tion, the Commissioner will select applicants to be funded under this part on the basis of the criteria set forth in 45 CFR 100a 26(b), as well as the following additional criteria:

(1) Need (i) The extent to which the target area of the project is characterized by having a percent of youths from low-income families, residing or attending school in the area, that exceeds the minimally acceptable 25 percent, or exceeds 15 percent for those proposing to serve sparsely populated or geographically isolated areas;

(ii) The number of youths who are eligible to be served by a project who reside or attend schools in the target area;

(2) Design (i) The extent to which the project will, in the target area, increase the rate of secondary school completion and postsecondary admissions, decrease the rate of secondary school dropouts, and increase the number of secondary and postsecondary dropouts who reenter secondary and postsecondary educational programs;

(ii) The comprehensiveness of the applicant's plan for identifying and selecting eligible participants and assessing and documenting their potential for postsecondary education, providing career and academic guidance and counseling, disseminating information on student financial aid to the target population, assisting youths in gaining admission or readmission to secondary schools and a variety of postsecondary institutions which have adequate supportive services, if needed by the participants, assisting youths enrolling in postsecondary institutions in obtaining student financial aid, and determining whether the participants actually enrolled in secondary programs or postsecondary institutions and whether participants enrolled in postsecondary institutions received adequate financial aid;

(iii) The quality of the applicant's plan to evaluate the effects of project services on the enrollment of participants in postsecondary educational programs with adequate financial aid and on the return of participants to secondary and post secondary educational programs;

(3) Resources and organization. (i) The extent to which the applicant has provided for the orientation of secondary and postsecondary schools in the target area to the goals and objectives of the Talent Search Program and has received written commitments by community and other relevant organizations for the utilization of community and other resources to supplement authorized activities;

(ii) The extent to which the applicant has the resources, organization, and personnel to successfully carry out a Talent Search project;

(iii) The adequacy of the project's staffing pattern, the required professional qualifications and experience, the duties and the salary range for each professional category and the plan for staff selection and in-service training.

(4) Budget. (i) The extent to which the proposed budget reflects the activities to be undertaken; and

(ii) The reasonableness of the allocation of resources among the proposed project activities.

(d) In evaluating an application for a new award, the Commissioner will use the following weights:

(1) Need. 35 percent.

(2) Design. 25 percent.

(3) Resources and organization. 35 percent, and

(4) Budget. 5 percent.

(e) In selecting applications for funding, the Commissioner will consider the need for the project in the area the applicant proposes to serve as compared to the need of the total target population to be served.

(f) National demonstration projects. The Commissioner will select a limited number of applications to be funded as Talent Search national demonstration projects on the basis of the criteria set forth in paragraph (c) of this section and the following additional criteria:

(1) Whether the proposed project is national or inter-regional in scope or presents a clearly new or experimental technique or design for the provision of Talent Search services to eligible participants;

(2) Whether the proposed project duplicates or competes with existing regional or national programs, or con

solidates existing regional or inter-regional educational activities under the aegis of a single agency or institution;

(3) Whether, with regard to proposed projects presenting a new or experimental technique or design, the proposed activities and results can be readily replicated and utilized by other educational programs concerned with the provision of services to similar youths;

(4) Whether the proposed project will provide services not readily available on a local or regional basis to such youths; and

(5) Whether the proposed project will provide disadvantaged students a variety of educational opportunities and options for postsecondary education.

(20 U.S.C. 1070d-1)

§ 159.8 Project size.

(a) Each project shall identify and serve at least 1,000 youths except that projects serving sparsely populated or geographicaly isolated target areas need not serve 1,000 youths but must serve at least 500 youths.

(b) Projects may serve youths from other than low-income families who are otherwise eligible under § 159.4. The number of such participants shall not exceed one-third of the total number of participants served.

(20 U.S.C. 1070d-1)

§ 159.9 Project activities and services-project requirements.

(a) Projects funded under this part shall be designed to assist qualified youths, including those youths who reside in areas of severe rural isolation or who are physically handicapped, with academic potential from lowincome families to complete secondary school and enroll with adequate financial aid in postsecondary institutions and shall:

(1) Collect and disseminate information regarding the variety of postsecondary

educational opportunities, student financial aid, academic assistance and career options available to project participants;

(2) Provide counseling and guidance to each project participant with

regard to the appropriate postsecondary institution for that person;

(3) Provide counseling with regard to career options available to project participants; and

(4) Provide assistance to project participants in applying for (i) admission to postsecondary institutions, (ii) readmission to secondary schools, or postsecondary institutions with adequate supportive services if needed by project participants, and (iii) student financial aid.

(b) Each project shall: (1) Develop and utilize an assessment process, which includes the results of standardized measurement instruments or other verifiable indicators to determine, if needed, each participant's interests, career goals, and academic potential;

(2) In the target area, develop and implement a strategy to (i) increase significantly the secondary school completion rate, the postsecondary school admissions rate and, with regard to dropouts, the secondary and postsecondary readmission rates and (ii) decrease significantly the secondary school dropout rates;

(3) Not duplicate services offered by an Educational Opportunity Center, another Talent Search project or other similar programs in the target area and, if practicable, shall share facilities, staff, services and activities;

(4) Establish cooperative relationships with service agencies in the target area which have resources needed by the project participants;

(5) Establish a direct relationship with educational institutions to determine admission requirements, filing and deadline dates for the submission of admission and financial aid applications, course requirements, and appropriate supportive services available for project participants;

(6) Engage a project director with demonstrated professional qualifications, administrative skills and a clear commitment to serve in a full-time capacity. This full-time requirement may be waived: (i) in the event the individual is selected under § 159.15(a) to coordinate two or more programs, or (ii) if the individual must teach a minimum number of hours at the host institution to retain faculty status.

(9) Determine (i) whether each participant admitted to a secondary or postsecondary institution actually enrolled in that institution and (ii) whether participants enrolled in postsecondary institutions received adequate financial assistance;

(10) Evaluate the effects of project services on (i) increasing the rates of secondary school completion, postsecondary admissions and secondary and postsecondary dropouts' re admission to secondary and postsecondary educational programs and (ii) decreasing the rates of secondary and postsecondary school dropouts; and

(11) Ensure that the project is not used as an exclusive recruitment mechanism by the grantee.

(20 U.S.C. 1070d-1)

§ 159.10 National demonstration projects.

(a) The Commissioner may reserve funds to conduct national demonstration projects.

(b) National demonstration projects shall:

(1) Be national or inter-regional in scope, or present a clearly new or experimental technique or design for the provision of Talent Search services to eligible participants;

(2) Neither duplicate nor compete with existing regional or national programs, nor consolidate existing regional or inter-regional educational activities under the aegis of a single agency or institution;

(3) Be readily replicable and utilized by other educational programs concerned with the provision of services for similar youth;

(4) Provide services not readily available on a local or regional basis for such youth; and

(5) Provide disadvantaged youth a variety of educational opportunities and options for postsecondary education.

(20 U.S.C. 1070d-1)

§ 159.11 Allowable costs.

(a) The Commissioner will pay those costs that are reasonably related to carrying out the project. Such costs may include:

(1) Transportation costs for students and staff to postsecondary educational institutions in the area;

(2) Transportation costs for student participation in "College Days" activi

ties;

(3) Transportation costs for career development field trips;

(4) Purchase of testing materials; (5) Purchase of college catalogs; and (6) In-service training of project staff.

(b) Costs that may not be charged against the project include:

(1) Tutoring or any instructional costs;

(2) Tuition, fees, stipends or other forms of direct financial support for youths participating in project activities;

(3) Application fees for enrollment or financial aid;

(4) Duplication of services that are otherwise provided by the institution or agency sponsoring the project or by such local agencies as vocational rehabilitation centers and social service organizations;

(5) Construction, major remodeling or major repair; and

(6) Meals and lodging for project participants.

(c) Grantees under this part will be allowed indirect costs as authorized in accordance with item 4c, Appendix A, parts 100 thru 100d of this title (General Provisions for Office of Education Programs).

(20 U.S.C. 1070d-1)

§ 159.12 Salary and wage rates.

(a) The salaries paid to project staff under this part shall be comparable to the salaries paid to persons with similar positions within the sponsoring institution or agency.

(b) The minimum rate of compensation that may be paid to project employees, including students, shall be the minimum wage required under any applicable Federal, State, or local law. (20 U.S.C. 1070d-1)

§ 159.13 Participant records.

(a) Projects shall develop and utilize a data collection system which allows the project to establish accurate participant records for all clients served. A client is a youth who has received project services through personal contact on two or more occasions. Such records shall include, but are not limited to the following:

(1) The method used to select the participant;

(2) The participant's high school transcripts and all available aptitude and achievement test scores;

(3) Documentation of the participant's eligibility to receive services under the project;

(4) Documentation of counseling services received by the student;

(5) Documentation of visits made to postsecondary institutions;

(6) Documentation of assistance provided the participant in applying for admission to postsecondary institutions and for student financial aid;

(7) The postsecondary institutions which accepted the participant for admission and the one in which he or she enrolled;

(8) The amount and type of student financial aid received by the participant; and

(9) The participant's age, sex, race, family income, grade level and permanent address.

(b) Projects shall maintain records which document services to persons served on a one- or two-time basis (contact). Such records shall include, but are not limited to, the individual's name, address, age, and service received.

(20 U.S.C. 1070d-1)

§ 159.14 Travel.

In accordance with the cost principles set forth in Appendix C to parts 100 through 100d of this title, the following travel is authorized:

(a) Travel to enable youths (i) to visit campuses of postsecondary institutions which are in reasonable proximity to the project's target area, (ii) to participate in "College Days" or their equivalent or (iii) to observe and meet with persons who are employed in various career fields and who work

within reasonable proximity to the target area;

(b) Project staff travel to professional and educational conferences specifically related to project development and to Office of Education sponsored meetings, when approved in writing by the Commissioner; and

(c) Other travel specifically approved by the Commissioner in writing and in advance of such travel.

(20 U.S.C. 1070d-1)

§ 159.15 Coordination of administration with other programs authorized by Title IV-A-4 of the Act.

In addition to the requirements set forth in CFR 100a.275 and 159.9, when an applicant under this part requests funds to carry out one or more of the programs authorized by Title IV-A-4 of the Act, the application must reflect the following:

(a) Provision for a single, unified administrative program operation. In the event a Project Director of one of the projects subject to this provision is selected to coordinate two or more projects authorized by Title IV-A-4 of the Act, the salary of that individual must be prorated among the projects;

(b) Provision for separate program identities, activities, and budget; and

(c) Consolidation of personnel and program functions to the fullest extent possible while still maintaining separate program identity.

(20 U.S.C. 1070d-1; 1232c(b)(i))

enacted by section 402(a)(1) of Pub. L. 93-380.

(b) Projects awarded with funds appropriated to carry out the Special Projects Act are also subject to the following parts, as applicable:

(1) Part 160a-programs to encourage educational agencies and institutions to prepare students to use the metric system of measurement, as provided in section 403 of Pub. L. 93-380; (2) Part 160b—programs to educate gifted and talented children, as provided in Section 404 of Pub. L. 93-380 (except subsection (f) thereof);

(3) Part 160c-programs to establish, expand, improve, maintain, and provide training for community education programs, as provided in Section 405 of Pub. L. 93-380;

(4) Part 160d-programs to assess and encourage establishment and operation of career education programs, as provided in section 406 of Pub. L. 93-380;

(5) Part 160e-programs to provide consumers' education to the public, as provided in section 811 of the Elementary and Secondary Education Act of 1965, as amended;

(6) Part 160f-programs to provide educational equity for women, as provided in section 408 of Pub. L. 93-380;

(7) Part 160g-programs to encourage and assist the use of arts in elementary and secondary school programs, as provided in section 409 of Pub. L. 93-380.

(20 U.S.C. 1851-53, 1861-67, 887d)

§ 160.2 Purposes.

(a) Except as provided in paragraph (b) of this section, the purposes of the program carried out pursuant to this part are to:

(1) Experiment with new educational and administrative methods, techniques, and practices;

(2) Meet special or unique educational needs or problems; and

(3) Place special emphasis on national educational priorities.

(b) With respect to funds reserved pursuant to § 160.4(a), the purposes of each of the priority programs for which the funds are reserved are set forth in Parts 160a through 160g of this chapter, as applicable. (20 U.S.C. 1851)

§ 160.3 Definitions.

As used in this part and in Parts 160a through 160g of this chapter, except as otherwise defined by Parts 160a through 160g of this chapter:

"Act" means the Special Projects Act, enacted by section 402(a)(1) of the Education Amendments of 1974, Pub. L. 93-380 (20 U.S.C. 1851-53).

"Institution of higher education" means an educational institution in any State which:

(a) Admits as regular students only persons having a certificate of graduation from a school providing secondary education, or the recognized equivalent of such a certificate,

(b) Is legally authorized within the State to provide a program of education beyond secondary education,

(c) Provides an educational program for which it awards a bachelor's degree or provides not less than a twoyear program which is acceptable for full credit toward such a degree,

(d) Is a public or other nonprofit institution, and

(e) Is accredited by a nationally recognized accrediting agency or association listed by the Commissioner or, if not so accredited:

(1) Is an institution with respect to which the Commissioner has determined that there is satisfactory assurance (considering the resources available to the institution, the period of time, if any, during which it has operated, the effort it is making to meet accreditation standards, and the purpose for which this determination is being made) that the institution will meet the accreditation standards of such an agency or association within a reasonable time, or

(2) Is an institution whose credits are accepted for credit, on transfer, by not less than three accredited institutions, on the same basis as if transferred from an accredited institution.

Such an institution also means any school which provides not less than a one year training program to prepare students for gainful employment in a recognized occupation and which meets the provisions of paragraphs (a), (b), (d), and (e) of this section.