represent a strategy to achieve these objectives;

J

(iii) How implementation of the State plan shall supplement and be coordinated with other energy conservation programs being carried out in the State with Federal funds or under other Federal laws; with particular reference to university programs providing extension services and the State's SECP;

(iv) How existing organizations will be used to the optimum extent to assist in the implementation of the State plan;

(v) How the State plan provides for information dissemination to small businesses and addresses organizations which influence the energy consumption of small energy users;

(vi) How the State plan makes energy audits available to small energy users, within personnel and funding limitations;

(2) A description for each State program in the State plan, which shall include

(i) The target audience, why it was selected and the estimated number of persons which the State program expects to reach;

(ii) The services to be provided, including

(A) How the services will meet the needs of the target audience;

(B) The conservation techniques and technologies to be used in each service;

(C) The type and estimated number of any energy audits if any are included; and

(D) The geographic areas in which the services shall be delivered and why these areas were selected;

(iii) Any technical support which is necessary to provide the services, including the type of organization that will provide the technical support and why that type of organization was selected; and

(iv) The type of organization which shall implement the State program and the type of any other organizations which shall provide a service to the target audience, why the selection was made and the approximate number of any new personnel to be employed to implement the State program;

(3) A description of the organization which shall administer the overall development and implementation of the State plan, which shall include

(i) Why the administering organization was selected;

(ii) The provisions made for coordination between the administering organization and any other organization assisting in the implementation of the State plan; and

(iii) The relationship between the administering organization and the grantee if the two are not the same;

(4) A description of the methods and procedures which shall be used to—

(i) Identify barriers to energy conservation from responses which shall be obtained from target audiences;

(ii) Communicate information concerning the barriers to energy conservation to organizations within the State that have the capability or authority to remove or influence the barriers; and

(iii) Periodically report the results of such communication to the target audiences identified in paragraph (c)(4)(i) of this section;

(5) A description of the administrative procedures to be used in the implementation of the State plan which shall include

(i) The procedures to be used to respond to suggestions and inquiries from the public regarding energy conservation;

(ii) The procedures to be used to publicize and disseminate up-to-date and easily understood information on the services available to small energy users under the State plan and under other Federal programs and activities of the State regarding conservation techniques and technologies; and

(iii) The system to be used to review, for technical accuracy, any publication or other material which the State shall prepare or use in a State program;

(6) A description of the purpose, methods and procedures of the independent evaluation activities, if any, that the State shall undertake regarding the State programs or services;

(7) A description of any additional technical support not described in (c)(2)(iii) of this section which is required to facilitate implementation of

the State plan. If existing organizations are not available to provide this additional technical support or the technical support identified in paragraph (c)(2)(iii), the State may propose to establish a technical support institute, at one or more colleges or universities designated by the Governor. The purpose of the technical support institute shall be to assist in the implementation of the State plan by providing analyses and technical support which is required for effective implementation of the State plan. If such an institute is proposed, the State shall provide a detailed justification which shall describe

(i) Why the institute is needed;

(ii) How the institute specifically relates to the implementation of the State plan; and

(iii) The purpose, location, size, and specific activities of the institute; and

(8) A description of the procedures that the grantee will use to achieve timely implementation of the State plan.

(Approved by the Office of Management and Budget under control number 19040041)

§ 465.8 Approval of annual State applications and State plans.

(a) After receipt of an application, the Operations Office Manager may request the State to submit within a reasonable period of time any amendments necessary to make the application complete or amendments to bring the application into compliance with the requirements of this part. The Operations Office Manager shall attempt to resolve any dispute over an application informally and to seek voluntary compliance. If a State fails to submit timely appropriate amendments to complete the application, the Operations Office Manager may reject the application as incomplete in a written decision, including a statement of reasons, which shall be subject to administrative review under § 465.10 of this part.

(b) on or before 60 days from the date that a timely filed application is complete, the Operations Office Manager shall decide whether DOE shall make a financial assistance award. The Operations Office Manager may—

(1) Approve the application in whole or in part to the extend that—

(i) The State plan meets the objectives of the Act;

(ii) The annual State application and the State plan meet the requirements of §§ 465.6 and 465.7, respectively; and

(iii) Implementation of the State plan by the State conforms to the requirements of this part;

(2) Approve the application in whole or in part subject to special conditions designed to ensure compliance with the requirements of this part; or

(3) Disapprove the application if it does not conform to the requirements of this part.

[55 FR 41327, Oct. 10, 1990]

§ 465.9 Development and implementation of a State plan by the Director.

(a) The Director shall develop a State plan which meets the requirements of § 465.7, if—

(1) A State does not submit an annual State application in accordance with § 465.6; or

(2) The Operations Office Manager finally disapproves an annual State application according to § 465.10.

(b) Prior to developing a State plan under this section, the Director shall provide written notice and an opportunity for comment to the Governor.

(c) A State plan developed by the Director shall be transmitted to the Governor of the State and shall not be implemented for 90 days after the date of transmittal. Notwithstanding any provisions of this section to the contrary, no State plan developed by the Director according to paragraph (a) of this section shall be implemented if the Governor, within the 90-day period, notifies the Secretary in writing of his or her objection to the implementation of the State plan.

(d) In implementing a State plan developed according to this section to which the Governor has not objected during the 90-day period referred to in paragraph (c) of this section, the Director shall make maximum use of regional, State, or local organizations which deliver services which are appropriate for purposes of this part. The Director shall coordinate his or

her activities in implementing the State plan with all other regional, State, or local organizatons which delever services which are related to, but not directly involved in, the implementation of the State plan.

(e) A State plan developed by the Director for a State whose financial assistance has been terminated according to 465.10, shall provide for the continuation of all activities under the State plan which meet the requirements of this part.

§ 465.10 Administrative review.

(a) A State shall have 20 days from the date of receipt of a decision under § 465.8 to file a notice requesting administrative review. If the State does not timely file such a notice, the decision under § 465.8 shall become final for DOE.

(b) A notice requesting administrative review shall be filed with the Operations Office Manager and shall be accompanied by a written statement containing supporting arguments. If the Operations Office Manager has disapproved the entire application, the State may request a public hearing.

(c) A notice of any other document shall be deemed filed under this section upon receipt.

(d) on or before 15 days from receipt of a notice requesting administrative review which is timely filed, the Operations Office Manager shall forward to the Deputy Assistant Secretary, the notice requesting administrative review, the decision under § 465.8 as to which administrative review is sought, a draft recommended final decision for concurrence, and any other relevant material.

(e) If the State requests a public hearing on the disapproval of an entire application, the Deputy Assistant Secretary, within 15 days, shall give actual notice to the State and FEDERAL REGISTER notice of the date, place, time, and procedures which shall apply to the public hearing. Any public hearing under this section shall be informal and legislative in nature.

(f) on or before 45 days from receipt of documents under paragraph (d) or the conclusion of the public hearing, whichever is later, the Deputy Assistant Secretary, shall concur in, concur

in as modified, or issue a substitute for the recommended decision of the Operations Office Manager.

(g) on or before 15 days from the date of receipt of the determination under paragraph (f) to the section, the Governor may file an application for discretionary review by the Assistant Secretary. On or before 15 days from filing, the Assistant Secretary shall send a notice to the Governor whether the Deputy Assistant Secretary's determination will be reviewed. If the Assistant Secretary grants review, a decision shall be issued no later than 60 days from the date review is granted. The Assistant Secretary may not issue a notice or decision under this paragraph without the concurrence of the DOE Office of General Counsel.

(h) A decision under paragraph (f) of this section shall be final for DOE if there is no review under paragraph (g) of this section. If there is review under paragraph (g) of this section, the decision thereunder shall be final for DOE and no appeal shall lie elsewhere in DOE.

(i) Prior to the effective date of the termination or suspension of a grant award for failure to implement an approved State plan in compliance with the requirements of this part, a grantee shall have the right to written notice of the basis for the enforcement action and of the opportunity for public hearing before the DOE Financial Assistance Appeals Board notwithstanding any provisions to contrary of 10 CFR 600.26, 600.28(b), 600.29, 600.121(c), and 600.443. To obtain a public hearing, the grantee must request an evidentiary hearing, with prior FEDERAL REGISTER notice, in the election letter submitted under rule 2 of 10 CFR 1024.4 and the request shall be granted notwithstanding any provisions to the contrary of rule 2.

[55 FR 41328, Oct. 10, 1990]

§ 465.11 Prohibited expenditures.

(a) No financial assistance provided to a State under this part shall be used

(1) For construction, such as construction of mass transit systems and exclusive bus lanes, or for construction or repair of buildings or structures;

50-032 0-91--21

(2) To purchase land, a building or structure or any interest therein;

(3) To subsidize fares for public transportation;

(4) To subsidize utility rate demonstrations or State tax credits for energy conservation;

(5) To conduct or purchase equipment to conduct research, development or demonstration of conservation techniques and technologies not commercially available; or

(6) To purchase or install equipment or materials for energy conservation building retrofits or weatherization.

(b) No more than 20 percent of the financial assistance awarded to the State for this program shall be used to purchase office supplies, library materials, or other equipment whose purchase is not otherwise prohibited by this section.

(c) Demonstrations of commercially available conservation techniques and technologies are permitted, and are not subject to the prohibitions of § 465.11(a) (1) and (6), or to the limitation on equipment purchases of § 465.11(b).

(b) A State may use regular or revolving loan mechanisms to fund EES services which are consistent with this part and which are included in the State's approved EES plan. The State may use loan repayments and any interest on the loan funds only for activities which are consistent with this part and which are included in the State's approved EES plan.

§ 465.13 Administration of financial assistance.

Grants provided under this part shall comply with applicable law including, but without limitation, the requirements of—

(a) Office of Management and Budget Circular A- 97, entitled "Rules and Regulations Permitting Federal Agencies to Provide Specialized or Technical Services to State and Local Units of Government under Title III of the Intergovernmental Coordination Act of 1968;”

(b) DOE Financial Assistance Rules (10 CFR Part 600); and

(c) Other procedures which DOE may from time to time prescribe for the administration of financial assistance under this part.

PART 470-APPROPRIATE TECHNOLOGY SMALL GRANTS PROGRAM

Sec.

470.1 Purpose and scope.

470.2 Definitions.

470.10 Establishment of program. 470.11 Eligibility requirements. 470.12 Management.

470.13 Program solicitation. 470.14 Evaluation and selection. 470.15 Allocation of funds.

470.16 Cost sharing and funds from other

sources.

470.17 General requirements. 470.18 Debriefing.

470.20 Dissemination of Information.

AUTHORITY: Energy Research and Development Administration Appropriation Authorization of 1977, Pub. L. 95-39; Energy Reorganization Act of 1974, Pub. L. 93-438; Department of Energy Organization Act, Pub. L. 95-91.

SOURCE: 45 FR 8928, Feb. 8, 1980, unless otherwise noted.

EDITORIAL NOTE: The recordkeeping requirements contained in this part have been approved by the Office of Management and Budget under control number 1904-0036. § 470.1 Purpose and scope.

This part contains guidelines for the implementation of the appropriate technology small grants program required to be prescribed by section 112 of the Act.

As used in this part

"Act" means the Energy Research and Development Administration Appropriation Authorization of 1977, Pub. L. 95-39, 91 Stat. 180, 42 U.S.C. 5907a.

“Affiliate” means a concern which, either directly or indirectly, controls or has the power to control another concern, is controlled by or is within the power to control of another concern or, together with another concern, is controlled by or is within the power to control of a third party, taking into consideration all appropriate factors, including common ownership, common management and contractual relationships.

"Concern" means any business entity organized for profit (even if its ownership is in the hands of a nonprofit entity) with its principal place of business located in the United States. "Concern" includes, but is not limited to, an individual, partnership, corporation, joint venture, association or cooperative. For the purpose of making affiliation findings, any business entity, whether organized for profit or not, and any foreign business entity (i.e., any entity located outside the United States), shall be included.

"DOE" means the Department of Energy.

"DOE-AR" means the Department of Energy Assistance Regulations (10 CFR Part 600).

“DOE-PR” means the Department of Energy Procurement Regulations (41 CFR Part 9).

"Indian tribe" means any tribe band, nation, or other organized group or community of Indians (including any Alaska native village or regional or village corporation as defined in or established pursuant to the Alaska Native Claims Settlement Act, Pub. L. 92-203, 85 Stat. 688, which (1) is recognized as eligible for the special programs and services provided by the United States to Indians because of their status as Indians; or (2) is located on, or in proximity to, a Federal or State reservation or rancheria, acting through its tribal organization.

"Local agency" means an agency or instrumentality of a local government.

"Local government" means a local unit of government including specifically a county, municipality, city, town, township, local public authority, special district, intrastate district, council of governments, sponsor group representative organization, and other regional or intrastate government entity.

"Local nonprofit organization or institution" means any corporation trust, foundation, trade association, or other institution (1) which is entitled to exemption under section 501(c)(3) of the Internal Revenue Code or (2) which is not organized for profit and no part of the net earnings of which insure to the benefit of any private shareholder or individual.

"Program" means the appropriate technology small grants program.

"Small business" means a concern, including its affiliates, which is organized for profit, is independently owned and operated, is not dominant in the field of operation in which it is submitting a proposal to DOE, and has 100 employees or less.

"Standard Federal regions" means the 10 standard Federal regions established by Office of Management and Budget Circular A-105, entitled "Standard Federal Regions."

"State" means any of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and any territory or possession of the United States.

"State agency" means an agency or instrumentality of a State govern

ment.

"State government" means the government of a State, or an interstate organization.

"Support" means financial support or award under the program by grants, cooperative agreements or contracts.

"Tribal organization" means the recognized governing body of an Indian tribe, or any legally established organization of Native Americans which is controlled, sanctioned, or chartered by such governing body.

8 470.10 Establishment of program.

There is established, under direction of the Assistant Secretary for Conservation and Solar Energy of DOE, an