onstrate the effectiveness of, programs for improving educational opportunities for adult Indians under section 314 of the Adult Education Act (as added by section 431 of the Indian Education Act, title IV of Public Law 92-318).

(b) Assistance provided under this part is subject to applicable provisions contained in section 303 of the Adult Education Act (20 U.S.C. 1202) and regulations thereunder.

(20 U.S.C. 1211a)

§ 188.2 Definitions.

"Act" means section 314 of the Adult Education Act (20 U.S.C. 1201).

(20 U.S.C. 1211a.)

"Adult" means any individual who has attained the age of 16.

(20 U.S.C. 1202(a))

"Adult education" means services or instruction below the college level, for adults who (1) do not have a certificate of graduation from a school providing secondary education and who have not achieved an equivalent level of education, and (2) are not currently required to be enrolled in schools. (20 U.S.C. 1202(b))

"Educational model" means a pilot or demonstration project that has a structured program design which offers innovative alternatives to meet the educational needs of the adult Indian. The program design may be structured around one or more curriculum units or support services. The needs and resources of the community are to be included in the development of the educational model to ensure maximum benefit to the student and the community.

"Indian institution" means a preschool, elementary, secondary or postsecondary school established for the promotion of education of Indians which is:

(a) Controlled by a governing body, the majority of which is Indian; and

(b) If located on an Indian reservation, operates with the sanction or by charter of that Tribe(s).

"Indian organization” means an organization which:

(a) Is legally established, by Tribal charter or in accordance with state law with appropriate Constitution, Bylaws and/or Articles of Incorporation;

(b) Has the primary purpose of promoting the educational, economic, or social self-sufficiency of Indians;

(c) Has a governing board and membership composed of a majority of Indians;

(d) If located on an Indian reservation, operates with the sanction or by charter of that Tribe(s);

(e) If affiliated with a college or university, such affiliation must not limit the service area or Indian community involvement to staff and students of that college or university; and

(f) Is not an organization or subdivision of any college or university, or (which) is not directly under the control of the university or college (such organizations

are not considered Indian organizations for the purposes of this part).

"Life coping skills” means skills that will enable adults to meet their daily needs or will improve their lives economically or improve their functional competency. These skills may include instruction in consumer education, management skills, health education, occupational skills, or information related to legal problems.

"Indian" means any individual, living on or off a reservation, who (1) is a member of a tribe, band, or other organized group of Indians, including those tribes, bands, or groups terminated since 1940 and those recognized now or in the future by the State in which they reside, or who is a descendant, in the first or second degree, of any such member, or (2) is considered by the Secretary of the Interior to be an Indian for any purpose, or (3) is an Eskimo or Aleut or other Alaska Native.

(20 U.S.C. 1221h)

§ 188.3 General provisions and administrative standards.

For all grants or contracts awarded under this part, the recipient's governing body shall be responsible for setting policies, monitoring and ensuring

adherence to the following administrative standards:

(a) General provisions. Assistance 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 45 CFR 100a.26(b), and except to the extent that more specific requirements are stated in these regulations.

(b) Reporting. The grantee shall submit semi-annual financial and program progress reports. The format and due date of such reports shall be prescribed by the Commissioner.

(c) Audit (1) the grantee shall arrange for an audit by an independent auditor. These audits must be performed for each grant period that an award is made. Copies of the audit must be submitted to the Commissioner in accordance with instructions issued by the Commissioner.

(2) Audits under this paragraph must be in accordance with generally accepted auditing standards and must be performed by: (i) a licensed independent certified public accountant; or (ii) a public accountant licensed to practice on or before December 31, 1970.

(20 U.S.C. 1211a)

(45 CFR Subchapter A)

§ 188.4 Applicability of section 7(b) of the Indian Self-Determination and Education Assistance Act.

Assistance under this part is subject to section 7(b) of the Indian Self-Determination and Education Assistance Act (Pub. L. 93-638) and any regulations promulgated thereunder, to the extent that such statutory provision and regulations are by their terms applicable to assistance under this part. Section 7(b) provides for preference to Indians, in the contexts of training and employment and the awarding of subcontracts and subgrants, in connection with assistance under Federal legislation for the benefit of Indians.

(25 U.S.C. 450e(b))

Subpart B-Applications for Financial Assistance

§ 188.5 Eligibility and authorized activities for planning, pilot, and demonstration projects.

State educational agencies (as defined in 20 U.S.C. 1202(g)) and local educational agencies (as defined in 20 U.S.C. 1202(e)), and Indian tribes, institutions, and organizations may apply for grants to support planning, pilot, and demonstration projects which are designed to plan for and test and demonstrate the effectiveness of, programs for providing adult education for Indians. Such projects may be designed (a) to test and demonstrate the effectiveness of programs to improve employment and educational opportunities; (b) to assist in the establishment and operation of programs designed to stimulate the provision of (1) basic literacy opportunities to all nonliterate Indian adults, and (2) high school equivalency opportunities in the shortest period of time feasible; (c) to support a major research and development program to develop more innovative and effective techniques for achieving the literacy and high school equivalency goals; (d) to provide for basic surveys (and evaluations of such surveys) to define accurately the extent of the problems of illiteracy and lack of high school completion on Indian reservations; and (e) to encourage the dissemination of information and materials relating to, and the evaluation of the effectiveness of, education programs which may offer educational opportunities Indian adults.

(20 U.S.C. 1211a(a))

to

§ 188.6 Eligibility and authorized activities for dissemination and evaluation projects.

The Commissioner may also make grants to, and contracts with, public agencies and institutions, and Indian tribes, institutions, and organizations for (a) the dissemination of information concerning educational programs, services, and resources available to Indian adults, including evaluations thereof; and (b) the evaluation of the effectiveness of federally assisted pro

grams (in which Indian adults may participate) in achieving their purposes with respect to such adults.

(20 U.S.C. 1211a(b))

§ 188.7 Applications.

Any party eligible for assistance under this part may submit an application therefor on such forms as may be prescribed by the Commissioner. Such application shall set forth (a) the problem to be addressed; (b) the overall objectives of the proposed project; (c) the activities to be carried out; (d) the manner in which the proposed project carries out the purpose, as set forth in § 188.5 or § 188.6 to which it relates; (e) the type and size of the staff envisioned; (f) the amount of the assistance being requested; and (g) such other information as the Commissioner may require. The description of the proposed project in such application shall also include a specific discussion of the manner in which such project relates to the applicable criteria set forth in subpart C of this part. The application shall also provide for such methods of administration as are necessary for the proper and efficient administration of the project for which assistance is requested.

(20 U.S.C. 1211a(c))

§ 188.8 Community participation.

Applications submitted under § 188.5 or § 188.6 must describe the manner in which individuals to be served and tribal communities (a) participated in the planning and development of the project, and (b) will be actively participating in the further planning, development, operation, and evaluation of the project. (See section 314(c) of the Act.)

(20 U.S.C. 1211a(c))

§ 188.9 Indian preference.

In approving applications under § 188.5 and § 188.6 the Commissioner will give priority to applications submitted by Indian educational agencies, organizations, and institutions.

(20 U.S.C. 1211a(c))

§ 188.10 Evaluation.

An application under this part must contain an assurance to the Commissioner that (a) the applicant will arrange for an independent and objective evaluation of the effectiveness of the project in achieving its purposes and the purposes of the act, and (b) the applicant will cooperate with any evaluation conducted or arranged by the Commissioner.

(20 U.S.C. 1211a(c)(2))

§ 188.11 Continuation awards.

(a) Projects funded under this part may be for up to three years' duration. (b) If the application demonstrates to the Commissioner's satisfaction that multi-year support is needed to carry out the proposed project, the Commissioner may, in the initial notification of grant award for the project (which shall be for up to a twelve month period), indicate an intention to assist the project for one or two successive years through continuation grants.

(c) Continuation awards may be made to projects described in this section, subject to the restriction in paragraph (a) of this section and to the availability of funds.

(d) Applications for continuation awards will be reviewed on a non-competitive basis to determine:

(1) If the award recipient has complied with the award terms and conditions, the Act, and any applicable regulations; and

(2) The project's effectiveness to date, or the constructive changes proposed as a result of the ongoing evaluation.

(20 U.S.C. 1211a)

§ 188.12 Capacity to carry out the project. Notwithstanding the specific evaluation criteria in the remainder of this part, the Commissioner will not fund an application under this part unless the Commissioner is satisfied that the applicant has the capacity successfully to carry out the project.

(a) In making this judgment, the Commissioner will consider such factors as:

(1) Both the programmatic and financial management capacities of the applicant organization and its staff;

(2) Past performance by the applicant;

(i) In carrying out any prior grant under this part, or

(ii) In carrying out similar projects with respect to such matters as achievement of objectives, adherence to the project conditions, programmatic and financial management, and the governing board's assumption of responsibility;

(3) Adequacy of facilities and other resources, including consideration of any litigation or dispute which calls into question the continued availability of the facilities and resources to the applicant; and/or

(4) Consideration of local community factors which may prevent the successful operation of the grant.

(b) If the Commissioner decides not to fund an application based upon this section, the Commissioner will do so only after providing reasonable notice and an opportunity to the applicant to rebut, in writing or in an informal meeting with program administrators of the U.S. Office of Education, the basis for the decision.

(20 U.S.C. 1211a)

Subpart C-Criteria and Priorities for Assistance

§ 188.15 Criteria for planning, pilot, and demonstration projects.

In considering whether to fund applicants and in determining the amount of the award under an approved application submitted under this section and eligible for assistance under § 188.5, the Commissioner will use a point system to evaluate applications for assistance under this part. The maximum aggregate number of points which can be awarded under this section is 100. The Commissioner will evaluate applications under the criteria below, and will award points as indicated by the range in parentheses.

(a) Need for assistance. (0-20 points) The Commissioner may award points on the extent to which an application contains evidence of need. Need for as

sistance may be indicated in an application by such factors as:

(1) The illiteracy rate among adult Indians in the service population area who are in need of;

(i) Obtaining a General Equivalency Diploma, and

(ii) Training in life coping skills.

(b) Project design. (0-35 points) A project design is an applicant's plan to achieve its stated objectives. The quality of the applicant's project design I will be evaluated on the extent to which the application:

(1) Sets forth its objectives in a measurable and realistic manner; (0-5 points)

(2) Presents a plan of activities to accomplish each objective; (0-5 points)

(3) Provides a comprehensive plan for instruction in adult education or life coping skills; (0-5 points)

(4) Provides for the effective use of Indian traditions and cultural materials in the project; (0-5 points)

(5) Presents the development of an educational model in adult education or life coping skills; (0-5 points)

(6) Includes a plan to employ quality personnel and staff which will use the services of Indians in implementing adult educational activities; points)

(0-5

(7) Includes evidence that the facilities will be sufficient to implement the project activities. (0-5 points)

(c) Community participation. (0-10 points) The quality of participation of the Indian community will be evaluated on the extent to which the application:

(1) Indicates that the individuals to be served participated in the planning and development of the project; (0-5 points) and

(2) Provides evidence that the Indian community will be actively involved in further planning, implementation and evaluation of the project. (0-5 points)

(d) Evaluation design. (0-10 points) The Commissioner will evaluate an application on the extent to which the application sets forth an evaluation design which provides a reliable, comprehensive and measurable assessment of the performance of the project against the stated objectives.

(e) Dissemination. (0-5 points) The Commissioner will evaluate an application on the extent to which the application has a plan for comprehensive dissemination of project results to other Indian communities and Indian organizations.

(f) Administration. (0-20 points) The Commissioner will evaluate an application on the extent to which the application sets forth:

(1) effective methods of administration; (0-5 points)

(2) effective financial management procedures; (0-5 points)

(3) reasonable costs for services and property for the proposed project and evidence that efforts have been made to minimize funds requested for the purchase of equipment and for personnel normally supported by the applicant; (0-5 points) and

(4) proper procedures for effective coordination of activities under the proposed project with related activities funded under other projects or programs (0-5 points)

(20 U.S.C. 1211a)

§ 188.16 Criteria for survey and evaluation projects.

The Commissioner will evaluate and award points to applications submitted under § 188.5(d) for basic surveys and evaluations which define the problems of illiteracy and lack of completion of high school on Indian reservations and for projects under § 188.6 as indicated in this section. In addition to the criteria in § 188.15 (a), (c), (d), (e), and (f) (which total a maximum aggregate of 65 points) the Commissioner will evaluate applications submitted under § 188.5(d) under the criteria in this section. The maximum aggregate number of points which can be awarded under this section is 35, which when added to the maximum aggregate number of points which can be awarded from the relevant paragraphs of § 188.15, as noted above, equals 100. The Commissioner will evaluate § 188.5(d) § 188.6 applications on the quality of:

and

(a) A plan that specifies the development of the survey instrument and data collection system to be used; (0-5 points)