ment to the Federal Government or sell (ii) For all of such property not coV- (c) Disposition. If the recipient has no need for the property, disposition of the property shall be made as follows: (1) If the property had an acquisition cost of $1,000 or less per unit (except for property covered under paragraph (b) (3) (i) of this section) the recipient shall sell the property and reimburse the Federal Government in accordance with subparagraph (2) (ill) of this paragraph. (2) If the property had an acquisition cost of over $1,000 per unit, the recipient shall request disposition instructions from the Commissioner. The Commissioner will issue instructions to the recipient within 120 days following the receipt of such request and the following procedures shall govern: (1) If the recipient is instructed to ship the property elsewhere, the recipient will be reimbursed by the Federal Government with an amount which is computed by applying the percentage of the recipient's participation in the project to the current fair market value of the property, plus any shipping or interim storage costs incurred. (ii) If the recipient is instructed to otherwise dispose of the property, the recipient will be reimbursed by the Federal Government for the costs incurred in such disposition. (iii) If disposition instructions are not issued within the 120-day period specified in subparagraph (2) of this paragraph, the recipient shall sell the property and reimburse the Federal Government with an amount which is computed by applying the percentage of Federal participation in the project to the sales proceeds. The recipient may, however, deduct and retain from that amount, $100 or 10 percent of the proceeds, whichever is greater, for the recipient's selling and handling expenses. (d) Special property. Where the Commissioner determines that nonexpendable personal property with an acquisition cost of $1,000 or more and financed soley with Federal funds is unique, or difficult or costly to replace, he may reserve the right to require the recipient to transfer title to the property to the Federal Government or to a third party to be named by the Commissioner, subject to the following provisions: (1) The right to require the transfer of title may be reserved only by means of an express special condition in the grant or contract, or if approval for the acquisition of the property is given after the grant is awarded, by means of a written stipulation at the time the approval is given. (2) The property shall be appropriately identified in the award document or otherwise made known to the recipient. (3) The Commissioner will not exercise this right until the recipient no longer needs the property in the project for which it was acquired. That need will be deemed to end on the date of completion or termination of the grant or contract unless the recipient continues to conduct the project after that date and demonstrates to the Commissioner a continued need for the property in the project. (4) The Commissioner will issue disposition instructions within 120 days after the completion of the need for the property under the project for which it was acquired. If instructions are not issued within such 120-day period the Commissioner's right shall lapse, and the recipient shall apply the applicable standards contained in paragraphs (b) (1), (b)(2), (b) (3) (ii), and (c) (2) of this section. (5) The recipient shall be entitled to reimbursement for any shipping and interim storage costs it incurs pursuant to the Commissioner's disposition instructions. (e) Property management standards. Recipients' property management standards for nonexpendable personal property shall also include the following procedural requirements: (1) Property records shall be maintained accurately and provide for: (i) A description of the property; (ii) manufacturer's serial number or other identification number; (iii) acquisition date and cost; (iv) source of the property; (v) percentage of Federal funds used in the purchase of the property; (vi) location, use, and condition of the property; and (vii) ultimate disposition data in cluding sales price or the method used to determine current fair market value if the grantee reimburses the Federal Government for the Federal share. (2) A physical inventory of property shall be taken and the results reconciled with the property records at least once every 2 years to verify the existence, current utilization, and continued need for the property. (3) A control system shall be in effect to insure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft of nonexpendable property shall be investigated and fully documented. The recipient shall be responsible for replacing or repairing (with funds of such recipient) property which is lost, damaged, or destroyed due to the negligence of the recipient. (4) Adequate maintenance procedures shall be implemented to keep the property in good condition. (5) Proper sales procedures shall be established for unneeded property which would provide for competition to the extent practicable and result in the highest possible return. (OMB Circular No. A-102, Attachment N.) § 100a.216 Expendable personal prop erty. (a) The recipient may at its option either retain or sell items of expendable personal property when no longer needed for any federally sponsored activity (including activities sponsored by other Federal agencies). (b) Compensation to the Federal government is required if the aggregate fair market value of all of those items acquired under the grant or contract exceeds $500 when no longer needed for any federally sponsored activity. The amount of compensation shall be computed by applying the percentage of Federal participation in the cost of the original project to the current fair market value of items retained, and to the sales proceeds of items sold. (OMB Circular No. A-102, Attachment N.) § 100a.217 Intangible personal property of State and local governments. (a) This section applies only to recipients which are State and local governments. (b) Where a project results in a book or other copyrightable material, the author or recipient is free to copyright the work, but the Commissioner reserves a royalty-free, nonexclusive and irrevoca ble license to reproduce, publish, or otherwise use, and to authorize others to use the work for Government purposes. (OMB Circular No. A-102, attachment N.) § 100a.218 Publications. Any publication or presentation resulting from or primarily related to Federal financial assistance shall contain the following acknowledgment: The activity which is the subject of this report was supported in whole or in part by the U.S. Office of Education, Department of Health, Education, and Welfare. However, the opinions expressed herein do not necessarily reflect the position or policy of the U.S. Office of Education, and no official endorsement by the U.S. Office of Education should be inferred. (20 U.S.C. 1221c(b) (1).) § 100a.219 Copyrights and patents. (a) Copyrights. (1) Copyright standards for State and local governments are contained in § 100a.217. (2) Any material of a copyrightable nature produced by a recipient other than a State or local government with Federal assistance shall be subject to the copyright policy of the U.S. Office of Education set forth in its "Copyright Guidelines" of May 9, 1970 (35 FR 7317), or any modification thereof in effect at the time of the award. (b) Patents. (1) All inventions conceived or first actually reduced to practice in the course of or under a grant or contract are subject to Parts 6 and 8 of this title. Each invention shall be promptly and fully reported to the Assistant Secretary for Health, Department of Health, Education, and Welfare. (2) Determination as to ownership and disposition of rights to those inventions, including whether a patent application shall be filed, and, if so, the manner of obtaining, administering, and disposing of rights under any patent application or patent which may be issued shall be made either: (1) By the Federal Government, or (ii) Where the recipient has a separate formal institutional patent agreement with the Department, by the recipient in accordance with that agreement. (20 U.S.C. 1221c(b) (1); OMB Circular No. A-102, Attachment N) § 100a.220 Determining percentage of participation. (a) Various provisions in this subpart require a determination of the percentage of Federal (or recipient) participa tion in the cost of the project or program in order to compute the amount of compensation for the value, or proceeds from sale of property. In determining the applicable percentage, there shall first be deducted from the allowable costs incurred during the period for obligation, any royalties or other income (not including interest income or proceeds from sale of property) earned by the federally-supported project or program during the period for obligation. (b) The deduction of income required (OMB Circular No. A-102, Attachment N.) § 100a.230 Scope of subpart. This subpart sets forth standards for recipients in accounting for program income and other income related to projects and programs financed in whole or in part with Federal funds. (OMB Circular No. A-102, Attachment E.) § 100a.231 Meaning of program income. As used in this subpart, the term "program income" shall have the meaning set forth for that term in § 100a.401. (OMB Circular No. A-102, Attachment E.) § 100a.232 Interest income. (a) As used in paragraph (b) of this section: (1) The term "State" shall have the meaning set forth in section 102 of the Intergovernmental Cooperation Act of 1968. (2) The term "grant-in-aid" shall have the meaning set forth for that term in section 106 of the Intergovernmental Cooperation Act of 1968. (b) In accordance with section 203 of the Intergovernmental Cooperation Act of 1968, States shall not be held accountable for interest earned on grantin-aid funds, pending their disbursement for program purposes. (c) In all other cases, recipients shall remit to the Federal Government any interest earned on advances of Federal funds. (Pub. L. 90-577, secs. 102, 106, 203; OMB Circular No. A-102, Attachment E.) § 100a.233 Sale of real and personal property. Proceeds from the sale of real and tangible personal property whose acquisi tion cost was borne in whole or in part by Federal funds shall be handled in accordance with Subpart L of this part. (OMB Circular No. A-102, Attachment N.) § 100a.234 Royalties. Applicability.—(1) (a) Copyrights. This section applies to royalties received by recipients from copyrights on publications or other works developed under a Federally-assisted grant or contract. (2) Patents. This section also applies to royalties received by recipients from patents on inventions conceived or first actually reduced to practice in the course of or under a Federally-assisted grant or contract. (b) During the grant period. (1) If the recipient is a State or local government, royalties received during the grant period shall be retained by the recipient. The terms and conditions of the grant or contract shall provide either: (i) That such royalties shall be used by the recipient for any purposes which further the objectives of the legislation under which the grant was made, or (ii) That such royalties shall be deducted from total project costs for the purpose of determining the net costs on which the Federal share of costs shall be based. (2) When the recipient is a State or local government, the recipient shall elect either of the alternatives specified in subparagraph (1) of this paragraph in the terms and conditions of the grant or contract do not specify which is to be followed. (3) If the recipient is not a State or local government; disposition of royalties received during the grant period shall be governed by § 100a.219 (a) (2) and (b). (c) After the grant period-(1) Copyrights. If the recipient is a State or local government and the Commissioner and the recipient have not agreed to apply § 100a.219 (a) (2), the Federal share of copyright royalties in excess of $200 received annually shall be paid by the recipient to the Federal Government. In such cases, the Federal share of the royalties shall be computed on the same ratio basis as the percentage of Federal participation in the cost of the project or program. This percentage of participation shall be determined in accordance with § 100a.220. (2) Patents. Disposition of patent royalties received after the termination or completion of the period for obliga tion shall be governed by agreements (a) This section applies to all program income earned during the grant period except royalties and proceeds from the sale of real property or tangible personal property. (b) All such income earned during the period for obligation shall be retained by the recipient. The recipient may elect either of the following alternatives to satisfy its accountability to the Federal Government for the income: (1) The income may be used by the recipient for purposes which further the objectives of the legislation under which the award was made, or (2) The income may be deducted from total project costs for the purpose of determining the net costs on which the Federal share of costs shall be based. (OMB Circular No. A-102, Attachment E.) § 100a.236 Earmarked revenues of State or local governments. State or local government recipients shall record the receipt and expenditure of revenues such as taxes, special assessments, levies, fines, etc., as a part of grant project transactions when such revenues are specifically earmarked for a project in accordance with the terms and conditions of a grant or contract. (OMB Circular No. A-102, Attachment E.) Subpart N Miscellaneous Requirements § 100a.250 Financial interest prohibited. A person who is a public official, officer, or member of, or who is otherwise associated with a recipient, may not participate in an administrative decision with respect to the recipient's project, if such decision can be expected to result in any benefit or remuneration, including, without limitation, a royalty, commission, contingent fee, brokerage fee, or other benefit, to him or to any member of his immediate family. (20 U.S.C. 1232c (b)(1).) § 100a.255 Commencement of project activity. Projects receiving Federal financial assistance shall be commenced within a reasonable period of time subsequent to the awarding of the grant or contract. (20 U.S.C. 1232(b)(1).) § 100a.258 Leasing facilities. In the case of a project involving the leasing of a facility, the recipient shall demonstrate to the Commissioner that it will have the right to occupy, to operate, and, if necessary, to maintain and improve the leased facility during the proposed period of the project. (20 U.S.C. 1221c(b) (1).) § 100a.260 Changes in key personnel. If for any reason it becomes necessary to substitute the project director or other key professional staff designated in the grant or contract, the recipient shall provide timely written notification to the Commissioner of such substitution. Such written notification shall include the name and qualifications of the successor. (20 U.S.C. 1221c(b) (1).) § 100a.261 Dual compensation. If a project staff member or consultant is involved in two or more projects, at least one of which is supported by Federal funds under this chapter, he may not be compensated for more than 100 percent of his time during any part of the period of dual involvement. The recipient shall not use any Federal funds or funds from other sources to pay a fee to, or travel expenses of, employees of the Department for lectures, attending program functions, or any other activities in connection with the grant or contract. (20 U.S.C. 1221c(b) (1).) (a) Federal financial assistance is sub- (b) Federal financial assistance is also subject to the provisions of title IX of the Education Amendments of 1972 (prohibition of sex discrimination), and any regulations issued thereunder. (Public Law 92-318, title IX) § 100a.263 Data-collection instruments. (a) Definitions. For the purposes of this section: (1) "Data-collection instruments" includes tests, questionnaires, invento ries, interview schedules or guides, rating scales, and survey plans or any other forms which are used to collect information on substantially identical items from 10 or more respondents. (2) "Respondents" means individuals or organizations from whom information is collected. (b) Applicability. This section does not apply to instruments which deal solely with (1) functions of technical proficiency, such as scholastic aptitude, school achievement, and Vocational proficiency; (2) routine demographic information; or (3) routine institutional information. (c) Protection of privacy. (1) Datacollection instruments shall not be used which constitute unnecessary or offensive intrusions of privacy through inquiries regarding such matters as religion, sex, race, or politics. (2) In using data-collection instruments, recipients shall provide for anonymity and confidentiality of response of individual respondents. (d) Clearance not required. (1) Recipients are not required to submit datacollection instruments to the Commissioner or obtain the Commissioner's approval for the use of those instruments, except where the grant or contract document specifically so provides. (2) If a recipient wishes to have Federal approval (Office of Education; Department of Health, Education, and Welfare; and the Office of Management and Budget) of a data-collection instrument, the recipient shall submit seven copies of the document to the Commissioner along with seven copies of the Office of Management and Budget's Standard Form No. 83 and seven copies of the Supporting Statement as required in the "Instructions for Requesting OMB Approval under the Federal Reports Act" (Standard Form No. 83A). (e) Responsibility for collection of information. The recipient shall not in any way represent or imply (either in a letter of transmittal, in the data-gathering instruments themselves, or in any other manner) that the information is being collected by or for the Federal Government or any of its subdivisions. Basic responsibility for the study and the data-gathering instruments rests with the recipient. (f) Parental consent. In the case of any survey using data-collection instru ments (except those specified in paragraph (b) of this section), which will include children below the age of 18 as respondents, the recipient shall provide assurances satisfactory to the Commissioner that informed consent will be obtained from the parents of such respondents prior to the use of such instruments. (20 U.S.C. 1221c(b) (1).) § 100a.270 Treatment of animals. If animals are utilized in any project receiving assistance, the applicant for such assistance shall provide assurances satisfactory to the Commissioner that such animals will be provided with proper care and humane treatment in accordance with the Animal Welfare Act of 1970 (Pub. L. 89-544, as amended). (20 U.S.C. 1221c (b) (1).) § 100a.275 Coordination. Each project shall be developed so as to be in coordination, to the extent feasible, with other public and private programs for similar educational purposes. Such coordination shall continue during the period in which such project remains in effect. (20 U.S.C. 1232c (b) (1).) § 100a.276 Evaluation. Each project shall include procedures for effective evaluation of the extent to which project objectives are being met. (20 U.S.C. 1221c (b) (1).) § 100a.290 General grant terms and conditions. (a) The general terms and conditions set forth in appendix A to this subchapter are prescribed for use in connection with grants to eligible parties under any Federal program to which this part is applicable. Each grant awarded under any such program shall be governed by such general terms and conditions except to the extent that any such term or condition is inconsistent with a special term or condition made specifically applicable to such grant and set forth in the grant award document. (b) In any case where a general or special term or condition is inconsistent with a statute or published regulation applicable to that Federal program (including a regulation contained in this part), the statute or regulation shall govern. (20 U.S.C. 1221c(b) (1).) |