nated manner and which are readily available when needed.

(i) Immediate benefit from proven research knowledge which can sustain and improve health and happiness.

(j) Freedom, independence, and the free exercise of individual initiative in planning and managing their own lives. § 901.2 Definitions.

(a) "Act" means the Older Americans Act of 1965, as amended (42 U.S.C. 3001 et seq.).

(b) “Administration on Aging” means the Administration on Aging established under the provisions of the Act in the Department of Health, Education, and Welfare.

(c) "Commissioner” means, unless the context otherwise requires, the Commissioner of the Administration on Aging. (d) "Department" means the Department of Health, Education, and Welfare. (e) The term "fiscal year" refers to the Federal fiscal year.

(f) The term "nonprofit" as applied to any agency, institution or organization means an agency, institution, or organization which is, or is owned and operated by, one or more corporations or associations, no part of the net earnings of which inures, or may lawfully inure, to the benefit of any private shareholder or individual.

(g) "Population" as applied to any State means the population of that State as determined by the most recent official estimates of the Bureau of the Census available to the Secretary preceding the fiscal year for which Federal grant funds are appropriated.

(h) "Project period" means the period of time which the Secretary finds is reasonably required to initiate and conduct a project submitted under the provisions of title IV or V of the Act. (i) "Secretary" means the Secretary of Health, Education, and Welfare.

(j) "Single organizational unit" means the unit established within the State agency with delegated authority for, and whose principal responsibility shall be, planning, coordination, and evaluation of programs and activities related to the purposes of the Act, and administration of the State plan.

(k) "State" means the several States, the District of Columbia, the Virgin Islands, Puerto Rico, Guam, American Samoa, and the Trust Territory of the Pacific Islands.

(1) "State agency" means the single

State agency established or designated as the sole agency for administering or supervising the administration of the State plan.

(m) "State plan" means the document or documents submitted by the States to comply with the requirements for participation under title III of the Act.

§ 901.3 Publications, films, copyrights, educational materials, and inventions. (a) Publications. Grantees under this chapter may publish results of any projects without prior review by the Administration on Aging: Provided, That such publications carry a footnote acknowledging assistance received under the Act, and that the claimed findings and conclusions do not necessarily reflect the views of the Administration on Aging, and provided that copies of the publication are furnished to the Administration on Aging.

(b) Films. Grantees cannot use grant funds to produce films intended for viewing by the general public without prior approval by the Administration on Aging.

(c) Copyrights. Where the grantsupported activity results in a book or other copyrightable material, the author is free to copyright, but the Administration on Aging reserves a royalty free nonexclusive, and irrevocable license to reproduce, publish, translate, or otherwise use, and to authorize others to use, all copyrightable or copyrighted materials resulting from the grant-supported activity.

(d) Educational materials. All educational materials arising out of the grant supported activity shall be available to the Secretary to reproduce, publish, translate, or otherwise use, and to authorize others to use.

(e) Inventions. Any invention arising out of the grant-supported activity shall be promptly and fully reported to the Administration on Aging. Ownership and the manner of disposition shall be determined by the Secretary in accordance with Department patent regulations and policy.

§ 901.4 Retention of records.

Grantees are required to maintain accounting records for a period of 3 years after the end of the budget period (or fiscal year in the case of grants under title III of the Act) if audit by or on behalf of the Department has occurred by that time. If audit has not occurred, the records must be retained until audit,

delegated authority, or forwards the plan or amendments together with his comments and recommendations to the Administrator, Social and Rehabilitation Service. Any State plan or amendment meeting the requirements of the Act and of this part shall be approved. § 903.3 Plan amendments.

The State agency's administration of the program shall be in conformity with the State plan as approved by the Secretary. Whenever there is any material change in the content or administration of the State plan as approved, or when there has been a change in pertinent State law or in the organization, policies, or operations of the State agency affecting the plan, the State plan shall be appropriately amended. In order to reflect the Older Americans Act Amendments of 1969, each State must submit for approval an amended State plan not later than 90 days following the effective date of the regulations in this chapter.

§ 903.4 Plan review.

No State plan, or any modification thereof, submitted under title III of the Act, shall be finally disapproved without first affording the State reasonable notice and opportunity for a hearing. § 903.6 Withholding of funds.

Whenever the Secretary, after reasonable notice and opportunity for hearing to the State agency administering or supervising the administration of a State plan approved under Title III of the Act, finds that (a) the State plan no longer complies with the provisions of the Act, or (b) in the administration of the plan there is a failure to comply substantially with any such provision, the Secretary shall notify such State agency that no further payments will be made to the State in connection with the State plan under Title III of the Act (or in his discretion, that further payments to the State will be limited to programs under or portions of the State plan not affected by such failure) until he is satisfied that there will no longer be any failure to comply. Until he is so satisfied no further payments shall be made to such State in

connection with the State plan under Title III of the Act (or payments shall be limited to programs under or portions of the State plan not affected by such failure).

[36 F.R. 12221, June 29, 1971]

§ 903.7 Appeal procedures.

A State which is dissatisfied with a final action of the Secretary under § 903.5 or § 903.6 may appeal to the U.S. Court of Appeals for the circuit in which the State is located, by filing a petition with such court within 60 days after such final action. A copy of the petition shall be forthwith transmitted by the clerk of the court to the Secretary, or any officer designated by him for that purpose. The Secretary thereupon shall file in the court the record of the proceedings on which he based his action, as provided in section 2112 of title 28, United States Code. Upon the filing of such petitions, the court shall have jurisdiction to affirm the action of the Secretary or to set it aside, in whole or in part, temporarily or permanently, but until the filing of the record, the Secretary may modify or set aside his order. The findings of the Secretary as to the facts, if supported by substantial evidence, shall be conclusive, but the court, for good cause shown, may remand the case to the Secretary to take further evidence, and the Secretary may thereupon make new or modified findings of fact and may modify his previous action and shall file in the court the record of the further proceedings. Such new or modified findings of fact shall likewise be conclusive if supported by substantial evidence. The judgment of the court affirming or setting aside, in whole or in part, any action of the Secretary shall be final, subject to review by the Supreme Court of the United States upon certiorari or certification as provided in section 1254 of title 28, United States Code. The commencement of proceedings under this section shall not, unless so specifically ordered by the court, operate as a stay of the Secretary's action.

§ 903.11

Authority of the State agency. The State plan shall contain a certification by the State Attorney General that the State agency has the authority to submit the State plan; is the sole State agency responsible for administering or supervising the administration of the State plan; and is primarily responsible for coordination of State programs and activities related to the purposes of the Act; and that nothing in the State plan is inconsistent with State law. § 903.12 Organization of the State agency.

(a) The State plan shall provide that there will be a single organizational unit within the State agency with delegated authority for, and whose principal responsibility shall be, planning, coordination and evaluation of programs and activities related to the purposes of the Act, and administration of the State plan. If the State agency is an independent single purpose agency, such agency, in its entirety, may constitute the single unit. In all other cases, the single organizational unit must be placed at a level within the State agency to assure effective performance of the unit's responsibilities. The organizational placement of this unit shall be equivalent to the placement of other major functional components of the agency. In establishment of the organizational structure in the central office, and elsewhere in the State, due consideration shall be given to the geography of the State, the number and concentration of older persons, and other special conditions in the State.

(b) The State plan shall provide for the development of programs and activities for carrying out the purposes of the Act, for the conduct of all functions for which the State is responsible under the

Act, and for methods of administration which will assure the coordination and integration of activities, adequate controls over operations, channels for the development and interpretation of policies and standards, recordkeeping and reporting procedures, and effective supervision of staff. If certain specified portions of the plan are to be administered by an agency other than the State agency, the State plan shall provide for such methods of administration as are necessary to assure the application of State standards and the effective implementation of the State plan.

§ 903.13

Functions and staffing of the single organizational unit.

The State plan shall contain a staffing plan that sets forth the projected staffing of the single organizational unit for a 3-year period. The staffing plan must set forth the number, type, and timetable for the hiring of staff set forth in such plan, and the State plan must provide that:

(a) The single organizational unit will be headed by an individual qualified by education and experience to assume leadership of the program, assigned fulltime solely to this activity; and

(b) There will be provision for adequate numbers of qualified staff assigned full-time to the single organizational unit to assure the effective conduct of the responsibilities of the unit in the following functional areas:

(1) Research, special studies, selected data gathering, and dissemination of information;

(2) Review and evaluation of programs and services;

(3) Coordination and cooperation with all other units and agencies conducting programs for the elderly;

(4) Training activities for community leadership and service project staff;

(5) Consultative and technical assistance to other State and local, public and private agencies in the State;

(6) Public information; and

(7) Citizen participation, volunteer, and advisory committee activities; and (8) All necessary administrative and management activities.

§ 903.14 Participation of older Americans; advisory assistance to the State

agency.

(a) The State plan shall provide that adequate mechanisms will be developed