the name and phone number of the person designated by the
Board or committee to respond to requests for information about the
meeting, shall be submitted for publication in the Federal Register.

Sec. 1802.6 Procedure for closing meetings.

(a) Action to close a meeting or a portion thereof, pursuant to the
exemptions set forth in Sec. 1802.4, shall be taken only when a
majority of the entire voting membership of the Board or a majority of
the entire voting membership of a committee, as applicable, vote to take
such action. Any such action shall include a specific finding by the
Board that an open meeting is not required by the public interest.
(b) A separate vote of the Board or committee members shall be taken
with respect to each Board or committee meeting, a portion or portions
of which are proposed to be closed to the public pursuant to Sec.
1802.4 or with

[[Page 588]]

respect to any information which is proposed to be withheld under Sec.
1802.4.
(c) A single vote of the Board or committee may be taken with
respect to a series of meetings, a portion or portions of which are
proposed to be closed to the public, or with respect to any information
concerning such series of meetings, so long as each meeting in such
series involves the same particular matters and is scheduled to be held
no more than 30 days after the initial meeting in such series.
(d) The vote of each member shall be recorded, and may be by
notation voting, telephone polling or similar consideration.
(e) Whenever any person whose interests may be directly affected by
a portion of a meeting requests that the Board or a committee close such
portion to the public under any of the exemptions relating to personal
privacy, criminal accusation, or law enforcement information referred to
in paragraph (e), (f), or (g) of Sec. 1802.4, the Board or committee,
as applicable, upon request of any one of its members, shall vote by
recorded vote whether to close such meeting. Where the Board receives
such a request prior to a meeting, the Board may ascertain by notation
voting, or similar consideration, the vote of each member of the Board,
or committee, as applicable, as to the following:
(1) Whether the business of the Board or committee permits
consideration of the request at the next meeting, and delay of the
matter in issue until the meeting following, or
(2) Whether the members wish to close the meeting.
(f) Within one day of any vote taken pursuant to paragraph (a), (b),
(c) or (e), of this section, the Board or committee shall make publicly
available a written copy of such vote reflecting the vote of each member
on the question. If a portion of a meeting is to be closed to the
public, the Board or committee shall, within one day of the vote taken
pursuant to paragraph (a), (b), (c), or (e) of this section, make
publicly available a full written explanation of its action closing the
portion together with a list of all persons expected to attend the
meeting and their affiliation. The information required by this
paragraph shall be disclosed except to the extent it is exempt from
disclosure under the provisions of Sec. 1802.4.
(g) For every meeting closed pursuant to Sec. 1802.4, the General
Counsel of the Harry S. Truman Scholarship Foundation shall certify
before the meeting may be closed that, in his or her opinion, the
meeting may be closed to the public and shall state each relevant
exemptive provision. A copy of such certification, together with a
statement from the presiding officer of the meeting setting forth the
time and place of the meeting, and the persons present, shall be
retained by the Board as part of the transcript, recording or minutes
required by Sec. 1802.7.

Sec. 1802.7 Transcripts, recordings, minutes of meetings.

(a) The Board of Trustees shall maintain a complete transcript or
electronic recording adequate to record fully the proceedings of each
meeting, or portion of a meeting, closed to the public, except that in
the case of a meeting closed to the public pursuant to paragraph (j) of
Sec. 1802.4, the Board shall maintain either such a transcript or
recording, or a set of minutes.
(b) Where minutes are maintained they shall fully and clearly
describe all matters discussed and shall provide a full and accurate
summary of any actions taken, and the reasons for such actions,
including a description of each of the views expressed on any item and
the record of any roll call vote (reflecting the vote of each member on
the question). All documents considered in connection with any action
shall be identified in such minutes.
(c) The Board shall maintain a complete verbatim copy of the
transcript, a complete copy of the minutes, or a complete electronic
recording of each meeting or portion of a meeting, closed to the public,
for a period of at least two years after such meeting, or until one year
after the conclusion of any Board proceeding with respect to which the
meeting or portion was held, whichever occurs later.
(d) Public availability of records shall be as follows:

[[Page 589]]

(1) Within ten days of receipt of a request for information
(excluding Saturdays, Sundays, and legal public holidays), the
Foundation shall make available to the public, in the offices of the
Harry S. Truman Scholarship Foundation, 712 Jackson Place NW.,
Washington, DC, the transcript, electronic recording, or minutes of the
discussion of any item on the agenda, or of any item of the testimony of
any witness received at the meeting except for such item or items of
such discussion or testimony as the General Counsel determines to
contain information which may be withheld under Sec. 1802.4.
(2) Copies of such transcript, or minutes, or a transcription of
such recording disclosing the identify of each speaker, shall be
available at the actual cost of duplication or transcription.
(3) The determination of the General Counsel to withhold information
pursuant to paragraph (d)(1) of this section may be appealed to the
Board. The appeal shall be circulated to individual Board members. The
Board shall make a determination to withhold or release the requested
information within twenty days from the date of receipt of a written
request for review (excluding Saturdays, Sundays, and legal public
holidays).
(4) A written request for review shall be deemed received by the
Board when it has arrived at the offices of the Board in a form that
describes in reasonable detail the material sought.

PART 1803_NONDISCRIMINATION ON THE BASIS OF HANDICAP--Table of Contents

Sec.
1803.1 Purpose.
1803.2 Application.
1803.3 Definitions.
1803.4 Self-evaluation.
1803.5 Notice.
1803.6 General prohibitions against discrimination.
1803.7 Program accessibility: Existing facilities.
1803.8 Program accessibility: New construction and alterations.
1803.9 Employment.
1803.10 Communications.
1803.11 Compliance procedures.

Authority: 29 U.S.C. 794.

Source: 54 FR 4795, Jan. 31, 1989, unless otherwise noted.

Sec. 1803.1 Purpose.

Sec. 1803.2 Application.

This part applies to all programs or activities conducted by the
Foundation, except for programs or activities conducted outside the
United States that do not involve individual(s) with handicaps in the
United States.

Sec. 1803.3 Definitions.

Complaints filed on behalf of classes or third parties shall describe or
identify, by name if possible, the alleged victims of discrimination.
Executive Secretary means the Executive Secretary of the Harry S.
Truman Scholarship Foundation.
Facility means all or any portion of buildings, structures,
equipment, roads, walks, parking lots, rolling stock or other
conveyances, or other real or personal property.
Foundation means the Harry S. Truman Scholarship Foundation.
General Counsel means the General Counsel of the Harry S. Truman
Scholarship Foundation.

[[Page 590]]

Individual with handicaps means any person who has a physical or
mental impairment that substantially limits one or more major life
activities, has a record of such an impairment, or is regarded as having
such an impairment. As used in this definition, the phrase:
(1) Physical or mental impairment includes--
(i) Any physiological disorder or condition, cosmetic disfigurement,
or anatomical loss affecting one or more of the following body systems:
Neurological; musculoskeletal; special sense organs; respiratory,
including speech organs; cardiovascular; reproductive; digestive;
genitourinary; hemic and lymphatic; skin; and endocrine; or
(ii) Any mental or psychological disorder, such as mental
retardation, organic brain syndrome, emotional or mental illness, and
specific learning disabilities. The term ``physical or mental
impairment'' includes, but is not limited to, such diseases and
conditions as orthopedic, visual, speech, and hearing impairments,
cerebral palsy, epilepsy, muscular dystrophy, multiple sclerosis,
cancer, heart disease, diabetes, mental retardation, emotional illness,
and drug addiction and alcoholism.
(2) Major life activities includes functions such as caring for
one's self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(3) Has a record of such an impairment means has a history of, or
has been classified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(4) Is regarded as having an impairment means--
(i) Has a physical or mental impairment that does not substantially
limit major life activities but is treated by the Foundation as
constituting such a limitation;
(ii) Has a physical or mental impairment that substantially limits
major life activities only as a result of the attitudes of others toward
such impairment; or
(iii) Has none of the impairments defined in subparagraph (1) of
this definition, but is treated by the Foundation as having such an
impairment.
Qualified individual with handicaps means an individual with
handicaps who meets the essential eligibility requirements for
participation in, or receipt of benefits from, any Foundation program or
activity. For purposes of employment, ``qualified individual with
handicaps'' means ``qualified handicapped person'' as defined in 29 CFR
1613.702(f), which is made applicable to this part by Sec. 1803.10.
Section 504 means section 504 of the Rehabilitation Act of 1973,
Pub. L. 93-112, 87 Stat. 394, 29 U.S.C. 794, as amended by the
Rehabilitation Act Amendments of 1974, Pub. L. 93-516, 88 Stat. 1617;
the Rehabilitation, Comprehensive Services, and Developmental
Disabilities Amendments of 1978, Pub. L. 95-602, 92 Stat. 2955; and by
the Rehabilitation Act amendments of 1986, Pub. L. 99-506, 100 Stat.
1810. As used in this part, section 504 applies only to programs or
activities conducted by the Foundation and not to federally assisted
programs.

Sec. 1803.4 Self-evaluation.

(a) The Foundation shall, within one year of the effective date of
this part, evaluate, with the assistance of interested persons,
including individuals with handicaps or organizations representing
individuals with handicaps, its current policies and practices, and the
effects thereof, that do not or may not meet the requirements of this
part, and, to the extent modification of any such policies and practices
is required, the Foundation shall proceed to make the necessary
modification.
(b) The Foundation shall, for at least three years following
completion of the evaluation required under paragraph (a) of this
section, maintain on file and make available for public inspection--
(1) A description of areas examined and any problems identified; and
(2) A description of any modifications made.

Sec. 1803.5 Notice.

The Foundation shall make available to employees, applicants,
participants, beneficiaries, and other interested persons such
information regarding the provisions of this part and its applicability
to the programs or activities conducted by the Foundation as the

[[Page 591]]

Executive Secretary finds necessary to apprise such persons of the
protections against discrimination assured them by section 504 and this
regulation.

Sec. 1803.6 General prohibitions against discrimination.

(a) No qualified individual with handicaps shall, on the basis of
handicap, be excluded from participation in, be denied the benefits of,
or otherwise be subjected to discrimination under any program or
activity subject to this part.
(b) The Foundation may not, either directly or through arrangements
with others, on the basis of handicap--
(1) Discriminate against a qualified individual with handicaps in
the award or renewal of scholarships, through selection criteria or
otherwise;
(2) Deny a qualified individual with handicaps the opportunity to
participate as a member of boards or panels used to screen scholarship
applicants;
(3) Deny a qualified individual with handicaps the opportunity to
participate as a member of planning or advisory boards; or
(4) Otherwise subject a qualified individual with handicaps to
discrimination.
(c) The Foundation may not, either directly or through arrangements
with others, utilize criteria or methods of administration the purpose
or effect of which would--
(1) Subject qualified individuals with handicaps to discrimination
on the basis of handicap; or
(2) Defeat or substantially impair accomplishment of the objectives
of a program or activity with respect to individuals with handicaps.
(d) The Foundation shall administer programs and activities in the
most feasibly integrated setting appropriate to the needs of qualified
individuals with handicaps.

Sec. 1803.7 Program accessibility: Existing facilities.

(a) The Foundation shall operate each program or activity so that
the program or activity, when viewed in its entirety, is readily
accessible to and usable by individuals with handicaps. This paragraph
does not necessarily require the Foundation to make each of its existing
facilities accessible to and usable by individuals with handicaps, but
no qualified individual with handicaps shall be denied the benefit of,
be excluded from participation in, or otherwise be subjected to
discrimination under any of the Foundation's programs and activities
because any of the Foundation's facilities are inaccessible to or
unusable by individuals with handicaps.
(b) When the Foundation uses facilities leased or otherwise provided
by the General Services Administration (GSA), it shall request GSA to
make any structural changes that the Foundation determines are required
to provide necessary accessibility for individuals with handicaps, and
shall inform that agency of any complaints regarding accessibility by
individuals with handicaps.
(c) The Foundation periodically uses meeting rooms or similar
facilities made available by non-federal entities. In any instances in
which such temporarily used facilities are not readily accessible to
qualified individuals with handicaps, the Foundation shall make
alternative arrangements so that such qualified individuals with
handicaps can participate fully in the Foundation's activity.
(d) This section does not require the Foundation to take any action
that it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and administration
burdens. In those circumstances where Foundation personnel believe that
the proposed action would fundamentally alter a program or activity or
would result in undue financial and administrative burdens, the
Foundation has the burden of proving that compliance with paragraph (a)
of this section would result in such alteration or burdens. The decision
that compliance would result in such alteration or burdens must be made
by the Executive Secretary after considering all agency resources
available for use in the funding and operation of the conducted program
or activity, and must be accompanied by a written statement of the
reasons for reaching that conclusion. If an action required to comply
with this section would result in such an alteration or

[[Page 592]]

such burdens, the Foundation shall take other action not resulting in
such an alteration or such burdens, but would nevertheless ensure that,
to the maximum extent possible, individuals with handicaps receive the
benefits and services of the programs or activities.

Sec. 1803.8 Program accessibility: New construction and alterations.

Each building or part of a building that is constructed or altered
by, on behalf of, or for the use of the Foundation shall be designed,
constructed, or altered so as to be readily accessible to and usable by
individuals with handicaps. The definitions, requirements, and standards
of the Architectural Barriers Act (42 U.S.C. 4151-4157), as established
in 41 CFR 101-19.600 to 101-19.607, apply to buildings covered by this
section.

Sec. 1803.9 Employment.

No qualified individual with handicaps shall, on the basis of
handicap, be subjected to discrimination in employment under any program
or activity conducted by the Foundation. The definitions, requirements
and procedures of section 501 of the Rehabilitation Act of 1973 (29
U.S.C. 791), as established by the Equal Employment Opportunity
Commission in 29 CFR part 1613, shall apply to employment in federally
conducted programs or activities.

Sec. 1803.10 Communications.

(a) The Foundation shall take appropriate steps to assure that
interested persons, including persons with impaired vision or hearing,
can effectively communicate with the Foundation and obtain information
as to the existence and availability of the Foundation's programs and
activities.
(1) The Foundation shall furnish appropriate auxiliary aids where
necessary to afford an individual with handicaps an equal opportunity to
participate in the scholarship interview process or other programs or
activities conducted by the Foundation.
(i) In determining what type of auxiliary aid is necessary, the
Foundation shall give primary consideration to the requests of the
individual with handicaps.
(ii) The Foundation need not provide individually prescribed devices
or other devices of a personal nature.
(2) When the Foundation communicates with applicants and
beneficiaries by telephone, the Foundation shall use, for persons with
impaired hearing, a telecommunication device for deaf persons or equally
effective telecommunication device.
(b) The Foundation shall take appropriate steps to provide
individuals with handicaps with information regarding their section 504
rights under the Foundation's programs or activities.
(c) This section does not require the Foundation to take any action
that it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and administrative
burdens. In those circumstances where Foundation personnel believe that
the proposed action would fundamentally alter a program or activity or
would result in undue financial and administrative burdens, the
Foundation has the burden of proving that compliance with paragraphs (a)
and (b) of this section would result in such alteration or burdens. The
decision that compliance would result in such alteration or burdens must
be made by the Executive Secretary after considering all Foundation
resources available for use in the funding and operation of a conducted
program or activity, and must be accompanied by a written statement of
the reasons for reaching that conclusion. If an action required to
comply with this section would result in such an alteration or such
burdens, the Foundation shall take other action not resulting in such an
alteration or such burdens, but would nevertheless ensure that, to the
maximum extent possible, individuals with handicaps receive the benefits
and services of the programs or activities.

Sec. 1803.11 Compliance procedures.

[[Page 593]]

with respect to employment according to the procedures established by
the Equal Employment Opportunity Commission in 29 CFR part 1613 pursuant
to section 501 of the Rehabilitation Act of 1973 (29 U.S.C. 791).
(c) Responsibility for implementation and operation of this section
shall be vested in the Executive Secretary.
(d) The Foundation shall accept and investigate all complete
complaints for which it has jurisdiction. All complete complaints must
be filed within 180 days of the alleged act of discrimination. The
Foundation may extend this time period for good cause.
(e) If the Foundation receives a complaint over which it does not
have jurisdiction, it shall promptly notify the complainant and shall
make reasonable efforts to refer the complaint to the appropriate
government entity.
(f) The Foundation shall notify the Architectural and Transportation
Barriers Compliance Board upon receipt of any complaint alleging that a
building or facility that is used by the Foundation that is subject to
the Architectural Barriers Act of 1968, as amended (42 U.S.C. 4151-
4157), is not readily accessible to and usable by individuals with
handicaps.
(g) The Foundation shall notify the complainant of the results of
the investigation within 90 days of the receipt of a complete complaint
over which it has jurisdiction. Notification must be in a letter, and
must include--
(1) Findings of fact and conclusions of law;
(2) A description of a remedy for each violation discovered; and
(3) A notice of the right to appeal.
(h) Appeals of the findings of fact and conclusions of law or
remedies must be filed by the complainant within 90 days of receipt from
the agency of the letter required by paragraph (f) of this section. The
Foundation may extend this time for good cause.
(i) Timely appeals shall be accepted and processed by the General
Counsel.
(j) The Foundation shall notify the complainant of the results of
the appeal within 90 days of the receipt of the request. If the
Foundation determines that it needs additional information from the
complainant, it shall have 90 days from the date it receives the
additional information to make its determination on the appeal.
(k) The time limits cited in paragraphs (g) and (h) of this section
may be extended with the permission of the Assistant Attorney General.
(l) The Foundation may delegate its authority for conducting
complaint investigations to other federal agencies, but may not delegate
to another agency the authority for making the final determination.

PARTS 1804 1899 [RESERVED]

[[Page 595]]

CHAPTER XXI--COMMISSION OF FINE ARTS

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Part Page
2100

[Reserved]

2101 Functions and organization.................. 597
2102 Meetings and procedures of the Commission... 599
2103 Statements of policy........................ 603
2104 Enforcement of nondiscrimination on the
basis of handicap in programs or
activities conducted by the Commission
of Fine Arts............................ 603
2105 Requirements for compliance with the Freedom
of Information Act...................... 610
2106 Rules for compliance with 5 U.S.C. 552a, the
Privacy Act of 1974..................... 631
2107-2199

[Reserved]

[[Page 597]]

PART 2100 [RESERVED]

PART 2101_FUNCTIONS AND ORGANIZATION--Table of Contents

Subpart A_Functions and Responsibilities of the Commission

Sec.
2101.1 Statutory and Executive Order authority.
2101.2 Relationships of Commission's functions to responsibilities of
other government units.

Subpart B_General Organization

2101.10 The Commission.
2101.11 Secretary to the Commission.
2101.12 Georgetown Board of Architectural Consultants.

Authority: Pub. L. 81-808, 64 Stat. 903; 10 U.S.C. 4594; 36 U.S.C.
124; 40 U.S.C. 72, 104, 106, 121, 1001; E.O. 1259 of October 25, 1910;
E.O. 1862 of November 28, 1913; and E.O. 3524 of July 28, 1921.

Source: 62 FR 4646, Jan. 31, 1997, unless otherwise noted.

Subpart A_Functions and Responsibilities of the Commission

Sec. 2101.1 Statutory and Executive Order Authority.

The Commission of Fine Arts (referred to as the ``Commission'')
functions pursuant to statutes of the United States and Executive Orders
of Presidents, as follows:
(a) Public buildings, other structures, and parklands. (1) For
public buildings to be erected in the District of Columbia by the
federal government and for other structures to be so erected which
affect the appearance of the city, the Commission comments and advises
on the plans and on the merits of the designs before final approval or
action;
(2) For statues, fountains and monuments to be erected in the
District of Columbia under authority of the federal government, the
Commission advises upon their location in public squares, streets, and
parks, and the merits of their designs;
(3) For monuments to be erected at any location pursuant to the
American Battle Monuments Act, the Commission approves the designs
before they are accepted by the American Battle Monuments Commission
(See also Sec. 2101.1 (g));
(4) For parks within the District of Columbia, when plans of
importance are under consideration, the Commission advises upon the
merits of the designs; and
(5) For the selection by the National Capital Planning Commission of
lands suitable for development of the National Capital park, parkway,
and playground system in the District of Columbia, Maryland, and
Virginia, the Commission provides advice.
(b) Private buildings bordering certain public areas in Washington,
D.C. (Shipstead-Luce Act). For buildings to be erected or altered \1\ in
locations which border the Capitol, the White House, the intermediate
portion of Pennsylvania Avenue, the Mall Park System, Lafayette Park,
the Zoological Park, Rock Creek Park or Parkway, or Potomac Park or
Parkway, or are otherwise within areas defined by the official plats
prepared pursuant to Sec. 2 of the Shipstead-Luce Act, the Commission
reviews the plans as they relate to height and appearance, color and
materials of the exteriors, and makes recommendations to the Government
of the District of Columbia which, in the judgement of the Commission,
are necessary to prevent reasonably avoidable impairment of the public
values represented by the areas along which the buildings border.
(Shipstead-Luce Act, 46 Stat. 366 as amended (40 U.S.C. 121; D.C. Code
5-410).)
---------------------------------------------------------------------------

\1\ Alteration does not include razing (Commissioner of the District
of Columbia v. Bennenson, D.C. Court of App. 1974, 329 A.2d 437).
Partial demolition, however, is viewed as an alteration (The Committee
to Preserve Rhodes Tavern and the Natl. Processional Route v. Oliver T.
Carr Company, et. al., U.S. Court of App. for D.C. Cir., 1979, 79-1457,
Dept. Justice Brief for Fed. Appellee).
---------------------------------------------------------------------------

(c) Georgetown buildings (Old Georgetown Act). For buildings to be
constructed, altered, reconstructed, or razed within the area of the
District of Columbia known as ``Old Georgetown'', the Commission reviews
and reports to the District of Columbia Government on proposed exterior
architectural features, height, appearance, color, and texture of
exterior materials as would

[[Page 598]]

be seen from public space; and the Commission makes recommendations to
such government as to the effect of the plans on the preservation and
protection of places and areas that have historic interest or that
manifest exemplary features and types of architecture, including
recommendations for any changes in plans necessary in the judgement of
the Commission to preserve the historic value of Old Georgetown, and
takes any such actions as in the judgement of the Commission are right
or proper in the circumstances. (Old Georgetown Act, Public Law 81-808,
64 Stat. 903 (D.C. Code 5-801).)
(d) United States medals, insignia, and coins. On medals, insignia,
and coins to be produced by an executive department of the United States
including the Mint, the Commission advises as to the merits of their
designs which shall be submitted before the executive officer having
charge of the same shall approve thereof.
(e) Heraldic services provided by the Department of the Army. The
Commission upon request advises the Heraldic Branch of the Army upon the
merits of proposed designs for medals, insignia, seals, etc. prepared
under the authority of the Act of August 26, 1957 to furnish heraldic
services to the other departments and agencies of the government.
(f) Questions of art with which the Federal government is concerned.
When required to do so by the President or by Committees of either House
of Congress, the Commission advises generally on questions of art, and
whenever questions of such nature are submitted to it by an officer or
department of the federal government the Commission advises and
comments.
(g) Commemorative works. The Commemorative Works Act provides
standards for placement of commemorative works on certain federal lands
in the District of Columbia and its environs, and for other purposes;
and requires site and design approval of all commemorative works by the
Commission of Fine Arts, National Capital Planning Commission, and (as
appropriate) the Secretary of Interior or the Administrator of General
Services. The sponsoring agencies therefore shall submit designs to the
Commission for review and shall provide such design changes as may be
required to obtain approval.

Sec. 2101.2 Relationships of Commission's functions to
responsibilities of other government units.

(a) Projects involving the Capitol building and the Library of
Congress. Plans concerning the Capitol building and the buildings of the
Library of Congress are outside the purview of the Commission except as
to questions on which the Committees of Congress require the Commission
to advise.
(b) Other Federal government projects. Officers and departments of
the federal government responsible for finally approving or acting upon
proposed projects within the purview of the Commission's functions as
described in Sec. 2101.1 (a) are required first to submit plans or
designs for such projects to the Commission for its advice and comments.
(c) Projects within the jurisdiction of the District of Columbia
government. The District of Columbia seeks Commission advice on exterior
alteration or new construction of public buildings or major public works
within its boundaries. The District of Columbia government also shall
seek Commission advice on certain private construction requiring
building or demolition permits from the D.C. Permit Branch (D.C. Law 5-
422). These include certain actions by the District of Columbia
government pursuant to either D.C. Law 5-422 or D.C. Law 2-144 within
areas subject to the Shipstead-Luce or Old Georgetown Acts (Sec. 2101.1
(b) and (c)) prior to the issuance of a permit. \2\ Alterations of
buildings, demolition, or new construction at individually designated
landmarks or within historic districts are further subject to the permit
requirements of the Historic Landmark and Historic District Protection
Act of 1978 (D.C. Law 2-144). Upon request, advice will be given on the
subject of lot subdivisions.
---------------------------------------------------------------------------

\2\ Provisions of the Shipstead-Luce Act (Sec. 2101.1 (b)) do not
include full demolition, though partial demolition is viewed as an
alteration.

---------------------------------------------------------------------------

[[Page 599]]

Subpart B_General Organization

Sec. 2101.10 The Commission.

The Commission is composed of seven members, each of whom is
appointed by the President and serves for a period of four years or
until his or her successor is appointed and qualified. The Chairman and
Vice Chairman are elected by the members. The Commission is assisted by
a staff as authorized by the Commission.

Sec. 2101.11 Secretary to the Commission.

Subject to the direction of the Chairman, the Secretary to the
Commission is responsible for the day-to-day operations of the agency
and for supervising the staff in its support of the functions of the
Commission; for preparing the agenda of Commission meetings; for
organizing presentations before the Commission of plans, designs, or
questions upon which it is to advise, comment, or respond; for
interpreting the Commission's conclusions, advice, or recommendations on
each matter submitted to it; for maintaining a liaison with other
governmental entities, professionals, and the public; and for
maintaining the Commission's records. The Assistant Secretary of the
Commission shall carry out duties delegated to him/her by the Secretary
and shall act in place of the Secretary during his/her absence or
disability.

Sec. 2101.12 Georgetown Board of Architectural Consultants.

To assist the Commission in carrying out the purposes of the Old
Georgetown Act (Sec. 2101.1 (c)), a committee of three architects
appointed for a term of three years by the Commission serves as the
Board of Architectural Consultants without expense to the United States.
This committee advises the Commission regarding designs and plans
referred to it. The Chairman is elected by its members.

PART 2102_MEETINGS AND PROCEDURES OF THE COMMISSION--Table of Contents

Subpart A_Commission Meetings

Sec.
2102.1 Times and places of meetings.
2102.2 Actions outside of meetings.
2102.3 Public notice of meetings.
2102.4 Public attendance and participation.
2102.5 Records and minutes; public inspection.

Subpart B_Procedures on Submission of Plans or Designs

2102.10 Timing, scope and content of submissions for proposed projects
involving land, buildings or other structures.
2102.11 Scope and content of submission for proposed medals, insignia,
coins, seals, and the like.
2102.12 Responses of Commission to submissions.
2102.13 Project eligibility criteria for placement on a Consent
Calendar.
2102.14 Consent Calendar and Appendices procedures.

Authority: 5 U.S.C., App. 1.

Source: 62 FR 4647, Jan. 31, 1997, unless otherwise noted.

Subpart A_Commission Meetings

Sec. 2102.1 Times and places of meetings.

Regular meetings of the Commission, open to the public, are held
monthly on the third Thursday of the month, beginning at 10 a.m., at its
offices in Suite 312, 441 F Street, N.W. Washington, D.C. 20001, except
that by action of the Commission a regular meeting in any particular
month may be omitted or it may be held on another day or at a different
time or place. A special meeting, open to the public, may be held in the
interval between regular meetings upon call of the Chairman and five
days' written notice of the time and place mailed to each member who
does not in writing waive such notice. On all matters of official
business, the Commission shall conduct its deliberations and reach its
conclusions at such open meetings except as stated in Sec. 2101.12
provided, however, the Commission members may receive staff briefings or
may have informal background discussions among themselves and the staff
outside of such meetings.

Sec. 2102.2 Actions outside of meetings.

Between meetings in situations of emergency, the Commission may act
through a canvass by the Secretary of individual members, provided that
any action so taken is brought up and ratified at the next meeting. In
addition,

[[Page 600]]

the Commission members may convene away from the Commission's offices to
make inspections at the site of a proposed project or at the location of
a mock-up for the project and may then and there reach its conclusions
respecting such project which shall be recorded in the minutes of the
meeting held on the same day or, if none was then held, in the minutes
of the next meeting.

Sec. 2102.3 Public notice of meetings.

Notice of each meeting of the Commission shall be published in the
Federal Register.

Sec. 2102.4 Public attendance and participation.

Interested persons are permitted to attend meetings of the
Commission, to file statements with the Commission at or before a
meeting, and to appear before the Commission when it is in meeting,
provided that an appearance is germane to the functions and policies of
the Commission and to the matter or issues then before the Commission,
and if the presentation or argument is made in a concise manner, within
reasonable time limits and avoids duplicating information or views
already before the Commission. A decision of the Chairman as to the
order of appearances and as to compliance with these regulations by any
person shall be final unless the Commission determines otherwise.

Sec. 2102.5 Records and minutes; public inspection.

A detailed record of each meeting shall be made and kept which shall
contain copies of all written, printed, or graphic materials presented.
The Secretary shall have prepared minutes of each meeting which shall
state the time and place it was held and attendance by Commission
members and staff and which shall contain a complete summary of matters
discussed and conclusions reached and an explanation of the extent of
public participation, including names of persons who presented oral or
written statements; and he shall send a copy to all members of the
Commission for their approval. Subsequent to such approval, the minutes
shall be certified by the Secretary. The minutes and any completed
reports, studies, agenda or other documents made available to, or
prepared for or by, the Commission shall be available for public
inspection and, at the requesting party's expense, for copying at the
offices of the Commission.

Subpart B_Procedures on Submissions of Plans or Designs

Sec. 2102.10 Timing, scope and content of submissions for proposed
projects involving land, buildings, or other structures.

(a) A party proposing a project which is within the purview of the
Commission's functions under Sec. 2101.1 (a), (b), or (c) should make a
submission when concept plans for the project are ready but before
detailed plans and specifications or working drawings are prepared. In
order to assure that a submission will be considered at the next
scheduled meeting of the Commission, it should be delivered to the
Commissions offices not later than ten (10) working days before the
meeting; if it is a project subject to review first by the Georgetown
Board, not later than ten (10) working days before the Georgetown Board
meeting. The Commission will attempt to consider a submission which is
not made in conformity with this schedule, but it reserves the right to
postpone consideration until its next subsequent meeting.
(b)(1) Each submission should state or disclose:
(i) The nature, location, and justification of the project,
including any relevant historical information about the building or
other structure to be altered or razed;
(ii) The identity of the owner or developer (or for public
buildings, the governmental unit with authority to approve or act upon
the plans) and of the architect;
(iii) The functions, uses, and purpose of the project; and
(iv) Other information to the extent it is relevant, such as area
studies, site plans, building and landscape schematics, renderings,
models, depictions or samples of exterior materials and

[[Page 601]]

components, and photographs of existing conditions to be affected by the
project.
(2) Alternative proposals may be included within one submission. The
information submitted shall be sufficiently complete, detailed, and
accurate as will enable the Commission to judge the ultimate character,
siting, height, bulk, and appearance of the project, in its entirety,
including the grounds within the scope of the project, its setting and
environs, and its effect upon existing conditions and upon historical
and prevailing architectural values. Record drawings and photographs
will be submitted by the applicant for a permanent Commission record of
the submission.
(c) If a project consists of a first or intermediate phase of a
contemplated larger program of construction, similar information about
the eventual plans should accompany the submission. Even though a
submission relates only to approval for razing or removal of a building
or other structure, the project will be regarded as part of phased
development, and the submission is subject to such requirement.
(d) If the project involves a statue, fountain or a monument within
the purview of the Commission under Sec. 2101.1 (a)(2), partial
submissions should be made as appropriate to permit the Commission to
advise on each aspect of the project as prescribed by the Commemorative
Works Act (Pub. L. 99-652, H.R. 4378, 40 U.S.C. 1001).
(e) The Commission staff will advise owners and architects
concerning the scope and content of particular submissions. Material
relevant to the functions and policies of the Commission varies greatly
depending upon the nature, size, and importance of the project to be
reviewed by the Commission. Also, it is the policy of the Commission not
to impose unnecessary burdens or delays on persons who make submissions
to the Commission. However, the Commission at any meeting may decline to
reach a conclusion about a proposed project if it deems the submission
materials inadequate for its purposes, or it may condition its
conclusions on the submission of further information to it at a later
meeting or, in its discretion, may delegate final action to the staff.
(f) The Commission staff, members of the Georgetown Board,
interested members of the public, or the submitting party may augment
any submission by additional relevant information made available to the
Commission before or at the meeting where the submission is considered.
The staff should also make information available concerning prior
considerations or conclusions of the Commission regarding the same
project or earlier versions of it.

Sec. 2102.11 Scope and content of submissions for proposed medals,
insignia, coins, seals, and the like.

Each submission of the design for a proposed item which is within
the Commission's purview under Sec. 2101.1 (d) should identify the
sponsoring government unit and disclose the uses and purpose of the
item, the size and forms in which it will be produced, and the materials
and finishes to be used, including colors if any, along with a sketch,
model, or prototype.

Sec. 2102.12 Responses of Commission to submissions.

(a) The Commission before disposing of any project presented to it
may ask for the proposed plans or designs to be changed in certain
particulars and resubmitted, or for the opportunity to review plans,
designs, and specifications in certain particulars at a later stage in
their development, and to see samples or mock-ups of materials or
components; and when appropriate in the matter of a statue or other
object of art, the Commission may ask for the opportunity to see a
larger or full-scale model. All conclusions, advice, or comments of the
Commission which lead to further development of plans, designs, and
specifications or to actual carrying out of the project are made in
contemplation that such steps will conform in all substantial respects
with the plans or designs submitted to the Commission, including only
such changes as the Commission may have recommended; any other changes
in plans or designs require further submission to the Commission.
(b) In the case of plans submitted with a permit application subject
to

[[Page 602]]

the Old Georgetown Act (Sec. 2101.1(c)), if the Commission does not
respond with a report on such plans within forty-five days after their
receipt by the Commission, its approval shall be assumed and a permit
may be issued by the government of the District of Columbia.
(1) In the case of a concept application submitted for a project
subject to the Old Georgetown Act (Sec. 2101.1(c)), the Commission's
approval is valid for two years. At the end of the two years, the
original owner for the project may submit a new concept application
requesting to extend the approval for one more year. The Commission,
however, may decline to extend its approval.
(2) [Reserved]
(c) In the case of plans submitted with a permit application subject
to the Shipstead-Luce Act (Sec. 2101.1(b)), if the Commission does not
respond with a report on such plans within thirty days after their
receipt by the Commission, its approval shall be assumed and a permit
may be issued by the government of the District of Columbia.
(1) In the case of a concept application for a project subject to
the Shipstead-Luce Act (Sec. 2101.1(b)), the Commission's approval is
valid for two years. At the end of the two years, the original owner for
the project may submit a concept application requesting to extend the
approval for one more year. The Commission, however, may decline to
extend its approval.
(2) [Reserved]
(d) In the event that any project or item within the Commission's
purview under 2101.1 has not progressed to a substantial start of
construction or production within four years following the Commission
meeting date on which the final design was approved, the Commission's
approval is suspended. The plans or designs previously approved or
alternative plans or designs, may thereupon be resubmitted for
Commission review. The Commission's subsequent approval, if granted,
shall remain in effect for four years.

[62 FR 4647, Jan. 31, 1997, as amended at 73 FR 29712, May 22, 2008]

Sec. 2102.13 Project eligibility criteria for placement on
a Consent Calendar.

With respect to submissions to the Commission for projects that meet
the following criteria, the Secretary, at his/her discretion and in
coordination with the Commission's staff, may place these projects on a
Consent Calendar according to Sec. 2102.14.
(a) Additions to buildings of less than 25 percent (%) of the
original structure and no more than 25,000 sq. ft.;
(b) New construction of less than 25,000 sq. ft.;
(c) Window replacement projects;
(d) Cellular or other communications antenna installations or
replacements;
(e) New or replacement signs;
(f) Cleaning, routine maintenance, repairs or replacement-in-kind of
exterior finish materials;
(g) Temporary utility or construction structures;
(h) And does not include new physical perimeter security items.

[70 FR 49194, Aug. 23, 2005]

Sec. 2102.14 Consent Calendar and Appendices procedures.

(a) The Commission shall review applications scheduled on its
Meeting Agenda, Consent Calendar, or Appendices (Old Georgetown Act and
Shipstead-Luce Act). Cases on the Meeting Agenda will be heard by the
Commission in open session. Cases on the Consent Calendar or Appendices
will be acted upon based on submitted materials and staff
recommendations without further public comment.
(b) The Commission shall release the proposed Meeting Agenda, and
the Consent Calendar and Appendices with staff recommendation to the
public not later than five (5) calendar days before the meeting.
(c) The scheduling of cases on the Meeting Agenda, Consent Calendar,
and Appendices shall be at the sole discretion of the Commission and
staff, and nothing shall preclude the Commission from amending or
changing the scheduling at a public meeting.
(d) The staff shall prepare a written recommendation for each case
on the Consent Calendar or Appendices the Commission will review.
(e) The Commission shall conduct public review of cases in
accordance with a proposed Agenda released to the public before the
Commission meeting. The Commission shall dispose of other

[[Page 603]]

cases by adoption of a Consent Calendar and Appendices, as appropriate.
The Commission may amend the Meeting Agenda, Consent Calendar and
Appendices at the public meeting as it may deem appropriate.
(f) An application may be placed on the Consent Calendar if the
applicant and staff agree that the proposed work has no known objection
by an affected government agency, neighborhood organization, historic
preservation organization, or affected person. Any relevant terms or
modifications agreed upon by the applicant and staff may be included as
conditions of the approval.
(g) At the request of any Commission member, the Chairperson may
remove any case from the Consent Calendar and place it on the Meeting
Agenda for individual consideration by the Commission at the meeting. A
request from any other group or person to remove a case from the Consent
Calendar should be made to the staff in advance of the meeting and shall
be considered as a preliminary matter at the meeting.
(h) The Chairperson may also remove any case from a duly noticed
Meeting Agenda and place it on the Consent Calendar, provided there is
no objection from the applicant, any Commission member, or any affected
group or person present and wishing to comment on the case.
(i) The Commission may approve the Consent Calendar and Appendices
on a voice vote.

[70 FR 49194, Aug. 23, 2005]

PART 2103_STATEMENTS OF POLICY--Table of Contents

Authority: Pub. L. 81-808, 64 Stat. 903; 40 U.S.C. 72, 104, 106, and
121; E.O. 1259 of October 25, 1910; E.O. 1862 of November 28, 1913; E.O.
3524 of July 28, 1921.

Sec. 2103.1 General approaches to review of plans by the Commission.

The Commission functions relate to the appearance of proposed
projects within its purview as specified herein. These functions are to
serve the purpose of conserving and enhancing the visual assets which
contribute significantly to the character and quality of Washington as
the nation's capital and which appropriately reflect the history and
features of its development over two centuries. Where existing
conditions detract from the overall appearance of official Washington or
historic Georgetown--such as conditions caused by temporary,
deteriorated, or abandoned buildings of little or no historical or
architectural value, by interrupted developments, or by vacant lots not
devoted to public use as parks or squares--the Commission will favor
suitable corrections to these conditions. When changes or additions are
proposed in other circumstances, the Commission may consider whether the
public need or value of the project or the private interests to be
served thereby justify making any change or addition, and it will
consider whether the project can be accomplished in reasonable harmony
with the nearby area, with a minimum loss of attractive features of the
existing building or site, with due deference to the historical and
architectural values affected, and without creating an anomalous
disturbing element in the public view of the city.

[62 FR 4649, Jan. 31, 1997]

PART 2104_ENFORCEMENT OF NONDISCRIMINATION ON THE BASIS OF HANDICAP
IN PROGRAMS OR ACTIVITIES CONDUCTED BY THE COMMISSION OF FINE ARTS--
Table of Contents

Sec.
2104.101 Purpose.
2104.102 Application.
2104.103 Definitions.
2104.104-2104.109 [Reserved]
2104.110 Self-evaluation.
2104.111 Notice.
2104.112-2104.129 [Reserved]
2104.130 General prohibitions against discrimination.
2104.131-2104.139 [Reserved]
2104.140 Employment.
2104.141-2104.148 [Reserved]
2104.149 Program accessibility: Discrimination prohibited.
2104.150 Program accessibility: Existing facilities.
2104.151 Program accessibility: New construction and alterations.
2104.152-2104.159 [Reserved]
2104.160 Communications.
2104.161-2104.169 [Reserved]
2104.170 Compliance procedures.

[[Page 604]]

2104.171-2104.999 [Reserved]

Authority: 29 U.S.C. 794.

Source: 51 FR 22895, 22896, June 23, 1986, unless otherwise noted.

Sec. 2104.101 Purpose.

Sec. 2104.102 Application.

This part applies to all programs or activities conducted by the
agency.

Sec. 2104.103 Definition.

For purposes of this part, the term--
Assistant Attorney General means the Assistant Attorney General,
Civil Rights Division, United States Department of Justice.
Auxiliary aids means services or devices that enable persons with
impaired sensory, manual, or speaking skills to have an equal
opportunity to participate in, and enjoy the benefits of, programs or
activities conducted by the agency. For example, auxiliary aids useful
for persons with impaired vision include readers, brailled materials,
audio recordings, telecommunications devices and other similar services
and devices. Auxiliary aids useful for persons with impaired hearing
include telephone handset amplifiers, telephones compatible with hearing
aids, telecommunication devices for deaf persons (TDD's), interpreters,
notetakers, written materials, and other similar services and devices.
Complete complaint means a written statement that contains the
complainant's name and address and describes the agency's alleged
discriminatory action in sufficient detail to inform the agency of the
nature and date of the alleged violation of section 504. It shall be
signed by the complainant or by someone authorized to do so on his or
her behalf. Complaints filed on behalf of classes or third parties shall
describe or identify (by name, if possible) the alleged victims of
discrimination.
Facility means all or any portion of buildings, structures,
equipment, roads, walks, parking lots, rolling stock or other
conveyances, or other real or personal property.
Handicapped person means any person who has a physical or mental
impairment that substantially limits one or more major life activities,
has a record of such an impairment, or is regarded as having such an
impairment.
As used in this definition, the phrase:
(1) Physical or mental impairment includes--
(i) Any physiological disorder or condition, cosmetic disfigurement,
or anatomical loss affecting one or more of the following body systems:
Neurological; musculoskeletal; special sense organs; respiratory,
including speech organs; cardiovascular; reproductive; digestive;
genitourinary; hemic and lymphatic; skin; and endocrine; or
(ii) Any mental or psychological disorder, such as mental
retardation, organic brain syndrome, emotional or mental illness, and
specific learning disabilities. The term ``physical or mental
impairment'' includes, but is not limited to, such diseases and
conditions as orthopedic, visual, speech, and hearing impairments,
cerebral palsy, epilepsy, muscular dystrophy, multiple sclerosis,
cancer, heart disease, diabetes, mental retardation, emotional illness,
and drug addiction and alocoholism.
(2) Major life activities includes functions such as caring for
one's self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(3) Has a record of such an impairment means has a history of, or
has been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(4) Is regarded as having an impairment means--
(i) Has a physical or mental impairment that does not substantially
limit major life activities but is treated by the agency as constituting
such a limitation;
(ii) Has a physical or mental impairment that substantially limits
major

[[Page 605]]

life activities only as a result of the attitudes of others toward such
impairment; or
(iii) Has none of the impairments defined in subparagraph (1) of
this definition but is treated by the agency as having such an
impairment.
Historic preservation programs means programs conducted by the
agency that have preservation of historic properties as a primary
purpose.
Historic properties means those properties that are listed or
eligible for listing in the National Register of Historic Places or
properties designated as historic under a statute of the appropriate
State or local government body.
Qualified handicapped person means--
(1) With respect to preschool, elementary, or secondary education
services provided by the agency, a handicapped person who is a member of
a class of persons otherwise entitled by statute, regulation, or agency
policy to receive education services from the agency.
(2) With respect to any other agency program or activity under which
a person is required to perform services or to achieve a level of
accomplishment, a handicapped person who meets the essential eligibility
requirements and who can acheive the purpose of the program or activity
without modifications in the program or activity that the agency can
demonstrate would result in a fundamental alteration in its nature;
(3) With respect to any other program or activity, a handicapped
person who meets the essential eligibility requirements for
participation in, or receipt of benefits from, that program or activity;
and
(4) Qualified handicapped person is defined for purposes of
employment in 29 CFR 1613.702(f), which is made applicable to this part
by Sec. 2104.140.
Section 504 means section 504 of the Rehabilitation Act of 1973
(Pub. L. 93-112, 87 Stat. 394 (29 U.S.C. 794)), as amended by the
Rehabilitation Act Amendments of 1974 (Pub. L. 93-516, 88 Stat. 1617),
and the Rehabilitation, Comprehensive Services, and Developmental
Disabilities Amendments of 1978 (Pub. L. 95-602, 92 Stat. 2955). As used
in this part, section 504 applies only to programs or activities
conducted by Executive agencies and not to federally assisted programs.
Substantial impairment means a significant loss of the integrity of
finished materials, design quality, or special character resulting from
a permanent alteration.

Sec. Sec. 2104.104-2104.109 [Reserved]

Sec. 2104.110 Self-evaluation.

(a) The agency shall, by August 24, 1987, evaluate its current
policies and practices, and the effects thereof, that do not or may not
meet the requirements of this part, and, to the extent modification of
any such policies and practices is required, the agency shall proceed to
make the necessary modifications.
(b) The agency shall provide an opportunity to interested persons,
including handicapped persons or organizations representing handicapped
persons, to participate in the self-evaluation process by submitting
comments (both oral and written).
(c) The agency shall, until three years following the completion of
the self-evaluation, maintain on file and make available for public
inspection:
(1) a description of areas examined and any problems identified, and
(2) a description of any modifications made.

Sec. 2104.111 Notice.

Sec. Sec. 2104.112-2104.129 [Reserved]

Sec. 2104.130 General prohibitions against discrimination.

(a) No qualified handicapped person shall, on the basis of handicap,
be excluded from participation in, be denied

[[Page 606]]

the benefits of, or otherwise be subjected to discrimination under any
program or activity conducted by the agency.
(b)(1) The agency, in providing any aid, benefit, or service, may
not, directly or through contractual, licensing, or other arrangements,
on the basis of handicap--
(i) Deny a qualified handicapped person the opportunity to
participate in or benefit from the aid, benefit, or service;
(ii) Afford a qualified handicapped person an opportunity to
participate in or benefit from the aid, benefit, or service that is not
equal to that afforded others;
(iii) Provide a qualified handicapped person with an aid, benefit,
or service that is not as effective in affording equal opportunity to
obtain the same result, to gain the same benefit, or to reach the same
level of achievement as that provided to others;
(iv) Provide different or separate aid, benefits, or services to
handicapped persons or to any class of handicapped persons than is
provided to others unless such action is necessary to provide qualified
handicapped persons with aid, benefits, or services that are as
effective as those provided to others;
(v) Deny a qualified handicapped person the opportunity to
participate as a member of planning or advisory boards; or
(vi) Otherwise limit a qualified handicapped person in the enjoyment
of any right, privilege, advantage, or opportunity enjoyed by others
receiving the aid, benefit, or service.
(2) The agency may not deny a qualified handicapped person the
opportunity to participate in programs or activities that are not
separate or different, despite the existence of permissibly separate or
different programs or activities.
(3) The agency may not, directly or through contractual or other
arrangments, utilize criteria or methods of administration the purpose
or effect of which would--
(i) Subject qualified handicapped persons to discrimination on the
basis of handicap; or
(ii) Defeat or substantially impair accomplishment of the objectives
of a program or activity with respect to handicapped persons.
(4) The agency may not, in determining the site or location of a
facility, make selections the purpose or effect of which would--
(i) Exclude handicapped persons from, deny them the benefits of, or
otherwise subject them to discrimination under any program or activity
conducted by the agency; or
(ii) Defeat or substantially impair the accomplishment of the
objectives of a program or activity with respect to handicapped persons.
(5) The agency, in the selection of procurement contractors, may not
use criteria that subject qualified handicapped persons to
discrimination on the basis of handicap.
(6) The agency may not administer a licensing or certification
program in a manner that subjects qualified handicapped persons to
discrimination on the basis of handicap, nor may the agency establish
requirements for the programs or activities of licensees or certified
entities that subject qualified handicapped persons to discrimination on
the basis of handicap. However, the programs or activities of entities
that are licensed or certified by the agency are not, themselves,
covered by this part.
(c) The exclusion of nonhandicapped persons from the benefits of a
program limited by Federal statute or Executive order to handicapped
persons or the exclusion of a specific class of handicapped persons from
a program limited by Federal statute or Executive order to a different
class of handicapped persons is not prohibited by this part.
(d) The agency shall administer programs and activities in the most
integrated setting appropriate to the needs of qualified handicapped
persons.

Sec. Sec. 2104.131-2104.139 [Reserved]

Sec. 2104.140 Employment.

[[Page 607]]

1973 (29 U.S.C. 791), as established by the Equal Employment Opportunity
Commission in 29 CFR part 1613, shall apply to employment in federally
conducted programs or activities.

Sec. Sec. 2104.141-2104.148 [Reserved]

Sec. 2104.149 Program accessibility: Discrimination prohibited.

Except as otherwise provided in Sec. 2104.150, no qualified
handicapped person shall, because the agency's facilities are
inaccessible to or unusable by handicapped persons, be denied the
benefits of, be excluded from participation in, or otherwise be
subjected to discrimination under any program or activity conducted by
the agency.

Sec. 2104.150 Program accessibility: Existing facilities.

(a) General. The agency shall operate each program or activity so
that the program or activity, when viewed in its entirety, is readily
accessible to and usable by handicapped persons. This paragraph does
not--
(1) Necessarily require the agency to make each of its existing
facilities accessible to and usable by handicapped persons;
(2) In the case of historic preservation programs, require the
agency to take any action that would result in a substantial impairment
of significant historic features of an historic property; or
(3) Require the agency to take any action that it can demonstrate
would result in a fundamental alteration in the nature of a program or
activity or in undue financial and administrative burdens. In those
circumstances where agency personnel believe that the proposed action
would fundamentally alter the program or activity or would result in
undue financial and administrative burdens, the agency has the burden of
proving that compliance with Sec. 2104.150(a) would result in such
alteration or burdens. The decision that compliance would result in such
alteration or burdens must be made by the agency head or his or her
designee after considering all agency resources available for use in the
funding and operation of the conducted program or activity, and must be
accompanied by a written statement of the reasons for reaching that
conclusion. If an action would result in such an alteration or such
burdens, the agency shall take any other action that would not result in
such an alteration or such burdens but would nevertheless ensure that
handicapped persons receive the benefits and services of the program or
activity.
(b) Methods--(1) General. The agency may comply with the
requirements of this section through such means as redesign of
equipment, reassignment of services to accessible buildings, assignment
of aides to beneficiaries, home visits, delivery of services at
alternate accessible sites, alteration of existing facilities and
construction of new facilities, use of accessible rolling stock, or any
other methods that result in making its programs or activities readily
accessible to and usable by handicapped persons. The agency is not
required to make structural changes in existing facilities where other
methods are effective in achieving compliance with this section. The
agency, in making alterations to existing buildings, shall meet
accessibility requirements to the extent compelled by the Architectural
Barriers Act of 1968, as amended (42 U.S.C. 4151-4157), and any
regulations implementing it. In choosing among available methods for
meeting the requirements of this section, the agency shall give priority
to those methods that offer programs and activities to qualified
handicapped persons in the most integrated setting appropriate.
(2) Historic preservation programs. In meeting the requirements of
Sec. 2104.150(a) in historic preservation programs, the agency shall
give priority to methods that provide physical access to handicapped
persons. In cases where a physical alteration to an historic property is
not required because of Sec. 2104.150(a)(2) or (a)(3), alternative
methods of achieving program accessibility include--
(i) Using audio-visual materials and devices to depict those
portions of an historic property that cannot otherwise be made
accessible;

[[Page 608]]

(ii) Assigning persons to guide handicapped persons into or through
portions of historic properties that cannot otherwise be made
accessible; or
(iii) Adopting other innovative methods.
(c) Time period for compliance. The agency shall comply with the
obligations established under this section by October 21, 1986, except
that where structural changes in facilities are undertaken, such changes
shall be made by August 22, 1989, but in any event as expeditiously as
possible.
(d) Transition plan. In the event that structural changes to
facilities will be undertaken to achieve program accessibility, the
agency shall develop, by February 23, 1987 a transition plan setting
forth the steps necessary to complete such changes. The agency shall
provide an opportunity to interested persons, including handicapped
persons or organizations representing handicapped persons, to
participate in the development of the transition plan by submitting
comments (both oral and written). A copy of the transition plan shall be
made available for public inspection. The plan shall, at a minimum--
(1) Identify physical obstacles in the agency's facilities that
limit the accessibility of its programs or activities to handicapped
persons;
(2) Describe in detail the methods that will be used to make the
facilities accessible;
(3) Specify the schedule for taking the steps necessary to achieve
compliance with this section and, if the time period of the transition
plan is longer than one year, identify steps that will be taken during
each year of the transition period; and
(4) Indicate the official responsible for implementation of the
plan.

Sec. 2104.151 Program accessibility: New construction and alterations.

Each building or part of a building that is constructed or altered
by, on behalf of, or for the use of the agency shall be designed,
constructed, or altered so as to be readily accessible to and usable by
handicapped persons. The definitions, requirements, and standards of the
Architectural Barriers Act (42 U.S.C. 4151-4157), as established in 41
CFR 101-19.600 to 101-19.607, apply to buildings covered by this
section.

Sec. Sec. 2104.152-2104.159 [Reserved]

Sec. 2104.160 Communications.

(a) The agency shall take appropriate steps to ensure effective
communication with applicants, participants, personnel of other Federal
entities, and members of the public.
(1) The agency shall furnish appropriate auxiliary aids where
necessary to afford a handicapped person an equal opportunity to
participate in, and enjoy the benefits of, a program or activity
conducted by the agency.
(i) In determining what type of auxiliary aid is necessary, the
agency shall give primary consideration to the requests of the
handicapped person.
(ii) The agency need not provide individually precribed devices,
readers for personal use or study, or other devices of a personal
nature.
(2) Where the agency communicates with applicants and beneficiaries
by telephone, telecommunication devices for deaf person (TDD's) or
equally effective telecommunication systems shall be used.
(b) The agency shall ensure that interested persons, including
persons with impaired vision or hearing, can obtain information as to
the existence and location of accessible services, activities, and
facilities.
(c) The agency shall provide signage at a primary entrance to each
of its inaccessible facilities, directing users to a location at which
they can obtain information about accessible facilities. The
international symbol for accessibility shall be used at each primary
entrance of an accessible facility.
(d) This section does not require the agency to take any action that
it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and adminstrative
burdens. In those circumstances where agency personnel believe that the
proposed action would fundamentally alter the program or activity or
would result in undue financial and administrative burdens, the agency
has the burden of proving that compliance with Sec. 2104.160 would
result in such alteration or burdens.

[[Page 609]]

The decision that compliance would result in such alteration or burdens
must be made by the agency head or his or her designee after considering
all agency resources available for use in the funding and operation of
the conducted program or activity, and must be accompanied by a written
statement of the reasons for reaching that conclusion. If an action
required to comply with this section would result in such an alteration
or such burdens, the agency shall take any other action that would not
result in such an alteration or such burdens but would nevertheless
ensure that, to the maximum extent possible, handicapped persons receive
the benefits and services of the program or activity.

Sec. Sec. 2104.161-2104.169 [Reserved]

Sec. 2104.170 Compliance procedures.

(a) Except as provided in paragraph (b) of this section, this
section applies to all allegations of discrimination on the basis of
handicap in programs or activities conducted by the agency.
(b) The agency shall process complaints alleging violations of
section 504 with respect to employment according to the procedures
established by the Equal Employment Opportunity Commission in 29 CFR
part 1613 pursuant to section 501 of the Rehabilitation Act of 1973 (29
U.S.C. 791).
(c) The Secretary, Commission of Fine Arts, shall be responsible for
coordinating implementation of this section. Complaints may be sent to
Secretary, Commission of Fine Arts, 708 Jackson Place NW., Washington,
DC 20006.
(d) The agency shall accept and investigate all complete complaints
for which it has jurisdiction. All complete complaints must be filed
within 180 days of the alleged act of discrimination. The agency may
extend this time period for good cause.
(e) If the agency receives a complaint over which it does not have
jurisdiction, it shall promptly notify the complainant and shall make
reasonable efforts to refer the complaint to the appropriate government
entity.
(f) The agency shall notify the Architectural and Transportation
Barriers Compliance Board upon receipt of any complaint alleging that a
building or facility that is subject to the Architectural Barriers Act
of 1968, as amended (42 U.S.C. 4151-4157), or section 502 of the
Rehabilitation Act of 1973, as amended (29 U.S.C. 792), is not readily
accessible to and usable by handicapped persons.
(g) Within 180 days of the receipt of a complete complaint for which
it has jurisdiction, the agency shall notify the complainant of the
results of the investigation in a letter containing--
(1) Findings of fact and conclusions of law;
(2) A description of a remedy for each violation found; and
(3) A notice of the right to appeal.
(h) Appeals of the findings of fact and conclusions of law or
remedies must be filed by the complainant within 90 days of receipt from
the agency of the letter required by Sec. 2104.170(g). The agency may
extend this time for good cause.
(i) Timely appeals shall be accepted and processed by the head of
the agency.
(j) The head of the agency shall notify the complainant of the
results of the appeal within 60 days of the receipt of the request. If
the head of the agency determines that additional information is needed
from the complainant, he or she shall have 60 days from the date of
receipt of the additional information to make his or her determination
on the appeal.
(k) The time limits cited in paragraphs (g) and (j) of this section
may be extended with the permission of the Assistant Attorney General.
(l) The agency may delegate its authority for conducting complaint
investigations to other Federal agencies, except that the authority for
making the final determination may not be delegated to another agency.

[51 FR 22895, 22896, June 23, 1986, as amended at 51 FR 22895, June 23,
1986]

[[Page 610]]

Sec. Sec. 2104.171-2104.999 [Reserved]

PART 2105_REQUIREMENTS FOR COMPLIANCE WITH THE FREEDOM
OF INFORMATION ACT--Table of Contents

Subpart A_Introduction

Sec.
2105.1 What should you know up front?
2105.2 What kinds of records are not covered by the regulations in this
part?

Subpart B_How To Make a Request

2105.3 Where should you send a FOIA request?
2105.4 How should you describe the records you seek?
2105.5 How will fee information affect the processing of your request?
2105.6 What information should you include about your fee category?
2105.7 Can you ask for records to be disclosed in a particular form or
format?
2105.8 What if your request seeks records about another person?
2105.9 May you ask for the processing of your request to be expedited?
2105.10 What contact information should your request include?

Subpart C_Processing Requests

2105.11 What should you know about how the Agency processes requests?
2105.12 How do consultations and referrals work?

Subpart D_Timing of Responses to Requests

2105.13 In what order are responses usually made?
2105.14 What is multitrack processing and how does it affect your
request?
2105.15 What is the basic time limit for responding to a request?
2105.16 When can the Agency suspend the basic time limit?
2105.17 When may the Agency extend the basic time limit?
2105.18 When will expedited processing be provided and how will it
affect your request?

Subpart E_Responses to Requests

2105.19 How will the Agency respond to requests?
2105.20 How will the Agency grant requests?
2105.21 When will the Agency deny a request or procedural benefits?
2105.22 How will the Agency deny requests?
2105.23 What if the requested records contain both exempt and nonexempt
material?

Subpart F_Handling Confidential Information

2105.24 May submitters of possibly confidential information designate
information as confidential when making submissions?
2105.25 When will the Agency notify a submitter of a request for their
possibly confidential information?
2105.26 What information will the Agency include when it notifies a
submitter of a request for their possibly confidential
information?
2105.27 When will the Agency not notify a submitter of a request for
their possibly confidential information?
2105.28 How and when may a submitter object to the disclosure of
confidential information?
2105.29 What must a submitter include in a detailed Exemption 4
objection statement?
2105.30 How will the Agency consider the submitter's objections?
2105.31 What if the Agency determines it will disclose information over
the submitter's objections?
2105.32 Will a submitter be notified of a FOIA lawsuit?
2105.33 Will you receive notification of activities involving the
submitter?
2105.34 Can an Agency release information protected by Exemption 4?

Subpart G_Fees

2105.35 What general principles govern fees?
2105.36 What are the requester fee categories?
2105.37 How does your requester category affect the fees you are
charged?
2105.38 How will fee amounts be determined?
2105.39 What search fees will you have to pay?
2105.40 What duplication fees will you have to pay?
2105.41 What review fees will you have to pay?
2105.42 What fees for other services will you have to pay?
2105.43 When will the Agency waive fees?
2105.44 When may you ask the Agency for a fee waiver?
2105.45 How will the Agency notify you if it denies your fee waiver
request?
2105.46 How will the Agency evaluate your fee waiver request?
2105.47 When will you be notified of anticipated fees?
2105.48 When will the Agency require advance payment?
2105.49 What if the Agency needs clarification about fee issues?
2105.50 How will you be billed?

[[Page 611]]

2105.51 How will the Agency collect fees owed?
2105.52 When will the Agency combine or aggregate requests?
2105.53 What if other statutes require the Agency to charge fees?

Subpart H_Administrative Appeals

2105.54 When may you file an appeal?
2105.55 How long do you have to file an appeal?
2105.56 How do you file an appeal?
2105.57 Who makes decisions on appeals?
2105.58 How are decisions on appeals issued?
2105.59 When can you expect a decision on your appeal?
2105.60 Can you receive expedited processing of appeals?
2105.61 Must you submit an appeal before seeking judicial review?

Subpart I_General Information

2105.62 Where are records made available?
2105.63 What are public liaisons?
2105.64 When will the Agency make records available without a FOIA
request?
2105.65 How will FOIA materials be preserved?
2105.66 How will an Agency handle a request for federally-funded
research data?
2105.67 What definitions apply to this part?

Appendix A to Part 2105--Fee Schedule

Authority: 5 U.S.C. 552, as amended by Public Law 110-175, 121 Stat.
2524 and Pub. L. 114-185, 130 Stat. 538.

Source: 84 FR 27722, June 14, 2019, unless otherwise noted.

Subpart A_Introduction

Sec. 2105.1 What should you know up front?

(a) This part contains the rules that the Agency follows in
processing records under the Freedom of Information Act (FOIA), 5 U.S.C.
552.
(b) Definitions of terms used in this part are found at Sec.
2105.67.
(c) This part should be read in conjunction with the text of the
FOIA and the OMB Fee Guidelines.
(d) This part does not entitle any person to any service or to the
disclosure of any record that is not required under the FOIA.
(e) You are encouraged to review the Agency's FOIA libraries before
filing a FOIA request. The material you seek may be immediately
available electronically at no cost.

Sec. 2105.2 What kinds of records are not covered by the
regulations in this part?

In the event that the Agency identifies records that may be subject
to exclusion from the requirements of the FOIA pursuant to 5 U.S.C.
552(c), the agency must confer with legal counsel and the Department of
Justice, Office of Information Policy, to obtain approval to apply the
exclusion.

Subpart B_How To Make a Request

Sec. 2105.3 Where should you send a FOIA request?

(a) To make a request for Agency records, you must contact the
Agency directly.
(b) Address requests to the FOIA Officer found in the Agency
contacts at https://www.cfa.gov/foia.

Sec. 2105.4 How should you describe the records you seek?

(a) You must reasonably describe the records sought. A reasonable
description contains sufficient detail to enable Agency personnel
familiar with the subject matter of the request to locate the records
with a reasonable amount of effort.
(b) You should include as much detail as possible about the specific
records or types of records that you are seeking. This will assist the
Agency in identifying the requested records (for example, time frames
involved or specific personnel who may have the requested records). For
example, whenever possible, identify:
(1) The date, title or name, author, recipient, and subject of any
particular records you seek;
(2) The office that created the records you seek;
(3) The timeframe for which you are seeking records; and
(4) Any other information that will assist the Agency in locating
the records.
(c) The Agency's FOIA Officer or Public Liaison can assist you in
formulating or reformulating a request in an effort to better identify
the records you seek.

[[Page 612]]

(d) If the Agency determines that your request does not reasonably
describe the records sought, the Agency will inform you what additional
information you need to provide in order to reasonably describe the
records that you seek so the requested records can be located with a
reasonable amount of effort. The Agency will also notify you that it
will not be able to comply with your request unless the additional
information it has requested is received from you in writing within 20
workdays after the Agency has requested it and that you may appeal its
determination. If you receive this type of notification, you may wish to
discuss it with the Agency's designated FOIA contact or the FOIA Public
Liaison (see Sec. 2105.63). If the Agency does not receive your written
response containing the additional information within 20 workdays after
the Agency has requested it, the Agency will presume that you are no
longer interested in the records and will close the file on the request.

Sec. 2105.5 How will fee information affect the processing of
your request?

(a) Your request should state that you will pay all fees associated
with processing the request, that you will pay fees up to a specified
amount, and/or that you are seeking a fee waiver.
(b) If the Agency anticipates that the fees for processing the
request will exceed the amount you have agreed to pay, or if you did not
agree in writing to pay processing fees or request a fee waiver and the
Agency anticipates the processing costs will exceed $50 (see Sec.
2105.35(g)) or will exceed your entitlements (see Sec. 2105.37), the
Agency will notify you:
(1) Of the estimated processing fees;
(2) Of its need for either an advance payment (see Sec. 2105.48) or
your written assurance that you will pay the anticipated fees (or fees
up to a specified amount); and
(3) That it will not be able to fully comply with your request
unless you provide a fee waiver request and/or the requested written
assurance or advance payment.
(c) If the Agency does not receive a written response from you
within 20 workdays after requesting the information in paragraph (b) of
this section, it will presume that you are no longer interested in the
records and will close the file on the request.
(d) If you are seeking a fee waiver, your request must include a
justification that addresses and meets the criteria in Sec. Sec.
2105.43 and 2105.46. Failure to provide sufficient justification will
result in a denial of the fee waiver request. If you are seeking a fee
waiver, you may also indicate the amount you are willing to pay if the
fee waiver is denied. This allows the Agency to process the request for
records while it considers your fee waiver request.
(e) If you are required to pay a fee and it is later determined on
appeal that you were entitled to a full or partial fee waiver, you will
receive an appropriate refund.

Sec. 2105.6 What information should you include about your fee category?

(a) A request should indicate your fee category (that is, whether
you are a commercial-use requester, news media, educational or
noncommercial scientific institution, or other requester as described in
Sec. Sec. 2105.36 and 2105.37).
(b) If you submit a FOIA request on behalf of another person or
organization (for example, if you are an attorney submitting a request
on behalf of a client), the Agency will determine the fee category by
considering the underlying requester's identity and intended use of the
information.
(c) If your fee category is unclear, the Agency may ask you for
additional information (see Sec. 2105.49).

Sec. 2105.7 Can you ask for records to be disclosed in a
particular form or format?

(a) Generally, you may choose the form or format of disclosure for
records requested. The Agency must provide the records in the requested
form or format if the Agency can readily reproduce the record in that
form or format.
(b) The Agency may charge you the direct costs involved in
converting records to the requested format if the Agency does not
normally maintain the records in that format (see Sec. 2105.42).

[[Page 613]]

Sec. 2105.8 What if your request seeks records about another person?

(a) When a request seeks records about another person, you may
receive greater access by submitting proof that the person either:
(1) Consents to the release of the records to you (for example, a
notarized authorization signed by that person); or
(2) Is deceased (for example, a copy of a death certificate or an
obituary).
(b) The Agency can require you to supply additional information if
necessary to verify that a particular person has consented to disclosure
or is deceased.

Sec. 2105.9 May you ask for the processing of your request to be expedited?

You may ask for the processing of your request to be expedited. If
you are seeking expedited processing, your request must include a
justification that addresses and meets the criteria in Sec. 2105.18 and
includes the certification required at Sec. 2105.18(b)(2).

Sec. 2105.10 What contact information should your request include?

A request should include your name and a way (such as a mailing or
email address) for the Agency to send responsive records to you and/or
to request additional information or clarification of your request. You
may also wish to include a daytime telephone number (or the name and
telephone number of an appropriate contact).

Subpart C_Processing Requests

Sec. 2105.11 What should you know about how the Agency processes requests?

(a) Except as described in Sec. 2105.12, the Agency is responsible
for responding to the request and for making a reasonable effort to
search for responsive records.
(b) In determining which records are responsive to a request, the
Agency will include only records in its possession and control on the
date that it begins its search.
(c) The Agency will make reasonable efforts to search for the
requested records. As part of its reasonable efforts, the Agency will
search paper and/or electronic records (for example, emails), as
appropriate. The Agency will not search for records in an electronic
form or format if these efforts would significantly interfere with the
operation of the Agency's automated information system.
(d) If the Agency receives a request for records in its possession
that it did not create or that another Federal agency is substantially
concerned with, it may undertake consultations and/or referrals as
described in Sec. 2105.12.

Sec. 2105.12 How do consultations and referrals work?

(a) Consultations and referrals generally occur outside the Agency.
(1) Paragraphs (b) through (f) of this section address consultations
and referrals that occur outside the Agency when the Agency has
responsive records.
(2) Paragraph (g) of this section addresses what happens when the
Agency has no responsive records but believes responsive records may be
in the possession of a Federal agency outside the Agency.
(b) If, while responding to a request, the Agency locates records
that originated with another Federal agency, it usually will refer the
request and any responsive records to that other agency for a release
determination and direct response.
(c) If the Agency refers records to another agency, it will document
the referral and maintain a copy of the records that it refers and
notify you of the referral in writing. When the Agency notifies you of
the referral, it will tell you whether the referral was for part or all
of your request and provide the name and contact information for the
other agency. You may treat such a response as a denial of records and
file an appeal, in accordance with the procedures in Sec. 2105.56.
(d) The standard referral procedure is not appropriate where
disclosure of the identity of the Agency to which the referral would be
made could harm an interest protected by an applicable exemption, such
as the exemptions that protect personal privacy or national security
interests. In such instances, in order to avoid harm to an interest
protected by an applicable exemption, the

[[Page 614]]

Agency that received the request will coordinate with the originating
agency and seek its views on the disclosability of the record. The
release determination for the record that is the subject of the
coordination will then be conveyed to the requester by the Agency that
originally received the request.
(e) If the Agency locates records that originated with another
Federal agency while responding to a request, the Agency will make the
release determination itself (after consulting with the originating
agency) when:
(1) The record is of primary interest to the Agency (for example, a
record may be of primary interest to the Agency if it was developed or
prepared according to the Agency's regulations or directives, or in
response to an Agency request);
(2) The Agency is in a better position than the originating agency
to assess whether the record is exempt from disclosure;
(3) The originating agency is not subject to the FOIA; or
(4) It is more efficient or practical depending on the
circumstances.
(f) On receipt of any request involving classified information, the
Agency will determine whether the information is currently and properly
classified in accordance with applicable classification rules. Whenever
a request involves a record containing information that has been
classified or may be appropriate for classification by another agency
under any applicable Executive order concerning the classification of
records, the receiving agency will refer the responsibility for
responding to the request regarding that information to the agency that
classified the information, or that should consider the information for
classification. Whenever the Agency's record contains information that
has been derivatively classified (for example, when it contains
information classified by another agency), the Agency will refer the
responsibility for responding to that portion of the request to the
agency that classified the underlying information.
(g) If the Agency receives a request for records not in its
possession, but that the Agency believes may be in the possession of a
Federal agency outside the Agency, the Agency will return the request to
you, may advise you to submit it directly to the other agency, will
notify you that the Agency cannot comply with the request, and will
close the request. If you believe this response was in error, you may
file an appeal in accordance with the procedures in Sec. 2105.56.

Subpart D_Timing of Responses to Requests

Sec. 2105.13 In what order are responses usually made?

The Agency ordinarily will respond to requests according to their
order of receipt within their processing track.

Sec. 2105.14 What is multitrack processing and how does it affect your request?

(a) Processing tracks are used to distinguish simple requests from
more complex ones on the basis of the estimated number of workdays
needed to process the request.
(b) In determining the number of workdays needed to process the
request, the Agency considers factors such as the number of pages
involved in processing the request or the need for consultations.
(c) The basic processing tracks are designated as follows:
(1) Simple: Requests in this track will take between one to five
workdays to process;
(2) Normal: Requests in this track will take between six to twenty
workdays to process;
(3) Complex: Requests in this track will take between twenty-one
workdays and sixty workdays to process; or
(4) Voluminous: Requests in this track involve very complex
processing challenges, which may include a large number of potentially
responsive records, and will take over sixty workdays to process.
(d) The Agency also has a specific processing track for requests
that are granted expedited processing under the standards in Sec.
2105.18. These requests will be processed as soon as practicable.
(e) The Agency must advise you of the track into which your request
falls and, when appropriate, will offer you an opportunity to narrow
your request

[[Page 615]]

so that it can be placed in a different processing track. If you request
placement in a particular processing track but the Agency places you in
a different processing track, the Agency will provide you with an
explanation of why you were not placed in the processing track you
requested.
(f) The use of multitrack processing does not alter the statutory
deadline for an Agency to determine whether to comply with your FOIA
request (see Sec. 2105.15).
(g) You may inquire about the status of your request, including its
estimated processing completion date, by contacting the FOIA Public
Liaison, whose contact information may be found at https://www.cfa.gov/
foia.

Sec. 2105.15 What is the basic time limit for responding to a request?

(a) Ordinarily, the Agency has 20 workdays (including the date of
receipt) to determine whether to comply with a request, but unusual
circumstances may allow the Agency to take longer than 20 workdays (see
Sec. 2105.17).
(b) A consultation or referral under Sec. 2105.12 does not restart
the statutory time limit for responding to a request.

Sec. 2105.16 When can the Agency suspend the basic time limit?

(a) The basic time limit in Sec. 2105.15 may be temporarily
suspended for the time it takes you to respond to one written
communication from the Agency reasonably asking for clarifying
information.
(b) The basic time limit in Sec. 2105.15 may also repeatedly be
temporarily suspended for the time it takes you to respond to written
communications from the Agency that are necessary to clarify issues
regarding fee assessment (see Sec. 2105.49).

Sec. 2105.17 When may the Agency extend the basic time limit?

(a) The Agency may extend the basic time limit, if unusual
circumstances exist, by notifying you in writing of:
(1) The unusual circumstances involved; and
(2) The date by which it expects to complete processing the request.
(b) If the processing time will extend beyond a total of 30
workdays, the Agency will:
(1) Give you an opportunity to limit the scope of the request or
agree to an alternative time period for processing; and
(2) Make available its FOIA Public Liaison (see Sec. 2105.63) to
assist in resolving any disputes between you and the Agency, and notify
you of your right to seek dispute resolution from the Office of
Government Information Services (OGIS).
(c) If the Agency extends the time limit under this section and you
do not receive a response in accordance with Sec. 2105.15(a) in that
time period, you may consider the request denied and file an appeal in
accordance with the procedures in Sec. 2105.56.
(d) Your refusal to reasonably modify the scope of a request or
arrange an alternative time frame for processing a request after being
given the opportunity to do so may be considered for litigation purposes
as a factor when determining whether exceptional circumstances exist.

Sec. 2105.18 When will expedited processing be provided and how
will it affect your request?

(a) The Agency will provide expedited processing upon request if you
demonstrate to the satisfaction of the Agency that there is a compelling
need for the records. The following circumstances demonstrate a
compelling need:
(1) Where failure to expedite the request could reasonably be
expected to pose an imminent threat to the life or physical safety of an
individual; or
(2) Where there is an urgency to inform the public about an actual
or alleged Federal Government activity and the request is made by a
person primarily engaged in disseminating information.
(i) In most situations, a person primarily engaged in disseminating
information will be a representative of the news media.

[[Page 616]]

(ii) If you are not a full time member of the news media, to qualify
for expedited processing here, you must establish that your main
professional activity or occupation is information dissemination,
although it need not be your sole occupation.
(iii) The requested information must be the type of information
which has particular value that will be lost if not disseminated
quickly; this ordinarily refers to a breaking news story of general
public interest.
(iv) Information of historical interest only or information sought
for litigation or commercial activities would not qualify, nor would a
news media deadline unrelated to breaking news.
(b) If you seek expedited processing, you must submit a statement
that:
(1) Explains in detail how your request meets one or both of the
criteria in paragraph (a) of this section; and
(2) Certifies that your explanation is true and correct to the best
of your knowledge and belief.
(c) You may ask for expedited processing of your request by writing
to the appropriate FOIA contact in the Agency that maintains the records
requested any time before the Agency issues its final response to your
request. When making a request for expedited processing of an
administrative appeal, submit the request to the appropriate deciding
official for FOIA appeals.
(d) The Agency must notify you of its decision to grant or deny
expedited processing within 10 calendar days of receiving an expedited
processing request.
(e) If expedited processing is granted, the request will be given
priority, placed in the processing track for expedited requests, and be
processed as soon as practicable.
(f) If expedited processing is denied, the Agency will:
(1) Inform you of the basis for the denial, including an explanation
of why the expedited processing request does not meet the Agency's
expedited processing criteria under this section; and
(2) Notify you of the right to appeal the decision on expedited
processing in accordance with the procedures in subpart H of this part.
(g) If you appeal the Agency's expedited processing decision, that
portion of your appeal (if it is properly formatted under Sec. 2105.56)
will be processed before appeals that do not challenge expedited
processing decisions.
(h) If the Agency has not responded to the request for expedited
processing within 10 calendar days, you may file an appeal (for
nonresponse in accordance with Sec. 2105.54(a)(8)).

Subpart E_Responses to Requests

Sec. 2105.19 How will the Agency respond to requests?

(a) When the Agency informs you of its decision to comply with a
request by granting, partially granting, or denying the request, it will
do so in writing and in accordance with the deadlines in subpart D of
this part. The Agency's written response will include a statement about
the services offered by its FOIA Public Liaison. The Agency's written
response will also include a statement about the services offered by the
Office of Government Information Services (OGIS).
(b) If the Agency determines that your request will take longer than
10 workdays to process, the Agency immediately will send you a written
acknowledgment that includes the request's individualized tracking
number and processing track (see Sec. 2105.14(e)). The acknowledgement
may also include a brief description of the subject of your request.

Sec. 2105.20 How will the Agency grant requests?

(a) Once the Agency makes a determination to grant a request in full
or in part, it must notify you in writing.
(b) The notification will inform you of the availability of its FOIA
Public Liaison to offer assistance, and of any fees charged under
subpart G of this part.
(c) The Agency will release records (or portions of records) to you
promptly upon payment of any applicable fees (or before then, at its
discretion).
(d) If the records (or portions of records) are not included with
the Agency's notification, the Agency will advise you how, when, and
where the

[[Page 617]]

records will be released or made available.

Sec. 2105.21 When will the Agency deny a request or procedural benefits?

(a) The Agency denies a request when it makes a decision that:
(1) A requested record is exempt, in full or in part;
(2) The request does not reasonably describe the records sought;
(3) A requested record does not exist, cannot be located, or is not
in the Agency's possession and/or control; or
(4) A requested record is not readily reproducible in the form or
format you seek.
(b) The Agency denies a procedural benefit only, and not access to
the underlying records, when it makes a decision that:
(1) A fee waiver, or another fee-related issue, will not be granted;
or
(2) Expedited processing will not be provided.
(c) The Agency must consult with legal counsel before it denies a
fee waiver request or withholds all or part of a requested record.

Sec. 2105.22 How will the Agency deny requests?

(a) The Agency must notify you in writing of any denial of your
request.
(b) The denial notification must include:
(1) The name and title or position of the person responsible for the
denial, along with an office phone number or email address;
(2) A statement of the reasons for the denial;
(3) A reference to any FOIA exemption applied by the Agency to
withhold records in full or in part, along with a statement that the
Agency reasonably foresees that disclosure would harm an interest
protected by the applied exemption(s) or disclosure is prohibited by
law;
(4) An estimate of the volume of any records withheld in full or in
part (for example, by providing the number of pages or some other
reasonable form of estimation), unless including an estimate would harm
an interest protected by an exemption used to withhold the records and
the Agency explains this harm to you;
(5) The name and title of legal counsel consulted (if the Agency is
denying a fee waiver request or withholding all or part of a requested
record);
(6) Advisement of the right to seek dispute resolution services from
the Agency's FOIA Public Liaison and the Office of Government
Information Services (OIGS); and
(7) A statement that the denial may be appealed under subpart H of
this part and a description of the procedures in subpart H of this part.

Sec. 2105.23 What if the requested records contain both
exempt and nonexempt material?

If responsive records contain both exempt and nonexempt material,
the Agency will consult with legal counsel, as discussed in Sec.
2105.21(c). After consultation, the Agency will partially grant and
partially deny the request by:
(a) Segregating and releasing the nonexempt information, unless the
nonexempt material is so intertwined with the exempt material that
disclosure of it would leave only meaningless words and phrases;
(b) Indicating on the released portion of the record the amount of
information deleted and the FOIA exemption under which the deletion was
made, unless doing so would harm an interest protected by the FOIA
exemption used to withhold the information; and
(c) If technically feasible, indicating the amount of information
deleted and the FOIA exemption under which the deletion was made at the
place in the record where the deletion was made.

Subpart F_Handling Confidential Information

Sec. 2105.24 May submitters of possibly confidential information
designate information as confidential when making submissions?

(a) The Agency encourages, but does not require, submitters to
designate confidential information in good faith (in other words, to
identify specific information as information the submitter considers
protected from disclosure under Exemption 4 of the FOIA, found at 5
U.S.C. 552(b)(4)), at the time

[[Page 618]]

of submission or reasonably soon thereafter.
(b) The designations discussed in paragraph (a) of this section
assist the Agency in identifying what information obtained from the
submitter is possibly confidential and triggers the requirement for
Agency-provided notifications under Sec. 2105.25(a)(1).

Sec. 2105.25 When will the Agency notify a submitter of a
request for their possibly confidential information?

(a) Except as outlined in Sec. 2105.27, an Agency must promptly
notify a submitter in writing when it receives a FOIA request if:
(1) The requested information has been designated by the submitter
as confidential information under Sec. 2105.24(a); or
(2) The requested information has not been designated as
confidential information by the submitter under Sec. 2105.24(a), but
the Agency identifies it as possibly confidential information.
(b) If a voluminous number of submitters are involved, the Agency
may publish a notice in a manner reasonably calculated to reach the
attention of the submitters (for example, in newspapers or newsletters,
the Agency's website, or the Federal Register) instead of providing a
written notice to each submitter.

Sec. 2105.26 What information will the Agency include when it
notifies a submitter of a request for their possibly confidential
information?

A notice to a submitter must include:
(a) Either a copy of the request, the exact language of the request,
or (for notices published under Sec. 2 105.25(b)) a general description
of the request;
(b) Either a description of the possibly confidential information
located in response to the request or a copy of the responsive records,
or portions of records, containing the information;
(c) A description of the procedures for objecting to the release of
the possibly confidential information under Sec. Sec. 2105.28 and
2105.29;
(d) A time limit for responding to the Agency--no less than 10
workdays from receipt or publication of the notice (as set forth in
Sec. 2105.25(b))--to object to the release and to explain the basis for
the objection;
(e) Notice that information contained in the submitter's objections
may itself be subject to disclosure under the FOIA;
(f) Notice that the Agency, not the submitter, is responsible for
deciding whether the information will be released or withheld;
(g) A request for the submitter's views on whether they still
consider the information to be confidential if the submitter designated
the material as confidential commercial or financial information 10 or
more years before the request; and
(h) Notice that failing to respond within the time frame specified
under paragraph (d) of this section will create a presumption that the
submitter has no objection to the disclosure of the information in
question.

Sec. 2105.27 When will the Agency not notify a submitter of a
request for their possibly confidential information?

The notice requirements of Sec. 2105.26 will not apply if:
(a) The information has been lawfully published or officially made
available to the public; or
(b) Disclosure of the information is required by a statute other
than the FOIA or by a regulation (other than this part) issued in
accordance with the requirements of Executive Order 12600.

Sec. 2105.28 How and when may a submitter object to the
disclosure of confidential information?

(a) If a submitter has any objections to the disclosure of
confidential information, the submitter should provide a detailed
written statement to the Agency that specifies all grounds for
withholding the particular information under any FOIA exemption (see
Sec. 2105.29 for further discussion of Exemption 4 objection
statements).
(b) A submitter who does not respond within the time period
specified under Sec. 2105.26(d) will be considered to have no objection
to disclosure of the information. Responses received by the Agency after
this time period will not be considered by the Agency unless the
appropriate Agency FOIA contact determines, in his or her sole
discretion, that good cause exists to accept the late response.

[[Page 619]]

Sec. 2105.29 What must a submitter include in a detailed
Exemption 4 objection statement?

If a submitter has any objections to disclosure, it should provide
the Agency a detailed written statement that specifies all grounds for
withholding the particular information under any exemption of the FOIA.
In order to rely on Exemption 4 as basis for nondisclosure, the
submitter must explain why the information constitutes a trade secret or
commercial or financial information that is confidential.

Sec. 2105.30 How will the Agency consider the submitter's objections?

(a) The Agency must carefully consider a submitter's objections and
specific grounds for nondisclosure in deciding whether to disclose the
requested information.
(b) The Agency, not the submitter, is responsible for deciding
whether the information will be released or withheld.

Sec. 2105.31 What if the Agency determines it will disclose
information over the submitter's objections?

If the Agency decides to disclose information over the objection of
a submitter, the Agency must notify the submitter by certified mail or
other traceable mail, return receipt requested. The notification must be
sent to the submitter's last known address and must include:
(a) The specific reasons why the Agency determined that the
submitter's disclosure objections do not support withholding the
information;
(b) Copies of the records or information the Agency intends to
release; and
(c) Notice that the Agency intends to release the records or
information no less than 10 workdays after receipt of the notice by the
submitter.

Sec. 2105.32 Will a submitter be notified of a FOIA lawsuit?

If you file a lawsuit seeking to compel the disclosure of
confidential information, the Agency must promptly notify the submitter.

Sec. 2105.33 Will you receive notification of activities
involving the submitter?

If any of the following occur, the Agency will notify you:
(a) The Agency provides the submitter with notice and an opportunity
to object to disclosure;
(b) The Agency notifies the submitter of its intent to disclose the
requested information; or
(c) A submitter files a lawsuit to prevent the disclosure of the
information.

Sec. 2105.34 Can an Agency release information protected by Exemption 4?

If an Agency determines that the requested information is protected
from release by Exemption 4 of the FOIA, the Agency has no discretion to
release the information. Release of information protected from release
by Exemption 4 is prohibited by the Trade Secrets Act, a criminal
provision found at 18 U.S.C. 1905.

Subpart G_Fees

Sec. 2105.35 What general principles govern fees?

(a) The Agency will charge for processing requests under the FOIA in
accordance with this subpart and with the OMB Fee Guidelines.
(b) The Agency may contact you for additional information to resolve
fee issues.
(c) The Agency ordinarily will collect all applicable fees before
sending copies of records to you.
(d) You may usually pay fees by check, certified check, or money
order made payable to the ``Department of Treasury.''
(e) The Agency should ensure that it conducts searches, review, and
duplication in the most efficient and the least expensive manner so as
to minimize costs for both you and the Agency.
(f) If the Agency does not comply with any of the FOIA's statutory
time limits:
(1) Except as provided in paragraph (f)(2) of this section, the
Agency cannot assess any search fees (or, if you are in the fee category
of a representative of the news media or an educational and
noncommercial scientific institution, duplication fees).

[[Page 620]]

(2)(i) If the Agency has determined that unusual circumstances apply
(as the term is defined in Sec. 2105.67) and the Agency provided you a
timely written notice to extend the basic time limit in accordance with
Sec. 2105.17, the noncompliance is excused for an additional 10
workdays.
(ii) If the Agency has determined that unusual circumstances apply
and more than 5,000 pages are necessary to respond to the request, the
noncompliance is excused if the Agency has provided you a timely written
notice in accordance with Sec. 2105.17 and has discussed with you via
written mail, email, or telephone (or made not less than 3 good-faith
attempts to do so) how you could effectively limit the scope of the
request.
(iii) If a court has determined that exceptional circumstances exist
(as that term is defined in Sec. 2105.67), the noncompliance is excused
for the length of time provided by the court order.
(g) If the fee for processing your request is less than $50, you
will not be charged unless multiple requests are aggregated under Sec.
2105.52 to an amount that is $50 or more.
(h) If you fail to pay any FOIA-related fee within 30 calendar days
of the date of billing, the processing of any new or ongoing requests
and/or appeals from you shall ordinarily be suspended.
(i) If you would like to reformulate your request so it will meet
your needs at a lower cost, you may wish to seek assistance from the
Agency's designated FOIA contact or its FOIA Public Liaison (see Sec.
2105.63).

Sec. 2105.36 What are the requester fee categories?

(a) There are three categories of requesters for the purposes of
determining fees:
(1) Commercial-use;
(2) Educational and noncommercial scientific institutions and
representatives of news media; and
(3) All others.
(b) If you do not submit sufficient information in your FOIA request
for the Agency to determine your proper fee category, the Agency may ask
you to provide additional information (see Sec. 2105.49). If you
request placement in a particular fee category but the Agency places you
in a different fee category, the Agency will provide you with an
explanation of why you were not placed in the fee category you requested
(for example, if you were placed in the commercial use requester
category rather than the category you requested, the Agency will
describe how the records would further your commercial, trade, or profit
interests).
(c) See Sec. 2105.67 for the definitions of each of these fee
categories.

Sec. 2105.37 How does your requester category affect the fees you are charged?

You will be charged as shown in the following table:

Table 1 to Sec. 2105.37
----------------------------------------------------------------------------------------------------------------
Requester category Search fees Review fees Duplication fees
----------------------------------------------------------------------------------------------------------------
Commercial use requester............. Yes.................... Yes.................... Yes.
Educational and noncommercial No..................... No..................... Yes (first 100 pages,
scientific institutions and or equivalent volume,
representative of news media free).
requester.
All other requesters................. Yes (first two hours No..................... Yes (first 100 pages,
free). or equivalent volume,
free).
----------------------------------------------------------------------------------------------------------------

Sec. 2105.38 How will fee amounts be determined?

(a) The Agency will charge the types of fees discussed in this
subpart unless a waiver of fees is required under Sec. 2105.37 or has
been granted under Sec. 2105.43.
(b) Because the types of fees discussed in this subpart already
account for the overhead costs associated with a given fee type, the
Agency should not add any additional costs to those charges.

[[Page 621]]

Sec. 2105.39 What search fees will you have to pay?

(a) The Agency will charge search fees for all requests, subject to
the restrictions of Sec. Sec. 2105.35(f), 2105.37, and 2105.38(a). The
Agency may charge you for time spent searching even if it does not
locate any responsive records or if it determines that the records are
entirely exempt from disclosure.
(b) For each quarter hour spent by personnel searching for requested
records, including electronic searches that do not require new
programming, the fees will be the average hourly General Schedule (GS)
base salary, plus the District of Columbia locality payment, plus 16
percent for benefits, of employees in the following three categories, as
applicable:
(1) Clerical--Based on GS-6, Step 5, pay (all employees at GS-7 and
below are classified as clerical for this purpose);
(2) Professional--Based on GS-11, Step 7, pay (all employees at GS-8
through GS-12 are classified as professional for this purpose); and
(3) Managerial--Based on GS-14, Step 2, pay (all employees at GS-13
and above are classified as managerial for this purpose).
(c) You can review the current fee schedule for the categories
discussed in paragraph (b) of this section at https://www.cfa.gov/foia.
(d) Some requests may require retrieval of records stored at a
Federal records center operated by the National Archives and Records
Administration. For these requests, the Agency will charge additional
costs in accordance with the Transactional Billing Rate Schedule
established by the National Archives and Records Administration.

Sec. 2105.40 What duplication fees will you have to pay?

(a) The Agency will charge duplication fees, subject to the
restrictions of Sec. Sec. 2105.35(f), 2105.37, and 2105.38(a).
(b) If photocopies or scans are supplied, the Agency will provide
one copy per request at the cost determined by the table in appendix A
to this part.
(c) For other forms of duplication, the Agency will charge the
actual costs of producing the copy, including the time spent by
personnel duplicating the requested records. For each quarter hour spent
by personnel duplicating the requested records, the fees will be the
same as those charged for a search under Sec. 2105.39(b).
(d) If the Agency must scan paper records to accommodate your
preference to receive records in an electronic format or print
electronic records to accommodate your preference to receive records in
a paper format, you will pay both the per page amount noted in appendix
A to this part and the time spent by personnel scanning or printing the
requested records. For each quarter hour spent by personnel scanning or
printing the requested records, the fees will be the same as those
charged for a search under Sec. 2105.39(b).

Sec. 2105.41 What review fees will you have to pay?

(a) The Agency will charge review fees if you make a commercial-use
request, subject to the restrictions of Sec. Sec. 2105.35(f), 2105.37,
and 2105.38(a).
(b) The Agency will assess review fees in connection with the
initial review of the record (the review conducted by the Agency to
determine whether an exemption applies to a particular record or portion
of a record).
(c) The Agency will not charge for reviews at the administrative
appeal stage of exemptions applied at the initial review stage. However,
if the appellate authority determines that an exemption no longer
applies, any costs associated with the Agency's re-review of the records
to consider the use of other exemptions may be assessed as review fees.
(d) The Agency will charge review fees at the same rates as those
charged for a search under Sec. 2105.39(b).
(e) The Agency can charge review fees even if the record(s) reviewed
ultimately is not disclosed.

Sec. 2105.42 What fees for other services will you have to pay?

(a) Although not required to provide special services, if the Agency
chooses to do so as a matter of administrative discretion, it will
charge you the direct costs of providing the service.

[[Page 622]]

(b) Examples of these services include providing multiple copies of
the same record, converting records that are not already maintained in a
requested format to the requested format, obtaining research data under
Sec. 2105.66, sending records by means other than first class mail, and
conducting a search that requires the creation of a new computer search
program to locate the requested records.
(c) The Agency will notify you of these fees before they accrue and
will obtain your written assurance of payment or an advance payment
before proceeding (see Sec. Sec. 2105.47 and 2105.48).

Sec. 2105.43 When will the Agency waive fees?

(a) The Agency will release records responsive to a request without
charge (in other words, it will give you a full fee waiver) or at a
reduced charge (in other words, it will give you a partial fee waiver,
as discussed further in paragraph (b) of this section) if the Agency
determines, based on all available information, that you have
demonstrated (by addressing and meeting each of the criteria listed in
Sec. 2105.46) that disclosing the information is:
(1) In the public interest because it is likely to contribute
significantly to public understanding of Government operations or
activities, and
(2) Not primarily in your commercial interest.
(b) A partial fee waiver may be appropriate if some but not all of
the requested records are likely to contribute significantly to public
understanding of the operations and activities of the Government.
(c) When deciding whether to waive or reduce fees, the Agency will
rely on the fee waiver justification submitted in your request letter.
If the letter does not include sufficient justification, the Agency will
deny the fee waiver request. The Agency may, at its discretion, request
additional information from you (see Sec. 2105.49).
(d) The burden is on you to justify entitlement to a fee waiver.
Requests for fee waivers are decided on a case-by-case basis under the
criteria discussed in paragraph (a) of this section and Sec. 2105.46.
If you have received a fee waiver in the past, that does not mean you
are automatically entitled to a fee waiver for every request submitted.
(e) The Agency must not make value judgments about whether the
information at issue is ``important'' enough to be made public; it is
not the Agency's role to attempt to determine the level of public
interest in requested information.

Sec. 2105.44 When may you ask the Agency for a fee waiver?

(a) You should request a fee waiver when your request is first
submitted to the Agency (see Sec. 2105.5).
(b) You may submit a fee waiver request at a later time if the
Agency has not yet completed processing your request.

Sec. 2105.45 How will the Agency notify you if it denies your
fee waiver request?

If the Agency denies your request for a fee waiver, it will notify
you, in writing, of the following:
(a) The basis for the denial, including a full explanation of why
the fee waiver request does not meet the Agency's fee waiver criteria in
Sec. 2105.46;
(b) The name and title or position of each person responsible for
the denial;
(c) The name and title of legal counsel consulted;
(d) Advisement of the right to seek dispute resolution services from
the Agency's FOIA Public Liaison and the Office of Government
Information Services (OIGS);
(e) Your right to appeal the denial under subpart H of this part and
a description of the requirements set forth therein, within 30 workdays
from the date of the fee waiver denial letter; and
(f) Your anticipated fees, in accordance with Sec. 2105.47.

Sec. 2105.46 How will the Agency evaluate your fee waiver request?

(a) In deciding whether your fee waiver request meets the
requirements of Sec. 2105.43(a)(1), the Agency will consider the
criteria listed in paragraphs (a)(1) through (4) of this section.
(1) How the records concern the operations or activities of the
Federal Government.
(2) How disclosure is likely to contribute to public understanding
of

[[Page 623]]

those operations or activities, including:
(i) How the contents of the records are meaningfully informative;
(ii) The logical connection between the content of the records and
the operations or activities;
(iii) How disclosure will contribute to the understanding of a
reasonably broad audience of persons interested in the subject, as
opposed to your individual understanding;
(iv) Your identity, vocation, qualifications, and expertise
regarding the requested information and information that explains how
you plan to disclose the information in a manner that will be
informative to the understanding of a reasonably broad audience of
persons interested in the subject, as opposed to your individual
understanding; and
(v) Your ability and intent to disseminate the information to a
reasonably broad audience of persons interested in the subject (for
example, how and to whom do you intend to disseminate the information).
If we have categorized you as a representative of the news media under
Sec. 2105.36, we will presume you have this ability and intent.
(3) How disclosure is likely to significantly contribute to the
understanding of a reasonably broad audience of persons interested in
the subject, as opposed to your individual understanding, including:
(i) Whether the information being requested is new;
(ii) Whether the information would confirm or clarify data that has
been released previously;
(iii) How disclosure will increase the level of public understanding
of the operations or activities of the Agency that existed prior to
disclosure; and
(iv) Whether the information is already publicly available. If the
Government previously has published the information you are seeking or
it is routinely available to the public in a library, reading room,
through the internet, or as part of the administrative record for a
particular issue, it is less likely that there will be a significant
contribution from release.
(4) How the public's understanding of the subject in question will
be enhanced to a significant extent by the disclosure.
(b) In deciding whether the fee waiver meets the requirements in
Sec. 2105.43(a)(2), the Agency will consider any commercial interest of
yours that would be furthered by the requested disclosure.
(1) You are encouraged to provide explanatory information regarding
this consideration.
(2) The Agency will not find that disclosing the requested
information will be primarily in your commercial interest where the
public interest is greater than any identified commercial interest in
disclosure.
(3) If you do have a commercial interest that would be furthered by
disclosure, explain how the public interest in disclosure would be
greater than any commercial interest you or your organization may have
in the documents.
(i) Your identity, vocation, and intended use of the requested
records are all factors to be considered in determining whether
disclosure would be primarily in your commercial interest.
(ii) If you are a representative of a news media organization
seeking information as part of the news gathering process, we will
presume that the public interest outweighs your commercial interest.
(iii) If you represent a business/corporation/association or you are
an attorney representing such an organization, we will presume that your
commercial interest outweighs the public interest unless you demonstrate
otherwise.

Sec. 2105.47 When will you be notified of anticipated fees?

(a) The Agency will notify you under this section unless:
(1) The anticipated fee is less than $50 (see Sec. 2105.35(g));
(2) You have been granted a full fee waiver; or
(3) You have previously agreed to pay all the fees associated with
the request.
(b) If none of the exceptions in paragraph (a) of this section
apply, the Agency will:
(1) Promptly notify you of the estimated costs for search, review,
and/or duplication;
(2) Ask you to provide written assurance within 20 workdays that you
will

[[Page 624]]

pay all fees or fees up to a designated amount;
(3) Notify you that it will not be able to comply with your FOIA
request unless you provide the written assurance requested; and
(4) Give you an opportunity to reduce the fee by modifying the
request.
(c) If the Agency does not receive your written response containing
the additional information that resolves any fee issues, in accordance
with paragraphs (b)(2) and/or (4) of this section, within 20 workdays
after the Agency has requested it, the Agency will presume that you are
no longer interested in the records and will close the file on the
request.
(d) After the Agency begins processing a request, if it finds that
the actual cost will exceed the amount you previously agreed to pay, the
Agency will:
(1) Stop processing the request;
(2) Promptly notify you of the higher amount and ask you to provide
written assurance of payment; and
(3) Notify you that it will not be able to fully comply with your
FOIA request unless you provide the written assurance requested; and
(4) Give you an opportunity to reduce the fee by modifying the
request.
(e) If you wish to modify your request in an effort to reduce fees,
the Agency's FOIA Officer or Public Liaison can assist you.

Sec. 2105.48 When will the Agency require advance payment?

(a) The Agency may require advance payment before starting further
work when it finds the estimated fee is over $250.
(1) When the Agency determines or estimates that a total fee to be
charged under this section will exceed $250.00, it may require that you
make an advance payment up to the amount of the entire anticipated fee
before beginning to process the request. The Agency may elect to process
the request prior to collecting fees when it receives a satisfactory
assurance of full payment from a requester with a history of prompt
payment.
(2) If you have previously failed to pay a properly charged FOIA fee
within 30 calendar days of the billing date, the Agency may require that
you pay the full amount due, plus any applicable interest on that prior
request. The Agency may require that you make an advance payment of the
full amount of any anticipated fee before it begins to process a new
request or continues to process a pending request or any pending appeal.
(b) If the Agency believes that you did not pay a previous FOIA fee
within 30 calendar days of the date of billing, the Agency will require
you to either:
(1) Demonstrate you paid prior fee within 30 calendar days of the
date of billing; or
(2) Pay any unpaid amount of the previous fee, plus any applicable
interest penalties (see Sec. 2105.51), and pay in advance the estimated
fee for the new request.
(c) When the Agency notifies you that an advance payment is due
under paragraph (a) of this section, it will give you an opportunity to
reduce the fee by modifying the request.
(d) Your payment of the funds you owe the Agency for work it has
already completed before records are sent to you is not an advance
payment under paragraph (a) of this section.
(e) If the Agency requires advance payment, it will start further
work only after receiving the advance payment. It will also notify you
that it will not be able to comply with your FOIA request unless you
provide the advance payment. Unless you pay the advance payment within
20 workdays after the date of the Agency's fee letter, the Agency will
presume that you are no longer interested and will close the file on the
request.

Sec. 2105.49 What if the Agency needs clarification about fee issues?

If your FOIA request does not contain sufficient information for the
Agency to determine your proper fee category or leaves another fee issue
unclear, the Agency may ask you to provide additional clarification. If
it does so, the Agency will notify you that it will not be able to
comply with your FOIA request unless you provide the clarification
requested.

[[Page 625]]

Sec. 2105.50 How will you be billed?

If you are required to pay a fee associated with a FOIA request, the
Agency will send a bill for collection.

Sec. 2105.51 How will the Agency collect fees owed?

(a) The Agency may charge interest on any unpaid bill starting on
the 31st day following the billing date.
(b) The Agency will assess interest charges at the rate provided in
31 U.S.C. 3717 and interest will accrue from the billing date until the
Agency receives payment.
(c) The Agency will follow the provisions of the Debt Collection Act
of 1982 (Pub. L. 97-365, 96 Stat. 1749), as amended, and its
administrative procedures, including the use of consumer reporting
agencies, collection agencies, and offset to collect overdue amounts and
interest.
(d) This section does not apply if you are a state, local, or tribal
government.

Sec. 2105.52 When will the Agency combine or aggregate requests?

(a) The Agency may aggregate requests and charge accordingly when it
reasonably believes that you, or a group of requesters acting in concert
with you, are attempting to avoid fees by dividing a single request into
a series of requests on a single subject or related subjects.
(1) The Agency may presume that multiple requests of this type made
within a 30-day period have been made to avoid fees.
(2) The Agency may aggregate requests separated by a longer period
only where there is a reasonable basis for determining that aggregation
is warranted in view of all the circumstances involved.
(b) The Agency will not aggregate multiple requests involving
unrelated matters.

Sec. 2105.53 What if other statutes require the Agency to charge fees?

(a) The fee schedule in appendix A to this part does not apply to
fees charged under any statute that specifically requires the Agency to
set and collect fees for particular types of records.
(b) If records otherwise responsive to a request are subject to a
statutorily-based fee schedule, the Agency will inform you whom to
contact to obtain the records.

Subpart H_Administrative Appeals

Sec. 2105.54 When may you file an appeal?

(a) You may file an appeal when:
(1) The Agency withholds records, or parts of records;
(2) The Agency informs you that your request has not adequately
described the records sought;
(3) The Agency informs you that it does not possess or cannot locate
responsive records and you have reason to believe this is incorrect or
that the search was inadequate;
(4) The Agency did not address all aspects of the request for
records;
(5) You believe there is a procedural deficiency (for example, fees
are improperly calculated or you have been placed in the wrong fee
category);
(6) The Agency denied your request for a fee waiver;
(7) The Agency did not make a decision within the time limits in
Sec. 2105.15 or, if applicable, Sec. 2105.16; or
(8) The Agency denied, or was late in responding to, a request for
expedited processing filed under the procedures in Sec. 2105.18.
(b) An appeal under paragraph (a)(8) of this section relates only to
the request for expedited processing and does not constitute an appeal
of the underlying request for records. Special procedures apply to
requests for expedited processing of an appeal (see Sec. 2105.60).
(c) Before filing an appeal, you may wish to communicate with the
contact person listed in the FOIA response, the Agency's FOIA Officer,
and/or the FOIA Public Liaison to see if the issue can be resolved
informally. However, appeals must be received by the FOIA Appeals
Officer within the time limits in Sec. 2105.55 or they will not be
processed.

Sec. 2105.55 How long do you have to file an appeal?

(a) Appeals covered by Sec. 2105.54(a)(1) through (5) must be
received by the FOIA Appeals Officer no later than 90

[[Page 626]]

days from the date of the final response.
(b) Appeals covered by Sec. 2105.54(a)(6) must be received by the
FOIA Appeals Officer no later than 90 days from the date of the letter
denying the fee waiver.
(c) Appeals covered by Sec. 2105.54(a)(7) may be filed any time
after the time limit for responding to the request has passed.
(d) Appeals covered by Sec. 2105.54(a)(8) should be filed as soon
as possible.
(e) Appeals arriving or delivered after 5 p.m. Eastern Time, Monday
through Friday, will be deemed received on the next workday.

Sec. 2105.56 How do you file an appeal?

(a) You must submit the appeal in writing by mail, fax or email to
the FOIA Appeals Officer (using the address available at https://
www.cfa.gov/foia/). Your failure to send an appeal directly to the FOIA
Appeals Officer may delay processing.
(b) The appeal must include:
(1) Copies of all correspondence between you and the Agency
concerning the FOIA request, including the request and the Agency's
response (if there is one); and
(2) An explanation of why you believe the Agency's response was in
error.
(c) The appeal should include your name, mailing address, daytime
telephone number (or the name and telephone number of an appropriate
contact), email address, and fax number (if available) in case the
Agency needs additional information or clarification.
(d) An appeal concerning a denial of expedited processing or a fee
waiver denial should also demonstrate fully how the criteria in Sec.
2105.18 or Sec. Sec. 2105.43 and 2105.46 are met.
(e) All communications concerning an appeal should be clearly marked
with the words: ``FREEDOM OF INFORMATION APPEAL.''
(f) The Agency will reject an appeal that does not attach all
correspondence required by paragraph (b)(1) of this section, unless the
FOIA Appeals Officer determines, in his or her sole discretion, that
good cause exists to accept the defective appeal. The time limits for
responding to an appeal will not begin to run until the correspondence
is received.

Sec. 2105.57 Who makes decisions on appeals?

(a) The FOIA Appeals Officer is the deciding official for FOIA
appeals.
(b) When necessary, the appropriate deciding official for FOIA
appeals will consult other appropriate offices, including legal counsel,
for denials of records and fee waivers.
(c) The deciding official for FOIA appeals normally will not make a
decision on an appeal if the request becomes a matter of FOIA
litigation.

Sec. 2105.58 How are decisions on appeals issued?

(a) A decision on an appeal must be made in writing.
(b) A decision that upholds the Agency's determination in whole or
in part must contain a statement that identifies the reasons for the
affirmance, including any FOIA exemptions applied. The decision must
provide you with notification of the statutory right to file a lawsuit
and will inform you of the dispute resolution services offered by the
Office of Government Information Services (OGIS) of the National
Archives and Records Administration as a non-exclusive alternative to
litigation. If the Agency's decision is remanded or modified on appeal,
the Agency will notify you of that determination in writing. The Agency
will then further process the request in accordance with that appeal
determination and will respond directly to you.
(c) Dispute resolution is a voluntary process. If the Agency agrees
to participate in the dispute resolution services provided by OGIS, it
will actively engage as a partner to the process in an attempt to
resolve the dispute.

Sec. 2105.59 When can you expect a decision on your appeal?

(a) The basic time limit for responding to an appeal is 20 workdays
after receipt of an appeal meeting the requirements of Sec. 2105.56.
(b) If the Agency is unable to reach a decision on your appeal
within the given time limit for response, the appropriate deciding
official for FOIA appeals will notify you of your statutory

[[Page 627]]

right to seek review in a United States District Court.

Sec. 2105.60 Can you receive expedited processing of appeals?

(a) To receive expedited processing of an appeal, you must
demonstrate to the Agency's satisfaction that the appeal meets one of
the criteria under Sec. 2105.18 and include a statement that the need
for expedited processing is true and correct to the best of your
knowledge and belief.
(b) The appropriate deciding official for FOIA appeals will advise
you whether the Agency will grant expedited processing within 10
calendar days of receiving the appeal.
(c) If the appropriate deciding official for FOIA appeals decides to
grant expedited processing, he or she will give the appeal priority over
other pending appeals and process it as soon as practicable.

Sec. 2105.61 Must you submit an appeal before seeking judicial review?

Before seeking review by a court of the Agency's adverse
determination, you generally must first submit a timely administrative
appeal.

Subpart I_General Information

Sec. 2105.62 Where are records made available?

Records that are required by the FOIA to be made proactively
available for public inspection and copying are accessible on the
Agency's website. They may also be available at the Agency's office
location.

Sec. 2105.63 What are public liaisons?

(a) The Agency has a FOIA Officer or Public Liaison who can assist
requesters who have concerns about the service they received when
seeking records or who are seeking assistance under Sec. 2105.3 or
Sec. 2105.35(i).
(b) FOIA Public Liaisons report to the Agency's Chief FOIA Officer
and you can raise concerns to them about the service you have received.
(c) FOIA Public Liaisons are responsible for assisting in reducing
delays, increasing transparency and understanding of the status of
requests, and assisting in resolving disputes.
(d) A list of the Agency's FOIA Public Liaisons is available at
https://www.cfa.gov/foia.

Sec. 2105.64 When will the Agency make records available without a FOIA request?

(a) Each Agency must:
(1) Determine which of its records must be made publicly available
under the FOIA (for example, certain frequently requested records);
(2) Identify additional records of interest to the public that are
appropriate for public disclosure; and
(3) Post those records in FOIA libraries.
(b) Because of these proactive disclosures, you are encouraged to
review the Agency's FOIA libraries before filing a FOIA request. The
material you seek may be immediately available electronically at no
cost.

Sec. 2105.65 How will FOIA materials be preserved?

(a) Each Agency must preserve all correspondence pertaining to the
requests that it receives under subpart B of this part, as well as
copies of all requested records, until disposition or destruction is
authorized by the General Records Schedule 4.2 of the National Archives
and Records Administration (NARA) or another NARA-approved records
schedule.
(b) Materials that are identified as responsive to a FOIA request
will not be disposed of or destroyed while the request or a related
appeal or lawsuit is pending. This is true even if they would otherwise
be authorized for disposition or destruction under the General Records
Schedule 4.2 of NARA or another NARA-approved records schedule.

Sec. 2105.66 How will an Agency handle a request for
federally-funded research data?

(a) If you request research data that were used by the Federal
Government in developing certain kinds of agency actions, and the
research data relate to published research findings produced under an
award, in accordance with OMB Circular A-110:

[[Page 628]]

(1) If the Agency was the awarding agency, it will request the
research data from the recipient;
(2) The recipient must provide the research data within a reasonable
time; and
(3) The Agency will review the research data to see if it can be
released under the FOIA.
(b) If the Agency obtains the research data solely in response to
your FOIA request, the Agency may charge you a reasonable fee equaling
the full incremental cost of obtaining the research data.
(1) This fee should reflect costs incurred by the Agency, the
recipient, and applicable subrecipients.
(2) This fee is in addition to any fees the Agency may assess under
the FOIA.
(c) The Agency will forward a copy of the request to the recipient,
who is responsible for searching for and reviewing the requested
information in accordance with these FOIA regulations. The recipient
will forward a copy of any responsive records that are located, along
with any recommendations concerning the releasability of the data, and
the total cost incurred in searching for, reviewing, and providing the
data.
(d) The Agency will review and consider the recommendations of the
recipient regarding the releasability of the requested research data.
However, the Agency, not the recipient, is responsible for deciding
whether the research data will be released or withheld.

Sec. 2105.67 What definitions apply to this part?

For the purposes of this part, the following definitions apply:
Agency means the Commission of Fine Arts.
Commercial interest means a commercial, trade, or profit interest as
these terms are commonly understood. Your status as profitmaking or non-
profitmaking is not the deciding factor in determining whether you have
a commercial interest.
Commercial use means a use that furthers your commercial, trade or
profit interests or that of the person on whose behalf the request is
made.
Confidential information means trade secrets or commercial or
financial information (that is privileged or confidential and obtained
by the Agency from a person) that may be protected from disclosure under
Exemption 4 of the FOIA.
Direct costs means those resources that the Agency expends in
searching for and duplicating (and, in the case of commercial-use
requests, reviewing) records to respond to a FOIA request. For example,
direct costs include the salary of the employee performing the work (the
basic rate of pay for the employee plus 16 percent of that rate to cover
benefits) and the cost of operating duplicating machinery, such as
photocopiers and scanners. Direct costs do not include overhead expenses
such as the costs of space and of heating or lighting a facility.
Duplication means reproducing a copy of a record or of the
information contained in it necessary to respond to a FOIA request.
Copies can take the form of paper, audiovisual materials, or electronic
records, among others.
Educational institution means any school that operates a program of
scholarly research. In order to fall within this category, you must show
that the request is authorized by and made under the auspices of, a
qualifying institution and that the records are not sought for a
commercial use, but rather are sought to further scholarly research.
Exceptional circumstances means a delay that does not result from a
predictable workload of requests (unless the Agency demonstrates
reasonable progress in reducing its backlog of pending requests).
Exempt means the record in question, or a portion thereof, is not
subject to disclosure due to one or more of the FOIA's nine statutory
exemptions, found at 5 U.S.C. 552(b)(1)-(9).
Exemption means one or more of the FOIA's nine statutory exemptions,
found at 5 U.S.C. 552(b)(1)-(9).
Expedited processing means giving a FOIA request priority and
processing it ahead of other requests pending in the Agency because you
have shown a compelling need for the records.
Fee category means one of the three categories, discussed in
Sec. Sec. 2105.36 and

[[Page 629]]

2105.37, that agencies place you in for the purpose of determining
whether you will be charged fees for search, review, and duplication.
FOIA means the Freedom of Information Act, 5 U.S.C. 552, as amended.
FOIA libraries means a physical or electronic compilation of records
required to be made available to the public for inspection and copying
under 5 U.S.C. 552(a)(2). It also includes a physical or electronic
compilation of records that the Agency, at its discretion, makes
available to the public for inspection and copying.
Frequently requested records means records that have been released
to any person in response to a FOIA request and that have been
requested, or that the Agency anticipates will be requested, at least
two more times under the FOIA.
Multitrack processing means placing simple requests, requiring
relatively minimal review, in one processing track and more voluminous
and complex requests in one or more other tracks. Requests in each track
are ordinarily processed on a first-in/first-out basis.
Noncommercial scientific institution means an institution that is
not operated for commerce, trade or profit, and that is operated solely
for the purpose of conducting scientific research the results of which
are not intended to promote any particular product or industry. To be in
this category, you must show that the request is authorized by and is
made under the auspices of a qualifying institution and that the records
are not sought for a commercial use but are sought to further scientific
research.
OMB Fee Guidelines means the Uniform Freedom of Information Fee
Schedule and Guidelines published by the Office of Management and Budget
on March 27, 1987.
Published means, for the purposes of Sec. 2105.66 only, when:
(1) Research findings are published in a peer-reviewed scientific or
technical journal; or
(2) A Federal agency publicly and officially cites the research
findings in support of an agency action that has the force and effect of
law.
Recipient means, for the purposes of Sec. 2105.66 only, an
organization receiving financial assistance directly from Federal
awarding agencies to carry out a project or program. The term includes
public and private institutions of higher education, public and private
hospitals, and other quasi-public and private non-profit organizations.
The term may include commercial organizations, foreign or international
organizations (such as agencies of the United Nations) which are
recipients, subrecipients, or contractors or subcontractors of
recipients or subrecipients at the discretion of the Federal awarding
agency. The term does not include Government-owned contractor-operated
facilities or research centers providing continued support for mission-
oriented, large-scale programs that are Government-owned or controlled,
or are designated as federally-funded research and development centers.
Record means an agency record that is either created or obtained by
an agency and is under agency possession and control at the time of the
FOIA request, or is maintained by an entity under Government contract
for the purposes of records management.
Representative of the news media means any person or entity that
gathers information of potential interest to a segment of the public,
uses its editorial skills to turn the raw materials into a distinct
work, and distributes that work to an audience. The term news as used in
this definition means information that is about current events or that
would be of current interest to the public. Examples of news media
entities are newspapers, television, websites, or radio stations
broadcasting to the public at large, and publishers of periodicals (but
only if such entities qualify as disseminators of news) who make their
products available for purchase by or subscription by or free
distribution to the general public. These examples are not all
inclusive. As methods of news delivery evolve, alternative
representatives of news media may come into being. A freelance
journalist will qualify as a news-media entity if he or she can
demonstrate a solid basis for expecting publication through that entity,

[[Page 630]]

whether or not the journalist is actually employed by that entity (for
example, a publication contract would present a solid basis for such an
expectation).
Research data means, for the purposes of Sec. 2105.66 only, the
recorded factual material commonly accepted in the historic and/or
architectural communities as necessary to validate research findings,
but not any of the following: Preliminary analyses, drafts of scientific
papers, plans for future research, peer reviews, or communications with
colleagues. The term recorded as used in this definition excludes
physical objects (e.g., laboratory samples). Research data also do not
include:
(1) Trade secrets, commercial information, materials necessary to be
held confidential by a researcher until they are published, or similar
information which is protected under law; and
(2) Personnel and medical information and similar information the
disclosure of which would constitute a clearly unwarranted invasion of
personal privacy, such as information that could be used to identify a
particular person in a research study.
Review means the examination of a record located in response to a
request to determine whether any portion of it is exempt from
disclosure. Review time includes processing any record for disclosure,
such as doing all that is necessary to prepare the record for
disclosure, including the process of redacting the record and marking
the appropriate exemptions. Review time also includes time spent both
obtaining and considering any formal objection to disclosure made by a
confidential information submitter under subpart G of this part, but it
excludes time spent resolving general legal or policy issues regarding
the application of FOIA exemptions.
Search means the process of looking for and retrieving records
responsive to a request. Search time includes page-by-page or line-by-
line identification of information within records; and the reasonable
efforts expended to locate and retrieve electronic records.
Submitter means any person or entity outside the Federal Government
from whom the Agency obtains confidential information, directly or
indirectly. The term includes, but is not limited to individuals,
corporations, and state, local, tribal, and foreign governments.
Unusual circumstances means the need to search for and collect
requested records from field facilities or other establishments that are
separate from the office processing the request; the need to search for,
collect, and examine a voluminous amount of separate and distinct
records which are demanded in a single request; or the need for
consultation, which shall be conducted with all practicable speed, with
another agency, or among two or more components of the Agency, having a
substantial interest in the determination of the request.
Workday means a regular Federal workday. It excludes Saturdays,
Sundays, or Federal legal public holidays. Items arriving or delivered
after 5 p.m. Eastern Time will be deemed received on the next workday.
You means a person requesting records, or filing an appeal, under
the FOIA.

Sec. Appendix A to Part 2105--Fee Schedule

------------------------------------------------------------------------
Types of records Fee
------------------------------------------------------------------------
(1) Physical records:
Pages no larger than 8.5 x 14 inches, $.15 per page ($.30 for
when reproduced by standard office double-sided copying).
copying machines or scanned into an
electronic format.
Color copies of pages no larger than $.90 per page.
8.5 x 11 inches.
Pages larger than 8.5 x 14 inches...... Direct cost to CFA.
Color copies of pages no larger than 11 $1.50 per page.
x 17 inches.
Photographs and records requiring Direct cost to CFA.
special handling (for example, because
of age, size, or format).
(2) Electronic records:
Charges for services related to Direct cost to CFA.
processing requests for electronic
records.
(3) Certification:
Each certificate of verification $.25.
attached to authenticate copies of
records.

[[Page 631]]

(4) Postage:
Charges that exceed the cost of first Postage or delivery charge.
class postage, such as express mail or
overnight delivery.
(5) Other Services:
Cost of special services or materials, Direct cost to CFA.
other than those provided for by this
fee schedule, when requester is
notified of such costs in advance and
agrees to pay them.
------------------------------------------------------------------------

PART 2106_RULES FOR COMPLIANCE WITH 5 U.S.C. 552a,
THE PRIVACY ACT OF 1974--Table of Contents

Sec.
2106.1 Rules for determining if an individual is the subject of a
record.
2106.2 Requests for access.
2106.3 Access to the accounting of disclosures from records.
2106.4 Requests for copies of records.
2106.5 Requests to amend records.
2106.6 Request for review.
2106.7 Schedule of fees.

Authority: Pub. L. 93-579, 88 Stat. 1896 (5 U.S.C. 552a(f)).

Source: 40 FR 52369, Nov. 10, 1975, unless otherwise noted.
Redesignated and amended at 51 FR 23056, June 25, 1986.

Sec. 2106.1 Rules for determining if an individual
is the subject of a record.

(a) Individuals desiring to know if a specific system of records
maintained by the Commission of Fine Arts contains a record pertaining
to them should address their inquiries to the Secretary, Commission of
Fine Arts, 708 Jackson Place, NW., Washington, DC 20006. The written
inquiry should contain a specific reference to the system of records
maintained by CFA listed in the CFA Notices of Systems of Records or it
should describe the type of record in sufficient detail to reasonably
identify the system of records. Notice of CFA Systems of Records will be
made in the Federal Register and copies of the notices will be available
upon request to the Secretary when so published. A compilation of such
notices will also be made and published by the Office of the Federal
Register in accordance with section 5 U.S.C. 552a(f).
(b) At a minimum, the request should contain sufficient identifying
information to allow CFA to determine if there is a record pertaining to
the individual making the request in a particular system of records. In
instances where identification is insufficient to insure disclosure to
the individual to whom the information pertains in view of the
sensitivity of the information, CFA reserves the right to solicit from
the requester additional identifying information.
(c) Ordinarily the requester will be informed whether the named
system of records contains a record pertaining to the requester within
10 days of the receipt of such a request (excluding Saturdays, Sundays,
and legal Federal holidays). Such a response will also contain or
reference the procedures which must be followed by the individual making
the request in order to gain access to the record.
(d) Whenever a response cannot be made within 10 days, the Secretary
will inform the requester of the reasons for the delay and the date by
which a response may be anticipated.

Sec. 2106.2 Requests for access.

(a) Requirement for written requests. Individuals desiring to gain
access to a record pertaining to them in a system of records maintained
by CFA must submit their request in writing in accordance with the
procedures set forth in paragraph (b) of this section.
(b) Procedures. (1) Content of the request. The request for access
to a record in a system of records shall be addressed to the Secretary,
at the address cited above; and shall name the system of records or
contain a description (as concise as possible) of such system of
records. The request should state that the request is pursuant to the
Privacy Act of 1974. In the absence of such a statement, if the request
is for a record pertaining to the requester maintained by CFA in a
system of records, the request will be presumed to be made under the
Privacy Act of 1974. The requester should include any other information
which may assist in the rapid identification of the record

[[Page 632]]

for which access is being requested (e.g., maiden name, dates of
employment, etc.).
(2) Requirements for identification will normally be limited to the
presentation of any standard picture and signature or signature
identification card, such as driver's license, so that a comparison of
the signature and the signature on the original request may be made. The
appearing individual will be read paragraph (3), subsection (i) to title
5 U.S.C. 552a which specifies the penalty for knowingly or willfully
requesting or obtaining a record concerning an individual from an agency
under false pretenses and asked to sign a statement attesting to the
fact that he or she understands the paragraph and that he or she is, in
fact, the individual who made the request (or the individual authorized
to receive the disclosure by the requesting individual). This signature
will be compared with the other two. If the appearing individual is
other than the requesting individual, then he or she must also present a
letter of introduction signed by the requesting individual so that the
comparison of signature may be made.
(c) CFA action on request. (1) A request for access will ordinarily
be answered within 10 days (excluding Saturdays, Sundays, and legal
Federal holidays), except when the Secretary determines otherwise, in
which case the requester will be informed of the reason for the delay
and an anticipated date by which the request will be answered. When the
request can be answered within 10 days, it shall include the following:
(i) A statement that there is a record as requested or a statement
that there is not a record in the system of records maintained by CFA;
(ii) A statement as to whether access will be granted only by
providing a copy of the record through the mail; or the address of the
location and the date and time at which the record may be examined. In
the event the requester is unable to meet the specified date and time,
alternate arrangements may be made with the official specified in
paragraph (b)(1) of this section;
(iii) A statement, when appropriate, that examination in person will
be the sole means of granting access only when the Secretary has
determined that it would not unduly impede the requester's right of
access;
(iv) The amount of fees charged, if any (see Sec. Sec. 2106.4 and
2106.7); and
(v) The name, title, and telephone number of the CFR official having
operational control over the record.
(A) Access by the parent of a minor, or legal guardian. A parent of
a minor, upon presenting suitable personal identification, may access on
behalf of the minor any record pertaining to the minor maintained by CFA
in a system of records. A legal guardian may similarly act on behalf of
an individual declared to be incompetent due to physical or mental
incapacity or age by a court of competent jurisdiction, upon the
presentation of documents authorizing the legal guardian to so act; and
upon suitable personal identification of the guardian.
(B) Granting access when accompanied or represented by another
individual. When an individual requesting access to his or her record in
a system of records maintained by CFA wishes to be accompanied or
represented by another individual during the course of the examination
of the record, the individual making the request shall submit to the
official having operational control of the record a signed statement
authorizing that person access to the record.
(C) Access in response to congressional inquiries. Disclosure may be
made to a congressional office from the record of an individual in
response to an inquiry from the congressional office made at the request
of that individual.
(vi) Medical records. The records in a system of records which are
medical records shall be disclosed to the individual in such a manner
and following such procedures as the Secretary shall direct. When CFA,
in consultation with a physician, determines that the disclosure of
medical information could have an adverse effect upon the individual to
whom it pertains, CFA may transmit such information to a physician named
by the individual.

[[Page 633]]

(vii) Exceptions. Nothing in this section shall be construed to
entitle an individual the right to access to any information compiled in
reasonable anticipation of a civil action or proceeding.

[40 FR 52369, Nov. 10, 1975, as amended at 41 FR 2385, Jan. 16, 1976]

Sec. 2106.3 Access to the accounting of disclosures from records.

Rules governing the granting of access to the accounting of
disclosures are the same as those for granting access to the records
outlined in Sec. 2106.2 of this part.

Sec. 2106.4 Requests for copies of records.

Rules governing requests for copies of records are the same as those
for the granting of access to the records outlined in Sec. 2106.2 of
this part (see also Sec. 2106.7 for rules regarding fees).

Sec. 2106.5 Requests to amend records.

(a) Requirements for written requests. Individuals desiring to amend
a record that pertains to them in a system of records maintained by CFA
must submit their request in writing in accordance with the procedures
set forth herein unless the requirement is waived by the official having
responsibility for the system of records. Records not subject to the
Privacy Act of 1974 will not be amended in accordance with these
provisions; however, individuals who believe that such records are
inaccurate may bring this to the attention of the CFA.
(b) Procedures. (1)(i) The request to amend a record in a system of
records shall be addressed to the Secretary. Included in the request
shall be the name of the system and a brief description of the record
proposed for amendment. In the event the request to amend the record is
the result of the individual's having gained access to the record as set
forth above, copies of previous correspondence between the requester and
CFA will serve in lieu of a separate description of the record.
(ii) Individuals desiring assistance in the preparation of a request
to amend a record should contact the Secretary at the address cited
above.
(iii) The exact portion of the record the individual seeks to have
amended should be clearly indicated. If possible, the proposed
alternative language should also be set forth, or, at a minimum, the
facts which the individual believes are not accurate, relevant, timely,
or complete, should be set forth with such particularity as to permit
CFA not only to understand the individual's basis for the request, but
also to make an appropriate amendment to the record.
(iv) The request must also set forth the reasons why the individual
believes his record is not accurate, relevant, timely, or complete. In
order to avoid the retention by CFA of personal information merely to
permit the verification of records, the burden of persuading CFA to
amend a record will be upon the individual. The individual must furnish
sufficient facts to persuade the official in charge of the system of the
inaccuracy, irrelevancy, timeliness, or incompleteness of the record.
(2) CFA action on the request. To the extent possible, a decision
upon a request to amend a record will be made within 10 days (excluding
Saturdays, Sundays, and legal Federal holidays). In the event that a
decision cannot be made within this time frame, the individual making
the request will be informed within the 10 days of the expected date for
a decision. The decision upon a request for amendment will include the
following:
(i) The decision of the Commission of Fine Arts whether to grant in
full, or deny any part of the request to amend the record;
(ii) The reasons for the determination for any part of the request
which is denied;
(iii) The name and address of the official with whom an appeal of
the denial may be lodged;
(iv) The name and address of the official designated to assist, as
necessary, and upon the request of, the individual making the request in
preparation of the appeal;
(v) A description of the review of the appeal within CFA (see Sec.
2106.6); and
(vi) A description of any other procedures which may be required of
the individual in order to process an appeal.

[[Page 634]]

Sec. 2106.6 Request for review.

(a) Individuals wishing to request a review of the decision by CFA
with regard to an initial request to amend a record in accordance with
the provisions of Sec. 2106.5 of this part, should submit the request
for review in writing and, to the extent possible, include the
information specified in paragraph (a) of this section. Individuals
desiring assistance in the preparation of their request for review
should contact the Secretary at the address provided herein.
(b) The request for review should contain a brief description of the
record involved or in lieu thereof, copies of the correspondence from
CFA in which the request to amend was denied and also the reasons why
the requester believes that the disputed information should be amended.
The request for review should make reference to the information
furnished by the individual in support of his claim and the reasons as
required by Sec. 2106.5 of this part set forth by CFA in its decision
denying the amendment. Appeals filed without a complete statement by the
requester setting forth the reasons for the review will, of course, be
processed. However, in order to make the appellate process as meaningful
as possible, the requester's disagreement should be understandably set
forth. In order to avoid the unnecessary retention of personal
information, CFA reserves the right to dispose of the material
concerning the request to amend a record if no request for review in
accordance with this section is received by CFA within 180 days of the
mailing by CFA of its decision upon an initial request. A request for
review received after the 180-day period may, at the discretion of the
Secretary, be treated as an initial request to amend a record.
(c) The request for review should be addressed to the Secretary.
(d) Upon receipt of a request for review, the Secretary will convene
a review group composed of the Secretary and the Chairman. This group
will review the basis for the requested review and will develop a
recommended course of action to the office's Committee on Freedom of
Information and Privacy (hereinafter referred to as the Committee). If
at any time additional information is required from the requestee, the
Secretary is authorized to acquire it or authorize its acquisition from
the requester.
(e) The Committee is composed of:
(1) The Chairman;
(2) The Secretary;
(3) The Assistant Secretary;
(4) The Administrative Assistant.
(f) The Committee will review the request for review and the
recommended course of action and will recommend a decision on the
request for review to the Chairman, who has the final authority
regarding appeals.
(g) The Chairman will inform the requester in writing of the
decision on the request for review within 30 days (excluding Saturdays,
Sundays, and legal Federal holidays) from the date of receipt by CFA of
the individual's request for review unless the Chairman extends the 30-
day period for good cause. The extension of and the reasons therefor
will be sent by CFA to the requester within the initial 30-day period.
Included in the notice of a decision being reviewed, if the decision
does not grant in full the request for review, will be a description of
the steps the individual may take to obtain judicial review of such a
decision, and a statement that the individual may file a concise
statement with CFA setting forth the individual's reasons for his
disagreement with the decision upon the request for review. The
Secretary has the authority to determine the ``conciseness'' of the
statement, taking into account the scope of the disagreement and the
complexity of the issues. Upon the filing of a proper concise statement
by the individual, any subsequent disclosure of the information in
dispute will have the information in dispute clearly noted and a copy of
the concise statement furnished, as well as a concise statement by CFA
setting forth its reasons for not making the requested changes, if CFA
chooses to file such a statement. A copy of the individual's statement,
and, if it chooses, CFA's statement will be sent to any prior
transferree of the disputed information who is listed on the accounting
required by 5 U.S.C. 552a(c).

[[Page 635]]

Sec. 2106.7 Schedule of fees.

No fees will be charged for search, review, or copies of the record.

PARTS 2107 2199 [RESERVED]

[[Page 637]]

CHAPTER XXIII--ARCTIC RESEARCH COMMISSION

--------------------------------------------------------------------
Part Page
2300

[Reserved]

2301 Enforcement of nondiscrimination on the
basis of handicap in programs or
activities conducted by the United
States Arctic Research Commission....... 639
2302-2399

[Reserved]

[[Page 639]]

PART 2300 [RESERVED]

PART 2301_ENFORCEMENT OF NONDISCRIMINATION ON THE BASIS OF HANDICAP
IN PROGRAMS OR ACTIVITIES CONDUCTED BY THE UNITED STATES ARCTIC RESEARCH
COMMISSION--Table of Contents

Sec.
2301.101 Purpose.
2301.102 Application.
2301.103 Definitions.
2301.104-2301.109 [Reserved]
2301.110 Self-evaluation.
2301.111 Notice.
2301.112-2301.129 [Reserved]
2301.130 General prohibitions against discrimination.
2301.131-2301.139 [Reserved]
2301.140 Employment.
2301.141-2301.148 [Reserved]
2301.149 Program accessibility: Discrimination prohibited.
2301.150 Program accessibility: Existing facilities.
2301.151 Program accessibility: New construction and alterations.
2301.152-2301.159 [Reserved]
2301.160 Communications.
2301.161-2301.169 [Reserved]
2301.170 Compliance procedures.
2301.171-2301.999 [Reserved]

Authority: 29 U.S.C. 794.

Source: 58 FR 57698, 57699, Oct. 26, 1993, unless otherwise noted.

Sec. 2301.101 Purpose.

Sec. 2301.102 Application.

This part (Sec. Sec. 2301.101-2301.170) applies to all programs or
activities conducted by the agency, except for programs or activities
conducted outside the United States that do not involve individuals with
handicaps in the United States.

Sec. 2301.103 Definitions.

[[Page 640]]

(i) Any physiological disorder or condition, cosmetic disfigurement,
or anatomical loss affecting one or more of the following body systems:
Neurological; musculoskeletal; special sense organs; respiratory,
including speech organs; cardiovascular; reproductive; digestive;
genitourinary; hemic and lymphatic; skin; and endocrine; or
(ii) Any mental or psychological disorder, such as mental
retardation, organic brain syndrome, emotional or mental illness, and
specific learning disabilities. The term ``physical or mental
impairment'' includes, but is not limited to, such diseases and
conditions as orthopedic, visual, speech, and hearing impairments,
cerebral palsy, epilepsy, muscular dystrophy, multiple sclerosis,
cancer, heart disease, diabetes, mental retardation, emotional illness,
HIV disease (whether symptomatic or asymptomatic), and drug addiction
and alcoholism.
(2) Major life activities include functions such as caring for one's
self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(3) Has a record of such an impairment means has a history of, or
has been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(4) Is regarded as having an impairment means--
(i) Has a physical or mental impairment that does not substantially
limit major life activities but is treated by the agency as constituting
such a limitation;
(ii) Has a physical or mental impairment that substantially limits
major life activities only as a result of the attitudes of others toward
such impairment; or
(iii) Has none of the impairments defined in paragraph (1) of this
definition but is treated by the agency as having such an impairment.
Qualified individual with handicaps means--
(1) With respect to preschool, elementary, or secondary education
services provided by the agency, an individual with handicaps who is a
member of a class of persons otherwise entitled by statute, regulation,
or agency policy to receive education services from the agency;
(2) With respect to any other agency program or activity under which
a person is required to perform services or to achieve a level of
accomplishment, an individual with handicaps who meets the essential
eligibility requirements and who can achieve the purpose of the program
or activity without modifications in the program or activity that the
agency can demonstrate would result in a fundamental alteration in its
nature;
(3) With respect to any other program or activity, an individual
with handicaps who meets the essential eligibility requirements for
participation in, or receipt of benefits from, that program or activity;
and
(4) Qualified handicapped person as that term is defined for
purposes of employment in 29 CFR 1614.203(a)(6), which is made
applicable to this part by Sec. 2301.140.
Section 504 means section 504 of the Rehabilitation Act of 1973
(Pub. L. 93-112, 87 Stat. 394 (29 U.S.C. 794)), as amended. As used in
this part, section 504 applies only to programs or activities conducted
by Executive agencies and not to federally assisted programs.
Substantial impairment means a significant loss of the integrity of
finished materials, design quality, or special character resulting from
a permanent alteration.

Sec. Sec. 2301.104-2301.109 [Reserved]

Sec. 2301.110 Self-evaluation.

(a) The agency shall, by November 28, 1994, evaluate its current
policies and practices, and the effects thereof, that do not or may not
meet the requirements of this part and, to the extent modification of
any such policies and practices is required, the agency shall proceed to
make the necessary modifications.
(b) The agency shall provide an opportunity to interested persons,
including individuals with handicaps or organizations representing
individuals with handicaps, to participate in the self-evaluation
process by submitting comments (both oral and written).
(c) The agency shall, for at least three years following completion
of the

[[Page 641]]

self-evaluation, maintain on file and make available for public
inspection:
(1) A description of areas examined and any problems identified; and
(2) A description of any modifications made.

Sec. 2301.111 Notice.

Sec. Sec. 2301.112-2301.129 [Reserved]

Sec. 2301.130 General prohibitions against discrimination.

(a) No qualified individual with handicaps shall, on the basis of
handicap, be excluded from participation in, be denied the benefits of,
or otherwise be subjected to discrimination under any program or
activity conducted by the agency.
(b)(1) The agency, in providing any aid, benefit, or service, may
not, directly or through contractual, licensing, or other arrangements,
on the basis of handicap--
(i) Deny a qualified individual with handicaps the opportunity to
participate in or benefit from the aid, benefit, or service;
(ii) Afford a qualified individual with handicaps an opportunity to
participate in or benefit from the aid, benefit, or service that is not
equal to that afforded others;
(iii) Provide a qualified individual with handicaps with an aid,
benefit, or service that is not as effective in according equal
opportunity to obtain the same result, to gain the same benefit, or to
reach the same level of achievement as that provided to others;
(iv) Provide different or separate aid, benefits, or services to
individuals with handicaps or to any class of individuals with handicaps
than is provided to others unless such action is necessary to provide
qualified individuals with handicaps with aid, benefits, or services
that are as effective as those provided to others;
(v) Deny a qualified individual with handicaps the opportunity to
participate as a member of planning or advisory boards;
(vi) Otherwise limit a qualified individual with handicaps in the
enjoyment of any right, privilege, advantage, or opportunity enjoyed by
others receiving the aid, benefit, or service.
(2) The agency may not deny a qualified individual with handicaps
the opportunity to participate in programs or activities that are no
separate or different, despite the existence of permissibly separate or
different programs or activities.
(3) The agency may not, directly or through contractual or other
arrangements, utilize criteria or methods of administration the purpose
or effect of which would--
(i) Subject qualified individuals with handicaps to discrimination
on the basis of handicap; or
(ii) Defeat or substantially impair accomplishment of the objectives
of a program or activity with respect to individuals with handicaps.
(4) The agency may not, in determining the site or location of a
facility, make selections the purpose or effect of which would--
(i) Exclude individuals with handicaps from, deny them the benefits
of, or otherwise subject them to discrimination under any program or
activity conducted by the agency; or
(ii) Defeat or substantially impair the accomplishment of the
objectives of a program or activity with respect to individuals with
handicaps.
(5) The agency, in the selection of procurement contractors, may not
use criteria that subject qualified individuals with handicaps to
discrimination on the basis of handicap.
(6) The agency may not administer a licensing or certification
program in a manner that subjects qualified individuals with handicaps
to discrimination on the basis of handicap, nor may the agency establish
requirements for the programs or activities of licensees or certified
entities that subject qualified

[[Page 642]]

individuals with handicaps to discrimination on the basis of handicap.
However, the programs or activities of entities that are licensed or
certified by the agency are not, themselves, covered by this part.
(c) The exclusion of nonhandicapped persons from the benefits of a
program limited by Federal statute or Executive order to individuals
with handicaps or the exclusion of a specific class of individuals with
handicaps from a program limited by Federal statute or Executive order
to a different class of individuals with handicaps is not prohibited by
this part.
(d) The agency shall administer programs and activities in the most
integrated setting appropriate to the needs of qualified individuals
with handicaps.

Sec. Sec. 2301.131-2301.139 [Reserved]

Sec. 2301.140 Employment.

No qualified individual with handicaps shall, on the basis of
handicap, be subjected to discrimination in employment under any program
or activity conducted by the agency. The definitions, requirements, and
procedures of section 501 of the Rehabilitation Act of 1973 (29 U.S.C.
791), as established by the Equal Employment Opportunity Commission in
29 CFR part 1614, shall apply to employment in federally conducted
programs or activities.

Sec. Sec. 2301.141-2301.148 [Reserved]

Sec. 2301.149 Program accessibility: Discrimination prohibited.

Except as otherwise provided in Sec. 2301.150, no qualified
individual with handicaps shall, because the agency's facilities are
inaccessible to or unusable by individuals with handicaps, be denied the
benefits of, be excluded from participation in, or otherwise be
subjected to discrimination under any program or activity conducted by
the agency.

Sec. 2301.150 Program accessibility: Existing facilities.

[[Page 643]]

shall meet accessibility requirements to the extent compelled by the
Architectural Barriers Act of 1968, as amended (42 U.S.C. 4151-4157),
and any regulations implementing it. In choosing among available methods
for meeting the requirements of this section, the agency shall give
priority to those methods that offer programs and activities to
qualified individuals with handicaps in the most integrated setting
appropriate.
(2) Historic preservation programs. In meeting the requirements of
Sec. 2301.150(a) in historic preservation programs, the agency shall
give priority to methods that provide physical access to individuals
with handicaps. In cases where a physical alteration to an historic
property is not required because of Sec. 2301.150(a)(2) or (a)(3),
alternative methods of achieving program accessibility include--
(i) Using audio-visual materials and devices to depict those
portions of an historic property that cannot otherwise be made
accessible;
(ii) Assigning persons to guide individuals with handicaps into or
through portions of historic properties that cannot otherwise be made
accessible; or
(iii) Adopting other innovative methods.
(c) Time period for compliance. The agency shall comply with the
obligations established under this section by January 24, 1994, except
that where structural changes in facilities are undertaken, such changes
shall be made by November 26, 1996, but in any event as expeditiously as
possible.
(d) Transition plan. In the event that structural changes to
facilities will be undertaken to achieve program accessibility, the
agency shall develop, by May 26, 1994, a transition plan setting forth
the steps necessary to complete such changes. The agency shall provide
an opportunity to interested persons, including individuals with
handicaps or organizations representing individuals with handicaps, to
participate in the development of the transition plan by submitting
comments (both oral and written). A copy of the transition plan shall be
made available for public inspection. The plan shall, at a minimum--
(1) Identify physical obstacles in the agency's facilities that
limit the accessibility of its programs or activities to individuals
with handicaps;
(2) Describe in detail the methods that will be used to make the
facilities accessible;
(3) Specify the schedule for taking the steps necessary to achieve
compliance with this section and, if the time period of the transition
plan is longer than one year, identify steps that will be taken during
each year of the transition period; and
(4) Indicate the official responsible for implementation of the
plan.

Sec. 2301.151 Program accessibility: New construction and alterations.

Sec. Sec. 2301.152-2301.159 [Reserved]

Sec. 2301.160 Communications.

[[Page 644]]

for deaf persons (TDD's) or equally effective telecommunication systems
shall be used to communicate with persons with impaired hearing.
(b) The agency shall ensure that interested persons, including
persons with impaired vision or hearing, can obtain information as to
the existence and location of accessible services, activities, and
facilities.
(c) The agency shall provide signage at a primary entrance to each
of its inaccessible facilities, directing users to a location at which
they can obtain information about accessible facilities. The
international symbol for accessibility shall be used at each primary
entrance of an accessible facility.
(d) This section does not require the agency to take any action that
it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and administrative
burdens. In those circumstances where agency personnel believe that the
proposed action would fundamentally alter the program or activity or
would result in undue financial and administrative burdens, the agency
has the burden of proving that compliance with Sec. 2301.160 would
result in such alteration or burdens. The decision that compliance would
result in such alteration or burdens must be made by the agency head or
his or her designee after considering all agency resources available for
use in the funding and operation of the conducted program or activity
and must be accompanied by a written statement of the reasons for
reaching that conclusion. If an action required to comply with this
section would result in such an alteration or such burdens, the agency
shall take any other action that would not result in such an alteration
or such burdens but would nevertheless ensure that, to the maximum
extent possible, individuals with handicaps receive the benefits and
services of the program or activity.

Sec. Sec. 2301.161-2301.169 [Reserved]

Sec. 2301.170 Compliance procedures.

(a) Except as provided in paragraph (b) of this section, this
section applies to all allegations of discrimination on the basis of
handicap in programs and activities conducted by the agency.
(b) The agency shall process complaints alleging violations of
section 504 with respect to employment according to the procedures
established by the Equal Employment Opportunity Commission in 29 CFR
part 1614 pursuant to section 501 of the Rehabilitation Act of 1973 (29
U.S.C. 791).
(c) The Executive Director shall be responsible for coordinating
implementation of this section. Complaints may be sent to Executive
Director, United States Arctic Research Commission, ICC Building, room
6333, 12th & Constitution Avenue, NW., Washington, DC 20423.
(d) The agency shall accept and investigate all complete complaints
for which it has jurisdiction. All complete complaints must be filed
within 180 days of the alleged act of discrimination. The agency may
extend this time period for good cause.
(e) If the agency receives a complaint over which it does not have
jurisdiction, it shall promptly notify the complainant and shall make
reasonable efforts to refer the complaint to the appropriate Government
entity.
(f) The agency shall notify the Architectural and Transportation
Barriers Compliance Board upon receipt of any complaint alleging that a
building or facility that is subject to the Architectural Barriers Act
of 1968, as amended (42 U.S.C. 4151-4157), is not readily accessible to
and usable by individuals with handicaps.
(g) Within 180 days of the receipt of a complete complaint for which
it has jurisdiction, the agency shall notify the complainant of the
results of the investigation in a letter containing--
(1) Findings of fact and conclusions of law;
(2) A description of a remedy for each violation found; and
(3) A notice of the right to appeal.
(h) Appeals of the findings of fact and conclusions of law or
remedies must be filed by the complainant within 90 days of receipt from
the agency of the letter required by Sec. 2301.170(g). The agency may
extend this time for good cause.
(i) Timely appeals shall be accepted and processed by the head of
the agency.

[[Page 645]]

(j) The head of the agency shall notify the complainant of the
results of the appeal within 60 days of the receipt of the request. If
the head of the agency determines that additional information is needed
from the complainant, he or she shall have 60 days from the date of
receipt of the additional information to make his or her determination
on the appeal.
(k) The time limits cited in paragraphs (g) and (j) of this section
may be extended with the permission of the Assistant Attorney General.
(l) The agency may delegate its authority for conducting complaint
investigations to other Federal agencies, except that the authority for
making the final determination may not be delegated to another agency.

[58 FR 57698, 57699, Oct. 26, 1993]

Sec. Sec. 2301.171-2301.999 [Reserved]

PARTS 2302 2399 [RESERVED]

[[Page 647]]

CHAPTER XXIV--JAMES MADISON MEMORIAL FELLOWSHIP FOUNDATION

--------------------------------------------------------------------
Part Page
2400 Fellowship Program requirements............. 649
2490 Enforcement of nondiscrimination on the
basis of handicap in programs or
activities conducted by the James
Madison Memorial Fellowship Foundation.. 659
2491-2499

[Reserved]

[[Page 649]]

PART 2400_FELLOWSHIP PROGRAM REQUIREMENTS--Table of Contents

Subpart A_General

Sec.
2400.1 Purposes.
2400.2 Annual competition.
2400.3 Eligibility.
2400.4 Definitions.

Subpart B_Application

2400.10 Application.
2400.11 Faculty representatives.

Subpart C_Application Process

2400.20 Preparation of application.
2400.21 Contents of application.
2400.22 Application deadline.

Subpart D_Selection of Fellows

2400.30 Selection criteria.
2400.31 Selection process.

Subpart E_Graduate Study

2400.40 Institutions of graduate study.
2400.41 Degree programs.
2400.42 Approval of Plan of Study.
2400.43 Required courses of graduate study.
2400.44 Commencement of graduate study.
2400.45 Special consideration: Junior Fellows' Plan of study.
2400.46 Special consideration: second master's degrees.
2400.47 Summer Institute's relationship to fellowship.
2400.48 Fellows' participation in the Summer Institute.
2400.49 Contents of the Summer Institute.
2400.50 Allowances and Summer Institute costs.
2400.51 Summer Institute accreditation.

Subpart F_Fellowship Stipend

2400.52 Amount of stipend.
2400.53 Duration of stipend.
2400.54 Use of stipend.
2400.55 Certification for stipend.
2400.56 Payment of stipend.
2400.57 Termination of stipend.
2400.58 Repayment of stipend.

Subpart G_Special Conditions

2400.59 Other awards.
2400.60 Renewal of award.
2400.61 Postponement of award.
2400.62 Evidence of master's degree.
2400.63 Excluded graduate study.
2400.64 Alterations to Plan of Study.
2400.65 Teaching obligation.
2400.66 Completion of fellowship.

Authority: 20 U.S.C. 4501 et seq., unless otherwise noted.

Source: 61 FR 46734, Sept. 5, 1996, unless otherwise noted.

Subpart A_General

Sec. 2400.1 Purposes.

(a) The purposes of the James Madison Memorial Fellowship Program
are to:
(1) Provide incentives for master's degree level graduate study of
the history, principles, and development of the United States
Constitution by outstanding in-service teachers of American history,
American government, social studies, and political science in grades 7-
12 and by outstanding college graduates who plan to become teachers of
the same subjects; and
(2) Strengthen teaching in the nation's secondary schools about the
principles, framing, ratification, and subsequent history of the United
States Constitution.
(b) The Foundation may from time to time operate its own programs
and undertake other closely-related activities to fulfill these goals.

Sec. 2400.2 Annual competition.

To achieve its principal purposes, the Foundation holds an annual
national competition to select teachers in grades 7-12, college seniors,
and college graduates to be James Madison Fellows.

Sec. 2400.3 Eligibility.

Individuals eligible to apply for and hold James Madison Fellowships
are United States citizens, United States nationals, or permanent
residents of the Northern Mariana Islands who are:
(a) Teachers of American history, American government, social
studies, or political science in grades 7-12 who:
(1) Are teaching full time during the year in which they apply for a
fellowship;
(2) Are under contract, or can provide evidence of being under
prospective contract, to teach full time as teachers of American
history, American government, social studies, or political science in
grades 7-12;
(3) Have demonstrated records of willingness to devote themselves to

[[Page 650]]

civic responsibilities and to professional and collegial activities
within their schools and school districts;
(4) Are highly recommended by their department heads, school heads,
school district superintendents, or other supervisors;
(5) Qualify for admission with graduate standing at accredited
universities of their choice that offer master's degree programs
allowing at least 12 semester hours or their equivalent of study of the
origins, principles, and development of the Constitution of the United
States and of its comparison with the constitutions of other forms of
government;
(6) Are able to complete their proposed courses of graduate study
within five calendar years from the commencement of study under their
fellowships, normally through part-time study during summers or in
evening or weekend programs;
(7) Agree to attend the Foundation's four-week Summer Institute on
the Constitution, normally during the summer following the commencement
of study under their fellowships; and
(8) Sign agreements that, after completing the education for which
the fellowship is awarded, they will teach American history, American
government, social studies, or political science full time in secondary
schools for a period of not less than one year for each full year of
study for which assistance was received, preferably in the State listed
as their legal residence at the time of their fellowship award. For the
purposes of this provision, a full academic year of study is considered
by the Foundation to be 18 credit hours or 27 quarter hours. Fellows'
teaching obligations will be figured at full academic years of study;
and when Fellows have studies for partial academic years, those years
will be rounded upward to the nearest one-half year to determine
Fellows' total teaching obligations.
(b) Those who aspire to become full-time teachers of American
history, American government, social studies, or political science in
grades 7-12 who:
(1) Are matriculated college seniors pursuing their baccalaureate
degrees full time and will receive those degrees no later than August
31st of the year of the fellowship competition in which they apply or
prior recipients of baccalaureate degrees;
(2) Plan to begin graduate study on a full-time basis;
(3) Have demonstrated records of willingness to devote themselves to
civic responsibilities;
(4) Are highly recommended by faculty members, deans, or other
persons familiar with their potential for graduate study of American
history and government and with their serious intention to enter the
teaching profession as secondary school teachers of American history,
American government, social studies, or political science in grades 7-
12;
(5) Qualify for admission with graduate standing at accredited
universities of their choice that offer master's degree programs that
allow at least 12 semester hours or their equivalent of study of the
origins, principles, and development of the Constitution of the United
States and of its comparison with the constitutions and history of other
forms of government;
(6) Are able to complete their proposed courses of graduate study in
no more than two calendar years from the commencement of study under
their fellowships, normally through full-time study;
(7) Agree to attend the Foundation's four-week Summer Institute on
the Constitution, normally during the summer following the commencement
of study under their fellowships; and
(8) Sign an agreement that, after completing the education for which
the fellowship is awarded, they will teach American history, American
government, social studies, or political science full time in secondary
schools for a period of not less than one year for each full academic
year of study for which assistance was received, preferably in the State
listed as their legal residence at the time of their fellowship award.
Fellows' teaching obligations will be figured at full academic years of
study; and when Fellows have studies for partial academic years, those
years will be rounded upward to the nearest one-half year to determine
Fellows' total teaching obligations.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

[[Page 651]]

Sec. 2400.4 Definitions.

As used in this part:
Academic year means the period of time in which a full-time student
would normally complete two semesters, two trimesters, three quarters,
or their equivalent of study.
Act means the James Madison Memorial Fellowship Act.
College means an institution of higher education offering only a
baccalaureate degree or the undergraduate division of a university in
which a student is pursuing a baccalaureate degree.
Credit Hour Equivalent means the number of graduate credit hours
obtained in credits, courses or units during a quarter, a trimester, or
a semester which are needed to equal a specific number of semester
graduate credit hours.
Fee means a typical and usually non-refundable charge levied by an
institution of higher education for a service, privilege, or use of
property which is required for a Fellow's enrollment and registration.
Fellow means a recipient of a fellowship from the Foundation.
Fellowship means an award, called a James Madison Fellowship, made
to a person by the Foundation for graduate study.
Foundation means the James Madison Memorial Fellowship Foundation.
Full-time study means study for an enrolled student who is carrying
at least 9 credit hours a semester or its equivalent.
Graduate study means the courses of study beyond the baccalaureate
level, which are offered as part of a university's master's degree
program and which lead to a master's degree.
Incomplete means a course which the Foundation has paid for but the
Fellow has received an incomplete grade or the Fellow has not received
graduate credit for the course.
Institution of higher education has the meaning given in Section
1201(a) of the Higher Education Act of 1965 (20 U.S.C. 1141(a)).
Junior Fellowship means a James Madison Fellowship granted either to
a college senior or to a college graduate who has received a
baccalaureate degree and who seeks to become a secondary school teacher
of American history, American government, social studies, or political
science for full-time graduate study toward a master's degree whose
course of study emphasizes the framing, principles, history, and
interpretation of the United States Constitution.
Master's degree means the first pre-doctoral graduate degree offered
by a university beyond the baccalaureate degree, for which the
baccalaureate degree is a prerequisite.
Matriculated means formally enrolled in a master's degree program in
a university.
Repayment means if the fellowship is relinquished by the fellow or
is terminated by the Foundation prior to the completion of the Fellow's
degree, and/or the Fellow fails to fulfill the teaching obligation after
the graduate degree is awarded, the Fellow must repay to the Foundation
all Fellowship costs received plus interest at a rate of 6% per annum
and, if applicable, reasonable collection fees.
Resident means a person who has legal residence in the state,
recognized under state law. If a question arises concerning a Fellow's
state of residence, the Foundation determines, for the purposes of this
program, of which state the person is a resident, taking into account
the Fellow's place of registration to vote, his or her parent's place of
residence, and the Fellow's eligibility for in-state tuition rates at
public institutions of higher education.
Satisfactory progress for a Junior Fellow means the completion of
the number of required courses normally expected of full-time master's
degree candidates at the university that the Fellow attends, with grades
acceptable to that university, in not more than two calendar years from
the commencement of that study. Satisfactory progress for a Senior
Fellow means the completion each year of a specific number of required
courses in the Fellow's master's degree program, as agreed upon each
year with the Foundation and outlined on the Plan of Study form, with
grades acceptable to the Fellow's university, in not more than five
calendar years from the commencement of that study.

[[Page 652]]

Secondary school means grades 7 through 12.
Senior means a student at the academic level recognized by an
institution of higher education as being the last year of study before
receiving the baccalaureate degree.
Senior Fellowship means a James Madison Fellowship granted to a
secondary school teacher of American history, American government,
social studies, or political science for part-time graduate study toward
a master's degree whose course of study emphasizes the framing,
principles, history, and interpretation of the United States
Constitution.
State means each of the 50 States, the District of Columbia, the
Commonwealth of Puerto Rico, and, considered as a single entity, Guam,
the United States Virgin Islands, American Samoa, and the Commonwealth
of the Northern Mariana Islands.
Stipend means the amount paid by the Foundation to a Fellow or on
his or her behalf for the allowable costs of graduate study which have
been approved under the fellowship.
Teaching Obligation means that a Fellow, upon receiving a master's
degree, must teach American history, American government, social
studies, or political science on a full-time basis to students in
secondary school for a period of not less than one year for each year
for which financial assistance was received.
Term means the period--semester, trimester, or quarter--used by an
institution of higher education to divide its academic year.
Termination means the non-voluntary ending of a fellowship by the
Foundation when the Fellow has not complied with the rules and
regulations of the fellowship or has not made satisfactory progress in
his or her program of study.
University means an institution of higher education that offers
post-baccalaureate degrees.
Withdrawal means the voluntary relinquishment or surrender of a
Fellowship by the Fellow.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Subpart B_Application

Sec. 2400.10 Application.

Eligible applicants for fellowships must apply directly to the
Foundation.

Sec. 2400.11 Faculty representatives.

Each college and university that chooses to do so may annually
appoint or reappoint a faculty representative who will be asked to
identify and recruit fellowship applicants on campus, publicize the
annual competition on campus, and otherwise assist eligible candidates
in preparation for applying. In order to elicit the appointment of
faculty representatives, the Foundation will each year request the head
of each college and university campus to appoint or reappoint a faculty
representative and to provide the Foundation with the name, business
address, and business telephone number of a member of its faculty
representative on forms provided for that purpose.

Subpart C_Application Process

Sec. 2400.20 Preparation of application.

Applications, on forms mailed directly by the Foundation to those
who request applications or downloaded from the Foundation's Web site,
must be completed by all fellowship candidates in order that they be
considered for an award.

[69 FR 11814, Mar. 12, 2004]

Sec. 2400.21 Contents of application.

Applications must include for
(a) Senior Fellowships:
(1) Supporting information which affirms an applicant's wish to be
considered for a fellowship; provides information about his or her
background, interests, goals, and the school in which he or she teaches;
and includes a statement about the applicant's educational plans and
specifies how those plans will enhance his or her career as a secondary
school teacher of American history, American government, social studies,
or political science;
(2) An essay of up to 600 words that explains the importance of the
study of the Constitution to:
(i) Young students;

[[Page 653]]

(ii) The applicant's career aspirations and his or her contributions
to public service; and
(iii) Citizenship generally in a constitutional republic;
(3) The applicant's proposed course of graduate study, including the
name of the degree to be sought, the required courses to be taken, as
well as information about the specific degree sought;
(4) Three evaluations, one from an immediate supervisor, that attest
to the applicant's strengths and abilities as a teacher in grades 7-12;
and
(5) A copy of his or her academic transcript.
(b) Junior Fellowships:
(1) Supporting information which affirms an applicant's wish to be
considered for a fellowship; provides information about the applicant's
background, interests, goals, and the college which he or she attends or
attended; and includes a statement about the applicant's educational
plans and specifies how those plans will lead to a career as a teacher
of American history, American government, social studies, or political
science in grades 7-12;
(2) An essay of up to 600 words that explains the importance of the
study of the Constitution to:
(i) Young students;
(ii) The applicant's career aspirations and his or her contribution
to public service; and
(iii) Citizenship generally in a constitutional republic;
(3) Applicant's proposed course of graduate study, including the
name of the degree sought, the name of the required courses to be taken,
and information about the specific degree sought;
(4) Three evaluations that attest to the applicant's academic
achievements and to his or her potential to become an outstanding
secondary school teacher; and
(5) A copy of his or her academic transcript.

Sec. 2400.22 Application deadline.

Completed applications must be received by the Foundation no later
than March 1st of each year preceding the start of the academic year for
which candidates are applying.

Subpart D_Selection of Fellows

Sec. 2400.30 Selection criteria.

Applicants will be evaluated, on the basis of materials in their
applications, as follows:
(a) Demonstrated commitment to teaching American history, American
government, social studies, or political science at the secondary school
level;
(b) Demonstrated intention to pursue a program of graduate study
that emphasizes the Constitution and to offer classroom instruction in
that subject;
(c) Demonstrated record of willingness to devote themselves to civic
responsibility;
(d) Outstanding performance or potential of performance as classroom
teachers;
(e) Academic achievements and demonstrated capacity for graduate
study; and
(f) Proposed courses of graduate study, especially the nature and
extent of their subject matter components, and their relationship to the
enhancement of applicants' teaching and professional activities.
(g) Content of the 600-word essay.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Sec. 2400.31 Selection process.

(a) An independent Fellow Selection Committee will evaluate all
valid applications and recommend to the Foundation the most outstanding
applicants from each state for James Madison Fellowships.
(b) From among candidates recommended for fellowships by the Fellow
Selection Committee, the Foundation will name James Madison Fellows. The
selection procedure will assure that at least one James Madison Fellow,
junior or senior, is selected from each state in which there are at
least two legal resident applicants who meet the eligibility
requirements set forth in Sec. 2400.3 and are judged favorably against
the selection criteria in Sec. 2400.30.
(c) The Foundation may name, from among those applicants recommended
by the Fellow Selection Committee, an alternate or alternates for each
fellowship. An alternate may, at the Foundation's discretion receive a
fellowship if

[[Page 654]]

the person named as a James Madison Fellow declines the award or is not
able to pursue graduate study as contemplated at the time the fellowship
was accepted. An alternate may be named to replace a Fellow who declines
or relinquishes an award until, but no later than, March 1st following
the competition in which the alternate has been selected.
(d) Funds permitting, the Foundation may also select, from among
those recommended by the Fellow Selection Committee, Fellows at large.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Subpart E_Graduate Study

Sec. 2400.40 Institutions of graduate study.

Fellowship recipients may attend any accredited university in the
United States with a master's degree program offering courses or
training that emphasize the origins, principles, and development of the
Constitution of the United States and its comparison with the
constitutions and history of other forms of government.

Sec. 2400.41 Degree programs.

(a) Fellows may pursue a master's degree in history or political
science (including government or politics), the degree of Master of Arts
in Teaching in history or political science (including government or
politics), or a related master's degree in education that permits a
concentration in American history, American government, social studies,
or political science. Graduate degrees under which study is excluded
from fellowship support are indicated in Sec. 2400.63.
(b) A master's degree pursued under a James Madison Fellowship may
entail either one or two years or their equivalent of study, according
to the requirements of the university at which a Fellow is enrolled.

Sec. 2400.42 Approval of Plan of Study.

The Foundation must approve each Fellow's Plan of Study. To be
approved, the plan must:
(a) On a part-time or full-time basis lead to a master's degree in
history or political science, the degree of Master of Arts in Teaching
in history or political science, or a related master's degree in
education that permits a concentration in American history, American
government, social studies, or political science;
(b) Include courses, graduate seminars, or opportunities for
independent study in topics directly related to the framing and history
of the Constitution of the United States;
(c) Be pursued at a university that assures a willingness to accept
up to 6 semester hours of accredited transfer credits from another
graduate institution for a Fellow's satisfactory completion of the
Foundation's Summer Institute on the Constitution. For the Foundation's
purposes, these 6 semester hours may be included in the required minimum
of 12 semester hours or their equivalent of study of the United States
Constitution; and
(d) Be pursued at a university that encourages the Fellow to enhance
his or her capacities as a teacher of American history, American
government, social studies, or political science and to continue his or
her career as a secondary school teacher. The Foundation reserves the
right to refuse to approve a Fellow's Plan of Study at a university that
will not accept on transfer the 6 credits for the Institute.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Sec. 2400.43 Required courses of graduate study.

(a) To be acceptable to the Foundation, those courses related to the
Constitution referred to in Sec. 2400.43(b) must amount to at least 12
semester or 18 quarter hours or their credit hour equivalent of study of
topics directly related to the United States Constitution. More than 12
semester hours or their credit hour equivalent of such study is strongly
encouraged.
(b) The courses that fulfill the required minimum of 12 semester
hours or their credit hour equivalent of study of the United States
Constitution must cover one or more of the following subject areas:
(1) The history of colonial America leading up to the framing of the
Constitution;

[[Page 655]]

(2) The Constitution itself, its framing, the history and principles
upon which it is based, its ratification, the Federalist Papers, Anti-
Federalist writings, and the Bill of Rights;
(3) The historical development of political theory, constitutional
law, and civil liberties as related to the Constitution;
(4) Interpretations of the Constitution by the Supreme Court and
other branches of the federal government;
(5) Debates about the Constitution in other forums and about the
effects of constitutional norms and decisions upon American society and
culture; and
(6) Any other subject clearly related to the framing, history, and
principles of the Constitution.
(c) If a master's degree program in which a Fellow is enrolled
requires a master's thesis in place of a course or courses, the Fellow
will have the option of writing the thesis based on the degree
requirements. The preparation of a master's thesis should not add
additional required credits to the minimum number of credits required
for the master's degree. If a Fellow must write a thesis, the topic of
the thesis must relate to subjects concerning the framing, principles,
or history of the United States Constitution. If the Fellow can choose
between two degree tracks, a thesis track or a non-thesis track, the
Foundation in general, requires the non-thesis track.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Sec. 2400.44 Commencement of graduate study.

(a) Fellows may commence study under their fellowships as early as
the summer following the announcement of their award. Fellows are
normally expected to commence study under their fellowships in the fall
term of the academic year following the date on which their award is
announced. However, as indicated in Sec. 2400.61, they may seek to
postpone the commencement of fellowship study for up to one year under
extenuating circumstances.
(b) In determining the two- and five-year fellowship periods of
Junior and Senior Fellows respectively, the Foundation will consider the
commencement of the fellowship period to be the date on which each
Fellow commences study under a fellowship.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Sec. 2400.45 Special consideration: Junior Fellows' Plan of Study.

Applicants for Junior Fellowships who seek or hold baccalaureate
degrees in education are strongly encouraged to pursue master's degrees
in history or political science. Those applicants who hold undergraduate
degrees in history, political science, government, or any other subjects
may take some teaching methods and related courses, although the
Foundation will not pay for them unless they are required for the degree
for which the Fellow is matriculated. The Foundation will review each
proposed Plan of Study for an appropriate balance of subject matter and
other courses based on the Fellow's goals, background, and degree
requirements.

Sec. 2400.46 Special consideration: second master's degree.

The Foundation may award Senior Fellowships to applicants who are
seeking their second master's degrees providing that the applicants'
first master's degree was obtained at least three years prior to the
year in which the applicants would normally commence study under a
fellowship. In evaluating applications from individuals intending to
pursue a second master's degree, the Fellow Selection Committee will
favor those applicants who are planning to become American history,
American government, social studies, or political science teachers after
having taught another subject and applicants whose initial master's
degree was in a subject different from that sought under the second
master's degree.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11814, Mar. 12, 2004]

Sec. 2400.47 Summer Institute's relationship to fellowship.

Each year, the Foundation normally offers during July a four-week
graduate-level Institute on the principles, framing, ratification, and
implementation of the United States Constitution

[[Page 656]]

at an accredited university in the Washington, DC, area. The Institute
is an integral part of each fellowship.

[69 FR 11815, Mar. 12, 2004]

Sec. 2400.48 Fellows' participation in the Summer Institute.

Each fellow is required as part of his or her fellowship to attend
the Institute (if it is offered), normally during the summer following
the Fellow's commencement of graduate study under a fellowship.

[69 FR 11815, Mar. 12, 2004]

Sec. 2400.49 Contents of the Summer Institute.

The principal element of the Institute is a graduate history course,
``Foundations of American Constitutionalism.'' Other components of the
Institute include study visits to sites associated with the lives and
careers of members of the founding generation.

Sec. 2400.50 Allowances and Summer Institute costs.

At the Foundation's discretion, Fellows may be paid an allowance to
help offset income foregone by their required attendance. The Foundation
also funds the costs of the Institute and Fellows' round-trip
transportation to and from the Institute site. The costs of tuition,
required fees, books, room, and board entailed by the Institute will be
paid for by the Foundation directly but may be offset against fellowship
award limits if the credits earned for the Institute are included within
the Fellows' degree requirements.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11815, Mar. 12, 2004]

Sec. 2400.51 Summer Institute accreditation.

The Institute is accredited for six graduate semester credits by the
university at which it is held. It is expected that the universities at
which Fellows are pursuing their graduate study will, upon Fellows'
satisfactory completion of the Institute, accept these credits or their
credit-hour equivalent upon transfer from the university at which the
Institute is held in fulfillment of the minimum number of credits
required for Fellows' graduate degrees. Satisfactory completion of the
Institute will fulfill 6 of the Foundation's 12 semester credits
required in graduate study of the history and development of the
Constitution. Fellows, with the Foundation's assistance, are strongly
encouraged to make good faith efforts to have their universities
incorporate the Institute into their Plan of Study and accept the 6
Institute credits toward the minimum number of credits required for
their master's degrees.

Subpart F_Fellowship Stipend

Sec. 2400.52 Amount of stipend.

Junior and Senior Fellowships carry a stipend of up to a maximum of
$24,000 pro-rated over the period of Fellows' graduate study. In no case
shall the stipend for a fellowship exceed $12,000 per academic year.
Within this limit, stipends will be pro-rated over the period of
Fellows' graduate study as follows: a maximum of $6,000 per academic
semester or trimester of full-time study, and a maximum of $4,000 per
academic quarter of full-time study. Stipends for part-time study will
be pro rata shares of those allowable for full-time study.

Sec. 2400.53 Duration of stipend.

Stipends for Junior Fellowships may be payable over a period up to 2
calendar years of full-time graduate study, and those for Senior
Fellowships may be payable over a period of not more than 5 calendar
years of part-time graduate study, beginning with the dates under which
Fellows commence their graduate study under their fellowships. However,
the duration of stipend payments will be subject to the maximum payment
limits, the length of award time limits, and the completion of the
minimum degree requirements, whichever occurs first. A waiver of the
time limit may be given for full-time students who require more than 36
credit hours or 54 quarter hours to complete their approved degree.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11815, Mar. 12, 2004]

[[Page 657]]

Sec. 2400.54 Use of stipend.

Stipends shall be used only to pay the costs of tuition, required
fees, books, room, and board associated with graduate study under a
fellowship. The costs allowed for a Fellow's room and board will be the
amount the Fellow's university reports to the Foundation as the cost of
room and board for a graduate student if that student were to share a
room at the student's university. If no shared graduate housing exists,
then costs for regular shared student housing will be used. If no campus
housing exists, the equivalent room and board costs at neighboring
universities will be used. Stipends for room, board, and books will be
pro-rated for Fellows enrolled in study less than full time. The
Foundation will not reimburse Fellows for any portion of their master's
degree study, that Fellows may have completed prior to the commencement
of their fellowships. Nor will the Foundation reimburse Fellows for any
credits acquired above the minimum number of credits required for the
degree. If a Fellow has already taken and paid for courses that can be
credited toward the Fellow's graduate degree under a fellowship, those
must be credited to the degree; the remaining required courses will be
paid for by the Foundation.

Sec. 2400.55 Certification for stipend.

In order to receive a fellowship stipend, a Fellow must submit the
following nine items in writing:
(a) An acceptance of the terms and conditions of the fellowship
including a completed certificate of compliance form;
(b) Evidence of admission to an approved graduate program;
(c) Certified copies of undergraduate and, if any, graduate
transcripts;
(d) A certified payment request form indicating the estimated costs
for tuition, required fees, books, room, and board;
(e) a photo copy of the university's bulletin of cost information;
(f) The amount and nature of income from any other grants or awards;
(g) information about the Fellow's degree requirements, including
the number of required credits to fulfill the degree;
(h) a statement of the university's willingness to accept the
transfer of 6 credits toward the Fellow's degree requirements for the
Fellow's satisfactory completion of the Summer Institute (see Sec.
2400.51); and
(i) A full Plan of Study over the duration of the fellowship,
including information on the contents of required constitutional
courses. Senior Fellows must provide evidence of their continued full-
time employment as teachers in grades 7-12.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11815, Mar. 12, 2004]

Sec. 2400.56 Payment of stipend.

Payment for tuition, required fees, books, room, and board subject
to the limitations in Sec. Sec. 2400.52 through 2400.55 and Sec. Sec.
2400.59 through 2400.60 will be paid via Electronic Funds Transfer to
each Fellow at the beginning of each term of enrollment and upon the
Fellow's submission of a completed Payment Request Form which includes
the current University bulletin of cost information.

[69 FR 11815, Mar. 12, 2004]

Sec. 2400.57 Termination of stipend.

(a) The Foundation may suspend or terminate the payment of a stipend
if a Fellow fails to meet the criteria set forth in Sec. 2400.40
through Sec. 2400.44 and Sec. 2400.60, except as provided for in Sec.
2400.61. Before it suspends or terminates a fellowship under these
circumstances, the Foundation will give notice to the Fellow, as well as
the opportunity to be heard with respect to the grounds for suspension
or termination.
(b) The Foundation will normally suspend the payment of a stipend if
a Fellow has more than one grade of ``Incomplete'' in courses for which
the Foundation has made payment to the Fellow.

Sec. 2400.58 Repayment of stipend.

(a) If a Fellow fails to secure a master's degree, fails to teach
American history, American government, social studies, or political
science on a full-time basis in a secondary school for at least one
school year for each academic year for which assistance was provided

[[Page 658]]

under a fellowship, fails to secure at least 12 semester hours or their
credit hour equivalent for study of the Constitution as indicated in
Sec. 2400.43(b), or fails to attend the Foundation's Summer Institute
on the Constitution, the Fellow must repay all of the fellowship costs
received plus interest at the rate of 6% per annum or as otherwise
authorized and, if applicable, reasonable collection fees, as prescribed
in Section 807 of the Act (20 U.S.C. 4506(b)).
(b) If a Fellow withdraws from the fellowship or has a fellowship
terminated by the Foundation, the Fellow must repay all fellowship funds
which have been remitted to the Fellow or on his or her behalf under a
fellowship.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11815, Mar. 12, 2004]

Subpart G_Special Conditions

Sec. 2400.59 Other awards.

Fellows may accept grants from other foundations, institutions,
corporations, or government agencies to support their graduate study or
to replace any income foregone for study. However, the stipend paid by
the Foundation for allowable costs indicated in Sec. 2400.52 will be
reduced to the extent these costs are paid from other sources, and in no
case will fellowship funds be paid to Fellows to provide support in
excess of their actual total costs of tuition, required fees, books,
room, and board. The Foundation may also reduce a Fellow's stipend if
the Fellow is remunerated for the costs of tuition under a research or
teaching assistantship or a work-study program. In such a case, the
Foundation will require information from a Fellow's university about the
intended use of assistantship or work-study support before remitting
fellowship payments.

Sec. 2400.60 Renewal of award.

(a) Provided that Fellows have submitted all required documentation
and are making satisfactory academic progress, it is the intent of the
Foundation to renew Junior Fellowship awards annually for a period not
to exceed two calendar years or the completion of their graduate
degrees, whichever comes first, and Senior Fellowships for a period not
to exceed 5 calendar years (except when those periods have been altered
because of changes in Fellows' Plan of Study as provided for in Sec.
2400.64), or until a Fellow has completed all requirements for a
master's degree, whichever comes first. In no case, however, will the
Foundation continue payments under a fellowship to a Fellow who has
reached the maximum payments under a fellowship as indicated in Sec.
2400.52, or completed the minimum number of credits required for the
degree. Although Fellows are not discouraged in taking courses in
addition to those required for the degree or required to maintain full-
time status, the Foundation will not in such cases pay for those
additional courses.
(b) Fellowship renewal will be subject to an annual review by the
Foundation and certification by an authorized official of the university
at which a Fellow is registered that the Fellow is making satisfactory
progress toward the degree and is in good academic standing according to
the standards of each university.
(c) As a condition of renewal of awards, each Fellow must submit an
annual activity report to the Foundation by July 15th. That report must
indicate, through submission of a copy of the Fellow's most recent
transcript, courses taken and grades achieved; courses planned for the
coming year; changes in academic or professional plans or situations;
any awards, recognitions, or special achievements in the Fellow's
academic study or school employment; and such other information as may
relate to the fellowship and its holder.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11815, Mar. 12, 2004]

Sec. 2400.61 Postponement of award.

Upon application to the Foundation, a Fellow may seek postponement
of his or her fellowship because of ill health or other mitigating
circumstances, such as military duty, temporary disability, necessary
care of an immediate family member, or unemployment as a teacher.
Substantiation of the reasons for the requested postponement of study
will be required. All postponements are given at the Foundation's

[[Page 659]]

discretion and will normally not extend for more than one year.

[61 FR 46734, Sept. 5, 1996, as amended at 69 FR 11815, Mar. 12, 2004]

Sec. 2400.62 Evidence of master's degree.

At the conclusion of graduate studies, each Fellow must provide a
certified transcript which indicates that he or she has secured an
approved master's degree as set forth in the Fellow's original Plan of
Study or approved modifications thereto.

Sec. 2400.63 Excluded graduate study.

James Madison Fellowships do not provide support for study toward
doctoral degrees, for the degree of master of arts in public affairs or
public administration. The Foundation may at its discretion, upon
request of the Fellow, provide tuition only assistance toward teacher
certification.

[69 FR 11815, Mar. 12, 2004]

Sec. 2400.64 Alterations to Plan of Study.

Although Junior Fellows are expected to pursue full-time study and
Senior Fellows to pursue part-time study, the Foundation may permit
Junior Fellows with an established need (such as the need to accept a
teaching position) to study part time and Senior Fellows with
established need (such as great distance between the Fellow's residence
and the nearest university, thus necessitating a full-time leave of
absence from employment in order to study) to study full time.

Sec. 2400.65 Teaching obligation.

Upon receiving a Master's degree, each Fellow must teach American
history, American government, social studies, or political science on a
full-time basis to students in secondary school for a period of not less
than one year for each academic year for which financial assistance was
received. Each Fellow will be required to provide the Foundation with an
annual certification from an official of the secondary school where the
Fellow is employed indicating the teaching activities of the Fellow
during the past year. This same certification will be required each year
until the Fellow's teaching obligation is completed. Any teaching done
by the Fellow prior to or during graduate studies does not count towards
meeting this teaching obligation.

Sec. 2400.66 Completion of fellowship.

A Fellow will be deemed to have satisfied all terms of a fellowship
and all obligations under it when the Fellow has completed no fewer than
12 graduate semester hours or the equivalent of study of the
Constitution, formally secured the masters degree, attended the
Foundation's Summer Institute on the Constitution, completed teaching
for the number of years and fractions thereof required as a condition of
accepting Foundation support for study, and submitted all required
reports.

PART 2490_ENFORCEMENT OF NONDISCRIMINATION ON THE BASIS
OF HANDICAP IN PROGRAMS OR ACTIVITIES CONDUCTED BY THE JAMES
MADISON MEMORIAL FELLOWSHIP FOUNDATION--Table of Contents

Sec.
2490.101 Purpose.
2490.102 Application.
2490.103 Definitions.
2490.104-2490.109 [Reserved]
2490.110 Self-evaluation.
2490.111 Notice.
2490.112-2490.129 [Reserved]
2490.130 General prohibitions against discrimination.
2490.131-2490.139 [Reserved]
2490.140 Employment.
2490.141-2490.148 [Reserved]
2490.149 Program accessibility: Discrimination prohibited.
2490.150 Program accessibility: Existing facilities.
2490.151 Program accessibility: New construction and alterations.
2490.152-2490.159 [Reserved]
2490.160 Communications.
2490.161-2490.169 [Reserved]
2490.170 Compliance procedures.
2490.171-2490.999 [Reserved]

Authority: 29 U.S.C. 794.

Source: 58 FR 57699, Oct. 26, 1993, unless otherwise noted.

Sec. 2490.101 Purpose.

The purpose of this part is to effectuate section 119 of the
Rehabilitation,

[[Page 660]]

Comprehensive Services, and Developmental Disabilities Amendments of
1978, which amended section 504 of the Rehabilitation Act of 1973 to
prohibit discrimination on the basis of handicap in programs or
activities conducted by Executive agencies or the United States Postal
Service.

Sec. 2490.102 Application.

This part (Sec. Sec. 2490.101-2490.170) applies to all programs or
activities conducted by the agency, except for programs or activities
conducted outside the United States that do not involve individuals with
handicaps in the United States.

Sec. 2490.103 Definitions.

For purposes of this part, the term--
Assistant Attorney General means the Assistant Attorney General,
Civil Rights Division, United States Department of Justice.
Auxiliary aids means services or devices that enable persons with
impaired sensory, manual, or speaking skills to have an equal
opportunity to participate in, and enjoy the benefits of, programs or
activities conducted by the agency. For example, auxiliary aids useful
for persons with impaired vision include readers, Brailled materials,
audio recordings, and other similar services and devices. Auxiliary aids
useful for persons with impaired hearing include telephone handset
amplifiers, telephones compatible with hearing aids, telecommunication
devices for deaf persons (TTD's), interpreters, notetakers, written
materials, and other similar services and devices.
Complete complaint means a written statement that contains the
complainant's name and address and describes the agency's alleged
discriminatory action in sufficient detail to inform the agency of the
nature and date of the alleged violation of section 504. It shall be
signed by the complainant or by someone authorized to do so on his or
her behalf. Complaints filed on behalf of classes or third parties shall
describe or identify (by name, if possible) the alleged victims of
discrimination.
Facility means all or any portion of buildings, structures,
equipment, roads, walks, parking lots, rolling stock or other
conveyances, or other real or personal property.
Historic preservation programs means programs conducted by the
agency that have preservation of historic properties as a primary
purpose.
Historic properties means those properties that are listed or
eligible for listing in the National Register of Historic Places or
properties designated as historic under a statute of the appropriate
State or local government body.
Individual with handicaps means any person who has a physical or
mental impairment that substantially limits one or more major life
activities, has a record of such an impairment, or is regarded as having
such an impairment. As used in this definition, the phrase:
(1) Physical or mental impairment includes--
(i) Any physiological disorder or condition, cosmetic disfigurement,
or anatomical loss affecting one or more of the following body systems:
Neurological; musculoskeletal; special sense organs; respiratory,
including speech organs; cardiovascular; reproductive; digestive;
genitourinary; hemic and lymphatic; skin; and endocrine; or
(ii) Any mental or psychological disorder, such as mental
retardation, organic brain syndrome, emotional or mental illness, and
specific learning disabilities. The term ``physical or mental
impairment'' includes, but is not limited to, such diseases and
conditions as orthopedic, visual, speech, and hearing impairments,
cerebral palsy, epilepsy, muscular dystrophy, multiple sclerosis,
cancer, heart disease, diabetes, mental retardation, emotional illness,
HIV disease (whether symptomatic or asymptomatic), and drug addiction
and alcoholism.
(2) Major life activities include functions such as caring for one's
self, performing manual tasks, walking, seeing, hearing, speaking,
breathing, learning, and working.
(3) Has a record of such an impairment means has a history of, or
has been misclassified as having, a mental or physical impairment that
substantially limits one or more major life activities.
(4) Is regarded as having an impairment means--
(i) Has a physical or mental impairment that does not substantially
limit major life activities but is treated by

[[Page 661]]

the agency as constituting such a limitation;
(ii) Has a physical or mental impairment that substantially limits
major life activities only as a result of the attitudes of others toward
such impairment; or
(iii) Has none of the impairments defined in paragraph (1) of this
definition but is treated by the agency as having such an impairment.
Qualified individual with handicaps means--
(1) With respect to preschool, elementary, or secondary education
services provided by the agency, an individual with handicaps who is a
member of a class of persons otherwise entitled by statute, regulation,
or agency policy to receive education services from the agency;
(2) With respect to any other agency program or activity under which
a person is required to perform services or to achieve a level of
accomplishment, an individual with handicaps who meets the essential
eligibility requirements and who can achieve the purpose of the program
or activity without modifications in the program or activity that the
agency can demonstrate would result in a fundamental alteration in its
nature;
(3) With respect to any other program or activity, an individual
with handicaps who meets the essential eligibility requirements for
participation in, or receipt of benefits from, that program or activity;
and
(4) Qualified handicapped person as that term is defined for
purposes of employment in 29 CFR 1614.203(a)(6), which is made
applicable to this part by Sec. 2490.140.
Section 504 means section 504 of the Rehabilitation Act of 1973
(Pub. L. 93-112, 87 Stat. 394 (29 U.S.C. 794)), as amended. As used in
this part, section 504 applies only to programs or activities conducted
by Executive agencies and not to federally assisted programs.
Substantial impairment means a significant loss of the integrity of
finished materials, design quality, or special character resulting from
a permanent alteration.

Sec. Sec. 2490.104-2490.109 [Reserved]

Sec. 2490.110 Self-evaluation.

Sec. 2490.111 Notice.

Sec. Sec. 2490.112-2490.129 [Reserved]

Sec. 2490.130 General prohibitions against discrimination.

[[Page 662]]

(i) Deny a qualified individual with handicaps the opportunity to
participate in or benefit from the aid, benefit, or service;
(ii) Afford a qualified individual with handicaps an opportunity to
participate in or benefit from the aid, benefit, or service that is not
equal to that afforded others;
(iii) Provide a qualified individual with handicaps with an aid,
benefit, or service that is not as effective in according equal
opportunity to obtain the same result, to gain the same benefit, or to
reach the same level of achievement as that provided to others;
(iv) Provide different or separate aid, benefits, or services to
individuals with handicaps or to any class of individuals with handicaps
than is provided to others unless such action is necessary to provide
qualified individuals with handicaps with aid, benefits, or services
that are as effective as those provided to others;
(v) Deny a qualified individual with handicaps the opportunity to
participate as a member of planning or advisory boards;
(vi) Otherwise limit a qualified individual with handicaps in the
enjoyment of any right, privilege, advantage, or opportunity enjoyed by
others receiving the aid, benefit, or service.
(2) The agency may not deny a qualified individual with handicaps
the opportunity to participate in programs or activities that are no
separate or different, despite the existence of permissibly separate or
different programs or activities.
(3) The agency may not, directly or through contractual or other
arrangements, utilize criteria or methods of administration the purpose
or effect of which would--
(i) Subject qualified individuals with handicaps to discrimination
on the basis of handicap; or
(ii) Defeat or substantially impair accomplishment of the objectives
of a program or activity with respect to individuals with handicaps.
(4) The agency may not, in determining the site or location of a
facility, make selections the purpose or effect of which would--
(i) Exclude individuals with handicaps from, deny them the benefits
of, or otherwise subject them to discrimination under any program or
activity conducted by the agency; or
(ii) Defeat or substantially impair the accomplishment of the
objectives of a program or activity with respect to individuals with
handicaps.
(5) The agency, in the selection of procurement contractors, may not
use criteria that subject qualified individuals with handicaps to
discrimination on the basis of handicap.
(6) The agency may not administer a licensing or certification
program in a manner that subjects qualified individuals with handicaps
to discrimination on the basis of handicap, nor may the agency establish
requirements for the programs or activities of licensees or certified
entities that subject qualified individuals with handicaps to
discrimination on the basis of handicap. However, the programs or
activities of entities that are licensed or certified by the agency are
not, themselves, covered by this part.
(c) The exclusion of nonhandicapped persons from the benefits of a
program limited by Federal statute or Executive order to individuals
with handicaps or the exclusion of a specific class of individuals with
handicaps from a program limited by Federal statute or Executive order
to a different class of individuals with handicaps is not prohibited by
this part.
(d) The agency shall administer programs and activities in the most
integrated setting appropriate to the needs of qualified individuals
with handicaps.

Sec. Sec. 2490.131-2490.139 [Reserved]

Sec. 2490.140 Employment.

No qualified individual with handicaps shall, on the basis of
handicap, be subjected to discrimination in employment under any program
or activity conducted by the agency. The definitions, requirements, and
procedures of section 501 of the Rehabilitation Act of 1973 (29 U.S.C.
791), as established by the Equal Employment Opportunity Commission in
29 CFR part 1614, shall apply to employment in federally conducted
programs or activities.

[[Page 663]]

Sec. Sec. 2490.141-2490.148 [Reserved]

Sec. 2490.149 Program accessibility: Discrimination prohibited.

Except as otherwise provided in Sec. 2490.150, no qualified
individual with handicaps shall, because the agency's facilities are
inaccessible to or unusable by individuals with handicaps, be denied the
benefits of, be excluded from participation in, or otherwise be
subjected to discrimination under any program or activity conducted by
the agency.

Sec. 2490.150 Program accessibility: Existing facilities.

(a) General. The agency shall operate each program or activity so
that the program or activity, when viewed in its entirety, is readily
accessible to and usable by individuals with handicaps. This paragraph
does not--
(1) Necessarily require the agency to make each of its existing
facilities accessible to and usable by individuals with handicaps;
(2) In the case of historic preservation programs, require the
agency to take any action that would result in a substantial impairment
of significant historic features of an historic property; or
(3) Require the agency to take any action that it can demonstrate
would result in a fundamental alteration in the nature of a program or
activity or in undue financial and administrative burdens. In those
circumstances where agency personnel believe that the proposed action
would fundamentally alter the program or activity or would result in
undue financial and administrative burdens, the agency has the burden of
proving that compliance with Sec. 2490.150(a) would result in such
alteration or burdens. The decision that compliance would result in such
alteration or burdens must be made by the agency head or his or her
designee after considering all agency resources available for use in the
funding and operation of the conducted program or activity, and must be
accompanied by a written statement of the reasons for reaching that
conclusion. If an action would result in such an alteration or such
burdens, the agency shall take any other action that result in such an
alteration or such burdens but would nevertheless ensure that
individuals with handicaps receive the benefits and services of the
program or activity.
(b) Methods--(1) General. The agency may comply with the
requirements of this section through such means as redesign of
equipment, reassignment of services to accessible buildings, assignment
of aides to beneficiaries, home visits, delivery of services at
alternate accessible sites, alteration of existing facilities and
construction of new facilities, use of accessible rolling stock, or any
other methods that result in making its programs or activities readily
accessible to and usable by individuals with handicaps. The agency is
not required to make structural changes in existing facilities where
other methods are effective in achieving compliance with this section.
The agency, in making alterations to existing buildings, shall meet
accessibility requirements to the extent compelled by the Architectural
Barriers Act of 1968, as amended (42 U.S.C. 4151-4157), and any
regulations implementing it. In choosing among available methods for
meeting the requirements of this section, the agency shall give priority
to those methods that offer programs and activities to qualified
individuals with handicaps in the most integrated setting appropriate.
(2) Historic preservation programs. In meeting the requirements of
Sec. 2490.150(a) in historic preservation programs, the agency shall
give priority to methods that provide physical access to individuals
with handicaps. In cases where a physical alteration to an historic
property is not required because of Sec. 2490.150(a)(2) or (a)(3),
alternative methods of achieving program accessibility include--
(i) Using audio-visual materials and devices to depict those
portions of an historic property that cannot otherwise be made
accessible;
(ii) Assigning persons to guide individuals with handicaps into or
through portions of historic properties that cannot otherwise be made
accessible; or
(iii) Adopting other innovative methods.

[[Page 664]]

(c) Time period for compliance. The agency shall comply with the
obligations established under this section by January 24, 1994, except
that where structural changes in facilities are undertaken, such changes
shall be made by November 26, 1996, but in any event as expeditiously as
possible.
(d) Transition plan. In the event that structural changes to
facilities will be undertaken to achieve program accessibility, the
agency shall develop, by May 26, 1994, a transition plan setting forth
the steps necessary to complete such changes. The agency shall provide
an opportunity to interested persons, including individuals with
handicaps or organizations representing individuals with handicaps, to
participate in the development of the transition plan by submitting
comments (both oral and written). A copy of the transition plan shall be
made available for public inspection. The plan shall, at a minimum--
(1) Identify physical obstacles in the agency's facilities that
limit the accessibility of its programs or activities to individuals
with handicaps;
(2) Describe in detail the methods that will be used to make the
facilities accessible;
(3) Specify the schedule for taking the steps necessary to achieve
compliance with this section and, if the time period of the transition
plan is longer than one year, identify steps that will be taken during
each year of the transition period; and
(4) Indicate the official responsible for implementation of the
plan.

Sec. 2490.151 Program accessibility: New construction and alterations.

Sec. Sec. 2490.152-2490.159 [Reserved]

Sec. 2490.160 Communications.

(a) The agency shall take appropriate steps to ensure effective
communication with applicants, participants, personnel of other Federal
entities, and members of the public.
(1) The agency shall furnish appropriate auxiliary aids where
necessary to afford an individual with handicaps an equal opportunity to
participate in, and enjoy the benefits of, a program or activity
conducted by the agency.
(i) In determining what type of auxiliary aid is necessary, the
agency shall give primary consideration to the requests of the
individual with handicaps.
(ii) The agency need not provide individually prescribed devices,
readers for personal use or study, or other devices of a personal
nature.
(2) Where the agency communicates with applicants and beneficiaries
by telephone, telecommunication devices for deaf persons (TDD's) or
equally effective telecommunication systems shall be used to communicate
with persons with impaired hearing.
(b) The agency shall ensure that interested persons, including
persons with impaired vision or hearing, can obtain information as to
the existence and location of accessible services, activities, and
facilities.
(c) The agency shall provide signage at a primary entrance to each
of its inaccessible facilities, directing users to a location at which
they can obtain information about accessible facilities. The
international symbol for accessibility shall be used at each primary
entrance of an accessible facility.
(d) This section does not require the agency to take any action that
it can demonstrate would result in a fundamental alteration in the
nature of a program or activity or in undue financial and administrative
burdens. In those circumstances where agency personnel believe that the
proposed action would fundamentally alter the program or activity or
would result in undue financial and administrative burdens, the agency
has the burden of proving that compliance with Sec. 2490.160 would
result in such alteration or burdens.

[[Page 665]]

The decision that compliance would result in such alteration or burdens
must be made by the agency head or his or her designee after considering
all agency resources available for use in the funding and operation of
the conducted program or activity and must be accompanied by a written
statement of the reasons for reaching that conclusion. If an action
required to comply with this section would result in such an alteration
or such burdens, the agency shall take any other action that would not
result in such an alteration or such burdens but would nevertheless
ensure that, to the maximum extent possible, individuals with handicaps
receive the benefits and services of the program or activity.

Sec. Sec. 2490.161-2490.169 [Reserved]

Sec. 2490.170 Compliance procedures.

(a) Except as provided in paragraph (b) of this section, this
section applies to all allegations of discrimination on the basis of
handicap in programs and activities conducted by the agency.
(b) The agency shall process complaints alleging violations of
section 504 with respect to employment according to the procedures
established by the Equal Employment Opportunity Commission in 29 CFR
part 1614 pursuant to section 501 of the Rehabilitation Act of 1973 (29
U.S.C. 791).
(c) The Director of Administration and Finance shall be responsible
for coordinating implementation of this section. Complaints may be sent
to James Madison Memorial Fellowship Foundation, 2000 K Street, NW.,
suite 303, Washington, DC 20006.
(d) The agency shall accept and investigate all complete complaints
for which it has jurisdiction. All complete complaints must be filed
within 180 days of the alleged act of discrimination. The agency may
extend this time period for good cause.
(e) If the agency receives a complaint over which it does not have
jurisdiction, it shall promptly notify the complainant and shall make
reasonable efforts to refer the complaint to the appropriate Government
entity.
(f) The agency shall notify the Architectural and Transportation
Barriers Compliance Board upon receipt of any complaint alleging that a
building or facility that is subject to the Architectural Barriers Act
of 1968, as amended (42 U.S.C. 4151-4157), is not readily accessible to
and usable by individuals with handicaps.
(g) Within 180 days of the receipt of a complete complaint for which
it has jurisdiction, the agency shall notify the complainant of the
results of the investigation in a letter containing--
(1) Findings of fact and conclusions of law;
(2) A description of a remedy for each violation found; and
(3) A notice of the right to appeal.
(h) Appeals of the findings of fact and conclusions of law or
remedies must be filed by the complainant within 90 days of receipt from
the agency of the letter required by Sec. 2490.170(g). The agency may
extend this time for good cause.
(i) Timely appeals shall be accepted and processed by the head of
the agency.
(j) The head of the agency shall notify the complainant of the
results of the appeal within 60 days of the receipt of the request. If
the head of the agency determines that additional information is needed
from the complainant, he or she shall have 60 days from the date of
receipt of the additional information to make his or her determination
on the appeal.
(k) The time limits cited in paragraphs (g) and (j) of this section
may be extended with the permission of the Assistant Attorney General.
(l) The agency may delegate its authority for conducting complaint
investigations to other Federal agencies, except that the authority for
making the final determination may not be delegated to another agency.

[58 FR 57699, Oct. 26, 1993]

Sec. Sec. 2490.171-2490.999 [Reserved]

PARTS 2491 2499 [RESERVED]

[[Page 667]]

CHAPTER XXV--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

--------------------------------------------------------------------
Part Page
2500 Americorps statement of organization, agency
operating name, and logos............... 669
2502 Employee indemnification regulations........ 672
2505 Rules implementing the Government in the
Sunshine Act............................ 674
2506 Collection of debts......................... 677
2507 Procedures for disclosure of records under
the Freedom of Information Act.......... 692
2508 Implementation of the Privacy Act of 1974... 706
2509 Administrative practice and procedures...... 715
2510 Overall purposes and definitions............ 719
2513

[Reserved]

2515 Service-learning program purposes........... 724
2516 School-based service-learning programs...... 724
2517 Community-based service-learning programs... 732
2518 Service-learning clearinghouse.............. 736
2519 Higher education innovative programs for
community service....................... 737
2520 General provisions: Americorps Subtitle C
programs................................ 741
2521 Eligible Americorps Subtitle C program
applicants and types of grants available
for award............................... 744
2522 Americorps participants, programs, and
applicants.............................. 750
2523 Agreements with other Federal agencies for
the provision of Americorps program
assistance.............................. 774
2524 Americorps technical assistance and other
special grants.......................... 776
2525 National Service Trust: Purpose and
definitions............................. 778
2526-2530

[Reserved]

2531 Purposes and availability of grants for
investment for quality and innovation
activities.............................. 791
2532 Innovative and special demonstration
programs................................ 792
2533 Technical assistance, training, and other
service infrastructure-building
activities.............................. 794
2534 Special activities.......................... 795

[[Page 668]]

2540 General administrative provisions........... 796
2541

[Reserved]

2543

[Reserved]

2544 Solicitation and acceptance of donations.... 806
2550 Requirements and general provisions for
State commissions and alternative
administrative entities................. 809
2551 Senior Companion Program.................... 817
2552 Foster Grandparent Program.................. 830
2553 The Retired and Senior Volunteer Program.... 844
2554 Program Fraud Civil Remedies Act regulations 855
2555 Nondiscrimination on the basis of sex in
education programs or activities
receiving Federal financial assistance.. 870
2556 Volunteers in service to America............ 886
2557-2599

[Reserved]

[[Page 669]]

PART 2500_AMERICORPS STATEMENT OF ORGANIZATION, AGENCY OPERATING
NAME, AND LOGOS--Table of Contents

Subpart A_Introduction

Sec.
2500.1 Creation and authority.
2500.2 Agency operating name.
2500.3 Purpose and mission.

Subpart B_Organization

2500.10 General.
2500.11 AmeriCorps leadership.
2500.12 Region offices.

Subpart C_Programs

2500.20 Program descriptions.
2500.21 Focus areas.

Subpart D_Logos

2500.30 Description of logos.
2500.31 Retirement of logos.
2500.32 Authority to affix logos.

Authority: 5 U.S.C. 552(a)(1); 42 U.S.C. 4950, et seq., as amended;
42 U.S.C. 12501 et seq., as amended; section 203(c), Pub. L. 103-82, 107
Stat. 892; Proc. 6662, 59 FR 16507, 3 CFR, 1994 Comp., p. 22).

Source: 89 FR 6433, Feb. 1, 2024, unless otherwise noted.

Subpart A_Introduction

Sec. 2500.1 Creation and authority.

The National and Community Service Trust Act of 1993 established the
Corporation for National and Community Service (CNCS) as a Federal
agency, organized in the form of a Government corporation within the
Executive Branch, to administer the national service programs authorized
by the National and Community Service Act of 1990. CNCS also administers
the national service programs authorized by the Domestic Volunteer
Service Act of 1973, as amended, and previously administered by the
former Federal ACTION Agency.

Sec. 2500.2 Agency operating name.

(a) The Corporation for National and Community Service has adopted
AmeriCorps as its official agency operating name.
(b) Use of AmeriCorps as the agency operating name incorporates the
Corporation for National and Community Service by reference.

Sec. 2500.3 Purpose and mission.

AmeriCorps' purpose is to administer the programs established under
the national service laws. AmeriCorps' mission is to improve lives,
strengthen communities, and foster civic engagement through service and
volunteering.

Subpart B_Organization

Sec. 2500.10 General.

(a) The Chief Executive Officer (CEO) is the head of AmeriCorps. The
CEO has authority and control over AmeriCorps personnel, except those in
the Agency's Office of Inspector General, and is responsible for
exercising the powers and discharging the duties authorized by the
National and Community Service Act of 1990, as amended, that are not
otherwise reserved to the Board of Directors.
(b) The Board of Directors is responsible for discharging the duties
authorized to it by the National and Community Service Act of 1990, as
amended.
(c) AmeriCorps consists of headquarters and two sets of regions:
Office of Regional Operations regions and AmeriCorps NCCC regions.

Sec. 2500.11 AmeriCorps leadership.

(a) AmeriCorps' leadership conducts overall planning, coordination
of programs, and all supporting internal operations. AmeriCorps
leadership includes, but is not limited to, the following AmeriCorps
officials:
(1) CEO.
(2) Chief of Staff.
(3) General Counsel.
(4) Chief Operating Officer.
(5) Chief Financial Officer.
(6) Chief Program Officer.
(7) Chief Diversity and Inclusion Officer.
(8) Directors of AmeriCorps programs and offices.
(b) AmeriCorps' public website contains current information on
Agency leadership at www.americorps.gov/about/our-team/our-leadership.

[[Page 670]]

Sec. 2500.12 Region offices.

AmeriCorps' Office of Regional Operations and AmeriCorps NCCC each
have a regional structure.
(a) AmeriCorps' Region Offices, within the Office of Regional
Operations, serve assigned States and Territories across eight regions.
The AmeriCorps website contains contact information for each of these
Region Offices at www.americorps.gov/contact/region-offices.
(b) AmeriCorps National Civilian Community Corps (NCCC) has a campus
facility in each of its regions, which serve the States and Territories.
The AmeriCorps website contains contact information for each of the NCCC
regions at www.americorps.gov/contact/americorps-nccc-regions.

Subpart C_Programs

Sec. 2500.20 Program descriptions.

(a) AmeriCorps operates four main national service programs:
AmeriCorps NCCC, AmeriCorps Seniors, AmeriCorps State and National, and
AmeriCorps VISTA. Additional information on each of these programs and
additional AmeriCorps programs is available at www.americorps.gov.
(1) AmeriCorps NCCC is a full-time residential service program for
individuals aged 18 to 24 (unless otherwise authorized), as defined by
statute. Individuals serving in the NCCC program complete team-based
service projects that respond to priority national and community needs.
AmeriCorps NCCC program staff recruit, train, and manage volunteers
(called ``members'') and partner with organizations that serve as
project sponsors. FEMA Corps is a sub-program that AmeriCorps NCCC
manages in partnership with the Federal Emergency Management Agency. It
places members in service positions to perform disaster public
assistance, planning, preparedness, and recovery activities. The NCCC
Forest Corps is a sub-program that AmeriCorps NCCC manages in
partnership with the U.S. Forest Service. It places members in service
positions to perform wildfire mitigation, reforestation, and climate
resiliency activities. Finally, NCCC houses the agency's Disaster
Services Unit (DSU), the entity which coordinates with FEMA to secure
funding to mobilize AmeriCorps NCCC and AmeriCorps State and National
members under a federally declared disaster.
(2) AmeriCorps Seniors focuses on providing service opportunities
for individuals aged 55 years or older. It operates four national
service programs: the Foster Grandparent Program, Senior Companion
Program, RSVP, and the Senior Demonstration Program. Under each of these
programs, AmeriCorps Seniors provides grants to sponsoring organizations
to meet priority national and community needs. The sponsoring
organizations then recruit and enlist local volunteers, and address
performance measures as required by grant terms and conditions.
(3) AmeriCorps State and National provides grants to States,
Territories, Indian Tribes, public and private nonprofit organizations,
local governments, and institutions of higher education to carry out
national service programs, offering a wide range of service
opportunities. In addition to grant funds to support direct programming,
AmeriCorps State and National also provides general operating funding
for State service commissions.
(4) AmeriCorps VISTA is a program for individuals aged 18 and older
to participate in full-time service to strengthen and supplement efforts
to eliminate and alleviate poverty and poverty-related problems in the
United States. AmeriCorps VISTA partners with local organizations to
recruit, select, train, and assign volunteers (``members'') to work on
projects at a sponsoring organization or one of its project sites.
(b) In addition to its four main national service programs,
AmeriCorps also operates several additional programs and activities.
These include the Martin Luther King, Jr., Day of Service; the September
11th Day of Service and Remembrance; the Volunteer Generation Fund; and
other national service programs that AmeriCorps establishes through
agreements with other Federal agencies.

[[Page 671]]

Sec. 2500.21 Focus areas.

Through its programs, AmeriCorps provides funding and volunteer
opportunities to address pressing unmet human, educational,
environmental, and public safety needs of the United States, without
displacing existing workers, and to meet the additional purposes set out
in the national service laws. AmeriCorps' focus areas include, but are
not limited to, disaster services, economic opportunity, education,
environmental stewardship, healthy futures, and veterans and military
families.

Subpart D_Logos

Sec. 2500.30 Description of logos.

(a) The AmeriCorps logo (Logo) is the key element in agency
identification. It provides a visual representation of the Agency's role
to unite America by bringing people together to serve communities. It is
symbolic of the way AmeriCorps members and volunteers lift and improve
communities through service and volunteering. This Logo links the
graphic communications of all Agency programs.
(b) The Logo is an image of a solid circle containing an A where the
right-hand pillar is a solid block line and the left-hand pillar is
represented by a flagpole with the flag in motion, appearing to fly from
the left to the right and forming the A as the flag intersects with the
other pillar. AmeriCorps appears in bold to the right of the mark.
[GRAPHIC] [TIFF OMITTED] TR01FE24.107

(c) The AmeriCorps Seniors logo (Seniors Logo) identifies the
highlighted AmeriCorps Seniors programs and represents the Agency's
commitment to programs and volunteer opportunities for older Americans.

[[Page 672]]

[GRAPHIC] [TIFF OMITTED] TR01FE24.108

(d) The Seniors Logo contains the word Seniors beneath AmeriCorps,
to the right of the circle containing the A.

Sec. 2500.31 Retirement of logos.

The agency officially retired the day-to-day use of all pre-existing
logos, emblems, and other insignia, except the Days of Service logos,
but does not relinquish the legal rights to any retired logos.

Sec. 2500.32 Authority to affix logos.

Restrictions on the use of AmeriCorps logos are found in 45 CFR
2540.500 through 2540.560.

PART 2502_EMPLOYEE INDEMNIFICATION REGULATIONS--Table of Contents

Sec.
2502.10 Purpose.
2502.20 Applicability.
2502.30 Definitions.
2502.40 Under what circumstances may AmeriCorps indemnify employees?
2502.50 At what point in a legal proceeding will AmeriCorps consider a
request to indemnify the employee?
2502.60 What types of legal proceedings may an AmeriCorps employee seek
indemnification or settlement for?
2502.70 What must an AmeriCorps employee do if served with process or
pleadings that includes a covered claim?
2502.80 What may the General Counsel do upon receipt of the process and
pleadings and report of circumstances?
2502.90 How may an AmeriCorps employee request indemnification?
2502.100 How will AmeriCorps handle the request for indemnification?

Authority: 28 U.S.C. 2679(b)(1); 42 U.S.C. 12651c(c).

Source: 87 FR 54628, Sept. 7, 2022, unless otherwise noted.

Sec. 2502.10 Purpose.

The purpose of this part is to provide the procedures for
indemnification of AmeriCorps employees who are personally named in
certain legal proceedings not covered by the Federal Tort Claims Act
(FTCA) or the Federal Employee Liability Reform and Tort Compensation
Act (FELRTCA) when AmeriCorps determines both that the actions arose
within the scope of their AmeriCorps employment and that indemnification
is in the agency's interest. These determinations are matters of agency
discretion.

Sec. 2502.20 Applicability.

(a) This part is applicable to all former and current AmeriCorps
employees, including special Government employees.
(b) This part does not apply to volunteers, service members,
contractors, or any other individuals who may be affiliated with
AmeriCorps, but not employed by the agency.

Sec. 2502.30 Definitions.

AmeriCorps means the Corporation for National and Community Service.
AmeriCorps employee means a current or former employee of the
Corporation for National and Community Service, regardless of whether
the individual

[[Page 673]]

was an employee before the Corporation for National and Community
Service began operating under the name AmeriCorps.
CEO means the AmeriCorps Chief Executive Officer or their designee.
Covered claim means a claim seeking damages against an employee
personally (or against their estate) for personal injury, death, or loss
of property, resulting from the employee's activities, when AmeriCorps
determines both that the actions arose within the scope of their office
or employment but are not covered by the Federal Tort Claims Act (FTCA)
or the Federal Employee Liability Reform and Tort Compensation Act
(FELRTCA).
General Counsel means the AmeriCorps General Counsel or their
designee.

Sec. 2502.40 Under what circumstances may AmeriCorps indemnify employees?

AmeriCorps may, at its sole discretion, indemnify an AmeriCorps
employee for a verdict, judgment, or other monetary award rendered
against the employee personally in a claim or may settle or compromise a
personal damages claim against an AmeriCorps employee if:
(a) The CEO determines that the AmeriCorps employee's conduct giving
rise to the verdict, judgment, monetary award, or claim was taken within
the scope of their employment;
(b) The CEO determines that the indemnification or settlement is in
AmeriCorps' best interest; and
(c) AmeriCorps appropriated funds are available for the
indemnification or settlement.

Sec. 2502.50 At what point in a legal proceeding will AmeriCorps
consider a request to indemnify the employee?

(a) AmeriCorps may settle or compromise a claim against an
AmeriCorps employee at any time.
(b) Unless there are exceptional circumstances, as determined by the
CEO, AmeriCorps will not consider a request to indemnify a claim before
entry of an adverse verdict, judgment, or award.

Sec. 2502.60 What types of legal proceedings may an AmeriCorps
employee seek indemnification or settlement for?

An AmeriCorps employee may seek indemnification or settlement in any
civil action or proceeding brought, in any court, for a covered claim.

Sec. 2502.70 What must an AmeriCorps employee do if served
with process or pleadings that includes a covered claim?

An AmeriCorps employee who is named as a defendant (or the personal
representative of the AmeriCorps employee's estate) in a legal
proceeding that includes a covered claim and who wishes to seek
indemnification must promptly notify their supervisor, who then promptly
notifies the Office of General Counsel. Former employees must directly
notify the Office of General Counsel.

Sec. 2502.80 What may the General Counsel do upon receipt
of the process and pleadings and report of circumstances?

Where appropriate, the General Counsel may request that the
Department of Justice provide legal representation for the AmeriCorps
employee.

Sec. 2502.90 How may an AmeriCorps employee request indemnification?

To request indemnification for a verdict, judgment, award, or
settlement proposal of a covered claim, the AmeriCorps employee must:
(a) Have complied with the requirements of Sec. 2502.70.
(b) Submit a written request, via their supervisor, to the head of
the employee's office, or (in the case a former employee) directly to
the Office of General Counsel. The written request must include
appropriate documentation, including copies of the verdict, judgment,
award, or settlement proposal.

Sec. 2502.100 How will AmeriCorps handle the request for
indemnification?

(a) The head of the office or their designee will review the
employee's request and submit all of the following to the General
Counsel:
(1) The original or a copy of the employee's request.

[[Page 674]]

(2) A recommendation to approve or deny the request.
(3) A detailed analysis of the basis for a recommendation.
(4) A certification from the Chief Financial Officer as to whether
the agency has funds available to pay the indemnification.
(b) The General Counsel will:
(1) Review the circumstances of the incident that gave rise to the
action or proceeding, and all data relevant to the question of whether
the employee was acting within the scope of their employment.
(2) Where appropriate, seek the views of the U.S. Department of
Justice and/or the U.S. Attorney for the district encompassing the
location where the action or proceeding is brought.
(3) Prepare a recommendation to approve or deny the request.
(4) Forward the request, the accompanying documentation, and the
General Counsel's recommendation to the CEO for a decision.

PART 2505_RULES IMPLEMENTING THE GOVERNMENT IN THE SUNSHINE
ACT--Table of Contents

Sec.
2505.1 Applicability.
2505.2 Definitions.
2505.3 To what extent are meetings of the Board open to the public?
2505.4 On what grounds may the Board close a meeting or withhold
information?
2505.5 What are the procedures for closing a meeting, withholding
information, and responding to requests by affected persons to
close a meeting?
2505.6 What are the procedures for making a public announcement of a
meeting?
2505.7 What are the procedures for changing the time or place of a
meeting following the public announcement?

Authority: 5 U.S.C. 552b; 42 U.S.C. 12651c(c).

Source: 64 FR 66403, Nov. 26, 1999, unless otherwise noted.

Sec. 2505.1 Applicability.

(a) This part implements the provisions of section 3(a) of the
Government in the Sunshine Act (5 U.S.C. 552b). These procedures apply
to meetings of the Corporation's Board of Directors, or to any
subdivision of the Board that is authorized to act on its behalf. The
Board of Directors may waive the provisions of this part to the extent
authorized by law.
(b) Nothing in this part expands or limits the present rights of any
person under the Freedom of Information Act (5 U.S.C. 552), except that
the exemptions set forth in Sec. 2505.4 shall govern in the case of any
request made pursuant to the Freedom of Information Act to copy or
inspect the transcript, recording, or minutes described in Sec. 2505.5.
(c) Nothing is this part authorizes the Corporation to withhold from
any individual any record, including transcripts, recordings, or minutes
required by this part, which is otherwise accessible to such individual
under the Privacy Act (5 U.S.C. 552a).

Sec. 2505.2 Definitions.

As used in this part:
(a) Board means the Board of Directors established pursuant to 42
U.S.C. 12651a, or any subdivision of the Board that is authorized to act
on its behalf.
(b) Chairperson means the Member elected by the Board to serve as
Chairperson.
(c) General Counsel means the Corporation's principal legal officer
or other attorney acting at the designation of the Corporation's
principal legal officer.
(d) Corporation means the Corporation for National and Community
Service established pursuant to 42 U.S.C. 12651.
(e) Meeting means the deliberations of at least a quorum of the
Corporation's Board of Directors where such deliberations determine or
result in the joint conduct or disposition of official Corporation
business. A meeting may be conducted under this part through telephone
or similar communications equipment by means of which all participants
may communicate with each other. The term meeting includes a portion
thereof. The term meeting does not include:
(1) Notation voting or similar consideration of business, whether by
circulation of material to the Members individually in writing or by a
polling of the members individually by telephone.
(2) Action by a quorum of the Board to--

[[Page 675]]

(i) Open or to close a meeting or to release or to withhold
information pursuant to Sec. 2505.5;
(ii) Set an agenda for a proposed meeting;
(iii) Call a meeting on less than seven days' notice as permitted by
Sec. 2505.6(b); or
(iv) Change the subject-matter or the determinations to open or to
close a publicly announced meeting under Sec. 2505.7(b).
(3) A gathering for the purpose of receiving briefings from the
Corporation's staff or expert consultants, provided that Members of the
Board do not engage in deliberations at such sessions that determine or
result in the joint conduct or disposition of official Corporation
business on such matters.
(4) A gathering for the purpose of engaging in preliminary
discussions or exchanges of views that do not effectively predetermine
official Corporation action on a particular matter.
(f) Member means a current member of the Corporation's Board of
Directors.
(g) Presiding Officer means the Chairperson or, in the absence of
the Chairperson, the Vice Chairperson of the Board of Directors or other
member authorized to act in this capacity by the Board.
(h) Quorum means the number of Members authorized to conduct
Corporation business pursuant to the Board's bylaws.

Sec. 2505.3 To what extent are meetings of the Board open to
the public?

The Board shall conduct meetings, as defined in Sec. 2505.2, in
accordance with this part. Except as provided in Sec. 2505.4, the
Board's meetings shall be open to the public. The public is invited to
attend all meetings of the Board that are open to the public but may not
participate in the Board's deliberations at such meetings or record any
meeting by means of electronic, photographic, or other device.

Sec. 2505.4 On what grounds may the Board close a meeting or
withhold information?

The Board may close a meeting or withhold information that otherwise
would be required to be disclosed under Sec. Sec. 2505.5, 2505.6 and
2505.7 if it properly determines that an open meeting or disclosure is
likely to--
(a) Disclose matters that are--
(1) Specifically authorized under criteria established by an
Executive order to be kept secret in the interests of national defense
or foreign policy; and
(2) In fact properly classified pursuant to such Executive order;
(b) Relate solely to the internal personnel rules and practices of
the Corporation;
(c) Disclose matters specifically exempted from disclosure by
statute (other than 5 U.S.C. 552), provided that such statute--
(1) Requires that the matters be withheld from the public in such a
manner as to leave no discretion on the issue; or
(2) Establishes particular criteria for withholding or refers to
particular types of matters to be withheld;
(d) Disclose trade secrets and commercial or financial information
obtained from a person and privileged or confidential;
(e) Involve accusing any person of a crime, or formally censuring
any person;
(f) Disclose information of a personal nature where disclosure would
constitute a clearly unwarranted invasion of personal privacy;
(g) Disclose investigatory records compiled for law enforcement
purposes, or information which, if written, would be contained in such
records, but only to the extent that the production of such records or
information would--
(1) Interfere with enforcement proceedings;
(2) Deprive a person of a right to a fair trial or an impartial
adjudication;
(3) Constitute an unwarranted invasion of personal privacy;
(4) Disclose the identity of a confidential source and, in the case
of a record compiled by a criminal law enforcement authority in the
course of a criminal investigation, or by an agency conducting a lawful
national security intelligence investigation, confidential information
furnished only by the confidential source;
(5) Disclose investigative techniques and procedures; or

[[Page 676]]

(6) Endanger the life or physical safety of law enforcement
personnel;
(h) Disclose information contained in or related to examination,
operating or condition reports prepared by, on behalf of, or for the use
of an agency responsible for the regulation or supervision of financial
institution;
(i) Disclose information the premature disclosure of which would be
likely to significantly frustrate implementation of a proposed action of
the Corporation, except that this provision shall not apply in any
instance where the Corporation has already disclosed to the public the
content or nature of its proposed action, or where the Corporation is
required by law to make such disclosure on its own initiative prior to
taking final action; or
(j) Specifically concerning the Corporation's issuance of a subpoena
or the Corporation's participation in a civil action or proceeding, an
action in a foreign court or international tribunal, or an arbitration,
or the initiation, conduct, or disposition by the Corporation of a
particular case of formal adjudication pursuant to the procedures in 5
U.S.C. 554 or otherwise involving a determination on the record after
opportunity for a hearing.

Sec. 2505.5 What are the procedures for closing a meeting,
withholding information, and responding to requests by affected
persons to close a meeting?

(a) The Board may vote to close a meeting or withhold information
pertaining to a meeting. Such action may be taken only when a majority
of the entire membership of the Board votes to take such action. A
separate vote shall be taken with respect to each action under Sec.
2505.4. The Board may act by taking a single vote with respect to a
series of meetings which are proposed to be closed to the public, or
with respect to any information concerning a series of meetings, so long
as each meeting in the series involves the same particular matters and
is scheduled to be held no more than thirty days after the initial
meeting in the series. Each Member's vote under this paragraph shall be
recorded and no proxies shall be allowed.
(b) If your interests may be directly affected if a meeting is open
you may request that the Board close the meeting on one of the grounds
referred to in Sec. 2505.4(e), (f), or (g). You should submit your
request to the Corporation for National and Community Service, Office of
the General Counsel, 250 E Street SW., Washington, DC 20525. The Board
shall, upon the request of any one of its members, determine by recorded
vote whether to grant your request.
(c) Within one working day of any vote taken pursuant to this
section, the Board shall make publicly available a written copy of such
vote reflecting the vote of each Member on the question. If a meeting is
to be closed to the public, the Board shall, within one working day,
make available a full written explanation of its action closing the
meeting and a list of all persons expected to attend the meeting and
their affiliation.
(d) For each closed meeting, the General Counsel shall publicly
certify that, in his or her opinion, the meeting may be closed to the
public and shall state each relevant exemption relied upon. A copy of
the certification shall be available for public inspection.
(e) For each closed meeting, the Board shall issue a statement
setting forth the time, place, and persons present. A copy of such
statement shall be available for public inspection.
(f)(1) For each closed meeting, with the exception of a meeting
closed pursuant to Sec. 2505.4(h) or (j), the Board shall maintain a
complete transcript or electronic recording adequate to record fully the
proceedings of each meeting.
(2) For meetings that are closed pursuant to Sec. 2505.4(h) or (j),
the Board may maintain a set of minutes in lieu of a transcript or
recording. Such minutes shall fully and clearly describe all matters
discussed and shall provide a full and accurate summary of any actions
taken, and the reasons therefor, including a description of each of the
views expressed on any item and the record of any vote. All documents
considered in connection with any action shall be identified in such
minutes.
(3) The Corporation shall make promptly available to the public, in
a place easily accessible to the public, the transcript, electronic
recording, or minutes of the discussion of any item on the agenda, or of
any item of the

[[Page 677]]

testimony of any witness received at the meeting, except for such item
or items of such discussion or testimony as the Corporation determines
to contain information which may be properly withheld. Copies of such
transcript, or minutes, or a transcription of such recording disclosing
the identity of each speaker, shall be furnished to any person at the
actual cost of duplication or transcription. The Corporation shall
maintain the transcript, recording, or minutes for each closed meeting
for at least two years or at least one year after the conclusion of any
Corporation business acted upon at the meeting, whichever occurs later.

[64 FR 66403, Nov. 26, 1999, as amended at 81 FR 12600, Mar. 10, 2016]

Sec. 2505.6 What are the procedures for making a public
announcement of a meeting?

(a) For each meeting, the Board shall make a public announcement, at
least one week before the meeting, of--
(1) The meeting's time and place;
(2) The matters to be considered;
(3) Whether the meeting is to be open or closed; and
(4) The name and business telephone number of the official
designated by the Board to respond to requests for information about the
meeting.
(b) The one week advance notice required by paragraph (a) of this
section may be reduced only if--
(1) The Board determines by recorded vote that Board business
requires that the meeting be scheduled in less than seven days; and
(2) The public announcement required by paragraph (a) of this
section is made at the earliest practicable time and posted on the
Corporation's home page.
(c) Immediately following a public announcement required by
paragraph (a) of this section, the Corporation will submit for
publication in the Federal Register a notice of the time, place, and
subject matter of the meeting, whether the meeting is open or closed,
any change in one of the preceding, and the name and phone number of the
official designated by the agency to respond to requests for information
about the meeting.

Sec. 2505.7 What are the procedures for changing the time or place
of a meeting following the public announcement?

(a) After there has been a public announcement of a meeting, the
time or place of the meeting may be changed only if the Board publicly
announces the change at the earliest practicable time. Such a change
need not be determined by recorded vote.
(b) After there has been a public announcement of a meeting, the
subject-matter of the meeting, or the determination of the Board to open
or to close a meeting may be changed only when--
(1) The Board determines, by recorded vote, that Board business so
requires and that no earlier announcement of the change was possible;
and
(2) The Board publicly announces the change and the vote of each
Member at the earliest practicable time.
(c) The deletion of any subject-matter previously announced for a
meeting is not a change requiring the approval of the Board under
paragraph (b) of this section.

PART 2506_COLLECTION OF DEBTS--Table of Contents

Subpart A_Introduction

Sec.
2506.1 Why is the Corporation issuing these regulations?
2506.2 Under what authority does the Corporation issue these
regulations?
2506.3 What definitions apply to the regulations in this part?
2506.4 What types of debts are excluded from these regulations?
2506.5 If a debt is not excluded from these regulations, may it be
compromised, suspended, terminated, or waived?
2506.6 What is a claim or debt?
2506.7 Why does the Corporation have to collect debts?
2506.8 What action might the Corporation take to collect debts?
2506.9 What rights do I have as a debtor?

Subpart B_General Provisions

2506.10 Will the Corporation use its cross-servicing agreement with
Treasury to collect its debts?
2506.11 Will the Corporation refer debts to the Department of Justice?
2506.12 Will the Corporation provide information to credit reporting
agencies?

[[Page 678]]

2506.13 How will the Corporation contract for private collection
services?
2506.14 What should I expect to receive from the Corporation if I owe a
debt to the Corporation?
2506.15 What will the notice tell me regarding collection actions that
might be taken if the debt is not paid within 60 days of the
notice, or arrangements to pay the debt are not made within 60
days of the notice?
2506.16 What will the notice tell me about my opportunity for review of
my debt?
2506.17 What must I do to obtain a review of my debt, and how will the
review process work?
2506.18 What interest, penalty charges, and administrative costs will I
have to pay on a debt owed to the Corporation?
2506.19 How can I resolve my debt through voluntary repayment?
2506.20 What is the extent of the Chief Executive Officer's authority to
compromise debts owed to the Corporation, or to suspend or
terminate collection action on such debts?
2506.21 May the Corporation's failure to comply with these regulations
be used as a defense to a debt?

Subpart C_Salary Offset

2506.30 What debts are included or excluded from coverage of these
regulations on salary offset?
2506.31 May I ask the Corporation to waive an overpayment that otherwise
would be collected by offsetting my salary as a Federal
employee?
2506.32 What are the Corporation's procedures for salary offset?
2506.33 How will the Corporation coordinate salary offsets with other
agencies?
2506.34 Under what conditions will the Corporation make a refund of
amounts collected by salary offset?
2506.35 Will the collection of a debt by salary offset act as a waiver
of my rights to dispute the claimed debt?

Subpart D_Tax Refund Offset

2506.40 Which debts can the Corporation refer to Treasury for collection
by offsetting tax refunds?
2506.41 What are the Corporation's procedures for collecting debts by
tax refund offset?

Subpart E_Administrative Offset

2506.50 Under what circumstances will the Corporation collect amounts
that I owe to the Corporation (or some other Federal agency)
by offsetting the debt against payments that the Corporation
(or some other Federal agency) owes me?
2506.51 How will the Corporation request that my debt to the Corporation
be collected by offset against some payment that another
Federal agency owes me?
2506.52 What procedures will the Corporation use to collect amounts I
owe to a Federal agency by offsetting a payment that the
Corporation would otherwise make to me?
2506.53 When may the Corporation make an offset in an expedited manner?
2506.54 Can a judgment I have obtained against the United States be used
to satisfy a debt that I owe to the Corporation?

Subpart F_Administrative Wage Garnishment

2506.55 How will the Corporation collect debts through Administrative
Wage Garnishment?

Authority: 5 U.S.C. 5514; 31 U.S.C. 3701-3720A, 3720D; 44 U.S.C.
2104(a).

Source: 68 FR 16438, Apr. 4, 2003, unless otherwise noted.

Subpart A_Introduction

Sec. 2506.1 Why is the Corporation issuing these regulations?

(a) The Corporation is issuing these regulations to inform the
public of procedures that may be used by the Corporation for the
collection of debt.
(b) These regulations provide that the Corporation will attempt to
collect debts owed to it or other Government agencies either directly,
or by other means including salary offsets, administrative offsets, tax
refund offsets, or administrative wage garnishment.
(c) These regulations also provide that the Corporation has entered
into a cross-servicing agreement with the U.S. Department of the
Treasury (Treasury) under which the Treasury will take authorized action
to collect amounts owed to the Corporation.

Sec. 2506.2 Under what authority does the Corporation issue
these regulations?

(a) The Corporation is issuing the regulations in this part under
the authority of 31 U.S.C. chapter 37, 3701-3720A and 3720D. These
sections implement the requirements of the Federal Claims Collection Act
of 1966, as amended by the Debt Collection Act of 1982 and the Debt
Collection Improvement Act of 1996.

[[Page 679]]

(b) The Corporation is also issuing the regulations in this part to
conform to the Federal Claims Collection Standards (FCCS), which
prescribe standards for handling the Federal Government's claims for
money or property. The FCCS are issued by the Department of Justice
(DOJ) and the Treasury at 31 CFR chapter IX, parts 900-904. The
Corporation adopts those standards without change. The regulations in
this part supplement the FCCS by prescribing procedures necessary and
appropriate for the Corporation's operations.
(c) The Corporation is also issuing the regulations in this part to
conform to the standards for handling Administrative Wage Garnishment
processing by the Federal Government. The standards are issued by the
Treasury at 31 CFR 285.11. The Corporation adopts those standards
without change. The regulations in this part supplement the standards by
prescribing procedures necessary and appropriate for the Corporation's
operations.
(d) The Corporation is further issuing the regulations in this part
under the authority of 5 U.S.C. 5514, and the salary offset regulations
published by the Office of Personnel and Management at 5 CFR part 550,
subpart K.
(e) All of these debt collection regulations are issued under the
Corporation's authority under 42 U.S.C. 12651c(c).

Sec. 2506.3 What definitions apply to the regulations in this part?

As used in this part:
Administrative offset means withholding funds payable by the United
States (including funds payable by the United States on behalf of a
State government) to, or held by the United States for, a person to
satisfy a debt.
Administrative wage garnishment means a process whereby a Federal
agency may, without first obtaining a court order, order an employer to
withhold up to 15 percent of your disposable pay for payment to the
Federal agency to satisfy a delinquent non-tax debt.
Agency means a department, agency, court, court administrative
office, or instrumentality in the executive, judicial, or legislative
branch of government, including a government corporation.
Certification means a written statement received by a paying agency
or disbursing official from a creditor agency that requests the paying
agency or disbursing official to offset the salary of an employee and
specifies that required procedural protections have been afforded the
employee.
Chief Executive Officer means the Chief Executive Officer of the
Corporation, or his or her designee.
Claim (see definition of Debt in this section).
Compromise means the settlement of a debt for less than the full
amount owed.
Corporation means the Corporation for National and Community
Service.
Creditor agency means the agency to which the debt is owed,
including a debt collection center when acting on behalf of the creditor
agency.
Cross-servicing agreement is a letter of agreement entered into
between the Corporation and the Financial Management Service (FMS) of
the Treasury in which the Corporation has authorized FMS to take all
appropriate actions to enforce collection of debts or groups of debts
referred to FMS by the Corporation. These debt collection services are
provided by FMS on behalf of the Corporation in accordance with all
statutory and regulatory requirements.
Day means calendar day. To count days, include the last day of the
period unless it is a Saturday, a Sunday, or a Federal legal holiday.
Debt and claim are deemed synonymous and interchangeable. These
terms mean an amount of money, funds, or property that has been
determined by an agency official to be due the United States from any
person, organization, or entity except another Federal agency. For the
purpose of administrative offset under 31 U.S.C. 3716 and subpart E of
these regulations, the terms, ``debt'' and ``claim'' also include money,
funds or property owed by a person to a State (including past-due
support being enforced by a State); the District of Columbia; American
Samoa; Guam; the United States Virgin Islands; the Commonwealth of the
Northern Mariana Islands; or the Commonwealth of Puerto Rico.

[[Page 680]]

Debt collection center means the Treasury or any other agency or
division designated by the Secretary of the Treasury with authority to
collect debts on behalf of creditor agencies.
Debtor means a person, organization, or entity, except another
Federal agency, who owes a debt. Use of the terms ``I,'' ``you,''
``me,'' and similar references to the reader of the regulations in this
part are meant to apply to debtors as defined in this paragraph.
Delinquent debt means a debt that has not been paid by the date
specified in the Corporation's initial written demand for payment or
applicable agreement or instrument (including a post-delinquency payment
agreement), unless other satisfactory payment arrangements have been
made.
Disposable pay means the part of an employee's pay that remains
after deductions that are required to be withheld by law have been made.
Employee means a current employee of an agency, including a current
member of the Armed Forces or Reserve of the Armed Forces of the United
States.
Federal Claims Collection Standards (FCCS) means the standards
currently published by DOJ and the Treasury at 31 CFR parts 900-904.
Paying agency means any agency that is making payments of any kind
to a debtor. In some cases, the Corporation may be both the creditor
agency and the paying agency.
Payroll office means the office that is primarily responsible for
payroll records and the coordination of pay matters with the appropriate
personnel office.
Person includes a natural person or persons, profit or non-profit
corporation, partnership, association, trust, estate, consortium, state
or local government, or other entity that is capable of owing a debt to
the United States; however, agencies of the United States are excluded.
Private collection contractor means a private debt collector under
contract with an agency to collect a non-tax debt owed to the United
States.
Salary offset means a payroll procedure to collect a debt under 5
U.S.C. 5514 and 31 U.S.C. 3716 by deduction(s) at one or more officially
established pay intervals from the current pay account of an employee,
without his or her consent.
Tax refund offset means the reduction of a tax refund by the amount
of a past-due legally enforceable debt owed to the Corporation or any
other Federal agency.
Waiver means the cancellation, remission, forgiveness, or non-
recovery of a debt.
Withholding order means any order for withholding or garnishment of
pay issued by an agency, or judicial or administrative body.

Sec. 2506.4 What types of debts are excluded from these regulations?

The following types of debts are excluded:
(a) Debts or claims arising under the Internal Revenue Code (26
U.S.C. 1 et seq.) or the tariff laws of the United States, or the Social
Security Act (42 U.S.C. 301 et seq.); except as provided under sections
204(f) and 1631 (42 U.S.C. 404(f) and 1383(b)(4)(A)).
(b) Any case to which the Contract Disputes Act (41 U.S.C. 601 et
seq.) applies;
(c) Any case where collection of a debt is explicitly provided for
or provided by another statute, e.g., travel advances under 5 U.S.C.
5705 and employee training expenses under 5 U.S.C. 4108, or, as provided
for by title 11 of the United States Code, when the claims involve
bankruptcy;
(d) Any debt based in whole or in part on conduct in violation of
the antitrust laws or involving fraud, the presentation of a false
claim, or misrepresentation on the part of the debtor or any party
having an interest in the claim, as described in the FCCS, unless DOJ
authorizes the Corporation to handle the collection;
(e) Claims between Federal agencies;
(f) Unless otherwise provided by law, administrative offset of
payments under the authority of 31 U.S.C. 3716 to collect a debt may not
be initiated more than 10 years after the Government's right to collect
the debt first accrued. (Exception: The 10-year limit does not apply if
facts material to the Federal Government's right to collect the debt
were not known and could not reasonably have been known by the official
or officials of the Government

[[Page 681]]

who were charged with the responsibility to discover and collect such
debts.) The 10-year limitation also does not apply to debts reduced to a
judgment; and
(g) Unless otherwise stated, debts which have been transferred to
the Treasury or referred to the DOJ will be collected in accordance with
the procedures of those agencies.

Sec. 2506.5 If a debt is not excluded from these regulations,
may it be compromised, suspended, terminated, or waived?

Nothing in this part precludes:
(a) The compromise, suspension, or termination of collection
actions, where appropriate under the FCCS, or the use of alternative
dispute resolution methods if they are consistent with applicable law
and regulations.
(b) An employee from requesting waiver of an erroneous payment under
5 U.S.C. 5584, 10 U.S.C. 2774, or 32 U.S.C. 716; or any debtor from
questioning the amount or validity of a debt, in the manner set forth in
this part.

Sec. 2506.6 What is a claim or debt?

A claim or debt is an amount of money, funds, or property that has
been determined by an agency official to be due the United States from
any person, organization, or entity except another Federal agency (see
Sec. 2506.3).

Sec. 2506.7 Why does the Corporation have to collect debts?

Federal agencies are required to try to collect claims or debts of
the Federal Government for money, funds, or property arising out of the
agency's activities.

Sec. 2506.8 What action might the Corporation take to collect debts?

(a) There are a number of actions that the Corporation is permitted
to take when attempting to collect debts. These actions include:
(1) Salary, tax refund or administrative offset, or administrative
wage garnishment (see subparts C, D, E, and F of this part
respectively); or
(2) Using the services of private collection contractors.
(b) In certain instances, usually after collection efforts have
proven unsuccessful, the Corporation transfers debts to the Treasury for
collection or refers them to the DOJ for litigation (see Sec. Sec.
2506.10 and 2506.11).

Sec. 2506.9 What rights do I have as a debtor?

As a debtor you have several basic rights. You have a right to:
(a) Notice as set forth in these regulations (see Sec. 2506.14);
(b) Inspect the records that the Corporation has used to determine
that you owe a debt (see Sec. 2506.14);
(c) Request review of the debt and possible payment options (see
Sec. 2506.17);
(d) Propose a voluntary repayment agreement (see Sec. 2506.19);
and/or
(e) Question if the debt is excluded from these regulations (see
Sec. 2506.5(b)).

Subpart B_General Provisions

Sec. 2506.10 Will the Corporation use its cross-servicing
agreement with Treasury to collect its debts?

(a) The Corporation entered into a cross-servicing agreement on
March 26, 1999, with Treasury Financial Management Services (FMS) that
authorizes the Treasury to take the collection actions described in this
part on behalf of the Corporation (see Sec. 2506.3). The Corporation
will refer debts or groups of debts to FMS for collection action. The
debt collection procedures that the Treasury FMS uses are based on 31
U.S.C. chapter 37 and this part.
(b) The Corporation must transfer to the Treasury any debt that has
been delinquent for a period of 180 days or more, so that the Secretary
of the Treasury may take appropriate action to collect the debt or
terminate collection action. This is pursuant to Sec. 901.3 of the
FCCS.
(c) Paragraph (b) of this section will not apply to any debt or
claim that:
(1) Is in litigation or foreclosure;
(2) Will be disposed of under an approved asset sales program;
(3) Has been referred to a private collection contractor for
collection for a period of time acceptable to the Secretary of the
Treasury;
(4) Is at a debt collection center for a period of time acceptable
to the Secretary of the Treasury;

[[Page 682]]

(5) Will be collected under internal offset procedures within 3
years after the date the debt or claim is first delinquent; or
(6) Is exempt from this requirement based on a determination by the
Secretary of the Treasury.

Sec. 2506.11 Will the Corporation refer debts to the
Department of Justice?

The Corporation will refer to DOJ for litigation debts on which
aggressive collection actions have been taken, but which could not be
collected, compromised, suspended, or terminated. Referrals will be made
as early as possible, consistent with aggressive Corporation collection
action, and within the period for bringing a timely suit against the
debtor.

Sec. 2506.12 Will the Corporation provide information to
credit reporting agencies?

(a) The Corporation will report certain delinquent debts to
appropriate consumer credit reporting agencies by providing the
following information:
(1) A statement that the debt is valid and overdue;
(2) The name, address, taxpayer identification number, and any other
information necessary to establish the identity of the debtor;
(3) The amount, status, and history of the debt; and
(4) The program or pertinent activity under which the debt arose.
(b) Before disclosing debt information to a credit reporting agency,
the Corporation:
(1) Takes reasonable action to locate the debtor if a current
address is not available;
(2) Provides the notice required under Sec. 2506.14(a) if a current
address is available; and
(3) Obtains satisfactory assurances from the credit reporting agency
that it complies with the Fair Credit Reporting Act (15 U.S.C. 1681 et
seq.) and other Federal laws governing the provision of credit
information.
(c) At the time debt information is submitted to a credit reporting
agency, the Corporation provides a written statement to the reporting
agency that all required actions have been taken. In addition, the
Corporation thereafter ensures that the credit reporting agency is
promptly informed of any substantive change in the conditions or amount
of the debt, and promptly verifies or corrects information relevant to
the debt.
(d) If a debtor disputes the validity of the debt, the credit
reporting agency refers the matter to the appropriate Corporation
official. The credit reporting agency excludes the debt from its reports
until the Corporation certifies in writing that the debt is valid.
(e) The Corporation may disclose to a commercial credit bureau
information concerning a commercial debt, including the following:
(1) Information necessary to establish the name, address, and
employer identification number of the commercial debtor;
(2) The amount, status, and history of the debt; and
(3) The program or pertinent activity under which the debt arose.

Sec. 2506.13 How will the Corporation contract for private
collection services?

The Corporation uses the services of a private collection contractor
when it determines that such use is in the Corporation's best interest.
When the Corporation determines that there is a need to contract for
private collection services, the Corporation:
(a) Retains sole authority to:
(1) Resolve any dispute with the debtor regarding the validity of
the debt;
(2) Compromise the debt;
(3) Suspend or terminate collection action;
(4) Refer the debt to the DOJ for litigation; and
(5) Take any other action under this part;
(b) Requires the contractor to comply with the:
(1) Privacy Act of 1974, as amended, to the extent specified in 5
U.S.C. 552a(m);
(2) Fair Debt Collection Practices Act (15 U.S.C. 1692-1692o); and
(3) Other applicable Federal and State laws pertaining to debt
collection practices and applicable regulations of the Corporation in
this part;

[[Page 683]]

(c) Requires the contractor to account accurately and fully for all
amounts collected; and
(d) Requires the contractor to provide to the Corporation, upon
request, all data and reports contained in its files related to its
collection actions on a debt.

Sec. 2506.14 What should I expect to receive from the Corporation
if I owe a debt to the Corporation?

(a) The Corporation will send you a written notice when we determine
that you owe a debt to the Corporation. The notice will be hand-
delivered or sent to you at the most current address known to the
Corporation. The notice will inform you of the following:
(1) The amount, nature, and basis of the debt;
(2) That a designated Corporation official has reviewed the debt and
determined that it is valid;
(3) That payment of the debt is due as of the date of the notice,
and that the debt will be considered delinquent if you do not pay it
within 30 days of the date of the notice;
(4) The Corporation's policy concerning interest, penalty charges,
and administrative costs (see Sec. 2506.18), including a statement that
such assessments must be made against you unless excused in accordance
with the FCCS and this part;
(5) That you have the right to inspect and copy disclosable
Corporation records pertaining to your debt, or to receive copies of
those records if personal inspection is impractical;
(6) That you have the opportunity to enter into an agreement, in
writing and signed by both you and the designated Corporation official,
for voluntary repayment of the debt (see Sec. 2506.19);
(7) The address, telephone number, and name of the Corporation
official available to discuss the debt;
(8) Possible collection actions that might be taken if the debt is
not paid within 60 days of the notice, or arrangements to pay the debt
are not made within 60 days of the notice (see Sec. 2506.15 for a
fuller description of possible actions);
(9) That the Corporation may suspend or revoke any licenses,
permits, or other privileges for failure to pay a debt; and
(10) Information on your opportunity to obtain a review concerning
the existence or amount of the debt, or the proposed schedule for offset
of Federal employee salary payments (see Sec. 2506.16).
(b) The Corporation will respond promptly to communications from
you.
(c) Exception to entitlement to notice, hearing, written responses,
and final decisions. With respect to the regulations covering internal
salary offset collections (see Sec. 2506.32), the Corporation excepts
from the provisions of paragraph (a) of this section--
(1) Any adjustment to pay arising out of an employee's election of
coverage or a change in coverage under a Federal benefits program
requiring periodic deductions from pay, if the amount to be recovered
was accumulated over 4 pay periods or less;
(2) A routine intra-agency adjustment of pay that is made to correct
an overpayment of pay attributable to clerical or administrative errors
or delays in processing pay documents, if the overpayment occurred
within the 4 pay periods preceding the adjustment and, at the time of
such adjustment, or as soon thereafter as practical, the individual is
provided written notice of the nature and the amount of the adjustment
and point of contact for contesting such adjustment; or
(3) Any adjustment to collect a debt amounting to $50 or less, if,
at the time of such adjustment, or as soon thereafter as practical, the
individual is provided written notice of the nature and the amount of
the adjustment and a point of contact for contesting such adjustment.

Sec. 2506.15 What will the notice tell me regarding collection
actions that might be taken if the debt is not paid within 60 days
of the notice, or
arrangements to pay the debt are not made within 60 days of
the notice?

The notice provided under Sec. 2506.14 will advise you that, within
60 days of the date of the notice, your debt (including any interest,
penalty charges, and administrative costs) must be paid or you must
enter into a voluntary repayment agreement. If you do not pay

[[Page 684]]

the debt or enter into the agreement within that deadline, the
Corporation may enforce collection of the debt by any or all of the
following methods:
(a) By transferring the debt to the Treasury for collection,
including under a cross-servicing agreement with the Treasury (see Sec.
2506.10);
(b) By referral to a credit reporting agency (see Sec. 2506.12),
private collection contractor (see Sec. 2506.13), or the DOJ (see Sec.
2506.11);
(c) If you are a Corporation employee, by deducting money from your
disposable pay account until the debt (and all accumulated interest,
penalty charges, and administrative costs) is paid in full (see subpart
C of this part). The Corporation will specify the amount, frequency,
approximate beginning date, and duration of the deduction. 5 U.S.C. 5514
and 31 U.S.C. 3716 govern such proceedings;
(d) If you are an employee of a Federal agency other than the
Corporation, by initiating certification procedures to implement a
salary offset by that Federal agency (see subpart C of this part). 5
U.S.C. 5514 governs such proceedings;
(e) By referring the debt to the Treasury for offset against any
refund of overpayment of tax (see subpart D of this part);
(f) By administrative offset (see subpart E of this part);
(g) By administrative wage garnishment (see subpart F of this part);
or
(h) By liquidation of security or collateral. The Corporation has
the right to hold security or collateral, liquidate it, and apply the
proceeds to your debt through the exercise of a power of sale in the
security instrument or a foreclosure. The Corporation will not follow
the procedures in this paragraph (h) if the cost of disposing of the
collateral will be disproportionate to its value.

Sec. 2506.16 What will the notice tell me about my
opportunity for review of my debt?

The notice provided by the Corporation under Sec. Sec. 2506.14 and
2506.15 will also advise you of the opportunity to obtain a review
within the Corporation concerning the existence or amount of the debt or
the proposed schedule for offset of Federal employee salary payments.
The notice will also advise you of the following:
(a) The name, address, and telephone number of a Corporation
official whom you may contact concerning procedures for requesting a
review;
(b) The method and time period for requesting a review;
(c) That the filing of a request for a review on or before the 60th
day following the date of the notice will stay the commencement of
collection proceedings;
(d) The name and address of the Corporation official to whom you
should send the request for a review;
(e) That a final decision on the review (if one is requested) will
be issued in writing at the earliest practical date, but not later than
60 days after the receipt of the request for a review, unless you
request, and the review official grants, a delay in the proceedings;
(f) That any knowingly false or frivolous statements,
representations, or evidence may subject you to:
(1) Disciplinary procedures appropriate under 5 U.S.C. chapter 75, 5
CFR part 752, or any other applicable statute or regulations;
(2) Penalties under the False Claims Act (31 U.S.C. 3729-3733) or
any other applicable statutory authority; and
(3) Criminal penalties under 18 U.S.C. 286, 287, 1001, and 1002, or
any other applicable statutory authority;
(g) Any other rights available to you to dispute the validity of the
debt or to have recovery of the debt waived, or remedies available to
you under statutes or regulations governing the program for which the
collection is being made; and
(h) That unless there are applicable contractual or statutory
provisions to the contrary, amounts paid on or deducted for the debt
that are later waived or found not owed will be promptly refunded to
you.

Sec. 2506.17 What must I do to obtain a review of my debt,
and how will the review process work?

(a) Request for review. (1) You have the right to request a review
by the Corporation of the existence or the amount of your debt, the
proposed schedule for offset of Federal employee

[[Page 685]]

salary payments, or whether the debt is past due or legally enforceable.
If you want a review, you must send a written request to the Corporation
official designated in the notice (see Sec. 2506.16(d)).
(2) You must sign your request for review and fully identify and
explain with reasonable specificity all the facts, evidence, and
witnesses that support your position. Your request for review should be
accompanied by available evidence to support your contentions.
(3) Your request for review must be received by the designated
officer or employee of the Corporation on or before the 60th calendar
day following the date of the notice. Timely filing will stay the
commencement of collection procedures. The Corporation may consider
requests filed after the 60-day period provided for in this section if
you:
(i) Can show that the delay was the result of circumstances beyond
your control; or
(ii) Did not receive notice of the filing deadline (unless you had
actual notice of the filing deadline).
(b) Inspection of the Corporation records related to the debt. (1)
If you want to inspect or copy the Corporation records related to the
debt (see Sec. 2506.14(a)(5)), you must send a letter to the
Corporation official designated in the notice. Your letter must be
received within 30 days of the date of the notice.
(2) In response to the timely request described in paragraph (b)(1)
of this section, the designated Corporation official will notify you of
the location and time when you may inspect and copy records related to
the debt.
(3) If personal inspection of the Corporation records related to the
debt is impractical, reasonable arrangements will be made to send you
copies of those records.
(c) Review official. (1) When required by Federal law or regulation,
such as in a salary offset situation, the Corporation will request an
administrative law judge, or hearing official from another agency who is
not under the supervision or control of the Chief Executive Officer, to
conduct the review. In these cases, the hearing official will, following
the review, submit the review decision to the Chief Executive Officer
for the issuance of the Corporation's final decision (see paragraph (f)
of this section for content of the review decision).
(2) When Federal law or regulation does not require the Corporation
to have the review conducted by an administrative law judge, or by a
hearing official from another agency who is not under the supervision or
control of the Chief Executive Officer, the Corporation has the right to
appoint a hearing official to conduct the review. In these cases, the
hearing official will, following the review, submit the review decision
to the Chief Executive Officer for the issuance of the Corporation's
final decision (see paragraph (f) of this section for the content of the
review decision).
(d) Review procedure. If you request a review, the review official
will notify you of the form of the review to be provided. The review
official will determine whether an oral hearing is required, or if a
review of the written record is sufficient, in accordance with the FCCS.
Although you may request an oral hearing, such a hearing is required
only when a review of the documentary evidence cannot determine the
question of indebtedness, such as when the validity of the debt turns on
an issue of credibility or truthfulness. In either case, the review
official will conduct the review in accordance with the FCCS. If the
review will include an oral hearing, the notice sent to you by the
review official will set forth the date, time, and location of the
hearing.
(e) Date of decision. (1) The review official will issue a written
decision, based upon either the written record or documentary evidence
and information developed at an oral hearing. This decision will be
issued as soon as practical, but not later than 60 days after the date
on which the Corporation received your request for a review, unless you
request, and the review official grants, a delay in the proceedings.
(2) If the Corporation is unable to issue a decision within 60 days
after the receipt of the request for a hearing:
(i) The Corporation may not issue a withholding order or take other
action

[[Page 686]]

until the review (in whatever form) is held and a decision is rendered;
and
(ii) If the Corporation previously issued a withholding order to the
debtor's employer, the Corporation must suspend the withholding order
beginning on the 61st day after the receipt of the review request and
continuing until a review (in whatever form) is held and a decision is
rendered.
(f) Content of review decision. The review official will prepare a
written decision that includes:
(1) A statement of the facts presented to support the origin,
nature, and amount of the debt;
(2) The review official's findings, analysis, and conclusions; and
(3) The terms of any repayment schedule, if applicable.
(g) Interest, penalty charge, and administrative cost accrual during
review period. Interest, penalty charges, and administrative costs
authorized by law will continue to accrue during the review period.

Sec. 2506.18 What interest, penalty charges, and administrative
costs will I have to pay on a debt owed to the Corporation?

(a) Interest. (1) The Corporation will assess interest on all
delinquent debts unless prohibited by statute, regulation, or contract.
(2) Interest begins to accrue on all debts from the date that the
debt becomes delinquent. The Corporation will not recover interest if
you pay the debt within 30 days of the date on which interest begins to
accrue. The Corporation will assess interest at the rate established
annually by the Secretary of the Treasury under 31 U.S.C. 3717, unless a
different rate is either necessary to protect the interests of the
Corporation or established by a contract, repayment agreement, or
statute. The Corporation will notify you of the basis for its finding
when a different rate is necessary to protect the interests of the
Corporation.
(3) The Chief Executive Officer may extend the 30-day period for
payment without interest when he or she determines that such action is
in the best interest of the Corporation. A decision to extend or not to
extend the payment period is final and is not subject to further review.
(b) Penalty. The Corporation will assess a penalty charge of 6
percent a year on any portion of a debt that is delinquent for more than
90 days.
(c) Administrative costs. The Corporation will assess charges to
cover administrative costs incurred as a result of your failure to pay a
debt before it becomes delinquent. Administrative costs include the
additional costs incurred in processing and handling the debt because it
became delinquent, such as costs incurred in obtaining a credit report
or in using a private collection contractor, or service fees charged by
a Federal agency for collection activities undertaken on behalf of the
Corporation.
(d) Allocation of payments. A partial or installment payment by a
debtor will be applied first to outstanding penalty assessments, second
to administrative costs, third to accrued interest, and fourth to the
outstanding debt principal.
(e) Additional authority. The Corporation may assess interest,
penalty charges, and administrative costs on debts that are not subject
to 31 U.S.C. 3717 to the extent authorized under common law or other
applicable statutory authority.
(f) Waiver. (1) The Chief Executive Officer may (without regard to
the amount of the debt) waive collection of all or part of accrued
interest, penalty charges, or administrative costs, if he or she
determines that collection of these charges would be against equity and
good conscience or not in the best interest of the Corporation.
(2) A decision to waive interest, penalty charges, or administrative
costs may be made at any time before a debt is paid. However, and unless
otherwise stated in these regulations, where these charges have been
collected before the waiver decision, they will not be refunded. The
Chief Executive Officer's decision to waive or not waive collection of
these charges is final and is not subject to further review.

Sec. 2506.19 How can I resolve my debt through voluntary repayment?

(a) In response to a notice of debt, you may propose to the
Corporation

[[Page 687]]

that you be allowed to repay the debt through a voluntary repayment
agreement in lieu of the Corporation taking other collection actions
under this part.
(b) Your request to enter into a voluntary repayment agreement must:
(1) Be in writing;
(2) Admit the existence of the debt; and
(3) Either propose payment of the debt (together with interest,
penalty charges, and administrative costs) in a lump sum, or set forth a
proposed repayment schedule.
(c) The Corporation will collect debts in one lump sum whenever
feasible. However, if you are unable to pay your debt in one lump sum,
the Corporation may accept payment in regular installments that bear a
reasonable relationship to the size of the debt and your ability to pay.
If possible, the installment payments should be sufficient in size and
frequency to liquidate the debt in three years or less.
(d) The Corporation will consider a request to enter into a
voluntary repayment agreement in accordance with the FCCS. The Chief
Executive Officer may request additional information from you, including
financial statements if you request to make payments in installments, in
order to determine whether to accept a voluntary repayment agreement. It
is within the Chief Executive Officer's discretion to accept a repayment
agreement instead of proceeding with other collection actions under this
part, and to set the necessary terms of any voluntary repayment
agreement. No repayment agreement will be binding on the Corporation
unless it is in writing and signed by both you and the Chief Executive
Officer. At the Corporation's option, you may be required to provide
security as part of the agreement to make payments in installments.
Notwithstanding the provisions of this section, 31 U.S.C. 3711 will
govern any reduction or compromise of a debt.

Sec. 2506.20 What is the extent of the Chief Executive Officer's
authority to compromise debts owed to the Corporation,
or to suspend or terminate collection
action on such debts?

(a) The Chief Executive Officer may compromise, suspend, or
terminate collection action on those debts owed to the Corporation that
do not exceed $100,000 excluding interest, in conformity with the
Federal Claims Collection Act of 1966, as amended. The Corporation will
follow the policies in Sec. 902.2 of the FCCS.
(b) The uncollected portion of a debt owed to the Corporation that
is not recovered as the result of a compromise will be reported to the
Internal Revenue Service (IRS) as income to the debtor in accordance
with IRS procedures if this uncollected amount is at least $600.00.

Sec. 2506.21 May the Corporation's failure to comply with these
regulations be used as a defense to a debt?

No, the failure of the Corporation to comply with any standard in
the FCCS or these regulations will not be available to any debtor as a
defense.

Subpart C_Salary Offset

Sec. 2506.30 What debts are included or excluded from coverage
of these regulations on salary offset?

(a) The regulations in this subpart provide the Corporation
procedures for the collection by salary offset of a Federal employee's
pay to satisfy certain debts owed to the Corporation or to other Federal
agencies.
(b) The regulations in this subpart do not apply to any case where
collection of a debt by salary offset is explicitly provided for or
prohibited by another statute.
(c) Nothing in the regulations in this subpart precludes the
compromise, suspension, or termination of collection actions under the
Federal Claims Collection Act of 1966, as amended, or the FCCS.
(d) A levy imposed under the Internal Revenue Code takes precedence
over a salary offset under this subpart, as provided in 5 U.S.C.
5514(d).

[[Page 688]]

Sec. 2506.31 May I ask the Corporation to waive an overpayment
that otherwise would be collected by offsetting my salary as
a Federal employee?

Yes, the regulations in this subpart do not preclude you from
requesting waiver of an overpayment under 5 U.S.C. 5584 or 8346(b), 10
U.S.C. 2774, 32 U.S.C. 716, or other statutory provisions pertaining to
the particular debts being collected.

Sec. 2506.32 What are the Corporation's procedures for salary offset?

(a) The Corporation will coordinate salary deductions under this
subpart as appropriate.
(b) If you are a Corporation employee who owes a debt to the
Corporation, the Corporation's payroll office in Human Resources will
determine the amount of your disposable pay and will implement the
salary offset.
(c) Deductions will begin within three official pay periods
following receipt by the Corporation's payroll office of certification
of debt from the creditor agency.
(d) The Notice provisions of these regulations do not apply to
certain debts arising under this section (see Sec. 2506.14(c)).
(e) Types of collection. (1) Lump-sum offset. If the amount of the
debt is equal to or less than 15 percent of disposable pay, the debt
generally will be collected through one lump-sum offset.
(2) Installment deductions. Installment deductions will be made over
a period not greater than the anticipated period of employment. The size
and frequency of installment deductions will bear a reasonable relation
to the size of the debt and your ability to pay. However, the amount
deducted from any period will not exceed 15 percent of the disposable
pay from which the deduction is made unless you have agreed in writing
to the deduction of a greater amount. If possible, installment payments
will be sufficient in size and frequency to liquidate the debt in three
years or less.
(3) Deductions from final check. A deduction exceeding the 15
percent of disposable pay limitation may be made from any final salary
payment under 31 U.S.C. 3716 and the FCCS in order to liquidate the
debt, whether the employee is being separated voluntarily or
involuntarily.
(4) Deductions from other sources. If an employee subject to salary
offset is separated from the Corporation and the balance of the debt
cannot be liquidated by offset of the final salary check, the
Corporation may offset later payments of any kind against the balance of
the debt, as allowed by 31 U.S.C. 3716 and the FCCS.
(f) Multiple debts. In instances where two or more creditor agencies
are seeking salary offsets, or where two or more debts are owed to a
single creditor agency, the Corporation's payroll office may, at its
discretion, determine whether one or more debts should be offset
simultaneously within the 15 percent limitation.

Sec. 2506.33 How will the Corporation coordinate salary offsets
with other agencies?

(a) Responsibilities of the Corporation as the creditor agency (i.e.
when the debtor owes a debt to the Corporation and is an employee of
another agency). Upon completion of the procedures established in this
subpart and pursuant to 5 U.S.C. 5514 and 31 U.S.C. 3716, the
Corporation must submit a claim to a paying agency or disbursing
official.
(1) In its claim, the Corporation must certify, in writing, the
following:
(i) That the employee owes the debt;
(ii) The amount and basis of the debt;
(iii) The date the Corporation's right to collect the debt first
accrued;
(iv) That the Corporation's regulations in this subpart have been
approved by OPM under 5 CFR part 550, subpart K; and
(v) That the Corporation has met the certification requirements of
the paying agency.
(2) If the collection must be made in installments, the
Corporation's claim will also advise the paying agency of the amount or
percentage of disposable pay to be collected in each installment. The
Corporation may also advise the paying agency of the number of
installments to be collected and the date of the first installment, if
that date is other than the next officially established pay period.

[[Page 689]]

(3) The Corporation will also include in its claim:
(i) The employee's written consent to the salary offset;
(ii) The employee's signed statement acknowledging receipt of the
procedures required by 5 U.S.C. 5514; or
(iii) Information regarding the completion of procedures required by
5 U.S.C. 5514, including the actions taken and the dates of those
actions.
(4) If the employee is in the process of separating and has not
received a final salary check or other final payment(s) from the paying
agency, the Corporation must submit its claim to the paying agency or
disbursing official for collection under 31 U.S.C. 3716. The paying
agency will (under its regulations adopted under 5 U.S.C. 5514 and 5 CFR
part 550, subpart K), certify the total amount of its collection on the
debt and notify the employee and the Corporation. If the paying agency's
collection does not fully satisfy the debt, and the paying agency is
aware that the debtor is entitled to payments from the Civil Service
Retirement and Disability Fund or other similar payments that may be due
the debtor employee from other Federal government sources, then (under
its regulations adopted under 5 U.S.C. 5514 and 5 CFR part 550, subpart
K), the paying agency will provide written notice of the outstanding
debt to the agency responsible for making the other payments to the
debtor employee. The written notice will state that the employee owes a
debt, the amount of the debt, and that the provisions of this section
have been fully complied with. However, the Corporation must submit a
properly certified claim under this paragraph (a)(4) to the agency
responsible for making the other payments before the collection can be
made.
(5) If the employee is already separated and all payments due from
his or her former paying agency have been paid, the Corporation may
request, unless otherwise prohibited, that money due and payable to the
employee from the Civil Service Retirement and Disability Fund or other
similar funds be administratively offset to collect the debt.
(6) Employee transfer. When an employee transfers from one paying
agency to another paying agency, the Corporation will not repeat the due
process procedures described in 5 U.S.C. 5514 and this subpart to resume
the collection. The Corporation will submit a properly certified claim
to the new paying agency and will subsequently review the debt to ensure
that the collection is resumed by the new paying agency.
(b) Responsibilities of the Corporation as the paying agency (i.e.,
when the debtor owes a debt to another agency and is an employee of the
Corporation). (1) Complete claim. When the Corporation receives a
certified claim from a creditor agency (under the creditor agency's
regulations adopted under 5 U.S.C. 5514 and 5 CFR part 550, subpart K),
deductions should be scheduled to begin within three officially
established pay intervals. Before deductions can begin, the Corporation
sends the employee a written notice containing:
(i) A statement that the Corporation has received a certified claim
from the creditor agency;
(ii) The amount of the debt;
(iii) The date salary offset deductions will begin; and
(iv) The amount of such deductions.
(2) Incomplete claim. When the Corporation receives an incomplete
certification of debt from a creditor agency, the Corporation will
return the claim with a notice that the creditor agency must:
(i) Comply with the procedures required under 5 U.S.C. 5514 and 5
CFR part 550, subpart K, and
(ii) Properly certify a claim to the Corporation before the
Corporation will take action to collect from the employee's current pay
account.
(3) The Corporation is not authorized to review the merits of the
creditor agency's determination with respect to the amount or validity
of the debt certified by the creditor agency.
(4) Employees who transfer from the Corporation to another paying
agency. If, after the creditor agency has submitted the claim to the
Corporation, the employee transfers from the Corporation to a different
paying agency before the debt is collected in full, the Corporation will
certify the total amount collected on the debt and notify the employee
and the creditor

[[Page 690]]

agency in writing. The notification to the creditor agency will include
information on the employee's transfer.

Sec. 2506.34 Under what conditions will the Corporation make
a refund of amounts collected by salary offset?

(a) If the Corporation is the creditor agency, it will promptly
refund any amount deducted under the authority of 5 U.S.C. 5514, when:
(1) The debt is waived or all or part of the funds deducted are
otherwise found not to be owed (unless expressly prohibited by statute
or regulation); or
(2) An administrative or judicial order directs the Corporation to
make a refund.
(b) Unless required or permitted by law or contract, refunds under
this section will not bear interest.

Sec. 2506.35 Will the collection of a debt by salary offset act
as a waiver of my rights to dispute the claimed debt?

No, your involuntary payment of all or any portion of a debt under
this subpart will not be construed as a waiver of any rights that you
may have under 5 U.S.C. 5514 or other provisions of a law or written
contract, unless there are statutory or contractual provisions to the
contrary.

Subpart D_Tax Refund Offset

Sec. 2506.40 Which debts can the Corporation refer to Treasury
for collection by offsetting tax refunds?

(a) The regulations in this subpart implement 31 U.S.C. 3720A, which
authorizes the Treasury to reduce a tax refund by the amount of a past-
due, legally enforceable debt owed to a Federal agency.
(b) For purposes of this section, a past-due, legally enforceable
debt referable to the Treasury for tax refund offset is a debt that is
owed to the Corporation and:
(1) Is at least $25.00;
(2) Except in the case of a judgment debt, has been delinquent for
at least three months and will not have been delinquent more than 10
years at the time the offset is made;
(3) With respect to which the Corporation has:
(i) Given the debtor at least 60 days to present evidence that all
or part of the debt is not past due or legally enforceable;
(ii) Considered evidence presented by the debtor; and
(iii) Determined that an amount of the debt is past due and legally
enforceable;
(4) With respect to which the Corporation has notified or has made a
reasonable attempt to notify the debtor that:
(i) The debt is past due, and
(ii) Unless repaid within 60 days of the date of the notice, the
debt may be referred to the Treasury for offset against any refund of
overpayment of tax; and
(5) All other requirements of 31 U.S.C. 3720A and the Treasury
regulations relating to the eligibility of a debt for tax return offset
(31 CFR 285.2) have been satisfied.

Sec. 2506.41 What are the Corporation's procedures for collecting
debts by tax refund offset?

(a) The Corporation's Accounting and Financial Management Services
Division will be the point of contact with the Treasury for
administrative matters regarding the offset program.
(b) The Corporation will ensure that the procedures prescribed by
the Treasury are followed in developing information about past-due debts
and submitting the debts to the Treasury.
(c) The Corporation will submit to the Treasury a notification of a
taxpayer's liability for past-due legally enforceable debt. This
notification will contain the following:
(1) The name and taxpayer identification number of the debtor;
(2) The amount of the past-due and legally enforceable debt;
(3) The date on which the original debt became past due;
(4) A statement certifying that, with respect to each debt reported,
all of the requirements of Sec. 2506.40(b) have been satisfied; and
(5) Any other information as prescribed by Treasury.
(d) For purposes of this section, notice that collection of the debt
is

[[Page 691]]

stayed by a bankruptcy proceeding involving the debtor will bar referral
of the debt to the Treasury.
(e) The Corporation will promptly notify the Treasury to correct
data when the Corporation:
(1) Determines that an error has been made with respect to a debt
that has been referred;
(2) Receives or credits a payment on the debt; or
(3) Receives notice that the person owing the debt has filed for
bankruptcy under title 11 of the United States Code and the automatic
stay is in effect or has been adjudicated bankrupt and the debt has been
discharged.
(f) When advising debtors of the Corporation's intent to refer a
debt to the Treasury for offset, the Corporation will also advise
debtors of remedial actions (see Sec. Sec. 2506.9 and 2506.14 through
2506.16 of this part) available to defer the offset or prevent it from
taking place.

Subpart E_Administrative Offset

Sec. 2506.50 Under what circumstances will the Corporation collect
amounts that I owe to the Corporation (or some other Federal agency)
by offsetting the debt
against payments that the Corporation (or some other Federal
agency) owes me?

(a) The regulations in this subpart apply to the collection of any
debts you owe to the Corporation, or to any request from another Federal
agency that the Corporation collect a debt you owe by offsetting your
debt against a payment the Corporation owes you. Administrative offset
is authorized under section 5 of the Federal Claims Collection Act of
1966, as amended (31 U.S.C. 3716). The Corporation will carry out
administrative offset in accordance with the provisions of the Federal
Claims Collection Standards. The regulations in this subpart are
intended only to supplement the provisions of the FCCS.
(b) The Chief Executive Officer, after attempting to collect a debt
you owe to the Corporation under section 3(a) of the Federal Claims
Collection Act of 1966, as amended (31 U.S.C. 3711(a)), may collect the
debt by administrative offset only after giving you:
(1) Written notice of the type and amount of the debt, the intention
of the Chief Executive Officer to collect the debt by administrative
offset, and an explanation of the rights of the debtor;
(2) An opportunity to inspect and copy the records of the
Corporation related to the debt;
(3) An opportunity for a review within the Corporation of the
decision of the Corporation related to the debt; and
(4) An opportunity to make a written agreement with the Chief
Executive Officer to repay the amount of the debt.
(c) No collection by administrative offset will be made on any debt
that has been outstanding for more than 10 years, unless facts material
to the Corporation's or the requesting Federal agency's right to collect
the debt were not known, and reasonably could not have been known, by
the official or officials responsible for discovering and collecting the
debt.
(d) The regulations in this subpart do not apply to:
(1) A case in which administrative offset of the type of debt
involved is explicitly prohibited by statute; or
(2) Debts owed to the Corporation by Federal agencies.

Sec. 2506.51 How will the Corporation request that my debt to the
Corporation be collected by offset against some payment that another
Federal agency owes me?

The Chief Executive Officer may request that funds due and payable
to you by another Federal agency instead be paid to the Corporation to
satisfy a debt you owe to the Corporation. The Corporation will refer
debts to the Treasury for centralized administrative offset in
accordance with the FCCS and the procedures established by the Treasury.
Where centralized offset is not available or appropriate, the
Corporation may request offset directly from the Federal agency that is
holding funds for you. In requesting administrative offset, the
Corporation will certify in writing to the Federal agency that is
holding funds for you:
(a) That you owe the debt;
(b) The amount and basis of the debt; and

[[Page 692]]

(c) That the Corporation has complied with the requirements of 31
U.S.C. 3716, its own administrative offset regulations in this subpart,
the applicable administrative offset regulations of the agency holding
the funds, and the applicable provisions of the FCCS with respect to
providing you with due process.

Sec. 2506.52 What procedures will the Corporation use to collect
amounts I owe to a Federal agency by offsetting a payment that
the Corporation would
otherwise make to me?

(a) Any Federal agency may request that the Corporation
administratively offset funds due and payable to you in order to collect
a debt you owe to that agency. The Corporation will initiate the
requested offset only upon:
(1) Receipt of written certification from the creditor agency
stating:
(i) That you owe the debt;
(ii) The amount and basis of the debt;
(iii) That the agency has prescribed regulations for the exercise of
administrative offset; and
(iv) That the agency has complied with its own administrative offset
regulations and with the applicable provisions of the FCCS, including
providing you with any required hearing or review; and
(2) A determination by the Chief Executive Officer that offsetting
funds payable to you by the Corporation in order to collect a debt owed
by you would be in the best interest of the United States as determined
by the facts and circumstances of the particular case, and that such an
offset would not otherwise be contrary to law.
(b) Multiple debts. In instances where two or more creditor agencies
are seeking administrative offsets, or where two or more debts are owed
to a single creditor agency, the Corporation may, in its discretion,
allocate the amount it owes to you to the creditor agencies in
accordance with the best interest of the United States as determined by
the facts and circumstances of the particular case, paying special
attention to applicable statutes of limitations.

Sec. 2506.53 When may the Corporation make an offset in an
expedited manner?

The Corporation may effect an administrative offset against a
payment to be made to you before completion of the procedures required
by Sec. Sec. 2506.51 and 2506.52 if failure to take the offset would
substantially jeopardize the Corporation's ability to collect the debt
and the time before the payment is to be made does not reasonably permit
the completion of those procedures. An expedited offset will be followed
promptly by the completion of those procedures. Amounts recovered by
offset, but later found not to be owed to the United States, will be
promptly refunded.

Sec. 2506.54 Can a judgment I have obtained against the
United States be used to satisfy a debt that I owe to the Corporation?

Yes. Collection by offset against a judgment obtained by a debtor
against the United States will be accomplished in accordance with 31
U.S.C. 3728 and 31 U.S.C. 3716.

Subpart F_Administrative Wage Garnishment

Sec. 2506.55 How will the Corporation collect debts through
Administrative Wage Garnishment?

The Corporation will collect debts through Administrative Wage
Garnishment in accordance with the Administrative Wage Garnishment
regulations issued by the Treasury. The Corporation adopts, for purposes
of this subpart, the Treasury's Administrative Wage Garnishment
regulations in 31 CFR 285.11. This procedure allows the Corporation to
garnish the disposable pay of a debtor without first obtaining a court
order.

PART 2507_PROCEDURES FOR DISCLOSURE OF RECORDS UNDER THE FREEDOM OF INFORMATION ACT--Table of Contents

Subpart A_General Provisions

Sec.
2507.1 Scope.
2507.2 Policy.

[[Page 693]]

2507.3 Definitions.
2507.4 Agency FOIA Officials.

Subpart B_Proactive Disclosures of Agency Records

2507.5 Records available on agency website.

Subpart C_Filing a FOIA Request

2507.6 Requirements for FOIA requests.
2507.7 Requests for archived records.

Subpart D_Agency Processing and Responses to FOIA Requests

2507.8 Processing of requests.
2507.9 Reasons for withholding some records.
2507.10 Timing of responses to requests.
2507.11 Responses to requests.

Subpart E_Confidential Commercial Information

2507.12 Definitions for this subpart.
2507.13 Procedures for release of commercial information.

Subpart F_Appeals and Alternative Dispute Resolution

2507.14 Administrative appeals.
2507.15 Mediation and dispute resolution services.

Subpart G_Fees

2507.16 Definitions for this subpart.
2507.17 Fees overview.
2507.18 Requester categories and fees charged.
2507.19 Circumstances in which fees may not be charged.
2507.20 Notice of anticipated fees in excess of $25.00.
2507.21 Other charges.
2507.22 Aggregating requests to ensure payment of fees.
2507.23 Collection and payment of fees.
2507.24 Fee waivers or fee reductions.

Subpart H_Miscellaneous

2507.25 Preservation of records.
2507.26 Reporting requirements.
2507.27 Rights and services qualified by the FOIA statute.

Authority: 5 U.S.C. 552, 42 U.S.C. 12501 et seq.

Source: 87 FR 55309, Sept. 9, 2022, unless otherwise noted.

Subpart A_General Provisions

Sec. 2507.1 Scope.

This part contains the rules that the Corporation for National and
Community Service, operating as AmeriCorps (``the Agency'' or
``AmeriCorps''), follows in processing requests for records under the
Freedom of Information Act (``FOIA''), 5 U.S.C. 552. These rules should
be read in conjunction with the text of the FOIA and the Uniform Freedom
of Information Fee Schedule and Guidelines published by the Office of
Management and Budget (``OMB Guidelines''). Requests made by individuals
for records about themselves under the Privacy Act of 1974, 5 U.S.C.
552a, are processed in accordance with AmeriCorps' Privacy Act
regulations, 45 CFR part 2508, as well as under this part.

Sec. 2507.2 Policy.

(a) AmeriCorps follows a balanced approach in administering the
FOIA. The Agency recognizes the right of the public to seek access to
information in its possession. It also recognizes the legitimate
interests of organizations or persons who have submitted records to
AmeriCorps or who would otherwise be affected by release of records.
AmeriCorps has no discretion to release certain records, such as trade
secrets and confidential commercial information, prohibited from release
by law. The Agency provides the fullest responsible disclosure that is
consistent with the requirements of the FOIA.
(b) When a FOIA exemption gives Federal agencies the discretion to
either withhold or release records, AmeriCorps releases the records or
information unless it reasonably foresees that disclosure would harm an
interest that the exemption protects.

Sec. 2507.3 Definitions.

As used in this part:
Agency is any executive agency, military agency, government
corporation, government-controlled corporation, or other establishment
in the Executive Branch of the Federal Government, or any independent
regulatory agency. AmeriCorps is an agency.

[[Page 694]]

AmeriCorps or the Agency means the Corporation for National and
Community Service, which operates as AmeriCorps.
Complex request is a request that typically seeks a high volume of
material or requires additional steps to process, such as the need to
search for records in multiple locations.
Consultation is when AmeriCorps locates a record that contains
information of interest to another agency, and, before any final
determination is made, AmeriCorps asks that other agency for its views
on whether or not the records can be released to the requester.
Exemptions are the nine categories of information that are not
required to be released in response to a FOIA request because release
would be harmful to a government or private interest. These categories
are called ``exemptions'' from disclosure.
Expedited processing is the FOIA response track granted in certain
limited situations to process FOIA requests ahead of other pending
requests.
FOIA request is a written request for Agency records, made by any
person, including a member of the public (U.S. or foreign citizen), an
organization, or a business--but not including a Federal agency, an
agent of a foreign government, an order from a court, or a fugitive from
the law--that either explicitly or implicitly involves the FOIA, or this
part.
Freedom of Information Act (FOIA) is a United States Federal law at
5 U.S.C. 552 that grants the public access to records possessed by
government agencies. Upon written request, U.S. Government agencies are
required to release reasonably described records, except to the extent
the records fall under an exclusion or one of the nine exemptions listed
in the Act.
Frequently requested records are records that have been released
either in full or with the same information withheld and either:
(1) Have been requested from AmeriCorps three or more times; or
(2) Because of their subject matter, AmeriCorps determines have
become or are likely to become the subject of subsequent requests for
the same records.
Multitrack processing is a system that divides incoming FOIA
requests into processing tracks according to their complexity.
Office of Government Information Services (OGIS) is an office within
the National Archives and Records Administration that offers mediation
services to resolve disputes between FOIA requesters and agencies, as a
non-exclusive alternative to litigation. OGIS also reviews agency FOIA
compliance, policies, and procedures and makes recommendations for
improvement.
Proactive disclosures are records that agencies make publicly
available on their website without waiting for a specific FOIA request.
Record means information, regardless of the form in which it is
stored or its characteristics, which is created or obtained by an agency
and is under the control of the agency at the time of the request. It
includes information maintained for the agency by an entity under
government contract for records management purposes. It does not include
records that do not already exist and that would have to be created
specifically to respond to a request.
Referral occurs when an agency locates a record that originated
with, or is of otherwise primary interest to, another agency. The
receiving agency will forward that record to the other agency to process
the record and to provide the final determination directly to the
requester.
Search is the process of looking for and retrieving records or
information responsive to a request.
Simple request is a FOIA request that an agency anticipates will
involve a small volume of material or which the agency will be able to
process relatively quickly.
Tolling means temporarily stopping the running of a time limit.

Sec. 2507.4 Agency FOIA officials.

The following are AmeriCorps' authorized FOIA officials, each of
whom will be identified on americorps.gov, and their roles.
(a) The Chief FOIA Officer:
(1) Has overall responsibility for AmeriCorps' compliance with the
FOIA;
(2) Provides high-level oversight and support to AmeriCorps' FOIA
program;

[[Page 695]]

(3) Recommends adjustments to AmeriCorps' practices, personnel, and
funding, as needed, to improve FOIA administration, including through
Chief FOIA Officer Reports submitted to the U.S. Department of Justice;
(4) Tells the Agency's FOIA Officers of all significant developments
with respect to the FOIA;
(5) Is responsible for offering training to agency staff regarding
their FOIA responsibilities;
(6) Serves as the primary liaison with the Office of Government
Information Services and the U.S. Department of Justice's Office of
Information Policy; and
(7) Reviews, at least annually, all aspects of AmeriCorps'
administration of the FOIA to ensure compliance with the FOIA's
requirements.
(b) The FOIA Officer receives, tracks, and processes the Agency's
FOIA requests, including making final release determinations. The FOIA
Officer is responsible for program direction, original denials, and
policy decisions required for effective implementation of the Agency's
FOIA program.
(c) The FOIA Appeals Officer receives and act upon appeals from
requesters whose initial requests for the Agency's records have been
denied, in whole or in part.
(d) The FOIA Public Liaison serves as the official to whom a FOIA
requester can raise concerns about the services received, following an
initial response from the FOIA Officer. In addition, the FOIA Public
Liaison assists, as appropriate, in reducing delays, increasing
transparency, answering requesters' questions about the status of their
requests, and resolving disputes.

Subpart B_Proactive Disclosures of Agency Records

Sec. 2507.5 Records available on agency website.

(a) AmeriCorps regularly updates and posts the following on its
public website, americorps.gov:
(1) Information that is required to be published in the Federal
Register under 5 U.S.C. 552(a)(1) and:
(2) Administrative staff manuals and instructions to staff that
affect any member of the public.
(3) Statements of policy and interpretation adopted by AmeriCorps
and not published in the Federal Register.
(4) Final opinions, including concurring and dissenting opinions, as
well as orders, made in the adjudication of administrative cases.
(5) Records that AmeriCorps determines are or will be the subject of
widespread media, historical, or academic interest and that may properly
be publicly posted.
(b) On the FOIA page of its public website, americorps.gov, the
Agency posts records that are required by the FOIA to be made available
for public inspection and copying under 5 U.S.C 552(a)(2), including,
but not limited to, frequently requested records.
(c) For help from the FOIA Officer or the FOIA Public Liaison in
finding proactively disclosed records, members of the public may contact
AmeriCorps at or at: AmeriCorps, Office of the General
Counsel, 250 E Street SW, Washington, DC 20525.

foia@cns.gov
Subpart C_Filing a FOIA Request

Sec. 2507.6 Requirements for FOIA requests.

(a) General information. AmeriCorps has a centralized system for
responding to FOIA requests. AmeriCorps headquarters is the central
processing point for all requests for Agency records, regardless of
where they are stored. State service commissions are not part of
AmeriCorps and are not Federal agencies, and thus are not subject to the
FOIA.
(b) Directions for making requests. All FOIA requests must be
submitted in writing to the FOIA Officer at AmeriCorps headquarters in
one of the following ways:
(1) By email: . Including a phone number with a request
will help with processing.
(2) By online submission: via the National FOIA Portal at
www.FOIA.gov.
(3) By mail: AmeriCorps, Attn.: FOIA Officer, Office of General
Counsel, 250 E Street SW, Washington, DC 20525.
(4) By fax: (202) 606-3467.
(c) Description of records sought. Requesters must provide enough
detail about the Agency's records they seek

[[Page 696]]

that AmeriCorps personnel can find responsive records, if they exist,
with a reasonable amount of effort. To the extent possible, requesters
should include information that helps identify the records, such as
dates, titles or names, authors, recipients, subject matter of the
records, or assigned reference numbers. Requesters may adjust their
request or ask for advice on writing a request by sending a note to
.
(1) If a request does not reasonably describe the records sought,
AmeriCorps' response to the request may be delayed or denied.
(2) When AmeriCorps determines that a request does not sufficiently
describe the records sought, it will ask the requester for further
information. If the requester does not respond to a request for
additional information within thirty (30) working days, the request may
be administratively closed at AmeriCorps' discretion. A requester may,
after administrative closure of a request, submit a new request with
additional information for further consideration.
(d) Third-party requests. When a request for records pertains to a
third party (that is, a person other than the requester), the requester
may receive greater access by submitting a notarized authorization
signed by the third party or a declaration, made in compliance with the
requirements set forth in the FOIA, that the third party authorizes
disclosure of the records to the requester, or proof that the third
party is deceased (for example, a copy of a death certificate or a
published obituary). If necessary, AmeriCorps may require additional
information from a requester to verify that the third party consents to
disclosure. Alternatively, requesters may demonstrate an overriding
public interest in the disclosure of information pertaining to a third
party (for example, by producing evidence that alleged Government
impropriety occurred, necessitating a disclosure of information related
to official misconduct).
(e) Date range for requested records. Requesters may ask for a
specific date range for a search, but requests may not ask for records
that are anticipated for the future, but do not yet exist. As it
determines which records are responsive to a request, AmeriCorps
ordinarily will include only records in its possession as of the date it
begins its search, if a date range is not specified.
(f) Contact information. Requesters must provide a telephone number
or email address in their request so that AmeriCorps can contact them
for clarification, if necessary, or help them narrow down a request that
would otherwise be unduly burdensome.

foia@cns.govfoia@cns.gov
Sec. 2507.7 Requests for archived records.

In accordance with agency records schedules and General Records
Schedules, AmeriCorps transfers permanent records to the National
Archives and Records Administration (``National Archives''). Once these
records are transferred, they are in the physical and legal custody of
the National Archives. Accordingly, requests for retired AmeriCorps
records should be submitted to the National Archives by mail addressed
to: Special Access and FOIA Staff (NWCTF), 8601 Adelphi Road, Room 5500,
College Park, MD 20740; by fax to (301) 837-1864; or by email to
.

specialaccess_foia@nara.gov
Subpart D_Agency Processing and Response to FOIA Requests

Sec. 2507.8 Processing of requests.

(a) Authority to grant or deny requests. The FOIA Officer is
authorized to grant or deny any requests for records maintained by
AmeriCorps. If the request is for records under the control and
jurisdiction of the Office of the Inspector General, the FOIA Officer
will forward the request to that office's FOIA officer for the initial
determination and the reply to the requester.
(b) Providing records. AmeriCorps will provide copies only of
records it has in its possession. AmeriCorps is not compelled to create
new records to respond to a FOIA request, answer questions posed as FOIA
requests, perform research for a requester, compile lists of selected
items from its files, or provide a requester with statistical or other
data, unless such data has been compiled previously and is available in
the form of a record.
(1) AmeriCorps is required to provide only one copy of a record.

[[Page 697]]

(2) AmeriCorps will ordinarily provide the record in electronic
form. Requesters may specify the preferred form or format for the
records they seek, and AmeriCorps will provide releasable records in
that form or format if they are readily reproducible in that way and the
format allows for any necessary redactions.
(3) If AmeriCorps cannot make a legible copy of a record to be
released, it is not required to reconstruct the record. Instead,
AmeriCorps will furnish the best copy possible and note the record's
poor quality in its reply.
(c) Records previously released. If AmeriCorps has released a
record, or a part of a record, to a requester in the past, it will
ordinarily release it to a new requester. However, this principle does
not apply if the previous release was unauthorized or if an exemption
applies that did not apply earlier. If an exemption is the reason for
denial, AmeriCorps will specify the exemption under which information is
withheld.
(d) Consultation and referral. When AmeriCorps reviews records in
response to a request and determines that another agency of the Federal
Government holds an interest in the record, AmeriCorps will proceed in
one of the following ways:
(1) Consultation. When responsive records have originated with
AmeriCorps but contain within them information of interest to another
agency, or other Federal Government office, AmeriCorps consults with
that other agency before making a release determination.
(2) Referral. (i) When a responsive record has originated with a
different agency or other Federal Government office that is subject to
the FOIA, AmeriCorps refers the responsibility for responding to the
request regarding that record, on the presumption that the agency that
originated a record will be best able to make the disclosure
determination. However, if AmeriCorps and the originating agency jointly
agree that AmeriCorps is in the best position to respond regarding the
record, then the record may be handled as a consultation.
(ii) Whenever AmeriCorps refers any part of the responsibility for
responding to a request to another agency, it will document the
referral, maintain a copy of the record that it refers, notify the
requester of the referral, and tell the requester the name(s) of the
agency to which the record was referred and that agency's FOIA contact
information.

Sec. 2507.9 Reasons for withholding some records.

(a) AmeriCorps records will be made available to the public unless
it determines that such records should be withheld from disclosure under
subsection 552(b) of the Act and/or in accordance with this part.
Section 552(b) of the FOIA contains nine exemptions to the mandatory
disclosure of records.
(b) AmeriCorps will:
(1) Withhold information under the FOIA only if disclosure is
prohibited by law or it reasonably foresees that disclosure would harm
an interest protected by an exemption.
(2) Consider whether partial disclosure of information is possible
whenever it determines that a full disclosure of a requested record is
not possible.
(3) Take reasonable steps necessary to segregate and release
nonexempt information.
(4) Note in the record and response letter the basis for a redaction
when it withholds information in a record, or an entire record.
(c) To the extent it properly can under an exemption, AmeriCorps
will withhold information it obtains from any submitter that gave it to
the agency in reliance on a statutory or regulatory provision for
confidentiality. This section does not authorize the giving of any
pledge of confidentiality by any officer or employee of AmeriCorps.
(d) The deliberative process privilege of Exemption 5 of the FOIA
will not apply to records created 25 years or more before the date when
the records were requested.

Sec. 2507.10 Timing of responses to requests.

(a) In General. AmeriCorps ordinarily will respond to requests
according to their order of receipt.
(b) Multitrack processing. AmeriCorps processes requests in a
multitrack system based on the date of receipt, the

[[Page 698]]

amount of work and time involved in processing the request, and whether
the request qualifies for expedited processing. This multitrack
processing system does not lessen the Agency's responsibility to process
requests as quickly as possible.
(1) AmeriCorps uses three tracks:
(i) A track for simple requests that can be processed in 20 working
days;
(ii) A track for complex requests that require more than 20 working
days; and
(iii) A track for expedited processing.
(2) Within each track, processing will ordinarily proceed on a
``first-in, first-out'' basis, and rank-ordered by the date of receipt
of the request, unless there are unusual circumstances as set forth in
paragraph (c) of this section, or the requester is entitled to expedited
processing as set forth in paragraph (e) of this section.
(3) If a request does not qualify as simple, AmeriCorps may give the
requester an opportunity to limit the scope of the request in order to
qualify for faster processing.
(c) Unusual circumstances. Whenever the statutory time limit for
processing a request cannot be met because of ``unusual circumstances,''
as defined in the FOIA, and AmeriCorps extends the time limit on that
basis, AmeriCorps will:
(1) Before expiration of the 20-day period to respond, notify the
requester in writing of the unusual circumstances and when AmeriCorps
expects to complete processing the request; and
(2) When the extension exceeds 10 working days, AmeriCorps will:
(i) Notify the requester in writing of the right to seek dispute
resolution services from the Office of Government Information Services
(OGIS);
(ii) Give the requester an opportunity to modify the request or
arrange an alternative time period for processing; and
(iii) Provide contact information for the FOIA Public Liaison.
(d) Aggregating Requests to Satisfy Unusual Circumstances. For the
purposes of satisfying unusual circumstances under the FOIA, AmeriCorps
may aggregate requests in cases where it reasonably appears that
multiple requests, submitted either by a requester or by a group of
requesters acting in concert, constitute a single request that would
otherwise involve unusual circumstances. AmeriCorps will not aggregate
multiple requests that involve unrelated matters.
(e) Expedited processing. (1) Requests and appeals will be processed
on an expedited basis whenever it is determined that they involve:
(i) Circumstances in which the lack of expedited processing could
reasonably be expected to pose an imminent threat to the life or
physical safety of a person;
(ii) An urgency to inform the public about an actual or alleged
Federal Government activity, if the request is made by a person who is
primarily engaged in disseminating information;
(iii) The loss of substantial due process rights; or
(iv) A matter of widespread and exceptional media interest in which
there exist possible questions about the Government's integrity that
affect public confidence.
(2) A requester who seeks expedited processing must submit a
statement, certified to be true and correct, that explains in detail the
basis for requesting expedited processing.
(i) For example, under paragraphs (e)(1)(ii) and (iv) of this
section, a requester who is not a full-time member of the news media
must establish that their primary professional activity or occupation is
information dissemination, though it need not be their sole occupation.
They must also clearly describe why there is a particular urgency to
inform the public about the government activity or questions about
integrity involved in the request--one that extends beyond the public's
right to know about government activity generally.
(ii) As a matter of administrative discretion, AmeriCorps may waive
the formal certification requirement.
(3) Within 10 calendar days of receiving a request for expedited
processing, AmeriCorps will notify the requester of its decision whether
to grant or deny the request. If AmeriCorps grants expedited processing,
the request will be placed in the expedited processing track and be
processed as soon as practicable. If AmeriCorps denies a request

[[Page 699]]

for expedited processing, it will act expeditiously on any appeal of
that decision.
(f) Tolling. The 20-day period under paragraph (b)(1) of this
section commences on the date that the request is first received by the
FOIA Officer. The 20-day period will not be tolled by AmeriCorps except
under the following circumstances:
(1) The FOIA Officer may make one request to the requester for
information and will toll the 20-day period while waiting for the
information. The time from this request to the FOIA Officer's receipt of
a response that addresses the questions will be tolled.
(2) If the requester has indicated that they are willing to pay fees
up to a certain amount, but the estimated fee exceeds that amount, the
FOIA Officer will notify them of the higher estimated fees and ask if
they wish to revise the amount of fees they are willing to pay or modify
the request. The time from this request to the FOIA Officer's receipt of
a response that addresses the questions will be tolled.

Sec. 2507.11 Responses to requests.

(a) In general. To the extent practicable, AmeriCorps will
communicate with requesters using electronic means, such as email. Upon
request, AmeriCorps will provide an estimated date by which it expects
to provide a response to the requester. If a request involves a
voluminous amount of material, or searches in multiple locations, the
agency may provide interim responses, releasing records on a rolling
basis.
(b) Acknowledgment of requests. AmeriCorps will acknowledge the
request and inform the requester of the tracking number assigned to the
request.
(c) Determinations on requests. In all determinations on requests,
AmeriCorps will notify the requester in writing of the right to seek
assistance from AmeriCorps' FOIA Public Liaison.
(1) Grants of requests for records. When AmeriCorps grants a request
in for records in full, it will notify the requester in writing and
provide the records. If fees apply, AmeriCorps will inform the requester
of those fees and send them the requested records promptly upon their
payment of those fees.
(2) Grants for other matters. When AmeriCorps grants a request for a
fee waiver, modification of a request, or expedited processing, it will
notify the requester promptly, in writing.
(3) Adverse determinations on requests. If AmeriCorps denies a
request in any respect, it will notify the requester in writing of the
determination and their right to seek dispute resolution services from
AmeriCorps' FOIA Public Liaison or the Office of Government Information
Services.
(i) Adverse determinations, or denials of requests for records,
include decisions that a record, or portion of it, is exempt; that the
request does not reasonably describe the records sought; that the record
is not subject to the FOIA, is not an agency record, does not exist,
cannot be located, or has been destroyed; or that the record is not
readily reproducible in the format sought by the requester.
(ii) Adverse determinations also include denials involving fees or
fee waiver matters or denials of requests for expedited proceeding.
(4) Information provided in the case of a denial. Response letters
that deny all or part of a request will be signed by the person making
the decision and will provide:
(i) In the case of records withheld in whole or in part, a general
description of what has been withheld and, where not evident, an
estimate of the volume of material withheld, unless providing the
description or estimate would harm an interest protected by an
exemption;
(ii) The reasons for the denial, including, as applicable, a
reference to the specific FOIA exemption that authorizes the
withholding;
(iii) An explanation of the requester's appeal rights as described
in Subpart F and the name and contact information of the Agency's FOIA
Appeals Officer.

Subpart E_Confidential Commercial Information

Sec. 2507.12 Definitions for this subpart.

In addition to the definitions in Sec. 2507.3, the following
definitions apply to this subpart:

[[Page 700]]

Submitter means any person or entity, including a corporation,
State, or foreign government, but not including another Federal
Government entity, that provides information, either directly or
indirectly, to the Federal Government.
Confidential commercial information means commercial or financial
information obtained by an agency from a submitter that may be protected
from disclosure under Exemption 4 of the FOIA, 5 U.S.C. 552(b)(4).

Sec. 2507.13 Procedures for release of commercial information.

(a) Notification to submitters of confidential commercial or
financial information. When AmeriCorps possesses confidential commercial
or financial information, and receives a request for the records, the
Agency will, before release of any information:
(1) Notify the submitter about the request and provide copies of the
requested records;
(2) Tell the submitter what information it proposes to disclose and
withhold in accordance with Exemption (b)(4) of the Act; and
(3) Require the submitter to inform the agency in writing, within 10
business days from the date the notice is sent, if they object to any
proposed disclosure of commercial or financial information in the
records.
(b) When notice to submitter is not required. AmeriCorps will not
give notice to a submitter of confidential commercial or financial
information if:
(1) The Agency determines that the information shall not be
disclosed;
(2) The information has previously been published or otherwise
lawfully been made available to the public; or
(3) Disclosure of the information is required by law (other than 5
U.S.C. 552).
(c) Analysis of objection. AmeriCorps will consider a submitter's
timely objections and specific grounds for nondisclosure in deciding
whether to disclose the requested information. AmeriCorps will not
consider any information not timely submitted. A submitter who fails to
make a timely objection will be considered to have no objection to
disclosure, unless the submitter requests an extension of time to reply
and is granted that extension or a lesser one.
(d) Disclosure over the objection of a submitter. Whenever
AmeriCorps determines to disclose information over the objection of a
submitter of commercial or financial information, it will send the
submitter written notice that includes:
(1) A description of the commercial or financial information to be
released to the requester;
(2) The reasons why the submitter's objection to release was not
sustained;
(3) The date when the records will be disclosed, which shall be not
less than 5 business days after the notice is sent.
(e) Notice of suit for release. Whenever a requester brings suit to
compel the disclosure of a submitter's commercial or financial
information, AmeriCorps will promptly notify the submitter.
(f) Notification to requestor. AmeriCorps will notify the requester
whenever:
(1) AmeriCorps provides the submitter with notice and the
opportunity to object to disclosure;
(2) AmeriCorps notifies the submitter of its intent to disclose
requested information; and
(3) The submitter files a lawsuit to prevent disclosure of the
information.

Subpart F_Appeals and Alternative Dispute Resolution

Sec. 2507.14 Administrative appeals.

Whenever AmeriCorps denies a FOIA request, it will inform the
requester of the reasons for the denial and of the requester's right to
appeal the denial to the FOIA Appeals Officer.
(a) What a requester may appeal. A requester may appeal:
(1) The withholding of a document or part of a document;
(2) Denial of a fee waiver request;
(3) The type or amount of fees they were charged;
(4) Any other type of adverse determination under the FOIA; or
(5) A failure by AmeriCorps to conduct an adequate search for the
requested records.
(b) What a requester may not appeal. A requester may not appeal the
lack of a timely response.

[[Page 701]]

(c) When appeal is required. A requester must generally submit a
timely administrative appeal before they seek court review of the
Agency's adverse determination.
(d) Requirements for making an appeal. A requester must:
(1) Make the appeal in writing;
(2) Transmit or postmark the appeal within 90 calendar days after
the date of adverse determination;
(3) Clearly identify the assigned request number and the Agency
determination they are appealing;
(4) Mark the subject line of the appeal email, or letter and
envelope, with ``FOIA Appeal.''
(e) Where to file an appeal. A requester may file an appeal by
sending an email to to the attention of the FOIA Appeals
Officer, or a letter to: FOIA Appeals Officer, AmeriCorps, 250 E Street
SW, Washington, DC 20525. There is no charge for filing an
administrative appeal.
(f) Adjudication of appeals. (1) The FOIA Appeals Officer will
conduct de novo review and make the final determination on appeals.
(2) An appeal ordinarily will not be adjudicated if the request
becomes a matter of FOIA litigation.
(g) Decisions on appeals. The FOIA Appeals Officer will provide the
decision on any appeal in writing within 20 days (excepting Saturdays,
Sundays, and legal public holidays) from the date the FOIA Appeals
Officer received the appeal. The FOIA Appeals Officer's determination of
an appeal constitutes the Agency's final action.
(1) If the FOIA Appeals Officer's decision upholds the Agency's
determination, the decision will:
(i) State the reasons for the affirmance, including any FOIA
exemptions applied;
(ii) Notify the requester of their statutory right to file a
lawsuit; and
(iii) Inform the requester of the mediation services offered by OGIS
as a non-exclusive alternative to litigation.
(2) If the FOIA Appeals Officer's decision remands or modifies the
Agency determination, either in whole or in part, they will notify the
requester of that determination in writing. Thereafter, AmeriCorps will
re-process the FOIA request in accordance with that determination and,
if applicable, promptly send the releasable records to the requester,
unless a reasonable delay is justified.

[87 FR 55309, Sept. 9, 2022; 87 FR 57643, Sept. 21, 2022]

foia@cns.gov
Sec. 2507.15 Mediation and dispute resolution services.

If a requester receives an adverse determination on a FOIA request,
they have the right to seek dispute resolution services from the FOIA
Public Liaison or mediation services from OGIS. Congress has charged
OGIS with resolving FOIA disputes between Federal agencies and
requesters. OGIS's mediation services are an alternative to litigation,
but do not preclude it.

Subpart G_Fees

Sec. 2507.16 Definitions for this subpart.

In addition to the definitions in Sec. 2507.3, the following
definitions apply to this subpart:
Commercial use request is a FOIA request for a purpose that furthers
a commercial, trade, or profit interest, which can include furthering
those interests through litigation. The Agency's decision to place a
requester in the commercial use category will be made on a case-by-case
basis, in consideration of the requester's intended use of the
information.
Direct costs are the expenses AmeriCorps incurs in searching for and
duplicating (and, in the case of commercial use requests, reviewing)
records in order to respond to a FOIA request. Direct costs do not
include overhead expenses such as the costs of space, or of heating or
lighting a facility.
Duplication fees are the reasonable direct costs of making copies of
records to respond to a FOIA request, including the cost of materials to
produce paper copies and materials plus operator time to produce tapes,
disks, or other media.
Educational institution is any school that operates a program of
scholarly research. To qualify for this fee category, a requester must
show that the request is authorized by, and made under the auspices of,
an educational institution and that the records are not

[[Page 702]]

sought for a commercial use, but rather are sought to further scholarly
research. The request must serve the scholarly research goals of the
institution rather than an individual research goal.
Fee waiver is a waiver or reduction of processing fees if a
requester can demonstrate that certain statutory standards are
satisfied, including that the information is in the public interest and
is not requested for a commercial interest.
Noncommercial scientific institution is an institution that is not
operated on a ``commercial'' basis and that is operated solely for the
purpose of conducting scientific research, the results of which are not
intended to promote any particular product or industry. A requester in
this category must show that the request is authorized by, and made
under the auspices of, a qualifying institution and that the records are
sought to further scientific research and are not for a commercial use.
Representative of the news media is any person or entity that
gathers information of potential interest to a segment of the public,
uses its editorial skills to turn the raw materials into a distinct
work, and distributes that work to an audience. In this clause, the term
``news'' means information that is about current events or that would be
of current interest to the public. A freelance journalist will be
regarded as a representative of the news media if they demonstrate a
solid basis for expecting publication through a news media entity.
Review fees are the direct costs incurred during the initial
examination of a document to determine if it must be disclosed under the
FOIA. This includes doing all that is necessary to prepare a record for
disclosure, such as redacting the record and marking the appropriate
exemptions. Review time also includes time spent obtaining and
considering any formal objection to disclosure made by a confidential
commercial information submitter. It does not include time spent
resolving general legal or policy issues regarding the application of
exemptions. Review fees are properly charged even if a record ultimately
is not disclosed.
Search fees are costs of all time spent looking for responsive
material, including, if necessary, page-by-page or line-by-line
identification of information within records.

Sec. 2507.17 Fees overview.

(a) AmeriCorps will charge fees for processing FOIA requests in
accordance with the provisions of this subpart and with the OMB
Guidelines, unless a waiver or reduction of fees has been granted under
Sec. 2507.24.
(b) AmeriCorps will search for, review, and duplicate records in the
most efficient and the least expensive manner.
(c) AmeriCorps may properly charge for time spent searching even if
it does not locate any responsive records or if it determines that the
records are entirely exempt from disclosure.
(d) When a request is made for commercial purposes, review fees will
be assessed for the Agency's time spent on its initial analysis to
determine whether an exemption applies to a record or portion of a
record.
(e) No charge will be made at the administrative review stage for
review of exemptions that were applied at the initial review stage.
However, if one or more exemptions are deemed to no longer apply, the
costs associated with the Agency's re-review of the records to consider
the use of other exemptions may be assessed as review fees.
(f) Requesters may seek a fee waiver. AmeriCorps will consider
requests for a fee waiver in accordance with the requirements in Sec.
2507.24.
(g) To resolve any fee issues that arise under this section,
AmeriCorps may contact a requester for additional information.

Sec. 2507.18 Requester categories and fees charged.

(a) The FOIA establishes the following categories of requesters and,
depending on the category, these types of fees to be paid:
(1) Commercial use requesters: these pay search, review, and
duplication fees.
(2) Non-commercial scientific institutions, educational institutions
whose

[[Page 703]]

purpose is scholarly or scientific research, or news media requesters:
these pay only duplication fees.
(3) All other requesters: these pay search and duplication fees.
(b) The fee schedule for search, review, and duplication is as
follows:

Table 1 to Paragraph (b)
----------------------------------------------------------------------------------------------------------------
Requester Search fee Review fee Duplication fee
----------------------------------------------------------------------------------------------------------------
Commercial use requester............. $70.00 per hour........ $70.00 per hour........ For photocopies,
20[cent] per page.
Educational & Non-Commercial No fee................. No fee................. For photocopies, the
Scientific institutions. first 100 pages are
free; after that,
20[cent] per page.
Representatives of the news media.... No fee................. No fee................. For photocopies, the
first 100 pages are
free; after that,
20[cent] per page.
All others........................... The first two hours are No fee................. For photocopies, the
free; after that, first 100 pages are
$70.00 per hour. free; after that,
20[cent] per page.
----------------------------------------------------------------------------------------------------------------

Sec. 2507.19 Circumstances in which fees may not be charged.

(a) If AmeriCorps fails to comply with the time limits for
responding to a request, and if no unusual or exceptional circumstances,
as defined by the FOIA, apply to processing the request, it may not
charge search fees (or, for requesters with preferred fee status, may
not charge duplication fees).
(b) If AmeriCorps fails to comply with the extended time limit for
unusual circumstances under Sec. 2705.10(c), it may not charge search
fees (or, for requesters with preferred fee status, may not charge
duplication fees), except as follows:
(1) If unusual circumstances apply and more than 5,000 pages are
necessary to respond to the request, AmeriCorps may charge search fees
(or, for requesters with preferred fee status, may charge duplication
fees), so long as AmeriCorps has given the requester timely written
notice and has discussed with the requester via email, telephone, or
paper mail (or made at least three good-faith attempts to do so) how the
requester could limit the scope of the request.
(2) If a court determines that exceptional circumstances exist,
AmeriCorps' failure to comply with a time limit will be excused for the
length of time provided by the court order.
(c) AmeriCorps will charge search or review fees for a quarter-hour
period only when more than half of that period is required for search or
review.
(d) AmeriCorps will not charge any fee if the total fee calculated
according to Sec. 2507.18 is $25.00 or less for any request.

Sec. 2507.20 Notice of anticipated fees in excess of $25.00.

(a) When AmeriCorps estimates that fees will exceed $25.00 and the
requester has not stated in writing their willingness to pay fees as
high as anticipated, it will inform the requester of the estimated fees,
including a breakdown for search, review, or duplication.
(1) AmeriCorps will inform the requester if only a portion of the
fee can be readily estimated.
(2) For non-commercial-use requesters subject to search fees, the
notice will tell them that they are entitled to two hours of search time
at no charge. For all requesters who ask for non-electronic copies of
the records, AmeriCorps will inform them that they are entitled to 100
pages of duplication at no charge. In both cases, AmeriCorps will tell
the requester whether those entitlements are included in the estimate.
(b) When AmeriCorps notifies a requester that the actual or
estimated total fee exceeds $25.00, it will stop work on the request and
the processing time will be tolled until the requester, in writing:
(1) Commits to paying the actual or estimated total fee; or
(2) Designates a specific dollar amount of fees they are willing to
pay; or

[[Page 704]]

(3) Tells AmeriCorps that they seek only that which can be provided
with two free hours of search time and 100 free pages of duplication, in
the case that they are eligible for these entitlements.
(c) If the requester has specified a fee amount they are willing to
pay, but AmeriCorps estimates that the total fee will be greater than
that:
(1) It will notify the requester of the estimated excess and ask if
they wish to either revise the amount of fees they are willing to pay or
modify the request, and
(2) The Agency will stop work on the request and toll the processing
time according to Sec. 2507.10(f).
(d) The FOIA Officer or FOIA Public Liaison will be available to
help any requester reformulate a request to meet the requester's needs
at a lower cost.

Sec. 2507.21 Other charges.

(a) Charges for other services. Although it is not required to
provide special services, if AmeriCorps chooses as a matter of
administrative discretion to do so, it will charge the direct costs of
providing those services. Examples of such services include certifying
that records are true copies, providing multiple copies of the same
document, or sending records by means other than first class mail.
(b) Charging interest. AmeriCorps may charge interest on any unpaid
bill starting on the 31st day following the billing date. Interest
charges will be assessed at the rate provided in 31 U.S.C. 3717 and will
accrue from the billing date until payment is received by the agency.
AmeriCorps will follow the provisions of the Debt Collection Act of 1982
(Pub. L. 97-365, 96 Stat. 1749), as amended, and its administrative
procedures, including the use of consumer reporting agencies, collection
agencies, and offset.

Sec. 2507.22 Aggregating requests to ensure payment of fees.

(a) When AmeriCorps reasonably believes that a requester or a group
of requesters acting together is attempting to divide a single request
into multiple smaller requests so as to avoid fees, AmeriCorps may
aggregate those requests and charge accordingly.
(1) AmeriCorps may presume that multiple requests of this type made
within a 30-day period have been made in order to avoid fees.
(2) For requests separated by more than 30 days, AmeriCorps will
aggregate them only where there is a reasonable basis for determining
that aggregation is justified in view of all the circumstances involved.
(b) Multiple requests involving unrelated matters will not be
aggregated.

Sec. 2507.23 Collection and payment of fees.

(a) AmeriCorps must ordinarily receive all applicable fees before it
sends copies of records to a requester. This is payment for work already
completed, not an advance payment.
(b) AmeriCorps may require an advance payment before work begins or
is continued on a request when one of the following two circumstances
exists. In these cases, AmeriCorps will not consider the FOIA request to
have been received and will not conduct further work on the request
until it receives the required payment. If the requester does not pay
the advance payment within 30 calendar days after the date of
AmeriCorps' fee determination, the request will be closed.
(1) If AmeriCorps determines or estimates that a total fee will be
greater than $250.00, it may require that the requester pay in advance,
up to the amount of the entire anticipated fee, before starting to
process the request. AmeriCorps may choose to process the request before
it collects fees if it receives a satisfactory assurance of full payment
from a requester with a history of prompt payment.
(2) When a requester has previously failed to pay a properly charged
FOIA fee to the Agency within 30 calendar days of the billing date,
AmeriCorps may require the requester to pay the full amount past due,
plus any applicable interest on that prior request, and may also require
the requester to pay in advance the full amount of any anticipated fee
before it begins to process a new request or continues to process a
pending request or any pending appeal. If AmeriCorps has a reasonable
basis to

[[Page 705]]

believe that a requester has misrepresented their identity in order to
avoid paying outstanding fees, it may require the requester to provide
proof of identity.
(c) Requesters must pay fees by check or money order made payable to
the Treasury of the United States.
(d) AmeriCorps is not required to accept payments in installments.

Sec. 2507.24 Fee waivers or fee reductions.

(a) Requests for a waiver or reduction of fees should be made when
the FOIA request is first submitted to AmeriCorps and should address in
specific detail the factors below. However, a requester may ask for a
fee waiver at a later time, if their FOIA request is still pending or is
on administrative appeal.
(b) AmeriCorps will grant a waiver of fees, or a one-time reduction
of the rate established under Sec. 2507.18, when it determines that the
requester has demonstrated that disclosure of the requested information
is in the public interest and is not primarily in the commercial
interest of the requester.
(1) To determine whether disclosure of the requested information is
in the public interest because it is likely to contribute significantly
to public understanding of the operations or activities of the
government, AmeriCorps will consider the following factors:
(i) The subject of the request must concern identifiable operations
or activities of the Federal Government, with a connection that is
direct and clear, not remote or attenuated.
(ii) Disclosure of the requested records must be meaningfully
informative about Federal Government operations or activities in order
to be ``likely to contribute'' to an increased public understanding of
those operations or activities. Disclosure of information that is
already in the public domain, in either the same or a substantially
identical form, would not contribute to such understanding.
(iii) Disclosure must contribute to the understanding of a
reasonably broad audience of persons interested in the subject, as
opposed to the individual understanding of the requester. A requester's
expertise in the subject area, as well as their ability and intention to
effectively convey information to the public, will be considered. A
representative of the news media making the request for professional
purposes satisfies this consideration.
(iv) The public's understanding of the subject in question must be
enhanced by the disclosure to a significant extent. However, AmeriCorps
will not make value judgments about whether the information at issue is
``important'' enough to be made public.
(2) To determine whether disclosure of the requested information is
primarily in the commercial interest of the requester, AmeriCorps will
give requesters an opportunity to explain the purpose of the request.
The Agency will consider the following factors:
(i) If there is an identified commercial interest, AmeriCorps will
determine whether that is the primary interest furthered by the request.
(ii) The identified commercial interest is not the primary interest
furthered by the request (such that a waiver or reduction of fees is
justified) where the public interest in disclosure is greater than the
identified commercial interest in disclosure. AmeriCorps ordinarily will
presume that when a news media requester has satisfied the public
interest standard, it is a public interest that is primarily served by
disclosure to that requester. Disclosure to data brokers or others who
merely compile and market government information for direct economic
return will not be presumed to primarily serve the public interest.
(c) Where only some of the records to be released satisfy the
requirements for a waiver of fees, a waiver will be granted for those
records only.
(d) A requester may appeal the denial of a fee waiver.

Subpart H_Miscellaneous

Sec. 2507.25 Preservation of records.

AmeriCorps will preserve all correspondence relating to FOIA
requests it receives, and all records processed for those requests,
until the destruction of the correspondence and records is authorized by
Title 44 of the United States Code and the records disposition authority
granted by NARA. The

[[Page 706]]

records will not be sent to a Federal Records Center, transferred to the
permanent custody of NARA, or destroyed while they are the subject of a
pending request, appeal, or civil action under the FOIA.

Sec. 2507.26 Reporting requirements.

(a) AmeriCorps will submit to the Attorney General a statistical
report on FOIA requests, processing, disposition, and appeals.
(b) As required, the Chief FOIA Officer will submit to the Attorney
General a Chief FOIA Officer Report containing a narrative description
of the steps taken by the agency to support and improve FOIA compliance
and transparency.

Sec. 2507.27 Rights and services qualified by the FOIA statute.

Nothing in this part may be construed to entitle any person, as a
right, to any service or to the disclosure of any record to which such
person is not entitled under the FOIA.

PART 2508_IMPLEMENTATION OF THE PRIVACY ACT OF 1974--Table of Contents

Sec.
2508.1 Definitions.
2508.2 What is the purpose of this part?
2508.3 What is the Corporation's Privacy Act policy?
2508.4 When can Corporation records be disclosed?
2508.5 When does the Corporation publish its notice of its system of
records?
2508.6 When will the Corporation publish a notice for new routine uses
of information in its system of records?
2508.7 To whom does the Corporation provide reports to regarding changes
in its system of records?
2508.8 Who is responsible for establishing the Corporation's rules of
conduct for Privacy Act compliance?
2508.9 What officials are responsible for the security, management and
control of Corporation record keeping systems?
2508.10 Who has the responsibility for maintaining adequate technical,
physical, and security safeguards to prevent unauthorized
disclosure or destruction of manual and automatic record
systems?
2508.11 How shall offices maintaining a system of records be accountable
for those records to prevent unauthorized disclosure of
information?
2508.12 What are the contents of the systems of records that are to be
maintained by the Corporation?
2508.13 What are the procedures for acquiring access to Corporation
records by an individual about whom a record is maintained?
2508.14 What are the identification requirements for individuals who
request access to records?
2508.15 What are the procedures for requesting inspection of, amendment
or correction to, or appeal of an individual's records
maintained by the Corporation other than that individual's
official personnel file?
2508.16 What are the procedures for filing an appeal for refusal to
amend or correct records?
2508.17 When shall fees be charged and at what rate?
2508.18 What are the penalties for obtaining a record under false
pretenses?
2508.19 What Privacy Act exemptions or control of systems of records are
exempt from disclosure?
2508.20 What are the restrictions regarding the release of mailing
lists?

Authority: 5 U.S.C. 552a; 42 U.S.C. 12501 et seq.; 42 U.S.C. 4950 et
seq.

Source: 64 FR 19294, Apr. 20, 1999, unless otherwise noted.

Sec. 2508.1 Definitions.

(a) Amend means to make a correction to, or expunge any portion of,
a record about an individual which that individual believes is not
accurate, relevant, timely, or complete.
(b) Appeal Officer means the individual delegated the responsibility
to act on all appeals filed under the Privacy Act.
(c) Chief Executive Officer means the Head of the Corporation.
(d) Corporation means the Corporation for National and Community
Service.
(e) Individual means any citizen of the United States or an alien
lawfully admitted for permanent residence.
(f) Maintain means to collect, use, store, disseminate or any
combination of these recordkeeping functions; exercise of control over
and therefore, responsibility and accountability for, systems of
records.
(g) Personnel record means any information about an individual that
is maintained in a system of records by the Corporation that is needed
for personnel management or processes such

[[Page 707]]

as staffing, employment development, retirement, grievances, and
appeals.
(h) Privacy Act Officer means the individual delegated the authority
to allow access to, the release of, or the withholding of records
pursuant to an official Privacy Act request. The Privacy Act Officer is
further delegated the authority to make the initial determination on all
requests to amend records.
(i) Record means any document or other information about an
individual maintained by the agency whether collected or grouped, and
including, but not limited to, information regarding education,
financial transactions, medical history, criminal or employment history,
or any other personal information that contains the name or other
personal identification number, symbol, etc. assigned to such
individual.
(j) Routine use means, with respect to the disclosure of a record,
the use of such record for a purpose which is compatible with the
purpose for which it was collected.
(k) System of records means a group of any records under the
maintenance and control of the Corporation from which information is
retrieved by use of the name of an individual or by some personal
identifier of the individual.

Sec. 2508.2 What is the purpose of this part?

The purpose of this part is to set forth the basic policies of the
Corporation governing the maintenance of its system of records which
contains personal information concerning its employees as defined in the
Privacy Act (5 U.S.C. 552a). Records included in this part are those
described in aforesaid act and maintained by the Corporation and/or any
component thereof.

Sec. 2508.3 What is the Corporation's Privacy Act policy?

It is the policy of the Corporation to protect, preserve, and defend
the right of privacy of any individual about whom the Corporation
maintains personal information in any system of records and to provide
appropriate and complete access to such records including adequate
opportunity to correct any errors in said records. Further, it is the
policy of the Corporation to maintain its records in such a manner that
the information contained therein is, and remains material and relevant
to the purposes for which it is received in order to maintain its
records with fairness to the individuals who are the subjects of such
records.

Sec. 2508.4 When can Corporation records be disclosed?

(a)(1) The Corporation will not disclose any record that is
contained in its system of records by any means of communication to any
person, or to another agency, except pursuant to a written request by,
or with the prior written consent of the individual to whom the record
pertains, unless disclosure of the record would be:
(i) To employees of the Corporation who maintain the record and who
have a need for the record in the performance of their official duties;
(ii) When required under the provisions of the Freedom of
Information Act (5 U.S.C. 552);
(iii) For routine uses as appropriately published in the annual
notice of the Federal Register;
(iv) To the Bureau of the Census for purposes of planning or
carrying out a census or survey or related activity pursuant to the
provisions of title 13;
(v) To a recipient who has provided the Corporation with advance
adequate written assurance that the record will be used solely as a
statistical research or reporting record, and the record is to be
transferred in a form that is not individually identifiable;
(vi) To the National Archives and Records Administration of the
United States as a record which has sufficient historical or other value
to warrant its continued preservation by the United States Government,
or for evaluation by the Archivist of the United States or the designee
of the Archivist to determine whether the record has such value;
(vii) To another agency or to an instrumentality of any governmental
jurisdiction within or under the control of the United States for civil
or criminal law enforcement activity if the activity is authorized by
law, and if the head of the agency or instrumentality has made a written
request to the Corporation for such records specifying the particular
portion desired and the

[[Page 708]]

law enforcement activity for which the record is sought. Such a record
may also be disclosed by the Corporation to the law enforcement agency
on its own initiative in situations in which criminal conduct is
suspected provided that such disclosure has been established as a
routine use or in situations in which the misconduct is directly related
to the purpose for which the record is maintained;
(viii) To a person pursuant to a showing of compelling circumstances
affecting the health or safety of any individual if, upon such
disclosure, notification is transmitted to the last known address of
such individual;
(ix) To either House of Congress, or, to the extent of matter within
its jurisdiction, any committee or subcommittee thereof, any joint
committee of Congress or subcommittee of any such joint committee;
(x) To the Comptroller General or any of his or her authorized
representatives, in the course of the performance of official duties in
the General Accounting Office;
(xi) Pursuant to an order of a court of competent jurisdiction
served upon the Corporation pursuant to 45 CFR 1201.3, and provided that
if any such record is disclosed under such compulsory legal process and
subsequently made public by the court which issued it, the Corporation
must make a reasonable effort to notify the individual to whom the
record pertains of such disclosure;
(xii) To a contractor, expert, or consultant of the Corporation (or
an office within the Corporation) when the purpose of the release to
perform a survey, audit, or other review of the Corporation's procedures
and operations; and
(xiii) To a consumer reporting agency in accordance with section
3711(f) of title 31.

Sec. 2508.5 When does the Corporation publish its notice of
its system of records?

The Corporation shall publish annually a notice of its system of
records maintained by it as defined herein in the format prescribed by
the General Services Administration in the Federal Register; provided,
however, that such publication shall not be made for those systems of
records maintained by other agencies while in the temporary custody of
the Corporation.

Sec. 2508.6 When will the Corporation publish a notice for new routine
uses of information in its system of records?

At least 30 days prior to publication of information under the
preceding section, the Corporation shall publish in the Federal Register
a notice of its intention to establish any new routine use of any system
of records maintained by it with an opportunity for public comments on
such use. Such notice shall contain the following:
(a) The name of the system of records for which the routine use is
to be established.
(b) The authority for the system.
(c) The purpose for which the record is to be maintained.
(d) The proposed routine use(s).
(e) The purpose of the routine use(s).
(f) The categories of recipients of such use. In the event of any
request for an addition to the routine uses of the systems which the
Corporation maintains, such request may be sent to the following office:
Office of the General Counsel, Corporation for National and Community
Service, 250 E Street SW., Washington, DC 20525.

[64 FR 19294, Apr. 20, 1999, as amended at 81 FR 12600, Mar. 10, 2016]

Sec. 2508.7 To whom does the Corporation provide reports regarding
changes in its system of records?

The Corporation shall provide to the Committee on Government
Operations of the House of Representatives, the Committee on
Governmental Affairs of the Senate, and the Office of Management and
Budget, advance notice of any proposal to establish or alter any system
of records as defined herein. This report will be submitted in
accordance with guidelines provided by the Office of Management and
Budget.

Sec. 2508.8 Who is responsible for establishing the Corporation's
rules of conduct for Privacy Act compliance?

(a) The Chief Executive Officer shall ensure that all persons
involved in the

[[Page 709]]

design, development, operation or maintenance of any system of records
as defined herein are informed of all requirements necessary to protect
the privacy of individuals who are the subject of such records. All
employees shall be informed of all implications of the Act in this area
including the civil remedies provided under 5 U.S.C. 552a(g)(1) and the
fact that the Corporation may be subject to civil remedies for failure
to comply with the provisions of the Privacy Act and this regulation.
(b) The Chief Executive Officer shall also ensure that all personnel
having access to records receive adequate training in the protection of
the security of personal records, and that adequate and proper storage
is provided for all such records with sufficient security to assure the
privacy of such records.

Sec. 2508.9 What officials are responsible for the security,
management and control of Corporation record keeping systems?

(a) The Director of Administration and Management Services shall
have overall control and supervision of the security of all systems of
records and shall be responsible for monitoring the security standards
set forth in this regulation.
(b) A designated official (System Manager) shall be named who shall
have management responsibility for each record system maintained by the
Corporation and who shall be responsible for providing protection and
accountability for such records at all times and for insuring that such
records are secured in appropriate containers whenever not in use or in
the direct control of authorized personnel.

Sec. 2508.10 Who has the responsibility for maintaining adequate
technical, physical, and security safeguards to prevent unauthorized
disclosure or
destruction of manual and automatic record systems?

The Chief Executive Officer has the responsibility of maintaining
adequate technical, physical, and security safeguards to prevent
unauthorized disclosure or destruction of manual and automatic record
systems. These security safeguards shall apply to all systems in which
identifiable personal data are processed or maintained, including all
reports and outputs from such systems that contain identifiable personal
information. Such safeguards must be sufficient to prevent negligent,
accidental, or unintentional disclosure, modification or destruction of
any personal records or data, and must furthermore minimize, to the
extent practicable, the risk that skilled technicians or knowledgeable
persons could improperly obtain access to modify or destroy such records
or data and shall further insure against such casual entry by unskilled
persons without official reasons for access to such records or data.
(a) Manual systems. (1) Records contained in a system of records as
defined herein may be used, held or stored only where facilities are
adequate to prevent unauthorized access by persons within or outside the
Corporation.
(2) All records, when not under the personal control of the
employees authorized to use the records, must be stored in a locked
metal filing cabinet. Some systems of records are not of such
confidential nature that their disclosure would constitute a harm to an
individual who is the subject of such record. However, records in this
category shall also be maintained in locked metal filing cabinets or
maintained in a secured room with a locking door.
(3) Access to and use of a system of records shall be permitted only
to persons whose duties require such access within the Corporation, for
routine uses as defined in Sec. 2508.4 as to any given system, or for
such other uses as may be provided herein.
(4) Other than for access within the Corporation to persons needing
such records in the performance of their official duties or routine uses
as defined in Sec. 2508.4, or such other uses as provided herein,
access to records within a system of records shall be permitted only to
the individual to whom the record pertains or upon his or her written
request to the Director, Administration and Management Services.
(5) Access to areas where a system of records is stored will be
limited to those persons whose duties require work in such areas. There
shall be an

[[Page 710]]

accounting of the removal of any records from such storage areas
utilizing a written log, as directed by the Director, Administration and
Management Services. The written log shall be maintained at all times.
(6) The Corporation shall ensure that all persons whose duties
require access to and use of records contained in a system of records
are adequately trained to protect the security and privacy of such
records.
(7) The disposal and destruction of records within a system of
records shall be in accordance with rules promulgated by the General
Services Administration.
(b) Automated systems. (1) Identifiable personal information may be
processed, stored or maintained by automated data systems only where
facilities or conditions are adequate to prevent unauthorized access to
such systems in any form. Whenever such data, whether contained in punch
cards, magnetic tapes or discs, are not under the personal control of an
authorized person, such information must be stored in a locked or
secured room, or in such other facility having greater safeguards than
those provided for herein.
(2) Access to and use of identifiable personal data associated with
automated data systems shall be limited to those persons whose duties
require such access. Proper control of personal data in any form
associated with automated data systems shall be maintained at all times,
including maintenance of accountability records showing disposition of
input and output documents.
(3) All persons whose duties require access to processing and
maintenance of identifiable personal data and automated systems shall be
adequately trained in the security and privacy of personal data.
(4) The disposal and disposition of identifiable personal data and
automated systems shall be done by shredding, burning or in the case of
tapes or discs, degaussing, in accordance with any regulations now or
hereafter proposed by the General Services Administration or other
appropriate authority.

Sec. 2508.11 How shall offices maintaining a system of records be
accountable for those records to prevent unauthorized disclosure of
information?

(a) Each office maintaining a system of records shall account for
all records within such system by maintaining a written log in the form
prescribed by the Director, Administration and Management Services,
containing the following information:
(1) The date, nature, and purpose of each disclosure of a record to
any person or to another agency. Disclosures made to employees of the
Corporation in the normal course of their duties, or pursuant to the
provisions of the Freedom of Information Act, need not be accounted for.
(2) Such accounting shall contain the name and address of the person
or agency to whom the disclosure was made.
(3) The accounting shall be maintained in accordance with a system
of records approved by the Director, Administration and Management
Services, as sufficient for the purpose but in any event sufficient to
permit the construction of a listing of all disclosures at appropriate
periodic intervals.
(4) The accounting shall reference any justification or basis upon
which any release was made including any written documentation required
when records are released for statistical or law enforcement purposes
under the provisions of subsection (b) of the Privacy Act of 1974 (5
U.S.C. 552a).
(5) For the purpose of this part, the system of accounting for
disclosures is not a system of records under the definitions hereof, and
need not be maintained within a system of records.
(6) Any subject individual may request access to an accounting of
disclosures of a record. The subject individual shall make a request for
access to an accounting in accordance with Sec. 2508.13. An individual
will be granted access to an accounting of the disclosures of a record
in accordance with the procedures of this subpart which govern access to
the related record. Access to an accounting of a disclosure of a record
made under Sec. 2508.13 may be

[[Page 711]]

granted at the discretion of the Director, Administration and Management
Services.

Sec. 2508.12 What are the contents of the systems of record that
are to be maintained by the Corporation?

(a) The Corporation shall maintain all records that are used in
making determinations about any individual with such accuracy,
relevance, timeliness, and completeness as is reasonably necessary to
assure fairness to the individual in the determination;
(b) In situations in which the information may result in adverse
determinations about such individual's rights, benefits and privileges
under any Federal program, all information placed in a system of records
shall, to the greatest extent practicable, be collected from the
individual to whom the record pertains.
(c) Each form or other document that an individual is expected to
complete in order to provide information for any system of records shall
have appended thereto, or in the body of the document:
(1) An indication of the authority authorizing the solicitation of
the information and whether the provision of the information is
mandatory or voluntary.
(2) The purpose or purposes for which the information is intended to
be used.
(3) Routine uses which may be made of the information and published
pursuant to Sec. 2508.6.
(4) The effect on the individual, if any, of not providing all or
part of the required or requested information.
(d) Records maintained in any system of records used by the
Corporation to make any determination about any individual shall be
maintained with such accuracy, relevancy, timeliness, and completeness
as is reasonably necessary to assure fairness to the individual in the
making of any determination about such individual, provided, however,
that the Corporation shall not be required to update or keep current
retired records.
(e) Before disseminating any record about any individual to any
person other than an employee in the Corporation, unless the
dissemination is made pursuant to the provisions of the Freedom of
Information Act (5 U.S.C. 552), the Corporation shall make reasonable
efforts to ensure that such records are, or were at the time they were
collected, accurate, complete, timely and relevant for Corporation
purposes.
(f) Under no circumstances shall the Corporation maintain any record
about any individual with respect to or describing how such individual
exercises rights guaranteed by the First Amendment of the Constitution
of the United States, unless expressly authorized by statute or by the
individual about whom the record is maintained, or unless pertinent to
and within the scope of an authorized law enforcement activity.
(g) In the event any record is disclosed as a result of the order of
a court of appropriate jurisdiction, the Corporation shall make
reasonable efforts to notify the individual whose record was so
disclosed after the process becomes a matter of public record.

Sec. 2508.13 What are the procedures for acquiring access to
Corporation records by an individual about whom a record is maintained?

(a) Any request for access to records from any individual about whom
a record is maintained will be addressed to the Corporation for National
and Community Service, Office of the General Counsel, Attn: Privacy Act
Officer, 250 E Street SW., Washington, DC 20525, or delivered in person
during regular business hours, whereupon access to his or her record, or
to any information contained therein, if determined to be releasable,
shall be provided.
(b) If the request is made in person, such individual may, upon his
or her request, be accompanied by a person of his or her choosing to
review the record and shall be provided an opportunity to have a copy
made of any record about such individual.
(c) A record may be disclosed to a representative chosen by the
individual as to whom a record is maintained upon the proper written
consent of such individual.
(d) A request made in person will be promptly complied with if the
records sought are in the immediate custody of the Corporation. Mailed
requests or personal requests for documents in

[[Page 712]]

storage or otherwise not immediately available, will be acknowledged
within 10 working days, and the information requested will be promptly
provided thereafter.
(e) With regard to any request for disclosure of a record, the
following procedures shall apply:
(1) Medical or psychological records shall be disclosed to an
individual unless, in the judgment of the Corporation, access to such
records might have an adverse effect upon such individual. When such
determination has been made, the Corporation may require that the
information be disclosed only to a physician chosen by the requesting
individual. Such physician shall have full authority to disclose all or
any portion of such record to the requesting individual in the exercise
of his or her professional judgment.
(2) Test material and copies of certificates or other lists of
eligibles or any other listing, the disclosure of which would violate
the privacy of any other individual, or be otherwise exempted by the
provisions of the Privacy Act, shall be removed from the record before
disclosure to any individual to whom the record pertains.

[64 FR 19294, Apr. 20, 1999, as amended at 81 FR 12600, Mar. 10, 2016]

Sec. 2508.14 What are the identification requirements for individuals
who request access to records?

The Corporation shall require reasonable identification of all
individuals who request access to records to ensure that records are
disclosed to the proper person.
(a) In the event an individual requests disclosure in person, such
individual shall be required to show an identification card such as a
drivers license, etc., containing a photo and a sample signature of such
individual. Such individual may also be required to sign a statement
under oath as to his or her identity, acknowledging that he or she is
aware of the penalties for improper disclosure under the provisions of
the Privacy Act.
(b) In the event that disclosure is requested by mail, the
Corporation may request such information as may be necessary to
reasonably ensure that the individual making such request is properly
identified. In certain cases, the Corporation may require that a mail
request be notarized with an indication that the notary received an
acknowledgment of identity from the individual making such request.
(c) In the event an individual is unable to provide suitable
documentation or identification, the Corporation may require a signed
notarized statement asserting the identity of the individual and
stipulating that the individual understands that knowingly or willfully
seeking or obtaining access to records about another person under false
pretenses is punishable by a fine of up to $5,000.
(d) In the event a requestor wishes to be accompanied by another
person while reviewing his or her records, the Corporation may require a
written statement authorizing discussion of his or her records in the
presence of the accompanying representative or other persons.

Sec. 2508.15 What are the procedures for requesting inspection of, amendment
or correction to, or appeal of an individual's records maintained by the
Corporation other than that individual's official personnel
file?

(a) A request for inspection of any record shall be made to the
Director, Administration and Management Services. Such request may be
made by mail or in person provided, however, that requests made in
person may be required to be made upon a form provided by the Director
of Administration and Management Services who shall keep a current list
of all systems of records maintained by the Corporation and published in
accordance with the provisions of this regulation. However, the request
need not be in writing if the individual makes his or her request in
person. The requesting individual may request that the Corporation
compile all records pertaining to such individual at any named Service
Center/State Office, AmeriCorps*NCCC Campus, or at Corporation
Headquarters in Washington, DC, for the individual's inspection and/or
copying. In the event an individual makes such request for a compilation
of all records pertaining to him or her in various locations,
appropriate time for such compilation shall be provided as may be

[[Page 713]]

necessary to promptly comply with such requests.
(b) Any such requests should contain, at a minimum, identifying
information needed to locate any given record and a brief description of
the item or items of information required in the event the individual
wishes to see less than all records maintained about him or her.
(1) In the event an individual, after examination of his or her
record, desires to request an amendment or correction of such records,
the request must be submitted in writing and addressed to the
Corporation for National and Community Service, Office of the General
Counsel, Attn: Privacy Act Officer, 250 E Street SW., Washington, DC
20525. In his or her written request, the individual shall specify:
(i) The system of records from which the record is retrieved;
(ii) The particular record that he or she is seeking to amend or
correct;
(iii) Whether he or she is seeking an addition to or a deletion or
substitution of the record; and,
(iv) His or her reasons for requesting amendment or correction of
the record.
(2) A request for amendment or correction of a record will be
acknowledged within 10 working days of its receipt unless the request
can be processed and the individual informed of the Privacy Act
Officer's decision on the request within that 10 day period.
(3) If the Privacy Act Officer agrees that the record is not
accurate, timely, or complete, based on a preponderance of the evidence,
the record will be corrected or amended. The record will be deleted
without regard to its accuracy, if the record is not relevant or
necessary to accomplish the Corporation's function for which the record
was provided or is maintained. In either case, the individual will be
informed in writing of the amendment, correction, or deletion and, if
accounting was made of prior disclosures of the record, all previous
recipients of the record will be informed of the corrective action
taken.
(4) If the Privacy Act Officer does not agree that the record should
be amended or corrected, the individual will be informed in writing of
the refusal to amend or correct the record. He or she will also be
informed that he or she may appeal the refusal to amend or correct his
or her record in accordance with Sec. 2508.17.
(5) Requests to amend or correct a record governed by the regulation
of another government agency will be forwarded to such government agency
for processing and the individual will be informed in writing of the
referral.
(c) In the event an individual disagrees with the Privacy Act
Officer's initial determination, he or she may appeal such determination
to the Appeal Officer in accordance with Sec. 2508.17. Such request for
review must be made within 30 days after receipt by the requestor of the
initial refusal to amend.

[64 FR 19294, Apr. 20, 1999, as amended at 81 FR 12601, Mar. 10, 2016]

Sec. 2508.16 What are the procedures for filing an appeal for refusal
to amend or correct records?

(a) In the event an individual desires to appeal any refusal to
correct or amend records, he or she may do so by addressing, in writing,
such appeal to the Corporation for National and Community Service,
Office of the Chief Operating Officer, Attn: Appeal Officer, 250 E
Street SW., Washington, DC 20525. Although there is no time limit for
such appeals, the Corporation shall be under no obligation to maintain
copies of original requests or responses thereto beyond 180 days from
the date of the original request.
(b) An appeal will be completed within 30 working days from its
receipt by the Appeal Officer; except that, the appeal authority may,
for good cause, extend this period for an additional 30 days. Should the
appeal period be extended, the individual appealing the original refusal
will be informed in writing of the extension and the circumstances of
the delay. The individual's request for access to or to amend or correct
the record, the Privacy Act Officer's refusal to amend or correct the
record, and any other pertinent material relating to the appeal will be
reviewed. No hearing will be held.
(c) If the Appeal Officer determines that the record that is the
subject of the appeal should be amended or corrected, the record will be
amended or

[[Page 714]]

corrected and the individual will be informed in writing of the
amendment or correction. Where an accounting was made of prior
disclosures of the record, all previous recipients of the record will be
informed of the corrective action taken.
(d) If the appeal is denied, the subject individual will be informed
in writing:
(1) Of the denial and reasons for the denial;
(2) That he or she has a right to seek judicial review of the
denial; and
(3) That he or she may submit to the Appeal Officer a concise
statement of disagreement to be associated with the disputed record and
disclosed whenever the record is disclosed.
(e) Whenever an individual submits a statement of disagreement to
the Appeal Officer in accordance with paragraph (d)(3) of this section,
the record will be annotated to indicate that it is disputed. In any
subsequent disclosure, a copy of the subject individual's statement of
disagreement will be disclosed with the record. If the appeal authority
deems it appropriate, a concise statement of the Appeal Officer's
reasons for denying the individual's appeal may also be disclosed with
the record. While the individual will have access to this statement of
reasons, such statement will not be subject to correction or amendment.
Where an accounting was made of prior disclosures of the record, all
previous recipients of the record will be provided a copy of the
individual's statement of disagreement, as well as the statement, if
any, of the Appeal Officer's reasons for denying the individual's
appeal.

[64 FR 19294, Apr. 20, 1999, as amended at 81 FR 12601, Mar. 10, 2016]

Sec. 2508.17 When shall fees be charged and at what rate?

(a) No fees shall be charged for search time or for any other time
expended by the Corporation to review or produce a record except where
an individual requests that a copy be made of the record to which he or
she is granted access. Where a copy of the record must be made in order
to provide access to the record (e.g., computer printout where no screen
reading is available), the copy will be made available to the individual
without cost.
(b) The applicable fee schedule is as follows:
(1) Each copy of each page, up to 8\1/2\ x 14,
made by photocopy or similar process is $0.10 per page.
(2) Each copy of each microform frame printed on paper is $0.25.
(3) Each aperture card is $0.25.
(4) Each 105-mm fiche is $0.25.
(5) Each 100[foot] foot role of 35-mm microfilm is $7.00.
(6) Each 100[foot] foot role of 16-mm microfilm is $6.00.
(7) Each page of computer printout without regard to the number of
carbon copies concurrently printed is $0.20.
(8) Copying records not susceptible to photocopying (e.g., punch
cards or magnetic tapes), at actual cost to be determined on a case-by-
case basis.
(9) Other copying forms (e.g., typing or printing) will be charged
at direct costs, including personnel and equipment costs.
(c) All copying fees shall be paid by the individual before the
copying will be undertaken. Payments shall be made by check or money
order payable to the ``Corporation for National and Community Service,''
and provided to the Privacy Act Officer processing the request.
(d) A copying fee shall not be charged or collected, or
alternatively, it may be reduced, when it is determined by the Privacy
Act Officer, based on a petition, that the petitioning individual is
indigent and that the Corporation's resources permit a waiver of all or
part of the fee. An individual is deemed to be indigent when he or she
is without income or lacks the resources sufficient to pay the fees.
(e) Special and additional services provided at the request of the
individual, such as certification or authentication, postal insurance
and special mailing arrangement costs, will be charged to the
individual.
(f) A copying fee totaling $5.00 or less shall be waived, but the
copying fees for contemporaneous requests by the same individual shall
be aggregated to determine the total fee.

[[Page 715]]

Sec. 2508.18 What are the penalties for obtaining a record
under false pretenses?

The Privacy Act provides, in pertinent part that:
(a) Any person who knowingly and willfully requests to obtain any
record concerning an individual from the Corporation under false
pretenses shall be guilty of a misdemeanor and fined not more than
$5,000 (5 U.S.C. 552a(I)(3)).
(b) A person who falsely or fraudulently attempts to obtain records
under the Privacy Act also may be subject to prosecution under such
other criminal statutes as 18 U.S.C. 494, 495 and 1001.

Sec. 2508.19 What Privacy Act exemptions or control of systems
of records are exempt from disclosure?

(a) Certain systems of records that are maintained by the
Corporation are exempted from provisions of the Privacy Act in
accordance with exemptions (j) and (k) of 5 U.S.C. 552a.
(1) Exemption of Inspector General system of records. Pursuant to,
and limited by 5 U.S.C. 552a(j)(2), the system of records maintained by
the Office of the Inspector General that contains the Investigative
Files shall be exempted from the provisions of 5 U.S.C. 552a, except
subsections (b), (c)(1) and (2), (e)(4)(A) through (F), (e)(6)(7), (9),
(10), and (11), and (I), and 45 CFR 2508.11, 2508.12, 2508.13, 2508.14,
2508.15, 2508.16, and 2508.17, insofar as the system contains
information pertaining to criminal law enforcement investigations.
(2) Pursuant to, and limited by 5 U.S.C. 552a(k)(2), the system of
records maintained by the Office of the Inspector General that contains
the Investigative Files shall be exempted from 5 U.S.C. 552a(c)(3), (d),
(e)(1), (e)(4) (G), (H), and (I), and (f), and 45 CFR 2508.11, 2508.12,
2508.13, 2508.14, 2508.15, 2508.16, and 2508.17, insofar as the system
contains investigatory materials compiled for law enforcement purposes.
(b) Exemptions to the General Counsel system of records. Pursuant
to, and limited by 5 U.S.C. 552a(d)(5), the system of records maintained
by the Office of the General Counsel that contains the Legal Office
Litigation/Correspondence Files shall be exempted from the provisions of
5 U.S.C. 552a(d)(5), and 45 CFR 2508.4, insofar as the system contains
information compiled in reasonable anticipation of a civil action or
proceeding.

Sec. 2508.20 What are the restrictions regarding the release
of mailing lists?

An individual's name and address may not be sold or rented by the
Corporation unless such action is specifically authorized by law. This
section does not require the withholding of names and addresses
otherwise permitted to be made public.

PART 2509_ADMINISTRATIVE PRACTICE AND PROCEDURES--Table of Contents

Subpart A_Guidance Documents

Sec.
2509.10 What does this subpart cover?
2509.12 What should I do if a guidance document is covered by this
subpart?
2509.14 What is the purpose of the review and clearance procedure?
2509.16 How will CNCS make guidance documents available to the public?
2509.18 What procedures apply to guidance documents identified as
``significant''?
2509.20 What is a ``significant'' guidance document?
2509.22 When will guidance be published for public notice-and-comment?
2509.24 How may the public submit a petition to CNCS for the withdrawal
or modification of a guidance document?
2509.26 What is the effect of rescinded guidance documents?
2509.28 How will significant guidance be issued when there are exigent
circumstances?
2509.30 No judicial review or enforceable rights.

Subpart B [Reserved]

Authority: 42 U.S.C. 12651c(c); E.O. 13891, 84 FR 55235.

Source: 85 FR 44475, July 23, 2020, unless otherwise noted.

Subpart A_Guidance Documents

Sec. 2509.10 What does this subpart cover?

(a) This subpart sets forth the Corporation for National and
Community Service's (CNCS's) procedures for issuing guidance documents.
It applies to all CNCS employees and contractors

[[Page 716]]

involved in issuing CNCS guidance documents on or after April 28, 2020.
(b) For the purposes of this subpart, ``guidance document'' means
any statement of general applicability, intended to have future effect
on the behavior of regulated parties, that sets forth a policy on a
statute, regulatory, or technical issue, or an interpretation of a
statute or regulation, but does not include:
(1) Legislative rules promulgated under 5 U.S.C. 553 (or similar
statutory provisions), or exempt from rulemaking requirements under 5
U.S.C. 553(a);
(2) Rules of agency organization, procedure, or practice;
(3) Decisions of agency adjudications under 5 U.S.C. 554 or similar
statutory provisions;
(4) Internal executive branch legal advice or legal advisory
opinions addressed to executive branch officials;
(5) Agency statements of specific applicability, including advisory
or legal opinions directed to particular parties about circumstance-
specific questions, notices regarding particular locations or
facilities, and correspondence with individual persons or entities,
except documents directed to a particular party and designed to guide
the conduct of the broader regulated public;
(6) Legal briefs, other court filings, or positions taken in
litigation or enforcement actions;
(7) Agency statements that do not set forth for the first time a new
regulatory policy on a statutory, regulatory, or technical issue or an
interpretation of a statute or regulation, including speeches and
individual presentations, editorials, media interviews, press materials,
or congressional testimony;
(8) Grant solicitations and awards;
(9) Contract solicitations and awards; or
(10) Purely internal agency policies or guidance directed solely to
CNCS employees or contractors or to other Federal agencies that are not
intended to have substantial future effect on the behavior of regulated
parties.

Sec. 2509.12 What should I do if a guidance document is covered
by this subpart?

(a) All CNCS guidance documents require review and clearance in
accordance with this subpart.
(b) Guidance proposed by CNCS must be reviewed by the Office of
General Counsel (OGC) and cleared by the General Counsel or his/her
designee.
(c) Additional reviews by other CNCS officials are also conducted as
described in CNCS Policy 100--Preparing Policies and Procedures and
Policy 103--Clearing Controlled Correspondence and Other Documents with
the Board, Chief Executive Officer, and Chief of Staff, or subsequent
updates or revisions to those policies.

Sec. 2509.14 What is the purpose of the review and clearance
procedure?

CNCS's guidance issuance process shall ensure that each proposed
guidance document satisfies the following requirements:
(a) The guidance document complies with all relevant statutes and
regulations (including any statutory deadlines for Agency action);
(b) The guidance document identifies or includes:
(1) The term ``guidance'' or its functional equivalent;
(2) The issuing CNCS responsible office name;
(3) A unique identifier, including, at a minimum, the date of
issuance and title of the document and its regulatory identification
number (RIN), if applicable;
(4) The activity or entities to which the guidance applies;
(5) Citations to applicable statutes and regulations;
(6) A statement noting whether the guidance is intended to revise or
replace any previously issued guidance and, if so, sufficient
information to identify the previously issued guidance; and
(7) A short summary of the subject matter covered in the guidance
document at the top of the document;
(c) The guidance document avoids using mandatory language, such as
``shall,'' ``must,'' ``required,'' or ``requirement,'' unless the
language is describing an established statutory or

[[Page 717]]

regulatory requirement or is addressed to CNCS employees and will not
foreclose CNCS's consideration of positions advanced by affected private
parties;
(d) The guidance document is written in plain and understandable
English; and
(e) All guidance documents should include the following disclaimer
prominently in each guidance document: ``The contents of this document
do not have the force and effect of law and are not meant to bind the
public in any way. This document is intended only to provide clarity to
the public regarding existing requirements under the law or agency
policies.'' When CNCS's guidance document is binding because binding
guidance is authorized by law or because the guidance is incorporated
into a contract, CNCS will modify the disclaimer above to reflect either
of those facts.

Sec. 2509.16 How will CNCS make guidance documents available to the public?

CNCS shall:
(a) Ensure all effective guidance documents, identified by a unique
identifier which includes, at a minimum, the document's title and date
of issuance or revision and its RIN, if applicable, are on its website
in a single, searchable, indexed database, and available to the public
in accordance with Sec. 2905.16;
(b) Note on its website that guidance documents lack the force and
effect of law, except as authorized by law or as incorporated into a
contract; and
(c) Publish on its website where the public can comment
electronically on any guidance documents that are subject to the notice-
and-comment procedures described in Sec. 2509.22 and to submit requests
electronically for issuance, reconsideration, modification, or
rescission of guidance documents.
(d) Guidance documents that do not appear on the Agency's single,
searchable, indexed database are rescinded.

Sec. 2509.18 What procedures apply to guidance documents identified
as ``significant''?

(a) OGC review of proposed guidance documents will include a
preliminary determination as to whether the proposed guidance document
is significant within the meaning of Sec. 2509.20. Unless exempt, each
proposed guidance document determined to be significant must be approved
by the Chief Executive Officer before issuance. In such instances, CNCS
will:
(1) Obtain a RIN to report what CNCS is planning to issue;
(2) Coordinate the guidance document with the Office of Management
and Budget's (OMB's) Office of Information and Regulatory Affairs (OIRA)
for the interagency review, final significance determination, and
clearance; and
(3) Coordinate internal review and clearance of the guidance
document before submitting it to the Chief Executive Officer for
approval, consistent with CNCS Policy 103.
(b) If the guidance document is determined to be significant under
Sec. 2509.20, CNCS may proceed with publication in the Federal
Register. For each significant guidance document, the originating CNCS
office should include a statement in the clearance memorandum indicating
that the guidance document has been reviewed and cleared in accordance
with this section.

Sec. 2509.20 What is a ``significant'' guidance document?

(a) The term ``significant guidance document'' means a guidance
document that will be disseminated to regulated entities or the general
public and that may reasonably be anticipated:
(1) To lead to an annual effect on the economy of $100 million or
more or adversely affect in a material way the U.S. economy, a sector of
the U.S. economy, productivity, competition, jobs, the environment,
public health or safety, or state, local, or tribal governments or
communities;
(2) To create serious inconsistency or otherwise interfere with an
action taken or planned by another Federal agency;
(3) To alter materially the budgetary impact of entitlements,
grants, user fees, or loan programs or the rights and obligations of
recipients thereof; or
(4) To raise novel legal or policy issues arising out of legal
mandates,

[[Page 718]]

the President's priorities, or the principles set forth in E.O. 12866,
as further amended.
(b) The term ``significant guidance document'' does not include the
categories of documents excluded by Sec. 2509.12 or any other category
of guidance documents exempted in writing by CNCS in consultation with
OIRA.
(c) Significant and economically significant guidance documents must
be reviewed by OIRA under E.O. 12866 before issuance and must
demonstrate compliance with the applicable requirements for regulations
or rules, including significant regulatory actions, set forth in E.O.
12866, E.O. 13563, E.O. 13609, E.O. 13771, and E.O. 13777.

Sec. 2509.22 When will guidance be published for public notice-and-comment?

(a) Except as provided in paragraph (b) of this section, all
proposed CNCS guidance documents determined to be significant within the
meaning of Sec. 2509.20 are subject to public notice-and-comment. CNCS
shall publish notification in the Federal Register of the proposed
significant guidance document and invite public comments for a minimum
of 30 days, then publish a response to major concerns raised in the
comments when the final guidance document is published.
(b) The requirements of paragraph (a) of this section will not apply
to any significant guidance document for which CNCS finds, in
consultation with OIRA, good cause that notice-and-comment procedures
are impracticable, unnecessary, or contrary to the public interest (and
incorporates the finding of good cause and a brief statement of reasons
in the guidance issued).
(c) CNCS and OIRA may establish an agreement on presumptively
exempted categories of guidance; such documents will be presumptively
exempt from the requirements of paragraph (a) of this section.

Sec. 2509.24 How may the public submit a petition to CNCS for
the withdrawal or modification of a guidance document?

(a) Interested parties may submit petitions to CNCS requesting
withdrawal or modification of any effective guidance document by sending
an email to or by sending the request to Corporation
for National and Community Service ATT: Associate Director of Policy,
250 E Street SW, Washington, DC 20525.
(b) Interested parties should include the guidance document's title
and a summary justification describing why the document should be
withdrawn, how it should be modified, or the nature of the concern with
the guidance.
(c) The responsible CNCS department, in consultation with OGC, will
review the petition, determine if withdrawal or modification is
necessary or the best way to resolve the concern, and respond to the
petitioner no later than 90 days after receipt of the request.

Guidance@cns.gov
Sec. 2509.26 What is the effect of rescinded guidance documents?

CNCS may not cite, use, or rely on rescinded guidance documents,
except to establish historical facts.

Sec. 2509.28 How will significant guidance be issued when there
are exigent circumstances?

Under exigent circumstances, such as safety, health, or when
statutory deadlines or court order or other compelling cause require
CNCS to act more quickly than normal review procedures allow, CNCS will
notify OIRA as soon as possible and, to the extent practicable, comply
with the requirements of this subpart at the earliest opportunity.

Sec. 2509.30 No judicial review or enforceable rights.

This subpart is intended to improve the internal management of CNCS.
As such, it is for the use of CNCS employees only and is not intended
to, and does not create any right or benefit, substantive or procedural,
enforceable by law or in equity by any party against the United States,
its agencies or other entities, its officers or employees, or any other
person.

Subpart B [Reserved]

[[Page 719]]

PART 2510_OVERALL PURPOSES AND DEFINITIONS--Table of Contents

Sec.
2510.10 What are the purposes of the programs and activities of the
Corporation for National and Community Service?
2510.20 Definitions.

Authority: 42 U.S.C. 12511.

Sec. 2510.10 What are the purposes of the programs and activities
of the Corporation for National and Community Service?

The National and Community Service Trust Act of 1993 established the
Corporation for National and Community Service (the Corporation). The
Corporation's mission is to engage Americans of all ages and backgrounds
in community-based service. This service will address the Nations
educational, public safety, human, and environmental needs to achieve
direct and demonstrable results. In doing so, the Corporation will
foster civic responsibility, strengthen the ties that bind us together
as a people, and provide educational opportunity for those who make a
substantial commitment to service. The Corporation will undertake
activities and provide assistance to States and other eligible entities
to support national and community service programs and to achieve other
purposes consistent with its mission.

[59 FR 13783, Mar. 23, 1994]

Sec. 2510.20 Definitions.

The following definitions apply to terms used in 45 CFR parts 2510
through 2550:
Act. The term Act means the National and Community Service Act of
1990, as amended (42 U.S.C. 12501 et seq.).
Administrative costs. The term administrative costs means general or
centralized expenses of overall administration of an organization that
receives assistance under the Act and does not include program costs.
(1) For organizations that have an established indirect cost rate
for Federal awards, administrative costs mean those costs that are
included in the organization's indirect cost rate. Such costs are
generally identified with the organization's overall operation and are
further described in 2 CFR part 200.
(2) For organizations that do not have an established indirect cost
rate for Federal awards, administrative costs include:
(i) Costs for financial, accounting, auditing, contracting, or
general legal services except in unusual cases when they are
specifically approved in writing by the Corporation as program costs.
(ii) Costs for internal evaluation, including overall organizational
management improvement costs (except for independent evaluations and
internal evaluations of a program or project).
(iii) Costs for general liability insurance that protects the
organization(s) responsible for operating a program or project, other
than insurance costs solely attributable to a program or project.
Adult Volunteer. (1) The term adult volunteer means an individual,
such as an older adult, an individual with disability, a parent, or an
employee of a business of public or private nonprofit organization,
who--
(i) Works without financial remuneration in an educational
institution to assist students of out-of-school youth; and
(2) Is beyond the age of compulsory school attendance in the State
in which the educational institution is located.
AmeriCorps. The term AmeriCorps means the combination of all
AmeriCorps programs and participants.
AmeriCorps educational award. The term AmeriCorps educational award
means a national service educational award described in section 147 of
the Act.
AmeriCorps participant. The term AmeriCorps participant means any
individual who is serving in--
(1) An AmeriCorps program;
(2) An approved AmeriCorps position; or
(3) Both.
AmeriCorps program. The term AmeriCorps program means--
(1) Any program that receives approved AmeriCorps positions;
(2) Any program that receives Corporation funds under section 121 of
the Act; or
(3) Both.

[[Page 720]]

Approved AmeriCorps position. The term approved AmeriCorps position
means an AmeriCorps position for which the Corporation has approved the
provision of an AmeriCorps educational award as one of the benefits to
be provided for successful service in the position.
Approved Silver Scholar position. The term approved Silver Scholar
position means a Silver Scholar position for which the Corporation has
approved a Silver Scholar education award.
Approved Summer of Service position. The term approved Summer of
Service position means a Summer of Service position for which the
Corporation has approved a Summer of Service education award.
Carry out. The term carry out, when used in connection with an
AmeriCorps program described in section 122 of the Act, means the
planning, establishment, operation, expansion, or replication of the
program.
Chief Executive Officer. The term Chief Executive Officer, except
when used to refer to the chief executive officer of a State, means the
Chief Executive Officer of the Corporation appointed under section 193
of the Act.
Children. The term children means individuals 17 years of age and
younger.
Community-based agency. The term community-based agency means a
private nonprofit organization (including a church or other religious
entity) that--
(1) Is representative of a community or a significant segment of a
community; and
(2) Is engaged in meeting educational, public safety, human, or
environmental community needs.
Community-based entity. The term community-based entity means a
public or private nonprofit organization that--
(1) Has experience with meeting unmet human, educational,
environmental, or public safety needs; and
(2) Meets other such criteria as the Chief Executive Officer may
establish.
Corporation. The term Corporation means the Corporation for National
and Community Service established under section 191 of the Act.
Economically disadvantaged. The term economically disadvantaged,
with respect to an individual, has the same meaning as such term as
defined in the Job Training Partnership Act (29 U.S.C. 1503(8)).
Elementary school. The term elementary school has the same meaning
given the term in section 1471(8) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 2891(8)).
Empowerment zone. The term empowerment zone means an area designated
as an empowerment zone by the Secretary of the Department of Housing and
Urban Development or the Secretary of the Department of Agriculture.
Grantmaking entity. (1) For school-based programs, the term
grantmaking entity means a public or private nonprofit organization
experienced in service-learning that--
(i) Submits an application to make grants for school-based service-
learning programs in two or more States; and
(ii) Was in existence at least one year before the date on which the
organization submitted the application.
(2) For community-based programs, the term grantmaking entity means
a qualified organization that--
(i) Submits an application to make grants to qualified organizations
to implement, operate, expand, or replicate community-based service
programs that provide for educational, public safety, human, or
environmental service by school-age youth in two or more States; and
(ii) Was in existence at least one year before the date on which the
organization submitted the application.
Higher Education partnerships. The term higher education partnership
means one or more public or private nonprofit organizations, or public
agencies, including States, and one or more institutions of higher
education that have entered into a written agreement specifying the
responsibilities of each partner.
Indian. The term Indian means a person who is a member of an Indian
tribe, or is a ``Native'', as defined in section 3(b) of the Alaska
Native Claims Settlement Act (43 U.S.C. 1602(b)).
Indian lands. The term Indian lands means any real property owned by
an Indian tribe, any real property held in

[[Page 721]]

trust by the United States for an Indian or Indian tribe, and any real
property held by an Indian or Indian tribe that is subject to
restrictions on alienation imposed by the United States.
Indian tribe. The term Indian tribe means--
(1) An Indian tribe, band, nation, or other organized group or
community that is recognized as eligible for the special programs and
services provided by the United States under Federal law to Indians
because of their status as Indians, including--
(i) Any Native village, as defined in section 3(c) of the Alaska
Native Claims Settlement Act (43 U.S.C. 1602(c)), whether organized
traditionally or pursuant to the Act of June 18, 1934 (commonly known as
the ``Indian Reorganization Act'', 25 U.S.C. 461 et seq.); and
(ii) Any Regional Corporation or Village Corporation, as defined in
subsection (g) or (j), respectively, of section 3 of the Alaska Native
Claims Settlement Act (43 U.S.C. 1602 (g) or (j)); and
(2) Any tribal organization controlled, sanctioned, or chartered by
an entity described in paragraph (1) of this definition.
Individual with a disability. Except as provided in section 175(a)
of the Act, the term individual with a disability has the meaning given
the term in section 7(8)(B) of the Rehabilitation Act of 1973 (29 U.S.C.
706(8)(B)), which includes individuals with cognitive and other mental
impairments, as well as individuals with physical impairments, who meet
the criteria in that definition.
Infrastructure-building activities. The term infrastructure-building
activities refers to activities that increase the capacity of
organizations, programs and individuals to provide high quality service
to communities.
Institution of higher education. The term institution of higher
education has the same meaning given the term in section 101 of the
Higher Education Act of 1965 (20 U.S.C. 1001).
Local educational agency (LEA). The term local educational agency
has the same meaning given the term in section 1471(12) of the
Elementary and Secondary Education Act of 1965 (20 U.S.C. 2891(12)).
Local partnership. The term local partnership means a partnership,
as defined in Sec. 2510.20 of this chapter, that meets the eligibility
requirements to apply for subgrants under Sec. 2516.110 or Sec.
2517.110 of this chapter.
National nonprofit. The term national nonprofit means any nonprofit
organization whose mission, membership, activities, or constituencies
are national in scope.
National service laws. The term national service laws means the Act
and the Domestic Volunteer Service Act of 1973 (42 U.S.C. 4950 et seq.).
Objective. The term objective means a desired accomplishment of a
program.
Out-of-school youth. The term out-of-school youth means an
individual who--
(1) Has not attained the age of 27;
(2) Has not completed college or its equivalent; and
(3) Is not enrolled in an elementary or secondary school or
institution of higher education.
Participant. (1) The term participant means an individual enrolled
in a program that receives assistance under the Act.
(2) A participant may not be considered to be an employee of the
program in which the participant is enrolled.
(3) A participant may also be referred to by the term member.
Partnership. The term partnership means two or more entities that
have entered into a written agreement specifying the partnership's goals
and activities as well as the responsibilities, goals, and activities of
each partner.
Partnership program. The term partnership program means a program
through which an adult volunteer, a public or private nonprofit
organization, an institution of higher education, or a business assists
a local educational agency.
Program. The term program, unless the context otherwise requires,
and except when used as part of the term academic program, means a
program described in the National and Community Service Act of 1990, as
amended (42 U.S.C. 12501 et seq.), in section 112(a) (other than a
program referred to in paragraph (3)(B) of that section), 118A, or
118(b)(1), or subsection (a), (b), or (c)

[[Page 722]]

of section 122, or in paragraph (1) or (2) of section 152(b), section
198B, 198C, 198H, or 198K, or an activity that could be funded under
section 179A, 198, 198O, 198P, or 199N.
Program costs. The term program costs means expenses directly
related to a program or project, including their operations and
objectives. Program costs include, but are not limited to:
(1) Costs attributable to participants, including: living
allowances, insurance payments, and expenses for training and travel.
(2) Costs (including salary, benefits, training, travel)
attributable to staff who recruit, train, place, support, coordinate, or
supervise participants, or who develop materials used in such
activities.
(3) Costs for independent evaluations and internal evaluations to
the extent that the evaluations cover only the funded program or
project.
(4) Costs, excluding those already covered in an organization's
indirect cost rate, attributable to staff that work in a direct program
or project support, operational, or oversight capacity, including, but
not limited to: support staff whose functions directly support program
or project activities; staff who coordinate and facilitate single or
multi-site program and project activities; and staff who review,
disseminate and implement Corporation guidance and policies directly
relating to a program or project.
(5) Space, facility, and communications costs for program or project
operations and other costs that primarily support program or project
operations, excluding those costs that are already covered by an
organization's indirect cost rate.
(6) Other allowable costs, excluding those costs that are already
covered by an organization's indirect cost rate, specifically approved
by the Corporation as directly attributable to a program or project.
Program sponsor. The term program sponsor means an entity
responsible for recruiting, selecting, and training participants,
providing them benefits and support services, engaging them in regular
group activities, and placing them in projects.
Project. The term project means an activity, or a set of activities,
carried out through a program that receives assistance under the Act,
that results in a specific identifiable service or improvement that
otherwise would not be done with existing funds, and that does not
duplicate the routine services or functions of the employer to whom
participants are assigned.
Project sponsor. The term project sponsor means an organization, or
other entity, that has been selected to provide a placement for a
participant.
Qualified individual with a disability. The term qualified
individual with a disability has the meaning given the term in section
101(8) of the Americans with Disabilities Act of 1990 (42 U.S.C.
12111(8)).
Qualified organization. The term qualified organization means a
public or private nonprofit organization, other than a grantmaking
entity, that--
(1) Has experience in working with school-age youth; and
(2) Was in existence at least one year before the date on which the
organization submitted an application for a service-learning program.
Recognized equivalent of a high-school diploma. The term recognized
equivalent of a high-school diploma means:
(1) A General Education Development Certificate (GED);
(2) A State certificate received by a student after the student has
passed a State-authorized examination that the State recognizes as the
equivalent of a high-school diploma;
(3) An academic transcript of a student who has successfully
completed at least a two-year program that is acceptable for full credit
toward a bachelor's degree; or
(4) For a person who is seeking enrollment in an educational program
that leads to at least an associate degree or its equivalent and who has
not completed high-school but who excelled academically in high-school,
documentation that the student excelled academically in high-school and
has met the formalized, written policies of the institution for
admitting such students.
Recurring access. The term recurring access means the ability on
more than one occasion to approach, observe, or

[[Page 723]]

communicate with, an individual, through physical proximity or other
means, including but not limited to, electronic or telephonic
communication.
School-age youth. The term school-age youth means--
(1) Individuals between the ages of 5 and 17, inclusive; and
(2) Children with disabilities, as defined in section 602(a)(1) of
the Individuals with Disabilities Education Act (20 U.S.C. 1401(a)(1)),
who receive services under part B of that Act.
Secondary school. The term secondary school has the same meaning
given the term in section 1471(21) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 2891(21)).
Service-learning. The term service-learning means a method under
which students or participants learn and develop through active
participation in thoughtfully organized service that--
(1) Is conducted in and meets the needs of a community;
(2) Is coordinated with an elementary school, secondary school,
institution of higher education, or community service program, and with
the community;
(3) Helps foster civic responsibility;
(4) Is integrated into and enhances the academic curriculum of the
students or the educational components of the community service program
in which the participants are enrolled; and
(5) Includes structured time for the students and participants to
reflect on the service experience.
Service-learning coordinator. The term service-learning coordinator
means an individual trained in service-learning who identifies community
partners for LEAs; assists in designing and implementing local
partnerships service-learning programs; provides technical assistance
and information to, and facilitates the training of, teachers; and
provides other services for an LEA.
State. The term State means each of the several States, the District
of Columbia, the Commonwealth of Puerto Rico, the United States Virgin
Islands, Guam, American Samoa, and the Commonwealth of the Northern
Mariana Islands. The term also includes Palau, until the Compact of Free
Association is ratified.
State Commission. The term State Commission means a State Commission
on National and Community Service maintained by a State pursuant to
section 178 of the Act. Except when used in section 178, the term
includes an alternative administrative entity for a State approved by
the Corporation under that section to act in lieu of a State Commission.
State educational agency (SEA). The term State educational agency
has the same meaning given that term in section 1471(23) of the
Elementary and Secondary Education Act of 1965 (20 U.S.C. 2891(23)).
Student. The term student means an individual who is enrolled in an
elementary or secondary school or institution of higher education on a
full-time or part-time basis.
Subdivision of a State. The term subdivision of a State means an
governmental unit within a State other than a unit with Statewide
responsibilities.
Subtitle C program. The term subtitle C program means an AmeriCorps
program authorized and funded under subtitle C of the National and
Community Service Act of 1990, as amended. (NCSA) (42 U.S.C. 12501 et
seq.) It does not include demonstration programs, or other AmeriCorps
programs, funded under subtitle H of the NCSA.
Target community. The term target community means the geographic
community in which an AmeriCorps grant applicant intends to provide
service to address an identified unmet human, educational,
environmental, or public safety (including disaster-preparedness and
response) need.
U.S. Territory. The term U.S. Territory means the Virgin Islands,
Guam, American Samoa, the Commonwealth of the Northern Mariana Islands,
and Palau, until the Compact of Free Association with Palau is ratified.

[59 FR 13783, Mar. 23, 1994, as amended at 63 FR 18137, Apr. 14, 1998;
67 FR 45359, July 9, 2002; 70 FR 39596, July 8, 2005; 72 FR 48581, Aug.
24, 2007; 73 FR 53759, Sept. 17, 2008; 74 FR 46502, Sept. 10, 2009; 75
FR 51409, Aug. 20, 2010; 77 FR 60931, Oct. 5, 2012; 79 FR 76077, Dec.
19, 2014]

PART 2513 [RESERVED]

[[Page 724]]

PART 2515_SERVICE-LEARNING PROGRAM PURPOSES--Table of Contents

Authority: 42 U.S.C. 12501 et seq.

Sec. 2515.10 What are the service-learning programs of the
Corporation for National and Community Service?

(a) There are three service-learning programs: (1) School-based
programs, described in part 2516 of this chapter.
(2) Community-based programs, described in part 2517 of this
chapter.
(3) Higher education programs, described in part 2519 of this
chapter.
(b) Each program gives participants the opportunity to learn and
develop their own capabilities through service-learning, while
addressing needs in the community.

[59 FR 13786, Mar. 23, 1994]

PART 2516_SCHOOL-BASED SERVICE-LEARNING PROGRAMS--Table of Contents

Subpart A_Eligibility To Apply

Sec.
2516.100 What is the purpose of school-based service-learning programs?
2516.110 Who may apply for a direct grant from the Corporation?
2516.120 Who may apply for funding a subgrant?

Subpart B_Use of Grant Funds

2516.200 How may grant funds be used?

Subpart C_Eligibility To Participate

2516.300 Who may participate in a school-based service-learning program?
2516.310 May private school students participate?
2516.320 Is a participant eligible to receive an AmeriCorps educational
award?

Subpart D_Application Contents

2516.400 What must a State or Indian tribe include in an application for
a grant?
2516.410 What must a community-based entity include in an application
for a grant?
2516.420 What must an LEA, local partnership, qualified organization or
other eligible entity include in an application for a
subgrant?

Subpart E_Application Review

2516.500 How does the Corporation review the merits of an application?
2516.510 What happens if the Corporation rejects a State's application
for an allotment grant?
2516.520 How does a State, Indian tribe, or community-based entity
review the merits of an application?

Subpart F_Distribution of Funds

2516.600 How are funds for school-based service-learning programs
distributed?

Subpart G_Funding Requirements

2516.700 What matching funds are required?
2516.710 What are the limits on the use of funds?
2516.720 What is the length of each type of grant?
2516.730 May an applicant submit more than one application to the
Corporation for the same project at the same time?

Subpart H_Evaluation Requirements

2516.800 What are the purposes of an evaluation?
2516.810 What types of evaluations are grantees and subgrantees required
to perform?
2516.820 What types of internal evaluation activities are required of
programs?
2516.830 What types of activities are required of Corporation grantees
to evaluate the effectiveness of their subgrantees?
2516.840 By what standards will the Corporation evaluate individual
Learn and Serve America programs?
2516.850 What will the Corporation do to evaluate the overall success of
the service-learning program?
2516.860 Will information on individual participants be kept
confidential?

Authority: 42 U.S.C. 12521-12529; 42 U.S.C. 12645g.

Source: 59 FR 13786, Mar. 23, 1994, unless otherwise noted.

Subpart A_Eligibility To Apply

Source: 74 FR 46502, Sept. 10, 2009, unless otherwise noted.

Sec. 2516.100 What is the purpose of school-based
service-learning programs?

The purpose of school-based service-learning programs is to promote
service-learning as a strategy to support high-quality service-learning
projects

[[Page 725]]

that engage students in meeting community needs with demonstrable
results, while enhancing students' academic and civic learning; and
support efforts to build institutional capacity, including the training
of educators, and to strengthen the service infrastructure to expand
service opportunities.

Sec. 2516.110 Who may apply for a direct grant from the Corporation?

(a) The following entities may apply for a direct grant from the
Corporation:
(1) A State, through a State educational agency (SEA). For purposes
of this part ``State'' means one of the 50 States, the District of
Columbia, the Commonwealth of Puerto Rico, and, except for the purpose
of Sec. 2516.600(b), U.S. Territories; ``SEA'' means a ``State
educational agency'' as defined in Sec. 2510.20 of this chapter or an
SEA-designated statewide entity (which may be a community-based entity)
with demonstrated experience in supporting or implementing service-
learning programs.
(2) An Indian Tribe.
(3) For activities in a nonparticipating State or Indian Tribe, a
community-based entity as defined in Sec. 2510.20.
(b) The types of grants for which each entity is eligible are
described in Sec. 2516.200.

Sec. 2516.120 Who may apply for funding a subgrant?

Entities that may apply for a subgrant from a State, Indian Tribe,
or community-based entity are:
(a) A qualified organization, Indian Tribe, Territory, local
educational agency, for-profit business, private elementary school or
secondary school, or institution of higher education for a grant from a
State for planning and building the capacity of school-based service-
learning programs.
(b) A local partnership, for a grant from a State to implement,
operate, or expand a school-based service learning program.
(1) The local partnership must include an LEA and one or more
community partners. The local partnership may include a private for-
profit business, or private elementary or secondary school, or an Indian
Tribe (except that an Indian Tribe distributing funds to a project under
this paragraph is not eligible to be part of the partnership operating
that project).
(2) The community partners must include a public or private
nonprofit organization that has demonstrated expertise in the provision
of services to meet educational, public safety, human, or environmental
needs; will make projects available for participants, who must be
students; and was in existence at least one year before the date on
which the organization submitted an application under this part.
(c) An LEA or Indian Tribe for planning school-based service-
learning programs involving paying, recruiting, and supporting service-
learning coordinators.
(d) An LEA, local partnership, or public or private nonprofit
organization for a grant from a State to implement, operate, or expand
an adult volunteer program. The local partnership must include an LEA
and one or more public or private nonprofit organizations, other
educational agencies, or an Indian Tribe (except that an Indian Tribe
distributing funds under this paragraph is not eligible to be a
recipient of those funds) that coordinate and operate projects for
participants who must be students.
(e) An eligible entity for a grant from a State or Indian Tribe to
carry out civic engagement activities.

Subpart B_Use of Grant Funds

Sec. 2516.200 How may grant funds be used?

Funds under a school-based service learning grant may be used for
the purposes described in this section.
(a) Planning and capacity-building. (1) A State, Indian Tribe, or
community-based entity may use funds to pay for planning and building
its capacity to implement school-based service-learning programs. These
entities may use funds either directly or through subgrants or contracts
with qualified organizations.
(2) Authorized activities include the following:

[[Page 726]]

(i) Providing training for teachers, supervisors, personnel from
community-based agencies (particularly with regard to the utilization of
participants) and trainers, conducted by qualified individuals or
organizations experienced in service-learning.
(ii) Developing service-learning curricula, consistent with State or
local academic content standards, to be integrated into academic
programs, including the age-appropriate learning components for students
to analyze and apply their service experiences.
(iii) Forming local partnerships described in Sec. 2516.120 to
develop school-based service-learning programs in accordance with this
part.
(iv) Devising appropriate methods for research and evaluation of the
educational value of service-learning and the effect of service-learning
activities on communities.
(v) Establishing effective outreach and dissemination of information
to ensure the broadest possible involvement of community-based agencies
with demonstrated effectiveness in working with school-age youth in
their communities.
(vi) Establishing effective outreach and dissemination of
information to ensure the broadest possible participation of schools
throughout the State, Territory or serving the Indian Tribe involved,
with particular attention to schools not making adequate yearly progress
for two or more consecutive years under section 1111 of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 6301 et seq.).
(b) Implementing, operating, and expanding school-based programs.
(1) A State, Indian Tribe or community-based entity may use funds to
make subgrants to local partnerships described in Sec. 2516.120(b) to
implement, operate, or expand school-based service-learning programs.
(2) If a State does not submit an application that meets the
requirements for an allotment grant under Sec. 2516.400, the
Corporation may use the allotment to fund applications from community-
based entities for programs in that State.
(3) Authorized activities include paying the costs of the
recruitment, training, supervision, placement, salaries and benefits of
service-learning coordinators.
(c) Planning programs. (1) A State may use funds to make subgrants
to LEAs for planning school-based service-learning programs.
(2) If a State does not submit an application that meets the
requirements for an allotment grant under Sec. 2516.400, the
Corporation may use the allotment to fund applications from community-
based entities for planning programs in that State.
(3) Authorized activities include paying the costs of--
(i) The salaries and benefits of service-learning coordinators as
defined in Sec. 2510.20 of this chapter; and
(ii) The recruitment, training, supervision, and placement of
service-learning coordinators who may be, but are not required to be,
participants in an AmeriCorps program described in parts 2520 through
2524 of this chapter, or who receive AmeriCorps education awards, or who
may be participants in a project under section 201 of the Domestic
Volunteer Service Act of 1973 (42 U.S.C. 5001), or who may participate
in a Youthbuild program under section 173A of the Workforce Investment
Act of 1998 (29 U.S.C. 2918a).
(d) Adult volunteer programs. (1) A State, Indian Tribe, or
community-based entity may use funds to make subgrants to local
partnerships described in Sec. 2516.120(c) to implement, operate, or
expand school-based programs involving adult volunteers to utilize
service-learning to improve the education of students.
(2) If a State does not submit an application that meets the
requirements for an allotment grant under Sec. 2516.400, the
Corporation may use the allotment to fund applications from those local
partnerships for adult volunteer programs in that State.
(e) Planning by Indian Tribes and U.S. Territories. If the
Corporation makes a grant to an Indian Tribe or a U.S. Territory to plan
school-based service-learning programs, the grantee may use the funds
for that purpose.
(f) Civic engagement programs. A State, Indian Tribe, Territory or
qualified organization may use funds to support service-learning civic
engagement

[[Page 727]]

programs that promote a better understanding of:
(1) The principles of the Constitution, the heroes of United States
history (including military history), and the meaning of the Pledge of
Allegiance;
(2) How the Nation's government functions; and
(3) The importance of service in the Nation's character.

[74 FR 46503, Sept. 10, 2009]

Subpart C_Eligibility To Participate

Sec. 2516.300 Who may participate in a school-based
service-learning program?

Students who are enrolled in elementary or secondary schools on a
full-time or part-time basis may participate in school-based programs.

Sec. 2516.310 May private school students participate?

(a) Yes. To the extent consistent with the number of students in the
State or Indian tribe or in the school district of the LEA involved who
are enrolled in private nonprofit elementary or secondary schools, the
State, Indian tribe, or LEA must (after consultation with appropriate
private school representatives) make provision--
(1) For the inclusion of services and arrangements for the benefit
of those students so as to allow for the equitable participation of the
students in the programs under this part; and
(2) For the training of the teachers of those students so as to
allow for the equitable participation of those teachers in the programs
under this part.
(b) If a State, Indian tribe, or LEA is prohibited by law from
providing for the participation of students or teachers from private
nonprofit schools as required by paragraph (a) of this section, or if
the Corporation determines that a State, Indian tribe, or LEA
substantially fails or is unwilling to provide for their participation
on an equitable basis, the Corporation will waive those requirements and
arrange for the provision of services to the students and teachers.

[59 FR 13786, Mar. 23, 1994, as amended at 74 FR 46504, Sept. 10, 2009]

Sec. 2516.320 Is a participant eligible to receive an
AmeriCorps educational award?

No. However, service-learning coordinators who are approved
AmeriCorps positions are eligible for AmeriCorps educational awards.

Subpart D_Application Contents

Sec. 2516.400 What must a State or Indian tribe include in an
application for a grant?

In order to apply for a grant from the Corporation under this part,
a State (SEA) or Indian tribe must submit the following: (a) A three-
year strategic plan for promoting service-learning through programs
under this part, or a revision of a previously approved three-year
strategic plan. The application of a SEA must include a description of
how the SEA will coordinate its service-learning plan with the State
Plan under Sec. 2550.80(a) of this chapter and with other federally-
assisted activities.
(b) A proposal containing the specific program, budget, and other
information specified by the Corporation in the grant application
package.
(c) Assurances that the applicant will--
(1) Keep such records and provide such information to the
Corporation with respect to the programs as may be required for fiscal
audits and program evaluation; and
(2) Comply with the criminal history check requirements for all
grant-funded staff employed after October 1, 2009, in accordance with 45
CFR 2540.200-207, as well as the nonduplication, nondisplacement, and
grievance procedure requirements of Part 2540.

[59 FR 13786, Mar. 23, 1994, as amended at 73 FR 53759, Sept. 17, 2008;
74 FR 46504, Sept. 10, 2009]

Sec. 2516.410 What must a community-based entity include
in an application for a grant?

In order to apply to the Corporation for a grant, a community-based
entity must submit the following:

[[Page 728]]

(a) A detailed description of the proposed program goals and
activities. The application of a community-based entity must include--
(1) A description of how the applicant will coordinate its
activities with the State Plan under Sec. 2513 of this chapter,
including a description of plans to meet and consult with the State
Commission, if possible, and to provide a copy of the program
application to the State Commission and with other Federally-assisted
activities.
(b) The specific program, budget, and other information specified by
the Corporation in the grant application package.
(c) Assurances that the applicant will--
(1) Keep such records and provide such information to the
Corporation with respect to the program as may be required for fiscal
audits and program evaluations;
(2) Prior to the placement of a participant, consult with the
appropriate local labor organization, if any, representing employees in
the area who are engaged in the same or similar work as that proposed to
be carried out by the program, to prevent the displacement and protect
the rights of those employees;
(3) Develop an age-appropriate learning component for participants
in the program that includes a chance for participants to analyze and
apply their service experiences; and
(4) Comply with the criminal history check requirements for all
grant-funded staff employed after October 1, 2009, in accordance with 45
CFR 2540.200-207, as well as the nonduplication, nondisplacement, and
grievance procedure requirements of Part 2540.

[74 FR 46504, Sept. 10, 2009]

Sec. 2516.420 What must an LEA, local partnership, qualified
organization or other eligible entity include in an application
for a subgrant?

In order to apply for a subgrant from a State, Indian Tribe, or
community-based entity under this part, an applicant must include the
information required by the Corporation grantee.

[74 FR 46504, Sept. 10, 2009]

Subpart E_Application Review

Sec. 2516.500 How does the Corporation review the merits of an
application?

(a) In reviewing the merits of an application submitted to the
Corporation under this part, the Corporation evaluates the quality,
innovation, replicability, and sustainability of the proposal on the
basis of the following criteria: (1) Quality, as indicated by the extent
to which--
(i) The program will provide productive meaningful, educational
experiences that incorporate service-learning methods;
(ii) The program will meet community needs and involve individuals
from diverse backgrounds (including economically disadvantaged youth)
who will serve together to explore the root causes of community
problems;
(iii) The principal leaders of the program will be well qualified
for their responsibilities;
(iv) The program has sound plans and processes for training,
technical assistance, supervision, quality control, evaluation,
administration, and other key activities; and
(v) The program will advance knowledge about how to do effective and
innovative community service and service-learning and enhance the
broader elementary and secondary education field.
(2) Replicability, as indicated by the extent to which the program
will assist others in learning from experience and replicating the
approach of the program.
(3) Sustainability, as indicated by the extent to which--
(i) An SEA, Indian tribe or community-based entity applicant
demonstrates the ability and willingness to coordinate its activities
with the State Plan under Sec. 2550.80(a) of this chapter and with
other federally assisted activities;
(ii) The program will foster collaborative efforts among local
educational agencies, local government agencies, community based
agencies, businesses, and State agencies;
(iii) The program will enjoy strong, broad-based community support;
and
(iv) There is evidence that financial resources will be available to
continue

[[Page 729]]

the program after the expiration of the grant.
(b) The Corporation also gives priority to proposals that--
(1) Involve participants in the design and operation of the program;
(2) Reflect the greatest need for assistance, such as programs
targeting low-income areas or serving economically disadvantaged youth:
(3) Involve students from public and private schools serving
together;
(4) Involve students of different ages, races, genders, ethnicities,
abilities and disabilities, or economic backgrounds, serving together;
(5) Are integrated into the academic program of the participants;
(6) Best represent the potential of service-learning as a vehicle
for education reform and school-to-work transition;
(7) Develop civic responsibility and leadership skills and qualities
in participants;
(8) Demonstrate the ability to achieve the goals of this part on the
basis of the proposal's quality, innovation, replicability, and
sustainability; or
(9) Address any other priority established by the Corporation for a
particular period.
(c) In reviewing applications submitted by Indian tribes and U.S.
Territories, the Corporation--
(1) May decide to approve only planning of school-based service-
learning programs; and
(2) Will set the amounts of grants in accordance with the respective
needs of applicants.

[59 FR 13786, Mar. 23, 1994, as amended at 73 FR 53759, Sept. 17, 2008;
74 FR 46504, Sept. 10, 2009]

Sec. 2516.510 What happens if the Corporation rejects a State's
application for an allotment grant?

If the Corporation rejects a State's application for an allotment
grant under Sec. 2516.600(b)(2), the Corporation will--
(a) Promptly notify the State of the reasons for the rejection;
(b) Provide the State with a reasonable opportunity to revise and
resubmit the application;
(c) Provide technical assistance, if necessary; and
(d) Promptly reconsider the resubmitted application and make a
decision.

Sec. 2516.520 How does a State, Indian tribe, or community-based
entity review the merits of an application?

In reviewing the merits of an application for a subgrant under this
part, a Corporation grantee must use the criteria and priorities in
Sec. 2516.500.

[59 FR 13786, Mar. 23, 1994, as amended at 74 FR 46504, Sept. 10, 2009]

Subpart F_Distribution of Funds

Sec. 2516.600 How are funds for school-based service-learning
programs distributed?

(a) Of the amounts appropriated to carry out this part for any
fiscal year, the Corporation will reserve not less than two percent and
not more than three percent for grants to Indian Tribes and U.S.
Territories to be allotted in accordance with their respective needs.
(b) The Corporation will use the remainder of the funds appropriated
as follows:
(1) Allotments to States.
(i) From 50 percent of the remainder, the Corporation will allot to
each State an amount that bears the same ratio to 50 percent of the
remainder as the number of school-age youth in the State bears to the
total number of school-age youth of all States.
(ii) From 50 percent of the remainder, the Corporation will allot to
each State an amount that bears the same ratio to 50 percent of the
remainder as the allocation to the State for the previous fiscal year
under Chapter 1 of Title I of the Elementary and Secondary Education Act
of 1965 (20 U.S.C. 6301 et seq.) bears to the allocations to all States.
(iii) Notwithstanding other provisions of paragraph (b)(1) of this
section, for any fiscal year for which amounts appropriated for Part I
of Subtitle B of Title I of the National and Community Service Act of
1990 (42 U.S.C. 12521 et seq.) exceed $50,000,000, the minimum allotment
to each State under this paragraph (b)(1) will be $75,000.

[[Page 730]]

(2) For the purpose of paragraph (b) of this section, ``State''
means one of the 50 States, the District of Columbia, and the
Commonwealth of Puerto Rico.
(c) If a State or Indian Tribe does not submit an application that
meets the requirements for approval under this part, the Corporation
(after making any grants to community-based entities for activities in
nonparticipating States) may use its allotment for States and Indian
Tribes with approved applications, as the Corporation determines
appropriate.

[74 FR 46504, Sept. 10, 2009]

Subpart G_Funding Requirements

Sec. 2516.700 What matching funds are required?

(a) The Corporation share of the cost of carrying out a program
funded under this part may not exceed--
(1) Eighty percent of the total cost for the first year for which
the program receives assistance;
(2) Sixty-five percent of the total cost for the second year; and
(3) Fifty percent of the total cost for the third year and any
subsequent year.
(b) In providing for the remaining share of the cost of carrying out
a program, each recipient of assistance must provide for that share
through a payment in cash or in-kind, fairly evaluated, including
facilities, equipment, or services, and may provide for that share
through State sources, local sources, or Federal sources (other than
funds made available under the national service laws or title I of the
Elementary and Secondary Act of 1965 (20 U.S.C. 6311 et seq.)).
(c) The Corporation may waive the requirements of paragraph (b) of
this section in whole or in part with respect to any program in any
fiscal year if the Corporation determines that the waiver would be
equitable due to a lack of available financial resources at the local
level.

[74 FR 46504, Sept. 10, 2009]

Sec. 2516.710 What are the limits on the use of funds?

The following limits apply to funds available under this part:
(a)(1) Not more than six percent of the grant funds provided under
this part for any fiscal year may be used to pay for administrative
costs, as defined in Sec. 2510.20 of this chapter.
(2) The distribution of administrative costs between the grant and
any subgrant is subject to the approval of the Corporation.
(3) In applying the limitation on administrative costs, the
Corporation may approve one of the following methods in the award
document:
(i) Limit the amount or rate of indirect costs that may be paid with
Corporation funds under a grant or subgrant to six percent of total
Corporation funds expended, provided that--
(A) Organizations that have an established indirect cost rate for
Federal awards will be limited to this method; and
(B) Unreimbursed indirect costs may be applied to meeting
operational matching requirements under the Corporation's award;
(ii) Specify that a fixed rate of six percent or less (not subject
to supporting cost documentation) of total Corporation funds expended
may be used to pay for administrative costs, provided that the fixed
rate is in conjunction with an overall 15 percent administrative cost
factor to be used for organizations that do not have established
indirect cost rates; or
(iii) Use such other method that the Corporation determines in
writing is consistent with OMB guidance and other applicable
requirements, helps minimize the burden on grantees or subgrantees, and
is beneficial to grantees or subgrantees and the Federal Government.
(b) Funds made available under this part may not be used to pay any
stipend, allowance, or other financial support to any participant in a
service-learning program under this part except reimbursement for
transportation, meals, and other reasonable out-of-pocket expenses
directly related to participation in a program assisted under this part.

[74 FR 46505, Sept. 10, 2009]

[[Page 731]]

Sec. 2516.720 What is the length of each type of grant?

(a) One year is the maximum length of--
(1) A planning grant under Sec. 2516.200 (a), (c) or (e); and
(2) A grant to a local partnership for activities in a
nonparticipating State under Sec. 2516.200 (b)(2) and (d)(2).
(b) All other grants are for a period of up to three years, subject
to satisfactory performance and annual appropriations.

Sec. 2516.730 May an applicant submit more than one application
to the Corporation for the same project at the same time?

No. The Corporation will reject an application for a project if an
application for funding or educational awards for the same project is
already pending before the Corporation.

Subpart H_Evaluation Requirements

Sec. 2516.800 What are the purposes of an evaluation?

Every evaluation effort should serve to improve program quality,
examine benefits of service, or fulfill legislative requirements.

Sec. 2516.810 What types of evaluations are grantees and subgrantees
required to perform?

All grantees and subgrantees are required to perform internal
evaluations which are ongoing efforts to assess performance and improve
quality. Grantees and subgrantees may, but are not required to, arrange
for independent evaluations which are assessments of program
effectiveness by individuals who are not directly involved in the
administration of the program. The cost of independent evaluations is
allowable.

Sec. 2516.820 What types of internal evaluation activities
are required of programs?

Programs are required to: (a) Continuously assess management
effectiveness, the quality of services provided, and the satisfaction of
both participants and service recipients. Internal evaluations should
seek frequent feedback and provide for quick correction of weakness. The
Corporation encourages programs to use internal evaluation methods, such
as community advisory councils, participant advisory councils, peer
reviews, quality control inspections, and service recipient and
participant surveys.
(b) Track progress toward pre-established objectives. Objectives
must be established by programs and approved by the Corporation.
Programs must submit to the Corporation (or the Corporation grantee as
applicable) periodic performance reports.
(c) Collect and submit to the Corporation (through the Corporation
grantee as applicable) the following data: (1) The total number of
participants in each program and basic demographic characteristics of
the participants including sex, age, economic background, education
level, ethnic group, disability classification, and geographic region.
(2) Other information as required by the Corporation.
(d) Cooperate fully with all Corporation evaluation activities.

Sec. 2516.830 What types of activities are required of Corporation
grantees to evaluate the effectiveness of their subgrantees?

A Corporation grantee that makes subgrants must do the following:
(a) Ensure that subgrantees comply with the requirements of Sec.
2516.840.
(b) Track program performance in terms of progress toward pre-
established objectives; ensure that corrective action is taken when
necessary; and submit to the Corporation periodic performance reports.
(c) Collect from programs and submit to the Corporation the
descriptive information required in Sec. 2516.820(c)(1).
(d) Cooperate fully with all Corporation evaluation activities.

Sec. 2516.840 By what standards will the Corporation evaluate
individual Learn and Serve America programs?

The Corporation will evaluate programs based on the following: (a)
The extent to which the program meets the objectives established and
agreed to by the grantee and the Corporation before the grant award.

[[Page 732]]

(b) The extent to which the program is cost-effective.
(c) Other criteria as determined and published by the Corporation.

Sec. 2516.850 What will the Corporation do to evaluate the
overall success of the service-learning program?

(a) The Corporation will conduct independent evaluations. These
evaluations will consider the opinions of participants and members of
the communities where services are delivered. If appropriate, these
evaluations will compare participants with individuals who have not
participated in service-learning programs. These evaluations will--
(1) Study the extent to which service-learning programs as a whole
affect the involved communities;
(2) Determine the extent to which service-learning programs as a
whole increase academic learning of participants, enhance civic
education, and foster continued community involvement; and
(3) Determine the effectiveness of different program models.
(b) The Corporation will also determine by June 30, 1995, whether
outcomes of service-learning programs are defined and measured
appropriately, and the implications of the results from such a study for
authorized funding levels.

Sec. 2516.860 Will information on individual participants be kept confidential?

(a) Yes. The Corporation will maintain the confidentiality of
information regarding individual participants that is acquired for the
purpose of the evaluations described in Sec. 2516.840. The Corporation
will disclose individual participant information only with the prior
written consent of the participant. However, the Corporation may
disclose aggregate participant information.
(b) Grantees and subgrantees under this part must comply with the
provisions of paragraph (a) of this section.

PART 2517_COMMUNITY-BASED SERVICE-LEARNING PROGRAMS--Table of Contents

Subpart A_Eligibility To Apply

Sec.
2517.100 Who may apply for a direct grant from the Corporation?
2517.110 Who may apply for a subgrant from a Corporation grantee?

Subpart B_Use of Grant Funds

2517.200 How may grant funds be used?

Subpart C_Eligibility To Participate

2517.300 Who may participate in a community-based service-learning
program?

Subpart D_Application Contents

2517.400 What must a State Commission or grantmaking entity include in
an application for a grant?
2517.410 What must a qualified organization include in an application
for a grant or a subgrant?

Subpart E_Application Review

2517.500 How is an application reviewed?

Subpart F_Distribution of Funds

2517.600 How are funds for community-based service-learning programs
distributed?

Subpart G_Funding Requirements

2517.700 Are matching funds required?
2517.710 Are there limits on the use of funds?
2517.720 What is the length of a grant?
2517.730 May an applicant submit more than one application to the
Corporation for the same project at the same time?

Subpart H_Evaluation Requirements

2517.800 What are the evaluation requirements for community-based
programs?

Authority: 42 U.S.C. 12541-12547.

Source: 59 FR 13790, Mar. 23, 1994, unless otherwise noted.

Subpart A_Eligibility To Apply

Sec. 2517.100 Who may apply for a direct grant from the Corporation?

(a) The following entities may apply for a direct grant from the
Corporation: (1) A State Commission established under part 2550 of this
chapter.

[[Page 733]]

(2) A grantmaking entity as defined in Sec. 2510.20 of this
chapter.
(3) A qualified organization as defined in Sec. 2515.20 of this
chapter.
(b) The types of grants for which each entity is eligible are
described in Sec. 2517.200.

Sec. 2517.110 Who may apply for a subgrant from a Corporation grantee?

Entities that may apply for a subgrant from a State Commission or
grantmaking entity are qualified organizations that have entered into a
local partnership with one or more--
(a) Local educational agencies (LEAs);
(b) Other qualified organizations; or
(c) Both.

Subpart B_Use of Grant Funds

Sec. 2517.200 How may grant funds be used?

Funds under a community-based Learn and Serve grant may be used for
the purposes described in this section.
(a) A State Commission or grantmaking entity may use funds--
(1) To make subgrants to qualified organizations described in Sec.
2517.110 to implement, operate, expand, or replicate a community-based
service program that provides direct and demonstrable educational,
public safety, human, or environmental service by participants, who must
be school-age youth; and
(2) To provide training and technical assistance to qualified
organizations.
(b)(1) A qualified organization may use funds under a direct grant
or a subgrant to implement, operate, expand, or replicate a community-
based service program.
(2) If a qualified organization receives a direct grant, its program
must be carried out at multiple sites or be particularly innovative.

Subpart C_Eligibility To Participate

Sec. 2517.300 Who may participate in a community-based
service-learning program?

School-age youth as defined in Sec. 2510.20 of this chapter may
participate in a community-based program.

Subpart D_Application Contents

Sec. 2517.400 What must a State Commission or grantmaking entity
include in an application for a grant?

(a) In order to apply for a grant from the Corporation under this
part, a State Commission or a grantmaking entity must submit the
following: (1) A three-year plan for promoting service-learning through
programs under this part. The plan must describe the types of community-
based program models proposed to be carried out during the first year.
(2) A proposal containing the specific program, budget, and other
information specified by the Corporation in the grant application
package.
(3) A description of how the applicant will coordinate its
activities with the State Plan under Sec. 2550.80(a) of this chapter
and with other federally-assisted activities, including a description of
plans to meet and consult with the State Commission, if possible, and to
provide a copy of the program application to the State Commission.
(4) Assurances that the applicant will--
(i) Keep such records and provide such information to the
Corporation with respect to the programs as may be required for fiscal
audits and program evaluation;
(ii) Comply with the nonduplication, nondisplacement, and grievance
procedure requirements of part 2540 of this chapter; and
(iii) Ensure that, prior to placing a participant in a program, the
entity carrying out the program will consult with the appropriate local
labor organization, if any, representing employees in the area in which
the program will be carried out that are engaged in the same or similar
work as the work

[[Page 734]]

proposed to be carried out by the program, to prevent the displacement
of those employees.
(b) In addition, a grantmaking entity must submit information
demonstrating that the entity will make grants for a program--
(1) To carry out activities in two or more States, under
circumstances in which those activities can be carried out more
efficiently through one program than through two or more programs; and
(2) To carry out the same activities, such as training activities or
activities related to exchanging information on service experiences,
through each of the projects assisted through the program.

[59 FR 13790, Mar. 23, 1994, as amended at 73 FR 53759, Sept. 17, 2008]

Sec. 2517.410 What must a qualified organization include in an
application for a grant or a subgrant?

(a) In order to apply to the Corporation for a direct grant, a
qualified organization must submit the following: (1) A plan describing
the goals and activities of the proposed program;
(2) A proposal containing the specific program, budget, and other
information specified by the Corporation in the grant application
package; and
(3) Assurances that the applicant will--
(i) Keep such records and provide such information to the
Corporation with respect to the program as may be required for fiscal
audits and program evaluation;
(ii) Comply with the nonduplication, nondisplacement, and grievance
procedure requirements of part 2540 of this chapter; and
(iii) Prior to placing a participant in the program, consult with
the appropriate local labor organization, if any, representing employees
in the area in which the program will be carried out who are engaged in
the same or similar work as the work proposed to be carried out by the
program, to prevent the displacement of those employees.
(b) In order to apply to a State Commission or a grantmaking entity
for a subgrant, a qualified organization must submit the following: (1)
A plan describing the goals and activities of the proposed program; and
(2) Such specific program, budget, and other information as the
Commission or entity reasonably requires.

Subpart E_Application Review

Sec. 2517.500 How is an application reviewed?

In reviewing an application for a grant or a subgrant, the
Corporation, a State Commission, or a grantmaking entity will apply the
following criteria: (a) The quality of the program proposed.
(b) The innovation of, and feasibility of replicating, the program.
(c) The sustainability of the program, based on--
(1) Strong and broad-based community support;
(2) Multiple funding sources or private funding; and
(3) Coordination with the State Plan under Sec. 2550.80(a) of this
chapter and other federally-assisted activities.
(d) The quality of the leadership of the program, past performance
of the program, and the extent to which the program builds on existing
programs.
(e) The applicant's efforts--
(1) To recruit participants from among residents of the communities
in which projects would be conducted;
(2) To ensure that the projects are open to participants of
different ages, races, genders, ethnicities, abilities and disabilities,
and economic backgrounds; and
(3) To involve participants and community residents in the design,
leadership, and operation of the program.
(f) The extent to which projects would be located in areas that
are--
(1) Empowerment zones, redevelopment areas, or other areas with high
concentrations of low-income people; or
(2) Environmentally distressed.

[59 FR 13790, Mar. 23, 1994, as amended at 73 FR 53759, Sept. 17, 2008]

[[Page 735]]

Subpart F_Distribution of Funds

Sec. 2517.600 How are funds for community-based service-learning
programs distributed?

All funds are distributed by the Corporation through competitive
grants.

Subpart G_Funding Requirements

Sec. 2517.700 Are matching funds required?

(a) Yes. The Corporation share of the cost of carrying out a program
funded under this part may not exceed--
(1) Ninety percent of the total cost for the first year for which
the program receives assistance;
(2) Eighty percent of the total cost for the second year;
(3) Seventy percent of the total cost for the third year; and
(4) Fifty percent of the total cost for the fourth year and any
subsequent year.
(b) In providing for the remaining share of the cost of carrying out
a program, each recipient of assistance must provide for that share
through a payment in cash or in kind, fairly evaluated, including
facilities, equipment, or services, and may provide for that share
through State sources, local sources, or Federal sources (other than
funds made available under the national service laws).
(c) However, the Corporation may waive the requirements of paragraph
(b) of this section in whole or in part with respect to any program in
any fiscal year if the Corporation determines that the waiver would be
equitable due to lack of available financial resources at the local
level.

Sec. 2517.710 Are there limits on the use of funds?

Yes. The following limits apply to funds available under this part:
(a)(1) Not more than five percent of the grant funds provided under
this part for any fiscal year may be used to pay for administrative
costs, as defined in Sec. 2510.20 of this chapter.
(2) The distribution of administrative costs between the grant and
any subgrant will be subject to the approval of the Corporation.
(3) In applying the limitation on administrative costs the
Corporation will approve one of the following methods in the award
document:
(i) Limit the amount or rate of indirect costs that may be paid with
Corporation funds under a grant or subgrant to five percent of total
Corporation funds expended, provided that--
(A) Organizations that have an established indirect cost rate for
Federal awards will be limited to this method; and
(B) Unreimbursed indirect costs may be applied to meeting
operational matching requirements under the Corporation's award;
(ii) Specify that a fixed rate of five percent or less (not subject
to supporting cost documentation) of total Corporation funds expended
may be used to pay for administrative costs, provided that the fixed
rate is in conjunction with an overall 15 percent administrative cost
factor to be used for organizations that do not have established
indirect cost rates; or
(iii) Utilize such other method that the Corporation determines in
writing is consistent with OMB guidance and other applicable
requirements, helps minimize the burden on grantees or subgrantees, and
is beneficial to grantees or subgrantees and the Federal Government.
(b)(1) An SEA or Indian tribe must spend between ten and 15 percent
of the grant to build capacity through training, technical assistance,
curriculum development, and coordination activities.
(2) The Corporation may waive this requirement in order to permit an
SEA or a tribe to use between ten percent and 20 percent of the grant
funds to build capacity. To be eligible to receive the waiver, the SEA
or tribe must submit an application to the Corporation.
(c) Funds made available under this part may not be used to pay any
stipend, allowance, or other financial support to any participant in a
service-learning program under this part except reimbursement for
transportation, meals, and other reasonable out-of-pocket expenses
directly related to

[[Page 736]]

participation in a program assisted under this part.

[63 FR 18137, Apr. 14, 1998]

Sec. 2517.720 What is the length of a grant?

A grant under this part is for a period of up to three years,
subject to satisfactory performance and annual appropriations.

Sec. 2517.730 May an applicant submit more than one application
to the Corporation for the same project at the same time?

No. The Corporation will reject an application for a project if an
application for funding or educational awards for the same project is
already pending before the Corporation.

Subpart H_Evaluation Requirements

Sec. 2517.800 What are the evaluation requirements for
community-based programs?

The evaluation requirements for recipients of grants and subgrants
under part 2516 of this chapter, relating to school-based service-
learning programs, apply to recipients under this part.

PART 2518_SERVICE-LEARNING CLEARINGHOUSE--Table of Contents

Sec.
2518.100 What is the purpose of a Service-Learning Clearinghouse?
2518.110 What are the functions of a Service-Learning Clearinghouse?

Authority: 42 U.S.C. 12653o.

Sec. 2518.100 What is the purpose of a Service-Learning
Clearinghouse?

The Corporation will provide financial assistance, from funds
appropriated to carry out the activities listed under parts 2531 through
2534 of this chapter, to public or private nonprofit organizations that
have extensive experience with service-learning, including use of adult
volunteers to foster service-learning, to establish a clearinghouse,
which will carry out activities, either directly or by arrangement with
another such organization, with respect to information about service-
learning.

[59 FR 13792, Mar. 23, 1994, as amended at 75 FR 51409, Aug. 20, 2010]

Sec. 2518.110 What are the functions of a Service-Learning
Clearinghouse?

An organization that receives assistance from funds appropriated to
carry out the activities listed under parts 2531 through 2534 of this
chapter may--
(a) Assist entities carrying out State or local service-learning
programs with needs assessments and planning;
(b) Conduct research and evaluations concerning service-learning;
(c)(1) Provide leadership development and training to State and
local service-learning program administrators, supervisors, project
sponsors, and participants; and
(2) Provide training to persons who can provide the leadership
development and training described in paragraph (c)(1) of this section;
(d) Facilitate communication among entities carrying out service-
learning programs and participants in such programs;
(e) Provide information, curriculum materials, and technical
assistance relating to planning and operation of service-learning
programs, to States and local entities eligible to receive financial
assistance under this title;
(f) Provide information regarding methods to make service-learning
programs accessible to individuals with disabilities;
(g)(1) Gather and disseminate information on successful service-
learning programs, components of such successful programs, innovative
youth skills curricula related to service-learning, and service-learning
projects; and
(2) Coordinate the activities of the Clearinghouse with appropriate
entities to avoid duplication of effort;
(h) Make recommendations to State and local entities on quality
controls to improve the quality of service-learning programs;
(i) Assist organizations in recruiting, screening, and placing
service-learning coordinators; and

[[Page 737]]

(j) Carry out such other activities as the Chief Executive Officer
determines to be appropriate.

[59 FR 13792, Mar. 23, 1994, as amended at 75 FR 51409, Aug. 20, 2010]

PART 2519_HIGHER EDUCATION INNOVATIVE PROGRAMS FOR COMMUNITY SERVICE--Table of Contents

Subpart A_Purpose and Eligibility To Apply

Sec.
2519.100 What is the purpose of the Higher Education programs?
2519.110 Who may apply for a grant?
2519.120 What is the Federal Work-Study requirement?

Subpart B_Use of Grant Funds

2519.200 How may grant funds be used?

Subpart C_Participant Eligibility and Benefits

2519.300 Who may participate in a Higher Education program?
2519.310 Is a participant eligible to receive an AmeriCorps educational
award?
2519.320 May a program provide a stipend to a participant?

Subpart D_Application Contents

2519.400 What must an applicant include in an application for a grant?

Subpart E_Application Review

2519.500 How does the Corporation review an application?

Subpart F_Distribution of Funds

2519.600 How are funds for Higher Education programs distributed?

Subpart G_Funding Requirements

2519.700 Are matching funds required?
2519.710 Are there limits on the use of funds?
2519.720 What is the length of a grant?
2519.730 May an applicant submit more than one application to the
Corporation for the same project at the same time?

Subpart H_Evaluation Requirements

2519.800 What are the evaluation requirements for Higher Education
programs?

Authority: 42 U.S.C. 12561; 42 U.S.C. 12645g.

Source: 59 FR 13792, Mar. 23, 1994, unless otherwise noted.

Subpart A_Purpose and Eligibility To Apply

Sec. 2519.100 What is the purpose of the Higher Education
programs?

The purpose of the higher education innovative programs for
community service is to expand participation in community service by
supporting high-quality, sustainable community service programs carried
out through institutions of higher education, acting as civic
institutions helping to meet the educational, public safety, human, and
environmental needs of the communities in which the programs operate.

Sec. 2519.110 Who may apply for a grant?

The following entities may apply for a grant from the Corporation:
(a) An institution of higher education.
(b) A consortium of institutions of higher education.
(c) A higher education partnership, as defined in Sec. 2510.20 of
this chapter.

Sec. 2519.120 What is the Federal Work-Study requirement?

To be eligible for assistance under this part, an institution of
higher education must demonstrate that it meets the minimum requirements
under section 443(b)(2)(A) of the Higher Education Act of 1965 (42
U.S.C. 2753(b)(2)(A)) relating to the participation of students employed
under part C of title IV of the Higher Education Act of 1965 (42 U.S.C.
2751 et seq.) (relating to Federal Work-Study programs) in community
service activities, or has received a waiver of those requirements from
the Secretary of Education.

[74 FR 46505, Sept. 10, 2009]

Subpart B_Use of Grant Funds

Sec. 2519.200 How may grant funds be used?

Funds under a higher education program grant may be used for the
following activities: (a) Enabling an institution of higher education, a
higher education partnership or a consortium to create or expand an
organized community service program that--
(1) Engenders a sense of social responsibility and commitment to the

[[Page 738]]

community in which the institution is located; and
(2) Provides projects for the participants described in Sec.
2519.300.
(b) Supporting student-initiated and student-designed community
service projects.
(c) Strengthening the leadership and instructional capacity of
teachers at the elementary, secondary, and postsecondary levels with
respect to service-learning by--
(1) Including service-learning as a key component of the preservice
teacher education of the institution; and
(2) Encouraging the faculty of the institution to use service-
learning methods throughout the curriculum.
(d) Facilitating the integration of community service carried out
under the grant into academic curricula, including integration of
clinical programs into the curriculum for students in professional
schools, so that students may obtain credit for their community service
projects.
(e) Supplementing the funds available to carry out work-study
programs under part C of title IV of the Higher Education Act of 1965
(42 U.S.C. 2751 et seq.) to support service-learning and community
service.
(f) Strengthening the service infrastructure within institutions of
higher education in the United States that supports service-learning and
community service.
(g) Providing for the training of teachers, prospective teachers,
related education personnel, and community leaders in the skills
necessary to develop, supervise, and organize service-learning.

Subpart C_Participant Eligibility and Benefits

Sec. 2519.300 Who may participate in a Higher Education program?

Students, faculty, administration and staff of an institution, as
well as residents of the community may participate. For the purpose of
this part, the term ``student'' means an individual who is enrolled in
an institution of higher education on a full-time or part-time basis.

Sec. 2519.310 Is a participant eligible to receive an AmeriCorps
educational award?

In general, no. However, certain positions in programs funded under
this part may qualify as approved AmeriCorps positions. The Corporation
will establish eligibility requirements for these positions as a part of
the application package.

Sec. 2519.320 May a program provide a stipend to a participant?

(a) A program may provide a stipend for service activities for a
participant who is a student if the provision of stipends in reasonable
in the context of a program's design and objectives.
(1) A program may not provide a stipend to a student who is
receiving academic credit for service activities unless the service
activities require a substantial time commitment beyond that expected
for the credit earned.
(2) A participant who is earning money for service activities under
the work-study program described in Sec. 2519.200(e) may not receive an
additional stipend from funds under this part.
(b) Consistent with the AmeriCorps program requirements in Sec.
2522.100 of this chapter, a program with participants serving in
approved full-time AmeriCorps positions must ensure the provision of a
living allowance and, if necessary, health care and child care to those
participants. A program may, but is not required to, provide a prorated
living allowance to individuals participating in approved AmeriCorps
positions on a part-time basis, consistent with the AmeriCorps program
requirements in Sec. 2522.240 of this chapter.

Subpart D_Application Contents

Sec. 2519.400 What must an applicant include in an application
for a grant?

In order to apply to the Corporation for a grant, an applicant must
submit the following: (a) A plan describing the goals and activities of
the proposed program.
(b) The specific program, budget, and other information and
assurances specified by the Corporation in the grant application
package.

[[Page 739]]

(c) Assurances that the applicant will--
(1) Keep such records and provide such information to the
Corporation with respect to the program as may be required for fiscal
audits and program evaluation;
(2) Comply with the criminal history check requirements for all
grant-funded staff employed after October 1, 2009, in accordance with 45
CFR 2540.200-207, as well as the nonduplication, nondisplacement, and
grievance procedure requirements of Part 2540.
(3) Prior to the placement of a participant in the program, consult
with the appropriate local labor organization, if any, representing
employees in the area who are engaged in the same or similar work as the
work proposed to be carried out by the program, to prevent the
displacement and protect the rights of those employees; and
(4) Comply with any other assurances that the Corporation deems
necessary.

[59 FR 13792, Mar. 23, 1994, as amended at 74 FR 46505, Sept. 10, 2009]

Subpart E_Application Review

Sec. 2519.500 How does the Corporation review an application?

(a) The Corporation will review an application submitted under this
part on the basis of the quality, innovation, replicability, and
sustainability of the proposed program and such other criteria as the
Corporation establishes in an application package.
(b) In addition, in reviewing applications submitted under this
part, the Corporation will take into consideration whether proposed
programs--
(1) Demonstrate the commitment of the institution of higher
education, other than by demonstrating the commitment of its students,
to supporting the community service projects carried out under the
program;
(2) Specify how the institution will promote faculty,
administration, and staff participation in the community service
projects;
(3) Specify the manner in which the institution will provide service
to the community through organized programs, including, where
appropriate, clinical programs for students in professional schools and
colleges;
(4) Describe any higher education partnership that will participate
in the community service projects, such as a higher education
partnership comprised of the institution, a student organization, a
community-based agency, a local government agency, or a nonprofit entity
that serves or involves school-age youth, older adults, low-income
communities, a department of the institution, or a group of faculty
comprised of different departments, schools, or colleges at the
institution;
(5) Demonstrate community involvement in the development of the
proposal and the extent to which the proposal will contribute to the
goals of the involved community members;
(6) Demonstrate a commitment to perform community service projects
in underserved urban and rural communities;
(7) Describe research on effective strategies and methods to improve
service utilized in the design of the projects;
(8) Specify that the institution will use funds under this part to
strengthen the infrastructure in institutions of higher education;
(9) With respect to projects involving delivery of service, specify
projects that involve leadership development of school-age youth; or
(10) Describe the needs that the proposed projects are designed to
address, such as housing, economic development, infrastructure, health
care, job training, education, crime prevention, urban planning,
transportation, information technology, or child welfare.
(c) In addition, the Corporation may designate additional review
criteria in an application notice that will be used in selecting
programs.

[74 FR 46505, Sept. 10, 2009]

Subpart F_Distribution of Funds

Sec. 2519.600 How are funds for Higher Education programs distributed?

All funds under this part are distributed by the Corporation through
grants or by contract.

[[Page 740]]

Subpart G_Funding Requirements

Sec. 2519.700 Are matching funds required?

(a) Yes. The Corporation share of the cost of carrying out a program
funded under this part may not exceed 50 percent.
(b) In providing for the remaining share of the cost of carrying out
a program, each recipient of assistance must provide for that share
through a payment in cash or in-kind, fairly evaluated, including
facilities, equipment, or services, and may provide for that share
through State sources, local sources (including private funds or donated
services) or Federal sources (other than funds made available under the
national service laws).
(c) However, the Corporation may waive the requirements of paragraph
(b) of this section in whole or in part with respect to any program in
any fiscal year if the Corporation determines that the waiver would be
equitable due to lack of available financial resources at the local
level.

[59 FR 13792, Mar. 23, 1994, as amended at 74 FR 46506, Sept. 10, 2009]

Sec. 2519.710 Are there limits on the use of funds?

Yes. The following limits apply to funds available under this part:
(a)(1) Not more than six percent of the grant funds provided under
this part for any fiscal year may be used to pay for administrative
costs, as defined in Sec. 2510.20 of this chapter.
(2) The distribution of administrative costs between the grant and
any subgrant will be subject to the approval of the Corporation.
(3) In applying the limitation on administrative costs the
Corporation will approve one of the following methods in the award
document:
(i) Limit the amount or rate of indirect costs that may be paid with
Corporation funds under a grant or subgrant to six percent of total
Corporation funds expended, provided that--
(A) Organizations that have an established indirect cost rate for
Federal awards will be limited to this method; and
(B) Unreimbursed indirect costs may be applied to meeting
operational matching requirements under the Corporation's award;
(ii) Specify that a fixed rate of six percent or less (not subject
to supporting cost documentation) of total Corporation funds expended
may be used to pay for administrative costs, provided that the fixed
rate is in conjunction with an overall 15 percent administrative cost
factor to be used for organizations that do not have established
indirect cost rates; or
(iii) Utilize such other method that the Corporation determines in
writing is consistent with OMB guidance and other applicable
requirements, helps minimize the burden on grantees or subgrantees, and
is beneficial to grantees or subgrantees and the Federal Government.

[63 FR 18138, Apr. 14, 1998, as amended at 74 FR 46506, Sept. 10, 2009]

Sec. 2519.720 What is the length of a grant?

A grant under this part is for a period of up to three years,
subject to satisfactory performance and annual appropriations.

Sec. 2519.730 May an applicant submit more than one application to
the Corporation for the same project at the same time?

No. The Corporation will reject an application for a project if an
application for funding or educational awards for the same project is
already pending before the Corporation.

Subpart H_Evaluation Requirements

Sec. 2519.800 What are the evaluation requirements for Higher
Education programs?

The monitoring and evaluation requirements for recipients of grants
and subgrants under part 2516 of this chapter, relating to school-based
service-learning programs, apply to recipients under this part.

[[Page 741]]

PART 2520_GENERAL PROVISIONS: AMERICORPS SUBTITLE C PROGRAMS--
Table of Contents

Sec.
2520.5 What definitions apply to this part?
2520.10 What is the purpose of the AmeriCorps subtitle C program
described in parts 2520 through 2524 of this chapter?
2520.20 What service activities may I support with my grant?
2520.25 What direct service activities may AmeriCorps members perform?
2520.30 What capacity-building activities may AmeriCorps member perform?
2520.35 Must my program recruit or support volunteers?
2520.40 Under what circumstances may AmeriCorps members in my program
raise resources?
2520.45 How much time may an AmeriCorps member spend fundraising?
2520.50 How much time may AmeriCorps members in my program spend in
education and training activities?
2520.55 When may my organization collect fees for services provided by
AmeriCorps members?
2520.60 What government-wide requirements apply to staff fundraising
under my AmeriCorps grant?
2520.65 What activities are prohibited in AmeriCorps subtitle C
programs?

Authority: 42 U.S.C. 12571-12595.

Source: 59 FR 13794, Mar. 23, 1994, unless otherwise noted.

Editorial Note: Nomenclature changes to part 2520 appear at 89 FR
46033, May 28, 2024; 89 FR 66614, Aug. 16, 2024.

Sec. 2520.5 What definitions apply to this part?

AmeriCorps means the Corporation for National and Community Service,
established pursuant to section 191 of the National and Community
Service Act of 1990, as amended, 42 U.S.C. 12651, which operates as
AmeriCorps.
You. For this part, you refers to the grantee or an organization
operating an AmeriCorps program.

[70 FR 39596, July 8, 2005, as amended at 89 FR 46033, May 28, 2024]

Sec. 2520.10 What is the purpose of the AmeriCorps subtitle
C program described in parts 2520 through 2524 of this chapter?

The purpose of the AmeriCorps subtitle C program is to provide
financial assistance under subtitle C of the National and Community
Service Act to support AmeriCorps programs that address educational,
public safety, human, or environmental needs through national and
community service, and to provide AmeriCorps education awards to
participants in such programs.

[67 FR 45359, July 9, 2002]

Sec. 2520.20 What service activities may I support with my grant?

(a) Your grant must initiate, improve, or expand the ability of an
organization and community to provide services to address local unmet
environmental, educational, public safety (including disaster
preparedness and response), or other human needs.
(b) You may use your grant to support AmeriCorps members:
(1) Performing direct service activities that meet local needs.
(2) Performing capacity-building activities that improve the
organizational and financial capability of nonprofit organizations and
communities to meet local needs by achieving greater organizational
efficiency and effectiveness, greater impact and quality of impact,
stronger likelihood of successful replicability, or expanded scale.

[70 FR 39596, July 8, 2005]

Sec. 2520.25 What direct service activities may AmeriCorps
members perform?

(a) The AmeriCorps members you support under your grant may perform
direct service activities that will advance the goals of your program,
that will result in a specific identifiable service or improvement that
otherwise would not be provided, and that are included in, or consistent
with, your AmeriCorps-approved grant application.
(b) Your members' direct service activities must address local
environmental, educational, public safety (including disaster
preparedness and response), or other human needs.
(c) Direct service activities generally refer to activities that
provide a direct, measurable benefit to an individual, a group, or a
community.
(d) Examples of the types of direct service activities AmeriCorps
members

[[Page 742]]

may perform include, but are not limited to, the following:
(1) Tutoring children in reading;
(2) Helping to run an after-school program;
(3) Engaging in community clean-up projects;
(4) Providing health information to a vulnerable population;
(5) Teaching as part of a professional corps;
(6) Providing relief services to a community affected by a disaster;
and
(7) Conducting a neighborhood watch program as part of a public
safety effort.

[70 FR 39597, July 8, 2005]

Sec. 2520.30 What capacity-building activities may AmeriCorps members perform?

Capacity-building activities that AmeriCorps members perform should
enhance the mission, strategy, skills, and culture, as well as systems,
infrastructure, and human resources of an organization that is meeting
unmet community needs. Capacity-building activities help an organization
gain greater independence and sustainability.
(a) The AmeriCorps members you support under your grant may perform
capacity-building activities that advance your program's goals and that
are included in, or consistent with, your AmeriCorps-approved grant
application.
(b) Examples of capacity-building activities your members may
perform include, but are not limited to, the following:
(1) Strengthening volunteer management and recruitment, including:
(i) Enlisting, training, or coordinating volunteers;
(ii) Helping an organization develop an effective volunteer
management system;
(iii) Organizing service days and other events in the community to
increase citizen engagement;
(iv) Promoting retention of volunteers by planning recognition
events or providing ongoing support and follow-up to ensure that
volunteers have a high-quality experience; and
(v) Assisting an organization in reaching out to individuals and
communities of different backgrounds when encouraging volunteering to
ensure that a breadth of experiences and expertise is represented in
service activities.
(2) Conducting outreach and securing resources in support of service
activities that meet specific needs in the community;
(3) Helping build the infrastructure of the sponsoring organization,
including:
(i) Conducting research, mapping community assets, or gathering
other information that will strengthen the sponsoring organization's
ability to meet community needs;
(ii) Developing new programs or services in a sponsoring
organization seeking to expand;
(iii) Developing organizational systems to improve efficiency and
effectiveness;
(iv) Automating organizational operations to improve efficiency and
effectiveness;
(v) Initiating or expanding revenue-generating operations directly
in support of service activities; and
(vi) Supporting staff and board education.
(4) Developing collaborative relationships with other organizations
working to achieve similar goals in the community, such as:
(i) Community organizations, including faith-based organizations;
(ii) Foundations;
(iii) Local government agencies;
(iv) Institutions of higher education; and
(v) Local education agencies or organizations.

[70 FR 39597, July 8, 2005]

Sec. 2520.35 Must my program recruit or support volunteers?

(a) Unless AmeriCorps or the State commission, as appropriate,
approves otherwise, some component of your program that is supported
through the grant awarded by AmeriCorps must involve recruiting or
supporting volunteers.
(b) If you demonstrate that requiring your program to recruit or
support volunteers would constitute a fundamental alteration to your
program structure, AmeriCorps (or the State commission for formula
programs) may

[[Page 743]]

waive the requirement in response to your written request for such a
waiver in the grant application.

[70 FR 39597, July 8, 2005]

Sec. 2520.40 Under what circumstances may AmeriCorps members
in my program raise resources?

(a) AmeriCorps members may raise resources directly in support of
your program's service activities.
(b) Examples of fundraising activities AmeriCorps members may
perform include, but are not limited to, the following:
(1) Seeking donations of books from companies and individuals for a
program in which volunteers teach children to read;
(2) Writing a grant proposal to a foundation to secure resources to
support the training of volunteers;
(3) Securing supplies and equipment from the community to enable
volunteers to help build houses for low-income individuals;
(4) Securing financial resources from the community to assist in
launching or expanding a program that provides social services to the
members of the community and is delivered, in whole or in part, through
the members of a community-based organization;
(5) Seeking donations from alumni of the program for specific
service projects being performed by current members.
(c) AmeriCorps members may not:
(1) Raise funds for living allowances or for an organization's
general (as opposed to project) operating expenses or endowment;
(2) Write a grant application to AmeriCorps or to any other Federal
agency.

[70 FR 39597, July 8, 2005]

Sec. 2520.45 How much time may an AmeriCorps member spend
fundraising?

An AmeriCorps member may spend no more than ten percent of his or
her originally agreed-upon term of service, as reflected in the member
enrollment in the National Service Trust, performing fundraising
activities, as described in Sec. 2520.40.

[70 FR 39597, July 8, 2005]

Sec. 2520.50 How much time may AmeriCorps members in my program
spend in education and training activities?

(a) No more than 20 percent of the aggregate of all AmeriCorps
member service hours in your program, as reflected in the member
enrollments in the National Service Trust, may be spent in education and
training activities, unless AmeriCorps grants a waiver under paragraph
(c) of this section.
(b) Capacity-building activities and direct service activities do
not count towards the 20 percent cap on education and training
activities.
(c) AmeriCorps may waive the limit in paragraph (a) of this section
to allow up to 50 percent of the aggregate of all AmeriCorps member
service hours in your program to be spent in education and training
activities if your program:
(1) Is a Registered Apprenticeship program;
(2) Is a job training or job readiness program;
(3) Includes activities to support member attainment of a GED or
high school diploma or occupational, technical, or safety credentials;
or
(4) Primarily enrolls economically disadvantaged AmeriCorps members
and employs a program design that also includes soft skills or life
skills development.

[70 FR 39597, July 8, 2005, as amended at 89 FR 46033, May 28, 2024]

Sec. 2520.55 When may my organization collect fees for
services provided by AmeriCorps members?

You may, where appropriate, collect fees for direct services
provided by AmeriCorps members if:
(a) The service activities conducted by the members are allowable,
as defined in this part, and do not violate the non-displacement
provisions in Sec. 2540.100 of these regulations; and
(b) You use any fees collected to finance your non-AmeriCorps share,
or as otherwise authorized by AmeriCorps.

[70 FR 39597, July 8, 2005]

[[Page 744]]

Sec. 2520.60 What government-wide requirements apply to staff
fundraising under my AmeriCorps grant?

You must follow OMB Guidance published at 2 CFR part 200 and
AmeriCorps implementing regulations at 2 CFR Chapter XXII. In
particular, see 2 CFR 200.442--Fundraising and Investment Management
Costs.

[79 FR 76077, Dec. 19, 2014]

Sec. 2520.65 What activities are prohibited in AmeriCorps
subtitle C programs?

(a) While charging time to the AmeriCorps program, accumulating
service or training hours, or otherwise performing activities supported
by the AmeriCorps program or AmeriCorps, staff and members may not
engage in the following activities:
(1) Attempting to influence legislation;
(2) Organizing or engaging in protests, petitions, boycotts, or
strikes;
(3) Assisting, promoting, or deterring union organizing;
(4) Impairing existing contracts for services or collective
bargaining agreements;
(5) Engaging in partisan political activities, or other activities
designed to influence the outcome of an election to any public office;
(6) Participating in, or endorsing, events or activities that are
likely to include advocacy for or against political parties, political
platforms, political candidates, proposed legislation, or elected
officials;
(7) Engaging in religious instruction, conducting worship services,
providing instruction as part of a program that includes mandatory
religious instruction or worship, constructing or operating facilities
devoted to religious instruction or worship, maintaining facilities
primarily or inherently devoted to religious instruction or worship, or
engaging in any form of religious proselytization;
(8) Providing a direct benefit to--
(i) A business organized for profit;
(ii) A labor union;
(iii) A partisan political organization;
(iv) A nonprofit organization that fails to comply with the
restrictions contained in section 501(c)(3) of the Internal Revenue Code
of 1986 except that nothing in this section shall be construed to
prevent participants from engaging in advocacy activities undertaken at
their own initiative;
(v) An organization engaged in the religious activities described in
paragraph (g) of this section, unless AmeriCorps assistance is not used
to support those religious activities; and
(9) Conducting a voter registration drive or using AmeriCorps funds
to conduct a voter registration drive;
(10) Providing abortion services or referrals for receipt of such
services; and
(11) Such other activities as AmeriCorps may prohibit.
(b) Individuals may exercise their rights as private citizens and
may participate in the activities listed above on their initiative, on
non-AmeriCorps time, and using non-AmeriCorps funds. Individuals should
not wear the AmeriCorps logo while doing so.

[67 FR 45359, July 9, 2002. Redesignated at 70 FR 39597, July 8, 2005;
73 FR 53759, Sept. 17, 2008; 74 FR 46506, Sept. 10, 2009]

PART 2521_ELIGIBLE AMERICORPS SUBTITLE C PROGRAM APPLICANTS AND
TYPES OF GRANTS AVAILABLE FOR AWARD--Table of Contents

Sec.
2521.5 What definitions apply to this part?
2521.10 Who may apply to receive an AmeriCorps subtitle C grant?
2521.20 What types of AmeriCorps subtitle C program grants are available
for award?
2521.30 How will AmeriCorps subtitle C program grants be awarded?

Program Matching Requirements

2521.35 Who must comply with matching requirements?
2521.40 What are the matching requirements?
2521.45 What are the limitations on the Federal Government's share of
program costs?
2521.50 If I am an Indian Tribe, to what extent may I use tribal funds
toward my share of costs?
2521.60 To what extent must my share of program costs increase over
time?
2521.70 To what extent may AmeriCorps waive the matching requirements in
Sec. Sec. 2521.45 and 2521.60 of this part?
2521.80 What matching level applies if my program was funded in the past
but has

[[Page 745]]

not recently received an AmeriCorps grant?
2521.90 If I am a new or replacement legal applicant for an existing
program, what will my matching requirements be?
2521.95 To what extent may I use grant funds for administrative costs?

Authority: 42 U.S.C. 12571-12595.

Source: 59 FR 13794, Mar. 23, 1994, unless otherwise noted.

Editorial Note: Nomenclature changes to part 2521 appear at 89 FR
46033, May 28, 2024; 89 FR 66615, Aug. 16, 2024.

Sec. 2521.5 What definitions apply to this part?

[70 FR 39598, July 8, 2005, as amended at 89 FR 46033, May 28, 2024]

Sec. 2521.10 Who may apply to receive an AmeriCorps subtitle C grant?

(a) States (including Territories), subdivisions of States, Indian
tribes, public or private nonprofit organizations (including religious
organizations and labor organizations), and institutions of higher
education are eligible to apply for AmeriCorps subtitle C grants.
However, the fifty States, the District of Columbia and Puerto Rico must
first receive AmeriCorps authorization for the use of a State Commission
or alternative administrative or transitional entity pursuant to part
2550 of this chapter in order to be eligible.
(b) AmeriCorps may also enter into contracts or cooperative
agreements for AmeriCorps assistance with Federal agencies that are
Executive Branch agencies or departments. Bureaus, divisions, and local
and regional offices of such departments and agencies may only receive
assistance pursuant to a contract or agreement with the central
department or agency. The requirements relating to Federal agencies are
described in part 2523 of this chapter.

[59 FR 13794, Mar. 23, 1994, as amended at 67 FR 45360, July 9, 2002]

Sec. 2521.20 What types of AmeriCorps subtitle C program grants are available for award?

AmeriCorps may make the following types of grants to eligible
applicants. The requirements of this section will also apply to any
State or other applicant receiving assistance under this part that
proposes to conduct a grant program using the assistance to support
other national or community service programs.
(a) Planning grants--(1) Purpose. The purpose of a planning grant is
to assist an applicant in completing the planning necessary to implement
a sound concept that has already been developed.
(2) Eligibility. (i) States may apply directly to AmeriCorps for
planning grants.
(ii) Subdivisions of States, Indian Tribes, public or private
nonprofit organizations (including religious organizations and labor
organizations), and institutions of higher education may apply either to
a State or directly to AmeriCorps for planning grants.
(3) Duration. A planning grant will be negotiated for a term not to
exceed one year.
(b) Operational grants--(1) Purpose. The purpose of an operational
grant is to fund an organization that is ready to establish, operate, or
expand an AmeriCorps program. An operational grant may include
AmeriCorps educational awards. An operational grant may also include a
short planning period of up to six months, if necessary, to implement a
program.
(2) Eligibility. (i) States may apply directly to AmeriCorps for
operational grants.
(ii) Subdivisions of States, Indian Tribes, public or private
nonprofit organizations (including religious organizations and labor
organizations), and institutions of higher education may apply either to
a State or directly to AmeriCorps for operational grants. AmeriCorps may
limit the categories of applicants eligible to apply directly to
AmeriCorps for assistance under this section consistent with its
National priorities.
(3) Duration. An operational grant will be negotiated for a term not
to exceed three years. Within a three-year

[[Page 746]]

term, renewal funding will be contingent upon periodic assessment of
program quality, progress to date, and availability of Congressional
appropriations.
(c) Replication Grants. AmeriCorps may provide assistance for the
replication of an existing national service program to another
geographical location.
(d) Training, technical assistance and other special grants--(1)
Purpose. The purpose of these grants is to ensure broad access to
AmeriCorps programs for all Americans, including those with
disabilities; support disaster relief efforts; assist efforts to secure
private support for programs through challenge grants; and ensure
program quality by supporting technical assistance and training
programs.
(2) Eligibility. Eligibility varies and is detailed under 45 CFR
part 2524, ``Technical Assistance and Other Special Grants.''
(3) Duration. Grants will be negotiated for a renewable term of up
to three years.

[59 FR 13794, Mar. 23, 1994, as amended at 67 FR 45360, July 9, 2002]

Sec. 2521.30 How will AmeriCorps subtitle C program grants be awarded?

In any fiscal year, AmeriCorps will award AmeriCorps subtitle C
program grants as follows:
(a) Grants to State Applicants. (1) For the purposes of this
section, the term ``State'' means the fifty States, Puerto Rico, and the
District of Columbia.
(2) One-third of the funds available under this part and a
corresponding allotment of AmeriCorps educational awards, as specified
by AmeriCorps, will be distributed according to a population-based
formula to the 50 States, Puerto Rico and the District of Columbia if
they have applications approved by AmeriCorps.
(3) At least one-third of funds available under this part and an
appropriate number of AmeriCorps awards, as determined by AmeriCorps,
will be awarded to States on a competitive basis. In order to receive
these funds, a State must receive funds under paragraphs (a)(2) or
(b)(1) of this section in the same fiscal year.
(4) In making subgrants with funds awarded by formula or competition
under paragraphs (a)(2) or (3) of this section, a State must ensure that
a minimum of 50 percent of funds going to States will be used for
programs that operate in the areas of need or on Federal or other public
lands, and that place a priority on recruiting participants who are
residents in high need areas, or on Federal or other public lands.
AmeriCorps may waive this requirement for an individual State if at
least 50 percent of the total amount of assistance to all States will be
used for such programs.
(b) Grants to Applicants other than States. (1) One percent of
available funds will be distributed to the U.S. Territories \1\ that
have applications approved by AmeriCorps according to a population-based
formula. \2\
---------------------------------------------------------------------------

\1\ The United States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands.
\2\ The amount allotted as a grant to each such territory or
possession is equal to the ratio of each such Territory's population to
the population of all such territories multiplied by the amount of the
one percent set-aside.
---------------------------------------------------------------------------

(2) One percent of available funds will be reserved for distribution
to Indian tribes on a competitive basis.
(3) AmeriCorps will use any funds available under this part
remaining after the award of the grants described in paragraphs (a) and
(b)(1) and (2) of this section to make direct competitive grants to
subdivisions of States, Indian tribes, public or private nonprofit
organizations (including religious organizations and labor
organizations), institutions of higher education, and Federal agencies.
No more than one-third of the these remaining funds may be awarded to
Federal agencies.
(c) Allocation of AmeriCorps educational awards only. AmeriCorps
will determine on an annual basis the appropriate number of educational
awards to make available for eligible applicants who have not applied
for program assistance.
(d) Effect of States' or Territories' failure to apply. If a State
or U.S. Territory does not apply for or fails to give adequate notice of
its intent to apply for a formula-based grant as announced

[[Page 747]]

by AmeriCorps and published in applications and the Notice of Funds
Availability, AmeriCorps will use the amount of that State's allotment
to make grants to eligible entities to carry out AmeriCorps programs in
that State or Territory. Any funds remaining from that State's allotment
after making such grants will be reallocated to the States, Territories,
and Indian tribes with approved AmeriCorps applications at AmeriCorps'
discretion.
(e) Effect of rejection of State application. If a State's
application for a formula-based grant is ultimately rejected by
AmeriCorps pursuant to Sec. 2522.320 of this chapter, the State's
allotment will be available for redistribution by AmeriCorps to the
States, Territories, and Indian Tribes with approved AmeriCorps
applications as AmeriCorps deems appropriate.
(f) AmeriCorps will make grants for training, technical assistance
and other special programs described in part 2524 of this chapter at
AmeriCorps' discretion.

[59 FR 13794, Mar. 23, 1994, as amended at 63 FR 18138, Apr. 14, 1998;
67 FR 45360, July 9, 2002; 70 FR 39598, July 8, 2005; 73 FR 53759, Sept.
17, 2008]

Program Matching Requirements

Sec. 2521.35 Who must comply with matching requirements?

(a) The matching requirements described in Sec. Sec. 2521.40
through 2521.95 apply to you if you are a subgrantee of a State
commission or a direct program grantee of AmeriCorps. These requirements
do not apply to Education Award Programs.
(b) If you are a State commission, you must ensure that your
grantees meet the match requirements established in this part, and you
are also responsible for meeting an aggregate overall match based on
your grantees' individual match requirements.

[70 FR 39598, July 8, 2005; 70 FR 48882, Aug. 22, 2005]

Sec. 2521.40 What are the matching requirements?

If you are subject to matching requirements under Sec. 2521.35, you
must adhere to the following:
(a) Basic match: At a minimum, you must meet the basic match
requirements as articulated in Sec. 2521.45.
(b) Regulatory match: In addition to the basic requirements under
paragraph (a) of this section, you must provide an overall level of
matching funds according to the schedule in Sec. 2521.60(a), or Sec.
2521.60(b) if applicable.
(c) Budgeted match: To the extent that the match in your approved
budget exceeds your required match levels under paragraph (a) or (b) of
this section, any failure to provide the amount above your regulatory
match but below your budgeted match will be considered as a measure of
past performance in subsequent grant competitions.

[70 FR 39598, July 8, 2005]

Sec. 2521.45 What are the limitations on the Federal Government's share of program costs?

The limitations on the Federal Government's share are different--in
type and amount--for member support costs and program operating costs.
(a) Member support: The Federal share, including AmeriCorps and
other Federal funds, of member support costs, which include the living
allowance required under Sec. 2522.240(b)(1) of this chapter, FICA,
unemployment insurance (if required under State law), and worker's
compensation (if required under State law), is limited as follows:
(1) If you are a professional corps described in Sec.
2522.240(b)(2)(i) of this chapter, you may not use AmeriCorps funds for
the living allowance.
(2) Your share of member support costs must be non-Federal cash.
(3) AmeriCorps's share of health care costs may not exceed 85
percent.
(b) Program operating costs. The AmeriCorps share of program
operating costs may not exceed 67 percent. These costs include
expenditures (other than member support costs described in paragraph (a)
of this section) such as staff, operating expenses, internal evaluation,
and administration costs.
(1) You may provide your share of program operating costs with cash,
including other Federal funds (as long as the other Federal agency
permits its funds to be used as match), or third-party in-kind
contributions.

[[Page 748]]

(2) Contributions, including third party in-kind must:
(i) Be verifiable from your records;
(ii) Not be included as contributions for any other Federally
assisted program;
(iii) Be necessary and reasonable for the proper and efficient
accomplishment of your program's objectives; and
(iv) Be allowable under applicable Office of Management and Budget
(OMB) cost principles.
(3) You may not include the value of direct community service
performed by volunteers, but you may include the value of services
contributed by volunteers to your organizations for organizational
functions such as accounting, audit, and training of staff and
AmeriCorps programs.''

[70 FR 39598, July 8, 2005, as amended at 89 FR 46033, May 28, 2024; 89
FR 66615, Aug. 16, 2024]

Sec. 2521.50 If I am an Indian Tribe, to what extent may I use
tribal funds towards my share of costs?

If you are an Indian Tribe that receives tribal funds through Public
Law 93-638 (the Indian Self-Determination and Education Assistance Act),
those funds are considered non-Federal and you may use them towards your
share of costs, including member support costs.

[70 FR 39598, July 8, 2005]

Sec. 2521.60 To what extent must my share of program costs increase
over time?

Except as provided in paragraph (b) of this section, if your program
continues to receive funding after an initial three-year grant period,
you must continue to meet the minimum requirements in Sec. 2521.45 of
this part. In addition, your required share of program costs, including
member support and operating costs, will incrementally increase each
grant period to a 30 percent overall share by the fourth grant period
and beyond (tenth year and any year thereafter that you receive a
grant), without a break in funding of five years or more.
(a) Minimum Organization Share: (1) Subject to the requirements of
Sec. 2521.45 of this part, and except as provided in paragraph (b) of
this section, your overall share of program costs will increase as of
the fourth consecutive year that you receive a grant, according to the
following timetable:

Table 1 to Paragraph (a)--Timetable for Minimum Organization Share
----------------------------------------------------------------------------------------------------------------
Match percent by grant period and years
Grant period ----------------------------------------------------------------------------
First Second Third Fourth
----------------------------------------------------------------------------------------------------------------
Grant years........................ 1-3 4-6 7-9 10 and beyond.
Minimum operating costs percentage. 33 33 33 33.
Minimum overall share percentage... 24 26 28 30.
----------------------------------------------------------------------------------------------------------------

(2) A State commission may meet its match based on the aggregate of
its grantees' individual match requirements.
(b) Alternative match requirements: If your program is unable to
meet the match requirements set forth in paragraph (a) of this section
and it is located in a rural or severely economically distressed
community, you may apply to AmeriCorps for a waiver that would decrease
the level of your required match.
(c) Determining Program Location. (1) AmeriCorps will determine
whether your program is located in a rural county by considering the
U.S. Department of Agriculture's Beale Codes.
(2) AmeriCorps will determine whether your program is located in a
severely economically distressed county by considering unemployment
rates, per capita income, and poverty rates.
(3) Unless AmeriCorps approves otherwise, as provided in paragraph
(c)(4) of this section, AmeriCorps will determine the location of your
program based on the legal applicant's address.
(4) If you believe that the legal applicant's address is not the
appropriate way to consider the location of your program, you may
request the waiver

[[Page 749]]

described in paragraph (b) of this section and provide the relevant
facts about your program location to support your request.
(d) Schedule for current program grants: If you have completed at
least one three-year grant cycle on the date this regulation takes
effect, you will be required to provide your share of costs beginning at
the year three level, according to the table in paragraph (a) of this
section, in the first program year in your grant following the
regulation's effective date, and increasing each year thereafter as
reflected in the table.
(e) Flexibility in how you provide your share: As long as you meet
the basic match requirements in Sec. 2521.45, you may use cash or in-
kind contributions to reach the overall share level. For example, if
your organization finds it easier to raise member support match, you may
choose to meet the required overall match by raising only more member
support match, and leave operational match at the basic level, as long
as you provide the required overall match.
(f) Reporting excess resources. (1) AmeriCorps encourages you to
obtain support over-and-above the matching fund requirements. Reporting
these resources may make your application more likely to be selected for
funding, based on the selection criteria in Sec. Sec. 2522.430 and
2522.435 of these regulations.
(2) You must comply with Sec. 2543.23 of this title and applicable
OMB circulars in documenting cash and in-kind contributions and excess
resources.

[70 FR 39598, July 8, 2005, as amended at 89 FR 46033, May 28, 2024]

Sec. 2521.70 To what extent may AmeriCorps waive the matching
requirements in Sec. Sec. 2521.45 and 2521.60 of this part?

(a) AmeriCorps may waive, in whole or in part, the requirements of
Sec. Sec. 2521.45 and 2521.60 if AmeriCorps determines that a waiver
would be equitable because of a lack of available financial resources at
the local level.
(b) If you are requesting a waiver, you must demonstrate:
(1) Initial difficulties in the development of local funding sources
during the first three years of operations; or
(2) An economic downturn, the occurrence of a natural disaster, or
similar events in the service area that severely restrict or reduce
sources of local funding support; or
(3) The unexpected discontinuation of local support from one or more
sources that a project has relied on for a period of years; or
(4) Organizational revenue of less than $500,000.
(c) You must provide with your waiver request:
(1) A description of the efforts you have made to raise matching
resources; and
(2) A request for the specific amount of match you are asking
AmeriCorps to waive; and
(3) A budget and budget narrative that reflect the requested level
in matching resources.

[70 FR 39598, July 8, 2005, as amended at 89 FR 46033, May 28, 2024]

Sec. 2521.80 What matching level applies if my program was funded
in the past but has not recently received an AmeriCorps grant?

(a) If you have not been a direct recipient of an AmeriCorps
operational grant from AmeriCorps or a State commission for five years
or more, as determined by the end date of your most recent grant period,
you may begin matching at the year one level, as reflected in the
timetable in Sec. 2521.60(a) of this part, upon receiving your new
grant award.
(b) If you have not been a direct recipient of an AmeriCorps
operational grant from AmeriCorps or a State commission for fewer than
five years, you must begin matching at the same level you were matching
at the end of your most recent grant period.

[70 FR 39598, July 8, 2005]

Sec. 2521.90 If I am a new or replacement legal applicant for
an existing program, what will my matching requirements be?

If your organization is a new or replacement legal applicant for an
existing program, you must provide matching resources at the level the
previous

[[Page 750]]

legal applicant had reached at the time you took over the program.

[70 FR 39598, July 8, 2005]

Sec. 2521.95 To what extent may I use grant funds for
administrative costs?

(a) Not more than five percent of the grant funds provided under
this part for any fiscal year may be used to pay for administrative
costs, as defined in Sec. 2510.20 of this chapter.
(b) The distribution of administrative costs between the grant and
any subgrant will be subject to the approval of AmeriCorps.
(c) In applying the limitation on administrative costs AmeriCorps
will approve one of the following methods in the award document:
(1) Limit the amount or rate of indirect costs that may be paid with
AmeriCorps funds under a grant or subgrant to five percent of total
AmeriCorps funds expended, provided that--
(i) Organizations that have an established indirect cost rate for
Federal awards will be limited to this method; and
(ii) Unreimbursed indirect costs may be applied to meeting
operational matching requirements under AmeriCorps' award;
(2) Specify that a fixed rate of five percent or less (not subject
to supporting cost documentation) of total AmeriCorps funds expended may
be used to pay for administrative costs, provided that the fixed rate is
in conjunction with an overall 15 percent administrative cost factor to
be used for organizations that do not have established indirect cost
rates; or
(3) Utilize such other method that AmeriCorps determines in writing
is consistent with OMB guidance and other applicable requirements, helps
minimize the burden on grantees or subgrantees, and is beneficial to
grantees or subgrantees and the Federal Government.

[70 FR 39598, July 8, 2005]

PART 2522_AMERICORPS PARTICIPANTS, PROGRAMS, AND APPLICANTS--Table of Contents

Subpart A_Minimum Requirements and Program Types

Sec.
2522.10 What definitions apply to this part?
2522.100 What are the minimum requirements that AmeriCorps subtitle C
grantees must meet?
2522.110 What types of programs are eligible to compete for AmeriCorps
grants?

Subpart B_Participant Eligibility, Requirements, and Benefits

2522.200 What are the eligibility requirements for an AmeriCorps
participant?
2522.205 To whom must I apply eligibility criteria relating to criminal
history?
2522.206 [Reserved]
2522.207 How do I determine an individual's eligibility to serve in a
covered position?
2522.210 How are AmeriCorps participants recruited and selected?
2522.220 What are the required terms of service for AmeriCorps
participants?
2522.230 Under what circumstances may an AmeriCorps participant be
released from completing a term of service, and what are the
consequences?
2522.235 Is there a limit on the number of terms an individual may serve
in an AmeriCorps State and National program?
2522.240 What financial benefits do AmeriCorps participants serving in
approved AmeriCorps positions receive?
2522.245 How are living allowances disbursed?
2522.250 What other benefits do AmeriCorps participants serving in
approved AmeriCorps positions receive?

Subpart C_Application Requirements

2522.300 What are the application requirements for AmeriCorps program
grants?
2522.310 What are the application requirements for AmeriCorps
educational awards only?
2522.320 [Reserved]
2522.330 [Reserved]
2522.340 How will I know if two projects are the same?

Subpart D_Selection of AmeriCorps Programs

2522.400 What process does AmeriCorps use to select new grantees?
2522.410 What is the role of AmeriCorps' Board of Directors in the
selection process?

[[Page 751]]

2522.415 How does the grant selection process work?
2522.420 What basic criteria does AmeriCorps use in making funding
decisions?
2522.425 [Reserved]
2522.430 [Reserved]
2522.435 [Reserved]
2522.440 What weight does AmeriCorps give to each category of the basic
criteria?
2522.445 [Reserved]
2522.448 [Reserved]
2522.450 What types of programs or program models may receive special
consideration in the selection process?
2522.455 How do I find out about additional priorities governing the
selection process?
2522.460 To what extent may AmeriCorps or a State commission consider
priorities other than those stated in these regulations or the
Notice of Funding Availability?
2522.465 What information must a State commission submit on the relative
strengths of applicants for State competitive funding?
2522.470 What other factors or information may AmeriCorps consider in
making final funding decisions?
2522.475 To what extent must I use AmeriCorps' selection criteria and
priorities when selecting formula programs or operating sites?
2522.480 Can a State's application for formula funds be rejected?
2522.485 How do I calculate my program's budgeted AmeriCorps cost per
member service year (MSY)?

Subpart E_Evaluation Requirements

2522.500 What is the purpose of this subpart?
2522.510 To whom does this subpart apply?
2522.520 What special terms are used in this subpart?
2522.530 May I use AmeriCorps' program grant funds for performance
measurement and evaluation?
2522.540 Do the costs of performance measurement or evaluation count
towards the statutory cap on administrative costs?

Performance Measures: Requirements and Procedures

2522.550 What basic requirements must I follow in measuring performance
under my grant?
2522.560 What are performance measures and performance measurement?
2522.570 What information on performance measures must my grant
application include?
2522.580 What performance measures am I required to submit to
AmeriCorps?
2522.590 Who develops my performance measures?
2522.600 Who approves my performance measures?
2522.610 What is the difference in performance measurements requirements
for competitive and formula programs?
2522.620 How do I report my performance measures to AmeriCorps?
2522.630 What must I do if I am not able to meet my performance
measures?
2522.640 Under what circumstances may I change my performance measures?
2522.650 What happens if I fail to meet the performance measures
included in my grant?

Evaluating Programs: Requirements and Procedures

2522.700 How does evaluation differ from performance measurement?
2522.710 What are my evaluation requirements?
2522.720 How many years must my evaluation cover?
2522.730 How and when do I submit my evaluation to AmeriCorps?
2522.740 How will AmeriCorps use my evaluation?
2522.800 How will AmeriCorps evaluate individual AmeriCorps programs?
2522.810 What will AmeriCorps do to evaluate the overall success of the
AmeriCorps programs?
2522.820 Will information on individual participants be kept
confidential?

Subpart F_Program Management Requirements for Grantees

2522.900 What definitions apply to this subpart?
2522.910 What basic qualifications must an AmeriCorps member have to
serve as a tutor?
2522.920 Are there any exceptions to the qualifications requirements?
2522.930 [Reserved]
2522.940 What are the requirements for a program in which AmeriCorps
members serve as tutors?
2522.950 What requirements and qualifications apply if my program
focuses on supplemental academic support activities other than
tutoring?

Authority: 42 U.S.C. 12571-12595; 12651b-12651d; E.O. 13331, 69 FR
9911, Sec. 1612, Pub. L. 111-13.

Source: 59 FR 13796, Mar. 23, 1994, unless otherwise noted.

Editorial Note: Nomenclature changes to part 2522 appear at 89 FR
46034, May 28, 2024; 89 FR 66615, Aug. 16, 2024.

[[Page 752]]

Subpart A_Minimum Requirements and Program Types

Sec. 2522.10 What definitions apply to this part?

[70 FR 39600, July 8, 2005, as amended at 89 FR 46034, May 28, 2024]

Sec. 2522.100 What are the minimum requirements that every
AmeriCorps program, regardless of type, must meet?

Although a wide range of programs may be eligible to apply for and
receive support from AmeriCorps, all AmeriCorps subtitle C programs must
meet certain minimum program requirements. These requirements apply
regardless of whether a program is supported directly by AmeriCorps or
through a subgrant. All AmeriCorps programs must:
(a) Address educational, public safety, human, or environmental
needs, and provide a direct and demonstrable benefit that is valued by
the community in which the service is performed;
(b) Perform projects that are designed, implemented, and evaluated
with extensive and broad-based local input, including consultation with
representatives from the community served, participants (or potential
participants) in the program, community-based agencies with a
demonstrated record of experience in providing services, and local labor
organizations representing employees of project sponsors (if such
entities exist in the area to be served by the program);
(c) Obtain, in the case of a program that also proposes to serve as
the project sponsor, the written concurrence of any local labor
organization representing employees of the project sponsor who are
engaged in the same or substantially similar work as that proposed to be
carried out by the AmeriCorps participant;
(d) Establish and provide outcome objectives, including a strategy
for achieving these objectives, upon which self-assessment and
AmeriCorps-assessment of progress can rest. Such assessment will be used
to help determine the extent to which the program has had a positive
impact: (1) On communities and persons served by the projects performed
by the program;
(2) On participants who take part in the projects; and
(3) In such other areas as the program or AmeriCorps may specify;
(e) Strengthen communities and encourage mutual respect and
cooperation among citizens of different races, ethnicities,
socioeconomic backgrounds, educational levels, both men and women and
individuals with disabilities;
(f) Agree to seek actively to include participants and staff from
the communities in which projects are conducted, and agree to seek
program staff and participants of different races and ethnicities,
socioeconomic backgrounds, educational levels, and genders as well as
individuals with disabilities unless a program design requires
emphasizing the recruitment of staff and participants who share a
specific characteristic or background. In no case may a program violate
the nondiscrimination, nonduplication and nondisplacement rules
governing participant selection described in part 2540 of this chapter.
In addition, programs are encouraged to establish, if consistent with
the purposes of the program, an intergenerational component that
combines students, out-of-school youths, and older adults as
participants;
(g)(1) Determine the projects in which participants will serve and
establish minimum qualifications that individuals must meet to be
eligible to participate in the program; these qualifications may vary
based on the specific tasks to be performed by participants. Regardless
of the educational level or background of participants sought, programs
are encouraged to select individuals who posses leadership potential and
a commitment to the goals of the AmeriCorps program. In any case,
programs must select participants in a non-partisan, non-political, non-
discriminatory manner, ensuring

[[Page 753]]

fair access to participation. In addition, programs are required to
ensure that they do not displace any existing paid employees as provided
in part 2540 of this chapter;
(2) In addition, all programs are required to comply with any pre-
service orientation or training period requirements established by
AmeriCorps to assist in the selection of motivated participants.
Finally, all programs must agree to select a percentage (to be
determined by AmeriCorps) of the participants for the program from among
prospective participants recruited by AmeriCorps or State Commissions
under part 2533 of this chapter. AmeriCorps may also specify a minimum
percentage of participants to be selected from the national leadership
pool established under Sec. 2522.210(c). AmeriCorps may vary either
percentage for different types of AmeriCorps programs;
(h) Provide reasonable accommodation, including auxiliary aids and
services (as defined in section 3(1) of the Americans with Disabilities
Act of 1990 (42 U.S.C. 12102(1)) based on the individualized need of a
participant who is a qualified individual with a disability (as defined
in section 101(8) of such Act (42 U.S.C. 12111(8)). For the purpose of
complying with this provision, AmeriCorps programs may apply for
additional financial assistance from AmeriCorps pursuant to Sec.
2524.40 of this chapter;
(i) Use service experiences to help participants achieve the skills
and education needed for productive, active citizenship, including the
provision, if appropriate, of structured opportunities for participants
to reflect on their service experiences. In addition, all programs must
encourage every participant who is eligible to vote to register prior to
completing a term of service;
(j) Provide participants in the program with the training, skills,
and knowledge necessary to perform the tasks required in their
respective projects, including, if appropriate, specific training in a
particular field and background information on the community, including
why the service projects are needed;
(k) Provide support services--
(1) To participants who are completing a term of service and making
the transition to other educational and career opportunities; and
(2) To those participants who are school dropouts in order to assist
them in earning the equivalent of a high school diploma;
(l) Ensure that participants serving in approved AmeriCorps
positions receive the living allowance and other benefits described in
Sec. Sec. 2522.240 through 2522.250 of this chapter;
(m) Describe the manner in which the AmeriCorps educational awards
will be apportioned among individuals serving in the program. If a
program proposes to provide such benefits to less than 100 percent of
the participants in the program, the program must provide a compelling
rationale for determining which participants will receive the benefits
and which participants will not. AmeriCorps programs are strongly
encouraged to offer alternative post-service benefits to participants
who will not receive AmeriCorps educational awards, however AmeriCorps
grant funds may not be used to provide such benefits;
(n) Agree to identify the program, through the use of logos, common
application materials, and other means (to be specified by the
AmeriCorps), as part of a larger national effort and to participate in
other activities such as common opening ceremonies (including the
administration of a national oath or affirmation), service days, and
conferences designed to promote a national identity for all AmeriCorps
programs and participants, including those participants not receiving
AmeriCorps educational awards. This provision does not preclude an
AmeriCorps program from continuing to use its own name as the primary
identification, or from using its name, logo, or other identifying
materials on uniforms or other items;
(o) Agree to begin terms of service at such times as AmeriCorps may
reasonably require and to comply with any restrictions AmeriCorps may
establish as to when the program may take to fill an approved AmeriCorps
position left vacant due to attrition;

[[Page 754]]

(p) Comply with all evaluation procedures specified by AmeriCorps,
as explained in Sec. Sec. 2522.500 through 2522.560;
(q) In the case of a program receiving funding directly from
AmeriCorps, meet and consult with the State Commission for the State in
which the program operates, if possible, and submit a copy of the
program application to the State Commission; and
(r) Address any other requirements as specified by AmeriCorps.

[59 FR 13796, Mar. 23, 1994, as amended at 67 FR 45360, July 9, 2002; 75
FR 51410, Aug. 20, 2010]

Sec. 2522.110 What types of programs are eligible to compete
for AmeriCorps grants?

Types of programs eligible to compete for AmeriCorps grants include
the following: (a) Specialized skills programs. (1) A service program
that is targeted to address specific educational, public safety, human,
or environmental needs and that--
(i) Recruits individuals with special skills or provides specialized
pre-service training to enable participants to be placed individually or
in teams in positions in which the participants can meet such needs; and
(ii) If consistent with the purposes of the program, brings
participants together for additional training and other activities
designed to foster civic responsibility, increase the skills of
participants, and improve the quality of the service provided.
(2) A preprofessional training program in which students enrolled in
an institution of higher education--
(i) Receive training in specified fields, which may include classes
containing service-learning;
(ii) Perform service related to such training outside the classroom
during the school term and during summer or other vacation periods; and
(iii) Agree to provide service upon graduation to meet educational,
public safety, human, or environmental needs related to such training.
(3) A professional corps program that recruits and places qualified
participants in positions--
(i) As teachers, nurses and other health care providers, police
officers, early childhood development staff, engineers, or other
professionals providing service to meet educational, public safety,
human, or environmental needs in communities with an inadequate number
of such professionals;
(ii) That may include a salary in excess of the maximum living
allowance authorized in Sec. 2522.240(b)(2); and
(iii) That are sponsored by public or private nonprofit employers
who agree to pay 100 percent of the salaries and benefits (other than
any AmeriCorps educational award from the National Service Trust) of the
participants.
(b) Specialized service programs. (1) A community service program
designed to meet the needs of rural communities, using teams or
individual placements to address the development needs of rural
communities and to combat rural poverty, including health care,
education, and job training.
(2) A program that seeks to eliminate hunger in communities and
rural areas through service in projects--
(i) Involving food banks, food pantries, and nonprofit organizations
that provide food during emergencies;
(ii) Involving the gleaning of prepared and unprepared food that
would otherwise be discarded as unusable so that the usable portion of
such food may be donated to food banks, food pantries, and other
nonprofit organizations;
(iii) Seeking to address the long-term causes of hunger through
education and the delivery of appropriate services; or
(iv) Providing training in basic health, nutrition, and life skills
necessary to alleviate hunger in communities and rural areas.
(3) A program in which economically disadvantaged individuals who
are between the ages of 16 and 24 years of age, inclusive, are provided
with opportunities to perform service that, while enabling such
individuals to obtain the education and employment skills necessary to
achieve economic self-sufficiency, will help their communities meet--
(i) The housing needs of low-income families and the homeless; and
(ii) The need for community facilities in low-income areas.
(c) Community-development programs. (1) A community corps program
that

[[Page 755]]

meets educational, public safety, human, or environmental needs and
promotes greater community unity through the use of organized teams of
participants of varied social and economic backgrounds, skill levels,
physical and developmental capabilities, ages, ethnic backgrounds, or
genders.
(2) A program that is administered by a combination of nonprofit
organizations located in a low-income area, provides a broad range of
services to residents of such an area, is governed by a board composed
in significant part of low-income individuals, and is intended to
provide opportunities for individuals or teams of individuals to engage
in community projects in such an area that meet unaddressed community
and individual needs, including projects that would--
(i) Meet the needs of low-income children and youth aged 18 and
younger, such as providing after-school `safe-places', including
schools, with opportunities for learning and recreation; or
(ii) Be directed to other important unaddressed needs in such an
area.
(d) Programs that expand service program capacity. (1) A program
that provides specialized training to individuals in service-learning
and places the individuals after such training in positions, including
positions as service-learning coordinators, to facilitate service-
learning in programs eligible for funding under Serve-America.
(2) An AmeriCorps entrepreneur program that identifies, recruits,
and trains gifted young adults of all backgrounds and assists them in
designing solutions to community problems.
(e) Campus-based programs. A campus-based program that is designed
to provide substantial service in a community during the school term and
during summer or other vacation periods through the use of--
(1) Students who are attending an institution of higher education,
including students participating in a work-study program assisted under
part C of title IV of the Higher Education Act of 1965 (42 U.S.C. 2751
et seq.);
(2) Teams composed of such students; or
(3) Teams composed of a combination of such students and community
residents.
(f) Intergenerational programs. An intergenerational program that
combines students, out-of-school youths, and older adults as
participants to provide needed community services, including an
intergenerational component for other AmeriCorps programs described in
this subsection.
(g) Youth development programs. A full-time, year-round youth corps
program or full-time summer youth corps program, such as a conservation
corps or youth service corps (including youth corps programs under
subtitle I, the Public Lands Corps established under the Public Lands
Corps Act of 1993, the Urban Youth Corps established under section 106
of the National and Community Service Trust Act of 1993, and other
conservation corps or youth service corps that perform service on
Federal or other public lands or on Indian lands or Hawaiian home
lands), that:
(1) Undertakes meaningful service projects with visible public
benefits, including natural resource, urban renovation, or human
services projects;
(2) Includes as participants youths and young adults between the
ages of 16 and 25, inclusive, including out-of-school youths and other
disadvantaged youths (such as youths with limited basic skills, youths
in foster care who are becoming too old for foster care, youths of
limited English proficiency, homeless youths, and youths who are
individuals with disabilities) who are between those ages; and
(3) Provides those participants who are youths and young adults
with--
(i) Crew-based, highly structured, and adult-supervised work
experience, life skills, education, career guidance and counseling,
employment training, and support services; and
(ii) The opportunity to develop citizenship values and skills
through service to their community and the United States.
(h) Individualized placement programs. An individualized placement
program that includes regular group activities, such as leadership
training and special service projects.
(i) Other programs. Such other AmeriCorps programs addressing
educational, public safety, human, or environmental needs as AmeriCorps
may designate in the application.

[[Page 756]]

Subpart B_Participant Eligibility, Requirements, and Benefits

Sec. 2522.200 What are the eligibility requirements for an
AmeriCorps participant?

(a) Eligibility. An AmeriCorps participant must--
(1)(i) Be at least 17 years of age at the commencement of service;
or
(ii) Be an out-of-school youth 16 years of age at the commencement
of service participating in a program described in Sec. 2522.110(b)(3)
or (g);
(2)(i) Have a high school diploma or its equivalent; or
(ii) Not have dropped out of elementary or secondary school to
enroll as an AmeriCorps participant and must agree to obtain a high
school diploma or its equivalent prior to using the education award; or
(iii) Obtain a waiver from AmeriCorps of the requirements in
paragraphs (a)(2)(i) and (a)(2)(ii) of this section based on an
independent evaluation secured by the program demonstrating that the
individual is not capable of obtaining a high school diploma or its
equivalent; or
(iv) Be enrolled in an institution of higher education on an ability
to benefit basis and be considered eligible for funds under section 484
of the Higher Education Act of 1965 (20 U.S.C. 1091);
(3) Be a citizen, national, or lawful permanent resident alien of
the United States;
(4) Satisfy the National Service Criminal History Check eligibility
criteria pursuant to 45 CFR 2540.202.
(b) Written declaration regarding high school diploma sufficient for
enrollment. For purposes of enrollment, if an individual provides a
written declaration under penalty of law that he or she meets the
requirements in paragraph (a) of this section relating to high school
education, a program need not obtain additional documentation of that
fact.
(c) Primary documentation of status as a U.S. citizen or national.
The following are acceptable forms of certifying status as a U.S.
citizen or national:
(1) A birth certificate showing that the individual was born in one
of the 50 states, the District of Columbia, Puerto Rico, Guam, the U.S.
Virgin Islands, American Samoa, or the Northern Mariana Islands;
(2) A United States passport;
(3) A report of birth abroad of a U.S. Citizen (FS-240) issued by
the State Department;
(4) A certificate of birth-foreign service (FS 545) issued by the
State Department;
(5) A certification of report of birth (DS-1350) issued by the State
Department;
(6) A certificate of naturalization (Form N-550 or N-570) issued by
the Immigration and Naturalization Service; or
(7) A certificate of citizenship (Form N-560 or N-561) issued by the
Immigration and Naturalization Service.
(d) Primary documentation of status as a lawful permanent resident
alien of the United States. The following are acceptable forms of
certifying status as a lawful permanent resident alien of the United
States:
(1) Permanent Resident Card, INS Form I-551;
(2) Alien Registration Receipt Card, INS Form I-551;
(3) A passport indicating that the INS has approved it as temporary
evidence of lawful admission for permanent residence; or
(4) A Departure Record (INS Form I-94) indicating that the INS has
approved it as temporary evidence of lawful admission for permanent
residence.
(e) Secondary documentation of citizenship or immigration status. If
primary documentation is not available, the program must obtain written
approval from AmeriCorps that other documentation is sufficient to
demonstrate the individual's status as a U.S. citizen, U.S. national, or
lawful permanent resident alien.

[64 FR 37413, July 12, 1999, as amended at 67 FR 45360, July 9, 2002; 77
FR 60931, Oct. 5, 2012]

Sec. 2522.205 To whom must I apply eligibility criteria relating
to criminal history?

You must apply eligibility criteria relating to criminal history to
individuals specified in 45 CFR 2540.201.

[86 FR 11146, Feb. 24, 2021]

[[Page 757]]

Sec. 2522.206 [Reserved]

Sec. 2522.207 How do I determine an individual's eligibility to
serve in a covered position?

To determine an individual's eligibility to serve in a covered
position, you must follow the procedures in part 2540 of this chapter.

[77 FR 60932, Oct. 5, 2012]

Sec. 2522.210 How are AmeriCorps participants recruited and selected?

(a) Local recruitment and selection. In general, AmeriCorps
participants will be selected locally by an approved AmeriCorps program,
and the selection criteria will vary widely among the different
programs. Nevertheless, AmeriCorps programs must select their
participants in a fair and non-discriminatory manner which complies with
part 2540 of this chapter. In selecting participants, programs must also
comply with the recruitment and selection requirements specified in this
section.
(b)(1) National and State recruitment and selection. AmeriCorps and
each State Commission will establish a system to recruit individuals who
desire to perform national service and to assist the placement of these
individuals in approved AmeriCorps positions, which may include
positions available under titles I and II of the Domestic Volunteer
Service Act of 1973 (42 U.S.C. 4951 et seq.). The national and state
recruitment and placement system will be designed and operated according
to AmeriCorps guidelines.
(2) Dissemination of information. AmeriCorps and State Commissions
will disseminate information regarding available approved AmeriCorps
positions through cooperation with secondary schools, institutions of
higher education, employment service offices, community-based
organizations, State vocational rehabilitation agencies within the
meaning of the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.) and
other State agencies that primarily serve qualified individuals with
disabilities, and other appropriate entities, particularly those
organizations that provide outreach to disadvantaged youths and youths
who are qualified individuals with disabilities.
(c) National leadership pool--(1) Selection and training. From among
individuals recruited under paragraph (b) of this section or nominated
by service programs, AmeriCorps may select individuals with significant
leadership potential, as determined by AmeriCorps, to receive special
training to enhance their leadership ability. The leadership training
will be provided by AmeriCorps directly or through a grant, contract, or
cooperative agreement as AmeriCorps determines.
(2) Emphasis on certain individuals. In selecting individuals to
receive leadership training under this provision, AmeriCorps will make
special efforts to select individuals who have served--
(i) In the Peace Corps;
(ii) As VISTA volunteers;
(iii) As participants in AmeriCorps programs receiving assistance
under parts 2520 through 2524 of this chapter;
(iv) As participants in National Service Demonstration programs that
received assistance from the Commission on National and Community
Service; or
(v) As members of the Armed Forces of the United States and who were
honorably discharged from such service.
(3) Assignment. At the request of a program that receives
assistance, AmeriCorps may assign an individual who receives leadership
training under paragraph (c)(1) of this section to work with the program
in a leadership position and carry out assignments not otherwise
performed by regular participants. An individual assigned to a program
will be considered to be a participant of the program.

Sec. 2522.220 What are the required terms of service for
AmeriCorps participants?

(a) Term of Service. A term of service may be defined as:
(1) Full-time service. 1,700 hours of service during a period of not
more than one year.
(2) Part-time service. 900 hours of service during a period of not
more than two years.
(3) Reduced part-time term of service. AmeriCorps may reduce the
number of hours required to be served in order to receive an educational
award for certain part-time participants serving in

[[Page 758]]

approved AmeriCorps positions. In such cases, the educational award will
be reduced in direct proportion to the reduction in required hours of
service. These reductions may be made for summer programs, for
categories of participants in certain approved AmeriCorps programs and
on a case-by-case, individual basis as determined by AmeriCorps.
(4) Summer programs. A summer program, in which less than 1700 hours
of service are performed, are part-time programs.
(b) Eligibility for subsequent term. A participant will only be
eligible to serve a subsequent term of service if that individual has
received a satisfactory performance review for any previous term of
service in an approved AmeriCorps position, in accordance with the
requirements of paragraph (d) of this section and Sec. 2525.15. Mere
eligibility for a second or further term of service in no way guarantees
a participant selection or placement.
(c) Participant evaluation. For the purposes of determining a
participant's eligibility for an educational award as described in Sec.
2522.240(a) and eligibility to serve a second or additional term of
service as described in paragraph (c) of this section, each AmeriCorps
grantee is responsible for conducting a mid-term and end-of-term
evaluation. A mid-term evaluation is not required for a participant who
is released early from a term of service or in other circumstances as
approved by AmeriCorps. The end-of-term evaluation should consist of:
(1) A determination of whether the participant:
(i) Successfully completed the required term of service described in
paragraph (a) of this section, making the participant eligible for an
educational award as described in Sec. 2522.240(a);
(ii) Was released from service for compelling personal
circumstances, making the participant eligible for a pro-rated
educational award as described in Sec. 2522.230(a)(2); or
(iii) Was released from service for cause, making the participant
ineligible to receive an educational award for that term of service as
described in Sec. 2522.230(b)(3); and
(2) A participant performance and conduct review to determine
whether the participant's service was satisfactory, which will assess
whether the participant:
(i) Has satisfactorily completed assignments, tasks, or projects,
or, for those participants released from service early, whether the
participant made a satisfactory effort to complete those assignments,
tasks, or projects that the participant could reasonably have addressed
in the time the participant served; and
(ii) Has met any other criteria which had been clearly communicated
both orally and in writing at the beginning of the term of service.
(d) Limitation. AmeriCorps may set a minimum or maximum percentage
of hours of a full-time, part-time, or reduced term of service described
in paragraphs (a)(1),(a)(2), and (a)(3) of this section that a
participant may engage in training, education, or other similar approved
activities
(e) Grievance procedure. Any AmeriCorps participant wishing to
contest a program's ruling of unsatisfactory performance may file a
grievance according to the procedures set forth in part 2540 of this
chapter. If that grievance procedure or subsequent binding arbitration
procedure finds that the participant did in fact satisfactorily complete
a term of service, then that individual will be eligible to receive an
educational award and/or be eligible to serve a second term of service.
(f) Extension of term for disaster purposes. If approved by
AmeriCorps, a program may permit an AmeriCorps participant performing
service directly related to disaster relief efforts to continue in a
term of service for a period of up to 90 days beyond the period
otherwise specified. A period of service performed by an AmeriCorps
participant in an originally agreed-upon term of service and service
performed under this paragraph shall constitute a single term of service
for the purposes of Sec. 2525.50(a) of this chapter.

[59 FR 13796, Mar. 23, 1994, as amended at 73 FR 53759, Sept. 17, 2008;
74 FR 46506, Sept. 10, 2009; 75 FR 51410, Aug. 20, 2010; 89 FR 46034,
May 28, 2024]

[[Page 759]]

Sec. 2522.230 Under what circumstances may an AmeriCorps participant
be released from completing a term of service, and what are the
consequences?

An AmeriCorps program may release a participant from completing a
term of service for compelling personal circumstances, as determined by
the program, or for cause.
(a) Release for compelling personal circumstances.
(1) An AmeriCorps program may release a participant upon a
determination by the program, consistent with the criteria listed in
paragraphs (a)(6) and (a)(7) of this section, that the participant is
unable to complete the term of service because of compelling personal
circumstances, if the participant has otherwise performed satisfactorily
and has completed at least fifteen percent of the agreed term of
service.
(2) A participant who is released for compelling personal
circumstances and who completes at least 15 percent of the required term
of service is eligible for a pro-rated education award.
(3) The program must document the basis for any determination that
compelling personal circumstances prevent a participant from completing
a term of service.
(4) Compelling personal circumstances include:
(i) Those that are beyond the participant's control, such as, but
not limited to:
(A) A participant's disability or serious illness;
(B) Disability, serious illness, or death of a participant's family
member if this makes completing a term unreasonably difficult or
impossible; or
(C) Conditions attributable to the program or otherwise
unforeseeable and beyond the participant's control, such as a natural
disaster, a strike, relocation of a spouse, or the nonrenewal or
premature closing of a project or program, that make completing a term
unreasonably difficult or impossible;
(ii) Those that AmeriCorps, has for public policy reasons,
determined as such, including:
(A) Military service obligations;
(B) Acceptance by a participant of an opportunity to make the
transition from welfare to work; or
(C) Acceptance of an employment opportunity by a participant serving
in a program that includes in its approved objectives the promotion of
employment among its participants.
(5) Compelling personal circumstances do not include leaving a
program:
(i) To enroll in school;
(ii) To obtain employment, other than in moving from welfare to work
or in leaving a program that includes in its approved objectives the
promotion of employment among its participants; or
(iii) Because of dissatisfaction with the program.
(6) As an alternative to releasing a participant, an
AmeriCorps*State/National program may, after determining that compelling
personal circumstances exist, suspend the participant's term of service
for up to two years (or longer if approved by AmeriCorps based on
extenuating circumstances) to allow the participant to complete service
with the same or similar AmeriCorps program at a later time.
(b) Release for cause. (1) A release for cause encompasses any
circumstances other than compelling personal circumstances that warrant
an individual's release from completing a term of service.
(2) AmeriCorps programs must release for cause any participant who
is convicted of a felony or the sale or distribution of a controlled
substance during a term of service.
(3) A participant who is released for cause may not receive any
portion of the AmeriCorps education award or any other payment from the
National Service Trust.
(4) An individual who is released for cause must disclose that fact
in any subsequent applications to participate in an AmeriCorps program.
Failure to do so disqualifies the individual for an education award,
regardless of whether the individual completes a term of service.
(5) An AmeriCorps*State/National participant released for cause may
contest the program's decision by filing a grievance. Pending the
resolution of a grievance procedure filed by an individual to contest a
determination by a

[[Page 760]]

program to release the individual for cause, the individual's service is
considered to be suspended. For this type of grievance, a program may
not--while the grievance is pending or as part of its resolution--
provide a participant with federally-funded benefits (including payments
from the National Service Trust) beyond those attributable to service
actually performed, without the program receiving written approval from
AmeriCorps.
(6) An individual's eligibility for a subsequent term of service in
AmeriCorps will not be affected by release for cause from a prior term
of service so long as the individual received a satisfactory end-of-term
performance review as described in Sec. 2522.220(c)(2) for the period
served in the prior term.
(7) Except as provided in paragraph (e) of this section, a term of
service from which an individual is released for cause counts as one of
the terms of service described in Sec. 2522.235 for which an individual
may receive the benefits described in Sec. Sec. 2522.240 through
2522.250.
(c) Suspended service. (1) A program must suspend the service of an
individual who faces an official charge of a violent felony (e.g., rape,
homicide) or sale or distribution of a controlled substance.
(2) A program must suspend the service of an individual who is
convicted of possession of a controlled substance.
(3) An individual may not receive a living allowance or other
benefits, and may not accrue service hours, during a period of
suspension under this provision.
(d) Reinstatement. (1) A program may reinstate an individual whose
service was suspended under paragraph (c)(1) of this section if the
individual is found not guilty or if the charge is dismissed.
(2) A program may reinstate an individual whose service was
suspended under paragraph (c)(2) of this section only if the individual
demonstrates the following:
(i) For an individual who has been convicted of a first offense of
the possession of a controlled substance, the individual must have
enrolled in a drug rehabilitation program;
(ii) For an individual who has been convicted for more than one
offense of the possession of a controlled substance, the individual must
have successfully completed a drug rehabilitation program.
(e) Release prior to serving 15 percent of a term of service. If a
participant is released for reasons other than misconduct prior to
completing 15 percent of a term of service, the term will not be
considered one of the terms of service described in Sec. 2522.220(b)
for which an individual may receive the benefits described in Sec. Sec.
2522.240 through 2522.250.

[64 FR 37413, July 12, 1999, as amended at 73 FR 53759, Sept. 17, 2008;
74 FR 46506, Sept. 10, 2009; 75 FR 51410, Aug. 20, 2010]

Sec. 2522.235 Is there a limit on the number of terms an individual
may serve in an AmeriCorps State and National program?

The number of terms an individual may serve in an AmeriCorps State
and National program are not limited, but an individual may attain only
the aggregate value of two full-time education awards and AmeriCorps
will fund the benefits described in Sec. Sec. 2522.240 through 2522.250
only for the number of terms needed to attain the aggregate value of two
full-time education awards. Grantees may choose to fund benefits for any
additional terms.

[89 FR 46034, May 28, 2024]

Sec. 2522.240 What financial benefits do AmeriCorps participants
serving in approved AmeriCorps positions receive?

(a) AmeriCorps education awards. An individual serving in an
approved AmeriCorps State and National position may receive an education
award from the National Service Trust upon successful completion of
their terms of service as defined in Sec. 2522.220, consistent with the
limitations in Sec. 2526.50.
(b) Living allowances--(1)Amount. Subject to the provisions of this
part, any individual who participates on a full-time basis in an
AmeriCorps program carried out using assistance provided pursuant to
Sec. 2521.30 of this chapter, including an AmeriCorps program that
receives educational awards only pursuant to Sec. 2521.30(c) of this
chapter, will receive a living allowance in an amount equal to or
greater than the average annual subsistence allowance

[[Page 761]]

provided to VISTA volunteers under Sec. 105 of the Domestic Volunteer
Service Act of 1973 (42 U.S.C. 4955). This requirement will not apply to
any program that was in existence prior to September 21, 1993 (the date
of the enactment of the National and Community Service Trust Act of
1993).
(2) Maximum living allowance. With the exception of a professional
corps described in Sec. 2522.110(a)(3), the AmeriCorps living
allowances may not exceed 200 percent of the average annual subsistence
allowance provided to VISTA volunteers under section 105 of the Domestic
Volunteer Service Act of 1973 (42 U.S.C. 4955). A professional corps
AmeriCorps program may provide a stipend in excess of the maximum,
subject to the following conditions:
(i) AmeriCorps assistance may not be used to pay for any portion of
the allowance; and
(ii) The program must be operated directly by the applicant,
selected on a competitive basis by submitting an application to
AmeriCorps, and may not be included in a State's application for
AmeriCorps program funds distributed by formula under Sec.
2521.30(a)(2) of this chapter.
(3) Living allowances for part-time participants. Programs may, but
are not required to, provide living allowances to individuals
participating on a part-time basis (or a reduced term of part-time
service authorized under Sec. 2522.220(a)(3). Such living allowances
should be prorated to the living allowance authorized in paragraph
(b)(1) of this section and will comply with such restrictions therein.
(4) Waiver or reduction of living allowance for programs. AmeriCorps
may, at its discretion, waive or reduce the living allowance
requirements if a program can demonstrate to the satisfaction of
AmeriCorps that such requirements are inconsistent with the objectives
of the program, and that participants will be able to meet the necessary
and reasonable costs of living (including food, housing, and
transportation) in the area in which the program is located.
(5) Waiver or reduction of living allowance by participants. A
participant may waive all or part of the receipt of a living allowance.
The participant may revoke this waiver at any time during the
participant's term of service. If the participant revokes the living
allowance waiver, the participant may begin receiving his or her living
allowance prospective from the date of the revocation; a participant may
not receive any portion of the living allowance that may have accrued
during the waiver period.
(6) Limitation on Federal share. No AmeriCorps or other Federal
funds may be used to pay for a portion of the living allowance for
professional corps described in paragraph (b)(2)(i) of this section.
(c) Financial benefits for participants during an extended term of
service for disaster purposes. An AmeriCorps participant performing
extended service under Sec. 2522.220(f) may continue to receive a
living allowance under paragraph (b) and other benefits under Sec.
2522.250, but may not receive an additional AmeriCorps educational award
under paragraph (a).

[59 FR 13796, Mar. 23, 1994, as amended at 71 FR 10611, Mar. 2, 2006; 73
FR 53760, Sept. 17, 2008; 74 FR 46506, Sept. 10, 2009; 75 FR 51410, Aug.
20, 2010; 89 FR 46034, May 28, 2024]

Sec. 2522.245 How are living allowances disbursed?

A living allowance is not a wage and programs may not pay living
allowances on an hourly basis. Programs must distribute the living
allowance at regular intervals and in regular increments, and may
increase living allowance payments only on the basis of increased living
expenses such as food, housing, or transportation. Living allowance
payments may only be made to a participant during the participant's term
of service and must cease when the participant concludes the term of
service. Programs may not provide a lump sum payment to a participant
who completes the originally agreed-upon term of service in a shorter
period of time.

[73 FR 53760, Sept. 17, 2008]

[[Page 762]]

Sec. 2522.250 What other benefits do AmeriCorps participants serving
in approved AmeriCorps positions receive?

(a) Child Care. Grantees must provide child care through an eligible
provider or a child care allowance in an amount determined by AmeriCorps
to those full-time participants who need child care in order to
participate.
(1) Need. A participant is considered to need child care in order to
participate in the program if he or she:
(i) Is the parent or legal guardian of, or is acting in loco
parentis for, a child under 13 who resides with the participant;
(ii) Has a family income that does not exceed 75 percent of the
State's median income for a family of the same size;
(iii) At the time of acceptance into the program, is not currently
receiving child care assistance from another source, including a parent
or guardian, which would continue to be provided while the participant
serves in the program; and
(iv) Certifies that he or she needs child care in order to
participate in the program.
(2) Provider eligibility. Eligible child care providers are those
who are eligible child care providers as defined in the Child Care and
Development Block Grant Act of 1990 (42 U.S.C. 9858n(5)).
(3) Child care allowance. The amount of the child-care allowance may
not exceed the applicable payment rate to an eligible provider
established by the State for child care funded under the Child Care and
Development Block Grant Act of 1990 (42 U.S.C. 9858c(4)(A)).
(4) AmeriCorps share. AmeriCorps will pay 100 percent of the child
care allowance, or, if the program provides child care through an
eligible provider, the actual cost of the care or the amount of the
allowance, whichever is less.
(b) Health care. (1) Grantees must provide to all eligible
participants who meet the requirements of paragraph (b)(2) of this
section health care coverage that--
(i) Provides the minimum benefits determined by AmeriCorps;
(ii) Provides the alternative minimum benefits determined by
AmeriCorps; or
(iii) Does not provide all of either the minimum or the alternative
minimum benefits but that has a fair market value equal to or greater
than the fair market value of a policy that provides the minimum
benefits.
(2) Participant eligibility. A full-time participant is eligible for
health care benefits if he or she is not otherwise covered by a health
benefits package providing minimum benefits established by AmeriCorps at
the time he or she is accepted into a program. If, as a result of
participation, or if, during the term of service, a participant
demonstrates loss of coverage through no deliberate act of his or her
own, such as parental or spousal job loss or disqualification from
Medicaid, the participant will be eligible for health care benefits.
(3) AmeriCorps share. (i) Except as provided in paragraph (b)(3)(ii)
of this section, AmeriCorps' share of the cost of health coverage may
not exceed 85 percent.
(ii) AmeriCorps will pay no share of the cost of a policy that does
not provide the minimum or alternative minimum benefits described in
paragraphs (b)(1)(i) and (b)(1)(ii) of this section.

[59 FR 13796, Mar. 23, 1994, as amended at 70 FR 39600, July 8, 2005]

Subpart C_Application Requirements

Sec. 2522.300 What are the application requirements for AmeriCorps
program grants?

All eligible applicants seeking AmeriCorps program grants must--
(a) Provide a description of the specific program(s) being proposed,
including the type of program and of how it meets the minimum program
requirements described in Sec. 2522.100; and
(b) Comply with any additional requirements as specified by
AmeriCorps in the application package.

Sec. 2522.310 What are the application requirements for AmeriCorps
educational awards only?

(a) Eligible applicants may apply for AmeriCorps educational awards
only for one of the following eligible service positions: (1) A position
for a participant in an AmeriCorps program that:

[[Page 763]]

(i) Is carried out by an entity eligible to receive support under
part 2521 of this chapter;
(ii) Would be eligible to receive assistance under this part, based
on criteria established by AmeriCorps, but has not applied for such
assistance;
(2) A position facilitating service-learning in a program described
in parts 2515 through 2519 of this chapter;
(3) A position involving service as a crew leader in a youth corps
program or a similar position supporting an AmeriCorps program; and
(4) Such other AmeriCorps positions as AmeriCorps considers to be
appropriate.
(b) Because programs applying only for AmeriCorps educational awards
must, by definition, meet the same basic requirements as other approved
AmeriCorps programs, applicants must comply with the same application
requirements specified in Sec. 2522.300.

Sec. 2522.320 [Reserved]

Sec. 2522.330 [Reserved]

Sec. 2522.340 How will I know if two projects are the same?

AmeriCorps will consider two projects to be the same if AmeriCorps
cannot identify a meaningful difference between the two projects based
on a comparison of the following characteristics, among others:
(a) The objectives and priorities of the projects;
(b) The nature of the services provided;
(c) The program staff, participants, and volunteers involved;
(d) The geographic locations in which the services are provided;
(e) The populations served; and
(f) The proposed community partnerships.

[73 FR 53760, Sept. 17, 2008]

Subpart D_Selection of AmeriCorps Programs

Sec. 2522.400 What process does AmeriCorps use to select new grantees?

AmeriCorps uses a multi-stage process, which may include review by
panels of experts, AmeriCorps staff review, and approval by the Chief
Executive Officer or the Board of Directors, or their designee.

[70 FR 39600, July 8, 2005]

Sec. 2522.410 What is the role of AmeriCorps' Board of Directors
in the selection process?

The Board of Directors has general authority to determine the
selection process, including priorities and selection criteria, and has
authority to make grant decisions. The Board may delegate these
functions to the Chief Executive Officer.

[70 FR 39600, July 8, 2005]

Sec. 2522.415 How does the grant selection process work?

The selection process includes:
(a) Determining whether your proposal complies with the application
requirements, such as deadlines and eligibility requirements;
(b) Applying the basic selection criteria to assess the quality of
your proposal;
(c) Applying any applicable priorities or preferences, as stated in
these regulations and in the applicable Notice of Funding Availability;
and
(d) Ensuring innovation and geographic, demographic, and
programmatic diversity across AmeriCorps' national AmeriCorps portfolio.

[70 FR 39600, July 8, 2005]

Sec. 2522.420 What basic criteria does AmeriCorps use in making
funding decisions?

In evaluating your application for funding, AmeriCorps will assess:
(a) Your program design;
(b) Your organizational capability; and
(c) Your program's cost-effectiveness and budget adequacy.

[70 FR 39600, July 8, 2005]

[[Page 764]]

Sec. 2522.425 [Reserved]

Sec. 2522.430 [Reserved]

Sec. 2522.435 [Reserved]

Sec. 2522.440 What weight does AmeriCorps give to
each category of the basic criteria?

In evaluating applications, AmeriCorps assigns
the following weights
for each category:

------------------------------------------------------------------------
Category Percentage
------------------------------------------------------------------------
Program design............................................. 50
Organizational capability.................................. 25
Cost-effectiveness and budget adequacy..................... 25
------------------------------------------------------------------------

[70 FR 39600, July 8, 2005]

Sec. 2522.445 [Reserved]

Sec. 2522.448 [Reserved]

Sec. 2522.450 What types of programs or program models may
receive special consideration in the selection process?

Following the scoring of proposals under Sec. 2522.440 of this
part, AmeriCorps will seek to ensure that its portfolio of approved
programs includes a meaningful representation of proposals that address
one or more of the following priorities:
(a) Program models: (1) Programs operated by community
organizations, including faith-based organizations, or programs that
support the efforts of community organizations, including faith-based
organizations, to solve local problems;
(2) Lower-cost professional corps programs, as defined in paragraph
(a)(3) of Sec. 2522.110 of this chapter.
(b) Program activities: (1) Programs that serve or involve children
and youth, including mentoring of disadvantaged youth and children of
prisoners;
(2) Programs that address educational needs, including those that
carry out literacy and tutoring activities generally, and those that
focus on reading for children in the third grade or younger;
(3) Programs that focus on homeland security activities that support
and promote public safety, public health, and preparedness for any
emergency, natural or man-made (this includes programs that help to
plan, equip, train, and practice the response capabilities of many
different response units ready to mobilize without warning for any
emergency);
(4) Programs that address issues relating to the environment;
(5) Programs that support independent living for seniors or
individuals with disabilities;
(6) Programs that increase service and service-learning on higher
education campuses in partnership with their surrounding communities;
(7) Programs that foster opportunities for Americans born in the
post-World War II baby boom to serve and volunteer in their communities;
and
(8) Programs that involve community-development by finding and using
local resources, and the capacities, skills, and assets of lower-income
people and their community, to rejuvenate their local economy,
strengthen public and private investments in the community, and help
rebuild civil society.
(c) Programs supporting distressed communities: Programs or projects
that will be conducted in:
(1) A community designated as an empowerment zone or redevelopment
area, targeted for special economic incentives, or otherwise
identifiable as having high concentrations of low-income people;
(2) An area that is environmentally distressed, as demonstrated by
Federal and State data;
(3) An area adversely affected by Federal actions related to
managing Federal lands that result in significant regional job losses
and economic dislocation;
(4) An area adversely affected by reductions in defense spending or
the closure or realignment of military installation;
(5) An area that has an unemployment rate greater than the national
average unemployment for the most recent 12 months for which State or
Federal data are available;
(6) A rural community, as demonstrated by Federal and State data; or
(7) A severely economically distressed community, as demonstrated by
Federal and State data.
(d) Other programs: Programs that meet any additional priorities as

[[Page 765]]

AmeriCorps determines and disseminates in advance of the selection
process.

[70 FR 39600, July 8, 2005]

Sec. 2522.455 How do I find out about additional priorities
governing the selection process?

AmeriCorps posts discretionary funding opportunities addressing
AmeriCorps' selection preferences and additional requirements on our
website at www.nationalservice.gov and at www.grants.gov in advance of
grant competitions

[70 FR 39600, July 8, 2005]

Sec. 2522.460 To what extent may AmeriCorps or a State commission
consider priorities other than those stated in these regulations
or the Notice of Funding
Availability?

(a) AmeriCorps may give special consideration to a national service
program submitted by a State commission that does not meet one of
AmeriCorps' priorities if the State commission adequately explains why
the State is not able to carry out a program that meets one of
AmeriCorps' priorities, and why the program meets one of the State's
priorities.
(b) A State may apply priorities different than those of AmeriCorps
in selecting its formula programs.

[70 FR 39600, July 8, 2005]

Sec. 2522.465 What information must a State commission submit on
the relative strengths of applicants for State competitive funding?

(a) If you are a State commission applying for State competitive
funding, you must prioritize the proposals you submit in rank order
based on their relative quality and according to the following table:

------------------------------------------------------------------------
If you submit this number of state Then you must rank this
competitive proposals to AmeriCorps number of proposals
------------------------------------------------------------------------
1 to 12................................... At least top 5.
13 to 24.................................. At least top 10.
25 or more................................ At least top 15.
------------------------------------------------------------------------

(b) While the rankings you provide will not be determinative in the
grant selection process, and AmeriCorps will not be bound by them, we
will consider them in our selection process.

[70 FR 39600, July 8, 2005]

Sec. 2522.470 What other factors or information may AmeriCorps
consider in making final funding decisions?

(a) AmeriCorps will seek to ensure that our portfolio of AmeriCorps
programs is programmatically, demographically, and geographically
diverse and includes innovative programs, and projects in rural, high
poverty, and economically distressed areas.
(b) In applying the selection criteria under Sec. Sec. 2522.420
through 2522.435, AmeriCorps may, with respect to a particular proposal,
also consider one or more of the following for purposes of clarifying or
verifying information in a proposal, including conducting due diligence
to ensure an applicant's ability to manage Federal funds:
(1) For an applicant that has previously received an AmeriCorps
grant, any information or records the applicant submitted to AmeriCorps,
or that AmeriCorps has in its system of records, in connection with its
previous grant (e.g. progress reports, site visit reports, financial
status reports, audits, HHS Account Payment Data Reports, Federal Cash
Transaction Reports, timeliness of past reporting, etc.);
(2) Program evaluations;
(3) Member-related information from AmeriCorps' systems;
(4) Other AmeriCorps internal information, including information
from the Office of Inspector General, administrative standards for State
commissions, and reports on program training and technical assistance;
(5) IRS Tax Form 990;
(6) An applicant organization's annual report;
(7) Information relating to the applicant's financial management
from AmeriCorps records;
(8) Member satisfaction indicators;
(9) Publicly available information including:
(i) Socio-economic and demographic data, such as poverty rate,
unemployment rate, labor force participation, and median household
income;
(ii) Information on where an applicant and its activities fall on
the U.S.

[[Page 766]]

Department of Agriculture's urban-rural continuum (Beale codes);
(iii) Information on the nonprofit and philanthropic community, such
as charitable giving per capita;
(iv) Information from an applicant organization's website; and
(v) U.S. Department of Education data on Federal Work Study and
Community Service; and
(10) Other information, following notice in the relevant Notice of
Funding Availability, of the specific information and AmeriCorps'
intention to be able to consider that information in the review process.
(c) Before approving a program grant to a State commission,
AmeriCorps will consider a State commission's capacity to manage and
monitor grants.

[70 FR 39600, July 8, 2005]

Sec. 2522.475 To what extent must I use AmeriCorps' selection criteria
and priorities when selecting formula programs or operating sites?

You must ensure that the selection criteria you use include the
following criteria:
(a) The quality of the national service program proposed to be
carried out directly by the applicant or supported by a grant from the
applicant.
(b) The innovative aspects of the national service program, and the
feasibility of replicating the program.
(c) The sustainability of the national service program.
(d) The quality of the leadership of the national service program,
the past performance of the program, and the extent to which the program
builds on existing programs.
(e) The extent to which participants of the national service program
are recruited from among residents of the communities in which projects
are to be conducted, and the extent to which participants and community
residents are involved in the design, leadership, and operation of the
program.
(f) The extent to which projects would be conducted in one of the
areas listed in Sec. 2522.450(c)(1) through (5) of this subpart.
(g) In the case of applicants other than States, the extent to which
the application is consistent with the application of the State in which
the projects would be conducted.
(h) Such other criteria as AmeriCorps considers to be appropriate,
following appropriate notice.

[70 FR 39600, July 8, 2005]

Sec. 2522.480 Can a State's application for formula funds be
rejected?

Yes. Formula funds are not an entitlement.
(a) Notification. If AmeriCorps rejects an application submitted by
a State Commission under part 2550 of this chapter for funds described
in Sec. 2521.30 of this chapter, AmeriCorps will promptly notify the
State Commission of the reasons for the rejection of the application.
(b) Revision. AmeriCorps will provide a State Commission notified
under paragraph (a) of this section with a reasonable opportunity to
revise and resubmit the application. At the request of the State
Commission, AmeriCorps will provide technical assistance to the State
Commission as part of the resubmission process. AmeriCorps will promptly
reconsider an application resubmitted under this paragraph.
(c) Redistribution. The amount of any State's allotment under Sec.
2521.30(a) of this chapter for a fiscal year that AmeriCorps determines
will not be provided for that fiscal year will be available for
redistribution by AmeriCorps to the States, Territories and Indian
Tribes with approved AmeriCorps applications as AmeriCorps deems
appropriate.

[59 FR 13796, Mar. 23, 1994. Redesignated at 70 FR 39600, July 8, 2005]

Sec. 2522.485 How do I calculate my program's budgeted AmeriCorps
cost per member service year (MSY)?

If you are an AmeriCorps national and community service program, you
calculate your AmeriCorps cost per MSY by dividing AmeriCorps' share of
budgeted grant costs by the number of member service years you are
awarded in your grant. You do not include child-care or the cost of the
education award a member may earn through serving with your program.

[70 FR 39603, July 8, 2005]

[[Page 767]]

Subpart E_Evaluation Requirements

Sec. 2522.500 What is the purpose of this subpart?

(a) This subpart sets forth the minimum performance measures and
evaluation requirements that you as an AmeriCorps applicant or grantee
must follow.
(b) The performance measures that you, as an applicant, propose when
you apply will be considered in the review process and may affect
whether AmeriCorps selects you to receive a grant. Your performance
related to your approved measures will influence whether you continue to
receive funding.
(c) Performance measures and evaluations are designed to strengthen
your AmeriCorps program and foster continuous improvement, and help
identify best practices and models that merit replication, as well as
programmatic weaknesses that need attention.

[70 FR 39603, July 8, 2005]

Sec. 2522.510 To whom does this subpart apply?

This subpart applies to you if you are an AmeriCorps grantee
administering an AmeriCorps grant, including an Education Award Program
grant, or if you are applying to receive AmeriCorps funding from
AmeriCorps.

[70 FR 39603, July 8, 2005]

Sec. 2522.520 What special terms are used in this subpart?

The following definitions apply to terms used in this subpart of the
regulations:
(a) Approved application means the application approved by
AmeriCorps or, for formula programs, by a State commission.
(b) Community beneficiaries refers to persons who receive services
or benefits from a program, but not to AmeriCorps members or to staff of
the organization operating the program.
(c) Outputs are the amount or units of service that members or
volunteers have completed, or the number of community beneficiaries the
program has served. Outputs do not provide information on benefits or
other changes in communities or in the lives of members or community
beneficiaries. Examples of outputs could include the number of people a
program tutors, counsels, houses, or feeds.
(d) Intermediate-outcomes specify a change that has occurred in
communities or in the lives of community beneficiaries or members, but
is not necessarily a lasting benefit for them. They are observable and
measurable indications of whether or not a program is making progress
and are logically connected to end outcomes. An example would be the
number and percentage of students who report reading more books as a
result of their participation in a tutoring program.
(e) Internal evaluation means an evaluation that a grantee performs
in-house without the use of an independent external evaluator.
(f) End-outcomes specify a change that has occurred in communities
or in the lives of community beneficiaries or members that is
significant and lasting. These are actual benefits or changes for
participants during or after a program. For example, in a tutoring
program, the end outcome could be the percent and number of students who
have improved their reading scores to grade-level, or other specific
measures of academic achievement.
(g) Grantee includes subgrantees, programs, and projects.
(h) National performance measures are performance measures that
AmeriCorps develops.
(i) You refers to a grantee or applicant organization.

[70 FR 39603, July 8, 2005; 70 FR 48882, Aug. 22, 2005]

Sec. 2522.530 May I use AmeriCorps' program grant funds for
performance measurement and evaluation?

If performance measurement and evaluation costs were approved as
part of your grant, you may use your program grant funds to support
them, consistent with the level of approved costs for such activities in
your grant award.

[70 FR 39603, July 8, 2005]

[[Page 768]]

Sec. 2522.540 Do the costs of performance measurement or evaluation
count towards the statutory cap on administrative costs?

No, the costs of performance measurement and evaluation do not count
towards the statutory five percent cap on administrative costs in the
grant, as provided in Sec. 2540.110 of this chapter.

[70 FR 39603, July 8, 2005]

Performance Measures: Requirements and Procedures

Sec. 2522.550 What basic requirements must I follow in measuring
performance under my grant?

All grantees must establish, track, and assess performance measures
for their programs. As a grantee, you must ensure that any program under
your oversight fulfills performance measure and evaluation requirements.
In addition, you must:
(a) Establish ambitious performance measures in consultation with
AmeriCorps, or the State commission, as appropriate, following
Sec. Sec. 2422.560 through 2422.660 of this subpart;
(b) Ensure that any program under your oversight collects and
organizes performance data on an ongoing basis, at least annually;
(c) Ensure that any program under your oversight tracks progress
toward meeting your performance measures;
(d) Ensure that any program under your oversight corrects
performance deficiencies promptly; and
(e) Accurately and fairly present the results in reports to
AmeriCorps.

[70 FR 39603, July 8, 2005]

Sec. 2522.560 What are performance measures and performance
measurement?

(a) Performance measures are measurable indicators of a program's
performance as it relates to member service activities.
(b) Performance measurement is the process of regularly measuring
the services provided by your program and the effect your program has in
communities or in the lives of members or community beneficiaries.
(c) The main purpose of performance measurement is to strengthen
your AmeriCorps program and foster continuous improvement and to
identify best practices and models that merit replication. Performance
measurement will also help identify programmatic weaknesses that need
attention.

[70 FR 39603, July 8, 2005]

Sec. 2522.570 What information on performance measures must my
grant application include?

You must submit all of the following as part of your application for
each program:
(a) Proposed performance measures, as described in Sec. 2522.580
and Sec. 2522.590 of this part.
(b) Estimated performance data for the program years for which you
submit your application; and
(c) Actual performance data, where available, as follows:
(i) For continuation programs, performance data over the course of
the grant to date; and
(ii) For recompeting programs, performance data for the preceding
three-year grant cycle.

[70 FR 39603, July 8, 2005]

Sec. 2522.580 What performance measures am I required to submit
to AmeriCorps?

(a) When applying for funds, you must submit, at a minimum, the
following performance measures:
(1) One set of aligned performance measures (one output, one
intermediate-outcome, and one end-outcome) that capture the results of
your program's primary activity, or area of significant activity for
programs whose design precludes identifying a primary activity; and
(2) Any national performance measures AmeriCorps may require, as
specified in paragraph (b) of Sec. 2522.590.
(b) For example, a tutoring program might use the following aligned
performance measures:
(1) Output: Number of students that participated in a tutoring
program;
(2) Intermediate-Outcome: Percent of students reading more books;
and
(3) End-Outcome: Number and percent of students who have improved
their reading score to grade level.
(c) AmeriCorps encourages you to exceed the minimum requirements
expressed in this section and expects, in

[[Page 769]]

second and subsequent grant cycles, that you will more fully develop
your performance measures, including establishing multiple performance
indicators, and improving and refining those you used in the past. Any
performance measures you submit beyond what is required in paragraph
(a)(1) of this section may or may not be aligned sets of measures.

[70 FR 39603, July 8, 2005]

Sec. 2522.590 Who develops my performance measures?

(a) You are responsible for developing your program-specific
performance measures through your own internal process.
(b) In addition, AmeriCorps may, in consultation with grantees,
establish performance measures that will apply to all AmeriCorps-
sponsored programs, which you will be responsible for collecting and
meeting.

[70 FR 39603, July 8, 2005]

Sec. 2522.600 Who approves my performance measures?

(a) AmeriCorps will review and approve performance measures, as part
of the grant application review process, for all non-formula programs.
If AmeriCorps selects your application for funding, AmeriCorps will
approve your performance measures as part of your grant award.
(b) If you are a program submitting an application under the State
formula category, the applicable State commission is responsible for
reviewing and approving your performance measures. AmeriCorps will not
separately approve these measures.

[70 FR 39603, July 8, 2005]

Sec. 2522.610 What is the difference in performance measurements
requirements for competitive and formula programs?

(a) Except as provided in paragraph (b) of this section, State
commissions are responsible for making the final determination of
performance measures for State formula programs, while AmeriCorps makes
the final determination for all other programs.
(b) AmeriCorps may, through the State commission, require that
formula programs meet certain national performance measures above and
beyond what the State commission has individually negotiated with its
formula grantees.
(c) While State commissions must hold their sub-grantees responsible
for their performance measures, a State commission, as a grantee, is
responsible to AmeriCorps for its formula programs' performance
measures.

[70 FR 39603, July 8, 2005]

Sec. 2522.620 How do I report my performance measures to AmeriCorps?

AmeriCorps sets specific reporting requirements, including frequency
and deadlines, for performance measures in the grant award.
(a) In general, you are required to report on the actual results
that occurred when implementing the grant and to regularly measure your
program's performance.
(b) Your report must include the results on the performance measures
approved as part of your grant award.
(c) At a minimum you are required to report on outputs at the end of
year one and outputs and intermediate outcomes at the end of years two
and three. We encourage you to exceed these minimum requirements.

[70 FR 39603, July 8, 2005, as amended at 73 FR 53760, Sept. 17, 2008]

Sec. 2522.630 What must I do if I am not able to meet my
performance measures?

If you are not on track to meet your performance measures, you must
develop and submit to AmeriCorps, or the State commission for formula
programs, a corrective action plan, consistent with paragraph (a) of
this section, or submit a request to AmeriCorps, or the State commission
for formula programs, consistent with paragraph (b) of this section, to
amend your requirements under the circumstances described in Sec.
2522.640 of this subpart.
(a) Your corrective action plan must be in writing and include all
of the following:
(1) The factors impacting your performance goals;
(2) The strategy you are using and corrective action you are taking
to get

[[Page 770]]

back on track toward your established performance measures; and
(3) The timeframe in which you plan to achieve getting back on track
with your performance measures.
(b) A request to amend your performance measures must include all of
the following:
(1) Why you are not on track to meet your performance requirements;
(2) How you have been tracking performance measures;
(3) Evidence of the corrective action you have taken;
(4) Any new proposed performance measures or targets; and
(5) Your plan to ensure that you meet any new measures.
(c) You must submit your plan under paragraph (a) of this section,
or your request under paragraph (b) of this section, within 30 days of
determining that you are not on track to meeting your performance
measures.
(d) If you are a formula program, the State commission that approves
the plan under paragraph (a) of this section or the request to amend
your performance measures under paragraph (b) of this section, must
forward an information copy to AmeriCorps' program office within 15 days
of approving the plan or the request.

[70 FR 39603, July 8, 2005]

Sec. 2522.640 Under what circumstances may I change my
performance measures?

(a) You may change your performance measures only if AmeriCorps or,
for formula programs, the State commission, approves your request to do
so based on your need to:
(1) Adjust your performance measure or target based on experience so
that your program's goals are more realistic and manageable;
(2) Replace a measure related to one issue area with one related to
a different issue area that is more aligned with your program service
activity. For example, you may need to replace an objective related to
health with one related to the environment;
(3) Redefine the service that individuals perform under the grant.
For example, you may need to define your service as tutoring adults in
English, as opposed to operating an after-school program for third-
graders;
(4) Eliminate an activity because you have been unable to secure
necessary matching funding; or
(5) Replace one measure with another. For example, you may decide
that you want to replace one measure of literacy tutoring (increased
attendance at school) with another (percentage of students who are
promoted to the next grade level).
(b) [Reserved]

[70 FR 39603, July 8, 2005]

Sec. 2522.650 What happens if I fail to meet the performance
measures included in my grant?

(a) If you are significantly under-performing based on the
performance measures approved in your grant, or fail to collect
appropriate data to allow performance measurement, AmeriCorps, or the
State commission for formula grantees, may specify a period of
correction, after consulting with you. As a grantee, you must report
results at the end of the period of correction. At that point, if you
continue to under-perform, or fail to collect appropriate data to allow
performance measurement, AmeriCorps may take one or more of the
following actions:
(1) Reduce the amount of your grant;
(2) Suspend or terminate your grant;
(3) Use this information to assess any application from your
organization for a new AmeriCorps grant or a new grant under another
program administered by AmeriCorps;
(4) Amend the terms of any AmeriCorps grants to your organization;
or
(5) Take other actions that AmeriCorps deems appropriate.
(b) If you are a State commission whose formula program(s) is
significantly under-performing or failing to collect appropriate data to
allow performance measurement, we encourage you to take action as
delineated in paragraph (a) of this section.

[70 FR 39603, July 8, 2005]

[[Page 771]]

Evaluating Programs: Requirements and Procedures

Sec. 2522.700 How does evaluation differ from performance measurement?

(a) Evaluation is a more in-depth, rigorous effort to measure the
impact of programs. While performance measurement and evaluation both
include systematic data collection and measurement of progress,
evaluation uses scientifically-based research methods to assess the
effectiveness of programs by comparing the observed program outcomes
with what would have happened in the absence of the program. Unlike
performance measures, evaluations estimate the impacts of programs by
comparing the outcomes for individuals receiving a service or
participating in a program to the outcomes for similar individuals not
receiving a service or not participating in a program. For example, an
evaluation of a literacy program may compare the reading ability of
students in a program over time to a similar group of students not
participating in a program.
(b) Performance measurement is the process of systematically and
regularly collecting and monitoring data related to the direction of
observed changes in communities, participants (members), or end
beneficiaries receiving your program's services. It is intended to
provide an indication of your program's operations and performance. In
contrast to evaluation, it is not intended to establish a causal
relationship between your program and a desired (or undesired) program
outcome. For example, a performance measure for a literacy program may
include the percentage of students receiving services from your program
who increase their reading ability from ``below grade level'' to ``at or
above grade level''. This measure indicates something good is happening
to your program's service beneficiaries, but it does not indicate that
the change can be wholly attributed to your program's services.

[70 FR 39603, July 8, 2005]

Sec. 2522.710 What are my evaluation requirements?

(a) If you are a State commission, you must establish and enforce
evaluation requirements for your State formula subgrantees, as you deem
appropriate.
(b) If you are a State competitive or direct AmeriCorps grantee
(other than an Education Award Program grantee), and your average annual
AmeriCorps program grant is $500,000 or more, you must arrange for an
independent evaluation of your program, and you must submit the
evaluation with any application to AmeriCorps for competitive funds as
required in Sec. 2522.730 of this subpart.
(c) If you are a State competitive or direct AmeriCorps grantee
whose average annual AmeriCorps program grant is less than $500,000, or
an Education Award Program grantee, you must conduct an internal
evaluation of your program, and you must submit the evaluation with any
application to AmeriCorps for competitive funds as required in Sec.
2522.730 of this subpart.
(d) AmeriCorps may, in its discretion, supersede these requirements
with an alternative evaluation approach, including one conducted by the
AmeriCorps at the national level.
(e) Grantees must cooperate fully with all AmeriCorps evaluation
activities.

[70 FR 39603, July 8, 2005]

Sec. 2522.720 How many years must my evaluation cover?

(a) If you are a State formula grantee, you must conduct an
evaluation, as your State commission requires.
(b) If you are a State competitive or direct AmeriCorps grantee,
your evaluation must cover a minimum of one year but may cover longer
periods.

[70 FR 39603, July 8, 2005]

Sec. 2522.730 How and when do I submit my evaluation to the AmeriCorps?

(a) If you are an existing grantee recompeting for AmeriCorps funds
for the first time, you must submit a summary of your evaluation efforts
or plan to date, and a copy of any evaluation that has been completed,
as part of your application for funding.
(b) If you again compete for AmeriCorps funding after a second

[[Page 772]]

three-year grant cycle, you must submit the completed evaluation with
your application for funding.

[70 FR 39603, July 8, 2005]

Sec. 2522.740 How will the AmeriCorps use my evaluation?

AmeriCorps will consider the evaluation you submit with your
application as follows:
(a) If you do not include with your application for AmeriCorps
funding a summary of the evaluation, or the evaluation itself, as
applicable, under Sec. 2522.730, AmeriCorps reserves the right to not
consider your application.
(b) If you do submit an evaluation with your application, AmeriCorps
will consider the results of your evaluation in assessing the quality
and outcomes of your program.

[70 FR 39603, July 8, 2005]

Sec. 2522.800 How will AmeriCorps evaluate individual
AmeriCorps programs?

AmeriCorps will evaluate programs based on the following: (a) The
extent to which the program meets the objectives established and agreed
to by the grantee and AmeriCorps before the grant award;
(b) The extent to which the program is cost-effective; and
(c) The effectiveness of the program in meeting the following
legislative objectives: (1) Providing direct and demonstrable services
and projects that benefit the community by addressing educational,
public safety, human, or environmental needs;
(2) Recruiting and enrolling diverse participants consistent with
the requirements of part 2540 of this chapter, based on economic
background, race, ethnicity, age, gender, marital status, education
levels, and disability;
(3) Promoting the educational achievement of each participant based
on earning a high school diploma or its equivalent and future enrollment
in and completion of increasingly higher levels of education;
(4) Encouraging each participant to engage in public and community
service after completion of the program based on career choices and
participation in other service programs;
(5) Promoting an ethic of active and productive citizenship among
participants;
(6) Supplying additional volunteer assistance to community agencies
without providing more volunteers than can be effectively utilized;
(7) Providing services and activities that could not otherwise be
performed by employed workers and that will not supplant the hiring of,
or result in the displacement of, employed workers; and
(8) Other criteria determined and published by AmeriCorps.

[59 FR 13796, Mar. 23, 1994. Redesignated at 70 FR 39603, July 8, 2005]

Sec. 2522.810 What will AmeriCorps do to evaluate the overall success of the AmeriCorps programs?

(a) AmeriCorps will conduct independent evaluations of programs,
including in-depth studies of selected programs. These evaluations will
consider the opinions of participants and members of the community where
services are delivered. Where appropriate these studies will compare
participants with individuals who have not participated in service
programs. These evaluations will: (1) Study the extent to which the
national service impacts involved communities;
(2) Study the extent to which national service increases positive
attitudes among participants regarding the responsibilities of citizens
and their role in solving community problems;
(3) Study the extent to which national service enables participants
to afford post-secondary education with fewer student loans;
(4) Determine the costs and effectiveness of different program
models in meeting program objectives including full- and part-time
programs, programs involving different types of national service,
programs using different recruitment methods, programs offering
alternative non-federally funded vouchers or post-service benefits, and
programs utilizing individual placements and teams;
(5) Determine the impact of programs in each State on the ability of
VISTA and National Senior Volunteer Corps, each regular and reserve
component of the Armed Forces, and the Peace Corps

[[Page 773]]

to recruit individuals residing in that State; and
(6) Determine the levels of living allowances paid in all AmeriCorps
programs and American Conservation and Youth Corps, individually, by
State, and by region and determine the effects that such living
allowances have had on the ability of individuals to participate in such
programs.
(b) AmeriCorps will also determine by June 30, 1995: (1) Whether the
State and national priorities designed to meet educational, public
safety, human, or environmental needs are being addressed;
(2) Whether the outcomes of both stipended and nonstipended service
programs are defined and measured appropriately;
(3) Whether stipended service programs, and service programs
providing educational benefits in return for service, should focus on
economically disadvantaged individuals or at risk youth, or whether such
programs should include a mix of individuals, including individuals from
middle and upper income families;
(4) The role and importance of stipends and educational benefits in
achieving desired outcomes in the service programs;
(5) The income distribution of AmeriCorps participants, to determine
the level of participation of economically disadvantaged individuals.
The total income of participants will be determined as of the date the
participant was first selected to participate in a program and will
include family total income unless the evaluating entity determines that
the participant was independent at the time of selection. Definitions
for ``independent'' and ``total income'' are those used in section
480(a) of the Higher Education Act of 1965;
(6) The amount of assistance provided under the AmeriCorps programs
that has been expended for projects conducted in areas classified as
empowerment zones (or redevelopment areas), in areas that are targeted
for special economic incentives or are otherwise identifiable as having
high concentrations of low-income people, in areas that are
environmentally distressed or adversely affected by Federal actions
related to the management of Federal lands, in areas that are adversely
affected by reductions in defense spending, or in areas that have an
unemployment rate greater than the national average unemployment rate
for the most recent 12 months for which satisfactory data are available;
and
(7) The implications of the results of these studies as appropriate
for authorized funding levels.

[59 FR 13796, Mar. 23, 1994. Redesignated at 70 FR 39603, July 8, 2005]

Sec. 2522.820 Will information on individual participants be kept
confidential?

(a) Yes. AmeriCorps will maintain the confidentiality of information
regarding individual participants that is acquired for the purpose of
the evaluations described in Sec. 2522.540. AmeriCorps will disclose
individual participant information only with the prior written consent
of the participant. However, AmeriCorps may disclose aggregate
participant information.
(b) Grantees and subgrantees that receive assistance under this
chapter must comply with the provisions of paragraph (a) of this
section.

[59 FR 13796, Mar. 23, 1994. Redesignated at 70 FR 39603, July 8, 2005]

Subpart F_Program Management Requirements for Grantees

Source: 70 FR 39606, July 8, 2005, unless otherwise noted.

Sec. 2522.900 What definitions apply to this subpart?

Tutor is defined as someone whose primary goal is to increase
academic achievement in reading or other core subjects through planned,
consistent, one-to-one or small-group sessions and activities that build
on the academic strengths of students in kindergarten through 12th
grade, and target their academic needs. A tutor does not include someone
engaged in other academic support activities, such as mentoring and
after-school program support, whose primary goal is something other than
increasing academic achievement. For example, providing a

[[Page 774]]

safe place for children is not tutoring, even if some of the program
activities focus on homework help.

Sec. 2522.910 What basic qualifications must an AmeriCorps member
have to serve as a tutor?

------------------------------------------------------------------------
Then the tutor must meet the
If the tutor is: following qualifications:
------------------------------------------------------------------------
(a) Is considered to be an employee of Paraprofessional qualifications
the Local Education Agency or school, under No Child Left Behind
as determined by State law. Act, as required in 34 CFR
200.58
(b) Is not considered to be an employee (1) High School diploma or its
of the Local Education Agency or equivalent, or a higher
school, as determined by State law. degree; and
(2) Successful completion of
pre- and in-service
specialized training, as
required in Sec. 2522.940 of
this subpart.
------------------------------------------------------------------------

[59 FR 13796, Mar. 23, 1994, as amended at 74 FR 46506, Sept. 10, 2009]

Sec. 2522.920 Are there any exceptions to the qualifications
requirements?

The qualifications requirements in Sec. 2522.910 of this subpart do
not apply to a member who is a K-12 student tutoring younger children in
the school or after school as part of a structured, school-managed
cross-grade tutoring program.

Sec. 2522.930 [Reserved]

Sec. 2522.940 What are the requirements for a program in which
AmeriCorps members serve as tutors?

A program in which members engage in tutoring for children must:
(a) Articulate appropriate criteria for selecting and qualifying
tutors, including the requirements in Sec. 2522.910 of this subpart,
and certify that selected tutors meet the requirements in Sec.
2522.910.
(b) Identify the strategies or tools it will use to assess student
progress and measure student outcomes;
(c) Certify that the tutoring curriculum and pre-service and in-
service training content are high-quality and research-based, consistent
with the instructional program of the local educational agency and with
State academic content standards.
(d) Include appropriate member supervision by individuals with
expertise in tutoring; and
(e) Provide specialized high-quality and research-based, member pre-
service and in-service training consistent with the activities the
member will perform.

[70 FR 39606, July 8, 2005, as amended at 74 FR 46506, Sept. 10, 2009]

Sec. 2522.950 What requirements and qualifications apply if my
program focuses on supplemental academic support activities other
than tutoring?

(a) If your program does not involve tutoring as defined in Sec.
2522.900 of this subpart, AmeriCorps will not impose the requirements in
Sec. 2522.910 through Sec. 2522.940 of this subpart on your program.
(b) At a minimum, you must articulate in your application how you
will recruit, train, and supervise members to ensure that they have the
qualifications and skills necessary to provide the service activities in
which they will be engaged.

PART 2523_AGREEMENTS WITH OTHER FEDERAL AGENCIES FOR THE
PROVISION OF AMERICORPS PROGRAM ASSISTANCE--Table of Contents

Sec.
2523.10 Are Federal agencies eligible to apply for AmeriCorps program
funds?
2523.20 Which Federal agencies may apply for such funds?
2523.30 Must Federal agencies meet the requirements imposed on grantees
under parts 2521 and 2522 of this chapter?
2523.40 For what purposes should Federal agencies use AmeriCorps program
funds?
2523.50 What types of grants are Federal agencies eligible to receive?
2523.60 May Federal agencies enter into partnerships or participate in
consortia?
2523.70 Will the Corporation give special consideration to Federal
agency applications that address certain needs?

[[Page 775]]

2523.80 Are there restrictions on the use of Corporation funds?
2523.90 Is there a matching requirement for Federal agencies?
2523.100 Are participants in programs operated by Federal agencies
Federal employees?
2523.110 Can Federal agencies submit multiple applications?
2523.120 Must Federal agencies consult with State Commissions?

Authority: 42 U.S.C. 12571-12595.

Source: 59 FR 13804, Mar. 23, 1994, unless otherwise noted.

Sec. 2523.10 Are Federal agencies eligible to apply for
AmeriCorps program funds?

Yes. Federal agencies may apply for and receive AmeriCorps funds
under parts 2521 and 2522 of this chapter, and they are eligible to
receive up to one-third of the funds available for competitive
distribution under Sec. 2521.30(b)(3) of this chapter. The Corporation
may enter into a grant, contract or cooperative agreement with another
Federal agency to support an AmeriCorps program carried out by the
agency. The Corporation may transfer funds available to it to other
Federal agencies.

Sec. 2523.20 Which Federal agencies may apply for such funds?

The Corporation will consider applications only from Executive
Branch agencies or departments. Bureaus, divisions, and local and
regional offices of such departments and agencies can only apply through
the central department or agency; however, it is possible for the
department or agency to submit an application proposing more than one
program.

Sec. 2523.30 Must Federal agencies meet the requirements imposed
on grantees under parts 2521 and 2522 of this chapter?

Yes, except as provided in Sec. 2523.90. Federal agency programs
must meet the same requirements and serve the same purposes as all other
applicants seeking support under part 2522 of this chapter.

Sec. 2523.40 For what purposes should Federal agencies use
AmeriCorps program funds?

AmeriCorps funds should enable Federal agencies to establish
programs that leverage agencies' existing resources and grant-making
powers toward the goal of integrating service more fully into agencies'
programs and activities. Agencies should plan to ultimately support new
service initiatives out of their own budgets and appropriations.

Sec. 2523.50 What types of funds are Federal agencies eligible
to receive?

Federal agencies may apply for planning and operating funds subject
to the terms established by the Corporation in Sec. 2521.20 of this
chapter, except that operating grants will be awarded with the
expectation that the Federal agencies will support the proposed programs
from their own budgets once the Corporation grant(s) expire.

Sec. 2523.60 May Federal agencies enter into partnerships or
participate in consortia?

Yes. Such partnerships or consortia may consist of other Federal
agencies, Indian Tribes, subdivisions of States, community based
organizations, institutions of higher education, or other non-profit
organizations. Partnerships and consortia must be approved by the
Corporation.

Sec. 2523.70 Will the Corporation give special consideration to
Federal agency applications that address certain needs?

Yes. The Corporation will give special consideration to those
applications that address the national priorities established by the
Corporation. The Corporation may also give special consideration to
those applications that demonstrate the agency's intent to leverage its
own funds through a Corporation-approved partnership or consortium, by
raising other funds from Federal or non-Federal sources, by giving
grantees incentives to build service opportunities into their programs,
by committing appropriate in-kind resources, or by other means.

[[Page 776]]

Sec. 2523.80 Are there restrictions on the use of Corporation
funds?

Yes. The supplantation and nondisplacement provisions specified in
part 2540 of this chapter apply to the Federal AmeriCorps programs
supported with such assistance.

Sec. 2523.90 Is there a matching requirement for Federal agencies?

No. A Federal agency is not required to match funds in programs that
receive support under this chapter. However, Federal agency subgrantees
are required to match funds in accordance with the requirements of Sec.
2521.30(g) and Sec. 2522.240(b)(6) of this chapter.

[59 FR 13804, Mar. 23, 1994, as amended at 73 FR 53760, Sept. 17, 2008]

Sec. 2523.100 Are participants in programs operated by Federal
agencies Federal employees?

No. Participants in these programs have the same employee status as
participants in other approved AmeriCorps programs, and are not
considered Federal employees, except for the purposes of the Family and
Medical Leave Act as specified in Sec. 2540.220(b) of this chapter.

Sec. 2523.110 Can Federal agencies submit multiple applications?

No. The Corporation will only consider one application from a
Federal agency for each AmeriCorps competition. The application may
propose more than one program, however, and the Corporation may choose
to fund any or all of those programs.

Sec. 2523.120 Must Federal agencies consult with State Commissions?

Yes. Federal agencies must provide a description of the manner in
which the proposed AmeriCorps program(s) is coordinated with the
application of the State in which the projects will be conducted.
Agencies must also describe proposed efforts to coordinate AmeriCorps
activities with State Commissions and other funded AmeriCorps programs
within the State in order to build upon existing programs and not
duplicate efforts.

PART 2524_AMERICORPS TECHNICAL ASSISTANCE AND OTHER SPECIAL GRANTS
--Table of Contents

Sec.
2524.10 For what purposes will technical assistance and training funds
be made available?
2524.20 What are the guidelines for program development assistance and
training grants?
2524.30 What are the guidelines for challenge grants?
2524.40 What are the guidelines for grants to involve persons with
disabilities?
2524.50 What are the guidelines for assistance with disaster relief?

Authority: 42 U.S.C. 12571-12595.

Source: 59 FR 13805, Mar. 23, 1994, unless otherwise noted.

Sec. 2524.10 For what purposes will technical assistance and training funds be made available?

(a) To the extent appropriate and necessary, the Corporation may
make technical assistance available to States, Indian tribes, labor
organizations, religious organizations, organizations operated by young
adults, organizations serving economically disadvantaged individuals,
and other entities eligible to apply for assistance under parts 2521 and
2522 of this chapter that desire--
(1) To develop AmeriCorps programs; or
(2) To apply for assistance under parts 2521 and 2522 of this
chapter or under a grant program conducted using such assistance.
(b) In addition, the Corporation may provide program development
assistance and conduct, directly or by grant or contract, appropriate
training programs regarding AmeriCorps in order to--
(1) Improve the ability of AmeriCorps programs assisted under parts
2521 and 2522 of this chapter to meet educational, public safety, human,
or environmental needs in communities--
(i) Where services are needed most; and
(ii) Where programs do not exist, or are too limited to meet
community needs, as of the date on which the Corporation makes the grant
or enters into the contract;

[[Page 777]]

(2) Promote leadership development in such programs;
(3) Improve the instructional and programmatic quality of such
programs to build an ethic of civic responsibility;
(4) Develop the management and budgetary skills of program
operators;
(5) Provide for or improve the training provided to the participants
in such programs;
(6) Encourage AmeriCorps programs to adhere to risk management
procedures, including the training of participants in appropriate risk
management practices; and
(7) Assist in such other manner as the Corporation may specify.

[59 FR 13805, Mar. 23, 1994, as amended at 67 FR 45360, July 9, 2002]

Sec. 2524.20 What are the guidelines for program development
assistance and training grants?

(a) Eligibility. States, Federal agencies, Indian tribes, public or
private nonprofit agencies, institutions of higher education, for-profit
businesses, and individuals may apply for assistance under this section.
(b) Duration. A grant made under this section will be for a term of
up to one year and is renewable.
(c) Application requirements. Eligible applicants must comply with
the requirements specified in the Corporation's application package.

Sec. 2524.30 What are the guidelines for challenge grants?

(a) Purpose. The purpose of these grants is to challenge high
quality AmeriCorps programs to diversify their funding base by matching
private dollars they have raised with Corporation support. The
Corporation will provide not more than $1 for each $1 raised in cash by
the program from private sources in excess of amounts otherwise required
to be provided by the program to satisfy the matching funds requirements
specified under Sec. 2521.30(g) of this chapter.
(b) Eligibility. Only Corporation grantees that meet all of the
following eligibility criteria may apply for challenge grants: (1) They
are funded under parts 2520 through 2523 of this chapter.
(2) They are high quality programs with demonstrated experience in
establishing and implementing projects that provide benefits to
participants and communities.
(3) They have operated with Corporation funds for at least six
months.
(4) They have secured the minimum matching funds required by
Sec. Sec. 2521.30(g), 2522.240(b)(6), 2522.250(a)(4), and
2522.250(b)(2) of this chapter.
(c) Allowable program activities. Challenge grants are intended to
provide special opportunities for national and community service
programs to enroll additional participants or undertake other activities
specified by the Corporation.
(d) Application procedures. Eligible applicants must comply with the
requirements specified in the Corporation's application materials.
(e) Limitation on use of the funds. Each year the Corporation will
establish a maximum award that a program may receive as a challenge
grant.
(f) Allocation of funds. The Corporation will determine annually how
much funding will be allocated to challenge grants from funds
appropriated for AmeriCorps programs.

[59 FR 13805, Mar. 23, 1994, as amended at 73 FR 53760, Sept. 17, 2008]

Sec. 2524.40 What are the guidelines for grants to involve persons
with disabilities?

(a) Purpose. There are two general purposes for these grants: (1) To
assist AmeriCorps grantees in placing applicants who require reasonable
accommodation (as defined in section 101(9) of the Americans With
Disabilities Act of 1990, 42 U.S.C. 12111(9)) or auxiliary aids and
services (as defined in section 3(1) of such Act, 42 U.S.C. 12102(1)) in
an AmeriCorps program; and
(2) To conduct outreach activities to individuals with disabilities
to recruit them for participation in AmeriCorps programs.
(b) Eligibility--(1) Placement, accommodation, and auxiliary
services. Eligibility for assistance under this part is limited to
AmeriCorps programs that: (i) Receive competitive funding from the
Corporation under Sec. 2521.30(a)(3) or 2521.30(b)(3) of this chapter;
and

[[Page 778]]

(ii) Demonstrate that the program has received a substantial number
of applications for placement from persons who are individuals with a
disability and who require a reasonable accommodation (as defined in
section 101(9) of the Americans with Disabilities Act of 1990), or
auxiliary aids and services (as defined in section 3(1) of such Act) in
order to perform national service; and
(iii) Demonstrate that additional funding would assist the program
in placing a substantial number of such individuals with a disability as
participants in projects carried out through the program.
(2) Outreach. Corporation grantees and any public or private
nonprofit organization may apply for funds to conduct outreach to
individuals with disabilities to recruit them for participation in
AmeriCorps programs. Outreach funds can also be used by any organization
to assist AmeriCorps programs in adapting their programs to encourage
greater participation by individuals with disabilities.
(c) Application procedures. Eligible applicants must comply with the
requirements specified in the Corporation's application materials.

Sec. 2524.50 What are the guidelines for assistance with disaster
relief?

(a) Purpose. Disaster relief funds are intended to provide emergency
assistance not otherwise available to enable national and community
service programs to respond quickly and effectively to a Presidentially-
declared disaster.
(b) Eligibility. Any AmeriCorps program (including youth corps, the
National Civilian Community Corps, VISTA, and other programs authorized
under the Domestic Volunteer Services Act) or grant making entity (such
as a State or Federal agency) that is supported by the Corporation may
apply for disaster relief grants.
(c) Application process. Eligible applicants must comply with the
requirements specified in the Corporation's application materials.
(d) Waivers. In appropriate cases, due to the limited nature of
disaster activities, the Corporation may waive specific program
requirements such as matching requirements and the provision of
AmeriCorps educational awards for participants supported with disaster
relief funds.

PART 2525_NATIONAL SERVICE TRUST--Table of Contents

Subpart A_Purpose and Definitions

Sec.
2525.1 What is the National Service Trust?
2525.2 Definitions.

Subpart B_Eligibility for an Education Award

2525.10 When can an Eligible Individual receive an education award from
the National Service Trust?
2525.15 Upon what basis may an entity responsible for the supervision of
an Eligible Individual certify that the Eligible Individual
successfully completed a term of service?
2525.20 Under what circumstances is an Eligible Individual who does not
complete an approved term of service eligible to receive a
pro-rated education award?
2525.25 If a participant in an approved Summer of Service or Silver
Scholar position does not complete their term of service, are
they eligible to receive a pro-rated education award?
2525.30 How do convictions for the possession or sale of controlled
substances affect an Eligible Individual's ability to use
their award?
2525.40 How long is an education award available for use?
2525.41 When must an application for an extension be submitted?
2525.42 Under what circumstances will AmeriCorps grant an extension?
2525.43 What if the request for an extension is missing information or
documentation?
2525.44 How will AmeriCorps notify an Eligible Individual or Designated
Recipient of its decision on the extension request?
2525.45 Can an Eligible Individual or Designated Recipient appeal a
denied request for an extension?
2525.50 Is there a limit on the total amount of education awards an
individual may receive?
2525.55 What is the impact of the aggregate value of education awards
received on an individual's ability to serve in additional
terms of service?
2525.60 May an individual receive an education award and related
interest benefits from the National Service Trust as well as
other loan cancellation benefits for the same term of service?

[[Page 779]]

2525.70 What are the effects of an erroneous certification of successful
completion of a term of service?

Subpart C_Determining the Amount of an Education Award

2525.100 What is the amount of an education award?

Subpart D_Using an Education Award

2525.210 For what purposes may an education award be used?
2525.220 What steps are necessary to use an education award to repay a
qualified student loan?
2525.230 What steps are necessary to use an education award to pay all
or part of the current educational expenses at an institution
of higher education?
2525.240 Is there a limit on the amount of an Eligible Individual's
education award that AmeriCorps will disburse to an
institution for a given period of enrollment?
2525.250 What happens if an individual withdraws or fails to complete
the period of enrollment in an institution of higher education
for which AmeriCorps has disbursed all or part of that
individual's education award?
2525.260 Who may use the education award to pay expenses incurred in
enrolling in a G.I. Bill-approved program?
2525.270 What steps are necessary to use an education award to pay
expenses incurred in enrolling in a G.I. Bill-approved
program?
2525.280 What happens if an individual for whom AmeriCorps has disbursed
education award funds withdraws or fails to complete the
period of enrollment in a G.I. Bill-approved program?
2525.290 What happens to an education award upon divorce or death?

Subpart E_Payment of Accrued Interest

2525.310 Under what circumstances will AmeriCorps pay interest that
accrues on qualified student loans during an individual's term
of service in an approved position?
2525.320 What steps are necessary to obtain forbearance in the repayment
of a qualified student loan during an individual's term of
service in an approved AmeriCorps position?
2525.330 What steps are necessary for AmeriCorps to pay interest that
has accrued on a qualified student loan in forbearance?

Subpart F_Transfer of Education Awards

2525.410 Under what circumstances may an Eligible Individual transfer an
education award?
2525.420 For what purposes may a transferred award be used?
2525.430 What steps are necessary to transfer an education award?
2525.440 Is there a limit on the number of recipients an individual may
designate to receive a transferred award?
2525.450 Is there a limit on the amount of transferred education awards
a Designated Recipient may receive?
2525.460 What is the impact of transferring or receiving a transferred
education award on an Eligible Individual's eligibility to
receive additional education awards?
2525.470 Is a Designated Recipient required to accept a transferred
education award?
2525.480 Under what circumstances is a transfer revocable?
2525.485 What steps are necessary to revoke a transfer?
2525.487 What happens to a transferred education award upon divorce or
death?
2525.490 Is the recipient of a transferred education award eligible for
the payment of accrued interest for their own student loans?

Authority: 42 U.S.C. 12601-12606

Source: 88 FR 44727, July 13, 2023, unless otherwise noted.

Subpart A_Purpose and Definitions

Sec. 2525.1 What is the National Service Trust?

The National Service Trust is an account in the Treasury of the
United States from which AmeriCorps makes payments of education awards,
pays interest that accrues on qualified student loans for AmeriCorps
participants during terms of service in approved national service
positions, and makes other payments authorized by Congress.

Sec. 2525.2 Definitions.

In addition to the definitions in Sec. 2510.20 of this chapter, the
following definitions apply to terms used this part:
AmeriCorps means the Corporation for National and Community Service.

[[Page 780]]

Cost of attendance has the same meaning as in Title IV of the Higher
Education Act of 1965, as amended (20 U.S.C. 1070 et. seq.).
Current educational expenses means the cost of attendance, or other
costs attributable to an educational course offered by an institution of
higher education that has in effect a program participation agreement
under Title IV of the Higher Education Act, for a period of enrollment
that begins after an individual enrolls in an approved national service
position.
Designated Recipient means the person to whom an earned education
award is transferred.
Economically disadvantaged youth means a child who is eligible for a
free lunch or breakfast under the Richard B. Russell National School
Lunch Act (42 U.S.C. 1758(b)).
Education award means the Segal AmeriCorps Education Award of
financial assistance available under this part, including the Silver
Scholar education awards, and Summer of Service education awards.
Educational expenses means--
(1) Cost of attendance as determined by the Title IV institution of
higher education or G.I. Bill-approved program as provided in 20 U.S.C.
1087ll; or
(2) Tuition or associated costs as determined by a program offered
by an educational institution or training establishment approved for
educational benefits under 38 U.S.C. 3670 et seq. for offering programs
of education, apprenticeship, or on-job training for which educational
assistance may be provided by the Secretary for Veterans Affairs; and
(3) Expenses incurred participating in a school-to-work program
approved by the Secretaries of Labor and Education.
Eligible Individual means an individual who has enrolled in and
successfully completed a term of service in an approved national service
position, as certified under Sec. 2525.15.
G.I. Bill-approved program is an educational institution or training
establishment approved for educational benefits under the Montgomery
G.I. Bill (38 U.S.C. 3670 et seq.) for offering programs of education,
apprenticeship, or on-job training for which educational assistance may
be provided by the Secretary for Veterans Affairs.
Holder means--
(1) The original lender; or
(2) Any other entity to which a loan is subsequently sold,
transferred, or assigned if such entity acquires a legally enforceable
right to receive payments from the borrower.
Institution of higher education has the same meaning given the term
in section 102 of the Higher Education Act of 1965, as amended (20
U.S.C. 1002).
Period of enrollment means the period that the institution has
established for which institutional charges are generally assessed
(e.g., length of the student's course, program, or academic year.)
Qualified student loan means:
(1) Any loan made, insured, or guaranteed under Title IV of the
Higher Education Act of 1965 (20 U.S.C. 1070 et seq.), other than a loan
to a parent of a student under section 428B of that Act (20 U.S.C. 1078-
2);
(2) Any loan made under Title VII or VIII of the Public Service
Health Act (42 U.S.C. 292a et seq.); or
(3) Any other loan determined by an institution of higher education
or an approved veterans' benefits program to be necessary to cover a
student's educational expenses and made, insured, or guaranteed by:
(i) An eligible lender, as defined in section 435 of the Higher
Education Act of 1965 (20 U.S.C. 1085);
(ii) The direct student loan program under part D of Title IV of the
Higher Education Act of 1965 (20 U.S.C. 1087a et seq.);
(iii) A State agency; or
(iv) A lender otherwise determined by AmeriCorps to be eligible to
receive disbursements from the National Service Trust.
Silver Scholar education award means the financial assistance
available under this part for which an individual in an approved Silver
Scholar position may be eligible.
Summer of Service education award means the financial assistance
available under this part for which an individual in an approved Summer
of Service position may be eligible.
Term of service means--

[[Page 781]]

(1) For an individual serving in an approved AmeriCorps position,
one of the terms of service specified in Sec. 2522.220 of this chapter
(2) For an individual serving in an approved Silver Scholar
position, not less than 350 hours during a one-year period
(3) For an individual serving in an approved Summer of Service
position, not less than 100 hours during the summer months of a single
year.

Subpart B_Eligibility for an Education Award

Sec. 2525.10 When can an Eligible Individual receive an education
award from the National Service Trust?

(a) General. An Eligible Individual is entitled to receive an
education award from the National Service Trust if that person:
(1) Is a citizen or national of the United States or a lawful
permanent resident alien of the United States; and,
(2) Met the applicable eligibility requirements for the approved
national service program as appropriate; and,
(3) Either:
(i) Is certified by their supervising entity to have successfully
completed a term of service--whether a full-time 1,700-hour term
corresponding to a full education award or a less than full-time term of
service with a corresponding partial award amount described in Sec.
2525.100(b)--as certified under Sec. 2525.15; or
(ii) For a pro-rated education award amount described in Sec.
2525.100(c), is certified by their supervising entity to have completed
at least 15 percent of the originally-approved term of service and
performed satisfactorily prior to being granted a release for compelling
personal circumstances, consistent with Sec. 2522.230(a) of this
chapter.
(b) Prohibition on duplicate benefits. An Eligible Individual who
receives a post-service benefit in lieu of an education award may not
receive an education award for the same term of service.
(c) Penalties for false information. Any individual who makes a
materially false statement or representation in connection with the
approval or disbursement of an education award or other payment from the
National Service Trust may be liable for the recovery of funds and
subject to civil and criminal sanctions.

Sec. 2525.15 Upon what basis may an entity responsible for the
supervision of an Eligible Individual certify that the Eligible
Individual successfully
completed a term of service?

(a) An Eligible Individual's supervising entity must certify that
the individual has successfully completed a term of service. The
individual successfully completed a term of service if the individual
has:
(1) Completed the number of service hours required;
(2) Satisfactorily performed on assignments, tasks, or projects;
(3) Met any performance criteria as determined by the program and
communicated to the member; and
(4) Fulfilled any other enrollment and program requirements to earn
an education award.
(b) A certification by the supervising entity that an individual did
or did not successfully complete a term of service will be deemed to
incorporate an end-of-term evaluation.

Sec. 2525.20 Under what circumstances is an Eligible Individual
who does not complete an approved term of service eligible to
receive a pro-rated education
award?

(a) Release for compelling personal circumstances. An Eligible
Individual who is released before they complete an approved term of
service is eligible for a pro-rated education award if their supervising
entity:
(1) Released the Eligible Individual for compelling personal
circumstances in accordance with the requirements of Sec. 2522.230(a)
of this chapter, including requirements for maintaining documentation of
the basis for the entity's decision;
(2) Certifies that the Eligible Individual:
(i) Performed satisfactorily before they were granted a release for
compelling personal circumstances; and
(ii) Completed at least 15 percent of the originally approved term
of service.
(b) Release for cause. An individual who is released for cause
before they

[[Page 782]]

completed an originally approved term of service is not eligible for any
portion of an education award.

Sec. 2525.25 If a participant in an approved Summer of Service or
Silver Scholar position does not complete their term of service, are
they eligible to
receive a pro-rated education award?

No. An individual released for any reason before they complete an
approved term of service in a Silver Scholar or Summer of Service
position is not eligible to receive a pro-rated award.

Sec. 2525.30 How do convictions for the possession or sale of
controlled substances affect an Eligible Individual's ability to
use their award?

(a) Except as provided in paragraph (b) of this section, an Eligible
Individual who is convicted under Federal or State law of the possession
or sale of a controlled substance is not eligible to use his or her
education award from the date of the conviction until the end of a
specified time period, which is determined based on the type of
conviction as follows:
(1) For conviction of the possession of a controlled substance, the
individual is ineligible from the date of conviction for--
(i) One year for a first conviction;
(ii) Two years for a second conviction; and
(iii) For a third or subsequent conviction, indefinitely, as
determined by AmeriCorps according to the following factors:
(A) Type and amount of controlled substance;
(B) Whether firearms or other dangerous weapons were involved in the
offense;
(C) Employment history;
(D) Service to the community;
(E) Recommendations from community members and local officials,
including experts in substance abuse and treatment; and
(F) Any other relevant aggravating or ameliorating circumstances.
(2) For conviction of the sale of a controlled substance, the
individual is ineligible from the date of conviction for--
(i) Two years for a first conviction; and
(ii) Two years plus any additional time AmeriCorps determines is
appropriate for second and subsequent convictions, based on the factors
set forth in paragraphs (a)(1)(iii)(A) through (F) of this section.
(b) AmeriCorps will restore the Eligible Individual's access to use
the education award if AmeriCorps determines that the individual has
successfully completed a legitimate drug rehabilitation program, or in
the case of a first conviction that the individual has enrolled in a
legitimate drug rehabilitation program and:
(1) The drug rehabilitation program is recognized as legitimate by
appropriate Federal, State, or local authorities; and
(2) The Eligible Individual's enrollment in or successful completion
of the legitimate drug rehabilitation program has been certified by an
appropriate official of that program.

Sec. 2525.40 How long is an education award available for use?

Unless AmeriCorps approves an extension under Sec. 2525.42, the use
period for an education award is as follows:
(a) An education award is available for an Eligible Individual to
use until seven years from the date when they successfully completed the
term of service for which the award was earned;
(b) An education award that is transferred to a Designated Recipient
under subpart F of this part may be used until 10 years from the date
when the Eligible Individual who transferred the award successfully
completed their term of national service.

Sec. 2525.41 When must an application for an extension be submitted?

An application for an extension must be submitted to AmeriCorps
before the award use period ends, or the individual must have been
unavoidably prevented from timely submitting the extension application.

[[Page 783]]

Sec. 2525.42 Under what circumstances will AmeriCorps grant an extension?

(a) AmeriCorps will automatically grant an extension to the use
period of an education award if the individual served and successfully
completed a term of service in an approved national service position
that fell within the use period for that education award and applies for
an extension under Sec. 2525.41.
(1) The use period will be extended by the length of the
individual's additional approved and completed term of service at the
time of the extension application.
(2) For purposes of this extension, AmeriCorps will treat all
service in AmeriCorps and the Peace Corps as service in another
AmeriCorps-approved national service position.
(3) If the additional of service is in the Peace Corps, the
individual requesting an extension will need to provide a Description of
Service, signed by the country's director or designee for the Peace
Corps service.
(b) If AmeriCorps determines that an Eligible Individual or
Designated Recipient was unavoidably prevented from using the education
award during the original use period, AmeriCorps may grant an extension
for a period of time that AmeriCorps deems appropriate, but generally
not for more than one year from the end of the original use period.
Also, AmeriCorps will grant only one extension of the use period except
in very limited circumstances, such as, for example, when the event
preventing the member from timely using their education award is likely
to exist for more than 12 months, such as active military duty.
(1) Examples of situations that may warrant an extension if they
hinder use of an education award may include, but are not limited to:
(i) The Eligible Individual's serious illness, injury, or
disability;
(ii) The death, serious illness, injury, or disability of someone in
the Eligible Individual's immediate family that occurs close to the end
of the use period;
(iii) The destruction or inaccessibility of important service
records maintained by the program;
(iv) Natural disasters;
(v) Military service that prevents the use of an education award,
such as active duty overseas (but a person in the reserves or National
Guard who has not been called up on active duty, or who is enlisted in
the military, is not necessarily unavoidably prevented from timely using
their education award because of their military service).
(2) When considering whether to grant an extension, AmeriCorps also
will consider whether:
(i) The extension is a result of the individual's choices or actions
or factors beyond the individual's control;
(ii) The need for the extension is in any part attributable to
AmeriCorps' or an AmeriCorps-funded entity's actions;
(iii) The lending institution or institution entitled to the payment
failed to take an action, or took an action, that resulted in the
individual needing/wanting the extension.
(c) Examples of circumstances that do not meet the criteria for
granting an extension may include but are not limited to:
(1) Employment or unemployment, even in a position with a non-profit
organization involved in community service.
(2) Forgetting to use the education award, being unaware of the use-
period restrictions, or not receiving his or her education award
expiration notice.
(3) Being too young to use a transferred education award.

Sec. 2525.43 What if the request for an extension is missing
information or documentation?

If the extension application lacks necessary information or
documentation, AmeriCorps may request additional documentation. If the
requested additional documentation is not provided to AmeriCorps within
30 days, AmeriCorps may close the request for an extension.

Sec. 2525.44 How will AmeriCorps notify the Eligible Individual
or Designated Recipient of its decision on the extension request?

AmeriCorps will notify the Eligible Individual or Designated
Recipient in writing if the request for an extension has been granted or
denied. The notification will advise the requester of the

[[Page 784]]

process for appealing the denial if the requester has a good-faith basis
to believe their request was erroneously denied.

Sec. 2525.45 Can an Eligible Individual or Designated Recipient
appeal a denied request for an extension?

(a) If an Eligible Individual or Designated Recipient submits a
timely application for an extension and the application is denied, the
individual may file an appeal. The appeal must:
(1) Be received within 30 days of the denial determination;
(2) Be made in writing--either online through the My AmeriCorps
portal if the education award has not expired--or through a submission
to the National Service Hotline at 1-800-942-2677;
(3) Explain why the initial determination was erroneous/should be
reviewed; and,
(4) Include supporting documentation, if applicable.
(b) AmeriCorps may grant an appeal when, after review of all the
information provided originally and on appeal, it appears that the
extension should have been granted. AmeriCorps may ask for additional
documentation to inform the appeal determination.
(c) Individuals who submit appeals will be notified in writing of
the final determination.

Sec. 2525.50 Is there a limit on the total amount of education
awards an individual may receive?

(a) General limitation. While there is no limit on the specific
dollar amount, no individual may receive more than the amount equal to
the aggregate value of two full-time education awards.
(b) Calculation of aggregate value of awards received. The aggregate
value of education awards received is the sum of:
(1) The value of each education award received for successful
completion of an approved national service position;
(2) The value of each partial education award received upon release
from an approved national service position for compelling personal
circumstances; and
(3) The value of any amount received from a transferred education
award, except as provided in Sec. 2525.460.
(c) Determination of receipt of award. For purposes of determining
the aggregate value of education awards, an award is considered to be
received at the time it becomes available for use.

Sec. 2525.55 What is the impact of the aggregate value of education
awards received on an individual's ability to serve in additional terms
of service?

The aggregate value of education awards received does not limit an
individual's ability to serve in additional terms of service, but does
impact the amount of the education award the individual may receive
pursuant to Sec. 2525.100(d) upon successful completion of any
additional term of service.

Sec. 2525.60 May an individual receive an education award
and related interest benefits from the National Service Trust
as well as other loan cancellation
benefits for the same term of service?

An individual may not receive an education award and related
interest benefits from the National Service Trust for a term of service
and have that same service credited toward repayment, discharge, or
cancellation of other student loans, except an individual may credit the
service toward the Public Service Loan Forgiveness Program, as provided
under 34 CFR 685.219.

Sec. 2525.70 What are the effects of an erroneous certification
of successful completion of a term of service?

(a) If AmeriCorps determines that the certification made by a
national service program under Sec. 2525.10(a)(2) is erroneous,
AmeriCorps shall assess against the national service program a charge
for the amount of any associated payment or potential payment from the
National Service Trust, taking into consideration the full facts and
circumstances that led to the erroneous or incorrect certification.
(b) If AmeriCorps determines that the certification made is
knowingly false or inaccurate, AmeriCorps will disallow the education
award and/or initiate a debt collection process for any education award
funds disbursed.

[[Page 785]]

(c) Nothing in this section prohibits AmeriCorps from taking any
action authorized by law based upon any certification that is knowingly
made in a false, materially misleading, or fraudulent manner.

Subpart C_Determining the Amount of an Education Award

Sec. 2525.100 What is the amount of an education award?

(a) Full-time term of service. Except as provided in paragraph (d)
of this section, the education award for a full-time term of service in
an approved national service position of at least 1,700 hours will be
equal to the maximum amount of a Federal Pell Grant under section 401 of
the Higher Education Act of 1965 (20 U.S.C. 1070a) that a student
eligible for that grant may receive in the aggregate for the award year
in which the term of service is approved by AmeriCorps.
(b) Less than full-time term of service. Except as provided in
paragraph (d) of this section, the amount of an education award for an
approved national service position for less than full-time term of
service (i.e., partial award) is determined in accordance with the
following table:

Table 1 to Paragraph (b)
------------------------------------------------------------------------
Is equal to the
following
percentage of the
amount of an
In an approved education award
For: position of at for a full-time
least: (hours) term of service
described in
paragraph (a) of
this section:
------------------------------------------------------------------------
Three quarters time term of 1,200 70 percent.
service (TQT).
Half-time term of service (HT). 900 50 percent.
Reduced half-time term of 675 Approximately 39
service (RHT). percent.
Quarter-time term of service 450 Approximately 26
(QT). percent.
Minimal time and summer 300 Approximately 21
associate (MT & SA). percent.
Abbreviated time (AT).......... 100 5.6 percent.
------------------------------------------------------------------------

(c) Calculating a pro-rated award following release for compelling
personal circumstances. The education award for an Eligible Individual
who is released from completing an approved term of service for
compelling personal circumstances is equal to the product of:
(1) The number of hours completed divided by the number of hours in
the approved term of service; and
(2) The amount of the education award for the approved term of
service.
(d) Calculating a discounted education award amount. To ensure that
an Eligible Individual receives no more than the aggregate value of two
awards, pursuant to Sec. 2525.50, if the sum of the education award
value offered for a term of service and the aggregate value of
previously-received education awards exceeds the value of two awards,
then the individual may receive only a portion of that offered education
award, such that the aggregate value of the education awards is not
greater than the value of two awards.

Subpart D_Using an Education Award

Sec. 2525.210 For what purposes may an education award be used?

(a) An education award may be used to pay educational expenses and/
or to repay qualified student loans, as defined in Sec. 2525.2;
(b) An education award is divisible and may be applied to any
combination of loans, costs, or expenses described in paragraph (a) of
this section.

Sec. 2525.220 What steps are necessary to use an education
award to repay a qualified student loan?

(a) Required information. Before disbursing an amount from an
education award to repay a qualified student loan, AmeriCorps must
receive:
(1) An Eligible Individual's written authorization and request for a
specific payment amount; and
(2) Any identifying and other information from the loan holder as
requested by AmeriCorps.

[[Page 786]]

(b) Payment. When AmeriCorps receives the information required under
paragraph (a) of this section, it will pay the loan holder and notify
the Eligible Individual of the payment.
(c) Aggregate payments. AmeriCorps may establish procedures to
aggregate payments to holders of loans for more than a single
individual.

Sec. 2525.230 What steps are necessary to use an education award
to pay all or part of the current educational expenses at an
institution of higher education?

(a) Required information. Before disbursing funds from an education
award to pay all or part of the current educational expenses at an
institution of higher education, AmeriCorps must receive:
(1) An Eligible Individual's written authorization and request for a
specific payment amount;
(2) Information from the institution of higher education as
requested by AmeriCorps, including verification that--
(i) It has in effect a program participation agreement under section
487 of the Higher Education Act of 1965 (20 U.S.C. 1094);
(ii) Its eligibility to participate in any of the programs under
Title IV of the Higher Education Act of 1965 has not been limited,
suspended, or terminated;
(iii) If an Eligible Individual who has used an education award
withdraws or otherwise fails to complete the period of enrollment for
which the education award was provided, the institution of higher
education will ensure an appropriate refund to AmeriCorps of the unused
portion of the education award under its own published refund policy, or
if it does not have one, provide a pro-rata refund to AmeriCorps of the
unused portion of the education award;
(iv) Individuals using education awards to pay for current
educational expenses at that institution do not comprise more than 15
percent of the institution's total student population;
(v) The requested amount will be used to pay all or part of the
Eligible Individual's educational expenses attributable to a course
offered by the institution;
(vi) The requested amount does not exceed the difference between:
(A) The Eligible Individual's cost of attendance and other
educational expenses; and
(B) The Eligible Individual's estimated student financial assistance
for that period under Part A of Title IV of the Higher Education Act (20
U.S.C. 1070 et seq.).
(b) Payment. When AmeriCorps receives the information required under
paragraph (a) of this section, it will pay the institution and notify
the Eligible Individual of the payment.
(c) Installment payments. AmeriCorps will disburse the education
award payment to the institution in at least two separate installments,
none of which exceeds 50 percent of the total amount. The interval
between installments may not be less than one-half of the period of
enrollment, except as necessary to permit the second installment to be
paid at the beginning of the second semester, quarter, or other division
of a period of enrollment.

Sec. 2525.240 Is there a limit on the amount of an Eligible Individual's
education award that AmeriCorps will disburse to an institution for a
given period of
enrollment?

Yes. AmeriCorps' disbursement from an Eligible Individual's
education award for any period of enrollment may not exceed the
difference between:
(a) The Eligible Individual's educational expenses, determined by
the institution; and
(b) The Eligible Individual's estimated financial assistance for
that period under part A of Title IV of the Higher Education Act.

Sec. 2525.250 What happens if an individual withdraws or fails to
complete the period of enrollment in an institution of higher education
for which AmeriCorps
has disbursed all or part of that individual's education
award?

(a) If an Eligible Individual for whom AmeriCorps has disbursed
education award funds withdraws or otherwise fails to complete a period
of enrollment, then an institution that receives a disbursement of
education award funds from AmeriCorps must:

[[Page 787]]

(1) Provide a refund to AmeriCorps in an amount determined under
that institution's published refund requirements, unless the institution
charged the Eligible Individual for the uncompleted period of study or
training.
(2) Provide a pro-rata refund to AmeriCorps of the unused portion of
the education award if the institution does not have a published refund
policy.
(b) AmeriCorps will credit any refund received for an Eligible
Individual under paragraph (a) of this section to the individual's
education award allocation in the National Service Trust.

Sec. 2525.260 Who may use the education award to pay expenses
incurred in enrolling in a G.I. Bill-approved program?

To use the education award to pay expenses incurred in enrolling in
a G.I. Bill-approved program, an Eligible Individual must have received
an education award for successfully completing a term in an approved
national service position, in which they enrolled on or after October 1,
2009.

Sec. 2525.270 What steps are necessary to use an education award
to pay expenses incurred in enrolling in a G.I. Bill-approved program?

(a) Required information. Before disbursing funds from an education
award for this purpose, AmeriCorps must receive:
(1) An individual's written authorization and request for a specific
payment amount;
(2) Verification from the individual that they meet the criteria in
Sec. 2525.260; and
(3) Information from the educational institution or training
establishment as requested by AmeriCorps, including verification that--
(i) The amount requested will be used to pay all or part of the
individual's expenses attributable to a course, program of education,
apprenticeship, or job training offered by the institution or
establishment;
(ii) The course(s) or program(s) for which the individual is
requesting to use the education award has been and is currently approved
by the State approving agency for the State where the institution or
establishment is located, or by the Secretary of Veterans Affairs; and
(iii) If an individual who has used an education award withdraws or
otherwise fails to complete the period of enrollment for which the
education award was provided, the institution or establishment will
ensure a pro-rata refund to AmeriCorps of the unused portion of the
education award.
(b) Payment. When AmeriCorps receives the information required under
paragraph (a) of this section, it will pay the institution or
establishment and notify the individual of the payment.

Sec. 2525.280 What happens if an individual for whom AmeriCorps has
disbursed education award funds withdraws or fails to complete the
period of enrollment in
a G.I. Bill approved program?

(a) If an individual for whom AmeriCorps has disbursed education
award funds withdraws or otherwise fails to complete a period of
enrollment, the approved educational institution or training
establishment that received a disbursement of education award funds from
AmeriCorps must provide a pro-rata refund to AmeriCorps of the unused
portion of the education award.
(b) AmeriCorps will credit any refund received for an individual
under paragraph (a) of this section to the individual's education award
allocation in the National Service Trust.

Sec. 2525.290 What happens to an education award upon divorce or death?

(a) Prohibition on treatment of an education award as marital
property. An education award may not be treated as marital property, or
the asset of a marital estate, subject to division in a divorce or other
civil proceeding.
(b) Death of Eligible Individual. An educational award expires and
is no longer available for any purpose upon the death of the Eligible
Individual, except for:
(1) Any award or portion of the educational award the Eligible
Individual transferred prior to death;
(2) Any amount for which the Eligible Individual submitted a request
for

[[Page 788]]

disbursement prior to death that the National Service Trust had not yet
either received or acted upon as of the date of death.

Subpart E_Payment of Accrued Interest

Sec. 2525.310 Under what circumstances will AmeriCorps pay interest
that accrues on qualified student loans during an individual's term
of service in an
approved position?

(a) Eligibility. AmeriCorps will pay interest that accrues on an
Eligible Individual's qualified student loan, subject to the limitation
on amount in paragraph (b) of this section, if:
(1) The Eligible Individual successfully completes a term of
national service in an approved position; and
(2) The loan holder approves the Eligible Individual's request for
forbearance for a time period specified by the loan holder during the
term of service.
(b) Amount. The portion of accrued interest that AmeriCorps will pay
is determined by the length of service. The percentage of accrued
interest that AmeriCorps will pay is the lesser of--
(1) The product of--
(i) The number of completed service hours divided by the number of
days for which forbearance was granted; and
(ii) 365 divided by 17; and
(2) One hundred (100).
(c) Supplemental to education award. A payment of accrued interest
under this part is supplemental to an education award received by an
Eligible Individual under this part.
(d) Limitation. AmeriCorps is not responsible for the payment of any
accrued interest in excess of the amount determined in accordance with
paragraph (b) of this section.
(e) Suspended service. AmeriCorps will not pay interest expenses
that accrue on an Eligible Individual's qualified student loan during a
period of suspended service.

Sec. 2525.320 What steps are necessary to obtain forbearance in
the repayment of a qualified student loan during an individual's
term of service in an
approved AmeriCorps position?

(a) An Eligible Individual seeking forbearance must submit a request
to the loan holder.
(b) If, before approving a request for forbearance, the loan holder
requires verification that the Eligible Individual is serving in an
approved national service position, AmeriCorps will provide verification
upon a request from the Eligible Individual or the loan holder.

Sec. 2525.330 What steps are necessary for AmeriCorps to pay interest
that has accrued on a qualified student loan in forbearance?

(a) If an Eligible Individual has obtained forbearance on a
qualified student loan, AmeriCorps will make payments from the National
Service Trust for interest that has accrued on that student loan during
the individual's term of service, after:
(1) The program verifies that the Eligible Individual has
successfully completed the term of service and the dates when the term
of service began and ended;
(2) The holder of the loan verifies the amount of interest that has
accrued during the term of service.
(b) When AmeriCorps receives all necessary information from the
program and the loan holder, it will pay the loan holder and notify the
individual of the payment.

Subpart F_Transfer of Education Awards

Sec. 2525.410 Under what circumstances may an Eligible Individual
transfer an education award?

An Eligible Individual may transfer an education award if--
(a) The Eligible Individual was 55 or older on the day they began
the term of service in an approved national service position;
(b) The Eligible Individual successfully completed a term of service
in an approved national service position;

[[Page 789]]

(c) The education award the Eligible Individual is requesting to
transfer has not expired, consistent with the period of availability set
forth in Sec. 2525.40(a);
(d) The individual designated to receive the transferred education
award (the Designated Recipient) is:
(1) The Eligible Individual's child, grandchild, stepchild, step-
grandchild, or foster child; and
(2) A citizen, national, or lawful permanent resident of the United
States.
(e) The Designated Recipient is not entitled to the education award
until their citizenship status has been verified. Once citizenship is
confirmed, the Designated Recipient has all the benefits of an Eligible
Individual.

Sec. 2525.420 For what purposes may a transferred award be used?

A transferred award may be used by the Designated Recipient to repay
qualified student loans or to pay current educational expenses at an
institution of higher education, as described in Sec. 2525.210.

Sec. 2525.430 What steps are necessary to transfer an education award?

(a) Request for transfer. Before transferring an education award to
a Designated Recipient, AmeriCorps must receive a request from the
transferring Eligible Individual, including:
(1) The Eligible Individual's written authorization to transfer the
education award, the year in which the education award was earned, and
the specific amount of the education award to be transferred;
(2) Identifying information for the Designated Recipient who is to
receive the transferred education award;
(3) A certification that the transferring Eligible Individual and
the Designated Recipient have completed or satisfy the requirements of
Sec. 2525.410.
(b) Notification to Designated Recipient. Upon receipt of a request,
including all required information listed in paragraph (a) of this
section, AmeriCorps will contact the Designated Recipient to:
(1) Notify the Designated Recipient, or their legal guardian, of the
proposed transfer;
(2) Confirm the Designated Recipient's identity;
(3) Confirm that the Designated Recipient is a citizen, national, or
lawful permanent resident of the United States; and
(4) Give the Designated Recipient the opportunity to accept or
reject the proposed transferred education award.
(c) Acceptance by Designated Recipient. To accept an education
award, a Designated Recipient, or their legal guardian, must certify
that the Designated Recipient is eligible under Sec. 2525.410. Upon
receipt of the Designated Recipient's acceptance and verification of the
Designated Recipient's eligibility, AmeriCorps will create an account in
the National Service Trust for the Designated Recipient, if an account
does not already exist, and the accepted amount will be deducted from
the transferring Eligible Individual's account and credited to the
Designated Recipient's account.
(d) Timing of transfer. AmeriCorps must receive the request from the
transferring Eligible Individual before the date the education award
expires.
(e) Refusal. The Designated Recipient can refuse to accept the
transferred education award under Sec. 2525.470.
(f) Revocation. The Eligible Individual can revoke part or all of
the remaining balance of the transfer that has not yet been requested
for use under Sec. Sec. 2525.480 and 2525.485.

Sec. 2525.440 Is there a limit on the number of recipients an
individual may designate to receive a transferred award?

(a) An Eligible Individual may transfer all or part of a non-expired
education award to no more than two recipients.
(b) If a Designated Recipient rejects, in whole or in part, a
transferred education award, or a transfer was revoked in accordance
with Sec. 2525.480, the education award can be transferred to another
Designated Recipient, so long as the education award has not yet
expired.

Sec. 2525.450 Is there a limit on the amount of transferred
education awards a Designated Recipient may receive?

(a) If the sum of the value of the requested transfer plus the
aggregate value of education awards a Designated

[[Page 790]]

Recipient has previously earned or received, through the Designated
Recipient's own service term or having previously been transferred an
education award, would exceed the aggregate value of two full-time
education awards, as determined pursuant to Sec. 2525.50(b), the
Designated Recipient will be deemed to have rejected that portion of the
education award that would result in the excess.
(b) If a Designated Recipient has already received the aggregate
value of two full-time education awards, they may not receive a
transferred education award, and the Designated Recipient will be deemed
to have rejected the education award in full.

Sec. 2525.460 What is the impact of transferring or receiving
a transferred education award on an Eligible Individual's eligibility
to receive additional
education awards?

(a) Impact on transferring individual. Pursuant to Sec. 2525.50, an
education award is considered to be received at the time it becomes
available for a Designated Recipient's use. Transferring all or part of
an award does not reduce the aggregate value of education awards the
transferring individual is considered to have received.
(b) Impact on Designated Recipient. For the purposes of determining
the value of the transferred education award under Sec. 2525.50, a
Designated Recipient will be considered to have received a value equal
to the amount received divided by the amount of a full-time education
award in the year the transferring Eligible Individual's position for
that education award was approved.
(c) Result of revocation on education award value. If the Eligible
Individual revokes the transferred education award, in whole or in part,
the value of the education award considered to have been received by the
Designated Recipient for purposes of Sec. 2525.50 will be reduced
accordingly.

Sec. 2525.470 Is a Designated Recipient required to accept a
transferred education award?

(a) General rule. No. A Designated Recipient is not required to
accept a transferred education award and may reject an education award
in whole or in part.
(b) Result of rejection in full. If the Designated Recipient rejects
a transferred education award in whole, the amount is credited back to
the transferring Eligible Individual's account in the National Service
Trust, and may be transferred to another individual, or may be used by
the transferring Eligible Individual, consistent with the original
period of availability set forth in Sec. 2525.40(a).
(c) Result of rejection in part. If the Designated Recipient rejects
a transferred education award in part, the rejected portion is credited
to the transferring Eligible Individual's account in the National
Service Trust for their use, including re-transfer of the education
award, consistent with the original period of availability set forth in
Sec. 2525.40(a).
(d) Rescission. A Designated Recipient who originally accepted a
transferred education award may rescind their acceptance of any unused
portion of the award at any time before the education award expires, and
for any reason.

Sec. 2525.480 Under what circumstances is a transfer revocable?

(a) Revocation. An Eligible Individual who transferred an award may
revoke the transfer at any time and for any reason before the education
award's expiration and use by the Designated Recipient.
(b) Use of award. Upon revocation, the revoked amount will be
deducted from the Designated Recipient's account and credited to the
transferring Eligible Individual's account. The transferring Eligible
Individual may use the revoked transferred education award for any of
the purposes described in Sec. 2525.210, consistent with the original
time period of availability set forth in Sec. 2525.40(a).
(c) Re-transfer. An Eligible Individual may re-transfer an education
award to another qualifying individual after revoking the education
award.

[[Page 791]]

Sec. 2525.485 What steps are necessary to revoke a transfer?

(a) Request for revocation. Before revoking a transfer, the
transferring Eligible Individual must submit a request to AmeriCorps
that includes:
(1) The Eligible Individual's written authorization to revoke the
education award;
(2) The year in which the education award was earned;
(3) The specific amount to be revoked; and
(4) The identity of the Designated Recipient.
(b) Used education awards. A revocation may only apply to the
portion of the transferred education award that has not been used by the
Designated Recipient. If the Designated Recipient has used the entire
transferred amount before AmeriCorps receives the revocation request, no
amount will be returned to the transferring Eligible Individual. An
amount is considered to be used when it is disbursed from the National
Service Trust, not when a request is received for its use.
(c) Notification to Designated Recipient. AmeriCorps will notify the
Designated Recipient of the amount being revoked as of the date of its
receipt of the revocation request.
(d) Timing of revocation. AmeriCorps must receive the request to
revoke the transfer from the transferring Eligible Individual before the
education award's expiration as calculated pursuant to Sec.
2525.40(a)(2), from the date the education award was originally earned.

Sec. 2525.487 What happens to a transferred education award
upon divorce or death?

(a) Prohibition on treatment of a transferred education award as
marital property. An education award transferred under this subsection
may not be treated as marital property, or the asset of a marital
estate, subject to division in a divorce or other civil proceeding.
(b) Death of transferor. The death of an Eligible Individual who has
transferred, or initiated the transfer of, an education award under this
subsection does not affect the use of the education award by the
Designated Recipient.

Sec. 2525.490 Is a recipient of a transferred education award
eligible for the payment of accrued interest for their own student loans?

No. The transfer of an education award does not convey eligibility
for payment of accrued interest under subpart E of this part.

PARTS 2526 2530 [RESERVED]

PART 2531_PURPOSES AND AVAILABILITY OF GRANTS FOR INVESTMENT
FOR QUALITY AND INNOVATION ACTIVITIES--Table of Contents

Sec.
2531.10 What are the purposes of the Investment for Quality and
Innovation activities?
2531.20 Funding priorities.

Authority: 42 U.S.C. 12501 et seq.

Sec. 2531.10 What are the purposes of the Investment for
Quality and Innovation activities?

Investment for Quality and Innovation activities are designed to
develop service infrastructure and improve the overall quality of
national and community service efforts. Specifically, the Corporation
will support innovative and model programs that otherwise may not be
eligible for funding; and support other activities, such as training and
technical assistance, summer programs, leadership training, research,
promotion and recruitment, and special fellowships and awards. The
Corporation may conduct these activities either directly or through
grants to or contracts with qualified organizations.

[59 FR 13806, Mar. 23, 1994. Redesignated at 75 FR 51413, Aug. 20,
2010.]

Sec. 2531.20 Funding priorities.

The Corporation may choose to set priorities (and to periodically
revise such priorities) that limit the types of innovative and model
programs and support activities it will undertake or fund in a given
fiscal year. In setting these priorities, the Corporation will seek to
concentrate funds on those activities that will be most effective and

[[Page 792]]

efficient in fulfilling the purposes of this part.

[59 FR 13806, Mar. 23, 1994]

PART 2532_INNOVATIVE AND SPECIAL DEMONSTRATION PROGRAMS--
Table of Contents

Sec.
2532.10 Military Installation Conversion Demonstration programs.
2532.20 Special Demonstration Project for the Yukon-Kuskokwim Delta of
Alaska.
2532.30 Other innovative and model programs.

Authority: 42 U.S.C. 12501 et seq.

Source: 59 FR 13806, Mar. 23, 1994, unless otherwise noted.
Redesignated at 75 FR 51413, Aug. 20, 2010

Sec. 2532.10 Military Installation Conversion Demonstration programs.

(a) Purposes. The purposes of this section are to: (1) Provide
direct and demonstrable service opportunities for economically
disadvantaged youth;
(2) Fully utilize military installations affected by closures or
realignments;
(3) Encourage communities affected by such closures or realignments
to convert the installations to community use; and
(4) Foster a sense of community pride in the youth in the community.
(b) Definitions. As used in this section: (1) Affected military
installation. The term affected military installation means a military
installation described in section 325(e)(1) of the Job Training
Partnership Act (29 U.S.C. 1662d(e)(1)).
(2) Community. The term community includes a county.
(3) Convert to community use. The term convert to community use,
used with respect to an affected military installation, includes--
(i) Conversion of the installation or a part of the installation
to--
(A) A park;
(B) A community center;
(C) A recreational facility; or
(D) A facility for a Head Start program under the Head Start Act (42
U.S.C. 9831 et seq.); and
(ii) Carrying out, at the installation, a construction or economic
development project that is of substantial benefit, as determined by the
Chief Executive Officer, to--
(A) The community in which the installation is located; or
(B) A community located within 50 miles of the installation or such
further distance as the Chief Executive Officer may deem appropriate on
a case-by-case basis.
(4) Demonstration program. The term demonstration program means a
program described in paragraph (c) of this section.
(c) Demonstration programs--(1) Grants--The Corporation may make
grants to communities and community-based agencies to pay for the
Federal share of establishing and carrying out military installation
conversion demonstration programs, to assist in converting to community
use affected military installations located--
(i) Within the community; or
(ii) Within 50 miles of the community.
(2) Duration. In carrying out such a demonstration program, the
community or community-based agency may carry out--
(i) A program of not less than 6 months in duration; or
(ii) A full-time summer program.
(d) Use of Funds--(1) Stipend. A community or community-based agency
that receives a grant under paragraph (c) of this section to establish
and carry out a project through a demonstration program may use the
funds made available through such grant to pay for a portion of a
stipend for the participants in the project.
(2) Limitation on amount of stipend. The amount of the stipend
provided to a participant under paragraph (d)(1) of this section that
may be paid using assistance provided under this section and using any
other Federal funds may not exceed the lesser of--
(i) 85 percent of the total average annual subsistence allowance
provided to VISTA volunteers under section 105 of the Domestic Volunteer
Service Act of 1973 (42 U.S.C. 4955); and
(ii) 85 percent of the stipend established by the demonstration
program involved.
(e) Participants--(1) Eligibility. A person will be eligible to be
selected as a participant in a project carried out

[[Page 793]]

through a demonstration program if the person is--
(i) Economically disadvantaged and between the ages of 16 and 24,
inclusive;
(ii) In the case of a full-time summer program, economically
disadvantaged and between the ages of 14 and 24; or
(iii) An eligible youth as described in section 423 of the Job
Training Partnership Act (29 U.S.C. 1693).
(2) Participation. Persons desiring to participate in such a project
must enter into an agreement with the sponsor of the project to
participate--
(i) On a full-time or a part-time basis; and
(ii) For the duration referred to in paragraph (f)(2)(iii) of this
section.
(f) Application--(1) In general. To be eligible to receive a grant
under paragraph (c) of this section, a community or community-based
agency must submit an application to the Chief Executive Officer at such
time, in such manner, and containing such information as the Chief
Executive Officer may require.
(2) Contents. At a minimum, such application must contain--
(i) A description of the demonstration program proposed to be
conducted by the applicant;
(ii) A proposal for carrying out the program that describes the
manner in which the applicant will--
(A) Provide preservice and inservice training, for supervisors and
participants, that will be conducted by qualified individuals or
qualified organizations;
(B) Conduct an appropriate evaluation of the program; and
(C) Provide for appropriate community involvement in the program;
(iii) Information indicating the duration of the program; and
(iv) An assurance that the applicant will comply with the
nonduplication, nondisplacement and grievance procedure provisions of
part 2540 of this chapter.
(g) Limitation on Grant. In making a grant under paragraph (c) of
this section with respect to a demonstration program to assist in
converting an affected military installation, the Corporation will not
make a grant for more than 25 percent of the total cost of the
conversion.

Sec. 2532.20 Special Demonstration Project for the Yukon-
Kuskokwim Delta of Alaska.

(a) Special Demonstration Project for the Yukon-Kuskokwim Delta of
Alaska. The President may award grants to, and enter into contracts
with, organizations to carry out programs that address significant human
needs in the Yukon-Kuskokwim delta region of Alaska.
(b) Application--(1) General requirements. To be eligible to receive
a grant or enter into a contract under paragraph (a) of this section
with respect to a program, an organization must submit an application to
the President at such time, in such manner, and containing such
information as required.
(2) Contents. The application submitted by the organization must, at
a minimum--
(i) Include information describing the manner in which the program
will utilize VISTA volunteers, individuals who have served in the Peace
Corps, and other qualified persons, in partnership with the local
nonprofit organizations known as the Yukon-Kuskokwim Health Corporation
and the Alaska Village Council Presidents;
(ii) Take into consideration--
(A) The primarily noncash economy of the region; and
(B) The needs and desires of residents of the local communities in
the region; and
(iii) Include specific strategies, developed in cooperation with the
Yupi'k speaking population that resides in such communities, for
comprehensive and intensive community development for communities in the
Yukon-Kuskokwim delta region.

Sec. 2532.30 Other innovative and model programs.

(a) The Corporation may support other innovative and model programs
such as the following: (1) Programs, including programs for rural youth,
described in parts 2515 through 2524 of this chapter;
(2) Employer-based retiree programs;
(3) Intergenerational programs;
(4) Programs involving individuals with disabilities providing
service;
(5) Programs sponsored by Governors; and

[[Page 794]]

(6) Summer programs carried out between May 1 and October 1 (which
may also contain a year-round component).
(b) The Corporation will support innovative service-learning
programs.

[59 FR 13806, Mar. 23, 1994, as amended at 69 FR 6181, Feb. 10, 2004]

PART 2533_TECHNICAL ASSISTANCE, TRAINING, AND OTHER SERVICE
INFRASTRUCTURE-BUILDING ACTIVITIES--Table of Contents

Authority: 42 U.S.C. 12657.

Sec. 2533.10 Eligible activities.

The Corporation may support--either directly or through a grant,
contract or agreement--any activity designed to meet the purposes
described in part 2531 of this chapter. These activities include, but
are not limited to, the following: (a) Community-based agencies. The
Corporation may provide training and technical assistance and other
assistance to project sponsors and other community-based agencies that
provide volunteer placements in order to improve the ability of such
agencies to use participants and other volunteers in a manner that
results in high-quality service and a positive service experience for
the participants and volunteers.
(b) Improve ability to apply for assistance. The Corporation will
provide training and technical assistance, where necessary, to
individuals, programs, local labor organizations, State educational
agencies, State Commissions, local educational agencies, local
governments, community-based agencies, and other entities to enable them
to apply for funding under one of the national service laws, to conduct
high-quality programs, to evaluate such programs, and for other
purposes.
(c) Conferences and materials. The Corporation may organize and hold
conferences, and prepare and publish materials, to disseminate
information and promote the sharing of information among programs for
the purpose of improving the quality of programs and projects.
(d) Peace Corps and VISTA training. The Corporation may provide
training assistance to selected individuals who volunteer to serve in
the Peace Corps or a program authorized under title I of the Domestic
Volunteer Service Act of 1973 (42 U.S.C. 4951 et seq.). The training
will be provided as part of the course of study of the individual at an
institution of higher education, involve service-learning, and cover
appropriate skills that the individual will use in the Peace Corps or
VISTA.
(e) Promotion and recruitment. The Corporation may conduct a
campaign to solicit funds for the National Service Trust and other
programs and activities authorized under the national service laws and
to promote and recruit participants for programs that receive assistance
under the national service laws.
(f) Training. The Corporation may support national and regional
participant and supervisor training, including leadership training and
training in specific types of service and in building the ethic of civic
responsibility.
(g) Research. The Corporation may support research on national
service, including service-learning.
(h) Intergenerational support. The Corporation may assist programs
in developing a service component that combines students, out-of-school
youths, and older adults as participants to provide needed community
services.
(i) Planning coordination. The Corporation may coordinate community-
wide planning among programs and projects.
(j) Youth leadership. The Corporation may support activities to
enhance the ability of youth and young adults to play leadership roles
in national service.
(k) National program identity. The Corporation may support the
development and dissemination of materials, including training
materials, and arrange for uniforms and insignia, designed to promote
unity and shared features among programs that receive assistance under
the national service laws.
(l) Service-learning. The Corporation will support innovative
programs and activities that promote service-learning.
(m) National youth service day--(1) Designation. April 19, 1994, and
April 18, 1995 are each designated as ``National Youth Service Day''.
The President is

[[Page 795]]

authorized and directed to issue a proclamation calling on the people of
the United States to observe the day with appropriate ceremonies and
activities.
(2) Federal activities. In order to observe National Youth Service
Day at the Federal level, the Corporation may organize and carry out
appropriate ceremonies and activities.
(3) Activities. The Corporation may make grants to public or private
nonprofit organizations with demonstrated ability to carry out
appropriate activities, in order to support such activities on National
Youth Service Day.
(n) Clearinghouses--(1) Authority. The Corporation may establish
clearinghouses, either directly or through a grant or contract. Any
service-learning clearinghouse to be established pursuant to part 2518
of this chapter is eligible to apply for a grant under this section. In
addition, public or private nonprofit organizations are eligible to
apply for clearinghouse grants.
(2) Function. A Clearinghouse may perform the following activities:
(i) Assist entities carrying out State or local community service
programs with needs assessments and planning;
(ii) Conduct research and evaluations concerning community service;
(iii) Provide leadership development and training to State and local
community service program administrators, supervisors, and participants;
and provide training to persons who can provide such leadership
development and training;
(iv) Facilitate communication among entities carrying out community
service programs and participants;
(v) Provide information, curriculum materials, and technical
assistance relating to planning and operation of community service
programs, to States and local entities eligible to receive funds under
this chapter;
(vi) Gather and disseminate information on successful community
service programs, components of such successful programs, innovative
youth skills curriculum, and community service projects;
(vii) Coordinate the activities of the clearinghouse with
appropriate entities to avoid duplication of effort;
(viii) Make recommendations to State and local entities on quality
controls to improve the delivery of community service programs and on
changes in the programs under this chapter; and
(ix) Carry out such other activities as the Chief Executive Officer
determines to be appropriate.
(o) Assistance for Head Start. The Corporation may make grants to,
and enter into contracts and cooperative agreements with, public or
nonprofit private agencies and organizations that receive grants or
contracts under the Foster Grandparent Program (part B of title II of
the Domestic Volunteer Service Act of 1973 (29 U.S.C. 5011 et seq.)),
for projects of the type described in section 211(a) of such Act (29
U.S.C. 5011) operating under memoranda of agreement with the ACTION
Agency, for the purpose of increasing the number of low-income
individuals who provide services under such program to children who
participate in Head Start programs under the Head Start Act (42 U.S.C.
9831 et seq.).
(p) Other assistance. The Corporation may support other activities
that are consistent with the purposes described in part 2531 of this
chapter.

[59 FR 13807, Mar. 23, 1994. Redesignated and amended at 75 FR 51413 and
51415, Aug. 20, 2010]

PART 2534_SPECIAL ACTIVITIES--Table of Contents

Sec.
2534.10 National service fellowships.
2534.20 Presidential awards for service.

Authority: 42 U.S.C. 12501 et seq.

Sec. 2534.10 National service fellowships.

The Corporation may award national service fellowships on a
competitive basis.

[69 FR 6181, Feb. 10, 2004. Redesignated at 75 FR 54789, Sept. 9, 2010]

Sec. 2534.20 Presidential awards for service.

The President, acting through the Corporation, may make Presidential
awards for service to individuals providing significant service, and to
outstanding programs. Information about recipients of such awards will
be widely

[[Page 796]]

disseminated. The President may provide such awards to any deserving
individual or program, regardless of whether the individual is serving
in a program authorized by this chapter or whether the program is itself
authorized by this chapter. In no instance, however, may the award be a
cash award.

[59 FR 13808, Mar. 23, 1994. Redesignated at 75 FR 54789, Sept. 9, 2010]

PART 2540_GENERAL ADMINISTRATIVE PROVISIONS--Table of Contents

Subpart A_Requirements Concerning the Distribution and Use of
Corporation Assistance

Sec.
2540.100 What restrictions govern the use of Corporation assistance?
2540.110 Limitation on use of Corporation funds for administrative
costs.

Subpart B_Requirements Directly Affecting the Selection and Treatment of
Participants

2540.200 Which entities are required to comply with the National Service
Criminal History Check requirements in this subpart?
2540.201 Which individuals require a National Service Criminal History
Check?
2540.202 What eligibility criteria apply to an individual for whom a
National Service Criminal History Check is required?
2540.203 May a grant recipient or subrecipient or service site establish
and apply suitability criteria for individuals to work or
serve in a position specified in this subpart?
2540.204 What are the components of a National Service Criminal History
Check?
2540.205 By when must the National Service Criminal History Check be
completed?
2540.206 What procedural steps are required, in addition to conducting
the National Service Criminal History Check described in this
subpart?
2540.207 Waiver.
2540.208 Under what circumstances may participants be engaged?
2540.210 What provisions exist to ensure that Corporation-supported
programs do not discriminate in the selection of participants
and staff?
2540.215 What should a program participant, staff members, or
beneficiary do if the individual believes he or she has been
subject to illegal discrimination?
2540.220 Under what circumstances and subject to what conditions are
participants in Corporation-assisted projects eligible for
family and medical leave?
2540.230 What grievance procedures must recipients of Corporation
assistance establish?

Subpart C_Other Requirements for Recipients of Corporation Assistance

2540.300 What must be included in annual State reports to the
Corporation?
2540.310 Must programs that receive Corporation assistance establish
standards of conduct?
2540.320 How are participant benefits treated?
2540.330 Parental involvement required

Subpart D_Suspension and Termination of Corporation Assistance

2540.400 Under what circumstances will the Corporation suspend or
terminate a grant or contract?

Subpart E_Restrictions on Use of National Service Insignia

2540.500 What definition applies to this subpart?
2540.510 What are the restrictions on using national service insignia?
2540.520 What are the consequences for unauthorized use of the
Corporation's national service insignia?
2540.530 Are there instances where an insignia may be used without
getting the approval of the Corporation?
2540.540 Who has authority to approve use of national service insignia?
2540.550 Is there an expiration date on approvals for use of national
service insignia?
2540.560 How do I renew authority to use a national service insignia?

Subpart F_False or Misleading Statements

2540.600 What definitions apply to this subpart?
2540.610 What are the consequences of making a false or misleading
statement?
2540.620 What are my rights if the Corporation determines that I have
made a false or misleading statement?
2540.630 What information must I provide to contest a proposed action?
2540.640 When will the reviewing official make a decision on the
proposed action?
2540.650 How may I contest a reviewing official's decision to uphold the
proposed action?
2540.660 If the final decision determines that I received a financial
benefit improperly, will I be required to repay that benefit?
2540.670 Will my qualification to participate or eligibility for
benefits be suspended during the review process?

[[Page 797]]

Authority: E.O. 13331, 69 FR 9911; 18 U.S.C. 506, 701, 1017; 42
U.S.C. 12653, 12631-12637, 12645g; 42 U.S.C. 5065.

Source: 59 FR 13808, Mar. 23, 1994, unless otherwise noted.

Subpart A_Requirements Concerning the Distribution and Use of
Corporation Assistance

Sec. 2540.100 What restrictions govern the use of Corporation assistance?

(a) Supplantation. Corporation assistance may not be used to replace
State and local public funds that had been used to support programs of
the type eligible to receive Corporation support. For any given program,
this condition will be satisfied if the aggregate non-Federal public
expenditure for that program in the fiscal year that support is to be
provided is not less than the previous fiscal year.
(b) Religious use. Corporation assistance may not be used to provide
religious instruction, conduct worship services, or engage in any form
of proselytization.
(c) Political activity. Corporation assistance may not be used by
program participants or staff to assist, promote, or deter union
organizing; or finance, directly or indirectly, any activity designed to
influence the outcome of a Federal, State or local election to public
office.
(d) Contracts or collective bargaining agreements. Corporation
assistance may not be used to impair existing contracts for services or
collective bargaining agreements.
(e) Nonduplication. Corporation assistance may not be used to
duplicate an activity that is already available in the locality of a
program. And, unless the requirements of paragraph (f) of this section
are met, Corporation assistance will not be provided to a private
nonprofit entity to conduct activities that are the same or
substantially equivalent to activities provided by a State or local
government agency in which such entity resides.
(f) Nondisplacement. (1) An employer may not displace an employee or
position, including partial displacement such as reduction in hours,
wages, or employment benefits, as a result of the use by such employer
of a participant in a program receiving Corporation assistance.
(2) An organization may not displace a volunteer by using a
participant in a program receiving Corporation assistance.
(3) A service opportunity will not be created under this chapter
that will infringe in any manner on the promotional opportunity of an
employed individual.
(4) A participant in a program receiving Corporation assistance may
not perform any services or duties or engage in activities that would
otherwise be performed by an employee as part of the assigned duties of
such employee.
(5) A participant in any program receiving assistance under this
chapter may not perform any services or duties, or engage in activities,
that--
(i) Will supplant the hiring of employed workers; or
(ii) Are services, duties, or activities with respect to which an
individual has recall rights pursuant to a collective bargaining
agreement or applicable personnel procedures.
(6) A participant in any program receiving assistance under this
chapter may not perform services or duties that have been performed by
or were assigned to any--
(i) Presently employed worker;
(ii) Employee who recently resigned or was discharged;
(iii) Employee who is subject to a reduction in force or who has
recall rights pursuant to a collective bargaining agreement or
applicable personnel procedures;
(iv) Employee who is on leave (terminal, temporary, vacation,
emergency, or sick); or
(v) Employee who is on strike or who is being locked out.

[59 FR 13808, Mar. 23, 1994, as amended at 70 FR 39607, July 8, 2005]

Sec. 2540.110 Limitation on use of Corporation funds for
administrative costs.

(a)(1) Not more than five percent of the grant funds provided under
45 CFR 2516, 2517, 2519, and 2521 for any fiscal year may be used to pay
for administrative costs, as defined in Sec. 2510.20 of this chapter.

[[Page 798]]

(2) The distribution of administrative costs between the grant and
any subgrant will be subject to the approval of the Corporation.
(3) In applying the limitation on administrative costs the
Corporation will approve one of the following methods in the award
document:
(i) Limit the amount or rate of indirect costs that may be paid with
Corporation funds under a grant or subgrant to five percent of total
Corporation funds expended, provided that--
(A) Organizations that have an established indirect cost rate for
Federal awards will be limited to this method; and
(B) Unreimbursed indirect costs may be applied to meeting
operational matching requirements under the Corporation's award;
(ii) Specify that a fixed rate of five percent or less (not subject
to supporting cost documentation) of total Corporation funds expended
may be used to pay for administrative costs, provided that the fixed
rate is in conjunction with an overall 15 percent administrative cost
factor to be used for organizations that do not have established
indirect cost rates; or
(iii) Utilize such other method that the Corporation determines in
writing is consistent with OMB guidance and other applicable
requirements, helps minimize the burden on grantees or subgrantees, and
is beneficial to grantees or subgrantees and the Federal Government.
(b) Costs attributable to administrative functions as well as
program functions should be prorated between administrative costs and
program costs.

[63 FR 18138, Apr. 14, 1998]

Subpart B_Requirements Directly Affecting the Selection and Treatment of
Participants

Sec. 2540.200 Which entities are required to comply with the
National Service Criminal History Check requirements in this subpart?

The National Service Criminal History Check is a requirement for
entities that are recipients or subrecipients of the following grants:
(a) Operational grants provided by AmeriCorps State and National;
(b) Foster Grandparent Program Grants;
(c) Retired and Senior Volunteer Program Grants;
(d) Senior Companion Program Grants;
(e) Senior Demonstration Program Grants that receive funding from
CNCS;
(f) Martin Luther King, Jr. Day of Service Grants;
(g) September 11th Day of Service Grants;
(h) Social Innovation Fund Grants;
(i) Volunteer Generation Fund Grants;
(j) AmeriCorps VISTA Program Grants;
(k) AmeriCorps VISTA Support Grants.

[86 FR 11146, Feb. 24, 2021]

Sec. 2540.201 Which individuals require a National Service
Criminal History Check?

(a) A National Service Criminal History Check must be conducted for
individuals in covered positions. Individuals in covered positions are
individuals selected, under a CNCS grant specified in 2540.200, by the
recipient, subrecipient, or service site to work or serve in a position
under a CNCS grant specified in Sec. 2540.200:
(1) As an AmeriCorps State and National member, as described in 42
U.S.C. 12511(30)(A)(i);
(2) As a Foster Grandparent who receives a stipend;
(3) As a Senior Companion who receives a stipend; or
(4) In a position in which they will receive a salary, directly or
reflected as match, under a cost reimbursement grant.
(b) A National Service Criminal History Check is not required for
those individuals listed in paragraph (a) of this section who are under
the age of 18 on the first day of work or service in a covered position.
(c) A National Service Criminal History Check is not required for
individuals whose activity is entirely included in the grant recipient's
indirect cost rate.

[86 FR 11147, Feb. 24, 2021]

[[Page 799]]

Sec. 2540.202 What eligibility criteria apply to an individual
for whom a National Service Criminal History Check is required?

An individual shall be ineligible to work or serve in a position
specified in Sec. 2540.201(a) if the individual--
(a) Refuses to consent to a criminal history check described in
Sec. 2540.204;
(b) Makes a false statement in connection with a criminal history
check described in Sec. 2540.204;
(c) Is registered, or is required to be registered, on a state sex
offender registry or the National Sex Offender Registry; or
(d) Has been convicted of murder, as defined in 18 U.S.C. 1111.

[86 FR 11147, Feb. 24, 2021]

Sec. 2540.203 May a grant recipient or subrecipient or service
site establish and apply suitability criteria for individuals to work
or serve in a position
specified in this subpart?

Grant recipients and subrecipients, or service sites, may establish
suitability criteria, consistent with state and Federal Civil Rights and
nondiscrimination laws, for individuals working or serving in a position
specified in Sec. 2540.201(a). While members may be eligible to work or
serve in a position specified in Sec. 2540.201(a) based on the
eligibility requirements of Sec. 2540.202, a grant recipient,
subrecipient, or service site may determine that an individual is not
suitable to work or serve in such a position based on criteria that the
grant recipient or subrecipient or service site establishes.

[86 FR 11147, Feb. 24, 2021]

Sec. 2540.204 What are the components of a National Service
Criminal History Check?

(a) Unless CNCS approves a waiver under Sec. 2540.207, for each
individual in a position specified in Sec. 2540.201, grantees or
subgrantees must, obtain:
(1) A nationwide check of the National Sex Offender Public website
through NSOPW.gov;
(2) A check of the State criminal history record repository or
agency-designated alternative for the individual's State of residence
and State of service; and
(3) A fingerprint-based check of the FBI criminal history record
database through the State criminal history record repository or agency-
approved vendor.
(b) One way for grant recipients or subrecipients to obtain and
document the required components of the National Service History Check
is through the use of agency-approved vendors.

[86 FR 11147, Feb. 24, 2021]

Sec. 2540.205 By when must the National Service Criminal History
Check be completed?

(a) The National Service Criminal History Check must be conducted,
reviewed, and an eligibility determination made by the grant recipient
or subrecipient based on the results of the National Service Criminal
History Check before a person begins to work or serve in a position
specified in Sec. 2540.201(a).
(b) If a person serves consecutive terms of service or employment
with the same organization in a position specified in Sec. 2540.201(a)
and does not have a break in service or employment longer than 180 days,
then no additional National Service Criminal History Check is required,
as long as the original check complied with the requirements of Sec.
2540.204. If a National Service Criminal History Check was not conducted
on a person because they were under the age of 18 at the time they began
their prior term(s) of service or employment in a covered position,
pursuant to Sec. 2540.201(b), a National Service Criminal History check
must be conducted prior to the individual beginning a subsequent term of
work or service for which the person is 18 years of age or older at the
start of work or service.
(c) Persons working or serving in positions specified in Sec.
2540.201(a) prior to May 1, 2021, who continue working or serving in a
position specified in Sec. 2540.201(a) on or after November 1, 2021,
must have a National Service Criminal History Check conducted, reviewed,
and an eligibility determination made by the grant recipient or
subrecipient based on the results of the National Service Criminal
History Check completed in accordance with

[[Page 800]]

this part. For these people, the National Service Criminal History Check
must be completed no later than November 1, 2021.

[86 FR 11147, Feb. 24, 2021]

Sec. 2540.206 What procedural steps are required, in addition to
conducting the National Service Criminal History Check described in
this subpart?

(a) In addition to conducting the National Service Criminal History
Check described in Sec. 2540.204, grant recipients or subrecipients
must:
(1) Obtain a person's consent before conducting the state and FBI
components of the National Service Criminal History Check;
(2) Provide notice that selection for work or service for a position
specified in Sec. 2540.201(a) is contingent upon the organization's
review of the National Service Criminal History Check component results;
(3) Provide a reasonable opportunity for the person to review and
challenge the factual accuracy of a result before action is taken to
exclude the person from the position;
(4) Take reasonable steps to protect the confidentiality of any
information relating to the criminal history check, consistent with
authorization provided by the applicant;
(5) Maintain documentation of the National Service Criminal History
Check as grant records; and
(6) Pay for the cost of the NSCHC. Unless specifically approved by
CNCS under Sec. 2540.207, the person who is serving or working in the
covered position may not be charged for the cost of any component of a
National Service Criminal History Check.
(b) CNCS-approved vendors may facilitate obtaining and documenting
the requirements in paragraphs (a)(1) through (5) of this section.

[86 FR 11147, Feb. 24, 2021]

Sec. 2540.207 Waiver.

CNCS may waive provisions of Sec. Sec. 2540.200 through.2540.206
for good cause, or for any other lawful basis. To request a waiver,
submit a written request to NSCHC Waiver Requests, 250 E Street SW,
Washington DC 20525, or send your request to .

[86 FR 11148, Feb. 24, 2021]

NSCHCWaiverRequest@cns.gov
Sec. 2540.208 Under what circumstances may participants be engaged?

A State may not engage a participant to serve in any program that
receives Corporation assistance unless and until amounts have been
appropriated under section 501 of the Act (42 U.S.C. 12681) for the
provision of AmeriCorps educational awards and for the payment of other
necessary expenses and costs associated with such participant.

[59 FR 13808, Mar. 23, 1994. Redesignated at 72 FR 48582, Aug. 24, 2007]

Sec. 2540.210 What provisions exist to ensure that Corporation-supported
programs do not discriminate in the selection of participants and staff?

(a) An individual with responsibility for the operation of a project
that receives Corporation assistance must not discriminate against a
participant in, or member of the staff of, such project on the basis of
race, color, national origin, sex, age, or political affiliation of such
participant or member, or on the basis of disability, if the participant
or member is a qualified individual with a disability.
(b) Any Corporation assistance constitutes Federal financial
assistance for purposes of title VI of the Civil Rights Act of 1964 (42
U.S.C. 2000d et seq.), title IX of the Education Amendments of 1972 (20
U.S.C. 1681 et seq.), section 504 of the Rehabilitation Act of 1973 (29
U.S.C. 794), and the Age Discrimination Act of 1975 (42 U.S.C. 6101 et
seq.), and constitutes Federal financial assistance to an education
program or activity for purposes of the Education Amendments of 1972 (20
U.S.C. 1681 et seq.).
(c) An individual with responsibility for the operation of a project
that receives Corporation assistance may not discriminate on the basis
of religion against a participant in such project or a member of the
staff of such project who is paid with Corporation funds. This provision
does not apply to the

[[Page 801]]

employment (with Corporation assistance) of any staff member of a
Corporation-supported project who was employed with the organization
operating the project on the date the Corporation grant was awarded.
(d) Grantees must notify all program participants, staff,
applicants, and beneficiaries of:
(1) Their rights under applicable federal nondiscrimination laws,
including relevant provisions of the national service legislation and
implementing regulations; and
(2) The procedure for filing a discrimination complaint with the
Corporation's Office of Civil Rights and Inclusiveness.

[59 FR 13808, Mar. 23, 1994, as amended at 73 FR 53760, Sept. 17, 2008]

Sec. 2540.215 What should a program participant, staff members, or
beneficiary do if the individual believes he or she has been subject to illegal
discrimination?

A program participant, staff member, or beneficiary who believes
that he or she has been subject to illegal discrimination should contact
the Corporation's Office of Civil Rights and Inclusiveness, which offers
an impartial discrimination complaint resolution process. Participation
in a discrimination complaint resolution process is protected activity;
a grantee is prohibited from retaliating against an individual for
making a complaint or participating in any manner in an investigation,
proceeding, or hearing.

[73 FR 53760, Sept. 17, 2008]

Sec. 2540.220 Under what circumstances and subject to what conditions
are participants in Corporation-assisted programs eligible for family
and medical leave?

(a) Participants in State, local, or private nonprofits programs. A
participant in a State, local, or private nonprofit program receiving
support from the Corporation is considered an eligible employee of the
program's project sponsor under the Family and Medical Leave Act of 1993
(29 CFR part 825) if--
(1) The participant has served for at least 12 months and 1,250
hours during the year preceding the start of the leave; and
(2) The program's project sponsors engages in commerce or any
industry or activity affecting commerce, and employs at least 50
employees for each working day during 20 or more calendar workweeks in
the current or preceding calendar year.
(b) Participants in Federal programs. Participants in Federal
programs operated by the Corporation or by another Federal agency will
be considered Federal employees for the purposes of the Family and
Medical Leave Act if the participants have completed 12 months of
service and the project sponsor is an employing agency as defined in 5
U.S.C 6381 et seq.; such participants therefore will be eligible for the
same family and medical leave benefits afforded to such Federal
employees.
(c) General terms and conditions. Participants that qualify as
eligible employees under paragraphs (a) or (b) of this section are
entitled to take up to 12 weeks of unpaid leave during a 12 month period
for any of the following reasons (in the cases of both paragraphs (c)(1)
and (2) of this section the entitlement to leave expires 12 months after
the birth or placement of such child): (1) The birth of a child to a
participant;
(2) The placement of a child with a participant for adoption or
foster care;
(3) The serious illness of a participant's spouse, child or parent;
or
(4) A participant's serious health condition that makes that
participant unable to perform his or her essential service duties (a
serious health condition is an illness or condition that requires either
inpatient care or continuing treatment by a health care provider).
(d) Intermittent leave or reduced service. The program, serving as
the project sponsor, may allow a participant to take intermittent leave
or reduce his or her service hours due to the birth of or placement of a
child for adoption or foster care. The participant may also take leave
to care for a seriously ill immediate family member or may take leave
due to his or her own serious illness whenever it is medically
necessary.
(e) Alternate placement. If a participant requests intermittent
leave or a reduced service hours due to a serious

[[Page 802]]

illness or a family member's sickness, and the need for leave is
foreseeable based on planned medical treatment, the program, or project
sponsor may temporarily transfer the participant to an alternative
service position if the participant: (1) Is qualified for the position;
and
(2) Receives the same benefits such as stipend or living allowance
and the position better accommodates the participants recurring periods
of leave.
(f) Certification of cause. A program, or project sponsor may
require that the participant support a leave request with a
certification from the health care provider of the participant or the
participant's family member. If a program sponsor requests a
certification, the participant must provide it in a timely manner.
(g) Continuance of coverage. (1) If a State, local or private
program provides for health insurance for the full-time participant, the
sponsor must continue to provide comparable health coverage at the same
level and conditions that coverage would have been provided for the
duration of the participant's leave.
(2) If the Federal program provides health insurance coverage for
the full-time participant, the sponsor must also continue to provide the
same health care coverage for the duration of the participant's leave.
(h) Failure to return. If the participant fails to return to the
program at the end of leave for any reason other than continuation,
recurrence or onset of a serious health condition or other circumstances
beyond his or her control, the program may recover the premium that he
or she paid during any period of unpaid leave.
(i) Applicability to term of service. Any absence, due to family and
medical leave, will not be counted towards the participant's term of
service.

Sec. 2540.230 What grievance procedures must recipients of Corporation
assistance establish?

State and local applicants that receive assistance from the
Corporation must establish and maintain a procedure for the filing and
adjudication of grievances from participants, labor organizations, and
other interested individuals concerning programs that receive assistance
from the Corporation. A grievance procedure may include dispute
resolution programs such as mediation, facilitation, assisted
negotiation and neutral evaluation. If the grievance alleges fraud or
criminal activity, it must immediately be brought to the attention of
the Corporation's inspector general.
(a) Alternative dispute resolution. (1) The aggrieved party may seek
resolution through alternative means of dispute resolution such as
mediation or facilitation. Dispute resolution proceedings must be
initiated within 45 calendar days from the date of the alleged
occurrence. At the initial session of the dispute resolution
proceedings, the party must be advised in writing of his or her right to
file a grievance and right to arbitration. If the matter is resolved,
and a written agreement is reached, the party will agree to forego
filing a grievance in the matter under consideration.
(2) If mediation, facilitation, or other dispute resolution
processes are selected, the process must be aided by a neutral party
who, with respect to an issue in controversy, functions specifically to
aid the parties in resolving the matter through a mutually achieved and
acceptable written agreement. The neutral party may not compel a
resolution. Proceedings before the neutral party must be informal, and
the rules of evidence will not apply. With the exception of a written
and agreed upon dispute resolution agreement, the proceeding must be
confidential.
(b) Grievance procedure for unresolved complaints. If the matter is
not resolved within 30 calendar days from the date the informal dispute
resolution process began, the neutral party must again inform the
aggrieving party of his or her right to file a formal grievance. In the
event an aggrieving party files a grievance, the neutral may not
participate in the formal complaint process. In addition, no
communication or proceedings of the informal dispute resolution process
may be referred to or introduced into evidence at the grievance and
arbitration hearing. Any decision by the neutral party is advisory and
is not binding unless both parties agree.

[[Page 803]]

(c) Time limitations. Except for a grievance that alleges fraud or
criminal activity, a grievance must be made no later than one year after
the date of the alleged occurrence. If a hearing is held on a grievance,
it must be conducted no later than 30 calendar days after the filing of
such grievance. A decision on any such grievance must be made no later
than 60 calendar days after the filing of the grievance.
(d) Arbitration--(1) Arbitrator--(i) Joint selection by parties. If
there is an adverse decision against the party who filed the grievance,
or 60 calendar days after the filing of a grievance no decision has been
reached, the filing party may submit the grievance to binding
arbitration before a qualified arbitrator who is jointly selected and
independent of the interested parties.
(ii) Appointment by Corporation. If the parties cannot agree on an
arbitrator within 15 calendar days after receiving a request from one of
the grievance parties, the Corporations Chief Executive Officer will
appoint an arbitrator from a list of qualified arbitrators.
(2) Time Limits--(i) Proceedings. An arbitration proceeding must be
held no later than 45 calendar days after the request for arbitration,
or, if the arbitrator is appointed by the Chief Executive Officer, the
proceeding must occur no later than 30 calendar days after the
arbitrator's appointment.
(ii) Decision. A decision must be made by the arbitrator no later
than 30 calendar days after the date the arbitration proceeding begins.
(3) The cost. The cost of the arbitration proceeding must be divided
evenly between the parties to the arbitration. If, however, a
participant, labor organization, or other interested individual prevails
under a binding arbitration proceeding, the State or local applicant
that is a party to the grievance must pay the total cost of the
proceeding and the attorney's fees of the prevailing party.
(e) Suspension of placement. If a grievance is filed regarding a
proposed placement of a participant in a program that receives
assistance under this chapter, such placement must not be made unless
the placement is consistent with the resolution of the grievance.
(f) Remedies. Remedies for a grievance filed under a procedure
established by a recipient of Corporation assistance may include--
(1) Prohibition of a placement of a participant; and
(2) In grievance cases where there is a violation of nonduplication
or nondisplacement requirements and the employer of the displaced
employee is the recipient of Corporation assistance--
(i) Reinstatement of the employee to the position he or she held
prior to the displacement;
(ii) Payment of lost wages and benefits;
(iii) Re-establishment of other relevant terms, conditions and
privileges of employment; and
(iv) Any other equitable relief that is necessary to correct any
violation of the nonduplication or nondisplacement requirements or to
make the displaced employee whole.
(g) Suspension or termination of assistance. The Corporation may
suspend or terminate payments for assistance under this chapter.
(h) Effect of noncompliance with arbitration. A suit to enforce
arbitration awards may be brought in any Federal district court having
jurisdiction over the parties without regard to the amount in
controversy or the parties' citizenship.

Subpart C_Other Requirements for Recipients of Corporation Assistance

Sec. 2540.300 What must be included in annual State reports to the
Corporation?

(a) In general. Each State receiving assistance under this title
must prepare and submit, to the Corporation, an annual report concerning
the use of assistance provided under this chapter and the status of the
national and community service programs in the State that receive
assistance under this chapter. A State's annual report must include
information that demonstrates the State's compliance with the
requirements of this chapter.
(b) Local grantees. Each State may require local grantees that
receive assistance under this chapter to supply such

[[Page 804]]

information to the State as is necessary to enable the State to complete
the report required under paragraph (a) of this section, including a
comparison of actual accomplishments with the goals established for the
program, the number of participants in the program, the number of
service hours generated, and the existence of any problems, delays or
adverse conditions that have affected or will affect the attainment of
program goals.
(c) Availability of report. Reports submitted under paragraph (a) of
this section must be made available to the public on request.

Sec. 2540.310 Must programs that receive Corporation assistance
establish standards of conduct?

Yes. Programs that receive assistance under this title must
establish and stringently enforce standards of conduct at the program
site to promote proper moral and disciplinary conditions.

Sec. 2540.320 How are participant benefits treated?

Section 142(b) of the Job Training Partnership Act (29 U.S.C.
1552(b)) shall apply to the programs conducted under this chapter as if
such programs were conducted under the Job Training Partnership Act (29
U.S.C. 1501 et seq.).

Sec. 2540.330 Parental involvement required

(a) Consultation Requirement. Programs that receive assistance under
the national service laws shall consult with the parents or legal
guardians of children in developing and operating programs that include
and serve children.
(b) Parental Permission. Programs that receive assistance under the
national service laws must, before transporting minor children, provide
the children's parents or legal guardians with the reason for the
transportation and obtain the parent's or legal guardian's permission
for such transportation, consistent with State law.

[74 FR 46507, Sept. 10, 2009]

Subpart D_Suspension and Termination of Corporation Assistance

Sec. 2540.400 Under what circumstances will the Corporation suspend
or terminate a grant or contract?

(a) Suspension of a grant or contract. In emergency situations, the
Corporation may suspend a grant or contract for not more than calendar
30 days. Examples of such situations may include, but are not limited
to: (1) Serious risk to persons or property;
(2) Violations of Federal, State or local criminal statutes; and
(3) Material violation(s) of the grant or contract that are
sufficiently serious that they outweigh the general policy in favor of
advance notice and opportunity to show cause.
(b) Termination of a grant or contract. The Corporation may
terminate or revoke assistance for failure to comply with applicable
terms and conditions of this chapter. However, the Corporation must
provide the recipient reasonable notice and opportunity for a full and
fair hearing, subject to the following conditions: (1) The Corporation
will notify a recipient of assistance by letter or telegram that the
Corporation intends to terminate or revoke assistance, either in whole
or in part, unless the recipient shows good cause why such assistance
should not be terminated or revoked. In this communication, the grounds
and the effective date for the proposed termination or revocation will
be described. The recipient will be given at least 7 calendar days to
submit written material in opposition to the proposed action.
(2) The recipient may request a hearing on a proposed termination or
revocation. Providing five days notice to the recipient, the Corporation
may authorize the conduct of a hearing or other meetings at a location
convenient to the recipient to consider the proposed suspension or
termination. A transcript or recording must be made of a hearing
conducted under this section and be available for inspection by any
individual.

[[Page 805]]

Subpart E_Restrictions on Use of National Service Insignia

Source: 73 FR 53761, Sept. 17, 2008, unless otherwise noted.

Sec. 2540.500 What definition applies to this subpart?

National Service Insignia. For this subpart, national service
insignia means the former and current seal, logos, names, or symbols of
the Corporation's programs, products, or services, including those for
AmeriCorps, VISTA, Learn and Serve America, Senior Corps, Foster
Grandparents, the Senior Companion Program, the Retired and Senior
Volunteer Program, the National Civilian Community Corps, and any other
program or project that the Corporation administers.

Sec. 2540.510 What are the restrictions on using national
service insignia?

The national service insignia are owned by the Corporation and only
may be used as authorized. The national service insignia may not be used
by non-federal entities for fundraising purposes or in a manner that
suggests Corporation endorsement.

Sec. 2540.520 What are the consequences for unauthorized use of the
Corporation's national service insignia?

Any person who uses the national service insignia without
authorization may be subject to legal action for trademark infringement,
enjoined from continued use, and, for certain types of unauthorized
uses, other civil or criminal penalties may apply.

Sec. 2540.530 Are there instances where an insignia may be used without
getting the approval of the Corporation?

All uses of the national service insignia require the written
approval of the Corporation.

Sec. 2540.540 Who has authority to approve use of national
service insignia?

Approval for limited uses may be provided through the terms of a
written grant or other agreement. All other uses must be approved in
writing by the director of the Corporation's Office of Public Affairs,
or his or her designee.

Sec. 2540.550 Is there an expiration date on approvals for
use of national service insignia?

The approval to use a national service insignia will expire as
determined in writing by the director of the Office of Public Affairs,
or his or her designee. However, the authority to use an insignia may be
revoked at any time if the Corporation determines that the use involved
is injurious to the image of the Corporation or if there is a failure to
comply with the terms and conditions of the authorization.

Sec. 2540.560 How do I renew authority to use a national service insignia?

Requests for renewed authority to use an insignia must follow the
procedures for initial approval as set out in Sec. 2540.540.

Subpart F_False or Misleading Statements

Source: 73 FR 53761, Sept. 17, 2008, unless otherwise noted.

Sec. 2540.600 What definitions apply to this subpart?

You. For this subpart, you refers to a participant in a national
service program.

Sec. 2540.610 What are the consequences of making a false or
misleading statement?

If it is determined that you made a false or misleading statement in
connection with your eligibility for a benefit from, or qualification to
participate in, a Corporation-funded program, it may result in the
revocation of the qualification or forfeiture of the benefit. Revocation
and forfeiture under this part are in addition to any other remedy
available to the Federal Government under the law against persons who
make false or misleading statements in connection with a Federally-
funded program.

[[Page 806]]

Sec. 2540.620 What are my rights if the Corporation determines
that I have made a false or misleading statement?

If the Corporation determines that you have made a false or
misleading statement in connection with your eligibility for a benefit
from, or qualification to participate in, a Corporation-funded program,
you will be hand delivered a written notice, or sent a written notice to
your last known street address or e-mail address or that of your
identified counsel at least 15 days before any proposed action is taken.
The notice will include the facts surrounding the determination and the
action the Corporation proposes to take. The notice will also identify
the reviewing official in your case and provide other pertinent
information. You will be allowed to show good cause as to why
forfeiture, revocation, the denial of a benefit, or other action should
not be implemented. You will be given 10 calendar days to submit written
materials in opposition to the proposed action.

Sec. 2540.630 What information must I provide to contest
a proposed action?

Your written response must include specific facts that contradict
the statements made in the notice of proposed action. A general
statement of denial is insufficient to raise a dispute over the facts
material to the proposed action. Your response should also include
copies of any documents that support your argument.

Sec. 2540.640 When will the reviewing official make a
decision on the proposed action?

The reviewing official will issue a decision within 45 days of
receipt of your response.

Sec. 2540.650 How may I contest a reviewing official's
decision to uphold the proposed action?

If the Corporation's reviewing official concludes that the proposed
action, in full or in part, should still be implemented, you will have
an opportunity to request an additional proceeding. A Corporation
program director or designee will conduct a review of the complete
record, including such additional relevant documents you submit. If
deemed appropriate, such as where there are material facts in genuine
dispute, the program director or designee may conduct a telephonic or in
person meeting. If a meeting is conducted, it will be recorded and you
will be provided a copy of the recording. The program director or
designee will issue a decision within 30 days of the conclusion of the
review of the record or meeting. The decision of the program director or
designee is final and cannot be appealed further within the agency.

Sec. 2540.660 If the final decision determines that I received
a financial benefit improperly, will I be required to repay that
benefit?

If it is determined that you received a financial benefit
improperly, you may be required to reimburse the program for that
benefit.

Sec. 2540.670 Will my qualification to participate or eligibility
for benefits be suspended during the review process?

If the reviewing official determines that, based on the information
available, there is a reasonable likelihood that you will be determined
disqualified or ineligible, your qualification or eligibility may be
suspended, pending issuance of a final decision, to protect the public
interest.

PARTS 2541 2543 [RESERVED]

PART 2544_SOLICITATION AND ACCEPTANCE OF DONATIONS--Table of Contents

Sec.
2544.100 What is the purpose of this part?
2544.105 What is the legal authority for soliciting and accepting
donations to the Corporation?
2544.110 What definitions apply to terms used in this part?
2544.115 Who may offer a donation?
2544.120 What personal services from a volunteer may be solicited and
accepted?
2544.125 Who has the authority to solicit and accept or reject a
donation?
2544.130 How will the Corporation determine whether to solicit or accept
a donation?
2544.135 How should an offer of a donation be made?

[[Page 807]]

2544.140 How will the Corporation accept or reject an offer?
2544.145 What will be done with property that is not accepted?
2544.150 How will accepted donations be recorded and used?

Authority: 42 U.S.C. 12501 et seq.

Source: 60 FR 28355, May 31, 1995, unless otherwise noted.

Sec. 2544.100 What is the purpose of this part?

This part establishes rules to ensure that the solicitation,
acceptance, holding, administration, and use of property and services
donated to the Corporation:
(a) Will not reflect unfavorably upon the ability of the Corporation
or its officers and employees, to carry out their official duties and
responsibilities in a fair and objective manner; and
(b) Will not compromise the integrity of the Corporation's programs
or its officers and employees involved in such programs.

Sec. 2544.105 What is the legal authority for soliciting and
accepting donations to the Corporation?

Section 196(a) of the National and Community Service Act of 1990, as
amended (42 U.S.C. 12651g(a)).

Sec. 2544.110 What definitions apply to terms used in this part?

(a) Donation means a transfer of money, property, or services to or
for the use of the Corporation by gift, devise, bequest, or other means.
(b) Solicitation means a request for a donation.
(c) Volunteer means an individual who donates his/her personal
service to the Corporation to assist the Corporation in carrying out its
duties under the national service laws, but who is not a participant in
a program funded or sponsored by the Corporation under the National and
Community Service Act of 1990, as amended. Such individual is not
subject to provisions of law related to Federal employment, including
those relating to hours of work, rates of compensation, leave,
unemployment compensation and Federal employee benefits, except that--
(1) Volunteers will be considered Federal employees for the purpose
of the tort claims provisions of 28 U.S.C. chapter 171;
(2) Volunteers will be considered Federal employees for the purposes
of 5 U.S.C. chapter 81, subchapter I, relating to compensation to
Federal employees for work injuries; and
(3) Volunteers will be considered special Government employees for
the purpose of ethics and public integrity under the provisions of 18
U.S.C. chapter 11, part I, and 5 CFR chapter XVI, subchapter B.
(d) Inherently governmental function means any activity that is so
intimately related to the public interest as to mandate performance by
an officer or employee of the Federal Government, including an activity
that requires either the exercise of discretion in applying the
authority of the Government or the use of value judgment in making a
decision for the Government.

Sec. 2544.115 Who may offer a donation?

Anyone, including an individual, group of individuals, organization,
corporation, or association may offer a donation to the Corporation.

Sec. 2544.120 What personal services from a volunteer may be
solicited and accepted?

A donation in the form of personal services from a volunteer may be
solicited and accepted to assist the Corporation in carrying out its
duties. However, volunteers may not perform an inherently governmental
function.

Sec. 2544.125 Who has the authority to solicit and accept or
reject a donation?

The Chief Executive Officer (CEO) of the Corporation has the
authority to solicit, accept, or reject a donation offered to the
Corporation and to make the determinations described in Sec. 2544.130
(c) and (d). The CEO may delegate this authority in writing to other
officials of the Corporation.

Sec. 2544.130 How will the Corporation determine whether
to solicit or accept a donation?

(a) The Corporation will solicit and accept a donation only for the
purpose

[[Page 808]]

of furthering the mission and goals of the Corporation.
(b) In order to be accepted, the donation must be economically
advantageous to the Corporation, considering foreseeable expenditures
for matters such as storage, transportation, maintenance, and
distribution.
(c) An official or employee of the Corporation will not solicit or
accept a donation if the solicitation or acceptance would present a real
or apparent conflict of interest. An apparent conflict of interest is
presented if the solicitation or acceptance would raise a question in
the mind of a reasonable person, with knowledge of the relevant facts,
about the integrity of the Corporation's programs or operations.
(d) The Corporation will determine whether a conflict of interest
exists by considering any business relationship, financial interest,
litigation, or other factors that may indicate such a conflict.
Donations of property or voluntary services may not be solicited or
accepted from a source which:
(1) Is a party to a grant or contract with the Corporation or is
seeking to do business with the Corporation;
(2) Has pecuniary interests that may be substantially affected by
performance or nonperformance of the Corporation; or
(3) Is an organization a majority of whose members are described in
paragraphs (d)(1) and (2) of this section.
(e) Any solicitation or offer of a donation that raises a question
or concern of a potential, real, or apparent conflict of interest will
be forwarded to the Corporation's Designated Ethics Official for an
opinion.

Sec. 2544.135 How should an offer of a donation be made?

(a) In general, an offer of donation should be made by providing a
letter of tender that offers a donation. The letter should be directed
to an official authorized to accept donations, describe the property or
service offered, and specify any purpose for, or condition on, the use
of the donation.
(b) If an offer is made orally, the Corporation will send a letter
of acknowledgment to the offeror. If the donor is anonymous, the
Corporation will prepare a memorandum to the file acknowledging receipt
of a tendered donation and describing the donation including any special
terms or conditions.
(c) Only those employees or officials with expressed notice of
authority may accept donations on behalf of the Corporation. If an offer
is directed to an unauthorized employee or official of the Corporation,
that person must immediately forward the offer to an appropriate
official for disposition.

Sec. 2544.140 How will the Corporation accept or reject an offer?

(a) In general, the Corporation will respond to an offer of a
donation in writing and include in the response:
(1) An acknowledgment of receipt of the offer;
(2) A brief description of the offer and any purpose or condition
that the offeror specified for the use of the donation;
(3) A statement either accepting or rejecting the donation; and
(4) A statement informing the donor that any acceptance of services
or property can not be used in any manner, directly or indirectly, that
endorses the donor's products or services or appears to benefit the
financial interests or business goals of the donor.
(b) If a purpose or condition for the use of the donation specified
by the offeror can not be accommodated, the Corporation may request the
offeror to modify the terms of the donation.

Sec. 2544.145 What will be done with property that is not accepted?

In general, property offered to the Corporation but not accepted
will be returned to the offeror. If the offeror is unknown or the
donation would spoil if returned, the property will either be disposed
of in accordance with Federal Property Management regulations (41 CFR
chapter 101) or given to local charities determined by the Corporation.

Sec. 2544.150 How will accepted donations be recorded and used?

(a) All accepted donations of money and other property will be
reported to the Chief Financial Officer (CFO) of the Corporation for
recording and appropriate disposition.

[[Page 809]]

(b) All donations of personal services of a volunteer will be
reported to the CFO and to the Personnel Division of the Corporation for
processing and documentation.
(c) Donations not designated for a particular purpose will be used
for an authorized purpose described in Sec. 2544.125.
(d) Property will be used as nearly as possible in accordance with
the terms of the donation. If no terms are specified, or the property
can no longer be used for its original purpose, the property will be
converted to another authorized use or sold in accordance with Federal
regulations. The proceeds of the sale will be used for an authorized
purpose described in Sec. 2544.125.

PART 2550_REQUIREMENTS AND GENERAL PROVISIONS FOR STATE
COMMISSIONS AND ALTERNATIVE ADMINISTRATIVE ENTITIES--Table of Contents

Sec.
2550.10 What is the purpose of this part?
2550.20 Definitions.
2550.30 How does a State decide whether to establish a State commission
or an alternative administrative entity?
2550.40 How does a State get Corporation authorization and approval for
the entity it has chosen?
2550.50 What are the composition requirements and other requirements,
restrictions or guidelines for State Commissions?
2550.60 From which of the State Commission requirements is an
Alternative Administrative Entity exempt?
2550.70 [Reserved]
2550.80 What are the duties of the State entities?
2550.85 How will the State Plan be assessed?
2550.90 Are there any restrictions on the activities of the members of
State Commissions or Alternative Administrative Entities?
2550.100 Do State entities or their members incur any risk of liability?
2550.110 What grants will be available from the Corporation to assist in
establishing and operating a State Commission, Alternative
Administrative Entity, or Transitional Entity?

Authority: 42 U.S.C. 12638.

Source: 58 FR 60981, Nov. 18, 1993, unless otherwise noted.

Sec. 2550.10 What is the purpose of this part?

(a) The Corporation for National and Community Service (the
Corporation) seeks to meet the Nation's pressing human, educational,
environmental and public safety needs through service and to
reinvigorate the ethic of civic responsibility across the Nation. If the
Corporation is to meet these goals, it is critical for each of the
States to be actively involved.
(b) To be eligible to apply for program funding, or approved
national service positions, each State must establish a State commission
on national and community service to administer the State program grant
making process and to develop a State plan. The Corporation may, in some
instances, approve an alternative administrative entity (AAE).
(c) The Corporation will distribute grants of between $125,000 and
$750,000 to States to cover the Federal share of operating the State
commissions or AAEs.
(d) The purpose of this part is to provide States with the basic
information essential to participate in the subtitle C programs. Of
equal importance, this part gives an explanation of the preliminary
steps States must take in order to receive money from the Corporation.
This part also offers guidance on which of the two State entities States
should seek to establish, and it explains the composition requirements,
duties, responsibilities, restrictions, and other relevant information
for State commissions and AAEs.

[58 FR 60981, Nov. 18, 1993, as amended at 67 FR 45362, July 9, 2002; 70
FR 39607, July 8, 2005]

Sec. 2550.20 Definitions.

(a) AAE. Alternative Administrative Entity.
(b) Administrative costs. As used in this part, those costs incurred
by a State in the establishing and operating a State entity; the
specific administrative costs for which a Corporation administrative
grant may be used as defined in the Uniform Administrative Requirements
for Grants and Agreements to State and Local Governments.

[[Page 810]]

(c) Alternative Administrative Entity (AAE). A State entity approved
by the Corporation to perform the duties of a State Commission,
including developing a three-year comprehensive national service plan,
preparing applications to the Corporation for funding and approved
national service positions, and administering service program grants; in
general, an AAE must meet the same composition and other requirements as
a State Commission, but may receive waivers from the Corporation to
accommodate State laws that prohibit inquiring as to the political
affiliation of members, to have more than 25 voting members (the maximum
for a State Commission), and/or to select members in a manner other than
selection by the chief executive officer of the State.
(d) Approved National Service Position. A national service program
position for which the Corporation has approved the provision of a
national service educational award as one of the benefits to be provided
for successful completion of a term of service.
(e) Corporation. As used in this part, the Corporation for National
and Community Service established pursuant to the National and Community
Service Trust Act of 1993 (42 U.S.C. 12651).
(f) Corporation representative. Each of the individuals employed by
the Corporation for National and Community Service to assist the States
in carrying out national and community service activities; the
Corporation representative must be included as a member of the State
Commission or AAE.
(g) Indian tribe. (1) An Indian tribe, band, nation, or other
organized group or community, including--
(i) Any Native village, as defined in section 3(c) of the Alaska
Native Claims Settlement Act (43 U.S.C. 1602(c)), whether organized
traditionally or pursuant to the Act of June 18, 1934 (commonly known as
the ``Indian Reorganization Act''; 48 Stat. 984, chapter 576; 25 U.S.C.
461 et seq.); and
(ii) Any Regional Corporation or Village Corporation as defined in
the Alaska Native Claims Settlement Act (43 U.S.C. 1602 (g) or (j)),
that is recognized as eligible for the special programs and services
provided by the United States under Federal law to Indians because of
their status as Indians; and
(2) Any tribal organization controlled, sanctioned, or chartered by
an entity described in paragraph (g)(1) of this section.
(h) Older adult. An individual 55 years of age or older.
(i) Service-learning. A method under which students or participants
learn and develop through active participation in thoughtfully organized
service that is conducted in and meets the needs of a community and that
is coordinated with an elementary school, secondary school, institution
of higher education, or community service program, and with the
community; service-learning is integrated into and enhances the academic
curriculum of the students, or the educational components of the
community service program in which the participants are enrolled, and it
provides time for the students or participants to reflect on the service
experience.
(j) Service learning programs. The totality of the service learning
programs receiving assistance from the Corporation under subtitle B of
the Act, either directly or through a grant-making entity; this includes
school-based, community-based, and higher education-based service-
learning programs.
(k) State. As used in this part, the term State refers to each of
the 50 States, the District of Columbia, the Commonwealth of Puerto
Rico, the United States Virgin Islands, Guam, American Samoa, and the
Commonwealth of the Northern Mariana Islands.
(l) State Commission. A bipartisan or nonpartisan State entity,
approved by the Corporation, consisting of 15-25 members (appointed by
the chief executive officer of the State), that is responsible for
developing a comprehensive national service plan, assembling
applications for funding and approved national service positions, and
administering national and community service programs in the State.
(m) State Educational Agency. The same meaning given to such term in
section 1471(23) of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 2891(23)).

[[Page 811]]

(n) State entity. A State Commission, AAE, or Transitional Entity
that has been authorized by the Corporation to perform the duties of a
State Commission.

[58 FR 60981, Nov. 18, 1993, as amended at 67 FR 45362, July 9, 2002; 70
FR 39607, July 8, 2005]

Sec. 2550.30 How does a State decide whether to establish a State
commission or an alternative administrative entity?

(a) Although each State's chief executive officer has the authority
to select an administrative option, the Corporation strongly encourages
States to establish State Commissions which meet the requirements in
this part as quickly as possible. The requirements for State Commissions
were established to try to create informed and effective entities.
(b) The Corporation recognizes that some States, for legal or other
legitimate reasons, may not be able to meet all of the requirements of
the State Commissions. The AAE is essentially the same as a State
Commission; however, it may be exempt from some of the State Commission
requirements. A State that cannot meet one of the waivable requirements
of the State Commission (as explained in Sec. 2550.60), and which can
demonstrate this to the Corporation, should seek to establish an AAE.
(c) Regardless of which entity a State employs, each State is
required to solicit broad-based, local input in an open, inclusive, non-
political planning process.

[58 FR 60981, Nov. 18, 1993, as amended at 70 FR 39607, July 8, 2005]

Sec. 2550.40 How does a State obtain Corporation authorization and
approval for the entity it has chosen?

(a) To receive approval of a State Commission or AAE, a State must
formally establish an entity that meets the corresponding composition,
membership, authority, and duty requirements of this part. (For the AAE,
a State must demonstrate why it is impossible or unreasonable to
estalbish a State Commission; an approved AAE, however, has the same
rights and responsibilities as a State Commission.) Once the entity is
established, the State must provide written notice--in a format to be
prescribed by the Corporation--to the chief executive officer of the
Corporation of the composition, membership, and authorities of the State
Commission or AAE and explain how the entity will perform its duties and
functions. Further, the State must agree to, first, request approval
from the Corporation for any subsequent changes in the composition or
duties of a State Commission or AAE the State may wish to make, and,
second, to comply with any future changes in Corporation requirements
with regard to the composition or duties of a State Commission or AAE.
If a State meets the applicable requirements, the Corporation will
approve the State Commission or AAE.
(b) If the Corporation rejects a State application for approval of a
State Commission or AAE because that application does not meet one or
more of the requirements of Sec. Sec. 2250.50 or 2550.60, it will
notify the State of the reasons for rejection and offer assistance to
make any necessary changes. The Corporation will reconsider revised
applications within 14 working days of resubmission.

[58 FR 60981, Nov. 18, 1993, as amended at 70 FR 39607, July 8, 2005]

Sec. 2550.50 What are the composition requirements and other
requirements, restrictions or guidelines for State Commissions?

The following provisions apply to both State Commissions and AAEs,
except that AAEs may obtain waivers from certain provisions as explained
in Sec. 2550.60.
(a) Size of the State Commission and terms of State Commission
members. The chief executive officer of a State must appoint 15-25
voting members to the State Commission (in addition to any non-voting
members he or she may appoint). Voting members of a State Commission
must be appointed to renewable three-year terms, except that initially a
chief executive officer must appoint a third of the members to one-year
terms and another third of the members to two-year terms.
(b) Required voting members on a State Commission. A member may
represent

[[Page 812]]

none, one, or more than one category, but each of the following
categories must be represented:
(1) A representative of a community-based agency or organization in
the State;
(2) The head of the State education agency or his or her designee;
(3) A representative of local government in the State;
(4) A representative of local labor organizations in the State;
(5) A representative of business;
(6) An individual between the ages of 16 and 25, inclusive, who is a
participant or supervisor of a service program for school-age youth, or
of a campus-based or national service program;
(7) A representative of a national service program;
(8) An individual with expertise in the educational, training, and
development needs of youth, particularly disadvantaged youth;
(9) An individual with experience in promoting the involvement of
older adults (age 55 and older) in service and volunteerism; and
(10) A representative of the volunteer sector.
(c) Appointment of other voting members of a State Commission. Any
remaining voting members of a State Commission are appointed at the
discretion of the chief executive officer of the State; however,
although this list should not be construed as exhaustive, the
Corporation suggests the following types of individuals:
(1) Educators, including representatives from institutions of higher
education and local education agencies;
(2) Experts in the delivery of human, educational, environmental, or
public safety services to communities and persons;
(3) Representatives of Indian tribes;
(4) Out-of-school or at-risk youth; and
(5) Representatives of programs that are administered or receive
assistance under the Domestic Volunteer Service Act of 1973, as amended
(DVSA) (42 U.S.C. 4950 et seq.).
(d) Appointment of ex officio, non-voting members of a State
Commission. The chief executive officer of a State may appoint as ex
officio, non-voting members of the State Commission officers or
employees of State agencies operating community service, youth service,
education, social service, senior service, or job training programs.
(e) Other composition requirements. To the extent practicable, the
chief executive officer of a State shall ensure that the membership for
the State commission is diverse with respect to race, ethnicity, age,
gender, and disability characteristics. Not more than 50 percent plus
one of the voting members of a State commission may be from the same
political party. In addition, the number of voting members of a State
commission who are officers or employees of the State may not exceed 25%
of the total membership of that State commission.
(f) Selection of Chairperson. The chairperson is elected by the
voting members of a State Commission. To be eligible to serve as
chairperson, an individual must be an appointed, voting member of a
State Commission.
(g) Vacancies. If a vacancy occurs on a State Commission, a new
member must be appointed by the chief executive officer of the State to
serve for the remainder of the term for which the predecessor of such
member was appointed. The vacancy will not affect the power of the
remaining members to execute the duties of the Commission.
(h) Compensation of State Commission members. A member of a State
Commission may not receive compensation for his or her services, but may
be reimbursed (at the discretion of the State) for travel and daily
expenses in the same manner as employees intermittently serving the
State.
(i) The role of the Corporation representative. The Corporation will
designate one of its employees to serve as a representative to each
State or group of States. This individual must be included as an ex
officio non-voting member on the State Commission. In general, the
Corporation representative will be responsible for assisting States in
carrying out national service activities.

[58 FR 60981, Nov. 18, 1993, as amended at 73 FR 53762, Sept. 17, 2008;
74 FR 46507, Sept. 10, 2009; 74 FR 48866, Sept. 25, 2009]

[[Page 813]]

Sec. 2550.60 From which of the State Commission requirements
is an Alternative Administrative Entity exempt?

(a) An AAE is not automatically exempt from any of the requirements
that govern State Commissions. However, there are three specific State
Commission requirements which the Corporation may waive if a State can
demonstrate that one or more of them is impossible or unreasonable to
meet. If the Corporation waives a State Commission requirement for a
State entity, that State entity is, de facto, an AAE. The three criteria
which may be waived for an AAE are as follows:
(1) The requirement that a State's chief executive officer appoint
the members of a State Commission. If a State can offer a compelling
reason why some or all of the State Commission members should be
appointed by the State legislature or by some other appropriate means,
the Corporation may grant a waiver.
(2) The requirement that a State Commission have 15-25 members. If a
State compellingly demonstrates why its commission should have a larger
number of members, the Corporation may grant a waiver.
(3) The requirement that not more than 50% plus one of the State
Commission's voting members be from the same political party. This
requirement was established to prevent State Commissions from being
politically motivated or controlled; however, in some States it is
illegal to require prospective members to provide information about
political party affiliation. For this or another compelling reason, the
Corporation may grant a waiver.
(b) Again, any time the Corporation grants one or more of these
waivers for a State entity, that entity becomes an AAE; in all other
respects an AAE is the same as a State Commission, having the same
requirements, rights, duties and responsibilities.

Sec. 2550.70 [Reserved]

Sec. 2550.80 What are the duties of the State entities?

Both State commissions and AAEs have the same duties. This section
lists the duties that apply to both State commissions and AAEs--
collectively referred to as State entities. Functions described in
paragraphs (e) through (j) of this section are non-policymaking and may
be delegated to another State agency or nonprofit organization. The
duties are as follows:
(a) Development of a three-year, comprehensive national and
community service plan and establishment of State priorities. The State
entity must develop and annually update a Statewide plan for national
service covering a three-year period, the beginning of which may be set
by the State, that is consistent with the Corporation's broad goals of
meeting human, educational, environmental, and public safety needs and
meets the following minimum requirements:
(1) The plan must be developed through an open and public process
(such as through regional forums or hearings) that provides for the
maximum participation and input from a broad cross-section of
individuals and organizations, including national service programs
within the State, community-based agencies, organizations with a
demonstrated record of providing educational, public safety, human, or
environmental services, residents of the State, including youth and
other prospective participants, State Educational Agencies, traditional
service organizations, labor unions, and other interested members of the
public.
(2) The plan must ensure outreach to diverse, broad-based community
organizations that serve underrepresented populations by creating State
networks and registries or by utilizing existing ones.
(3) The plan must set forth the State's goals, priorities, and
strategies for promoting national and community service and
strengthening its service infrastructure, including how Corporation-
funded programs fit into the plan.
(4) The plan may contain such other information as the State
commission considers appropriate and must contain such other information
as the Corporation may require.
(5) The plan must ensure outreach to, and coordination with,
municipalities and county governments regarding the national service
laws.

[[Page 814]]

(6) The plan must provide for effective coordination of funding
applications submitted by the State and other organizations within the
State under the national service laws.
(7) The plan must include measurable goals and outcomes for national
service programs funded through the State consistent with the
performance levels for national service programs.
(8) The plan is subject to approval by the chief executive officer
of the State.
(9) The plan must be submitted, in its entirety, in summary, or in
part, to the Corporation upon request.
(b) Selection of subtitle C programs and preparation of application
to the Corporation. Each State must:
(1) Prepare an application to the Corporation to receive funding or
education awards for national service programs operating in and selected
by the State.
(2) Administer a competitive process to select national service
programs for funding. The State is not required to select programs for
funding prior to submission of the application described in paragraph
(b)(1) of this section.
(c) Preparation of Service Learning applications. (1) The State
entity is required to assist the State education agency in preparing the
application for subtitle B school-based service learning programs.
(2) The State entity may apply to the Corporation to receive funding
for community-based subtitle programs after coordination with the State
Educational Agency.
(d) Administration of the grants program. After subtitle C and
community-based subtitle B funds are awarded, States entities will be
responsible for administering the grants and overseeing and monitoring
the performance and progress of funded programs.
(e) Evaluation and monitoring. State entities, in concert with the
Corporation, shall be responsible for implementing comprehensive, non-
duplicative evaluation and monitoring systems.
(f) Technical assistance. The State entity will be responsible for
providing technical assistance to local nonprofit organizations and
other entities in planning programs, applying for funds, and in
implementing and operating high quality programs. States should
encourage proposals from underserved communities.
(g) Program development assistance and training. The State entity
must assist in the development of subtitle C programs; such development
might include staff training, curriculum materials, and other relevant
materials and activities. A description of such proposed assistance must
be included in the State comprehensive plan referred to in paragraph (a)
of this section. A State may apply for additional subtitle C programs
training and technical assistance funds to perform these functions. The
Corporation will issue notices of availability of funds with respect to
training and technical assistance.
(h) Recruitment and placement. The State entity, as well as the
Corporation, will develop mechanisms for recruitment and placement of
people interested in participating in national service programs.
(i) Benefits. The State entity shall assist in the provision of
health and child care benefits to subtitle C program participants, as
will be specified in the regulations implementing the subtitle C
programs.
(j) Activity ineligible for assistance. A State commission or AAE
may not directly carry out any national service program that receives
financial assistance under section 121 of the NCSA or title II of the
DVSA.
(k) Make recommendations to the Corporation with respect to
priorities within the State for programs receiving assistance under
DVSA.
(l) Coordination--(1) Coordination with other State agencies. A
State entity must coordinate its activities with the activities of other
State agencies that administer Federal financial assistance programs
under the Community Services Block Grant Act (42 U.S.C. 9901 et seq.) or
other appropriate Federal financial assistance programs.
(2) Coordination with volunteer service programs. In general, the
State entity shall coordinate its functions (including recruitment,
public awareness, and training activities) with such functions of any
division of ACTION, or the Corporation, that carries out volunteer

[[Page 815]]

service programs in the State. Specifically, the State entity may enter
into an agreement with a division of ACTION or the Corporation to carry
out its functions jointly, to perform its functions itself, or to assign
responsibility for its functions to ACTION or the Corporation.
(3) In carrying out the activities under paragraphs (l)(1) and (2)
of this section, the parties involved must exchange information about
the programs carried out in the State by the State entity, a division of
ACTION or the Corporation, as well as information about opportunities to
coordinate activities.
(m) Supplemental State Service Plan for Adults Age 55 or Older. To
be eligible to receive a grant or allotment under subtitles B or C of
title I of the National and Community Service Act (42 U.S.C. 12501 et
seq.), or to receive a distribution of approved national service
positions under subtitle C of title I of that Act, a State must work
with appropriate State agencies and private entities to develop a
comprehensive State service plan for service by adults age 55 or older.
This plan must:
(1) Include the following elements:
(i) Recommendations for policies to increase service for adults age
55 or older, including how to best use such adults as sources of social
capital, and how to utilize their skills and experience to address
community needs;
(ii) Recommendations to the State agency on aging (as defined in
section 102 of the Older Americans Act of 1965, 42 U.S.C. 3002) on a
marketing outreach plan to businesses and outreach to nonprofit
organizations, the State educational agency, institutions of higher
education, and other State agencies;
(iii) Recommendations for civic engagement and multigenerational
activities, including early childhood education and care, family
literacy, and other after school programs, respite services for adults
age 55 or older and caregivers, and transitions for older adults age 55
or older to purposeful work in their post-career lives;
(2) Incorporate the current knowledge base regarding--
(i) The economic impact of the roles of workers age 55 or older in
the economy;
(ii) The social impact of the roles of such workers in the
community;
(iii) The health and social benefits of active engagement for adults
age 55 or older; and
(3) Be made available to the public and transmitted to the
Corporation.

[58 FR 60981, Nov. 18, 1993, as amended at 70 FR 39607, July 8, 2005; 73
FR 53762, Sept. 17, 2008; 74 FR 46507, Sept. 10, 2009; 74 FR 48866,
Sept. 25, 2009; 75 FR 51415, Aug. 20, 2010]

Sec. 2550.85 How will the State Plan be assessed?

The Corporation will assess the quality of your State Plan as
evidenced by:
(a) The development and quality of realistic goals and objectives
for moving service ahead in the State;
(b) The extent to which proposed strategies can reasonably be
expected to accomplish stated goals; and
(c) The extent of input in the development of the State plan from a
broad cross-section of individuals and organizations as required by
Sec. 2550.80(a)(1).

[73 FR 53762, Sept. 17, 2008]

Sec. 2550.90 Are there any restrictions on the activities of
the members of State Commissions or Alternative Administrative
Entities?

To avoid a conflict of interest (or the appearance of a conflict of
interest) regarding the provision of assistance or approved national
service positions, members of a State Commission or AAE must adhere to
the following provisions:
(a) General restriction. Members of State Commissions and AAEs are
restricted in several ways from the grant approval and administration
process for any grant application submitted by an organization for which
they are currently, or were within one year of the submission of the
application, officers, directors, trustees, full-time volunteers or
employees. The restrictions for such individuals are as follows:
(1) They cannot assist the applying organization in preparing the
grant application;
(2) They must recuse themselves from the discussions or decisions
regarding the grant application and any other grant applications
submitted to the Commission or AAE under the

[[Page 816]]

same program (e.g., subtitle B programs or subtitle C programs); and
(3) They cannot participate in the oversight, evaluation,
continuation, suspension or termination of the grant award.
(b) Exception to achieve a quorum. If this general restriction
creates a situation in which a Commission or AAE does not have enough
eligible voting members to achieve a quorum, the Commission or AAE may
involve some normally-excluded members subject to the following
conditions:
(1) A Commission or AAE may randomly and in a non-discretionary
manner select the number of refused members necessary to achieve a
quorum;
(2) Notwithstanding paragraph (b)(1) of this section, no Commission
or AAE member may, under any circumstances, participate in any
discussions or decisions regarding a grant application submitted by an
organization with which he or she is or was affiliated according to the
definitions in paragraph (a) of this section; and
(3) If recused members are included so as to achieve quorum, the
State Commission or AAE must document the event and report to the
Corporation within 30 days of the vote.
(c) Rule of construction. Paragraph (a) of this section shall not be
construed to limit the authority of any voting member of the State
Commission or AAE to participate in--
(1) Discussion of, and hearings and forums on, the general duties,
policies and operations of the Commission or AAE, or general program
administration; or
(2) Similar general matters relating to the Commission or AAE.

Sec. 2550.100 Do State entities or their members incur any risk
of liability?

(a) State liability. Except as provided in paragraph (b) of this
section, a State must agree to assume liability with respect to any
claim arising out of or resulting from any act or omission by a member
of the State Commission or AAE, within the scope of the service of that
member.
(b) Individual liability. A member of the State Commission or AAE
shall have no personal liability with respect to any claim arising out
of or resulting from any act or omission by that member, within the
scope of the service of that member. This does not, however, limit
personal liability for criminal acts or omissions, willful or malicious
misconduct, acts or omissions for private gain, or any other act or
omission outside the scope of the service of that member. Similarly,
this part does not limit or alter in any way any other immunities that
are available under applicable law for State officials and employees not
described in this section; nor does this part affect any other right or
remedy against the State or any person other than a member of a State
Commission or AAE.

Sec. 2550.110 What grants will be available from the Corporation
to assist in establishing and operating a State Commission, Alternative
Administrative
Entity, or Transitional Entity?

(a) Administrative Grants. The Corporation may make administrative
grants to States in an amount no less than $250,000 and up to $1 million
for the purpose of establishing or operating a State Commission or AAE;
these grants will be available to States which have Corporation-approved
Transitional Entities only if those States commit to establishing a
Corporation-approved State Commission or AAE prior to the expiration of
the transitional period.
(b) Limitation on Federal share. Except as provided in paragraph (c)
of this section, the amount of a grant that may be provided to a State
under this subsection, together with other Federal funds available to
establish or operate the State Commission or AAE, may not exceed 50
percent of the total cost to establish or operate the State Commission
or AAE.
(c) Alternative Match Schedule. The Corporation may permit a State
that demonstrates hardship or a new State Commission to meet alternative
matching requirements for such a grant as follows:

[[Page 817]]

------------------------------------------------------------------------
Grant amount Match requirement
------------------------------------------------------------------------
(1) First $100,000..................... No match requirement.
(2) Amounts above $100,000 but less $1 of non-Federal funds for
than $250,000. every $2 provided by the
Corporation in excess of
$100,000.
(3) Amounts greater than $250,000...... $1 of non-Federal funds for
every $1 provided by the
Corporation in excess of
$250,000.
------------------------------------------------------------------------

[74 FR 46508, Sept. 10, 2009]

PART 2551_SENIOR COMPANION PROGRAM--Table of Contents

Subpart A_General

Sec.
2551.11 What is the Senior Companion Program?
2551.12 Definitions.

Subpart B_Eligibility and Responsibilities of a Sponsor

2551.21 Who is eligible to serve as a sponsor?
2551.22 What are the responsibilities of a sponsor?
2551.23 What are a sponsor's project responsibilities?
2551.24 What are a sponsor's responsibilities for securing community
participation?
2551.25 What are a sponsor's administrative responsibilities?
2551.26-2551.33 [Reserved]

Subpart C_Suspension and Termination of AmeriCorps Assistance

2551.34 What are the rules on suspension, termination, and denial of
refunding of grants?

Subpart D_Senior Companion Eligibility, Status, and Cost Reimbursements

2551.41 Who is eligible to be a Senior Companion?
2551.42 What types of criminal convictions or other adjudications
disqualify an individual from serving as a Senior Companion or
as a Senior Companion grant-funded employee?
2551.43 What income guidelines govern eligibility to serve as a
stipended Senior Companion?
2551.44 What is considered income for determining volunteer eligibility?
2551.45 Is a Senior Companion a federal employee, an employee of the
sponsor or of the volunteer station?
2551.46 What cost reimbursements and benefits do sponsors provide to
Senior Companions?
2551.47 May the cost reimbursements and benefits of a Senior Companion
be subject to any tax or charge, be treated as wages or
compensation, or affect eligibility to receive assistance from
other programs?

Subpart E_Senior Companion Terms of Service

2551.51 What are the terms of service of a Senior Companion?
2551.52 What factors are considered in determining a Senior Companion's
service schedule?
2551.53 Under what circumstances may a Senior Companion be removed from
service?

Subpart F_Responsibilities of a Volunteer Station

2551.61 May a sponsor serve as a volunteer station?
2551.62 What are the responsibilities of a volunteer station?

Subpart G_Senior Companion Placements and Assignments

2551.71 What requirements govern the assignment of Senior Companions?
2551.72 Is a written volunteer assignment plan required for each Senior
Companion?
2551.73 May a Senior Companion serve as a volunteer leader?

Subpart H_Clients Served

2551.81 What type of clients are eligible to be served?

Subpart I_Application and Fiscal Requirements

2551.91 What is the process for application and award of a grant?
2551.92 What are project funding requirements?
2551.93 What are a sponsor's legal requirements in managing grants?

Subpart J_Non-Stipended Senior Companions

2551.101 What rule governs the recruitment and enrollment of persons who
do not meet the income eligibility guidelines to serve as
Senior Companions?
2551.102 What are the conditions of service of non-stipended Senior
Companions?

[[Page 818]]

2551.103 Must a sponsor be required to enroll non-stipended Senior
Companions?
2551.104 [Reserved]

Subpart K_Non-AmeriCorps Funded Senior Companion Projects

2551.111 Under what conditions may an agency or organization sponsor a
Senior Companion project without AmeriCorps funding?
2551.112 What are the resources and benefits to which a non-AmeriCorps
funded project is entitled?
2551.113 What financial obligation does AmeriCorps incur for non-
AmeriCorps funded projects?
2551.114 What happens if a non-AmeriCorps funded sponsor does not comply
with the NGA?

Subpart L_Restrictions and Legal Representation

2551.121 What legal limitations apply to the operation of the Senior
Companion Program and to the expenditure of grant funds?
2551.122 What legal coverage does AmeriCorps make available to Senior
Companions?

Authority: 42 U.S.C. 4950 et seq.; 42 U.S.C. 12651b-12651d; E.O.
13331, 69 FR 9911.

Source: 64 FR 14115, Mar. 24, 1999, unless otherwise noted.

Editorial Note: Nomenclature changes to part 2551 appear at 89 FR
70542, Aug. 30, 2024.

Subpart A_General

Sec. 2551.11 What is the Senior Companion Program?

The Senior Companion Program provides grants to qualified agencies
and organizations for the dual purpose of engaging persons 55 and older,
particularly those with limited incomes, in volunteer service to meet
critical community needs; and to provide a high quality experience that
will enrich the lives of the volunteers. Program funds are used to
support Senior Companions in providing supportive, individualized
services to help older adults with special needs maintain their dignity
and independence.

[74 FR 46508, Sept. 10, 2009]

Sec. 2551.12 Definitions.

[[Page 819]]

defines SCP volunteer activities, and specifies supervision
arrangements.
Memorandum of Understanding. A written statement prepared and signed
by the Senior Companion project sponsor and the volunteer station that
identifies project requirements, working relationships, and mutual
responsibilities.
Non-AmeriCorps support (excess). The amount of non-AmeriCorps cash
and in-kind contributions generated by a sponsor in excess of the
required percentage.
Non-AmeriCorps support (match). The percentage share of non-
AmeriCorps cash and in-kind contributions required to be raised by the
sponsor in support of the grant.
Performance measures. Indicators that help determine the impact of
an SCP project on the community and clients served, including the
volunteers.
Project. The locally planned SCP activity or set of activities in a
service area as approved by AmeriCorps and implemented by the sponsor.
Proprietary Health Care Agency. Private, for-profit health care
organization that serves one or more vulnerable populations.
Service area. The geographically defined area(s) in which Senior
Companions are enrolled and placed on assignments.
Service schedule. A written delineation of the days and times a
Senior Companion serves each week.
Sponsor. A public agency, including Indian Tribes as defined in
section 421(5) of the Act, and private, non-profit organizations, both
secular and faith-based, in the United States that have authority to
accept and the capability to administer a Senior Companion project.
Stipend. A payment to Senior Companions to enable them to serve
without cost to themselves. The amount of the stipend is set by
AmeriCorps in accordance with Federal law.
United States and territories. Each of the several States, the
District of Columbia, the U.S. Virgin Islands, the Commonwealth of
Puerto Rico, Guam and American Samoa, the Commonwealth of the Northern
Mariana Islands, and the Trust Territories of the Pacific Islands.
Volunteer assignment plan. A written description of a Senior
Companion's assignment with a client. The plan identifies specific
outcomes for the client and the activities of the Senior Companion.
Volunteer station. A public agency; a private, non-profit
organization, secular or faith-based; or a proprietary health care
organization. A volunteer station must accept responsibility for the
assignment and supervision of Senior Companions in health, education,
social service, or related settings such as multi-purpose centers, home
health care agencies, or similar establishments. Each volunteer station
must be licensed or otherwise certified, when required, by the
appropriate state or local government. Private homes are not volunteer
stations.

[64 FR 14115, Mar. 24, 1999, as amended at 69 FR 60094, Oct. 7, 2004; 83
FR 64644, Dec. 17, 2018; 89 FR 70541, Aug. 30, 2024]

Subpart B_Eligibility and Responsibilities of a Sponsor

Sec. 2551.21 Who is eligible to serve as a sponsor?

AmeriCorps awards grants to public agencies, including Indian tribes
as defined in section 421(5) of the Act, and private, non-profit
organizations, both secular and faith-based, in the United States that
have authority to accept and the capability to administer a Senior
Companion project.

[83 FR 64644, Dec. 17, 2018]

Sec. 2551.22 What are the responsibilities of a sponsor?

A sponsor is responsible for fulfilling all project management
requirements necessary to accomplish the purposes of the Senior
Companion Program as specified in the Act. A sponsor shall not delegate
or contract these overall management responsibilities to another entity.
AmeriCorps retains the right to determine what types of management
responsibilities may or may not be contracted.

[83 FR 64645, Dec. 17, 2018]

Sec. 2551.23 What are a sponsor's project responsibilities?

A sponsor shall:

[[Page 820]]

(a) Focus Senior Companion resources within the project's service
area, on critical problems affecting the frail elderly and other adults
with special needs.
(b) In collaboration with other community organizations or by using
existing assessments, assess the needs of the community or service area,
and develop strategies to respond to identified needs using Senior
Companions.
(c) Develop and manage one or more volunteer stations by:
(1) Ensuring that a volunteer station is a public or non-profit
private organization, whether secular or faith-based, or an eligible
proprietary health care agency, capable of serving as a volunteer
station for the placement of Senior Companions;
(2) Ensuring that the placement of Senior Companions is governed by
a Memorandum of Understanding:
(i) That is negotiated prior to placement;
(ii) That specifies the mutual responsibilities of the station and
sponsor;
(iii) That is renegotiated at least every three years;
(iv) That states the station will not discriminate against SCP
volunteers, service beneficiaries, or in the operation of its program on
the basis of race, color, national origin including individuals with
limited English proficiency, gender, age, religion, sexual orientation,
disability, gender identity or expression, political affiliation,
marital or parental status, or military service; and
(3) Reviewing volunteer placements regularly to ensure that clients
are eligible to be served.
(d) Develop service opportunities that consider the skills and
experiences of the Senior Companion.
(e) Consider the demographic make-up of the project service area in
the enrollment of Senior Companions, taking special efforts to recruit
eligible individuals from minority groups, persons with disabilities,
and under-represented groups.
(f) Provide Senior Companions with assignments that show direct and
demonstrable benefits to the adults and the community served, the Senior
Companions, and the volunteer station; with required cost reimbursements
specified in Sec. 2551.46; with 20 hours of pre-service orientation and
at least 24 hours annually of in-service training.
(g) Encourage the most efficient and effective use of Senior
Companions by coordinating project services and activities with related
national, state and local programs, including other AmeriCorps programs.
(h) Conduct an annual appraisal of volunteers' performance and
annual review of their income eligibility.
(i) Establish written service policies for Senior Companions that
include but are not limited to:
(1) Annual and sick leave.
(2) Administrative leave, meaning a temporary absence the sponsor
allows in extenuating circumstances that prevent the Senior Companion
from serving or serving safely.
(3) Holidays.
(4) Service schedules.
(5) Termination and appeal procedures.
(6) Meal and transportation reimbursements.
(j) Conduct National Service Criminal History Checks in accordance
with the requirements in 45 CFR 2540.200 through 2540.207.
(k) Provide Senior Companion volunteers with cost reimbursements
specified in this section.
(l) Make every effort to meet such performance measures as
established in the approved grant application.

[64 FR 14115, Mar. 24, 1999, as amended at 67 FR 60998, Sept. 27, 2002;
69 FR 60095, Oct. 7, 2004; 74 FR 46508, Sept. 10, 2009; 77 FR 60933,
Oct. 5, 2012; 83 FR 64645, Dec. 17, 2018; 89 FR 70541, Aug. 30, 2024]

Sec. 2551.24 What are a sponsor's responsibilities for securing
community participation?

[[Page 821]]

publicity, and meeting or exceeding performance measures;
(4) With an interest in, and knowledge of, the range of abilities of
older adults; and
(5) Of a diverse composition that reflects the demographics of the
service area.
(b) The sponsor determines how such participation shall be secured,
consistent with the provisions of paragraphs (a)(1) through (a)(5) of
this section.

[64 FR 14115, Mar. 24, 1999, as amended at 83 FR 64645, Dec. 17, 2018]

Sec. 2551.25 What are a sponsor's administrative responsibilities?

A sponsor shall:
(a) Assume full responsibility for securing maximum and continuing
community financial and in-kind support to operate the project
successfully.
(b) Provide levels of staffing and resources appropriate to
accomplish the purposes of the project and carry out its project
management responsibilities.
(c) Employ a full-time project director to accomplish project
objectives and manage the functions and activities delegate to project
staff for Senior Corps project(s) within its control. The project
director may participate in activities to coordinate project resources
with those of related local agencies, boards or organizations. A full-
time project director shall not serve concurrently in another capacity,
paid or unpaid, during established working hours. A sponsor may
negotiate the employment of a part-time project director with AmeriCorps
when the sponsor can demonstrate that such an arrangement will not
adversely affect the size, scope, or quality of project operations.
(d) Consider all project staff as sponsor employees subject to its
personnel policies and procedures.
(e) Compensate project staff at a level that is comparable to
similar staff positions in the sponsor organization and/or project
service area, as is practicable.
(f) Establish risk management policies and procedures covering
Senior Companion project activities. This includes provision of
appropriate insurance coverage for Senior Companions, which includes;
accident insurance, personal liability insurance, and excess automobile
liability insurance.
(g) Establish record keeping and reporting systems in compliance
with AmeriCorps requirements that ensure quality of program and fiscal
operations, facilitate timely and accurate submission of required
reports and cooperate with AmeriCorps evaluation and data collection
efforts.
(h) Comply with, and ensure that Memorandums of Understanding
require all volunteer stations to comply with, all applicable civil
rights laws and regulations, including non-discrimination based on
disability.

[64 FR 14115, Mar. 24, 1999, as amended at 83 FR 64645, Dec. 17, 2018;
89 FR 70541, Aug. 30, 2024]

Sec. 2551.26-2551.33 [Reserved]

Subpart C_Suspension and Termination of AmeriCorps Assistance

Sec. 2551.34 What are the rules on suspension, termination, and
denial of refunding of grants?

[[Page 822]]

hearing before an impartial hearing officer, who has been agreed to by
the recipient and AmeriCorps; and
(4) Assistance under the Act shall not be terminated for failure to
comply with applicable terms and conditions unless the recipient has
been afforded reasonable notice and opportunity for a full and fair
hearing.
(b) Hearings or other meetings as may be necessary to fulfill the
requirements of this section should, to the extent practicable, be held
in locations convenient to the recipient agency.
(c) The procedures for suspension, termination, and denial of
refunding, that apply to the Senior Companion Program are specified in
45 CFR Part 1206.

[64 FR 14115, Mar. 24, 1999. Redesignated at 72 FR 48583, Aug. 24, 2007;
83 FR 64645, Dec. 17, 2018]

Subpart D_Senior Companion Eligibility, Status, and Cost
Reimbursements

Sec. 2551.41 Who is eligible to be a Senior Companion?

(a) To be a Senior Companion, an individual must:
(1) Be 55 years of age or older; and
(2) In order to receive a stipend, have an income that is within the
income eligibility guidelines specified in this subpart D.
(b) Eligibility to serve as a Senior Companion shall not be
restricted on the basis of formal education, experience, race, color,
national origin including limited English proficiency, gender, age,
religion, sexual orientation, disability, gender identity or expression,
political affiliation, marital or parental status, or military service.

[64 FR 14115, Mar. 24, 1999, as amended at 74 FR 46508, Sept. 10, 2009;
83 FR 64645, Dec. 17, 2018]

Sec. 2551.42 What types of criminal convictions or other adjudications
disqualify an individual from serving as a Senior Companion or as
a Senior Companion
grant-funded employee?

Any individual who is registered, or who is required to be
registered, on a State sex offender registry, or who has been convicted
of murder, as defined under Federal law in section 1111 of title 18,
United States Code, is deemed unsuitable for, and may not serve in, a
position as a Senior Companion or as a Senior Companion grant-funded
employee.

[74 FR 46508, Sept. 10, 2009]

Sec. 2551.43 What income guidelines govern eligibility to serve as a stipended Senior Companion?

(a) To receive a stipend, a Senior Companion may not have an annual
income from all sources, after deducting allowable medical expenses,
which exceeds the program's income eligibility guideline for the State
in which he or she resides. The income eligibility guideline for each
State is 200 percent of the poverty line, as set forth in 42 U.S.C. 9902
(2).
(b) For applicants to become stipended Senior Companions, income is
based on annual income at the time of application. For serving stipended
Senior Companions, annual income is counted for the past 12 months.
Annual income includes the applicant or enrollee's income and that of
his/her spouse, if the spouse lives in the same residence, as calculated
in Sec. 2551.44.
(c) Allowable medical expenses are annual out-of-pocket medical
expenses for health insurance premiums, health care services, and
medications provided to the applicant, enrollee, or spouse which were
not and will not be paid by Medicare, Medicaid, other insurance, or
other third party payor, and which do not exceed 50 percent of the
applicable income guideline.
(d) Applicants whose income is not more than 100 percent of the
poverty line shall be given special consideration for enrollment.
(e) Once enrolled, a Senior Companion shall remain eligible to serve
and to receive a stipend so long as his or her income, does not exceed
the applicable income eligibility guideline by 20 percent.

[64 FR 14115, Mar. 24, 1999, as amended at 67 FR 60998, Sept. 27, 2002;
69 FR 20830, Apr. 19, 2004; Redesignated at 72 FR 48584, Aug. 24, 2007;
74 FR 46508, Sept. 10, 2009; 83 FR 64646, Dec. 17, 2018; 89 FR 70541,
Aug. 30, 2024]

[[Page 823]]

Sec. 2551.44 What is considered income for determining volunteer
eligibility?

(a) For determining eligibility, ``income'' refers to total cash or
in-kind receipts before taxes from all sources including:
(1) Money, wages, and salaries before any deduction;
(2) Receipts from self-employment or from a farm or business after
deductions for business or farm expenses;
(3) Social Security, Unemployment or Workers Compensation, alimony,
and military family allotments, or other legally required financial
support from an absent family member or someone not living in the
household.
(4) Government employee pensions, private pensions, regular
insurance or annuity payments, and 401(k) or other retirement savings
plans;
(5) Income from dividends, interest, net rents, royalties, or income
from estates and trusts.
(b) For eligibility purposes, income does not refer to the following
money receipts:
(1) Any assets drawn down as withdrawals from a bank, sale of
property, house or car, tax refunds, gifts, one-time insurance payments
or compensation from injury;
(2) Non-cash income, such as the bonus value of food and fuel
produced and consumed on farms and the imputed value of rent from owner-
occupied farm or non-farm housing;
(3) Regular payments for public assistance, including Supplemental
Nutrition Assistance Program (SNAP);
(4) Social Security Disability or any type of disability payment;
and
(5) Food or rent received in lieu of wages.

[64 FR 14115, Mar. 24, 1999. Redesignated at 72 FR 48584, Aug. 24, 2007;
83 FR 64646, Dec. 17, 2018; 89 FR 70542, Aug. 30, 2024]

Sec. 2551.45 Is a Senior Companion a federal employee, an employee
of the sponsor or of the volunteer station?

Senior Companions are volunteers, and are not employees of the
sponsor, the volunteer station, AmeriCorps, or the Federal Government.

[83 FR 64646, Dec. 17, 2018]

Sec. 2551.46 What cost reimbursements are provided to Senior Companions?

Cost reimbursements and benefits provided by sponsors include:
(a) Stipend. The stipend is paid for the time Senior Companions
spend with their assigned clients, for earned leave, for administrative
leave, and for attendance at official project events. The sponsor may
pay a stipend for administrative leave for extenuating circumstances
lasting up to seven calendar days, but must obtain AmeriCorps' written
approval to pay a stipend for administrative leave based on extenuating
circumstances lasting beyond seven calendar days.
(b) Insurance. Insurance is made available to Senior Companions with
the AmeriCorps specified minimum levels of insurance as follows:
(1) Accident insurance. Accident insurance covers Senior Companions
for personal injury during travel between their homes and places of
assignment, during their service, during meal periods while serving as a
Senior Companion, and while attending project-sponsored activities.
Protection shall be provided against claims in excess of any benefits or
services for medical care or treatment available to the Senior Companion
from other sources.
(2) Personal liability insurance. Protection is provided against
claims in excess of protection provided by other insurance. Such
protection does not include professional liability coverage.
(3) Excess automobile liability insurance. (i) For Senior Companions
who drive in connection with their service, protection is provided
against claims in excess of the greater of either:
(A) Liability insurance Senior Companions carry on their own
automobiles; or
(B) The limits of applicable state financial responsibility law, or
in its absence, levels of protection that AmeriCorps determines, and
that the sponsor must provide, for each person, and each accident, and
for property damage.
(ii) Senior Companions who drive their personal vehicles to, or on,
assignments or project-related activities,

[[Page 824]]

shall maintain personal automobile liability insurance equal to or
exceeding the levels established by AmeriCorps.
(c) Transportation. Senior Companions shall receive assistance with
the cost of transportation to and from, assignments and official project
activities, including orientation, training, and recognition events.
(d) Meals. Senior Companions may be provided assistance with the
cost of meals taken while on assignment, within limits of the project's
available resources.
(e) Recognition. Senior Companion volunteers shall be provided
recognition for their service.
(f) Physical examination. Senior Companions may be provided a
physical examination or assistance with the cost of a physical
examination prior to assignment and annually thereafter.
(g) Other volunteer expenses. Senior Companions may also be
reimbursed for allowable out-of-pocket expenses incurred while
performing their assignments.

[64 FR 14115, Mar. 24, 1999, as amended at 67 FR 60998, Sept. 27, 2002;
69 FR 20830, Apr. 19, 2004. Redesignated at 72 FR 48584, Aug. 24, 2007;
83 FR 64646, Dec. 17, 2018; 89 FR 70542, Aug. 30, 2024]

Sec. 2551.47 May the cost reimbursements and benefits of
a Senior Companion be subject to any tax or charge, be treated
as wages or compensation, or affect
eligibility to receive assistance from other programs?

No. Senior Companion's cost reimbursements and benefits are not
subject to any tax or charge or treated as wages or compensation for the
purposes of unemployment insurance, worker's compensation, temporary
disability, retirement, public assistance, or similar benefit payments
or minimum wage laws. Cost reimbursements and benefits are not subject
to garnishment and do not reduce or eliminate the level of, or
eligibility for, assistance or services a Senior Companion may be
receiving under any governmental program.

[83 FR 64646, Dec. 17, 2018]

Subpart E_Senior Companion Terms of Service

Sec. 2551.51 What are the terms of service of a Senior Companion?

A Senior Companion shall serve a minimum of 260 hours annually, or a
minimum of 5 hours per week. A Senior Companion may serve a maximum of
2080 hours annually, or a maximum of 40 hours per week. Within these
limitations, a sponsor may set service policies consistent with local
needs.

[83 FR 64646, Dec. 17, 2018]

Sec. 2551.52 What factors are considered in determining a Senior
Companion's service schedule?

(a) Travel time between the Senior Companion's home and place of
assignment is not part of the service schedule and is not stipended.
(b) Travel time between individual assignments is a part of the
service schedule and is stipended.
(c) Meal time may be part of the service schedule and is stipended.

[64 FR 14115, Mar. 24, 1999, as amended at 83 FR 64646, Dec. 17, 2018]

Sec. 2551.53 Under what circumstances may a Senior Companion
be removed from service?

(a) A sponsor may remove a Senior Companion from service for cause.
Grounds for removal include, but are not limited to: Extensive and
unauthorized absences; misconduct; failure to perform assignments or
failure to accept supervision. A Senior Companion may also be removed
from stipended service for having income in excess of the eligibility
level. A Senior Companion shall be removed immediately if ineligible to
serve based on criminal history check results.
(b) The sponsor shall establish appropriate policies on removal from
service, as well as procedures for appeal.

[83 FR 64647, Dec. 17, 2018]

Subpart F_Responsibilities of a Volunteer Station

Sec. 2551.61 May a sponsor serve as a volunteer station?

Yes. A sponsor may serve as a volunteer station, if the activities
are part

[[Page 825]]

of a work plan in the approved project application.

[83 FR 64647, Dec. 17, 2018]

Sec. 2551.62 What are the responsibilities of a volunteer station?

A volunteer station shall undertake the following responsibilities
in support of Senior Companion volunteers:
(a) Develop volunteer assignments that meet the requirements
specified in Sec. Sec. 2551.71 through 2551.72, and regularly assess
those assignments for continued appropriateness.
(b) Select eligible clients for assigned volunteers.
(c) Develop a written volunteer assignment plan for each Senior
Companion that identifies their roles and activities, each client
served, and expected outcomes.
(d) Keep a Letter of Agreement for each client who receives in-home
service.
(e) Provide Senior Companions serving the station with:
(1) Orientation to the station and any in-service training necessary
to enhance performance of assignments; and
(2) Resources required for performance of assignments, including
reasonable accommodation, as needed, to enable Senior Companions with
disabilities to perform the essential functions of their service.
(f) Designate a staff member to oversee fulfillment of station
responsibilities and supervision of Senior Companions while on
assignment.
(g) Keep records and prepare reports required by the sponsor.
(h) Provide for the safety of Senior Companions assigned to it.
(i) Comply with all applicable civil rights laws and regulations,
including providing Senior Companions with disabilities reasonable
accommodation, to perform the essential functions of their service.
(j) Undertake such other responsibilities as may be necessary for
the successful performance of Senior Companions in their assignments or
as agreed to in the Memorandum of Understanding.

[64 FR 14115, Mar. 24, 1999, as amended at 83 FR 64647, Dec. 17, 2018]

Subpart G_Senior Companion Placements and Assignments

Sec. 2551.71 What requirements govern the assignment
of Senior Companions?

(a) Senior Companion assignments shall provide for Senior Companions
to give direct services to one or more eligible adults that:
(1) Result in person-to-person supportive relationships with each
client served.
(2) Support the achievement and maintenance of the highest level of
independent living for their clients.
(3) Are meaningful to the Senior Companion.
(4) Are supported by appropriate orientation, training, and
supervision.
(b) Senior Companions shall not provide services such as those
performed by medical personnel, services to large numbers of clients,
custodial services, administrative support services, or other services
that would detract from their assignment.

[67 FR 60999, Sept. 27, 2002, as amended at 83 FR 64647, Dec. 17, 2018]

Sec. 2551.72 Is a written volunteer assignment plan required for
each Senior Companion?

(a) All Senior Companions performing direct services to individual
clients in home settings and individual clients in community-based
settings, shall receive a written volunteer assignment plan developed by
the volunteer station that:
(1) Is approved by the sponsor and accepted by the Senior Companion;
(2) Identifies the client(s) to be served;
(3) Identifies the role and activities of the Senior Companion and
expected outcomes for the client(s);
(4) Addresses the period of time each client is expected to receive
such services; and
(5) Is used to review the impact of the assignment on the client(s).
(b) [Reserved]

[67 FR 60999, Sept. 27, 2002, as amended at 83 FR 64647, Dec. 17, 2018]

[[Page 826]]

Sec. 2551.73 May a Senior Companion serve as a volunteer leader?

Yes. Senior Companions--who on the basis of experience as
volunteers, special skills, and demonstrated leadership abilities--may
spend time, in addition to their regular assignment, to assist newer
Senior Companion volunteers in performing their assignments and in
coordinating activities of such volunteers.
(a) All Senior Companions serving as volunteer leaders shall receive
a written volunteer assignment plan developed by the volunteer station
that:
(1) Is approved by the sponsor and accepted by the Senior Companion;
(2) Identifies the role and activities of the Senior Companion and
expected outcomes;
(3) Addresses the period of time of service; and
(4) Is used to review the status of the Senior Companion's services
identified in the assignment plan, as well as the impact of those
services.
(b)While serving in the capacity of a volunteer leader, a Senior
Companion may be paid a stipend (at the same rate as the established
Senior Companion stipend) for his or her additional hours served as a
volunteer leader.
(c) Senior Companion leaders, through recognition, may receive an
additional monetary incentive.

[83 FR 64647, Dec. 17, 2018]

Subpart H_Clients Served

Sec. 2551.81 What type of clients are eligible to be served?

Senior Companions serve only adults, primarily older adults, who
have one or more physical, emotional, or mental health limitations and
are in need of assistance to achieve and maintain their highest level of
independent living.

Subpart I_Application and Fiscal Requirements

Sec. 2551.91 What is the process for application and award of a grant?

(a) How and when may an eligible organization apply for a grant? (1)
An eligible organization may file an application in response to
AmeriCorps' published request, such as a Notice of Funding Opportunity
or a Notice of Funding Availability. Applicants are not assured of
selection or approval and may have to compete with other applicants.
(2) The applicant shall comply with the provisions of Executive
Order 12372, ``Intergovernmental Review of Federal Programs,'' (3 CFR,
1982 Comp., p. 197) in 45 CFR part 1233 and any other applicable
requirements.
(b) Who reviews the merits of an application and how is a grant
awarded? (1) AmeriCorps reviews and determines the merit of an
application by its responsiveness to published guidelines and to the
overall purposes and objectives of the program. When funds are
available, AmeriCorps awards a grant in writing to each applicant whose
grant proposal provides the best potential for serving the purpose of
the program.
(2) The award will be documented by the Notice of Grant Award (NGA).
AmeriCorps and the sponsoring organization are the parties to the NGA.
The NGA will document the sponsor's commitment to fulfill specific
programmatic objectives and financial obligations. It will document the
extent of AmeriCorps' obligation to provide financial support to the
sponsor.
(c) What happens if AmeriCorps rejects an application? AmeriCorps
will notify the applicant if the applicant is not approved for funding,
along with an explanation of AmeriCorps' decision.
(d) For what period of time does AmeriCorps award a grant?
AmeriCorps awards a Senior Companion grant for a specified period that
is usually three years in duration.

[83 FR 64647, Dec. 17, 2018, as amended at 89 FR 70542, Aug. 30, 2024]

Sec. 2551.92 What are project funding requirements?

(a) Is non-AmeriCorps support required? A AmeriCorps grant may be
awarded to fund up to 90 percent of the cost of development and
operation of a Senior Companion project. The sponsor is required to
contribute at least 10 percent of the total project cost from non-
Federal sources or authorized Federal sources.

[[Page 827]]

(b) Under what circumstances does AmeriCorps allow less than the 10
percent non-AmeriCorps support? AmeriCorps may allow exceptions to the
10 percent local support requirement in cases of demonstrated need such
as:
(1) Initial difficulties in the development of local funding sources
during the first three years of operations; or
(2) An economic downturn, the occurrence of a natural disaster, or
similar events in the service area that severely restrict or reduce
sources of local funding support; or
(3) The unexpected discontinuation of local support from one or more
sources that a project has relied on for a period of years.
(c) May AmeriCorps restrict how a sponsor uses locally generated
contributions in excess of the 10 percent non-AmeriCorps support
required? Whenever locally generated contributions to Senior Companion
projects are in excess of the minimum 10 percent non-AmeriCorps support
required, AmeriCorps may not restrict the manner in which such
contributions are expended provided such expenditures are consistent
with the provisions of the Act.
(d) Are program expenditures subject to audit? All expenditures by
the grantee of Federal and non-Federal funds, including expenditures
from excess locally generated contributions in support of the grant, are
subject to audit by AmeriCorps, its Inspector General, or their
authorized agents.
(e) May a sponsor pay stipends at rates different than those
established by AmeriCorps? A sponsor must pay stipends at rates no less
than the rate established by AmeriCorps. A sponsor may use non-
AmeriCorps funding to pay stipends at rates higher than the rate
established by AmeriCorps but may not use AmeriCorps funding for this
purpose.

[64 FR 14115, Mar. 24, 1999, as amended at 75 FR 51415, Aug. 20, 2010;
83 FR 64647, Dec. 17, 2018; 89 FR 70542, Aug. 30, 2024; 89 FR 70542,
Aug. 30, 2024]

Sec. 2551.93 What are a sponsor's legal requirements
in managing grants?

What rules govern a sponsor's management of grants?
(a) A sponsor shall manage a grant in accordance with:
(1) The Act;
(2) Regulations in this part;
(3) 2 CFR part 200 and 2 CFR part 2205;
(4) All applicable AmeriCorps policies; and
(5) All other applicable AmeriCorps requirements.
(b) Project support provided under a AmeriCorps grant shall be
furnished at the lowest possible cost consistent with the effective
operation of the project.
(c) Volunteer expense items, including transportation, meals,
recognition activities and items purchased at the volunteers' own
expense and which are not reimbursed, are not allowable as contributions
to the non-Federal share of the budget.
(d) Costs to bring a sponsor into basic compliance with
accessibility requirements for individuals with disabilities are not
allowable costs.
(e) Payments to settle discrimination complaints, either through a
settlement agreement or formal adjudication, are not allowable costs.
(f) Written AmeriCorps approval is required for the following
changes in the approved grant:
(1) Reduction in budgeted volunteer service years.
(2) Change in the service area.

[79 FR 76077, Dec. 19, 2014, as amended at 83 FR 64648, Dec. 17, 2018]

Subpart J_Non-Stipended Senior Companions

Sec. 2551.101 What rule governs the recruitment and enrollment
of persons who do not meet the income eligibility guidelines to
serve as Senior Companions?

Over-income persons as described in Sec. 2551.43, age 55 or over,
may be enrolled in SCP project as non-stipended volunteers.

[83 FR 64648, Dec. 17, 2018]

Sec. 2551.102 What are the conditions of service of
non-stipended Senior Companions?

Non-stipended Senior Companions serve under the following
conditions:

[[Page 828]]

(a) They must not displace or prevent eligible low-income
individuals from becoming Senior Companions.
(b) No special privilege or status is granted or created among
Senior Companions, whether stipended or non-stipended, and equal
treatment is required.
(c) Training, supervision, and other support services and cost
reimbursements, other than the stipend, are available equally to all
Senior Companions.
(d) All regulations and requirements applicable to the program apply
to Senior Companions.
(e) Non-stipended Senior Companions may contribute the costs they
incur in connection with their participation in the program. An SCP
project may not count such contributions as part of the required non-
AmeriCorps support (match) for the grant.

[64 FR 14115, Mar. 24, 1999, as amended at 83 FR 64648, Dec. 17, 2018;
89 FR 70542, Aug. 30, 2024]

Sec. 2551.103 Must a sponsor be required to enroll non-stipended
Senior Companions?

No. Enrollment of non-stipended Senior Companions is not a condition
for a sponsor to receive a new or continuation grant.

[83 FR 64648, Dec. 17, 2018]

Sec. 2551.104 [Reserved]

Subpart K_Non-AmeriCorps Funded Senior Companion Projects

Sec. 2551.111 Under what conditions may an agency or
organization sponsor a Senior Companion project without
AmeriCorps funding?

An eligible agency or organization who wishes to sponsor a Senior
Companion project without AmeriCorps funding must make an application
through the designated grants management system which is approved by
AmeriCorps and documented through the Notice of Grant Agreement (NGA).

[83 FR 64648, Dec. 17, 2018]

Sec. 2551.112 What are the resources and benefits to which
a non-AmeriCorps funded project is entitled?

The Notice of Grant Award entitles the sponsor of a non-AmeriCorps
funded project to:
(a) All technical assistance and materials provided to AmeriCorps
funded Senior Companion projects; and
(b) The application of the provisions of 42 U.S.C. 5044 and 5058.

[64 FR 14115, Mar. 24, 1999, as amended at 83 FR 64648, Dec. 17, 2018;
89 FR 70542, Aug. 30, 2024]

Sec. 2551.113 What financial obligation does AmeriCorps incur
for non-AmeriCorps funded projects?

Issuance of an NGA to a sponsor of a non-AmeriCorps funded project
does not create a financial obligation on the part of AmeriCorps for any
costs associated with the project.

[83 FR 64648, Dec. 17, 2018, as amended at 89 FR 70542, Aug. 30, 2024]

Sec. 2551.114 What happens if a non-AmeriCorps funded sponsor
does not comply with the NGA?

A non-AmeriCorps funded project sponsor's noncompliance with the NGA
may result in suspension or termination AmeriCorps' agreement and all
benefits specified in Sec. 2551.112.

[83 FR 64648, Dec. 17, 2018, as amended at 89 FR 70542, Aug. 30, 2024]

Subpart L_Restrictions and Legal Representation

Sec. 2551.121 What legal limitations apply to the operation of
the Senior Companion Program and to the expenditure of grant funds?

[[Page 829]]

(i) Any partisan or nonpartisan political activity associated with a
candidate, or contending faction or group, in an election; or
(ii) Any activity to provide voters or prospective voters with
transportation to the polls or similar assistance in connection with any
such election; or
(iii) Any voter registration activity, except that voter
registration applications and nonpartisan voter registration information
may be made available to the public at the premises of the sponsor. But
in making registration applications and nonpartisan voter registration
information available, employees of the sponsor shall not express
preferences or seek to influence decisions concerning any candidate,
political party, election issue, or voting decision.
(3) The sponsor shall not use grant funds in any activity for the
purpose of influencing the passage or defeat of legislation or proposals
by initiative petition, except:
(i) In any case in which a legislative body, a committee of a
legislative body, or a member of a legislative body requests any
volunteer in, or employee of such a program to draft, review or testify
regarding measures or to make representation to such legislative body,
committee or member; or
(ii) In connection with an authorization or appropriations measure
directly affecting the operation of the Senior Companion Program.
(b) Non-displacement of employed workers. A Senior Companion shall
not perform any service or duty or engage in any activity which would
otherwise be performed by an employed worker or which would supplant the
hiring of or result in the displacement of employed workers, or impair
existing contracts for service.
(c) Compensation for service. (1) An agency or organization to which
AmeriCorps Seniors volunteers are assigned or which operates or
supervises any AmeriCorps Seniors program shall not request or receive
any compensation from AmeriCorps Seniors volunteers, or from
beneficiaries, for the services provided by AmeriCorps Seniors
volunteers.
(2) This section does not prohibit a sponsor from soliciting and
accepting voluntary contributions from the community at large to meet
its local support obligations under the grant or from entering into
agreements with parties other than beneficiaries to support additional
volunteers beyond those supported by AmeriCorps.
(3) A Senior Companion volunteer station may contribute to the
financial support of the Senior Companion Program. However, this support
shall not be a required precondition for a potential station to obtain
Senior Companion service.
(4) If a volunteer station agrees to provide funds to support
additional Senior Companions or pay for other Senior Companion support
costs, the agreement shall be stated in a written Memorandum of
Understanding. The sponsor shall withdraw services if the station's
inability to provide monetary or in-kind support to the project under
the Memorandum of Understanding diminishes or jeopardizes the project's
financial capabilities to fulfill its obligations.
(5) Under no circumstances shall a Senior Companion receive a fee
for service from service recipients, their legal guardian, members of
their family, or friends.
(d) Labor and anti-labor activity. The sponsor shall not use grant
funds directly or indirectly to finance labor or anti-labor organization
or related activity.
(e) Fair labor standards. A sponsor that employs laborers and
mechanics for construction, alteration, or repair of facilities shall
pay wages at prevailing rates as determined by the Secretary of Labor in
accordance with the Davis-Bacon Act, as amended, 40 U.S.C. 276a.
(f) Nondiscrimination. A sponsor or sponsor employee shall not
discriminate against a Senior Companion on the basis of race, color,
national origin, sex, age, religion, or political affiliation, or on the
basis of disability, if the Senior Companion with a disability is
qualified to serve.
(g) Religious activities. (1) A Senior Companion or a member of the
project staff funded by AmeriCorps shall not give religious instruction,
conduct worship services, or engage in any form of

[[Page 830]]

proselytization as part of his/her duties.
(2) A sponsor or volunteer station may retain its independence and
may continue to carry out its mission, including the definition,
development, practice, and expression of its religious beliefs, provided
that it does not use AmeriCorps funds to support any inherently
religious activities, such as worship, religious instruction, or
proselytization, as part of the programs or services funded. If an
organization conducts such activities, the activities must be offered
separately, in time or location, from the programs or services funded
under this part.
(h) Nepotism. Persons selected for project staff positions shall not
be related by blood or marriage to other project staff, sponsor staff or
officers, or members of the sponsor Board of Directors, unless there is
written concurrence from the Advisory Council or community group
established by the sponsor under subpart B of this part, and with
notification to AmeriCorps.

[64 FR 14115, Mar. 24, 1999, as amended at 69 FR 60095, Oct. 7, 2004; 83
FR 64648, Dec. 17, 2018; 89 FR 70542, Aug. 30, 2024]

Sec. 2551.122 What legal coverage does AmeriCorps make available
to Senior Companions?

It is within AmeriCorps' discretion to determine if Counsel is
employed and counsel fees, court costs, bail and other expenses
incidental to the defense of a SCP volunteer are paid in a criminal,
civil or administrative proceeding, when such a proceeding arises
directly out of performance of the volunteer's activities. The
circumstances under which AmeriCorps may pay such expenses are specified
in 45 CFR part 1220.

[83 FR 64649, Dec. 17, 2018, as amended at 89 FR 70542, Aug. 30, 2024]

PART 2552_FOSTER GRANDPARENT PROGRAM--Table of Contents

Subpart A_General

Sec.
2552.11 What is the Foster Grandparent Program?
2552.12 Definitions.

Subpart B_Eligibility and Responsibilities of a Sponsor

2552.21 Who is eligible to serve as a sponsor?
2552.22 What are the responsibilities of a sponsor?
2552.23 What are a sponsor's project responsibilities?
2552.24 What are a sponsor's responsibilities for securing community
participation?
2552.25 What are a sponsor's administrative responsibilities?
2552.26-2552.33 [Reserved]

Subpart C_Suspension and Termination of AmeriCorps Assistance

2552.34 What are the rules on suspension, termination, and denial of
refunding of grants? (eff. until 11-22-07)

Subpart D_Foster Grandparent Eligibility, Status, Cost Reimbursements
and Benefits

2552.41 Who is eligible to be a Foster Grandparent?
2552.42 What types of criminal convictions or other adjudications
disqualify an individual from serving as a Foster Grandparent
or as a Foster Grandparent grant-funded employee?
2552.43 What income guidelines govern eligibility to serve as a
stipended Foster Grandparent?
2552.44 What is considered income for determining volunteer eligibility?
2552.45 Is a Foster Grandparent a federal employee, an employee of the
sponsor or of the volunteer station?
2552.46 What cost reimbursements and benefits do sponsors provide to
Foster Grandparents?
2552.47 May the cost reimbursements and benefits received by a Foster
Grandparent be subject to any tax or charge, be treated as
wages or compensation, or affect eligibility to receive
assistance from other programs?

Subpart E_Foster Grandparent Terms of Service

2552.51 What are the terms of service of a Foster Grandparent?
2552.52 What factors are considered in determining a Foster
Grandparent's service schedule?
2552.53 Under what circumstances may a Foster Grandparent be removed
from service?

Subpart F_Responsibilities of a Volunteer Station

2552.61 May a sponsor serve as a volunteer station?

[[Page 831]]

2552.62 What are the responsibilities of a volunteer station?

Subpart G_Foster Grandparent Placements and Assignments

2552.71 What requirements govern the assignment of Foster Grandparents?
2552.72 Is a written volunteer assignment plan required for each Foster
Grandparent?

Subpart H_Children and Youth Served

2552.81 Who is eligible to be served?
2552.82 Under what circumstances may a Foster Grandparent continue to
serve an individual beyond his or her 21st birthday?

Subpart I_Application and Fiscal Requirements

2552.91 What is the process for application and award of a grant?
2552.92 What are project funding requirements?
2552.93 What are a sponsor's legal requirements in managing grants?

Subpart J_Non-Stipended Foster Grandparents

2552.101 What rule governs the recruitment and enrollment of persons who
do not meet the income eligibility guidelines to serve as
Foster Grandparents?
2552.102 What are the conditions of service of non-stipended Foster
Grandparents?
2552.103 Must a sponsor be required to enroll non-stipended Foster
Grandparents?
2552.104 [Reserved]

Subpart K_Non-AmeriCorps Funded Foster Grandparent Projects

2552.111 Under what conditions may an agency or organization sponsor a
Foster Grandparent project without AmeriCorps funding?
2552.112 What are the resources and benefits to which a non-AmeriCorps
funded project is entitled?
2552.113 What financial obligation does AmeriCorps incur for non-
AmeriCorps funded projects?
2552.114 What happens if a non-AmeriCorps funded sponsor does not comply
with the NGA?

Subpart L_Restrictions and Legal Representation

2552.121 What legal limitations apply to the operation of the Foster
Grandparent Program and to the expenditure of grant funds?
2552.122 What legal coverage does AmeriCorps make available to Foster
Grandparents?

Authority: 42 U.S.C. 4950 et seq.; 42 U.S.C. 12651b-12651d; E.O.
13331, 69 FR 9911.

Source: 64 FR 14126, Mar. 24, 1999, unless otherwise noted.

Editorial Note: Nomenclature changes to part 2552 appear at 89 FR
70544, Aug. 30, 2024.

Subpart A_General

Sec. 2552.11 What is the Foster Grandparent Program?

The Foster Grandparent Program provides grants to qualified agencies
and organizations for the dual purpose of engaging persons 55 and older,
particularly those with limited incomes, in volunteer service to meet
critical community needs; and to provide a high quality experience that
will enrich the lives of the volunteers. Program funds are used to
support Foster Grandparents in providing supportive, person to person
service to children with special and or exceptional needs, or in
circumstances that limit their academic, social or emotional
development.

[83 FR 64649, Dec. 17, 2018]

Sec. 2552.12 Definitions.

[[Page 832]]

established under Parts A, B, C, and E, Title II of the Act.
Annual income. The applicant's or enrollee's total income, as
calculated in Sec. 2552.44, over the preceding 12 months.
Chief Executive Officer. The Chief Executive Officer of AmeriCorps
appointed under the National and Community Service Act of 1990, as
amended, (NCSA), 42 U.S.C. 12501 et seq.
Child. Any individual who is less than 21 years of age.
Children having exceptional needs. Children who have a developmental
disability, such as those who have autism; an intellectual disability;
cerebral palsy or epilepsy; a visual, speech, hearing, or orthopedic
impairment; an emotional, behavioral, or language disorder; a specific
learning disability; multiple disabilities; other significant health
impairments; or have literacy, math or other educational assistance
needs. Before a Foster Grandparent is assigned to a child, existence of
the child's exceptional need shall be verified by an appropriate
professional, such as a physician; psychiatrist; psychologist, including
school psychologists; registered nurse or licensed practical nurse;
speech therapist; licensed clinical social worker; or educator.
Children with special needs. Children who are abused or neglected,
in need of foster care, adjudicated youth, homeless youth, teenage
parents, and children in need of protective intervention in their homes.
Existence of a child's special need shall be verified by an appropriate
professional before a Foster Grandparent is assigned to the child.
Cost reimbursements. Reimbursements budgeted as Volunteer Expenses
and provided to volunteers, including stipends to cover incidental
costs; transportation; meals; recognition; supplemental accident,
personal liability and excess automobile liability insurance; and other
expenses as negotiated in the Memorandum of Understanding.
In-home. The non-institutional assignment of a Foster Grandparent in
a private residence or a foster home.
Letter of Agreement. A written agreement between a volunteer station
or sponsor and the person(s) served or the person legally responsible
for that person. It authorizes the assignment of an FGP volunteer in the
home of a client, defines FGP volunteer activities, and specifies
supervision arrangements.
Memorandum of Understanding. A written statement prepared and signed
by the Foster Grandparent project sponsor and the volunteer station that
identifies project requirements, working relationships, and mutual
responsibilities.
Non-AmeriCorps support (excess). The amount of non-Federal cash and
in-kind contributions generated by a sponsor in excess of the required
percentage.
Non-AmeriCorps support (match). The percentage share of non-
AmeriCorps cash and in-kind contributions required to be raised by the
sponsor in support of the grant.
Non-AmeriCorps support (excess). The amount of non-Federal cash and
in-kind contributions generated by a sponsor in excess of the required
percentage.
Parent. A natural parent or a person acting in place of a natural
parent, such as a guardian, a child's natural grandparent, or a step-
parent with whom the child lives. The term also includes otherwise-
unrelated individuals who are legally responsible for a child's welfare.
Performance measures. Indicators that help determine the impact of
an FGP project on the community and clients served, including the
volunteers.
Project. The locally planned FGP activity or set of activities in a
service area as approved by AmeriCorps and implemented by the sponsor.
Proprietary Health Care Agency. Private, for-profit health care
organization that serves one or more vulnerable populations.
Service area. The geographically defined area(s) in which Foster
Grandparents are enrolled and placed on assignments.
Service schedule. A written delineation of the days and times a
Foster Grandparent serves each week.
Sponsor. A public agency, including Indian Tribes as defined in
section 421(5) of the Act, and private, non-profit organizations, both
secular and faith-based, in the United States that have authority to
accept and the capability to administer a Foster Grandparent project.

[[Page 833]]

Stipend. A payment to Foster Grandparents to enable them to serve
without cost to themselves. The amount of the stipend is set by
AmeriCorps in accordance with Federal law.
United States and Territories. Each of the several States, the
District of Columbia, the U.S. Virgin Islands, the Commonwealth of
Puerto Rico, Guam and American Samoa, the Commonwealth of the Northern
Mariana Islands, and the Trust Territories of the Pacific Islands.
Volunteer assignment plan. A written description of a Foster
Grandparent's assignment with a child. The plan identifies specific
outcomes for the child and the activities of the Foster Grandparent.
Volunteer station. A public agency; a private, non-profit
organization, secular or faith-based; or a proprietary health care
organization. A volunteer station must accept responsibility for the
assignment and supervision of Foster Grandparents in health, education,
social service, or related settings such as multi-purpose centers, home
health care agencies, or similar establishments. Each volunteer station
must be licensed or otherwise certified, when required, by the
appropriate state or local government. Private homes are not volunteer
stations.

[64 FR 14126, Mar. 24, 1999, as amended at 69 FR 60095, Oct. 7, 2004; 83
FR 64649, Dec. 17, 2018; 89 FR 70542, Aug. 30, 2024]

Subpart B_Eligibility and Responsibilities of a Sponsor

Sec. 2552.21 Who is eligible to serve as a sponsor?

[83 FR 64650, Dec. 17, 2018]

Sec. 2552.22 What are the responsibilities of a sponsor?

A sponsor is responsible for fulfilling all project management
requirements necessary to accomplish the purposes of the Foster
Grandparent Program as specified in the Act. A sponsor shall not
delegate or contract these overall management responsibilities to
another entity. AmeriCorps retains the right to determine what types of
management responsibilities may or may not be contracted.

[83 FR 64650, Dec. 17, 2018]

Sec. 2552.23 What are a sponsor's project responsibilities?

A sponsor shall:
(a) Focus Foster Grandparent resources, within the project's service
area, on providing supportive services and companionship to children
with special and exceptional needs, or in circumstances that limit their
academic, social or emotional development.
(b) In collaboration with other community organizations or by using
existing assessments, assess the needs of the community or service area,
and develop strategies to respond to identified needs using Foster
Grandparents.
(c) Develop and manage one or more volunteer stations by:
(1) Ensuring that a volunteer station is a public or non-profit
private organization, whether secular or faith-based, or an eligible
proprietary health care agency, capable of serving as a volunteer
station for the placement of Foster Grandparents;
(2) Ensuring that the placement of Foster Grandparents will be
governed by a Memorandum of Understanding:
(i) That is negotiated prior to placement;
(ii) That specifies the mutual responsibilities of the station and
sponsor;
(iii) That is renegotiated at least every three years;
(iv) That states the station will not discriminate against FGP
volunteers, service beneficiaries, or in the operation of its program on
the basis of race, color, national origin including individuals with
limited English proficiency, gender, age, religion, sexual orientation,
disability, gender identity or expression, political affiliation,
marital or parental status, or military service; and
(3) Reviewing volunteer placements regularly to ensure that clients
are eligible to be served.

[[Page 834]]

(d) Develop Foster Grandparent service opportunities to support
locally-identified needs of eligible children in a way that considers
the skills and experiences of Foster Grandparents.
(e) Consider the demographic make-up of the project service area in
the enrollment of Foster Grandparents, taking special efforts to recruit
eligible individuals from minority groups, persons with disabilities,
and under-represented groups.
(f) Provide Foster Grandparents with assignments that show direct
and demonstrable benefits to the children and the community served, the
Foster Grandparents, and the volunteer station; with required cost
reimbursements specified in Sec. 2552.46; with 20 hours of pre-service
orientation and at least 24 hours annually of in-service training.
(g) Encourage the most efficient and effective use of Foster
Grandparents by coordinating project services and activities with
related national, state and local programs, including other AmeriCorps
programs.
(h) Conduct an annual appraisal of volunteers' performance and
annual review of their income eligibility.
(i) Establish written service policies for Foster Grandparents that
include but are not limited to:
(1) Annual and sick leave.
(2) Administrative leave, meaning a temporary absence the sponsor
allows in extenuating circumstances that prevent the Foster Grandparent
from serving or serving safely.
(3) Holidays.
(4) Service schedules.
(5) Termination and appeal procedures.
(6) Meal and transportation reimbursements.
(j) Conduct National Service Criminal History Checks in accordance
with the requirements in 45 CFR 2540.200 through 2540.207.
(k) Provide Foster Grandparent volunteers with cost reimbursements
specified in this section.
(l) Make every effort to meet such performance measures as
established in the approved grant application.

[64 FR 14126, Mar. 24, 1999, as amended at 67 FR 61000, Sept. 27, 2002;
69 FR 60095, Oct. 7, 2004; 74 FR 46508, Sept. 10, 2009; 77 FR 60934,
Oct. 5, 2012; 83 FR 64650, Dec. 17, 2018; 89 FR 70543, Aug. 30, 2024]

Sec. 2552.24 What are a sponsor's responsibilities for securing
community participation?

(a) A sponsor shall secure community participation in local project
operation by establishing an Advisory Council or a similar
organizational structure with a membership that includes people:
(1) Knowledgeable of human and social needs of the community;
(2) With an interest in the field of community service and
volunteerism;
(3) Capable of helping the sponsor satisfy its administrative and
program responsibilities including fund-raising, publicity and meeting
or exceeding performance measures;
(4) With an interest in, and knowledge of, the range of abilities of
older adults; and
(5) Of a diverse composition that reflects the demographics of the
service area.
(b) The sponsor determines how such participation shall be secured
consistent with the provisions of paragraphs (a)(1) through (a)(5) of
this section.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64650, Dec. 17, 2018]

Sec. 2552.25 What are a sponsor's administrative responsibilities?

[[Page 835]]

with those of related local agencies, boards or organizations. A full-
time project director shall not serve concurrently in another capacity,
paid or unpaid, during established working hours. A sponsor may
negotiate the employment of a part-time project director with AmeriCorps
when the sponsor can demonstrate that such an arrangement will not
adversely affect the size, scope or quality of project operations.
(d) Consider all project staff as sponsor employees subject to its
personnel policies and procedures.
(e) Compensate project staff at a level that is comparable to
similar staff positions in the sponsor organization and/or project
service area, as is practicable.
(f) Establish risk management policies and procedures covering
Foster Grandparent project activities. This includes provision of
appropriate insurance coverage for Foster Grandparents, which includes;
accident insurance, personal liability insurance, and excess automobile
liability insurance.
(g) Establish record keeping and reporting systems in compliance
with AmeriCorps requirements that ensure quality of program and fiscal
operations, facilitate timely and accurate submission of required
reports and cooperate with AmeriCorps evaluation and data collection
efforts.
(h) Comply with, and ensure that Memorandums of Understanding
require all volunteer stations to comply with, all applicable civil
rights laws and regulations, including non-discrimination based on
disability.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64650, Dec. 17, 2018;
89 FR 70543, Aug. 30, 2024]

Sec. 2552.26-2552.33 [Reserved]

Subpart C_Suspension and Termination of AmeriCorps Assistance

Sec. 2552.34 What are the rules on suspension, termination,
and denial of refunding of grants?

(a) The Chief Executive Officer or designee is authorized to suspend
further payments or to terminate payments under any grant providing
assistance under the Act whenever he/she determines there is a material
failure to comply with applicable terms and conditions of the grant. The
Chief Executive Officer shall prescribe procedures to ensure that:
(1) Assistance under the Act shall not be suspended for failure to
comply with applicable terms and conditions, except in emergency
situations for thirty days;
(2) An application for refunding under the Act may not be denied
unless the recipient has been given:
(i) Notice at least 75 days before the denial of such application of
the possibility of such denial and the grounds for any such denial; and
(ii) Opportunity to show cause why such action should not be taken;
(3) In any case where an application for refunding is denied for
failure to comply with the terms and conditions of the grant, the
recipient shall be afforded an opportunity for an informal hearing
before an impartial hearing officer, who has been agreed to by the
recipient and AmeriCorps; and
(4) Assistance under the Act shall not be terminated for failure to
comply with applicable terms and conditions unless the recipient has
been afforded reasonable notice and opportunity for a full and fair
hearing.
(b) Hearings or other meetings as may be necessary to fulfill the
requirements of this section should, to the extent practicable, be held
in locations convenient to the grant recipient.
(c) The procedures for suspension, termination, and denial of
refunding, that apply to the Foster Grandparent Program are specified in
45 CFR part 1206.

[64 FR 14126, Mar. 24, 1999. Redesignated at 72 FR 48584, Aug. 24, 2007;
83 FR 64650, Dec. 17, 2018]

Subpart D_Foster Grandparent Eligibility, Status, Cost Reimbursements
and Benefits

Sec. 2552.41 Who is eligible to be a Foster Grandparent?

(a) To be a Foster Grandparent an individual must:
(1) Be 55 years of age or older; and
(2) In order to receive a stipend, have an income that is within the
income

[[Page 836]]

eligibility guidelines specified in this subpart.
(b) Eligibility to serve as a Foster Grandparent shall not be
restricted on the basis of formal education, experience, race, color,
national origin including limited English proficiency, gender, age,
religion, sexual orientation, disability, gender identity or expression,
political affiliation, marital or parental status, or military service.

[64 FR 14126, Mar. 24, 1999, as amended at 74 FR 46509, Sept. 10, 2009;
83 FR 64651, Dec. 17, 2018]

Sec. 2552.42 What types of criminal convictions or other
adjudications disqualify an individual from serving as a Foster
Grandparent or as a Foster
Grandparent grant-funded employee?

Any individual who is registered, or who is required to be
registered, on a State sex offender registry, or who has been convicted
of murder, as defined under Federal law in section 1111 of title 18,
United States Code, is deemed unsuitable for, and may not serve in, a
position as a Foster Grandparent or as a Foster Grandparent grant-funded
employee.

[74 FR 46509, Sept. 10, 2009]

Sec. 2552.43 What income guidelines govern eligibility to serve
as a stipended Foster Grandparent?

(a) To receive a stipend, a Foster Grandparent may not have an
annual income from all sources, after deducting allowable medical
expenses, which exceeds the program's income eligibility guideline for
the State in which he or she resides. The income eligibility guideline
for each State is 200 percent of the poverty line, as set forth in 42
U.S.C. 9902 (2).
(b) For applicants to become stipended Foster Grandparents, income
is based on annual income at the time of application. For serving
stipended Foster Grandparents, annual income is counted for the past 12
months. Annual income includes the applicant or enrollee's income and
that of his/her spouse, if the spouse lives in the same residence, as
calculated in Sec. 2552.44.
(c) Allowable medical expenses are annual out-of-pocket medical
expenses for health insurance premiums, health care services, and
medications provided to the applicant, enrollee, or spouse which were
not and will not be paid by Medicare, Medicaid, other insurance, or
other third party pay or, and which do not exceed 50 percent of the
applicable income guideline.
(d) Applicants whose income is not more than 100 percent of the
poverty line shall be given special consideration for enrollment.
(e) Once enrolled, a Foster Grandparent shall remain eligible to
serve and to receive a stipend so long as his or her income, does not
exceed the applicable income eligibility guideline by 20 percent.

[64 FR 14126, Mar. 24, 1999, as amended at 67 FR 61000, Sept. 27, 2002;
69 FR 19775, Apr. 14, 2004. Redesignated at 72 FR 48585, Aug. 24, 2007;
74 FR 46509, Sept. 10, 2009; 83 FR 64651, Dec. 17, 2018; 89 FR 70543,
Aug. 30, 2024]

Sec. 2552.44 What is considered income for determining volunteer eligibility?

(a) For determining eligibility, ``income'' refers to total cash and
in-kind receipts before taxes from all sources including:
(1) Money, wages, and salaries before any deduction;
(2) Receipts from self-employment or from a farm or business after
deductions for business or farm expenses;
(3) Social Security, Unemployment or Workers Compensation, alimony,
and military family allotments, or other legally required financial
support from an absent family member or someone not living in the
household.
(4) Government employee pensions, private pensions, regular
insurance or annuity payments, and 401(k) or other retirement savings
plans;
(5) Income from dividends, interest, net rents, royalties, or income
from estates and trusts.
(b) For eligibility purposes, income does not refer to the following
money receipts:
(1) Any assets drawn down as withdrawals from a bank, sale of
property, house or car, tax refunds, gifts, one-time insurance payments
or compensation from injury.
(2) Non-cash income, such as the bonus value of food and fuel
produced

[[Page 837]]

and consumed on farms and the imputed value of rent from owner-occupied
farm or non-farm housing.
(3) Regular payments for public assistance including the
Supplemental Nutrition Assistance Program (SNAP).
(4) Social Security Disability or any type of disability payment.
(5) Food or rent received in lieu of wages.

[64 FR 14126, Mar. 24, 1999. Redesignated at 72 FR 48585, Aug. 24, 2007;
83 FR 64651, Dec. 17, 2018; 89 FR 70543, Aug. 30, 2024]

Sec. 2552.45 Is a Foster Grandparent a federal employee, an
employee of the sponsor or of the volunteer station?

Foster Grandparents are volunteers, and are not employees of the
sponsor, the volunteer station, AmeriCorps or the Federal Government.

[83 FR 64651, Dec. 17, 2018]

Sec. 2552.46 What cost reimbursements and benefits do
sponsors provide to Foster Grandparents?

Cost reimbursements and benefits include:
(a) Stipend. The stipend is paid for the time Foster Grandparents
spend with their assigned children, for earned leave, for administrative
leave, and for attendance at official project events. The sponsor may
pay a stipend for administrative leave for extenuating circumstances
lasting up to seven calendar days but must obtain AmeriCorps' written
approval to pay a stipend for administrative leave based on extenuating
circumstances lasting beyond seven calendar days.
(b) Insurance. A Foster Grandparent is provided with the AmeriCorps
specified minimum levels of insurance as follows:
(1) Accident insurance. Accident insurance covers Foster
Grandparents for personal injury during travel between their homes and
places of assignment, during their service, during meal periods while
serving as a Foster Grandparent, and while attending project-sponsored
activities. Protection shall be provided against claims in excess of any
benefits or services for medical care or treatment available to the
Foster Grandparent from other sources.
(2) Personal liability insurance. Protection is provided against
claims in excess of protection provided by other insurance. Such
protection does not include professional liability coverage.
(3) Excess automobile liability insurance. (i) For Foster
Grandparents who drive in connection with their service, protection is
provided against claims in excess of the greater of either:
(A) Liability insurance Foster Grandparents carry on their own
automobiles; or
(B) The limits of applicable state financial responsibility law, or
in its absence, levels of protection to be determined by AmeriCorps for
each person, each accident, and for property damage.
(ii) Foster Grandparents who drive their personal vehicles to, or
on, assignments or project-related activities, shall maintain personal
automobile liability insurance equal to or exceeding the levels
established by AmeriCorps.
(c) Transportation. Foster Grandparents shall receive assistance
with the cost of transportation to and from, assignments and official
project activities, including orientation, training, and recognition
events.
(d) Meals. Foster Grandparents may be provided assistance with the
cost of meals taken while on assignment, within limits of the project's
available resources.
(e) Recognition. Foster Grandparent volunteers shall be provided
recognition for their service.
(f) Physical examination. Foster Grandparents may be provided a
physical examination or assistance with the cost of a physical
examination prior to assignment and annually thereafter.
(g) Other volunteer expenses. Foster Grandparents may also be
reimbursed for allowable out-of-pocket expenses incurred while
performing their assignments.

[64 FR 14126, Mar. 24, 1999, as amended at 69 FR 19775, Apr. 14, 2004;
69 FR 56718, Sept. 22, 2004. Redesignated at 72 FR 48585, Aug. 24, 2007;
83 FR 64651, Dec. 17, 2018; 89 FR 70543, Aug. 30, 2024]

[[Page 838]]

Sec. 2552.47 May the cost reimbursements and benefits received
by a Foster Grandparent be subject to any tax or charge, be treated
as wages or compensation,
or affect eligibility to receive assistance from other
programs?

No. Foster Grandparent's cost reimbursements and benefits are not
subject to any tax or charge or treated as wages or compensation for the
purposes of unemployment insurance, worker's compensation, temporary
disability, retirement, public assistance, or similar benefit payments
or minimum wage laws. Cost reimbursements and benefits are not subject
to garnishment and do not reduce or eliminate the level of, or
eligibility for, assistance or services a Foster Grandparent may be
receiving under any governmental program.

[83 FR 64651, Dec. 17, 2018]

Subpart E_Foster Grandparent Terms of Service

Sec. 2552.51 What are the terms of service of a Foster Grandparent?

A Foster Grandparent shall serve a minimum of 260 hours annually, or
a minimum of 5 hours per week. A Foster Grandparent may serve a maximum
of 2080 hours annually, or a maximum of 40 hours per week. Within these
limitations, a sponsor may set service policies consistent with local
needs.

[83 FR 64652, Dec. 17, 2018]

Sec. 2552.52 What factors are considered in determining a Foster
Grandparent's service schedule?

(a) Travel time between the Foster Grandparent's home and place of
assignment is not part of the service schedule and is not stipended.
(b) Travel time between individual assignments is a part of the
service schedule and is stipended.
(c) Meal time may be part of the service schedule and is stipended.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64652, Dec. 17, 2018]

Sec. 2552.53 Under what circumstances may a Foster Grandparent
be removed from service?

(a) A sponsor may remove a Foster Grandparent from service for
cause. Grounds for removal include, but are not limited to: Extensive
and unauthorized absences; misconduct; failure to perform assignments or
failure to accept supervision. A Foster Grandparent may also be removed
from stipended service for having income in excess of the eligibility
level. A Foster Grandparent shall be removed immediately if ineligible
to serve based on criminal history check results.
(b) The sponsor shall establish appropriate policies on removal from
service, as well as procedures for appeal.

[83 FR 64652, Dec. 17, 2018]

Subpart F_Responsibilities of a Volunteer Station

Sec. 2552.61 May a sponsor serve as a volunteer station?

Yes. A sponsor may serve as a volunteer station, if the activities
are part of a work plan in the approved project application.

[83 FR 64652, Dec. 17, 2018]

Sec. 2552.62 What are the responsibilities of a volunteer station?

A volunteer station shall undertake the following responsibilities
in support of Foster Grandparent volunteers:
(a) Develop volunteer assignments that meet the requirements
specified in Sec. Sec. 2552.71 through 2552.72 and regularly assess
those assignments for continued appropriateness.
(b) Select eligible children for assigned volunteers.
(c) Develop a written volunteer assignment plan for each Foster
Grandparent that identifies their roles and activities, each child
served, and expected outcomes.
(d) Keep a Letter of Agreement for each child who receives in-home
service.
(e) Provide Foster Grandparents serving the station with:
(1) Orientation to the station and any in-service training necessary
to enhance performance of assignments; and

[[Page 839]]

(2) Resources required for performance of assignments, including
reasonable accommodation, as needed, to enable Foster Grandparents with
disabilities to perform the essential functions of their service; and
(f) Designate a staff member to oversee fulfillment of station
responsibilities and supervision of Foster Grandparents while on
assignment.
(g) Keep records and prepare reports required by the sponsor.
(h) Provide for the safety of Foster Grandparents assigned to it.
(i) Comply with all applicable civil rights laws and regulations,
including providing Foster Grandparents with disabilities reasonable
accommodation, to perform the essential functions of their service.
(j) Undertake such other responsibilities as may be necessary for
the successful performance of Foster Grandparents in their assignments
or as agreed to in the Memorandum of Understanding.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64652, Dec. 17, 2018]

Subpart G_Foster Grandparent Placements and Assignments

Sec. 2552.71 What requirements govern the assignment of
Foster Grandparents?

Foster Grandparent assignments shall:
(a) Provide for Foster Grandparents to give direct services to one
or more eligible children.
(b) Result in person-to-person supportive relationships with each
child served. Foster Grandparent volunteers cannot be assigned to roles
such as teacher's aides, group leaders or other similar positions that
would detract from the person-to-person relationship.
(c) Support the development and growth of each child served.
(d) Be meaningful to the Foster Grandparent.
(e) Be supported by appropriate orientation, training and
supervision.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64652, Dec. 17, 2018]

Sec. 2552.72 Is a written volunteer assignment plan required
for each Foster Grandparent?

(a) All Foster Grandparents shall receive a written volunteer
assignment plan developed by the volunteer station that:
(1) Is approved by the sponsor and accepted by the Foster
Grandparent;
(2) Identifies the individual child(ren) to be served;
(3) Identifies the role and activities of the Foster Grandparent and
expected outcomes for the child;
(4) Addresses the period of time each child should receive such
services; and
(5) Is used to review the impact of the assignment on the
child(ren).
(b) [Reserved]

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64652, Dec. 17, 2018]

Subpart H_Children and Youth Served

Sec. 2552.81 Who is eligible to be served?

Foster Grandparents serve only children and youth with special and
exceptional needs, or in circumstances that limit their academic,
social, or emotional development, who are less than 21 years of age.

[74 FR 46509, Sept. 10, 2009, as amended at 83 FR 64652, Dec. 17, 2018]

Sec. 2552.82 Under what circumstances may a Foster Grandparent
continue to serve an individual beyond his or her 21st birthday?

(a) Only when a Foster Grandparent has been assigned to, and has
developed a relationship with an individual with a disability, may that
assignment continue beyond the individual's 21st birthday, provided
that:
(1) Such individual was receiving such services prior to attaining
the chronological age of 21, and the continuation of service is in the
best interest of the individual; and
(2) The sponsor determines that it is in the best interest of both
the Foster Grandparent and the individual for the assignment to
continue. Such a determination will be made through mutual agreement by
all parties involved in the provision of services to the individual
served.

[[Page 840]]

(b) In cases where the assigned Foster Grandparent becomes
unavailable to serve a particular individual, the replacement of that
Foster Grandparent shall be made through mutual agreement by all parties
involved.
(c) The sponsor may terminate service to a child with a disability
over age 21, if it determines that such service is no longer in the best
interest of either the Foster Grandparent or the individual served.

[64 FR 14126, Mar. 24, 1999, as amended at 74 FR 46509, Sept. 10, 2009;
74 FR 48866, Sept. 25, 2009; 83 FR 64652, Dec. 17, 2018]

Subpart I_Application and Fiscal Requirements

Sec. 2552.91 What is the process for application
and award of a grant?

(a) How and when may an eligible organization apply for a grant? (1)
An eligible organization may file an application in response to
AmeriCorps' published request, such as a Notice of Funding Opportunity
or a Notice of Funding Availability. Applicants are not assured of
selection or approval and may have to compete with other applicants.
(2) The applicant shall comply with the provisions of Executive
Order 12372, ``Intergovernmental Review of Federal Programs,'' (3 CFR,
1982 Comp., p. 197) in 45 CFR part 1233 and any other applicable
requirements.
(b) Who reviews the merits of an application and how is a grant
awarded? (1) AmeriCorps reviews and determines the merit of an
application by its responsiveness to published guidelines and to the
overall purposes and objectives of the program. When funds are
available, AmeriCorps awards a grant in writing to each applicant whose
grant proposal provides the best potential for serving the purpose of
the program.
(2) The award will be documented by the Notice of Grant Award (NGA).
AmeriCorps and the sponsoring organization are the parties to the NGA.
The NGA will document the sponsor's commitment to fulfill specific
programmatic objectives and financial obligations. It will document the
extent of AmeriCorps' obligation to provide financial support to the
sponsor.
(c) What happens if AmeriCorps rejects an application? AmeriCorps
will return an application that is not approved for funding to the
applicant with an explanation of AmeriCorps' decision.
(d) For what period of time does AmeriCorps award a grant?
AmeriCorps awards a Foster Grandparent grant for a specified period that
is usually three years in duration.

[83 FR 64652, Dec. 17, 2018, as amended at 89 FR 70544, Aug. 30, 2024]

Sec. 2552.92 What are project funding requirements?

(a) Is non-AmeriCorps support required? A AmeriCorps grant may be
awarded to fund up to 90 percent of the cost of development and
operation of a Foster Grandparent project. The sponsor is required to
contribute at least 10 percent of the total project cost from non-
Federal sources or authorized Federal sources.
(b) Under what circumstances does AmeriCorps allow less than the 10
percent non-AmeriCorps support? AmeriCorps may allow exceptions to the
10 percent local support requirement in cases of demonstrated need such
as:
(1) Initial difficulties in the development of local funding sources
during the first three years of operations; or
(2) An economic downturn, the occurrence of a natural disaster, or
similar events in the service area that severely restrict or reduce
sources of local funding support; or
(3) The unexpected discontinuation of local support from one or more
sources that a project has relied on for a period of years.
(c) May AmeriCorps restrict how a sponsor uses locally generated
contributions in excess of the 10 percent non-AmeriCorps support
required? Whenever locally generated contributions to Foster Grandparent
projects are in excess of the minimum 10 percent non-AmeriCorps support
required, AmeriCorps may not restrict the manner in which such
contributions are expended provided such expenditures are consistent
with the provisions of the Act.
(d) Are program expenditures subject to audit? All expenditures by
the grantee

[[Page 841]]

of Federal and non-Federal funds, including expenditures from excess
locally generated contributions in support of the grant are subject to
audit by AmeriCorps, its Inspector General, or their authorized agents.
(e) May a sponsor pay stipends at rates different than those
established by AmeriCorps? A sponsor must pay stipends at rates no less
than the rate established by AmeriCorps. A sponsor may use non-
AmeriCorps funding to pay stipends at rates higher than the rate
established by AmeriCorps, but may not use AmeriCorps funding for this
purpose.

[64 FR 14126, Mar. 24, 1999, as amended at 75 FR 51415, Aug. 20, 2010;
83 FR 64652, Dec. 17, 2018; 89 FR 70543, Aug. 30, 2024]

Sec. 2552.93 What are a sponsor's legal requirements in managing
grants?

[79 FR 76077, Dec. 19, 2014, as amended at 83 FR 64653, Dec. 17, 2018]

Subpart J_Non-Stipended Foster Grandparents

Sec. 2552.101 What rule governs the recruitment and enrollment
of persons who do not meet the income eligibility guidelines to
serve as Foster Grandparents?

Over-income persons as described in Sec. 2552.43, age 55 or over,
may be enrolled in FGP project as non-stipended volunteers.

[83 FR 64653, Dec. 17, 2018]

Sec. 2552.102 What are the conditions of service of non-stipended
Foster Grandparents?

Non-stipended Foster Grandparents serve under the following
conditions:
(a) They must not displace or prevent eligible low-income
individuals from becoming Foster Grandparents.
(b) No special privilege or status is granted or created among
Foster Grandparents, whether stipended or non-stipended, and equal
treatment is required.
(c) Training, supervision, and other support services and cost
reimbursements, other than the stipend, are available equally to all
Foster Grandparents.
(d) All regulations and requirements applicable to the program apply
to all Foster Grandparents.
(e) Non-stipended Foster Grandparents may contribute the costs they
incur in connection with their participation in the program. An FGP
project may not count such contributions as part of the required non-
AmeriCorps support (match) for the grant.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64653, Dec. 17, 2018]

Sec. 2552.103 Must a sponsor be required to enroll non-stipended
Foster Grandparents?

No. Enrollment of non-stipended Foster Grandparents is not a
condition for a sponsor to receive a new or continuation grant.

[83 FR 64653, Dec. 17, 2018]

[[Page 842]]

Sec. 2552.104 [Reserved]

Subpart K_Non-AmeriCorps Funded Foster Grandparent Projects

Sec. 2552.111 Under what conditions may an agency or organization
sponsor a Foster Grandparent project without AmeriCorps funding?

An eligible agency or organization who wishes to sponsor a Foster
Grandparent project without AmeriCorps funding must make an application
through the designated grants management system which is approved by
AmeriCorps and documented through the Notice of Grant Agreement (NGA).

[83 FR 64653, Dec. 17, 2018]

Sec. 2552.112 What are the resources and benefits to which a
non-AmeriCorps funded project is entitled?

The Notice of Grant Award entitles the sponsor of a non-AmeriCorps
funded project to:
(a) All technical assistance and materials provided to AmeriCorps
funded Foster Grandparent projects; and
(b) The application of the provisions of 42 U.S.C. 5044 and 5058.

[64 FR 14126, Mar. 24, 1999, as amended at 83 FR 64653, Dec. 17, 2018;
89 FR 70544, Aug. 30, 2024]

Sec. 2552.113 What financial obligation does AmeriCorps incur
for non-AmeriCorps funded projects?

Issuance of an NGA to a sponsor of a non-AmeriCorps funded project
does not create a financial obligation on the part of AmeriCorps for any
costs associated with the project.

[83 FR 64653, Dec. 17, 2018]

Sec. 2552.114 What happens if a non-AmeriCorps funded sponsor
does not comply with the NGA?

A non-AmeriCorps funded project sponsor's noncompliance with the NGA
may result in suspension or termination AmeriCorps' agreement and all
benefits specified in Sec. 2552.112.

[83 FR 64653, Dec. 17, 2018, as amended at 89 FR 70544, Aug. 30, 2024]

Subpart L_Restrictions and Legal Representation

Sec. 2552.121 What legal limitations apply to the operation of
the Foster Grandparent Program and to the expenditure of grant funds?

(a) Political activities. (1) No part of any grant shall be used to
finance, directly or indirectly, any activity to influence the outcome
of any election to public office, or any voter registration activity.
(2) No project shall be conducted in a manner involving the use of
funds, the provision of services, or the employment or assignment of
personnel in a matter supporting or resulting in the identification of
such project with:
(i) Any partisan or nonpartisan political activity associated with a
candidate, or contending faction or group, in an election; or
(ii) Any activity to provide voters or prospective voters with
transportation to the polls or similar assistance in connection with any
such election; or
(iii) Any voter registration activity, except that voter
registration applications and nonpartisan voter registration information
may be made available to the public at the premises of the sponsor. But
in making registration applications and nonpartisan voter registration
information available, employees of the sponsor shall not express
preferences or seek to influence decisions concerning any candidate,
political party, election issue, or voting decision.
(3) The sponsor shall not use grant funds in any activity for the
purpose of influencing the passage or defeat of legislation or proposals
by initiative petition, except:
(i) In any case in which a legislative body, a committee of a
legislative body, or a member of a legislative body requests any
volunteer in, or employee of such a program to draft, review or testify
regarding measures or to make representation to such legislative body,
committee or member; or
(ii) In connection with an authorization or appropriations measure
directly affecting the operation of the FGP.
(b) Non-displacement of employed workers. A Foster Grandparent shall
not perform any service or duty or engage

[[Page 843]]

in any activity which would otherwise be performed by an employed worker
or which would supplant the hiring of or result in the displacement of
employed workers, or impair existing contracts for service.
(c) Compensation for service. (1) An agency or organization to which
AmeriCorps Seniors volunteers are assigned or which operates or
supervises any AmeriCorps Seniors program shall not request or receive
any compensation from AmeriCorps Seniors volunteers, or from
beneficiaries, for the services provided by AmeriCorps Seniors
volunteers.
(2) This section does not prohibit a sponsor from soliciting and
accepting voluntary contributions from the community at large to meet
its local support obligations under the grant or from entering into
agreements with parties other than beneficiaries to support additional
volunteers beyond those supported by AmeriCorps.
(3) A Foster Grandparent volunteer station may contribute to the
financial support of the FGP. However, this support shall not be a
required precondition for a potential station to obtain Foster
Grandparent service.
(4) If a volunteer station agrees to provide funds to support
additional Foster Grandparents or pay for other Foster Grandparent
support costs, the agreement shall be stated in a written Memorandum of
Understanding. The sponsor shall withdraw services if the station's
inability to provide monetary or in-kind support to the project under
the Memorandum of Understanding diminishes or jeopardizes the project's
financial capabilities to fulfill its obligations.
(5) Under no circumstances shall a Foster Grandparent receive a fee
for service from service recipients, their legal guardian, members of
their family, or friends.
(d) Labor and anti-labor activity. The sponsor shall not use grant
funds directly or indirectly to finance labor or anti-labor organization
or related activity.
(e) Fair labor standards. A sponsor that employs laborers and
mechanics for construction, alteration, or repair of facilities shall
pay wages at prevailing rates as determined by the Secretary of Labor in
accordance with the Davis-Bacon Act, as amended, 40 U.S.C. 276a.
(f) Nondiscrimination. A sponsor or sponsor employee shall not
discriminate against a Foster Grandparent on the basis of race, color,
national origin, sex, age, religion, or political affiliation, or on the
basis of disability, if the Foster Grandparent with a disability is
qualified to serve.
(g) Religious activities. (1) A Foster Grandparent or a member of
the project staff funded by AmeriCorps shall not give religious
instruction, conduct worship services or engage in any form of
proselytization as part of his/her duties.
(2) A sponsor or volunteer station may retain its independence and
may continue to carry out its mission, including the definition,
development, practice, and expression of its religious beliefs, provided
that it does not use AmeriCorps funds to support any inherently
religious activities, such as worship, religious instruction, or
proselytization, as part of the programs or services funded. If an
organization conducts such activities, the activities must be offered
separately, in time or location, from the programs or services funded
under this part.
(h) Nepotism. Persons selected for project staff positions shall not
be related by blood or marriage to other project staff, sponsor staff or
officers, or members of the sponsor Board of Directors, unless there is
written concurrence from the Advisory Council or community group
established by the sponsor under subpart B of this part, and with
notification to AmeriCorps.

[64 FR 14126, Mar. 24, 1999, as amended at 69 FR 60095, Oct. 7, 2004; 83
FR 64653, Dec. 17, 2018; 89 FR 70544, Aug. 30, 2024]

Sec. 2552.122 What legal coverage does AmeriCorps make
available to Foster Grandparents?

It is within AmeriCorps' discretion to determine if Counsel is
employed and counsel fees, court costs, bail and other expenses
incidental to the defense of a FGP volunteer are paid in a criminal,
civil or administrative proceeding, when such a proceeding arises
directly out of performance of the volunteer's activities. The
circumstances under

[[Page 844]]

which AmeriCorps may pay such expenses are specified in 45 CFR part
1220.

[83 FR 64654, Dec. 17, 2018, as amended at 89 FR 70544, Aug. 30, 2024]

PART 2553_THE RETIRED AND SENIOR VOLUNTEER PROGRAM--Table of Contents

Subpart A_General

Sec.
2553.11 What is the Retired and Senior Volunteer Program?
2553.12 Definitions.

Subpart B_Eligibility and Responsibilities of a Sponsor

2553.21 Who is eligible to serve as a sponsor?
2553.22 What are the responsibilities of a sponsor?
2553.23 What are a sponsor's project responsibilities?
2553.24 What are a sponsor's responsibilities for securing community
participation?
2553.25 What are a sponsor's administrative responsibilities?
2553.26 [Reserved]

Subpart C_Suspension, Termination and Denial of Refunding

2553.31 What are the rules on suspension, termination and denial of
refunding of grants?

Subpart D_Eligibility, Cost Reimbursements and Volunteer Assignments

2553.41 Who is eligible to be an RSVP volunteer?
2553.42 Is an RSVP volunteer a federal employee, an employee of the
sponsor or of the volunteer station?
2553.43 What cost reimbursements and benefits may sponsors provide to
RSVP volunteers?
2553.44 May cost reimbursements received by RSVP volunteers be subject
to any tax or charge, treated as wages or compensation, or
affect eligibility to receive assistance from other programs?

Subpart E_Volunteer Terms of Service

2553.51 What are the terms of service of an RSVP volunteer?
2553.52 Under what circumstances may a sponsor remove an RSVP volunteer
from service?

Subpart F_Responsibilities of a Volunteer Station

2553.61 When may a sponsor serve as a volunteer station?
2553.62 What are the responsibilities of a volunteer station?

Subpart G_Application and Fiscal Requirements

2553.71 What is the process for application and award of a grant?
2553.72 What are project funding requirements?
2553.73 What are a sponsor's legal requirements in managing grants?

Subpart H_Non-AmeriCorps Funded Projects

2553.81 Under what conditions may an agency or organization sponsor an
RSVP project without AmeriCorps funding?
2553.82 What are the resources and benefits to which a non-AmeriCorps
funded project is entitled?
2553.83 What financial obligation does AmeriCorps incur for non-
AmeriCorps funded projects?
2553.84 What happens if a non-AmeriCorps funded sponsor does not comply
with the NGA?

Subpart I_Restrictions and Legal Representation

2553.91 What legal limitations apply to the operation of the RSVP
volunteer Program and to the expenditure of grant funds?
2553.92 What legal coverage does AmeriCorps make available to RSVP
volunteers?

Subpart J_Performance Measures

2553.101 What is the purpose of performance measurement?
2553.102 What performance measurement information must be part of an
application for funding under RSVP?
2553.103 Who develops the performance measures?
2553.104 What performance measures must be submitted to AmeriCorps and
how are these submitted?
2553.105 How are performance measures approved and documented?
2553.106 How does a sponsor report performance measures to AmeriCorps?
2553.107 What must a sponsor do if it cannot meet its performance
measures?
2553.108 What happens if a sponsor fails to meet the target performance
measures included in the approved grant application?

Authority: 42 U.S.C. 4950 et seq.

Source: 64 FR 14135, Mar. 24, 1999, unless otherwise noted.

[[Page 845]]

Editorial Note: Nomenclature changes to part 2553 appear at 89 FR
70545, Aug. 30, 2024.

Subpart A_General

Sec. 2553.11 What is the Retired and Senior Volunteer Program?

The Retired and Senior Volunteer Program (RSVP) provides grants to
qualified agencies and organizations for the dual purpose of: engaging
persons 55 and older in volunteer service to meet critical community
needs; and to provide a high quality experience that will enrich the
lives of volunteers.

Sec. 2553.12 Definitions.

Act. The Domestic Volunteer Service Act of 1973, as amended, Public
Law 93-113, Oct. 1, 1973, 87 Stat. 396, 42 U.S.C. 4950 et seq.
Adequate staffing level. The number of project staff or full-time
equivalent needed by a sponsor to manage the AmeriCorps Seniors project
operations considering such factors as: Number of budgeted volunteers,
number of volunteer stations, and the size of the service area.
AmeriCorps. The Corporation for National and Community Service,
established pursuant to section 191 of the National and Community
Service Act of 1990, as amended, 42 U.S.C. 12651, which operates as
AmeriCorps.
AmeriCorps Seniors. The collective name for the Senior Companion
Program (SCP), the Foster Grandparent Program (FGP), the Retired and
Senior Volunteer Program (RSVP), and Demonstration Programs, all of
which are established under Parts A, B, C, and E, Title II of the Act.
Assignment. The activities, functions, or responsibilities to be
performed by volunteers identified in a written outline or description.
Assignment description. The written description of the activities,
functions, or responsibilities to be performed by RSVP volunteers.
Chief Executive Officer. The Chief Executive Officer of AmeriCorps
appointed under the National and Community Service Act of 1990, as
amended, (NCSA), 42 U.S.C. 12501 et seq.
Cost reimbursements. Reimbursements budgeted as Volunteer Expenses
and provided to volunteers, including stipends to cover incidental
costs, transportation, meals, recognition, supplemental accident,
personal liability and excess automobile liability insurance, and other
expenses as negotiated in the Memorandum of Understanding.
Letter of Agreement. A written agreement between a volunteer station
or sponsor and the person(s) served or the person legally responsible
for that person. It authorizes the assignment of an RSVP volunteer in
the home of a client, defines RSVP volunteer activities, and specifies
supervision arrangements.
Memorandum of Understanding. A written statement prepared and signed
by the RSVP project sponsor and the volunteer station that identifies
project requirements, working relationships, and mutual
responsibilities.
Non-AmeriCorps support (excess). The amount of non-AmeriCorps cash
and in-kind contributions generated by a sponsor in excess of the
required percentage.
Non-AmeriCorps support (match). The percentage share of non-
AmeriCorps cash and in-kind contributions required to be raised by the
sponsor in support of the grant.
Performance measures. Indicators that help determine the impact of
an RSVP project on the community, including the volunteers.
Project. The locally planned RSVP activity or set of activities in a
service area as approved by AmeriCorps and implemented by the sponsor.
Proprietary Health Care Agency. Private, for-profit health care
organization that serves one or more vulnerable populations.
Service area. The geographically defined area(s) approved in the
grant application, in which RSVP volunteers are enrolled and placed on
assignments.
Sponsor. A public agency, including Indian Tribes as defined in
section 421(5) of the Act, and private, non-profit organizations, both
secular and faith-based, in the United States that have authority to
accept and the capability to administer an RSVP project.
United States and Territories. Each of the several States, the
District of Columbia, the U.S. Virgin Islands, the Commonwealth of
Puerto Rico, Guam

[[Page 846]]

and American Samoa, the Commonwealth of the Northern Mariana Islands,
and the Trust Territories of the Pacific Islands.
Volunteer station. A public agency; a private, non-profit
organization, secular or faith-based; or a proprietary health care
organization. A volunteer station must accept responsibility for the
assignment and supervision of RSVP volunteers in health, education,
social service, or related settings such as multi-purpose centers, home
health care agencies, or similar establishments. Each volunteer station
must be licensed or otherwise certified, when required, by the
appropriate state or local government. Private homes are not volunteer
stations.

[64 FR 14135, Mar. 24, 1999, as amended at 69 FR 60095, Oct. 7, 2004; 76
FR 20246, Apr. 12, 2011; 83 FR 64654, Dec. 17, 2018; 89 FR 70544, Aug.
30, 2024]

Subpart B_Eligibility and Responsibilities of a Sponsor

Sec. 2553.21 Who is eligible to serve as a sponsor?

[83 FR 64654, Dec. 17, 2018]

Sec. 2553.22 What are the responsibilities of a sponsor?

A sponsor is responsible for fulfilling all project management
requirements necessary to accomplish the purposes of the RSVP project as
specified in the Act. A sponsor shall not delegate or contract these
overall management responsibilities to another entity. AmeriCorps
retains the right to determine what types of management responsibilities
may or may not be contracted.

[83 FR 64655, Dec. 17, 2018]

Sec. 2553.23 What are a sponsor's project responsibilities?

A sponsor shall:
(a) Focus RSVP resources to have a positive impact on critical human
and social needs within the project service area.
(b) In collaboration with other community organizations or by using
existing assessments, assess the needs of the community or service area,
and develop strategies to respond to identified needs using RSVP
volunteers.
(c) Develop and manage one or more volunteer stations to provide a
wide range of placement opportunities that appeal to persons age 55 and
over by:
(1) Ensuring that a volunteer station is a public or non-profit
private organization, whether secular or faith-based, or an eligible
proprietary health care agency, capable of serving as a volunteer
station for the placement of RSVP volunteers to meet locally identified
needs;
(2) Ensuring the placement of RSVP volunteers is governed by a
Memorandum of Understanding:
(i) That is negotiated prior to placement;
(ii) That specifies the mutual responsibilities of the station and
sponsor;
(iii) That is renegotiated at least every three years;
(iv) That states the station will not discriminate against RSVP
volunteers, service beneficiaries, or in the operation of its program on
the basis of race, color, national origin including individuals with
limited English proficiency, gender, age, religion, sexual orientation,
disability, gender identity or expression, political affiliation,
marital or parental status, or military service; and
(v) That states the station will provide for the safety of the RSVP
volunteers assigned to the station.
(d) Consider the demographic make-up of the project service area in
the enrollment of RSVP volunteers, taking special efforts to recruit
eligible individuals from minority groups, persons with disabilities and
under represented groups.
(e) Encourage the most efficient and effective use of RSVP
volunteers by coordinating project services and activities with related
national, state and local programs, including other AmeriCorps programs.

[[Page 847]]

(f) Provide RSVP volunteers with cost reimbursements specified in
Sec. 2553.43.
(g) Make every effort to meet such performance measures as
established in the approved grant application.

[64 FR 14135, Mar. 24, 1999, as amended at 67 FR 6875, Feb. 14, 2002; 69
FR 60095, Oct. 7, 2004; 76 FR 20246, Apr. 12, 2011; 83 FR 64655, Dec.
17, 2018]

Sec. 2553.24 What are a sponsor's responsibilities for securing
community participation?

(a) A sponsor shall secure community participation in local project
operation by establishing an Advisory Council or a similar
organizational structure with a membership that includes people:
(1) Knowledgeable about human and social needs of the community;
(2) With an interest in the field of community service and
volunteerism;
(3) Capable of helping the sponsor satisfy its administrative and
program responsibilities including fund-raising, publicity and meeting
or exceeding performance measures;
(4) With an interest in, and knowledge of, the range of abilities of
older adults; and
(5) Of a diverse composition that reflects the demographics of the
service area.
(b) The sponsor determines how this participation shall be secured,
consistent with the provisions of paragraphs (a)(1) through (a)(5) of
this section.

[64 FR 14135, Mar. 24, 1999, as amended at 83 FR 64655, Dec. 17, 2018]

Sec. 2553.25 What are a sponsor's administrative responsibilities?

A sponsor shall:
(a) Assume full responsibility for securing maximum and continuing
community financial and in-kind support to operate the project
successfully.
(b) Provide levels of staffing and resources appropriate to
accomplish the purposes of the project and carry out its project
management responsibilities.
(c) Employ a full-time project director to accomplish project
objectives and manage the functions and activities delegate to project
staff for Senior Corps project(s) within its control. The project
director may participate in activities to coordinate project resources
with those of related local agencies, boards or organizations. A full-
time project director shall not serve concurrently in another capacity,
paid or unpaid, during established working hours. A sponsor may
negotiate the employment of a part-time project director with AmeriCorps
when the sponsor can demonstrate that such an arrangement will not
adversely affect the size, scope or quality of project operations.
(d) Consider all project staff as sponsor employees subject to its
personnel policies and procedures.
(e) Compensate project staff at a level that is comparable to
similar staff positions in the sponsor organization and/or project
service area, as is practicable.
(f) Establish risk management policies and procedures covering RSVP
project activities. This includes provision of appropriate insurance
coverage for RSVP volunteers, which includes; accident insurance,
personal liability insurance, and excess automobile liability insurance.
(g) Establish record keeping and reporting systems in compliance
with AmeriCorps requirements that ensure quality of program and fiscal
operations, facilitate timely and accurate submission of required
reports and cooperate with AmeriCorps evaluation and data collection
efforts.
(h) Comply with, and ensure that Memorandums of Understanding
require all volunteer stations to comply with, all applicable civil
rights laws and regulations, including non-discrimination based on
disability.
(i) Conduct National Service Criminal History Checks in accordance
with the requirements in 45 CFR 2540.200 through 2540.207.

[64 FR 14135, Mar. 24, 1999, as amended at 74 FR 46509, Sept. 10, 2009;
83 FR 64655, Dec. 17, 2018; 89 FR 70544, Aug. 30, 2024]

[[Page 848]]

Sec. 2553.26 [Reserved]

Subpart C_Suspension, Termination and Denial of Refunding

Sec. 2553.31 What are the rules on suspension, termination and
denial of refunding of grants?

(a) The Chief Executive Officer or designee is authorized to suspend
further payments or to terminate payments under any grant providing
assistance under the Act whenever he or she determines there is a
material failure to comply with applicable terms and conditions of the
grant. The Chief Executive Officer shall prescribe procedures to insure
that:
(1) Assistance under the Act shall not be suspended for failure to
comply with applicable terms and conditions, except in emergency
situations for thirty days;
(2) An application for refunding under the Act may not be denied
unless the recipient has been given:
(i) Notice at least 75 days before the denial of such application of
the possibility of such denial and the grounds for any such denial; and
(ii) Opportunity to show cause why such action should not be taken;
(3) In any case where an application for refunding is denied for
failure to comply with the terms and conditions of the grant, the
recipient shall be afforded an opportunity for an informal hearing
before an impartial hearing officer, who has been agreed to by the
recipient and AmeriCorps; and
(4) Assistance under the Act shall not be terminated for failure to
comply with applicable terms and conditions unless the recipient has
been afforded reasonable notice and opportunity for a full and fair
hearing.
(b) Hearings or other meetings as may be necessary to fulfill the
requirements of this section should, to the extent practicable, be held
in locations convenient to the grant recipient.
(c) The procedures for suspension, termination, and denial of
refunding, that apply to the RSVP program are specified in 45 CFR part
1206.

[64 FR 14135, Mar. 24, 1999, as amended at 76 FR 20246, Apr. 12, 2011;
83 FR 64655, Dec. 17, 2018]

Subpart D_Eligibility, Cost Reimbursements and Volunteer Assignments

Sec. 2553.41 Who is eligible to be an RSVP volunteer?

(a) To be an RSVP volunteer, an individual must:
(1) Be 55 years of age or older;
(2) Agree to serve without compensation; and
(3) Reside in or nearby the community served by RSVP.
(b) Eligibility to serve as an RSVP volunteer shall not be
restricted on the basis of formal education, experience, race, color,
national origin including limited English proficiency, gender, age,
religion, sexual orientation, disability, gender identity or expression,
political affiliation, marital or parental status, or military service.

[64 FR 14135, Mar. 24, 1999, as amended at 83 FR 64655, Dec. 17, 2018]

Sec. 2553.42 Is an RSVP volunteer a federal employee, an employee
of the sponsor or of the volunteer station?

RSVP volunteers are not employees of the sponsor, the volunteer
station, AmeriCorps or the Federal Government.

[83 FR 64655, Dec. 17, 2018]

Sec. 2553.43 What cost reimbursements and benefits may
sponsors provide to RSVP volunteers?

(a) RSVP volunteers may be provided the following cost
reimbursements within the limits of the project's available resources:
(1) Transportation. RSVP volunteers may receive assistance with the
cost of transportation to and from volunteer assignments and official
project activities, including orientation, training, and recognition
events.
(2) Meals. RSVP volunteers may receive assistance with the cost of
meals taken while on assignment.
(3) Other volunteer expenses. RSVP volunteers may also be reimbursed
for allowable out-of-pocket expenses incurred while performing their
assignments.
(b) RSVP volunteers must be provided the following cost
reimbursements:

[[Page 849]]

(1) Recognition. RSVP volunteers shall be provided recognition for
their service.
(2) Insurance. An RSVP volunteer is provided with the AmeriCorps-
specified minimum levels of insurance as follows:
(i) Accident insurance. Accident insurance covers RSVP volunteers
for personal injury during travel between their homes and places of
assignment, during volunteer service, during meal periods while serving
as a volunteer, and while attending project sponsored activities.
Protection shall be provided against claims in excess of any benefits or
services for medical care or treatment available to the volunteer from
other sources.
(ii) Personal liability insurance. Protection is provided against
claims in excess of protection provided by other insurance. It does not
include professional liability coverage.
(iii) Excess automobile insurance. (A) RSVP drivers who drive in
connection with their service shall be provided protection against
claims in excess of the greater of either:
(1) Liability insurance the volunteers carry on their own
automobiles; or
(2) The limits of applicable state financial responsibility law, or
in its absence, levels of protection to be determined by AmeriCorps for
each person, each accident, and for property damage.
(B) RSVP volunteers who drive their personal vehicles to or on
assignments or project-related activities shall maintain personal
automobile liability insurance equal to or exceeding the levels
established by AmeriCorps.

[83 FR 64655, Dec. 17, 2018, as amended at 89 FR 70544, Aug. 30, 2024]

Sec. 2553.44 May cost reimbursements received by RSVP volunteers
be subject to any tax or charge, treated as wages or compensation,
or affect eligibility to
receive assistance from other programs?

No. An RSVP volunteer's cost reimbursements are not subject to any
tax or charge, and are not treated as wages or compensation for the
purposes of unemployment insurance, workers' compensation, temporary
disability, retirement, public assistance or similar benefit payments or
minimum wage laws. Cost reimbursements are not subject to garnishment,
and do not reduce or eliminate the level of, or eligibility for,
assistance or services that a volunteer may be receiving under any
governmental program.

[83 FR 64656, Dec. 17, 2018]

Subpart E_Volunteer Terms of Service

Sec. 2553.51 What are the terms of service of an RSVP volunteer?

An RSVP volunteer shall serve on a regular basis, or intensively on
short-term assignments, consistent with the assignment description.

[83 FR 64656, Dec. 17, 2018]

Sec. 2553.52 Under what circumstances may a sponsor remove
an RSVP volunteer from service?

(a) A sponsor may remove an RSVP volunteer from service for cause.
Grounds for removal include, but are not limited to: Extensive and
unauthorized absences; misconduct; failure to perform assignments and or
failure to accept supervision.
(b) The sponsor shall establish appropriate policies on removal from
service as well as procedures for appeal.

[83 FR 64656, Dec. 17, 2018]

Subpart F_Responsibilities of a Volunteer Station

Sec. 2553.61 When may a sponsor serve as a volunteer station?

The sponsor and RSVP project itself may function as a volunteer
station or may initiate special volunteer activities provided that
AmeriCorps agrees these activities are in accord with program objectives
and will not hinder overall project operations.

[83 FR 64656, Dec. 17, 2018]

Sec. 2553.62 What are the responsibilities of a volunteer station?

A volunteer station shall undertake the following responsibilities
in support of RSVP volunteers:
(a) Develop volunteer assignments that impact critical human and
social

[[Page 850]]

needs, and regularly assess those assignments for continued
appropriateness;
(b) Assign staff member responsible for day to day oversight of RSVP
volunteers within the volunteer station and for assessing the impact of
volunteers in addressing community needs;
(c) Keep a Letter of Agreement for each client who receives in-home
service;
(d) Keep records and prepare reports as required;
(e) Comply with all applicable civil rights requirements including
providing RSVP volunteers with disabilities reasonable accommodation to
perform the essential functions of their service;
(f) Provide assigned RSVP volunteers the following support:
(1) Orientation to station and appropriate in-service training to
enhance performance of assignments;
(2) Resources required for performance of assignments including
reasonable accommodation to RSVP volunteers with disabilities to perform
the essential functions of their service; and
(3) Supervision.
(g) Undertake such other responsibilities as may be necessary to the
successful performance of RSVP volunteers in their assignments or as
agreed to in the Memorandum of Understanding.

[64 FR 14135, Mar. 24, 1999, as amended at 83 FR 64656, Dec. 17, 2018]

Subpart G_Application and Fiscal Requirements

Sec. 2553.71 What is the process for application and award of a grant?

As funds become available, AmeriCorps solicits application for RSVP
grants from eligible organizations through a competitive process.
(a) What are the application requirements for an RSVP grant? An
applicant must:
(1) Submit required information determined by AmeriCorps.
(2) Demonstrate compliance with any applicable requirements
specified in the Notice of Funding Availability or Notice of Funding
Opportunity.
(b) What process does AmeriCorps use to select new RSVP grantees?
(1) AmeriCorps reviews and determines the merits of an application by
its responsiveness to published guidelines and to the overall purpose
and objectives of the program. In conducting its review during the
competitive process, AmeriCorps considers the input and opinions of
those serving on a peer review panel, including members with expertise
in senior service and aging, and may conduct site inspections, as
appropriate.
(2) The selection process includes:
(i) Determining whether an application complies with the application
requirements, such as deadlines, eligibility, and programmatic
requirements, including performance measurement requirements;
(ii) Applying published selection criteria, as stated in the
applicable Notice of Funding Availability or Notice of Funding
Opportunity, to assess the quality of the application;
(iii) Applying any applicable priorities or preferences, as stated
in the applicable Notice of Funding Availability or Notice of Funding
Opportunity;
(iv) Ensuring innovation and geographic, demographic, and
programmatic diversity across AmeriCorps RSVP grantee portfolio; and
(v) Identifying the applications that most completely respond to the
published guidelines and offer the highest probability of successfully
carrying out the overall purpose and objectives of the program.
(c) How is a grant awarded? (1) Subject to the availability of
funds, the award will be documented by a Notice of Grant Award (NGA).
(2) AmeriCorps and the sponsoring organization are parties to the
NGA. The NGA will document the sponsor's commitment to fulfill specific
programmatic objectives and financial obligations. It will document the
extent of AmeriCorps' obligation to provide assistance to the sponsor.
(d) What happens if AmeriCorps rejects an application? AmeriCorps
will inform an applicant when an application is not approved for
funding.
(e) For what period of time does AmeriCorps award a grant?
AmeriCorps awards an RSVP grant for a specified period that is usually
three years in

[[Page 851]]

duration with an option for a grant renewal of three years, if the
grantee's performance and compliance with grant terms and conditions are
satisfactory. AmeriCorps will terminate funding to a grantee when
AmeriCorps determines that the grant should not be renewed for an
additional three year period.

[76 FR 20246, Apr. 12, 2011, as amended at 83 FR 64656, Dec. 17, 2018;
89 FR 70545, Aug. 30, 2024]

Sec. 2553.72 What are project funding requirements?

(a) Is non-AmeriCorps support required? (1) An AmeriCorps grant may
be awarded to fund up to 90 percent of the total project cost.
(2) A sponsor is responsible for identifying non-AmeriCorps funds
which may include in-kind contributions.
(b) Under what circumstances does AmeriCorps allow less than the
percentage identified in paragraph (a) of this section? AmeriCorps may
allow exceptions to the local support requirement identified in
paragraph (a) of this section in cases of demonstrated need such as:
(1) Initial difficulties in the development of local funding sources
during the first three years of operations; or
(2) An economic downturn, the occurrence of a natural disaster, or
similar events in the service area that severely restrict or reduce
sources of local funding support; or
(3) The unexpected discontinuation of local support from one or more
sources that a project has relied on for a period of years.
(c) May AmeriCorps restrict how a sponsor uses locally generated
contributions in excess of the non-AmeriCorps support required? Whenever
locally generated contributions to RSVP projects are in excess of the
non-AmeriCorps funds required (10 percent of the total cost), AmeriCorps
may not restrict the manner in which such contributions are expended,
provided such expenditures are consistent with the provisions of the
Act.
(d) Are program expenditures subject to audit? All expenditures by
the grantee of Federal and Non-Federal funds, including expenditures
from excess locally generated contributions, are subject to audit by
AmeriCorps, its Inspector General or their authorized agents.

[64 FR 14135, Mar. 24, 1999, as amended at 67 FR 6875, Feb. 14, 2002; 83
FR 64657, Dec. 17, 2018; 89 FR 70545, Aug. 30, 2024]

Sec. 2553.73 What are a sponsor's legal requirements in managing grants?

What rules govern a sponsor's management of grants?
(a) A sponsor shall manage a grant in accordance with:
(1) The Act;
(2) Regulations in this part;
(3) 2 CFR part 200 and 2 CFR part 2205;
(4) All applicable AmeriCorps policies; and
(5) All other applicable AmeriCorps requirements.
(b) Project support provided under a AmeriCorps grant shall be
furnished at the lowest possible cost consistent with the effective
operation of the project.
(c) Volunteer expense items, including transportation, meals,
recognition activities and items purchased at the volunteers' own
expense and which are not reimbursed, are not allowable as contributions
to the non-Federal share of the budget.
(d) Costs to bring a sponsor into basic compliance with
accessibility requirements for individuals with disabilities are not
allowable costs.
(e) Payments to settle discrimination complaints, either through a
settlement agreement or formal adjudication, are not allowable costs.
(f) Written AmeriCorps approval/concurrence is required for a change
in the approved service area.

[79 FR 76078, Dec. 19, 2014, as amended at 83 FR 64657, Dec. 17, 2018]

Subpart H_Non-AmeriCorps Funded Projects

Sec. 2553.81 Under what conditions may an agency or organization
sponsor an RSVP project without AmeriCorps funding?

An eligible agency or organization who wishes to sponsor an RSVP
project without AmeriCorps funding must make an application through the
designated grants management system which is approved by AmeriCorps and

[[Page 852]]

documented through the Notice of Grant Agreement (NGA).

[83 FR 64657, Dec. 17, 2018]

Sec. 2553.82 What are the resources and benefits to which
a non-AmeriCorps funded project is entitled?

(a) All technical assistance and materials provided to AmeriCorps
funded RSVP volunteer projects; and
(b) The application of the provisions of 42 U.S.C. 5044 and 5058.

[64 FR 14135, Mar. 24, 1999, as amended at 83 FR 64657, Dec. 17, 2018;
89 FR 70545, Aug. 30, 2024]

Sec. 2553.83 What financial obligation does AmeriCorps incur
for non-AmeriCorps funded projects?

Issuance of an NGA to a sponsor of a non-AmeriCorps funded project
does not create a financial obligation on the part of AmeriCorps for any
costs associated with the project.

[83 FR 64657, Dec. 17, 2018, as amended at 89 FR 70545, Aug. 30, 2024]

Sec. 2553.84 What happens if a non-AmeriCorps funded sponsor
does not comply with the NGA?

A non-AmeriCorps funded project sponsor's noncompliance with the NGA
may result in suspension or termination AmeriCorps' agreement and all
benefits specified in Sec. 2553.82.

[83 FR 64657, Dec. 17, 2018, as amended at 89 FR 70545, Aug. 30, 2024]

Subpart I_Restrictions and Legal Representation

Sec. 2553.91 What legal limitations apply to the operation of the
RSVP volunteer Program and to the expenditure of grant funds?

(a) Political activities. (1) No part of any grant shall be used to
finance, directly or indirectly, any activity to influence the outcome
of any election to public office, or any voter registration activity.
(2) No project shall be conducted in a manner involving the use of
funds, the provision of services, or the employment or assignment of
personnel in a matter supporting or resulting in the identification of
such project with:
(i) Any partisan or nonpartisan political activity associated with a
candidate, or contending faction or group, in an election; or
(ii) Any activity to provide voters or prospective voters with
transportation to the polls or similar assistance in connection with any
such election; or
(iii) Any voter registration activity, except that voter
registration applications and nonpartisan voter registration information
may be made available to the public at the premises of the sponsor. But
in making registration applications and nonpartisan voter registration
information available, employees of the sponsor shall not express
preferences or seek to influence decisions concerning any candidate,
political party, election issue, or voting decision.
(3) The sponsor shall not use grant funds in any activity for the
purpose of influencing the passage or defeat of legislation or proposals
by initiative petition, except:
(i) In any case in which a legislative body, a committee of a
legislative body, or a member of a legislative body requests any
volunteer in, or employee of such a program to draft, review or testify
regarding measures or to make representation to such legislative body,
committee or member; or
(ii) In connection with an authorization or appropriations measure
directly affecting the operation of the RSVP Program.
(b) Nondisplacement of employed workers. A RSVP volunteer shall not
perform any service or duty or engage in any activity which would
otherwise be performed by an employed worker or which would supplant the
hiring of or result in the displacement of employed workers, or impair
existing contracts for service.
(c) Compensation for service. (1) An agency or organization to which
AmeriCorps Seniors volunteers are assigned or which operates or
supervises any AmeriCorps Seniors program shall not request or receive
any compensation from AmeriCorps Seniors volunteers or from
beneficiaries for services of AmeriCorps Seniors volunteers.
(2) This section does not prohibit a sponsor from soliciting and
accepting

[[Page 853]]

voluntary contributions from the community at large to meet its local
support obligations under the grant or from entering into agreements
with parties other than beneficiaries to support additional volunteers
beyond those supported by AmeriCorps.
(3) A RSVP volunteer station may contribute to the financial support
of the RSVP Program. However, this support shall not be a required
precondition for a potential station to obtain RSVP volunteers.
(4) If a volunteer station agrees to provide funds to support
additional volunteers or pay for other volunteer support costs, the
agreement shall be stated in a written Memorandum of Understanding. The
sponsor shall withdraw services if the station's inability to provide
monetary or in-kind support to the project under the Memorandum of
Understanding diminishes or jeopardizes the project's financial
capabilities to fulfill its obligations.
(5) Under no circumstances shall a RSVP volunteer receive a fee for
service from service recipients, their legal guardian, members of their
family, or friends.
(d) Labor and anti-labor activity. The sponsor shall not use grant
funds directly or indirectly to finance labor or anti-labor organization
or related activity.
(e) Fair labor standards. A sponsor that employs laborers and
mechanics for construction, alteration, or repair of facilities shall
pay wages at prevailing rates as determined by the Secretary of Labor in
accordance with the Davis-Bacon Act, as amended, 40 U.S.C. 276a.
(f) Nondiscrimination. A sponsor or sponsor employee shall not
discriminate against a RSVP volunteer on the basis of race, color,
national origin, sex, age, religion, or political affiliation, or on the
basis of disability, if the volunteer with a disability is qualified to
serve.
(g) Religious activities. (1) An RSVP volunteer or a member of the
project staff funded by AmeriCorps shall not give religious instruction,
conduct worship services, or engage in any form of proselytization as
part of his/her duties.
(2) A sponsor or volunteer station may retain its independence and
may continue to carry out its mission, including the definition,
development, practice, and expression of its religious beliefs, provided
that it does not use AmeriCorps funds to support any inherently
religious activities, such as worship, religious instruction, or
proselytization, as part of the programs or services funded. If an
organization conducts such activities, the activities must be offered
separately, in time or location, from the programs or services funded
under this part.
(h) Nepotism. Persons selected for project staff positions shall not
be related by blood or marriage to other project staff, sponsor staff or
officers, or members of the sponsor Board of Directors, unless there is
written concurrence from the Advisory Council or community group
established by the sponsor under subpart B of this part, and with
notification to AmeriCorps.

[64 FR 14135, Mar. 24, 1999, as amended at 69 FR 60095, Oct. 7, 2004; 83
FR 64657, Dec. 17, 2018; 89 FR 70545, Aug. 30, 2024]

Sec. 2553.92 What legal coverage does AmeriCorps make available
to RSVP volunteers?

It is within AmeriCorps' discretion to determine if Counsel is
employed and counsel fees, court costs, bail and other expenses
incidental to the defense of an RSVP volunteer are paid in a criminal,
civil or administrative proceeding, when such a proceeding arises
directly out of performance of the volunteer's activities. The
circumstances under which AmeriCorps may pay such expenses are specified
in 45 CFR part 1220.

[83 FR 64657, Dec. 17, 2018, as amended at 89 FR 70545, Aug. 30, 2024]

Subpart J_Performance Measurement

Source: 76 FR 20247, Apr. 12, 2011, unless otherwise noted.

Sec. 2553.101 What is the purpose of performance measurement?

The purpose of performance measurement is to strengthen the RSVP
project and foster continuous improvement. Performance measures are used

[[Page 854]]

to assess how an applicant for a grant approaches the design of
volunteer activities and how those activities impact community needs.

[83 FR 64657, Dec. 17, 2018]

Sec. 2553.102 What performance measurement information must be
part of an application for funding under RSVP?

An application to AmeriCorps for funding under RSVP must contain:
(a) In a year one renewal application:
(1) Performance measures.
(2) Estimated performance data for the project years covered by the
application.
(b) In a year two or three continuation application:
(1) Performance measures.
(2) Estimated performance data for the project years covered by the
application.
(3) Actual performance data, where available, for the preceding
completed project year.

[83 FR 64658, Dec. 17, 2018]

Sec. 2553.103 Who develops the performance measures?

(a) AmeriCorps may establish performance measures that will apply to
RSVP projects, which sponsors will be responsible for meeting.
(b) An applicant is responsible for choosing its own project
specific performance measures.

[83 FR 64658, Dec. 17, 2018]

Sec. 2553.104 What performance measures must be submitted
to AmeriCorps and how are these submitted?

(a) An applicant for AmeriCorps funds is required to submit any
uniform performance measure AmeriCorps may establish for all applicants.
Requirements, including types of performance measures, will be
communicated in the notice of funding and other related materials.
(b) AmeriCorps may specify additional requirements related to
performance measures on an annual basis in program guidance and related
materials.
(c) Applicants for AmeriCorps funds will submit performance measures
through the grant application. AmeriCorps will provide standard forms.

[83 FR 64658, Dec. 17, 2018]

Sec. 2553.105 How are performance measures approved and documented?

(a) AmeriCorps reviews and approves performance measures for all
applicants that apply for funding.
(b) An applicant must follow AmeriCorps provided guidance and
formats when submitting performance measures.
(c) Final performance measures, as negotiated between the applicant
and AmeriCorps, will be documented in the approved grant application.

[83 FR 64658, Dec. 17, 2018]

Sec. 2553.106 How does a sponsor report performance measures
to AmeriCorps?

AmeriCorps will set specific reporting requirements, including
frequency and deadlines, concerning performance measures established in
the grant award. A sponsor is required to report on the actual results
that occurred when implementing the grant and to regularly measure the
project's performance.

[83 FR 64658, Dec. 17, 2018]

Sec. 2553.107 What must a sponsor do if it cannot meet its
performance measures?

When a sponsor finds it is not on track to meet its performance
measures, the sponsor must develop a plan to get back on track or submit
a request to AmeriCorps to amend its performance measures. AmeriCorps
may limit when amendments to performance measure can be submitted, as
well as limit the types of changes a sponsor can make to performance
measures. The request must include all of the following:
(a) Why the project is not on track to meet its performance
requirements;
(b) How the project has been tracking performance measures;
(c) Evidence of corrective steps taken;
(d) Any new proposed performance measures; and

[[Page 855]]

(e) A plan to ensure that the project will meet the new proposed
measure(s).

[76 FR 20247, Apr. 12, 2011, as amended at 83 FR 64658, Dec. 17, 2018]

Sec. 2553.108 What happens if a sponsor fails to meet the
target performance measures included in the approved grant
application?

If a sponsor fails to meet a target performance measure established
in the approved grant application, AmeriCorps may take one or more of
the following actions:
(a) Reduce the amount, suspend, or deny refunding of the grant, in
accordance with the provisions of Sec. 2553.31;
(b) Terminate the grant, in accordance with 45 CFR part 1206.

[83 FR 64658, Dec. 17, 2018]

PART 2554_PROGRAM FRAUD CIVIL REMEDIES ACT REGULATIONS--Table of Contents

Overview and Definitions

Sec.
2554.1 Overview of regulations.
2554.2 What kind of conduct will result in program fraud enforcement?
2554.3 What is a claim?
2554.4 What is a statement?
2554.5 What is a false claim or statement?
2554.6 What does the phrase ``know or have reason to know'' mean?

Procedures Leading to Issuance of a Complaint

2554.7 Who investigates program fraud?
2554.8 What happens if program fraud is suspected?
2554.9 Who is the Corporation's authority head?
2554.10 When will the Corporation issue a complaint?
2554.11 What is contained in a complaint?
2554.12 How will the complaint be served?

Procedures Following Service of a Complaint

2554.13 How does a defendant respond to the complaint?
2554.14 What happens if a defendant fails to file an answer?
2554.15 What happens once an answer is filed?

Hearing Provisions

2554.16 What kind of hearing is contemplated?
2554.17 At the hearing, what rights do the parties have?
2554.18 What is the role of the ALJ?
2554.19 Can the reviewing official or ALJ be disqualified?
2554.20 How are issues brought to the attention of the ALJ?
2554.21 How are papers served?
2554.22 How is time computed?
2554.23 What happens during a prehearing conference?
2554.24 What rights are there to review documents?
2554.25 What type of discovery is authorized and how is it conducted?
2554.26 Are there limits on disclosure of documents or discovery?
2554.27 Are witness lists exchanged before the hearing?
2554.28 Can witnesses be subpoenaed?
2554.29 Who pays the costs for a subpoena?
2554.30 Are protective orders available?
2554.31 Where is the hearing held?
2554.32 How will the hearing be conducted and who has the burden of
proof?
2554.33 How is evidence presented at the hearing?
2554.34 How is witness testimony presented?
2554.35 Will the hearing proceedings be recorded?
2554.36 Can a party informally discuss the case with the ALJ?
2554.37 Are there sanctions for misconduct?
2554.38 Are post-hearing briefs required?

Decisions and Appeals

2554.39 How is the case decided?
2554.40 How are penalty and assessment amounts determined?
2554.41 Can a party request reconsideration of the initial decision?
2554.42 When does the initial decision of the ALJ become final?
2554.43 What are the procedures for appealing the ALJ decision?
2554.44 What happens if an initial decision is appealed?
2554.45 Are there any limitations on the right to appeal to the
authority head?
2554.46 How does the authority head dispose of an appeal?
2554.47 What judicial review is available?
2554.48 Can the administrative complaint be settled voluntarily?
2554.49 How are civil penalties and assessments collected?
2554.50 What happens to collections?
2554.51 What if the investigation indicates criminal misconduct?
2554.52 How does the Corporation protect the rights of defendants?

Authority: Pub. L. 99-509, Secs. 6101-6104, 100 Stat. 1874 (31
U.S.C. 3801-3812); 42 U.S.C. 12651c-12651d.

Source: 72 FR 61912, Oct. 20, 2006, unless otherwise noted.

[[Page 856]]

Overview and Definitions

Sec. 2554.1 Overview of regulations.

(a) Statutory basis. This part implements the Program Fraud Civil
Remedies Act of 1986, 31 U.S.C. 3801-3812 (``the Act''). The Act
provides the Corporation and other federal agencies with an
administrative remedy to impose civil penalties and assessments against
persons making false claims and statements. The Act also provides due
process protections to all persons who are subject to administrative
proceedings under this part.
(b) Possible remedies for program fraud. In addition to any other
penalties that may be prescribed by law, a person who submits, or causes
to be submitted, a false claim or a false statement to the Corporation
is subject to a civil penalty of not more than $13,946 for each
statement or claim, regardless of whether property, services, or money
is actually delivered or paid by the Corporation. If the Corporation has
made any payment, transferred property, or provided services in reliance
on a false claim, the person submitting it also is subject to an
assessment of not more than twice the amount of the false claim. This
assessment is in lieu of damages sustained by the Corporation because of
the false claim.

[72 FR 61912, Oct. 20, 2006, as amended at 81 FR 40820, June 23, 2016;
82 FR 1607, Jan. 6, 2017; 83 FR 2075, Jan. 16, 2018; 83 FR 67097, Dec.
28, 2018; 84 FR 70903, Dec. 26, 2019; 86 FR 13823, Mar. 11, 2021; 87 FR
2729, Jan. 19, 2022; 88 FR 3930, Jan. 23, 2023; 89 FR 5436, Jan. 29,
2024]

Sec. 2554.2 What kind of conduct will result in program fraud enforcement?

(a) Any person who makes, or causes to be made, a false, fictitious,
or fraudulent claim or written statement to the Corporation is subject
to program fraud enforcement. A ``person'' means any individual,
partnership, corporation, association, or other legal entity.
(b) If more than one person makes a false claim or statement, each
person is liable for a civil penalty. If more than one person makes a
false claim which has induced the Corporation to make payment, an
assessment is imposed against each person. The liability of each such
person to pay the assessment is joint and several, that is, each is
responsible for the entire amount.
(c) No proof of specific intent to defraud is required to establish
liability under this part.

Sec. 2554.3 What is a claim?

(a) Claim means any request, demand, or submission:
(1) Made to the Corporation for property, services, or money;
(2) Made to a recipient of property, services, or money from the
Corporation or to a party to a contract with the Corporation for
property or services, or for the payment of money. This provision
applies only when the claim is related to property, services or money
from the Corporation or to a contract with the Corporation; or
(3) Made to the Corporation which decreases an obligation to pay or
account for property, services, or money.
(b) A claim can relate to grants, loans, insurance, or other
benefits, and includes the Corporation guaranteed loans made by
participating lenders. A claim is made when it is received by the
Corporation, an agent, fiscal intermediary, or other entity acting for
the Corporation, or when it is received by the recipient of property,
services, or money, or the party to a contract.
(c) Each voucher, invoice, claim form, or individual request or
demand for property, services, or money constitutes a separate claim.

Sec. 2554.4 What is a statement?

A ``statement'' means any written representation, certification,
affirmation, document, record, or accounting or bookkeeping entry made
with respect to a claim or with respect to a contract, bid or proposal
for a contract, grant, loan or other benefit from the Corporation.
``From the Corporation'' means that the Corporation provides some
portion of the money or property in connection with the contract, bid,
grant, loan, or benefit, or is potentially liable to another party for
some portion of the money or property under such contract, bid, grant,
loan, or benefit. A statement is made, presented, or submitted to the
Corporation when it is received by the Corporation or an agent, fiscal
intermediary,

[[Page 857]]

or other entity acting for the Corporation.

Sec. 2554.5 What is a false claim or statement?

(a) A claim submitted to the Corporation is a ``false'' claim if the
person making the claim, or causing the claim to be made, knows or has
reason to know that the claim:
(1) Is false, fictitious or fraudulent;
(2) Includes or is supported by a written statement which asserts or
contains a material fact which is false, fictitious, or fraudulent;
(3) Includes or is supported by a written statement which is false,
fictitious or fraudulent because it omits a material fact that the
person making the statement has a duty to include in the statement; or
(4) Is for payment for the provision of property or services which
the person has not provided as claimed.
(b) A statement submitted to the Corporation is a false statement if
the person making the statement, or causing the statement to be made,
knows or has reason to know that the statement:
(1) Asserts a material fact which is false, fictitious, or
fraudulent; or
(2) Is false, fictitious, or fraudulent because it omits a material
fact that the person making the statement has a duty to include in the
statement. In addition, the statement must contain or be accompanied by
an express certification or affirmation of the truthfulness and accuracy
of the contents of the statement.

Sec. 2554.6 What does the phrase ``know or have reason to know'' mean?

A person knows or has reason to know (that a claim or statement is
false) if the person:
(a) Has actual knowledge that the claim or statement is false,
fictitious, or fraudulent; or
(b) Acts in deliberate ignorance of the truth or falsity of the
claim or statement; or
(c) Acts in reckless disregard of the truth or falsity of the claim
or statement.

Procedures Leading to Issuance of a Complaint

Sec. 2554.7 Who investigates program fraud?

The Inspector General, or his designee, is the investigating
official responsible for investigating allegations that a false claim or
statement has been made. In this regard, the Inspector General has
authority under the Program Fraud Civil Remedies Act and the Inspector
General Act of 1978 (5 U.S.C. App. 3), as amended, to issue
administrative subpoenas for the production of records and documents.

Sec. 2554.8 What happens if program fraud is suspected?

(a) If the investigating official concludes that an action under
this Part is warranted, the investigating official submits a report
containing the findings and conclusions of the investigation to a
reviewing official. The reviewing official is the General Counsel or his
or her designee. If the reviewing official determines that the report
provides adequate evidence that a person submitted a false claim or
statement, the reviewing official transmits to the Attorney General
written notice of an intention to refer the matter for adjudication,
with a request for approval of such referral. This notice will include
the reviewing official's statements concerning:
(1) The reasons for the referral;
(2) The claims or statements upon which liability would be based;
(3) The evidence that supports liability;
(4) An estimate of the amount of money or the value of property,
services, or other benefits requested or demanded in the false claim or
statement;
(5) Any exculpatory or mitigating circumstances that may relate to
the claims or statements known by the reviewing official or the
investigating official; and
(6) A statement that there is a reasonable prospect of collecting an
appropriate amount of penalties and assessments.
(b) If at any time, the Attorney General or his or her designee
requests in

[[Page 858]]

writing that this administrative process be stayed, the authority head,
as identified in Sec. 2554.9 of this Part, must stay the process
immediately. The authority head may order the process resumed only upon
receipt of the written authorization of the Attorney General.

Sec. 2554.9 Who is the Corporation's authority head?

The Corporation's ``authority head'' is the Chief Executive Officer
or his or her designee. For purposes of this Part, the Corporation's
Chief Financial Officer is designated to act on behalf of the Chief
Executive Officer.

Sec. 2554.10 When will the Corporation issue a complaint?

The Corporation will issue a complaint:
(a) If the Attorney General (or designee) approves the referral of
the allegations for adjudication; and
(b) In a case of submission of false claims, if the amount of money
or the value of property or services demanded or requested in a false
claim, or a group of related claims submitted at the same time, does not
exceed $150,000. ``A group of related claims submitted at the same
time'' includes only those claims arising from the same transaction
(such as a grant, loan, application, or contract) which are submitted
together as part of a single request, demand, or submission.

Sec. 2554.11 What is contained in a complaint?

(a) A complaint is a written statement giving notice to the person
alleged to be liable under 31 U.S.C. 3802 of the specific allegations
being referred for adjudication and of the person's right to request a
hearing with respect to those allegations. The person alleged to have
made false statements or to have submitted false claims to the
Corporation is referred to as the ``defendant.''
(b) The reviewing official may join in a single complaint, false
claims or statements that are unrelated, or that were not submitted
simultaneously, regardless of the amount of money or the value of
property or services demanded or requested.
(c) The complaint will state that the Corporation seeks to impose
civil penalties, assessments, or both, against each defendant and will
include:
(1) The allegations of liability against each defendant, including
the statutory basis for liability, identification of the claims or
statements involved, and the reasons liability allegedly arises from
such claims or statements;
(2) The maximum amount of penalties and assessments for which each
defendant may be held liable;
(3) A statement that each defendant may request a hearing by filing
an answer and may be represented by a representative;
(4) Instructions for filing such an answer;
(5) A warning that failure to file an answer within 30 days of
service of the complaint will result in imposition of the maximum amount
of penalties and assessments.
(d) The reviewing official must serve any complaint on the defendant
and, if a hearing is requested by the defendant, provide a copy to the
Administrative Law Judge (ALJ) assigned to the case.

Sec. 2554.12 How will the complaint be served?

(a) The complaint must be served on individual defendants directly,
a partnership through a general partner, and on corporations or on
unincorporated associations through an executive officer or a director,
except that service also may be made on any person authorized by
appointment or by law to receive process for the defendant.
(b) The complaint may be served either by:
(1) Registered or certified mail (return receipt requested)
addressed to the defendant at his or her residence, usual dwelling
place, principal office or place of business; or by
(2) Personal delivery by anyone 18 years of age or older.
(c) The date of service is the date of personal delivery or, in the
case of service by registered or certified mail, the date of postmark.
(d) Proof of service--
(1) When service is made by registered or certified mail, the return

[[Page 859]]

postal receipt will serve as proof of service.
(2) When service is made by personal delivery, an affidavit of the
individual serving the complaint, or written acknowledgment of receipt
by the defendant or a representative, will serve as proof of service.
(e) When served with the complaint, the defendant also should be
served with a copy of this Part 2554 and 31 U.S.C. 3801-3812.

Procedures Following Service of a Complaint

Sec. 2554.13 How does a defendant respond to the complaint?

(a) A defendant may file an answer with the reviewing official
within 30 days of service of the complaint. An answer will be considered
a request for an oral hearing.
(b) In the answer, a defendant--
(1) Must admit or deny each of the allegations of liability
contained in the complaint (a failure to deny an allegation is
considered an admission);
(2) Must state any defense on which the defendant intends to rely;
(3) May state any reasons why he or she believes the penalties,
assessments, or both should be less than the statutory maximum; and
(4) Must state the name, address, and telephone number of the person
authorized by the defendant to act as defendant's representative, if
any.
(c) If the defendant is unable to file an answer which meets the
requirements set forth in paragraph (b) of this section, the defendant
may file with the reviewing official a general answer denying liability,
requesting a hearing, and requesting an extension of time in which to
file a complete answer. A general answer must be filed within 30 days of
service of the complaint.
(d) If the defendant initially files a general answer requesting an
extension of time, the reviewing official must promptly file with the
ALJ the complaint, the general answer, and the request for an extension
of time.
(e) For good cause shown, the ALJ may grant the defendant up to 30
additional days within which to file an answer meeting the requirements
of paragraph (b) of this section. Such answer must be filed with the ALJ
and a copy must be served on the reviewing official.

Sec. 2554.14 What happens if a defendant fails to file an answer?

(a) If a defendant does not file any answer within 30 days after
service of the complaint, the reviewing official will refer the
complaint to the ALJ.
(b) Once the complaint is referred, the ALJ will promptly serve on
the defendant a notice that an initial decision will be issued.
(c) The ALJ will assume the facts alleged in the complaint to be
true and, if such facts establish liability under the statute, the ALJ
will issue an initial decision imposing the maximum amount of penalties
and assessments allowed under the statute.
(d) Except as otherwise provided in this section, when a defendant
fails to file a timely answer, the defendant waives any right to further
review of the penalties and assessments imposed in the initial decision.
(e) The initial decision becomes final 30 days after it is issued.
(f) If, at any time before an initial decision becomes final, a
defendant files a motion with the ALJ asking that the case be reopened
and describing the extraordinary circumstances that prevented the
defendant from filing an answer, the initial decision will be stayed
until the ALJ makes a decision on the motion. The reviewing official may
respond to the motion.
(g) If, in his motion to reopen, a defendant demonstrates
extraordinary circumstances excusing his failure to file a timely
answer, the ALJ will withdraw the initial decision, and grant the
defendant an opportunity to answer the complaint.
(h) A decision by the ALJ to deny a defendant's motion to reopen a
case is not subject to review or reconsideration.
(i) The defendant may appeal to the authority head the decision
denying a motion to reopen by filing a notice of appeal with the
authority head within 15 days after the ALJ denies the motion. The
timely filing of a notice of appeal shall stay the initial decision
until the authority head decides the issue.

[[Page 860]]

(j) If the defendant files a timely notice of appeal with the
authority head, the ALJ shall forward the record of the proceeding to
the authority head.
(k) The authority head shall decide expeditiously whether
extraordinary circumstances excuse the defendant's failure to file a
timely answer based solely on the record before the ALJ.
(l) If the authority head decides that extraordinary circumstances
excused the defendant's failure to file a timely answer, the authority
head shall remand the case to the ALJ with instructions to grant the
defendant an opportunity to answer.
(m) If the authority head decides that the defendant's failure to
file a timely answer is not excused, the authority head shall reinstate
the initial decision of the ALJ, which shall become final and binding
upon the parties 30 days after the authority head issues such decision.

Sec. 2554.15 What happens once an answer is filed?

(a) When the reviewing official receives an answer, he must file
concurrently, the complaint and the answer with the ALJ, along with a
designation of a Corporation representative.
(b) When the ALJ receives the complaint and the answer, the ALJ will
promptly serve a notice of oral hearing upon the defendant and the
representative for the Corporation, in the same manner as the complaint,
service of which is described in Sec. 2554.12. The notice of oral
hearing must be served within six years of the date on which the claim
or statement is made.
(c) The notice must include:
(1) The tentative time, place and nature of the hearing;
(2) The legal authority and jurisdiction under which the hearing is
to be held;
(3) The matters of fact and law to be asserted;
(4) A description of the procedures for the conduct of the hearing;
(5) The name, address, and telephone number of the defendant's
representative and the representative for the Corporation; and
(6) Such other matters as the ALJ deems appropriate.
(d) The six-year statute of limitation may be extended by agreement
of the parties.

Hearing Provisions

Sec. 2554.16 What kind of hearing is contemplated?

The hearing is a formal proceeding conducted by the ALJ during which
a defendant will have the opportunity to cross-examine witnesses,
present testimony, and dispute liability.

Sec. 2554.17 At the hearing, what rights do the parties have?

(a) The parties to the hearing shall be the defendant and the
Corporation. Pursuant to 31 U.S.C. 3730(c)(5), a private plaintiff in an
action under the False Claims Act may participate in the hearing to the
extent authorized by the provisions of that Act.
(b) Each party has the right to:
(1) Be represented by a representative;
(2) Request a pre-hearing conference and participate in any
conference held by the ALJ;
(3) Conduct discovery;
(4) Agree to stipulations of fact or law which will be made a part
of the record;
(5) Present evidence relevant to the issues at the hearing;
(6) Present and cross-examine witnesses;
(7) Present arguments at the hearing as permitted by the ALJ; and
(8) Submit written briefs and proposed findings of fact and
conclusions of law after the hearing, as permitted by the ALJ.

Sec. 2554.18 What is the role of the ALJ?

An ALJ retained by the Corporation serves as the presiding officer
at all hearings.
(a) The ALJ shall conduct a fair and impartial hearing, avoid delay,
maintain order, and assure that a record of the proceeding is made.
(b) The ALJ has the authority to--
(1) Set and change the date, time, and place of the hearing upon
reasonable notice to the parties;
(2) Continue or recess the hearing in whole or in part for a
reasonable period of time;

[[Page 861]]

(3) Hold conferences to identify or simplify the issues, or to
consider other matters that may aid in the expeditious disposition of
the proceeding;
(4) Administer oaths and affirmations;
(5) Issue subpoenas requiring the attendance of witnesses and the
production of documents at depositions or at hearings;
(6) Rule on motions and other procedural matters;
(7) Regulate the scope and timing of discovery;
(8) Regulate the course of the hearing and the conduct of
representatives and parties;
(9) Examine witnesses;
(10) Receive, rule on, exclude, or limit evidence;
(11) Upon motion of a party, take official notice of facts;
(12) Upon motion of a party, decide cases, in whole or in part, by
summary judgment where there is no disputed issue of material fact;
(13) Conduct any conference, argument, or hearing on motions in
person or by telephone; and
(14) Exercise such other authority as is necessary to carry out the
responsibilities of the ALJ under this part.
(c) The ALJ does not have the authority to find Federal statutes or
regulations invalid.

Sec. 2554.19 Can the reviewing official or ALJ be disqualified?

(a) A reviewing official or an ALJ may disqualify himself or herself
at any time.
(b) Upon motion of any party, the reviewing official or ALJ may be
disqualified as follows:
(1) The motion must be supported by an affidavit containing specific
facts establishing that personal bias or other reason for
disqualification exists, including the time and circumstances of the
discovery of such facts;
(2) The motion must be filed promptly after discovery of the grounds
for disqualification, or the objection will be deemed waived; and
(3) The party, or representative of record, must certify in writing
that the motion is made in good faith.
(c) Once a motion has been filed to disqualify the reviewing
official, the ALJ will halt the proceedings until resolving the matter
of disqualification. If the ALJ determines that the reviewing official
is disqualified, the ALJ will dismiss the complaint without prejudice.
If the ALJ disqualifies himself or herself, the case will be promptly
reassigned to another ALJ.

Sec. 2554.20 How are issues brought to the attention of the ALJ?

(a) All applications to the ALJ for an order or ruling shall be by
motion. Motions shall state the relief sought, the authority relied
upon, and the facts alleged, and shall be filed with the ALJ and served
on all other parties.
(b) Except for motions made during a prehearing conference or at the
hearing, all motions shall be in writing. The ALJ may require that oral
motions be reduced to writing.
(c) Within 15 days after a written motion is served, or such other
time as may be fixed by the ALJ, any party may file a response to such
motion.
(d) The ALJ may not grant a written motion before the time for
filing responses thereto has expired, except upon consent of the parties
or following a hearing on the motion, but may overrule or deny such
motion without awaiting a response.
(e) The ALJ shall make a reasonable effort to dispose of all
outstanding motions prior to the beginning of the hearing.

Sec. 2554.21 How are papers served?

(a) Form. (1) Documents filed with the ALJ shall include an original
and two copies.
(2) Every pleading and paper filed in the proceeding shall contain a
caption setting forth the title of the action, the case number assigned
by the ALJ, and a designation of the paper (e.g., motion to quash
subpoena).
(3) Every pleading and paper shall be signed by, and shall contain
the address and telephone number of the party or the person on whose
behalf the paper was filed, or his or her representative.
(4) Papers are considered filed when they are mailed. Date of
mailing may be established by a certificate from the party or its
representative or by proof

[[Page 862]]

that the document was sent by certified or registered mail.
(b) Service. A party filing a document with the ALJ shall at the
time of filing, serve a copy of such document on every other party.
Service upon any party of any document other than those required to be
served as prescribed in Sec. 2554.12 shall be made by delivering a copy
or by placing a copy of the document in the United States mail, postage
prepaid and addressed, to the party's last known address. When a party
is represented by a representative, service shall be made upon such
representative in lieu of the actual party.
(c) Proof of service. A certificate of the individual serving the
document by personal delivery or by mail, setting forth the manner of
service, shall be proof of service.

Sec. 2554.22 How is time computed?

(a) In computing any period of time under this part or in an order
issued thereunder, the time begins with the day following the act,
event, or default, and includes the last day of the period, unless it is
a Saturday, Sunday, or legal holiday observed by the Federal government,
in which event it includes the next business day.
(b) When the period of time allowed is less than seven days,
intermediate Saturdays, Sundays, and legal holidays observed by the
Federal government shall be excluded from the computation.
(c) Where a document has been served or issued by placing it in the
mail, an additional five days will be added to the time permitted for
any response.

Sec. 2554.23 What happens during a prehearing conference?

(a) The ALJ may schedule prehearing conferences as appropriate.
(b) Upon the motion of any party, the ALJ shall schedule at least
one prehearing conference at a reasonable time in advance of the
hearing.
(c) The ALJ may use prehearing conferences to discuss the following:
(1) Simplification of the issues;
(2) The necessity or desirability of amendments to the pleadings,
including the need for a more definite statement;
(3) Stipulations and admissions of fact or as to the contents and
authenticity of documents;
(4) Whether the parties can agree to submission of the case on a
stipulated record;
(5) Whether a party chooses to waive appearances at an oral hearing
and to submit only documentary evidence (subject to the objection of
other parties) and written argument;
(6) Limitation of the number of witnesses;
(7) Scheduling dates for the exchange of witness lists and of
proposed exhibits;
(8) Discovery;
(9) The time and place for the hearing; and
(10) Such other matters as may tend to expedite the fair and just
disposition of the proceedings.
(d) The ALJ may issue an order containing all matters agreed upon by
the parties or ordered by the ALJ at a prehearing conference.

Sec. 2554.24 What rights are there to review documents?

(a) Upon written request to the reviewing official, the defendant
may review any relevant and material documents, transcripts, records,
and other materials that relate to the allegations set out in the
complaint and upon which the findings and conclusions of the
investigating official under Sec. 2554.8 are based, unless such
documents are subject to a privilege under Federal law. Upon payment of
fees for duplication, the defendant may obtain copies of such documents.
(b) Upon written request to the reviewing official, the defendant
also may obtain a copy of all exculpatory information in the possession
of the reviewing official or investigating official relating to the
allegations in the complaint, even if it is contained in a document that
would otherwise be privileged. If the document would otherwise be
privileged, only that portion containing exculpatory information must be
disclosed.
(c) The notice sent to the Attorney General from the reviewing
official as described in Sec. 2554.8 is not discoverable under any
circumstances.

[[Page 863]]

(d) The defendant may file a motion to compel disclosure of the
documents subject to the provisions of this section. Such a motion may
only be filed with the ALJ following the filing of an answer pursuant to
Sec. 2554.13.

Sec. 2554.25 What type of discovery is authorized and how is it conducted?

(a) The following types of discovery are authorized:
(1) Requests for production of documents for inspection and copying;
(2) Requests for admissions of the authenticity of any relevant
document or of the truth of any relevant fact;
(3) Written interrogatories; and
(4) Depositions.
(b) For the purpose of this section and Sec. Sec. 2554.27 and
2554.28, the term ``documents'' includes information, documents,
reports, answers, records, accounts, papers, and other data and
documentary evidence. Nothing contained herein shall be interpreted to
require the creation of a document.
(c) Unless mutually agreed to by the parties, discovery is available
only as ordered by the ALJ. The ALJ shall regulate the timing of
discovery.
(d) Motions for discovery. (1) A party seeking discovery may file a
motion with the ALJ. Such a motion shall be accompanied by a copy of the
requested discovery, or in the case of depositions, a summary of the
scope of the proposed deposition.
(2) Within ten days of service, a party may file an opposition to
the motion and/or a motion for protective order as provided in Sec.
2554.30.
(3) The ALJ may grant a motion for discovery only if he or she finds
that the discovery sought--
(i) Is necessary for the expeditious, fair, and reasonable
consideration of the issues;
(ii) Is not unduly costly or burdensome;
(iii) Will not unduly delay the proceeding; and
(iv) Does not seek privileged information.
(4) The burden of showing that discovery should be allowed is on the
party seeking discovery.
(5) The ALJ may grant discovery subject to a protective order under
Sec. 2554.30.
(e) Depositions. (1) If a motion for deposition is granted, the ALJ
shall issue a subpoena for the deponent, which may require the deponent
to produce documents. The subpoena shall specify the time and place at
which the deposition will be held.
(2) The party seeking to depose shall serve the subpoena in the
manner prescribed in Sec. 2554.12.
(3) The deponent may file with the ALJ a motion to quash the
subpoena or a motion for a protective order within ten days of service.
(4) The party seeking to depose shall provide for the taking of a
verbatim transcript of the deposition, which it shall make available to
all other parties for inspection and copying.
(f) Each party shall bear its own costs of discovery.

Sec. 2554.26 Are there limits on disclosure of documents
or discovery?

(a) Upon written request to the reviewing official, the defendant
may review all non-privileged, relevant and material documents, records
and other material related to the allegations contained in the
complaint. After paying the Corporation a reasonable fee for
duplication, the defendant may obtain a copy of the records described.
(b) Upon written request to the reviewing official, the defendant
may obtain a copy of all exculpatory information in the possession of
the reviewing official or investigating official relating to the
allegations in the complaint. If the document would otherwise be
privileged, only the portion of the document containing exculpatory
information must be disclosed. As used in this section, the term
``information'' does not include legal materials such as statutes or
case law obtained through legal research.
(c) The notice sent to the Attorney General from the reviewing
official is not discoverable under any circumstances.
(d) Other discovery is available only as ordered by the ALJ and
includes only those methods of discovery allowed by Sec. 2554.25.

[[Page 864]]

Sec. 2554.27 Are witness lists exchanged before the hearing?

(a) At least 15 days before the hearing or at such other time as
ordered by the ALJ, the parties must exchange witness lists and copies
of proposed hearing exhibits, including copies of any written statements
or transcripts of deposition testimony that the party intends to offer
in lieu of live testimony.
(b) If a party objects, the ALJ will not admit into evidence the
testimony of any witness whose name does not appear on the witness list
or any exhibit not provided to an opposing party unless the ALJ finds
good cause for the omission or concludes that there is no prejudice to
the objecting party.
(c) Unless a party objects within the time set by the ALJ, documents
exchanged in accordance with this section are deemed to be authentic for
the purpose of admissibility at the hearing.

Sec. 2554.28 Can witnesses be subpoenaed?

(a) A party wishing to procure the appearance and testimony of any
individual at the hearing may request that the ALJ issue a subpoena.
(b) A subpoena requiring the attendance and testimony of an
individual may also require the individual to produce documents at the
hearing.
(c) A party seeking a subpoena shall file a written request
therefore not less than 15 days before the date fixed for the hearing
unless otherwise allowed by the ALJ for good cause shown. Such request
shall specify any documents to be produced and shall designate the
witnesses and describe the address and location thereof with sufficient
particularity to permit such witnesses to be found.
(d) The subpoena shall specify the time and place at which the
witness is to appear and any documents the witness is to produce.
(e) The party seeking the subpoena shall serve it in the manner
prescribed in Sec. 2554.12. A subpoena on a party or upon an individual
under the control of a party may be served by first class mail.
(f) A party or the individual to whom the subpoena is directed may
file with the ALJ a motion to quash the subpoena within ten days after
service or on or before the time specified in the subpoena for
compliance if it is less than ten days after service.

Sec. 2554.29 Who pays the costs for a subpoena?

The party requesting a subpoena shall pay the cost of the fees and
mileage of any witness subpoenaed in the amounts that would be payable
to a witness in a proceeding in United States District Court. A check
for witness fees and mileage shall accompany the subpoena when served,
except that when a subpoena is issued on behalf of the authority, a
check for witness fees and mileage need not accompany the subpoena.

Sec. 2554.30 Are protective orders available?

(a) A party or a prospective witness or deponent may file a motion
for a protective order with respect to discovery sought by an opposing
party or with respect to the hearing, seeking to limit the availability
or disclosure of evidence.
(b) In issuing a protective order, the ALJ may make any order which
justice requires to protect a party or person from annoyance,
embarrassment, oppression, or undue burden or expense, including one or
more of the following:
(1) That the discovery not be had;
(2) That the discovery may be had only on specified terms and
conditions, including a designation of the time or place;
(3) That the discovery may be had only through a method of discovery
other than that requested;
(4) That certain matters not be inquired into, or that the scope of
discovery be limited to certain matters;
(5) That discovery be conducted with no one present except persons
designated by the ALJ;
(6) That the contents of discovery or evidence be sealed;
(7) That a deposition after being sealed be opened only by order of
the ALJ;
(8) That a trade secret or other confidential research, development,
commercial information, or facts pertaining to any criminal
investigation,

[[Page 865]]

proceeding, or other administrative investigation not be disclosed or be
disclosed only in a designated way; or
(9) That the parties simultaneously file specified documents or
information enclosed in sealed envelopes to be opened as directed by the
ALJ.

Sec. 2554.31 Where is the hearing held?

The ALJ will hold the hearing in any judicial district of the United
States:
(a) In which the defendant resides or transacts business; or
(b) In which the claim or statement on which liability is based was
made, presented or submitted to the Corporation; or
(c) As agreed upon by the defendant and the ALJ.

Sec. 2554.32 How will the hearing be conducted and who
has the burden of proof?

(a) The ALJ conducts a hearing in order to determine whether a
defendant is liable for a civil penalty, assessment, or both and, if so,
the appropriate amount of the civil penalty and/or assessment. The
hearing will be recorded and transcribed, and the transcript of
testimony, exhibits admitted at the hearing, and all papers and requests
filed in the proceeding constitute the record for a decision by the ALJ.
(b) The Corporation must prove a defendant's liability and any
aggravating factors by a preponderance of the evidence.
(c) A defendant must prove any affirmative defenses and any
mitigating factors by a preponderance of the evidence.
(d) The hearing will be open to the public unless otherwise ordered
by the ALJ for good cause shown.

Sec. 2554.33 How is evidence presented at the hearing?

(a) The ALJ shall determine the admissibility of evidence.
(b) Except as provided in this part, the ALJ shall not be bound by
the Federal Rules of Evidence. However, the ALJ may apply the Federal
Rules of Evidence where appropriate, e.g., to exclude unreliable
evidence.
(c) The ALJ shall exclude irrelevant and immaterial evidence.
(d) Although relevant, evidence may be excluded if its probative
value is substantially outweighed by the danger of unfair prejudice,
confusion of the issues, or by considerations of undue delay or needless
presentation of cumulative evidence.
(e) Although relevant, evidence may be excluded if it is privileged
under Federal law.
(f) Evidence concerning offers of compromise or settlement shall be
inadmissible to the extent provided in Rule 408 of the Federal Rules of
Evidence.
(g) The ALJ shall permit the parties to introduce rebuttal witnesses
and evidence.

Sec. 2554.34 How is witness testimony presented?

(a) Except as provided in paragraph (b) of this section, testimony
at the hearing shall be given orally by witnesses under oath or
affirmation.
(b) At the discretion of the ALJ, testimony may be admitted in the
form of a written statement or deposition. Any such written statement
must be provided to all other parties along with the last known address
of such witness, in a manner which allows sufficient time for other
parties to subpoena such witness for cross-examination at the hearing.
Prior written statements of witnesses proposed to testify at the hearing
and deposition transcripts shall be exchanged as provided in Sec.
2554.27(a).
(c) The ALJ shall exercise reasonable control over the mode and
order of interrogating witnesses and presenting evidence so as to:
(1) Make the interrogation and presentation effective for the
ascertainment of the truth;
(2) Avoid needless consumption of time; and
(3) Protect witnesses from harassment or undue embarrassment.
(d) The ALJ shall permit the parties to conduct such cross-
examination as may be required for a full and true disclosure of the
facts.
(e) At the discretion of the ALJ, a witness may be cross-examined on
matters relevant to the proceeding without regard to the scope of his or
her direct examination. To the extent permitted

[[Page 866]]

by the ALJ, cross-examination on matters outside the scope of direct
examination shall be conducted in the manner of direct examination and
may proceed by leading questions only if the witness is a hostile
witness, an adverse party, or a witness identified with an adverse
party.
(f) Upon motion of any party, the ALJ shall order witnesses excluded
so that they cannot hear the testimony of other witnesses. This rule
does not authorize exclusion of--
(1) A party who is an individual;
(2) In the case of a party that is not an individual, an officer or
employee of the party appearing for the entity pro se or designated by
the party's representative; or
(3) An individual whose presence is shown by a party to be essential
to the presentation of its case, including an individual employed by the
Government engaged in assisting the representative for the Government.

Sec. 2554.35 Will the hearing proceedings be recorded?

The hearing will be recorded and transcribed. Transcripts may be
obtained following the hearing from the ALJ at a cost not to exceed the
actual cost of duplication. The transcript of testimony, exhibits and
other evidence admitted at the hearing, and all papers and requests
filed in the proceeding constitute the record for the decision by the
ALJ and the authority head. The record may be inspected and copied (upon
payment of a reasonable fee) by anyone, unless otherwise ordered by the
ALJ pursuant to Sec. 2554.30.

Sec. 2554.36 Can a party informally discuss the case with the ALJ?

No. Such discussions are forbidden as ``ex parte communications''
with the ALJ. No party or person (except employees of the ALJ's office)
shall communicate in any way with the ALJ on any matter at issue in a
case, unless on notice and opportunity for all parties to participate.
This does not prohibit a person or party from inquiring about the
status of a case or asking routine questions concerning administrative
functions or procedures.

Sec. 2554.37 Are there sanctions for misconduct?

(a) The ALJ may sanction a person, including any party or
representative for--
(1) Failing to comply with an order, rule, or procedure governing
the proceeding;
(2) Failing to prosecute or defend an action; or
(3) Engaging in other misconduct that interferes with the speedy,
orderly, or fair conduct of the hearing.
(b) Any such sanction, including but not limited to those listed in
paragraphs (c), (d), and (e) of this section, shall reasonably relate to
the severity and nature of the failure or misconduct.
(c) When a party fails to comply with an order, including an order
for taking a deposition, the production of evidence within the party's
control, or a request for admission, the ALJ may--
(1) Draw an inference in favor of the requesting party with regard
to the information sought;
(2) In the case of requests for admission, deem each matter of which
an admission is requested to be admitted;
(3) Prohibit the party failing to comply with such order from
introducing evidence concerning, or otherwise relying upon testimony
relating to the information sought; and
(4) Strike any part of the pleadings or other submissions of the
party failing to comply with such request.
(d) If a party fails to prosecute or defend an action under this
part commenced by service of a notice of hearing, the ALJ may dismiss
the action or may issue an initial decision imposing penalties and
assessments.
(e) The ALJ may refuse to consider any motion, request, response,
brief or other document which is not filed in a timely fashion.

Sec. 2554.38 Are post-hearing briefs required?

The ALJ may require the parties to file post-hearing briefs. In any
event, any party may file a post-hearing brief. The ALJ shall fix the
time for filing such briefs, not to exceed 60 days from the date the
parties receive the transcript of the hearing or, if applicable, the
stipulated record. Such briefs may

[[Page 867]]

be accompanied by proposed findings of fact and conclusions of law. The
ALJ may permit the parties to file reply briefs.

Decisions and Appeals

Sec. 2554.39 How is the case decided?

(a) The ALJ will issue an initial decision based only on the record.
It will contain findings of fact, conclusions of law, and the amount of
any penalties and assessments imposed.
(b) The ALJ will serve the initial decision on all parties within 90
days after close of the hearing or expiration of any allowed time for
submission of post-hearing briefs. If the ALJ fails to meet this
deadline, he or she shall promptly notify the parties of the reason for
the delay and set a new deadline.
(c) The findings of fact must include a finding on each of the
following issues:
(1) Whether any one or more of the claims or statements identified
in the complaint violate this part; and
(2) If the defendant is liable for penalties or assessments, the
appropriate amount of any such penalties or assessments, considering any
mitigating or aggravating factors.
(d) The initial decision will include a description of the right of
a defendant found liable for a civil penalty or assessment to file a
motion for reconsideration with the ALJ or a notice of appeal with the
authority head.

Sec. 2554.40 How are penalty and assessment amounts determined?

(a) In determining an appropriate amount of civil penalties and
assessments, the ALJ and the authority head, upon appeal, should
evaluate any circumstances that mitigate or aggravate the violation and
should articulate in their opinions the reasons that support the
penalties and assessments they impose. Because of the intangible costs
of fraud, the expense of investigating such conduct, and the need to
deter others who might be similarly tempted, ordinarily double damages
and a significant civil penalty should be imposed.
(b) Although not exhaustive, the following factors are among those
that may influence that ALJ and the authority head in determining the
amount of penalties and assessments to impose with respect to the
misconduct (i.e., the false, fictitious, or fraudulent claims or
statements) charged in the complaint:
(1) The number of false, fictitious, or fraudulent claims or
statements;
(2) The time period over which such claims or statements were made;
(3) The degree of the defendant's culpability with respect to the
misconduct;
(4) The amount of money or the value of the property, services, or
benefit falsely claimed;
(5) The value of the Government's actual loss as a result of the
misconduct, including foreseeable consequential damages and the costs of
investigation;
(6) The relationship of the amount imposed as civil penalties to the
amount of the Government's loss;
(7) The potential or actual impact of the misconduct upon national
defense, public health or safety, or public confidence in the management
of Government programs and operations, including particularly the impact
on the intended beneficiaries of such programs;
(8) Whether the defendant has engaged in a pattern of the same or
similar misconduct;
(9) Whether the defendant attempted to conceal the misconduct;
(10) The degree to which the defendant has involved others in the
misconduct or in concealing it;
(11) Where the misconduct of employees or agents is imputed to the
defendant, the extent to which the defendant's practices fostered or
attempted to preclude such misconduct;
(12) Whether the defendant cooperated in or obstructed an
investigation of the misconduct;
(13) Whether the defendant assisted in identifying and prosecuting
other wrongdoers;
(14) The complexity of the program or transaction, and the degree of
the defendant's sophistication with respect to it, including the extent
of the defendant's prior participation in the program or in similar
transactions;
(15) Whether the defendant has been found, in any criminal, civil,
or administrative proceeding to have engaged in

[[Page 868]]

similar misconduct or to have dealt dishonestly with the Government of
the United States or of a State, directly or indirectly; and
(16) The need to deter the defendant and others from engaging in the
same or similar misconduct.
(c) Nothing in this section shall be construed to limit the ALJ or
the authority head from considering any other factors that in any given
case may mitigate or aggravate the offense for which penalties and
assessments are imposed.

Sec. 2554.41 Can a party request reconsideration of the initial decision?

(a) Any party may file a motion for reconsideration of the initial
decision with the ALJ within 20 days of receipt of the initial decision.
If the initial decision was served by mail, there is a rebuttable
presumption that the initial decision was received by the party 5 days
from the date of mailing.
(b) A motion for reconsideration must be accompanied by a supporting
brief and must describe specifically each allegedly erroneous decision.
(c) Any response to a motion for reconsideration will only be
allowed if it is requested by the ALJ.
(d) The ALJ will dispose of a motion for reconsideration by denying
it or by issuing a revised initial decision.
(e) If the ALJ issues a revised initial decision upon motion of a
party, that party may not file another motion for reconsideration.

Sec. 2554.42 When does the initial decision of the ALJ become final?

(a) The initial decision of the ALJ becomes the final decision of
the Corporation, and shall be binding on all parties 30 days after it is
issued, unless any party timely files a motion for reconsideration or
any defendant adjudged to have submitted a false claim or statement
timely appeals to the Corporation's authority head, as set forth in
Sec. 2554.43.
(b) If the ALJ disposes of a motion for reconsideration by denying
it or by issuing a revised initial decision, the ALJ's order on the
motion for reconsideration becomes the final decision of the Corporation
30 days after the order is issued, unless a defendant adjudged to have
submitted a false claim or statement timely appeals to the authority
head, within 30 days of the ALJ's order, as set forth in Sec. 2554.43.

Sec. 2554.43 What are the procedures for appealing the ALJ decision?

(a) Any defendant who submits a timely answer and is found liable
for a civil penalty or assessment in an initial decision may appeal the
decision.
(b) The defendant may file a notice of appeal with the authority
head within 30 days following issuance of the initial decision, serving
a copy of the notice of appeal on all parties and the ALJ. The authority
head may extend this deadline for up to an additional 30 days if an
extension request is filed within the initial 30-day period and shows
good cause.
(c) The defendant's appeal will not be considered until all timely
motions for reconsideration have been resolved.
(d) If a timely motion for reconsideration is denied, a notice of
appeal may be filed within 30 days following such denial or issuance of
a revised initial decision, whichever applies.
(e) A notice of appeal must be supported by a written brief
specifying why the initial decision should be reversed or modified.
(f) The Corporation's representative may file a brief in opposition
to the notice of appeal within 30 days of receiving the defendant's
notice of appeal and supporting brief.
(g) If a defendant timely files a notice of appeal, and the time for
filing motions for reconsideration has expired, the ALJ will forward the
record of the proceeding to the authority head.

Sec. 2554.44 What happens if an initial decision is appealed?

(a) An initial decision is stayed automatically pending disposition
of a motion for reconsideration or of an appeal to the authority head.
(b) No administrative stay is available following a final decision
of the authority head.

[[Page 869]]

Sec. 2554.45 Are there any limitations on the right to appeal
to the authority head?

(a) A defendant has no right to appear personally, or through a
representative, before the authority head.
(b) There is no right to appeal any interlocutory ruling.
(c) The authority head will not consider any objection or evidence
that was not raised before the ALJ unless the defendant demonstrates
that the failure to object was caused by extraordinary circumstances. If
the appealing defendant demonstrates to the satisfaction of the
authority head that extraordinary circumstances prevented the
presentation of evidence at the hearing, and that the additional
evidence is material, the authority head may remand the matter to the
ALJ for consideration of the additional evidence.

Sec. 2554.46 How does the authority head dispose of an appeal?

(a) The authority head may affirm, reduce, reverse, compromise,
remand, or settle any penalty or assessment imposed by the ALJ in the
initial decision or reconsideration decision.
(b) The authority head will promptly serve each party to the appeal
and the ALJ with a copy of his or her decision. This decision must
contain a statement describing the right of any person, against whom a
penalty or assessment has been made, to seek judicial review.

Sec. 2554.47 What judicial review is available?

31 U.S.C. 3805 authorizes judicial review by the appropriate United
States District Court of any final Corporation decision imposing
penalties or assessments, and specifies the procedures for such review.
To obtain judicial review, a defendant must file a petition with the
appropriate court in a timely manner.

Sec. 2554.48 Can the administrative complaint be settled voluntarily?

(a) Parties may make offers of compromise or settlement at any time.
Any compromise or settlement must be in writing.
(b) The reviewing official has the exclusive authority to compromise
or settle the case from the date on which the reviewing official is
permitted to issue a complaint until the ALJ issues an initial decision.
(c) The authority head has exclusive authority to compromise or
settle the case from the date of the ALJ's initial decision until
initiation of any judicial review or any action to collect the penalties
and assessments.
(d) The Attorney General has exclusive authority to compromise or
settle the case while any judicial review or any action to recover
penalties and assessments is pending.
(e) The investigating official may recommend settlement terms to the
reviewing official, the authority head, or the Attorney General, as
appropriate. The reviewing official may recommend settlement terms to
the authority head or the Attorney General, as appropriate.

Sec. 2554.49 How are civil penalties and assessments collected?

Section 3806 and 3808(b) of title 31, United States Code, authorize
actions for collection of civil penalties and assessments imposed under
this Part and specify the procedures for such actions.

Sec. 2554.50 What happens to collections?

All amounts collected pursuant to this part shall be deposited as
miscellaneous receipts in the Treasury of the United States, except as
provided in 31 U.S.C. 3806(g).

Sec. 2554.51 What if the investigation indicates criminal misconduct?

(a) Any investigating official may:
(1) Refer allegations of criminal misconduct directly to the
Department of Justice for prosecution or for suit under the False Claims
Act or other civil proceeding;
(2) Defer or postpone a report or referral to the reviewing official
to avoid interference with a criminal investigation or prosecution; or
(3) Issue subpoenas under other statutory authority.
(b) Nothing in this part limits the requirement that the Corporation
employees report suspected violations of

[[Page 870]]

criminal law to the Corporation's Office of Inspector General or to the
Attorney General.

Sec. 2554.52 How does the Corporation protect the rights of defendants?

These procedures separate the functions of the investigating
official, reviewing official, and the ALJ, each of whom report to a
separate organizational authority in accordance with 31 U.S.C. 3801.
Except for purposes of settlement, or as a witness or a representative
in public proceedings, no investigating official, reviewing official, or
Corporation employee or agent who helps investigate, prepare, or present
a case may (in such case, or a factually related case) participate in
the initial decision or the review of the initial decision by the
authority head. This separation of functions and organization is
designed to assure the independence and impartiality of each government
official during every stage of the proceeding. The representative for
the Corporation may be employed in the offices of either the
investigating official or the reviewing official.

PART 2555_NONDISCRIMINATION ON THE BASIS OF SEX IN
EDUCATION PROGRAMS OR ACTIVITIES RECEIVING FEDERAL
FINANCIAL ASSISTANCE--Table of Contents

Subpart A_Introduction

Sec.
2555.100 Purpose and effective date.
2555.105 Definitions.
2555.110 Remedial and affirmative action and self-evaluation.
2555.115 Assurance required.
2555.120 Transfers of property.
2555.125 Effect of other requirements.
2555.130 Effect of employment opportunities.
2555.135 Designation of responsible employee and adoption of grievance
procedures.
2555.140 Dissemination of policy.

Subpart B_Coverage

2555.200 Application.
2555.205 Educational institutions and other entities controlled by
religious organizations.
2555.210 Military and merchant marine educational institutions.
2555.215 Membership practices of certain organizations.
2555.220 Admission.
2555.225 Educational institutions eligible to submit transition plans.
2555.230 Transition plans.
2555.235 Statutory amendments.

Subpart C_Discrimination on the Basis of Sex in Admission and
Recruitment Prohibited

2555.300 Admission.
2555.305 Preference in admission.
2555.310 Recruitment.

Subpart D_Discrimination on the Basis of Sex in Education Programs or
Activities Prohibited

2555.400 Education programs or activities.
2555.405 Housing.
2555.410 Comparable facilities.
2555.415 Access to course offerings.
2555.420 Access to schools operated by LEAs.
2555.425 Counseling and use of appraisal and counseling materials.
2555.430 Financial assistance.
2555.435 Employment assistance to students.
2555.440 Health and insurance benefits and services.
2555.445 Marital or parental status.
2555.450 Athletics.
2555.455 Textbooks and curricular material.

Subpart E_Discrimination on the Basis of Sex in Employment in Education
Programs or Activities Prohibited

2555.500 Employment.
2555.505 Employment criteria.
2555.510 Recruitment.
2555.515 Compensation.
2555.520 Job classification and structure.
2555.525 Fringe benefits.
2555.530 Marital or parental status.
2555.535 Effect of state or local law or other requirements.
2555.540 Advertising.
2555.545 Pre-employment inquiries.
2555.550 Sex as a bona fide occupational qualification.

Subpart F_Procedures

2555.600 Notice of covered programs.
2555.605 Enforcement procedures.

Authority: 20 U.S.C. 1681, 1682, 1683, 1685, 1686, 1687, 1688.

Source: 65 FR 52865, 52893, Aug. 30, 2000, unless otherwise noted.

[[Page 871]]

Subpart A_Introduction

Sec. 2555.100 Purpose and effective date.

The purpose of these Title IX regulations is to effectuate Title IX
of the Education Amendments of 1972, as amended (except sections 904 and
906 of those Amendments) (20 U.S.C. 1681, 1682, 1683, 1685, 1686, 1687,
1688), which is designed to eliminate (with certain exceptions)
discrimination on the basis of sex in any education program or activity
receiving Federal financial assistance, whether or not such program or
activity is offered or sponsored by an educational institution as
defined in these Title IX regulations. The effective date of these Title
IX regulations shall be September 29, 2000.

Sec. 2555.105 Definitions.

As used in these Title IX regulations, the term:
Administratively separate unit means a school, department, or
college of an educational institution (other than a local educational
agency) admission to which is independent of admission to any other
component of such institution.
Admission means selection for part-time, full-time, special,
associate, transfer, exchange, or any other enrollment, membership, or
matriculation in or at an education program or activity operated by a
recipient.
Applicant means one who submits an application, request, or plan
required to be approved by an official of the Federal agency that awards
Federal financial assistance, or by a recipient, as a condition to
becoming a recipient.
Designated agency official means ``Director, Equal Opportunity''.
Educational institution means a local educational agency (LEA) as
defined by 20 U.S.C. 8801(18), a preschool, a private elementary or
secondary school, or an applicant or recipient that is an institution of
graduate higher education, an institution of undergraduate higher
education, an institution of professional education, or an institution
of vocational education, as defined in this section.
Federal financial assistance means any of the following, when
authorized or extended under a law administered by the Federal agency
that awards such assistance:
(1) A grant or loan of Federal financial assistance, including funds
made available for:
(i) The acquisition, construction, renovation, restoration, or
repair of a building or facility or any portion thereof; and
(ii) Scholarships, loans, grants, wages, or other funds extended to
any entity for payment to or on behalf of students admitted to that
entity, or extended directly to such students for payment to that
entity.
(2) A grant of Federal real or personal property or any interest
therein, including surplus property, and the proceeds of the sale or
transfer of such property, if the Federal share of the fair market value
of the property is not, upon such sale or transfer, properly accounted
for to the Federal Government.
(3) Provision of the services of Federal personnel.
(4) Sale or lease of Federal property or any interest therein at
nominal consideration, or at consideration reduced for the purpose of
assisting the recipient or in recognition of public interest to be
served thereby, or permission to use Federal property or any interest
therein without consideration.
(5) Any other contract, agreement, or arrangement that has as one of
its purposes the provision of assistance to any education program or
activity, except a contract of insurance or guaranty.
Institution of graduate higher education means an institution that:
(1) Offers academic study beyond the bachelor of arts or bachelor of
science degree, whether or not leading to a certificate of any higher
degree in the liberal arts and sciences;
(2) Awards any degree in a professional field beyond the first
professional degree (regardless of whether the first professional degree
in such field is awarded by an institution of undergraduate higher
education or professional education); or
(3) Awards no degree and offers no further academic study, but
operates ordinarily for the purpose of facilitating research by persons
who have received the highest graduate degree in any field of study.

[[Page 872]]

Institution of professional education means an institution (except
any institution of undergraduate higher education) that offers a program
of academic study that leads to a first professional degree in a field
for which there is a national specialized accrediting agency recognized
by the Secretary of Education.
Institution of undergraduate higher education means:
(1) An institution offering at least two but less than four years of
college-level study beyond the high school level, leading to a diploma
or an associate degree, or wholly or principally creditable toward a
baccalaureate degree; or
(2) An institution offering academic study leading to a
baccalaureate degree; or
(3) An agency or body that certifies credentials or offers degrees,
but that may or may not offer academic study.
Institution of vocational education means a school or institution
(except an institution of professional or graduate or undergraduate
higher education) that has as its primary purpose preparation of
students to pursue a technical, skilled, or semiskilled occupation or
trade, or to pursue study in a technical field, whether or not the
school or institution offers certificates, diplomas, or degrees and
whether or not it offers full-time study.
Recipient means any State or political subdivision thereof, or any
instrumentality of a State or political subdivision thereof, any public
or private agency, institution, or organization, or other entity, or any
person, to whom Federal financial assistance is extended directly or
through another recipient and that operates an education program or
activity that receives such assistance, including any subunit,
successor, assignee, or transferee thereof.
Student means a person who has gained admission.
Title IX means Title IX of the Education Amendments of 1972, Public
Law 92-318, 86 Stat. 235, 373 (codified as amended at 20 U.S.C. 1681-
1688) (except sections 904 and 906 thereof), as amended by section 3 of
Public Law 93-568, 88 Stat. 1855, by section 412 of the Education
Amendments of 1976, Public Law 94-482, 90 Stat. 2234, and by Section 3
of Public Law 100-259, 102 Stat. 28, 28-29 (20 U.S.C. 1681, 1682, 1683,
1685, 1686, 1687, 1688).
Title IX regulations means the provisions set forth at Sec. Sec.
2555.100 through 2555.605.
Transition plan means a plan subject to the approval of the
Secretary of Education pursuant to section 901(a)(2) of the Education
Amendments of 1972, 20 U.S.C. 1681(a)(2), under which an educational
institution operates in making the transition from being an educational
institution that admits only students of one sex to being one that
admits students of both sexes without discrimination.

[65 FR 52865, 52893, Aug. 30, 2000, as amended at 65 FR 52894, Aug. 30,
2000]

Sec. 2555.110 Remedial and affirmative action and self-evaluation.

(a) Remedial action. If the designated agency official finds that a
recipient has discriminated against persons on the basis of sex in an
education program or activity, such recipient shall take such remedial
action as the designated agency official deems necessary to overcome the
effects of such discrimination.
(b) Affirmative action. In the absence of a finding of
discrimination on the basis of sex in an education program or activity,
a recipient may take affirmative action consistent with law to overcome
the effects of conditions that resulted in limited participation therein
by persons of a particular sex. Nothing in these Title IX regulations
shall be interpreted to alter any affirmative action obligations that a
recipient may have under Executive Order 11246, 3 CFR, 1964-1965 Comp.,
p. 339; as amended by Executive Order 11375, 3 CFR, 1966-1970 Comp., p.
684; as amended by Executive Order 11478, 3 CFR, 1966-1970 Comp., p.
803; as amended by Executive Order 12086, 3 CFR, 1978 Comp., p. 230; as
amended by Executive Order 12107, 3 CFR, 1978 Comp., p. 264.
(c) Self-evaluation. Each recipient education institution shall,
within one year of September 29, 2000:
(1) Evaluate, in terms of the requirements of these Title IX
regulations, its current policies and practices and the effects thereof
concerning admission of students, treatment of students, and

[[Page 873]]

employment of both academic and non-academic personnel working in
connection with the recipient's education program or activity;
(2) Modify any of these policies and practices that do not or may
not meet the requirements of these Title IX regulations; and
(3) Take appropriate remedial steps to eliminate the effects of any
discrimination that resulted or may have resulted from adherence to
these policies and practices.
(d) Availability of self-evaluation and related materials.
Recipients shall maintain on file for at least three years following
completion of the evaluation required under paragraph (c) of this
section, and shall provide to the designated agency official upon
request, a description of any modifications made pursuant to paragraph
(c)(2) of this section and of any remedial steps taken pursuant to
paragraph (c)(3) of this section.

Sec. 2555.115 Assurance required.

(a) General. Either at the application stage or the award stage,
Federal agencies must ensure that applications for Federal financial
assistance or awards of Federal financial assistance contain, be
accompanied by, or be covered by a specifically identified assurance
from the applicant or recipient, satisfactory to the designated agency
official, that each education program or activity operated by the
applicant or recipient and to which these Title IX regulations apply
will be operated in compliance with these Title IX regulations. An
assurance of compliance with these Title IX regulations shall not be
satisfactory to the designated agency official if the applicant or
recipient to whom such assurance applies fails to commit itself to take
whatever remedial action is necessary in accordance with Sec.
2555.110(a) to eliminate existing discrimination on the basis of sex or
to eliminate the effects of past discrimination whether occurring prior
to or subsequent to the submission to the designated agency official of
such assurance.
(b) Duration of obligation. (1) In the case of Federal financial
assistance extended to provide real property or structures thereon, such
assurance shall obligate the recipient or, in the case of a subsequent
transfer, the transferee, for the period during which the real property
or structures are used to provide an education program or activity.
(2) In the case of Federal financial assistance extended to provide
personal property, such assurance shall obligate the recipient for the
period during which it retains ownership or possession of the property.
(3) In all other cases such assurance shall obligate the recipient
for the period during which Federal financial assistance is extended.
(c) Form. (1) The assurances required by paragraph (a) of this
section, which may be included as part of a document that addresses
other assurances or obligations, shall include that the applicant or
recipient will comply with all applicable Federal statutes relating to
nondiscrimination. These include but are not limited to: Title IX of the
Education Amendments of 1972, as amended (20 U.S.C. 1681-1683, 1685-
1688).
(2) The designated agency official will specify the extent to which
such assurances will be required of the applicant's or recipient's
subgrantees, contractors, subcontractors, transferees, or successors in
interest.

Sec. 2555.120 Transfers of property.

If a recipient sells or otherwise transfers property financed in
whole or in part with Federal financial assistance to a transferee that
operates any education program or activity, and the Federal share of the
fair market value of the property is not upon such sale or transfer
properly accounted for to the Federal Government, both the transferor
and the transferee shall be deemed to be recipients, subject to the
provisions of Sec. Sec. 2555.205 through 2555.235(a).

Sec. 2555.125 Effect of other requirements.

(a) Effect of other Federal provisions. The obligations imposed by
these Title IX regulations are independent of, and do not alter,
obligations not to discriminate on the basis of sex imposed by Executive
Order 11246, 3 CFR, 1964-1965 Comp., p. 339; as amended by Executive
Order 11375, 3 CFR, 1966-1970

[[Page 874]]

Comp., p. 684; as amended by Executive Order 11478, 3 CFR, 1966-1970
Comp., p. 803; as amended by Executive Order 12087, 3 CFR, 1978 Comp.,
p. 230; as amended by Executive Order 12107, 3 CFR, 1978 Comp., p. 264;
sections 704 and 855 of the Public Health Service Act (42 U.S.C. 295m,
298b-2); Title VII of the Civil Rights Act of 1964 (42 U.S.C. 2000e et
seq.); the Equal Pay Act of 1963 (29 U.S.C. 206); and any other Act of
Congress or Federal regulation.
(b) Effect of State or local law or other requirements. The
obligation to comply with these Title IX regulations is not obviated or
alleviated by any State or local law or other requirement that would
render any applicant or student ineligible, or limit the eligibility of
any applicant or student, on the basis of sex, to practice any
occupation or profession.
(c) Effect of rules or regulations of private organizations. The
obligation to comply with these Title IX regulations is not obviated or
alleviated by any rule or regulation of any organization, club, athletic
or other league, or association that would render any applicant or
student ineligible to participate or limit the eligibility or
participation of any applicant or student, on the basis of sex, in any
education program or activity operated by a recipient and that receives
Federal financial assistance.

Sec. 2555.130 Effect of employment opportunities.

The obligation to comply with these Title IX regulations is not
obviated or alleviated because employment opportunities in any
occupation or profession are or may be more limited for members of one
sex than for members of the other sex.

Sec. 2555.135 Designation of responsible employee and
adoption of grievance procedures.

(a) Designation of responsible employee. Each recipient shall
designate at least one employee to coordinate its efforts to comply with
and carry out its responsibilities under these Title IX regulations,
including any investigation of any complaint communicated to such
recipient alleging its noncompliance with these Title IX regulations or
alleging any actions that would be prohibited by these Title IX
regulations. The recipient shall notify all its students and employees
of the name, office address, and telephone number of the employee or
employees appointed pursuant to this paragraph.
(b) Complaint procedure of recipient. A recipient shall adopt and
publish grievance procedures providing for prompt and equitable
resolution of student and employee complaints alleging any action that
would be prohibited by these Title IX regulations.

Sec. 2555.140 Dissemination of policy.

(a) Notification of policy. (1) Each recipient shall implement
specific and continuing steps to notify applicants for admission and
employment, students and parents of elementary and secondary school
students, employees, sources of referral of applicants for admission and
employment, and all unions or professional organizations holding
collective bargaining or professional agreements with the recipient,
that it does not discriminate on the basis of sex in the educational
programs or activities that it operates, and that it is required by
Title IX and these Title IX regulations not to discriminate in such a
manner. Such notification shall contain such information, and be made in
such manner, as the designated agency official finds necessary to
apprise such persons of the protections against discrimination assured
them by Title IX and these Title IX regulations, but shall state at
least that the requirement not to discriminate in education programs or
activities extends to employment therein, and to admission thereto
unless Sec. Sec. 2555.300 through 2555.310 do not apply to the
recipient, and that inquiries concerning the application of Title IX and
these Title IX regulations to such recipient may be referred to the
employee designated pursuant to Sec. 2555.135, or to the designated
agency official.
(2) Each recipient shall make the initial notification required by
paragraph (a)(1) of this section within 90 days of September 29, 2000 or
of the date these Title IX regulations first apply to such recipient,
whichever comes later,

[[Page 875]]

which notification shall include publication in:
(i) Newspapers and magazines operated by such recipient or by
student, alumnae, or alumni groups for or in connection with such
recipient; and
(ii) Memoranda or other written communications distributed to every
student and employee of such recipient.
(b) Publications. (1) Each recipient shall prominently include a
statement of the policy described in paragraph (a) of this section in
each announcement, bulletin, catalog, or application form that it makes
available to any person of a type, described in paragraph (a) of this
section, or which is otherwise used in connection with the recruitment
of students or employees.
(2) A recipient shall not use or distribute a publication of the
type described in paragraph (b)(1) of this section that suggests, by
text or illustration, that such recipient treats applicants, students,
or employees differently on the basis of sex except as such treatment is
permitted by these Title IX regulations.
(c) Distribution. Each recipient shall distribute without
discrimination on the basis of sex each publication described in
paragraph (b)(1) of this section, and shall apprise each of its
admission and employment recruitment representatives of the policy of
nondiscrimination described in paragraph (a) of this section, and shall
require such representatives to adhere to such policy.

Subpart B_Coverage

Sec. 2555.200 Application.

Except as provided in Sec. Sec. 2555.205 through 2555.235(a), these
Title IX regulations apply to every recipient and to each education
program or activity operated by such recipient that receives Federal
financial assistance.

Sec. 2555.205 Educational institutions and other entities
controlled by religious organizations.

(a) Exemption. These Title IX regulations do not apply to any
operation of an educational institution or other entity that is
controlled by a religious organization to the extent that application of
these Title IX regulations would not be consistent with the religious
tenets of such organization.
(b) Exemption claims. An educational institution or other entity
that wishes to claim the exemption set forth in paragraph (a) of this
section shall do so by submitting in writing to the designated agency
official a statement by the highest-ranking official of the institution,
identifying the provisions of these Title IX regulations that conflict
with a specific tenet of the religious organization.

Sec. 2555.210 Military and merchant marine educational institutions.

These Title IX regulations do not apply to an educational
institution whose primary purpose is the training of individuals for a
military service of the United States or for the merchant marine.

Sec. 2555.215 Membership practices of certain organizations.

(a) Social fraternities and sororities. These Title IX regulations
do not apply to the membership practices of social fraternities and
sororities that are exempt from taxation under section 501(a) of the
Internal Revenue Code of 1954, 26 U.S.C. 501(a), the active membership
of which consists primarily of students in attendance at institutions of
higher education.
(b) YMCA, YWCA, Girl Scouts, Boy Scouts, and Camp Fire Girls. These
Title IX regulations do not apply to the membership practices of the
Young Men's Christian Association (YMCA), the Young Women's Christian
Association (YWCA), the Girl Scouts, the Boy Scouts, and Camp Fire
Girls.
(c) Voluntary youth service organizations. These Title IX
regulations do not apply to the membership practices of a voluntary
youth service organization that is exempt from taxation under section
501(a) of the Internal Revenue Code of 1954, 26 U.S.C. 501(a), and the
membership of which has been traditionally limited to members of one sex
and principally to persons of less than nineteen years of age.

Sec. 2555.220 Admissions.

(a) Admissions to educational institutions prior to June 24, 1973,
are not covered by these Title IX regulations.

[[Page 876]]

(b) Administratively separate units. For the purposes only of this
section, Sec. Sec. 2555.225 and 2555.230, and Sec. Sec. 2555.300
through 2555.310, each administratively separate unit shall be deemed to
be an educational institution.
(c) Application of Sec. Sec. 2555.300 through 2555.310. Except as
provided in paragraphs (d) and (e) of this section, Sec. Sec. 2555.300
through 2555.310 apply to each recipient. A recipient to which
Sec. Sec. 2555.300 through 2555.310 apply shall not discriminate on the
basis of sex in admission or recruitment in violation of Sec. Sec.
2555.300 through 2555.310.
(d) Educational institutions. Except as provided in paragraph (e) of
this section as to recipients that are educational institutions,
Sec. Sec. 2555.300 through 2555.310 apply only to institutions of
vocational education, professional education, graduate higher education,
and public institutions of undergraduate higher education.
(e) Public institutions of undergraduate higher education.
Sec. Sec. 2555.300 through 2555.310 do not apply to any public
institution of undergraduate higher education that traditionally and
continually from its establishment has had a policy of admitting
students of only one sex.

Sec. 2555.225 Educational institutions eligible to submit
transition plans.

(a) Application. This section applies to each educational
institution to which Sec. Sec. 2555.300 through 2555.310 apply that:
(1) Admitted students of only one sex as regular students as of June
23, 1972; or
(2) Admitted students of only one sex as regular students as of June
23, 1965, but thereafter admitted, as regular students, students of the
sex not admitted prior to June 23, 1965.
(b) Provision for transition plans. An educational institution to
which this section applies shall not discriminate on the basis of sex in
admission or recruitment in violation of Sec. Sec. 2555.300 through
2555.310.

Sec. 2555.230 Transition plans.

(a) Submission of plans. An institution to which Sec. 2555.225
applies and that is composed of more than one administratively separate
unit may submit either a single transition plan applicable to all such
units, or a separate transition plan applicable to each such unit.
(b) Content of plans. In order to be approved by the Secretary of
Education, a transition plan shall:
(1) State the name, address, and Federal Interagency Committee on
Education Code of the educational institution submitting such plan, the
administratively separate units to which the plan is applicable, and the
name, address, and telephone number of the person to whom questions
concerning the plan may be addressed. The person who submits the plan
shall be the chief administrator or president of the institution, or
another individual legally authorized to bind the institution to all
actions set forth in the plan.
(2) State whether the educational institution or administratively
separate unit admits students of both sexes as regular students and, if
so, when it began to do so.
(3) Identify and describe with respect to the educational
institution or administratively separate unit any obstacles to admitting
students without discrimination on the basis of sex.
(4) Describe in detail the steps necessary to eliminate as soon as
practicable each obstacle so identified and indicate the schedule for
taking these steps and the individual directly responsible for their
implementation.
(5) Include estimates of the number of students, by sex, expected to
apply for, be admitted to, and enter each class during the period
covered by the plan.
(c) Nondiscrimination. No policy or practice of a recipient to which
Sec. 2555.225 applies shall result in treatment of applicants to or
students of such recipient in violation of Sec. Sec. 2555.300 through
2555.310 unless such treatment is necessitated by an obstacle identified
in paragraph (b)(3) of this section and a schedule for eliminating that
obstacle has been provided as required by paragraph (b)(4) of this
section.
(d) Effects of past exclusion. To overcome the effects of past
exclusion of students on the basis of sex, each educational institution
to which Sec. 2555.225 applies shall include in its transition plan,
and shall implement, specific steps designed to encourage individuals

[[Page 877]]

of the previously excluded sex to apply for admission to such
institution. Such steps shall include instituting recruitment programs
that emphasize the institution's commitment to enrolling students of the
sex previously excluded.

Sec. 2555.235 Statutory amendments.

(a) This section, which applies to all provisions of these Title IX
regulations, addresses statutory amendments to Title IX.
(b) These Title IX regulations shall not apply to or preclude:
(1) Any program or activity of the American Legion undertaken in
connection with the organization or operation of any Boys State
conference, Boys Nation conference, Girls State conference, or Girls
Nation conference;
(2) Any program or activity of a secondary school or educational
institution specifically for:
(i) The promotion of any Boys State conference, Boys Nation
conference, Girls State conference, or Girls Nation conference; or
(ii) The selection of students to attend any such conference;
(3) Father-son or mother-daughter activities at an educational
institution or in an education program or activity, but if such
activities are provided for students of one sex, opportunities for
reasonably comparable activities shall be provided to students of the
other sex;
(4) Any scholarship or other financial assistance awarded by an
institution of higher education to an individual because such individual
has received such award in a single-sex pageant based upon a combination
of factors related to the individual's personal appearance, poise, and
talent. The pageant, however, must comply with other nondiscrimination
provisions of Federal law.
(c) Program or activity or program means:
(1) All of the operations of any entity described in paragraphs
(c)(1)(i) through (iv) of this section, any part of which is extended
Federal financial assistance:
(i)(A) A department, agency, special purpose district, or other
instrumentality of a State or of a local government; or
(B) The entity of such State or local government that distributes
such assistance and each such department or agency (and each other State
or local government entity) to which the assistance is extended, in the
case of assistance to a State or local government;
(ii)(A) A college, university, or other postsecondary institution,
or a public system of higher education; or
(B) A local educational agency (as defined in section 8801 of title
20), system of vocational education, or other school system;
(iii)(A) An entire corporation, partnership, or other private
organization, or an entire sole proprietorship--
(1) If assistance is extended to such corporation, partnership,
private organization, or sole proprietorship as a whole; or
(2) Which is principally engaged in the business of providing
education, health care, housing, social services, or parks and
recreation; or
(B) The entire plant or other comparable, geographically separate
facility to which Federal financial assistance is extended, in the case
of any other corporation, partnership, private organization, or sole
proprietorship; or
(iv) Any other entity that is established by two or more of the
entities described in paragraphs (c)(1)(i), (ii), or (iii) of this
section.
(2)(i) Program or activity does not include any operation of an
entity that is controlled by a religious organization if the application
of 20 U.S.C. 1681 to such operation would not be consistent with the
religious tenets of such organization.
(ii) For example, all of the operations of a college, university, or
other postsecondary institution, including but not limited to
traditional educational operations, faculty and student housing, campus
shuttle bus service, campus restaurants, the bookstore, and other
commercial activities are part of a ``program or activity'' subject to
these Title IX regulations if the college, university, or other
institution receives Federal financial assistance.
(d)(1) Nothing in these Title IX regulations shall be construed to
require or

[[Page 878]]

prohibit any person, or public or private entity, to provide or pay for
any benefit or service, including the use of facilities, related to an
abortion. Medical procedures, benefits, services, and the use of
facilities, necessary to save the life of a pregnant woman or to address
complications related to an abortion are not subject to this section.
(2) Nothing in this section shall be construed to permit a penalty
to be imposed on any person or individual because such person or
individual is seeking or has received any benefit or service related to
a legal abortion. Accordingly, subject to paragraph (d)(1) of this
section, no person shall be excluded from participation in, be denied
the benefits of, or be subjected to discrimination under any academic,
extracurricular, research, occupational training, employment, or other
educational program or activity operated by a recipient that receives
Federal financial assistance because such individual has sought or
received, or is seeking, a legal abortion, or any benefit or service
related to a legal abortion.

Subpart C_Discrimination on the Basis of Sex in Admission and
Recruitment Prohibited

Sec. 2555.300 Admission.

(a) General. No person shall, on the basis of sex, be denied
admission, or be subjected to discrimination in admission, by any
recipient to which Sec. Sec. 2555.300 through 2555.310 apply, except as
provided in Sec. Sec. 2555.225 and 2555.230.
(b) Specific prohibitions. (1) In determining whether a person
satisfies any policy or criterion for admission, or in making any offer
of admission, a recipient to which Sec. Sec. 2555.300 through 2555.310
apply shall not:
(i) Give preference to one person over another on the basis of sex,
by ranking applicants separately on such basis, or otherwise;
(ii) Apply numerical limitations upon the number or proportion of
persons of either sex who may be admitted; or
(iii) Otherwise treat one individual differently from another on the
basis of sex.
(2) A recipient shall not administer or operate any test or other
criterion for admission that has a disproportionately adverse effect on
persons on the basis of sex unless the use of such test or criterion is
shown to predict validly success in the education program or activity in
question and alternative tests or criteria that do not have such a
disproportionately adverse effect are shown to be unavailable.
(c) Prohibitions relating to marital or parental status. In
determining whether a person satisfies any policy or criterion for
admission, or in making any offer of admission, a recipient to which
Sec. Sec. 2555.300 through 2555.310 apply:
(1) Shall not apply any rule concerning the actual or potential
parental, family, or marital status of a student or applicant that
treats persons differently on the basis of sex;
(2) Shall not discriminate against or exclude any person on the
basis of pregnancy, childbirth, termination of pregnancy, or recovery
therefrom, or establish or follow any rule or practice that so
discriminates or excludes;
(3) Subject to Sec. 2555.235(d), shall treat disabilities related
to pregnancy, childbirth, termination of pregnancy, or recovery
therefrom in the same manner and under the same policies as any other
temporary disability or physical condition; and
(4) Shall not make pre-admission inquiry as to the marital status of
an applicant for admission, including whether such applicant is ``Miss''
or ``Mrs.'' A recipient may make pre-admission inquiry as to the sex of
an applicant for admission, but only if such inquiry is made equally of
such applicants of both sexes and if the results of such inquiry are not
used in connection with discrimination prohibited by these Title IX
regulations.

Sec. 2555.305 Preference in admission.

A recipient to which Sec. Sec. 2555.300 through 2555.310 apply
shall not give preference to applicants for admission, on the basis of
attendance at any educational institution or other school or entity that
admits as students only or predominantly members of one sex, if the
giving of such preference has the effect of discriminating on the basis
of sex in violation of Sec. Sec. 2555.300 through 2555.310.

[[Page 879]]

Sec. 2555.310 Recruitment.

(a) Nondiscriminatory recruitment. A recipient to which Sec. Sec.
2555.300 through 2555.310 apply shall not discriminate on the basis of
sex in the recruitment and admission of students. A recipient may be
required to undertake additional recruitment efforts for one sex as
remedial action pursuant to Sec. 2555.110(a), and may choose to
undertake such efforts as affirmative action pursuant to Sec.
2555.110(b).
(b) Recruitment at certain institutions. A recipient to which
Sec. Sec. 2555.300 through 2555.310 apply shall not recruit primarily
or exclusively at educational institutions, schools, or entities that
admit as students only or predominantly members of one sex, if such
actions have the effect of discriminating on the basis of sex in
violation of Sec. Sec. 2555.300 through 2555.310.

Subpart D_Discrimination on the Basis of Sex in Education Programs or
Activities Prohibited

Sec. 2555.400 Education programs or activities.

(a) General. Except as provided elsewhere in these Title IX
regulations, no person shall, on the basis of sex, be excluded from
participation in, be denied the benefits of, or be subjected to
discrimination under any academic, extracurricular, research,
occupational training, or other education program or activity operated
by a recipient that receives Federal financial assistance. Sections
2555.400 through 2555.455 do not apply to actions of a recipient in
connection with admission of its students to an education program or
activity of a recipient to which Sec. Sec. 2555.300 through 2555.310 do
not apply, or an entity, not a recipient, to which Sec. Sec. 2555.300
through 2555.310 would not apply if the entity were a recipient.
(b) Specific prohibitions. Except as provided in Sec. Sec. 2555.400
through 2555.455, in providing any aid, benefit, or service to a
student, a recipient shall not, on the basis of sex:
(1) Treat one person differently from another in determining whether
such person satisfies any requirement or condition for the provision of
such aid, benefit, or service;
(2) Provide different aid, benefits, or services or provide aid,
benefits, or services in a different manner;
(3) Deny any person any such aid, benefit, or service;
(4) Subject any person to separate or different rules of behavior,
sanctions, or other treatment;
(5) Apply any rule concerning the domicile or residence of a student
or applicant, including eligibility for in-state fees and tuition;
(6) Aid or perpetuate discrimination against any person by providing
significant assistance to any agency, organization, or person that
discriminates on the basis of sex in providing any aid, benefit, or
service to students or employees;
(7) Otherwise limit any person in the enjoyment of any right,
privilege, advantage, or opportunity.
(c) Assistance administered by a recipient educational institution
to study at a foreign institution. A recipient educational institution
may administer or assist in the administration of scholarships,
fellowships, or other awards established by foreign or domestic wills,
trusts, or similar legal instruments, or by acts of foreign governments
and restricted to members of one sex, that are designed to provide
opportunities to study abroad, and that are awarded to students who are
already matriculating at or who are graduates of the recipient
institution; Provided, that a recipient educational institution that
administers or assists in the administration of such scholarships,
fellowships, or other awards that are restricted to members of one sex
provides, or otherwise makes available, reasonable opportunities for
similar studies for members of the other sex. Such opportunities may be
derived from either domestic or foreign sources.
(d) Aids, benefits or services not provided by recipient. (1) This
paragraph (d) applies to any recipient that requires participation by
any applicant, student, or employee in any education program or activity
not operated wholly by such recipient, or that facilitates, permits, or
considers such participation as part of or equivalent to an education
program or activity operated by such recipient, including participation

[[Page 880]]

in educational consortia and cooperative employment and student-teaching
assignments.
(2) Such recipient:
(i) Shall develop and implement a procedure designed to assure
itself that the operator or sponsor of such other education program or
activity takes no action affecting any applicant, student, or employee
of such recipient that these Title IX regulations would prohibit such
recipient from taking; and
(ii) Shall not facilitate, require, permit, or consider such
participation if such action occurs.

Sec. 2555.405 Housing.

(a) Generally. A recipient shall not, on the basis of sex, apply
different rules or regulations, impose different fees or requirements,
or offer different services or benefits related to housing, except as
provided in this section (including housing provided only to married
students).
(b) Housing provided by recipient. (1) A recipient may provide
separate housing on the basis of sex.
(2) Housing provided by a recipient to students of one sex, when
compared to that provided to students of the other sex, shall be as a
whole:
(i) Proportionate in quantity to the number of students of that sex
applying for such housing; and
(ii) Comparable in quality and cost to the student.
(c) Other housing. (1) A recipient shall not, on the basis of sex,
administer different policies or practices concerning occupancy by its
students of housing other than that provided by such recipient.
(2)(i) A recipient which, through solicitation, listing, approval of
housing, or otherwise, assists any agency, organization, or person in
making housing available to any of its students, shall take such
reasonable action as may be necessary to assure itself that such housing
as is provided to students of one sex, when compared to that provided to
students of the other sex, is as a whole:
(A) Proportionate in quantity; and
(B) Comparable in quality and cost to the student.
(ii) A recipient may render such assistance to any agency,
organization, or person that provides all or part of such housing to
students of only one sex.

Sec. 2555.410 Comparable facilities.

A recipient may provide separate toilet, locker room, and shower
facilities on the basis of sex, but such facilities provided for
students of one sex shall be comparable to such facilities provided for
students of the other sex.

Sec. 2555.415 Access to course offerings.

(a) A recipient shall not provide any course or otherwise carry out
any of its education program or activity separately on the basis of sex,
or require or refuse participation therein by any of its students on
such basis, including health, physical education, industrial, business,
vocational, technical, home economics, music, and adult education
courses.
(b)(1) With respect to classes and activities in physical education
at the elementary school level, the recipient shall comply fully with
this section as expeditiously as possible but in no event later than one
year from September 29, 2000. With respect to physical education classes
and activities at the secondary and post-secondary levels, the recipient
shall comply fully with this section as expeditiously as possible but in
no event later than three years from September 29, 2000.
(2) This section does not prohibit grouping of students in physical
education classes and activities by ability as assessed by objective
standards of individual performance developed and applied without regard
to sex.
(3) This section does not prohibit separation of students by sex
within physical education classes or activities during participation in
wrestling, boxing, rugby, ice hockey, football, basketball, and other
sports the purpose or major activity of which involves bodily contact.
(4) Where use of a single standard of measuring skill or progress in
a physical education class has an adverse effect on members of one sex,
the recipient shall use appropriate standards that do not have such
effect.
(5) Portions of classes in elementary and secondary schools, or
portions of education programs or activities, that

[[Page 881]]

deal exclusively with human sexuality may be conducted in separate
sessions for boys and girls.
(6) Recipients may make requirements based on vocal range or quality
that may result in a chorus or choruses of one or predominantly one sex.

Sec. 2555.420 Access to schools operated by LEAs.

A recipient that is a local educational agency shall not, on the
basis of sex, exclude any person from admission to:
(a) Any institution of vocational education operated by such
recipient; or
(b) Any other school or educational unit operated by such recipient,
unless such recipient otherwise makes available to such person, pursuant
to the same policies and criteria of admission, courses, services, and
facilities comparable to each course, service, and facility offered in
or through such schools.

Sec. 2555.425 Counseling and use of appraisal and counseling materials.

(a) Counseling. A recipient shall not discriminate against any
person on the basis of sex in the counseling or guidance of students or
applicants for admission.
(b) Use of appraisal and counseling materials. A recipient that uses
testing or other materials for appraising or counseling students shall
not use different materials for students on the basis of their sex or
use materials that permit or require different treatment of students on
such basis unless such different materials cover the same occupations
and interest areas and the use of such different materials is shown to
be essential to eliminate sex bias. Recipients shall develop and use
internal procedures for ensuring that such materials do not discriminate
on the basis of sex. Where the use of a counseling test or other
instrument results in a substantially disproportionate number of members
of one sex in any particular course of study or classification, the
recipient shall take such action as is necessary to assure itself that
such disproportion is not the result of discrimination in the instrument
or its application.
(c) Disproportion in classes. Where a recipient finds that a
particular class contains a substantially disproportionate number of
individuals of one sex, the recipient shall take such action as is
necessary to assure itself that such disproportion is not the result of
discrimination on the basis of sex in counseling or appraisal materials
or by counselors.

Sec. 2555.430 Financial assistance.

(a) General. Except as provided in paragraphs (b) and (c) of this
section, in providing financial assistance to any of its students, a
recipient shall not:
(1) On the basis of sex, provide different amounts or types of such
assistance, limit eligibility for such assistance that is of any
particular type or source, apply different criteria, or otherwise
discriminate;
(2) Through solicitation, listing, approval, provision of
facilities, or other services, assist any foundation, trust, agency,
organization, or person that provides assistance to any of such
recipient's students in a manner that discriminates on the basis of sex;
or
(3) Apply any rule or assist in application of any rule concerning
eligibility for such assistance that treats persons of one sex
differently from persons of the other sex with regard to marital or
parental status.
(b) Financial aid established by certain legal instruments. (1) A
recipient may administer or assist in the administration of
scholarships, fellowships, or other forms of financial assistance
established pursuant to domestic or foreign wills, trusts, bequests, or
similar legal instruments or by acts of a foreign government that
require that awards be made to members of a particular sex specified
therein; Provided, that the overall effect of the award of such sex-
restricted scholarships, fellowships, and other forms of financial
assistance does not discriminate on the basis of sex.
(2) To ensure nondiscriminatory awards of assistance as required in
paragraph (b)(1) of this section, recipients shall develop and use
procedures under which:
(i) Students are selected for award of financial assistance on the
basis of nondiscriminatory criteria and not on

[[Page 882]]

the basis of availability of funds restricted to members of a particular
sex;
(ii) An appropriate sex-restricted scholarship, fellowship, or other
form of financial assistance is allocated to each student selected under
paragraph (b)(2)(i) of this section; and
(iii) No student is denied the award for which he or she was
selected under paragraph (b)(2)(i) of this section because of the
absence of a scholarship, fellowship, or other form of financial
assistance designated for a member of that student's sex.
(c) Athletic scholarships. (1) To the extent that a recipient awards
athletic scholarships or grants-in-aid, it must provide reasonable
opportunities for such awards for members of each sex in proportion to
the number of students of each sex participating in interscholastic or
intercollegiate athletics.
(2) A recipient may provide separate athletic scholarships or
grants-in-aid for members of each sex as part of separate athletic teams
for members of each sex to the extent consistent with this paragraph (c)
and Sec. 2555.450.

Sec. 2555.435 Employment assistance to students.

(a) Assistance by recipient in making available outside employment.
A recipient that assists any agency, organization, or person in making
employment available to any of its students:
(1) Shall assure itself that such employment is made available
without discrimination on the basis of sex; and
(2) Shall not render such services to any agency, organization, or
person that discriminates on the basis of sex in its employment
practices.
(b) Employment of students by recipients. A recipient that employs
any of its students shall not do so in a manner that violates Sec. Sec.
2555.500 through 2555.550.

Sec. 2555.440 Health and insurance benefits and services.

Subject to Sec. 2555.235(d), in providing a medical, hospital,
accident, or life insurance benefit, service, policy, or plan to any of
its students, a recipient shall not discriminate on the basis of sex, or
provide such benefit, service, policy, or plan in a manner that would
violate Sec. Sec. 2555.500 through 2555.550 if it were provided to
employees of the recipient. This section shall not prohibit a recipient
from providing any benefit or service that may be used by a different
proportion of students of one sex than of the other, including family
planning services. However, any recipient that provides full coverage
health service shall provide gynecological care.

Sec. 2555.445 Marital or parental status.

(a) Status generally. A recipient shall not apply any rule
concerning a student's actual or potential parental, family, or marital
status that treats students differently on the basis of sex.
(b) Pregnancy and related conditions. (1) A recipient shall not
discriminate against any student, or exclude any student from its
education program or activity, including any class or extracurricular
activity, on the basis of such student's pregnancy, childbirth, false
pregnancy, termination of pregnancy, or recovery therefrom, unless the
student requests voluntarily to participate in a separate portion of the
program or activity of the recipient.
(2) A recipient may require such a student to obtain the
certification of a physician that the student is physically and
emotionally able to continue participation as long as such a
certification is required of all students for other physical or
emotional conditions requiring the attention of a physician.
(3) A recipient that operates a portion of its education program or
activity separately for pregnant students, admittance to which is
completely voluntary on the part of the student as provided in paragraph
(b)(1) of this section, shall ensure that the separate portion is
comparable to that offered to non-pregnant students.
(4) Subject to Sec. 2555.235(d), a recipient shall treat pregnancy,
childbirth, false pregnancy, termination of pregnancy and recovery
therefrom in the same manner and under the same policies as any other
temporary disability with respect to any medical or hospital benefit,
service, plan, or policy that such recipient administers, operates,
offers, or participates in with respect to students admitted to the
recipient's educational program or activity.

[[Page 883]]

(5) In the case of a recipient that does not maintain a leave policy
for its students, or in the case of a student who does not otherwise
qualify for leave under such a policy, a recipient shall treat
pregnancy, childbirth, false pregnancy, termination of pregnancy, and
recovery therefrom as a justification for a leave of absence for as long
a period of time as is deemed medically necessary by the student's
physician, at the conclusion of which the student shall be reinstated to
the status that she held when the leave began.

Sec. 2555.450 Athletics.

(a) General. No person shall, on the basis of sex, be excluded from
participation in, be denied the benefits of, be treated differently from
another person, or otherwise be discriminated against in any
interscholastic, intercollegiate, club, or intramural athletics offered
by a recipient, and no recipient shall provide any such athletics
separately on such basis.
(b) Separate teams. Notwithstanding the requirements of paragraph
(a) of this section, a recipient may operate or sponsor separate teams
for members of each sex where selection for such teams is based upon
competitive skill or the activity involved is a contact sport. However,
where a recipient operates or sponsors a team in a particular sport for
members of one sex but operates or sponsors no such team for members of
the other sex, and athletic opportunities for members of that sex have
previously been limited, members of the excluded sex must be allowed to
try out for the team offered unless the sport involved is a contact
sport. For the purposes of these Title IX regulations, contact sports
include boxing, wrestling, rugby, ice hockey, football, basketball, and
other sports the purpose or major activity of which involves bodily
contact.
(c) Equal opportunity. (1) A recipient that operates or sponsors
interscholastic, intercollegiate, club, or intramural athletics shall
provide equal athletic opportunity for members of both sexes. In
determining whether equal opportunities are available, the designated
agency official will consider, among other factors:
(i) Whether the selection of sports and levels of competition
effectively accommodate the interests and abilities of members of both
sexes;
(ii) The provision of equipment and supplies;
(iii) Scheduling of games and practice time;
(iv) Travel and per diem allowance;
(v) Opportunity to receive coaching and academic tutoring;
(vi) Assignment and compensation of coaches and tutors;
(vii) Provision of locker rooms, practice, and competitive
facilities;
(viii) Provision of medical and training facilities and services;
(ix) Provision of housing and dining facilities and services;
(x) Publicity.
(2) For purposes of paragraph (c)(1) of this section, unequal
aggregate expenditures for members of each sex or unequal expenditures
for male and female teams if a recipient operates or sponsors separate
teams will not constitute noncompliance with this section, but the
designated agency official may consider the failure to provide necessary
funds for teams for one sex in assessing equality of opportunity for
members of each sex.
(d) Adjustment period. A recipient that operates or sponsors
interscholastic, intercollegiate, club, or intramural athletics at the
elementary school level shall comply fully with this section as
expeditiously as possible but in no event later than one year from
September 29, 2000. A recipient that operates or sponsors
interscholastic, intercollegiate, club, or intramural athletics at the
secondary or postsecondary school level shall comply fully with this
section as expeditiously as possible but in no event later than three
years from September 29, 2000.

Sec. 2555.455 Textbooks and curricular material.

Nothing in these Title IX regulations shall be interpreted as
requiring or prohibiting or abridging in any way the use of particular
textbooks or curricular materials.

[[Page 884]]

Subpart E_Discrimination on the Basis of Sex in Employment in Education
Programs or Activities Prohibited

Sec. 2555.500 Employment.

(a) General. (1) No person shall, on the basis of sex, be excluded
from participation in, be denied the benefits of, or be subjected to
discrimination in employment, or recruitment, consideration, or
selection therefor, whether full-time or part-time, under any education
program or activity operated by a recipient that receives Federal
financial assistance.
(2) A recipient shall make all employment decisions in any education
program or activity operated by such recipient in a nondiscriminatory
manner and shall not limit, segregate, or classify applicants or
employees in any way that could adversely affect any applicant's or
employee's employment opportunities or status because of sex.
(3) A recipient shall not enter into any contractual or other
relationship which directly or indirectly has the effect of subjecting
employees or students to discrimination prohibited by Sec. Sec.
2555.500 through 2555.550, including relationships with employment and
referral agencies, with labor unions, and with organizations providing
or administering fringe benefits to employees of the recipient.
(4) A recipient shall not grant preferences to applicants for
employment on the basis of attendance at any educational institution or
entity that admits as students only or predominantly members of one sex,
if the giving of such preferences has the effect of discriminating on
the basis of sex in violation of these Title IX regulations.
(b) Application. The provisions of Sec. Sec. 2555.500 through
2555.550 apply to:
(1) Recruitment, advertising, and the process of application for
employment;
(2) Hiring, upgrading, promotion, consideration for and award of
tenure, demotion, transfer, layoff, termination, application of nepotism
policies, right of return from layoff, and rehiring;
(3) Rates of pay or any other form of compensation, and changes in
compensation;
(4) Job assignments, classifications, and structure, including
position descriptions, lines of progression, and seniority lists;
(5) The terms of any collective bargaining agreement;
(6) Granting and return from leaves of absence, leave for pregnancy,
childbirth, false pregnancy, termination of pregnancy, leave for persons
of either sex to care for children or dependents, or any other leave;
(7) Fringe benefits available by virtue of employment, whether or
not administered by the recipient;
(8) Selection and financial support for training, including
apprenticeship, professional meetings, conferences, and other related
activities, selection for tuition assistance, selection for sabbaticals
and leaves of absence to pursue training;
(9) Employer-sponsored activities, including social or recreational
programs; and
(10) Any other term, condition, or privilege of employment.

Sec. 2555.505 Employment criteria.

A recipient shall not administer or operate any test or other
criterion for any employment opportunity that has a disproportionately
adverse effect on persons on the basis of sex unless:
(a) Use of such test or other criterion is shown to predict validly
successful performance in the position in question; and
(b) Alternative tests or criteria for such purpose, which do not
have such disproportionately adverse effect, are shown to be
unavailable.

Sec. 2555.510 Recruitment.

(a) Nondiscriminatory recruitment and hiring. A recipient shall not
discriminate on the basis of sex in the recruitment and hiring of
employees. Where a recipient has been found to be presently
discriminating on the basis of sex in the recruitment or hiring of
employees, or has been found to have so discriminated in the past, the
recipient shall recruit members of the sex so discriminated against so
as to overcome the effects of such past or present discrimination.

[[Page 885]]

(b) Recruitment patterns. A recipient shall not recruit primarily or
exclusively at entities that furnish as applicants only or predominantly
members of one sex if such actions have the effect of discriminating on
the basis of sex in violation of Sec. Sec. 2555.500 through 2555.550.

Sec. 2555.515 Compensation.

A recipient shall not make or enforce any policy or practice that,
on the basis of sex:
(a) Makes distinctions in rates of pay or other compensation;
(b) Results in the payment of wages to employees of one sex at a
rate less than that paid to employees of the opposite sex for equal work
on jobs the performance of which requires equal skill, effort, and
responsibility, and that are performed under similar working conditions.

Sec. 2555.520 Job classification and structure.

A recipient shall not:
(a) Classify a job as being for males or for females;
(b) Maintain or establish separate lines of progression, seniority
lists, career ladders, or tenure systems based on sex; or
(c) Maintain or establish separate lines of progression, seniority
systems, career ladders, or tenure systems for similar jobs, position
descriptions, or job requirements that classify persons on the basis of
sex, unless sex is a bona fide occupational qualification for the
positions in question as set forth in Sec. 2555.550.

Sec. 2555.525 Fringe benefits.

(a) ``Fringe benefits'' defined. For purposes of these Title IX
regulations, fringe benefits means: Any medical, hospital, accident,
life insurance, or retirement benefit, service, policy or plan, any
profit-sharing or bonus plan, leave, and any other benefit or service of
employment not subject to the provision of Sec. 2555.515.
(b) Prohibitions. A recipient shall not:
(1) Discriminate on the basis of sex with regard to making fringe
benefits available to employees or make fringe benefits available to
spouses, families, or dependents of employees differently upon the basis
of the employee's sex;
(2) Administer, operate, offer, or participate in a fringe benefit
plan that does not provide for equal periodic benefits for members of
each sex and for equal contributions to the plan by such recipient for
members of each sex; or
(3) Administer, operate, offer, or participate in a pension or
retirement plan that establishes different optional or compulsory
retirement ages based on sex or that otherwise discriminates in benefits
on the basis of sex.

Sec. 2555.530 Marital or parental status.

(a) General. A recipient shall not apply any policy or take any
employment action:
(1) Concerning the potential marital, parental, or family status of
an employee or applicant for employment that treats persons differently
on the basis of sex; or
(2) Which is based upon whether an employee or applicant for
employment is the head of household or principal wage earner in such
employee's or applicant's family unit.
(b) Pregnancy. A recipient shall not discriminate against or exclude
from employment any employee or applicant for employment on the basis of
pregnancy, childbirth, false pregnancy, termination of pregnancy, or
recovery therefrom.
(c) Pregnancy as a temporary disability. Subject to Sec.
2555.235(d), a recipient shall treat pregnancy, childbirth, false
pregnancy, termination of pregnancy, recovery therefrom, and any
temporary disability resulting therefrom as any other temporary
disability for all job-related purposes, including commencement,
duration, and extensions of leave, payment of disability income, accrual
of seniority and any other benefit or service, and reinstatement, and
under any fringe benefit offered to employees by virtue of employment.
(d) Pregnancy leave. In the case of a recipient that does not
maintain a leave policy for its employees, or in the case of an employee
with insufficient leave or accrued employment time to qualify for leave
under such a policy, a recipient shall treat pregnancy, childbirth,
false pregnancy, termination of pregnancy, and recovery therefrom as a

[[Page 886]]

justification for a leave of absence without pay for a reasonable period
of time, at the conclusion of which the employee shall be reinstated to
the status that she held when the leave began or to a comparable
position, without decrease in rate of compensation or loss of
promotional opportunities, or any other right or privilege of
employment.

Sec. 2555.535 Effect of state or local law or other requirements.

(a) Prohibitory requirements. The obligation to comply with
Sec. Sec. 2555.500 through 2555.550 is not obviated or alleviated by
the existence of any State or local law or other requirement that
imposes prohibitions or limits upon employment of members of one sex
that are not imposed upon members of the other sex.
(b) Benefits. A recipient that provides any compensation, service,
or benefit to members of one sex pursuant to a State or local law or
other requirement shall provide the same compensation, service, or
benefit to members of the other sex.

Sec. 2555.540 Advertising.

A recipient shall not in any advertising related to employment
indicate preference, limitation, specification, or discrimination based
on sex unless sex is a bona fide occupational qualification for the
particular job in question.

Sec. 2555.545 Pre-employment inquiries.

(a) Marital status. A recipient shall not make pre-employment
inquiry as to the marital status of an applicant for employment,
including whether such applicant is ``Miss'' or ``Mrs.''
(b) Sex. A recipient may make pre-employment inquiry as to the sex
of an applicant for employment, but only if such inquiry is made equally
of such applicants of both sexes and if the results of such inquiry are
not used in connection with discrimination prohibited by these Title IX
regulations.

Sec. 2555.550 Sex as a bona fide occupational qualification.

A recipient may take action otherwise prohibited by Sec. Sec.
2555.500 through 2555.550 provided it is shown that sex is a bona fide
occupational qualification for that action, such that consideration of
sex with regard to such action is essential to successful operation of
the employment function concerned. A recipient shall not take action
pursuant to this section that is based upon alleged comparative
employment characteristics or stereotyped characterizations of one or
the other sex, or upon preference based on sex of the recipient,
employees, students, or other persons, but nothing contained in this
section shall prevent a recipient from considering an employee's sex in
relation to employment in a locker room or toilet facility used only by
members of one sex.

Subpart F_Procedures

Sec. 2555.600 Notice of covered programs.

Within 60 days of September 29, 2000, each Federal agency that
awards Federal financial assistance shall publish in the Federal
Register a notice of the programs covered by these Title IX regulations.
Each such Federal agency shall periodically republish the notice of
covered programs to reflect changes in covered programs. Copies of this
notice also shall be made available upon request to the Federal agency's
office that enforces Title IX.

Sec. 2555.605 Enforcement procedures.

The investigative, compliance, and enforcement procedural provisions
of Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d) (``Title
VI'') are hereby adopted and applied to these Title IX regulations.
These procedures may be found at 45 CFR 1203.6 through 1203.12.

[65 FR 52894, Aug. 30, 2000]

PART 2556_VOLUNTEERS IN SERVICE TO AMERICA--Table of Contents

Subpart A_General Information

Sec.
2556.1 What is the purpose of the VISTA program?
2556.3 Who should read this part?
2556.5 What definitions apply in this part?
2556.7 Are waivers of the regulations in this part allowed?

[[Page 887]]

Subpart B_VISTA Sponsors

2556.100 Which entities are eligible to apply to become VISTA sponsors?
2556.105 Which entities are prohibited from being VISTA sponsors?
2556.110 What VISTA assistance is available to a sponsor?
2556.115 Is a VISTA sponsor required to provide a cash or in-kind match?
2556.120 How does a VISTA sponsor ensure the participation of people in
the communities to be served?
2556.125 May AmeriCorps deny or reduce VISTA assistance to an existing
VISTA project?
2556.130 What is the procedure for denial or reduction of VISTA
assistance to an existing VISTA project?
2556.135 What is suspension and when may AmeriCorps suspend a VISTA
project?
2556.140 What is termination and when may AmeriCorps terminate a VISTA
project?
2556.145 May AmeriCorps pursue other remedies against a VISTA project
for a sponsor's material failure to comply with any other
requirement not set forth in this subpart?
2556.150 What activities are VISTA members not permitted to perform as
part of service?
2556.155 May a sponsor manage a VISTA project through a subrecipient?
2556.160 What are the sponsor's requirements for cost share projects?
2556.165 What Fair Labor Standards apply to VISTA sponsors and
subrecipients?
2556.170 What nondiscrimination requirements apply to sponsors and
subrecipients?
2556.175 What limitations are VISTA sponsors subject to regarding
religious activities?
2556.180 What are the limitations on VISTA sponsors receiving funding
for the direct cost of supporting volunteers?

Subpart C_VISTA Members

2556.200 Who may serve as a VISTA?
2556.205 What commitments and agreements must an individual make to
serve in the VISTA program?
2556.210 Who reviews and approves an application for VISTA service?

Subpart D_Terms, Protections, and Benefits of VISTA Members

2556.300 Is a VISTA considered a Federal employee and is a VISTA
considered an employee of the sponsor?
2556.305 What is the duration and scope of service for a VISTA?
2556.310 What are a VISTA sponsor's and AmeriCorps' supervisory
responsibilities during a VISTA's term of service?
2556.315 What are terms and conditions for official travel for a VISTA?
2556.320 What benefits may a VISTA receive during VISTA service?
2556.325 May a VISTA be provided coverage for legal defense expenses
related to VISTA service?
2556.330 When may a VISTA be provided coverage for legal defense
expenses related to criminal proceedings?
2556.335 When may a VISTA be provided coverage for legal defense
expenses related to civil or administrative proceedings?
2556.340 What is non-competitive eligibility and who is eligible for it?
2556.345 Who may present a grievance?
2556.350 What matters are considered grievances?
2556.355 May a VISTA have access to records as part of the VISTA
grievance procedure?
2556.360 How may a VISTA bring a grievance?
2556.365 May a VISTA appeal a grievance?

Subpart E_Termination for Cause Procedures

2556.400 What is termination for cause and what are the criteria for
termination for cause?
2556.405 Who has sole authority to remove a VISTA from a VISTA project
and who has sole authority to terminate a VISTA from a VISTA
project or the VISTA program?
2556.410 May a sponsor request that a VISTA be removed from its project?
2556.415 May AmeriCorps remove a VISTA from a project without the
sponsor's request for removal?
2556.420 What are termination for cause proceedings?
2556.425 May a VISTA appeal their termination for cause?
2556.430 Is a VISTA who is terminated early from the VISTA program for
other than cause entitled to appeal under these procedures?

Subpart F_Summer Associates

2556.500 How is a position for a summer associate established in a
project?
2556.505 How do summer associates differ from other VISTAs?

Subpart G_VISTA Leaders

2556.600 How is a position for a leader established in a project, or in
multiple projects within a contiguous geographic region?
2556.605 Who is eligible to apply to serve as a leader?
2556.610 What is the application process to apply to become a leader?

[[Page 888]]

2556.615 Who reviews a leader application and who approves or
disapproves a leader application?
2556.620 How does a leader differ from other VISTAs?
2556.625 What are terms and conditions of service for a leader?

Subpart H_Restrictions and Prohibitions on Political Activities and
Lobbying

2556.700 Who is covered by this subpart?
2556.705 What is prohibited political activity?
2556.710 What political activities are VISTAs prohibited from engaging
in?
2556.715 What political activities may a VISTA participate in?
2556.720 May VISTAs participate in political organizations?
2556.725 May VISTAs participate in political campaigns?
2556.730 May VISTAs participate in elections?
2556.735 May a VISTA be a candidate for public office?
2556.740 May VISTAs participate in political fundraising activities?
2556.745 Are VISTAs prohibited from soliciting or discouraging the
political participation of certain individuals?
2556.750 What restrictions and prohibitions are VISTAs who campaign for
a spouse or family member subject to?
2556.755 May VISTAs participate in lawful demonstrations?
2556.760 May a sponsor or subrecipient approve the participation of a
VISTA in a demonstration or other political meeting?
2556.765 What disciplinary actions are VISTAs subject to for violating
restrictions or prohibitions on political activities?
2556.770 What are the requirements of VISTA sponsors and subrecipients
regarding political activities?
2556.775 What prohibitions and restrictions on political activity apply
to employees of VISTA sponsors and subrecipients?
2556.780 What prohibitions on lobbying activities apply to VISTA
sponsors and subrecipients?

Authority: 42 U.S.C. 4951-4953; 5 CFR part 734, 42 U.S.C. 4953(a),
(f), 4954(b), (e), 4955(b), 4956, 5043(a)-(c), 5044(a)-(c), (e), 5046,
5052, 5056, and 5057; 42 U.S.C. 12651b (g)(10); 42 U.S.C. 12651c(c);
E.O. 13279, 67 FR 77141, 3 CFR, 2002 Comp., p. 2156, 42 U.S.C. 4954(a),
(b), (d), 4955, 5044(e), 5055, and 5059; 42 U.S.C. 12602(c), 42 U.S.C.
4953(b), (c), (f), and 5044(e).

Source: 88 FR 31180, May 16, 2023, unless otherwise noted.

Subpart A_General Information

Sec. 2556.1 What is the purpose of the VISTA program?

(a) The purpose of the VISTA program is to strengthen and supplement
efforts to eliminate and alleviate poverty and poverty-related problems
throughout the United States and certain U.S. territories. To effect
this purpose, the VISTA program encourages and enables individuals from
all walks of life to join VISTA to perform, on a full-time basis,
meaningful and constructive service to assist in the solution of poverty
and poverty-related problems and secure opportunities for self-
advancement of persons afflicted by such problems.
(b) The VISTA program objectives are to:
(1) Generate private sector resources;
(2) Encourage volunteer service at the local level;
(3) Support efforts by local agencies and community organizations to
achieve long-term sustainability of projects; and
(4) Strengthen local agencies and community organizations to carry
out the purpose of the VISTA program.

Sec. 2556.3 Who should read this part?

This part may be of interest to:
(a) Private nonprofit organizations, public nonprofit organizations,
State government agencies, local government agencies, Federal agencies,
and Tribal government agencies who are participating in the VISTA
program as sponsors, or who are interested in participating in the VISTA
program as sponsors.
(b) Individuals 18 and older who are serving as a VISTA, or who are
interested in serving as a VISTA.

Sec. 2556.5 What definitions apply in this part?

Act or DVSA means the Domestic Volunteer Service Act of 1973, as
amended, Public Law 93-113 (42 U.S.C. 4951 et seq.).
Alternative oath or affirmation means a pledge of VISTA service
taken by an individual who legally resides within a State, but who is
not a citizen or national of the United States, upon that

[[Page 889]]

individual's enrollment into the VISTA program.
AmeriCorps means the Corporation for National and Community Service,
established pursuant to section 191 of the National and Community
Service Act of 1990, as amended, 42 U.S.C. 12651, which operates as
AmeriCorps.
Applicant for VISTA service means an individual who is in the
process of completing, or has completed, an application for VISTA
service as prescribed by AmeriCorps, but who has been not been approved
by AmeriCorps to be a candidate.
Application for VISTA service means the materials prescribed by
AmeriCorps to determine an individual's eligibility and suitability for
VISTA service.
Assistance means VISTAs, leaders, or summer associates.
``Assistance'' also means technical assistance or training of VISTAs,
leaders, summer associates, candidates, sponsors, or supervisors that
are provided from funds appropriated by Congress for the purpose of
supporting activities under the DVSA. ``Assistance'' also means grant
funds.
Candidate, when used in the context of an individual who has applied
for VISTA service, means an individual whose application for VISTA
service has been approved by AmeriCorps, but who has not taken an oath,
alternative oath, or affirmation to serve in the VISTA program.
Candidates may include those who were enrolled in the VISTA program at a
prior time.
Cost share means when an entity, such as a VISTA sponsor, reimburses
AmeriCorps part or all of the expenses associated with the operation of
a VISTA project, such as the costs for one or more VISTAs, leaders, or
summer associates placed in a VISTA project.
Deputy Regional Administrator means an AmeriCorps official who
reports directly to the Regional Administrator and oversees the day-to-
day regional operations to ensure the quality of program design and
delivery.
Education award or Segal AmeriCorps Education Award means an end-of-
service monetary benefit from AmeriCorps' National Service Trust that is
directed to designated educational institutions and is awarded to
certain qualifying VISTAs who successfully complete an established term
of VISTA service.
Enroll, enrolled, or enrollment, when used in the context of VISTA
service, refers to the status of an individual admitted to serve in the
VISTA program. The enrollment period commences when the candidate takes
the Oath to serve in the VISTA program and ends upon their termination
from a term of service in the VISTA program. The enrollment period may
begin on a date earlier than the first day of a service assignment of an
enrolled VISTA member.
Full-time, when used in the context of VISTA service, means service
in which a VISTA, leader, or summer associate remains available for
service without regard to regular working hours.
Leader, a leader, or a VISTA leader means a VISTA member who is
enrolled for full-time VISTA service and who is also subject to the
terms of subpart G of this part.
Living allowance or living allowance payment means a monetary
benefit paid for subsistence purposes to a VISTA member during VISTA
service.
Memorandum of Agreement means a written agreement between AmeriCorps
and a sponsor regarding the terms of the sponsor's involvement and
responsibilities in the VISTA program.
Nonpartisan election means:
(1) An election in which none of the candidates for nomination or
election represents a political party for which candidates for
Presidential elector received votes in the last preceding election at
which Presidential electors were selected; or
(2) An election involving a question or issue which is not
specifically identified with a political party, such as a constitutional
amendment, referendum, approval of a municipal ordinance, or any
question or issue of a similar character.
Oath means an avowal to VISTA service, taken in accordance with 5
U.S.C. 3331, by an individual who is a U.S. citizen or national. The
taking of the Oath effects an individual's enrollment into the VISTA
program.
On-duty or during service time means when a VISTA is either
performing VISTA service or scheduled to do so.

[[Page 890]]

Portfolio Manager means an AmeriCorps official who reports to a
Senior Portfolio Manager and serves as a technical advisor to current
and prospective grantees and sponsors for effective, timely, and
compliant administration of grant awards.
Project or VISTA project means a set of VISTA activities operated
and overseen by, and the responsibility of, a sponsor, and assisted
under this part to realize the goals of title I of the DVSA.
Project applicant or VISTA project applicant means an entity that
submits an application to AmeriCorps to operate, oversee, and be
responsible for a VISTA project.
Project application or VISTA project application means the
application materials prescribed by AmeriCorps to determine an applying
entity's eligibility and suitability to operate, oversee, and be
responsible for, a VISTA project.
Project director or VISTA project director means a staff person, of
legal age, of the sponsor, who has been assigned by the sponsor the
overall responsibility for management of the VISTA project.
Regional Administrator means an AmeriCorps official who is the head
of a designated region for AmeriCorps and responsible for driving,
managing, and overseeing the strategic direction and operations of the
Region Office.
Senior Portfolio Manager means an AmeriCorps official who reports to
a Deputy Regional Administrator and supervises a team of portfolio
managers and manages an advanced portfolio of grants and program
development.
Sponsor, VISTA sponsor, or VISTA project sponsor means a public
agency or private non-profit organization that receives assistance under
title I of the DVSA and is responsible for operating and overseeing a
VISTA project. A public agency may be a Federal, State, local or Tribal
Government.
State, when used as a noun, means one of the several States in the
United States of America, District of Columbia, Virgin Islands, Puerto
Rico, Guam, American Samoa, and the Commonwealth of the Northern Mariana
Islands.
Stipend or end-of-service stipend means an end-of-service lump-sum
monetary benefit from AmeriCorps that is awarded to certain qualifying
VISTAs who successfully complete an established term of VISTA service.
Subrecipient means a public agency or private non-profit
organization that enters into an agreement with a VISTA sponsor to
receive one or more VISTAs, and to carry out a set of activities,
assisted under this part, to realize the goals of title I of the DVSA. A
public agency may be a Federal, State, local or Tribal Government.
Summer associate means a VISTA member who is enrolled for VISTA
service, during a period between May 1 and September 15, and who is also
subject to the terms of subpart H of this part. A summer associate must
be available to provide continuous full-time service for a period of at
least eight weeks and a maximum of ten weeks.
Supervisor or VISTA Supervisor means a staff member, of legal age,
of the sponsor or a subrecipient, who has been assigned by the sponsor
or the subrecipient the responsibility for day-to-day oversight of one
or more VISTAs.
Tribe means any Indian tribe, band, nation, or other organized group
or community, including any Alaskan native village or regional village
corporation as defined in or established pursuant to the Alaska Native
Claims Settlement Act, which is recognized by the United States or the
State in which it resides as eligible for special programs and services
provided to Indians because of their status as Indians.
VISTA Case Manager means an AmeriCorps official who reports to the
VMSU Director and manages service status changes of VISTA members (e.g.,
removals, terminations, and transfers).
VISTA member, a VISTA, or the VISTA means an individual enrolled
full-time in the VISTA program, as authorized under title I of the DVSA.
VISTA program means the Federal Government program named Volunteers
in Service to America and authorized under title I of the Domestic
Volunteer Service Act of 1973, as amended, 42 U.S.C. 4950 et seq.
VISTA service means VISTA service activities performed by a VISTA
member while enrolled in the VISTA program.
VMSU Director means the AmeriCorps official who is Director of the
VISTA

[[Page 891]]

Member Support Unit and manages daily operations of the VMSU to provide
services to potential, current, and former VISTA members.

Sec. 2556.7 Are waivers of the regulations in this part allowed?

Upon a determination of good cause, the Chief Executive Officer of
AmeriCorps may, subject to statutory limitations, waive any provisions
of this part.

Subpart B_VISTA Sponsors

Sec. 2556.100 Which entities are eligible to apply to become VISTA sponsors?

The following types of entities are eligible to apply to become
VISTA sponsors and thereby undertake projects in the U.S. and certain
U.S. territories:
(a) Private nonprofit organizations.
(b) Public nonprofit organizations.
(c) State government or state government agencies.
(d) Local government or local government agencies.
(e) Tribal government or tribal government agencies.

Sec. 2556.105 Which entities are prohibited from being VISTA sponsors?

(a) An entity is prohibited from being a VISTA sponsor or from
otherwise receiving VISTA assistance if a principal purpose or activity
of the entity includes any of the following:
(1) Electoral activities. Any activity designed to influence the
outcome of elections to any public office, such as actively campaigning
for or against, or supporting, candidates for public office; raising,
soliciting, or collecting funds for candidates for public office; or
preparing, distributing, providing funds for campaign literature for
candidates, including leaflets, pamphlets, and material designed for
print or electronic media.
(2) Voter registration activities. Any voter registration activity,
such as providing transportation of individuals to voter registration
sites; providing assistance to individuals in the process of registering
to vote, including determinations of eligibility; or disseminating
official voter registration material.
(3) Transportation to the polls. Providing voters or prospective
voters with transportation to the polls or raising, soliciting, or
collecting funds for such activities.
(b) Any organization that, subsequent to the receipt of VISTA
assistance, makes as one of its principal purposes or activities any of
the activities described in paragraph (a) of this section is subject to
the procedures in Sec. Sec. 2556.125 through 2556.145.

Sec. 2556.110 What VISTA assistance is available to a sponsor?

(a) A sponsor may be approved for one or more VISTA positions.
(b) A sponsor, upon review and approval by AmeriCorps to establish a
leader position or positions, and in accordance with criteria set forth
at subpart G of this part, may be approved for one or more leader
positions.
(c) A sponsor, upon approval by AmeriCorps to establish a summer
associate position or positions, and in accordance with criteria set
forth at subpart F of this part, may be approved for one or more summer
associate positions.
(d) A sponsor may be eligible to receive certain grant assistance
under the terms determined and prescribed by AmeriCorps.
(e) A sponsor may receive training and technical assistance related
to carrying out the purposes of title I of the DVSA.

Sec. 2556.115 Is a VISTA sponsor required to provide a cash or in-kind match?

(a) A sponsor is not required to provide a cash match for any of the
assistance listed in Sec. 2556.110.
(b) A sponsor must provide supervision, workspace, service-related
transportation, and any other materials necessary to operate and
complete the VISTA project and support the VISTA.

Sec. 2556.120 How does a VISTA sponsor ensure the participation
of people in the communities to be served?

(a) To the maximum extent practicable, the people of the communities
to be served by VISTA members must participate in planning, developing,
and implementing programs.

[[Page 892]]

(b) The sponsor must articulate in its project application how it
will engage or continue to engage relevant communities in the
development and implementation of programs.

Sec. 2556.125 May AmeriCorps deny or reduce VISTA assistance
to an existing VISTA project?

(a) AmeriCorps may deny or reduce VISTA assistance where a denial or
reduction is based on:
(1) Legislative requirement;
(2) Availability of funding;
(3) Failure to comply with applicable term(s) or condition(s) of a
contract, grant agreement, or an applicable Memorandum of Agreement;
(4) Ineffective management of AmeriCorps resources;
(5) Substantial failure to comply with AmeriCorps policy and overall
objectives under a contract, grant agreement, or applicable Memorandum
of Agreement; or
(6) General policy.
(b) In instances where the basis for denial or reduction of VISTA
assistance may also be the basis for the suspension or termination of a
VISTA project under this subpart, AmeriCorps is not limited to the use
of this section to the exclusion of the procedures for suspension or
termination in this subpart.

Sec. 2556.130 What is the procedure for denial or reduction of
VISTA assistance to an existing VISTA project?

(a) AmeriCorps will notify the sponsor in writing, at least 75
calendar days before the anticipated denial or reduction of VISTA
assistance, that AmeriCorps proposes to deny or reduce VISTA assistance.
AmeriCorps' written notice will state the reasons for the decision to
deny or reduce assistance and will provide an opportunity period for the
sponsor to respond to the merits of the proposed decision. AmeriCorps
retains sole authority to make the final determination as to whether the
VISTA assistance at issue will be denied or reduced, as appropriate.
(b) Where AmeriCorps' notice of proposed decision is based upon a
specific charge of the sponsor's failure to comply with the applicable
term(s) or condition(s) of a contract, grant agreement, or an applicable
Memorandum of Agreement, the notice will offer the sponsor an
opportunity period to respond in writing to the notice, with any
affidavits or other supporting documentation, and to request an informal
hearing before a mutually agreed-upon impartial hearing officer. The
authority of such a hearing officer will be limited to conducting the
hearing and offering recommendations to AmeriCorps. Regardless of
whether or not an informal hearing takes place, AmeriCorps will retain
full authority to make the final determination as to whether the VISTA
assistance is denied or reduced, as appropriate.
(c) If the recipient requests an informal hearing, in accordance
with paragraph (b) of this section, such hearing will be held on a date
specified by AmeriCorps and held at a location convenient to the
sponsor.
(d) If AmeriCorps' proposed decision is based on ineffective
management of resources, or on the substantial failure to comply with
AmeriCorps policy and overall objectives under a contract, grant
agreement, or an applicable Memorandum of Agreement, AmeriCorps will
inform the sponsor in the notice of proposed decision of the opportunity
to show cause why VISTA assistance should not be denied or reduced, as
appropriate. AmeriCorps retains full authority to make the final
determination whether the VISTA assistance at issue will be denied or
reduced, as appropriate.
(e) The recipient will be informed of AmeriCorps' final
determination on whether the VISTA assistance at issue is denied or
reduced, and the basis for the determination.
(f) The procedure in this section does not apply to a denial or
reduction of VISTA assistance based on legislative requirements,
availability of funding, or on general policy.

Sec. 2556.135 What is suspension and when may AmeriCorps suspend a VISTA project?

(a) Suspension is any action by AmeriCorps that temporarily suspends
or curtails assistance, in whole or in part, to all or any part of a
VISTA project, prior to the time that the project term is concluded.
Suspension

[[Page 893]]

does not include the denial or reduction of new or additional VISTA
assistance.
(b) In an emergency situation for up to 30 consecutive days,
AmeriCorps may suspend assistance to a sponsor, in whole or in part, for
the sponsor's material failure or threatened material failure to comply
with an applicable term(s) or condition(s) of the DVSA, the regulations
in this part, VISTA program policy, or an applicable Memorandum of
Agreement. Such suspension in an emergency situation will be pursuant to
notice and opportunity to show cause why assistance should not be
suspended.
(c) To initiate suspension proceedings, AmeriCorps will notify the
sponsor in writing that AmeriCorps is suspending assistance in whole or
in part. The written notice will contain the following:
(1) The grounds for the suspension and the effective date of the
suspension;
(2) The sponsor's right to submit written material in response to
the suspension to show why the VISTA assistance should not be suspended,
or should be reinstated, as appropriate; and
(3) The opportunity to adequately correct the deficiency, or
deficiencies, which led to AmeriCorps' notice of suspension.
(d) In deciding whether to continue or lift the suspension, as
appropriate, AmeriCorps will consider any timely material presented in
writing, any material presented during the course of any informal
meeting, as well as any showing that the sponsor has adequately
corrected the deficiency which led to the initiation of suspension.
(e) During the period of suspension of a sponsor, no new
expenditures, if applicable, may be made by the sponsor's VISTA project
at issue and no new obligations may be incurred in connection with the
VISTA project at issue except as specifically authorized in writing by
AmeriCorps.
(f) AmeriCorps may, at its discretion, modify the terms, conditions,
and nature of the suspension or rescind the suspension action at any
time, on its own initiative or upon a showing that the sponsor has
adequately corrected the deficiency or deficiencies which led to the
suspension and that repetition is not foreseeable.

Sec. 2556.140 What is termination and when may AmeriCorps
terminate a VISTA project?

(a) Termination means any action by AmeriCorps that permanently
terminates or curtails assistance to all or any part of a sponsor's
VISTA project prior to the time that the project term is concluded.
(b) AmeriCorps may terminate assistance to a sponsor in whole or in
part for the sponsor's material failure to comply with an applicable
term(s) or condition(s) of the DVSA, the regulations in this part, VISTA
program policy, or an applicable Memorandum of Agreement.
(c) To initiate termination proceedings, AmeriCorps will notify the
sponsor in writing that AmeriCorps is proposing to terminate assistance
in whole or in part. The written notice will contain the following:
(1) A description of the VISTA assistance proposed for termination,
the grounds that warrant such proposed termination, and the proposed
date of effective termination;
(2) Instructions regarding the sponsor's opportunity, within 21
calendar days from the date the notice is issued, to respond in writing
to the merits of the proposed termination and their right to request a
full and fair hearing before a mutually agreed-upon impartial hearing
officer; and
(3) Invitation of voluntary action by the sponsor to adequately
correct the deficiency or deficiencies which led to AmeriCorps' notice
of proposed termination.
(d) In deciding whether to effect termination of VISTA assistance,
AmeriCorps will consider any relevant, timely material presented in
writing; any relevant material presented during the course of any full
and fair hearing; and any showing that the sponsor has adequately
corrected the deficiency which led to the initiation of termination
proceedings.
(e) Regardless of whether or not a full and fair hearing takes
place, AmeriCorps retains all authority to make the final determination
as to

[[Page 894]]

whether termination of VISTA assistance is appropriate.
(f) The sponsor will be informed of AmeriCorps' final determination
on the proposed termination of VISTA assistance, and the basis or bases
for the determination.
(g) AmeriCorps may, at its discretion, modify the terms, conditions,
and nature of a termination action or rescind a termination action at
any time on its own initiative, or upon a showing that the sponsor has
adequately corrected the deficiency which led to the termination or the
initiation of termination proceedings, and that repetition is not
threatened.

Sec. 2556.145 May AmeriCorps pursue other remedies against a
VISTA project for a sponsor's material failure to comply with
any other requirement not set forth
in this subpart?

The procedures established by this subpart do not preclude
AmeriCorps from pursuing any other remedies authorized by law.

Sec. 2556.150 What activities are VISTA members not permitted
to perform as part of service?

(a) A VISTA may not perform any activities in the project
application that do not correspond with the purpose of the VISTA
program, as described in Sec. 2556.1, or that the Director has
otherwise prohibited.
(b) A VISTA may not perform services or duties as a VISTA member
that would otherwise be performed by employed workers or other
volunteers (not including participants under the DVSA and the National
and Community Service Act of 1990, as amended).
(c) A VISTA may not perform any services or duties, or engage in
activities as a VISTA member, that supplant the hiring of or result in
the displacement of employed workers or other volunteers (not including
participants under the DVSA or the National and Community Service Act of
1990, as amended).
(d) A VISTA may not perform any services or duties, or engage in
activities as a VISTA member, which impair existing contracts for
service.
(e) The requirements of paragraphs (b) through (d) of this section
do not apply when the sponsor requires the service in order to avoid or
relieve suffering threatened by, or resulting from, a disaster, civil
disturbance, terrorism, or war.
(f) A sponsor or subrecipient may not request or receive any
compensation from a VISTA, from a beneficiary of VISTA project services,
or any other source for services of a VISTA.

Sec. 2556.155 May a sponsor manage a VISTA project through a subrecipient?

(a) A sponsor may carry out a VISTA project through one or more
subrecipients that meet the eligibility criteria of Sec. 2556.100.
(b) The sponsor must enter into a subrecipient agreement with each
subrecipient. A subrecipient agreement must have at least the following
elements:
(1) A project plan to be implemented by the subrecipient;
(2) Records to be kept and reports to be submitted;
(3) Responsibilities of the parties and other program requirements;
and
(4) Suspension and termination policies and procedures.
(c) The sponsor retains the responsibility for compliance with a
Memorandum of Agreement; the applicable regulations in this Part; and
all applicable policies, procedures, and guidance issued by AmeriCorps
regarding the VISTA program.
(d) A sponsor may not request or receive any compensation from a
subrecipient for services performed by a VISTA.
(e) A sponsor may not receive payment from, or on behalf of, the
subrecipient for costs of the VISTA assistance, except in two limited
circumstances:
(1) For reasonable and actual costs incurred by the sponsor directly
related to the subrecipient's participation in a VISTA project; and
(2) For any cost share related to a VISTA placed with the
subrecipient in the VISTA project.

[[Page 895]]

Sec. 2556.160 What are the sponsor's requirements for cost share projects?

(a) A sponsor must enter into a written agreement for cost share as
prescribed by AmeriCorps.
(b) A sponsor must make timely cost share payments as prescribed by
AmeriCorps and applicable Federal law and regulations.
(c) In addition to other sources of funds, a sponsor may use funds
from Federal, State, or local Government agencies, provided the
requirements of those agencies and their programs are met.
(d) Subject to review and approval by AmeriCorps, AmeriCorps may
enter into an agreement with another entity to receive and use funds to
make cost share payments on behalf of the sponsor.

Sec. 2556.165 What Fair Labor Standards apply to VISTA sponsors and subrecipients?

All sponsors and subrecipients that employ laborers and mechanics
for construction, alteration, or repair of facilities must pay wages at
prevailing rates as determined by the Secretary of Labor in accordance
with the Davis-Bacon Act, as amended, 40 U.S.C. 276a.

Sec. 2556.170 What nondiscrimination requirements apply to sponsors and subrecipients?

(a) An individual with responsibility for the operation of a project
that receives AmeriCorps assistance must not discriminate against a
participant in, or member of the staff of, such project on the basis of
the participant or staff member's race, color, national origin, sex,
age, or political affiliation, or on the basis of disability, if the
participant or staff member is a qualified individual with a disability.
(b) Any AmeriCorps assistance constitutes Federal financial
assistance for purposes of title VI of the Civil Rights Act of 1964 (42
U.S.C. 2000d et seq.), title IX of the Education Amendments of 1972 (20
U.S.C. 1681 et seq.), section 504 of the Rehabilitation Act of 1973 (29
U.S.C. 794), and the Age Discrimination Act of 1975 (42 U.S.C. 6101 et
seq.), and constitutes Federal financial assistance to an education
program or activity for purposes of the Education Amendments of 1972 (20
U.S.C. 1681 et seq.).
(c) An individual with responsibility for the operation of a project
that receives AmeriCorps assistance may not discriminate on the basis of
religion against a participant in such project or a member of the staff
of such project who is paid with AmeriCorps funds. This provision does
not apply to the employment (with AmeriCorps assistance) of any staff
member of an AmeriCorps-supported project who was employed with the
organization operating the project on the date the AmeriCorps assistance
was awarded.
(d) Sponsors must notify all program participants, staff,
applicants, and beneficiaries of:
(1) Their rights under applicable Federal nondiscrimination laws,
including relevant provisions of the national service legislation and
implementing regulations; and
(2) The procedure for filing a discrimination complaint. No sponsor
or subrecipient, or sponsor or subrecipient employee, or individual with
responsibility for the implementation or operation of a sponsor or a
subrecipient, may discriminate against a VISTA on the basis of race,
color, national origin, gender, age, religion, or political affiliation.
No sponsor or subrecipient, or sponsor or subrecipient employee, or
individual with responsibility for the implementation or operation of a
sponsor or a subrecipient, may discriminate against a VISTA on the basis
of disability, if the VISTA is a qualified individual with a disability.

Sec. 2556.175 What limitations are VISTA sponsors subject
to regarding religious activities?

(a) A VISTA may not give religious instruction, conduct worship
services, or engage in any form of proselytizing as part of their
duties.
(b) A sponsor or subrecipient may retain its independence and may
continue to carry out its mission, including the definition,
development, practice, and expression of its religious beliefs, provided
that it does not use any AmeriCorps assistance, including the

[[Page 896]]

services of any VISTA or VISTA assistance, to support any inherently
religious activities, such as worship, religious instruction, or
proselytizing, as part of the programs or services assisted by the VISTA
program. If a VISTA sponsor or subrecipient conducts such inherently
religious activities, the activities must be offered separately, in time
or location, from the programs or services assisted under this Part by
the VISTA program.

Sec. 2556.180 What are the limitations on VISTA sponsors
receiving funding for the direct cost of supporting volunteers?

(a) AmeriCorps will not obligate funding for the direct cost of
supporting volunteers that is:
(1) More than 30 percent of VISTA funds appropriated in any fiscal
year; or
(2) For a new project that was not selected through a competitive
process.
(b) The ``direct cost of supporting volunteers'' includes only those
funds that are paid directly to VISTA members, leaders, or summer
associates, such as: living allowance; travel reimbursements, including
the Settling In Allowance; End of Service Benefits, including the cash
stipend; and other expenses paid directly to the member, leader, or
summer associate, as determined by the VISTA Director.

Subpart C_VISTA Members

Sec. 2556.200 Who may serve as a VISTA?

An individual may serve as a VISTA if all the following requirements
are met as of the date the individual takes the oath or affirmation, as
appropriate, to enter VISTA service:
(a) The individual is at least eighteen years of age. There is no
upper age limit.
(b) The individual is a United States citizen or national, or is
legally residing within a State.

Sec. 2556.205 What commitments and agreements must an individual
make to serve in the VISTA program?

(a) To the maximum extent practicable, the individual must make a
full-time commitment to remain available for service without regard to
regular working hours, at all times during their period of service,
except for authorized periods of leave.
(b) To the maximum extent practicable, the individual must make a
full-time personal commitment to alleviate poverty and poverty-related
problems, and to live among and at the economic level of the low-income
people served by the project.
(c) The individual's service cannot be used to satisfy service
requirements of parole, probation, or community service prescribed by
the criminal justice system.
(d) A VISTA candidate or member agrees to undergo an investigation
into their criminal history or background as a condition of enrollment,
or continued enrollment, in the VISTA program.

Sec. 2556.210 Who reviews and approves an application for VISTA service?

AmeriCorps has the final authority to approve or deny applications
for VISTA service.

Subpart D_Terms, Protections, and Benefits of VISTA Members

Sec. 2556.300 Is a VISTA considered a Federal employee and is
a VISTA considered an employee of the sponsor?

(a) Except for the purposes listed here, a VISTA is not considered
an employee of the Federal Government. A VISTA is considered a Federal
employee only for the following purposes:
(1) Federal Tort Claims Act--28 U.S.C. 1346(b); 28 U.S.C. 2671-2680;
(2) Federal Employees' Compensation Act--5 U.S.C. chapter 81,
subchapter 1;
(3) Hatch Act--5 U.S.C. chapter 73, subchapter III;
(4) Internal Revenue Service Code--26 U.S.C. 1 et seq.; and
(5) Title II of the Social Security Act--42 U.S.C. 401 et seq.
(b) A VISTA is not considered a Federal employee for any purposes
other than those set forth in paragraph (a) of this section.
(c) A VISTA is not covered by Federal or State unemployment
compensation related to their enrollment or

[[Page 897]]

service in the VISTA program. A VISTA's service is not considered
employment for purposes of eligibility for, or receipt of, Federal,
State, or any other unemployment compensation.
(d) Monetary allowances, such as living allowances that VISTAs
receive during VISTA service, are not considered wages. Monetary
allowances, such as living allowances, that VISTAs receive during VISTA
service are considered income for such purposes as Federal income tax
and Social Security.
(e) A VISTA is not, under any circumstances, considered an employee
of the sponsor or subrecipient to which they are assigned to serve. No
VISTA is in an employment relationship with the sponsor or subrecipient
to which they are assigned. The sponsor is not authorized to make
contributions to any State unemployment compensation fund on a VISTA's
behalf.

Sec. 2556.305 What is the duration and scope of service for a VISTA?

(a) To serve as a VISTA, an individual makes a full-time commitment
for a minimum of one year, without regard to regular working hours.
(b) A VISTA carries out activities in accordance with the purpose of
the VISTA program, as described in Sec. 2556.1.
(c) To the maximum extent practicable, the VISTA must live among and
at the economic level of the low-income community served by the project.
(d) A VISTA carries out service activities in conformance with the
sponsor's approved project application, including any description of a
VISTA assignment as contained in the project application; and in
conformance with the purpose of title I of the DVSA. In any case where
there is a conflict between the project application and the DVSA, the
DVSA takes precedence.
(e) Under no circumstances may an individual be enrolled to serve as
a VISTA beyond five years.

Sec. 2556.310 What are a VISTA sponsor's and AmeriCorps' supervisory
responsibilities during a VISTA's term of service?

(a) The VISTA sponsor is responsible for the day-to-day supervision
and oversight of the VISTA.
(b) AmeriCorps is responsible for ongoing monitoring and oversight
of the VISTA sponsor's project where the VISTA is assigned. AmeriCorps
is responsible for selecting the VISTA, assigning the VISTA to a
project, removal of a VISTA from a project, and VISTA separation actions
such as termination from the VISTA program.

Sec. 2556.315 What are terms and conditions for official travel for a VISTA?

(a) AmeriCorps may provide official travel for a VISTA candidate or
a VISTA, as appropriate, to attend AmeriCorps-directed activities such
as pre-service training, placement at the project site, in-service
training events, and return from the project site to the VISTA's or
VISTA candidate's home of record.
(b) AmeriCorps must approve all official travel of a VISTA candidate
or a VISTA, including the mode of travel.
(c) AmeriCorps may provide for official emergency travel for a VISTA
in case of a natural disaster or the critical illness or death of an
immediate family member.

Sec. 2556.320 What benefits may a VISTA receive during VISTA
service?

(a) A VISTA receives a living allowance computed on a daily rate.
Living allowances vary according to the local cost of living in the
project area where the VISTA is assigned.
(b) Subject to a maximum amount, and at the discretion and upon
approval of AmeriCorps, a VISTA may receive payment for settling-in
expenses, as determined by AmeriCorps.
(c) Subject to a maximum amount, and at the discretion of
AmeriCorps, in the event of an emergency (such as theft, fire loss, or
special clothing necessitated by severe climate), a VISTA may receive an
emergency expense payment in order to resume VISTA service activities,
as determined and approved by AmeriCorps.
(d) Subject to a maximum amount, and at the discretion of
AmeriCorps, a VISTA may receive a relocation travel allowance to offset
the cost of relocating from the home of record to the project site, as
determined by AmeriCorps.

[[Page 898]]

(e) To the extent eligible, a VISTA may receive health care through
a health benefits program provided by AmeriCorps.
(f) To the extent eligible, a VISTA may receive childcare support
through a childcare program provided by AmeriCorps.
(g) To the extent eligible, a VISTA may elect to receive a Segal
AmeriCorps Education Award, and upon successful completion of service,
receive that award in an amount prescribed by AmeriCorps, in accordance
with the applicable provisions of 45 CFR parts 2526, 2527, and 25285.
(1) A VISTA is eligible to elect to receive an education award if
they are a citizen, national, or lawful permanent resident alien of the
United States.
(2) A VISTA who elects an education award is eligible to request
forbearance of a student loan from their loan-holder. A VISTA who elects
an education award may, upon successful completion of service, be
eligible to receive up to 100 percent of the interest accrued on a
qualified student loan, consistent with the applicable provisions of 45
CFR part 2529.
(3) A VISTA is not eligible to receive more than an amount equal to
the aggregate value of two full-time education awards in their lifetime.
(4) Other than for a summer associate, the amount of an education
award for the successful completion of a VISTA term of service is equal
to the maximum amount of a Federal Pell Grant under Section 401 of the
Higher Education Act of 1965 (20 U.S.C. 1070a) that a student eligible
for such grant may receive in the aggregate for the fiscal year in which
the VISTA has enrolled in the VISTA program.
(h) A VISTA who does not elect to receive a Segal AmeriCorps
Education Award upon successful completion of service receives an end-
of-service stipend in an amount prescribed by AmeriCorps.
(i) In the event that a VISTA does not successfully complete a full
term of service, they may not receive a pro-rated Segal AmeriCorps
Education Award or a pro-rated end-of-service stipend, except in cases
where the appropriate VISTA Case Manager determines the VISTA did not
successfully complete a full term of service because of a compelling
personal circumstance. Examples of a compelling personal circumstance
are: Serious medical condition or disability of a VISTA during VISTA
service; critical illness or disability of a VISTA's immediate family
member (spouse, domestic partner, parent, sibling, child, or guardian)
if this event makes completing a term of service unreasonably difficult;
or unusual conditions not attributable to the VISTA, such as natural
disaster, strike, or premature closing of a project, that make
completing a term of service unreasonably difficult or infeasible.
(j) In the event of a VISTA's death during service, their family or
others that they named as beneficiary in accordance with section 5582 of
title 5, United States Code will be paid a pro-rated end-of-service
stipend for the period during which the VISTA served. If the VISTA had
elected to receive the Segal AmeriCorps Education Award for successful
completion of a full term of VISTA service, AmeriCorps will, prior to
payment to the named beneficiary, convert that election to an end-of-
service stipend and pay the VISTA's family, or others that they named as
beneficiary, a pro-rated end-of-service stipend accordingly.

Sec. 2556.325 May a VISTA be provided coverage for legal defense
expenses related to VISTA service?

Under certain circumstances, as set forth in Sec. Sec. 2556.330
through 2556.335, AmeriCorps may pay reasonable legal defense expenses
incurred in judicial or administrative proceedings for the defense of a
VISTA serving in the VISTA program. Such covered legal expenses consist
of counsel fees, court costs, bail, and other expenses incidental to a
VISTA's legal defense.

Sec. 2556.330 When may a VISTA be provided coverage for legal
defense expenses related to criminal proceedings?

(a) For the legal defense of a VISTA member who is charged with a
criminal offense related to the VISTA member's service, up to and
including arraignment in Federal, State, and local criminal proceedings,
AmeriCorps may

[[Page 899]]

pay actual and reasonable legal expenses. AmeriCorps is not required to
pay any expenses for the legal defense of a VISTA member where they are
charged with a criminal offense arising from alleged activity or action
that is unrelated to that VISTA's service.
(b) A VISTA member's service is clearly unrelated to a charged
offense when:
(1) The activity or action is alleged to have occurred prior to the
VISTA member's VISTA service.
(2) The VISTA member is not at their assigned project location, such
as during periods of approved leave, medical leave, emergency leave, or
in administrative hold status in the VISTA program.
(3) The activity or action is alleged to have occurred at or near
their assigned project, but is clearly not part of, or required by, the
VISTA member's service assignment.
(c) For the legal defense, beyond arraignment in Federal, State, and
local criminal proceedings, of a VISTA member who is charged with a
criminal offense, AmeriCorps may also pay actual and reasonable legal
expenses when:
(1) The charged offense against the VISTA member relates exclusively
to their VISTA assignment or status as a VISTA member;
(2) The charged offense against the VISTA member arises from an
alleged activity or action that is a part of, or required by, the VISTA
member's VISTA assignment;
(3) The VISTA member has not admitted a willful or knowing violation
of law; or
(4) The charged offense against the VISTA member is not a minor
offense or misdemeanor, such as a minor vehicle violation.
(d) Notwithstanding paragraphs (a) through (c) of this section,
there may be situations in which the criminal proceedings at issue arise
from a matter that also gives rise to a civil claim under the Federal
Tort Claims Act. In such a situation, the U.S. Department of Justice
may, on behalf of the United States, agree to defend the VISTA. If the
U.S. Department of Justice agrees to defend the VISTA member, unless
there is a conflict between the VISTA member's interest and that of the
United States, AmeriCorps will not pay for expenses associated with any
additional legal representation (such as counsel fees for private
counsel) for the VISTA member.

Sec. 2556.335 When may a VISTA be provided coverage for legal
defense expenses related to civil or administrative proceedings?

For the legal defense in Federal, State, and local civil judicial
and administrative proceedings of a VISTA member, AmeriCorps may also
pay actual and reasonable legal expenses when:
(a) The complaint or charge is against the VISTA, and is directly
related to their VISTA service and not to their personal activities or
obligations;
(b) The VISTA has not admitted to willfully or knowingly pursuing a
course of conduct that would result in the plaintiff or complainant
initiating such a proceeding; and
(c) The judgment sought involves a monetary award that exceeds
$1,000.

Sec. 2556.340 What is non-competitive eligibility and who is eligible for it?

(a) Non-competitive eligibility is a status that means a person is
eligible for appointment, by a Federal agency in the Executive branch,
into a civil service position in the Federal competitive service, in
accordance with 5 CFR 315.605.
(b) An individual who successfully completes at least a year-long
term of service as a VISTA, and who has not been terminated for cause
from the VISTA program at any time, has non-competitive eligibility
status for one year following the end of the term of service as a VISTA.
(c) In addition to the year of non-competitive eligibility status as
provided in paragraph (b) of this section, an individual's non-
competitive eligibility status may extend for two more years, to a total
of three years, if the individual is:
(1) In the military service;
(2) Studying at a recognized institution of higher learning; or
(3) In another activity which, in the view of the Federal agency
referenced in paragraph (a) of this section, warrants extension.

[[Page 900]]

Sec. 2556.345 Who may present a grievance?

(a) Under the VISTA program grievance procedure, a grievance may be
presented by any individual who is currently enrolled in the VISTA
program or who was enrolled in the VISTA program within the past 30
calendar days.
(b) A VISTA's grievance may not be construed as reflecting on the
VISTA's standing, performance, or desirability as a VISTA.
(c) A VISTA who presents a grievance may not be subjected to
restraint, interference, coercion, discrimination, or reprisal because
of presentation of views.

Sec. 2556.350 What matters are considered grievances?

(a) Under the VISTA program grievance procedure, grievances are
matters of concern, brought by a VISTA, that arise out of, and directly
affect, the VISTA's service situation or that arise out of a violation
of a policy, practice, or regulation governing the terms or conditions
of the VISTA's service, that result in the denial or infringement of a
right or benefit to the VISTA member.
(b) Matters not within the definition of a grievance as defined in
paragraph (a) of this section are not grievable, and therefore, are
excluded from the VISTA program grievance procedure. Though not
exhaustive, examples of matters excluded from the VISTA program
grievance procedure are:
(1) Matters related to a sponsor's or project's continuance or
discontinuance; the number of VISTAs assigned to a VISTA project; the
increases or decreases in the level of support provided to a VISTA
project; the suspension or termination of a VISTA project; or the
selection or retention of VISTA project staff;
(2) Matters for which a separate administrative procedure or
complaint process is provided, such as early termination for cause,
claims of discrimination during service, and Federal worker's
compensation claims filed for illness or injury sustained in the course
of carrying out VISTA activities;
(3) Matters related to the content of any law, published rule,
regulation, policy, or procedure;
(4) Matters related to housing during a VISTA member's service;
(5) Matters which are, by law, subject to final administrative
review outside AmeriCorps;
(6) Matters related to actions taken, or not taken, by a VISTA
sponsor or subrecipient, or AmeriCorps, in compliance with or in order
to fulfill the terms of a contract, grant, or other agreement related to
the VISTA program; or
(7) Matters related to the internal management of AmeriCorps, unless
such matters are shown to specifically and directly affect the VISTA's
service situation or terms or conditions of their VISTA service.

Sec. 2556.355 May a VISTA have access to records as part
of the VISTA grievance procedure?

(a) A VISTA is entitled to review any material in their official
VISTA file and any relevant AmeriCorps records to the extent permitted
by the Freedom of Information Act and the Privacy Act, 5 U.S.C. 552,
552a. Examples of materials that may be withheld include references
obtained under pledge of confidentiality, official VISTA files of other
VISTAs, and privileged intra-agency documents.
(b) A VISTA may review relevant materials in the possession of a
sponsor to the extent such materials are disclosable by the sponsor
under applicable Freedom of Information Act and privacy laws.

Sec. 2556.360 How may a VISTA bring a grievance?

(a) Bringing a grievance--Step 1. (1) If a VISTA is currently
enrolled in the VISTA program or was enrolled in the VISTA program
within the past 30 calendar days, they may, within 15 calendar days of
an event giving rise to a grievance or within 15 calendar days after
becoming aware of such an event, bring a grievance to the sponsor or
subrecipient where they are assigned to serve. If the grievance arises
out of a continuing condition or practice that individually affects a
VISTA, the VISTA may bring it at any time during

[[Page 901]]

their enrollment that they are affected by the continuing condition or
practice.
(2) A VISTA brings a grievance by presenting it in writing to the
executive director, or comparable individual, of the sponsoring
organization where the VISTA is assigned or to the sponsor's
representative who is designated to receive grievances from a VISTA.
(3) The sponsor must review and respond in writing to the VISTA's
grievance within 10 calendar days of receipt of the written grievance.
The sponsor may not fail to respond to a complaint raised by a VISTA on
the basis that it is not an actual grievance, or that it is excluded
from coverage as a grievance, but may, in the written response, dismiss
the complaint and refuse on either of those grounds to grant the
requested relief.
(4) If the grievance brought by a VISTA involves a matter over which
the sponsor has no substantial control or if the sponsor's
representative is the supervisor of the VISTA, the VISTA may pass over
the procedure set forth in paragraphs (a)(1) through (3) of this section
and present the grievance in writing directly to the Deputy Regional
Administrator, as described in paragraph (b) of this section.
(b) Bringing a grievance--Step 2. (1) If, after a VISTA brings a
grievance as set forth in paragraphs (a)(1) and (2) of this section, the
matter is not resolved, they may submit the grievance in writing to the
appropriate Deputy Regional Administrator. The VISTA must submit the
grievance to the Deputy Regional Administrator either:
(i) Within seven calendar days of receipt of the sponsor's response;
or,
(ii) In the event the sponsor does not issue a response to the VISTA
within 10 calendar days of its receipt of the written grievance, within
17 calendar days of the sponsor's receipt of the written grievance.
(2) If the grievance involves a matter over which either the sponsor
or subrecipient has no substantial control, or if the sponsor's
representative is the supervisor of the VISTA, as described in paragraph
(a)(4) of this section, the VISTA may pass over the procedure set forth
in paragraphs (a)(1) through (3) of this section, and submit the
grievance in writing directly to the Deputy Regional Administrator. In
such a case, the VISTA must submit the grievance to the Deputy Regional
Administrator within 15 calendar days of the event giving rise to the
grievance occurs, or within 15 calendar days after becoming aware of the
event.
(3) Within ten working days of receipt of the grievance, the Deputy
Regional Administrator will respond in writing, regardless of whether or
not the matter constitutes a grievance as defined under this grievance
procedure and/or is timely submitted. In the response, the Deputy
Regional Administrator may determine that the matter submitted as a
grievance is not grievable, is not considered a grievance, or fails to
meet the time limit for response. If the Deputy Regional Administrator
makes any such determination, they may dismiss the complaint, setting
forth the reason(s) for the dismissal. In such a case, the Deputy
Regional Administrator need not address the complaint on the merits, nor
make a determination of the complaint on the merits.

Sec. 2556.365 May a VISTA appeal a grievance?

(a) A VISTA may appeal the Deputy Regional Administrator's response
to the grievance under Sec. 2556.360(b)(3) by submitting a written
appeal to the appropriate Regional Administrator. To be eligible to
appeal a grievance response to the Regional Administrator, the VISTA
must first have exhausted all appropriate actions as set forth in Sec.
2556.360.
(b) A VISTA's grievance appeal must be in writing, contain
sufficient detail to identify the subject matter of the grievance,
specify the relief requested, and be signed by the VISTA.
(c) A VISTA must submit a grievance appeal to the appropriate
Regional Administrator no later than 10 calendar days after the Deputy
Regional Administrator issues their response to the grievance.
(d) Certain matters contained in a grievance appeal may be rejected,
rather than denied on the merits, by the Regional Administrator. A
grievance appeal may be rejected, in whole or in part, for any of the
following reasons:

[[Page 902]]

(1) The grievance appeal was not submitted to the appropriate
Regional Administrator within the time limit specified in paragraph (c)
of this section;
(2) The grievance appeal consists of matters not contained within
the definition of a grievance, as specified in section Sec.
2556.350(a);
(3) The grievance appeal consists of matters excluded from the VISTA
program grievance procedure, as specified in Sec. 2556.350(b); or
(4) The grievance appeal contains matters that are moot, or for
which relief has otherwise been granted.
(e) Within 14 calendar days of receipt of the grievance, the
appropriate Regional Administrator will decide the grievance appeal on
the merits, or reject the grievance appeal in whole or in part, or both,
as appropriate. The Regional Administrator shall notify the VISTA in
writing of the decision and specify the grounds for the appeal decision.
The appeal decision will include a statement of the basis for the
decision and is a final decision of AmeriCorps.

Subpart E_Termination for Cause Procedures

Sec. 2556.400 What is termination for cause and what
are the criteria for termination for cause?

(a) Termination for cause is discharge of a VISTA from the VISTA
program due to a deficiency, or deficiencies, in conduct or performance.
(b) AmeriCorps may terminate a VISTA for cause for any of the
following reasons:
(1) Conviction of any criminal offense under Federal, State, or
local statute or ordinance;
(2) Violation of any provision of the Domestic Service Volunteer Act
of 1973, as amended, or any AmeriCorps or VISTA program policy,
regulation, or instruction;
(3) Failure, refusal, or inability to perform prescribed project
duties as outlined in the project plan, assignment description, or as
directed by the sponsor to which the VISTA is assigned;
(4) Involvement in activities which substantially interfere with the
VISTA's performance of project duties;
(5) Intentional false statement, misrepresentation, omission, fraud,
or deception in seeking to obtain selection as a VISTA in the VISTA
program;
(6) Any conduct on the part of the VISTA which substantially
diminishes their effectiveness as a VISTA; or
(7) Unsatisfactory performance of an assignment.

Sec. 2556.405 Who has sole authority to remove a VISTA from
a VISTA project and who has sole authority to terminate a VISTA
from a VISTA project or the VISTA
program?

(a) AmeriCorps has the sole authority to remove a VISTA from a
project where they have been assigned.
(b) AmeriCorps has the sole authority to terminate for cause or
otherwise terminate a VISTA from the VISTA program.
(c) Neither the sponsoring organization nor any of its subrecipients
has the authority to remove a VISTA from a project or to terminate a
VISTA for cause, or for any other basis, from the VISTA program.

Sec. 2556.410 May a sponsor request that a VISTA be
removed from its project?

(a) The head of a sponsoring organization, or their designee, may
request that AmeriCorps remove a VISTA assigned to its project. Any such
request must be submitted in writing to the appropriate Portfolio
Manager and should state the reasons for the request.
(b) The Portfolio Manager may, at their discretion, attempt to
resolve the situation with the sponsor so that a solution other than
removal of the VISTA from the project assignment is reached.
(c) When an alternative solution, as referenced in paragraph (b) of
this section, is not sought, or is not reached within a reasonable time
period, the VISTA Case Manager will remove the VISTA from the project.

Sec. 2556.415 May AmeriCorps remove a VISTA from a project
without the sponsor's request for removal?

Of its own accord, AmeriCorps may remove a VISTA from a project
assignment without the sponsor's request for removal.

[[Page 903]]

Sec. 2556.420 What are termination for cause proceedings?

(a) Termination for cause proceedings remove a VISTA from a project
assignment due to an alleged deficiency, or alleged deficiencies, in
conduct or performance, and are initiated by AmeriCorps.
(b) AmeriCorps, to the extent practicable, communicates the matter,
and the administrative procedures as set forth in paragraphs (c) through
(e) of this section, with the VISTA who is removed from a VISTA project.
(c) The VISTA Case Manager will notify the VISTA in writing of
AmeriCorps' proposal to terminate for cause. The written proposal to
terminate the VISTA for cause must give them the reason(s) for the
proposed termination, and notify them that they have 10 calendar days
within which to submit a written answer to the proposal to terminate
them cause and to furnish any accompanying statements or written
material. The VISTA must submit their answer to the VISTA Case Manager
by the deadline identified in the written proposal to terminate for
cause.
(d) Within 10 calendar days of the expiration of the VISTA's
deadline to answer the proposal to terminate for cause, AmeriCorps will
issue a written decision regarding the proposal to terminate for cause.
(1) If AmeriCorps decides to terminate the VISTA for cause, its
written decision will set forth the reasons for the determination and
the effective date of termination (which may be on or after the date of
the decision).
(2) If AmeriCorps decides not to terminate the VISTA for cause, the
written decision will indicate that the proposal to terminate for cause
is rescinded.
(e) A VISTA who does not submit a timely answer to the appropriate
VISTA Case Manager, as set forth in paragraph (c) of this section, is
not entitled to appeal the decision regarding the proposal to terminate
for cause. In such cases, AmeriCorps may terminate the VISTA for cause,
on the date identified in the decision, and the termination action is
final.

Sec. 2556.425 May a VISTA appeal their termination for cause?

(a) Within 10 calendar days of AmeriCorps' issuance of the decision
to terminate the VISTA for cause, as set forth in Sec. 2556.420(d), the
VISTA may appeal the decision to the VMSU Director. The appeal must be
in writing and specify the reasons for the VISTA's disagreement with the
decision.
(b) AmeriCorps will not incur any expenses or travel allowances for
the VISTA in connection with the preparation or presentation of the
appeal.
(c) The VISTA may have access to records as follows:
(1) The VISTA may review any material in the VISTA's official
AmeriCorps file and any relevant AmeriCorps records to the extent
permitted by the Freedom of Information Act and the Privacy Act, 5
U.S.C. 552, 552a. Examples of documents that may be withheld include
references obtained under pledge of confidentiality, official files of
other program participants, and privileged intra-agency documents.
(2) The VISTA may review relevant records in the possession of a
sponsor to the extent such documents are disclosable by the sponsor
under applicable freedom of information act and privacy laws.
(d) Within 14 calendar days of receipt of any appeal by the VISTA,
the VMSU Director or equivalent AmeriCorps official will issue a written
appeal determination indicating the reasons for the appeal
determination. The appeal determination will be final.

Sec. 2556.430 Is a VISTA who is terminated early from the VISTA
program for other than cause entitled to appeal under these procedures?

(a) Only a VISTA whose early termination from the VISTA program is
for cause, and who has answered the proposal to terminate them for cause
in a timely manner, as set forth in Sec. 2556.420(c), is entitled to
appeal the early termination action, as referenced in Sec. 2556.425. A
termination for cause is based on a deficiency, or deficiencies, in the
performance or conduct of a VISTA.
(b) The following types of early terminations from the VISTA program
are not terminations for cause, and are

[[Page 904]]

not entitled to appeal under the early termination appeal procedure set
forth in Sec. Sec. 2556.420 and 2556.425:
(1) Resignation from the VISTA program prior to the issuance of a
decision to terminate for cause, as set forth in Sec. 2556.420(d);
(2) Early termination from the VISTA program because a VISTA did not
secure a suitable reassignment to another project; and
(3) Medical termination from the VISTA program.

Subpart F_Summer Associates

Sec. 2556.500 How is a position for a summer associate established
in a project?

Subject to VISTA assistance availability, AmeriCorps approves the
establishment of summer associate positions based on the following
factors:
(a) The need in the community, as demonstrated by the sponsor, for
the performance of project activities by a summer associate(s);
(b) The content and quality of summer associate project plans;
(c) The capacity of the sponsor to implement the summer associate
project activities; and
(d) The sponsor's compliance with all applicable parts of the DVSA,
VISTA program policy, and the sponsor's Memorandum of Agreement, which
incorporates their project application.

Sec. 2556.505 How do summer associates differ from other VISTAs?

Summer associates differ from other VISTAs in the following ways:
(a) Summer associates are not eligible to receive:
(1) Health care through a health benefits program provided by
AmeriCorps;
(2) Childcare support through a childcare program provided by
AmeriCorps;
(3) Payment for settling-in expenses; or
(4) Non-competitive eligibility in accordance with 5 CFR 315.605.
(b) Absent extraordinary circumstances, summer associates are not
eligible to receive:
(1) Payment for travel expenses incurred for travel to or from the
project site to which the summer associate is assigned; or
(2) A relocation travel allowance to offset the cost of relocating
from the summer associate's home of record to the project site to which
they are assigned to serve.
(c) AmeriCorps may discharge a summer associate due to a deficiency,
or deficiencies, in conduct or performance. Summer associates are not
subject to subpart E of this part, or to the grievance procedures
provided to VISTAs set forth in Sec. Sec. 2556.345 through 2556.365.

Subpart G_VISTA Leaders

Sec. 2556.600 How is a position for a leader established in
a project, or in multiple projects within a contiguous geographic region?

(a) At its discretion, AmeriCorps may approve the establishment of a
leader position based on the following factors:
(1) The need for a leader in a project of a substantial size and
with multiple VISTAs assigned to serve at that project, or the need for
leader for multiple projects located within a contiguous geographic
region.
(2) The need for a leader to assist with the communication of VISTA
policies and administrative procedures to VISTAs within a project, or
throughout the multiple projects within a contiguous geographic region,
as applicable.
(3) The need for a leader to assist with the professional
development of VISTAs within a project, or throughout the multiple
projects within a contiguous geographic region, as applicable.
(4) The need for a leader to assist with the recruitment and
preparation for the arrival of VISTAs within a project, or throughout
the multiple projects within a contiguous geographic region, as
applicable.
(5) The capacity of the VISTA supervisor to support and guide the
leader.
(b) A sponsor may request, in its project application, that
AmeriCorps establish a leader position in its project.

[[Page 905]]

Sec. 2556.605 Who is eligible to apply to serve as a leader?

An individual is eligible to apply to serve as a leader if they have
successfully completed any of the following:
(a) At least one year of service as a VISTA;
(b) At least one full term of service as a full-time AmeriCorps
State and National member;
(c) At least one full term of service as a member of the AmeriCorps
National Civilian Community Corps (NCCC); or
(d) At least one traditional term of service as a Peace Corps
Volunteer.

Sec. 2556.610 What is the application process to apply to become a leader?

(a) Application package. An eligible individual must apply in
writing to AmeriCorps to become a leader. The sponsor's recommendation
must be included with the individual's application to become a leader.
(b) Sponsor recommendation. A sponsor with which an individual is
seeking to serve as a leader must recommend the individual to become a
leader, in writing, to AmeriCorps.
(c) Selection. AmeriCorps has sole authority to select a leader. The
criteria considered for selection include the individual's experience,
special skills, and leadership, as demonstrated in the application and
the sponsor's recommendation.

Sec. 2556.615 Who reviews a leader application and who
approves or disapproves a leader application?

AmeriCorps reviews the application package for the leader position,
considers the recommendation of the sponsor, and approves or disapproves
the individual to serve as a leader.

Sec. 2556.620 How does a leader differ from other VISTAs?

(a) The application process to become a leader, as described in
Sec. 2556.610, is separate and distinct from the application process to
enroll as a VISTA in the VISTA program.
(b) A leader may receive a living allowance computed at a higher
daily rate than other VISTAs, as authorized under section 105(a)(1)(B)
of the DVSA.
(c) A leader is subject to all the terms and conditions of service
described in Sec. 2556.625.

Sec. 2556.625 What are terms and conditions of service for a leader?

Though not exhaustive, terms and conditions of service as a leader
include:
(a) A leader makes a full-time commitment to serve as a leader,
without regard to regular working hours, for a minimum of one year.
(b) To the maximum extent practicable, a leader must live among and
at the economic level of the low-income community served by the project.
(c) A leader aids the communication of VISTA policies and
administrative procedures to VISTAs.
(d) A leader assists with the leadership development of VISTAs.
(e) A leader is a resource in the development and delivery of
training for VISTAs.
(f) A leader may assist the sponsor with recruitment and preparation
for the arrival of VISTAs.
(g) A leader may advise a supervisor on potential problem areas and
needs of VISTAs.
(h) A leader aids VISTAs in the development of effective working
relationships and understanding of VISTA program concepts.
(i) A leader may aid the supervisor and sponsor in directing or
focusing the VISTA project to best address the community's needs.
(j) A leader may serve as a collector of data for performance
measures of the project and the VISTAs.
(k) A leader is prohibited from supervising VISTAs. A leader is also
prohibited from handling or managing, on behalf of the project,
personnel-related matters affecting VISTAs. Personnel-related matters
affecting VISTAs must be managed and handled by the project and in
coordination with the appropriate AmeriCorps Region Office.

[[Page 906]]

Subpart H_Restrictions and Prohibitions on Political Activities and
Lobbying

Sec. 2556.700 Who is covered by this subpart?

(a) All VISTAs, including leaders and summer associates, are subject
to this subpart.
(b) All employees of VISTA sponsors and subrecipients whose salaries
or other compensation are paid, in whole or in part, with VISTA grant
assistance are subject to this subpart.
(c) All VISTA sponsors and subrecipients are subject to this
subpart.

Sec. 2556.705 What is prohibited political activity?

For purposes of the regulations in this subpart, ``prohibited
political activity'' means an activity directed toward the success or
failure of a political party, candidate for partisan political office,
or partisan political group.

Sec. 2556.710 What political activities are VISTAs prohibited from engaging in?

(a) A VISTA may not use their official authority or influence to
interfere with or affect the result of an election.
(b) A VISTA may not use their official authority or influence to
coerce any individual to participate in political activity.
(c) A VISTA may not use their official VISTA program title while
participating in prohibited political activity.
(d) A VISTA may not participate in prohibited political activities
in the following circumstances:
(1) While they are on duty;
(2) While they are wearing an article of clothing, logo, insignia,
or other similar item that identifies AmeriCorps, the VISTA program, or
one of AmeriCorps' other national service programs;
(3) While they are in any room or building occupied in the discharge
of VISTA duties by an individual employed by the sponsor; and
(4) While using a vehicle owned or leased by a sponsor or
subrecipient, or while using a privately-owned vehicle in the discharge
of VISTA duties.

Sec. 2556.715 What political activities may a VISTA participate in?

(a) Provided that paragraph (b) of this section is fully adhered to,
a VISTA may:
(1) Express their opinion privately and publicly on political
subjects;
(2) Be politically active in connection with a question that is not
specifically identified with a political party, such as a constitutional
amendment, referendum, approval of a municipal ordinance, or any other
question or issue of similar character;
(3) Participate in the nonpartisan activities of a civic, community,
social, labor, professional, or similar organization; and
(4) Participate fully in public affairs, except as prohibited by
other Federal law, in a manner that does not compromise their efficiency
or integrity as a VISTA, or compromise the neutrality, efficiency, or
integrity of AmeriCorps or the VISTA program.
(b) A VISTA may participate in political activities set forth in
paragraph (a) of this section as long as such participation:
(1) Does not interfere with the performance of, or availability to
perform, their assigned VISTA project duties;
(2) Does not interfere with their provision of service in the VISTA
program;
(3) Does not involve any use of VISTA assistance, resources or
funds;
(4) Would not result in the identification of the VISTA as being a
participant in or otherwise associated with the VISTA program;
(5) Is not conducted during scheduled VISTA service hours; and
(6) Does not interfere with the full-time commitment to remain
available for VISTA service without regard to regular working hours, at
all times during periods of service, except for authorized periods of
leave.

Sec. 2556.720 May VISTAs participate in political organizations?

(a) Provided that paragraph (b) of this section is fully adhered to,
and in accordance with the prohibitions set forth in Sec. 2556.710, a
VISTA may:
(1) Be a member of a political party or other political group and
participate in its activities;

[[Page 907]]

(2) Serve as an officer of a political party or other political
group, a member of a national, State, or local committee of a political
party, an officer or member of a committee of a political group, or be a
candidate for any of these positions;
(3) Attend and participate fully in the business of nominating
caucuses of political parties;
(4) Organize or reorganize a political party organization or
political group;
(5) Participate in a political convention, rally, or other political
gathering; and
(6) Serve as a delegate, alternate, or proxy to a political party
convention.
(b) A VISTA may participate in a political organization as long as
such participation complies with the restrictions set out in paragraphs
(b)(1) through (6) of Sec. 2556.715.
(1) Does not interfere with the performance of, or availability to
perform, their assigned VISTA project duties;
(2) Does not interfere with the provision of service in the VISTA
program;
(3) Does not involve any use of VISTA assistance, resources or
funds;
(4) Would not result in the identification of the VISTA as being a
participant in or otherwise associated with the VISTA program;
(5) Is not conducted during scheduled VISTA service hours; and
(6) Does not interfere with the full-time commitment to remain
available for VISTA service without regard to regular working hours, at
all times during periods of service, except for authorized periods of
leave.

Sec. 2556.725 May VISTAs participate in political campaigns?

(a) Provided that paragraph (b) of this section is fully adhered to,
and in accordance with the prohibitions set forth in Sec. 2556.710, a
VISTA may:
(1) Display pictures, signs, stickers, badges, or buttons associated
with political parties, candidates for partisan political office, or
partisan political groups, as long as these items are displayed in
accordance with the prohibitions set forth in Sec. 2556.710;
(2) Initiate or circulate a nominating petition for a candidate for
partisan political office;
(3) Canvass for votes in support of or in opposition to a partisan
political candidate or a candidate for political party office;
(4) Endorse or oppose a partisan political candidate or a candidate
for political party office in a political advertisement, broadcast,
campaign literature, or similar material; and
(5) Address a convention caucus, rally, or similar gathering of a
political party or political group in support of or in opposition to a
partisan political candidate or a candidate for political party office.
(b) A VISTA may participate in a political campaign as long as such
participation:
(1) Does not interfere with the performance of, or availability to
perform, their assigned VISTA project duties;
(2) Does not interfere with the provision of service in the VISTA
program;
(3) Does not involve any use of VISTA assistance, resources or
funds;
(4) Would not result in the identification of the VISTA as being a
participant in or otherwise associated with the VISTA program;
(5) Is not conducted during scheduled VISTA service hours; and
(6) Does not interfere with the full-time commitment to remain
available for VISTA service without regard to regular working hours, at
all times during periods of service, except for authorized periods of
leave.

Sec. 2556.730 May VISTAs participate in elections?

(a) Provided that paragraph (b) of this section is fully adhered to,
and in accordance with the prohibitions set forth in Sec. 2556.710, a
VISTA may:
(1) Register and vote in any election;
(2) Act as recorder, watcher, challenger, or similar officer at
polling places;
(3) Serve as an election judge or clerk, or in a similar position;
and
(4) Drive voters to polling places for a partisan political
candidate, partisan political group, or political party.
(5) Participate in voter registration activities.
(b) A VISTA may participate in elections as long as such
participation:

[[Page 908]]

(1) Does not interfere with the performance of, or availability to
perform, their assigned VISTA project duties;
(2) Does not interfere with the provision of service in the VISTA
program;
(3) Does not involve any use of VISTA assistance, resources or
funds;
(4) Would not result in the identification of the VISTA as being a
participant in or otherwise associated with the VISTA program;
(5) Is not conducted during scheduled VISTA service hours; and
(6) Does not interfere with the full-time commitment to remain
available for VISTA service without regard to regular working hours, at
all times during periods of service, except for authorized periods of
leave.

Sec. 2556.735 May a VISTA be a candidate for public office?

(a) Except as provided in paragraph (c) of this section, no VISTA
may run for the nomination to, or as a candidate for election to,
partisan political office.
(b) In accordance with the prohibitions set forth in Sec. 2556.710,
a VISTA may participate in elections as long as such participation:
(1) Does not interfere with the performance of, or availability to
perform, their assigned VISTA project duties;
(2) Does not interference with the provision of service in the VISTA
program;
(3) Does not involve any use of VISTA assistance, resources or
funds;
(4) Would not result in the identification of the VISTA as being a
participant in or otherwise associated with the VISTA program;
(5) Is not conducted during scheduled VISTA service hours; and
(6) Does not interfere with the full-time commitment to remain
available for VISTA service without regard to regular working hours, at
all times during periods of service, except for authorized periods of
leave.
(c) Provided that paragraphs (a) and (b) of this section are adhered
to, and in accordance with the prohibitions set forth in Sec. 2556.710,
a VISTA may:
(1) Run as an independent candidate in a partisan election in
designated U.S. municipalities and political subdivisions as set forth
at 5 CFR part 733; and
(2) Run as a candidate in a non-partisan election.

Sec. 2556.740 May VISTAs participate in political fundraising activities?

(a) Provided that paragraphs (b) through (d) of this section are
fully adhered to, and in accordance with the prohibitions set forth in
Sec. 2556.710, a VISTA may:
(1) Make a political contribution to a political party, political
group, campaign committee of a candidate for public office in a partisan
election;
(2) Attend a political fundraiser; and
(3) Solicit, accept, or receive uncompensated volunteer services for
a political campaign from any individual.
(b) A VISTA may participate in fundraising activities as long as
such participation:
(1) Does not interfere with the performance of, or availability to
perform, their assigned VISTA project duties;
(2) Does not interfere with the provision of service in the VISTA
program;
(3) Does not involve any use of VISTA assistance, resources or
funds;
(4) Would not result in the identification of the VISTA as being a
participant in or otherwise associated with the VISTA program;
(5) Is not conducted during scheduled VISTA service hours; and
(6) Does not interfere with the full-time commitment to remain
available for VISTA service without regard to regular working hours, at
all times during periods of service, except for authorized periods of
leave.
(c) A VISTA may not knowingly:
(1) Personally solicit, accept, or receive a political contribution
from another individual;
(2) Personally solicit political contributions in a speech or
keynote address given at a fundraiser;
(3) Allow their perceived or actual affiliation with the VISTA
program, or their official title as a VISTA, to be used in connection
with fundraising activities; or
(4) Solicit, accept, or receive uncompensated individual volunteer
services from a subordinate (e.g., a leader may not solicit, accept or
receive a political contribution from a VISTA).

[[Page 909]]

(d) Except for VISTAs who reside in municipalities or political
subdivisions designated under 5 CFR part 733, no VISTA may accept or
receive a political contribution on behalf of an individual who is a
candidate for local partisan political office and who represents a
political party.

Sec. 2556.745 Are VISTAs prohibited from soliciting or
discouraging the political participation of certain individuals?

(a) A VISTA may not knowingly solicit or discourage the
participation in any political activity of any individual who has an
application for any compensation, grant, contract, ruling, license,
permit, or certificate pending before AmeriCorps or the VISTA program.
(b) A VISTA may not knowingly solicit or discourage the
participation in any political activity of any individual who is the
subject of, or a participant in, an ongoing audit, investigation, or
enforcement action being carried out by or through AmeriCorps or the
VISTA program.

Sec. 2556.750 What restrictions and prohibitions are VISTAs
who campaign for a spouse or family member subject to?

A VISTA who is the spouse or family member of a candidate for
partisan political office, candidate for political party office, or
candidate for public office in a nonpartisan election is subject to the
same restrictions and prohibitions as other VISTAs, as set forth in
Sec. 2556.725.

Sec. 2556.755 May VISTAs participate in lawful demonstrations?

In accordance with the prohibitions set forth in Sec. 2556.710,
VISTAs may participate in lawful demonstrations, political rallies, and
other political meetings, so long as such participation is in
conformance with all of the following:
(a) Occurs only while on authorized leave or while otherwise off
duty;
(b) Does not include attempting to represent, or representing, the
views of VISTAs or the VISTA program on any public issue;
(c) Could not be reasonably understood by the community as being
identified with the VISTA program, the project, or other elements of
VISTA service; and
(d) Does not interfere with the discharge of VISTA duties.

Sec. 2556.760 May a sponsor or subrecipient approve the
participation of a VISTA in a demonstration or other political meeting?

(a) No VISTA sponsor or subrecipient may approve a VISTA to be
involved in planning, initiating, participating in, or otherwise aiding
or assisting in any demonstration or other political meeting.
(b) If a VISTA sponsor or subrecipient, subsequent to the receipt of
any AmeriCorps financial assistance, including the assignment of VISTAs,
approves the participation of a VISTA in a demonstration or other
political meeting, that VISTA sponsor or subrecipient is subject to
procedures related to the suspension or termination of such assistance,
as provided in subpart B of this part, Sec. Sec. 2556.135 through
2556.140.

Sec. 2556.765 What disciplinary actions are VISTAs subject to
for violating restrictions or prohibitions on political activities?

Violations by a VISTA of any of the prohibitions or restrictions set
forth in this subpart may warrant termination for cause, in accordance
with proceedings set forth at Sec. Sec. 2556.420, 2556.425, and
2556.430.

Sec. 2556.770 What are the requirements of VISTA sponsors
and subrecipients regarding political activities?

(a) All sponsors and subrecipients are required to:
(1) Understand the restrictions and prohibitions on the political
activities of VISTAs, as set forth in this subpart;
(2) Provide training to VISTAs on all applicable restrictions and
prohibitions on political activities, as set forth in this subpart, and
use training materials that are consistent with these restrictions and
prohibitions;
(3) Monitor on a continuing basis the activity of VISTAs for
compliance with this subpart; and
(4) Report all violations or questionable situations immediately to
the appropriate AmeriCorps Region Office.

[[Page 910]]

(b) Failure of a sponsor to comply with the requirements of this
subpart, or a violation of the requirements contained in this subpart by
the sponsor or subrecipient, sponsor or subrecipient's covered
employees, agents, or VISTAs, may be deemed a material failure to comply
with terms or conditions of the VISTA program. In such a case, the
sponsor is subject to procedures related to the denial or reduction, or
suspension or termination, of such assistance, as provided in Sec. Sec.
2556.125, 2556.130, and 2556.140.

Sec. 2556.775 What prohibitions and restrictions on political
activity apply to employees of VISTA sponsors and subrecipients?

All employees of VISTA sponsors and subrecipients, whose salaries or
other compensation are paid, in whole or in part, with VISTA funds are
subject to all applicable prohibitions and restrictions described in
this subpart in the following circumstances:
(a) Whenever they are engaged in an activity that is supported by
AmeriCorps or VISTA funds or assistance; and
(b) Whenever they identify themselves as acting in their capacity as
an official of a VISTA project that receives AmeriCorps or VISTA funds
or assistance, or could reasonably be perceived by others as acting in
such a capacity.

Sec. 2556.780 What prohibitions on lobbying activities apply
to VISTA sponsors and subrecipients?

(a) No VISTA sponsor or subrecipient may assign a VISTA to perform
service or engage in activities related to influencing the passage or
defeat of legislation or proposals by initiative petition.
(b) No VISTA sponsor or subrecipient may use any AmeriCorps
financial assistance, such as VISTA funds or the services of a VISTA,
for any activity related to influencing the passage or defeat of
legislation or proposals by initiative petition.

PARTS 2557 2599 [RESERVED]

[[Page 911]]

FINDING AIDS

--------------------------------------------------------------------

A list of CFR titles, subtitles, chapters, subchapters and parts and
an alphabetical list of agencies publishing in the CFR are included in
the CFR Index and Finding Aids volume to the Code of Federal Regulations
which is published separately and revised annually.

Table of CFR Titles and Chapters
Alphabetical List of Agencies Appearing in the CFR
List of CFR Sections Affected

[[Page 913]]

Table of CFR Titles and Chapters

(Revised as of October 1, 2024)

Title 1--General Provisions

I Administrative Committee of the Federal Register
(Parts 1--49)
II Office of the Federal Register (Parts 50--299)
III Administrative Conference of the United States (Parts
300--399)
IV Miscellaneous Agencies (Parts 400--599)
VI National Capital Planning Commission (Parts 600--699)

Title 2--Grants and Agreements

Subtitle A--Office of Management and Budget Guidance
for Grants and Agreements
I Office of Management and Budget Governmentwide
Guidance for Grants and Agreements (Parts 2--199)
II Office of Management and Budget Guidance (Parts 200--
299)
Subtitle B--Federal Agency Regulations for Grants and
Agreements
III Department of Health and Human Services (Parts 300--
399)
IV Department of Agriculture (Parts 400--499)
VI Department of State (Parts 600--699)
VII Agency for International Development (Parts 700--799)
VIII Department of Veterans Affairs (Parts 800--899)
IX Department of Energy (Parts 900--999)
X Department of the Treasury (Parts 1000--1099)
XI Department of Defense (Parts 1100--1199)
XII Department of Transportation (Parts 1200--1299)
XIII Department of Commerce (Parts 1300--1399)
XIV Department of the Interior (Parts 1400--1499)
XV Environmental Protection Agency (Parts 1500--1599)
XVI U.S. International Development Finance Corporation
(Parts 1600--1699)
XVIII National Aeronautics and Space Administration (Parts
1800--1899)
XX United States Nuclear Regulatory Commission (Parts
2000--2099)
XXII Corporation for National and Community Service (Parts
2200--2299)
XXIII Social Security Administration (Parts 2300--2399)
XXIV Department of Housing and Urban Development (Parts
2400--2499)

[[Page 914]]

XXV National Science Foundation (Parts 2500--2599)
XXVI National Archives and Records Administration (Parts
2600--2699)
XXVII Small Business Administration (Parts 2700--2799)
XXVIII Department of Justice (Parts 2800--2899)
XXIX Department of Labor (Parts 2900--2999)
XXX Department of Homeland Security (Parts 3000--3099)
XXXI Institute of Museum and Library Services (Parts 3100--
3199)
XXXII National Endowment for the Arts (Parts 3200--3299)
XXXIII National Endowment for the Humanities (Parts 3300--
3399)
XXXIV Department of Education (Parts 3400--3499)
XXXV Export-Import Bank of the United States (Parts 3500--
3599)
XXXVI Office of National Drug Control Policy, Executive
Office of the President (Parts 3600--3699)
XXXVII Peace Corps (Parts 3700--3799)
LVIII Election Assistance Commission (Parts 5800--5899)
LIX Gulf Coast Ecosystem Restoration Council (Parts 5900--
5999)
LX Federal Communications Commission (Parts 6000--6099)

Title 3--The President

I Executive Office of the President (Parts 100--199)

Title 4--Accounts

I Government Accountability Office (Parts 1--199)

Title 5--Administrative Personnel

I Office of Personnel Management (Parts 1--1199)
II Merit Systems Protection Board (Parts 1200--1299)
III Office of Management and Budget (Parts 1300--1399)
IV Office of Personnel Management and Office of the
Director of National Intelligence (Parts 1400--
1499)
V The International Organizations Employees Loyalty
Board (Parts 1500--1599)
VI Federal Retirement Thrift Investment Board (Parts
1600--1699)
VIII Office of Special Counsel (Parts 1800--1899)
IX Appalachian Regional Commission (Parts 1900--1999)
XI Armed Forces Retirement Home (Parts 2100--2199)
XIV Federal Labor Relations Authority, General Counsel of
the Federal Labor Relations Authority and Federal
Service Impasses Panel (Parts 2400--2499)
XVI Office of Government Ethics (Parts 2600--2699)
XXI Department of the Treasury (Parts 3100--3199)
XXII Federal Deposit Insurance Corporation (Parts 3200--
3299)
XXIII Department of Energy (Parts 3300--3399)

[[Page 915]]

XXIV Federal Energy Regulatory Commission (Parts 3400--
3499)
XXV Department of the Interior (Parts 3500--3599)
XXVI Department of Defense (Parts 3600--3699)
XXVIII Department of Justice (Parts 3800--3899)
XXIX Federal Communications Commission (Parts 3900--3999)
XXX Farm Credit System Insurance Corporation (Parts 4000--
4099)
XXXI Farm Credit Administration (Parts 4100--4199)
XXXIII U.S. International Development Finance Corporation
(Parts 4300--4399)
XXXIV Securities and Exchange Commission (Parts 4400--4499)
XXXV Office of Personnel Management (Parts 4500--4599)
XXXVI Department of Homeland Security (Parts 4600--4699)
XXXVII Federal Election Commission (Parts 4700--4799)
XL Interstate Commerce Commission (Parts 5000--5099)
XLI Commodity Futures Trading Commission (Parts 5100--
5199)
XLII Department of Labor (Parts 5200--5299)
XLIII National Science Foundation (Parts 5300--5399)
XLV Department of Health and Human Services (Parts 5500--
5599)
XLVI Postal Rate Commission (Parts 5600--5699)
XLVII Federal Trade Commission (Parts 5700--5799)
XLVIII Nuclear Regulatory Commission (Parts 5800--5899)
XLIX Federal Labor Relations Authority (Parts 5900--5999)
L Department of Transportation (Parts 6000--6099)
LII Export-Import Bank of the United States (Parts 6200--
6299)
LIII Department of Education (Parts 6300--6399)
LIV Environmental Protection Agency (Parts 6400--6499)
LV National Endowment for the Arts (Parts 6500--6599)
LVI National Endowment for the Humanities (Parts 6600--
6699)
LVII General Services Administration (Parts 6700--6799)
LVIII Board of Governors of the Federal Reserve System
(Parts 6800--6899)
LIX National Aeronautics and Space Administration (Parts
6900--6999)
LX United States Postal Service (Parts 7000--7099)
LXI National Labor Relations Board (Parts 7100--7199)
LXII Equal Employment Opportunity Commission (Parts 7200--
7299)
LXIII Inter-American Foundation (Parts 7300--7399)
LXIV Merit Systems Protection Board (Parts 7400--7499)
LXV Department of Housing and Urban Development (Parts
7500--7599)
LXVI National Archives and Records Administration (Parts
7600--7699)
LXVII Institute of Museum and Library Services (Parts 7700--
7799)
LXVIII Commission on Civil Rights (Parts 7800--7899)
LXIX Tennessee Valley Authority (Parts 7900--7999)

[[Page 916]]

LXX Court Services and Offender Supervision Agency for the
District of Columbia (Parts 8000--8099)
LXXI Consumer Product Safety Commission (Parts 8100--8199)
LXXIII Department of Agriculture (Parts 8300--8399)
LXXIV Federal Mine Safety and Health Review Commission
(Parts 8400--8499)
LXXVI Federal Retirement Thrift Investment Board (Parts
8600--8699)
LXXVII Office of Management and Budget (Parts 8700--8799)
LXXX Federal Housing Finance Agency (Parts 9000--9099)
LXXXIII Special Inspector General for Afghanistan
Reconstruction (Parts 9300--9399)
LXXXIV Bureau of Consumer Financial Protection (Parts 9400--
9499)
LXXXVI National Credit Union Administration (Parts 9600--
9699)
XCVII Department of Homeland Security Human Resources
Management System (Department of Homeland
Security--Office of Personnel Management) (Parts
9700--9799)
XCVIII Council of the Inspectors General on Integrity and
Efficiency (Parts 9800--9899)
XCIX Military Compensation and Retirement Modernization
Commission (Parts 9900--9999)
C National Council on Disability (Parts 10000--10049)
CI National Mediation Board (Parts 10100--10199)
CII U.S. Office of Special Counsel (Parts 10200--10299)
CIII U.S. Office of Federal Mediation and Conciliation
Service (Parts 10300--10399)
CIV Office of the Intellectual Property Enforcement
Coordinator (Part 10400--10499)

Title 6--Domestic Security

I Department of Homeland Security, Office of the
Secretary (Parts 1--199)
X Privacy and Civil Liberties Oversight Board (Parts
1000--1099)

Title 7--Agriculture

Subtitle A--Office of the Secretary of Agriculture
(Parts 0--26)
Subtitle B--Regulations of the Department of
Agriculture
I Agricultural Marketing Service (Standards,
Inspections, Marketing Practices), Department of
Agriculture (Parts 27--209)
II Food and Nutrition Service, Department of Agriculture
(Parts 210--299)
III Animal and Plant Health Inspection Service, Department
of Agriculture (Parts 300--399)
IV Federal Crop Insurance Corporation, Department of
Agriculture (Parts 400--499)
V Agricultural Research Service, Department of
Agriculture (Parts 500--599)

[[Page 917]]

VI Natural Resources Conservation Service, Department of
Agriculture (Parts 600--699)
VII Farm Service Agency, Department of Agriculture (Parts
700--799)
VIII Agricultural Marketing Service (Federal Grain
Inspection Service, Fair Trade Practices Program),
Department of Agriculture (Parts 800--899)
IX Agricultural Marketing Service (Marketing Agreements
and Orders; Fruits, Vegetables, Nuts), Department
of Agriculture (Parts 900--999)
X Agricultural Marketing Service (Marketing Agreements
and Orders; Milk), Department of Agriculture
(Parts 1000--1199)
XI Agricultural Marketing Service (Marketing Agreements
and Orders; Miscellaneous Commodities), Department
of Agriculture (Parts 1200--1299)
XIV Commodity Credit Corporation, Department of
Agriculture (Parts 1400--1499)
XV Foreign Agricultural Service, Department of
Agriculture (Parts 1500--1599)
XVI [Reserved]
XVII Rural Utilities Service, Department of Agriculture
(Parts 1700--1799)
XVIII Rural Housing Service, Rural Business-Cooperative
Service, Rural Utilities Service, and Farm Service
Agency, Department of Agriculture (Parts 1800--
2099)
XX [Reserved]
XXV Office of Advocacy and Outreach, Department of
Agriculture (Parts 2500--2599)
XXVI Office of Inspector General, Department of Agriculture
(Parts 2600--2699)
XXVII Office of Information Resources Management, Department
of Agriculture (Parts 2700--2799)
XXVIII Office of Operations, Department of Agriculture (Parts
2800--2899)
XXIX Office of Energy Policy and New Uses, Department of
Agriculture (Parts 2900--2999)
XXX Office of the Chief Financial Officer, Department of
Agriculture (Parts 3000--3099)
XXXI Office of Environmental Quality, Department of
Agriculture (Parts 3100--3199)
XXXII Office of Procurement and Property Management,
Department of Agriculture (Parts 3200--3299)
XXXIII Office of Transportation, Department of Agriculture
(Parts 3300--3399)
XXXIV National Institute of Food and Agriculture (Parts
3400--3499)
XXXV Rural Housing Service, Department of Agriculture
(Parts 3500--3599)
XXXVI National Agricultural Statistics Service, Department
of Agriculture (Parts 3600--3699)

[[Page 918]]

XXXVII Economic Research Service, Department of Agriculture
(Parts 3700--3799)
XXXVIII World Agricultural Outlook Board, Department of
Agriculture (Parts 3800--3899)
XLI [Reserved]
XLII Rural Business-Cooperative Service, Department of
Agriculture (Parts 4200--4299)
L Rural Business-Cooperative Service, Rural Housing
Service, and Rural Utilities Service, Department
of Agriculture (Parts 5000--5099)

Title 8--Aliens and Nationality

I Department of Homeland Security (Parts 1--499)
V Executive Office for Immigration Review, Department of
Justice (Parts 1000--1399)

Title 9--Animals and Animal Products

I Animal and Plant Health Inspection Service, Department
of Agriculture (Parts 1--199)
II Agricultural Marketing Service (Fair Trade Practices
Program), Department of Agriculture (Parts 200--
299)
III Food Safety and Inspection Service, Department of
Agriculture (Parts 300--599)

Title 10--Energy

I Nuclear Regulatory Commission (Parts 0--199)
II Department of Energy (Parts 200--699)
III Department of Energy (Parts 700--999)
X Department of Energy (General Provisions) (Parts
1000--1099)
XIII Nuclear Waste Technical Review Board (Parts 1300--
1399)
XVII Defense Nuclear Facilities Safety Board (Parts 1700--
1799)
XVIII Northeast Interstate Low-Level Radioactive Waste
Commission (Parts 1800--1899)

Title 11--Federal Elections

I Federal Election Commission (Parts 1--9099)
II Election Assistance Commission (Parts 9400--9499)

Title 12--Banks and Banking

I Comptroller of the Currency, Department of the
Treasury (Parts 1--199)
II Federal Reserve System (Parts 200--299)
III Federal Deposit Insurance Corporation (Parts 300--399)

[[Page 919]]

IV Export-Import Bank of the United States (Parts 400--
499)
V (Parts 500--599) [Reserved]
VI Farm Credit Administration (Parts 600--699)
VII National Credit Union Administration (Parts 700--799)
VIII Federal Financing Bank (Parts 800--899)
IX (Parts 900--999)[Reserved]
X Consumer Financial Protection Bureau (Parts 1000--
1099)
XI Federal Financial Institutions Examination Council
(Parts 1100--1199)
XII Federal Housing Finance Agency (Parts 1200--1299)
XIII Financial Stability Oversight Council (Parts 1300--
1399)
XIV Farm Credit System Insurance Corporation (Parts 1400--
1499)
XV Department of the Treasury (Parts 1500--1599)
XVI Office of Financial Research, Department of the
Treasury (Parts 1600--1699)
XVII Office of Federal Housing Enterprise Oversight,
Department of Housing and Urban Development (Parts
1700--1799)
XVIII Community Development Financial Institutions Fund,
Department of the Treasury (Parts 1800--1899)

Title 13--Business Credit and Assistance

I Small Business Administration (Parts 1--199)
III Economic Development Administration, Department of
Commerce (Parts 300--399)
IV Emergency Steel Guarantee Loan Board (Parts 400--499)
V Emergency Oil and Gas Guaranteed Loan Board (Parts
500--599)

Title 14--Aeronautics and Space

I Federal Aviation Administration, Department of
Transportation (Parts 1--199)
II Office of the Secretary, Department of Transportation
(Aviation Proceedings) (Parts 200--399)
III Commercial Space Transportation, Federal Aviation
Administration, Department of Transportation
(Parts 400--1199)
V National Aeronautics and Space Administration (Parts
1200--1299)
VI Air Transportation System Stabilization (Parts 1300--
1399)

Title 15--Commerce and Foreign Trade

Subtitle A--Office of the Secretary of Commerce (Parts
0--29)
Subtitle B--Regulations Relating to Commerce and
Foreign Trade
I Bureau of the Census, Department of Commerce (Parts
30--199)

[[Page 920]]

II National Institute of Standards and Technology,
Department of Commerce (Parts 200--299)
III International Trade Administration, Department of
Commerce (Parts 300--399)
IV Foreign-Trade Zones Board, Department of Commerce
(Parts 400--499)
VII Bureau of Industry and Security, Department of
Commerce (Parts 700--799)
VIII Bureau of Economic Analysis, Department of Commerce
(Parts 800--899)
IX National Oceanic and Atmospheric Administration,
Department of Commerce (Parts 900--999)
XI National Technical Information Service, Department of
Commerce (Parts 1100--1199)
XIII East-West Foreign Trade Board (Parts 1300--1399)
XIV Minority Business Development Agency (Parts 1400--
1499)
XV Office of the Under-Secretary for Economic Affairs,
Department of Commerce (Parts 1500--1599)
Subtitle C--Regulations Relating to Foreign Trade
Agreements
XX Office of the United States Trade Representative
(Parts 2000--2099)
Subtitle D--Regulations Relating to Telecommunications
and Information
XXIII National Telecommunications and Information
Administration, Department of Commerce (Parts
2300--2399) [Reserved]

Title 16--Commercial Practices

I Federal Trade Commission (Parts 0--999)
II Consumer Product Safety Commission (Parts 1000--1799)

Title 17--Commodity and Securities Exchanges

I Commodity Futures Trading Commission (Parts 1--199)
II Securities and Exchange Commission (Parts 200--399)
IV Department of the Treasury (Parts 400--499)

Title 18--Conservation of Power and Water Resources

I Federal Energy Regulatory Commission, Department of
Energy (Parts 1--399)
III Delaware River Basin Commission (Parts 400--499)
VI Water Resources Council (Parts 700--799)
VIII Susquehanna River Basin Commission (Parts 800--899)
XIII Tennessee Valley Authority (Parts 1300--1399)

[[Page 921]]

Title 19--Customs Duties

I U.S. Customs and Border Protection, Department of
Homeland Security; Department of the Treasury
(Parts 0--199)
II United States International Trade Commission (Parts
200--299)
III International Trade Administration, Department of
Commerce (Parts 300--399)
IV U.S. Immigration and Customs Enforcement, Department
of Homeland Security (Parts 400--599) [Reserved]

Title 20--Employees' Benefits

I Office of Workers' Compensation Programs, Department
of Labor (Parts 1--199)
II Railroad Retirement Board (Parts 200--399)
III Social Security Administration (Parts 400--499)
IV Employees' Compensation Appeals Board, Department of
Labor (Parts 500--599)
V Employment and Training Administration, Department of
Labor (Parts 600--699)
VI Office of Workers' Compensation Programs, Department
of Labor (Parts 700--799)
VII Benefits Review Board, Department of Labor (Parts
800--899)
VIII Joint Board for the Enrollment of Actuaries (Parts
900--999)
IX Office of the Assistant Secretary for Veterans'
Employment and Training Service, Department of
Labor (Parts 1000--1099)

Title 21--Food and Drugs

I Food and Drug Administration, Department of Health and
Human Services (Parts 1--1299)
II Drug Enforcement Administration, Department of Justice
(Parts 1300--1399)
III Office of National Drug Control Policy (Parts 1400--
1499)

Title 22--Foreign Relations

I Department of State (Parts 1--199)
II Agency for International Development (Parts 200--299)
III Peace Corps (Parts 300--399)
IV International Joint Commission, United States and
Canada (Parts 400--499)
V United States Agency for Global Media (Parts 500--599)
VII U.S. International Development Finance Corporation
(Parts 700--799)
IX Foreign Service Grievance Board (Parts 900--999)
X Inter-American Foundation (Parts 1000--1099)
XI International Boundary and Water Commission, United
States and Mexico, United States Section (Parts
1100--1199)

[[Page 922]]

XII United States International Development Cooperation
Agency (Parts 1200--1299)
XIII Millennium Challenge Corporation (Parts 1300--1399)
XIV Foreign Service Labor Relations Board; Federal Labor
Relations Authority; General Counsel of the
Federal Labor Relations Authority; and the Foreign
Service Impasse Disputes Panel (Parts 1400--1499)
XV African Development Foundation (Parts 1500--1599)
XVI Japan-United States Friendship Commission (Parts
1600--1699)
XVII United States Institute of Peace (Parts 1700--1799)

Title 23--Highways

I Federal Highway Administration, Department of
Transportation (Parts 1--999)
II National Highway Traffic Safety Administration and
Federal Highway Administration, Department of
Transportation (Parts 1200--1299)
III National Highway Traffic Safety Administration,
Department of Transportation (Parts 1300--1399)

Title 24--Housing and Urban Development

Subtitle A--Office of the Secretary, Department of
Housing and Urban Development (Parts 0--99)
Subtitle B--Regulations Relating to Housing and Urban
Development
I Office of Assistant Secretary for Equal Opportunity,
Department of Housing and Urban Development (Parts
100--199)
II Office of Assistant Secretary for Housing-Federal
Housing Commissioner, Department of Housing and
Urban Development (Parts 200--299)
III Government National Mortgage Association, Department
of Housing and Urban Development (Parts 300--399)
IV Office of Housing and Office of Multifamily Housing
Assistance Restructuring, Department of Housing
and Urban Development (Parts 400--499)
V Office of Assistant Secretary for Community Planning
and Development, Department of Housing and Urban
Development (Parts 500--599)
VI Office of Assistant Secretary for Community Planning
and Development, Department of Housing and Urban
Development (Parts 600--699) [Reserved]
VII Office of the Secretary, Department of Housing and
Urban Development (Housing Assistance Programs and
Public and Indian Housing Programs) (Parts 700--
799)

[[Page 923]]

VIII Office of the Assistant Secretary for Housing--Federal
Housing Commissioner, Department of Housing and
Urban Development (Section 8 Housing Assistance
Programs, Section 202 Direct Loan Program, Section
202 Supportive Housing for the Elderly Program and
Section 811 Supportive Housing for Persons With
Disabilities Program) (Parts 800--899)
IX Office of Assistant Secretary for Public and Indian
Housing, Department of Housing and Urban
Development (Parts 900--1699)
X Office of Assistant Secretary for Housing--Federal
Housing Commissioner, Department of Housing and
Urban Development (Interstate Land Sales
Registration Program) (Parts 1700--1799)
[Reserved]
XII Office of Inspector General, Department of Housing and
Urban Development (Parts 2000--2099)
XV Emergency Mortgage Insurance and Loan Programs,
Department of Housing and Urban Development (Parts
2700--2799) [Reserved]
XX Office of Assistant Secretary for Housing--Federal
Housing Commissioner, Department of Housing and
Urban Development (Parts 3200--3899)
XXIV Board of Directors of the HOPE for Homeowners Program
(Parts 4000--4099) [Reserved]
XXV Neighborhood Reinvestment Corporation (Parts 4100--
4199)

Title 25--Indians

I Bureau of Indian Affairs, Department of the Interior
(Parts 1--299)
II Indian Arts and Crafts Board, Department of the
Interior (Parts 300--399)
III National Indian Gaming Commission, Department of the
Interior (Parts 500--599)
IV Office of Navajo and Hopi Indian Relocation (Parts
700--899)
V Bureau of Indian Affairs, Department of the Interior,
and Indian Health Service, Department of Health
and Human Services (Part 900--999)
VI Office of the Assistant Secretary, Indian Affairs,
Department of the Interior (Parts 1000--1199)
VII Office of the Special Trustee for American Indians,
Department of the Interior (Parts 1200--1299)

Title 26--Internal Revenue

I Internal Revenue Service, Department of the Treasury
(Parts 1--End)

Title 27--Alcohol, Tobacco Products and Firearms

I Alcohol and Tobacco Tax and Trade Bureau, Department
of the Treasury (Parts 1--399)

[[Page 924]]

II Bureau of Alcohol, Tobacco, Firearms, and Explosives,
Department of Justice (Parts 400--799)

Title 28--Judicial Administration

I Department of Justice (Parts 0--299)
III Federal Prison Industries, Inc., Department of Justice
(Parts 300--399)
V Bureau of Prisons, Department of Justice (Parts 500--
599)
VI Offices of Independent Counsel, Department of Justice
(Parts 600--699)
VII Office of Independent Counsel (Parts 700--799)
VIII Court Services and Offender Supervision Agency for the
District of Columbia (Parts 800--899)
IX National Crime Prevention and Privacy Compact Council
(Parts 900--999)
XI Department of Justice and Department of State (Parts
1100--1199)

Title 29--Labor

Subtitle A--Office of the Secretary of Labor (Parts
0--99)
Subtitle B--Regulations Relating to Labor
I National Labor Relations Board (Parts 100--199)
II Office of Labor-Management Standards, Department of
Labor (Parts 200--299)
III National Railroad Adjustment Board (Parts 300--399)
IV Office of Labor-Management Standards, Department of
Labor (Parts 400--499)
V Wage and Hour Division, Department of Labor (Parts
500--899)
IX Construction Industry Collective Bargaining Commission
(Parts 900--999)
X National Mediation Board (Parts 1200--1299)
XII Federal Mediation and Conciliation Service (Parts
1400--1499)
XIV Equal Employment Opportunity Commission (Parts 1600--
1699)
XVII Occupational Safety and Health Administration,
Department of Labor (Parts 1900--1999)
XX Occupational Safety and Health Review Commission
(Parts 2200--2499)
XXV Employee Benefits Security Administration, Department
of Labor (Parts 2500--2599)
XXVII Federal Mine Safety and Health Review Commission
(Parts 2700--2799)
XL Pension Benefit Guaranty Corporation (Parts 4000--
4999)

[[Page 925]]

Title 30--Mineral Resources

I Mine Safety and Health Administration, Department of
Labor (Parts 1--199)
II Bureau of Safety and Environmental Enforcement,
Department of the Interior (Parts 200--299)
IV Geological Survey, Department of the Interior (Parts
400--499)
V Bureau of Ocean Energy Management, Department of the
Interior (Parts 500--599)
VII Office of Surface Mining Reclamation and Enforcement,
Department of the Interior (Parts 700--999)
XII Office of Natural Resources Revenue, Department of the
Interior (Parts 1200--1299)

Title 31--Money and Finance: Treasury

Subtitle A--Office of the Secretary of the Treasury
(Parts 0--50)
Subtitle B--Regulations Relating to Money and Finance
I Monetary Offices, Department of the Treasury (Parts
51--199)
II Fiscal Service, Department of the Treasury (Parts
200--399)
IV Secret Service, Department of the Treasury (Parts
400--499)
V Office of Foreign Assets Control, Department of the
Treasury (Parts 500--599)
VI Bureau of Engraving and Printing, Department of the
Treasury (Parts 600--699)
VII Federal Law Enforcement Training Center, Department of
the Treasury (Parts 700--799)
VIII Office of Investment Security, Department of the
Treasury (Parts 800--899)
IX Federal Claims Collection Standards (Department of the
Treasury--Department of Justice) (Parts 900--999)
X Financial Crimes Enforcement Network, Department of
the Treasury (Parts 1000--1099)

Title 32--National Defense

Subtitle A--Department of Defense
I Office of the Secretary of Defense (Parts 1--399)
V Department of the Army (Parts 400--699)
VI Department of the Navy (Parts 700--799)
VII Department of the Air Force (Parts 800--1099)
Subtitle B--Other Regulations Relating to National
Defense
XII Department of Defense, Defense Logistics Agency (Parts
1200--1299)
XVI Selective Service System (Parts 1600--1699)
XVII Office of the Director of National Intelligence (Parts
1700--1799)
XVIII National Counterintelligence Center (Parts 1800--1899)
XIX Central Intelligence Agency (Parts 1900--1999)

[[Page 926]]

XX Information Security Oversight Office, National
Archives and Records Administration (Parts 2000--
2099)
XXI National Security Council (Parts 2100--2199)
XXIV Office of Science and Technology Policy (Parts 2400--
2499)
XXVII Office for Micronesian Status Negotiations (Parts
2700--2799)
XXVIII Office of the Vice President of the United States
(Parts 2800--2899)

Title 33--Navigation and Navigable Waters

I Coast Guard, Department of Homeland Security (Parts
1--199)
II Corps of Engineers, Department of the Army, Department
of Defense (Parts 200--399)
IV Great Lakes St. Lawrence Seaway Development
Corporation, Department of Transportation (Parts
400--499)

Title 34--Education

Subtitle A--Office of the Secretary, Department of
Education (Parts 1--99)
Subtitle B--Regulations of the Offices of the
Department of Education
I Office for Civil Rights, Department of Education
(Parts 100--199)
II Office of Elementary and Secondary Education,
Department of Education (Parts 200--299)
III Office of Special Education and Rehabilitative
Services, Department of Education (Parts 300--399)
IV Office of Career, Technical, and Adult Education,
Department of Education (Parts 400--499)
V Office of Bilingual Education and Minority [Reserved]
VI Office of Postsecondary Education, Department of
Education (Parts 600--699)
VII Office of Educational Research and Improvement,
Department of Education (Parts 700--799)
[Reserved]
Subtitle C--Regulations Relating to Education
XI [Reserved]
XII National Council on Disability (Parts 1200--1299)

Title 35 [Reserved]

Title 36--Parks, Forests, and Public Property

I National Park Service, Department of the Interior
(Parts 1--199)
II Forest Service, Department of Agriculture (Parts 200--
299)
III Corps of Engineers, Department of the Army (Parts
300--399)
IV American Battle Monuments Commission (Parts 400--499)
V Smithsonian Institution (Parts 500--599)
VI [Reserved]

[[Page 927]]

VII Library of Congress (Parts 700--799)
VIII Advisory Council on Historic Preservation (Parts 800--
899)
IX Pennsylvania Avenue Development Corporation (Parts
900--999)
X Presidio Trust (Parts 1000--1099)
XI Architectural and Transportation Barriers Compliance
Board (Parts 1100--1199)
XII National Archives and Records Administration (Parts
1200--1299)
XV Oklahoma City National Memorial Trust (Parts 1500--
1599)
XVI Morris K. Udall Scholarship and Excellence in National
Environmental Policy Foundation (Parts 1600--1699)

Title 37--Patents, Trademarks, and Copyrights

I United States Patent and Trademark Office, Department
of Commerce (Parts 1--199)
II U.S. Copyright Office, Library of Congress (Parts
200--299)
III Copyright Royalty Board, Library of Congress (Parts
300--399)
IV National Institute of Standards and Technology,
Department of Commerce (Parts 400--599)

Title 38--Pensions, Bonuses, and Veterans' Relief

I Department of Veterans Affairs (Parts 0--199)
II Armed Forces Retirement Home (Parts 200--299)

Title 39--Postal Service

I United States Postal Service (Parts 1--999)
III Postal Regulatory Commission (Parts 3000--3099)

Title 40--Protection of Environment

I Environmental Protection Agency (Parts 1--1099)
IV Environmental Protection Agency and Department of
Justice (Parts 1400--1499)
V Council on Environmental Quality (Parts 1500--1599)
VI Chemical Safety and Hazard Investigation Board (Parts
1600--1699)
VII Environmental Protection Agency and Department of
Defense; Uniform National Discharge Standards for
Vessels of the Armed Forces (Parts 1700--1799)
VIII Gulf Coast Ecosystem Restoration Council (Parts 1800--
1899)
IX Federal Permitting Improvement Steering Council (Part
1900)

Title 41--Public Contracts and Property Management

Subtitle A--Federal Procurement Regulations System
[Note]

[[Page 928]]

Subtitle B--Other Provisions Relating to Public
Contracts
50 Public Contracts, Department of Labor (Parts 50-1--50-
999)
51 Committee for Purchase From People Who Are Blind or
Severely Disabled (Parts 51-1--51-99)
60 Office of Federal Contract Compliance Programs, Equal
Employment Opportunity, Department of Labor (Parts
60-1--60-999)
61 Office of the Assistant Secretary for Veterans'
Employment and Training Service, Department of
Labor (Parts 61-1--61-999)
Chapters
62--100 [Reserved]
Subtitle C--Federal Property Management Regulations
System
101 Federal Property Management Regulations (Parts 101-1--
101-99)
102 Federal Management Regulation (Parts 102-1--102-299)
Chapters
103--104 (Parts 103-001--104-099)[Reserved]
105 General Services Administration (Parts 105-1--105-999)
109 Department of Energy Property Management Regulations
(Parts 109-1--109-99)
114 Department of the Interior (Parts 114-1--114-99)
115 Environmental Protection Agency (Parts 115-1--115-99)
128 Department of Justice (Parts 128-1--128-99)
Chapters
129--200 [Reserved]
Subtitle D--Federal Acquisition Supply Chain Security
201 Federal Acquisition Security Council (Parts 201-1--
201-99)
Subtitle E [Reserved]
Subtitle F--Federal Travel Regulation System
300 General (Parts 300-1--300-99)
301 Temporary Duty (TDY) Travel Allowances (Parts 301-1--
301-99)
302 Relocation Allowances (Parts 302-1--302-99)
303 Payment of Expenses Connected with the Death of
Certain Employees (Part 303-1--303-99)
304 Payment of Travel Expenses from a Non-Federal Source
(Parts 304-1--304-99)

Title 42--Public Health

I Public Health Service, Department of Health and Human
Services (Parts 1--199)
Chapters
II--III [Reserved]
IV Centers for Medicare & Medicaid Services, Department
of Health and Human Services (Parts 400--699)
V Office of Inspector General-Health Care, Department of
Health and Human Services (Parts 1000--1099)

[[Page 929]]

Title 43--Public Lands: Interior

Subtitle A--Office of the Secretary of the Interior
(Parts 1--199)
Subtitle B--Regulations Relating to Public Lands
I Bureau of Reclamation, Department of the Interior
(Parts 400--999)
II Bureau of Land Management, Department of the Interior
(Parts 1000--9999)
III Utah Reclamation Mitigation and Conservation
Commission (Parts 10000--10099)

Title 44--Emergency Management and Assistance

I Federal Emergency Management Agency, Department of
Homeland Security (Parts 0--399)
IV Department of Commerce and Department of
Transportation (Parts 400--499)

Title 45--Public Welfare

Subtitle A--Department of Health and Human Services
(Parts 1--199)
Subtitle B--Regulations Relating to Public Welfare
II Office of Family Assistance (Assistance Programs),
Administration for Children and Families,
Department of Health and Human Services (Parts
200--299)
III Office of Child Support Services, Administration of
Families and Services, Department of Health and
Human Services (Parts 300--399)
IV Office of Refugee Resettlement, Administration for
Children and Families, Department of Health and
Human Services (Parts 400--499)
V Foreign Claims Settlement Commission of the United
States, Department of Justice (Parts 500--599)
VI National Science Foundation (Parts 600--699)
VII Commission on Civil Rights (Parts 700--799)
VIII Office of Personnel Management (Parts 800--899)
IX Denali Commission (Parts 900--999)
X Office of Community Services, Administration for
Children and Families, Department of Health and
Human Services (Parts 1000--1099)
XI National Foundation on the Arts and the Humanities
(Parts 1100--1199)
XII Corporation for National and Community Service (Parts
1200--1299)
XIII Administration for Children and Families, Department
of Health and Human Services (Parts 1300--1399)
XVI Legal Services Corporation (Parts 1600--1699)
XVII National Commission on Libraries and Information
Science (Parts 1700--1799)
XVIII Harry S. Truman Scholarship Foundation (Parts 1800--
1899)

[[Page 930]]

XXI Commission of Fine Arts (Parts 2100--2199)
XXIII Arctic Research Commission (Parts 2300--2399)
XXIV James Madison Memorial Fellowship Foundation (Parts
2400--2499)
XXV Corporation for National and Community Service (Parts
2500--2599)

Title 46--Shipping

I Coast Guard, Department of Homeland Security (Parts
1--199)
II Maritime Administration, Department of Transportation
(Parts 200--399)
III Coast Guard (Great Lakes Pilotage), Department of
Homeland Security (Parts 400--499)
IV Federal Maritime Commission (Parts 500--599)

Title 47--Telecommunication

I Federal Communications Commission (Parts 0--199)
II Office of Science and Technology Policy and National
Security Council (Parts 200--299)
III National Telecommunications and Information
Administration, Department of Commerce (Parts
300--399)
IV National Telecommunications and Information
Administration, Department of Commerce, and
National Highway Traffic Safety Administration,
Department of Transportation (Parts 400--499)
V The First Responder Network Authority (Parts 500--599)

Title 48--Federal Acquisition Regulations System

1 Federal Acquisition Regulation (Parts 1--99)
2 Defense Acquisition Regulations System, Department of
Defense (Parts 200--299)
3 Health and Human Services (Parts 300--399)
4 Department of Agriculture (Parts 400--499)
5 General Services Administration (Parts 500--599)
6 Department of State (Parts 600--699)
7 Agency for International Development (Parts 700--799)
8 Department of Veterans Affairs (Parts 800--899)
9 Department of Energy (Parts 900--999)
10 Department of the Treasury (Parts 1000--1099)
12 Department of Transportation (Parts 1200--1299)
13 Department of Commerce (Parts 1300--1399)
14 Department of the Interior (Parts 1400--1499)
15 Environmental Protection Agency (Parts 1500--1599)
16 Office of Personnel Management, Federal Employees
Health Benefits Acquisition Regulation (Parts
1600--1699)

[[Page 931]]

17 Office of Personnel Management (Parts 1700--1799)
18 National Aeronautics and Space Administration (Parts
1800--1899)
19 Broadcasting Board of Governors (Parts 1900--1999)
20 Nuclear Regulatory Commission (Parts 2000--2099)
21 Office of Personnel Management, Federal Employees
Group Life Insurance Federal Acquisition
Regulation (Parts 2100--2199)
23 Social Security Administration (Parts 2300--2399)
24 Department of Housing and Urban Development (Parts
2400--2499)
25 National Science Foundation (Parts 2500--2599)
28 Department of Justice (Parts 2800--2899)
29 Department of Labor (Parts 2900--2999)
30 Department of Homeland Security, Homeland Security
Acquisition Regulation (HSAR) (Parts 3000--3099)
34 Department of Education Acquisition Regulation (Parts
3400--3499)
51 Department of the Army Acquisition Regulations (Parts
5100--5199) [Reserved]
52 Department of the Navy Acquisition Regulations (Parts
5200--5299)
53 Department of the Air Force Federal Acquisition
Regulation Supplement (Parts 5300--5399)
[Reserved]
54 Defense Logistics Agency, Department of Defense (Parts
5400--5499)
57 African Development Foundation (Parts 5700--5799)
61 Civilian Board of Contract Appeals, General Services
Administration (Parts 6100--6199)
99 Cost Accounting Standards Board, Office of Federal
Procurement Policy, Office of Management and
Budget (Parts 9900--9999)

Title 49--Transportation

Subtitle A--Office of the Secretary of Transportation
(Parts 1--99)
Subtitle B--Other Regulations Relating to
Transportation
I Pipeline and Hazardous Materials Safety
Administration, Department of Transportation
(Parts 100--199)
II Federal Railroad Administration, Department of
Transportation (Parts 200--299)
III Federal Motor Carrier Safety Administration,
Department of Transportation (Parts 300--399)
IV Coast Guard, Department of Homeland Security (Parts
400--499)
V National Highway Traffic Safety Administration,
Department of Transportation (Parts 500--599)
VI Federal Transit Administration, Department of
Transportation (Parts 600--699)

[[Page 932]]

VII National Railroad Passenger Corporation (AMTRAK)
(Parts 700--799)
VIII National Transportation Safety Board (Parts 800--999)
X Surface Transportation Board (Parts 1000--1399)
XI Research and Innovative Technology Administration,
Department of Transportation (Parts 1400--1499)
[Reserved]
XII Transportation Security Administration, Department of
Homeland Security (Parts 1500--1699)

Title 50--Wildlife and Fisheries

I United States Fish and Wildlife Service, Department of
the Interior (Parts 1--199)
II National Marine Fisheries Service, National Oceanic
and Atmospheric Administration, Department of
Commerce (Parts 200--299)
III International Fishing and Related Activities (Parts
300--399)
IV Joint Regulations (United States Fish and Wildlife
Service, Department of the Interior and National
Marine Fisheries Service, National Oceanic and
Atmospheric Administration, Department of
Commerce); Endangered Species Committee
Regulations (Parts 400--499)
V Marine Mammal Commission (Parts 500--599)
VI Fishery Conservation and Management, National Oceanic
and Atmospheric Administration, Department of
Commerce (Parts 600--699)

[[Page 933]]

Alphabetical List of Agencies Appearing in the CFR

(Revised as of October 1, 2024)

CFR Title, Subtitle or
Agency Chapter

Administrative Conference of the United States 1, III
Advisory Council on Historic Preservation 36, VIII
Advocacy and Outreach, Office of 7, XXV
Afghanistan Reconstruction, Special Inspector 5, LXXXIII
General for
African Development Foundation 22, XV
Federal Acquisition Regulation 48, 57
Agency for International Development 2, VII; 22, II
Federal Acquisition Regulation 48, 7
Agricultural Marketing Service 7, I, VIII, IX, X, XI; 9,
II
Agricultural Research Service 7, V
Agriculture, Department of 2, IV; 5, LXXIII
Advocacy and Outreach, Office of 7, XXV
Agricultural Marketing Service 7, I, VIII, IX, X, XI; 9,
II
Agricultural Research Service 7, V
Animal and Plant Health Inspection Service 7, III; 9, I
Chief Financial Officer, Office of 7, XXX
Commodity Credit Corporation 7, XIV
Economic Research Service 7, XXXVII
Energy Policy and New Uses, Office of 2, IX; 7, XXIX
Environmental Quality, Office of 7, XXXI
Farm Service Agency 7, VII, XVIII
Federal Acquisition Regulation 48, 4
Federal Crop Insurance Corporation 7, IV
Food and Nutrition Service 7, II
Food Safety and Inspection Service 9, III
Foreign Agricultural Service 7, XV
Forest Service 36, II
Information Resources Management, Office of 7, XXVII
Inspector General, Office of 7, XXVI
National Agricultural Library 7, XLI
National Agricultural Statistics Service 7, XXXVI
National Institute of Food and Agriculture 7, XXXIV
Natural Resources Conservation Service 7, VI
Operations, Office of 7, XXVIII
Procurement and Property Management, Office of 7, XXXII
Rural Business-Cooperative Service 7, XVIII, XLII
Rural Development Administration 7, XLII
Rural Housing Service 7, XVIII, XXXV
Rural Utilities Service 7, XVII, XVIII, XLII
Secretary of Agriculture, Office of 7, Subtitle A
Transportation, Office of 7, XXXIII
World Agricultural Outlook Board 7, XXXVIII
Air Force, Department of 32, VII
Federal Acquisition Regulation Supplement 48, 53
Air Transportation Stabilization Board 14, VI
Alcohol and Tobacco Tax and Trade Bureau 27, I
Alcohol, Tobacco, Firearms, and Explosives, 27, II
Bureau of
AMTRAK 49, VII
American Battle Monuments Commission 36, IV
American Indians, Office of the Special Trustee 25, VII
Animal and Plant Health Inspection Service 7, III; 9, I
Appalachian Regional Commission 5, IX
Architectural and Transportation Barriers 36, XI
Compliance Board
[[Page 934]]

Arctic Research Commission 45, XXIII
Armed Forces Retirement Home 5, XI; 38, II
Army, Department of 32, V
Engineers, Corps of 33, II; 36, III
Federal Acquisition Regulation 48, 51
Benefits Review Board 20, VII
Bilingual Education and Minority Languages 34, V
Affairs, Office of
Blind or Severely Disabled, Committee for 41, 51
Purchase from People Who Are
Federal Acquisition Regulation 48, 19
Career, Technical, and Adult Education, Office 34, IV
of
Census Bureau 15, I
Centers for Medicare & Medicaid Services 42, IV
Central Intelligence Agency 32, XIX
Chemical Safety and Hazard Investigation Board 40, VI
Chief Financial Officer, Office of 7, XXX
Child Support Services, Office of 45, III
Children and Families, Administration for 45, II, IV, X, XIII
Civil Rights, Commission on 5, LXVIII; 45, VII
Civil Rights, Office for 34, I
Coast Guard 33, I; 46, I; 49, IV
Coast Guard (Great Lakes Pilotage) 46, III
Commerce, Department of 2, XIII; 44, IV; 50, VI
Census Bureau 15, I
Economic Affairs, Office of the Under- 15, XV
Secretary for
Economic Analysis, Bureau of 15, VIII
Economic Development Administration 13, III
Emergency Management and Assistance 44, IV
Federal Acquisition Regulation 48, 13
Foreign-Trade Zones Board 15, IV
Industry and Security, Bureau of 15, VII
International Trade Administration 15, III; 19, III
National Institute of Standards and Technology 15, II; 37, IV
National Marine Fisheries Service 50, II, IV
National Oceanic and Atmospheric 15, IX; 50, II, III, IV,
Administration VI
National Technical Information Service 15, XI
National Telecommunications and Information 15, XXIII; 47, III, IV
Administration
National Weather Service 15, IX
Patent and Trademark Office, United States 37, I
Secretary of Commerce, Office of 15, Subtitle A
Commercial Space Transportation 14, III
Commodity Credit Corporation 7, XIV
Commodity Futures Trading Commission 5, XLI; 17, I
Community Planning and Development, Office of 24, V, VI
Assistant Secretary for
Community Services, Office of 45, X
Comptroller of the Currency 12, I
Construction Industry Collective Bargaining 29, IX
Commission
Consumer Financial Protection Bureau 5, LXXXIV; 12, X
Consumer Product Safety Commission 5, LXXI; 16, II
Copyright Royalty Board 37, III
Corporation for National and Community Service 2, XXII; 45, XII, XXV
Cost Accounting Standards Board 48, 99
Council on Environmental Quality 40, V
Council of the Inspectors General on Integrity 5, XCVIII
and Efficiency
Court Services and Offender Supervision Agency 5, LXX; 28, VIII
for the District of Columbia
Customs and Border Protection 19, I
Defense, Department of 2, XI; 5, XXVI; 32,
Subtitle A; 40, VII
Advanced Research Projects Agency 32, I
Air Force Department 32, VII
Army Department 32, V; 33, II; 36, III;
48, 51
Defense Acquisition Regulations System 48, 2
Defense Intelligence Agency 32, I

[[Page 935]]

Defense Logistics Agency 32, I, XII; 48, 54
Engineers, Corps of 33, II; 36, III
National Imagery and Mapping Agency 32, I
Navy, Department of 32, VI; 48, 52
Secretary of Defense, Office of 2, XI; 32, I
Defense Contract Audit Agency 32, I
Defense Intelligence Agency 32, I
Defense Logistics Agency 32, XII; 48, 54
Defense Nuclear Facilities Safety Board 10, XVII
Delaware River Basin Commission 18, III
Denali Commission 45, IX
Disability, National Council on 5, C; 34, XII
District of Columbia, Court Services and 5, LXX; 28, VIII
Offender Supervision Agency for the
Drug Enforcement Administration 21, II
East-West Foreign Trade Board 15, XIII
Economic Affairs, Office of the Under-Secretary 15, XV
for
Economic Analysis, Bureau of 15, VIII
Economic Development Administration 13, III
Economic Research Service 7, XXXVII
Education, Department of 2, XXXIV; 5, LIII
Bilingual Education and Minority Languages 34, V
Affairs, Office of
Career, Technical, and Adult Education, Office 34, IV
of
Civil Rights, Office for 34, I
Educational Research and Improvement, Office 34, VII
of
Elementary and Secondary Education, Office of 34, II
Federal Acquisition Regulation 48, 34
Postsecondary Education, Office of 34, VI
Secretary of Education, Office of 34, Subtitle A
Special Education and Rehabilitative Services, 34, III
Office of
Educational Research and Improvement, Office of 34, VII
Election Assistance Commission 2, LVIII; 11, II
Elementary and Secondary Education, Office of 34, II
Emergency Oil and Gas Guaranteed Loan Board 13, V
Emergency Steel Guarantee Loan Board 13, IV
Employee Benefits Security Administration 29, XXV
Employees' Compensation Appeals Board 20, IV
Employees Loyalty Board 5, V
Employment and Training Administration 20, V
Employment Policy, National Commission for 1, IV
Employment Standards Administration 20, VI
Endangered Species Committee 50, IV
Energy, Department of 2, IX; 5, XXIII; 10, II,
III, X
Federal Acquisition Regulation 48, 9
Federal Energy Regulatory Commission 5, XXIV; 18, I
Property Management Regulations 41, 109
Energy, Office of 7, XXIX
Engineers, Corps of 33, II; 36, III
Engraving and Printing, Bureau of 31, VI
Environmental Protection Agency 2, XV; 5, LIV; 40, I, IV,
VII
Federal Acquisition Regulation 48, 15
Property Management Regulations 41, 115
Environmental Quality, Office of 7, XXXI
Equal Employment Opportunity Commission 5, LXII; 29, XIV
Equal Opportunity, Office of Assistant Secretary 24, I
for
Executive Office of the President 3, I
Environmental Quality, Council on 40, V
Management and Budget, Office of 2, Subtitle A; 5, III,
LXXVII; 14, VI; 48, 99
National Drug Control Policy, Office of 2, XXXVI; 21, III
National Security Council 32, XXI; 47, II
Presidential Documents 3
Science and Technology Policy, Office of 32, XXIV; 47, II
Trade Representative, Office of the United 15, XX
States
[[Page 936]]

Export-Import Bank of the United States 2, XXXV; 5, LII; 12, IV
Families and Services, Administration of 45, III
Family Assistance, Office of 45, II
Farm Credit Administration 5, XXXI; 12, VI
Farm Credit System Insurance Corporation 5, XXX; 12, XIV
Farm Service Agency 7, VII, XVIII
Federal Acquisition Regulation 48, 1
Federal Acquisition Security Council 41, 201
Federal Aviation Administration 14, I
Commercial Space Transportation 14, III
Federal Claims Collection Standards 31, IX
Federal Communications Commission 2, LX; 5, XXIX; 47, I
Federal Contract Compliance Programs, Office of 41, 60
Federal Crop Insurance Corporation 7, IV
Federal Deposit Insurance Corporation 5, XXII; 12, III
Federal Election Commission 5, XXXVII; 11, I
Federal Emergency Management Agency 44, I
Federal Employees Group Life Insurance Federal 48, 21
Acquisition Regulation
Federal Employees Health Benefits Acquisition 48, 16
Regulation
Federal Energy Regulatory Commission 5, XXIV; 18, I
Federal Financial Institutions Examination 12, XI
Council
Federal Financing Bank 12, VIII
Federal Highway Administration 23, I, II
Federal Home Loan Mortgage Corporation 1, IV
Federal Housing Enterprise Oversight Office 12, XVII
Federal Housing Finance Agency 5, LXXX; 12, XII
Federal Labor Relations Authority 5, XIV, XLIX; 22, XIV
Federal Law Enforcement Training Center 31, VII
Federal Management Regulation 41, 102
Federal Maritime Commission 46, IV
Federal Mediation and Conciliation Service 5, CIII; 29, XII
Federal Mine Safety and Health Review Commission 5, LXXIV; 29, XXVII
Federal Motor Carrier Safety Administration 49, III
Federal Permitting Improvement Steering Council 40, IX
Federal Prison Industries, Inc. 28, III
Federal Procurement Policy Office 48, 99
Federal Property Management Regulations 41, 101
Federal Railroad Administration 49, II
Federal Register, Administrative Committee of 1, I
Federal Register, Office of 1, II
Federal Reserve System 12, II
Board of Governors 5, LVIII
Federal Retirement Thrift Investment Board 5, VI, LXXVI
Federal Service Impasses Panel 5, XIV
Federal Trade Commission 5, XLVII; 16, I
Federal Transit Administration 49, VI
Federal Travel Regulation System 41, Subtitle F
Financial Crimes Enforcement Network 31, X
Financial Research Office 12, XVI
Financial Stability Oversight Council 12, XIII
Fine Arts, Commission of 45, XXI
Fiscal Service 31, II
Fish and Wildlife Service, United States 50, I, IV
Food and Drug Administration 21, I
Food and Nutrition Service 7, II
Food Safety and Inspection Service 9, III
Foreign Agricultural Service 7, XV
Foreign Assets Control, Office of 31, V
Foreign Claims Settlement Commission of the 45, V
United States
Foreign Service Grievance Board 22, IX
Foreign Service Impasse Disputes Panel 22, XIV
Foreign Service Labor Relations Board 22, XIV
Foreign-Trade Zones Board 15, IV
Forest Service 36, II
General Services Administration 5, LVII; 41, 105
Contract Appeals, Board of 48, 61

[[Page 937]]

Federal Acquisition Regulation 48, 5
Federal Management Regulation 41, 102
Federal Property Management Regulations 41, 101
Federal Travel Regulation System 41, Subtitle F
General 41, 300
Payment From a Non-Federal Source for Travel 41, 304
Expenses
Payment of Expenses Connected With the Death 41, 303
of Certain Employees
Relocation Allowances 41, 302
Temporary Duty (TDY) Travel Allowances 41, 301
Geological Survey 30, IV
Government Accountability Office 4, I
Government Ethics, Office of 5, XVI
Government National Mortgage Association 24, III
Grain Inspection, Packers and Stockyards 7, VIII; 9, II
Administration
Great Lakes St. Lawrence Seaway Development 33, IV
Corporation
Gulf Coast Ecosystem Restoration Council 2, LIX; 40, VIII
Harry S. Truman Scholarship Foundation 45, XVIII
Health and Human Services, Department of 2, III; 5, XLV; 45,
Subtitle A
Centers for Medicare & Medicaid Services 42, IV
Child Support Services, Office of 45, III
Children and Families, Administration for 45, II, IV, X, XIII
Community Services, Office of 45, X
Families and Services, Administration of 45, III
Family Assistance, Office of 45, II
Federal Acquisition Regulation 48, 3
Food and Drug Administration 21, I
Indian Health Service 25, V
Inspector General (Health Care), Office of 42, V
Public Health Service 42, I
Refugee Resettlement, Office of 45, IV
Homeland Security, Department of 2, XXX; 5, XXXVI; 6, I; 8,
I
Coast Guard 33, I; 46, I; 49, IV
Coast Guard (Great Lakes Pilotage) 46, III
Customs and Border Protection 19, I
Federal Emergency Management Agency 44, I
Human Resources Management and Labor Relations 5, XCVII
Systems
Immigration and Customs Enforcement Bureau 19, IV
Transportation Security Administration 49, XII
HOPE for Homeowners Program, Board of Directors 24, XXIV
of
Housing and Urban Development, Department of 2, XXIV; 5, LXV; 24,
Subtitle B
Community Planning and Development, Office of 24, V, VI
Assistant Secretary for
Equal Opportunity, Office of Assistant 24, I
Secretary for
Federal Acquisition Regulation 48, 24
Federal Housing Enterprise Oversight, Office 12, XVII
of
Government National Mortgage Association 24, III
Housing--Federal Housing Commissioner, Office 24, II, VIII, X, XX
of Assistant Secretary for
Housing, Office of, and Multifamily Housing 24, IV
Assistance Restructuring, Office of
Inspector General, Office of 24, XII
Public and Indian Housing, Office of Assistant 24, IX
Secretary for
Secretary, Office of 24, Subtitle A, VII
Housing--Federal Housing Commissioner, Office of 24, II, VIII, X, XX
Assistant Secretary for
Housing, Office of, and Multifamily Housing 24, IV
Assistance Restructuring, Office of
Immigration and Customs Enforcement Bureau 19, IV
Immigration Review, Executive Office for 8, V
Independent Counsel, Office of 28, VII
Independent Counsel, Offices of 28, VI
Indian Affairs, Bureau of 25, I, V

[[Page 938]]

Indian Affairs, Office of the Assistant 25, VI
Secretary
Indian Arts and Crafts Board 25, II
Indian Health Service 25, V
Industry and Security, Bureau of 15, VII
Information Resources Management, Office of 7, XXVII
Information Security Oversight Office, National 32, XX
Archives and Records Administration
Inspector General
Agriculture Department 7, XXVI
Health and Human Services Department 42, V
Housing and Urban Development Department 24, XII, XV
Institute of Peace, United States 22, XVII
Intellectual Property Enforcement Coordinator, 5, CIV
Office of
Inter-American Foundation 5, LXIII; 22, X
Interior, Department of 2, XIV
American Indians, Office of the Special 25, VII
Trustee
Endangered Species Committee 50, IV
Federal Acquisition Regulation 48, 14
Federal Property Management Regulations System 41, 114
Fish and Wildlife Service, United States 50, I, IV
Geological Survey 30, IV
Indian Affairs, Bureau of 25, I, V
Indian Affairs, Office of the Assistant 25, VI
Secretary
Indian Arts and Crafts Board 25, II
Land Management, Bureau of 43, II
National Indian Gaming Commission 25, III
National Park Service 36, I
Natural Resource Revenue, Office of 30, XII
Ocean Energy Management, Bureau of 30, V
Reclamation, Bureau of 43, I
Safety and Environmental Enforcement, Bureau 30, II
of
Secretary of the Interior, Office of 2, XIV; 43, Subtitle A
Surface Mining Reclamation and Enforcement, 30, VII
Office of
Internal Revenue Service 26, I
International Boundary and Water Commission, 22, XI
United States and Mexico, United States
Section
International Development, United States Agency 22, II
for
Federal Acquisition Regulation 48, 7
International Development Cooperation Agency, 22, XII
United States
International Development Finance Corporation, 2, XVI; 5, XXXIII; 22, VII
U.S.
International Joint Commission, United States 22, IV
and Canada
International Organizations Employees Loyalty 5, V
Board
International Trade Administration 15, III; 19, III
International Trade Commission, United States 19, II
Interstate Commerce Commission 5, XL
Investment Security, Office of 31, VIII
James Madison Memorial Fellowship Foundation 45, XXIV
Japan-United States Friendship Commission 22, XVI
Joint Board for the Enrollment of Actuaries 20, VIII
Justice, Department of 2, XXVIII; 5, XXVIII; 28,
I, XI; 40, IV
Alcohol, Tobacco, Firearms, and Explosives, 27, II
Bureau of
Drug Enforcement Administration 21, II
Federal Acquisition Regulation 48, 28
Federal Claims Collection Standards 31, IX
Federal Prison Industries, Inc. 28, III
Foreign Claims Settlement Commission of the 45, V
United States
Immigration Review, Executive Office for 8, V
Independent Counsel, Offices of 28, VI
Prisons, Bureau of 28, V
Property Management Regulations 41, 128
Labor, Department of 2, XXIX; 5, XLII
Benefits Review Board 20, VII
Employee Benefits Security Administration 29, XXV

[[Page 939]]

Employees' Compensation Appeals Board 20, IV
Employment and Training Administration 20, V
Federal Acquisition Regulation 48, 29
Federal Contract Compliance Programs, Office 41, 60
of
Federal Procurement Regulations System 41, 50
Labor-Management Standards, Office of 29, II, IV
Mine Safety and Health Administration 30, I
Occupational Safety and Health Administration 29, XVII
Public Contracts 41, 50
Secretary of Labor, Office of 29, Subtitle A
Veterans' Employment and Training Service, 41, 61; 20, IX
Office of the Assistant Secretary for
Wage and Hour Division 29, V
Workers' Compensation Programs, Office of 20, I, VI
Labor-Management Standards, Office of 29, II, IV
Land Management, Bureau of 43, II
Legal Services Corporation 45, XVI
Libraries and Information Science, National 45, XVII
Commission on
Library of Congress 36, VII
Copyright Royalty Board 37, III
U.S. Copyright Office 37, II
Management and Budget, Office of 2, Subpart A; 5, III,
LXXVII; 14, VI; 48, 99
Marine Mammal Commission 50, V
Maritime Administration 46, II
Merit Systems Protection Board 5, II, LXIV
Micronesian Status Negotiations, Office for 32, XXVII
Military Compensation and Retirement 5, XCIX
Modernization Commission
Millennium Challenge Corporation 22, XIII
Mine Safety and Health Administration 30, I
Minority Business Development Agency 15, XIV
Miscellaneous Agencies 1, IV
Monetary Offices 31, I
Morris K. Udall Scholarship and Excellence in 36, XVI
National Environmental Policy Foundation
Museum and Library Services, Institute of 2, XXXI
National Aeronautics and Space Administration 2, XVIII; 5, LIX; 14, V
Federal Acquisition Regulation 48, 18
National Agricultural Library 7, XLI
National Agricultural Statistics Service 7, XXXVI
National and Community Service, Corporation for 2, XXII; 45, XII, XXV
National Archives and Records Administration 2, XXVI; 5, LXVI; 36, XII
Information Security Oversight Office 32, XX
National Capital Planning Commission 1, IV, VI
National Counterintelligence Center 32, XVIII
National Credit Union Administration 5, LXXXVI; 12, VII
National Crime Prevention and Privacy Compact 28, IX
Council
National Drug Control Policy, Office of 2, XXXVI; 21, III
National Endowment for the Arts 2, XXXII
National Endowment for the Humanities 2, XXXIII
National Foundation on the Arts and the 45, XI
Humanities
National Geospatial-Intelligence Agency 32, I
National Highway Traffic Safety Administration 23, II, III; 47, VI; 49, V
National Imagery and Mapping Agency 32, I
National Indian Gaming Commission 25, III
National Institute of Food and Agriculture 7, XXXIV
National Institute of Standards and Technology 15, II; 37, IV
National Intelligence, Office of Director of 5, IV; 32, XVII
National Labor Relations Board 5, LXI; 29, I
National Marine Fisheries Service 50, II, IV
National Mediation Board 5, CI; 29, X
National Oceanic and Atmospheric Administration 15, IX; 50, II, III, IV,
VI
National Park Service 36, I
National Railroad Adjustment Board 29, III
National Railroad Passenger Corporation (AMTRAK) 49, VII

[[Page 940]]

National Science Foundation 2, XXV; 5, XLIII; 45, VI
Federal Acquisition Regulation 48, 25
National Security Council 32, XXI; 47, II
National Technical Information Service 15, XI
National Telecommunications and Information 15, XXIII; 47, III, IV, V
Administration
National Transportation Safety Board 49, VIII
Natural Resource Revenue, Office of 30, XII
Natural Resources Conservation Service 7, VI
Navajo and Hopi Indian Relocation, Office of 25, IV
Navy, Department of 32, VI
Federal Acquisition Regulation 48, 52
Neighborhood Reinvestment Corporation 24, XXV
Northeast Interstate Low-Level Radioactive Waste 10, XVIII
Commission
Nuclear Regulatory Commission 2, XX; 5, XLVIII; 10, I
Federal Acquisition Regulation 48, 20
Occupational Safety and Health Administration 29, XVII
Occupational Safety and Health Review Commission 29, XX
Ocean Energy Management, Bureau of 30, V
Oklahoma City National Memorial Trust 36, XV
Operations Office 7, XXVIII
Patent and Trademark Office, United States 37, I
Payment From a Non-Federal Source for Travel 41, 304
Expenses
Payment of Expenses Connected With the Death of 41, 303
Certain Employees
Peace Corps 2, XXXVII; 22, III
Pennsylvania Avenue Development Corporation 36, IX
Pension Benefit Guaranty Corporation 29, XL
Personnel Management, Office of 5, I, IV, XXXV; 45, VIII
Federal Acquisition Regulation 48, 17
Federal Employees Group Life Insurance Federal 48, 21
Acquisition Regulation
Federal Employees Health Benefits Acquisition 48, 16
Regulation
Human Resources Management and Labor Relations 5, XCVII
Systems, Department of Homeland Security
Pipeline and Hazardous Materials Safety 49, I
Administration
Postal Regulatory Commission 5, XLVI; 39, III
Postal Service, United States 5, LX; 39, I
Postsecondary Education, Office of 34, VI
President's Commission on White House 1, IV
Fellowships
Presidential Documents 3
Presidio Trust 36, X
Prisons, Bureau of 28, V
Privacy and Civil Liberties Oversight Board 6, X
Procurement and Property Management, Office of 7, XXXII
Public and Indian Housing, Office of Assistant 24, IX
Secretary for
Public Contracts, Department of Labor 41, 50
Public Health Service 42, I
Railroad Retirement Board 20, II
Reclamation, Bureau of 43, I
Refugee Resettlement, Office of 45, IV
Relocation Allowances 41, 302
Research and Innovative Technology 49, XI
Administration
Rural Business-Cooperative Service 7, XVIII, XLII, L
Rural Housing Service 7, XVIII, XXXV, L
Rural Utilities Service 7, XVII, XVIII, XLII, L
Safety and Environmental Enforcement, Bureau of 30, II
Science and Technology Policy, Office of 32, XXIV; 47, II
Secret Service 31, IV
Securities and Exchange Commission 5, XXXIV; 17, II
Selective Service System 32, XVI
Small Business Administration 2, XXVII; 13, I
Smithsonian Institution 36, V
Social Security Administration 2, XXIII; 20, III; 48, 23
Soldiers' and Airmen's Home, United States 5, XI
Special Counsel, Office of 5, VIII

[[Page 941]]

Special Education and Rehabilitative Services, 34, III
Office of
State, Department of 2, VI; 22, I; 28, XI
Federal Acquisition Regulation 48, 6
Surface Mining Reclamation and Enforcement, 30, VII
Office of
Surface Transportation Board 49, X
Susquehanna River Basin Commission 18, VIII
Tennessee Valley Authority 5, LXIX; 18, XIII
Trade Representative, United States, Office of 15, XX
Transportation, Department of 2, XII; 5, L
Commercial Space Transportation 14, III
Emergency Management and Assistance 44, IV
Federal Acquisition Regulation 48, 12
Federal Aviation Administration 14, I
Federal Highway Administration 23, I, II
Federal Motor Carrier Safety Administration 49, III
Federal Railroad Administration 49, II
Federal Transit Administration 49, VI
Great Lakes St. Lawrence Seaway Development 33, IV
Corporation
Maritime Administration 46, II
National Highway Traffic Safety Administration 23, II, III; 47, IV; 49, V
Pipeline and Hazardous Materials Safety 49, I
Administration
Secretary of Transportation, Office of 14, II; 49, Subtitle A
Transportation Statistics Bureau 49, XI
Transportation, Office of 7, XXXIII
Transportation Security Administration 49, XII
Transportation Statistics Bureau 49, XI
Travel Allowances, Temporary Duty (TDY) 41, 301
Treasury, Department of the 2, X; 5, XXI; 12, XV; 17,
IV; 31, IX
Alcohol and Tobacco Tax and Trade Bureau 27, I
Community Development Financial Institutions 12, XVIII
Fund
Comptroller of the Currency 12, I
Customs and Border Protection 19, I
Engraving and Printing, Bureau of 31, VI
Federal Acquisition Regulation 48, 10
Federal Claims Collection Standards 31, IX
Federal Law Enforcement Training Center 31, VII
Financial Crimes Enforcement Network 31, X
Fiscal Service 31, II
Foreign Assets Control, Office of 31, V
Internal Revenue Service 26, I
Investment Security, Office of 31, VIII
Monetary Offices 31, I
Secret Service 31, IV
Secretary of the Treasury, Office of 31, Subtitle A
Truman, Harry S. Scholarship Foundation 45, XVIII
United States Agency for Global Media 22, V
United States and Canada, International Joint 22, IV
Commission
United States and Mexico, International Boundary 22, XI
and Water Commission, United States Section
U.S. Copyright Office 37, II
U.S. Office of Special Counsel 5, CII
Utah Reclamation Mitigation and Conservation 43, III
Commission
Veterans Affairs, Department of 2, VIII; 38, I
Federal Acquisition Regulation 48, 8
Veterans' Employment and Training Service, 41, 61; 20, IX
Office of the Assistant Secretary for
Vice President of the United States, Office of 32, XXVIII
Wage and Hour Division 29, V
Water Resources Council 18, VI
Workers' Compensation Programs, Office of 20, I, VI
World Agricultural Outlook Board 7, XXXVIII

[[Page 943]]

List of CFR Sections Affected

All changes in this volume of the Code of Federal Regulations (CFR) that
were made by documents published in the Federal Register since January
1, 2019 are enumerated in the following list. Entries indicate the
nature of the changes effected. Page numbers refer to Federal Register
pages. The user should consult the entries for chapters, parts and
subparts as well as sections for revisions.
For changes to this volume of the CFR prior to this listing, consult the
annual edition of the monthly List of CFR Sections Affected (LSA). The
LSA is available at www.govinfo.gov. For changes to this volume of the
CFR prior to 2001, see the ``List of CFR Sections Affected, 1949-1963,
1964-1972, 1973-1985, and 1986-2000'' published in 11 separate volumes.
The ``List of CFR Sections Affected 1986-2000'' is available at
www.govinfo.gov.

2019

45 CFR
84 FR
Page
Subtitle B
Chapter XII
1230.400 (a), (b), and (e) amended; interim........................70903
1230 Appendix A amended; interim...................................70903
Chapter XIII
1302.90 (b) compliance date delayed to 9-30-21.....................65012
Chapter XVI
1607 Authority citation revised.....................................1407
1607.2 (c) revised..................................................1407
1607.3 (c) revised..................................................1407
1611 Appendix A amended.............................................1408
Chapter XXI
2105 Revised; interim..............................................15512
2105 Revised.......................................................27722
Chapter XXV
2554.1 (b) amended; interim........................................70903

2020

45 CFR
85 FR
Page
Subtitle B
Chapter XIII
1302 Policy statement...............................................5332
1304.11 Revised; eff. 10-27-20.....................................53207
1304.11 Regulation at 85 FR 53207 eff. date delayed to 11-9-20.....65733
1304.12 Revised; eff. 10-27-20.....................................53208
1304.12 Regulation at 85 FR 53208 eff. date delayed to 11-9-20.....65733
1304.15 Revised; eff. 10-27-20.....................................53208
1304.15 Regulation at 85 FR 53208 eff. date delayed to 11-9-20.....65733
1304.17 Added; interim.............................................78792
1305.2 Amended; eff. 10-27-20......................................53209
1305.2 Regulation at 85 FR 53209 eff. date delayed to 11-9-20......65733
1324.11 Amended....................................................72911
1324.11 Correction: Regulation at 85 FR 72911 instruction amended
81781
1324.15 Amended....................................................72911
1324.19 Amended....................................................72911
1324.21 (b)(3) amended.............................................72911
1325.4 Amended.....................................................72911
1326 Heading revised...............................................72911
1326.93 Amended....................................................72911
1326.103 Amended...................................................72911
1326.112 Amended...................................................72911
1328.2 Amended.....................................................72911
1328.3 Amended.....................................................72911
1328.5 Amended.....................................................72911
1355.40 Regulation at 81 FR 90569 further delayed until 10-1-22....28410
1355.40 (a) revised................................................28424
1355.41 (c) removed................................................28424
1355.43 (b)(3) revised.............................................28424
1355.44 Revised....................................................28424

[[Page 944]]

1355.45 (b)(2) and (3)(vi) revised; (f) added......................28433
1355.46 (c)(2) amended.............................................28434
1355 Appendices A through E Regulation at 81 FR 90584 further
delayed until 10-1-22......................................28410
Chapter XVI
1610 Revised.......................................................63214
1611 Appendix A revised.............................................8191
1630.16 Revised....................................................63216
Chapter XXV
2500 Added.........................................................65240
2509 Added.........................................................44475

2021

45 CFR
86 FR
Page
Subtitle B
Chapter XII
1225 Revised.......................................................30174
1230.400 (a), (b), and (e) amended; interim........................13823
1230 Appendix A amended; interim...................................13823
Chapter XIII
1300 (Subchapter A) Added...........................................5763
1300 (Subchapter A) Regulation at 86 FR 5763 eff. date delayed to
3-22-22....................................................15404
1300 (Subchapter A) Correction: Regulation at 86 FR 5763
instruction amended........................................15408
1302.47 (b)(5)(iv) and (v) revised; (b)(5)(vi) added; interim......68101
1302.93 (a)(1) and (2) added; interim..............................68101
1302.94 (a) revised; interim.......................................68101
1304.17 Regulation at 85 FR 78792 confirmed........................55515
Chapter XVI
1611 Appendix A revised.............................................7351
1635 Revised; eff. 1-1-22..........................................27041
Chapter XXV
2522.205 Revised...................................................11146
2540 Authority citation revised....................................11146
2540.200 Revised...................................................11146
2540.201 Revised...................................................11147
2540.202 Revised...................................................11147
2540.203 Revised...................................................11147
2540.204 Revised...................................................11147
2540.205 Revised...................................................11147
2540.206 Revised...................................................11147
2540.207 Revised...................................................11148
2554.1 (b) amended; interim........................................13823

2022

45 CFR
87 FR
Page
Subtitle B
Chapter XII
1230.400 (a), (b), and (e) amended..................................2729
1230 Appendix A amended.............................................2729
Chapter XIII
1300 Regulation at 86 FR 5763 eff. date further delayed to 9-22-22
12399
1300 Regulation at 86 FR 5764 withdrawn............................32246
1330.23 (b) revised................................................50003
1330.24 (c)(5) and (d)(4) added; (n) revised.......................50003
1356.60 Correction: (a) revised....................................42339
Chapter XVI
1611 Appendix A revised.............................................4818
Chapter XXV
2502 Added.........................................................54628
2507 Revised; eff. 10-11-22........................................55309
2507.14 Correction: Second (f) redesignated as (g); eff. 10-11-22
57643
2554.1 (b) amended..................................................2729

2023

45 CFR
88 FR
Page
Subtitle B
Chapter XII
1230.400 Amended....................................................3930
1230 Appendix A amended.............................................3930
Chapter XIII
1302.47 (b)(5)(iv) and (v) amended; (b)(5)(vi) removed; (b)(9)
added.......................................................1008
1302.93 (a)(1) and (2) removed.....................................41334
1302.94 (a)(1) and (2) removed.....................................41334
1336.50 (b)(2) and (3) revised.....................................12226
1355.20 (a) amended; eff. 11-27-23.................................66708
1356.21 (m)(1) and (2) revised; (m)(3) added; eff. 11-27-23........66708
Chapter XVI
Chapter XVI Notification...........................................32140
1611 Appendix A revised.............................................7010
Chapter XXV
2525 Revised.......................................................44727

[[Page 945]]

2526 Removed.......................................................44735
2527 Removed.......................................................44735
2528 Removed.......................................................44735
2529 Removed.......................................................44735
2530 Removed.......................................................44735
2554.1 (b) amended..................................................3930
2556 Revised.......................................................31180

2024

(Regulations published from January 1, 2024, through October 1, 2024)

45 CFR
89 FR
Page
Subtitle B
Chapter XII
1230.400 Amended....................................................5436
1230 Appendix A amended.............................................5436
Chapter XIII
1301.1 Revised.....................................................67805
1301.3 (a) revised; (b)(2) amended.................................67805
1301.4 (b)(3) revised..............................................67806
1302.1 Revised.....................................................67806
1302.10 Amended....................................................67806
1302.11 (b) revised................................................67806
1302.12 (b)(1), (2) introductory text, (i), (e), (f), (j)(3), (4),
and (l) revised; (i)(1)(i) through (iii) redesignated as
new (i)(1)(iii) through (v); new (i)(1)(i), new (ii), and
(j)(5) added...............................................67807
1302.13 Revised....................................................67807
1302.14 (a) and (b)(1) revised; (d) added..........................67807
1302.15 (b)(2) revised; (g) added..................................67808
1302.16 (a)(2)(iii) and (iv) amended; (a)(2)(v) added..............67808
1302.17 (a)(2), (4), and (b)(2) introductory text revised..........67808
1302.20 (a), (c)(1), (2), (3)(i), (iii), (4), and (d) revised;
(c)(3) nomenclature change.................................67808
1302.21 (c) revised................................................67809
1302.22 (a), (c)(2) heading, and introductory text revised.........67809
1302.23 (b) revised................................................67809
1302.24 (c)(1), (3), and (5) revised; (d) removed..................67810
1302.34 (b)(7) and (8) amended; (b)(9) added.......................67810
1302.40 (b) revised................................................67810
1302.41 Revised....................................................67810
1302.42 (b)(1)(i) and (4) revised; (e)(2) amended..................67810
1302.44 (b) revised................................................67810
1302.45 Revised....................................................67810
1302.46 (b)(1)(iii), (iv), and (2) revised.........................67811
1302.47 (b)(5) introductory text, (i), (iii), and (v) revised;
(b)(10) added..............................................67811
1302.40--1302.47 (Subpart D) Heading revised.......................67810
1302.50 (a) revised................................................67811
1302.52 (c)(2) and (3) revised; (c)(4) removed; (d) redesignated
as (e); new (d) added......................................67811
1302.53 (b)(1) and (2) revised.....................................67812
1302.61 (c)(1)(v) and (2)(ii) revised..............................67812
1302.70 (b)(1), (2), and (d) revised...............................67812
1302.71 Heading revised............................................67812
1302.72 (a) and (c) revised........................................67812
1302.80 (d) revised; (e) and (f) added.............................67812
1302.81 Revised....................................................67813
1302.82 (a) revised................................................67813
1302.90 (c)(1) revised; (e) and (f) added..........................67813
1302.91 (b), (e)(2), (3), and (8)(ii) revised......................67814
1302.92 (b) revised................................................67815
1302.93 (c) and (d) added..........................................67815
1302.94 (a) revised................................................67815
1302.101 (a)(2) revised; (a)(3) and (4) amended; (a)(5) added......67815
1302.102 Heading and (d)(1)(ii) revised; (d)(1)(iii) added.........67815
1302.103 Removed...................................................67816
1303 Nomenclature change...........................................67816
1303.30 Heading revised............................................67816
1303.42 Revised....................................................67816
1303.43 Revised....................................................67816
1303.44 (a)(3), (7), and (14) revised..............................67816
1303.45 (a)(2)(iii) revised........................................67816
1303.48 Heading revised............................................67816
1303.70 (c)(1) introductory text revised...........................67816
1303.75 (a) revised................................................67817
1304 Nomenclature change...........................................67817
1304.5 (c) heading amended.........................................67817
1304.10 Revised....................................................67817
1304.11 Introductory text, (d), and (e) revised; (b)(2)(i) amended
67817
1304.12 Heading revised............................................67817
1304.13 Revised....................................................67817
1304.14 Revised....................................................67817
1304.15 Revised....................................................67818

[[Page 946]]

1304.20 (Subpart C) Heading revised................................67818
1304.20 (a) revised................................................67818
1304.30--1304.32 (Subpart D) Heading revised.......................67818
1305.2 Amended.....................................................67818
1321 Revised.......................................................11656
1322 Revised.......................................................11681
1323 Removed.......................................................11688
1324 Revised.......................................................11688
1324 Authority citation revised....................................39528
1324.400--1324.408 (Subpart D) Added...............................39528
1355.22 Added......................................................34859
1355.34 (c)(2)(i) revised..........................................34861
1356.60 (c)(2)(viii) through (x) revised; (c)(2)(xi) and (4) added
40417
Chapter XVI
1607.3 (b) through (e) revised; eff. 1-1-25........................65551
1611 Appendix A revised.......................................4563, 7294
1638 Authority citation revised....................................25816
1638.2 Revised.....................................................25816
1638.3 Revised.....................................................25816
1638.4 Revised.....................................................25816
Chapter XXV
2500 Revised........................................................6433
2520 Nomenclature change...........................................46033
2520 Correction: Instruction 3 revised.............................66614
2520.5 Amended.....................................................46033
2520.50 Amended....................................................46033
2521 Nomenclature change...........................................46033
2521 Correction: Instruction 7 revised.............................66615
2521.5 Amended.....................................................46033
2521.45 Revised....................................................46033
2521.45 Correction: Instruction 8 revised..........................66615
2521.60 Introductory text, (a), and (b) revised....................46033
2521.70 Revised....................................................46034
2522 Nomenclature change...........................................46034
2522 Correction: Instruction 13 revised............................66615
2522.10 Amended....................................................46034
2522.220 (b) and (f) amended.......................................46034
2522.235 Revised...................................................46034
2522.240 (a) and (b)(6) revised....................................46034
2551 Nomenclature change...........................................70542
2551.12 Revised....................................................70541
2551.23 (i)(2) through (5) redesignated as (i)(3) through (6); new
(i)(2) added...............................................70541
2551.25 (h) revised................................................70541
2551.34 (Subpart C) Heading revised................................70541
2551.43 (b) revised................................................70541
2551.44 (a)(3) revised.............................................70542
2551.46 (a) revised................................................70542
2551.91 Amended....................................................70542
2551.92 (e) revised................................................70542
2551.111--2551.114 (Subpart K) Heading revised.....................70542
2551.114 Amended...................................................70542
2551.121 (c)(1) revised............................................70542
2552 Nomenclature change...........................................70544
2552.12 Revised....................................................70542
2552.23 (i)(2) through (5) redesignated as (i)(3) through (6); new
(i)(2) added...............................................70543
2552.25 (h) revised................................................70543
2552.34 (Subpart C) Heading revised................................70543
2552.43 (b) revised................................................70543
2552.44 (a)(3) revised.............................................70543
2552.46 (a) revised................................................70543
2552.92 (e) revised................................................70543
2552.111--2552.114 (Subpart K) Heading revised.....................70544
2552.121 (c)(1) revised............................................70544
2553 Nomenclature change...........................................70545
2553.12 Revised....................................................70544
2553.25 (h) revised................................................70544
2553.43 (b)(2) introductory text amended...........................70544
2553.71 (b) heading amended........................................70545
2553.72 (a) heading, (1), and (c) revised..........................70545
2553.81--2553.84 (Subpart H) Heading revised.......................70545
2553.91 (c)(1) revised.............................................70545
2554.1 (b) amended..................................................5436

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