[Federal Register: September 17, 2008 (Volume 73, Number 181)]
[Rules and Regulations]
[Page 53752-53762]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr17se08-16]
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CORPORATION FOR NATIONAL AND COMMUNITY SERVICE
45 CFR Parts 2510, 2513, 2516, 2517, 2520, 2521, 2522, 2523, 2524,
2540, 2541, and 2550
RIN 3045-AA23
AmeriCorps National Service Program
AGENCY: Corporation for National and Community Service.
ACTION: Final rule.
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SUMMARY: The Corporation for National and Community Service (``the
Corporation'') is issuing several amendments to existing provisions
relating to the AmeriCorps national service program and adding rules to
clarify the Corporation's prohibition on making false or misleading
statements and requirements for participant evaluations, living
allowance disbursements, multiple applications for the same project,
use of national service insignia, and other requirements.
DATES: This final rule is effective November 17, 2008.
FOR FURTHER INFORMATION CONTACT: Amy Borgstrom, Docket Manager,
Corporation for National and Community Service, (202) 606-6930, TDD
(202) 606-3472. Persons with visual impairments may request this rule
in an alternate format.
SUPPLEMENTARY INFORMATION:
List of Topics
I. Background
II. Public Comments
III. Specifics of Final Rule and Analysis of Comments
A. Definition of Participant
B. Prohibited Activities: Voter Registration
C. Participant Evaluations and Eligibility To Serve a Second
Term of Service
D. Living Allowance Disbursements
E. Waiver of Living Allowance by a Participant
F. Applications for the Same Project
G. Performance Measures
H. Civil Rights
I. Use of National Service Insignia
J. Disqualification and Forfeiture Based on False or Misleading
Statements
K. Inspector General Access to Grantee Records
L. State Commission Composition Requirements
M. State Plans
IV. Summary of Redesignations
V. Effective Dates
VI. Rulemaking Analyses and Notices
I. Background
Under the National and Community Service Act of 1990 (``NCSA'' or
``the Act''), the Corporation makes grants to support national and
community service through the AmeriCorps program. In addition, the
Corporation, through the National Service Trust, provides educational
awards to, and certain interest payments on behalf of, AmeriCorps
participants who successfully complete a term of service in an approved
national service position.
On May 20, 2003, the Corporation's Board of Directors (``the
Board'') approved a report issued by the Board's Grant-making Task
Force in which the Task Force recommended that the Corporation
undertake efforts to streamline and improve our current grant-making
processes. Among other actions, the Task Force recommended that the
Corporation update the grant-making review and selection criteria,
simplify the application process, evaluate the Corporation's grant
requirements and assess whether requirements should and could be
changed, and eliminate or streamline annual guidance.
On February 27, 2004, President Bush issued Executive Order 13331
aimed at making the national and community service program better able
to engage Americans in volunteering, more responsive to State and local
needs, more accountable and effective, and more accessible to community
organizations, including faith-based organizations. The Executive Order
directed the Corporation to review and modify its policies as necessary
to accomplish these goals.
This rulemaking is the second of two, originally initiated in 2004.
The first rulemaking focused on sustainability and the limitation on
the Federal share of program costs. The first rulemaking was completed
in July, 2005, and became effective September, 2005. This rulemaking is
intended chiefly to clarify several changes made in the first
rulemaking, streamline and improve our current grant-making processes,
strengthen accountability, and otherwise improve upon the operations of
the AmeriCorps State and National program.
II. Public Comments
The Corporation published a proposed rule in the Federal Register
of November 19, 2007 (72 FR 64970) with a 60-day comment period. In
addition to accepting comments in writing, the Corporation held two
conference calls. During the public comment period, the Corporation
received 3 written comments and 5 oral comments from grantees, the
Corporation's Inspector General, and other interested parties.
The comments expressed views on the merits of particular sections
of the proposed regulations, as well as some broader policy statements
and issues. Acknowledging that there are strong views on, and competing
legitimate public policy interests relating to, the issues in this
rulemaking, the Corporation has carefully considered all of the
comments on the proposed regulations.
The Corporation has summarized below the major comments received on
the proposed regulatory changes, and has described the changes we made
in the final regulatory text in response to the comments received. In
addition to the more substantive comments below,
[[Page 53753]]
the Corporation received some editorial suggestions, some of which we
have adopted. The Corporation has also made minor editorial changes to
better organize the regulatory text. Finally, the Corporation received
some comments on issues outside the scope of the proposed rule which
the Corporation does not address in the discussion that follows.
III. Specifics of the Final Rule and Analysis of Comments
As discussed in more detail below, the final rule:
Amends the definition of the term participant to
acknowledge the frequently-used term member as synonymous;
Adds voter registration to the list of prohibited
activities for AmeriCorps members and staff while attributing time to
the AmeriCorps program;
Removes the requirement that grantees conduct mid-term
evaluations on AmeriCorps members who leave service early;
Changes the requirements surrounding end-of-term
evaluations to clarify that completion of service hours is not
necessarily required in order for a member's service to be considered
satisfactory;
Clarifies that a release ``for cause'' is not a per se
disqualification for serving a second term of service;
Specifies the manner in which grantees must disburse
living allowances to members;
Clarifies a member's ability to waive the living
allowance;
Codifies the circumstances under which a program may
submit more than one application to the Corporation for the same
project;
Removes the requirement that grantees individually report
on end-outcomes;
Codifies the Civil Rights notice requirements for
grantees;
Specifies penalties for using the Corporation's national
service insignia without the Corporation's authorization;
Specifies the consequences for making a false or
misleading statement to the Corporation;
Reinforces the Inspector General's access to grantee
records;
Amends the State Commission composition requirements to
conform them to statutory requirements; and
Consolidates the requirements for State Plans.
A. Definition of ``Participant'' (Sec. 2510.20)
This rule amends the definition of the term participant to
acknowledge the frequently-used term member as synonymous.
B. Prohibited Activities: Voter Registration (Sec. 2520.65)
In 1994, the Corporation issued regulations in part 2520 regarding
prohibited activities for AmeriCorps members. In 2002, the Corporation
strengthened the list of prohibited activities by adding items from
sub-regulatory grant provisions. At that time, the Corporation
inadvertently omitted the sub-regulatory prohibition on AmeriCorps
members engaging in voter registration in rulemaking. This rule adds
this longstanding prohibition to our regulations.
C. Participant Evaluations and Eligibility To Serve a Second Term of
Service (Sec. 2522.220)
Mid-term Evaluations
Our regulations formerly required programs to conduct end-of-term
and mid-term evaluations on AmeriCorps participants. Due to the fact
that participants occasionally leave service early, either for cause or
for compelling personal circumstances, the Corporation has determined
that it is not always practicable or possible for a program to perform
an official review of a participant's performance in the middle of the
term. This rule removes the requirement that programs conduct mid-term
evaluations for those participants who leave AmeriCorps service early.
Please note that end-of-term evaluations are required for all
participants, regardless of whether they leave early or on time.
One commenter asked for clarification on the timing of and reason
for leaving early that would result in a program not being required to
conduct a mid-term evaluation. Essentially, programs are not required
to conduct a mid-term evaluation if the member leaves before the mid-
term evaluation would have otherwise reasonably occurred. The reason
for the member's departure is not relevant.
Another commenter asked, in a situation in which a member transfers
from one program to another, whether the second program is obligated to
obtain the mid-term evaluation from the first program, if there was
one. The Corporation will address this question in sub-regulatory
guidance.
The Corporation also wishes to clarify its intent with regard to
the documentation of mid-term evaluations. We require programs to
engage in mid-term evaluations, but have not provided guidance as to
the structure or content of these reviews. We expect programs to tailor
mid-term evaluations to fit the particular needs of the individual
program. Likewise, while we require that a program document that a mid-
term evaluation occurred, there is no specific required format for this
documentation. Rather, the grantee should maintain documentation for
each member that it has determined to be helpful to the program in
conducting the end-of-term evaluation, whether that be a rating system,
a narrative, notes from the mid-term evaluation interview, or other
documentation.
End-of-Term Evaluations and Eligibility To Serve a Second Term of
Service
The Corporation's regulations require grantees to conduct an end-
of-term evaluation for each AmeriCorps participant. The purpose of this
evaluation is to answer two questions: (1) Whether the participant is
eligible to receive an education award; and (2) Whether the participant
is eligible to serve a subsequent term of service.
To answer the first question, we look to Section 146(a) of the Act,
which states that a participant is eligible to receive an education
award only if the participant ``successfully completes the required
term of service'' and Section 147(c), which states that a participant
released for compelling personal circumstances is eligible to receive
``that portion of an education award * * * that corresponds to the
quantity of the term of service actually completed.''
The second question is governed by Section 138(c) of the Act, which
states that a participant is only eligible to serve a subsequent term
of service if the participant ``performed satisfactorily in [the] first
term of service.'' Section 138(f) of the Act directs the Corporation to
``issue regulations regarding the manner and criteria by which the
service of a participant shall be evaluated to determine whether the
service is satisfactory and successful for purposes of eligibility for
a second term of service.''
Pursuant to this section, the Corporation previously issued
regulations stating that, in determining whether a participant's
performance was satisfactory, the program must assess, among other
things, whether the participant satisfactorily completed assignments,
tasks, or projects and whether the participant completed the required
number of hours for the term of service. (45 CFR 2522.220(d)).
The Corporation did not intend to suggest that completion of
service hours is a prerequisite for a determination that a participant
served satisfactorily. On the contrary, an individual released for
cause may, under some circumstances, be considered to have served
satisfactorily and thereby be eligible to serve a subsequent term. As
we stated
[[Page 53754]]
in the preamble to the proposed rule in 1999, ``a release for cause may
cover a wide variety of circumstances and does not necessarily mean
that a participant has engaged in wrongdoing or misconduct.'' (64 FR
17302). Furthermore, as provided in our long-standing AmeriCorps grant
provisions, ``a member who is released for cause from a first term for
personal reasons * * * but who, otherwise, was performing well up until
the time [the member] decided to leave, would not be disqualified for a
second term so long as [the member] received a satisfactory performance
evaluation for the period * * * served.'' (2007 AmeriCorps Grant
Provisions, IV.G.1).
The final rule amends the Corporation's regulations to clarify that
those participants who are released for cause but who nonetheless
receive a satisfactory performance review may be eligible to serve a
second term of service in AmeriCorps. To make this clear, this rule
makes three significant changes. First, it separates the end-of-term
evaluation into two parts: (1) A determination of whether the
participant is eligible to receive an education award; and (2) a
participant performance and conduct review to determine whether the
participant is eligible to serve a subsequent term. Second, it changes
the regulatory language relating to the participant performance and
conduct review to be inclusive of participants who are released from
service early. Lastly, it makes clear that a release for cause is not a
per se disqualification from serving a second term of service.
Regarding the eligibility of a participant released for cause to serve
a second term, it modifies the language relating to the participant
performance and conduct review to ensure that programs are able to
consider the participant's conduct in assessing whether the service was
satisfactory.
The partition of the end-of-term evaluation will enable a program
to consider a member's eligibility to serve a second term separately
from a member's eligibility to receive an education award. An
individual who serves satisfactorily may be eligible for a second term,
regardless of whether the individual earned an education award. For
example, an AmeriCorps member who decides to leave early to take
advantage of a unique scholarship opportunity would not be eligible to
receive an education award, but may be eligible to serve a second term
of service if the member served satisfactorily prior to leaving early.
Contrarily, an AmeriCorps member who did not serve satisfactorily and
who exited early for the same reason would not earn an education award
and would also be ineligible to serve a second term of service.
It is not necessary to successfully complete a term of service for
a member's service to be considered satisfactory. However, a
determination that a member is eligible to receive an education award
based on successful completion of the agreed upon term of service
necessarily encompasses a determination that the member served all the
required hours, performed satisfactorily, and fulfilled all other
requirements set by the program. The table below illustrates this rule
in a simplified form:
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Eligible for an education
And... award? Eligible for a second term?
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If a member performs Completes service Yes.......................... Yes.
satisfactorily. hours.
Does not complete No........................... Yes.
service hours.
If a member does not perform Completes service No........................... No.
satisfactorily. hours.
Does not complete No........................... No.
service hours.
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The final rule modifies the language of the participant performance
and conduct review to ensure it incorporates those participants who are
released early. In the proposed rule, we proposed a requirement for
programs to assess whether a participant satisfactorily completed
assignments, tasks, or projects, or, for those participants released
from service early, whether the participant completed those
assignments, tasks, or projects that the participant could reasonably
have completed in the time the participant served. (72 FR 64970,
November 19, 2007).
One commenter noted that the use of the word ``completed'' in the
proposed rule may have unintended negative consequences as an
individual who left early may not have been able to complete anything
in the time served. The Corporation agrees that the phrase ``reasonably
could have completed'' is not consistent with our intent. Thus, in the
final rule, the performance and conduct review will assess, in addition
to any criteria developed by the program, whether the participant 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 the participant could reasonably have addressed in the time
the participant served.''
The rule also changes the language so that the evaluation of the
participant will henceforth occur ``at the end'' of the term of
service, as opposed to ``upon completion'' of the term. By changing the
language from ``completion'' to ``end,'' the Corporation intends that
programs should evaluate all members, even those who do not technically
complete the originally agreed-upon number of service hours.
During the public comment period, we received several comments on
the eligibility of participants released for cause to serve second
terms of service. One commenter expressed concern that the proposed
rule would broaden the eligibility for a second term of service. In
particular, the commenter noted that individuals who are released for
misconduct, conviction of a felony, or for the sale or distribution of
a controlled substance, may be eligible to serve a second term of
service. The Corporation does not agree that the rule broadens
eligibility for a second term. This rule codifies a practice supported
by existing law; there is nothing in our current regulations or
authorizing legislation to prohibit an individual who is released for
cause but who serves satisfactorily in the first term of service from
serving a subsequent term of service.
However, the Corporation does agree that a member's good conduct is
a component of satisfactory service. As stated in Section 177(e) of the
Act, AmeriCorps programs must ``establish and stringently enforce
standards of conduct at the program site to promote proper moral and
disciplinary conditions.'' Our proposed rule required programs to
examine whether the participant ``has met any other performance
criteria'' communicated by the program. To ensure that programs do not
misinterpret this language to mean that the participant's performance
of duties is the only factor to consider in determining whether service
was satisfactory, the Corporation has
[[Page 53755]]
changed the rule from the proposed version by removing the word
``performance'' to clarify our intent that programs assess whether the
participant has met any criteria--including performance criteria and
standards of conduct--established and communicated by the program. In
addition, we have changed the name of the review to a participant
performance and conduct review.
For example, consider a program whose criteria include standards of
conduct prohibiting members from engaging in any activity that may
physically injure other members of the program and which require
immediate release for cause for any member that violates this
particular prohibition. Under the final rule, the program would give a
member who violated this provision an unsatisfactory performance and
conduct review upon release regardless of how impressive the member's
service was up to that point.
One commenter suggested that the Corporation hold ineligible for
subsequent service those members who were found to have engaged in
misconduct, or who have had a detrimental effect on others, and to
establish this standard through regulation. This commenter recommended
that the Corporation develop a list such as that provided in the sample
rules of conduct set out in the sample member contract distributed by
the Corporation.
As stated above, programs are required, by statute, to establish
and enforce standards of conduct. Because member selection and release
are the responsibilities of the grantee, and not the Corporation, we
generally defer to the individual programs to establish these
standards. The only offenses that the Corporation has mandated will
render an individual ineligible to serve a term of service in
AmeriCorps at this time are those that result in the individual being
subject to a State sex offender registration requirement. As stated in
the Corporation's final rule on criminal background checks, the
Corporation intends to consider, at a later date, adding other
disqualifying factors, including specific offenses. (72 FR 48574,
August 24, 2007).
Notably, individuals who were released for cause from the first
term of service are required under our regulations to disclose this
fact on any subsequent application for service with an AmeriCorps
program. (45 CFR 2522.230(b)(2)). Consequently, the Corporation
anticipates that programs will consider the facts surrounding the prior
release when determining whether to select the individual for service.
One commenter stated that the proposed rule should provide that a
release for cause from a term of service counts as one of the two terms
of service that may be subsidized with federal funds. We agree that our
regulations need to clarify this point. Our regulations state that an
AmeriCorps participant may only receive an education award, a living
allowance, health care, and child care benefits supported with federal
funds for the first two successfully-completed terms of service. (45
CFR 2522.220(b)). Clearly, a term in which a member exits for cause is
not a successfully completed term. Section 140(h) of the Act limits the
number of terms of service which can be supported with federal funds to
two, but does not require that those terms be successfully completed.
The final rule amends section 2522.220(b) by removing the words
``successfully completed.'' In addition, the final rule adds language
to clarify that a release for cause counts as one of the two terms of
service for which an individual may receive benefits supported with
federal funds.
In making this change, the final rule also adds language to clarify
that if a participant is released for cause for reasons other than
misconduct prior to completing fifteen percent of a term of service,
the term will not be considered one of the two terms of service for
which an individual may receive benefits supported with federal funds.
One commenter expressed concern that our proposed section
2522.230(b)(6), which states that a release for cause is not a per se
disqualification from serving a second term of service, would allow an
individual to serially start programs and leave for cause prior to
completing 15% of the term of service. The rule that a release for
misconduct prior to serving 15% of a term counts as one of the two
terms of service will prevent any person who is released for misconduct
from serially starting and exiting programs. While there is no
prohibition on an individual making repeated efforts to serve in
AmeriCorps and leaving prior to serving 15% so long as the cause for
exiting the program is not misconduct, the My AmeriCorps portal will
enable programs to see each program with which an applicant has served,
regardless of the length of the service. Thus, programs will be able to
identify an individual who habitually enters and leaves AmeriCorps
service prior to serving 15% of the term, and take that fact into
account in making their selection decisions.
One commenter recommended that the Corporation establish a third
category for release in addition to releases for cause or for
compelling personal circumstances because a release for cause seems to
indicate a release for disciplinary reasons. The Corporation cannot
create a third or additional category of release, as section 139(c) of
the Act identifies only two types of release: for cause and for
compelling personal circumstances. However, as discussed above,
participants who are released because they engaged in misconduct should
be treated differently than participants who are released for a cause
the program feels is reasonable (such as, for example, taking advantage
of a limited time scholarship opportunity); as a release for cause
covers both of these types of situations, the final rule requires
programs to consider the circumstances surrounding an individual's
release in determining whether a participant served satisfactorily.
One commenter suggested that the Corporation's premise that the
statute limits the ability of a participant to leave service either for
cause or for compelling personal circumstances is erroneous because a
participant may resign. The same commenter noted that a release ``for
cause'' should be for reasons that are sufficient to warrant removal.
While this interpretation of ``for cause'' is accurate in other legal
contexts, it is used in our authorizing statute as one of two possible
characterizations of a release for determining whether a participant
may receive an education award. While participants may resign from
service, each resignation must be characterized as a release for cause
or for compelling personal circumstances in order to determine whether
the participant will receive a portion of the education award. As
stated above, a release ``for cause'' covers all circumstances that do
not meet the definition of ``compelling personal circumstances,''
including some circumstances that would not necessarily warrant removal
in another legal context.
D. Living Allowance Disbursement (Sec. 2522.245)
The Corporation is in the process of revising the AmeriCorps grant
provisions and moving requirements with program-wide applicability to
regulation. This final rule codifies the requirements previously
articulated in the sub-regulatory grant provisions on how living
allowances are to be treated and disbursed. There is no new requirement
for how the living allowances must be disbursed; only the location of
the requirement has changed.
[[Page 53756]]
The intent of this regulation is to ensure that the living
allowance is distributed in a manner that fulfills its purpose.
AmeriCorps participants are not employees of the programs with which
they serve and the living allowance is not considered to be an hourly
wage. Rather, the living allowance is intended to be a means to support
participants' basic costs of living to ensure that they are able to
secure food, clothing, and shelter while performing national service.
For this reason, it is important that programs not treat the living
allowance as a wage, and not adjust the distribution of the living
allowance based on the number of hours a participant serves during a
given period of time. For example, a participant who serves for 50
hours one week and 25 the next should receive the same living
allowances as if the participant had served 50 hours (or 25 hours) in
both weeks. Generally, the living allowance must not increase or
decrease but should remain steady just as a participant's living
expenses are continuous. However, because the living allowance is
intended to support a participant's costs of living, if the cost of
food, housing, transportation, or other necessities in a particular
area increases, the program may adjust the living allowance accordingly
within the overall approved grant amount.
Just as the amount of the living allowance should not fluctuate,
the frequency of distribution of the living allowance should be steady
and reliable. Programs must provide living allowances at regular
intervals, such as weekly or bi-weekly, so that a participant can have
regular access to financial support.
The final rule also codifies the existing policy prohibiting the
payment of a ``lump sums'' to a participant who completes the term of
service in a shorter period of time than originally anticipated. If a
participant starts service later than other participants, the program
may not pay the participant an additional sum to ``make up'' payments
missed before the participant began. Likewise, if a participant
completes the term of service ahead of schedule, the program may not
pay the participant a lump sum equivalent to what the participant would
have received.
E. Waiver of Living Allowance by a Participant (Sec. 2522.240(b)(5))
The Corporation's grant provisions have long provided that an
AmeriCorps participant may waive all or part of the living allowance.
The final rule adds this provision to regulation. A participant who
waives the living allowance may revoke the waiver at any time and may
begin receiving a living allowance again prospective from the date the
waiver is revoked. The participant may not receive any part of the
living allowance attributable to the time period during which the
living allowance was waived.
F. Applications for the Same Project (Sec. 2522.320)
Section 130(g) of the Act states that ``the Corporation shall
reject an application submitted under this section if a project
proposed to be conducted using assistance requested by the applicant is
already described in another application pending before the
Corporation.''
Under the proposed rule, an organization submitting more than one
application for the same project must disclose that fact in each
application. If the Corporation approves one application for a project,
the organization will be deemed to have withdrawn any other application
for the same project. In addition, the proposed rule included
characteristics that the Corporation will assess in determining whether
two projects are the same for purposes of section 130(g).
One commenter expressed concern that the proposed rule would result
in further concentration of funding to programs operated by National
Direct grantees in large cities, thereby disadvantaging single-state,
small non-profits, rural, and faith-based organizations. The
Corporation does not agree that the rule will disadvantage single-state
and local applicants. Such organizations are free to engage with State
Commissions and National Direct grantees in developing programmatic
collaborations. Moreover, States have the authority to choose not to
put forward programs that could otherwise be funded through the
National Direct competition, and the Corporation respects programmatic
prerogatives of States.
The same commenter asserted that the proposed rule contradicts
Section 130(g) of the Act. In particular, the commenter suggested that
there is a contradiction between the language of section 130(g) and the
proposed language describing the multiple applications as ``pending
before the Corporation.'' We construe ``pending'' to mean the period of
time between selection by the Corporation and execution of a grant
award. To avoid confusion on this point, we have revised the language
in the final rule to focus on the conditions placed on submission of an
application.
To clarify the definition of ``same project,'' the final rule lists
the characteristics the Corporation considers in determining whether
two projects are the same. The Corporation will consider two projects
to be the same for the purposes of Corporation funding if the
Corporation cannot find a meaningful difference between the two
projects based on a comparison of identifying characteristics. The
Corporation may determine that two or more projects are sufficiently
different based upon clear distinctions in one or more of the criteria
considered. Notably, the characteristics listed in regulation are not
exhaustive, as the Corporation may consider additional factors in
determining a project's specific, identifiable activities.
For the purpose of determining whether two applications describe
the same project, geographic location will be identified as narrowly as
possible in order to specify the population served. For example, the
operation of a homeless shelter in Brooklyn might--depending on the
proposed activities and identifying characteristics--be considered a
different project than the operation of a homeless shelter in the
Bronx.
The proposed rule stated the Corporation would ``consider, among
other characteristics: (a) The objectives and priorities of the
project; (b) the nature of the service provided; (c) the program staff,
volunteers, and participants involved; (d) the geographic location in
which the service is provided; (e) the population served; and (f) the
proposed community partnerships.''
One commenter noted that the language of the proposed rule was
unclear, as it did not specify what the Corporation would do with the
information considered. The Corporation agrees that the language was
not specific, and has clarified the language in the final rule. The
final rule reflects the Corporation's intent to compare identifying
characteristics of the two projects to determine whether they are the
same for the purposes of Corporation funding.
G. Performance Measures (Sec. 2522.620)
CNCS will continue to require each grantee to submit measures of
outputs, intermediate outcomes, and end outcomes, all of which capture
the results of its program's primary activity, in the application for
funding. It will also continue to require grantees to report on outputs
at the end of year one and outputs and intermediate outcomes at the end
of years two and three.
Previously, CNCS also required grantees to report on end outcomes
at the end of year three. Because end outcomes do not always become
evident
[[Page 53757]]
until more than three years after the initial intervention, the final
rule eliminates the requirement to report separately on end outcomes.
The Corporation believes that there is significant value in having a
grantee articulate an end outcome for at least one performance measure;
end outcomes provide long-term context for the grantee's work.
Additionally, the inclusion of end outcomes results in recompleting
applications informs the competitive grant process.
H. Civil Rights (Sec. Sec. 2540.210 and 2540.215)
The Corporation requires all recipients of Corporation grants to
abide by applicable federal non-discrimination laws, including relevant
provisions of the national service legislation, implementing
regulations, and Corporation-distributed policies. It is essential that
all participants, staff, and beneficiaries of programs supported by
Corporation grants are aware of their rights under these laws and of
the availability of the Corporation's impartial discrimination
complaint process.
Previously, the Corporation's civil rights notification
requirements were included in the annual grant provisions. The final
rule has relocated these requirements to regulation. There is no change
in the requirements, only in the location of the requirements.
The final rule requires grantees to notify participants, staff, and
beneficiaries of the civil rights requirements and available complaint
procedures by including this information in materials commonly
distributed to members and potential members, including recruitment
materials, member contracts, handbooks, manuals, pamphlets, and also by
posting it in conspicuous locations, as appropriate. Grantees should
ensure that this information is accessible to those participants,
staff, and beneficiaries who have limited English proficiency, or who
are hearing or visually impaired, by providing it in alternative
formats when necessary.
Grantees may obtain sample notification language and other guidance
on notification, the Corporation's discrimination complaint procedure,
and other general information on prohibited discrimination by
contacting the Corporation's Office of Civil Rights and Inclusiveness
by mail at Office of Civil Rights and Inclusiveness, Corporation for
National and Community Service, 1201 New York Ave., NW., Washington, DC
20525, by e-mail at eo@cns.gov, or by calling (202) 606-7503 or (202)
606-3472 (TTY).
I. Use of National Service Insignia (Sec. Sec. 2540.500-560)
Currently, grant recipients and other entities engaged in providing
national and community services in cooperation with the Corporation are
approved to use the national service insignia in accordance with the
terms and conditions of their agreements with the Corporation. The
Corporation anticipates continuing to administer approvals to use the
national service insignia in this manner.
From time to time, however, the Corporation's insignia, including
the AmeriCorps logo and other logos associated with the Corporation's
programs, have been used without authorization, including by
individuals and entities having no relationship with the Corporation.
In some cases, the unauthorized use was for commercial purposes that
would not have been approved by the Corporation. To better protect the
image and integrity of the Corporation's programs, ensure compliance
with government-wide rules against improper endorsement of non-Federal
entities, and protect the public from possible deception, the final
rule adds a new subpart E to part 2540 of Title 45 of the Code of
Federal Regulations. The rule provides notice regarding the
restrictions on using the Corporation's various insignia and the
possible civil and criminal penalties that may incur for unauthorized
use of the insignia. Depending upon the nature of the violation, under
section 425 of the Domestic Volunteer Service Act of 1973 and 18 U.S.C.
506, 701, and 1017, enforcement of the restriction could result in an
injunction on the unauthorized use, a monetary fine, or imprisonment.
J. Disqualification and Forfeiture Based on False or Misleading
Statements (Sec. Sec. 2540.600-670)
The final rule adds a new subpart F to part 2540 to address
individuals who are admitted to a program or who receive program
benefits on the basis of false or misleading statements. Occasionally,
a member or volunteer in a Corporation-funded program is discovered to
have been admitted to the program or accorded a benefit from the
program on the basis of false or misleading statements. The final rule
provides a means for the Corporation to revoke the eligibility of a
person for participation in or a benefit from a national service
program if the person was admitted to a program or seeks a benefit from
a program on the basis of a false or misleading statement.
In most cases the criteria for qualification to participate in a
program or eligibility for a program benefit are set out in the NCSA or
the Domestic Volunteer Service Act of 1973, or related appropriations
acts. If it is discovered that facts connected to qualification to
participate or eligibility for a benefit were false or misleading, the
Corporation has an obligation to revoke the person's eligibility and
refrain from providing a related benefit to that person. Additionally,
the Corporation is legally obligated to recover funds from the person
if funds were received on the basis of a false or misleading statement.
The final rule gives individuals suspected of making false or
misleading statements the opportunity to respond under a two-tier
review process before their eligibility is revoked. Where there are
genuine facts in dispute, a telephonic or face-to-face meeting may be
included in the second level of review.
The intent of the regulation is to provide a mechanism for revoking
the eligibility of individuals who make a false or misleading statement
in connection with their application to or enrollment in a national
service program and for forfeiting eligibility for a related benefit.
The action and procedures set out in the final rule are intended to
supplement, not replace, remedies against offending parties that are
available under other laws. Depending upon the nature and scope of a
false or misleading statement, other legal action may be taken against
the offending party under the False Claims Act, Program Fraud Civil
Remedies Act of 1986, Suspension and Debarment regulations under 2 CFR
parts 180 and 2200, and other applicable laws and regulations.
One commenter noted that the Corporation included language in the
preamble to the proposed rule regarding the materiality of the false or
misleading statement, while the rule itself did not address
materiality. We have removed any language regarding materiality in the
preamble to maintain consistency with our rule language.
K. Inspector General Access to Grantee Records (Sec. 2541.420)
Section 2541.420(e) is amended to specifically add the Inspector
General among the authorities having access to pertinent grantee
records. While it has always been understood that the Office of the
Inspector General is a component of the awarding agency, the rule is
being amended to match the access to records
[[Page 53758]]
language in Sec. 2543.53, which specifically names the Inspector
General among the authorities having access to grantee records.
L. State Commission Composition Requirements (Sec. 2550.50)
Section 178(d)(1) of the Act states that ``the Chief Executive
Officer of a State shall ensure, to the maximum extent practicable,
that the membership for the State Commission for the State is diverse
with respect to race, ethnicity, age, gender, and disability
characteristics. Not more than 50 percent of the voting members, plus
one additional member, may be from the same political party.'' Section
178(c)(5) of the Act states that ``[t]he number of voting members of a
State Commission * * * who are officers or employees of the State may
not exceed 25 percent * * * of the total membership of the State
Commission.''
The final rule conforms 45 CFR 2550.50 to the specific language in
the statute, including a clarification that the political affiliation
provision applies only to voting members of the State Commission.
M. State Plans (Sec. Sec. 2550.80-85)
Section 178(e) of the Act requires a State Commission to prepare
and annually update a national service plan covering a three-year
period. This Plan, previously referred to as a ``Unified State Plan,''
a ``State Service Plan,'' and, presently, a ``State Plan,'' is a
document that sets forth the State's goals, priorities, and strategies
for promoting national and community service. The Act specifies several
components that must be present in the Plan, including the State's
efforts to convene, collaborate, or otherwise coordinate with diverse
national and community service groups and agencies to accomplish the
State's national and community service goals.
The Act gives latitude to the Corporation to establish additional
requirements for the contents of the State Plan. Over time, we have
found that the State's submission of certain information is mutually
beneficial. For example, to enhance communication and coordination
between the Corporation and the State, it is useful for us to know how
the State is utilizing statewide networks of national and community
service groups to achieve its goals and priorities. In addition, the
availability of such information serves as a resource for identifying
best practices to be shared with other States. By including these
elements with the description of a State Commission's duties we
eliminated the need to publish State Plan requirements as a separate
part; therefore, the final rule strikes part 2513 of Title 45.
Section 2550.80 lists the duties of State entities. The final rule
conforms paragraph (a) of this section to the statutory list of
responsibilities of State entities with regard to preparation of a
State Plan. In addition, the final rule amends this section to include
the requirement, previously located in part 2513, that the State Plan
incorporate 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.'' This groups together relevant information and consolidates the
regulatory required components of the State Plan. The final rule
imposes no new requirements for the contents of the State Plan, while
reserving the Corporation's right to request submission of the State
Plan in its entirety, in sum, or in part.
The Corporation uses State Plans principally in understanding the
State's national and community service goals, priorities, and
strategies, not in making future funding decisions or monitoring
determinations, risk-based assessments, or State Standards process
evaluations.
IV. Summary of Redesignations
The proposed rule will change the location of a number of
regulations. The following table is a guide to the current location of
a provision and its new location under the proposed rule.
------------------------------------------------------------------------
Current location Proposed location
------------------------------------------------------------------------
2520.65(a)(9)........................................ 2520.65(a)(10)
2522.240(b)(5)....................................... 2522.240(b)(6)
2550.80(a)(3)........................................ 2550.80(a)(4)
------------------------------------------------------------------------
V. Effective Dates
This final rule will take effect November 17, 2008.
VI. Rulemaking Analyses and Notices
Regulatory Flexibility Act
The Corporation has determined that the regulatory action will not
result in (1) an annual effect on the economy of $100 million or more;
(2) a major increase in costs or prices for consumers, individual
industries, Federal, State, or local government agencies, or geographic
regions; or (3) significant adverse effects on competition, employment,
investment, productivity, innovation, or on the ability of United
States-based enterprises to compete with foreign-based enterprises in
domestic and export markets. Therefore, the Corporation has not
performed the initial regulatory flexibility analysis that is required
under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) for major
rules that are expected to have such results.
Other Impact Analyses
Under the Paperwork Reduction Act, information collection
requirements which must be imposed as a result of this regulation have
been reviewed by the Office of Management and Budget under OMB nos.
3045-0047, 3045-0117, and 3045-0099.
For purposes of Title II of the Unfunded Mandates Reform Act of
1995, 2 U.S.C. 1531-1538, as well as Executive Order 12875, this
regulatory action does not contain any Federal mandate that may result
in increased expenditures in either Federal, State, local, or tribal
governments in the aggregate, or impose an annual burden exceeding $100
million on the private sector.
List of Subjects
45 CFR Part 2510
Grant programs--social programs, Volunteers.
45 CFR Part 2513
Grant programs--social programs, Reporting and recordkeeping
requirements, Volunteers.
45 CFR Part 2516
Grants administration, Grant programs--social programs.
45 CFR Part 2517
Grants administration, Grant programs--social programs.
45 CFR Part 2520
Grant programs--social programs, Volunteers.
45 CFR Part 2521
Grants administration, Grant programs--social programs.
45 CFR Part 2522
Grants administration, Grant programs--social programs, Volunteers.
45 CFR Part 2523
Grant programs--social programs.
45 CFR Part 2540
Civil rights, Fraud, Grants administration, Grant programs--social
programs, Trademarks--signs and symbols, Trust, Volunteers.
45 CFR Part 2541
Grant programs--social programs, Reporting and recordkeeping
requirements, Investigations.
[[Page 53759]]
45 CFR Part 2550
Grants administration, Grant programs--social programs.
0
For the reasons stated in the preamble, under the authority 42 U.S.C.
12651d, the Corporation for National and Community Service amends
chapter XXV, title 45 of the Code of Federal Regulations as follows:
PART 2510--OVERALL PURPOSES AND DEFINITIONS
0
1. The authority citation for part 2510 continues to read as follows:
Authority: 42 U.S.C. 12501 et seq.
0
2. Amend Sec. 2510.20 by adding a new paragraph (3) to the definition
of ``participant'' to read as follows:
Sec. 2510.20 Definitions.
* * * * *
Participant.
* * * * *
(3) A participant may also be referred to by the term member.
* * * * *
PART 2513--[REMOVED]
0
3. Remove and reserve part 2513.
PART 2516--SCHOOL-BASED SERVICE-LEARNING PROGRAMS
0
4. The authority citation for part 2516 is revised to read as follows:
Authority: 42 U.S.C. 12521-12551.
Sec. 2516.400 [Amended]
0
5. Amend Sec. 2516.400 introductory text by removing ``part 2513'' and
adding ``Sec. 2550.80(a) of this chapter'' in its place.
Sec. 2516.410 [Amended]
0
6. Amend Sec. 2516.410(a)(1) by removing ``part 2513'' and adding
``Sec. 2550.80(a)'' in its place.
Sec. 2516.500 [Amended]
0
7. Amend Sec. 2516.500(a)(3)(i) by removing ``part 2513'' and adding
``Sec. 2550.80(a)'' in its place.
PART 2517--COMMUNITY-BASED SERVICE-LEARNING PROGRAMS
0
8. The authority citation for part 2517 is revised to read as follows:
Authority: 42 U.S.C. 12541-12547.
Sec. 2517.400 [Amended]
0
9. Amend Sec. 2517.400(a)(3) by removing ``part 2513'' and adding
``Sec. 2550.80(a)'' in its place.
Sec. 2517.500 [Amended]
0
10. Amend Sec. 2517.500(c)(3) by removing ``part 2513'' and adding
``Sec. 2550.80(a)'' in its place.
PART 2520--GENERAL PROVISIONS: AMERICORPS SUBTITLE C PROGRAMS
0
11. The authority citation for part 2520 continues to read as follows:
Authority: 42 U.S.C. 12571-12595.
0
12. Amend Sec. 2520.65 by redesignating paragraph (a)(9) as (a)(10)
and adding a new paragraph (a)(9) to read as follows:
Sec. 2520.65 What activities are prohibited in AmeriCorps subtitle C
programs?
(a) * * *
(9) Conducting a voter registration drive or using Corporation
funds to conduct a voter registration drive;
* * * * *
PART 2521--ELIGIBLE AMERICORPS SUBTITLE C PROGRAM APPLICANTS AND
TYPES OF GRANTS AVAILABLE FOR AWARD
0
13. The authority citation for part 2521 continues to read as follows:
Authority: 42 U.S.C. 12571-12595.
0
14. In Sec. 2521.30, revise paragraph (a)(4) to read as follows:
Sec. 2521.30 How will AmeriCorps subtitle C program grants be
awarded?
* * * * *
(a) * * *
(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. The Corporation 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.
* * * * *
PART 2522--AMERICORPS PARTICIPANTS, PROGRAMS, AND APPLICANTS
0
15. The authority citation for part 2522 continues to read as follows:
Authority: 42 U.S.C. 12571-12595; 12651b-12651d; E.O. 13331, 69
FR 9911.
0
16. Amend Sec. 2522.220 by
0
a. Revising paragraph (a) introductory text and paragraph (d); and
0
b. Removing the phrase ``successfully-completed'' from paragraph (b).
The revisions will read as follows:
Sec. 2522.220 What are the required terms of service for AmeriCorps
participants, and may they serve more than one term?
(a) Term of Service. A term of service may be defined as:
* * * * *
(d) 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 the Corporation. 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.
* * * * *
0
17. Amend Sec. 2522.230 by adding new paragraphs (b)(6), (b)(7), and
(e) to read as follows:
[[Page 53760]]
Sec. 2522.230 Under what circumstances may AmeriCorps participants be
released from completing a term of service, and what are the
consequences?
* * * * *
(b) * * *
(6) An individual's eligibility for a second 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. 2522.240(d)(2) for the
period served in the first 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 two 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.
* * * * *
(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 two 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.
0
18. Amend Sec. 2522.240 by:
0
a. Revising the heading of paragraph (b)(4);
0
b. Redesignating paragraph (b)(5) as (b)(6); and
0
c. Adding a new paragraph (b)(5).
The revisions and additions will read as follows:
Sec. 2522.240 What financial benefits do AmeriCorps participants
serving in approved AmeriCorps positions receive?
* * * * *
(b) * * *
(4) Waiver or reduction of living allowance for programs. * * *
(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.
* * * * *
0
19. Add a new Sec. 2522.245 to read as follows:
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.
0
20. Revise Sec. 2522.320 to read as follows:
Sec. 2522.320 Under what conditions may I submit more than one
application for the same project?
You may submit more than one application for the same project only
if:
(a) You submit the applications in separate competitions (i.e.,
National Direct, State, Education Award Program); and
(b) You disclose in each application that you have submitted
another application for the same project to the Corporation.
0
21. Add new Sec. Sec. 2522.330 and 2522.340 to subpart C to read as
follows:
Sec. 2522.330 What happens to additional applications for the same
project if the Corporation approves one application?
If the Corporation approves one application for a project, you will
be deemed to have withdrawn any other application (or part thereof) for
the same project.
Sec. 2522.340 How will I know if two projects are the same?
The Corporation will consider two projects to be the same if the
Corporation 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.
0
22. Amend Sec. 2522.620 by revising paragraph (c) to read as follows:
Sec. 2522.620 How do I report my performance measures to the
Corporation?
* * * * *
(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.
PART 2523--AGREEMENTS WITH OTHER FEDERAL AGENCIES FOR THE PROVISION
OF AMERICORPS PROGRAM ASSISTANCE
0
23. The authority citation for part 2523 is revised to read as follows:
Authority: 42 U.S.C. 12571-12595.
Sec. 2523.90 [Amended]
0
24. Amend Sec. 2523.90 by removing ``Sec. 2522.240(b)(5)'' and adding
``Sec. 2522.240(b)(6)'' in its place.
PART 2524--AMERICORPS TECHNICAL ASSISTANCE AND OTHER SPECIAL GRANTS
0
25. The authority citation for part 2524 is revised to read as follows:
Authority: 42 U.S.C. 12571-12595.
Sec. 2524.30 [Amended]
0
26. Amend Sec. 2524.30(b)(4) by removing ``2522.240(b)(5)'' and adding
``2522.240(b)(6)'' in its place.
PART 2540--GENERAL ADMINISTRATIVE PROVISIONS
0
27. The authority citation for part 2540 is revised to read as follows:
Authority: E.O. 13331, 69 FR 9911; 18 U.S.C. 506, 701, 1017; 42
U.S.C. 12653; 42 U.S.C. 5065.
0
28. Amend Sec. 2540.210 by adding a new paragraph (d) to read as
follows:
Sec. 2540.210 What provisions exist to ensure that Corporation-
supported programs do not discriminate in the selection of participants
and staff?
* * * * *
(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.
0
29. Add a new Sec. 2540.215 to read as follows:
[[Page 53761]]
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.
0
30. Add a new Subpart E (consisting of Sec. Sec. 2540.500 through
2540.560) to read as follows:
Subpart E--Restrictions on Use of National Service Insignia
Sec.
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 E--Restrictions on Use of National Service Insignia
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.
0
31. Add a new Subpart F (consisting of Sec. Sec. 2540.600 through
2540.670) to read as follows:
Subpart F--False or Misleading Statements
Sec.
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?
Subpart F--False or Misleading Statements
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.
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.
[[Page 53762]]
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.
PART 2541--UNIFORM ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND
COOPERATIVE AGREEMENTS TO STATE AND LOCAL GOVERNMENTS
0
32. The authority citation for part 2541 continues to read as follows:
Authority: 42 U.S.C. 4950 et seq. and 12501 et seq.
0
33. Amend Sec. 2541.420 by revising paragraph (e)(1) to read as
follows:
Sec. 2541.420 Retention and access requirements for records.
* * * * *
(e) Access to records.--(1) Records of grantees and subgrantees.
The awarding agency, the Inspector General, and the Comptroller General
of the United States, or any of their authorized representatives, shall
have the right of access to any pertinent books, documents, papers, or
other records of grantees and subgrantees which are pertinent to the
grant, in order to make audits, examinations, excerpts, and
transcripts.
* * * * *
PART 2550--REQUIREMENTS AND GENERAL PROVISIONS FOR STATE
COMMISSIONS AND ALTERNATIVE ADMINISTRATIVE ENTITIES
0
34. The authority citation for part 2550 continues to read as follows:
Authority: 42 U.S.C. 12638.
0
35. Amend Sec. 2550.50 by revising paragraph (e) to read as follows:
Sec. 2550.50 What are the composition requirements and other
requirements, restrictions or guidelines for State Commissions?
* * * * *
(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.
* * * * *
0
36. Amend Sec. 2550.80 by revising paragraph (a) to read as follows:
Sec. 2550.80 What are the duties of the State entities?
* * * * *
(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 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 be submitted, in its entirety, in summary, or in
part, to the Corporation upon request.
* * * * *
0
37. Add a new Sec. 2550.85 to read as follows:
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).
Dated: September 10, 2008.
Frank R. Trinity,
General Counsel.
[FR Doc. E8-21634 Filed 9-16-08; 8:45 am]