[Code of Federal Regulations]
[Title 20, Volume 3]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 20CFR631.35]

[Page 267-268]
 
                      TITLE 20--EMPLOYEES' BENEFITS
 
 CHAPTER V--EMPLOYMENT AND TRAINING ADMINISTRATION, DEPARTMENT OF LABOR
 
PART 631--PROGRAMS UNDER TITLE III OF THE JOB TRAINING PARTNERSHIP ACT--Table of Contents
 
                     Subpart D--State Administration
 
Sec. 631.35  Designation of substate grantees.

    The Governor may establish procedures for the designation of 
substate grantees.
    (a) Designation of the substate grantee for each substate area shall 
be made on a biennial basis.
    (b) Entities eligible for designation as substate grantees include:
    (1) Private industry councils in the substate area;
    (2) Service delivery area grant recipients or administrative 
entities designated under Title II of the Act;
    (3) Private non-profit organizations;
    (4) Units of general local government in the substate area, or 
agencies thereof;
    (5) Local offices of State agencies; and
    (6) Other public agencies, such as community colleges and area 
vocational schools.
    (c) Substate grantees shall be designated in accordance with an 
agreement among the Governor, the local elected official or officials of 
such area, and the private industry council or councils of such area. 
Whenever a substate area is represented by more than one such official 
or council, the respective officials and councils shall each designate 
representatives, in accordance with procedures established by the 
Governor (after consultation with the SJTCC or HRIC), to negotiate such 
agreement.
    (d) The agreement specified in paragraph (c) of this section shall 
set forth the conditions, considerations, and other factors related to 
the selection of substate grantees in accordance with section 312(b) of 
the Act.
    (e) The Governor shall negotiate in good faith with the parties 
identified in paragraph (c) of this section and shall make a good faith 
effort to reach agreement. In the event agreement

[[Page 268]]

cannot be reached on the selection of a substate grantee, the Governor 
shall select the substate grantee.
    (f) Decisions under paragraphs (c), (d), and (e) of this section are 
not appealable to the Secretary (section 312(b) and (c)).