ipation and termination of the operators and the preservation, utilization and disposition of program assets.

(b) If the licensing agency permits any agency or organization other than an operator to hold any right, title to, or interest in vending stands or stock, the arrangement shall be one permitted by State law and shall specify in writing that all such right, title to, or interest is held as the nominee of the licensing agency for program purposes and subject to the paramount right of the licensing agency to direct and control the use, transfer, and disposition of such vending stands or stock.

§ 404.10 Agreements with State vocational rehabilitation agencies.

In the event that the licensing agency is not also the State vocational rehabilitation agency, the licensing agency shall enter into a cooperative agreement with the State vocational rehabilitation agency with respect to providing vocational rehabilitation services to blind persons who are in need of such services. § 404.11 Approval of application for designation as licensing agency.

When the Commissioner determines that the application and rules and regulations (or proposed rules and regulations) indicate a plan of program operations which will stimulate and enlarge the economic opportunities for the blind and meet the other requirements of the act and of this part, he shall approve the application and shall designate the applying agency as the State licensing agency.

§ 404.12

Permit for establishment of vending stands.

Prior to the establishment of each vending stand, the designated State licensing agency shall submit and have approved, in accordance with regulations of the department or agency in control of the maintenance, operation, and protection of the Federal property (or procedures of the person in control of other property), an application for a permit setting forth the exact location, the amount of space to be occupied, the type of shelter and/or equipment, the types of items of merchandise to be offered for sale at each vending stand, including the number, location, and types of vending machines and other terms and conditions desired to be included in the permit.

§ 404.13 Maintenance and repair of vending stands.

The licensing agency shall maintain (or cause to be maintained) all vending stands in good repair and in an attractive condition and shall replace or cause to be replaced wornout and obsolete equipment as required to insure the continued successful operation of the stand. § 404.14 Revocation of designation as licensing agency.

The Secretary shall revoke the designation of any licensing agency if he finds after affording such agency an opportunity for a hearing, as hereinafter provided, that, in the administration of the program, there is a failure on the part of such agency to comply substantially with the provisions of the act or of this part.

§ 404.15 Revocation of designation as licensing agency; procedures.

(a) If the Commissioner has reason to believe that, in the administration of the program, there is a failure on the part of any licensing agency to comply substantially with the act and this part, he shall so inform such agency in writing, setting forth, in detail, the areas in which there is such failure and giving it a reasonable opportunity to comply.

(b) If, after the lapse of a reasonable time, the Commissioner is of the opinion that such failure to comply still continues and that the licensing agency is not taking the necessary steps to comply, he shall offer to such agency, by reasonable notice in writing thereto and to the chief executive of the State, an opportunity for a hearing before the Secretary (or person designated by the Secretary) to determine whether there is a failure on the part of such agency to comply substantially with the provisions of the act and of this part.

(c) If it is thereupon determined that there is a failure on the part of such agency to comply substantially with the act and this part, appropriate written notice shall be given to such agency and to the chief executive of the State revoking said agency's designation as licensing agency effective 90 days from the date of such notice.

(d) If, before the expiration of such 90 days, the Secretary (or person designated by him) determines that the licensing agency is taking the necessary steps to comply, he may postpone the

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effective date of such revocation for such time as he deems necessary for the best interest of the program.

(e) If, prior to the effective date of such revocation, the Secretary (or person designated by him) finds that there is no longer a failure on the part of the licensing agency to comply substantially with the provisions of the act and of this part, he shall so notify the agency and the chief executive of the State, in which event the revocation of the designation shall not become effective.

§ 404.16

Revocation of designation as licensing agency; effect.

(a) Effective upon the receipt of the notice of revocation of a State agency's designation as licensing agency, in accordance with § 404.15(c), the licensing agency's authority to issue licenses to blind persons for the operation of vending stands on Federal and other property under the act and this part shall be suspended, except upon special authorization by the Commissioner.

(b) After the effective date of the revocation of a State agency's designation as licensing agency, such agency shall have no authority to issue licenses to blind persons for the operation of vending stands under the act and this part.

(c) If, at the expiration of 60 days from the effective date of a revocation of a State agency's designation as licensing agency, no other agency in the State is designated, pursuant to the provisions of the act and this part, as licensing agency, all licenses issued by the agency whose designation has been revoked shall terminate.

Subpart A-Grants

§ 405.1 Purpose.

Special project grants are authorized for the purpose of paying part of the cost of carrying out a program of research and study of the personnel practices and current and projected personnel needs in the field of correctional rehabilitation and of the availability and adequacy of the educational and training resources for persons in, or preparing to enter such field. This would include but not be limited to the availability of educational opportunities for persons in, or preparing to enter, such field, the adequacy of the existing curriculum and teaching methods and practices involved in the preparation of persons to work in this field, the effectiveness of present methods of recruiting personnel for such field and the extent to which personnel in the field are utilized in the manner which makes the best use of their qualifications. § 405.2 Eligible grantees; application.

(a) Grants may be made to one or more organizations. For this purpose, the term "organization” means a nongovernmental agency, organization, or commission, composed of representatives of leading professional associations, organizations, or agencies active in the field of corrections.

(b) Application shall be made in the form and detail required by the Commissioner of Vocational Rehabilitation. Applications for initial grants shall be submitted, not later than December 31, 1965, to the Assistant Commissioner, Research and Training, Vocational Rehabilitation Administration, DHEW, Washington, D.C., 20201, who processes them for submission to the National Advisory Council on Correctional Manpower and Training. The applicant may be requested to submit further information either before or after consideration of a project by the Council. All projects which meet the requirements for a grant are submitted to the Council which makes recommendations to the Commissioner. The Commissioner then determines the action to be taken with respect to each project and informs the applicant accordingly. In the case of approval, the applicant is advised of the amount and method of payment and the period to which the grant is to be applied. Separate application shall be made for continuation support.

Grants under this part shall be subject to the following terms and conditions:

(a) The grantee organization will undertake and conduct, or if more than one organization is to receive grants, such organizations have agreed among themselves to undertake and conduct, a coordinated program of research into and study of all aspects of the resources, needs, and practices referred to in § 405.1;

(b) The research and study shall be completed not later than 3 years from the inauguration date specified in the approved application or applications;

(c) The grantee will file annual reports with the Secretary of Health, Education, and Welfare, the Commissioner of Vocational Rehabilitation, the Congress, the Governors of the several States and the President, among others the grantee may select; and the grantee will similarly file the final report; and

(d) Such other terms and conditions as the Commissioner of Vocational Rehabilitation may specify.

§ 405.4 Financial participation.

Federal financial participation shall be available in expenditures specified in the approved budget. The grantee organization or organizations is authorized to accept additional financial support from private or other public sources to assist in carrying on the project authorized by this part.

Subpart B-National Advisory Council on Correctional Manpower and Training

§ 405.6 Appointment and composition.

The National Advisory Council on Correctional Manpower and Training shall consist of the Secretary of Health, Education, and Welfare (or his designee) as Chairman and 12 members, not otherwise in the regular full-time employ of the United States, appointed without regard to civil service laws by the Secretary after consultation with the Attorney General of the United States. The appointed members shall be leaders in fields concerned with correctional rehabilitation or in public affairs. In selecting persons for appointment to the Council, consideration shall be given to such factors, among others, as (a) familiarity with correctional manpower problems, and

The Council shall consider all applications for grants under Subpart A of this part and make recommendations with respect to approval of applications for and the amount of such grants. § 405.9 Per diem payments.

Appointed members of the Council, while attending meetings or conferences thereof or otherwise serving on business of the Council, shall be entitled to receive compensation at a rate to be fixed by the Secretary of Health, Education, and Welfare, but not exceeding $100 per day, including travel time, and, while so serving away from their homes or regular places of business, they may be allowed travel expenses, including per diem in lieu of subsistence, as authorized by section 5 of the Administrative Expenses Act of 1946 (5 U.S.C. 73b-2) for persons in the Government service employed intermittently.

The Commission shall (a) determine how and to what extent architectural barriers impede access to or use of facilities and buildings of all types by the handicapped; (b) determine what is being done, especially by public and other nonprofit agencies and groups having an interest in and capacity to deal with the problem, to eliminate such barriers from existing buildings and to prevent their incorporation into buildings constructed in the future; (c) prepare plans and proposals for such further action as may be necessary to achieve the goal of ready access to and full use of facilities and buildings of all types by the handicapped, including proposals for bringing together in a cooperative effort agencies, organizations, and groups already working toward that goal or whose cooperation is essential to effective and comprehensive action.

§ 406.4 Advisory and technical consult

ants.

The Commission is authorized to appoint such special advisory and technical

Appointed members of the Commission and special advisory and technical experts and consultants appointed by the Commission shall, while attending meetings or conferences thereof or otherwise serving on business of the Commission, be entitled to receive compensation at rates fixed by the Secretary, but not exceeding $100.00 per day, including travel time; and while so serving away from their homes or regular places of business they may be allowed travel expenses including per diem in lieu of subsistence as authorized by section 5 of the Administrative Expenses Act of 1946 (5 U.S.C. 73b-2) for persons in the government service employed intermittently.

§ 406.6 Report to the Secretary.

The Commission shall, prior to January 1, 1968, submit a final report of its activities together with its recommendations for further carrying out the purposes of this part to the Secretary for transmission by him together with his recommendations to the President and then to the Congress. The Commission shall also prepare such interim reports as the Secretary may request.