- DHHS Block Grants Regulations
- Department of Health and Human Services
- Title 45
- Part 96
- Revised as of November 15, 1999, except Sections 96.10(c), 96.10(d) and 96.49 which are effective March 1, 2000. For Section 96.82 comments will be taken by Janet M. Fox, Director, Division of Energy Assistance, ACF, 370 L'Enfant Promenade SW, Washington, DC 20447.
Subpart A--Introduction
Sec.
96.1 Scope.
96.2 Definitions.
96.3 Information collection approval numbers.
Subpart B--General Procedures
96.10 Prerequisites to obtain block grant funds.
96.11 Basis of award to the States.
96.12 Grant payment.
96.13 Reallotments.
96.14 Time period for obligation and expenditure of grant funds.
96.15 Waivers.
96.16 Applicability of title XVII of the Reconciliation Act (31 U.S.C.
7301-7305).
96.17 Annual reporting requirements.
Subpart C--Financial Management
96.30 Fiscal and administrative requirements.
96.31 Audits.
96.32 Financial settlement.
96.33 Referral of cases to the Inspector General.
Subpart D--Direct Funding of Indian Tribes and Tribal Organizations
96.40 Scope.
96.41 General determination.
96.42 General procedures and requirements.
96.43 Procedures during FY 1982.
96.44 Community services.
96.45 Preventive health and health services.
96.46 Substance abuse prevention and treatment services.
96.47 Primary care.
96.48 Low-income home energy assistance.
96.49 Due date for receipt of all information.
Subpart E--Enforcement
96.50 Complaints.
96.51 Hearings.
96.52 Appeals.
96.53 Length of withholding.
Subpart F--Hearing Procedure
96.60 Scope.
96.61 Initiation of hearing.
96.62 Presiding officer.
96.63 Communications to presiding officer.
96.64 Intervention.
96.65 Discovery.
96.66 Hearing procedure.
96.67 Right to counsel.
96.68 Administrative record of a hearing.
Subpart G--Social Services Block Grants
96.70 Scope.
96.71 Definitions.
96.72 Transferability of funds.
96.73 Sterilization.
96.74 Annual reporting requirements.
Subpart H--Low-Income Home Energy Assistance Program
96.80 Scope.
96.81 Reallotment report.
96.82 Required report.
96.83 Increase in maximum amount that may be used for weatherization
and other energy-related home repair.
96.84 Miscellaneous.
96.85 Income eligibility.
96.86 Exemption from requirement for additional outreach and intake
services.
96.87 Leveraging incentive program.
96.88 Administrative costs.
96.89 Exemptions from standards for providing energy crisis
intervention assistance.
Subpart I--Community Services Block Grants
96.90 Scope.
96.91 Audit requirement.
96.92 Termination of funding.
Subpart J--Primary Care Block Grants
96.100 Scope.
96.101 Review of State decision to discontinue funding of a community
health center.
96.102 Carryover of unobligated funds.
Subpart K--Transition Provisions
96.110 Scope.
96.111 Continuation of pre-existing regulations.
96.112 Community services block grant.
Subpart L--Substance Abuse Prevention and Treatment Block Grant
96.120 Scope.
96.121 Definitions.
96.122 Application content and procedures.
96.123 Assurances.
96.124 Certain allocations.
96.125 Primary prevention.
96.126 Capacity of treatment for intravenous substance abusers.
96.127 Requirements regarding tuberculosis.
96.128 Requirements regarding human immunodeficiency virus.
96.129 Revolving funds for establishment of homes in which recovering
substance abusers may reside.
96.130 State law regarding sale of tobacco products to individuals
under age of 18.
96.131 Treatment services for pregnant women.
96.132 Additional agreements.
96.133 Submission to Secretary of Statewide assessment of needs.
96.134 Maintenance of effort regarding State expenditures.
96.135 Restrictions on expenditure of grant.
96.136 Independent peer review.
96.137 Payment schedule.
Appendix A to Part 96--Uniform Definitions of Services
Appendix B to Part 96--SSBG Reporting Form and Instructions
Authority: 31 U.S.C. 1243 note, 7501-7507; 42 U.S.C. 300w et seq.,
300x et seq., 300y et seq., 701 et seq., 8621 et seq., 9901 et seq.,
1397 et seq.
Source: 47 FR 29486, July 6, 1982, unless otherwise noted.
Subpart A--Introduction
Sec. 96.1 Scope.
This part applies to the following block grant programs:
(a) Community services (Pub. L. 97-35, sections 671-683) (42 U.S.C.
9901-9912).
(b) Preventive health and health services (Pub. L. 97-35, section
901) (42 U.S.C. 300w-300w-8).
(c) Community mental health services (Public Health Service Act,
sections 1911-1920 and sections 1941-1954) (42 U.S.C. 300x-1-300x-9 and
300x-51-300x-64).
(d) Substance abuse prevention and treatment (Public Health Service
Act, sections 1921-1935 and sections 1941-1954) (42 U.S.C. 300x-21-
300x-35 and 300x-51-300x-64).
(e) Maternal and child health services (Social Security Act, Title
V) (42 U.S.C. 701-709).
(f) Social services, empowerment zones and enterprise communities
(Pub. L. 97-35, sections 2351-55; Pub. L. 103-66, section 1371) (42
U.S.C. 1397-1397f).
(g) Low-income home energy assistance (Pub. L. 97-35, sections 2601-
11) (42 U.S.C. 8621-8629).
[47 FR 29486, July 6, 1982, as amended at 58 FR 60128, Nov. 15, 1993, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.2 Definitions.
(a) Secretary means the Secretary of Health and Human Services or
his designee.
(b) Department means the Department of Health and Human Services.
(c) Reconciliation Act means the Omnibus Budget Reconciliation Act
of 1981 (Pub. L. 97-35).
(d) State includes the fifty States, the District of Columbia, and
as appropriate with respect to each block grant, the Commonwealth of
Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, the
Commonwealth of the Northern Mariana Islands, and for purposes of the
block grants administered by agencies of the Public Health Service, the
Federated States of Micronesia, the Republic of the Marshall Islands,
and the Republic of Palau.
[47 FR 29486, July 6, 1982, as amended at 52 FR 37965, Oct. 13, 1987, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.3 Information collection approval numbers.
Information collection requirements pertaining to the block grant
programs have been approved by the Office of Management and Budget under
the provisions of the Paperwork Reduction Act, Pub. L. 96-511 (44 U.S.C.
Chapter 35) and have been assigned OMB numbers:
0930-0080 Alcohol and Drug Abuse and Mental Health Services Block Grant
Reporting Requirements
0920-0106 Preventive Health and Health Services Block Grant Reporting
Requirements
0915-0023 Primary Care Block Grant Reporting Requirements
0915-0024 Maternal and Child Health Services Block Grant Reporting
Requirements
0980-0125 Social Services Block Grant Reporting Requirements
0980-0126 Community Services Block Grant Reporting Requirements
0960-0261 Low-Income Home Energy Assistance Block Grant Reporting
Requirements.
[47 FR 29486, July 6, 1982; 47 FR 43062, Sept. 30, 1982]
Subpart B--General Procedures
Sec. 96.10 Prerequisites to obtain block grant funds.
(a) Except where prescribed elsewhere in this rule or in
authorizing legislation, no particular form is required for a State's
application or the related submission required by the statute. For the
maternal and child health block grant, the application shall be in the
form specified by the Secretary, as provided by section 505(a) of the
Social Security Act (42 U.S.C. 705(a)).
(b) The certifications required by the community services, primary
care, preventive health and health services, alcohol and drug abuse and
mental health services, and low-income home energy assistance block
grant statutes to be made by the State's chief executive officer must be
made by that individual personally, or by an individual authorized to
make such certifications on behalf of the chief executive officer.
(c) Effective beginning in fiscal year 2001, submission dates for
applications under the social service and low-income home energy
assistance block grant programs are:
(1) for the social services block grant, States and territories
which operate on a Federal fiscal year basis, and make requests for
funding from the Department, must insure that their applications (pre-
expenditure reports) for funding are submitted by September 1 of the
preceding fiscal year unless the Department agrees to a later date.
States and territories which operate their social services block grant
on a July 1-June 30 basis, must insure that their applications are
submitted by June 1 of the preceding funding period unless the
Department agrees to a later date.
(2) for the low-income home energy assistance program, States and
territories which make requests for funding from the Department must
insure that their applications for a fiscal year are submitted by
September 1 of the preceding fiscal year unless the Department agrees
to a later date.
(d) Effective beginning in fiscal year 2001, for the low-income
home energy assistance program, States and territories which make
requests for funding from the Department must insure that all
information necessary to complete their applications is received by
December 15 of the fiscal year for which they are requesting funds
unless the Department agrees to a later date.
[47 FR 29486, July 6, 1982, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.11 Basis of award to the States.
The Secretary will award the block grant funds allotted to the State
in accordance with the apportionment of funds from the Office of
Management and Budget. Such awards will reflect amounts reserved for
Indian Tribes and Tribal Organizations and, in FY 1982, any amounts
awarded by the Department under transition authorities. The grant award
constitutes the authority
to carry out the program and to draw and expend funds.
[47 FR 29486, July 6, 1982; 47 FR 43062, Sept. 30, 1982]
Sec. 96.12 Grant payment.
The Secretary will make payments at such times and in such amounts
to each State from its awards in advance or by way of reimbursement in
accordance with section 203 of the Intergovernmental Cooperation Act (42
U.S.C. 4213) and Treasury Circular No. 1075 (31 CFR Part 205). When
matching funds are involved, the Secretary shall take into account the
ratio that such payment bears to such State's total expenditures under
its awards.
Sec. 96.13 Reallotments.
The Secretary will re-allot to eligible States those funds available
as of September 1 of each fiscal year under the reallotment provisions
pertaining to the alcohol and drug abuse and mental health services,
maternal and child health services, and preventive health and health
services block grants. The reallotment procedure for the low-income home
energy assistance block grant is specified in section 2607 of the
Reconciliation Act (42 U.S.C. 8626) and Sec. 96.81 of this part.
Sec.96.14 Time period for obligation and expenditure of grant funds.
(a) Obligations. Amounts unobligated by the State at the end of the
fiscal year in which they were first allotted shall remain available for
obligation during the succeeding fiscal year for all block grants
except:
(1) Primary care. Amounts are available only if the Secretary
determines that the State acted in accordance with section 1926(a)(1) of
the Public Health Service Act (42 U.S.C. 300y-5(a)(1)) and there is good
cause for funds remaining unobligated.
(2) Low-income home energy assistance. Regular LIHEAP block grant
funds authorized under section 2602(b) of Public Law 97-35 (42 U.S.C.
8621(b)) are available only in accordance with section 2607(b)(2)(B) of
Public Law 97-35 (42 U.S.C. 8626(b)(2)(B)), as follows. From allotments
for fiscal year 1982 through fiscal year 1984, a maximum of 25 percent
may be held available for the next fiscal year. From allotments for
fiscal year 1985 through fiscal year 1990, a maximum of 15 percent of
the amount payable to a grantee and not transferred to another block
grant according to section 2604(f) of Public Law 97-35 (42 U.S.C.
8623(f)) may be held available for the next fiscal year. From allotments
for fiscal year 1991 through fiscal year 1993, a maximum of 10 percent
of the amount payable to a grantee and not transferred to another block
grant according to section 2604(f) of Public Law 97-35 (42 U.S.C.
8623(f)) may be held available for the next fiscal year. Beginning with
allotments for fiscal year 1994, a maximum of 10 percent of the amount
payable to a grantee may be held available for the next fiscal year. No
funds may be obligated after the end of the fiscal year following the
fiscal year for which they were allotted.
(b) Expenditure. No limitations exist on the time for expenditure of
block grant funds, except those imposed by statute with respect to the
community services, maternal and child health services, and social
services block grants.
[47 FR 29486, July 6, 1982; 47 FR 43062, Sept. 30, 1982, as amended at
52 FR 37965, Oct. 13, 1987; 60 FR 21357, May 1, 1995]
Sec. 96.15 Waivers.
Applications for waivers that are permitted by statute for the
block grants should be submitted to the Director, Centers for Disease
Control and Prevention in the case of the preventive health and health
services block grant; to the Administrator, Substance Abuse and Mental
Health Services
Administration in the case of the community mental health services
block grant and the substance abuse prevention and treatment block
grant; to the Director, Maternal and Child Health Bureau in the case of
the maternal and child health services block grant; and to the
Director, Office of Community Services in the case of the community
services block grant, the low-income home energy assistance program and
the social services block grant. Beginning with fiscal year 1986, the
Secretary's authority to waive the provisions of section 2605(b) of
Public Law 97-35 (42 U.S.C. 8624(b)) under the low-income home energy
assistance program is repealed.
[52 FR 37965, Oct. 13, 1987, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.16 Applicability of title XVII of the Reconciliation Act (31
U.S.C. 7301-7305).
This section interprets the applicability of the general provisions
governing block grants set forth in title XVII of the Reconciliation Act
(31 U.S.C. 7301-7305):
(a) Except as otherwise provided in this section or unless
inconsistent with provisions in the individual block grant statutes, 31
U.S.C. 7301-7305 apply to the community services, preventive health and
health services, and alcohol and drug abuse and mental health services
block grants.
(b) The requirement in 31 U.S.C. 7303(b) relating to public hearings
does not apply to any of the block grants governed by this part.
Instead, the provisions in the individual block grant statutes apply.
(c) The maternal and child health services block grant is not
subject to any requirements of 31 U.S.C. 7301-7305.
(d) The social services and low-income home energy assistance
programs are subject only to 31 U.S.C. 7304.
(e) The audit provisions of 31 U.S.C. 7305 have, in most cases, been
overridden by the Single Audit Act. Pub. L. 98-502, 31 U.S.C. 75, et
seq., and do not apply to the block grants. Pursuant to
Sec. 96.31(b)(2), certain entities may, however, elect to conduct audits
under the block grant audit provisions. For entities making this
election, the provisions of 31 U.S.C. 7305 apply to the community
services block grant.
(f) The applicability of 31 U.S.C. 7303(a) relating to the contents
of a report on proposed uses of funds is specified in Sec. 96.10.
[52 FR 37966, Oct. 13, 1987]
Sec. 96.17 Annual reporting requirements.
(a) Except for the low-income home energy assistance program
activity reports, a state must make public and submit to the Department
each annual report required by statute:
(1) Within six months of the end of the period covered by the
report; or
(2) At the time the state submits its application for funding for
the federal or state fiscal year, as appropriate, which begins
subsequent to the expiration of that six-month period.
(b) These reports are required annually for preventive health and
health services (42 U.S.C. 300w-5(a)(1)), community mental health
services (42 U.S.C. 300x et. seq.), the prevention and treatment of
substance abuse block grant (42 U.S.C. 300x-21 et. seq.), maternal and
child health services (42 U.S.C. 706(a)(1)), and the social services
block grant (42 U.S.C. 1397e(a)). See Sec. 96.82 for requirements
governing the submission of activity reports for the low-income home
energy assistance program.
[58 FR 60128, Nov. 15, 1993]
Subpart C--Financial Management
Sec. 96.30 Fiscal and administrative requirements.
(a) Fiscal control and accounting procedures. Except where otherwise required by Federal law or regulation, a
State shall obligate and expend block grant funds in accordance with the
laws and procedures applicable to the obligation and expenditure of its
own funds. Fiscal control and accounting procedures must be sufficient
to (a) permit preparation of reports required by the statute authorizing
the block grant and (b) permit the tracing of funds to a level of
expenditure adequate to establish that such funds have not been used in
violation of the restrictions and prohibitions of the statute
authorizing the block grant.
(b) Financial summary of obligation and expenditure of block grant
funds.--(1) Block grants containing time limits on both the obligation
and the expenditure of funds. After the close of each statutory period
for the obligation of block grant funds and after the close of each
statutory period for the expenditure of block grant funds, each grantee
shall report to the Department:
(i) Total funds obligated and total funds expended by the grantee
during the applicable statutory periods; and
(ii) The date of the last obligation and the date of the last
expenditure.
(2) Block grants containing time limits only on obligation of
funds. After the close of each statutory period for the obligation of
block grant funds, each grantee shall report to the Department:
(i) Total funds obligated by the grantee during the applicable
statutory period; and
(ii) The date of the last obligation.
(3) Block grants containing time limits only on expenditure of
funds. After the close of each statutory period for the expenditure of
block grant funds, each grantee shall report to the Department:
(i) Total funds expended by the grantee during the statutory
period; and
(ii) The date of the last expenditure.
(4) Submission of information. Grantees shall submit the
information required by paragraph (b)(1), (2), and (3) of this section
on OMB Standard Form 269A, Financial Status Report (short form).
Grantees are to provide the requested information within 90 days of the
close of the applicable statutory grant periods.
[47 FR 29486, July 6, 1982, as amended at 52 FR 37966, Oct. 13, 1987; 53
FR 11656, Apr. 8, 1988, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.31 Audits.
(a) Basic rule. Grantees and subgrantees are responsible for
obtaining audits in accordance with the Single Audit Act Amendments of
1996 (31 U.S.C. 7501-7507) and revised OMB Circular A-133, ``Audits of
State, Local Governments, and Non-Profit Organizations.'' The audits
shall be made by an independent auditor in accordance with generally
accepted Government auditing standards covering financial audits.
(b) Subgrantees. State or local governments, as those terms are
defined for purposes of the Single Audit Act Amendments of 1996, that
provide Federal awards to a subgrantee, expending
$300,000 or more (or other amount as specified by OMB) in Federal awards
in a fiscal year, shall:
(1) Determine whether subgrantees have met the audit requirements of
the Act. Commercial contractors (private for-profit and private and
governmental organizations) providing goods and services to State and
local governments are not required to have a single audit performed.
State and local governments should use their own procedures to ensure
that the contractor has complied with laws and regulations affecting the
expenditure of Federal funds;
(2) Determine whether the subgrantee spent Federal assistance funds
provided in accordance with applicable laws and regulations. This may be
accomplished by reviewing an audit of the subgrantee made in accordance
with the Act or through other means (e.g., program reviews) if the
subgrantee has not had such an audit;
(3) Ensure that appropriate corrective action is taken within six
months after receipt of the audit report in instances of noncompliance
with Federal laws and regulations;
(4) Consider whether subgrantee audits necessitate adjustment of the
grantee's own records; and
(5) Require each subgrantee to permit independent auditors to have
access to the records and financial statements.
[62 FR 45963, Aug. 29, 1997]
Sec. 96.32 Financial settlement.
The State must repay to the Department amounts found after audit
resolution to have been expended improperly. In the event that repayment
is not made voluntarily, the Department will undertake recovery.
[52 FR 37966, Oct. 13, 1987]
Sec. 96.33 Referral of cases to the Inspector General.
State or tribal officials who have information indicating the
commission or potential commission of fraud or other offenses against
the United States involving block grant funds should promptly provide
the information to the appropriate Regional Office of Investigations of
the Department's Office of the Inspector General.
[52 FR 37966, Oct. 13, 1987]
Subpart D--Direct Funding of Indian Tribes and Tribal Organizations
Sec. 96.40 Scope.
This subpart applies to the community services, alcohol and drug
abuse and mental health services, preventive health and health services,
primary care, and low-income home energy assistance block grants.
Sec. 96.41 General determination.
(a) The Department has determined that, with the exception of the
circumstances addressed in paragraph (c) of this section, Indian tribes
and tribal organizations would be better served by means of grants
provided directly by the Department to such tribes and organizations
out of their State's allotment of block grant funds than if the State
were awarded its entire allotment. Accordingly, with the exception of
situations described in paragraph (c) of this section, the Department
will, upon request of an eligible Indian tribe or tribal organization
and where provided for by statute, reserve a portion of the allotment
of the State(s) in which the tribe is located, and, upon receipt of a
complete application and related submission meeting statutory and
regulatory requirements, grant it directly to the tribe or
organization.
(b) An Indian tribe or tribal organization may request direct
funding under a block grant program included in this subpart regardless
of whether the State in which it is located is receiving funds under the
block grant program.
(c) The Department has determined that Indian tribal members
eligible for the funds or services provided through the block grants
would be better served by the State(s) in which the tribe is located
rather than by the tribe, where:
(1) The tribe has not used its block grant allotment substantially
in accordance with the provisions of the relevant statute(s); and
(2) Following the procedures of 45 CFR 96.51, the Department has
withheld tribal funds because of those deficiencies; and
(3) The tribe has not provided sufficient evidence that it has
removed or corrected the reason(s) for withholding. In these cases,
block grant funds reserved or set aside for a direct grant to the
Indian tribe will be awarded to the State(s), and the State(s) will
provide block grant services to the service population of the tribe.
Before awarding these funds to the State(s), the Department will allow
as much time as it determines to be reasonable for the tribe to correct
the conditions that led to withholding, consistent with provision of
timely and meaningful services to the tribe's service population during
the fiscal year. If a State(s) is awarded funds under this paragraph,
the State(s) will receive all remaining funds set aside for the tribe
for the Federal fiscal year for which the award is made. Where the
Department has withheld funds from a tribe and the tribe has not taken
satisfactory corrective action by the first day of the following fiscal
year, all of the funds to serve the tribe's service population for the
following fiscal year will be awarded to the State(s). The State(s) is
responsible for providing services to the service population of the
tribe in these cases. This paragraph also applies when funds are
withheld from a tribal organization.
[47 FR 29486, July 6, 1982, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.42 General procedures and requirements.
(a) An Indian tribe or tribal organization applying for or receiving
direct funding from the Secretary under a block grant program shall be
subject to all statutory and regulatory requirements applicable to a
State applying for or receiving block grant funds to the extent that
such requirements are relevant to an Indian tribe or tribal organization
except where otherwise provided by statute or in this part.
(b) A tribal organization representing more than one Indian tribe
will be eligible to receive block grant funds on behalf of a particular
tribe only if the
tribe has by resolution authorized the organization's action.
(c) If an Indian tribe or tribal organization whose service
population resides in more than one State applies for block grant funds
that, by statute, are apportioned on the basis of population, the
allotment awarded to the tribe or organization shall be taken from the
allotments of the various States in which the service population resides
in proportion to the number of eligible members or households to be
served in each State. If block grant funds are required to be
apportioned on the basis of grants during a base year, the allotment to
the Indian tribe or tribal organization shall be taken from the
allotment of the State whose base year grants included the relevant
grants to the tribe or organization.
(d) The audit required under the block grant programs shall be
conducted by an entity that is independent of the Indian tribe or tribal
organization receiving grant funds from the Secretary.
(e) Beginning with fiscal year 1983, any request by an Indian tribe
or tribal organization for direct funding by the Secretary must be
submitted to the Secretary, together with the required application and
related materials, by September 1 preceding the Federal fiscal year for
which funds are sought. A separate application is required for each
block grant. After the September 1 deadline, tribal applications will be
accepted only with the concurrence of the State (or States) in which the
tribe or tribal organization is located.
(f) A State receiving block grant funds is not required to use those
funds to provide tangible benefits (e.g., cash or goods) to Indians who
are within the service population of an Indian tribe or tribal
organization that received direct funding from the Department under the
same block grant program for the same fiscal year. A State, however, may
not deny Indians access to intangible services funded by block grant
programs (e.g., treatment at a community health center) even if the
Indians are members of a tribe receiving direct funding for a similar
service. A tribe receiving direct block grant funding is not
required to use those funds to provide tangible benefits to non-Indians
living within the tribe's service area unless the tribe and the
State(s) in which the tribe is located agree in writing that the tribe
will do so.
[47 FR 29486, July 6, 1982, as amended at 52 FR 37966, Oct. 13, 1987, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.43 Procedures during FY 1982.
(a) This section applies to the fiscal year beginning October 1,
1981.
(b) A request for direct funding must be received by the Secretary
before the Secretary has awarded all of the allotment to the State
involved. The application and related submission may be submitted later
but must be submitted within 75 days after the beginning of the quarter
in which the State qualified for block grant funds, (or by August 20,
1982 in the case of an Indian tribe located in a State that has not
qualified for block grant funds in FY 1982) except that the application
and related submission for the low-income home energy assistance program
must be submitted by December 15, 1981. A separate request and
application are required for each block grant.
[47 FR 29486, July 6, 1982; 47 FR 43062, Sept. 30, 1982]
Sec. 96.44 Community services.
(a) This section applies to direct funding of Indian tribes and
tribal organizations under the community services block grant.
(b) The terms Indian tribe and tribal organization as used in the
Reconciliation Act have the same meaning given such terms in section
4(b) and 4(c) of the Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450b). The terms also include organized groups of Indians
that the State in which they reside has determined are Indian tribes. An
organized group of Indians is eligible for direct funding based on State
recognition if the State has expressly determined that the group is an
Indian tribe. In addition, the statement of the State's chief executive
officer verifying that a tribe is recognized by that State will also be
sufficient to verify State recognition for the purpose of direct
funding.
(c) For purposes of section 674(c)(2) of the Act (42 U.S.C.
9903(c)(2)) an eligible Indian means a member of an Indian tribe whose
income is at or below the poverty line defined in section 673(2) of the
Act (42 U.S.C. 9902(2)). An eligible individual under section 674(c)(2)
of the Reconciliation Act (42 U.S.C. 9903(c)(2)) means a resident of the
State whose income is at or below the poverty line.
(d) An Indian tribe or tribal organization will meet the
requirements of section 675(c)(1) (42 U.S.C. 9904(c)(1)) if it certifies
that it agrees to use the funds to provide at least one of the services
or activities listed in that section.
(e) An Indian tribe or tribal organization is not required to comply
with section 675(b) (42 U.S.C. 9904(b)) or to provide the certifications
required by the following other provisions of the Reconciliation Act.
(1) Section 675(c)(2)(A) (42 U.S.C. 9904(c)(2)(A));
(2) Section 675(c)(3) (42 U.S.C. 9904(c)(3)); and
(3) Section 675(c)(4) (42 U.S.C. 9904(c)(4)).
(4) Section 675(c)(11) (42 U.S.C. 9904(c)(11)).
(f) In each fiscal year, Indian tribes and tribal organizations may
expend for administrative expenses--comparable to the administrative
expenses incurred by State at the State level--an amount not to exceed
the greater of the amounts determined by:
(1) Multiplying their allotment under section 674 of the
Reconciliation Act (42 U.S.C. 9903) by five percent; or
(2) Multiplying the allotment by the percentage represented by the
ratio of $55,000 to the smallest State allotment (excluding territorial
allotments) for that fiscal year.
[47 FR 29486, July 6, 1982, as amended at 52 FR 37967, Oct. 13, 1987]
Sec. 96.45 Preventive health and health services.
(a) This section applies to direct funding of Indian tribes and
tribal organizations under the preventive health and health services
block grant.
(b) For the purposes of determining eligible applicants under
section 1902(d) of the Public Health Service Act, a grantee that
received a grant directly from the Secretary in FY 1981 under any of the
programs replaced by the preventive health and health services block
grant that was specifically targeted toward serving a particular Indian
tribe or tribal organization will be considered eligible if the grantee
is an Indian tribe or tribal organization at the time it requests funds
under this part. Grantees that received funds under formula or Statewide
grants, and subgrantees that received funds from any program replaced by
the preventive health and health services block grant, are not eligible.
Sec. 96.46 Substance abuse prevention and treatment services.
(a) This section applies to direct funding of Indian tribes and
tribal organizations under the substance abuse prevention and treatment
Block Grant.
(b) For the purpose of determining eligible applicants under section
1933(d) of the Public Health Service Act (42 U.S.C. 300x-33(d)) an
Indian tribe or tribal organization (as defined in subsections (b) and
(c) of section 4 of the Indian Self-Determination and Education
Assistance Act) that received a direct grant under subpart I of part B
of title XIX of the PHS Act (as such existed prior to October 1, 1992)
in fiscal year 1991 will be considered eligible for a grant under
subpart 2 of part B of title XIX of the PHS Act.
(c) For purposes of the substance abuse prevention and treatment
Block Grant, an Indian tribe or tribal organization is not required to
comply with the following statutory provisions of the Public Health
Service Act: 1923 (42 U.S.C. 300x-23), 1925 (42 U.S.C. 300x-25), 1926
(42 U.S.C. 300x-26), 1928 (42 U.S.C. 300x-28), 1929 (42 U.S.C. 300x-29),
and 1943(a)(1) (42 U.S.C. 300x-53(a)(1)). An Indian tribe or tribal
organization is to comply with all other statutes and regulations
applicable to the Substance Abuse Prevention and Treatment Block Grant.
In each case in which an Indian Tribe receives a direct grant, the State
is also responsible for providing services to Native Americans under the
State's Block Grant program.
[58 FR 17070, Mar. 31, 1993]
Sec. 96.47 Primary care.
Applications for direct funding of Indian tribes and tribal
organizations under the primary care block grant must comply with 42 CFR
Part 51c (Grants for Community Health Services).
Sec. 96.48 Low-income home energy assistance.
(a) This section applies to direct funding of Indian tribes under
the low-
income home energy assistance program.
(b) The terms Indian tribe and tribal organization as used in the
Reconciliation Act have the same meaning given such terms in section
4(b) and 4(c) of the Indian Self-Determination and Education Assistance
Act (25 U.S.C. 450b) except that the terms shall also include organized
groups of Indians that the State in which they reside has expressly
determined are Indian tribes or tribal organizations in accordance with
State procedures for making such determinations.
(c) For purposes of section 2604(d) of the Act (42 U.S.C. 8623(d)),
an organized group of Indians is eligible for direct funding based on
State recognition if the State has expressly determined that the group
is an Indian tribe. A statement by the State's chief executive officer
verifying that a tribe is recognized by that State will also be
sufficient to verify State recognition for the purpose of direct
funding.
(d) The plan required by section 2604(d)(4) of the Reconciliation
Act (42 U.S.C. 8623(d)(4)) shall contain the certification and
information required for States under section 2605 (b) and (c) of that
Act (42 U.S.C. 8624 (b) and (c)). An Indian tribe or tribal organization
is not required to comply with section 2605(a)(2) of the Act (42 U.S.C.
8624(a)(2)).
(e) Where a tribe requests that the Secretary fund another entity to
provide energy assistance for tribal members, as provided by section
2604(d)(3) of the Act (42 U.S.C. 8623(d)(3)), the Secretary shall
consider the following factors in selecting the grantee: the ability of
the other entity to provide low-income home energy assistance, existing
tribal-State agreements as to the size and location of the service
population, and the history of State services to the Indian people to be
served by the other entity.
Sec. 96.49 Due date for receipt of all information required for
completion of tribal applications for the low-income home energy
assistance block grants.
Effective beginning in FY 2001, for the low-income home energy
assistance program, Indian tribes and tribal organizations that make
requests for direct funding from the Department must insure that all
information necessary to complete their application is received by
December 15 of the fiscal year for which funds are requested, unless
the State(s) in which the tribe is located agrees to a later date.
After December 15, funds will revert to the State(s) in which the tribe
is located, unless the State(s) agrees to a later date. If funds revert
to a State, the State is responsible for providing low-income home
energy assistance program services to the service population of the
tribe.
[FR Doc. 99-26820, Nov. 15, 1999]
Subpart E--Enforcement
Sec. 96.50 Complaints.
(a) This section applies to any complaint (other than a complaint
alleging violation of the nondiscrimination provisions) that a State has
failed to use its allotment under a block grant in accordance with the
terms of the act establishing the block grant or the certifications and
assurances made by the State pursuant to that act. The Secretary is not
required to consider a complaint unless it is submitted as required by
this section.
(b) Complaints with respect to the health block grants must be
submitted in writing to either the Assistant Secretary for Health or:
For the preventive health and health services block grant, the Director,
Centers for Disease Control; for the alcohol and drug abuse and mental
health services block grant, the Administrator, Alcohol, Drug Abuse, and
Mental Health Administration; for the maternal and child health services
block grant, the Administrator, Health Resources and Services
Administration. Complaints with respect to the social services block
grant must be submitted in writing to the Assistant Secretary for Human
Development Services. Complaints with respect to the low-income home
energy assistance program and the community services block grant must be
submitted in writing to the Director, Office of Community Services. (The
address for the Director, Center for Disease Control is 1600 Clifton
Road, NE., Atlanta, Georgia 30333. For each of the other officials cited
above the address is 200 Independence Avenue SW., Washington, DC 20201.)
The complaint must identify the provision of the act, assurance, or
certification that was allegedly violated; must specify the basis for
the violations it charges; and must include all relevant information
known to the person submitting it.
(c) The Department shall promptly furnish a copy of any complaint to
the affected State. Any comments received from the State within 60 days
(or such longer period as may be agreed upon between the State and the
Department) shall be considered by the Department in responding to the
complaint. The Department will conduct an investigation of complaints
where appropriate.
(d) The Department will provide a written response to complaints
within 180 days after receipt. If a final resolution cannot be provided
at that time, the response will state the reasons why additional time is
necessary. Under the
low-income home energy assistance program, within 60 days after receipt
of complaints, the Department will provide a written response to the
complainant, stating the actions that it has taken to date and, if the
complaint has not yet been fully resolved, the timetable for final
resolution of the complaint.
(e) The Department recognizes that under the block grant programs
the States are primarily responsible for interpreting the governing
statutory provisions. As a result, various States may reach different
interpretations of the same statutory provisions. This circumstance is
consistent with the intent of and statutory authority for the block
grant programs. In resolving any issue raised by a complaint or a
Federal audit the Department will defer to a State's interpretation of
its assurances and of the provisions of the block grant statutes unless
the interpretation is clearly erroneous. In any event, the Department
will provide copies of complaints to the independent entity responsible
for auditing the State's activities under the block grant program
involved. Any determination by the Department that a State's
interpretation is not clearly erroneous shall not preclude or otherwise
prejudice the State auditors' consideration of the question.
[47 FR 29486, July 6, 1982; 47 FR 43062, Sept. 30, 1982, as amended at
52 FR 37967, Oct. 13, 1987; 57 FR 1977, Jan. 16, 1992; 60 FR 21358, May
1, 1995]
Sec. 96.51 Hearings.
(a) The Department will order a State to repay amounts found not to
have been expended in accordance with law of the certifications provided
by the State only after the Department has provided the State notice of
the order and an opportunity for a hearing. Opportunity for a hearing
will not be provided, however, when the State, in resolving audit
findings or at another time, has agreed that the amounts were not
expended in accordance with law or the certifications. The hearing will
be governed by Subpart F of this part and will be held in the State if
required by statute.
(b) If a State refuses to repay amounts after a final decision that
is not subject to further review in the Department, the amounts may be
offset against payments to the State. If a statute requires an
opportunity for a hearing before such an offset may be made, the hearing
will be governed by Subpart F of this part and will be held in the State
if required by statute.
(c) The Department will withhold funds from a State only if the
Department has provided the State an opportunity for a hearing. The
hearing will be governed by Subpart F of this part and will be held in
the State if required by statute.
[47 FR 29486, July 6, 1982, as amended at 52 FR 37967, Oct. 13, 1987]
Sec. 96.52 Appeals.
(a) Decisions resulting from repayment hearings held pursuant to
Sec. 96.51(a) of this part may be appealed by either the State or the
Department to the Grant Appeals Board.
(b) Decisions resulting from offset hearings held pursuant to
Sec. 96.51(b) of this part may not be appealed.
(c) Decisions resulting from withholding hearings held pursuant to
Sec. 96.51(c) of this part may be appealed to the Secretary by the State
or the Department as follows:
(1) An application for appeal must be received by the Secretary no
later than 60 days after the appealing party receives a copy of the
presiding officer's decision. The application shall clearly identify the
questions for which review is sought and shall explain fully the party's
position with respect to those questions. A copy shall be furnished to
the other party.
(2) The Secretary may permit the filing of opposing briefs, hold
informal conferences, or take whatever other steps the Secretary finds
appropriate to decide the appeal.
(3) The Secretary may refer an application for appeal to the Grant
Appeals Board. Notwithstanding Part 16 of this title, in the event of
such a referral, the Board shall issue a recommended decision that will
not become final until affirmed, reversed, or modified by the Secretary.
(d) Any appeal to the Grant Appeals Board under this section shall
be governed by Part 16 of this title except
that the Board shall not hold a hearing. The Board shall accept any
findings with respect to credibility of witnesses made by the presiding
officer. The Board may otherwise review and supplement the record as
provided for in Part 16 of this title and decide the issues raised.
Sec. 96.53 Length of withholding.
Under the low-income home energy assistance program and community
services block grant, the Department may withhold funds until the
Department finds that the reason for the withholding has been removed.
[FR Doc. 99-26820, Nov. 15, 1999]
Subpart F--Hearing Procedure
Sec. 96.60 Scope.
The procedures in this subpart apply when opportunity for a hearing
is provided for by Sec. 96.51 of this part.
Sec. 96.61 Initiation of hearing.
(a) A hearing is initiated by a notice of opportunity for hearing
from the Department. The notice will:
(1) Be sent by mail, telegram, telex, personal delivery, or any
other mode of written communication;
(2) Specify the facts and the action that are the subject of the
opportunity for a hearing;
(3) State that the notice of opportunity for hearing and the hearing
are governed by these rules; and
(4) State the time within which a hearing may be requested, and
state the name, address, and telephone number of the Department employee
to whom any request for hearing is to be addressed.
(b) A State offered an opportunity for a hearing has the amount of
time specified in the notice, which may not be less than 10 days after
receipt of the notice, within which to request a hearing. The request
may be filed by mail, telegram, telex, personal delivery, or any other
mode of written communication, addressed to the designated Department
employee. If no response is filed within that time, the offer is deemed
to have been refused and no hearing will be held.
(c) If a hearing is requested, the Department will designate a
presiding officer, and (subject to Sec. 96.51 of this part) the hearing
will take place at a time and location agreed upon by the State
requesting the hearing, the Department, and the presiding officer or, if
agreement cannot be reached, at a reasonable time and location
designated by the presiding officer.
Sec. 96.62 Presiding officer.
(a) A Department employee to whom the Secretary delegates such
authority, or any other agency employee designated by an employee to
whom such authority is delegated, may serve as the presiding officer and
conduct a hearing under this subpart.
(b) The presiding officer is to be free from bias or prejudice and
may not have participated in the investigation or action that is the
subject of the hearing or be subordinate to a person, other than the
Secretary, who has participated in such investigation or action.
(c) The Secretary is not precluded by this section from prior
participation in the investigation or action that is the subject of the
hearing.
(d) A different presiding officer may be substituted for the one
originally designated under Sec. 96.61 of this part without notice to
the parties.
Sec. 96.63 Communications to presiding officer.
(a) Those persons who are directly involved in the investigation or
presentation of the position of the Department or any party at a hearing
that is subject to this subpart should avoid any off-the-record
communication on the matter to the presiding officer or his advisers if
the communication is inconsistent with the requirement of Sec. 96.68 of
this part that the administrative record be the exclusive record for
decision. If any communication of this type occurs, it is to be reduced
to writing and made part of the record, and the other party provided an
opportunity to respond.
(b) A copy of any communications between a participant in the
hearing and the presiding officer, e.g., a response by the presiding
officer to a request for a change in the time of the hearing is to be
sent to all parties by the person initiating the communication.
Sec. 96.64 Intervention.
Participation as parties in the hearing by persons other than the
State and the Department is not permitted.
Sec. 96.65 Discovery.
The use of interrogatories, depositions, and other forms of
discovery shall not be allowed.
Sec. 96.66 Hearing procedure.
(a) A hearing is public, except when the Secretary or the presiding
officer determines that all or part of a hearing should be closed to
prevent a clearly unwarranted invasion of personal privacy (such as
disclosure of information in medical records that would identify
patients), to prevent the disclosure of a trade secret or confidential
commercial or financial information, or to protect investigatory records
compiled for law enforcement purposes that are not available for public
disclosure.
(b) A hearing will be conducted by the presiding officer. Employees
of the Department will first give a full and complete statement of the
action which is the subject of the hearing, together with the
information and reasons supporting it, and may present any oral or
written information relevant to the hearing. The State may then present
any oral or written information relevant to the hearing. Both parties
may confront and conduct reasonable cross-examination of any person
(except for the presiding officer and counsel for the parties) who makes
any statement on the matter at the hearing.
(c) The hearing is informal in nature, and the rules of evidence do
not apply. No motions or objections relating to the admissibility of
information and views will be made or considered, but either party may
comment upon or rebut all such data, information, and views.
(d) The presiding officer may order the hearing to be transcribed.
The State may have the hearing transcribed, at the State's expense, in
which case a copy of the transcript is to be furnished to the Department
at the Department's expense.
(e) The presiding officer may, if appropriate, allow for the
submission of post-hearing briefs. The presiding officer shall prepare a
written decision, which shall be based on a preponderance of the
evidence, shall include a statement of reasons for the decision, and
shall be final unless appealed pursuant to Sec. 96.52 of this part. If
post-hearing briefs were not permitted, the parties to the hearing will
be given the opportunity to review and comment on the presiding
officer's decision prior to its being issued.
(f) The presiding officer shall include as part of the decision a
finding on the credibility of witnesses (other than expert witnesses)
whenever credibility is a material issue.
(g) The presiding officer shall furnish a copy of the decision to
the parties.
(h) The presiding officer has the power to take such actions and
make such rulings as are necessary or appropriate to maintain order and
to conduct a fair, expeditious, and impartial hearing, and to enforce
the requirements of this subpart concerning the conduct of hearings. The
presiding officer may direct that the hearing be conducted in any
suitable manner permitted by law and these regulations.
(i) The Secretary or the presiding officer has the power to suspend,
modify, or waive any provision of this subpart.
Sec. 96.67 Right to counsel.
Any party to a hearing under this part has the right at all times to
be advised and accompanied by counsel.
Sec. 96.68 Administrative record of a hearing.
(a) The exclusive administrative record of the hearing consists of
the following:
(1) The notice of opportunity for hearing and the response.
(2) All written information and views submitted to the presiding
officer at the hearing or after if specifically permitted by the
presiding officer.
(3) Any transcript of the hearing.
(4) The presiding officer's decision and any briefs or comments on
the decision under Sec. 96.66(e) of this part.
(5) All letters or communications between participants and the
presiding officer or the Secretary referred to in Sec. 96.63 of this
part.
(b) The record of the hearing is closed to the submission of
information and views at the close of the hearing, unless the presiding
officer specifically permits additional time for a further submission.
Subpart G--Social Services Block Grants
Sec. 96.70 Scope.
This subpart applies to the social services block grant.
Sec. 96.71 Definitions.
(a) Section 2005 (a)(2) and (a)(5) (42 U.S.C. 1397d (a)(2) and
(a)(5)) of the Social Security Act establishes prohibitions against the
provision of room and board and medical care unless, among other
reasons, they are an ``integral but subordinate'' part of a State-
authorized social service. ``Integral but subordinate'' means that the
room and board provided for a short term or medical care is a minor but
essential adjunct to the service of which it is a part and is necessary
to achieve the objective of that service. Room and board provided for a
short term shall not be considered an integral but subordinate part of a
social service when it is provided to an individual in a foster family
home or other facility the primary purpose of which is to provide food,
shelter, and care or supervision, except for temporary emergency shelter
provided as a protective service.
(b) As used in section 2005(a)(5) of the Social Security Act (42
U.S.C. 1397d (a)(5)) with respect to the limitations governing the
provision of services by employees of certain institutions, employees
includes staff, contractors, or other individuals whose activities are
under the professional direction or direct supervision of the
institution.
[47 FR 29486, July 6, 1982; 47 FR 43062, Sept. 30, 1982]
Sec. 96.72 Transferability of funds.
Under section 2002(d) of the Social Security Act (42 U.S.C.
1397a(d)), funds may be transferred in accordance with the provisions of
that section to the preventive health and health services, alcohol and
drug abuse and mental health services, primary care, maternal and child
health services, and low-income home energy assistance block grants. In
addition, funds may be transferred to other Federal block grants for
support of health services, health promotion and disease prevention
activities, or low-income home energy assistance (or any combination of
those activities).
Sec. 96.73 Sterilization.
If a State authorizes sterilization as a family planning service, it
must comply with the provisions of 42 CFR Part 441, Subpart F, except
that the State plan requirement under 42 CFR 441.252 does not apply.
[47 FR 33702, Aug. 4, 1982]
Sec. 96.74 Annual reporting requirements.
(a) Annual report. In accordance with 42 U.S.C. 1397e, each state
must submit an annual report to the Secretary by the due dates specified
in Sec. 96.17 of this part. The annual report must cover the most
recently completed fiscal year and, except for the data in paragraphs
(a) (1) through (4) of this section, may be submitted in the format of
the state's choice. The annual report must address the requirements in
section 2006(a) of the Act, include the specific data required by
section 2006(c), and include other information as follows:
(1) The number of individuals who receive services paid for in whole
or in part with federal funds under the Social Services Block Grant,
showing separately the number of children and the number of adults who
received such services (section 2006(c)(1));
(2) The amount of Social Services Block Grant funds spent in
providing each service, showing separately for each service the average
amount spent per child recipient and per adult recipient (section
2006(c)(2));
(3) The total amount of federal, state and local funds spent in
providing each service, including Social Services Block Grant funds;
(4) The method(s) by which each service is provided, showing
separately the services provided by public agencies, private agencies,
or both (section 2006(c)(4)); and
(5) The criteria applied in determining eligibility for each service
such as income eligibility guidelines, sliding fee scales, the effect of
public assistance benefits, and any requirements for enrollment in
school or training programs (section 2006(c)(3)).
(b) Reporting requirement. (1) Each state must use the uniform
definitions of services in appendix A of this part,
categories 1-28, in submitting the data required in paragraph (a) of
this section. Where a state cannot use the uniform definitions, it
should report the data under category 29, ``Other Services.'' The
state's definitions of each of the services listed in category 29 must
be included in the annual report.
(2) Each state must use the reporting form issued by the Department
to report the data required in paragraphs (a) (1) through (4) of this
section.
(3) In reporting recipient and expenditure data, each state must
report actual numbers of recipients and actual expenditures when this
information is available. For purposes of this report, each state
should, if possible, count only a single recipient for each service.
States should also consider a service provided to a recipient for the
length of the reporting period (one year) or any fraction thereof as a
single service. Data based on sampling and/or estimates will be accepted
when actual figures are unavailable. Each state must indicate for each
service whether the data are based on actual figures, sampling, or
estimates and must describe the sampling and/or estimation process(es)
it used to obtain these data in the annual report. Each state must also
indicate, in reporting recipient data, whether the data reflects an
unduplicated count of recipients.
(4) Each state must use category 30, ``Other Expenditures,'' to
report non-service expenditures. Only total dollar amounts in this
category are required, i.e., they need not be reported by recipient
count or cost per adult/child. This will include carry over balances,
carry forward balances, funds transferred to or from the SSBG program,
and administrative costs as defined by the state.
(5) Each state must use its own definition of the terms ``child''
and ``adult'' in reporting the data required in paragraphs (a) (1)
through (5) of this section.
(6) Each state's definition of ``child'' and ``adult'' must be
reported as a part of the eligibility criteria for each service required
in paragraph (a)(5) of this section. The data on eligibility criteria
may be submitted in whatever format the state chooses as a part of its
annual report.
(c) Transfer of computer data. In addition to making the annual
report available to the public and to the Department, a state may submit
the information specified in paragraphs (a) (1) through (4) of this
section using electronic equipment. A full description of procedures for
electronic transmission of data, and of the availability of computer
diskettes, is included in Appendix B to this part.
[58 FR 60129, Nov. 15, 1993]
Subpart H--Low-income Home Energy Assistance Program
Sec. 96.80 Scope.
This subpart applies to the low-income home energy assistance
program.
Sec. 96.81 Reallotment report.
(a) Scope. Pursuant to section 2607(b) of Public Law 97-35 (42
U.S.C. 8626(b)), this section concerns procedures relating to carryover
and reallotment of regular LIHEAP block grant funds authorized under
section 2602(b) of Public Law 97-35 (42 U.S.C. 8621(b)).
(b) Required carryover and reallotment report. Each grantee must
submit a report to the Department by August 1 of each year, containing
the information in paragraphs (b)(1) through (b)(4) of this section.
The Department shall make no payment to a grantee for a fiscal year
unless the grantee has complied with this paragraph with respect to the
prior fiscal year.
(1) The amount of funds that the grantee requests to hold available
for obligation in the next (following) fiscal year, not to exceed 10
percent of the funds payable to the grantee;
(2) A statement of the reasons that this amount to remain available
will not be used in the fiscal year for which it was allotted;
(3) A description of the types of assistance to be provided with
the amount held available; and
(4) The amount of funds, if any, to be subject to reallotment.
(c) Conditions for reallotment. If the total amount available for
reallotment for a fiscal year is less than $25,000, the Department will
not reallot such amount. If the total amount available for reallotment
for a fiscal year is $25,000 or more, the Department will reallot such
amount, except that the Department will not award less than $25 in
reallotted funds to a grantee.
[57 FR 1977, Jan. 16, 1992, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.82 Required report.
(a) Each grantee which is a State or an insular area which receives
an annual allotment of at least $200,000 shall submit to the
Department, as part of its LIHEAP grant application, the data required
by section 2605(c)(1)(G) of Public Law 97-35 (42 U.S.C. 8624(c)(1)(G))
for the 12-month period corresponding to the Federal fiscal year
(October 1-September 30) preceding the fiscal year for which funds are
requested. The data shall be reported separately for LIHEAP heating,
cooling, crisis, and weatherization assistance.
(b) Each grantee which is an insular area which receives an annual
allotment of less than $200,000 or which is an Indian tribe or tribal
organization which receives direct funding from the Department shall
submit to the Department, as part of its LIHEAP grant application, data
on the number of households receiving LIHEAP assistance during the 12-
month period corresponding to the Federal fiscal year (October 1-
September 30) preceding the fiscal year for which funds are requested.
The data shall be reported separately for LIHEAP heating, cooling,
crisis, and weatherization assistance.
(c) Grantees will not receive their LIHEAP grant allotment for the
fiscal year until the Department has received the report required under
paragraph (a) or (b) of this section.
[52 FR 37967, Oct. 13, 1987, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.83 Increase in maximum amount that may be used for
weatherization and other energy-related home repair.
(a) Scope. This section concerns requests for waivers increasing
from 15 percent to up to 25 percent of LIHEAP funds allotted or
available to a grantee for a fiscal year, the maximum amount that
grantees may use for low-cost residential weatherization and other
energy-related home repair for low-income households (hereafter referred
to as ``weatherization''), pursuant to section 2605(k) of Public Law 97-
35 (42 U.S.C. 8624(k)).
(b) Public inspection and comment. Before submitting waiver requests
to the Department, grantees must make proposed waiver requests available
for public inspection within their jurisdictions in a manner that will
facilitate timely and meaningful review of, and comment upon, these
requests. Written public comments on proposed waiver requests must be
made available for public inspection upon their receipt by grantees, as
must any summaries prepared of written comments, and transcripts and/or
summaries of verbal comments made on proposed requests at public
meetings or hearings. Proposed waiver requests, and any preliminary
waiver requests, must be made available for public inspection and
comment until at least March 15 of the fiscal year for which the waiver
is to be requested. Copies of actual waiver requests must be made
available for public inspection upon submission of the requests to the
Department.
(c) Waiver request. After March 31 of each fiscal year, the chief
executive officer (or his or her designee) may request a waiver of the
weatherization obligation limit for this fiscal year, if the grantee
meets criteria in paragraphs (c)(2)(i), (c)(2)(ii), and (c)(2)(iii) of
this section, or can show ``good cause'' for obtaining a waiver despite
a failure to meet one or more of these criteria. (If the request is made
by the chief executive officer's designee and the Department does not
have on file written evidence of the designation, the request also must
include evidence of the appropriate delegation of authority.) Waiver
requests must be in writing and must include the information specified
in paragraphs (c)(1) through (c)(6) of this section. The grantee may
submit a preliminary waiver request for a fiscal year, between February
1 and March 31 of the fiscal year for which the waiver is requested. If
a grantee chooses to submit a preliminary waiver request, the
preliminary request must include the information specified in paragraphs
(c)(1) through (c)(6) of this section; in addition, after March 31 the
chief executive officer (or his or her designee) must submit the
information specified in paragraphs (c)(7) through (c)(10) of this
section, to complete the preliminary waiver request.
(1) A statement of the total percent of its LIHEAP funds allotted or
available in the fiscal year for which the waiver is requested, that the
grantee desires to use for weatherization.
(2) A statement of whether the grantee has met each of the following
three criteria:
(i) In the fiscal year for which the waiver is requested, the
combined total (aggregate) number of households in the grantee's service
population that will receive LIHEAP heating, cooling, and crisis
assistance benefits that are provided from Federal LIHEAP allotments
from regular and supplemental appropriations will not be fewer than the
combined total (aggregate) number that received such benefits in the
preceding fiscal year;
(ii) In the fiscal year for which the waiver is requested, the
combined total (aggregate) amount, in dollars, of LIHEAP heating,
cooling, and crisis assistance benefits received by the grantee's
service population that are provided from Federal LIHEAP allotments
from regular and supplemental appropriations will not be less than the
combined total (aggregate) amount received in the preceding fiscal year;
and
(iii) All LIHEAP weatherization activities to be carried out by the
grantee in the fiscal year for which the wavier is requested have been
shown to produce measurable savings in energy expenditures.
(3) With regard to criterion in paragraph (c)(2)(i) of this section,
a statement of the grantee's best estimate of the appropriate household
totals for the fiscal year for which the wavier is requested and for the
preceding fiscal year.
(4) With regard to criterion in paragraph (c)(2)(ii) of this
section, a statement of the grantee's best estimate of the appropriate
benefit totals, in dollars, for the fiscal year for which the waiver is
requested and for the preceding fiscal year.
(5) With regard to criterion in paragraph (c)(2)(iii) of this
section, a description of the weatherization activities to be carried
out by the grantee in the fiscal year for which the wavier is requested
(with all LIHEAP funds proposed to be used for weatherization, not just
with the amount over 15 percent), and an explanation of the specific
criteria under which the grantee has determined whether these activities
have been shown to produce measurable savings in energy expenditures.
(6) A description of how and when the proposed wavier request was
made available for timely and meaningful public review and comment,
copies and/or summaries of public comments received on the request
(including transcripts and/or summaries of any comments made on the
request at public meetings or hearings), a statement of the method for
reviewing public comments, and a statement of the changes, if any, that
were made in response to these comments.
(7) To complete a preliminary waiver request: Official confirmation
that the grantee wishes approval of the waiver request.
(8) To complete a preliminary waiver request: A statement of whether
any public comments were received after preparation of the preliminary
waiver request and, if so, copies and/or summaries of these comments
(including transcripts and/or summaries of any comments made on the
request at public meetings or hearings), and a statement of the changes,
if any, that were made in response to these comments.
(9) To complete a preliminary waiver request: A statement of whether
any material/substantive changes of fact have occurred in information
included in the preliminary waiver request since its submission, and, if
so, a description of the change(s).
(10) To complete a preliminary waiver request: A description of any
other changes to the preliminary request.
(d) ``Standard'' waiver. If the Department determines that a grantee
has meet the three criteria in paragraph (c)(2) of this section, has
provided all information required by paragraph (c) of this section, has
shown adequate concern for timely and meaningful public review and
comment, and has proposed weatherization that meets all relevant
requirements of title XXVI of Public Law 97-35 (42 U.S.C. 8621 et seq.)
and 45 CFR part 96, the Department will approve a ``standard'' waiver.
(e) ``Good cause'' waiver. (1) If a grantee does not meet one or
more of the three criteria in paragraph (c)(2) of this section, then the
grantee may submit documentation that demonstrates good cause why a
waiver should be granted despite the grantee's failure to meet this
criterion or these criteria. ``Good cause'' waiver requests must include
the following information, in addition to the information specified in
paragraph (c) of this section:
(i) For each criterion under paragraph (c)(2) of this section that
the grantee does not meet, an explanation of the specific reasons
demonstrating good cause why the grantee does not meet the criterion and
yet proposes to use additional funds for weatherization, citing
measurable, quantified data, and stating the source(s) of the data used;
(ii) A statement of the grantee's LIHEAP heating, cooling, and
crisis assistance eligibility standards (eligibility criteria) and
benefits levels for the fiscal year for which the waiver is requested
and for the preceding fiscal year; and, if eligibility standards were
less restrictive and/or benefit levels
were higher in the preceding fiscal year for one or more of these
program components, an explanation of the reasons demonstrating good
cause why a waiver should be granted in spite of this fact;
(iii) A statement of the grantee's opening and closing dates for
applications for LIHEAP heating, cooling, and crisis assistance in the
fiscal year for which the waiver is requested and in the preceding
fiscal year, and a description of the grantee's outreach efforts for
heating, cooling, and crisis assistance in the fiscal year for which the
waiver is requested and in the preceding fiscal year, and, if the
grantee's application period was longer and/or outreach efforts were
greater in the preceding fiscal year for one or more of these program
components, an explanation of the reasons demonstrating good cause why a
waiver should be granted in spite of this fact; and
(iv) If the grantee took, or will take, other actions that led, or
will lead, to a reduction in the number of applications for LIHEAP
heating, cooling, and/or crisis assistance, from the preceding fiscal
year to the fiscal year for which the waiver is requested, a description
of these actions and an explanation demonstrating good cause why a
waiver should be granted in spite of these actions.
(2) If the Department determines that a grantee requesting a ``good
cause'' waiver has demonstrated good cause why a waiver should be
granted, has provided all information required by paragraphs (c) and
(e)(1) of this section, has shown adequate concern for timely and
meaningful public review and comment, and has proposed weatherization
that meets all relevant requirements of title XXVI of Public Law 97-35
(42 U.S.C. 8621 et seq.) and 45 CFR part 96, the Department will approve
a ``good cause'' waiver.
(f) Approvals and disapprovals. After receiving the grantee's
complete waiver request, the Department will respond in writing within
45 days, informing the grantee whether the request is approved on either
a ``standard'' or ``good cause'' basis. The Department may request
additional information and/or clarification from the grantee. If
additional information and/or clarification is requested, the 45-day
period for the Department's response will start when the additional
information and/or clarification is received. No waiver will be granted
for a previous fiscal year.
(g) Effective period. Waivers will be effective from the date of the
Department's written approval until the funds for which the waiver is
granted are obligated in accordance with title XXVI of Public Law 97-35
(42 U.S.C. 8621 et seq.) and 45 CFR part 96. Funds for which a
weatherization waiver was granted that are carried over to the following
fiscal year and used for weatherization shall not be considered ``funds
allotted'' or ``funds available'' for the purposes of calculating the
maximum amount that may be used for weatherization in the succeeding
fiscal year.
[60 FR 21358, May 1, 1995; 60 FR 33260, June 27, 1995]
Sec. 96.84 Miscellaneous.
(a) Rights and responsibilities of territories. Except as otherwise
provided, a territory eligible for funds shall have the same rights and
responsibilities as a State.
(b) Applicability of assurances. The assurances in section 2605(b)
of Public Law 97-35 (42 U.S.C. 8624(b)), as amended, pertain to all
forms of assistance provided by the grantee, with the exception of
assurance 15, which applies to heating, cooling, and energy crisis
intervention assistance.
(c) Prevention of waste, fraud, and abuse. Grantees must establish
appropriate systems and procedures to prevent, detect, and correct
waste, fraud, and abuse in activities funded under the low-income home
energy assistance program. The systems and procedures are to address
possible waste, fraud, and abuse by clients, vendors, and administering
agencies.
(d) End of transfer authority. Beginning with funds appropriated
for FY 1994, grantees may not transfer any funds pursuant to section
2604(f) of Public Law 97-35 (42 U.S.C. 8623(f)) that are payable to
them under the LIHEAP program to the block grant programs specified in
section 2604(f).
[57 FR 1978, Jan. 16, 1992, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.85 Income eligibility.
(a) Application of poverty income guidelines and State median
income estimates. In implementing the income eligibility standards in
section 2605(b)(2) of Public Law 97-35 (42 U.S.C. 8624(b)(2)), grantees
using the Federal government's official poverty income guidelines and
State median income estimates for households as a basis for determining
eligibility for assistance shall, by October 1 of each year, or by the
beginning of the State fiscal year, whichever is later, adjust their
income eligibility criteria so that they are in accord with the most
recently published update of the guidelines or estimates. Grantees may
adjust their income eligibility criteria to accord with the most
recently published revision to the poverty income guidelines or State
median income estimates for households at any time between the
publication of the revision and the following October 1, or the
beginning of the State fiscal year, whichever is later.
(b) Adjustment of annual median income for household size. In order
to determine the State median income for households that have other than
four individuals, grantees shall adjust the State median income figures
(published annually by the Secretary), by the following percentages:
(1) One-person household, 52 percent;
(2) Two-person household, 68 percent;
(3) Three-person household, 84 percent;
(4) Four-person household, 100 percent;
(5) Five-person household, 116 percent;
(6) Six-person household, 132 percent; and
(7) For each additional household member above six persons, add
three percentage points to the percentage adjustment for a six-person
household.
[53 FR 6827, Mar. 3, 1988, as amended FR Doc. 99-26820, Nov. 15, 1999]
Sec. 96.86 Exemption from requirement for additional outreach and
intake services.
The requirement in section 2605(b)(15) of Public Law 97-35 (42
U.S.C. 8624(b)(15)), as amended by section 704(a)(4) of the Augustus F.
Hawkins Human Services Reauthorization Act of 1990 (Pub. L. 101-501)--
concerning additional outreach and intake services--does not apply to:
(a) Indian tribes and tribal organizations; and
(b) Territories whose annual LIHEAP allotments under section 2602(b)
of Public Law 97-35 (42 U.S.C. 8621(b)) are $200,000 or less.
[57 FR 1978, Jan. 16, 1992]
Sec. 96.87 Leveraging incentive program.
(a) Scope and eligible grantees. (1) This section concerns the
leveraging incentive program authorized by section 2607A of Public Law
97-35 (42 U.S.C. 8626a).
(2)(i) The only entities eligible to receive leveraging incentive
funds from the Department are States (including the District of
Columbia), Indian tribes, tribal organizations, and territories that
received direct Federal LIHEAP funding under section 2602(b) of Public
Law 97-35 (42 U.S.C. 8621(b)) in both the base period for which
leveraged resources are reported, and the award period for which
leveraging incentive funds are sought; and tribes and tribal
organizations described in paragraphs (a)(2)(ii) and (a)(2)(iii) of this
section.
(ii) Indian tribes that received LIHEAP services under section
2602(b) of Public Law 97-35 (42 U.S.C. 8621(b)) through a directly-
funded tribal organization in the base period for which leveraged
resources are reported, and receive direct Federal LIHEAP funding under
section 2602(b) in the award period, will receive leveraging incentive
funds allocable to them if they submit leveraging reports meeting all
applicable requirements. If the tribal organization continues to receive
direct funding under section 2602(b) in the award period, the tribal
organization also will receive incentive funds allocable to it if it
submits a leveraging report meeting all applicable requirements. In such
cases, incentive funds will be allocated among the involved entities
that submit leveraging reports, as agreed by these entities. If they
cannot agree, HHS will allocate incentive funds based on the comparative
role of each entity in obtaining and/or administering the leveraged
resources, and/or their relative number of LIHEAP-eligible households.
(iii) If a tribe received direct Federal LIHEAP funding under
section 2602(b) of Public Law 97-35 (42 U.S.C. 8621(b)) in the base
period for which resources leveraged by the tribe are reported, and the
tribe receives LIHEAP services under section 2602(b) through a directly-
funded tribal organization in the award period, the tribal organization
will receive leveraging incentive funds on behalf of the tribe for the
resources if the tribal organization submits a leveraging report meeting
all applicable requirements.
(b) Definitions--(1) Award period means the fiscal year during which
leveraging incentive funds are distributed to grantees by the
Department, based on the countable leveraging activities they reported
to the Department for the preceding fiscal year (the base period).
(2) Base period means the fiscal year for which a grantee's
leveraging activities are reported to the Department; grantees'
countable leveraging activities during the base period or base year are
the basis for the distribution of leveraging incentive funds during the
succeeding fiscal year (the award period or award year). Leveraged
resources are counted in the base period during which their benefits are
provided to low-income households.
(3) Countable loan fund means revolving loan funds and similar loan
instruments in which:
(i) The sources of both the loaned and the repaid funds meet the
requirements of this section, including the prohibitions of paragraphs
(f)(1), (f)(2), and (f)(3) of this section;
(ii) Neither the loaned nor the repaid funds are Federal funds or
payments from low-income households, and the loans are not made to low-
income households; and
(iii) The benefits provided by the loaned funds meet the
requirements of this section for countable leveraged resources and
benefits.
(4) Countable petroleum violation escrow funds means petroleum
violation escrow (oil overcharge) funds that were distributed to a State
or territory by the Department of Energy (DOE) after October 1, 1990,
and interest earned in accordance with DOE policies on petroleum
violation escrow funds that were distributed to a State or territory by
DOE after October 1, 1990, that:
(i) Were used to assist low-income households to meet the costs of
home energy through (that is, within and as a part of) a State or
territory's LIHEAP program, another Federal program, or a non-Federal
program, in accordance with a submission for use of these petroleum
violation escrow funds that was approved by DOE;
(ii) Were not previously required to be allocated to low-income
households; and
(iii) Meet the requirements of paragraph (d)(1) of this section, and
of paragraph (d)(2)(ii) or (d)(2)(iii) or this section.
(5) Home energy means a source of heating or cooling in residential
dwellings.
(6) Low-income households means federally eligible (federally
qualified) households meeting the standards for LIHEAP income
eligibility and/or LIHEAP categorical eligibility as set by section
2605(b)(2) of Public Law 97-35 (42 U.S.C. 8624(b)(2)).
(7) Weatherization means low-cost residential weatherization and
other energy-related home repair for low-income households.
Weatherization must be directly related to home energy.
(c) LIHEAP funds used to identify, develop, and demonstrate
leveraging programs.
(1) Each fiscal year, States (excluding Indian tribes, tribal
organizations, and territories) may spend up to the greater of $35,000
or 0.08 percent of their net Federal LIHEAP allotments (funds payable)
allocated under section 2602(b) of Public Law 97-35 (42 U.S.C. 8621(b))
specifically to identify, develop, and demonstrate leveraging programs
under section 2607A(c)(2) of Public Law 97-35 (42 U.S.C. 8626a(c)(2)).
Each fiscal year, Indian tribes, tribal organizations, and territories
may spend up to the greater of two (2.0) percent or $100 of their
Federal LIHEAP allotments allocated under section 2602(b) of Public law
97-35 (42 U.S.C. 8621(b)) specifically to identify, develop, and
demonstrate leveraging programs under section 2607A(c)(2) of Public Law
97-35 (42 U.S.C. 8626a(c)(2)). For the purpose of this paragraph,
Federal LIHEAP allotments include funds from regular and supplemental
appropriations, with the exception of leveraging incentive funds
provided under section 2602(d) of Public Law 97-35 (42 U.S.C. 8621(d)).
(2) LIHEAP funds used under section 2607A(c)(2) of Public Law 97-35
(42 U.S.C. 8626a(c)(2)) specifically to identify, develop, and
demonstrate leveraging programs are not subject to the limitation in
section 2605(b)(9) of Public Law 97-35 (42 U.S.C. 8624(b)(9)) on the
maximum percent of Federal
funds that may be used for costs of planning and administration.
(d) Basic requirements for leveraged resources and benefits. (1) In
order to be counted under the leveraging incentive program, leveraged
resources and benefits must meet all of the following five criteria:
(i) They are from non-Federal sources.
(ii) They are provided to the grantee's low-income home energy
assistance program, or to federally qualified low-income households as
described in section 2605(b)(2) of Public Law 97-35 (42 U.S.C.
8624(b)(2)).
(iii) They are measurable and quantifiable in dollars.
(iv) They represent a net addition to the total home energy
resources available to low-income households in excess of the amount of
such resources that could be acquired by these households through the
purchase of home energy, or the purchase of items that help these
households meet the cost of home energy, at commonly available household
rates or costs, or that could be obtained with regular LIHEAP allotments
provided under section 2602(b) of Public Law 97-35 (42 U.S.C. 8621(b)).
(v) They meet the requirements for countable leveraged resources and
benefits throughout this section and section 2607A of Public Law 97-35
(42 U.S.C. 8626a).
(2) Also, in order to be counted under the leveraging incentive
program, leveraged resources and benefits must meet at least one of the
following three criteria:
(i) The grantee's LIHEAP program had an active, substantive role in
developing and/or acquiring the resource/benefits from home energy
vendor(s) through negotiation, regulation, and/or competitive bid. The
actions or efforts of one or more staff of the grantee's LIHEAP
program--at the central and/or local level--and/or one or more staff of
LIHEAP program subrecipient(s) acting in that capacity, were substantial
and significant in obtaining the resource/benefits from the vendor(s).
(ii) The grantee appropriated or mandated the resource/benefits for
distribution to low-income households through (that is, within and as a
part of) its LIHEAP program. The resource/benefits are provided through
the grantee's LIHEAP program to low-income households eligible under the
grantee's LIHEAP standards, in accordance with the LIHEAP statute and
regulations and consistent with the grantee's LIHEAP plan and program
policies that were in effect during the base period, as if they were
provided from the grantee's Federal LIHEAP allotment.
(iii) The grantee appropriated or mandated the resource/benefits for
distribution to low-income households as described in its LIHEAP plan
(referred to in section 2605(c)(1)(A) of Public Law 97-35) (42 U.S.C.
8624(c)(1)(A)). The resource/benefits are provided to low-income
households as a supplement and/or alternative to the grantee's LIHEAP
program, outside (that is, not through, within, or as a part of) the
LIHEAP program. The resource/benefits are integrated and coordinated
with the grantee's LIHEAP program. Before the end of the base period,
the plan identifies and describes the resource/benefits, their
source(s), and their integration/coordination with the LIHEAP program.
The Department will determine resources/benefits to be integrated and
coordinated with the LIHEAP program if they meet at least one of the
following eight conditions. If a resource meets at least one of
conditions A through F when the grantee's LIHEAP program is operating
(and meets all other applicable requirements), the resource also is
countable when the LIHEAP program is not operating.
(A) For all households served by the resource, the assistance
provided by the resource depends on and is determined by the assistance
provided to these households by the grantee's LIHEAP program in the base
period. The resource supplements LIHEAP assistance that was not
sufficient to meet households' home energy needs, and the type and
amount of assistance provided by the resource is directly affected by
the LIHEAP assistance received by the households.
(B) Receipt of LIHEAP assistance in the base period is necessary to
receive assistance from the resource. The resource serves only
households that received LIHEAP assistance in the base period.
(C) Ineligibility for the grantee's LIHEAP program, or denial of
LIHEAP assistance in the base period because of unavailability of LIHEAP
funds, is necessary to receive assistance from the resource.
(D) For discounts and waivers: eligibility for and/or receipt of
assistance under the grantee's LIHEAP program in the base period, and/or
eligibility under the Federal standards set by section 2605(b)(2) of
Public Law 97-35 (42 U.S.C. 8624(b)(2)), is necessary to receive the
discount or waiver.
(E) During the period when the grantee's LIHEAP program is
operating, staff of the grantee's LIHEAP program and/or staff assigned
to the LIHEAP program by a local LIHEAP administering agency or
agencies, and staff assigned to the resource communicate orally and/or
in writing about how to meet the home energy needs of specific,
individual households. For the duration of the LIHEAP program, this
communication takes place before assistance is provided to each
household to be served by the resource, unless the applicant for
assistance from the resource presents documentation of LIHEAP
eligibility and/or the amount of LIHEAP assistance received or to be
received.
(F) A written agreement between the grantee's LIHEAP program or
local LIHEAP administering agency, and the agency administering the
resource, specifies the following about the resource: eligibility
criteria; benefit levels; period of operation; how the LIHEAP program
and the resource are integrated/coordinated; and relationship between
LIHEAP eligibility and/or benefit levels, and eligibility and/or benefit
levels for the resource. The agreement provides for annual or more
frequent reports to be provided to the LIHEAP program by the agency
administering the resource.
(G) The resource accepts referrals from the grantee's LIHEAP
program, and as long as the resource has benefits available, it provides
assistance to all households that are referred by the LIHEAP program and
that meet the resource's eligibility requirements. Under this condition,
only the benefits provided to households referred by the LIHEAP program
are countable.
(H) Before the grantee's LIHEAP heating, cooling, crisis, and/or
weatherization assistance component(s) open and/or after the grantee's
LIHEAP heating, cooling, crisis, and/or weatherization assistance
component(s) close for the season or for the fiscal year, or before the
entire LIHEAP program opens and/or after the entire LIHEAP program
closes for the season or for the fiscal year, the resource is made
available specifically to fill the gap caused by the absence of the
LIHEAP component(s) or program. The resource is not available while the
LIHEAP component(s) or program is operating.
(e) Countable leveraged resources and benefits. Resources and
benefits that are countable under the leveraging incentive program
include but are not limited to the following, provided that they also
meet all other applicable requirements:
(1) Cash resources: State, tribal, territorial, and other public and
private non-Federal funds, including countable loan funds and countable
petroleum violation escrow funds as defined in paragraphs (b)(3) and
(b)(4) of this section, that are used for:
(i) Heating, cooling, and energy crisis assistance payments and cash
benefits made in the base period to or on behalf of low-income
households toward their home energy costs (including home energy bills,
taxes on home energy sales/purchases and services, connection and
reconnection fees, application fees, late payment charges, bulk fuel
tank rental or purchase costs, and security deposits that are retained
for six months or longer);
(ii) Purchase of fuels that are provided to low-income households in
the base period for home energy (such as fuel oil, liquefied petroleum
gas, and wood);
(iii) Purchase of weatherization materials that are installed in
recipients' homes in the base period;
(iv) Purchase of the following tangible items that are provided to
low-income households and/or installed in recipients' homes in the base
period: blankets, space heating devices, equipment, and systems; space
cooling devices, equipment, and systems; and other tangible items that
help low-income households meet the costs of
home energy and are specifically approved by the Department as countable
leveraged resources;
(v) Installation, replacement, and repair of the following in the
base period: weatherization materials; space heating devices, equipment,
and systems; space cooling devices, equipment, and systems; and other
tangible items that help low-income households meet the costs of home
energy and are specifically approved by the Department;
(vi) The following services, when they are an integral part of
weatherization to help low-income households meet the costs of home
energy in the base period: installation, replacement, and repair of
windows, exterior doors, roofs, exterior walls, and exterior floors;
pre-weatherization home energy audits of homes that were weatherized as
a result of these audits; and post-weatherization inspection of homes;
and
(vii) The following services, when they are provided (carried out)
in the base period: installation, replacement, and repair of smoke/fire
alarms that are an integral part, and necessary for safe operation, of a
home heating or cooling system installed or repaired as a weatherization
activity; and asbestos removal and that is an integral part of, and
necessary to carry out, weatherization to help low-income households
meet the costs of home energy.
(2) Home energy discounts and waivers that are provided in the base
period to low-income households and pertain to generally applicable
prices, rates, fees, charges, costs, and/or requirements, in the amount
of the discount, reduction, waiver, or forgiveness, or that apply to
certain tangible fuel and non-fuel items and to certain services, that
are provided in the base period to low-income households and help these
households meet the costs of home energy, in the amount of the discount
or reduction:
(i) Discounts or reductions in utility and bulk fuel prices, rates,
or bills;
(ii) Partial or full forgiveness of home energy bill arrearages;
(iii) Partial or full waivers of utility and other home energy
connection and reconnection fees, application fees, late payment
charges, bulk fuel tank rental or purchase costs, and home energy
security deposits that are retained for six months or longer;
(iv) Reductions in and partial or full waivers of non-Federal taxes
on home energy sales/purchases and services, and reductions in and
partial or full waivers of other non-Federal taxes provided as tax
``credits'' to low-income households to offset their home energy costs,
except when Federal funds or Federal tax ``credits'' provide payment or
reimbursement for these reductions/waivers;
(v) Discounts or reductions in the cost of the following tangible
items that are provided to low-income households and/or installed in
recipients' homes: weatherization materials; blankets; space heating
devices, equipment, and systems; space cooling devices, equipment, and
systems; and other tangible items that are specifically approved by the
Department;
(vi) Discounts or reductions in the cost of installation,
replacement, and repair of the following: weatherization materials;
space heating devices, equipment, and systems; space cooling devices,
equipment, and systems; and other tangible items that help low-income
households meet the costs of home energy and are specifically approved
by the Department;
(vii) Discounts or reductions in the cost of the following services,
when the services are an integral part of weatherization to help low-
income households meet the costs of home energy: installation,
replacement, and repair of windows, exterior doors, roofs, exterior
walls, and exterior floors; pre-weatherization home energy audits of
homes that were weatherized as a result of these audits; and post-
weatherization inspection of homes; and
(viii) Discounts or reductions in the cost of installation,
replacement, and repair of smoke/fire alarms that are an integral part,
and necessary for safe operation, of a home heating or cooling system
installed or repaired as a weatherization activity; and discounts or
reductions in the cost of asbestos removal that is an integral part of,
and necessary to carry out, weatherization to help low-income households
meet the costs of home energy.
(3) Certain third-party in-kind contributions that are provided in
the base period to low-income households:
(i) Donated fuels used by recipient households for home energy (such
as fuel oil, liquefied petroleum gas, and wood);
(ii) Donated weatherization materials that are installed in
recipients' homes;
(iii) Donated blankets; donated space heating devices, equipment,
and systems; donated space cooling devices, equipment, and systems; and
other donated tangible items that help low-income households meet the
costs of home energy and are specifically approved by the Department as
countable leveraged resources;
(iv) Unpaid volunteers' services specifically to install, replace,
and repair the following: weatherization materials; space heating
devices, equipment, and systems; space cooling devices, equipment, and
systems; and other items that help low-income households meet the costs
of home energy and are specifically approved by the Department;
(v) Unpaid volunteers' services specifically to provide (carry out)
the following, when these services are an integral part of
weatherization to help low-income households meet the costs of home
energy: installation, replacement, and repair of windows, exterior
doors, roofs, exterior walls, and exterior floors; pre-weatherization
home energy audits of homes that were weatherized as a result of these
audits; and post-weatherization inspection of homes;
(vi) Unpaid volunteers' services specifically to: install, replace,
and repair smoke/fire alarms as an integral part, and necessary for safe
operation, of a home heating or cooling system installed or repaired as
a weatherization activity; and remove asbestos as an integral part of,
and necessary to carry out, weatherization to help low-income households
meet the costs of home energy;
(vii) Paid staff's services that are donated by the employer
specifically to install, replace, and repair the following:
weatherization materials; space heating devices, equipment, and systems;
space cooling devices, equipment, and systems; and other items that help
low-income households meet the costs of home energy and are specifically
approved by the Department;
(viii) Paid staff's services that are donated by the employer
specifically to provide (carry out) the following, when these services
are an integral part of weatherization to help low-income households
meet the costs of home energy: installation, replacement, and repair of
windows, exterior doors, roofs, exterior walls, and exterior floors;
pre-weatherization home energy audits of homes that were weatherized as
a result of these audits; and post-weatherization inspection of homes;
and
(ix) Paid staff's services that are donated by the employer
specifically to: install, replace, and repair smoke/fire alarms as an
integral part, and necessary for safe operation, of a home heating or
cooling system installed or repaired as a weatherization activity; and
remove asbestos as an integral part of, and necessary to carry out,
weatherization to help low-income households meet the costs of home
energy.
(f) Resources and benefits that cannot be counted. The following
resources and benefits are not countable under the leveraging incentive
program:
(1) Resources (or portions of resources) obtained, arranged,
provided, contributed, and/or paid for, by a low-income household for
its own benefit, or which a low-income household is responsible for
obtaining or required to provide for its own benefit or for the benefit
of others, in order to receive a benefit of some type;
(2) Resources (or portions of resources) provided, contributed, and/
or paid for by building owners, building managers, and/or home energy
vendors, if the cost of rent, home energy, or other charge(s) to the
recipient were or will be increased, or if other charge(s) to the
recipient were or will be imposed, as a result;
(3) Resources (or portions of resources) directly provided,
contributed, and/or paid for by member(s) of the recipient household's
family (parents, grandparents, great-grandparents, sons, daughters,
grandchildren, great-grandchildren, brothers, sisters, aunts,
uncles, first cousins, nieces, and nephews, and their spouses),
regardless of whether the family member(s) lived with the household,
unless the family member(s) also provided the same resource to other
low-income households during the base period and did not limit the
resource to members of their own family;
(4) Deferred home energy obligations;
(5) Projected future savings from weatherization;
(6) Delivery, and discounts in the cost of delivery, of fuel,
weatherization materials, and all other items;
(7) Purchase, rental, donation, and loan, and discounts in the cost
of purchase and rental, of: supplies and equipment used to deliver fuel,
weatherization materials, and all other items; and supplies and
equipment used to install and repair weatherization materials and all
other items;
(8) Petroleum violation escrow (oil overcharge) funds that do not
meet the definition in paragraph (b)(4) of this section;
(9) Interest earned/paid on petroleum violation escrow funds that
were distributed to a State or territory by the Department of Energy on
or before October 1, 1990;
(10) Interest earned/paid on Federal funds;
(11) Interest earned/paid on customers' security deposits, utility
deposits, etc., except when forfeited by the customer and used to
provide countable benefits;
(12) Borrowed funds that do not meet the requirements in paragraph
(b)(3) above (including loans made by and/or to low-income households),
interest paid on borrowed funds, and reductions in interest paid on
borrowed funds;
(13) Resources (or portions of resources) for which Federal payment
or reimbursement has been or will be provided/received;
(14) Tax deductions and tax credits received from any unit(s) of
government by donors/contributors of resources for these donations, and
by vendors for providing rate reductions, discounts, waivers, credits,
and/or arrearage forgiveness to or for low-income households, etc.;
(15) Funds and other resources that have been or will be used as
matching or cost sharing for any Federal program;
(16) Leveraged resources counted under any other Federal leveraging
incentive program;
(17) Costs of planning and administration, space costs, and intake
costs;
(18) Outreach activities, budget counseling, case management, and
energy conservation education;
(19) Training;
(20) Installation, replacement, and repair of lighting fixtures and
light bulbs;
(21) Installation, replacement, and repair of smoke/fire alarms that
are not an integral part, and necessary for safe operation, of a home
heating or cooling system installed or repaired as a weatherization
activity;
(22) Asbestos removal that is not an integral part of, and necessary
to carry out, weatherization to help low-income households meet the
costs of home energy;
(23) Paid services where payment is not made from countable
leveraged resources, unless these services are donated as a countable
in-kind contribution by the employer;
(24) All in-kind contributions except those described in paragraph
(e)(3) of this section; and
(25) All other resources that do not meet the requirements of this
section and of section 2607A of Public Law 97-35 (42 U.S.C. 8626a).
(g) Valuation and documentation of leveraged resources and
offsetting costs.
(1) Leveraged cash resources will be valued at the fair market value
of the benefits they provided to low-income households, as follows.
Payments to or on behalf of low-income households for heating, cooling,
and energy crisis assistance will be valued at their actual amount or
value at the time they were provided. Purchased fuel, weatherization
materials, and other countable tangible items will be valued at their
fair market value (the commonly available household rate or cost in the
local market area) at the time they were purchased. Installation,
replacement, and repair of weatherization materials, and other countable
services, will be valued at rates consistent with those ordinarily paid
for similar work, by persons of similar skill in this work,
in the grantee's or subrecipient's organization in the local area, at
the time these services were provided. If the grantee or subrecipient
does not have employees performing similar work, the rates will be
consistent with those ordinarily paid by other employers for similar
work, by persons of similar skill in this work, in the same labor
market, at the time these services were provided. Fringe benefits and
overhead costs will not be counted.
(2) Home energy discounts, waivers, and credits will be valued at
their actual amount or value.
(3) Donated fuel, donated weatherization materials, and other
countable donated tangible items will be valued at their fair market
value (the commonly available household cost in the local market area)
at the time of donation.
(4) Donated unpaid services, and donated third-party paid services
that are not in the employee's normal line of work, will be valued at
rates consistent with those ordinarily paid for similar work, by persons
of similar skill in this work, in the grantee's or subrecipient's
organization in the local area, at the time these services were
provided. If the grantee or subrecipient does not have employees
performing similar work, the rates will be consistent with those
ordinarily paid by other employers for similar work, by persons of
similar skill in this work, in the same labor market, at the time these
services were provided. Fringe benefits and overhead costs will not be
counted. Donated third-party paid services of employees in their normal
line of work will be valued at the employee's regular rate of pay,
excluding fringe benefits and overhead costs.
(5) Offsetting costs and charges will be valued at their actual
amount or value.
(i) Funds from grantees' regular LIHEAP allotments that are used
specifically to identify, develop, and demonstrate leveraging programs
under section 2607A(c)(2) of Public Law 97-35 (42 U.S.C. 8626a(c)(2))
will be deducted as offsetting costs in the base period in which these
funds are obligated, whether or not there are any resulting leveraged
benefits. Costs incurred from grantees' own funds to identify, develop,
and demonstrate leveraging programs will be deducted in the first base
period in which resulting leveraged benefits are provided to low-income
households. If there is no resulting leveraged benefit from the
expenditure of the grantee's own funds, the grantee's expenditure will
not be counted or deducted.
(ii) Any costs assessed or charged to low-income households on a
continuing or on-going basis, year after year, specifically to
participate in a counted leveraging program or to receive counted
leveraged resources/benefits will be deducted in the base period these
costs are paid. Any one-time costs or charges to low-income households
specifically to participate in a counted leveraging program or to
receive counted leveraged resources/benefits will be deducted in the
first base period the leveraging program or resource is counted. Such
costs or charges will be subtracted from the gross value of a counted
resource or benefit for low-income households whose benefits are
counted, but not for any households whose benefits are not counted.
(6) Only the amount of the net addition to recipient low-income
households' home energy resources may be counted in the valuation of a
leveraged resource.
(7) Leveraged resources and benefits, and offsetting costs and
charges, will be valued according to the best data available to the
grantee.
(8) Grantees must maintain, or have readily available, records
sufficient to document leveraged resources and benefits, and offsetting
costs and charges, and their valuation. These records must be retained
for three years after the end of the base period whose leveraged
resources and benefits they document.
(h) Leveraging report. (1) In order to qualify for leveraging
incentive funds, each grantee desiring such funds must submit to the
Department a report on the leveraged resources provided to low-income
households during the preceeding base period. These reports must contain
the following information in a format established by the Department.
(i) For each separate leveraged resource, the report must:
(A) Briefly describe the specific leveraged resource and the
specific benefit(s) provided to low-income households by this resource,
and state the source of the resource;
(B) State whether the resource was acquired in cash, as a discount/
waiver, or as an in-kind contribution;
(C) Indicate the geographical area in which the benefit(s) were
provided to recipients;
(D) State the month(s) and year(s) when the benefit(s) were provided
to recipients;
(E) State the gross dollar value of the countable benefits provided
by the resource as determined in accordance with paragraph (g) of this
section, indicate the source(s) of the data used, and describe how the
grantee quantified the value and calculated the total amount;
(F) State the number of low-income households to whom the benefit(s)
were provided, and state the eligibility standard(s) for the low-income
households to whom the benefit(s) were provided;
(G) Indicate the agency or agencies that administered the resource/
benefit(s); and
(H) Indicate the criterion or criteria for leveraged resources in
paragraph (d)(2) of this section that the resource/benefits meet, and
for criteria in paragraphs (d)(2)(i) and (d)(2)(iii) of this section,
explain how resources/benefits valued at $5,000 or more meet the
criterion or criteria.
(ii) State the total gross dollar value of the countable leveraged
resources and benefits provided to low-income households during the base
period (the sum of the amounts listed pursuant to paragraph (h)(1)(i)(E)
of this section).
(iii) State in dollars any costs incurred by the grantee to leverage
resources, and any costs and charges imposed on low-income households to
participate in a counted leveraging program or to receive counted
leveraged benefits, as determined in accordance with paragraph (g)(5) of
this section. Also state the amount of the grantee's regular LIHEAP
allotment that the grantee used during the base period specifically to
identify, develop, and demonstrate leveraging programs under section
2607A(c)(2) of Public Law 97-35 (42 U.S.C. 8626a(c)(2)).
(iv) State the net dollar value of the countable leveraged resources
and benefits for the base period. (Subtract the amounts in paragraph
(h)(1)(iii) of this section from the amount in paragraph (h)(1)(ii) of
this section.)
(2) Leveraging reports must be postmarked or hand-delivered not
later than November 30 of the fiscal year for which leveraging incentive
funds are requested.
(3) The Department may require submission of additional
documentation and/or clarification as it determines necessary to verify
information in a grantee's leveraging report, to determine whether a
leveraged resource is countable, and/or to determine the net valuation
of a resource. In such cases, the Department will set a date by which it
must receive information sufficient to document countability and/or
valuation. In such cases, if the Department does not receive information
that it considers sufficient to document countability and/or valuation
by the date it has set, then the Department will not count the resource
(or portion of resource) in question.
(i) Determination of grantee shares of leveraging incentive funds.
Allocation of leveraging incentive funds to grantees will be computed
according to a formula using the following factors and weights:
(1) Fifty (50) percent based on the final net value of countable
leveraged resources provided to low-income households during the base
period by a grantee relative to its net Federal allotment of funds
allocated under section 2602(b) of Public Law 97-35 (42 U.S.C. 8621(b))
during the base period, as a proportion of the final net value of the
countable leveraged resources provided by all grantees during the base
period relative to their net Federal allotment of funds allocated under
that section during the base period; and
(2) Fifty (50) percent based on the final net value of countable
leveraged resources provided to low-income households during the base
period by a grantee as a proportion of the total final net value of the
countable leveraged resources provided by all grantees during the base
period; except that: No grantee may receive more than twelve (12.0)
percent of the total amount of
leveraging incentive funds available for distribution to grantees in any
award period; and no grantee may receive more than the smaller of its
net Federal allotment of funds allocated under section 2602(b) of Public
Law 97-35 (42 U.S.C. 8621(b)) during the base period, or two times
(double) the final net value of its countable leveraged resources for
the base period. The calculations will be based on data contained in the
leveraging reports submitted by grantees under paragraph (h) of this
section as approved by the Department, and allocation data developed by
the Department.
(j) Uses of leveraging incentive funds.
(1) Funds awarded to grantees under the leveraging incentive program
must be used to increase or maintain heating, cooling, energy crisis,
and/or weatherization benefits through (that is, within and as a part
of) the grantee's LIHEAP program. These funds can be used for
weatherization without regard to the weatherization maximum in section
2605(k) of Public Law 97-35 (42 U.S.C. 8624(k)). However, they cannot be
counted in the base for calculation of the weatherization maximum for
regular LIHEAP funds authorized under section 2602(b) of Public Law 97-
35 (42 U.S.C. 8621(b)). Leveraging incentive funds cannot be used for
costs of planning and administration. However, in either the award
period or the fiscal year following the award period, they can be
counted in the base for calculation of maximum grantee planning and
administrative costs under section 2605(b)(9) of Public Law 97-35 (42
U.S.C. 8624(b)(9)). They cannot be counted in the base for calculation
of maximum carryover of regular LIHEAP funds authorized under section
2602(b) of Public Law 97-35 (42 U.S.C. 8621(b)).
(2) Grantees must include the uses of leveraging incentive funds in
their LIHEAP plans (referred to in section 2605(c)(1)(A) of Public Law
97-35) (42 U.S.C. 8624(c)(1)(A)) for the fiscal year in which the
grantee obligates these funds. Grantees must document uses of leveraging
incentive funds in the same way they document uses of regular LIHEAP
funds authorized under section 2602(b) of Public Law 97-35 (42 U.S.C.
8621(b)). Leveraging incentive funds are subject to the same audit
requirements as regular LIHEAP funds.
(k) Period of obligation for leveraging incentive funds. Leveraging
incentive funds are available for obligation during both the award
period and the fiscal year following the award period, without regard to
limitations on carryover of funds in section 2607(b)(2)(B) of Public Law
97-35 (42 U.S.C. 8626(b)(2)(B)). Any leveraging incentive funds not
obligated for allowable purposes by the end of this period must be
returned to the Department.
[60 FR 21359, May 1, 1995; 60 FR 36334, July 14, 1995]
Sec. 96.88 Administrative costs.
(a) Costs of planning and administration. Any expenditure for
governmental functions normally associated with administration of a
public assistance program must be included in determining administrative
costs subject to the statutory limitation on administrative costs,
regardless of whether the expenditure is incurred by the State, a
subrecipient, a grantee, or a contractor of the State.
(b) Administrative costs for territories and Indian tribes. For
Indian tribes, tribal organizations and territories with allotments of
$20,000 or less, the limitation on the cost of planning and
administering the low-income home energy assistance program shall be 20
percent of funds payable and not transferred for use under another block
grant. For tribes, tribal organizations and territories with allotments
over $20,000, the limitation on the cost of planning and administration
shall be $4,000 plus 10% of the amount of funds payable (and not
transferred for use under another block grant) that exceeds $20,000.
[52 FR 37967, Oct. 13, 1987]
Sec. 96.89 Exemption from standards for providing energy crisis
intervention assistance.
The performance standards in section 2604(c) of Pub. L. 97-35 (42
U.S.C. 8623), as amended by section 502(a) of the Human Services
Reauthorization Act of 1986 (Pub. L. 99-425)--concerning provision of
energy crisis assistance within specified time limits, acceptance of
applications for energy crisis benefits at geographically accessible
sites, and provision to physically infirm low-income persons of the
means to apply for energy crisis benefits at their residences or to
travel to application sites--shall not apply under the conditions
described in this section.
(a) These standards shall not apply to a program in a geographical
area affected by (1) a major disaster or emergency designated by the
President under the Disaster Relief Act of 1974, or (2) a natural
disaster identified by the chief executive officer of a State,
territory, or direct-grant Indian tribe or tribal organization, if the
Secretary (or his or her designee) determines that the disaster or
emergency makes compliance with the standards impracticable.
(b) The Secretary's determination will be made after communication
by the chief executive officer (or his or her designee) to the Secretary
(or his or her designee) of the following:
(1) Information substantiating the existence of a disaster or
emergency;
(2) Information substantiating the impracticability of compliance
with the standards, including a description of the specific conditions
caused by the disaster or emergency which make compliance impracticable;
and
(3) Information on the expected duration of the conditions that make
compliance impracticable.
If the communication is made by the chief executive officer's designee
and the Department does not have on file written evidence of the
designation, the communication must also include:
(4) Evidence of the appropriate delegation of authority.
(c) The initial communication by the chief executive officer may be
oral or written. If oral, it must be followed as soon as possible by
written communication confirming the information provided orally. The
Secretary's exemption initially may be oral. If so, the Secretary will
provide written confirmation of the exemption as soon as possible after
receipt of appropriate written communication from the chief executive
officer.
(d) Exemption from the standards shall apply from the moment of the
Secretary's determination, only in the geographical area affected by the
disaster or emergency, and only for so long as the Secretary determines
that the disaster or emergency makes compliance with the standards
impracticable.
[53 FR 6827, Mar. 3, 1988]
Subpart I--Community Services Block Grants
Sec. 96.90 Scope.
This subpart applies to the community services block grant.
Sec. 96.91 Audit requirement.
Pursuant to section 1745(b) of the Reconciliation Act (31 U.S.C.
1243 note) an audit is required with respect to the 2-year period
beginning on October 1, 1981, and with respect to each 2-year period
thereafter. In its application for funds, a State may modify the
assurance required by section 675(c)(9) of the Reconciliation Act (42
U.S.C. 9904(c)(9)) to conform to the requirements of section 1745(b).
Sec. 96.92 Termination of funding.
Where a State determines pursuant to section 675(c)(11) of the
Community Services Block Grant Act that it will terminate present or
future funding of any community action agency or migrant and seasonal
farmworker organization which received funding in the previous fiscal
year, the State must provide the organization with notice and an
opportunity for hearing on the record prior to terminating funding. If a
review by the Secretary of the State's final decision to terminate
funding is requested pursuant to section 676A, the request must be made
in writing, within 30 days of notification by the State of its final
decision to terminate funding. The Department will confirm or reject the
State's finding of cause, normally within 90 days. If a request for a
review has been made, the State may not discontinue present or future
funding until the Department confirms the State's finding of cause. If
no request for a review is made within the 30-day limit, the State's
decision will be effective at the expiration of that time.
[52 FR 37968, Oct. 13, 1987]
Subpart J--Primary Care Block Grants
Sec. 96.100 Scope.
This subpart applies to the primary care block grant.
Sec. 96.101 Review of a State decision to discontinue funding of a
community health center.
Where a State determines for FY 1983, pursuant to section 1926(a)(2)
of the Public Health Service Act (42 U.S.C. 300y-5(a)(2)), that a
community health center does not meet the criteria for continued funding
set forth in section 330 of the Public Health Service Act (42 U.S.C.
254c), the State must advise the Department of the decision and the
basis upon which it was made. The Department will permit the center 30
days to respond to the State's det