Sec. 2.4. Administrative action to be taken under various situations (a) Situation No. 1-(1) Irregularity. Clear and convincing evidence of fraud, bribery, collusion, conspiracy, or other serious offense involving violation of State or Federal criminal statutes in connection with a project requiring Bureau approval or concurrence, with or without evidence of failure of substantial conformity with project plans and specifications. (2) Administrative action. (i) Bureau personnel who are involved shall be subject to suspension pending completion of Bureau or State investigations. (ii) State personnel who are involved shall be unacceptable for employment on any highway project requiring Bureau approval or concurrence pending completion of Bureau or State investigations. (iii) The contractor, contractor organization or personnel thereof, or other person or organization performing services for the Bureau or State highway department on a fee or contract basis who are involved shall be unacceptable for employment on any future highway project requiring Bureau approval or concurrence pending completion of Bureau or State investigations. (iv) Federal-aid reimbursement payments to the State on an affected project shall not exceed 75 percent of the Federal pro rata share of the total cost of such project pending completion of Bureau investigation. (v) After investigation, Bureau personnel who are found to be at fault shall be subject to removal and disqualification for employment on any highway project requiring Bureau approval or concurrence. (vi) After investigation, State personnel who are found to be at fault shall be unacceptable for employment on any highway project requiring Bureau approval or concurrence for a period of three months to three years. (vii) After investigation, the contractor, contractor organization or personnel thereof, or other person or organization performing services for the Bureau or State highway department on a fee or contract basis who are found to be at fault shall be unacceptable for employment on any future highway project requiring Bureau approval or concurrence for a period of three months to three years. (viii) If investigation discloses a failure of substantial conformity with project plans and specifications, Federal-aid reimbursement to the State for project costs of affected items shall be withheld until the work is performed in conformity with project plans and specifications, and Federal funds shall not participate in the costs of correction. (b) Situation No. 2-(1) Irregularity. Establishment by admission, or conviction, or judgment of a court of competent jurisdiction that fraud, bribery, collusion, conspiracy, or other criminal offense has been committed in connection with any highway project requiring Bureau approval or concurrence with or without failure of substantial conformity with project plans and specifications. (2) Administrative action. (i) Bureau personnel at fault shall be subject to removal and disqualification for employment on any highway project requiring Bureau approval or concurrence. (ii) State personnel at fault shall be unacceptable for employment on any highway project requiring Bureau approval or concurrence for a period of six months to three years. (iii) The contractor, contractor organization or personnel thereof, or other person or organization performing services for the Bureau or State highway department on a fee or contract basis who are at fault shall be unacceptable for employment on any future highway project requiring Bureau approval or concurrence for a period of six months to three years. (iv) Federal-aid reimbursement payments to the State for project costs of affected items shall be withheld until the work is performed in conformity with project plans and specifications, and Federal funds shall not participate in the costs of correction. (c) Situation No. 3-(1) Irregularity. Substantial evidence of a conflict of interest under § 1.33 of this chapter, effective May 11, 1960; or the establishment by admission, or conviction, or judgment of a court of competent jurisdiction of a violation of any law, regulation, or directive of Federal or State government relating to conflict of interest prohibitions in connection with the administration or execution of any highway project requiring Bureau approval or concurrence. (2) Administrative action. To the extent that conflicts of interest result in circumstances similar to those described in paragraphs (a) and (b) respectively, of this section, or involve violation of any law, regulation, or directive of Federal or State government appropriate action shall be taken that is consistent with the remedial measures applicable to such situations. Sec. 2.5. Other instances or irregularities With respect to irregularities not described in § 2.4, the Administrator shall consider the individual circumstances thereof and remedial action shall conform as far as practicable to the administrative action prescribed in § 2.4. Sec. 2.6. Notice of proposed administrative action (a) Pending completion of investigations. The individual, or contractor organization or other person or organization performing services for the Bureau or State highway department on a fee or contract basis who are involved shall be furnished a written notice of unacceptability for employment stating the general reasons therefor and that it is for a temporary period pending the completion of investigations and such legal proceedings as may ensue. A copy of such notice shall be furnished the appropriate State highway department organization. (b) After completion of investigations. The individual, or contractor organization or other person or organization performing services for the Bureau or State highway department on a fee or contract basis shall be furnished a written notice by registered mail (return receipt requested) setting forth the reasons for the proposed administrative action. Such notice shall advise that unless a written request for a hearing is received within 10 days from the date of receipt of such notice, that appropriate administrative action shall be instituted without further notice. Sec. 2.7. Hearings (a) Pending completion of investigations. Hearings shall not be conducted pending the completion of investigations by the Bureau; or without approval of the Department of Justice when the matter is under investigation by that Department; or after notice of and during such court proceedings as may ensue. (b) Judgment of a court of competent jurisdiction. Hearings shall not be conducted when administrative action is based on conviction or judgment by a court of competent jurisdiction. (c) After completion of investigations. Hearings requested in connection with proposed administrative action shall be conducted before a Hearing Board, the members of which shall be designated by the Administrator. Reasonable opportunity shall be afforded the contractor, contractor organization or other affected persons or organizations to appear with witnesses and counsel to present facts or circumstances showing cause why administrative action should not be instituted. Hearings shall be nonadversary in nature and the provisions of section 7 of the Administrative Procedure Act (the Act of June 11, 1946, 60 Stat. 241; 5 U.S.C. 1006), shall not apply. (d) Notice and time of hearings. Adequate written notice of the time, place, and date of hearing shall be given to the individual or organization concerned and such hearing shall be conducted within 20 days after receipt of request for a hearing unless the board determines that, for good cause shown, additional time should be granted. (e) Administrative findings. In all hearings conducted under this section, the board shall find the facts specially and shall submit such findings to the Administrator for his review and final action. Sec. 2.8. Determination and notice of administrative action (a) Based upon the findings of fact required by § 2.7(e), the Administrator shall determine the administrative action to be taken with respect to any indicated irregularity. (b) Administrative action as determined by the Administrator shall be final, except that the periods of time during which an individual or organization shall be unacceptable to the Bureau on direct-Federal or Federal-aid projects may be increased or decreased in individual cases at any time, if, in the judgment of the Administrator, compelling reasons warrant such action. (c) The Administrator shall notify the individual or organization of his determination setting forth the period of time during which such individual or organization shall be unacceptable for employment on highway projects requiring Bureau approval or concurrence. Copies of such notification shall be forwarded to the appropriate state highway organizations. Effective date. This part shall become effective on the date of its publication in the Federal Register. Recommended: Issued: AUGUST 21, 1962. REX M. WHITTON, Federal Highway Administrator. LUTHER H. HODGES, [F.R. Doc. 62-8548; Filed, Aug. 22, 1962; 10:03 a.m.] 2 Amended May 24, 1963, 28 F.R. 5206. REGULATIONS FOR ADMINISTERING FOREST HIGHWAYS 23 C.F.R., Ch. 1, Pt. 15 Part 15 of Chapter I of Title 23 of the Code of Federal Regulations is revised to read as follows:1 AUTHORITY: §§ 15.1 to 15.11 issued under sec. 204, 72 Stat. 907, 23 U.S.C. 204. Sec. 15.1. Definitions Administrator. The Federal Highway Administrator. Chief. The Chief of the Forest Service, Department of Agriculture. (c) State. Any State or insular possession eligible to receive forest highway funds. (d) State Highway Department. That department, commission, board, or officials of any State charged by its law with the responsibility for highway construction. (e) County. Any local government unit vested with jurisdiction over local highways including corresponding units of government under any other name in States which do not have county organizations. (f) Cooperator. The State highway department or county as previously defined. (g) Regional engineer. The regional engineer of the Bureau of Public Roads. (h) Division engineer. The division engineer of the Bureau of Public Roads. (i) Regional forester. The regional forester of the Forest Service. (j) Forest roads. Roads wholly or partly within, adjoining, or adjacent to and serving the national forest. (k) Forest highways. Those forest roads of primary importance to the States, counties, or communities which are selected, and designated by the Administrator and the Chief as constituent parts of a forest highway system. (1) Forest highway fund. Any authorization or appropriation of Federal funds for forest highways. (m) Forest highway program. Those forest highway projects for surveys, right-of-way acquisition, construction, and maintenance scheduled to be accomplished within the limit of available authorizations and formally approved by the Administrator and the Chief or their duly authorized representatives. (n) Construction. The supervising, inspecting, actual building, and all expenses incidental to the construction or reconstruction of a 1 Published in the Federal Register, 26 F.R. 4608. May 26, 1961. highway, including locating, surveying, mapping (including the establishment of temporary and permanent geodetic markers in accordance with specifications of the Coast and Geodetic Survey in the Department of Commerce), costs of rights-of-way, elimination of hazards of railway-grade crossings, adjacent vehicular parking areas, and sanitary, water, and fire control facilities. (0) Highway planning survey. The engineering and economic investigations of highways and highway transportation conducted by the highway departments of the States and the Bureau of Public Roads. (p) Maintenance. The preservation of the entire highway, including surface, shoulders, roadsides, structures, and such traffic control devices as are necessary for its safe and efficient utilization, and of adjacent vehicular parking areas and sanitary, water, and fire control facilities. Sec. 15.2. Apportionment (a) (1) On or before January 1, of each year, the Secretary of Commerce shall apportion among the States the forest highway funds authorized for the next succeeding fiscal year as follows: (2) In the same percentage as the amounts apportioned for forest highways for the fiscal year ending June 30, 1958, which percentage is based upon a determination of the area and value of the land owned by the United States within the national forests, as certified to the Secretary of Commerce by the Secretary of Agriculture as of June 30, 1955. (b) Ten percent of the amount so apportioned to each State shall be placed in a reserve and the balance shall be made available, immediately after apportionment, for the forest highway program. Reductions will be made from the reserve to cover administrative requirements of the Bureau of Public Roads including purchase of equipment, administration by the Forest Service and, in special cases, to provide additional funds for programed projects. Any balances in the reserve will be released for programing not later than the date of the apportionment of the succeeding fiscal year authorization. Sec. 15.3. The forest highway system (a) The forest highway system shall comprise those roads defined under § 15.1(k). (b) Forest highways shall be classified as follows: Class 2-On the Federal-aid secondary system. (c) Proposed modifications, when jointly agreed upon and recommended by the State highway department, regional forester, division engineer and regional engineer, shall be forwarded, together with necessary supporting data including revised sketch maps and route descriptions to the Administrator and the Chief for approval. Sec. 15.4. The forest highway program (a) For each apportionment of funds authorized by Congress for forest highways, the division engineer shall request the State highway department to submit a list of forest highway projects proposed for financing with such funds, supported by a map showing the location of |