[Code of Federal Regulations]

[Title 34, Volume 1]

[Revised as of July 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 34CFR76.565]



[Page 177]

 

                           TITLE 34--EDUCATION

 

PART 76_STATE-ADMINISTERED PROGRAMS--Table of Contents

 

 Subpart F_What Conditions Must Be Met by the State and Its Subgrantees?

 

Sec.  76.565  General management costs--restricted rate.



    (a) As used in Sec.  76.564, general management costs means the 

costs of activities that are for the direction and control of the 

grantee's affairs that are organization-wide. An activity is not 

organization-wide if it is limited to one activity, one component of the 

grantee, one subject, one phase of operations, or other single 

responsibility.

    (b) General management costs include the costs of performing a 

service function, such as accounting, payroll preparation, or personnel 

management, that is normally at the grantee's level even if the function 

is physically located elsewhere for convenience or better management. 

The term also includes certain occupancy and space maintenance costs as 

determined under Sec.  76.568.

    (c) The term does not include expenditures for--

    (1) Divisional administration that is limited to one component of 

the grantee;

    (2) The governing body of the grantee;

    (3) Compensation of the chief executive officer of the grantee;

    (4) Compensation of the chief executive officer of any component of 

the grantee; and

    (5) Operation of the immediate offices of these officers.

    (d) For purposes of this section--

    (1) The chief executive officer of the grantee is the individual who 

is the head of the executive office of the grantee and exercises overall 

responsibility for the operation and management of the organization. The 

chief executive officer's immediate office includes any deputy chief 

executive officer or similar officer along with immediate support staff 

of these individuals. The term does not include the governing body of 

the grantee, such as a board or a similar elected or appointed governing 

body; and

    (2) Components of the grantee are those organizational units 

supervised directly or indirectly by the chief executive officer. These 

organizational units generally exist one management level below the 

executive office of the grantee. The term does not include the office of 

the chief executive officer or a deputy chief executive officer or 

similar position.



(Authority: 20 U.S.C. 1221e-3(a)(1), 2831(a), 2974(b), and 3474)



[59 FR 59583, Nov. 17, 1994]