cerned with the provision of services and activities for similar youths;

(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)

§ 155.11 Allowable costs-stipends.

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

(1) In-service training of project staff;

(2) The rental of space if space is not available at the sponsoring institution and if the space rented is not owned by the sponsoring institutions;

(3) Room and board expenses for Upward Bound participants computed on a weekly basis if the expenses are not more than the rates charged regularly enrolled students at the sponsoring institution during the summer session. In the event the host institution does not have a summer school operating at the same time as the Upward Bound project, room and board fees may be no higher than those fees charged regularly enrolled students during the academic year computed on a weekly basis.

(4) Student activity fees;

(5) Admission fees to educational activities, theaters, movies and other cultural events which have as their purpose the intellectual, social and cultural development of participants;

(6) Entertainment costs for project sponsored banquets, social activities, and ceremonies;

(7) Meals and overnight accommodations for staff when required to accompany the project on field trips of more than one day;

(8) Tuition costs for not more than two credit-bearing courses totaling 6 or less credit-hours at the grantee institution for participants who have graduated from secondary school and who intend to enroll in postsecondary education in the fall semester following the summer in which the credit is earned.

(9) Insurance to cover the costs of an injury to an enrollee if the injury occurs while the enrollee is participating in a project activity and medical insurance for the enrollee while the enrollee is participating full time in the summer residential component; and

(10) Room and board for those persons responsible for dormitory supervision of project participants during summer residential phase.

(b) Costs that may not be supported by funds under this part shall include:

(1) The construction, modification, or major repairs of buildings or the purchase of land or buildings;

(2) The duplication of services specifically available to students at the institution or through such local facilities as vocational rehabilitation centers, medical clinics, and social service organizations; (3) Research;

(4) Purchase of any equipment unless it is demonstrated that purchase is less expensive than renting;

(5) Meals for staff except as provided in paragraphs (a)(3) and (a)(7) of this section;

(6) Clothing; and

(7) Room and board for administrative and instructional staff personnel who do not have responsibility for dormitory supervision of project participants during summer residential phase, unless approved by the Commissioner.

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

(d) Projects shall provide stipends to all participants who are enrolled on an essentially full-time basis. Such payments shall not exceed a rate of $30 per month for the summer component or $20 per month for the academic year component except in exceptional cases, as determined by the Commissioner.

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

§ 155.12 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.

(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 laws.

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

§ 155.13 Student records.

(a) Projects shall develop and utilize a data collection system which allows for accurate and accessible records.

(b) To document the progress of each student participating in the project, student files shall include, but are not limited to, the following:

(1) Rationale used to select individual participants, including records of interviews;

(2) High school transcripts and all available test scores;

(3) Documents pertaining to student eligibility as defined in § 155.4;

(4) Diagnostic analysis of the student's academic strengths and weaknesses at the time of entry into the project, and the program support developed to improve the student's skills;

(5) Documentation of counseling activity, such as records, family contacts, career explorations, college visits, and referrals;

(6) Documentation of the services provided, the measurements of progress, and other reports that relate to the academic and other types of assistance provided the student;

(7) A medical consent form signed by the student's parent(s) or guardian;

(8) Project efforts in assisting students in gaining admission to and financial assistance for attendance at postsecondary institutions;

(9) Project follow-up on students with particular emphasis on postsecondary enrollment and status;

(10) The recommendations made to the student upon the student's completion of the project regarding his educational and career potentials; and

(11) The reasons for a student's leaving the project if he left prior to enrollment in a postsecondary educational institution.

(c) Files for projects serving veterans shall include but are not limited to those records indicated in paragraphs (b)(1), (2), (3), (4), (6), (8), (9), (10), and (11).

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

§ 155.14 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) Field trips for educational purposes which are in reasonable proximity to the project's regular location;

(b) Student travel to and from regularly scheduled project activities;

(c) 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;

(d) Transportation costs for formal visits to the campus of the sponsoring institution for parents, foster parents, or legal guardians of Upward Bound students, and overnight accommodation costs for such persons when necessary because of distance; and

(e) Other travel specifically approved by the Commissioner in writing and in advance of such travel. (20 U.S.C. 1070d-1)

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

In addition to the requirements set forth in 45 CFR 100a.275 and § 155.9, if an applicant also 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) Provide 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 serve as coordinator for 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, activies and budget; and

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

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

§ 156.1 Purpose and scope.

The purpose of the regulations in this part is to implement the provisions of section 842 of the Education Amendments of 1974 which provides for reimbursement for the development or administration of a State plan for a program of financial asistance to local educational agencies which is consistent with standards which may be required by the fourteenth amendment to the Constitution, and the primary purpose of which is to achieve equality of educational opportunity for all children in attendance at the schools of the local educational agencies of the State.

(20 U.S.C. 246)

§ 156.2 Applicability of General Provisions Regulations.

Assistance provided under this part is subject to applicable provisions contained in Subchapter A of this chapter (relating to fiscal, administrative,

property management, and other matters), except for the following:

(a) § 100a.16 (Project Description); (b) § 100a.19 (Cooperative Agreements);

(c) § 100a.26 (Review of Applications); and

(d) § 100a.27 (Disposition of Applications).

(20 U.S.C. 246)

§ 156.3 Definitions.

As used in this part:

(a) "Act" means the Education Amendments of 1974, Pub. L. 93-380.

(b) "Administration" means any action deemed necessary to implement a State Plan, but does not mean any action taken after such implementation in the normal course of operating the State program of financial assistance to local educational agencies in conjunction with such plan. Implementation may include action necessary to the installation of the plan such as: (1) the design and installation of data systems required for the implementation of the plan, (2) the gathering, processing, and analysis of such data, (3) inservice training, (4) obtaining advice and comment regarding plan implementation, and (5) evaluation of the plan.

(c) "Development" means any action which is deemed necessary to formulate or improve a State program of financial assistance to local educational agencies. Development may include such actions as: (1) planning and designing such studies, (2) carrying out such studies, and (3) dissemination and public hearings and generally those activities associated with plan adoption.

(d) "State plan" means a plan submitted by a State pursuant to selection 842 of Pub. L. 93-380 and the regulations in this part in order to establish eligibility to receive Federal reimbursement for the development or administration of such plan. The State plan shall be a detailed description of the State's policies, program, and operating procedures relating to the State's program of financial assistance to local educational agencies in that State. The plan may be, but is not limited to those policies, programs,

and operating procedures which have been enacted into law.

(20 U.S.C. 246)

§ 156.4 Eligible applicants.

(a) An application under this part shall be submitted by the State educational agency or such other agency or instrumentality of the State designated or created under State law as the eligible applicant for the purposes of Section 842 of the Act.

(b) The State plan and any amendment thereto shall include as an attachment of certificate by the State's Attorney General, or other official designated in accordance with State law to advise the State on legal matters, to the effect that the agency or instrumentality submitting the application for reimbursement under this part is the agency or instrumentality which has the authority under State law to submit the State plan for the purposes of section 842 of the Act.

(c) Prior to the submission to the Commissioner of a State plan as part of an application under this part, the State agency shall afford local educational agencies and other interested parties the opportunity, to present views and recommendations, in writing or at a recorded public hearing, on the State plan. All such written or recorded views and recommendations shall be submitted to the Governor with the State plan when such State plan is submitted to the Governor under the provisions of § 156.4(d) of this part.

(20 U.S.C. 246(a)(1))

(d) Prior to the submission to the Commissioner of any State plan as part of an application under this part, the State agency shall afford the Governor of such State an opportunity to comment on the relationship of such State plan to comprehensive and other State plans and programs. The Governor shall be afforded a period of not less than 45 days in which to make such comments, or, if the Governor makes no comments, a statement to that effect shall be attached to such plan when the same is submitted to the Commissioner.

(20 U.S.C. 246(a)(1); OMB Circular No. A95)

§ 156.5 Application for reimbursement.

(a) Application for reimbursement under this part shall be made in accordance with the applicable provisions of subparts B and C of part 100a of this chapter.

(20 U.S.C. 246)

(b) Applications for reimbursement under this part and section 842 of the Act for costs incurred or to be incurred in the development or administration of the State plan shall be submitted to the Commissioner. Applications for reimbursement may be submitted for plans developed prior to or subsequent to the effective date of section 842 of the Act or for a plan the State proposes to develop. If reimbursement is desired for a plan which has been developed, then the plan as developed shall be submitted to the Commissioner. If reimbursement is desired for a plan the State proposes to develop, then the State shall submit a proposal to develop a plan. The proposal shall set forth the goals, objectives, and scope of the plan to be developed and describe how such plan will address the major questions of school finance equity as considered in this part and section 842 of the Act. (20 U.S.C. 246; Cong. Record, daily edition, May 20, 1974, S. 8505)

(c) An application for reimbursement must be submitted no later than 90 days following submission of the plan or the proposal to develop a plan.

(d) An application for reimbursement shall set forth a detailed account of costs incurred or a schedule of reimbursements for costs to be incurred. In the latter case, reimbursements shall not be made more often than monthly. (20 U.S.C. 246)

(e) If a State plan rejects, or is intended to reject, any of the guidelines developed pursuant to section 842(a)(3) of the Act and as set forth in subpart B of this part, then the applicant shall set forth the reasons for each rejection. Such statements in support thereof shall justify any rejection of these guidelines on a substantive basis and shall give detailed reasons therefor.

(20 U.S.C. 246(b); Sen. Report No. 93-763, at p. 104 (1974))

(f) An application for reimbursement shall describe the manner in which the applicant coordinated and involved, or proposes to coordinate and involve, appropriate State agencies or branches of State government, local educational agencies, and other interested parties in the development or administration of the plan.

(20 U.S.C. 246)

§ 156.6 Entitlement.

(a) The entitlement of each State shall be determined on the basis of a straight-line formula such that the entitlement of the most populous State shall be $1,000,000, the entitlement of the least populous State shall be $100,000, and the entitlement of each other State shall fall between these amounts based on the ratio of that State's population to the population of the Nation as a whole.

(b) In the event that the funds appropriated for this section are insufficient to meet the entitlement as calculated above, then the above procedure shall be used to recalculate the entitlements with the exception that the entitlement of the most populous State shall be reduced and the entitlement of each other State shall be recalculated based on this revised limit. Subject to the provisions of section 842(c)(1) of the Act, the entitlement of the most populous State shall be reduced to a level so that the sum of the recalculated entitlements for all States equals the appropriated amount.

(c) If additional amounts become available making reimbursements under Section 842 of the Act following a recalculation of entitlements under paragraph (b), such entitlements (as reduced by such recalculation) shall be increased (in accordance with such additional amounts) on the same basis that they were reduced.

(d) After a determination regarding eligibility for reimbursement has been made for all applications timely filed under this part, any available appropriations which remain unallocated shall be ratably distributed among approved applicants for the purpose of satisfying the maximum entitlement

provided for each State under Section 842(c)(1) of the Act, except that no State may receive an amount in excess of such maximum entitlement. (20 U.S.C. 246(c)(1))

§ 156.7 State plan requirements.

A State plan shall be submitted to the Commissioner not later than July 1, 1977, to be eligible for cost reimbursement under section 842.

(20 U.S.C. 246(a)(1))

§ 156.8 Review and disposition of applications.

(a) Upon receipt of an application for reimbursement under this part, the Commissioner will review such application for conformity with the regulations and guidelines set forth under this part and the provisions of section 842 of the Act. In reviewing any such application, the Commissioner shall have the discretion to obtain the review of a panel of experts. The Commissioner may also consult with the applicant at any time concerning the sufficiency of the application.

(b) After reviewing the application, the Commissioner will determine whether the applicant may be reimbursed and if so, the costs allowable for such reimbursement, and will notify the applicant in writing of such determination.

(c) If an adverse determination as to the application is made by the Commissioner, the applicant may request a meeting with the Commissioner within 30 days of notice of such determination to discuss the application. (20 U.S.C. 246)

Subpart B-Equity Guidelines

§ 156.10 Eligibility of plans.

The Commissioner will, in determining the eligibility of plans for reimbursement submitted under the provisions of section 842 of the Act, apply the guidelines set forth in §§ 156.11-17. While a State plan may reject any of these guidelines and still be considered eligible for reimbursement, a State plan cannot in substantial part reject the principles set forth in section 842(a)(1) of the Act.