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"General Provisions for Office of Education Programs" are applicable to programs conducted under the Act, with the following exceptions:

(1) Section 100a.26b (Criteria for review of applications);

(2) Section 100a.161 (Title to site); (3) Subpart L, §§ 100a.209-.220 (Property management requirements);

(4) Section 100a.233 (Sale of real and personal property); and

(5) Section 100a.235 (Other program income).

(b) It should be noted that certain of the provisions in such regulations are not, by their own terms, pertinent to activities which may be conducted pursuant to the Act, such as:

(1) Section arrangements);

100a.19

(Cooperative

(2) Section 100a.43 (Application for Federal assistance (nonconstruction projects));

(3) Section 100a.45 (Application for Federal assistance (short form));

(4) Section 100a.62 (Payments methods for nonconstruction projects); (5) Section 100a.82 (Institutions of higher education);

Section

(6) organizations);

100a.83

(Nonprofit

(7) Subpart H, §§ 100a.90-94 (Matching and cost sharing);

(8) Section 100a.122 (Loan guarantees);

(9) Section 100a.234 (Royalties); and (10) Section 100a.258 (Leasing

facilities). § 114.58 ties.

Procurement of school facili

(a) All procurement of school facilities under the Act, including initial equipment, shall be made in accordance with Subpart I of Part 100a of the General Provisions for Office of Education Programs (45 CFR Part 100a, Subpart I).

(b) Plans and specifications, as appropriate, of school facilities provided under sections 9, 10, and 14 of the Act must, in advance of progressing to the next development stage, be approved by the Commissioner from the viewpoint of educational adequacy.

(c) Bid and contract documents shall be submitted to the Commissioner for his approval in accordance with such procedures as he may prescribe.

(d) Equipment procured with payments under the Act must be approved by the Commissioner before invitations for bids or requests for proposals as to

the acquisition of such equipment are issued. In order to obtain such approval, a list of all equipment to be procured (indicating estimated quantities, costs and specifications) must be provided to the Commissioner for his prior approval.

(e) When total funds required for the low equipment bid or proposal received are in excess of the approved equipment budget, additional funds needed to make the award must be provided by:

(1) Adjusting the approved estimate of other budget items (if surplus funds can be identified) for transfer to the equipment budget item;

(2) The applicant providing all the necessary additional funds from sources other than the Act; or

(3) Increasing the Federal contribution to the project if entitlement is available.

A written proposal must be submitted to the appropriate O. E. Regional Program Officer for veview and recommendation for decision regarding how such additional funds are to be provided. If method (i) is proposed, those approved project budget items in which there are surplus funds available for transfer must be identified. If method (ii) is proposed a written certification signed by the applicant's authorized representative must be furnished, stating that the cost of the bid overrun will be financed with applicant funds. Regardless of how the cost of the bid overrun is financed, it will be necessary to obtain prior approval in order that a revised project budget may be issued amending the approved equipment budget estimate.

(f) Substantial changes in lists of equipment previously approved to be procured must be approved in advance.

(g) A list of equipment procured with payments under the Act and the cost thereof must be furnished by the applicant and certified as having been received before final payment will be made. (20 U.S.C. 636, 637)

Subpart G-Sections 9 and 10 § 114.61 Conditions for assistance under section 10.

The Commissioner may make arrangements for constructing or otherwise providing minimum school facilities under section 10 of the Act under one or more of the following conditions:

(a) No tax revenues of the State or any political subdivision thereof may be

expended for constructing or for otherwise providing school facilities on Federal property which is leased to the local educational agency which will operate the school for pupils residing on Federal property; or

(b) The assurances and certifications described in § 114.65 have been provided;

or

(c) Other conditions, as specified in section 10 of the Act, exist.

(20 U.S.C. 640 (a), (b))

$114.62 Requests for section 10 school construction.

(a) In order to be approved by the Commissioner, the request for school facilities under section 10 of the Act must be (1) made by the official in control of the Federal property on which the facilities are to be located; (2) addressed to the Commissioner, Attention: Director, Division of School Assistance in Federally Affected Areas; and (3) submitted through the State educational agency for its review and recommendations.

(b) After reviewing the request and making recommendations relative to it, the State educational agency shall transmit a copy of such recommendations and the original copy of the request to the Commissioner including, when applicable, the legal citations which prohibit State or local funds from being expended for capital improvements on Federal property. Two copies of such materials must also be transmitted to the appropriate Regional O.E. Program Officer. The original request as submitted through the State educational agency will be regarded by the Commissioner as the official request.

(c) The request for school facilities to be constructed or otherwise provided under section 10 of the Act shall contain the following data:

(1) Name of the agency which will operate the school program;

(2) Assurance that an adequate site will be made available for location of the proposed facility. This site shall be subject to final review and recommendation for approval or disapproval by the appropriate Regional O.E. Program Officer after consultation with the State educational agency and the Regional Engineer, ROFEC. (A site permit including the metes and bounds description of the approved site must be received by the Commissioner before any planning activity will be authorized.)

(3) Assurance that funds under section 10 of the Act will not be used for any off-site construction.

(4) Assurance that the request will be coordinated with officials of the appropriate local educational agency when the facilities to be constructed or otherwise provided are not to be operated by a Federal agency;

(5) Pupil data, including:

(i) Number of pupils, by grade, who reside on and now attend school on the Federal property; and

(ii) Estimated number of pupils, by grade, who will reside on and attend school on the Federal property by the end of the fiscal year following the fiscal year in which the application is filed; (6) The following data relating to family housing:

(1) Number of occupied family housing units now located on the Federal property;

(ii) Number of unoccupied family housing units now located on the Federal property;

(iii) Number of housing units to be completed on the Federal property (for which construction funds have been authorized in the current Department of Defense appropriation); and

(iv) Number of trailer or other temporary housing units. (Such units must be reported separately); and

(7) Narrative supporting statement, as may be appropriate.

(20 U.S.C. 640)

§ 114.63

Property management: Sections 9 and 10.

(a) School facilities, including initial equipment, provided by the Commissioner through direct Federal construction under sections 9 and 10 of the Act. on land made available to the Commissioner for this purpose by a local educational agency or by a Federal agency shall be managed in accordance with FMC 74-7. Attachment N and this part.

(b) A site permit authorizing the use of land must be issued to the Commissioner by the Federal agency in control of the Federal property or by the local educational agency prior to the constructing or otherwise providing school facilities thereon by the Commissioner under the provisions of sections 9 and 10 of the Act. Such permit must contain:

(1) A metes and bounds description of the land to be used for the facility;

(2) Assurance of the right, if necessary, to connect to the base utility sys

tem as extended to the site boundary, or to connect with public utility systems, if necessary; and

(3) Assurance of adequate police and fire protection and construction and maintenance of roads.

(c) The Commissioner may issue to the appropriate Federal agency or local educational agency a use permit granting such agency the right to use and occupy, for school purposes, federally owned school facilities constructed under section 9 or 10 of the Act for which the Commissioner is accountable.

(1) Such use permits granted to a Federal agency must include assurances that such agency will:

(1) Conduct in such facilities an educational program for children residing on the Federal installation, comparable to that afforded children in comparable local school systems under the laws of the State;

(ii) Pay all charges for utilities and services furnished to the property;

(iii) Use the property during the term of the permit subject to such rules and regulations prescribed by the officer in charge of the installation as are consistent with the purposes for which the property is permitted;

(iv) Maintain and keep the property in good repair and operating condition on the present site, subject to reasonable instructions of the Commissioner, and immediately upon the termination of the permit as therein provided (will deliver possession of the same) to the Commissioner in as good condition and state of repair as the property is in when delivered to the agency, reasonable wear and tear and loss or damage caused by war excepted. (Repairs to or reconstruction of the property requiring expenditures in excess of $15,000.000 shall be upon plans approved by the Commissioner);

(v) Permit the Commissioner, or his authorized representatives, at any reasonable time to enter upon and inspect the property;

(vi) Submit current inventories, at the Commissioner's request, of the equipment, furnishings and appurtenances located in the facilities or on the site;

(vii) Assume responsibility, without obligation to the Commissioner, to do all things necessary and proper on its part under the applicable laws and regulations in order to settle or deny (as may be appropriate under the circumstances) liability for all claims, if any, made against the United States of

America or any of its agents for damages on account of the injury to or death of any person or the damages to or destruction of any property connected with, or arising out of, the agency's use of the permitted premises;

(viii) Not assign or transfer its rights or interest under this permit, or transfer possession of, or remove, or dispose of the property or any part thereof, including any and all movable school equipment provided under section 10 of the Act (or, if applicable, under section 6 of Pub. L. 81-874) without the Commissioner's written consent; and

(ix) Assure that the operation of school facilities which may be located on the property shall be conducted without discrimination on the basis of race, color, sex, or national origin.

(2) Such use permits granted to a local educational agency shall include assurances that such agency will:

(i) Conduct in such facilities an educational program for children residing on the Federal installation, as a part of the agency's school system in accordance with the laws of the State;

(ii) Pay all charges for utilities and services furnished to the property. Payment shall be made directly to the producing or supplying company or to the Federal agency for the utilities and services produced or supplied by each, respectively;

(iii) Use the property during the term of the permit subject to such reasonable rules and regulations relative to ingress, egress, security, and non-school use as may be prescribed by the head of the Federal agency, or the officer in charge of the installation, with the approval of the Commissioner;

(iv) Maintain and keep the property in good repair and operating condition on the present site, subject to reasonable instructions of the Commissioner and, immediately upon the termination of the permit as therein provided, shall return the property to the Commissioner in as good condition and state of repair as the property is in when delivered to the agency, reasonable wear and tear and loss or damage caused by war excepted. (Repairs to or reconstruction of the property requiring expenditures in excess of $15,000.00 require prior plans approved by the Commissioner);

(v) Procure and maintain insurance for the repair and reconstruction of the facilities due to damages occasioned by risks (such as fire and the elements) to

de

with

the

which the property may be exposed and
such additional insurance as the Com-
missioner may require. Further, such
local educational agency must provide
assurance that it will promptly deliver
proof of such coverage to the Commis-
sioner, and shall give due notice to the
proper insurance companies and to the
Commissioner of any loss or damage to
the property;

(vi) Remit to the United States any
payment received by it pursuant to in-
surance provided which may be in ex-
cess of the cost of such repairs;

(vii) Permit the Commissioner, or his authorized representatives, at any reasonable time, to enter upon and inspect the property, and submit at the Commissioner's request current inventories of the equipment, furnishings, and appurtenances located in the facilities or on the site;

(viii) Save the United States and the Commissioner harmless from any liability or claim arising from the agency's possession, use, maintenance, and operation of the property or the fulfillment of its obligation hereunder and if the agency is insured against tort liability with respect to other school facilities which it owns and operates, it shall carry similar insurance with respect to the property herein described;

(ix) Not assign or transfer its rights or interest under the permit, transfer possession of, or remove, or dispose of the property or any part thereof, or create or permit to be created a lien or charge upon or claim against the property or any part thereof, including any and all movable school equipment provided under sections 9 and 10 of the Act without the Commissioner's written consent;

(x) Assure that operation of school facilities which may be located on the property shall be conducted without discrimination on the basis of race, color, sex or national origin; and

(xi) In the case of a local educational agency whose permit includes living quarters for teachers and other local educational agency employees which were constructed under provisions of section 10 (former sections 204 and 310) of the Act and for which rental or other such fees are charged, the local educational agency must assure the Commissioner that it will submit, through the State educational agency, a revenue and expenditure report in such form as the Commissioner may require within 30 days

after the end of each of the first three quarters of each year. The agency must also assure the Commissioner that, at the end of the last quarter on June 30, it will submit through the State educational agency a final revenue and expenditure report and an audit thereof.

(3) Use permits may be subject to revocation by the Commissioner for any of the following reasons:

(i) Failure of the agency to operate the property in accordance with the terms and conditions of the permit or the arrangements between the Commissioner and the agency under section 6 of Pub. L. 81-874;

(ii) Determination by the Commissioner that other arrangements will better serve the interests of the United States or the children involved;

(iii) Termination of the permit for the use of the land granted to the Commissioner by the controlling Federal agency;

or

(iv) Termination of the authority and responsibility of the Commissioner to provide school facilities and make arrangements for free public education for children who reside on Federal establishments under the Act and Pub. L. 81874, or subsequent laws of the United States.

(20 U.S.C. 639, 640 (a) FMC 74-7))

§ 114.64 Disposal of federally owned temporary school facilities provided under section 9.

(a) The Commissioner may transfer to the local educational agency title to temporary school facilities constructed under section 9 (former sections 203 and 309) of the Act if:

(1) The local educational agency to which the facilities were provided makes a written request to the Commissioner for transfer of the facilities;

(2) Such agency gives assurance of a continuing need for the temporary school facilities for school purposes;

(3) Such agency certifies that it has title to the site on which they are located, or a leasehold interest in such site for a period of time equivalent to the usable life of the facilities; and

(4) The State educational agency certifies that the use of such facilities is not inconsistent with overall State plans.

(b) The Commissioner may, as appropriate, declare temporary school facilities surplus to the needs of the local educational agency and may dispose of

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§ 114.65 Transfer of title of federally owned school facilities provided under section 10 to local educational agencies.

The Commissioner will transfer to a local educational agency all the right, title, and interest of the United States in and to any facilities provided under section 10 of the Act if the following conditions have been met:

(a) The local educational agency of the school district in which the federally owned school facility is located makes written request to the Commissioner for transfer of the facility;

(b) Such agency does the following: (1) Certifies that the school facilities are located within the boundaries of its school district; (2) shows that there is a need on a continuing basis for use of the school facilities by the school district for public educational purposes; and (3) gives assurance that the facilities will be used as long as needed to house the children living on Federal property for whom they were structed, and beyond that time will continue to use such facilities for public educational purposes for any remaining usable life of the facilities;

con

(c) Such agency certifies that it has acquired or will acquire title to the site, or a leasehold interest in the site, or right to use and occupy the facilities located on the site for a period of time equivalent to the remaining usable life of the school facilities. Evidence of title to the site, leasehold, or other interest in the site must be presented before title to the federally owned facilities will be granted;

(d) Such agency gives assurance that the educational program provided in such transferred facilities will be conducted without discrimination on the basis of race, color, sex, or national origin;

(e) The State educational agency certifies that, under State law, such local agency is legally authorized to spend State or local funds to construct, repair, maintain, and operate school facilities for public educational purposes on land leased to it from the Federal Government; and

(f) Such State agency certifies that the use of such facilities by such local agency is not inconsistent with overall

State plans for providing school facilities in the State.

The Commissioner will consider a request for the transfer to a local educational agency of school equipment provided under section 10 of the Act (or under section 6 of Pub. L. 81-874) in certain circumstances even if the school facilities in which the equipment is located are not to be transferred. Requests for the transfer of such equipment shall include information described in paragraphs (a), (b), (d), (e), and (f) of this section. (20 U.S.C. 640(b))

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