[Code of Federal Regulations]
[Title 25, Volume 1]
[Revised as of April 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 25CFR23.53]

[Page 118]
 
                            TITLE 25--INDIANS
 
     CHAPTER I--BUREAU OF INDIAN AFFAIRS, DEPARTMENT OF THE INTERIOR
 
PART 23--INDIAN CHILD WELFARE ACT--Table of Contents
 
   Subpart E--General and Uniform Grant Administration Provisions and 
                              Requirements
 
Sec. 23.53  Cancellation.

    (a) The grants officer may cancel any grant, in whole or in part, at 
any time before the date of completion whenever it is determined that 
the grantee has:
    (1) Materially failed to comply with the terms and conditions of the 
grant;
    (2) Violated the rights as specified in Sec. 23.49 or endangered the 
health, safety, or welfare of any person; or
    (3) Been grossly negligent in, or has mismanaged the handling or use 
of funds provided under the grant.
    (b) When it appears that cancellation of the grant will become 
necessary, the grants officer shall promptly notify the grantee in 
writing of this possibility. This written notice shall advise the 
grantee of the reason for the possible cancellation and the corrective 
action necessary to avoid cancellation. The grants officer shall also 
offer, and shall provide, if requested by the grantee, any technical 
assistance which may be required to effect the corrective action. The 
grantee shall have 60 days in which to effect this corrective action 
before the grants officer provides notice of intent to cancel the grant 
as provided for in paragraph (c) of this section.
    (c) Upon deciding to cancel for cause, the grants officer shall 
promptly notify the grantee in writing of that decision, the reason for 
the cancellation, and the effective date. The Area Director or his/her 
designated official shall also provide a hearing for the grantee before 
cancellation. However, the grants officer may immediately cancel the 
grant, upon notice to the grantee, if the grants officer determines that 
continuance of the grant poses an immediate threat to safety. In this 
event, the Area Director or his/her designated official shall provide a 
hearing for the grantee within 10 days of the cancellation.
    (d) The hearing referred to in paragraph (c) of this section shall 
be conducted as follows:
    (1) The grantee affected shall be notified, in writing, at least 10 
days before the hearing. The notice should give the date, time, place, 
and purpose of the hearing.
    (2) A written record of the hearing shall be made. The record shall 
include written statements submitted at the hearing or within five days 
following the hearing.

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