[Title 34 CFR ]
[Code of Federal Regulations (annual edition) - July 1, 1997 Edition]
[From the U.S. Government Publishing Office]


          34



          Education



[[Page i]]

          PARTS 300 to 399

          Revised as of July 1, 1997
          CONTAINING
          A CODIFICATION OF DOCUMENTS
          OF GENERAL APPLICABILITY
          AND FUTURE EFFECT

          AS OF JULY 1, 1997
          With Ancillaries
          Published by
          the Office of the Federal Register
          National Archives and Records
          Administration

          as a Special Edition of
          the Federal Register



[[Page ii]]

                                      




                     U.S. GOVERNMENT PRINTING OFFICE
                            WASHINGTON : 1997



               For sale by U.S. Government Printing Office
 Superintendent of Documents, Mail Stop: SSOP, Washington, DC 20402-9328



[[Page iii]]




                            Table of Contents



                                                                    Page
  Explanation.................................................       v

  Title 34:
      Subtitle B--Regulations of the Offices of the Department 
      of Education: (Continued)
        Chapter III--Office of Special Education and 
        Rehabilitative Services, Department of Education 
        (Parts 300-399).......................................       5
  Findings Aids:
    Table of CFR Titles and Chapters..........................     507
    Alphabetical List of Agencies Appearing in the CFR........     523
    List of CFR Sections Affected.............................     533

[[Page iv]]



      



                                                                                                                
                                  ----------------------------------------------------------                    

   Cite this Code:  CFR                                                         
                                                                                                                
   To cite the regulations in this volume use title, part                       
   and section number. Thus, 34 CFR 300.1 refers to title                      
   34, part 300, section 1.                                                    
                                  ----------------------------------------------------------                    
                                                                                                                


[[Page v]]

                               EXPLANATION

    The Code of Federal Regulations is a codification of the general and 
permanent rules published in the Federal Register by the Executive 
departments and agencies of the Federal Government. The Code is divided 
into 50 titles which represent broad areas subject to Federal 
regulation. Each title is divided into chapters which usually bear the 
name of the issuing agency. Each chapter is further subdivided into 
parts covering specific regulatory areas.
    Each volume of the Code is revised at least once each calendar year 
and issued on a quarterly basis approximately as follows:

Title 1 through Title 16.................................as of January 1
Title 17 through Title 27..................................as of April 1
Title 28 through Title 41...................................as of July 1
Title 42 through Title 50................................as of October 1
    The appropriate revision date is printed on the cover of each 
volume.

LEGAL STATUS

    The contents of the Federal Register are required to be judicially 
noticed (44 U.S.C. 1507). The Code of Federal Regulations is prima facie 
evidence of the text of the original documents (44 U.S.C. 1510).

HOW TO USE THE CODE OF FEDERAL REGULATIONS

    The Code of Federal Regulations is kept up to date by the individual 
issues of the Federal Register. These two publications must be used 
together to determine the latest version of any given rule.
    To determine whether a Code volume has been amended since its 
revision date (in this case, July 1, 1997), consult the ``List of CFR 
Sections Affected (LSA),'' which is issued monthly, and the ``Cumulative 
List of Parts Affected,'' which appears in the Reader Aids section of 
the daily Federal Register. These two lists will identify the Federal 
Register page number of the latest amendment of any given rule.

EFFECTIVE AND EXPIRATION DATES

    Each volume of the Code contains amendments published in the Federal 
Register since the last revision of that volume of the Code. Source 
citations for the regulations are referred to by volume number and page 
number of the Federal Register and date of publication. Publication 
dates and effective dates are usually not the same and care must be 
exercised by the user in determining the actual effective date. In 
instances where the effective date is beyond the cut-off date for the 
Code a note has been inserted to reflect the future effective date. In 
those instances where a regulation published in the Federal Register 
states a date certain for expiration, an appropriate note will be 
inserted following the text.

OMB CONTROL NUMBERS

    The Paperwork Reduction Act of 1980 (Pub. L. 96-511) requires 
Federal agencies to display an OMB control number with their information 
collection request.

[[Page vi]]

Many agencies have begun publishing numerous OMB control numbers as 
amendments to existing regulations in the CFR. These OMB numbers are 
placed as close as possible to the applicable recordkeeping or reporting 
requirements.

OBSOLETE PROVISIONS

    Provisions that become obsolete before the revision date stated on 
the cover of each volume are not carried. Code users may find the text 
of provisions in effect on a given date in the past by using the 
appropriate numerical list of sections affected. For the period before 
January 1, 1986, consult either the List of CFR Sections Affected, 1949-
1963, 1964-1972, or 1973-1985, published in seven separate volumes. For 
the period beginning January 1, 1986, a ``List of CFR Sections 
Affected'' is published at the end of each CFR volume.

CFR INDEXES AND TABULAR GUIDES

    A subject index to the Code of Federal Regulations is contained in a 
separate volume, revised annually as of January 1, entitled CFR Index 
and Finding Aids. This volume contains the Parallel Table of Statutory 
Authorities and Agency Rules (Table I), and Acts Requiring Publication 
in the Federal Register (Table II). A list of CFR titles, chapters, and 
parts and an alphabetical list of agencies publishing in the CFR are 
also included in this volume.
    An index to the text of ``Title 3--The President'' is carried within 
that volume.
    The Federal Register Index is issued monthly in cumulative form. 
This index is based on a consolidation of the ``Contents'' entries in 
the daily Federal Register.
    A List of CFR Sections Affected (LSA) is published monthly, keyed to 
the revision dates of the 50 CFR titles.

REPUBLICATION OF MATERIAL

    There are no restrictions on the republication of material appearing 
in the Code of Federal Regulations.

INQUIRIES

    For a legal interpretation or explanation of any regulation in this 
volume, contact the issuing agency. The issuing agency's name appears at 
the top of odd-numbered pages.
    For inquiries concerning CFR reference assistance, call 202-523-5227 
or write to the Director, Office of the Federal Register, National 
Archives and Records Administration, Washington, DC 20408.
SALES
    The Government Printing Office (GPO) processes all sales and 
distribution of the CFR. For payment by credit card, call 202-512-1800, 
M-F 8 a.m. to 4 p.m. e.s.t. or fax your order to 202-512-2233, 24 hours 
a day. For payment by check, write to the Superintendent of Documents, 
Attn: New Orders, P.O. Box 371954, Pittsburgh, PA 15250-7954. For GPO 
Customer Service call 202-512-1803.

                              Raymond A. Mosley,
                                    Director,
                          Office of the Federal Register.

July 1, 1997.



[[Page vii]]



                               THIS TITLE

    Title 34--Education is presently composed of three volumes (parts 1 
to 299, parts 300 to 399, and part 400 to End). The contents of these 
volumes represent all regulations codified under this title of the CFR 
as of July 1, 1997.

    A redesignation table appears in the Finding Aids section of the 
last volume.

    For this volume, Scott D. Andreae was Chief Editor. The Code of 
Federal Regulations publication program is under the direction of 
Frances D. McDonald, assisted by Alomha S. Morris.

[[Page viii]]



 

[[Page 1]]



                           TITLE 34--EDUCATION




                  (This book contains parts 300 to 399)

  --------------------------------------------------------------------

                                                                    Part
SUBTITLE B--Regulations of the Offices of the Department of Education: 
  (Continued)

Chapter III--Office of Special Education and Rehabilitative 
  Services, Department of Education.........................         300

[[Page 3]]

Subtitle B--Regulations of the Offices of the Department of Education (Continued)

[[Page 5]]



CHAPTER III--OFFICE OF SPECIAL EDUCATION AND REHABILITATIVE SERVICES, DEPARTMENT OF EDUCATION




  --------------------------------------------------------------------

Part                                                                Page
300             Assistance to states for the education of 
                    children with disabilities..............           8
301             Preschool grants for children with 
                    disabilities............................          88
303             Early intervention program for infants and 
                    toddlers with disabilities..............          92
304             Removal of architectural barriers to 
                    individuals with disabilities program...         133
305             Regional Resource and Federal Centers.......         137
307             Services for children with deaf-blindness...         142
309             Early education program for children with 
                    disabilities............................         155
315             Program for children with severe 
                    disabilities............................         161
316             Training personnel for the education of 
                    individuals with disabilities--parent 
                    training and information centers........         168
318             Training personnel for the education of 
                    individuals with disabilities--grants 
                    for personnel training..................         175
319             Training personnel for the education of 
                    individuals with disabilities--grants to 
                    State educational agencies and 
                    institutions of higher education........         187
320             Clearinghouses..............................         193
324             Research in education of individuals with 
                    disabilities program....................         198
325             State systems for transition services for 
                    youth with disabilities program.........         205
326             Secondary education and transitional 
                    services for youth with disabilities 
                    program.................................         210
327             Special studies program.....................         217
328             Program for children and youth with serious 
                    emotional disturbance...................         222

[[Page 6]]

330             Captioned films including videos loan 
                    service program for deaf and hard of 
                    hearing individuals.....................         227
331             Educational media and descriptive videos 
                    loan service program for individuals 
                    with disabilities.......................         228
332             Educational media research, production, 
                    distribution, and training..............         230
333             Technology, educational media, and materials 
                    for individuals with disabilities 
                    program.................................         234
338             Postsecondary education programs for 
                    individuals with disabilities...........         239
345             State grants program for technology-related 
                    assistance for individuals with 
                    disabilities............................         244
350             Disability and rehabilitation research 
                    projects and centers program (Eff. Oct. 
                    1, 1997)................................         263
350             Disability and rehabilitation research: 
                    General provisions (Eff. until Oct. 1, 
                    1997)...................................         278
351             Disability and rehabilitation research: 
                    Research and demonstration projects 
                    (Eff. until Oct. 1, 1997)...............         285
352             Disability and rehabilitation research: 
                    Rehabilitation research and training 
                    centers (Eff. until Oct. 1, 1997).......         287
353             Disability and rehabilitation research: 
                    Rehabilitation engineering research 
                    centers (Eff. until Oct. 1, 1997).......         291
355             Disability and rehabilitation research: 
                    Knowledge dissemination and utilization 
                    programs (Eff. until Oct. 1, 1997)......         295
356             Disability and rehabilitation research: 
                    Research fellowships....................         297
357             Disability and rehabilitation research: 
                    Field-initiated projects (Eff. until 
                    Oct. 1, 1997)...........................         300
359             Disability and rehabilitation research: 
                    Special projects and demonstrations for 
                    spinal cord injuries....................         303
360             Disability and rehabilitation research: 
                    Research training and career development 
                    program (Eff. until Oct. 1, 1997).......         306
361             The State vocational rehabilitation services 
                    program.................................         309
363             The State supported employment services 
                    program.................................         359
364             State independent living services program 
                    and centers for independent living 
                    program: General provisions.............         365
365             State independent living services...........         384
366             Centers for independent living..............         388

[[Page 7]]

367             Independent living services for older 
                    individuals who are blind...............         408
369             Vocational rehabilitation service projects..         414
370             Client assistance program...................         421
371             Vocational rehabilitation service projects 
                    for American Indians with disabilities..         432
376             Special projects and demonstrations for 
                    providing transitional rehabilitation 
                    services to youth with disabilities.....         436
377             Demonstration projects to increase client 
                    choice program..........................         439
379             Projects with industry......................         444
380             Special projects and demonstrations for 
                    providing supported employment services 
                    to individuals with the most severe 
                    disabilities and technical assistance 
                    projects................................         453
381             Protection and advocacy of individual rights         458
385             Rehabilitation training.....................         464
386             Rehabilitation training: Rehabilitation 
                    long-term training......................         470
387             Experimental and innovative training........         477
388             State vocational rehabilitation unit in-
                    service training........................         479
389             Rehabilitation continuing education programs         482
390             Rehabilitation short-term training..........         484
395             Vending facility program for the blind on 
                    Federal and other property..............         485
396             Training of interpreters for individuals who 
                    are deaf and individuals who are deaf-
                    blind...................................         500
397-399   [Reserved]

[[Page 8]]



PART 300--ASSISTANCE TO STATES FOR THE EDUCATION OF CHILDREN WITH DISABILITIES--Table of Contents




                           Subpart A--General

   Purpose, Applicability, and Regulations That Apply to This Program

Sec.
300.1  Purpose.
300.2  Applicability to State, local, and private agencies.
300.3  Regulations that apply.
300.4  Act.
300.5  Assistive technology device.
300.6  Assistive technology service.
300.7  Children with disabilities.
300.8  Free appropriate public education.
300.9  Include.
300.10  Intermediate educational unit.
300.11  Local educational agency.
300.12  Native language.
300.13  Parent.
300.14  Public agency.
300.15  Qualified.
300.16  Related services.
300.17  Special education.
300.18  Transition services.

    Subpart B--State Plans and Local Educational Agency Applications

                          State Plans--General

300.110  Condition of assistance.
300.111  Content of plan.

                          State Plans--Contents

300.121  Right to a free appropriate public education.
300.122  Timelines and ages for free appropriate public education.
300.123  Full educational opportunity goal.
300.124  [Reserved]
300.125  Full educational opportunity goal--timetable.
300.126  Full educational opportunity goal--facilities, personnel, and 
          services.
300.127  Priorities.
300.128  Identification, location, and evaluation of children with 
          disabilities.
300.129  Confidentiality of personally identifiable information.
300.130  Individualized education programs.
300.131  Procedural safeguards.
300.132  Least restrictive environment.
300.133  Protection in evaluation procedures.
300.134  Responsibility of State educational agency for all educational 
          programs.
300.135  [Reserved]
300.136  Implementation procedures--State educational agency.
300.137  Procedures for consultation.
300.138  Other Federal programs.
300.139  Comprehensive system of personnel development.
300.140  Private schools.
300.141  Recovery of funds for misclassified children.
300.142-300.143  [Reserved]
300.144  Hearing on application.
300.145  Prohibition of commingling.
300.146  Annual evaluation.
300.147  State advisory panel.
300.148  Policies and procedures for use of Part B funds.
300.149  Description of use of Part B funds.
300.150  State-level nonsupplanting.
300.151  Additional information if the State educational agency provides 
          direct services.
300.152  Interagency agreements.
300.153  Personnel standards.
300.154  Transition of individuals from Part H to Part B.

             Local Educational Agency Applications--General

300.180  Submission of application.
300.181  [Reserved]
300.182  The excess cost requirement.
300.183  Meeting the excess cost requirement.
300.184  Excess costs--computation of minimum amount.
300.185  Computation of excess costs--consolidated application.
300.186  Excess costs--limitation on use of Part B funds.
300.187-300.189  [Reserved]
300.190  Consolidated applications.
300.191  [Reserved]
300.192  State regulation of consolidated applications.
300.193  State educational agency approval; disapproval.
300.194  Withholding.

             Local Educational Agency Applications--Contents

300.220  Child identification.
300.221  Confidentiality of personally identifiable information.
300.222  Full educational opportunity goal--timetable.
300.223  Facilities, personnel, and services.
300.224  Personnel development.
300.225  Priorities.
300.226  Parent involvement.
300.227  Participation in regular education programs.
300.228  [Reserved]
300.229  Excess cost.
300.230  Nonsupplanting.
300.231  Comparable services.
300.232-300.234  [Reserved]
300.235  Individualized education programs.
300.236  [Reserved]
300.237  Procedural safeguards.
300.238  Use of Part B funds.
300.239  [Reserved]
300.240  Other requirements.

[[Page 9]]

               Application From Secretary of the Interior

300.260  Submission of application; approval.
300.261  Public participation.
300.262  Use of Part B funds.
300.263  Applicable regulations.

                          Public Participation

300.280  Public hearings before adopting a State plan.
300.281  Notice.
300.282  Opportunity to participate; comment period.
300.283  Review of public comments before adopting plan.
300.284  Publication and availability of approved plan.

                           Subpart C--Services

                    Free Appropriate Public Education

300.300  Timelines for free appropriate public education.
300.301  Free appropriate public education--methods and payments.
300.302  Residential placement.
300.303  Proper functioning of hearing aids.
300.304  Full educational opportunity goal.
300.305  Program options.
300.306  Nonacademic services.
300.307  Physical education.
300.308  Assistive technology.

                  Priorities in the Use of Part B Funds

300.320  Definitions of ``first priority children'' and ``second 
          priority children.''
300.321  Priorities.
300.322  [Reserved]
300.323  Services to other children.
300.324  Application of local educational agency to use funds for the 
          second priority.

                    Individualized Education Programs

300.340  Definitions.
300.341  State educational agency responsibility.
300.342  When individualized education programs must be in effect.
300.343  Meetings.
300.344  Participants in meetings.
300.345  Parent participation.
300.346  Content of individualized education program.
300.347  Agency responsibilities for transition services.
300.348  Private school placements by public agencies.
300.349  Children with disabilities in parochial or other private 
          schools.
300.350  Individualized education program--accountability.

              Direct Service by the State Educational Agency

300.360  Use of local educational agency allocation for direct services.
300.361  Nature and location of services.
300.370  Use of State agency allocations.
300.371  State matching.
300.372  Applicability of nonsupplanting requirement.

              Comprehensive System of Personnel Development

300.380  General.
300.381  Adequate supply of qualified personnel.
300.382  Personnel preparation and continuing education.
300.383  Data system on personnel and personnel development.
300.384-300.387 [Reserved]

                       Subpart D--Private Schools

  Children With Disabilities in Private Schools Placed or Referred by 
                             Public Agencies

300.400  Applicability of Secs. 300.400-300.402.
300.401  Responsibility of State educational agency.
300.402  Implementation by State educational agency.
300.403  Placement of children by parents.

 Children With Disabilities Enrolled by Their Parents in Private Schools

300.450  Definition of ``private school children with disabilities.''
300.451  State educational agency responsibility.
300.452  Local educational agency responsibility.

                         Procedures for By-Pass

300.480  By-pass--general.
300.481  Provisions for services under a by-pass.

                         Due Process Procedures

300.482  Notice of intent to implement a by-pass.
300.483  Request to show cause.
300.484  Show cause hearing.
300.485  Decision.
300.486  Filing requirements.
300.487  Judicial review.

                    Subpart E--Procedural Safeguards

             Due Process Procedures for Parents and Children

300.500  Definitions of ``consent'', ``evaluation'', and ``personally 
          identifiable''.
300.501  General responsibility of public agencies.
300.502  Opportunity to examine records.

[[Page 10]]

300.503  Independent educational evaluation.
300.504  Prior notice; parent consent.
300.505  Content of notice.
300.506  Impartial due process hearing.
300.507  Impartial hearing officer.
300.508  Hearing rights.
300.509  Hearing decision; appeal.
300.510  Administrative appeal; impartial review.
300.511  Civil action.
300.512  Timelines and convenience of hearings and reviews.
300.513  Child's status during proceedings.
300.514  Surrogate parents.
300.515  Attorneys' fees.

                   Protection in Evaluation Procedures

300.530  General.
300.531  Preplacement evaluation.
300.532  Evaluation procedures.
300.533  Placement procedures.
300.534  Reevaluation.

  Additional Procedures for Evaluating Children with Specific Learning 
                              Disabilities

300.540  Additional team members.
300.541  Criteria for determining the existence of a specific learning 
          disability.
300.542  Observation.
300.543  Written report.

                      Least Restrictive Environment

300.550  General.
300.551  Continuum of alternative placements.
300.552  Placements.
300.553  Nonacademic settings.
300.554  Children in public or private institutions.
300.555  Technical assistance and training activities.
300.556  Monitoring activities.

                     Confidentiality of Information

300.560  Definitions.
300.561  Notice to parents.
300.562  Access rights.
300.563  Record of access.
300.564  Records on more than one child.
300.565  List of types and locations of information.
300.566  Fees.
300.567  Amendment of records at parent's request.
300.568  Opportunity for a hearing.
300.569  Result of hearing.
300.570  Hearing procedures.
300.571  Consent.
300.572  Safeguards.
300.573  Destruction of information.
300.574  Children's rights.
300.575  Enforcement.
300.576  Department.

                          Department Procedures

300.580  [Reserved]
300.581  Disapproval of a State plan.
300.582  Content of notice.
300.583  Hearing official or panel.
300.584  Hearing procedures.
300.585  Initial decision; final decision.
300.586  Filing requirements.
300.587  Judicial review.
300.588  [Reserved]
300.589  Waiver of requirement regarding supplementing and supplanting 
          with Part B funds.

                     Subpart F--State Administration

                                 General

300.600  Responsibility for all educational programs.
300.601  Relation of part B to other Federal programs.

                              Use of Funds

300.620  Federal funds for State administration.
300.621  Allowable costs.

                          State Advisory Panel

300.650  Establishment.
300.651  Membership.
300.652  Advisory panel functions.
300.653  Advisory panel procedures.

                       State Complaint Procedures

300.660  Adoption of State complaint procedures.
300.661  Minimum State complaint procedures.
300.662  Filing a complaint.

                 Subpart G--Allocation of Funds; Reports

                               Allocations

300.700  Special definition of the term ``State.''
300.701  State entitlement; formula.
300.702  Limitations and exclusions.
300.703  Ratable reductions.
300.704  Hold harmless provision.
300.705  Allocation for State in which by-pass is implemented for 
          private school children with disabilities.
300.706  Within-State distribution: fiscal Year 1979 and after.
300.707  Local educational agency entitlement; formula.
300.708  Reallocation of local educational agency funds.
300.709  Payments to the Secretary of the Interior for the education of 
          Indian children.
300.710  Payments to the Secretary of the Interior for Indian tribes or 
          tribal organizations.
300.711  Entitlements to jurisdictions.

[[Page 11]]

                                 Reports

300.750  Annual report of children served--report requirement.
300.751  Annual report of children served--information required in the 
          report.
300.752  Annual report of children served--certification.
300.753  Annual report of children served--criteria for counting 
          children.
300.754  Annual report of children served--other responsibilities of the 
          State educational agency.

Appendix A to Part 300--[Reserved]
Appendix B to Part 300--[Reserved]
Appendix C to Part 300--Notice of Interpretation

    Authority: 20 U.S.C. 1411-1420, unless otherwise noted.

    Source: 57 FR 44798, Sept. 29, 1992, unless otherwise noted.



                           Subpart A--General

   Purpose, Applicability, and Regulations That Apply to this Program



Sec. 300.1  Purpose.

    The purpose of this part is--
    (a) To ensure that all children with disabilities have available to 
them a free appropriate public education that includes special education 
and related services to meet their unique needs;
    (b) To ensure that the rights of children with disabilities and 
their parents are protected;
    (c) To assist States and localities to provide for the education of 
all children with disabilities; and
    (d) To assess and ensure the effectiveness of efforts to educate 
those children.

    (Authority: 20 U.S.C. 1401 Note)



Sec. 300.2  Applicability to State, local, and private agencies.

    (a) States. This part applies to each State that receives payments 
under Part B of the Act.
    (b) Public agencies within the State. The State plan is submitted by 
the State educational agency on behalf of the State as a whole. 
Therefore, the provisions of this part apply to all political 
subdivisions of the State that are involved in the education of children 
with disabilities. These would include:
    (1) The State educational agency;
    (2) Local educational agencies and intermediate educational units;
    (3) Other State agencies and schools (such as Departments of Mental 
Health and Welfare and State schools for students with deafness or 
students with blindness); and
    (4) State correctional facilities.
    (c) Private schools and facilities. Each public agency in the State 
is responsible for ensuring that the rights and protections under this 
part are given to children referred to or placed in private schools and 
facilities by that public agency. (See Secs. 300.400-300.402)

    (Authority: 20 U.S.C. 1412(1), (6); 1413(a); 1413(a)(4)(B))

    Note: The requirements of this part are binding on each public 
agency that has direct or delegated authority to provide special 
education and related services in a State that receives funds under Part 
B of the Act, regardless of whether that agency is receiving funds under 
Part B.



Sec. 300.3  Regulations that apply.

    The following regulations apply to this program:
    (a) 34 CFR part 76 (State-Administered Programs) except for 
Secs. 76.780-76.782.
    (b) 34 CFR part 77 (Definitions).
    (c) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (d) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (e) 34 CFR part 81 (General Education Provisions Act-- Enforcement).
    (f) 34 CFR part 82 (New Restrictions on Lobbying).
    (g) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (h) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (i) The regulations in this part--34 CFR part 300 (Assistance to 
States for Education of Children with Disabilities).

    (Authority: 20 U.S.C. 1221e-3(a)(1))

                               Definitions

    Note 1: Definitions of terms that are used throughout these 
regulations are included in

[[Page 12]]

this subpart. Other terms are defined in the specific subparts in which 
they are used. Below is a list of those terms and the specific sections 
in which they are defined:

Appropriate professional requirements in the State (Sec. 300.153(a)(1))
Average per pupil expenditure in public elementary and secondary schools 
in the United States (Sec. 300.701(c))
Consent (Sec. 300.500)
Destruction (Sec. 300.560)
Direct services (Sec. 300.370(b)(1))
Education records (Sec. 300.560)
Evaluation (Sec. 300.500)
First priority children (Sec. 300.320(a)) Highest requirements in the 
State applicable to a specific profession or discipline 
(Sec. 300.153(a)(2))
Independent educational evaluation (Sec. 300.503(a)(3)(i))
Individualized education program (Sec. 300.340)
Participating agency, as used in the IEP requirements in Secs. 300.346 
and 300.347 (Sec. 300.340(b))
Participating agency, as used in the confidentiality requirements in 
Secs. 300.560-300.576 (Sec. 300.560)
Party or parties (Sec. 300.584(a))
Personally identifiable (Sec. 300.500)
Private school children with disabilities (Sec. 300.450)
Profession or discipline (Sec. 300.153(a)(3))
Public expense (Sec. 300.503(a)(3)(ii))
Second priority children (Sec. 300.320(b))
Special definition of ``State'' (Sec. 300.700)
State-approved or recognized certification, licensing, registration, or 
other comparable requirements (Sec. 300.153(a)(4))
Support services (Sec. 300.370(b)(2))

    Note 2: Below are abbreviations for selected terms that are used 
throughout these regulations:

``FAPE'' means ``free appropriate public education.''
``IEP'' means ``individualized education program.''
``IEU'' means ``intermediate educational unit.''
``LEA'' means ``local educational agency.''
``LRE'' means ``least restrictive environment.''
``SEA'' means ``State educational agency.''

    As appropriate, each abbreviation is used interchangeably with its 
nonabbreviated term.



Sec. 300.4  Act.

    As used in this part, ``Act'' means the Individuals with 
Disabilities Education Act, formerly the Education of the Handicapped 
Act.

    (Authority: 20 U.S.C. 1400)



Sec. 300.5  Assistive technology device.

    As used in this part, ``assistive technology device'' means any 
item, piece of equipment, or product system, whether acquired 
commercially off the shelf, modified, or customized, that is used to 
increase, maintain, or improve the functional capabilities of children 
with disabilities.

    (Authority: 20 U.S.C. 1401(a)(25))



Sec. 300.6  Assistive technology service.

    As used in this part, ``assistive technology service'' means any 
service that directly assists a child with a disability in the 
selection, acquisition, or use of an assistive technology device. The 
term includes --
    (a) The evaluation of the needs of a child with a disability, 
including a functional evaluation of the child in the child's customary 
environment;
    (b) Purchasing, leasing, or otherwise providing for the acquisition 
of assistive technology devices by children with disabilities;
    (c) Selecting, designing, fitting, customizing, adapting, applying, 
retaining, repairing, or replacing assistive technology devices;
    (d) Coordinating and using other therapies, interventions, or 
services with assistive technology devices, such as those associated 
with existing education and rehabilitation plans and programs;
    (e) Training or technical assistance for a child with a disability 
or, if appropriate, that child's family; and
    (f) Training or technical assistance for professionals (including 
individuals providing education or rehabilitation services), employers, 
or other individuals who provide services to, employ, or are otherwise 
substantially involved in the major life functions of children with 
disabilities.

(Authority: 20 U.S.C. 1401(a)(26))

    Note: The definitions of ``assistive technology device'' and 
``assistive technology service'' used in this part are taken directly 
from section 602(a)(25)-(26) of the Act, but in accordance with Part B, 
the statutory reference to ``individual with a disability'' has been 
replaced with ``child with a disability.'' The Act's definitions of 
``assistive technology device'' and ``assistive technology service'' 
incorporate verbatim the definitions of these terms used in the 
Technology-

[[Page 13]]

Related Assistance for Individuals with Disabilities Act of 1988.



Sec. 300.7  Children with disabilities.

    (a)(1) As used in this part, the term ``children with disabilities'' 
means those children evaluated in accordance with Secs. 300.530-300.534 
as having mental retardation, hearing impairments including deafness, 
speech or language impairments, visual impairments including blindness, 
serious emotional disturbance, orthopedic impairments, autism, traumatic 
brain injury, other health impairments, specific learning disabilities, 
deaf-blindness, or multiple disabilities, and who because of those 
impairments need special education and related services.
    (2) The term ``children with disabilities'' for children aged 3 
through 5 may, at a State's discretion, include children--
    (i) Who are experiencing developmental delays, as defined by the 
State and as measured by appropriate diagnostic instruments and 
procedures, in one or more of the following areas: physical development, 
cognitive development, communication development, social or emotional 
development, or adaptive development; and
    (ii) Who, for that reason, need special education and related 
services.
    (b) The terms used in this definition are defined as follows:
    (1) ``Autism'' means a developmental disability significantly 
affecting verbal and nonverbal communication and social interaction, 
generally evident before age 3, that adversely affects a child's 
educational performance. Other characteristics often associated with 
autism are engagement in repetitive activities and stereotyped 
movements, resistance to environmental change or change in daily 
routines, and unusual responses to sensory experiences. The term does 
not apply if a child's educational performance is adversely affected 
primarily because the child has a serious emotional disturbance, as 
defined in paragraph (b)(9) of this section.
    (2) ``Deaf-blindness'' means concomitant hearing and visual 
impairments, the combination of which causes such severe communication 
and other developmental and educational problems that they cannot be 
accommodated in special education programs solely for children with 
deafness or children with blindness.
    (3) ``Deafness'' means a hearing impairment that is so severe that 
the child is impaired in processing linguistic information through 
hearing, with or without amplification, that adversely affects a child's 
educational performance.
    (4) ``Hearing impairment'' means an impairment in hearing, whether 
permanent or fluctuating, that adversely affects a child's educational 
performance but that is not included under the definition of deafness in 
this section.
    (5) ``Mental retardation'' means significantly subaverage general 
intellectual functioning existing concurrently with deficits in adaptive 
behavior and manifested during the developmental period that adversely 
affects a child's educational performance.
    (6) ``Multiple disabilities'' means concomitant impairments (such as 
mental retardation-blindness, mental retardation-orthopedic impairment, 
etc.), the combination of which causes such severe educational problems 
that they cannot be accommodated in special education programs solely 
for one of the impairments. The term does not include deaf-blindness.
    (7) ``Orthopedic impairment'' means a severe orthopedic impairment 
that adversely affects a child's educational performance. The term 
includes impairments caused by congenital anomaly (e.g., clubfoot, 
absence of some member, etc.), impairments caused by disease (e.g., 
poliomyelitis, bone tuberculosis, etc.), and impairments from other 
causes (e.g., cerebral palsy, amputations, and fractures or burns that 
cause contractures).
    (8) ``Other health impairment'' means having limited strength, 
vitality or alertness, due to chronic or acute health problems such as a 
heart condition, tuberculosis, rheumatic fever, nephritis, asthma, 
sickle cell anemia, hemophilia, epilepsy, lead poisoning, leukemia, or 
diabetes that adversely affects a child's educational performance.
    (9) ``Serious emotional disturbance'' is defined as follows:
    (i) The term means a condition exhibiting one or more of the 
following

[[Page 14]]

characteristics over a long period of time and to a marked degree that 
adversely affects a child's educational performance--
    (A) An inability to learn that cannot be explained by intellectual, 
sensory, or health factors;
    (B) An inability to build or maintain satisfactory interpersonal 
relationships with peers and teachers;
    (C) Inappropriate types of behavior or feelings under normal 
circumstances;
    (D) A general pervasive mood of unhappiness or depression; or
    (E) A tendency to develop physical symptoms or fears associated with 
personal or school problems.
    (ii) The term includes schizophrenia. The term does not apply to 
children who are socially maladjusted, unless it is determined that they 
have a serious emotional disturbance.
    (10) ``Specific learning disability'' means a disorder in one or 
more of the basic psychological processes involved in understanding or 
in using language, spoken or written, that may manifest itself in an 
imperfect ability to listen, think, speak, read, write, spell, or to do 
mathematical calculations. The term includes such conditions as 
perceptual disabilities, brain injury, minimal brain dysfunction, 
dyslexia, and developmental aphasia. The term does not apply to children 
who have learning problems that are primarily the result of visual, 
hearing, or motor disabilities, of mental retardation, of emotional 
disturbance, or of environmental, cultural, or economic disadvantage.
    (11) ``Speech or language impairment'' means a communication 
disorder such as stuttering, impaired articulation, a language 
impairment, or a voice impairment that adversely affects a child's 
educational performance.
    (12) ``Traumatic brain injury'' means an acquired injury to the 
brain caused by an external physical force, resulting in total or 
partial functional disability or psychosocial impairment, or both, that 
adversely affects a child's educational performance. The term applies to 
open or closed head injuries resulting in impairments in one or more 
areas, such as cognition; language; memory; attention; reasoning; 
abstract thinking; judgment; problem-solving; sensory, perceptual and 
motor abilities; psychosocial behavior; physical functions; information 
processing; and speech. The term does not apply to brain injuries that 
are congenital or degenerative, or brain injuries induced by birth 
trauma.
    (13) ``Visual impairment including blindness'' means an impairment 
in vision that, even with correction, adversely affects a child's 
educational performance. The term includes both partial sight and 
blindness.

(Authority: 20 U.S.C. 1401(a)(1))

    Note: If a child manifests characteristics of the disability 
category ``autism'' after age 3, that child still could be diagnosed as 
having ``autism'' if the criteria in paragraph (b)(1) of this section 
are satisfied.



Sec. 300.8  Free appropriate public education.

    As used in this part, the term ``free appropriate public education'' 
means special education and related services that--
    (a) Are provided at public expense, under public supervision and 
direction, and without charge;
    (b) Meet the standards of the SEA, including the requirements of 
this part;
    (c) Include preschool, elementary school, or secondary school 
education in the State involved; and
    (d) Are provided in conformity with an IEP that meets the 
requirements of Secs. 300.340-300.350.

(Authority: 20 U.S.C. 1401(a)(18))



Sec. 300.9  Include.

    As used in this part, the term ``include'' means that the items 
named are not all of the possible items that are covered, whether like 
or unlike the ones named.

(Authority: 20 U.S.C. 1417(b))



Sec. 300.10  Intermediate educational unit.

    As used in this part, the term ``intermediate educational unit'' 
means any public authority, other than an LEA, that--
    (a) Is under the general supervision of an SEA;

[[Page 15]]

    (b) Is established by State law for the purpose of providing free 
public education on a regional basis; and
    (c) Provides special education and related services to children with 
disabilities within that State.

(Authority: 20 U.S.C. 1401(a)(23))



Sec. 300.11  Local educational agency.

    (a) [Reserved]
    (b) For the purposes of this part, the term ``local educational 
agency'' also includes intermediate educational units.

(Authority: 20 U.S.C. 1401(a)(8))



Sec. 300.12  Native language.

    As used in this part, the term ``native language'' has the meaning 
given that term by section 703(a)(2) of the Bilingual Education Act, 
which provides as follows:

    The term ``native language,'' when used with reference to an 
individual of limited English proficiency, means the language normally 
used by that individual, or in the case of a child, the language 
normally used by the parents of the child.

(Authority: 20 U.S.C. 3283(a)(2); 1401(a)(22))

    Note: Section 602(a)(22) of the Act states that the term ``native 
language'' has the same meaning as the definition from section 703(a)(2) 
of the Bilingual Education Act. (The term is used in the prior notice 
and evaluation sections under Sec. 300.505(b)(2) and 
Sec. 300.532(a)(1).) In using the term, the Act does not prevent the 
following means of communication:
    (1) In all direct contact with a child (including evaluation of the 
child), communication would be in the language normally used by the 
child and not that of the parents, if there is a difference between the 
two.
    (2) For individuals with deafness or blindness, or for individuals 
with no written language, the mode of communication would be that 
normally used by the individual (such as sign language, braille, or oral 
communication).



Sec. 300.13  Parent.

    As used in this part, the term ``parent'' means a parent, a 
guardian, a person acting as a parent of a child, or a surrogate parent 
who has been appointed in accordance with Sec. 300.514. The term does 
not include the State if the child is a ward of the State.

(Authority: 20 U.S.C. 1415)

    Note: The term ``parent'' is defined to include persons acting in 
the place of a parent, such as a grandmother or stepparent with whom a 
child lives, as well as persons who are legally responsible for a 
child's welfare.



Sec. 300.14  Public agency.

    As used in this part, the term ``public agency'' includes the SEA, 
LEAs, IEUs, and any other political subdivisions of the State that are 
responsible for providing education to children with disabilities.

(Authority: 20 U.S.C. 1412(2)(B); 1412(6); 1413(a))



Sec. 300.15  Qualified.

    As used in this part, the term ``qualified'' means that a person has 
met SEA approved or recognized certification, licensing, registration, 
or other comparable requirements that apply to the area in which he or 
she is providing special education or related services.

(Authority: 20 U.S.C. 1417(b))



Sec. 300.16  Related services.

    (a) As used in this part, the term ``related services'' means 
transportation and such developmental, corrective, and other supportive 
services as are required to assist a child with a disability to benefit 
from special education, and includes speech pathology and audiology, 
psychological services, physical and occupational therapy, recreation, 
including therapeutic recreation, early identification and assessment of 
disabilities in children, counseling services, including rehabilitation 
counseling, and medical services for diagnostic or evaluation purposes. 
The term also includes school health services, social work services in 
schools, and parent counseling and training.
    (b) The terms used in this definition are defined as follows:
    (1) ``Audiology'' includes--
    (i) Identification of children with hearing loss;
    (ii) Determination of the range, nature, and degree of hearing loss, 
including referral for medical or other professional attention for the 
habilitation of hearing;
    (iii) Provision of habilitative activities, such as language 
habilitation, auditory training, speech reading (lip-

[[Page 16]]

reading), hearing evaluation, and speech conservation;
    (iv) Creation and administration of programs for prevention of 
hearing loss;
    (v) Counseling and guidance of pupils, parents, and teachers 
regarding hearing loss; and
    (vi) Determination of the child's need for group and individual 
amplification, selecting and fitting an appropriate aid, and evaluating 
the effectiveness of amplification.
    (2) ``Counseling services'' means services provided by qualified 
social workers, psychologists, guidance counselors, or other qualified 
personnel.
    (3) ``Early identification and assessment of disabilities in 
children'' means the implementation of a formal plan for identifying a 
disability as early as possible in a child's life.
    (4) ``Medical services'' means services provided by a licensed 
physician to determine a child's medically related disability that 
results in the child's need for special education and related services.
    (5) ``Occupational therapy'' includes--
    (i) Improving, developing or restoring functions impaired or lost 
through illness, injury, or deprivation;
    (ii) Improving ability to perform tasks for independent functioning 
when functions are impaired or lost; and
    (iii) Preventing, through early intervention, initial or further 
impairment or loss of function.
    (6) ``Parent counseling and training'' means assisting parents in 
understanding the special needs of their child and providing parents 
with information about child development.
    (7) ``Physical therapy'' means services provided by a qualified 
physical therapist.
    (8) ``Psychological services'' includes--
    (i) Administering psychological and educational tests, and other 
assessment procedures;
    (ii) Interpreting assessment results;
    (iii) Obtaining, integrating, and interpreting information about 
child behavior and conditions relating to learning.
    (iv) Consulting with other staff members in planning school programs 
to meet the special needs of children as indicated by psychological 
tests, interviews, and behavioral evaluations; and
    (v) Planning and managing a program of psychological services, 
including psychological counseling for children and parents.
    (9) ``Recreation'' includes--
    (i) Assessment of leisure function;
    (ii) Therapeutic recreation services;
    (iii) Recreation programs in schools and community agencies; and
    (iv) Leisure education.
    (10) ``Rehabilitation counseling services'' means services provided 
by qualified personnel in individual or group sessions that focus 
specifically on career development, employment preparation, achieving 
independence, and integration in the workplace and community of a 
student with a disability. The term also includes vocational 
rehabilitation services provided to students with disabilities by 
vocational rehabilitation programs funded under the Rehabilitation Act 
of 1973, as amended.
    (11) ``School health services'' means services provided by a 
qualified school nurse or other qualified person.
    (12) ``Social work services in schools'' includes--
    (i) Preparing a social or developmental history on a child with a 
disability;
    (ii) Group and individual counseling with the child and family;
    (iii) Working with those problems in a child's living situation 
(home, school, and community) that affect the child's adjustment in 
school; and
    (iv) Mobilizing school and community resources to enable the child 
to learn as effectively as possible in his or her educational program.
    (13) ``Speech pathology'' includes--
    (i) Identification of children with speech or language impairments;
    (ii) Diagnosis and appraisal of specific speech or language 
impairments;
    (iii) Referral for medical or other professional attention necessary 
for the habilitation of speech or language impairments;
    (iv) Provision of speech and language services for the habilitation 
or prevention of communicative impairments; and
    (v) Counseling and guidance of parents, children, and teachers 
regarding speech and language impairments.

[[Page 17]]

    (14) ``Transportation'' includes--
    (i) Travel to and from school and between schools;
    (ii) Travel in and around school buildings; and
    (iii) Specialized equipment (such as special or adapted buses, 
lifts, and ramps), if required to provide special transportation for a 
child with a disability.

(Authority: 20 U.S.C. 1401(a)(17))

    Note: With respect to related services, the Senate Report states:
    The Committee bill provides a definition of related services, making 
clear that all such related services may not be required for each 
individual child and that such term includes early identification and 
assessment of handicapping conditions and the provision of services to 
minimize the effects of such conditions.

(S. Rep. No. 94-168, p. 12 (1975))

    The list of related services is not exhaustive and may include other 
developmental, corrective, or supportive services (such as artistic and 
cultural programs, and art, music, and dance therapy), if they are 
required to assist a child with a disability to benefit from special 
education.
    There are certain kinds of services that might be provided by 
persons from varying professional backgrounds and with a variety of 
operational titles, depending upon requirements in individual States. 
For example, counseling services might be provided by social workers, 
psychologists, or guidance counselors, and psychological testing might 
be done by qualified psychological examiners, psychometrists, or 
psychologists, depending upon State standards.
    Each related service defined under this part may include appropriate 
administrative and supervisory activities that are necessary for program 
planning, management, and evaluation.



Sec. 300.17  Special education.

    (a)(1) As used in this part, the term ``special education'' means 
specially designed instruction, at no cost to the parents, to meet the 
unique needs of a child with a disability, including--
    (i) Instruction conducted in the classroom, in the home, in 
hospitals and institutions, and in other settings; and
    (ii) Instruction in physical education.
    (2) The term includes speech pathology, or any other related 
service, if the service consists of specially designed instruction, at 
no cost to the parents, to meet the unique needs of a child with a 
disability, and is considered special education rather than a related 
service under State standards.
    (3) The term also includes vocational education if it consists of 
specially designed instruction, at no cost to the parents, to meet the 
unique needs of a child with a disability.
    (b) The terms in this definition are defined as follows:
    (1) ``At no cost'' means that all specially designed instruction is 
provided without charge, but does not preclude incidental fees that are 
normally charged to nondisabled students or their parents as a part of 
the regular education program.
    (2) ``Physical education'' is defined as follows:
    (i) The term means the development of--
    (A) Physical and motor fitness;
    (B) Fundamental motor skills and patterns; and
    (C) Skills in aquatics, dance, and individual and group games and 
sports (including intramural and lifetime sports).
    (ii) The term includes special physical education, adaptive physical 
education, movement education, and motor development.

(Authority: 20 U.S.C. 1401(a)(16))

    (3) Vocational education means organized educational programs that 
are directly related to the preparation of individuals for paid or 
unpaid employment, or for additional preparation for a career requiring 
other than a baccalaureate or advanced degree.

(Authority: 20 U.S.C. 1401(16))

    Note 1: The definition of special education is a particularly 
important one under these regulations, since a child does not have a 
disability under this part unless he or she needs special education. 
(See the definition of children with disabilities in Sec. 300.7.) The 
definition of related services (Sec. 300.16) also depends on this 
definition, since a related service must be necessary for a child to 
benefit from special education. Therefore, if a child does not need 
special education, there can be no related services, and the child is 
not a child with a disability and is therefore not covered under the 
Act.

    Note 2: The above definition of vocational education is taken from 
the Vocational Education Act of 1963, as amended by Public Law 94-482. 
Under that Act, ``vocational education'' includes industrial arts and

[[Page 18]]

consumer and homemaking education programs.

[57 FR 44798, Sept. 29, 1992; 57 FR 48694, Oct. 27, 1992]



Sec. 300.18  Transition services.

    (a) As used in this part, ``transition services'' means a 
coordinated set of activities for a student, designed within an outcome-
oriented process, that promotes movement from school to post-school 
activities, including postsecondary education, vocational training, 
integrated employment (including supported employment), continuing and 
adult education, adult services, independent living, or community 
participation.
    (b) The coordinated set of activities described in paragraph (a) of 
this section must--
    (1) Be based on the individual student's needs, taking into account 
the student's preferences and interests; and
    (2) Include--
    (i) Instruction;
    (ii) Community experiences;
    (iii) The development of employment and other post-school adult 
living objectives; and
    (iv) If appropriate, acquisition of daily living skills and 
functional vocational evaluation.

(Authority: 20 U.S.C. 1401(a)(19))

    Note: Transition services for students with disabilities may be 
special education, if they are provided as specially designed 
instruction, or related services, if they are required to assist a 
student with a disability to benefit from special education. The list of 
activities in paragraph (b) is not intended to be exhaustive.

[57 FR 44798, Sept. 29, 1992; 57 FR 48694, Oct. 27, 1992]



    Subpart B--State Plans and Local Educational Agency Applications

                          State Plans--General



Sec. 300.110  Condition of assistance.

    In order to receive funds under part B of the Act for any fiscal 
year, a State must submit a State plan to the Secretary through its SEA, 
which plan shall be effective for a period of 3 fiscal years.

(Authority: 20 U.S.C. 1231g, 1412, 1413)

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.111  Content of plan.

    Each State plan must contain the provisions required in 
Secs. 300.121-300.154.

[57 FR 48694, Oct. 27, 1992]

                          State Plans--Contents



Sec. 300.121  Right to a free appropriate public education.

    (a) Each State plan must include information that shows that the 
State has in effect a policy that ensures that all children with 
disabilities have the right to FAPE within the age ranges and timelines 
under Sec. 300.122.
    (b) The information must include a copy of each State statute, court 
order, State Attorney General opinion, and other State documents that 
show the source of the policy.
    (c) The information must show that the policy--
    (1) Applies to all public agencies in the State;
    (2) Applies to all children with disabilities;
    (3) Implements the priorities established under Secs. 300.320-
300.324; and
    (4) Establishes timelines for implementing the policy, in accordance 
with Sec. 300.122.

(Authority: 20 U.S.C. 1412(1), (2)(B), (6); 1413(a)(1))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.122  Timelines and ages for free appropriate public education.

    (a) General. Each State plan must include in detail the policies and 
procedures that the State will undertake or has undertaken in order to 
ensure that FAPE is available for all children with disabilities aged 3 
through 18 within the State not later than September 1,

[[Page 19]]

1978, and for all children with disabilities aged 3 through 21 within 
the State not later than September 1, 1980.
    (b) Documents relating to timelines. Each State plan must include a 
copy of each State statute, court order, Attorney General decision, and 
other State documents that demonstrate that the State has established 
timelines in accordance with paragraph (a) of this section.
    (c) Exception. The requirement in paragraph (a) of this section does 
not apply to a State with respect to children with disabilities aged 3, 
4, 5, 18, 19, 20, or 21 to the extent that the requirement would be 
inconsistent with State law or practice, or the order of any court, 
respecting public education for one or more of those age groups in the 
State.
    (d) Documents relating to exceptions. Each State plan must--
    (1) Describe in detail the extent that the exception in paragraph 
(c) of this section applies to the State; and
    (2) Include a copy of each State law, court order, and other 
documents that provide a basis for the exception.
(Authority: 20 U.S.C. 1412(2)(B))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.123  Full educational opportunity goal.

    Each State plan must include in detail the policies and procedures 
that the State will undertake, or has undertaken, in order to ensure 
that the State has a goal of providing full educational opportunity to 
all children with disabilities aged birth through 21.

(Authority: 20 U.S.C. 1412(2)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.124  [Reserved]



Sec. 300.125  Full educational opportunity goal--timetable.

    Each State plan must contain a detailed timetable for accomplishing 
the goal of providing full educational opportunity for all children with 
disabilities.

(Authority: 20 U.S.C. 1412(2)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.126  Full educational opportunity goal--facilities, personnel, and services.

    Each State plan must include a description of the kind and number of 
facilities, personnel, and services necessary throughout the State to 
meet the goal of providing full educational opportunity for all children 
with disabilities.

(Authority: 20 U.S.C. 1412(2)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.127  Priorities.

    Each State plan must include information that shows that --
    (a) The State has established priorities that meet the requirements 
of Secs. 300.320-300.324;
    (b) The State priorities meet the timelines under Sec. 300.122; and
    (c) The State has made progress in meeting those timelines.

(Authority: 20 U.S.C. 1412(3))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.128  Identification, location, and evaluation of children with disabilities.

    (a) General requirement. Each State plan must include in detail the 
policies and procedures that the State will undertake, or has 
undertaken, to ensure that--
    (1) All children with disabilities, regardless of the severity of 
their disability, and who are in need of special education and related 
services are identified, located, and evaluated; and
    (2) A practical method is developed and implemented to determine 
which children are currently receiving needed special education and 
related services and which children are not currently

[[Page 20]]

receiving needed special education and related services.
    (b) Information. Each State plan must:
    (1) Designate the State agency (if other than the SEA) responsible 
for coordinating the planning and implementation of the policies and 
procedures under paragraph (a) of this section.
    (2) Name each agency that participates in the planning and 
implementation and describe the nature and extent of its participation.
    (3) Describe the extent that--
    (i) The activities described in paragraph (a) of this section have 
been achieved under the current State plan; and
    (ii) The resources named for these activities in that plan have been 
used.
    (4) Describe each type of activity to be carried out during the next 
school year, including the role of the agency named under paragraph 
(b)(1) of this section, timelines for completing those activities, 
resources that will be used, and expected outcomes.
    (5) Describe how the policies and procedures under paragraph (a) of 
this section will be monitored to ensure that the SEA obtains--
    (i) The number of children with disabilities within each disability 
category that have been identified, located, and evaluated; and
    (ii) Information adequate to evaluate the effectiveness of those 
policies and procedures.
    (6) Describe the method the State uses to determine which children 
are currently receiving special education and related services and which 
children are not receiving special education and related services.

(Authority: 20 U.S.C. 1412(2)(C))

    Note 1: The State is responsible for ensuring that all children with 
disabilities are identified, located, and evaluated, including children 
in all public and private agencies and institutions in the State. 
Collection and use of data are subject to the confidentiality 
requirements of Secs. 300.560-300.576.
    Note 2: Under both Parts B and H of the Act, States are responsible 
for identifying, locating, and evaluating infants and toddlers from 
birth through 2 years of age who have disabilities or who are suspected 
of having disabilities. In States where the SEA and the State's lead 
agency for the Part H program are different and the Part H lead agency 
will be participating in the child find activities described in 
paragraph (a) of this section, the nature and extent of the Part H lead 
agency's participation must, under paragraph (b)(2) of this section, be 
included in the State plan. With the SEA's agreement, the Part H lead 
agency's participation may include the actual implementation of child 
find activities for infants and toddlers. The use of an interagency 
agreement or other mechanism for providing for the Part H lead agency's 
participation would not alter or diminish the responsibility of the SEA 
to ensure compliance with all child find requirements, including the 
requirement in paragraph (a)(1) of this section that all children with 
disabilities who are in need of special education and related services 
are evaluated.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.129  Confidentiality of personally identifiable information.

    (a) Each State plan must include in detail the policies and 
procedures that the State will undertake, or has undertaken, in order to 
ensure the protection of the confidentiality of any personally 
identifiable information collected, used, or maintained under this part.
    (b) The Secretary shall use the criteria in Secs. 300.560-300.576 to 
evaluate the policies and procedures of the State under paragraph (a) of 
this section.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

    Note: The confidentiality regulations were published in the Federal 
Register in final form on February 27, 1976 (41 FR 8603-8610), and met 
the requirements of Part B of the Act. Those regulations are 
incorporated in Secs. 300.560-300.576.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.130  Individualized education programs.

    (a) Each State plan must include information that shows that each 
public agency in the State maintains records of the IEP for each child 
with disabilities, and each public agency establishes, reviews, and 
revises each program as provided in Secs. 300.340-300.350.
    (b) Each State plan must include--
    (1) A copy of each State statute, policy, and standard that 
regulates the

[[Page 21]]

manner in which IEPs are developed, implemented, reviewed, and revised; 
and
    (2) The procedures that the SEA follows in monitoring and evaluating 
those programs.

(Authority: 20 U.S.C. 1412(4), 1413(a)(1))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.131  Procedural safeguards.

    Each State plan must include procedural safeguards that ensure that 
the requirements of Secs. 300.500-300.514 are met.

(Authority: 20 U.S.C. 1412(5)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.132  Least restrictive environment.

    (a) Each State plan must include procedures that ensure that the 
requirements of Secs. 300.550-300.556 are met.
    (b) Each State plan must include the following information:
    (1) The number of children with disabilities in the State, within 
each disability category, who are participating in regular education 
programs, consistent with Secs. 300.550-300.556.
    (2) The number of children with disabilities who are in separate 
classes or separate school facilities, or who are otherwise removed from 
the regular education environment.

(Authority: 20 U.S.C. 1412(5)(B))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.133  Protection in evaluation procedures.

    Each State plan must include procedures that ensure that the 
requirements of Secs. 300.530-300.534 are met.

(Authority: 20 U.S.C. 1412(5)(C))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.134  Responsibility of State educational agency for all educational programs.

    (a) Each State plan must include information that shows that the 
requirements of Sec. 300.600 are met.
    (b) The information under paragraph (a) of this section must include 
a copy of each State statute, State regulation, signed agreement between 
respective agency officials, and any other documents that show 
compliance with that paragraph.

(Authority: 20 U.S.C. 1412(6))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.135  [Reserved]



Sec. 300.136  Implementation procedures--State educational agency.

    Each State plan must describe the procedures the SEA follows to 
inform each public agency of its responsibility for ensuring effective 
implementation of procedural safeguards for the children with 
disabilities served by that public agency.

(Authority: 20 U.S.C. 1412(6))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.137  Procedures for consultation.

    Each State plan must include an assurance that in carrying out the 
requirements of section 612 of the Act, procedures are established for 
consultation with individuals involved in or concerned with the 
education of children with disabilities, including individuals with 
disabilities and parents of children with disabilities.

(Authority: 20 U.S.C. 1412(7)(A))



Sec. 300.138  Other Federal programs.

    Each State plan must provide that programs and procedures are 
established to ensure that funds received by the State or any public 
agency in the State under any other Federal program, including subpart 2 
of part D of chapter 1 of title I of the Elementary and Secondary 
Education Act of 1965, under which there is specific authority

[[Page 22]]

for assistance for the education of children with disabilities, are used 
by the State, or any public agency in the State, only in a manner 
consistent with the goal of providing FAPE for all children with 
disabilities, except that nothing in this section limits the specific 
requirements of the laws governing those Federal programs.

(Authority: 20 U.S.C. 1413(a)(2))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.139  Comprehensive system of personnel development.

    Each State plan must include the procedures required under 
Secs. 300.380-300.383.

(Authority: 20 U.S.C. 1413(a)(3))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.140  Private schools.

    Each State plan must include policies and procedures that ensure 
that the requirements of Secs. 300.400-300.403 and Secs. 300.450-300.452 
are met.

(Authority: 20 U.S.C. 1413(a)(4))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.141  Recovery of funds for misclassified children.

    Each State plan must include policies and procedures that ensure 
that the State seeks to recover any funds provided under part B of the 
Act for services to a child who is determined to be erroneously 
classified as eligible to be counted under section 611(a) or (d) of the 
Act.

(Authority: 20 U.S.C. 1413(a)(5))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.142-300.143  [Reserved]



Sec. 300.144  Hearing on application.

    Each State plan must include procedures to ensure that the SEA does 
not take any final action with respect to an application submitted by an 
LEA before giving the LEA reasonable notice and an opportunity for a 
hearing under Sec. 76.401(d) of this title.

(Authority: 20 U.S.C. 1413(a)(8))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.145  Prohibition of commingling.

    Each State plan must provide assurance satisfactory to the Secretary 
that funds provided under part B of the Act are not commingled with 
State funds.

(Authority: 20 U.S.C. 1413(a)(9))

    Note: This assurance is satisfied by the use of a separate 
accounting system that includes an audit trail of the expenditure of the 
part B funds. Separate bank accounts are not required. (See 34 CFR 
76.702 (Fiscal control and fund accounting procedures).)



Sec. 300.146  Annual evaluation.

    Each State plan must include procedures for evaluation at least 
annually of the effectiveness of programs in meeting the educational 
needs of children with disabilities, including evaluation of IEPs.

(Authority: 20 U.S.C. 1413(a)(11))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.147  State advisory panel.

    Each State plan must provide that the requirements of Secs. 300.650-
300.653 are met.

(Authority: 20 U.S.C. 1413(a)(12))



Sec. 300.148  Policies and procedures for use of part B funds.

    Each State plan must set forth policies and procedures designed to 
ensure that funds paid to the State under part B of the Act are spent in 
accordance with the provisions of part B, with particular attention 
given to sections

[[Page 23]]

611(b), 611(c), 611(d), 612(2), and 612(3) of the Act.

(Authority: 20 U.S.C. 1413(a)(1))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.149  Description of use of part B funds.

    (a) State allocation. Each State plan must include the following 
information about the State's use of funds under Sec. 300.370 and 
Sec. 300.620:
    (1) A list of administrative positions, and a description of duties 
for each person whose salary is paid in whole or in part with those 
funds.
    (2) For each position, the percentage of salary paid with those 
funds.
    (3) A description of each administrative activity the SEA will carry 
out during the next school year with those funds.
    (4) A description of each direct service and each support service 
that the SEA will provide during the next period covered by the State 
plan with those funds, and the activities the State advisory panel will 
undertake during that period with those funds.
    (b) Local educational agency allocation. Each State plan must 
include--
    (1) An estimate of the number and percent of LEAs in the State that 
will receive an allocation under this part (other than LEAs that submit 
a consolidated application);
    (2) An estimate of the number of LEAs that will receive an 
allocation under a consolidated application;
    (3) An estimate of the number of consolidated applications and the 
average number of LEAs per application; and
    (4) A description of direct services that the SEA will provide under 
Sec. 300.360.

(Authority: 20 U.S.C.1412(6))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.150  State-level nonsupplanting.

    Each State plan must provide assurance satisfactory to the Secretary 
that funds provided under this part will be used so as to supplement and 
increase the level of Federal (other than funds available under this 
part), State, and local funds--including funds that are not under the 
direct control of the SEA or LEAs -- expended for special education and 
related services provided to children with disabilities under this part 
and in no case to supplant those Federal (other than funds available 
under this part), State, and local funds unless a waiver is granted in 
accordance with Sec. 300.589.

(Authority: 20 U.S.C. 1413(a)(9))

    Note: This requirement is distinct from the LEA nonsupplanting 
provision already contained in these regulations at Sec. 300.230. Under 
this State-level provision, the State must assure that part B funds 
distributed to LEAs and IEUs will be used to supplement and not supplant 
other Federal, State, and local funds (including funds not under the 
control of educational agencies) that would have been expended for 
special education and related services provided to children with 
disabilities in the absence of the part B funds. The portion of part B 
funds that are not distributed to LEAs or IEUs under the statutory 
formula (20 U.S.C. 1411(d)) are not subject to this nonsupplanting 
provision. See 20 U.S.C. 1411(c)(3). States may not permit LEAs or IEUs 
to use part B funds to satisfy a financial commitment for services that 
would have been paid for by a health or other agency pursuant to policy 
or practice but for the fact that these services are now included in the 
IEPs of children with disabilities.

(H.R. Rep. No. 860, 99th Cong., 21-22 (1986))



Sec. 300.151  Additional information if the State educational agency provides direct services.

    If an SEA provides FAPE for children with disabilities or provides 
them with direct services, its State plan must include the information 
required under Secs. 300.226, 300.227, 300.231, and 300.235.

(Authority: 20 U.S.C. 1413(b))



Sec. 300.152  Interagency agreements.

    (a) Each State plan must set forth policies and procedures for 
developing and implementing interagency agreements between--
    (1) The SEA; and
    (2) All other State and local agencies that provide or pay for 
services required under this part for children with disabilities.
    (b) The policies and procedures referred to in paragraph (a) of this 
section must--

[[Page 24]]

    (1) Describe the role that each of those agencies plays in providing 
or paying for services required under this part for children with 
disabilities; and
    (2) Provide for the development and implementation of interagency 
agreements that--
    (i) Define the financial responsibility of each agency for providing 
children with disabilities with FAPE;
    (ii) Establish procedures for resolving interagency disputes among 
agencies that are parties to the agreements; and
    (iii) Establish procedures under which LEAs may initiate proceedings 
in order to secure reimbursement from agencies that are parties to the 
agreements or otherwise implement the provisions of the agreements.

(Authority: 20 U.S.C. 1413(a)(13))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.153  Personnel standards.

    (a) As used in this part:
    (1) Appropriate professional requirements in the Staten means entry 
level requirements that--
    (i) Are based on the highest requirements in the State applicable to 
the profession or discipline in which a person is providing special 
education or related services; and
    (ii) Establish suitable qualifications for personnel providing 
special education and related services under this part to children and 
youth with disabilities who are served by State, local, and private 
agencies (see Sec. 300.2).
    (2) Highest requirements in the State applicable to a specific 
profession or discipline means the highest entry-level academic degree 
needed for any State approved or recognized certification, licensing, 
registration, or other comparable requirements that apply to that 
profession or discipline.
    (3) Profession or discipline means a specific occupational category 
that--
    (i) Provides special education and related services to children with 
disabilities under this part;
    (ii) Has been established or designated by the State; and
    (iii) Has a required scope of responsibility and degree of 
supervision.
    (4) State approved or recognized certification, licensing, 
registration, or other comparable requirements means the requirements 
that a State legislature either has enacted or has authorized a State 
agency to promulgate through rules to establish the entry-level 
standards for employment in a specific profession or discipline in that 
State.
    (b)(1) Each State plan must include policies and procedures relating 
to the establishment and maintenance of standards to ensure that 
personnel necessary to carry out the purposes of this part are 
appropriately and adequately prepared and trained.
    (2) The policies and procedures required in paragraph (b)(1) of this 
section must provide for the establishment and maintenance of standards 
that are consistent with any State approved or recognized certification, 
licensing, registration, or other comparable requirements that apply to 
the profession or discipline in which a person is providing special 
education or related services.
    (c) To the extent that a State's standards for a profession or 
discipline, including standards for temporary or emergency 
certification, are not based on the highest requirements in the State 
applicable to a specific profession or discipline, the State plan must 
include the steps the State is taking and the procedures for notifying 
public agencies and personnel of those steps and the timelines it has 
established for the retraining or hiring of personnel to meet 
appropriate professional requirements in the State.
    (d)(1) In meeting the requirements in paragraphs (b) and (c) of this 
section, a determination must be made about the status of personnel 
standards in the State. That determination must be based on current 
information that accurately describes, for each profession or discipline 
in which personnel are providing special education or related services, 
whether the applicable standards are consistent with the highest 
requirements in the State for that profession or discipline.
    (2) The information required in paragraph (d)(1) of this section 
must be on file in the SEA, and available to the public.

[[Page 25]]

    (e) In identifying the highest requirements in the State for 
purposes of this section, the requirements of all State statutes and the 
rules of all State agencies applicable to serving children and youth 
with disabilities must be considered.

(Authority: 20 U.S.C. 1413(a)(14))

    Note: The regulations require that the State use its own existing 
highest requirements to determine the standards appropriate to personnel 
who provide special education and related services under this part. The 
regulations do not require States to set any specified training 
standard, such as a master's degree, for employment of personnel who 
provide services under this part. In some instances, States will be 
required to show that they are taking steps to retrain or to hire 
personnel to meet the standards adopted by the SEA that are based on 
requirements for practice in a specific profession or discipline that 
were established by other State agencies. States in this position need 
not, however, require personnel providing services under this part to 
apply for and obtain the license, registration, or other comparable 
credential required by other agencies of individuals in that profession 
or discipline. The regulations permit each State to determine the 
specific occupational categories required to provide special education 
and related services and to revise or expand these categories as needed. 
The professions or disciplines defined by the State need not be limited 
to traditional occupational categories.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.154  Transition of individuals from part H to part B.

    Each State plan must set forth policies and procedures relating to 
the smooth transition for those individuals participating in the early 
intervention program under part H of the Act who will participate in 
preschool programs assisted under this part, including a method of 
ensuring that when a child turns age 3 an IEP, or, if consistent with 
sections 614(a)(5) and 677(d) of the Act, an individualized family 
service plan, has been developed and implemented by the child's third 
birthday.
(Authority: 20 U.S.C. 1413(a)(15))

             Local Educational Agency Applications--General



Sec. 300.180  Submission of application.

    In order to receive payments under part B of the Act for any fiscal 
year, an LEA must submit an application to the SEA.

(Authority: 20 U.S.C. 1414(a))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.181  [Reserved]



Sec. 300.182  The excess cost requirement.

    An LEA may only use funds under part B of the Act for the excess 
costs of providing special education and related services for children 
with disabilities.

(Authority: 20 U.S.C. 1414(a)(1), (a)(2)(B)(i))



Sec. 300.183  Meeting the excess cost requirement.

    (a) An LEA meets the excess cost requirement if it has on the 
average spent at least the amount determined under Sec. 300.184 for the 
education of each of its children with disabilities. This amount may not 
include capital outlay or debt service.

(Authority: 20 U.S.C. 1402(20); 1414(a)(1))

    Note: The excess cost requirement means that the LEA must spend a 
certain minimum amount for the education of its children with 
disabilities before part B funds are used. This ensures that children 
served with part B funds have at least the same average amount spent on 
them, from sources other than part B, as do the children in the school 
district taken as a whole.
    The minimum amount that must be spent for the education of children 
with disabilities is computed under a statutory formula. Section 300.184 
implements this formula and gives a step-by-step method to determine the 
minimum amount. Excess costs are those costs of special education and 
related services that exceed the minimum amount. Therefore, if an LEA 
can show that it has (on the average) spent the minimum amount for the 
education of each of its children with disabilities, it has met the 
excess cost requirement, and all additional costs are excess costs. Part 
B funds can then be used to pay for these additional costs, subject to 
the other requirements of part B (priorities, etc.). In the Note under 
Sec. 300.184, there is an example of how the minimum amount is computed.

[[Page 26]]



Sec. 300.184  Excess costs--computation of minimum amount.

    The minimum average amount that an LEA must spend under Sec. 300.183 
for the education of each of its children with disabilities is computed 
as follows:
    (a) Add all expenditures of the LEA in the preceding school year, 
except capital outlay and debt service--
    (1) For elementary school students, if the child with a disability 
is an elementary school student; or
    (2) For secondary school students, if the child with a disability is 
a secondary school student.
    (b) From this amount, subtract the total of the following amounts 
spent for elementary school students or for secondary school students, 
as the case may be--
    (1) Amounts the agency spent in the preceding school year from funds 
awarded under part B of the Act and titles I and VII of the Elementary 
and Secondary Education Act of 1965; and
    (2) Amounts from State and local funds that the agency spent in the 
preceding school year for--
    (i) Programs for children with disabilities;
    (ii) Programs to meet the special educational needs of educationally 
deprived children; and
    (iii) Programs of bilingual education for limited English proficient 
children.
    (c) Divide the result under paragraph (b) of this section by the 
average number of students enrolled in the agency in the preceding 
school year--
    (1) In its elementary schools, if the child with a disability is an 
elementary school student; or
    (2) In its secondary schools, if the child with a disability is a 
secondary school student.

(Authority: 20 U.S.C. 1414(a)(1))

    Note: The following is an example of how an LEA might compute the 
average minimum amount it must spend for the education of each of its 
children with disabilities, under Sec. 300.183. This example follows the 
formula in Sec. 300.184. Under the statute and regulations, the LEA must 
make one computation for children with disabilities in its elementary 
schools and a separate computation for children with disabilities in its 
secondary schools. The computation for elementary school students with 
disabilities would be done as follows:
    a. First, the LEA must determine its total amount of expenditures 
for elementary school students from all sources--local, State, and 
Federal (including part B)--in the preceding school year. Only capital 
outlay and debt service are excluded.
    Example: An LEA spent the following amounts last year for elementary 
school students (including its elementary school students with 
disabilities):

(1) From local tax funds.............................         $2,750,000
(2) From State funds.................................          7,000,000
(3) From Federal funds...............................            750,000
                                                      ------------------
                                                             10,500,000 
  Of this total, $500,000 was for capital outlay and debt service       
 relating to the education of elementary school students. This must be  
 subtracted from total expenditures:                                    
                                                             $10,500,000
                                                                -500,000
                                                      ------------------
  Total expenditures for elementary school students                     
   (less capital outlay and debt service)............         10,000,000
                                                                        

    b. Next, the LEA must subtract amounts spent for:
    (1) Programs for children with disabilities;
    (2) Programs to meet the special educational needs of educationally 
deprived children; and
    (3) Programs of bilingual education for limited English proficient 
children.
    These are funds that the LEA actually spent, not funds received last 
year but carried over for the current school year.
    Example: The LEA spent the following amounts for elementary school 
students last year:

(1) From funds under chapter 1 of title I of the Elementary             
 and Secondary Education Act of 1965.......................      300,000
(2) From a special State program for educationally deprived             
 children..................................................      200,000
(3) From a grant under part B..............................      200,000
(4) From State funds for the education of children with                 
 disabilities..............................................      500,000
(5) From a locally-funded program for children with                     
 disabilities..............................................      250,000
(6) From a grant for a bilingual education program under                
 title VII of the Elementary and Secondary Education Act of             
 1965......................................................      150,000
                                                            ------------
    Total..................................................    1,600,000
                                                                        

    (An LEA would also include any other funds it spent from Federal, 
State, or local

[[Page 27]]

sources for the three basic purposes: Children with disabilities, 
educationally deprived children, and bilingual education for limited 
English proficient children.)
    This amount is subtracted from the LEA's total expenditure for 
elementary school students computed above:

                                                             $10,000,000
                                                              -1,600,000
                                                           -------------
                                                               8,400,000
                                                                        

    c. The LEA next must divide by the average number of students 
enrolled in the elementary schools of the agency last year (including 
its students with disabilities).
    Example: Last year, an average of 7,000 students were enrolled in 
the agency's elementary schools. This must be divided into the amount 
computed under the above paragraph: $8,400,000/7,000 students = $1,200/
student.
    This figure is in the minimum amount the LEA must spend (on the 
average) for the education of each of its students with disabilities. 
Funds under part B may be used only for costs over and above this 
minimum. In this example, if the LEA has 100 elementary school students 
with disabilities, it must keep records adequate to show that it has 
spent at least $120,000 for the education of those students (100 
students times $1,200/student), not including capital outlay and debt 
service.
    This $120,000 may come from any funds except funds under part B, 
subject to any legal requirements that govern the use of those other 
funds.
    If the LEA has secondary school students with disabilities, it must 
do the same computation for them. However the amounts used in the 
computation would be those the LEA spent last year for the education of 
secondary school students, rather than for elementary school students.



Sec. 300.185  Computation of excess costs--consolidated application.

    The minimum average amount under Sec. 300.183, if two or more LEAs 
submit a consolidated application, is the average of the combined 
minimum average amounts determined under Sec. 300.184 in those agencies 
for elementary or secondary school students, as the case may be.

(Authority: 20 U.S.C. 1414(a)(1))



Sec. 300.186  Excess costs--limitation on use of part B funds.

    (a) The excess cost requirement prevents an LEA from using funds 
provided under part B of the Act to pay for all of the costs directly 
attributable to the education of a child with a disability, subject to 
paragraph (b) of this section.
    (b) The excess cost requirement does not prevent an LEA from using 
part B funds to pay for all of the costs directly attributable to the 
education of a child with a disability in any of the age ranges three, 
four, five, eighteen, nineteen, twenty, or twenty-one, if no local or 
State funds are available for nondisabled children in that age range. 
However, the LEA must comply with the nonsupplanting and other 
requirements of this part in providing the education and services.

(Authority: 20 U.S.C. 1402(20); 1414(a)(1))
Sec. 300.187-300.189  [Reserved]



Sec. 300.190  Consolidated applications.

    (a) [Reserved]
    (b) Required applications. An SEA may require LEAs to submit a 
consolidated application for payments under part B of the Act if the SEA 
determines that an individual application submitted by an LEA will be 
disapproved because--
    (1) The agency's entitlement is less than the $7,500 minimum 
required by section 611(c)(4)(A)(i) of the Act (Sec. 300.360(a)(1)); or
    (2) The agency is unable to establish and maintain programs of 
sufficient size and scope to effectively meet the educational needs of 
children with disabilities.
    (c) Size and scope of program. The SEA shall establish standards and 
procedures for determinations under paragraph (b)(2) of this section.

(Authority: 20 U.S.C. 1414(c)(1))
Sec. 300.191  [Reserved]



Sec. 300.192  State regulation of consolidated applications.

    (a) The SEA shall issue regulations with respect to consolidated 
applications submitted under this part.
    (b) The SEA's regulations must--
    (1) Be consistent with sections 612(1)-(7) and 613(a) of the Act; 
and
    (2) Provide participating LEAs with joint responsibilities for 
implementing

[[Page 28]]

programs receiving payments under this part.

(Authority: 20 U.S.C. 1414(c)(2)(B))

    (c) If an IEU is required by State law to carry out this part, the 
joint responsibilities given to LEAs under paragraph (b)(2) of this 
section do not apply to the administration and disbursement of any 
payments received by the IEU. Those administrative responsibilities must 
be carried out exclusively by the IEU.

(Authority: 20 U.S.C. 1414(c)(2)(C))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.193  State educational agency approval; disapproval.

    (a)-(b) [Reserved]
    (c) In carrying out its functions under this section, each SEA shall 
consider any decision resulting from a hearing under Secs. 300.506-
300.513 that is adverse to the LEA involved in the decision.

(Authority: 20 U.S.C. 1414(b)(3))



Sec. 300.194  Withholding.

    (a) If an SEA, after giving reasonable notice and an opportunity for 
a hearing to an LEA, decides that the LEA in the administration of an 
application approved by the SEA has failed to comply with any 
requirement in the application, the SEA, after giving notice to the LEA, 
shall--
    (1) Make no further payments to the LEA until the SEA is satisfied 
that there is no longer any failure to comply with the requirement; or
    (2) Consider its decision in its review of any application made by 
the LEA under Sec. 300.180; or
    (3) Both.
    (b) [Reserved]

(Authority: 20 U.S.C. 1414(b)(2))

             Local Educational Agency Applications--Contents



Sec. 300.220  Child identification.

    Each application must include procedures that ensure that all 
children residing within the jurisdiction of the LEA who have 
disabilities, regardless of the severity of their disability, and who 
are in need of special education and related services, are identified, 
located, and evaluated, including a practical method for determining 
which children are currently receiving needed special education and 
related services and which children are not currently receiving needed 
special education and related services.

(Authority: 20 U.S.C. 1414(a)(1)(A))

    Note: The LEA is responsible for ensuring that all children with 
disabilities within its jurisdiction are identified, located, and 
evaluated, including children in all public and private agencies and 
institutions within that jurisdiction. Collection and use of data are 
subject to the confidentiality requirements of Secs. 300.560-300.576.

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.221  Confidentiality of personally identifiable information.

    Each application must include policies and procedures that ensure 
that the criteria in Secs. 300.560-300.574 are met.

(Authority: 20 U.S.C. 1414(a)(1)(B))



Sec. 300.222  Full educational opportunity goal--timetable.

    Each application must--
    (a) Include a goal of providing full educational opportunity to all 
children with disabilities, aged birth through 21; and
    (b) Include a detailed timetable for accomplishing the goal.

(Authority: 20 U.S.C. 1414(a)(1)(C), (D))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.223  Facilities, personnel, and services.

    Each application must provide a description of the kind and number 
of facilities, personnel, and services necessary to meet the goal in 
Sec. 300.222.

(Authority: 20 U.S.C. 1414(a)(1)(E))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

[[Page 29]]



Sec. 300.224  Personnel development.

    Each application must include procedures for the implementation and 
use of the comprehensive system of personnel development established by 
the SEA under Sec. 300.139.

(Authority: 20 U.S.C. 1414(a)(1)(C)(i))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.225  Priorities.

    Each application must include priorities that meet the requirements 
of Secs. 300.320-300.324.

(Authority: 20 U.S.C. 1414(a)(1)(C)(ii))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.226  Parent involvement.

    Each application must include procedures to ensure that, in meeting 
the goal under Sec. 300.222, the LEA makes provision for participation 
of and consultation with parents or guardians of children with 
disabilities.

(Authority: 20 U.S.C. 1414(a)(1)(C)(iii))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.227  Participation in regular education programs.

    (a) Each application must include procedures to ensure that to the 
maximum extent practicable, and consistent with Secs. 300.550-300.553, 
the LEA provides special services to enable children with disabilities 
to participate in regular educational programs.
    (b) Each application must describe--
    (1) The types of alternative placements that are available for 
children with disabilities; and
    (2) The number of children with disabilities within each disability 
category who are served in each type of placement.

(Authority: 20 U.S.C. 1414(a)(1)(C)(iv))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.228  [Reserved]



Sec. 300.229  Excess cost.

    Each application must provide assurance satisfactory to the SEA that 
the LEA uses funds provided under part B of the Act only for costs that 
exceed the amount computed under Sec. 300.184 and that are directly 
attributable to the education of children with disabilities.

(Authority: 20 U.S.C. 1414(a)(2)(B))



Sec. 300.230  Nonsupplanting.

    (a) Each application must provide assurance satisfactory to the SEA 
that the LEA uses funds provided under part B of the Act to supplement 
and, to the extent practicable, increase the level of State and local 
funds expended for the education of children with disabilities, and in 
no case to supplant those State and local funds.
    (b) To meet the requirement in paragraph (a) of this section, the 
total amount or average per capita amount of State and local school 
funds budgeted by the LEA for expenditures in the current fiscal year 
for the education of children with disabilities must be at least equal 
to the total amount or average per capita amount of State and local 
school funds actually expended for the education of children with 
disabilities in the most recent preceding fiscal year for which the 
information is available. Allowance may be made for--
    (1) Decreases in enrollment of children with disabilities; and
    (2) Unusually large amounts of funds expended for such long-term 
purposes as the acquisition of equipment and the construction of school 
facilities.

(Authority: 20 U.S.C. 1414(a)(2)(B))



Sec. 300.231  Comparable services.

    (a) Each application must provide assurance satisfactory to the SEA 
that the LEA meets the requirements of this section.
    (b) An LEA may not use funds under part B of the Act to provide 
services to children with disabilities unless the LEA uses State and 
local funds to provide services to those children that,

[[Page 30]]

taken as a whole, are at least comparable to services provided to other 
children with disabilities in that LEA.
    (c) Each LEA shall maintain records that show that the LEA meets the 
requirement in paragraph (b) of this section.

(Authority: 20 U.S.C. 1414(a)(2)(C))

    Note: Under the ``comparability'' requirement, if State and local 
funds are used to provide certain services, those services must be 
provided with State and local funds to all children with disabilities in 
the LEA who need them. Part B funds may then be used to supplement 
existing services, or to provide additional services to meet special 
needs. This, of course, is subject to the other requirements of the Act, 
including the priorities under Secs. 300.320-300.324.

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.232-300.234  [Reserved]



Sec. 300.235  Individualized education programs.

    Each application must include procedures to assure that the LEA 
complies with Secs. 300.340-300.350.

(Authority: 20 U.S.C. 1414(a)(5))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.236  [Reserved]



Sec. 300.237  Procedural safeguards.

    Each application must provide assurance satisfactory to the SEA that 
the LEA has procedural safeguards that meet the requirements of 
Secs. 300.500-300.515.

(Authority: 20 U.S.C. 1414(a)(7))



Sec. 300.238  Use of Part B funds.

    Each application must describe how the LEA will use the funds under 
part B of the Act during the next school year.

(Authority: 20 U.S.C. 1414(a))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.239  [Reserved]



Sec. 300.240  Other requirements.

    Each local application must include additional procedures and 
information that the SEA may require in order to meet the State plan 
requirements of Secs. 300.121-300.153.

(Authority: 20 U.S.C. 1414(a)(6))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

               Application From Secretary of the Interior



Sec. 300.260  Submission of application; approval.

    (a) In order to receive a grant under this part, the Secretary of 
the Interior shall submit an application that--
    (1) Meets the requirements of section 612(1), 612(2)(C)-(E), 612(4), 
612(5), 612(6), and 612(7) of the Act (including monitoring and 
evaluation activities);
    (2) Meets the requirements of section 613(a), (2), (3), (4)(B), (5), 
(6), (7), (10), (11), (12), (13), (14), and (15), 613(b), and 613(e) of 
the Act;
    (3) Meets the requirements of section 614(a)(1)(A)-(B), (2)(A), (C), 
(3), (4), (5), and (7) of the Act;
    (4) Meets the requirements of this part that implement the sections 
of the Act listed in paragraphs (a)(1)-(3) of this section.
    (5) Includes a description of how the Secretary of the Interior will 
coordinate the provision of services under this part with LEAs, tribes 
and tribal organizations, and other private and Federal service 
providers;
    (6) Includes an assurance that there are public hearings, adequate 
notice of such hearings, and an opportunity for comment afforded to 
members of tribes, tribal governing bodies, and affected local school 
boards before the adoption of the policies, programs, and procedures 
required under paragraphs (a)(1)-(3) of this section;
    (7) Includes an assurance that the Secretary of the Interior will 
provide such information as the Secretary may require to comply with 
section 618(b)(1)

[[Page 31]]

of the Act, including data on the number of children and youth with 
disabilities served and the types and amounts of services provided and 
needed;
    (8) Includes an assurance that, by October 1, 1992, the Secretaries 
of the Interior and Health and Human Services will enter into a 
memorandum of agreement, to be provided to the Secretary, for the 
coordination of services, resources, and personnel between their 
respective Federal, State, and local offices and with SEAs and LEAs and 
other entities to facilitate the provision of services to Indian 
children with disabilities residing on or near reservations. That 
agreement must provide for the apportionment of responsibilities and 
costs, including, but not limited to, those related to child find, 
evaluation, diagnosis, remediation or therapeutic measures, and (where 
appropriate) equipment and medical or personal supplies, or both, as 
needed for a child to remain in school or a program; and
    (9) Includes an assurance that the Department of the Interior will 
cooperate with the Department of Education in the latter's exercise of 
monitoring and oversight of this application, and any agreements entered 
into between the Secretary of the Interior and other entities under the 
Act and will fulfill its duties under the Act.
    (b) Sections 300.581-300.585 apply to grants available to the 
Secretary of the Interior under this part.

(Authority: 20 U.S.C. 1411(f))



Sec. 300.261  Public participation.

    In the development of the application for the Department of the 
Interior, the Secretary of the Interior shall provide for public 
participation consistent with Secs. 300.280-300.284.

(Authority: 20 U.S.C. 1411(f))



Sec. 300.262   Use of Part B funds.

    (a)(1) The Department of the Interior may use five percent of its 
payment under Sec. 300.709 in any fiscal year, or $350,000, whichever is 
greater, for administrative costs in carrying out the provisions of this 
part.
    (2) The remainder of the payments to the Secretary of the Interior 
under Sec. 300.709 in any fiscal year must be used in accordance with 
the priorities under Secs. 300.320-300.324.
    (b) Payments to the Secretary of the Interior under Sec. 300.710 
must be used in accordance with that section.

(Authority: 20 U.S.C. 1411(f))



Sec. 300.263  Applicable regulations.

    The Secretary of the Interior shall comply with the requirements of 
Secs. 300.301-300.303, Secs. 300.305-300.307, and Secs. 300.340-300.347, 
Sec. 300.350, Secs. 300.360-300.383, Secs. 300.400-300.402, 
Secs. 300.500-300.585, Secs. 300.600-300.621, and Secs. 300.660-300.662.

(Authority: 20 U.S.C. 1411(f)(2))

                          Public Participation



Sec. 300.280  Public hearings before adopting a State plan.

    Prior to its adoption of a State plan, the SEA shall--
    (a) Make the plan available to the general public;
    (b) Hold public hearings; and
    (c) Provide an opportunity for comment by the general public on the 
plan.

(Authority: 20 U.S.C. 1412(7))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.281  Notice.

    (a) The SEA shall provide notice to the general public of the public 
hearings.
    (b) The notice must be in sufficient detail to inform the general 
public about--
    (1) The purpose and scope of the State plan and its relation to part 
B of the Act;
    (2) The availability of the State plan;
    (3) The date, time, and location of each public hearing;
    (4) The procedures for submitting written comments about the plan; 
and
    (5) The timetable for developing the final plan and submitting it to 
the Secretary for approval.
    (c) The notice must be published or announced--
    (1) In newspapers or other media, or both, with circulation adequate 
to notify the general public about the hearings; and

[[Page 32]]

    (2) Enough in advance of the date of the hearings to afford 
interested parties throughout the State a reasonable opportunity to 
participate.

(Authority: 20 U.S.C. 1412(7))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.282  Opportunity to participate; comment period.

    (a) The SEA shall conduct the public hearings at times and places 
that afford interested parties throughout the State a reasonable 
opportunity to participate.
    (b) The plan must be available for comment for a period of at least 
30 days following the date of the notice under Sec. 300.281.

(Authority: 20 U.S.C. 1412(7))



Sec. 300.283  Review of public comments before adopting plan.

    Before adopting its State plan, the SEA shall--
    (a) Review and consider all public comments; and
    (b) Make any necessary modifications in the plan.

(Authority: 20 U.S.C. 1412(7))



Sec. 300.284  Publication and availability of approved plan.

    After the Secretary approves a State plan, the SEA shall give notice 
in newspapers or other media, or both, that the plan is approved. The 
notice must name places throughout the State where the plan is available 
for access by any interested person.

(Authority: 20 U.S.C. 1412(7))

(Approved by the Office of Management and Budget under control number 
1820-0600)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



                           Subpart C--Services

                    Free Appropriate Public Education



Sec. 300.300  Timelines for free appropriate public education.

    (a) General. Each State shall ensure that FAPE is available to all 
children with disabilities aged 3 through 18 within the State not later 
than September 1, 1978, and to all children with disabilities aged 3 
through 21 within the State not later than September 1, 1980.
    (b) Age ranges 3-5 and 18-21. This paragraph provides rules for 
applying the requirement in paragraph (a) of this section to children 
with disabilities aged 3, 4, 5, 18, 19, 20, and 21:
    (1) If State law or a court order requires the State to provide 
education for children with disabilities in any disability category in 
any of these age groups, the State must make FAPE available to all 
children with disabilities of the same age who have that disability.
    (2) If a public agency provides education to nondisabled children in 
any of these age groups, it must make FAPE available to at least a 
proportionate number of children with disabilities of the same age.
    (3) If a public agency provides education to 50 percent or more of 
its children with disabilities in any disability category in any of 
these age groups, it must make FAPE available to all its children with 
disabilities of the same age who have that disability. This provision 
does not apply to children aged 3 through 5 for any fiscal year for 
which the State receives a grant under section 619(a)(1) of the Act.
    (4) If a public agency provides education to a child with a 
disability in any of these age groups, it must make FAPE available to 
that child and provide that child and his or her parents all of the 
rights under part B of the Act and this part.
    (5) A State is not required to make FAPE available to a child with a 
disability in one of these age groups if--
    (i) State law expressly prohibits, or does not authorize, the 
expenditure of public funds to provide education to nondisabled children 
in that age group; or
    (ii) The requirement is inconsistent with a court order that governs 
the provision of free public education to children with disabilities in 
that State.
    (c) Children aged 3 through 21 on reservations. With the exception 
of children identified in Sec. 300.709(a)(1) and (2), the SEA shall be 
responsible for ensuring that all of the requirements of part B of the 
Act are implemented for all

[[Page 33]]

children aged 3 through 21 on reservations.

(Authority: 20 U.S.C. 1411(f); 1412(2)(B); S. Rep. No. 94-168, p. 19 
(1975))

    Note 1: The requirement to make FAPE available applies to all 
children with disabilities within the State who are in the age ranges 
required under Sec. 300.300 and who need special education and related 
services. This includes children with disabilities already in school and 
children with less severe disabilities, who are not covered under the 
priorities under Sec. 300.321.

    Note 2: In order to be in compliance with Sec. 300.300, each State 
must ensure that the requirement to identify, locate, and evaluate all 
children with disabilities is fully implemented by public agencies 
throughout the State. This means that before September 1, 1978, every 
child who has been referred or is on a waiting list for evaluation 
(including children in school as well as those not receiving an 
education) must be evaluated in accordance with Secs. 300.530-300.533. 
If, as a result of the evaluation, it is determined that a child needs 
special education and related services, an IEP must be developed for the 
child by September 1, 1978, and all other applicable requirements of 
this part must be met.

    Note 3: The requirement to identify, locate, and evaluate children 
with disabilities (commonly referred to as the ``child find system'') 
was enacted on August 21, 1974, under Pub. L. 93-380. While each State 
needed time to establish and implement its child find system, the four 
year period between August 21, 1974, and September 1, 1978, is 
considered to be sufficient to ensure that the system is fully 
operational and effective on a State-wide basis.
    Under the statute, the age range for the child find requirement (0-
21) is greater than the mandated age range for providing FAPE. One 
reason for the broader age requirement under ``child find'' is to enable 
States to be aware of and plan for younger children who will require 
special education and related services. It also ties in with the full 
educational opportunity goal requirement that has the same age range as 
child find. Moreover, while a State is not required to provide FAPE to 
children with disabilities below the age ranges mandated under 
Sec. 300.300, the State may, at its discretion, extend services to those 
children, subject to the priority requirements of Secs. 300.320-300.324.



Sec. 300.301  Free appropriate public education--methods and payments.

    (a) Each State may use whatever State, local, Federal, and private 
sources of support are available in the State to meet the requirements 
of this part. For example, when it is necessary to place a child with a 
disability in a residential facility, a State could use joint agreements 
between the agencies involved for sharing the cost of that placement.
    (b) Nothing in this part relieves an insurer or similar third party 
from an otherwise valid obligation to provide or to pay for services 
provided to a child with a disability.

(Authority: 20 U.S.C. 1401 (18); 1412(2)(B))



Sec. 300.302  Residential placement.

    If placement in a public or private residential program is necessary 
to provide special education and related services to a child with a 
disability, the program, including non-medical care and room and board, 
must be at no cost to the parents of the child.

(Authority: 20 U.S.C. 1412(2)(B); 1413(a)(4)(B))

    Note: This requirement applies to placements that are made by public 
agencies for educational purposes, and includes placements in State-
operated schools for children with disabilities, such as a State school 
for students with deafness or students with blindness.



Sec. 300.303  Proper functioning of hearing aids.

    Each public agency shall ensure that the hearing aids worn by 
children with hearing impairments including deafness in school are 
functioning properly.

(Authority: 20 U.S.C. 1412(2)(B))

    Note: The report of the House of Representatives on the 1978 
appropriation bill includes the following statement regarding hearing 
aids:
    In its report on the 1976 appropriation bill the Committee expressed 
concern about the condition of hearing aids worn by children in public 
schools. A study done at the Committee's direction by the Bureau of 
Education for the Handicapped reveals that up to one-third of the 
hearing aids are malfunctioning. Obviously, the Committee expects the 
Office of Education will ensure that hearing impaired school children 
are receiving adequate professional assessment, follow-up and services.

(Authority: H. R. Rep. No. 95-381, p. 67 (1977))

[[Page 34]]



Sec. 300.304  Full educational opportunity goal.

    (a) Each SEA shall ensure that each public agency establishes and 
implements a goal of providing full educational opportunity to all 
children with disabilities in the area served by the public agency.
    (b) Subject to the priority requirements of Secs. 300.320-300.324, 
an SEA or LEA may use part B funds to provide facilities, personnel, and 
services necessary to meet the full educational opportunity goal.

(Authority: 20 U.S.C. 1412(2)(A); 1414(a)(1)(C))

    Note: In meeting the full educational opportunity goal, the Congress 
also encouraged LEAs to include artistic and cultural activities in 
programs supported under this part, subject to the priority requirements 
of Secs. 300.320-300.324. This point is addressed in the following 
statements from the Senate Report on Public Law 94-142:
    The use of the arts as a teaching tool for the handicapped has long 
been recognized as a viable, effective way not only of teaching special 
skills, but also of reaching youngsters who had otherwise been 
unteachable. The Committee envisions that programs under this bill could 
well include an arts component and, indeed, urges that local educational 
agencies include the arts in programs for the handicapped funded under 
this Act. Such a program could cover both appreciation of the arts by 
the handicapped youngsters, and the utilization of the arts as a 
teaching tool per se.
    Museum settings have often been another effective tool in the 
teaching of handicapped children. For example, the Brooklyn Museum has 
been a leader in developing exhibits utilizing the heightened tactile 
sensory skill of the blind. Therefore, in light of the national policy 
concerning the use of museums in federally supported education programs 
enunciated in the Education Amendments of 1974, the Committee also urges 
local educational agencies to include museums in programs for the 
handicapped funded under this Act.

(Authority: S. Rep. No. 94-168, p. 13 (1975))



Sec. 300.305  Program options.

    Each public agency shall take steps to ensure that its children with 
disabilities have available to them the variety of educational programs 
and services available to nondisabled children in the area served by the 
agency, including art, music, industrial arts, consumer and homemaking 
education, and vocational education.

(Authority: 20 U.S.C. 1412(2)(A); 1414(a)(1)(C))

    Note: The above list of program options is not exhaustive, and could 
include any program or activity in which nondisabled students 
participate.



Sec. 300.306  Nonacademic services.

    (a) Each public agency shall take steps to provide nonacademic and 
extracurricular services and activities in such manner as is necessary 
to afford children with disabilities an equal opportunity for 
participation in those services and activities.
    (b) Nonacademic and extracurricular services and activities may 
include counseling services, athletics, transportation, health services, 
recreational activities, special interest groups or clubs sponsored by 
the public agency, referrals to agencies that provide assistance to 
individuals with disabilities, and employment of students, including 
both employment by the public agency and assistance in making outside 
employment available.

(Authority: 20 U.S.C. 1412(2)(A); 1414(a)(1)(C))



Sec. 300.307  Physical education.

    (a) General. Physical education services, specially designed if 
necessary, must be made available to every child with a disability 
receiving FAPE.
    (b) Regular physical education. Each child with a disability must be 
afforded the opportunity to participate in the regular physical 
education program available to nondisabled children unless--
    (1) The child is enrolled full time in a separate facility; or
    (2) The child needs specially designed physical education, as 
prescribed in the child's IEP.
    (c) Special physical education. If specially designed physical 
education is prescribed in a child's IEP, the public agency responsible 
for the education of that child shall provide the services directly, or 
make arrangements for those services to be provided through other public 
or private programs.
    (d) Education in separate facilities. The public agency responsible 
for the education of a child with a disability who is enrolled in a 
separate facility shall

[[Page 35]]

ensure that the child receives appropriate physical education services 
in compliance with paragraphs (a) and (c) of this section.

(Authority: 20 U.S.C. 1401(a)(16); 1412(5)(B); 1414(a)(6))

    Note: The Report of the House of Representatives on Public Law 94-
142 includes the following statement regarding physical education:
    Special education as set forth in the Committee bill includes 
instruction in physical education, which is provided as a matter of 
course to all non-handicapped children enrolled in public elementary and 
secondary schools. The Committee is concerned that although these 
services are available to and required of all children in our school 
systems, they are often viewed as a luxury for handicapped children.

                                * * * * *

    The Committee expects the Commissioner of Education to take whatever 
action is necessary to assure that physical education services are 
available to all handicapped children, and has specifically included 
physical education within the definition of special education to make 
clear that the Committee expects such services, specially designed where 
necessary, to be provided as an integral part of the educational program 
of every handicapped child.

(Authority: H. R. Rep. No. 94-332, p. 9 (1975))



Sec. 300.308  Assistive technology.

    Each public agency shall ensure that assistive technology devices or 
assistive technology services, or both, as those terms are defined in 
Secs. 300.5-300.6, are made available to a child with a disability if 
required as a part of the child's--
    (a) Special education under Sec. 300.17;
    (b) Related services under Sec. 300.16; or
    (c) Supplementary aids and services under Sec. 300.550(b)(2).

(Authority: 20 U.S.C. 1412(2), (5)(B))

                  Priorities in the Use of Part B Funds



Sec. 300.320  Definitions of ``first priority children'' and ``second priority children.''

    For the purposes of Secs. 300.321-300.324, the term:
    (a) First priority children means children with disabilities who--
    (1) Are in an age group for which the State must make FAPE available 
under Sec. 300.300; and
    (2) Are not receiving any education.
    (b) Second priority children means children with disabilities, 
within each disability category, with the most severe disabilities who 
are receiving an inadequate education.

(Authority: 20 U.S.C. 1412(3))

    Note 1: After September 1, 1978, there should be no second priority 
children, since States must ensure, as a condition of receiving part B 
funds for fiscal year 1979, that all children with disabilities will 
have FAPE available by that date.
    Note 2: The term free appropriate public education, as defined in 
Sec. 300.8, means special education and related services that * * * 
``are provided in conformity with an IEP'' * * *.

New first priority children will continue to be found by the State after 
September 1, 1978 through on-going efforts to identify, locate, and 
evaluate all children with disabilities.



Sec. 300.321  Priorities.

    (a) Each SEA and LEA shall use funds provided under part B of the 
Act in the following order of priorities:
    (1) To provide FAPE to first priority children, including the 
identification, location, and evaluation of first priority children.
    (2) To provide FAPE to second priority children, including the 
identification, location, and evaluation of second priority children.
    (3) To meet the other requirements of this part.
    (b) The requirements of paragraph (a) of this section do not apply 
to funds that the State uses for administration under Sec. 300.620.

(Authority: 20 U.S.C. 1411 (b)(1)(B), (b)(2)(B), (c)(1)(B), 
(c)(2)(A)(ii))

    Note: SEAs as well as LEAs must use part B funds (except the portion 
used for State administration) for the priorities. A State may have to 
set aside a portion of its part B allotment to be able to serve newly 
identified first priority children.
    After September 1, 1978, part B funds may be used--
    (1) To continue supporting child identification, location, and 
evaluation activities;
    (2) To provide FAPE to newly identified first priority children;
    (3) To meet the full educational opportunity goal required under 
Sec. 300.304, including

[[Page 36]]

employing additional personnel and providing inservice training, in 
order to increase the level, intensity and quality of services provided 
to individual children with disabilities; and
    (4) To meet the other requirements of part B.
Sec. 300.322  [Reserved]



Sec. 300.323  Services to other children.

    If a State or an LEA is providing FAPE to all of its first priority 
children, that State or LEA may use funds provided under part B of the 
Act--
    (a) To provide FAPE to children with disabilities who are not 
receiving any education and who are in the age groups not covered under 
Sec. 300.300 in that State; or
    (b) To provide FAPE to second priority children; or
    (c) Both.

(Authority: 20 U.S.C. 1411 (b)(1)(B), (b)(2)(B), (c)(2)(A)(ii))



Sec. 300.324  Application of local educational agency to use funds for the second priority.

    An LEA may use funds provided under part B of the Act for second 
priority children, if it provides assurance satisfactory to the SEA in 
its application (or an amendment to its application)--
    (a) That all first priority children have FAPE available to them;
    (b) That the LEA has a system for the identification, location, and 
evaluation of children with disabilities, as described in its 
application; and
    (c) That whenever a first priority child is identified, located, and 
evaluated, the LEA makes FAPE available to the child.

(Authority: 20 U.S.C. 1411 (b)(1)(B), (c)(1)(B); 1414(a)(1)(C)(ii))

                    Individualized Education Programs



Sec. 300.340  Definitions.

    (a) As used in this part, the term individualized education program 
means a written statement for a child with a disability that is 
developed and implemented in accordance with Secs. 300.341-300.350.
    (b) As used in Secs. 300.346 and 300.347, participating agency means 
a State or local agency, other than the public agency responsible for a 
student's education, that is financially and legally responsible for 
providing transition services to the student.

(Authority: 20 U.S.C. 1401(a)(20))



Sec. 300.341  State educational agency responsibility.

    (a) Public agencies. The SEA shall ensure that each public agency 
develops and implements an IEP for each of its children with 
disabilities.
    (b) Private schools and facilities. The SEA shall ensure that an IEP 
is developed and implemented for each child with a disability who--
    (1) Is placed in or referred to a private school or facility by a 
public agency; or
    (2) Is enrolled in a parochial school or other private school and 
receives special education or related services from a public agency.

(Authority: 20 U.S.C. 1412 (4), (6); 1413(a)(4))

    Note: This section applies to all public agencies, including other 
State agencies (e.g., departments of mental health and welfare) that 
provide special education to a child with a disability either directly, 
by contract or through other arrangements. Thus, if a State welfare 
agency contracts with a private school or facility to provide special 
education to a child with a disability, that agency would be responsible 
for ensuring that an IEP is developed for the child.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.342  When individualized education programs must be in effect.

    (a) At the beginning of each school year, each public agency shall 
have in effect an IEP for every child with a disability who is receiving 
special education from that agency.
    (b) An IEP must--
    (1) Be in effect before special education and related services are 
provided to a child; and
    (2) Be implemented as soon as possible following the meetings under 
Sec. 300.343.

(Authority: 20 U.S.C. 1412(2)(B), (4), (6); 1414(a)(5); Pub. L. 94-142, 
sec. 8(c) (1975))

    Note: Under paragraph (b)(2) of this section, it is expected that 
the IEP of a child

[[Page 37]]

with a disability will be implemented immediately following the meetings 
under Sec. 300.343. An exception to this would be (1) when the meetings 
occur during the summer or a vacation period, or (2) where there are 
circumstances that require a short delay (e.g., working out 
transportation arrangements). However, there can be no undue delay in 
providing special education and related services to the child.



Sec. 300.343  Meetings.

    (a) General. Each public agency is responsible for initiating and 
conducting meetings for the purpose of developing, reviewing, and 
revising the IEP of a child with a disability (or, if consistent with 
State policy and at the discretion of the LEA, and with the concurrence 
of the parents, an individualized family service plan described in 
section 677(d) of the Act for each child with a disability, aged 3 
through 5).
    (b) [Reserved]
    (c) Timeline. A meeting to develop an IEP for a child must be held 
within 30 calendar days of a determination that the child needs special 
education and related services.
    (d) Review. Each public agency shall initiate and conduct meetings 
to review each child's IEP periodically and, if appropriate, revise its 
provisions. A meeting must be held for this purpose at least once a 
year.

(Authority: 20 U.S.C. 1412(2)(B), (4), (6); 1414(a)(5))

    Note: The date on which agencies must have IEPs in effect is 
specified in Sec. 300.342 (the beginning of each school year). However, 
except for new children with disabilities (i.e., those evaluated and 
determined to need special education and related services for the first 
time), the timing of meetings to develop, review, and revise IEPs is 
left to the discretion of each agency.
    In order to have IEPs in effect at the beginning of the school year, 
agencies could hold meetings either at the end of the preceding school 
year or during the summer prior to the next school year. Meetings may be 
held any time throughout the year, as long as IEPs are in effect at the 
beginning of each school year.
    The statute requires agencies to hold a meeting at least once each 
year in order to review and, if appropriate, revise each child's IEP. 
The timing of those meetings could be on the anniversary date of the 
child's last IEP meeting, but this is left to the discretion of the 
agency.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.344  Participants in meetings.

    (a) General. The public agency shall ensure that each meeting 
includes the following participants:
    (1) A representative of the public agency, other than the child's 
teacher, who is qualified to provide, or supervise the provision of, 
special education.
    (2) The child's teacher.
    (3) One or both of the child's parents, subject to Sec. 300.345.
    (4) The child, if appropriate.
    (5) Other individuals at the discretion of the parent or agency.
    (b) Evaluation personnel. For a child with a disability who has been 
evaluated for the first time, the public agency shall ensure--
    (1) That a member of the evaluation team participates in the 
meeting; or
    (2) That the representative of the public agency, the child's 
teacher, or some other person is present at the meeting, who is 
knowledgeable about the evaluation procedures used with the child and is 
familiar with the results of the evaluation.
    (c) Transition services participants. (1) If a purpose of the 
meeting is the consideration of transition services for a student, the 
public agency shall invite--
    (i) The student; and
    (ii) A representative of any other agency that is likely to be 
responsible for providing or paying for transition services.
    (2) If the student does not attend, the public agency shall take 
other steps to ensure that the student's preferences and interests are 
considered; and
    (3) If an agency invited to send a representative to a meeting does 
not do so, the public agency shall take other steps to obtain the 
participation of the other agency in the planning of any transition 
services.

(Authority: 20 U.S.C. 1401(a)(19), (a)(20); 1412(2)(B), (4), (6); 
1414(a)(5))

    Note 1: In deciding which teacher will participate in meetings on a 
child's IEP, the

[[Page 38]]

agency may wish to consider the following possibilities:
    (a) For a child with a disability who is receiving special 
education, the teacher could be the child's special education teacher. 
If the child's disability is a speech impairment, the teacher could be 
the speech-language pathologist.
    (b) For a child with a disability who is being considered for 
placement in special education, the teacher could be the child's regular 
teacher, or a teacher qualified to provide education in the type of 
program in which the child may be placed, or both.
    (c) If the child is not in school or has more than one teacher, the 
agency may designate which teacher will participate in the meeting.
    Either the teacher or the agency representative should be qualified 
in the area of the child's suspected disability.
    For a child whose primary disability is a speech or language 
impairment, the evaluation personnel participating under paragraph 
(b)(1) of this section would normally be the speech-language 
pathologist.

    Note 2: Under paragraph (c) of this section, the public agency is 
required to invite each student to participate in his or her IEP 
meeting, if a purpose of the meeting is the consideration of transition 
services for the student. For all students who are 16 years of age or 
older, one of the purposes of the annual meeting will always be the 
planning of transition services, since transition services are a 
required component of the IEP for these students.
    For a student younger than age 16, if transition services are 
initially discussed at a meeting that does not include the student, the 
public agency is responsible for ensuring that, before a decision about 
transition services for the student is made, a subsequent IEP meeting is 
conducted for that purpose, and the student is invited to the meeting.



Sec. 300.345  Parent participation.

    (a) Each public agency shall take steps to ensure that one or both 
of the parents of the child with a disability are present at each 
meeting or are afforded the opportunity to participate, including--
    (1) Notifying parents of the meeting early enough to ensure that 
they will have an opportunity to attend; and
    (2) Scheduling the meeting at a mutually agreed on time and place.
    (b)(1) The notice under paragraph (a)(1) of this section must 
indicate the purpose, time, and location of the meeting and who will be 
in attendance;
    (2) If a purpose of the meeting is the consideration of transition 
services for a student, the notice must also--
    (i) Indicate this purpose;
    (ii) Indicate that the agency will invite the student; and
    (iii) Identify any other agency that will be invited to send a 
representative.
    (c) If neither parent can attend, the public agency shall use other 
methods to ensure parent participation, including individual or 
conference telephone calls.
    (d) A meeting may be conducted without a parent in attendance if the 
public agency is unable to convince the parents that they should attend. 
In this case the public agency must have a record of its attempts to 
arrange a mutually agreed on time and place such as--
    (1) Detailed records of telephone calls made or attempted and the 
results of those calls;
    (2) Copies of correspondence sent to the parents and any responses 
received; and
    (3) Detailed records of visits made to the parent's home or place of 
employment and the results of those visits.
    (e) The public agency shall take whatever action is necessary to 
ensure that the parent understands the proceedings at a meeting, 
including arranging for an interpreter for parents with deafness or 
whose native language is other than English.
    (f) The public agency shall give the parent, on request, a copy of 
the IEP.

(Authority: 20 U.S.C. 1401(a)(20); 1412 (2)(B), (4), (6); 1414(a)(5))

    Note: The notice in paragraph (a) of this section could also inform 
parents that they may bring other people to the meeting. As indicated in 
paragraph (c) of this section, the procedure used to notify parents 
(whether oral or written or both) is left to the discretion of the 
agency, but the agency must keep a record of its efforts to contact 
parents.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.346  Content of individualized education program.

    (a) General. The IEP for each child must include--
    (1) A statement of the child's present levels of educational 
performance;

[[Page 39]]

    (2) A statement of annual goals, including short-term instructional 
objectives;
    (3) A statement of the specific special education and related 
services to be provided to the child and the extent that the child will 
be able to participate in regular educational programs;
    (4) The projected dates for initiation of services and the 
anticipated duration of the services; and
    (5) Appropriate objective criteria and evaluation procedures and 
schedules for determining, on at least an annual basis, whether the 
short term instructional objectives are being achieved.
    (b) Transition services. (1) The IEP for each student, beginning no 
later than age 16 (and at a younger age, if determined appropriate), 
must include a statement of the needed transition services as defined in 
Sec. 300.18, including, if appropriate, a statement of each public 
agency's and each participating agency's responsibilities or linkages, 
or both, before the student leaves the school setting.
    (2) If the IEP team determines that services are not needed in one 
or more of the areas specified in Sec. 300.18 (b)(2)(i) through 
(b)(2)(iii), the IEP must include a statement to that effect and the 
basis upon which the determination was made.

(Authority: 20 U.S.C. 1401 (a)(19), (a)(20); 1412 (2)(B), (4), (6); 
1414(a)(5))

    Note 1: The legislative history of the transition services 
provisions of the Act suggests that the statement of needed transition 
services referred to in paragraph (b) of this section should include a 
commitment by any participating agency to meet any financial 
responsibility it may have in the provision of transition services. See 
House Report No. 101-544, p. 11 (1990).

    Note 2: With respect to the provisions of paragraph (b) of this 
section, it is generally expected that the statement of needed 
transition services will include the areas listed in Sec. 300.18 
(b)(2)(i) through (b)(2)(iii). If the IEP team determines that services 
are not needed in one of those areas, the public agency must implement 
the requirements in paragraph (b)(2) of this section. Since it is a part 
of the IEP, the IEP team must reconsider its determination at least 
annually.

    Note 3: Section 602(a)(20) of the Act provides that IEPs must 
include a statement of needed transition services for students beginning 
no later than age 16, but permits transition services to students below 
age 16 (i.e., ``* * * and, when determined appropriate for the 
individual, beginning at age 14 or younger.''). Although the statute 
does not mandate transition services for all students beginning at age 
14 or younger, the provision of these services could have a 
significantly positive effect on the employment and independent living 
outcomes for many of these students in the future, especially for 
students who are likely to drop out before age 16. With respect to the 
provision of transition services to students below age 16, the Report of 
the House Committee on Education and Labor on Public Law 101-476 
includes the following statement:

    Although this language leaves the final determination of when to 
initiate transition services for students under age 16 to the IEP 
process, it nevertheless makes clear that Congress expects consideration 
to be given to the need for transition services for some students by age 
14 or younger. The Committee encourages that approach because of their 
concern that age 16 may be too late for many students, particularly 
those at risk of dropping out of school and those with the most severe 
disabilities. Even for those students who stay in school until age 18, 
many will need more than two years of transitional services. Students 
with disabilities are now dropping out of school before age 16, feeling 
that the education system has little to offer them. Initiating services 
at a younger age will be critical. (House Report No. 101-544, 10 
(1990).)

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.347  Agency responsibilities for transition services.

    (a) If a participating agency fails to provide agreed-upon 
transition services contained in the IEP of a student with a disability, 
the public agency responsible for the student's education shall, as soon 
as possible, initiate a meeting for the purpose of identifying 
alternative strategies to meet the transition objectives and, if 
necessary, revising the student's IEP.
    (b) Nothing in this part relieves any participating agency, 
including a State vocational rehabilitation agency, of the 
responsibility to provide or pay for any transition service that the 
agency would otherwise provide to students with disabilities who meet 
the eligibility criteria of that agency.

(Authority: 20 U.S.C. 1401 (a)(18), (a)(19), (a)(20); 1412(2)(B))

[[Page 40]]



Sec. 300.348  Private school placements by public agencies.

    (a) Developing individualized education programs. (1) Before a 
public agency places a child with a disability in, or refers a child to, 
a private school or facility, the agency shall initiate and conduct a 
meeting to develop an IEP for the child in accordance with Sec. 300.343.
    (2) The agency shall ensure that a representative of the private 
school or facility attends the meeting. If the representative cannot 
attend, the agency shall use other methods to ensure participation by 
the private school or facility, including individual or conference 
telephone calls.
    (3) [Reserved]
    (b) Reviewing and revising individualized education programs. (1) 
After a child with a disability enters a private school or facility, any 
meetings to review and revise the child's IEP may be initiated and 
conducted by the private school or facility at the discretion of the 
public agency.
    (2) If the private school or facility initiates and conducts these 
meetings, the public agency shall ensure that the parents and an agency 
representative:
    (i) Are involved in any decision about the child's IEP; and
    (ii) Agree to any proposed changes in the program before those 
changes are implemented.
    (c) Responsibility. Even if a private school or facility implements 
a child's IEP, responsibility for compliance with this part remains with 
the public agency and the SEA.

(Authority: 20 U.S.C. 1413(a)(4)(B))



Sec. 300.349  Children with disabilities in parochial or other private schools.

    If a child with a disability is enrolled in a parochial or other 
private school and receives special education or related services from a 
public agency, the public agency shall--
    (a) Initiate and conduct meetings to develop, review, and revise an 
IEP for the child, in accordance with Sec. 300.343; and
    (b) Ensure that a representative of the parochial or other private 
school attends each meeting. If the representative cannot attend, the 
agency shall use other methods to ensure participation by the private 
school, including individual or conference telephone calls.

(Authority: 20 U.S.C. 1413(a)(4)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.350  Individualized education program--accountability.

    Each public agency must provide special education and related 
services to a child with a disability in accordance with an IEP. 
However, part B of the Act does not require that any agency, teacher, or 
other person be held accountable if a child does not achieve the growth 
projected in the annual goals and objectives.

(Authority: 20 U.S.C. 1412(2)(B); 1414(a) (5), (6); Cong. Rec. at H7152 
(daily ed., July 21, 1975))

    Note: This section is intended to relieve concerns that the IEP 
constitutes a guarantee by the public agency and the teacher that a 
child will progress at a specified rate. However, this section does not 
relieve agencies and teachers from making good faith efforts to assist 
the child in achieving the goals and objectives listed in the IEP. 
Further, the section does not limit a parent's right to complain and ask 
for revisions of the child's program, or to invoke due process 
procedures, if the parent feels that these efforts are not being made.

             Direct Service by the State Educational Agency



Sec. 300.360  Use of local educational agency allocation for direct services.

    (a) An SEA may not distribute funds to an LEA, and shall use those 
funds to ensure the provision of FAPE to children with disabilities 
residing in the area served by the LEA, if the LEA, in any fiscal year--
    (1) Is entitled to less than $7,500 for that fiscal year (beginning 
with fiscal year 1979);
    (2) Does not submit an application that meets the requirements of 
Secs. 300.220-300.240;
    (3) Is unable or unwilling to establish and maintain programs of 
FAPE;
    (4) Is unable or unwilling to be consolidated with other LEAs in 
order to

[[Page 41]]

establish and maintain those programs; or
    (5) Has one or more children with disabilities who can best be 
served by a regional or State center designed to meet the needs of those 
children.
    (b) In meeting the requirements in paragraph (a) of this section, 
the SEA may provide special education and related services directly, by 
contract, or through other arrangements.
    (c) The excess cost requirements of Secs. 300.182-300.186 do not 
apply to the SEA.

(Authority: 20 U.S.C. 1411(c)(4); 1413(b); 1414(d))

    Note: Section 300.360 is a combination of three provisions in the 
statute (Sections 611(c)(4), 613(b), and 614(d)). This section focuses 
mainly on the State's administration and use of local entitlements under 
part B.
    The SEA, as a recipient of part B funds, is responsible for ensuring 
that all public agencies in the State comply with the provisions of the 
Act, regardless of whether they receive part B funds. If an LEA elects 
not to apply for its part B entitlement, the State would be required to 
use those funds to ensure that FAPE is made available to children 
residing in the area served by that local agency. However, if the local 
entitlement is not sufficient for this purpose, additional State or 
local funds would have to be expended in order to ensure that FAPE and 
the other requirements of the Act are met.
    Moreover, if the LEA is the recipient of any other Federal funds, it 
would have to be in compliance with 34 CFR Secs. 104.31-104.39 of the 
regulations implementing section 504 of the Rehabilitation Act of 1973. 
It should be noted that the term ``FAPE'' has different meanings under 
part B and section 504. For example, under part B, FAPE is a statutory 
term that requires special education and related services to be provided 
in accordance with an IEP. However, under section 504, each recipient 
must provide an education that includes services that are ``designed to 
meet individual educational needs of handicapped persons as adequately 
as the needs of nonhandicapped persons are met * * *'' Those regulations 
state that implementation of an IEP, in accordance with part B, is one 
means of meeting the FAPE requirement.



Sec. 300.361  Nature and location of services.

    The SEA may provide special education and related services under 
Sec. 300.360(a) in the manner and at the location it considers 
appropriate. However, the manner in which the education and services are 
provided must be consistent with the requirements of this part 
(including the LRE provisions of Secs. 300.550-300.556).

(Authority: 20 U.S.C. 1414(d))



Sec. 300.370  Use of State agency allocations.

    (a) The State may use the portion of its allocation that it does not 
use for administration under Secs. 300.620-300.621--
    (1) For support services and direct services in accordance with the 
priority requirements of Secs. 300.320-300.324; and
    (2) For the administrative costs of the State's monitoring 
activities and complaint investigations, to the extent that these costs 
exceed the administrative costs for monitoring and complaint 
investigations incurred during fiscal year 1985.
    (b) For the purposes of paragraph (a) of this section--
    (1) Direct services means services provided to a child with a 
disability by the State directly, by contract, or through other 
arrangements; and
    (2) ``Support services'' includes implementing the comprehensive 
system of personnel development of Secs. 300.380-300.383, recruitment 
and training of hearing officers and surrogate parents, and public 
information and parent training activities relating to FAPE for children 
with disabilities.

(Authority: 20 U.S.C. 1411 (b)(2), (c)(2))



Sec. 300.371  State matching.

    Beginning with the period July 1, 1978-June 30, 1979, and for each 
following fiscal year, the funds that a State uses for direct and 
support services under Sec. 300.370 must be matched on a program basis 
by the State from funds other than Federal funds. This requirement does 
not apply to funds that the State uses under Sec. 300.360.

(Authority: 20 U.S.C. 1411 (c)(2)(B), (c)(4)(B))

    Note: The requirement in Sec. 300.371 would be satisfied if the 
State can document that the amount of State funds expended for each 
major program area (e.g., the comprehensive system of personnel 
development) is at least equal to the expenditure of Federal funds in 
that program area.

[[Page 42]]



Sec. 300.372  Applicability of nonsupplanting requirement.

    Beginning with funds appropriated for fiscal year 1979 and for each 
following fiscal year, the requirement in section 613(a)(9) of the Act, 
which prohibits supplanting with Federal funds, does not apply to funds 
that the State uses from its allocation under Sec. 300.706(a) for 
administration, direct services, or support services.

(Authority: 20 U.S.C. 1411(c)(3))

              Comprehensive System of Personnel Development



Sec. 300.380  General.

    Each State shall--
    (a) Develop and implement a comprehensive system of personnel 
development that--
    (1) Is consistent with the purposes of the Act and with the 
comprehensive system of personnel development described in 34 CFR 
Sec. 303.360;
    (2) Meets the requirements in Secs. 300.381-300.383; and
    (3) Is consistent with the provisions on personnel standards in 
Sec. 300.153; and
    (b) Include in its State plan a description of the personnel 
development system required in paragraph (a)(1) of this section.

(Authority: 20 U.S.C. 1413 (a)(3), (a)(14))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.381  Adequate supply of qualified personnel.

    Each State plan must include a description of the procedures and 
activities the State will undertake to ensure an adequate supply of 
qualified personnel (as the term qualified is defined at Sec. 300.15), 
including special education and related services personnel and 
leadership personnel, necessary to carry out the purposes of this part. 
The procedures and activities must include the development, updating, 
and implementation of a plan that--
    (a) Addresses current and projected special education and related 
services personnel needs, including the need for leadership personnel; 
and
    (b) Coordinates and facilitates efforts among SEA and LEAs, 
institutions of higher education, and professional associations to 
recruit, prepare, and retain qualified personnel, including personnel 
from minority backgrounds, and personnel with disabilities.

(Authority: 20 U.S.C. 1413(a)(3)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.382  Personnel preparation and continuing education.

    Each State plan must include a description of the procedures and 
activities the State will undertake to ensure that all personnel 
necessary to carry out this part are appropriately and adequately 
prepared. The procedures and activities must include--
    (a) A system for the continuing education of regular and special 
education and related services personnel to enable these personnel to 
meet the needs of children with disabilities under this part;
    (b) Procedures for acquiring and disseminating to teachers, 
administrators, and related services personnel significant knowledge 
derived from education research and other sources; and
    (c) Procedures for adopting, if appropriate, promising practices, 
materials, and technology, proven effective through research and 
demonstration.

(Authority: 20 U.S.C. 1413(a)(3)(B))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.383  Data system on personnel and personnel development.

    (a) General. The procedures and activities required in Secs. 300.381 
and 300.382 must include the development and maintenance of a system for 
determining, on an annual basis, the data required in paragraphs (b) and 
(c) of this section.
    (b) Data on qualified personnel. (1) The system required by 
paragraph (a) of this section must enable each State to determine, on an 
annual basis--

[[Page 43]]

    (i) The number and type of personnel, including leadership 
personnel, employed in the provision of special education and related 
services, by profession or discipline;
    (ii) The number and type of personnel who are employed with 
emergency, provisional, or temporary certification in each profession or 
discipline who do not hold appropriate State certification, licensure, 
or other credentials comparable to certification or licensure for that 
profession or discipline; and
    (iii) The number and type of personnel, including leadership 
personnel, in each profession or discipline needed, and a projection of 
the numbers of those personnel that will be needed in five years, based 
on projections of individuals to be served, retirement and other 
departures of personnel from the field, and other relevant factors.
    (2) The data on special education and related services personnel 
required in paragraph (b)(1) of this section must include audiologists, 
counselors, diagnostic and evaluation personnel, home-hospital teachers, 
interpreters for students with hearing impairments including deafness, 
occupational therapists, physical education teachers, physical 
therapists, psychologists, rehabilitation counselors, social workers, 
speech-language pathologists, teacher aides, recreation and therapeutic 
recreation specialists, vocational education teachers, work-study 
coordinators, and other instructional and noninstructional staff.
    (3) The data on leadership personnel required by paragraph (b)(1) of 
this section must include administrators and supervisors of State or 
local agencies who are involved in the provision or supervision of 
services or activities necessary to carry out the purposes of this part.
    (c) Data on personnel development. The system required in paragraph 
(a) of this section must enable each State to determine, on an annual 
basis, the institutions of higher education within the State that are 
preparing special education and related services personnel, including 
leadership personnel, by area of specialization, including--
    (1) The numbers of students enrolled in programs for the preparation 
of special education and related services personnel administered by 
these institutions of higher education; and
    (2) The numbers of students who graduated during the past year with 
certification or licensure, or with credentials to qualify for 
certification or licensure, from programs for the preparation of special 
education and related services personnel administered by institutions of 
higher education.

(Authority: 20 U.S.C. 1413(a)(3)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]
Sec. 300.384-300.387  [Reserved].



                       Subpart D--Private Schools

  Children With Disabilities in Private Schools Placed or Referred by 
                             Public Agencies



Sec. 300.400  Applicability of Secs. 300.400-300.402.

    Sections 300.401-300.402 apply only to children with disabilities 
who are or have been placed in or referred to a private school or 
facility by a public agency as a means of providing special education 
and related services.

(Authority: 20 U.S.C. 1413(a)(4)(B))



Sec. 300.401  Responsibility of State educational agency.

    Each SEA shall ensure that a child with a disability who is placed 
in or referred to a private school or facility by a public agency:
    (a) Is provided special education and related services--
    (1) In conformance with an IEP that meets the requirements of 
Secs. 300.340-300.350;
    (2) At no cost to the parents; and
    (3) At a school or facility that meets the standards that apply to 
the SEA and LEAs (including the requirements of this part); and
    (b) Has all of the rights of a child with a disability who is served 
by a public agency.

(Authority: 20 U.S.C. 1413(a)(4)(B))

[[Page 44]]



Sec. 300.402  Implementation by State educational agency.

    In implementing Sec. 300.401, the SEA shall--
    (a) Monitor compliance through procedures such as written reports, 
on-site visits, and parent questionnaires;
    (b) Disseminate copies of applicable standards to each private 
school and facility to which a public agency has referred or placed a 
child with a disability; and
    (c) Provide an opportunity for those private schools and facilities 
to participate in the development and revision of State standards that 
apply to them.

(Authority: 20 U.S.C. 1413(a)(4)(B))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.403  Placement of children by parents.

    (a) If a child with a disability has FAPE available and the parents 
choose to place the child in a private school or facility, the public 
agency is not required by this part to pay for the child's education at 
the private school or facility. However, the public agency shall make 
services available to the child as provided under Secs. 300.450-300.452.
    (b) Disagreements between a parent and a public agency regarding the 
availability of a program appropriate for the child, and the question of 
financial responsibility, are subject to the due process procedures of 
Secs. 300.500-300.515.

(Authority: 20 U.S.C. 1412(2)(B); 1415)

 Children With Disabilities Enrolled by Their Parents in Private Schools



Sec. 300.450  Definition of ``private school children with disabilities.''

    As used in this part, private school children with disabilities 
means children with disabilities enrolled by their parents in private 
schools or facilities other than children with disabilities covered 
under Secs. 300.400-300.402.

(Authority: 20 U.S.C. 1413(a)(4)(A))



Sec. 300.451  State educational agency responsibility.

    The SEA shall ensure that--
    (a) To the extent consistent with their number and location in the 
State, provision is made for the participation of private school 
children with disabilities in the program assisted or carried out under 
this part by providing them with special education and related services; 
and
    (b) The requirements of 34 CFR 76.651-76.662 are met.

(Authority: 20 U.S.C. 1413(a)(4)(A))



Sec. 300.452  Local educational agency responsibility.

    Each LEA shall provide special education and related services 
designed to meet the needs of private school children with disabilities 
residing in the jurisdiction of the agency.

(Authority: 20 U.S.C. 1413(a)(4)(A); 1414(a)(6))

                         Procedures for By-Pass



Sec. 300.480  By-pass--general.

    (a) The Secretary implements a by-pass if an SEA is, and was on 
December 2, 1983, prohibited by law from providing for the participation 
of private school children with disabilities in the program assisted or 
carried out under this part, as required by section 613(a)(4)(A) of the 
Act and by Secs. 300.451-300.452.
    (b) The Secretary waives the requirement of section 613(a)(4)(A) of 
the Act and of Secs. 300.451-300.452 if the Secretary implements a by-
pass.

(Authority: 20 U.S.C. 1413(d)(1))



Sec. 300.481  Provisions for services under a by-pass.

    (a) Before implementing a by-pass, the Secretary consults with 
appropriate public and private school officials, including SEA 
officials, in the affected State to consider matters such as--
    (1) The prohibition imposed by State law that results in the need 
for a by-pass;
    (2) The scope and nature of the services required by private school 
children with disabilities in the State, and the number of children to 
be served under the by-pass; and

[[Page 45]]

    (3) The establishment of policies and procedures to ensure that 
private school children with disabilities receive services consistent 
with the requirements of section 613(a)(4)(A) of the Act, Secs. 300.451-
300.452, and 34 CFR Secs. 76.651-76.662.
    (b) After determining that a by-pass is required, the Secretary 
arranges for the provision of services to private school children with 
disabilities in the State in a manner consistent with the requirements 
of section 613(a)(4)(A) of the Act and Secs. 300.451-300.452 by 
providing services through one or more agreements with appropriate 
parties.
    (c) For any fiscal year that a by-pass is implemented, the Secretary 
determines the maximum amount to be paid to the providers of services by 
multiplying--
    (1) A per child amount that may not exceed the amount per child 
provided by the Secretary under this part for all children with 
disabilities in the State for the preceding fiscal year; by
    (2) The number of private school children with disabilities (as 
defined by Secs. 300.7(a) and 300.450) in the State, as determined by 
the Secretary on the basis of the most recent satisfactory data 
available, which may include an estimate of the number of those children 
with disabilities.
    (d) The Secretary deducts from the State's allocation under this 
part the amount the Secretary determines is necessary to implement a by-
pass and pays that amount to the provider of services. The Secretary may 
withhold this amount from the State's allocation pending final 
resolution of any investigation or complaint that could result in a 
determination that a by-pass must be implemented.

(Authority: 20 U.S.C. 1413(d)(2))

                         Due Process Procedures

    Source: Sections 300.482 through 300.486 appear at 49 FR 48526, Dec. 
12, 1984, unless otherwise noted.



Sec. 300.482  Notice of intent to implement a by-pass.

    (a) Before taking any final action to implement a by-pass, the 
Secretary provides the affected SEA with written notice.
    (b) In the written notice, the Secretary--
    (1) States the reasons for the proposed by-pass in sufficient detail 
to allow the SEA to respond; and
    (2) Advises the SEA that it has a specific period of time (at least 
45 days) from receipt of the written notice to submit written objections 
to the proposed by-pass and that it may request in writing the 
opportunity for a hearing to show cause why a by-pass should not be 
implemented.
    (c) The Secretary sends the notice to the SEA by certified mail with 
return receipt requested.

(Authority: 20 U.S.C. 1413(d)(3)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.483  Request to show cause.

    An SEA seeking an opportunity to show cause why a by-pass should not 
be implemented shall submit a written request for a show cause hearing 
to the Secretary.

(Authority: 20 U.S.C. 1413(d)(3)(A))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.484  Show cause hearing.

    (a) If a show cause hearing is requested, the Secretary--
    (1) Notifies the SEA and other appropriate public and private school 
officials of the time and place for the hearing; and
    (2) Designates a person to conduct the show cause hearing. The 
designee must not have had any responsibility for the matter brought for 
a hearing.
    (b) At the show cause hearing, the designee considers matters such 
as--
    (1) The necessity for implementing a by-pass;
    (2) Possible factual errors in the written notice of intent to 
implement a by-pass; and
    (3) The objections raised by public and private school 
representatives.
    (c) The designee may regulate the course of the proceedings and the 
conduct of parties during the pendency of the proceedings. The designee 
takes all

[[Page 46]]

steps necessary to conduct a fair and impartial proceeding, to avoid 
delay, and to maintain order.
    (d) The designee may interpret applicable statutes and regulations, 
but may not waive them or rule on their validity.
    (e) The designee arranges for the preparation, retention, and, if 
appropriate, dissemination of the record of the hearing.

(Authority: 20 U.S.C. 1413(d)(3)(A))



Sec. 300.485  Decision.

    (a) The designee who conducts the show cause hearing--
    (1) Issues a written decision that includes a statement of findings; 
and
    (2) Submits a copy of the decision to the Secretary and sends a copy 
to each party by certified mail with return receipt requested.
    (b) Each party may submit comments and recommendations on the 
designee's decision to the Secretary within 15 days of the date the 
party receives the designee's decision.
    (c) The Secretary adopts, reverses, or modifies the designee's 
decision and notifies the SEA of the Secretary's final action. That 
notice is sent by certified mail with return receipt requested.

(Authority: 20 U.S.C. 1413(d)(3)(A))



Sec. 300.486  Filing requirements.

    (a) Any written submission under Sec. 300.482-300.485 must be filed 
by hand-delivery, by mail, or by facsimile transmission. The Secretary 
discourages the use of facsimile transmission for documents longer than 
five pages.
    (b) The filing date under paragraph (a) of this section is the date 
the document is--
    (1) Hand-delivered;
    (2) Mailed; or
    (3) Sent by facsimile transmission.
    (c) A party filing by facsimile transmission is responsible for 
confirming that a complete and legible copy of the document was received 
by the Department.
    (d) If a document is filed by facsimile transmission, the Secretary 
or the hearing officer, as applicable, may require the filing of a 
follow-up hard copy by hand-delivery or by mail within a reasonable 
period of time.
    (e) If agreed upon by the parties, service of a document may be made 
upon the other party by facsimile transmission.

(Authority: 20 U.S.C. 1413(d)(3)(A))

[57 FR 56796, Nov. 30, 1992]



Sec. 300.487  Judicial review.

    If dissatisfied with the Secretary's final action, the SEA may, 
within 60 days after notice of that action, file a petition for review 
with the United States court of appeals for the circuit in which the 
State is located. The procedures for judicial review are described in 
section 613(d)(3)(B)-(D) of the Act.

(Authority: 20 U.S.C. 1413(d)(3)(B)-(D))

[57 FR 44798, Sept. 29, 1992. Redesignated at 57 FR 56796, Nov. 30, 
1992]



                    Subpart E--Procedural Safeguards

             Due Process Procedures for Parents and Children



Sec. 300.500  Definitions of ``consent,'' ``evaluation,'' and ``personally identifiable.''

    (a) As used in this part: Consent means that--
    (1) The parent has been fully informed of all information relevant 
to the activity for which consent is sought, in his or her native 
language, or other mode of communication;
    (2) The parent understands and agrees in writing to the carrying out 
of the activity for which his or her consent is sought, and the consent 
describes that activity and lists the records (if any) that will be 
released and to whom; and
    (3) The parent understands that the granting of consent is voluntary 
on the part of the parent and may be revoked at any time.
    (b) Evaluation means procedures used in accordance with 
Secs. 300.530-300.534 to determine whether a child has a disability and 
the nature and extent of the special education and related services that 
the child needs. The term means procedures used selectively with an 
individual child and does not include basic tests administered to or

[[Page 47]]

procedures used with all children in a school, grade, or class.
    (c) Personally identifiable means that information includes--
    (1) The name of the child, the child's parent, or other family 
member;
    (2) The address of the child;
    (3) A personal identifier, such as the child's social security 
number or student number; or
    (4) A list of personal characteristics or other information that 
would make it possible to identify the child with reasonable certainty.

(Authority: 20 U.S.C. 1415, 1417(c))



Sec. 300.501  General responsibility of public agencies.

    Each SEA shall ensure that each public agency establishes and 
implements procedural safeguards that meet the requirements of 
Secs. 300.500-300.515.

(Authority: 20 U.S.C. 1415(a))



Sec. 300.502  Opportunity to examine records.

    The parents of a child with a disability shall be afforded, in 
accordance with the procedures of Secs. 300.562-300.569, an opportunity 
to inspect and review all education records with respect to--
    (a) The identification, evaluation, and educational placement of the 
child; and
    (b) The provision of FAPE to the child.

(Authority: 20 U.S.C. 1415(b)(1)(A))



Sec. 300.503  Independent educational evaluation.

    (a) General. (1) The parents of a child with a disability have the 
right under this part to obtain an independent educational evaluation of 
the child, subject to paragraphs (b) through (e) of this section.
    (2) Each public agency shall provide to parents, on request, 
information about where an independent educational evaluation may be 
obtained.
    (3) For the purposes of this part:
    (i) Independent educational evaluation means an evaluation conducted 
by a qualified examiner who is not employed by the public agency 
responsible for the education of the child in question.
    (ii) Public expense means that the public agency either pays for the 
full cost of the evaluation or ensures that the evaluation is otherwise 
provided at no cost to the parent, consistent with Sec. 300.301.
    (b) Parent right to evaluation at public expense. A parent has the 
right to an independent educational evaluation at public expense if the 
parent disagrees with an evaluation obtained by the public agency. 
However, the public agency may initiate a hearing under Sec. 300.506 to 
show that its evaluation is appropriate. If the final decision is that 
the evaluation is appropriate, the parent still has the right to an 
independent educational evaluation, but not at public expense.
    (c) Parent initiated evaluations. If the parent obtains an 
independent educational evaluation at private expense, the results of 
the evaluation--
    (1) Must be considered by the public agency in any decision made 
with respect to the provision of FAPE to the child; and
    (2) May be presented as evidence at a hearing under this subpart 
regarding that child.
    (d) Requests for evaluations by hearing officers. If a hearing 
officer requests an independent educational evaluation as part of a 
hearing, the cost of the evaluation must be at public expense.
    (e) Agency criteria. Whenever an independent evaluation is at public 
expense, the criteria under which the evaluation is obtained, including 
the location of the evaluation and the qualifications of the examiner, 
must be the same as the criteria which the public agency uses when it 
initiates an evaluation.

(Authority: 20 U.S.C. 1415(b)(1)(A))



Sec. 300.504  Prior notice; parent consent.

    (a) Notice. Written notice that meets the requirements of 
Sec. 300.505 must be given to the parents of a child with a disability a 
reasonable time before the public agency--
    (1) Proposes to initiate or change the identification, evaluation, 
or educational placement of the child or the provision of FAPE to the 
child; or
    (2) Refuses to initiate or change the identification, evaluation, or 
educational placement of the child or the provision of FAPE to the 
child.

[[Page 48]]

    (b) Consent; procedures if a parent refuses consent. (1) Parental 
consent must be obtained before--
    (i) Conducting a preplacement evaluation; and
    (ii) Initial placement of a child with a disability in a program 
providing special education and related services.
    (2) If State law requires parental consent before a child with a 
disability is evaluated or initially provided special education and 
related services, State procedures govern the public agency in 
overriding a parent's refusal to consent.
    (3) If there is no State law requiring consent before a child with a 
disability is evaluated or initially provided special education and 
related services, the public agency may use the hearing procedures in 
Secs. 300.506-300.508 to determine if the child may be evaluated or 
initially provided special education and related services without 
parental consent. If it does so and the hearing officer upholds the 
agency, the agency may evaluate or initially provide special education 
and related services to the child without the parent's consent, subject 
to the parent's rights under Secs. 300.510-300.513.
    (c) Additional State consent requirements. In addition to the 
parental consent requirements described in paragraph (b) of this 
section, a State may require parental consent for other services and 
activities under this part if it ensures that each public agency in the 
State establishes and implements effective procedures to ensure that a 
parent's refusal to consent does not result in a failure to provide the 
child with FAPE.
    (d) Limitation. A public agency may not require parental consent as 
a condition of any benefit to the parent or the child except for the 
service or activity for which consent is required under paragraphs (b) 
or (c) of this section.

(Authority: 20 U.S.C. 1415(b)(1)(C), (D); 1412(2), (6))

    Note 1: Any changes in a child's special education program after the 
initial placement are not subject to the parental consent requirements 
in paragraph (b)(1) of this section, but are subject to the prior notice 
requirement in paragraph (a) of this section and the IEP requirements of 
Secs. 300.340-300.350.
    Note 2: Paragraph (b)(2) of this section means that if State law 
requires parental consent before evaluation or before special education 
and related services are initially provided, and the parent refuses (or 
otherwise withholds) consent, State procedures, such as obtaining a 
court order authorizing the public agency to conduct the evaluation or 
provide the education and related services, must be followed.

    If, however, there is no legal requirement for consent outside of 
these regulations, the public agency may use the due process procedures 
of Secs. 300.506-300.508 to obtain a decision to allow the evaluation or 
services without parental consent. The agency must notify the parent of 
its actions, and the parent has appeal rights as well as rights at the 
hearing itself.

    Note 3: If a State adopts a consent requirement in addition to those 
described in paragraph (b) of this section and consent is refused, 
paragraph (d) of this section requires that the public agency must 
nevertheless provide the services and activities that are not in 
dispute. For example, if a State requires parental consent to the 
provision of all services identified in an IEP and the parent refuses to 
consent to physical therapy services included in the IEP, the agency is 
not relieved of its obligation to implement those portions of the IEP to 
which the parent consents.

    If the parent refuses to consent and the public agency determines 
that the service or activity in dispute is necessary to provide FAPE to 
the child, paragraph (c) of this section requires that the agency must 
implement its procedures to override the refusal. This section does not 
preclude the agency from reconsidering its proposal if it believes that 
circumstances warrant.



Sec. 300.505  Content of notice.

    (a) The notice under Sec. 300.504 must include--
    (1) A full explanation of all of the procedural safeguards available 
to the parents under Sec. 300.500, Secs. 300.502-300.515, and 
Secs. 300.562-300.569;
    (2) A description of the action proposed or refused by the agency, 
an explanation of why the agency proposes or refuses to take the action, 
and a description of any options the agency considered and the reasons 
why those options were rejected;
    (3) A description of each evaluation procedure, test, record, or 
report the agency uses as a basis for the proposal or refusal; and

[[Page 49]]

    (4) A description of any other factors that are relevant to the 
agency's proposal or refusal.
    (b) The notice must be--
    (1) Written in language understandable to the general public; and
    (2) Provided in the native language of the parent or other mode of 
communication used by the parent, unless it is clearly not feasible to 
do so.
    (c) If the native language or other mode of communication of the 
parent is not a written language, the SEA or LEA shall take steps to 
ensure--
    (1) That the notice is translated orally or by other means to the 
parent in his or her native language or other mode of communication;
    (2) That the parent understands the content of the notice; and
    (3) That there is written evidence that the requirements in 
paragraphs (c)(1) and (2) of this section have been met.

(Authority: 20 U.S.C. 1415(b)(1)(D))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.506  Impartial due process hearing.

    (a) A parent or a public educational agency may initiate a hearing 
on any of the matters described in Sec. 300.504(a)(1) and (2).
    (b) The hearing must be conducted by the SEA or the public agency 
directly responsible for the education of the child, as determined under 
State statute, State regulation, or a written policy of the SEA.
    (c) The public agency shall inform the parent of any free or low-
cost legal and other relevant services available in the area if--
    (1) The parent requests the information; or
    (2) The parent or the agency initiates a hearing under this section.

(Authority: 20 U.S.C. 1415(b)(2))

    Note: Many States have pointed to the success of using mediation as 
an intervening step prior to conducting a formal due process hearing. 
Although the process of mediation is not required by the statute or 
these regulations, an agency may wish to suggest mediation in disputes 
concerning the identification, evaluation, and educational placement of 
children with disabilities, and the provision of FAPE to those children. 
Mediations have been conducted by members of SEAs or LEA personnel who 
were not previously involved in the particular case. In many cases, 
mediation leads to resolution of differences between parents and 
agencies without the development of an adversarial relationship and with 
minimal emotional stress. However, mediation may not be used to deny or 
delay a parent's rights under Secs. 300.500-300.515.



Sec. 300.507  Impartial hearing officer.

    (a) A hearing may not be conducted--
    (1) By a person who is an employee of a public agency that is 
involved in the education or care of the child; or
    (2) By any person having a personal or professional interest that 
would conflict with his or her objectivity in the hearing.
    (b) A person who otherwise qualifies to conduct a hearing under 
paragraph (a) of this section is not an employee of the agency solely 
because he or she is paid by the agency to serve as a hearing officer.
    (c) Each public agency shall keep a list of the persons who serve as 
hearing officers. The list must include a statement of the 
qualifications of each of those persons.

(Authority: 20 U.S.C. 1414(b)(2))



Sec. 300.508  Hearing rights.

    (a) Any party to a hearing has the right to:
    (1) Be accompanied and advised by counsel and by individuals with 
special knowledge or training with respect to the problems of children 
with disabilities.
    (2) Present evidence and confront, cross-examine, and compel the 
attendance of witnesses.
    (3) Prohibit the introduction of any evidence at the hearing that 
has not been disclosed to that party at least five days before the 
hearing.
    (4) Obtain a written or electronic verbatim record of the hearing.
    (5) Obtain written findings of fact and decisions. The public 
agency, after deleting any personally identifiable information, shall--
    (i) Transmit those findings and decisions to the State advisory 
panel established under Sec. 300.650; and

[[Page 50]]

    (ii) Make those findings and decisions available to the public.
    (b) Parents involved in hearings must be given the right to--
    (1) Have the child who is the subject of the hearing present; and
    (2) Open the hearing to the public.

(Authority: 20 U.S.C. 1415(d))



Sec. 300.509  Hearing decision; appeal.

    A decision made in a hearing conducted under Sec. 300.506 is final, 
unless a party to the hearing appeals the decision under Sec. 300.510 or 
Sec. 300.511.

(Authority: 20 U.S.C. 1415(c))



Sec. 300.510  Administrative appeal; impartial review.

    (a) If the hearing is conducted by a public agency other than the 
SEA, any party aggrieved by the findings and decision in the hearing may 
appeal to the SEA.
    (b) If there is an appeal, the SEA shall conduct an impartial review 
of the hearing. The official conducting the review shall:
    (1) Examine the entire hearing record.
    (2) Ensure that the procedures at the hearing were consistent with 
the requirements of due process.
    (3) Seek additional evidence if necessary. If a hearing is held to 
receive additional evidence, the rights in 300.508 apply.
    (4) Afford the parties an opportunity for oral or written argument, 
or both, at the discretion of the reviewing official.
    (5) Make an independent decision on completion of the review.
    (6) Give a copy of written findings and the decision to the parties.
    (c) The SEA, after deleting any personally identifiable information, 
shall--
    (1) Transmit the findings and decisions referred to in paragraph 
(b)(6) of this section to the State advisory panel established under 
Sec. 300.650; and
    (2) Make those findings and decisions available to the public.
    (d) The decision made by the reviewing official is final unless a 
party brings a civil action under Sec. 300.511.

(Authority: 20 U.S.C. 1415(c), (d); H. R. Rep. No. 94-664, at p. 49 
(1975))

    Note 1: The SEA may conduct its review either directly or through 
another State agency acting on its behalf. However, the SEA remains 
responsible for the final decision on review.
    Note 2: All parties have the right to continue to be represented by 
counsel at the State administrative review level, whether or not the 
reviewing official determines that a further hearing is necessary. If 
the reviewing official decides to hold a hearing to receive additional 
evidence, the other rights in Sec. 300.508 relating to hearings also 
apply.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.511  Civil action.

    Any party aggrieved by the findings and decision made in a hearing 
who does not have the right to appeal under Sec. 300.510, and any party 
aggrieved by the decision of a reviewing officer under Sec. 300.510, has 
the right to bring a civil action under section 615(e)(2) of the Act.

(Authority: 20 U.S.C. 1415)



Sec. 300.512  Timelines and convenience of hearings and reviews.

    (a) The public agency shall ensure that not later than 45 days after 
the receipt of a request for a hearing--
    (1) A final decision is reached in the hearing; and
    (2) A copy of the decision is mailed to each of the parties.
    (b) The SEA shall ensure that not later than 30 days after the 
receipt of a request for a review--
    (1) A final decision is reached in the review; and
    (2) A copy of the decision is mailed to each of the parties.
    (c) A hearing or reviewing officer may grant specific extensions of 
time beyond the periods set out in paragraphs (a) and (b) of this 
section at the request of either party.
    (d) Each hearing and each review involving oral arguments must be 
conducted at a time and place that is reasonably convenient to the 
parents and child involved.

(Authority: 20 U.S.C. 1415)

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

[[Page 51]]



Sec. 300.513  Child's status during proceedings.

    (a) During the pendency of any administrative or judicial proceeding 
regarding a complaint, unless the public agency and the parents of the 
child agree otherwise, the child involved in the complaint must remain 
in his or her present educational placement.
    (b) If the complaint involves an application for initial admission 
to public school, the child, with the consent of the parents, must be 
placed in the public school program until the completion of all the 
proceedings.

(Authority: 20 U.S.C. 1415(e)(3))

    Note: Section 300.513 does not permit a child's placement to be 
changed during a complaint proceeding, unless the parents and agency 
agree otherwise. While the placement may not be changed, this does not 
preclude the agency from using its normal procedures for dealing with 
children who are endangering themselves or others.



Sec. 300.514  Surrogate parents.

    (a) General. Each public agency shall ensure that the rights of a 
child are protected when--
    (1) No parent (as defined in Sec. 300.13) can be identified;
    (2) The public agency, after reasonable efforts, cannot discover the 
whereabouts of a parent; or
    (3) The child is a ward of the State under the laws of that State.
    (b) Duty of public agency. The duty of a public agency under 
paragraph (a) of this section includes the assignment of an individual 
to act as a surrogate for the parents. This must include a method: (1) 
For determining whether a child needs a surrogate parent, and (2) for 
assigning a surrogate parent to the child.
    (c) Criteria for selection of surrogates. (1) The public agency may 
select a surrogate parent in any way permitted under State law.
    (2) Public agencies shall ensure that a person selected as a 
surrogate--
    (i) Has no interest that conflicts with the interest of the child he 
or she represents; and
    (ii) Has knowledge and skills that ensure adequate representation of 
the child.
    (d) Non-employee requirement; compensation. (1) A person assigned as 
a surrogate may not be an employee of a public agency that is involved 
in the education or care of the child.
    (2) A person who otherwise qualifies to be a surrogate parent under 
paragraphs (c) and (d)(1) of this section, is not an employee of the 
agency solely because he or she is paid by the agency to serve as a 
surrogate parent.
    (e) Responsibilities. The surrogate parent may represent the child 
in all matters relating to--
    (1) The identification, evaluation, and educational placement of the 
child; and
    (2) The provision of FAPE to the child.

(Authority: 20 U.S.C. 1415(b)(1)(B))



Sec. 300.515  Attorneys' fees.

    Each public agency shall inform parents that in any action or 
proceeding under section 615 of the Act, courts may award parents 
reasonable attorneys' fees under the circumstances described in section 
615(e)(4) of the Act.

(Authority: 20 U.S.C. 1415(b)(1)(D); 1415(e)(4))

                   Protection in Evaluation Procedures



Sec. 300.530  General.

    (a) Each SEA shall ensure that each public agency establishes and 
implements procedures that meet the requirements of Secs. 300.530-
300.534.
    (b) Testing and evaluation materials and procedures used for the 
purposes of evaluation and placement of children with disabilities must 
be selected and administered so as not to be racially or culturally 
discriminatory.

(Authority: 20 U.S.C. 1412(5)(C))



Sec. 300.531  Preplacement evaluation.

    Before any action is taken with respect to the initial placement of 
a child with a disability in a program providing special education and 
related services, a full and individual evaluation of the child's 
educational needs must be conducted in accordance with the requirements 
of Sec. 300.532.

(Authority: 20 U.S.C. 1412(5)(C))



Sec. 300.532  Evaluation procedures.

    State educational agencies and LEAs shall ensure, at a minimum, 
that:

[[Page 52]]

    (a) Tests and other evaluation materials--
    (1) Are provided and administered in the child's native language or 
other mode of communication, unless it is clearly not feasible to do so;
    (2) Have been validated for the specific purpose for which they are 
used; and
    (3) Are administered by trained personnel in conformance with the 
instructions provided by their producer.
    (b) Tests and other evaluation materials include those tailored to 
assess specific areas of educational need and not merely those that are 
designed to provide a single general intelligence quotient.
    (c) Tests are selected and administered so as best to ensure that 
when a test is administered to a child with impaired sensory, manual, or 
speaking skills, the test results accurately reflect the child's 
aptitude or achievement level or whatever other factors the test 
purports to measure, rather than reflecting the child's impaired 
sensory, manual, or speaking skills (except where those skills are the 
factors that the test purports to measure).
    (d) No single procedure is used as the sole criterion for 
determining an appropriate educational program for a child.
    (e) The evaluation is made by a multidisciplinary team or group of 
persons, including at least one teacher or other specialist with 
knowledge in the area of suspected disability.
    (f) The child is assessed in all areas related to the suspected 
disability, including, if appropriate, health, vision, hearing, social 
and emotional status, general intelligence, academic performance, 
communicative status, and motor abilities.

(Authority: 20 U.S.C. 1412(5)(C))

    Note: Children who have a speech or language impairment as their 
primary disability may not need a complete battery of assessments (e.g., 
psychological, physical, or adaptive behavior). However, a qualified 
speech-language pathologist would: (1) Evaluate each child with a speech 
or language impairment using procedures that are appropriate for the 
diagnosis and appraisal of speech and language impairments, and (2) if 
necessary, make referrals for additional assessments needed to make an 
appropriate placement decision.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.533  Placement procedures.

    (a) In interpreting evaluation data and in making placement 
decisions, each public agency shall--
    (1) Draw upon information from a variety of sources, including 
aptitude and achievement tests, teacher recommendations, physical 
condition, social or cultural background, and adaptive behavior;
    (2) Ensure that information obtained from all of these sources is 
documented and carefully considered;
    (3) Ensure that the placement decision is made by a group of 
persons, including persons knowledgeable about the child, the meaning of 
the evaluation data, and the placement options; and
    (4) Ensure that the placement decision is made in conformity with 
the LRE rules in Secs. 300.550-300.554.
    (b) If a determination is made that a child has a disability and 
needs special education and related services, an IEP must be developed 
for the child in accordance with Secs. 300.340-300.350.

(Authority: 20 U.S.C. 1412(5)(C); 1414(a)(5))

    Note: Paragraph (a)(1) of this section includes a list of examples 
of sources that may be used by a public agency in making placement 
decisions. The agency would not have to use all the sources in every 
instance. The point of the requirement is to ensure that more than one 
source is used in interpreting evaluation data and in making placement 
decisions. For example, while all of the named sources would have to be 
used for a child whose suspected disability is mental retardation, they 
would not be necessary for certain other children with disabilities, 
such as a child who has a severe articulation impairment as his primary 
disability. For such a child, the speech-language pathologist, in 
complying with the multiple source requirement, might use: (1) A 
standardized test of articulation, and (2) observation of the child's 
articulation behavior in conversational speech.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

[[Page 53]]



Sec. 300.534  Reevaluation.

    Each SEA and LEA shall ensure--
    (a) That the IEP of each child with a disability is reviewed in 
accordance with Secs. 300.340-300.350; and
    (b) That an evaluation of the child, based on procedures that meet 
the requirements of Sec. 300.532, is conducted every three years, or 
more frequently if conditions warrant, or if the child's parent or 
teacher requests an evaluation.

(Authority: 20 U.S.C. 1412(5)(c))

  Additional Procedures for Evaluating Children With Specific Learning 
                              Disabilities



Sec. 300.540  Additional team members.

    In evaluating a child suspected of having a specific learning 
disability, in addition to the requirements of Sec. 300.532, each public 
agency shall include on the multidisciplinary evaluation team--
    (a)(1) The child's regular teacher; or
    (2) If the child does not have a regular teacher, a regular 
classroom teacher qualified to teach a child of his or her age; or
    (3) For a child of less than school age, an individual qualified by 
the SEA to teach a child of his or her age; and
    (b) At least one person qualified to conduct individual diagnostic 
examinations of children, such as a school psychologist, speech-language 
pathologist, or remedial reading teacher.

(Authority: 20 U.S.C. 1411 note)



Sec. 300.541  Criteria for determining the existence of a specific learning disability.

    (a) A team may determine that a child has a specific learning 
disability if--
    (1) The child does not achieve commensurate with his or her age and 
ability levels in one or more of the areas listed in paragraph (a)(2) of 
this section, when provided with learning experiences appropriate for 
the child's age and ability levels; and
    (2) The team finds that a child has a severe discrepancy between 
achievement and intellectual ability in one or more of the following 
areas--
    (i) Oral expression;
    (ii) Listening comprehension;
    (iii) Written expression;
    (iv) Basic reading skill;
    (v) Reading comprehension;
    (vi) Mathematics calculation; or
    (vii) Mathematics reasoning.
    (b) The team may not identify a child as having a specific learning 
disability if the severe discrepancy between ability and achievement is 
primarily the result of--
    (1) A visual, hearing, or motor impairment;
    (2) Mental retardation;
    (3) Emotional disturbance; or
    (4) Environmental, cultural or economic disadvantage.

(Authority: 20 U.S.C. 1411 note)



Sec. 300.542  Observation.

    (a) At least one team member other than the child's regular teacher 
shall observe the child's academic performance in the regular classroom 
setting.
    (b) In the case of a child of less than school age or out of school, 
a team member shall observe the child in an environment appropriate for 
a child of that age.

(Authority: 20 U.S.C. 1411 note)



Sec. 300.543  Written report.

    (a) The team shall prepare a written report of the results of the 
evaluation.
    (b) The report must include a statement of--
    (1) Whether the child has a specific learning disability;
    (2) The basis for making the determination;
    (3) The relevant behavior noted during the observation of the child;
    (4) The relationship of that behavior to the child's academic 
functioning;
    (5) The educationally relevant medical findings, if any;
    (6) Whether there is a severe discrepancy between achievement and 
ability that is not correctable without special education and related 
services; and
    (7) The determination of the team concerning the effects of 
environmental, cultural, or economic disadvantage.
    (c) Each team member shall certify in writing whether the report 
reflects his or her conclusion. If it does not reflect his or her 
conclusion, the team

[[Page 54]]

member must submit a separate statement presenting his or her 
conclusions.

(Authority: 20 U.S.C. 1411 note)

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

                      Least Restrictive Environment



Sec. 300.550  General.

    (a) Each SEA shall ensure that each public agency establishes and 
implements procedures that meet the requirements of Secs. 300.550-
300.556.
    (b) Each public agency shall ensure--
    (1) That to the maximum extent appropriate, children with 
disabilities, including children in public or private institutions or 
other care facilities, are educated with children who are nondisabled; 
and
    (2) That special classes, separate schooling or other removal of 
children with disabilities from the regular educational environment 
occurs only when the nature or severity of the disability is such that 
education in regular classes with the use of supplementary aids and 
services cannot be achieved satisfactorily.

(Authority: 20 U.S.C. 1412(5)(B); 1414(a)(1)(C)(iv))



Sec. 300.551  Continuum of alternative placements.

    (a) Each public agency shall ensure that a continuum of alternative 
placements is available to meet the needs of children with disabilities 
for special education and related services.
    (b) The continuum required in paragraph (a) of this section must--
    (1) Include the alternative placements listed in the definition of 
special education under Sec. 300.17 (instruction in regular classes, 
special classes, special schools, home instruction, and instruction in 
hospitals and institutions); and
     (2) Make provision for supplementary services (such as resource 
room or itinerant instruction) to be provided in conjunction with 
regular class placement.

(Authority: 20 U.S.C. 1412(5)(B))



Sec. 300.552  Placements.

    Each public agency shall ensure that:
    (a) The educational placement of each child with a disability--
    (1) Is determined at least annually;
    (2) Is based on his or her IEP; and
    (3) Is as close as possible to the child's home.
    (b) The various alternative placements included at Sec. 300.551 are 
available to the extent necessary to implement the IEP for each child 
with a disability.
    (c) Unless the IEP of a child with a disability requires some other 
arrangement, the child is educated in the school that he or she would 
attend if nondisabled.
    (d) In selecting the LRE, consideration is given to any potential 
harmful effect on the child or on the quality of services that he or she 
needs.

(Authority: 20 U.S.C. 1412(5)(B))

    Note: Section 300.552 includes some of the main factors that must be 
considered in determining the extent to which a child with a disability 
can be educated with children who are nondisabled. The overriding rule 
in this section is that placement decisions must be made on an 
individual basis. The section also requires each agency to have various 
alternative placements available in order to ensure that each child with 
a disability receives an education that is appropriate to his or her 
individual needs.
    The requirements of Sec. 300.552, as well as the other requirements 
of Secs. 300.550-300.556, apply to all preschool children with 
disabilities who are entitled to receive FAPE. Public agencies that 
provide preschool programs for nondisabled preschool children must 
ensure that the requirements of Sec. 300.552(c) are met. Public agencies 
that do not operate programs for nondisabled preschool children are not 
required to initiate such programs solely to satisfy the requirements 
regarding placement in the LRE embodied in Secs. 300.550-300.556. For 
these public agencies, some alternative methods for meeting the 
requirements of Secs. 300.550-300.556 include--
    (1) Providing opportunities for the participation (even part-time) 
of preschool children with disabilities in other preschool programs 
operated by public agencies (such as Head Start);
    (2) Placing children with disabilities in private school programs 
for nondisabled preschool children or private school preschool programs 
that integrate children with disabilities and nondisabled children; and
    (3) Locating classes for preschool children with disabilities in 
regular elementary schools.
    In each case the public agency must ensure that each child's 
placement is in the LRE in

[[Page 55]]

which the unique needs of that child can be met, based upon the child's 
IEP, and meets all of the other requirements of Secs. 300.340-300.350 
and Secs. 300.550-300.556.
    The analysis of the regulations for section 504 of the 
Rehabilitation Act of 1973 (34 CFR part 104--Appendix, Paragraph 24) 
includes several points regarding educational placements of children 
with disabilities that are pertinent to this section:
    1. With respect to determining proper placements, the analysis 
states: ``* * * it should be stressed that, where a handicapped child is 
so disruptive in a regular classroom that the education of other 
students is significantly impaired, the needs of the handicapped child 
cannot be met in that environment. Therefore regular placement would not 
be appropriate to his or her needs * * *.''
    2. With respect to placing a child with a disability in an alternate 
setting, the analysis states that among the factors to be considered in 
placing a child is the need to place the child as close to home as 
possible. Recipients are required to take this factor into account in 
making placement decisions. The parents' right to challenge the 
placement of their child extends not only to placement in special 
classes or separate schools, but also to placement in a distant school, 
particularly in a residential program. An equally appropriate education 
program may exist closer to home; and this issue may be raised by the 
parent under the due process provisions of this subpart.



Sec. 300.553  Nonacademic settings.

    In providing or arranging for the provision of nonacademic and 
extracurricular services and activities, including meals, recess 
periods, and the services and activities set forth in Sec. 300.306, each 
public agency shall ensure that each child with a disability 
participates with nondisabled children in those services and activities 
to the maximum extent appropriate to the needs of that child.

(Authority: 20 U.S.C. 1412(5)(B))

    Note: Section 300.553 is taken from a requirement in the final 
regulations for section 504 of the Rehabilitation Act of 1973. With 
respect to this requirement, the analysis of the section 504 regulations 
includes the following statement: ``[This paragraph] specifies that 
handicapped children must also be provided nonacademic services in as 
integrated a setting as possible. This requirement is especially 
important for children whose educational needs necessitate their being 
solely with other handicapped children during most of each day. To the 
maximum extent appropriate, children in residential settings are also to 
be provided opportunities for participation with other children.'' (34 
CFR part 104--Appendix, Paragraph 24.)



Sec. 300.554  Children in public or private institutions.

    Each SEA shall make arrangements with public and private 
institutions (such as a memorandum of agreement or special 
implementation procedures) as may be necessary to ensure that 
Sec. 300.550 is effectively implemented.

(Authority: 20 U.S.C. 1412(5)(B))

    Note: Under section 612(5)(B) of the statute, the requirement to 
educate children with disabilities with nondisabled children also 
applies to children in public and private institutions or other care 
facilities. Each SEA must ensure that each applicable agency and 
institution in the State implements this requirement. Regardless of 
other reasons for institutional placement, no child in an institution 
who is capable of education in a regular public school setting may be 
denied access to an education in that setting.



Sec. 300.555  Technical assistance and training activities.

    Each SEA shall carry out activities to ensure that teachers and 
administrators in all public agencies--
    (a) Are fully informed about their responsibilities for implementing 
Sec. 300.550; and
    (b) Are provided with technical assistance and training necessary to 
assist them in this effort.

(Authority: 20 U.S.C. 1412(5)(B))



Sec. 300.556  Monitoring activities.

    (a) The SEA shall carry out activities to ensure that Sec. 300.550 
is implemented by each public agency.
    (b) If there is evidence that a public agency makes placements that 
are inconsistent with Sec. 300.550, the SEA shall--
    (1) Review the public agency's justification for its actions; and
    (2) Assist in planning and implementing any necessary corrective 
action.

(Authority: 20 U.S.C. 1412(5)(B))

                     Confidentiality of Information



Sec. 300.560  Definitions.

    As used in Secs. 300.560-300.576--
    Destruction means physical destruction or removal of personal 
identifiers

[[Page 56]]

from information so that the information is no longer personally 
identifiable.
    Education records means the type of records covered under the 
definition of education records in part 99 of this title (the 
regulations implementing the Family Educational Rights and Privacy Act 
of 1974).
    Participating agency means any agency or institution that collects, 
maintains, or uses personally identifiable information, or from which 
information is obtained, under this part.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))



Sec. 300.561  Notice to parents.

    (a) The SEA shall give notice that is adequate to fully inform 
parents about the requirements of Sec. 300.128, including--
    (1) A description of the extent that the notice is given in the 
native languages of the various population groups in the State;
    (2) A description of the children on whom personally identifiable 
information is maintained, the types of information sought, the methods 
the State intends to use in gathering the information (including the 
sources from whom information is gathered), and the uses to be made of 
the information;
    (3) A summary of the policies and procedures that participating 
agencies must follow regarding storage, disclosure to third parties, 
retention, and destruction of personally identifiable information; and
    (4) A description of all of the rights of parents and children 
regarding this information, including the rights under the Family 
Educational Rights and Privacy Act of 1974 and implementing regulations 
in part 99 of this title.
    (b) Before any major identification, location, or evaluation 
activity, the notice must be published or announced in newspapers or 
other media, or both, with circulation adequate to notify parents 
throughout the State of the activity.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.562  Access rights.

    (a) Each participating agency shall permit parents to inspect and 
review any education records relating to their children that are 
collected, maintained, or used by the agency under this part. The agency 
shall comply with a request without unnecessary delay and before any 
meeting regarding an IEP or any hearing relating to the identification, 
evaluation, or educational placement of the child, or the provision of 
FAPE to the child, and in no case more than 45 days after the request 
has been made.
    (b) The right to inspect and review education records under this 
section includes--
    (1) The right to a response from the participating agency to 
reasonable requests for explanations and interpretations of the records;
    (2) The right to request that the agency provide copies of the 
records containing the information if failure to provide those copies 
would effectively prevent the parent from exercising the right to 
inspect and review the records; and
    (3) The right to have a representative of the parent inspect and 
review the records.
    (c) An agency may presume that the parent has authority to inspect 
and review records relating to his or her child unless the agency has 
been advised that the parent does not have the authority under 
applicable State law governing such matters as guardianship, separation, 
and divorce.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.563  Record of access.

    Each participating agency shall keep a record of parties obtaining 
access to education records collected, maintained, or used under this 
part (except access by parents and authorized employees of the 
participating agency), including the name of the party, the date access 
was given, and the purpose

[[Page 57]]

for which the party is authorized to use the records.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.564  Records on more than one child.

    If any education record includes information on more than one child, 
the parents of those children shall have the right to inspect and review 
only the information relating to their child or to be informed of that 
specific information.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))



Sec. 300.565  List of types and locations of information.

    Each participating agency shall provide parents on request a list of 
the types and locations of education records collected, maintained, or 
used by the agency.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.566  Fees.

    (a) Each participating agency may charge a fee for copies of records 
that are made for parents under this part if the fee does not 
effectively prevent the parents from exercising their right to inspect 
and review those records.
    (b) A participating agency may not charge a fee to search for or to 
retrieve information under this part.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))



Sec. 300.567  Amendment of records at parent's request.

    (a) A parent who believes that information in the education records 
collected, maintained, or used under this part is inaccurate or 
misleading or violates the privacy or other rights of the child may 
request the participating agency that maintains the information to amend 
the information.
    (b) The agency shall decide whether to amend the information in 
accordance with the request within a reasonable period of time of 
receipt of the request.
    (c) If the agency decides to refuse to amend the information in 
accordance with the request, it shall inform the parent of the refusal, 
and advise the parent of the right to a hearing under Sec. 300.568.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))



Sec. 300.568  Opportunity for a hearing.

    The agency shall, on request, provide an opportunity for a hearing 
to challenge information in education records to ensure that it is not 
inaccurate, misleading, or otherwise in violation of the privacy or 
other rights of the child.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))



Sec. 300.569  Result of hearing.

    (a) If, as a result of the hearing, the agency decides that the 
information is inaccurate, misleading or otherwise in violation of the 
privacy or other rights of the child, it shall amend the information 
accordingly and so inform the parent in writing.
    (b) If, as a result of the hearing, the agency decides that the 
information is not inaccurate, misleading, or otherwise in violation of 
the privacy of other rights of the child, it shall inform the parent of 
the right to place in the records it maintains on the child a statement 
commenting on the information or setting forth any reasons for 
disagreeing with the decision of the agency.
    (c) Any explanation placed in the records of the child under this 
section must--
    (1) Be maintained by the agency as part of the records of the child 
as long as the record or contested portion is maintained by the agency; 
and
    (2) If the records of the child or the contested portion is 
disclosed by the agency to any party, the explanation must also be 
disclosed to the party.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

[[Page 58]]



Sec. 300.570  Hearing procedures.

    A hearing held under Sec. 300.568 must be conducted according to the 
procedures under Sec. 99.22 of this title.

[57 FR 48694, Oct. 27, 1992]



Sec. 300.571  Consent.

    (a) Parental consent must be obtained before personally identifiable 
information is--
    (1) Disclosed to anyone other than officials of participating 
agencies collecting or using the information under this part, subject to 
paragraph (b) of this section; or
    (2) Used for any purpose other than meeting a requirement of this 
part.
    (b) An educational agency or institution subject to part 99 of this 
title may not release information from education records to 
participating agencies without parental consent unless authorized to do 
so under part 99 of this title.
    (c) The SEA shall include policies and procedures in its State plan 
that are used in the event that a parent refuses to provide consent 
under this section.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.572  Safeguards.

    (a) Each participating agency shall protect the confidentiality of 
personally identifiable information at collection, storage, disclosure, 
and destruction stages.
    (b) One official at each participating agency shall assume 
responsibility for ensuring the confidentiality of any personally 
identifiable information.
    (c) All persons collecting or using personally identifiable 
information must receive training or instruction regarding the State's 
policies and procedures under Sec. 300.129 and part 99 of this title.
    (d) Each participating agency shall maintain, for public inspection, 
a current listing of the names and positions of those employees within 
the agency who may have access to personally identifiable information.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.573  Destruction of information.

    (a) The public agency shall inform parents when personally 
identifiable information collected, maintained, or used under this part 
is no longer needed to provide educational services to the child.
    (b) The information must be destroyed at the request of the parents. 
However, a permanent record of a student's name, address, and phone 
number, his or her grades, attendance record, classes attended, grade 
level completed, and year completed may be maintained without time 
limitation.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

    Note: Under Sec. 300.573, the personally identifiable information on 
a child with a disability may be retained permanently unless the parents 
request that it be destroyed. Destruction of records is the best 
protection against improper and unauthorized disclosure. However, the 
records may be needed for other purposes. In informing parents about 
their rights under this section, the agency should remind them that the 
records may be needed by the child or the parents for social security 
benefits or other purposes. If the parents request that the information 
be destroyed, the agency may retain the information in paragraph (b) of 
this section.



Sec. 300.574  Children's rights.

    The SEA shall include policies and procedures in its State plan 
regarding the extent to which children are afforded rights of privacy 
similar to those afforded to parents, taking into consideration the age 
of the child and type or severity of disability.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

    Note: Under the regulations for the Family Educational Rights and 
Privacy Act of 1974 (34 CFR 99.5(a)), the rights of parents regarding 
education records are transferred to the student at age 18.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

[[Page 59]]



Sec. 300.575  Enforcement.

    The SEA shall describe in its State plan the policies and 
procedures, including sanctions, that the State uses to ensure that its 
policies and procedures are followed and that the requirements of the 
Act and the regulations in this part are met.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.576  Department.

    If the Department or its authorized representatives collect any 
personally identifiable information regarding children with disabilities 
that is not subject to 5 U.S.C. 552a (The Privacy Act of 1974), the 
Secretary shall apply the requirements of 5 U.S.C. 552a (b)(1)-(2), (4)-
(11); (c); (d); (e)(1); (2); (3)(A), (B), and (D), (5)-(10); (h); (m); 
and (n), and the regulations implementing those provisions in part 5b of 
this title.

(Authority: 20 U.S.C. 1412(2)(D); 1417(c))

                          Department Procedures



Sec. 300.580  [Reserved]



Sec. 300.581  Disapproval of a State plan.

    Before disapproving a State plan, the Secretary gives the SEA 
written notice and an opportunity for a hearing.

(Authority: 20 U.S.C. 1413(c))



Sec. 300.582  Content of notice.

    (a) In the written notice, the Secretary--
    (1) States the basis on which the Secretary proposes to disapprove 
the State plan;
    (2) May describe possible options for resolving the issues;
    (3) Advises the SEA that it may request a hearing and that the 
request for a hearing must be made not later than 30 calendar days after 
it receives the notice of proposed disapproval; and
    (4) Provides information about the procedures followed for a 
hearing.
    (b) The Secretary sends the written notice to the SEA by certified 
mail with return receipt requested.

(Authority: 20 U.S.C. 1413(c))



Sec. 300.583  Hearing official or panel.

    (a) If the SEA requests a hearing, the Secretary designates one or 
more individuals, either from the Department or elsewhere, not 
responsible for or connected with the administration of this program, to 
conduct a hearing.
    (b) If more than one individual is designated, the Secretary 
designates one of those individuals as the Chief Hearing Official of the 
Hearing Panel. If one individual is designated, that individual is the 
Hearing Official.

(Authority: 20 U.S.C. 1413(c))



Sec. 300.584  Hearing procedures.

    (a) As used in Secs. 300.581-300.586 the term party or parties means 
the following:
    (1) An SEA that requests a hearing regarding the proposed 
disapproval of its State plan under this part.
    (2) The Department of Education official who administers the program 
of financial assistance under this part.
    (3) A person, group or agency with an interest in and having 
relevant information about the case that has applied for and been 
granted leave to intervene by the Hearing Official or Panel.
    (b) Within 15 calendar days after receiving a request for a hearing, 
the Secretary designates a Hearing Official or Panel and notifies the 
parties.
    (c) The Hearing Official or Panel may regulate the course of 
proceedings and the conduct of the parties during the proceedings. The 
Hearing Official or Panel takes all steps necessary to conduct a fair 
and impartial proceeding, to avoid delay, and to maintain order, 
including the following:
    (1) The Hearing Official or Panel may hold conferences or other 
types of appropriate proceedings to clarify, simplify, or define the 
issues or to consider other matters that may aid in the disposition of 
the case.
    (2) The Hearing Official or Panel may schedule a prehearing 
conference of the Hearing Official or Panel and parties.
    (3) Any party may request the Hearing Official or Panel to schedule 
a prehearing or other conference. The Hearing Official or Panel decides 
whether a conference is necessary and notifies all parties.

[[Page 60]]

    (4) At a prehearing or other conference, the Hearing Official or 
Panel and the parties may consider subjects such as--
    (i) Narrowing and clarifying issues;
    (ii) Assisting the parties in reaching agreements and stipulations;
    (iii) Clarifying the positions of the parties;
    (iv) Determining whether an evidentiary hearing or oral argument 
should be held; and
    (v) Setting dates for--
    (A) The exchange of written documents;
    (B) The receipt of comments from the parties on the need for oral 
argument or evidentiary hearing;
    (C) Further proceedings before the Hearing Official or Panel 
(including an evidentiary hearing or oral argument, if either is 
scheduled);
    (D) Requesting the names of witnesses each party wishes to present 
at an evidentiary hearing and estimation of time for each presentation; 
or
    (E) Completion of the review and the initial decision of the Hearing 
Official or Panel.
    (5) A prehearing or other conference held under paragraph (b)(4) of 
this section may be conducted by telephone conference call.
    (6) At a prehearing or other conference, the parties shall be 
prepared to discuss the subjects listed in paragraph (b)(4) of this 
section.
    (7) Following a prehearing or other conference the Hearing Official 
or Panel may issue a written statement describing the issues raised, the 
action taken, and the stipulations and agreements reached by the 
parties.
    (d) The Hearing Official or Panel may require parties to state their 
positions and to provide all or part of the evidence in writing.
    (e) The Hearing Official or Panel may require parties to present 
testimony through affidavits and to conduct cross-examination through 
interrogatories.
    (f) The Hearing Official or Panel may direct the parties to exchange 
relevant documents or information and lists of witnesses, and to send 
copies to the Hearing Official or Panel.
    (g) The Hearing Official or Panel may receive, rule on, exclude, or 
limit evidence at any stage of the proceedings.
    (h) The Hearing Official or Panel may rule on motions and other 
issues at any stage of the proceedings.
    (i) The Hearing Official or Panel may examine witnesses.
    (j) The Hearing Official or Panel may set reasonable time limits for 
submission of written documents.
    (k) The Hearing Official or Panel may refuse to consider documents 
or other submissions if they are not submitted in a timely manner unless 
good cause is shown.
    (l) The Hearing Official or Panel may interpret applicable statutes 
and regulations but may not waive them or rule on their validity.
    (m)(1) The parties shall present their positions through briefs and 
the submission of other documents and may request an oral argument or 
evidentiary hearing. The Hearing Official or Panel shall determine 
whether an oral argument or an evidentiary hearing is needed to clarify 
the positions of the parties.
    (2) The Hearing Official or Panel gives each party an opportunity to 
be represented by counsel.
    (n) If the Hearing Official or Panel determines that an evidentiary 
hearing would materially assist the resolution of the matter, the 
Hearing Official or Panel gives each party, in addition to the 
opportunity to be represented by counsel--
    (1) An opportunity to present witnesses on the party's behalf; and
    (2) An opportunity to cross-examine witnesses either orally or with 
written questions.
    (o) The Hearing Official or Panel accepts any evidence that it finds 
is relevant and material to the proceedings and is not unduly 
repetitious.
    (p)(1) The Hearing Official or Panel--
    (i) Arranges for the preparation of a transcript of each hearing;
    (ii) Retains the original transcript as part of the record of the 
hearing; and
    (iii) Provides one copy of the transcript to each party.
    (2) Additional copies of the transcript are available on request and 
with payment of the reproduction fee.

[[Page 61]]

    (q) Each party shall file with the Hearing Official or Panel all 
written motions, briefs, and other documents and shall at the same time 
provide a copy to the other parties to the proceedings.

(Authority: 20 U.S.C. 1413(c))



Sec. 300.585  Initial decision; final decision.

    (a) The Hearing Official or Panel prepares an initial written 
decision that addresses each of the points in the notice sent by the 
Secretary to the SEA under Sec. 300.582.
    (b) The initial decision of a Panel is made by a majority of Panel 
members.
    (c) The Hearing Official or Panel mails by certified mail with 
return receipt requested a copy of the initial decision to each party 
(or to the party's counsel) and to the Secretary, with a notice stating 
that each party has an opportunity to submit written comments regarding 
the decision to the Secretary.
    (d) Each party may file comments and recommendations on the initial 
decision with the Hearing Official or Panel within 15 calendar days of 
the date the party receives the Panel's decision.
    (e) The Hearing Official or Panel sends a copy of a party's initial 
comments and recommendations to the other parties by certified mail with 
return receipt requested. Each party may file responsive comments and 
recommendations with the Hearing Official or Panel within seven calendar 
days of the date the party receives the initial comments and 
recommendations.
    (f) The Hearing Official or Panel forwards the parties' initial and 
responsive comments on the initial decision to the Secretary who reviews 
the initial decision and issues a final decision.
    (g) The initial decision of the Hearing Official or Panel becomes 
the final decision of the Secretary unless, within 25 calendar days 
after the end of the time for receipt of written comments, the Secretary 
informs the Hearing Official or Panel and the parties to a hearing in 
writing that the decision is being further reviewed for possible 
modification.
    (h) The Secretary may reject or modify the initial decision of the 
Hearing Official or Panel if the Secretary finds that it is clearly 
erroneous.
    (i) The Secretary conducts the review based on the initial decision, 
the written record, the Hearing Official's or Panel's proceedings, and 
written comments. The Secretary may remand the matter for further 
proceedings.
    (j) The Secretary issues the final decision within 30 calendar days 
after notifying the Hearing Official or Panel that the initial decision 
is being further reviewed.



Sec. 300.586  Filing requirements.

    (a) Any written submission under Secs. 300.582-300.585 must be filed 
by hand-delivery, by mail, or by facsimile transmission. The Secretary 
discourages the use of facsimile transmission for documents longer than 
five pages.
    (b) The filing date under paragraph (a) of this section is the date 
the document is--
    (1) Hand-delivered;
    (2) Mailed; or
    (3) Sent by facsimile transmission.
    (c) A party filing by facsimile transmission is responsible for 
confirming that a complete and legible copy of the document was received 
by the Department.
    (d) If a document is filed by facsimile transmission, the Secretary, 
the Hearing Official, or the Panel, as applicable, may require the 
filing of a follow-up hard copy by hand-delivery or by mail within a 
reasonable period of time.
    (e) If agreed upon by the parties, service of a document may be made 
upon the other party by facsimile transmission.

(Authority: 20 U.S.C. 1413(c))

[57 FR 56796, Nov. 30, 1992]



Sec. 300.587  Judicial review.

    If a State is dissatisfied with the Secretary's final action with 
respect to its State plan, the State may, within 60 calendar days after 
notice of that action, file a petition for review with the United States 
court of appeals for the circuit in which the State is located.

(Authority: 20 U.S.C. 1416(b)(1))

[57 FR 44798, Sept. 29, 1992. Redesignated at 57 FR 56796, Nov. 30, 
1992]

[[Page 62]]

Sec. 300.588  [Reserved]



Sec. 300.589  Waiver of requirement regarding supplementing and supplanting with part B funds.

    (a) Under sections 613(a)(9)(B) and 614(a)(2)(B)(ii) of the Act, 
SEAs and LEAs must ensure that Federal funds provided under this part 
are used to supplement and increase the level of Federal, State, and 
local funds (including funds that are not under the direct control of 
SEAs or LEAs) expended for special education and related services 
provided to children with disabilities under this part and in no case to 
supplant those Federal, State, and local funds. The nonsupplanting 
requirement applies only to funds allocated to LEAs (See Sec. 300.372).
    (b) If the State provides clear and convincing evidence that all 
children with disabilities have FAPE available to them, the Secretary 
may waive in part the requirement under sections 613(a)(9)(B) and 
614(a)(2)(B)(ii) of the Act if the Secretary concurs with the evidence 
provided by the State.
    (c) If a State wishes to request a waiver, it must inform the 
Secretary in writing. The Secretary then provides the State with a 
finance and membership report form that provides the basis for the 
request.
    (d) In its request for a waiver, the State shall include the results 
of a special study made by the State to obtain evidence of the 
availability of FAPE to all children with disabilities. The special 
study must include statements by a representative sample of 
organizations that deal with children with disabilities, and parents and 
teachers of children with disabilities, relating to the following 
areas--
    (1) The adequacy and comprehensiveness of the State's system for 
identifying, locating, and evaluating children with disabilities;
    (2) The cost to parents, if any, for education for children enrolled 
in public and private day schools, and in public and private residential 
schools and institutions; and
    (3) The adequacy of the State's due process procedures.
    (e) In its request for a waiver, the State shall include finance 
data relating to the availability of FAPE for all children with 
disabilities, including--
    (1) The total current expenditures for regular education programs 
and special education programs by function and by source of funds 
(State, local, and Federal) for the previous school year; and
    (2) The full-time equivalent membership of students enrolled in 
regular programs and in special programs in the previous school year.
    (f) The Secretary considers the information that the State provides 
under paragraphs (d) and (e) of this section, along with any additional 
information he may request, or obtain through on-site reviews of the 
State's education programs and records, to determine if all children 
have FAPE available to them, and if so, the extent of the waiver.
    (g) The State may request a hearing with regard to any final action 
by the Secretary under this section.

(Authority: 20 U.S.C. 1411(c)(3); 1413(a)(9)(B))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



                     Subpart F--State Administration

                                 General



Sec. 300.600  Responsibility for all educational programs.

    (a) The SEA is responsible for ensuring--
    (1) That the requirements of this part are carried out; and
    (2) That each educational program for children with disabilities 
administered within the State, including each program administered by 
any other public agency--
    (i) Is under the general supervision of the persons responsible for 
educational programs for children with disabilities in the SEA; and
    (ii) Meets the education standards of the SEA (including the 
requirements of this part).
    (b) The State must comply with paragraph (a) of this section through 
State statute, State regulation, signed agreement between respective 
agency officials, or other documents.
    (c) This part may not be construed to limit the responsibility of 
agencies

[[Page 63]]

other than educational agencies for providing or paying some or all of 
the costs of FAPE to children with disabilities in the State.

(Authority: 20 U.S.C. 1412(6))

    Note: The requirement in Sec. 300.600(a) is taken essentially 
verbatim from section 612(6) of the statute and reflects the desire of 
the Congress for a central point of responsibility and accountability in 
the education of children with disabilities within each State. With 
respect to SEA responsibility, the Senate Report on Pub. L. 94-142 
includes the following statements:
    This provision is included specifically to assure a single line of 
responsibility with regard to the education of handicapped children, and 
to assure that in the implementation of all provisions of this Act and 
in carrying out the right to education for handicapped children, the 
State educational agency shall be the responsible agency * * *.
    Without this requirement, there is an abdication of responsibility 
for the education of handicapped children. Presently, in many States, 
responsibility is divided, depending upon the age of the handicapped 
child, sources of funding, and type of services delivered. While the 
Committee understands that different agencies may, in fact, deliver 
services, the responsibility must remain in a central agency overseeing 
the education of handicapped children, so that failure to deliver 
services or the violation of the rights of handicapped children is 
squarely the responsibility of one agency. (S. Rep. No. 94-168, p. 24 
(1975))
    In meeting the requirements of this section, there are a number of 
acceptable options that may be adopted, including the following:
    (1) Written agreements are developed between respective State 
agencies concerning SEA standards and monitoring. These agreements are 
binding on the local or regional counterparts of each State agency.
    (2) The Governor's Office issues an administrative directive 
establishing the SEA responsibility.
    (3) State law, regulation, or policy designates the SEA as 
responsible for establishing standards for all educational programs for 
individuals with disabilities, and includes responsibility for 
monitoring.
    (4) State law mandates that the SEA is responsible for all 
educational programs.

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.601  Relation of part B to other Federal programs.

    This part may not be construed to permit a State to reduce medical 
and other assistance available to children with disabilities, or to 
alter the eligibility of a child with a disability, under title V 
(Maternal and Child Health) or title XIX (Medicaid) of the Social 
Security Act, to receive services that are also part of FAPE.

(Authority: 20 U.S.C. 1413(e))

                              Use of Funds



Sec. 300.620  Federal funds for State administration.

    A State may use five percent of the total State allotment in any 
fiscal year under part B of the Act, or $450,000, whichever is greater, 
for administrative costs related to carrying out sections 612 and 613 of 
the Act. However, this amount cannot be greater than twenty-five percent 
of the State's total allotment for the fiscal year under part B of the 
Act.

(Authority: 20 U.S.C. 1411(b), (c))



Sec. 300.621  Allowable costs.

    (a) The SEA may use funds under Sec. 300.620 for--
    (1) Administration of the State plan and for planning at the State 
level, including planning, or assisting in the planning, of programs or 
projects for the education of children with disabilities;
    (2) Approval, supervision, monitoring, and evaluation of the 
effectiveness of local programs and projects for the education of 
children with disabilities;
    (3) Technical assistance to LEAs with respect to the requirements of 
this part;
    (4) Leadership services for the program supervision and management 
of special education activities for children with disabilities; and
    (5) Other State leadership activities and consultative services.
    (b) The SEA shall use the remainder of its funds under Sec. 300.620 
in accordance with Sec. 300.370.

(Authority: 20 U.S.C. 1411(b), (c))

[[Page 64]]

                          State Advisory Panel



Sec. 300.650  Establishment.

    (a) Each State shall establish, in accordance with the provisions of 
Secs. 300.650-300.653, a State advisory panel on the education of 
children with disabilities.
    (b) The advisory panel must be appointed by the Governor or any 
other official authorized under State law to make those appointments.
    (c) If a State has an existing advisory panel that can perform the 
functions in Sec. 300.652, the State may modify the existing panel so 
that it fulfills all of the requirements of Secs. 300.650-300.653, 
instead of establishing a new advisory panel.

(Authority: 20 U.S.C. 1413(a)(12))



Sec. 300.651  Membership.

    (a) The membership of the State advisory panel must be composed of 
persons involved in or concerned with the education of children with 
disabilities. The membership must include at least one person 
representative of each of the following groups--
    (1) Individuals with disabilities;
    (2) Teachers of children with disabilities;
    (3) Parents of children with disabilities;
    (4) State and local educational officials; and
    (5) Special education program administrators.
    (b) The State may expand the advisory panel to include additional 
persons in the groups listed in paragraph (a) of this section and 
representatives of other groups not listed.

(Authority: 20 U.S.C. 1413(a)(12))

    Note: The membership of the State advisory panel, as listed in 
paragraphs (a)(1)-(5) of this section, is required in section 613(a)(12) 
of the Act. As indicated in paragraph (b) of this section, the 
composition of the panel and the number of members may be expanded at 
the discretion of the State. In adding to the membership, consideration 
could be given to having--
    (1) An appropriate balance between professional groups and consumers 
(i.e., parents, advocates, and individuals with disabilities);
    (2) Broad representation within the consumer-advocate groups, to 
ensure that the interests and points of view of various parents, 
advocates and individuals with disabilities are appropriately 
represented;
    (3) Broad representation within professional groups (e.g., regular 
education personnel: special educators, including teachers, teacher 
trainers, and administrators, who can properly represent various 
dimensions in the education of children with disabilities; and 
appropriate related services personnel); and
    (4) Representatives from other State advisory panels (such as 
vocational education).
    If a State elects to maintain a small advisory panel (e.g., 10-15 
members), the panel itself could take steps to ensure that it (1) 
consults with and receives inputs from various consumer and special 
interest professional groups, and (2) establishes committees for 
particular short-term purposes composed of representatives from those 
input groups.



Sec. 300.652  Advisory panel functions.

    The State advisory panel shall--
    (a) Advise the SEA of unmet needs within the State in the education 
of children with disabilities;
    (b) Comment publicly on the State plan and rules or regulations 
proposed for issuance by the State regarding the education of children 
with disabilities and the procedures for distribution of funds under 
this part; and
    (c) Assist the State in developing and reporting such information 
and evaluations as may assist the Secretary in the performance of his 
responsibilities under section 618 of the Act.

(Authority: 20 U.S.C. 1413(a)(12))



Sec. 300.653  Advisory panel procedures.

    (a) The advisory panel shall meet as often as necessary to conduct 
its business.
    (b) By July 1 of each year, the advisory panel shall submit an 
annual report of panel activities and suggestions to the SEA. This 
report must be made available to the public in a manner consistent with 
other public reporting requirements of this part.
    (c) Official minutes must be kept on all panel meetings and shall be 
made available to the public on request.
    (d) All advisory panel meetings and agenda items must be publicly 
announced prior to the meeting, and meetings must be open to the public.
    (e) Interpreters and other necessary services must be provided at 
panel

[[Page 65]]

meetings for panel members or participants. The State may pay for these 
services from funds under Sec. 300.620.
    (f) The advisory panel shall serve without compensation but the 
State must reimburse the panel for reasonable and necessary expenses for 
attending meetings and performing duties. The State may use funds under 
Sec. 300.620 for this purpose.

(Authority: 20 U.S.C. 1413(a)(12))

(Approved by the Office of Management and Budget under control number 
1820-0030)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

                       State Complaint Procedures



Sec. 300.660  Adoption of State complaint procedures.

    Each SEA shall adopt written procedures for:
    (a) Resolving any complaint that meets the requirements of 
Sec. 300.662 by--
    (1) Providing for the filing of a complaint with the SEA; and
    (2) At the SEA's discretion, providing for the filing of a complaint 
with a public agency and the right to have the SEA review the public 
agency's decision on the complaint.
    (b) Informing parents and other interested individuals about the 
procedures in Secs. 300.660-300.662.

(Authority: 20 U.S.C. 2831(a))

(Approved by the Office of Management and Budget under control number 
1820-0599)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.661  Minimum State complaint procedures.

    Each SEA shall include the following in its complaint procedures:
    (a) A time limit of 60 calendar days after a complaint is filed 
under Sec. 300.660(a) to--
    (1) Carry out an independent on-site investigation, if the SEA 
determines that such an investigation is necessary;
    (2) Give the complainant the opportunity to submit additional 
information, either orally or in writing, about the allegations in the 
complaint;
    (3) Review all relevant information and make an independent 
determination as to whether the public agency is violating a requirement 
of part B of the Act or of this part; and
    (4) Issue a written decision to the complainant that addresses each 
allegation in the complaint and contains--
    (i) Findings of fact and conclusions; and
    (ii) The reasons for the SEA's final decision.
    (b) An extension of the time limit under paragraph (a) of this 
section only if exceptional circumstances exist with respect to a 
particular complaint.
    (c) Procedures for effective implementation of the SEA's final 
decision, if needed, including technical assistance activities, 
negotiations, and corrective actions to achieve compliance.
    (d) The right of the complainant or the public agency to request the 
Secretary to review the SEA's final decision.

(Authority: 20 U.S.C. 2831(a))

(Approved by the Office of Management and Budget under control number 
1820-0599)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.662  Filing a complaint.

    An organization or individual may file a signed written complaint 
under the procedures described in Secs. 300.600-300.661. The complaint 
must include--
    (a) A statement that a public agency has violated a requirement of 
part B of the Act or of this part; and
    (b) The facts on which the statement is based.

(Authority: 20 U.S.C. 2831(a))

(Approved by the Office of Management and Budget under control number 
1820-0599)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



                 Subpart G--Allocation of Funds; Reports

                               Allocations



Sec. 300.700  Special definition of the term ``State.''

    For the purposes of Sec. 300.701, Sec. 300.702, and Secs. 300.704-
300.708, the term State does not include Guam, American

[[Page 66]]

Samoa, the Virgin Islands, the Commonwealth of the Northern Mariana 
Islands, the Federated States of Micronesia, the Republic of the 
Marshall Islands, or Palau.

(Authority: 20 U.S.C. 1411(a)(2))



Sec. 300.701  State entitlement; formula.

    (a) The Secretary calculates the maximum amount of the grant to 
which a State is entitled under section 611 of the Act in any fiscal 
year as follows:
    (1) If the State is eligible for a grant under section 619 of the 
Act, the maximum entitlement is equal to the number of children with 
disabilities aged 3 through 21 in the State who are receiving special 
education and related services, multiplied by 40 percent of the average 
per pupil expenditure in public elementary and secondary schools in the 
United States.
    (2) If the State is not eligible for a grant under section 619 of 
the Act, the maximum entitlement is equal to the number of children with 
disabilities aged 6 through 21 in the State who are receiving special 
education and related services, multiplied by 40 percent of the average 
per pupil expenditure in public elementary and secondary schools in the 
United States.

(Authority: 20 U.S.C. 1411(a)(1))

    (b) [Reserved]
    (c) For the purposes of this section, the average per pupil 
expenditure in public elementary and secondary schools in the United 
States, means the aggregate expenditures during the second fiscal year 
preceding the fiscal year for which the computation is made (or if 
satisfactory data for that year are not available at the time of 
computation, then during the most recent preceding fiscal year for which 
satisfactory data are available) of all LEAs in the United States 
(which, for the purpose of this section, means the 50 States and the 
District of Columbia), plus any direct expenditures by the State for 
operation of those agencies (without regard to the source of funds from 
which either of those expenditures are made), divided by the aggregate 
number of children in average daily attendance to whom those agencies 
provided free public education during that preceding year.

(Authority: 20 U.S.C. 1411(a)(4))



Sec. 300.702  Limitations and exclusions.

    (a) In determining the amount of a grant under Sec. 300.701:
    (1) If a State serves all children with disabilities aged 3 through 
5 in the State, the Secretary does not count children with disabilities 
aged 3 through 17 in the State to the extent that the number of those 
children is greater than 12 percent of the number of all children aged 3 
through 17 in the State.
    (2) If a State does not serve all children with disabilities aged 3 
through 5 in the State, the Secretary does not count children with 
disabilities aged 5 through 17 to the extent that the number of those 
children is greater than 12 percent of the number of all children aged 5 
through 17 in the State.
    (3) The Secretary does not count children with disabilities who are 
counted under subpart 2 of part D of chapter 1 of title I of the 
Elementary and Secondary Education Act of 1965.
    (b) For the purposes of paragraph (a) of this section, the number of 
children aged 3 through 17 and 5 through 17 in any State is determined 
by the Secretary on the basis of the most recent satisfactory data 
available.

(Authority: 20 U.S.C. 1411(a)(5))



Sec. 300.703  Ratable reductions.

    (a) General. If the sums appropriated for any fiscal year for making 
payments to States under section 611 of the Act are not sufficient to 
pay in full the total amounts that all States are entitled to receive 
for that fiscal year, the maximum amount that all States are entitled to 
receive for that fiscal year shall be ratably reduced. In case 
additional funds become available for making payments for any fiscal 
year during which the preceding sentence is applicable, those reduced 
amounts shall be increased on the same basis they were reduced.

(Authority: 20 U.S.C. 1411(g)(1))

    (b) Reporting dates for local educational agencies and 
reallocations. (1) In

[[Page 67]]

any fiscal year that the State entitlement has been ratably reduced, and 
that additional funds have not been made available to pay in full the 
total of the amounts under paragraph (a) of this section, the SEA shall 
fix dates before which each LEA shall report to the State the amount of 
funds available to it under this part that it estimates it will expend.
    (2) The amounts available under paragraph (a) of this section, or 
any amount that would be available to any other LEA if it were to submit 
an application meeting the requirements of this part, that the SEA 
determines will not be used for the period of its availability shall be 
available for allocation to those LEAs, in the manner provided in 
Sec. 300.707, that the SEA determines will need and be able to use 
additional funds to carry out approved programs.

(Authority: 20 U.S.C. 1411(g)(2))



Sec. 300.704  Hold harmless provision.

    No State shall receive less than the amount it received under part B 
of the Act for fiscal year 1977.

(Authority: 20 U.S.C. 1411(a)(1))



Sec. 300.705  Allocation for State in which by-pass is implemented for private school children with disabilities.

    In determining the allocation under Secs. 300.700-300.703 of a State 
in which the Secretary will implement a by-pass for private school 
children with disabilities under Secs. 300.451-300.486, the Secretary 
includes in the State's child count--
    (a) For the first year of a by-pass, the actual or estimated number 
of private school children with disabilities (as defined in 
Secs. 300.7(a) and 300.450) in the State, as of the preceding December 
1; and
    (b) For succeeding years of a by-pass, the number of private school 
children with disabilities who received special education and related 
services under the by-pass in the preceding year.

(Authority: 20 U.S.C. 1411(a)(1)(A), 1411(a)(3), 1413(d))



Sec. 300.706  Within-State distribution: fiscal year 1979 and after.

    Of the funds received under Sec. 300.701 by any State for fiscal 
year 1979, and for each fiscal year after fiscal year 1979--
    (a) 25 percent may be used by the State in accordance with 
Sec. 300.620 and Sec. 300.370; and
    (b) 75 percent shall be distributed to the LEAs in the State in 
accordance with Sec. 300.707.

(Authority: 20 U.S.C. 1411(c)(1))



Sec. 300.707  Local educational agency entitlement; formula.

    From the total amount of funds available to all LEAs, each LEA is 
entitled to an amount that bears the same ratio to the total amount as 
the number of children with disabilities aged 3 through 21 in that 
agency who are receiving special education and related services bears to 
the aggregate number of children with disabilities aged 3 through 21 
receiving special education and related services in all LEAs that apply 
to the SEA for funds under part B of the Act.

(Authority: 20 U.S.C. 1411(d))



Sec. 300.708  Reallocation of local educational agency funds.

    If an SEA determines that an LEA is adequately providing FAPE to all 
children with disabilities residing in the area served by the local 
agency with State and local funds otherwise available to the local 
agency, the SEA may reallocate funds (or portions of those funds that 
are not required to provide special education and related services) made 
available to the local agency under Sec. 300.707, to other LEAs within 
the State that are not adequately providing special education and 
related services to all children with disabilities residing in the areas 
served by the other LEAs.

(Authority: 20 U.S.C. 1414(e))



Sec. 300.709  Payments to the Secretary of the Interior for the education of Indian children.

    (a) General. (1) The Secretary makes payments to the Secretary of 
the Interior to meet the need for assistance for the education of 
children with disabilities on reservations, aged 5 through 21, who are 
enrolled in elementary and secondary schools for Indian children

[[Page 68]]

operated or funded by the Secretary of the Interior.
    (2) In the case of Indian students aged 3 through 5 who are enrolled 
in programs affiliated with Bureau of Indian Affairs (BIA) schools that 
are required by the States in which the schools are located to attain or 
maintain State accreditation and had State accreditation prior to 
October 7, 1991, the schools may count those children for the purpose of 
distribution of the funds provided under paragraph (a)(1) of this 
section to the Secretary of the Interior.
    (3) The amount of the payment under paragraph (a)(1) of this section 
for any fiscal year is one percent of the aggregate amounts available to 
all States under this part for that fiscal year.
    (b) Responsibility for meeting the requirements of part B. The 
Secretary of the Interior shall be responsible for meeting all of the 
requirements of part B of the Act for the children described in 
paragraph (a) of this section, in accordance with Sec. 300.260.

(Authority: 20 U.S.C. 1411(f))



Sec. 300.710  Payments to the Secretary of the Interior for Indian tribes or tribal organizations.

    (a) General. (1) Beginning with funds appropriated under part B of 
the Act for fiscal year 1992, the Secretary, subject to this section, 
makes payments to the Secretary of the Interior to be distributed to 
tribes or tribal organizations (as defined under section 4 of the Indian 
Self-Determination and Education Assistance Act) or consortiums of those 
tribes or tribal organizations to provide for the coordination of 
assistance for special education and related services for children with 
disabilities, aged 3 through 5, on reservations served by elementary and 
secondary schools for Indian children operated or funded by the 
Department of the Interior.
    (2) The amount of the payment under paragraph (b)(1) of this section 
for any fiscal year is .25 percent of the aggregate amounts available 
for all States under this part for that fiscal year.
    (3) None of the funds allocated under this section may be used by 
the Secretary of the Interior for administrative purposes, including 
child count, and the provision of technical assistance.
    (b) Distribution of funds. The Secretary of the Interior shall 
distribute the total amount of the .25 percent under paragraph (a) of 
this section in accordance with section 611(f)(4) of the Act.

(Authority: 20 U.S.C. 1411(f))



Sec. 300.711  Entitlements to jurisdictions.

    (a) The jurisdictions to which this section applies are Guam, 
American Samoa, the Virgin Islands, the Commonwealth of the Northern 
Mariana Islands, the Federated States of Micronesia, the Republic of the 
Marshall Islands, and Palau, (until the Compact of Free Association with 
Palau takes effect pursuant to section 101(a) of Pub. L. 99-658).
    (b) Each jurisdiction under paragraph (a) of this section is 
entitled to a grant for the purposes set forth in section 601(c) of the 
Act. The amount to which those jurisdictions are so entitled for any 
fiscal year shall not exceed an amount equal to 1 percent of the 
aggregate of the amounts available to all States under this part for 
that fiscal year. Funds appropriated for those jurisdictions shall be 
allocated proportionately among them on the basis of the number of 
children aged 3 through 21 in each jurisdiction. However, no 
jurisdiction shall receive less than $150,000, and other allocations 
shall be ratably reduced if necessary to ensure that each jurisdiction 
receives at least that amount.
    (c) The amount expended for administration by each jurisdiction 
under this section shall not exceed 5 percent of the amount allotted to 
the jurisdiction for any fiscal year, or $35,000, whichever is greater.

(Authority: 20 U.S.C. 1411(e))

                                 Reports



Sec. 300.750  Annual report of children served--report requirement.

    (a) The SEA shall report to the Secretary no later than February 1 
of each year the number of children with disabilities aged 3 through 21 
residing in

[[Page 69]]

the State who are receiving special education and related services.

(Authority: 20 U.S.C. 1411(a)(3))

    (b) The SEA shall submit the report on forms provided by the 
Secretary.

(Authority: 20 U.S.C. 1411(a)(3))

    Note: It is very important to understand that this report and the 
requirements that relate to it are solely for allocation purposes. The 
population of children the State may count for allocation purposes may 
differ from the population of children to whom the State must make FAPE 
available. For example, while section 611(a)(5) of the Act limits the 
number of children who may be counted for allocation purposes to 12 
percent of the general school population aged 3 through 17 (in States 
that serve all children with disabilities aged 3 through 5) or 5 through 
17 (in States that do not serve all children with disabilities aged 3 
through 5), a State might find that 14 percent (or some other 
percentage) of its children have disabilities. In that case, the State 
must make FAPE available to all of those children with disabilities.

(Approved by the Office of Management and Budget under control number 
1820-0043)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.751  Annual report of children served--information required in the report.

    (a) In its report, the SEA shall include a table that shows--
    (1) The number of children with disabilities receiving special 
education and related services on December 1 of that school year;
    (2) The number of children with disabilities aged 3 through 5 who 
are receiving FAPE;
    (3) The number of those children with disabilities aged 6 through 21 
within each disability category, as defined in the definition of 
``children with disabilities'' in Sec. 300.7; and
    (4) The number of those children with disabilities aged 3 through 21 
for each year of age (3, 4, 5, etc.).
    (b) For the purpose of this part, a child's age is the child's 
actual age on the date of the child count: December 1.
    (c) The SEA may not report a child aged 6 through 21 under more than 
one disability category.
    (d) If a child with a disability aged 6 through 21 has more than one 
disability, the SEA shall report that child in accordance with the 
following procedure:
    (1) A child with deaf-blindness must be reported under the category 
``deaf-blindness.''
    (2) A child who has more than one disability (other than deaf-
blindness) must be reported under the category ``multiple 
disabilities.''

(Authority: 20 U.S.C. 1411(a)(3); (5)(A)(ii); 1418(b))

(Approved by the Office of Management and Budget under control number 
1820-0043)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]



Sec. 300.752  Annual report of children served--certification.

    The SEA shall include in its report a certification signed by an 
authorized official of the agency that the information provided is an 
accurate and unduplicated count of children with disabilities receiving 
special education and related services on the dates in question.

(Authority: 20 U.S.C. 1411(a)(3); 1417(b))



Sec. 300.753  Annual report of children served--criteria for counting children.

    (a) The SEA may include in its report children with disabilities who 
are enrolled in a school or program that is operated or supported by a 
public agency, and that either--
    (1) Provides them with both special education and related services; 
or
    (2) Provides them only with special education if they do not need 
related services to assist them in benefitting from that special 
education.
    (b) The SEA may not include children with disabilities in its report 
who--
    (1) Are not enrolled in a school or program operated or supported by 
a public agency;
    (2) Are not provided special education that meets State standards;
    (3) Are not provided with a related service that they need to assist 
them in benefitting from special education;
    (4) Are counted by a State agency under subpart 2 of part D of 
chapter 1 of title I of the Elementary and Secondary Education Act of 
1965; or

[[Page 70]]

    (5) Are receiving special education funded solely by the Federal 
Government. However, the State may count children covered under 
Sec. 300.186(b).

(Authority: 20 U.S.C. 1411(a)(3); 1417(b))

    Note 1: Under paragraph (a) of this section, the State may count 
children with disabilities in a Head Start or other preschool program 
operated or supported by a public agency if those children are provided 
special education that meets State standards.

    Note 2: Special education, by statutory definition, must be at no 
cost to parents. As of September 1, 1978, under the FAPE requirement, 
both special education and related services must be at no cost to 
parents.
    There may be some situations, however, where a child receives 
special education from a public source at no cost, but whose parents pay 
for the basic or regular education. This child may be counted. The 
Department expects that there would only be limited situations where 
special education would be clearly separate from regular education--
generally, where speech services is the only special education required 
by the child. For example, the child's parents may have enrolled the 
child in a regular program in a private school, but the child might be 
receiving speech services in a program funded by the LEA. Allowing these 
children to be counted will provide incentives (in addition to complying 
with the legal requirement in section 613(a)(4)(A) of the Act regarding 
private schools) to public agencies to provide services to children 
enrolled by their parents in private schools, since funds are generated 
in part on the basis of the number of children provided special 
education and related services. Agencies should understand, however, 
that if a public agency places or refers a child with a disability to a 
public or private school for educational purposes, special education 
includes the entire educational program provided to the child. In that 
case, parents may not be charged for any part of the child's education.
    A State may not count Indian children on or near reservations and 
children on military facilities if it provides them no special 
education. If an SEA or LEA is responsible for serving these children, 
and does provide them special education and related services, they may 
be counted.



Sec. 300.754  Annual report of children served--other responsibilities of the State educational agency.

    In addition to meeting the other requirements of Secs. 300.750-
300.753, the SEA shall--
    (a) Establish procedures to be used by LEAs and other educational 
institutions in counting the number of children with disabilities 
receiving special education and related services;
    (b) Set dates by which those agencies and institutions must report 
to the SEA to ensure that the State complies with Sec. 300.750(a);
    (c) Obtain certification from each agency and institution that an 
unduplicated and accurate count has been made;
    (d) Aggregate the data from the count obtained from each agency and 
institution, and prepare the reports required under Secs. 300.750-
300.753; and
    (e) Ensure that documentation is maintained that enables the State 
and the Secretary to audit the accuracy of the count.

(Authority: 20 U.S.C. 1411(a)(3); 1417(b))

    Note: States should note that the data required in the annual report 
of children served are not to be transmitted to the Secretary in 
personally identifiable form. States are encouraged to collect these 
data in non-personally identifiable form.

(Approved by the Office of Management and Budget under control number 
1820-0043)

[57 FR 44798, Sept. 29, 1992, as amended at 58 FR 13528, Mar. 11, 1993]

                   Appendix A to Part 300--[Reserved]

                   Appendix B to Part 300--[Reserved]

            Appendix C to Part 300--Notice of Interpretation

    I. Purpose of the IEP
    II. IEP Requirements

                        Sec. 300.340  Definition

          Sec. 300.341  State educational agency responsibility

    1. Who is responsible for ensuring the development of IEPs for 
children with disabilities served by a public agency other than an LEA?
    2. For a child placed out of State by a public agency, is the 
placing or receiving State responsible for the child's IEP?

 Sec. 300.342  When individualized education programs must be in effect

    3. In requiring that an IEP be in effect before special education 
and related services are provided, what does ``be in effect'' mean?
    4. How much of a delay is permissible between the time an IEP of a 
child with a disability is finalized and when special education is 
provided?
    5. For a child with a disability receiving special education for the 
first time, when

[[Page 71]]

must an IEP be developed--before placement or after placement?
    6. If a child with a disability has been receiving special education 
in one LEA and moves to another community, must the new LEA hold an IEP 
meeting before the child is placed in a special education program?

                         Sec. 300.343  Meetings

    7. What is the purpose of the 30 day timeline in Sec. 300.343(c)?
    8. Must the agency hold a separate meeting to determine a child's 
eligibility for special education and related services, or can this step 
be combined with the IEP meeting?
    9. Must IEPs be reviewed or revised at the beginning of each school 
year?
    10. How frequently must IEP meetings be held and how long should 
they be?
    11. Who can initiate IEP meetings?
    12. May IEP meetings be tape-recorded?

                 Sec. 300.344  Participants in meetings

                         (Agency representative)

    13. Who can serve as the representative of the public agency at an 
IEP meeting?
    14. Who is the representative of the public agency if a child with a 
disability is served by a public agency other than the SEA or LEA?

                          (The child's teacher)

    15. For a child with a disability being considered for initial 
placement in special education, which teacher should attend the IEP 
meeting?
    16. If a child with a disability is enrolled in both regular and 
special education classes, which teacher should attend the IEP meeting?
    17. If a child with a disability in high school attends several 
regular classes, must all of the child's regular teachers attend the IEP 
meeting?
    18. If a child's primary disability is a speech impairment, must the 
child's regular teacher attend the IEP meeting?
    19. If a child is enrolled in a special education class because of a 
primary disability and also receives speech-language pathology services, 
must both specialists attend the IEP meeting?

                 (The child, parents, other individuals)

    20. When may representatives of teacher organizations attend IEP 
meetings?
    21. When may a child with a disability attend an IEP meeting?
    22. Do the parents of a student with a disability retain the right 
to attend the IEP meeting when the student reaches the age of majority?
    23. Must related services personnel attend IEP meetings?
    24. Are agencies required to use a case manager in the development 
of an IEP for a child with a disability?
    25. For a child with a suspected speech impairment, who must 
represent the evaluation team at the IEP meeting?

                   Sec. 300.345  Parent participation

    26. What is the role of the parents at an IEP meeting?
    27. What is the role of a surrogate parent at an IEP meeting?
    28. Must the public agency let the parents know who will be at the 
IEP meeting?
    29. Are parents required to sign IEPs?
    30. If the parent signs the IEP, does the signature indicate consent 
for initial placement?
    31. Do parents have the right to a copy of their child's IEP?
    32. Must parents be informed at the IEP meeting of their right to 
appeal?
    33. Does the IEP include ways for parents to check the progress of 
their children?
    34. Must IEPs include specific checkpoint intervals for parents to 
confer with teachers and to revise or update their children's IEPs?
    35. If the parents and agency are unable to reach agreement at an 
IEP meeting, what steps should be followed until agreement is reached?

      Sec. 300.346  Content of the individualized education program

               (Present levels of educational performance)

    36. What should be included in the statement of the child's present 
levels of educational performance?

         (Annual goals and short term instructional objectives)

    37. Why are goals and objectives required in the IEP?
    38. What are annual goals in an IEP?
    39. What are short term instructional objectives in an IEP?
    40. Should the IEP goals and objectives focus only on special 
education and related services, or should they relate to the total 
education of the child?
    41. Should there be a relationship between the goals and objectives 
in the IEP and those that are in the instructional plans of special 
education personnel?
    42. When must IEP objectives be written--before placement or after 
placement?
    43. Can short term instructional objectives be changed without 
initiating another IEP meeting?

            (Specific special education and related services)

    44. Must the IEP include all special education and related services 
needed by the

[[Page 72]]

child or only those available from the public agency?
    45. Is the IEP a commitment to provide services--i.e., must a public 
agency provide all of the services listed in the IEP?
    46. Must the public agency itself directly provide the services set 
out in the IEP?
    47. Does the IEP include only special education and related services 
or does it describe the total education of the child?
    48. If modifications are necessary for a child with a disability to 
participate in a regular education program, must they be included in the 
IEP?
    49. When must physical education (PE) be described or referred to in 
an IEP?
    50. If a child with a disability is to receive vocational education, 
must it be described or referred to in the student's IEP?
    51. Must the IEP specify the amount of services or may it simply 
list the services to be provided?
    52. Must an IEP for a child with a disability indicate the extent 
that the child will be educated in the regular educational program?

                      (Projected dates/Evaluation)

    53. Can the anticipated duration of services be for more than twelve 
months?
    54. Must the evaluation procedures and schedules be included as a 
separate item in the IEP?

                      (Other IEP content questions)

    55. Is it permissible for an agency to have the IEP completed when 
the IEP meeting begins?
    56. Is there a prescribed format or length for an IEP?
    57. Is it permissible to consolidate the IEP with the individualized 
service plan developed under another Federal program?
    58. What provisions on confidentiality of information apply to IEPs?

       Sec. 300.348  Private school placements by public agencies

    59. If placement decisions are made at the time the IEP is 
developed, how can a private school representative attend the meeting?

Sec. 300.349  Children with disabilities enrolled in parochial or other 
                             private schools

     Sec. 300.350  Individualized education programs--accountability

    60. Is the IEP a performance contract?

    Authority: Part B of the Individuals with Disabilities Education Act 
(20 U.S.C. 1411-1420), unless otherwise noted.

                Individualized Education Programs (IEPs)

    Interpretation of Requirements of Part B of the Individuals with 
                       Disabilities Education Act

                          I. Purpose of the IEP

    There are two main parts of the IEP requirement, as described in the 
Act and regulations: (1) The IEP meeting(s), where parents and school 
personnel jointly make decisions about an educational program for a 
child with a disability, and (2) the IEP document itself, that is, a 
written record of the decisions reached at the meeting. The overall IEP 
requirement, comprised of these two parts, has a number of purposes and 
functions:
    a. The IEP meeting serves as a communication vehicle between parents 
and school personnel, and enables them, as equal participants, to 
jointly decide what the child's needs are, what services will be 
provided to meet those needs, and what the anticipated outcomes may be.
    b. The IEP process provides an opportunity for resolving any 
differences between the parents and the agency concerning the special 
education needs of a child with a disability; first, through the IEP 
meeting, and second, if necessary, through the procedural protections 
that are available to the parents.
    c. The IEP sets forth in writing a commitment of resources necessary 
to enable a child with a disability to receive needed special education 
and related services.
    d. The IEP is a management tool that is used to ensure that each 
child with a disability is provided special education and related 
services appropriate to the child's special learning needs.
    e. The IEP is a compliance/monitoring document that may be used by 
authorized monitoring personnel from each governmental level to 
determine whether a child with a disability is actually receiving the 
FAPE agreed to by the parents and the school.
    f. The IEP serves as an evaluation device for use in determining the 
extent of the child's progress toward meeting the projected outcomes.

    Note: The Act does not require that teachers or other school 
personnel be held accountable if a child with a disability does not 
achieve the goals and objectives set forth in the IEP. See Sec. 300.350, 
Individualized education program--accountability.

                          II. IEP Requirements

    This part (1) repeats the IEP requirements in Secs. 300.340-300.350 
of the regulations (boxed material), (2) provides additional 
clarification, as necessary, on sections or paragraphs of the 
regulations on which such clarification is needed, and (3) answers some 
questions regarding implementation of the IEP

[[Page 73]]

requirements that are not expressly addressed in the regulations. These 
questions and clarifying information are presented in a question and 
answer format immediately after the particular section of the 
regulations that is presented.

                       Sec. 300.340  Definitions.

    (a) As used in this part, the term individualized education program 
means a written statement for a child with a disability that is 
developed and implemented in accordance with Secs. 300.341-300.350.
    (b) As used in Secs. 300.346 and 300.347, participating agency means 
a State or local agency, other than the public agency responsible for a 
student's education, that is financially and legally responsible for 
providing transition services to the student.

(Authority: 20 U.S.C. 1401(a)(20))

         Sec. 300.341  State educational agency responsibility.

    (a) Public agencies. The SEA shall ensure that each public agency 
develops and implements an IEP for each of its children with 
disabilities.
    (b) Private schools and facilities. The SEA shall ensure that an IEP 
is developed and implemented for each child with a disability who--
    (1) Is placed in or referred to a private school or facility by a 
public agency; or
    (2) Is enrolled in a parochial school or other private school and 
receives special education or related services from a public agency.

(Authority: 20 U.S.C. 1412(4), (6); 1413(a)(4))

    Note: This section applies to all public agencies, including other 
State agencies (e.g., departments of mental health and welfare) that 
provide special education to a child with a disability either directly, 
by contract or through other arrangements. Thus, if a State welfare 
agency contracts with a private school or facility to provide special 
education to a child with a disability, that agency would be responsible 
for ensuring that an IEP is developed for the child.

    1. Who is responsible for ensuring the development of IEPs for 
children with disabilities served by a public agency other than an LEA?
    The answer will vary from State to State, depending upon State law, 
policy, or practice. In each State, however, the SEA is ultimately 
responsible for ensuring that each agency in the State is in compliance 
with the IEP requirements and the other provisions of the Act and 
regulations. (See Sec. 300.600 regarding SEA responsibility for all 
education programs.)
    The SEA must ensure that every child with a disability in the State 
has FAPE available, regardless of which agency, State or local, is 
responsible for the child. While the SEA has flexibility in deciding the 
best means to meet this obligation (e.g., through interagency 
agreements), there can be no failure to provide FAPE due to 
jurisdictional disputes among agencies.

    Note: Section 300.2(b) states that the requirements of the Act and 
regulations apply to all political subdivisions of the State that are 
involved in the education of children with disabilities, including (1) 
the SEA, (2) LEAs, (3) other State agencies (such as Departments of 
Mental Health and Welfare, and State schools for students with deafness 
or students with blindness), and (4) State correctional facilities.

    The following paragraphs outline (1) some of the SEA's 
responsibilities for developing policies or agreements under a variety 
of interagency situations, and (2) some of the responsibilities of an 
LEA when it initiates the placement of a child with a disability in a 
school or program operated by another State agency:
    a. SEA POLICIES OR INTERAGENCY AGREEMENTS. The SEA, through its 
written policies or agreements, must ensure that IEPs are properly 
written and implemented for all children with disabilities in the State. 
This applies to each interagency situation that exists in the State, 
including any of the following:
    (1) When an LEA initiates the placement of a child in a school or 
program operated by another State agency (see ``LEA-Initiated 
Placements'' in paragraph ``b'', below); (2) when a State or local 
agency other than the SEA or LEA places a child in a residential 
facility or other program; (3) when parents initiate placements in 
public institutions; and (4) when the courts make placements in 
correctional facilities.

    Note: This is not an exhaustive list. The SEA's policies must cover 
any other interagency situation that is applicable in the State, 
including placements that are made for both educational and for non-
educational purposes.

    Frequently, more than one agency is involved in developing or 
implementing an IEP of a child with a disability (e.g., when the LEA 
remains responsible for the child, even though another public agency 
provides the special education and related services, or when there are 
shared cost arrangements). It is important that SEA policies or 
agreements define the role of each agency involved in the situations 
described above, in order to resolve any jurisdictional problems that 
could delay the provision of FAPE to a child with a disability. For 
example, if a child is placed in a residential facility, any one or all 
of the following agencies might be involved in the development and/or 
implementation of the child's IEP: The child's

[[Page 74]]

LEA, the SEA, another State agency, an institution or school under that 
agency, and the LEA where the institution is located.

    Note: The SEA must also ensure that any agency involved in the 
education of a child with a disability is in compliance with the LRE 
provisions of the Act and regulations, and, specifically, with the 
requirement that the placement of each child with a disability (1) be 
determined at least annually, (2) be based on the child's IEP, and (3) 
be as close as possible to the child's home (Sec. 300.552(a), 
Placements.)

    b. LEA-INITIATED PLACEMENTS. When an LEA is responsible for the 
education of a child with a disability, the LEA is also responsible for 
developing the child's IEP. The LEA has this responsibility even if 
development of the IEP results in placement in a State-operated school 
or program.

    Note: The IEP must be developed before the child is placed. (See 
Question 5, below.) When placement in a State-operated school is 
necessary, the affected State agency or agencies must be involved by the 
LEA in the development of the IEP. (See response to Question 59, below, 
regarding participation of a private school representative at the IEP 
meeting.)

    After the child enters the State school, meetings to review or 
revise the child's IEP could be conducted by either the LEA or the State 
school, depending upon State law, policy, or practice. However, both 
agencies should be involved in any decisions made about the child's IEP 
(either by attending the IEP meetings, or through correspondence or 
telephone calls). There must be a clear decision, based on State law, as 
to whether responsibility for the child's education is transferred to 
the State school or remains with the LEA, since this decision determines 
which agency is responsible for reviewing or revising the child's IEP.
    2. For a child placed out of State by a public agency, is the 
placing or receiving State responsible for the child's IEP?
    The ``placing'' State is responsible for developing the child's IEP 
and ensuring that it is implemented. The determination of the specific 
agency in the placing State that is responsible for the child's IEP 
would be based on State law, policy, or practice. However, as indicated 
in Question 1, above, the SEA in the placing State is responsible for 
ensuring that the child has FAPE available.

 Sec. 300.342  When individualized education programs must be in effect.

    (a) At the beginning of each school year, each public agency shall 
have in effect an IEP for every child with a disability who is receiving 
special education from that agency.
    (b) An IEP must--
    (1) Be in effect before special education and related services are 
provided to a child; and
    (2) Be implemented as soon as possible following the meetings under 
Sec. 300.343.

(Authority: 20 U.S.C. 1412(2)(B), (4), (6); 1414(a)(5); Pub. L. 94-142, 
sec. 8(c) (1975))

    Note: Under paragraph (b)(2) of this section, it is expected that 
the IEP of a child with a disability will be implemented immediately 
following the meetings under Sec. 300.343. An exception to this would be 
(1) when the meetings occur during the summer or a vacation period, or 
(2) where there are circumstances that require a short delay (e.g., 
working out transportation arrangements). However, there can be no undue 
delay in providing special education and related services to the child.

    3. In requiring that an IEP be in effect before special education 
and related services are provided, what does ``be in effect'' mean?
    As used in the regulations, the term be in effect means that the IEP 
(1) has been developed properly (i.e., at a meeting(s) involving all of 
the participants specified in the Act (parent, teacher, agency 
representative, and, if appropriate, the child)); (2) is regarded by 
both the parents and agency as appropriate in terms of the child's 
needs, specified goals and objectives, and the services to be provided; 
and (3) will be implemented as written.
    4. How much of a delay is permissible between the time an IEP of a 
child with a disability is finalized and when special education is 
provided?
    In general, no delay is permissible. It is expected that the special 
education and related services set out in a child's IEP will be provided 
by the agency beginning immediately after the IEP is finalized. The Note 
following Sec. 300.342 identifies some exceptions ((1) when the meetings 
occur during the summer or other vacation period, or (2) when there are 
circumstances that require a short delay, such as working out 
transportation arrangements). However, unless otherwise specified in the 
IEP, the IEP services must be provided as soon as possible following the 
meeting.

    Note: Section 300.346(a)(4) requires that the IEP include the 
projected dates for initiation of services.

    5. For a child with a disability receiving special education for the 
first time, when must an IEP be developed -- before placement or after 
placement?
    An IEP must be in effect before special education and related 
services are provided to a child. (Sec. 300.342(b)(1), emphasis added.) 
The appropriate placement for a given child with a disability cannot be 
determined until after decisions have been made about what the child's 
needs are and what will be provided. Since these decisions are made at 
the IEP meeting, it would not be permissible to

[[Page 75]]

first place the child and then develop the IEP. Therefore, the IEP must 
be developed before placement. The above requirement does not preclude 
temporarily placing an eligible child with a disability in a program as 
part of the evaluation process--before the IEP is finalized--to aid in 
determining the most appropriate placement for the child. It is 
essential that the temporary placement not become the final placement 
before the IEP is finalized. In order to ensure that this does not 
happen, the State might consider requiring LEAs to take the following 
actions:
    a. Develop an interim IEP for the child that sets out the specific 
conditions and timelines for the trial placement. (See paragraph ``c'', 
below.)
    b. Ensure that the parents agree to the interim placement before it 
is carried out, and that they are involved throughout the process of 
developing, reviewing, and revising the child's IEP.
    c. Set a specific timeline (e.g., 30 days) for completing the 
evaluation and making judgments about the most appropriate placement for 
the child.
    d. Conduct an IEP meeting at the end of the trial period in order to 
finalize the child's IEP.
    Note: Once the IEP of the child with a disability is in effect and 
the child is placed in a special education program, the teacher might 
develop detailed lesson plans or objectives based on the IEP. However, 
these lesson plans and objectives are not required to be a part of the 
IEP itself. (See Questions 3743, below, regarding IEP goals and 
objectives.)

    6. If a child with a disability has been receiving special education 
in one LEA and moves to another community, must the new LEA hold an IEP 
meeting before the child is placed in a special education program?
    It would not be necessary for the new LEA to conduct an IEP meeting 
if:
    (1) A copy of the child's current IEP is available; (2) the parents 
indicate that they are satisfied with the current IEP; and (3) the new 
LEA determines that the current IEP is appropriate and can be 
implemented as written.
    If the child's current IEP is not available, or if either the LEA or 
the parent believes that it is not appropriate, an IEP meeting would 
have to be conducted. This meeting should take place within a short time 
after the child enrolls in the new LEA (normally, within one week).

    Note: The child must be placed in a special education program 
immediately after the IEP is finalized. (See Question 4, above.)

    If the LEA or the parents believe that additional information is 
needed (e.g., the school records from the former LEA) or that a new 
evaluation is necessary before a final placement decision can be made, 
it would be permissible to temporarily place the child in an interim 
program before the IEP is finalized. (See Question 5, above.)

                         Sec. 300.343  Meetings.

    (a) General. Each public agency is responsible for initiating and 
conducting meetings for the purpose of developing, reviewing, and 
revising the IEP of a child with a disability (or, if consistent with 
State policy and at the discretion of the LEA, and with the concurrence 
of the parents, an individualized family service plan described in 
section 677(d) of the Act for each child with a disability, aged 3 
through 5).
    (b) [Reserved]
    (c) Timeline. A meeting to develop an IEP for a child must be held 
within 30 calendar days of a determination that the child needs special 
education and related services.
    (d) Review. Each public agency shall initiate and conduct meetings 
to review each child's IEP periodically and, if appropriate, revise its 
provisions. A meeting must be held for this purpose at least once a 
year.

(Authority: 20 U.S.C. 1412(2)(B), (4), (6); 1414(a)(5))

    Note: The date on which agencies must have IEPs in effect is 
specified in Sec. 300.342 (the beginning of each school year). However, 
except for new children with disabilities (i.e., those evaluated and 
determined to need special education and related services for the first 
time), the timing of meetings to develop, review, and revise IEPs is 
left to the discretion of each agency. In order to have IEPs in effect 
at the beginning of the school year, agencies could hold meetings either 
at the end of the preceding school year or during the summer prior to 
the next school year. Meetings may be held any time throughout the year, 
as long as IEPs are in effect at the beginning of each school year.

    The statute requires agencies to hold a meeting at least once each 
year in order to review and, if appropriate, revise each child's IEP. 
The timing of those meetings could be on the anniversary date of the 
child's last IEP meeting, but this is left to the discretion of the 
agency.

    7. What is the purpose of the 30 day timeline in Sec. 300.343(c)?
    The 30 day timeline in Sec. 300.343(c) ensures that there will not 
be a significant delay between the time a child is evaluated and when 
the child begins to receive special education. Once it is determined--
through the evaluation--that a child has a disability, the public agency 
has up to 30 days to hold an IEP meeting.

    Note: See Questions 4 and 5, above, regarding finalization of IEP 
and placement of the child.

[[Page 76]]

    8. Must the agency hold a separate meeting to determine a child's 
eligibility for special education and related services, or can this step 
be combined with the IEP meeting?
    Paragraph (e) of Sec. 300.532 (Evaluation procedures) provides that 
the evaluation of each child with a disability must be ``made by a 
multidisciplinary team or group of persons * * *''. The decisions 
regarding (1) whether the team members actually meet together, and (2) 
whether such meetings are separate from the IEP meeting are matters that 
are left to the discretion of State or local agencies.
    In practice, some agencies hold separate eligibility meetings with 
the multidisciplinary team before the IEP meeting.

    Note: When separate meetings are conducted, placement decisions 
would be made at the IEP meeting. However, placement options could be 
discussed at the eligibility meeting.

    Other agencies combine the two steps into one. If a combined meeting 
is conducted, the public agency must include the parents as participants 
at the meeting. (See Sec. 300.345 for requirements on parent 
participation.)

    Note: If, at a separate eligibility meeting, a decision is made that 
a child is not eligible for special education, the parents should be 
notified about the decision.

    9. Must IEPs be reviewed or revised at the beginning of each school 
year?
    No. The basic requirement in the regulations is that IEPs must be in 
effect at the beginning of each school year. Meetings must be conducted 
at least once each year to review and, if necessary, revise the IEP of 
each child with a disability. However, the meetings may be held anytime 
during the year, including (1) at the end of the school year, (2) during 
the summer, before the new school year begins, or (3) on the anniversary 
date of the last IEP meeting on the child.
    10. How frequently must IEP meetings be held and how long should 
they be?
    Section 614(a)(5) of the Act provides that each public agency must 
hold meetings periodically, but not less than annually, to review each 
child's IEP and, if appropriate, revise its provisions. The legislative 
history of the Act makes it clear that there should be as many meetings 
a year as any one child may need. (121 Cong. Rec. S20428-29 (Nov. 19, 
1975) (remarks of Senator Stafford))
    There is no prescribed length for IEP meetings. In general, meetings 
(1) will be longer for initial placements and for children who require a 
variety of complex services, and (2) will be shorter for continuing 
placements and for children who require only a minimum amount of 
services. In any event, however, it is expected that agencies will allow 
sufficient time at the meetings to ensure meaningful parent 
participation.
    11. Who can initiate IEP meetings?
    IEP meetings are initiated and conducted at the discretion of the 
public agency. However, if the parents of a child with a disability 
believe that the child is not progressing satisfactorily or that there 
is a problem with the child's current IEP, it would be appropriate for 
the parents to request an IEP meeting. The public agency should grant 
any reasonable request for such a meeting.

    Note: Under Sec. 300.506(a), the parents or agency may initiate a 
due process hearing at any time regarding any matter related to the 
child's IEP.
    If a child's teacher(s) feels that the child's placement or IEP 
services are not appropriate to the child, the teacher(s) should follow 
agency procedures with respect to (1) calling or meeting with the 
parents and/or (2) requesting the agency to hold another meeting to 
review the child's IEP.
    12. May IEP meetings be tape-recorded?
    The use of tape recorders at IEP meetings is not addressed by either 
the Act or the regulations. Although taping is clearly not required, it 
is permissible at the option of either the parents or the agency. 
However, if the recording is maintained by the agency, it is an 
education record, within the meaning of the Family Educational Rights 
and Privacy Act (``FERPA''; 20 U.S.C. 1232g), and would, therefore, be 
subject to the confidentiality requirements of the regulations under 
both FERPA (34 CFR part 99) and part B (34 CFR Secs. 300.560-300.575).

                 Sec. 300.344  Participants in meetings.

    (a) General. The public agency shall ensure that each meeting 
includes the following participants:
    (1) A representative of the public agency, other than the child's 
teacher, who is qualified to provide, or supervise the provision of, 
special education.
    (2) The child's teacher.
    (3) One or both of the child's parents, subject to Sec. 300.345.
    (4) The child, if appropriate.
    (5) Other individuals at the discretion of the parent or agency.
    (b) Evaluation personnel. For a child with a disability who has been 
evaluated for the first time, the public agency shall ensure--
    (1) That a member of the evaluation team participates in the 
meeting; or
    (2) That the representative of the public agency, the child's 
teacher, or some other person is present at the meeting, who is 
knowledgeable about the evaluation procedures used with the child and is 
familiar with the results of the evaluation.
    (c) Transition services participants. (1) If a purpose of the 
meeting is the consideration of transition services for a student, the 
public agency shall invite--
    (i) The student; and

[[Page 77]]

    (ii) A representative of any other agency that is likely to be 
responsible for providing or paying for transition services.
    (2) If the student does not attend, the public agency shall take 
other steps to ensure that the student's preferences and interests are 
considered; and
    (3) If an agency invited to send a representative to a meeting does 
not do so, the public agency shall take other steps to obtain the 
participation of the other agency in the planning of any transition 
services.

(Authority: 20 U.S.C. 1401 (a)(19), (a)(20); 1412(2)(B), (4), (6); 
1414(a)(5))

    Note 1: In deciding which teacher will participate in meetings on a 
child's IEP, the agency may wish to consider the following 
possibilities:
    (a) For a child with a disability who is receiving special 
education, the teacher could be the child's special education teacher. 
If the child's disability is a speech impairment, the teacher could be 
the speech-language pathologist.
    (b) For a child with a disability who is being considered for 
placement in special education, the teacher could be the child's regular 
teacher, or a teacher qualified to provide education in the type of 
program in which the child may be placed, or both.
    (c) If the child is not in school or has more than one teacher, the 
agency may designate which teacher will participate in the meeting.

    Either the teacher or the agency representative should be qualified 
in the area of the child's suspected disability.
    For a child whose primary disability is a speech or language 
impairment, the evaluation personnel participating under paragraph 
(b)(1) of this section would normally be the speech-language 
pathologist.

    Note 2: Under paragraph (c), the public agency is required to invite 
each student to participate in his or her IEP meeting, if a purpose of 
the meeting is the consideration of transition services for the student. 
For all students who are 16 years of age or older, one of the purposes 
of the annual meeting will always be the planning of transition 
services, since transition services are a required component of the IEP 
for these students.

    For a student younger than age 16, if transition services are 
initially discussed at a meeting that does not include the student, the 
public agency is responsible for ensuring that, before a decision about 
transition services for the student is made, a subsequent IEP meeting is 
conducted for that purpose, and the student is invited to the meeting.

    13. Who can serve as the representative of the public agency at an 
IEP meeting?
    The representative of the public agency could be any member of the 
school staff, other than the child's teacher, who is qualified to 
provide, or supervise the provision of, specially designed instruction 
to meet the unique needs of children with disabilities. (Section 
602(a)(20) of the Act.) Thus, the agency representative could be (1) a 
qualified special education administrator, supervisor, or teacher 
(including a speech-language pathologist), or (2) a school principal or 
other administrator--if the person is qualified to provide, or supervise 
the provision of, special education.
    Each State or local agency may determine which specific staff member 
will serve as the agency representative. However, the representative 
should be able to ensure that whatever services are set out in the IEP 
will actually be provided and that the IEP will not be vetoed at a 
higher administrative level within the agency. Thus, the person selected 
should have the authority to commit agency resources (i.e., to make 
decisions about the specific special education and related services that 
the agency will provide to a particular child).
    For a child with a disability who requires only a limited amount of 
special education, the agency representative able to commit appropriate 
resources could be a special education teacher, or a speech-language 
pathologist, other than the child's teacher. For a child who requires 
extensive special education and related services, the agency 
representative might need to be a key administrator in the agency.

    Note: IEP meetings for continuing placements could be more routine 
than those for initial placements, and, thus, might not require the 
participation of a key administrator.

    14. Who is the representative of the public agency if a child with a 
disability is served by a public agency other than the SEA or LEA?
    The answer depends on which agency is responsible, under State law, 
policy, or practice, for any one or all of the following:
    (1) The child's education, (2) placing the child, and (3) providing 
(or paying for the provision of) special education and related services 
to the child.
    In general, the agency representative at the IEP meeting would be a 
member of the agency or institution that is responsible for the child's 
education. For example, if a State agency (1) places a child in an 
institution, (2) is responsible under State law for the child's 
education, and (3) has a qualified special education staff at the 
institution, then a member of the institution's staff would be the 
agency representative at the IEP meetings.
    Sometimes there is no special education staff at the institution, 
and the children are served by special education personnel from the LEA 
where the institution is located. In this situation, a member of the LEA 
staff

[[Page 78]]

would usually serve as the agency representative.

    Note: In situations where the LEA places a child in an institution, 
paragraph ``b'' of the response to Question 1, above, would apply.

    15. For a child with a disability being considered for initial 
placement in special education, which teacher should attend the IEP 
meeting?
    The teacher could be either (1) a teacher qualified to provide 
special education in the child's area of suspected disability, or (2) 
the child's regular teacher. At the option of the agency, both teachers 
could attend. In any event, there should be at least one member of the 
school staff at the meeting (e.g., the agency representative or the 
teacher) who is qualified in the child's area of suspected disability.

    Note: Sometimes more than one meeting is necessary in order to 
finalize a child's IEP. If, in this process, the special education 
teacher who will be working with the child is identified, it would be 
useful to have that teacher participate in the meeting with the parents 
and other members of the IEP team in finalizing the IEP. When this is 
not possible, the agency should ensure that the teacher is given a copy 
of the child's IEP as soon as possible after the IEP is finalized and 
before the teacher begins working with the child.

    16. If a child with a disability is enrolled in both regular and 
special education classes, which teacher should attend the IEP meeting?
    In general, the teacher at the IEP meeting should be the child's 
special education teacher. At the option of the agency or the parent, 
the child's regular teacher also might attend. If the regular teacher 
does not attend, the agency should either provide the regular teacher 
with a copy of the IEP or inform the regular teacher of its contents. 
Moreover, the agency should ensure that the special education teacher, 
or other appropriate support person, is able, as necessary, to consult 
with and be a resource to the child's regular teacher.
    17. If a child with a disability in high school attends several 
regular classes, must all of the child's regular teachers attend the IEP 
meeting?
    No. Only one teacher must attend. However, at the option of the LEA, 
additional teachers of the child may attend. The following points should 
be considered in making this decision:
    a. Generally, the number of participants at IEP meetings should be 
small. Small meetings have several advantages over large ones. For 
example, they (1) allow for more open, active parent involvement, (2) 
are less costly, (3) are easier to arrange and conduct, and (4) are 
usually more productive.
    b. While large meetings are generally inappropriate, there may be 
specific circumstances where the participation of additional staff would 
be beneficial. When the participation of the regular teachers is 
considered by the agency or the parents to be beneficial to the child's 
success in school (e.g., in terms of the child's participation in the 
regular education program), it would be appropriate for them to attend 
the meeting.
    c. Although the child's regular teachers would not routinely attend 
IEP meetings, they should either (1) be informed about the child's IEP 
by the special education teacher or agency representative, and/or (2) 
receive a copy of the IEP itself.
    18. If a child's primary disability is a speech impairment, must the 
child's regular teacher attend the IEP meeting?
    No. A speech-language pathologist would usually serve as the child's 
teacher for purposes of the IEP meeting. The regular teacher could also 
attend at the option of the school.
    19. If a child is enrolled in a special education class because of a 
primary disability, and also receives speech-language pathology 
services, must both specialists attend the IEP meeting?
    No. It is not required that both attend. The special education 
teacher would attend the meeting as the child's teacher. The speech-
language pathologist could either (1) participate in the meeting itself, 
or (2) provide a written recommendation concerning the nature, 
frequency, and amount of services to be provided to the child.
    20. When may representatives of teacher organizations attend IEP 
meetings?
    Under the Family Educational Rights and Privacy Act (``FERPA''; 20 
U.S.C. 1232g) and implementing regulations (34 CFR part 99) and the 
confidentiality requirements of part B, officials of teacher 
organizations may not attend IEP meetings if personally identifiable 
information from the student's education records is discussed--except 
with the prior written consent of the parents. (See 34 CFR 99.30(a) and 
300.571(a)(1).)
    In addition, part B does not provide for the participation of 
representatives of teacher organizations at IEP meetings. The 
legislative history of the Act makes it clear that attendance at IEP 
meetings should be limited to those who have an intense interest in the 
child. (121 Cong. Rec. S10974 (June 18, 1975) (remarks of Sen. 
Randolph).) Since a representative of a teacher organization would be 
concerned with the interests of the teacher rather than the interests of 
the child, it would be inappropriate for such an official to attend an 
IEP meeting.
    21. When may a child with a disability attend an IEP meeting?
    Generally, a child with a disability should attend the IEP meeting 
whenever the parent decides that it is appropriate for the child to

[[Page 79]]

do so. Whenever possible, the agency and parents should discuss the 
appropriateness of the child's participation before a decision is made, 
in order to help the parents determine whether or not the child's 
attendance will be (1) helpful in developing the IEP and/or (2) directly 
beneficial to the child. The agency should inform the parents before 
each IEP meeting--as part of the notice of meeting required under 
Sec. 300.345(b)--that they may invite their child to participate.

    Note: The parents and agency should encourage older children with 
disabilities (particularly those at the secondary school level) to 
participate in their IEP meetings.

    22. Do the parents of a student with a disability retain the right 
to attend the IEP meeting when the student reaches the age of majority?
    The Act is silent concerning any modification of the rights of the 
parents of a student with a disability when the student reaches the age 
of majority.
    23. Must related services personnel attend IEP meetings?
    No. It is not required that they attend. However, if a child with a 
disability has an identified need for related services, it would be 
appropriate for the related services personnel to attend the meeting or 
otherwise be involved in developing the IEP. For example, when the 
child's evaluation indicates the need for a specific related service 
(e.g., physical therapy, occupational therapy, or counseling), the 
agency should ensure that a qualified provider of that service either 
(1) attends the IEP meeting, or (2) provides a written recommendation 
concerning the nature, frequency, and amount of service to be provided 
to the child.

    Note: This written recommendation could be a part of the evaluation 
report.

    24. Are agencies required to use a case manager in the development 
of the IEP of a child with a disability?
    No. However, some agencies have found it helpful to have a special 
educator or some other school staff member (e.g., a social worker, 
counselor, or psychologist) serve as coordinator or case manager of the 
IEP process for an individual child or for all children with 
disabilities served by the agency. Examples of the kinds of activities 
that case managers might carry out are (1) coordinating the 
multidisciplinary evaluation; (2) collecting and synthesizing the 
evaluation reports and other relevant information about a child that 
might be needed at the IEP meeting; (3) communicating with the parents; 
and (4) participating in, or conducting, the IEP meeting itself.
    25. For a child with a suspected speech impairment, who must 
represent the evaluation team at the IEP meeting?
    No specific person must represent the evaluation team. However, a 
speech-language pathologist would normally be the most appropriate 
representative. For many children whose primary disability is a speech 
impairment, there may be no other evaluation personnel involved. The 
note following Sec. 300.532 (Evaluation procedures) states:
    Children who have a speech impairment as their primary disability 
may not need a complete battery of assessments (e.g., psychological, 
physical, or adaptive behavior). However, a qualified speech-language 
pathologist would (1) evaluate each child with a speech impairment using 
procedures that are appropriate for the diagnosis and appraisal of 
speech and language impairments, and (2) if necessary, make referrals 
for additional assessments needed to make an appropriate placement 
decision.
________________________________________________________________________

                   Sec. 300.345  Parent participation.

    (a) Each public agency shall take steps to ensure that one or both 
of the parents of the child with a disability are present at each 
meeting or are afforded the opportunity to participate, including--
    (1) Notifying parents of the meeting early enough to ensure that 
they will have an opportunity to attend; and
    (2) Scheduling the meeting at a mutually agreed on time and place.
    (b)(1) The notice under paragraph (a)(1) of this section must 
indicate the purpose, time, and location of the meeting and who will be 
in attendance;
    (2) If a purpose of the meeting is the consideration of transition 
services for a student, the notice must also--
    (i) Indicate this purpose;
    (ii) Indicate that the agency will invite the student; and
    (iii) Identify any other agency that will be invited to send a 
representative.
    (c) If neither parent can attend, the public agency shall use other 
methods to ensure parent participation, including individual or 
conference telephone calls.
    (d) A meeting may be conducted without a parent in attendance if the 
public agency is unable to convince the parents that they should attend. 
In this case the public agency must have a record of its attempts to 
arrange a mutually agreed on time and place such as--
    (1) Detailed records of telephone calls made or attempted and the 
results of those calls;
    (2) Copies of correspondence sent to the parents and any responses 
received; and
    (3) Detailed records of visits made to the parent's home or place of 
employment and the results of those visits.
    (e) The public agency shall take whatever action is necessary to 
ensure that the parent understands the proceedings at a meeting, 
including arranging for an interpreter for

[[Page 80]]

parents with deafness or whose native language is other than English.
    (f) The public agency shall give the parent, on request, a copy of 
the IEP.

(Authority: 20 U.S.C. 1401(a)(20); 1412 (2)(B), (4), (6); 1414(a)(5))

    Note: The notice in paragraph (a) of this section could also inform 
parents that they may bring other people to the meeting. As indicated in 
paragraph (c) of this section, the procedure used to notify parents 
(whether oral or written or both) is left to the discretion of the 
agency, but the agency must keep a record of its efforts to contact 
parents.
________________________________________________________________________
    26. What is the role of the parents at an IEP meeting? The parents 
of a child with a disability are expected to be equal participants along 
with school personnel, in developing, reviewing, and revising the 
child's IEP. This is an active role in which the parents (1) participate 
in the discussion about the child's need for special education and 
related services, and (2) join with the other participants in deciding 
what services the agency will provide to the child.

    Note: In some instances, parents might elect to bring another 
participant to the meeting, e.g., a friend or neighbor, someone outside 
of the agency who is familiar with applicable laws and with the child's 
needs, or a specialist who conducted an independent evaluation of the 
child.

    27. What is the role of a surrogate parent at an IEP meeting?
    A surrogate parent is a person appointed to represent the interests 
of a child with a disability in the educational decision-making process 
when that child has no other parent representation. The surrogate has 
all of the rights and responsibilities of a parent under part B. Thus, 
the surrogate parent is entitled to (1) participate in the child's IEP 
meeting, (2) see the child's education records, and (3) receive notice, 
grant consent, and invoke due process to resolve differences. (See 
Sec. 300.514, Surrogate parents.)
    28. Must the public agency let the parents know who will be at the 
IEP meeting?
    Yes. In notifying parents about the meeting, the agency ``must 
indicate the purpose, time, and location of the meeting, and who will be 
in attendance.'' (Sec. 300.345(b), emphasis added.) If possible, the 
agency should give the name and position of each person who will attend. 
In addition, the agency should inform the parents of their right to 
bring other participants to the meeting. (See Question 21, above, 
regarding participation of the child.) It is also appropriate for the 
agency to ask whether the parents intend to bring a participant to the 
meeting.
    29. Are parents required to sign IEPs? Parent signatures are not 
required by either the Act or regulations. However, having such 
signatures is considered by parents, advocates, and public agency 
personnel to be useful.
    The following are some of the ways that IEPs signed by parents and/
or agency personnel might be used:
    a. A signed IEP is one way to document who attended the meeting.

    Note: This is useful for monitoring and compliance purposes.

    If signatures are not used, the agency must document attendance in 
some other way.
    b. An IEP signed by the parents is one way to indicate that the 
parents approved the child's special education program.

    Note: If, after signing, the parents feel that a change is needed in 
the IEP, it would be appropriate for them to request another meeting. 
See Question 11, above.

    c. An IEP signed by an agency representative provides the parents a 
signed record of the services that the agency has agreed to provide.

    Note: Even if the school personnel do not sign, the agency still 
must provide, or ensure the provision of, the services called for in the 
IEP.

    30. If the parent signs the IEP, does the signature indicate consent 
for initial placement?
    The parent's signature on the IEP would satisfy the consent 
requirement concerning initial placement of the child 
(Sec. 300.504(b)(1)(ii)) only if the IEP includes a statement on initial 
placement that meets the definition of consent in Sec. 300.500:
    Consent means that: (a) the parent has been fully informed of all 
information relevant to the activity for which consent is sought * * *
    (b) The parent understands and agrees in writing to the carrying out 
of the activity for which his or her consent is sought, and the consent 
describes that activity and lists the records (if any) that will be 
released and to whom; and
    (c) The parent understands that the granting of consent is voluntary 
* * * and may be revoked at any time.
    31. Do parents have the right to a copy of their child's IEP?
    Yes. Section 300.345(f) states that the public agency shall give the 
parent, on request, a copy of the IEP. In order that parents may know 
about this provision, it is recommended that they be informed about it 
at the IEP meeting and/or receive a copy of the IEP itself within a 
reasonable time following the meeting.
    32. Must parents be informed at the IEP meeting of their right to 
appeal?
    If the agency has already informed the parents of their right to 
appeal, as it is required to do under the prior notice provisions of the 
regulations (Secs. 300.504-300.505), it would not

[[Page 81]]

be necessary for the agency to do so again at the IEP meeting.
    Section 300.504(a) of the regulations states that ``written notice 
that meets the requirements under Sec. 300.505 must be given to parents 
a reasonable time'' before the public agency proposes or refuses ``to 
initiate or change the identification, evaluation, or educational 
placement of the child or the provision of FAPE to the child.''
    Section 300.505(a) states that the notice must include ``(1) A full 
explanation of all of the procedural safeguards available to the parents 
under Sec. 300.500, Secs. 300.502-300.515, and Secs. 300.562-300.569.''
    The IEP meeting serves as a communication vehicle between parents 
and school personnel, and enables them, as equal participants, to 
jointly decide upon what the child's needs are, what will be provided, 
and what the anticipated outcomes may be. If, during the IEP meeting, 
parents and school staff are unable to reach agreement, the agency 
should remind the parents that they may seek to resolve their 
differences through the due process procedures under the Act.

    Note: Section 300.506(a) states that ``a parent or public 
educational agency may initiate a hearing on any matters described in 
Sec. 300.504(a) (1) and (2).''

    Every effort should be made to resolve differences between parents 
and school staff without resort to a due process hearing (i.e., through 
voluntary mediation or some other informal step). However, mediation or 
other informal procedures may not be used to deny or delay a parent's 
right to a due process hearing. (See Sec. 300.506. Impartial due process 
hearing.)
    33. Does the IEP include ways for parents to check the progress of 
their children?
    In general, the answer is yes. The IEP document is a written record 
of decisions jointly made by parents and school personnel at the IEP 
meeting regarding the special education program of a child with a 
disability. That record includes agreed upon items, such as goals and 
objectives, and the specific special education and related services to 
be provided to the child.
    The goals and objectives in the IEP should be helpful to both 
parents and school personnel, in a general way, in checking on a child's 
progress in the special education program. (See Questions 37-43, below, 
regarding goals and objectives in the IEP.) However, since the IEP is 
not intended to include the specifics about a child's total educational 
program that are found in daily, weekly, or monthly instructional plans, 
parents will often need to obtain more specific, on-going information 
about the child's progress--through parent-teacher conferences, report 
cards and other reporting procedures ordinarily used by the agency.
    34. Must IEPs include specific checkpoint intervals for parents to 
confer with teachers and to revise or update their children's IEPs?
    No. The IEP of a child with a disability is not required to include 
specific ``checkpoint intervals'' (i.e., meeting dates) for reviewing 
the child's progress. However, in individual situations, specific 
meeting dates could be designated in the IEP, if the parents and school 
personnel believe that it would be helpful to do so.
    Although meeting dates are not required to be set out in the IEP 
itself, there are specific provisions in the regulations and in this 
document regarding agency responsibilities in initiating IEP meetings, 
including the following:
    (1) Public agencies must hold meetings periodically, but not less 
than annually, to review, and if appropriate, revise, each child's IEP 
(Sec. 300.343(d)); (2) there should be as many meetings a year as the 
child needs (see Question 10, above); and (3) agencies should grant any 
reasonable parental request for an IEP meeting (see Question 11, above).
    In addition to the above provisions, it is expected that, through an 
agency's general reporting procedures for all children in school, there 
will be specific designated times for parents to review their children's 
progress (e.g., through periodic parent-teacher conferences, and/or the 
use of report cards, letters, or other reporting devices).
    35. If the parents and agency are unable to reach agreement at an 
IEP meeting, what steps should be followed until agreement is reached?
    As a general rule, the agency and parents would agree to an interim 
course of action for serving the child (i.e., in terms of placement and/
or services) to be followed until the area of disagreement over the IEP 
is resolved. The manner in which this interim measure is developed and 
agreed to by both parties is left to the discretion of the individual 
State or local agency. However, if the parents and agency cannot agree 
on an interim measure, the child's last agreed upon IEP would remain in 
effect in the areas of disagreement until the disagreement is resolved. 
The following may be helpful to agencies if there are disagreements:
    a. There may be instances where the parents and agency are in 
agreement about the basic IEP services (e.g., the child's placement and/
or the special education services), but disagree about the provision of 
a particular related service (i.e., whether the service is needed and/or 
the amount to be provided). In such cases, it is recommended (1) that 
the IEP be implemented in all areas where there is agreement, (2) that 
the document indicate the points of disagreement, and (3) that 
procedures be initiated to resolve the disagreement.
    b. Sometimes the disagreement is with the placement or kind of 
special education to be

[[Page 82]]

provided (e.g., one party proposes a self-contained placement, and the 
other proposes resource room services). In such cases, the agency might, 
for example, carry out any one or all of the following steps:
    (1) Remind the parents that they may resolve their differences 
through the due process procedures under part B; (2) work with the 
parents to develop an interim course of action (in terms of placement 
and/or services) that both parties can agree to until resolution is 
reached; and (3) recommend the use of mediation, or some other informal 
procedure for resolving the differences without going to a due process 
hearing. (See Question 32, above, regarding the right to appeal.)
    c. If, because of the disagreement over the IEP, a hearing is 
initiated by either the parents or agency, the agency may not change the 
child's placement unless the parents and agency agree otherwise. (See 
Sec. 300.513, Child's status during proceedings.) The following two 
examples are related to this requirement:
    (1) A child in the regular fourth grade has been evaluated and found 
to be eligible for special education. The agency and parents agree that 
the child has a specific learning disability. However, one party 
proposes placement in a self-contained program, and the other proposes 
placement in a resource room. Agreement cannot be reached, and a due 
process hearing is initiated. Unless the parents and agency agree 
otherwise, the child would remain in the regular fourth grade until the 
issue is resolved.
    On the other hand, since the child's need for special education is 
not in question, both parties might agree--as an interim measure--(1) to 
temporarily place the child in either one of the programs proposed at 
the meeting (self-contained program or resource room), or (2) to serve 
the child through some other temporary arrangement.
    (2) A child with a disability is currently receiving special 
education under an existing IEP. A due process hearing has been 
initiated regarding an alternative special education placement for the 
child. Unless the parents and agency agree otherwise, the child would 
remain in the current placement. In this situation, the child's IEP 
could be revised, as necessary, and implemented in all of the areas 
agreed to by the parents and agency, while the area of disagreement 
(i.e., the child's placement) is being settled through due process.

    Note: If the due process hearing concerns whether or not a 
particular service should continue to be provided under the IEP (e.g., 
physical therapy), that service would continue to be provided to the 
child under the IEP that was in effect at the time the hearing was 
initiated, (1) unless the parents and agency agree to a change in the 
services, or (2) until the issue is resolved.

       Sec. 300.346  Content of individualized education program.

    (a) General. The IEP for each child must include--
    (1) A statement of the child's present levels of educational 
performance;
    (2) A statement of annual goals, including short-term instructional 
objectives;
    (3) A statement of the specific special education and related 
services to be provided to the child and the extent that the child will 
be able to participate in regular educational programs;
    (4) The projected dates for initiation of services and the 
anticipated duration of the services; and
    (5) Appropriate objective criteria and evaluation procedures and 
schedules for determining, on at least an annual basis, whether the 
short term instructional objectives are being achieved.
    (b) Transition services. (1) The IEP for each student, beginning no 
later than age 16 (and at a younger age, if determined appropriate), 
must include a statement of the needed transition services as defined in 
Sec. 300.18, including, if appropriate, a statement of each public 
agency's and each participating agency's responsibilities or linkages, 
or both, before the student leaves the school setting.
    (2) If the IEP team determines that services are not needed in one 
or more of the areas specified in Sec. 300.18(b)(2)(i) through 
(b)(2)(iii), the IEP must include a statement to that effect and the 
basis upon which the determination was made.

(Authority: 20 U.S.C. 1401(a)(19), (a)(20); 1412(2)(B), (4), (6); 
1414(a)(5))

    Note 1: The legislative history of the transition services 
provisions of the Act suggests that the statement of needed transition 
services referred to in paragraph (b) of this section should include a 
commitment by any participating agency to meet any financial 
responsibility it may have in the provision of transition services. See 
House Report No. 101-544, p. 11 (1990).

    Note 2: With respect to the provisions of paragraph (b) of this 
section, it is generally expected that the statement of needed 
transition services will include the areas listed in 
Sec. 300.18(b)(2)(i) through (b)(2)(iii). If the IEP team determines 
that services are not needed in one of those areas, the public agency 
must implement the requirements in paragraph (b)(2) of this section. 
Since it is a part of the IEP, the IEP team must reconsider its 
determination at least annually.

    Note 3: Section 602(a)(20) of the Act provides that IEPs must 
include a statement of needed transition services for students beginning 
no later than age 16, but permits transition services to students below 
age 16 (i.e., ``* * * and, when determined appropriate for the 
individual, beginning at age 14

[[Page 83]]

or younger.''). Although the statute does not mandate transition 
services for all students beginning at age 14 or younger, the provision 
of these services could have a significantly positive effect on the 
employment and independent living outcomes for many of these students in 
the future, especially for students who are likely to drop out before 
age 16. With respect to the provision of transition services to students 
below age 16, the Report of the House Committee on Education and Labor 
on Pub. L. 101-476 includes the following statement:

Although this language leaves the final determination of when to 
initiate transition services for students under age 16 to the IEP 
process, it nevertheless makes clear that Congress expects consideration 
to be given to the need for transition services for some students by age 
14 or younger. The Committee encourages that approach because of their 
concern that age 16 may be too late for many students, particularly 
those at risk of dropping out of school and those with the most severe 
disabilities. Even for those students who stay in school until age 18, 
many will need more than two years of transitional services. Students 
with disabilities are now dropping out of school before age 16, feeling 
that the education system has little to offer them. Initiating services 
at a younger age will be critical. (House Report No. 101-544, 10 
(1990).)

    36. What should be included in the statement of the child's present 
levels of educational performance?
    The statement of present levels of educational performance will be 
different for each child with a disability. Thus, determinations about 
the content of the statement for an individual child are matters that 
are left to the discretion of participants in the IEP meetings. However, 
the following are some points that should be taken into account in 
writing this part of the IEP:
    a. The statement should accurately describe the effect of the 
child's disability on the child's performance in any area of education 
that is affected, including (1) academic areas (reading, math, 
communication, etc.), and (2) non-academic areas (daily life activities, 
mobility, etc.).

    Note: Labels such as mental retardation or deafness may not be used 
as a substitute for the description of present levels of educational 
performance.

    b. The statement should be written in objective measurable terms, to 
the extent possible. Data from the child's evaluation would be a good 
source of such information. Test scores that are pertinent to the 
child's diagnosis might be included, if appropriate. However, the scores 
should be (1) self-explanatory (i.e., they can be interpreted by all 
participants without the use of test manuals or other aids), or (2) an 
explanation should be included. Whatever test results are used should 
reflect the impact of the disability on the child's performance. Thus, 
raw scores would not usually be sufficient.
    c. There should be a direct relationship between the present levels 
of educational performance and the other components of the IEP. Thus, if 
the statement describes a problem with the child's reading level and 
points to a deficiency in a specific reading skill, this problem should 
be addressed under both (1) goals and objectives, and (2) specific 
special education and related services to be provided to the child.
    37. Why are goals and objectives required in the IEP?
    The statutory requirements for including annual goals and short term 
instructional objectives (section 602(a)(20)(B)), and for having at 
least an annual review of the IEP of a child with a disability (section 
614(a)(5)) provide a mechanism for determining (1) whether the 
anticipated outcomes for the child are being met (i.e., whether the 
child is progressing in the special education program) and (2) whether 
the placement and services are appropriate to the child's special 
learning needs. In effect, these requirements provide a way for the 
child's teacher(s) and parents to be able to track the child's progress 
in special education. However, the goals and objectives in the IEP are 
not intended to be as specific as the goals and objectives that are 
normally found in daily, weekly, or monthly instructional plans.
    38. What are annual goals in an IEP?
    The annual goals in the IEP are statements that describe what a 
child with a disability can reasonably be expected to accomplish within 
a twelve month period in the child's special education program. As 
indicated under Question 36, above, there should be a direct 
relationship between the annual goals and the present levels of 
educational performance.
    39. What are short term instructional objectives in an IEP?
    Short term instructional objectives (also called IEP objectives) are 
measurable, intermediate steps between the present levels of educational 
performance of a child with a disability and the annual goals that are 
established for the child. The objectives are developed based on a 
logical breakdown of the major components of the annual goals, and can 
serve as milestones for measuring progress toward meeting the goals.
    In some respects, IEP objectives are similar to objectives used in 
daily classroom instructional plans. For example, both kinds of 
objectives are used (1) to describe what a given child is expected to 
accomplish in a particular area within some specified time period, and 
(2) to determine the extent that the child is progressing toward those 
accomplishments.

[[Page 84]]

    In other respects, objectives in IEPs are different from those used 
in instructional plans, primarily in the amount of detail they provide. 
IEP objectives provide general benchmarks for determining progress 
toward meeting the annual goals. These objectives should be projected to 
be accomplished over an extended period of time (e.g., an entire school 
quarter or semester). On the other hand, the objectives in classroom 
instructional plans deal with more specific outcomes that are to be 
accomplished on a daily, weekly, or monthly basis. Classroom 
instructional plans generally include details not required in an IEP, 
such as the specific methods, activities, and materials (e.g., use of 
flash cards) that will be used in accomplishing the objectives.
    40. Should the IEP goals and objectives focus only on special 
education and related services, or should they relate to the total 
education of the child?
    IEP goals and objectives are concerned primarily with meeting the 
needs of a child with a disability for special education and related 
services, and are not required to cover other areas of the child's 
education. Stated another way, the goals and objectives in the IEP 
should focus on offsetting or reducing the problems resulting from the 
child's disability that interfere with learning and educational 
performance in school. For example, if a child with a learning 
disability is functioning several grades below the child's indicated 
ability in reading and has a specific problem with word recognition, the 
IEP goals and objectives would be directed toward (1) closing the gap 
between the child's indicated ability and current level of functioning, 
and (2) helping the child increase the ability to use word attack skills 
effectively (or to find some other approach to increase independence in 
reading).
    For a child with a mild speech impairment, the IEP objectives would 
focus on improving the child's communication skills, by either (1) 
correcting the impairment, or (2) minimizing its effect on the child's 
ability to communicate. On the other hand, the goals and objectives for 
a child with severe mental retardation would be more comprehensive and 
cover more of the child's school program than if the child has only a 
mild disability.
    41. Should there be a relationship between the goals and objectives 
in the IEP and those that are in instructional plans of special 
education personnel?
    Yes. There should be a direct relationship between the IEP goals and 
objectives for a given child with a disability and the goals and 
objectives that are in the special education instructional plans for the 
child. However, the IEP is not intended to be detailed enough to be used 
as an instructional plan. The IEP, through its goals and objectives, (1) 
sets the general direction to be taken by those who will implement the 
IEP, and (2) serves as the basis for developing a detailed instructional 
plan for the child.

    Note: See Question 56, below, regarding the length of IEPs.

    42. When must IEP objectives be written--before placement or after 
placement?
    IEP objectives must be written before placement. Once a child with a 
disability is placed in a special education program, the teacher might 
develop lesson plans or more detailed objectives based on the IEP; 
however, such plans and objectives are not required to be a part of the 
IEP itself.
    43. Can short term instructional objectives be changed without 
initiating another IEP meeting?
    No. Section 300.343(a) provides that the agency ``is responsible for 
initiating and conducting meetings for the purpose of developing, 
reviewing, and revising the IEP of a child with a disability'' (emphasis 
added). Since a change in short term instructional objectives 
constitutes a revision of the child's IEP, the agency must (1) notify 
the parents of the proposed change (see Sec. 300.504(a)(1)), and (2) 
initiate an IEP meeting. Note, however, that if the parents are unable 
or unwilling to attend such a meeting, their participation in the 
revision of the IEP objectives can be obtained through other means, 
including individual or conference telephone calls (see 
Sec. 300.345(c)).
    44. Must the IEP include all special education and related services 
needed by the child or only those available from the public agency?
    Each public agency must provide FAPE to all children with 
disabilities under its jurisdiction. Therefore, the IEP for a child with 
a disability must include all of the specific special education and 
related services needed by the child--as determined by the child's 
current evaluation. This means that the services must be listed in the 
IEP even if they are not directly available from the local agency, and 
must be provided by the agency through contract or other arrangements.
    45. Is the IEP a commitment to provide services--i.e., must a public 
agency provide all of the services listed in the IEP?
    Yes. The IEP of each child with a disability must include all 
services necessary to meet the child's identified special education and 
related services needs; and all services in the IEP must be provided in 
order for the agency to be in compliance with the Act.
    46. Must the public agency itself directly provide the services set 
out in the IEP?
    The public agency responsible for the education of a child with a 
disability could provide IEP services to the child (1) directly, through 
the agency's own staff resources, or (2) indirectly, by contracting with 
another public or private agency, or through other arrangements. In 
providing the services, the

[[Page 85]]

agency may use whatever State, local, Federal, and private sources of 
support are available for those purposes (see Sec. 300.301(a)). However, 
the services must be at no cost to the parents, and responsibility for 
ensuring that the IEP services are provided remains with the public 
agency.
    47. Does the IEP include only special education and related services 
or does it describe the total education of the child?
    The IEP is required to include only those matters concerning the 
provision of special education and related services and the extent that 
the child can participate in regular education programs. (Note: The 
regulations define special education as specially designed instruction 
to meet the unique needs of a child with a disability, and related 
services as those services that are necessary to assist the child to 
benefit from special education.) (See Secs. 300.17 and 300.16, 
respectively.)
    For some children with disabilities, the IEP will only address a 
very limited part of their education (e.g., for a child with a speech 
impairment, the IEP would generally be limited to the child's speech 
impairment). For other children (e.g., those with profound mental 
retardation), the IEP might cover their total education. An IEP for a 
child with a physical disability with no mental or emotional disability 
might consist only of specially designed physical education. However, if 
the child also has a mental or emotional disability, the IEP might cover 
most of the child's education.

    Note: The IEP is not intended to be detailed enough to be used as an 
instructional plan. See Question 41, above.

    48. If modifications are necessary for a child with a disability to 
participate in a regular education program, must they be included in the 
IEP?
    Yes. If modifications (supplementary aids and services) to the 
regular education program are necessary to ensure the child's 
participation in that program, those modifications must be described in 
the child's IEP (e.g., for a child with a hearing impairment, special 
seating arrangements or the provision of assignments in writing). This 
applies to any regular education program in which the student may 
participate, including physical education, art, music, and vocational 
education.
    49. When must physical education (PE) be described or referred to in 
the IEP?
    Section 300.307(a) provides that physical education services, 
specially designed if necessary, must be made available to every child 
with a disability receiving FAPE. The following paragraphs (1) set out 
some of the different PE program arrangements for students with 
disabilities, and (2) indicate whether, and to what extent, PE must be 
described or referred to in an IEP:
    a. Regular PE with nondisabled students. If a student with a 
disability can participate fully in the regular PE program without any 
special modifications to compensate for the student's disability, it 
would not be necessary to describe or refer to PE in the IEP. On the 
other hand, if some modifications to the regular PE program are 
necessary for the student to be able to participate in that program, 
those modifications must be described in the IEP.
    b. Specially designed PE. If a student with a disability needs a 
specially designed PE program, that program must be addressed in all 
applicable areas of the IEP (e.g., present levels of educational 
performance, goals and objectives, and services to be provided). 
However, these statements would not have to be presented in any more 
detail than the other special education services included in the 
student's IEP.
    c. PE in separate facilities. If a student with a disability is 
educated in a separate facility, the PE program for that student must be 
described or referred to in the IEP. However, the kind and amount of 
information to be included in the IEP would depend on the physical-motor 
needs of the student and the type of PE program that is to be provided.
    Thus, if a student is in a separate facility that has a standard PE 
program (e.g., a residential school for students with deafness), and if 
it is determined--on the basis of the student's most recent evaluation--
that the student is able to participate in that program without any 
modifications, then the IEP need only note such participation. On the 
other hand, if special modifications to the PE program are needed for 
the student to participate, those modifications must be described in the 
IEP. Moreover, if the student needs an individually designed PE program, 
that program must be addressed under all applicable parts of the IEP. 
(See paragraph ``b'', above.)
    50. If a student with a disability is to receive vocational 
education, must it be described or referred to in the student's IEP?
    The answer depends on the kind of vocational education program to be 
provided. If a student with a disability is able to participate in the 
regular vocational education program without any modifications to 
compensate for the student's disability, it would not be necessary to 
include vocational education in the student's IEP. On the other hand, if 
modifications to the regular vocational education program are necessary 
in order for the student to participate in that program, those 
modifications must be included in the IEP. Moreover, if the student 
needs a specially designed vocational education program, then vocational 
education must be described in all applicable areas of the student's IEP 
(e.g., present levels of educational performance, goals and objectives,

[[Page 86]]

and specific services to be provided). However, these statements would 
not have to be presented in any more detail than the other special 
education services included in the IEP.
    51. Must the IEP specify the amount of services or may it simply 
list the services to be provided?
    The amount of services to be provided must be stated in the IEP, so 
that the level of the agency's commitment of resources will be clear to 
parents and other IEP team members. The amount of time to be committed 
to each of the various services to be provided must be (1) appropriate 
to that specific service, and (2) stated in the IEP in a manner that is 
clear to all who are involved in both the development and implementation 
of the IEP.
    Changes in the amount of services listed in the IEP cannot be made 
without holding another IEP meeting. However, as long as there is no 
change in the overall amount, some adjustments in scheduling the 
services should be possible (based on the professional judgment of the 
service provider) without holding another IEP meeting.

    Note: The parents should be notified whenever this occurs.

    52. Must the IEP of a child with a disability indicate the extent 
that the child will be educated in the regular educational program?
    Yes. Section 300.346(a)(3) provides that the IEP for each child with 
a disability must include a ``statement of * * * the extent that the 
child will be able to participate in regular educational programs.'' One 
way of meeting this requirement is to indicate the percent of time the 
child will be spending in the regular education program with nondisabled 
students. Another way is to list the specific regular education classes 
the child will be attending.

    Note: If a child with a severe disability, for example, is expected 
to be in a special classroom setting most of the time, it is recommended 
that, in meeting the above requirement, the IEP include any non-
curricular activities in which the child will be participating with 
nondisabled students (e.g., lunch, assembly periods, club activities, 
and other special events).

    53. Can the anticipated duration of services be for more than twelve 
months?
    In general, the anticipated duration of services would be up to 
twelve months. There is a direct relationship between the anticipated 
duration of services and the other parts of the IEP (e.g., annual goals 
and short term instructional objectives), and each part of the IEP would 
be addressed whenever there is a review of the child's program. If it is 
anticipated that the child will need a particular service for more than 
one year, the duration of that service could be projected beyond that 
time in the IEP. However, the duration of each service must be 
reconsidered whenever the IEP is reviewed.
    54. Must the evaluation procedures and schedules be included as a 
separate item in the IEP?
    No. The evaluation procedures and schedules need not be included as 
a separate item in the IEP, but they must be presented in a recognizable 
form and be clearly linked to the short term instructional objectives.

    Note: In many instances, these components are incorporated directly 
into the objectives.

    Other Questions About the Content of an IEP
    55. Is it permissible for an agency to have the IEP completed when 
the IEP meeting begins?
    No. It is not permissible for an agency to present a completed IEP 
to parents for their approval before there has been a full discussion 
with the parents of (1) the child's need for special education and 
related services, and (2) what services the agency will provide to the 
child. Section 602(a)(20) of the Act defines the IEP as a written 
statement developed in any meeting with the agency representative, the 
teacher, the parent, and, if appropriate, the child.
    It would be appropriate for agency staff to come prepared with 
evaluation findings, statements of present levels of educational 
performance, and a recommendation regarding annual goals, short term 
instructional objectives, and the kind of special education and related 
services to be provided. However, the agency must make it clear to the 
parents at the outset of the meeting that the services proposed by the 
agency are only recommendations for review and discussion with the 
parents. The legislative history of Public Law 94-142 makes it clear 
that parents must be given the opportunity to be active participants in 
all major decisions affecting the education of their children with 
disabilities. (See, e.g., S. Rep. No. 168, 94th Cong. 1st Sess. 13 
(1975); S. Rep. No. 455 (Conference Report), 94th Cong. 1st Sess. 47-50 
(1975).)
    56. Is there a prescribed format or length for an IEP?
    No. The format and length of an IEP are matters left to the 
discretion of State and local agencies. The IEP should be as long as 
necessary to adequately describe a child's program. However, as 
indicated in Question 41, above, the IEP is not intended to be a 
detailed instructional plan. The Federal IEP requirements can usually be 
met in a one to three page form.
    57. Is it permissible to consolidate the IEP with an individualized 
service plan developed under another Federal program?

[[Page 87]]

    Yes. In instances where a child with a disability must have both an 
IEP and an individualized service plan under another Federal program, it 
may be possible to develop a single, consolidated document only if: (1) 
It contains all of the information required in an IEP, and (2) all of 
the necessary parties participate in its development.
    Examples of individualized service plans that might be consolidated 
with the IEP are: (1) The Individualized Care Plan (title XIX of the 
Social Security Act (Medicaid)), (2) the Individualized Program Plan 
(title XX of the Social Security Act (Social Services)), (3) the 
Individualized Service Plan (title XVI of the Social Security Act 
(Supplemental Security Income)), and (4) the Individualized Written 
Rehabilitation Plan (Rehabilitation Act of 1973).
    58. What provisions on confidentiality of information apply to IEPs?
    IEPs are subject to the confidentiality provisions of both (1) part 
B (section 617(c) of the Act; Secs. 300.560-300.576 of the regulations), 
and (2) the Family Educational Rights and Privacy Act (``FERPA'', 20 
U.S.C. 1232g) and implementing regulations in 34 CFR part 99. An IEP is 
an education record as that term is used in the FERPA and implementing 
regulations (34 CFR Sec. 99.3) and is, therefore, subject to the same 
protections as other education records relating to the student.

    Note: Under Sec. 99.31(a) of the FERPA regulations, an educational 
agency may disclose personally identifiable information from the 
education records of a student without the written consent of the 
parents if ``(1) The disclosure is to other school officials, including 
teachers, within the agency or institution whom the agency or 
institution has determined to have legitimate educational interests * * 
*'' in that information.

       Sec. 300.348  Private school placements by public agencies.

    (a) Developing individualized education programs. (1) Before a 
public agency places a child with a disability in, or refers a child to, 
a private school or facility, the agency shall initiate and conduct a 
meeting to develop an IEP for the child in accordance with Sec. 300.343.
    (2) The agency shall ensure that a representative of the private 
school or facility attends the meeting. If the representative cannot 
attend, the agency shall use other methods to ensure participation by 
the private school or facility, including individual or conference 
telephone calls.
    (3) [Reserved]
    (b) Reviewing and revising individualized education programs. (1) 
After a child with a disability enters a private school or facility, any 
meetings to review and revise the child's IEP may be initiated and 
conducted by the private school or facility at the discretion of the 
public agency.
    (2) If the private school or facility initiates and conducts these 
meetings, the public agency shall ensure that the parents and an agency 
representative;
    (i) Are involved in any decision about the child's IEP; and
    (ii) Agree to any proposed changes in the program before those 
changes are implemented.
    (c) Responsibility. Even if a private school or facility implements 
a child's IEP, responsibility for compliance with this part remains with 
the public agency and the SEA.

(Authority: 20 U.S.C. 1413(a)(4)(B))
    59. If placement decisions are made at the time the IEP is 
developed, how can a private school representative attend the meeting?
    Generally, a child who requires placement in either a public or 
private residential school has already been receiving special education, 
and the parents and school personnel have often jointly been involved 
over a prolonged period of time in attempting to find the most 
appropriate placement for the child. At some point in this process 
(e.g., at a meeting where the child's current IEP is being reviewed), 
the possibility of residential school placement might be proposed--by 
either the parents or school personnel. If both agree, then the matter 
would be explored with the residential school. A subsequent meeting 
would then be conducted to finalize the IEP. At this meeting, the public 
agency must ensure that a representative of the residential school 
either (1) attends the meeting, or (2) participates through individual 
or conference telephone calls, or by other means.

 Sec. 300.349  Children with disabilities in parochial or other private 
                                schools.

    If a child with a disability is enrolled in a parochial or other 
private school and receives special education or related services from a 
public agency, the public agency shall--
    (a) Initiate and conduct meetings to develop, review, and revise an 
IEP for the child, in accordance with Sec. 300.343; and
    (b) Ensure that a representative of the parochial or other private 
school attends each meeting. If the representative cannot attend, the 
agency shall use other methods to ensure participation by the private 
school, including individual or conference telephone calls.

(Authority: 20 U.S.C. 1413(a)(4)(A))

     Sec. 300.350  Individualized education program--accountability.

    Each public agency must provide special education and related 
services to a child with a disability in accordance with an IEP. 
However, part B of the Act does not require that any agency, teacher, or 
other person be held accountable if a child does not achieve

[[Page 88]]

the growth projected in the annual goals and objectives.

(Authority: 20 U.S.C. 1412(2)(B); 1414(a)(5), (6); Cong. Rec. at H7152 
(daily ed., July 21, 1975))

    Note: This section is intended to relieve concerns that the IEP 
constitutes a guarantee by the public agency and the teacher that a 
child will progress at a specified rate. However, this section does not 
relieve agencies and teachers from making good faith efforts to assist 
the child in achieving the goals and objectives listed in the IEP. 
Further, the section does not limit a parent's right to complain and ask 
for revisions of the child's program, or to invoke due process 
procedures, if the parent feels that these efforts are not being made.

    60. Is the IEP a performance contract?
    No. Section 300.350 makes it clear that the IEP is not a performance 
contract that imposes liability on a teacher or public agency if a child 
with a disability does not meet the IEP objectives. While the agency 
must provide special education and related services in accordance with 
the IEP of each child with a disability, the Act does not require that 
the agency, the teacher, or other persons be held accountable if the 
child does not achieve the growth projected in the written statement.

    Authority: 20 U.S.C. 1411-1420

(Catalog of Federal Domestic Assistance number 84.027, Assistance to 
States for Education of Children with Disabilities; 84.173 Preschool 
Grants Program)


[57 FR 48694, Oct. 27, 1992]



PART 301--PRESCHOOL GRANTS FOR CHILDREN WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
301.1  What is the Preschool Grants for Children With Disabilities 
          Program?
301.2  Who is eligible for an award?
301.3  What kinds of activities may be assisted?
301.4  What regulations apply?
301.5  What definitions apply?
301.6  Does part H of the Act apply to 2-year-old children with 
          disabilities?

             Subpart B--How Does a State Apply for a Grant?

301.10  How does a State become eligible to receive a grant?
301.11  When does a State apply for a grant?
301.12  What are the sanctions if a State does not meet the statutory 
          timeline for making a free appropriate public education 
          available to all preschool children with disabilities?

       Subpart C--How Does the Secretary Make a Grant to a State?

301.20  What requirements apply to estimating the number of children 
          with disabilities who will be served in order to receive funds 
          from an excess appropriation?
301.21  How are adjustments made if a State overestimates or 
          underestimates the increase in preschool children with 
          disabilities served?

      Subpart D--How Does a State Make a Subgrant to an Applicant?

301.30  How does a State distribute the grant money?
301.31  What is the amount of a subgrant to a local educational agency?
301.32  How are adjustments made to a local educational agency's 
          subgrant?

    Authority: 20 U.S.C. 1419, unless otherwise noted.

    Source: 54 FR 1646, Jan. 13, 1989, unless otherwise noted.



                           Subpart A--General



Sec. 301.1  What is the Preschool Grants for Children With Disabilities Program?

    The Preschool Grants for Children With Disabilities program 
(Preschool Grants program) provides grants to States to assist them in--
    (a) Providing special education and related services to children 
with disabilities aged 3 through 5 years, and, at a State's discretion, 
providing a free appropriate public education to 2-year-old children 
with disabilities who will reach age 3 during the school year;
    (b) Planning and developing a statewide comprehensive delivery 
system for children with disabilities from birth through age 5 years; 
and
    (c) Providing direct and support services to children with 
disabilities aged 3 through 5 years.

(Authority: 20 U.S.C. 1419)

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991; 57 
FR 44840, Sept. 29, 1992]



Sec. 301.2  Who is eligible for an award?

    (a) The Secretary makes a grant to each State that submits an 
application that meets the requirements of this part.

[[Page 89]]

    (b) A State may make a subgrant to any local educational agency 
(LEA) and intermediate educational unit (IEU) that submits an approvable 
application to the State educational agency (SEA).

(Authority: 20 U.S.C. 1419)



Sec. 301.3  What kinds of activities may be assisted?

    Under the Preschool Grants program, the Secretary makes a grant to a 
State to conduct the following activities:
    (a) Provide subgrants to LEAs and IEUs to assist them in providing 
special education and related services to children with disabilities 
aged 3 through 5 years, and, if consistent with State policy, provide a 
free appropriate public education to 2-year-old children with 
disabilities who will reach age 3 during the school year, whether or not 
those children are receiving, or have received, services under part H of 
the Act.
    (b) Plan and develop a statewide comprehensive service delivery 
system for children with disabilities from birth through age 5 years.
    (c) Provide direct and support services from the SEA to children 
with disabilities aged 3 through 5 years, and, at the State's 
discretion, provide a free appropriate public education, in accordance 
with the Act, to 2-year-old children with disabilities who will reach 
age 3 during the school year, whether or not those children are 
receiving, or have received, services under part H.

(Authority: 20 U.S.C. 1419)

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991; 57 
FR 44840, Sept. 29, 1992]



Sec. 301.4  What regulations apply?

    The following regulations apply to the Preschool Grants program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations--
    (1) Part 76 (State-Administered Programs);
    (2) Part 77 (Definitions that Apply to Department Regulations);
    (3) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (4) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (5) Part 81 (General Education Provision Act--Enforcement);
    (6) Part 82 (New Restrictions on Lobbying);
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for a Drug-Free 
Workplace (Grants)); and
    (8) Part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 301.
    (c) The regulations in 34 CFR part 300.

(Authority: 20 U.S.C. 1419)

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]



Sec. 301.5  What definitions apply?

    (a) Definitions in the Act. The following terms used in this part 
are defined in the Act:

Intermediate educational unit
Local educational agency
State
State educational agency

    (b) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Applicant
Application
Award
EDGAR
Fiscal year
Grant period
Secretary
Subgrant

    (c) Other definitions. The following definitions also apply to this 
part:
    Act means the Individuals with Disabilities Education Act, as 
amended.
    Comprehensive service delivery system means a State's plans and 
procedures, including goals and objectives, for identifying all children 
with disabilities from birth through age 5 years and providing special 
education and related services to those children in accordance with 
State law, policy, or practice.

[[Page 90]]

    Excess appropriation means that portion of each appropriation for 
fiscal years 1987, 1988, and 1989 remaining after the maximum amount of 
funds for each child counted has been awarded to States based on the 
most recent child count of children with disabilities aged 3 through 5 
years receiving special education and related services.
    Part B child count means the child count required by section 
611(a)(3) of the Act.
    Preschool means the age range of 3 through 5 years.

(Authority: 20 U.S.C. 1402, 1419)

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]



Sec. 301.6  Does part H of the Act apply to 2-year-old children with disabilities?

    Part H of the Act does not apply to any child with disabilities 
receiving a free appropriate public education, in accordance with part B 
of the Act, with funds received under the Preschool Grants program.

(Authority: 20 U.S.C. 1419(g))

[57 FR 44840, Sept. 29, 1992]



             Subpart B--How Does a State Apply for a Grant?



Sec. 301.10  How does a State become eligible to receive a grant?

    (a) For fiscal years 1988, 1989, and 1990 a State is eligible to 
receive a grant if--
    (1) The Secretary approves its State plan under 34 CFR part 300;
    (2) The State provides special education and related services to any 
children with disabilities aged 3 through 5 years; and
    (3) The State submits an application to the Secretary that meets the 
requirements of this part.
    (b) Beginning in fiscal year 1991, a State is eligible to receive a 
grant if--
    (1) The Secretary approves its State plan under 34 CFR part 300;
    (2) The State has policies and procedures in its State plan under 34 
CFR part 300 that assure the provision of a free appropriate public 
education--
    (i) For all children with disabilities aged 3 through 5 years in 
accordance with the requirements in 34 CFR part 300; and
    (ii) For any 2-year-old children, provided services by the State 
under 301.30(b)(3) or by a LEA or IEU under 301.30(a)(2); and
    (3) The State submits an application to the Secretary that meets the 
requirements in this part.

(Authority: 20 U.S.C. 1419 (a), (b))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991; 57 
FR 44840, Sept. 29, 1992]



Sec. 301.11  When does a State apply for a grant?

    (a) A State shall submit a Preschool Grants application effective 
for fiscal years 1988 and 1989.
    (b) The State shall extend its FYs 1988-1989 application through FY 
1990.
    (c) For FY 1991 a State shall submit a one, two, or three year 
application. Thereafter the State shall submit its Preschool Grants 
application with the three-year State plan under 34 CFR part 300.

(Authority: 20 U.S.C. 1419 (a)(3), (b)(4))



Sec. 301.12  What are the sanctions if a State does not meet the statutory timeline for making a free appropriate public education available to all preschool 
          children with disabilities?

    If a State does not meet the requirements in section 619(b)(1) of 
the Act--
    (a) The State is not eligible for a Preschool Grant;
    (b) The State is not eligible for funds under 34 CFR part 300 for 
children with disabilities aged 3 through 5 years;
    (c) No State, LEA, IEU, or other public institution or agency is 
eligible for a grant under parts C through G of the Act if the grant 
relates exclusively to programs, projects, and activities pertaining to 
children with disabilities aged 3 through 5 years; and
    (d) The State is not eligible for funds for 3- through 5-year-old 
children served under 34 CFR part 302.

(Authority: 20 U.S.C. 1408; 1411(a)(1)(A); 1419(a)(b))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]

[[Page 91]]



       Subpart C--How Does the Secretary Make a Grant to a State?



Sec. 301.20  What requirements apply to estimating the number of children with disabilities who will be served in order to receive funds from an excess 
          appropriation?

    (a) In order to receive funds from an excess appropriation based on 
an estimated increase in the number of children with disabilities aged 3 
through 5 years who will be receiving special education and related 
services under part B of the Act on December 1 of the year following the 
most recent part B child count, a State must--
    (1) Have an increase in the total number of children with 
disabilities aged 3 through 5 years served under both 34 CFR parts 300 
and 302 from the previous year; and
    (2) Have an increase from the previous year in the total number of 
children with disabilities aged 3 through 5 years served under 34 CFR 
part 300.
    (b) Each State shall develop and implement procedures to estimate 
accurately the increase in the number of children with disabilities aged 
3 through 5 years who will be receiving special education and related 
services under 34 CFR parts 300 and 302 by the count dates for these 
programs for the next fiscal year.
    (c) The procedures for making an estimation in paragraph (b) of this 
section must be based upon estimates from LEAs and IEUs, and other 
available data, of the number of additional children with disabilities 
aged 3 through 5 years that LEAs and IEUs expect to be serving under 34 
CFR parts 300 and 302 on December 1 of the year following the most 
recent part B child count.
    (d) The State shall provide the estimates on forms provided by the 
Secretary no later than February 1 of the year in which the Secretary 
requires estimates.
    (e) The State shall attach a copy of the procedures used to make the 
estimates under paragraph (c) of this section to the estimated count 
form.

(Approved by the Office of Management and Budget under control number 
1820-0552)

(Authority: 20 U.S.C. 1419(a))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]



Sec. 301.21  How are adjustments made if a State overestimates or underestimates the increase in preschool children with disabilities served?

    If the actual number of additional children with disabilities aged 3 
through 5 years counted as served on December 1 of the following year 
under 34 CFR parts 300 and 302 differs from the estimate submitted by a 
State in fiscal year 1987, 1988, or 1989, the Secretary increases or 
decreases the State's grant for the next fiscal year based upon the 
difference in the number of additional children with disabilities who 
were estimated to be served and the number actually served under 34 CFR 
part 300.

(Authority: 20 U.S.C. 1419(a)(2))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]



      Subpart D--How Does a State Make a Subgrant to an Applicant?



Sec. 301.30  How does a State distribute the grant money?

    (a) A state shall distribute at least 75 percent of its grant to 
LEAs and IEUs to be used to provide:
    (1) Special education and related services to children with 
disabilities aged 3 through 5 years; and
    (2) If consistent with State policy, a free appropriate public 
education, in accordance with part B, to 2-year-old children with 
disabilities who will reach age three during the school year, whether or 
not those children are receiving or have received, services under part H 
of the Act.
    (b) A State may use not more than 20 percent of the grant for--

[[Page 92]]

    (1) The planning and development of a statewide comprehensive 
service delivery system for children with disabilities from birth 
through age five years; and
    (2) The provision of direct and support services for children with 
disabilities aged three through five years; and
    (3) At the State's discretion, the provision of a free appropriate 
public education to two-year-old children with disabilities who will 
reach age three during the school year, whether or not those children 
are receiving, or have received, services under part H of the Act.
    (c) A State may use not more than five percent of the grant for the 
costs of administering the grant.
    (d) If a State provides services to preschool children with 
disabilities because some or all LEAs and IEUs are unable or unwilling 
to provide appropriate programs, the SEA may use payments that would 
have been available to those LEAs or IEUs to provide special education 
and related services to children with disabilities aged three through 
five years, and to two-year-old children with disabilities in accordance 
with paragraph (b)(3) of this section, residing in the area served by 
those LEAs and IEUs.

(Authority: 20 U.S.C. 1414(d), 1419(c)(2), 1419(f))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991; 57 
FR 44840, Sept. 29, 1992]



Sec. 301.31  What is the amount of a subgrant to a local educational agency?

    From the amount of funds available to LEAs and IEUs in the State, 
each LEA and IEU is entitled to the sum of--
    (a) An amount that bears the same ratio to the maximum amount 
awarded to the State based on the previous child count as the number of 
children with disabilities aged three through five years in that agency 
who were receiving special education and related services on the most 
recent part B child count bears to the aggregate number of children with 
disabilities aged three through five years receiving special education 
and related services on the most recent part B child count in all LEAs 
and IEUs that are entitled to Preschool Grants funds; and
    (b) An amount that bears the same ratio to the State's excess 
appropriation, if any, as the LEA's or IEU's estimated count of 
additional children with disabilities aged three through five years who 
will be receiving special education and related services on the next 
part B child count bears to the aggregate number of additional children 
with disabilities aged three through five years who will be receiving 
special education and related services by the next part B child count in 
all LEAs and IEUs that are entitled to Preschool Grant funds.

(Authority: 20 U.S.C. 1419(c)(3))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]



Sec. 301.32  How are adjustments made to a local educational agency's subgrant?

    If the actual number of additional children with disabilities aged 
three through five years served under 34 CFR part 300 in fiscal year 
1987, 1988, or 1989 differs from the estimate submitted by an LEA or IEU 
for that fiscal year, the State shall increase or decrease the LEA's or 
IEU's grant in the next fiscal year based upon the number of preschool 
children with disabilities who were actually served.

(Authority: 20 U.S.C. 1419(c)(3) (A), (B))

[54 FR 1646, Jan. 13, 1989, as amended at 56 FR 54688, Oct. 22, 1991]



PART 303--EARLY INTERVENTION PROGRAM FOR INFANTS AND TODDLERS WITH DISABILITIES--Table of Contents




                           Subpart A--General

           Purpose, Eligibility, and Other General Provisions

Sec.
303.1  Purpose of the early intervention program for infants and 
          toddlers with disabilities.
303.2  Eligible recipients of an award.
303.3  Activities that may be supported under this part.
303.4  Limitation on eligible children.
303.5  Applicable regulations.

                               Definitions

303.6  Act.

[[Page 93]]

303.7  Children.
303.8  Council.
303.9  Days.
303.10  Developmental delay.
303.11  Early intervention program.
303.12  Early intervention services.
303.13  Health services.
303.14  IFSP.
303.15  Include; including.
303.16  Infants and toddlers with disabilities.
303.17  Multidisciplinary.
303.18  Parent.
303.19  Policies.
303.20  Public agency.
303.21  Qualified.
303.22  Service coordination (case management).
303.23  State.
303.24  EDGAR definitions that apply.

                Subpart B--State Application for a Grant

                          General Requirements

303.100  Conditions of assistance.
303.101  How the Secretary disapproves a State's application or 
          statement of assurances.

                          Public Participation

303.110  General requirements and timelines for public participation.
303.111  Notice of public hearings and opportunity to comment.
303.112  Public hearings.
303.113  Reviewing and reporting on public comments received.

                         Statement of Assurances

303.120  General.
303.121  Reports and records.
303.122  Control of funds and property.
303.123  Prohibition against commingling.
303.124  Prohibition against supplanting.
303.125  Fiscal control.
303.126  Payor of last resort.
303.127  Assurance regarding expenditure of funds.
303.128  Traditionally underserved groups.

              General Requirements for a State Application

303.140  General.
303.141  Information about the Council.
303.142  Designation of lead agency.
303.143  Designation regarding financial responsibility.
303.144  Assurance regarding use of funds.
303.145  Description of use of funds.
303.146  Information about public participation.
303.147  Equitable distribution of resources.
303.148  Transition to preschool programs.

    Specific Application Requirements for Years One Through Five and 
                               Thereafter

303.149  Application requirements for the first and second years.
303.150  Third year applications.
303.151  Waiver of the policy adoption requirement for the third year.
303.152  Fourth year applications.
303.153  States with mandates as of September 1, 1986, to serve children 
          with disabilities from birth.
303.154  Applications for year five and each year thereafter.
303.155  Differential funding.

  Components of a Statewide System--Application Requirements for Years 
                       Four, Five, and Thereafter

303.160  Minimum components of a statewide system.
303.161  State definition of developmental delay.
303.162  Central directory.
303.163  Timetables for serving eligible children.
303.164  Public awareness program.
303.165  Comprehensive child find system.
303.166  Evaluation, assessment, and non-discriminatory procedures.
303.167  Individualized family service plans.
303.168  Comprehensive system of personnel development (CSPD).
303.169  Personnel standards.
303.170  Procedural safeguards.
303.171  Supervision and monitoring of programs.
303.172  Lead agency procedures for resolving complaints.
303.173  Policies and procedures related to financial matters.
303.174  Interagency agreements; resolution of individual disputes.
303.175  Policy for contracting or otherwise arranging for services.
303.176  Data collection.

             Participation by the Secretary of the Interior

303.180  Payments to the Secretary of the Interior for Indian tribes and 
          tribal organizations.

            Subpart C--Procedures for Making Grants to States

303.200  Formula for State allocations.
303.201  Distribution of allotments from non-participating States.
303.202  Minimum grant that a State may receive.
303.203  Payments to the Secretary of the Interior.
303.204  Payments to the jurisdictions.
303.205  Differential funding grants.

[[Page 94]]

Subpart D--Program and Service Components of a Statewide System of Early 
                          Intervention Services

                                 General

303.300  State eligibility criteria and procedures.
303.301  Central directory.
303.302  Timetables for serving eligible children.

                      Identification and Evaluation

303.320  Public awareness program.
303.321  Comprehensive child find system.
303.322  Evaluation and assessment.
303.323  Non-discriminatory procedures.

               Individualized Family Service Plans (IFSPs)

303.340  General.
303.341  Meeting the IFSP requirements for years four and five.
303.342  Procedures for IFSP development, review, and evaluation.
303.343  Participants in IFSP meetings and periodic reviews.
303.344  Content of an IFSP.
303.345  Provision of services before evaluation and assessment are 
          completed.
303.346  Responsibility and accountability.

                    Personnel Training and Standards

303.360  Comprehensive system of personnel development.
303.361  Personnel standards.

                    Subpart E--Procedural Safeguards

                                 General

303.400  General responsibility of lead agency for procedural 
          safeguards.
303.401  Definitions of consent, native language, and personally 
          identifiable information.
303.402  Opportunity to examine records.
303.403  Prior notice; native language.
303.404  Parent consent.
303.405  Parent right to decline service.
303.406  Surrogate parents.

     Impartial Procedures for Resolving Individual Child Complaints

303.420  Administrative resolution of individual child complaints by an 
          impartial decision-maker.
303.421  Appointment of an impartial person.
303.422  Parent rights in administrative proceedings.
303.423  Convenience of proceedings; timelines.
303.424  Civil action.
303.425  Status of a child during proceedings.

                             Confidentiality

303.460  Confidentiality of information.

                     Subpart F--State Administration

                                 General

303.500  Lead agency establishment or designation.
303.501  Supervision and monitoring of programs.

             Lead Agency Procedures for Resolving Complaints

303.510  Adopting complaint procedures.
303.511  An organization or individual may file a complaint.
303.512  Minimum State complaint procedures.

          Policies and Procedures Related to Financial Matters

303.520  Policies related to payment for services.
303.521  Fees.
303.522  Identification and coordination of resources.
303.523  Interagency agreements.
303.524  Resolution of disputes.
303.525  Delivery of services in a timely manner.
303.526  Policy for contracting or otherwise arranging for services.
303.527  Payor of last resort.
303.528  Reimbursement procedure.

                         Reporting Requirements

303.540  Data collection.

                  Use of Funds for State Administration

303.560  Use of funds by the lead agency.

            Subpart G--State Interagency Coordinating Council

                                 General

303.600  Establishment of Council.
303.601  Composition.
303.602  Use of funds by the Council.
303.603  Meetings.
303.604  Conflict of interest.

                        Functions of the Council

303.650  General.
303.651  Advising and assisting the lead agency in its administrative 
          duties.
303.652  Applications.
303.653  Transitional services.
303.654  Annual report to the Secretary.

                            Existing Councils

303.670  Use of existing councils.

    Authority: 20 U.S.C. 1471-1485, unless otherwise noted.

    Source: 58 FR 40959, July 30, 1993, unless otherwise noted.

[[Page 95]]



                           Subpart A--General

           Purpose, Eligibility, and Other General Provisions



Sec. 303.1  Purpose of the early intervention program for infants and toddlers with disabilities.

    The purpose of this part is to provide financial assistance to 
States to--
    (a) Develop and implement a statewide, comprehensive, coordinated, 
multidisciplinary, interagency program of early intervention services 
for infants and toddlers with disabilities and their families;
    (b) Facilitate the coordination of payment for early intervention 
services from Federal, State, local, and private sources (including 
public and private insurance coverage);
    (c) Enhance the States' capacity to provide quality early 
intervention services and expand and improve existing early intervention 
services being provided to infants and toddlers with disabilities and 
their families; and
    (d) Enhance the capacity of State and local agencies and service 
providers to identify, evaluate, and meet the needs of historically 
underrepresented populations, particularly minority, low-income, inner-
city, and rural populations.

(Authority: 20 U.S.C. 1471)



Sec. 303.2  Eligible recipients of an award.

    Eligible recipients include the 50 States, the Commonwealth of 
Puerto Rico, the District of Columbia, the Secretary of the Interior, 
and the following jurisdictions: Guam, American Samoa, the Virgin 
Islands, the Commonwealth of the Northern Mariana Islands, and Palau 
(until the Compact of Free Association with Palau takes effect pursuant 
to section 101(a) of Pub. L. 99-658).

(Authority: 20 U.S.C. 1401(a)(6), 1484)



Sec. 303.3  Activities that may be supported under this part.

    Funds under this part may be used for the following activities:
    (a) To plan, develop, and implement a statewide system of early 
intervention services for children eligible under this part and their 
families.
    (b) For direct services for eligible children and their families 
that are not otherwise provided from other public or private sources.
    (c) To expand and improve on services for eligible children and 
their families that are otherwise available, consistent with 
Sec. 303.527.
    (d) To provide a free appropriate public education, in accordance 
with part B of the Act, to children with disabilities from their third 
birthday to the beginning of the following school year.

(Authority: 20 U.S.C. 1473, 1479)



Sec. 303.4  Limitation on eligible children.

    This part 303 does not apply to any child with disabilities 
receiving a free appropriate public education, in accordance with 34 CFR 
part 300, with funds received under 34 CFR part 301.

(Authority: 20 U.S.C. 1419(g))



Sec. 303.5  Applicable regulations.

    (a) The following regulations apply to this part:
    (1) The Education Department General Administrative Regulations 
(EDGAR), including--
    (i) Part 76 (State Administered Programs), except for Sec. 76.103;
    (ii) Part 77 (Definitions that Apply to Department Regulations);
    (iii) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (iv) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (v) Part 81 (Grants and Cooperative Agreements under the General 
Education Provisions Act--Enforcement);
    (vi) Part 82 (New Restrictions on Lobbying);
    (vii) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Work 
Place (Grants)); and
    (viii) Part 86 (Drug-Free Schools and Campuses).
    (2) The regulations in this part 303.
    (3) The following regulations in 34 CFR part 300 (Assistance to 
States for Children with Disabilities Program): Secs. 300.560 through 
300.576, and Secs. 300.581 through 300.586.

[[Page 96]]

    (b) In applying the regulations cited in paragraphs (a)(1) and 
(a)(3) of this section, any reference to--
    (1) State educational agency means the lead agency under this part;
    (2) Special education, related services, free appropriate public 
education, free public education, or education means ``early 
intervention services'' under this part;
    (3) Participating agency, when used in reference to a local 
educational agency or an intermediate educational agency, means a local 
service provider under this part;
    (4) Section 300.128 means Secs. 303.164 and 303.321; and
    (5) Section 300.129 means Sec. 303.460.

(Authority: 20 U.S.C. 1401-1418, 1420, 1483)

                               Definitions

    Note: Sections 303.6-303.24 contain definitions, including a 
definition of ``natural environments'' in Sec. 303.12(b)(2), that are 
used throughout these regulations. Other terms are defined in the 
specific subparts in which they are used. Below is a list of those terms 
and the specific sections in which they are defined:

    Appropriate professional requirements in the State 
(Sec. 303.361(a)(1))
    Assessment (Sec. 303.322(b)(2))
    Consent (Sec. 303.401(a))
    Evaluation (Sec. 303.322(b)(1))
    Frequency and intensity (Sec. 303.344(d)(2)(i))
    Highest requirements in the State applicable to a profession or 
discipline (Sec. 303.361)(a)(2))
    Individualized family service plan and IFSP (Sec. 303.340(b))
    Impartial (Sec. 303.421(b))
    Location (Sec. 303.344(d)(3))
    Method (Sec. 303.344(d)(2)(ii))
    Native language (Sec. 303.401(b))
    Personally identifiable (Sec. 303.401(c))
    Primary referral sources (Sec. 303.321(d)(3))
    Profession or discipline (Sec. 303.361(a)(3))
    Special definition of ``aggregate amount'' (Sec. 303.200(b)(1))
    Special definition of ``infants and toddlers'' (Sec. 303.200(b)(2))
    Special definition of ``State'' (Sec. 303.200(b)(3))
    State approved or recognized certification, licensing, registration, 
or other comparable requirements (Sec. 303.361(a)(4))



Sec. 303.6  Act.

    As used in this part, Act means the Individuals with Disabilities 
Education Act.

(Authority: 20 U.S.C. 1400)



Sec. 303.7  Children.

    As used in this part, children meansinfants and toddlers with 
disabilities as that term is defined in Sec. 303.16.

(Authority: 20 U.S.C. 1472(1))



Sec. 303.8  Council.

    As used in this part, Council means the State Interagency 
Coordinating Council.

(Authority: 20 U.S.C. 1472(4))



Sec. 303.9  Days.

    As used in this part, days means calendar days.

(Authority: 20 U.S.C. 1471-1485)



Sec. 303.10  Developmental delay.

    As used in this part, developmental delay has the meaning given to 
that term by a State under Sec. 303.300.

(Authority: 20 U.S.C. 1472(3))



Sec. 303.11  Early intervention program.

    As used in this part, early intervention program means the total 
effort in a State that is directed at meeting the needs of children 
eligible under this part and their families.

(Authority: 20 U.S.C. 1471-1485)



Sec. 303.12  Early intervention services.

    (a) General. As used in this part, early intervention services means 
services that--
    (1) Are designed to meet the developmental needs of each child 
eligible under this part and the needs of the family related to 
enhancing the child's development;
    (2) Are selected in collaboration with the parents;
    (3) Are provided--
    (i) Under public supervision;
    (ii) By qualified personnel, as defined in Sec. 303.21, including 
the types of personnel listed in paragraph (e) of this section;
    (iii) In conformity with an individualized family service plan; and
    (iv) At no cost, unless, subject to Sec. 303.520(b)(3), Federal or 
State law provides for a system of payments by families, including a 
schedule of sliding fees; and

[[Page 97]]

    (4) Meet the standards of the State, including the requirements of 
this part.
    (b) Natural environments. (1) To the maximum extent appropriate to 
the needs of the child, early intervention services must be provided in 
natural environments, including the home and community settings in which 
children without disabilities participate.
    (2) As used in paragraph (b)(1) of this section, natural 
environments means settings that are natural or normal for the child's 
age peers who have no disability.
    (c) General role of service providers. To the extent appropriate, 
service providers in each area of early intervention services included 
in paragraph (d) of this section are responsible for--
    (1) Consulting with parents, other service providers, and 
representatives of appropriate community agencies to ensure the 
effective provision of services in that area;
    (2) Training parents and others regarding the provision of those 
services; and
    (3) Participating in the multidisciplinary team's assessment of a 
child and the child's family, and in the development of integrated goals 
and outcomes for the individualized family service plan.
    (d) Types of services; definitions. Following are types of services 
included under ``early intervention services,'' and, if appropriate, 
definitions of those services:
    (1) Assistive technology device means any item, piece of equipment, 
or product system, whether acquired commercially off the shelf, 
modified, or customized, that is used to increase, maintain, or improve 
the functional capabilities of children with disabilities. Assistive 
technology service means a service that directly assists a child with a 
disability in the selection, acquisition, or use of an assistive 
technology device. Assistive technology services include--
    (i) The evaluation of the needs of a child with a disability, 
including a functional evaluation of the child in the child's customary 
environment;
    (ii) Purchasing, leasing, or otherwise providing for the acquisition 
of assistive technology devices by children with disabilities;
    (iii) Selecting, designing, fitting, customizing, adapting, 
applying, maintaining, repairing, or replacing assistive technology 
devices;
    (iv) Coordinating and using other therapies, interventions, or 
services with assistive technology devices, such as those associated 
with existing education and rehabilitation plans and programs;
    (v) Training or technical assistance for a child with disabilities 
or, if appropriate, that child's family; and
    (vi) Training or technical assistance for professionals (including 
individuals providing early intervention services) or other individuals 
who provide services to or are otherwise substantially involved in the 
major life functions of individuals with disabilities.
    (2) Audiology includes--
    (i) Identification of children with auditory impairment, using at 
risk criteria and appropriate audiologic screening techniques;
    (ii) Determination of the range, nature, and degree of hearing loss 
and communication functions, by use of audiological evaluation 
procedures;
    (iii) Referral for medical and other services necessary for the 
habilitation or rehabilitation of children with auditory impairment;
    (iv) Provision of auditory training, aural rehabilitation, speech 
reading and listening device orientation and training, and other 
services;
    (v) Provision of services for prevention of hearing loss; and
    (vi) Determination of the child's need for individual amplification, 
including selecting, fitting, and dispensing appropriate listening and 
vibrotactile devices, and evaluating the effectiveness of those devices.
    (3) Family training, counseling, and home visits means services 
provided, as appropriate, by social workers, psychologists, and other 
qualified personnel to assist the family of a child eligible under this 
part in understanding the special needs of the child and enhancing the 
child's development.
    (4) Health services (See Sec. 303.13).
    (5) Medical services only for diagnostic or evaluation purposes 
means services

[[Page 98]]

provided by a licensed physician to determine a child's developmental 
status and need for early intervention services.
    (6) Nursing services includes--
    (i) The assessment of health status for the purpose of providing 
nursing care, including the identification of patterns of human response 
to actual or potential health problems;
    (ii) Provision of nursing care to prevent health problems, restore 
or improve functioning, and promote optimal health and development; and
    (iii) Administration of medications, treatments, and regimens 
prescribed by a licensed physician.
    (7) Nutrition services includes--
    (i) Conducting individual assessments in--
    (A) Nutritional history and dietary intake;
    (B) Anthropometric, biochemical, and clinical variables;
    (C) Feeding skills and feeding problems; and
    (D) Food habits and food preferences;
    (ii) Developing and monitoring appropriate plans to address the 
nutritional needs of children eligible under this part, based on the 
findings in paragraph (d)(7)(i) of this section; and
    (iii) Making referrals to appropriate community resources to carry 
out nutrition goals.
    (8) Occupational therapy includes services to address the functional 
needs of a child related to adaptive development, adaptive behavior and 
play, and sensory, motor, and postural development. These services are 
designed to improve the child's functional ability to perform tasks in 
home, school, and community settings, and include--
    (i) Identification, assessment, and intervention;
    (ii) Adaptation of the environment, and selection, design, and 
fabrication of assistive and orthotic devices to facilitate development 
and promote the acquisition of functional skills; and
    (iii) Prevention or minimization of the impact of initial or future 
impairment, delay in development, or loss of functional ability.
    (9) Physical therapy includes services to address the promotion of 
sensorimotor function through enhancement of musculoskeletal status, 
neurobehavioral organization, perceptual and motor development, 
cardiopulmonary status, and effective environmental adaptation. These 
services include--
    (i) Screening, evaluation, and assessment of infants and toddlers to 
identify movement dysfunction;
    (ii) Obtaining, interpreting, and integrating information 
appropriate to program planning to prevent, alleviate, or compensate for 
movement dysfunction and related functional problems; and
    (iii) Providing individual and group services or treatment to 
prevent, alleviate, or compensate for movement dysfunction and related 
functional problems.
    (10) Psychological services includes--
    (i) Administering psychological and developmental tests and other 
assessment procedures;
    (ii) Interpreting assessment results;
    (iii) Obtaining, integrating, and interpreting information about 
child behavior, and child and family conditions related to learning, 
mental health, and development; and
    (iv) Planning and managing a program of psychological services, 
including psychological counseling for children and parents, family 
counseling, consultation on child development, parent training, and 
education programs.
    (11) Service coordination services means assistance and services 
provided by a service coordinator to a child eligible under this part 
and the child's family that are in addition to the functions and 
activities included under Sec. 303.22.
    (12) Social work services includes--
    (i) Making home visits to evaluate a child's living conditions and 
patterns of parent-child interaction;
    (ii) Preparing a social or emotional developmental assessment of the 
child within the family context;
    (iii) Providing individual and family-group counseling with parents 
and other family members, and appropriate social skill-building 
activities with the child and parents;
    (iv) Working with those problems in a child's and family's living 
situation (home, community, and any center where early intervention 
services are

[[Page 99]]

provided) that affect the child's maximum utilization of early 
intervention services; and
    (v) Identifying, mobilizing, and coordinating community resources 
and services to enable the child and family to receive maximum benefit 
from early intervention services.
    (13) Special instruction includes--
    (i) The design of learning environments and activities that promote 
the child's acquisition of skills in a variety of developmental areas, 
including cognitive processes and social interaction;
    (ii) Curriculum planning, including the planned interaction of 
personnel, materials, and time and space, that leads to achieving the 
outcomes in the child's individualized family service plan;
    (iii) Providing families with information, skills, and support 
related to enhancing the skill development of the child; and
    (iv) Working with the child to enhance the child's development.
    (14) Speech-language pathology includes--
    (i) Identification of children with communicative or oropharyngeal 
disorders and delays in development of communication skills, including 
the diagnosis and appraisal of specific disorders and delays in those 
skills;
    (ii) Referral for medical or other professional services necessary 
for the habilitation or rehabilitation of children with communicative or 
oropharyngeal disorders and delays in development of communication 
skills; and
    (iii) Provision of services for the habilitation, rehabilitation, or 
prevention of communicative or oropharyngeal disorders and delays in 
development of communication skills.
    (15) Transportation and related costs includes the cost of travel 
(e.g., mileage, or travel by taxi, common carrier, or other means) and 
other costs (e.g., tolls and parking expenses) that are necessary to 
enable a child eligible under this part and the child's family to 
receive early intervention services.
    (16) Vision services means--
    (i) Evaluation and assessment of visual functioning, including the 
diagnosis and appraisal of specific visual disorders, delays, and 
abilities;
    (ii) Referral for medical or other professional services necessary 
for the habilitation or rehabilitation of visual functioning disorders, 
or both; and
    (iii) Communication skills training, orientation and mobility 
training for all environments, visual training, independent living 
skills training, and additional training necessary to activate visual 
motor abilities.
    (e) Qualified personnel. Early intervention services must be 
provided by qualified personnel, including--
    (1) Audiologists;
    (2) Family therapists;
    (3) Nurses;
    (4) Nutritionists;
    (5) Occupational therapists;
    (6) Orientation and mobility specialists;
    (7) Pediatricians and other physicians;
    (8) Physical therapists;
    (9) Psychologists;
    (10) Social workers;
    (11) Special educators; and
    (12) Speech and language pathologists.

(Authority: 20 U.S.C. 1401 (a)(25), and (a)(26), 1472(2); H.R. Rep. No. 
198, 102d Cong., 1st Sess. 14 (1991); S. Rep. No. 84, 102d Cong., 1st 
Sess. 21-22 (1991))

    Note: The lists of services in paragraph (d) and qualified personnel 
in paragraph (e) of this section are not exhaustive. Early intervention 
services may include such services as the provision of respite and other 
family support services. Qualified personnel may include such personnel 
as vision specialists, paraprofessionals, and parent-to-parent support 
personnel.



Sec. 303.13  Health services.

    (a) As used in this part, health services means services necessary 
to enable a child to benefit from the other early intervention services 
under this part during the time that the child is receiving the other 
early intervention services.
    (b) The term includes--
    (1) Such services as clean intermittent catheterization, 
tracheostomy care, tube feeding, the changing of dressings or colostomy 
collection bags, and other health services; and
    (2) Consultation by physicians with other service providers 
concerning the special health care needs of eligible children that will 
need to be addressed

[[Page 100]]

in the course of providing other early intervention services.
    (c) The term does not include the following:
    (1) Services that are--
    (i) Surgical in nature (such as cleft palate surgery, surgery for 
club foot, or the shunting of hydrocephalus); or
    (ii) Purely medical in nature (such as hospitalization for 
management of congenital heart ailments, or the prescribing of medicine 
or drugs for any purpose).
    (2) Devices necessary to control or treat a medical condition.
    (3) Medical-health services (such as immunizations and regular 
``well-baby'' care) that are routinely recommended for all children.

(Authority: 20 U.S.C. 1472(2))

    Note: The definition in this section distinguishes between the 
health services that are required under this part and the medical-health 
services that are not required. The IFSP requirements in subpart D of 
this part provide that, to the extent appropriate, these other medical-
health services are to be included in the IFSP, along with the funding 
sources to be used in paying for the services or the steps that will be 
taken to secure the services through public or private sources. 
Identifying these services in the IFSP does not impose an obligation to 
provide the services if they are otherwise not required to be provided 
under this part. (See Sec. 303.344(e) and the note 3 following that 
section.)



Sec. 303.14  IFSP.

    As used in this part, IFSP means the individualized family service 
plan, as that term is defined in Sec. 303.340(b).

(Authority: 20 U.S.C. 1477)



Sec. 303.15  Include; including.

    As used in this part, include or including means that the items 
named are not all of the possible items that are covered whether like or 
unlike the ones named.

(Authority: 20 U.S.C. 1471-1485)



Sec. 303.16  Infants and toddlers with disabilities.

    (a) As used in this part, infants and toddlers with disabilities 
means individuals from birth through age two who need early intervention 
services because they--
    (1) Are experiencing developmental delays, as measured by 
appropriate diagnostic instruments and procedures, in one or more of the 
following areas:
    (i) Cognitive development.
    (ii) Physical development, including vision and hearing.
    (iii) Communication development.
    (iv) Social or emotional development.
    (v) Adaptive development; or
    (2) Have a diagnosed physical or mental condition that has a high 
probability of resulting in developmental delay.
    (b) The term may also include, at a State's discretion, children 
from birth through age two who are at risk of having substantial 
developmental delays if early intervention services are not provided.

(Authority: 20 U.S.C. 1472(1))

    Note 1: The phrase ``a diagnosed physical or mental condition that 
has a high probability of resulting in developmental delay,'' as used in 
paragraph (a)(2) of this section, applies to a condition if it typically 
results in developmental delay. Examples of these conditions include 
chromosomal abnormalities; genetic or congenital disorders; severe 
sensory impairments, including hearing and vision; inborn errors of 
metabolism; disorders reflecting disturbance of the development of the 
nervous system; congenital infections; disorders secondary to exposure 
to toxic substances, including fetal alcohol syndrome; and severe 
attachment disorders.

    Note 2: With respect to paragraph (b) of this section, children who 
are at risk may be eligible under this part if a State elects to extend 
services to that population, even though they have not been identified 
as disabled.

    Under this provision, States have the authority to define who would 
be ``at risk of having substantial developmental delays if early 
intervention services are not provided.'' In defining the ``at risk'' 
population, States may include well-known biological and environmental 
factors that can be identified and that place infants and toddlers ``at 
risk'' for developmental delay. Commonly cited factors include low birth 
weight, respiratory distress as a newborn, lack of oxygen, brain 
hemorrhage, infection, nutritional deprivation, and a history of abuse 
or neglect. It should be noted that ``at risk'' factors do not predict 
the presence of a barrier to development, but they may indicate children 
who are at higher risk of developmental delay than children without 
these problems.

[[Page 101]]



Sec. 303.17  Multidisciplinary.

    As used in this part, multidisciplinary means the involvement of two 
or more disciplines or professions in the provision of integrated and 
coordinated services, including evaluation and assessment activities in 
Sec. 303.322 and development of the IFSP in Sec. 303.342.

(Authority: 20 U.S.C. 1476(b)(3), 1477(a))



Sec. 303.18  Parent.

    As used in this part, parent means a parent, a guardian, a person 
acting as a parent of a child, or a surrogate parent who has been 
appointed in accordance with Sec. 303.406. The term does not include the 
State if the child is a ward of the State.

(Authority: 20 U.S.C. 1477)

    Note: The term parent has been defined to include persons acting in 
the place of a parent, such as a grandparent or stepparent with whom a 
child lives, as well as persons who are legally responsible for the 
child's welfare. The definition in this section is identical to the 
definition used in the regulations under part B of the Act (34 CFR 
300.13).



Sec. 303.19  Policies.

    (a) As used in this part, policies means State statutes, 
regulations, Governor's orders, directives by the lead agency, or other 
written documents that represent the State's position concerning any 
matter covered under this part.
    (b) State policies include--
    (1) A State's commitment to develop and implement the statewide 
system (see Sec. 303.150);
    (2) A State's eligibility criteria and procedures (see 
Sec. 303.300);
    (3) A statement that, consistent with Sec. 303.520(b), provides that 
services under this part will be provided at no cost to parents, except 
where a system of payments is provided for under Federal or State law.
    (4) A State's standards for personnel who provide services to 
children eligible under this part (see Sec. 303.361);
    (5) A State's position and procedures related to contracting or 
making other arrangements with service providers under subpart F of this 
part; and
    (6) Other positions that the State has adopted related to 
implementing any of the other requirements under this part.

(Authority: 20 U.S.C. 1471-1485)



Sec. 303.20  Public agency.

    As used in this part, public agency includes the lead agency and any 
other political subdivision of the State that is responsible for 
providing early intervention services to children eligible under this 
part and their families.

(Authority: 20 U.S.C. 1471-1485)



Sec. 303.21  Qualified.

    As used in this part, qualified means that a person has met State 
approved or recognized certification, licensing, registration, or other 
comparable requirements that apply to the area in which the person is 
providing early intervention services.

(Authority: 20 U.S.C. 1472(2))

    Note: These regulations contain the following provisions relating to 
a State's responsibility to ensure that personnel are qualified to 
provide early intervention services:

    1. Section 303.12(a)(4) provides that early intervention services 
must meet State standards. This provision implements a requirement that 
is similar to a longstanding provision under part B of the Act (i.e., 
that the State educational agency establish standards and ensure that 
those standards are currently met for all programs providing special 
education and related services).
    2. Section 303.12(a)(3)(ii) provides that early intervention 
services must be provided by qualified personnel.
    3. Section 303.361(b) requires statewide systems to have policies 
and procedures relating to personnel standards.



Sec. 303.22  Service coordination (case management).

    (a) General. (1) As used in this part, except in Sec. 303.12(d)(11), 
service coordination means the activities carried out by a service 
coordinator to assist and enable a child eligible under this part and 
the child's family to receive the rights, procedural safeguards, and 
services that are authorized to be provided under the State's early 
intervention program.
    (2) Each child eligible under this part and the child's family must 
be provided with one service coordinator who is responsible for--

[[Page 102]]

    (i) Coordinating all services across agency lines; and
    (ii) Serving as the single point of contact in helping parents to 
obtain the services and assistance they need.
    (3) Service coordination is an active, ongoing process that 
involves--
    (i) Assisting parents of eligible children in gaining access to the 
early intervention services and other services identified in the 
individualized family service plan;
    (ii) Coordinating the provision of early intervention services and 
other services (such as medical services for other than diagnostic and 
evaluation purposes) that the child needs or is being provided;
    (iii) Facilitating the timely delivery of available services; and
    (iv) Continuously seeking the appropriate services and situations 
necessary to benefit the development of each child being served for the 
duration of the child's eligibility.
    (b) Specific service coordination activities. Service coordination 
activities include--
    (1) Coordinating the performance of evaluations and assessments;
    (2) Facilitating and participating in the development, review, and 
evaluation of individualized family service plans;
    (3) Assisting families in identifying available service providers;
    (4) Coordinating and monitoring the delivery of available services;
    (5) Informing families of the availability of advocacy services;
    (6) Coordinating with medical and health providers; and
    (7) Facilitating the development of a transition plan to preschool 
services, if appropriate.
    (c) Employment and assignment of service coordinators. (1) Service 
coordinators may be employed or assigned in any way that is permitted 
under State law, so long as it is consistent with the requirements of 
this part.
    (2) A State's policies and procedures for implementing the statewide 
system of early intervention services must be designed and implemented 
to ensure that service coordinators are able to effectively carry out on 
an interagency basis the functions and services listed under paragraphs 
(a) and (b) of this section.
    (d) Qualifications of service coordinators. Service coordinators 
must be persons who, consistent with Sec. 303.344(g), have demonstrated 
knowledge and understanding about--
    (1) Infants and toddlers who are eligible under this part;
    (2) Part H of the Act and the regulations in this part; and
    (3) The nature and scope of services available under the State's 
early intervention program, the system of payments for services in the 
State, and other pertinent information.

(Authority: 20 U.S.C. 1472(2))

    Note 1: If States have existing service coordination systems, the 
States may use or adapt those systems, so long as they are consistent 
with the requirements of this part.

    Note 2: The legislative history of the 1991 amendments to the Act 
indicates that the use of the term ``service coordination'' was not 
intended to affect the authority to seek reimbursement for services 
provided under Medicaid or any other legislation that makes reference to 
``case management'' services. See H.R. Rep. No. 198, 102d Cong., 1st 
Sess. 12 (1991); S. Rep. No. 84, 102d Cong., 1st Sess. 20 (1991).



Sec. 303.23  State.

    Except as provided in Sec. 303.200(b)(3), State means each of the 50 
States, the Commonwealth of Puerto Rico, the District of Columbia, and 
the jurisdictions of Guam, American Samoa, the Virgin Islands, the 
Commonwealth of the Northern Mariana Islands, and Palau (until the 
Compact of Free Association with Palau takes effect pursuant to section 
101(a) of Pub. L. 99-658).

(Authority: 20 U.S.C. 1401(a)(6))



Sec. 303.24  EDGAR definitions that apply.

    The following terms used in this part are defined in 34 CFR 77.1:

Applicant
Award
Contract
Department
EDGAR
Fiscal year
Grant
Grantee
Grant period
Private
Public

[[Page 103]]

Secretary

(Authority: 20 U.S.C. 1471-1485)



                Subpart B--State Application for a Grant

                          General Requirements



Sec. 303.100  Conditions of assistance.

    (a) In order to receive funds under this part for any fiscal year, a 
State must--
    (1) Have an approved application that contains the information 
required in this subpart for the year in which the State is applying; 
and
    (2) Have on file with the Secretary the statement of assurances 
required under Secs. 303.120 through 303.128.
    (b) For years one through five, a State shall submit an annual 
application. Thereafter, a State may submit a three-year application.

(Authority: 20 U.S.C. 1478)



Sec. 303.101  How the Secretary disapproves a State's application or statement of assurances.

    The Secretary follows the procedures in 34 CFR 300.581 through 
300.586 before disapproving a State's application or statement of 
assurances submitted under this part.

(Authority: 20 U.S.C. 1478)

                          Public Participation



Sec. 303.110  General requirements and timelines for public participation.

    (a) Before submitting to the Secretary its application under this 
part, and before adopting a new or revised policy that is not in its 
current application, a State shall--
    (1) Publish the application or policy in a manner that will ensure 
circulation throughout the State for at least a 60-day period, with an 
opportunity for comment on the application or policy for at least 30 
days during that period;
    (2) Hold public hearings on the application or policy during the 60-
day period required in paragraph (a)(1) of this section; and
    (3) Provide adequate notice of the hearings required in paragraph 
(a)(2) of this section at least 30 days before the dates that the 
hearings are conducted.
    (b) A State may request the Secretary to waive compliance with the 
timelines in paragraph (a) of this section. The Secretary grants the 
request if the State demonstrates that--
    (1) There are circumstances that would warrant such an exception; 
and
    (2) The timelines that will be followed provide an adequate 
opportunity for public participation and comment.

(Authority: 20 U.S.C. 1478(a)(4))



Sec. 303.111  Notice of public hearings and opportunity to comment.

    The notice required in Sec. 303.110(a)(3) must--
    (a) Be published in newspapers or announced in other media, or both, 
with coverage adequate to notify the general public throughout the State 
about the hearings and opportunity to comment on the application or 
policy; and
    (b) Be in sufficient detail to inform the public about--
    (1) The purpose and scope of the State application or policy, and 
its relationship to prt H of the Act;
    (2) The length of the comment period and the date, time, and 
location of each hearing; and
    (3) The procedures for providing oral comments or submitting written 
comments.

(Authority: 20 U.S.C. 1478(a)(4)(A))



Sec. 303.112  Public hearings.

    Each State shall hold public hearings in a sufficient number and at 
times and places that afford interested parties throughout the State a 
reasonable opportunity to participate.

(Authority: 20 U.S.C. 1478(a)(4))



Sec. 303.113  Reviewing and reporting on public comments received.

    (a) Review of comments. Before adopting its application, and before 
the adoption of a new or revised policy not in the application, the lead 
agency shall--
    (1) Review and consider all public comments; and
    (2) Make any modifications it deems necessary in the application or 
policy.
    (b) Reporting on comments to the Secretary. In submitting the 
State's application or policy to the Secretary, the lead agency shall 
include--

[[Page 104]]

    (1) A summary of the public comments received as a result of the 
activities required in Secs. 303.110 through 303.112;
    (2) The State's responses to those comments; and
    (3) Copies of news releases, advertisements, and announcements used 
to provide notice.

(Authority: 20 U.S.C. 1478(a))

                         Statement of Assurances



Sec. 303.120  General.

    (a) A State's statement of assurances must contain the information 
required in Secs. 303.121 through 303.128.
    (b) Unless otherwise required by the Secretary, the statement is 
submitted only once, and remains in effect throughout the term of a 
State's participation under this part.
    (c) A State may submit a revised statement of assurances if the 
statement is consistent with the requirements in Secs. 303.121 through 
303.128.

(Authority: 20 U.S.C. 1478(b))



Sec. 303.121  Reports and records.

    The statement must provide for--
    (a) Making reports in such form and containing such information as 
the Secretary may require; and
    (b) Keeping such records and affording such access to those records 
as the Secretary may find necessary to assure compliance with the 
requirements of this part, the correctness and verification of reports, 
and the proper disbursement of funds provided under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(4))



Sec. 303.122  Control of funds and property.

    The statement must provide assurance satisfactory to the Secretary 
that--
    (a) The control of funds provided under this part, and title to 
property acquired with those funds, will be in a public agency for the 
uses and purposes provided in this part; and
    (b) A public agency will administer the funds and property.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(3))



Sec. 303.123  Prohibition against commingling.

    The statement must include an assurance satisfactory to the 
Secretary that funds made available under this part will not be 
commingled with State funds.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(5)(A))

    Note: As used in this part, commingle means depositing or recording 
funds in a general account without the ability to identify each specific 
source of funds for any expenditure. Under that general definition, it 
is clear that commingling is prohibited. However, to the extent that the 
funds from each of a series of Federal, State, local, and private 
funding sources can be identified--with a clear audit trail for each 
source--it is appropriate for those funds to be consolidated for 
carrying out a common purpose. In fact, a State may find it essential to 
set out a funding plan that incorporates, and accounts for, all sources 
of funds that can be targeted on a given activity or function related to 
the State's early intervention program.
    Thus, the assurance in this section is satisfied by the use of an 
accounting system that includes an ``audit trail'' of the expenditure of 
funds awarded under this part. Separate bank accounts are not required.



Sec. 303.124  Prohibition against supplanting.

    (a) The statement must include an assurance satisfactory to the 
Secretary that Federal funds made available under this part will be used 
to supplement and increase the level of State and local funds expended 
for children eligible under this part and their families and in no case 
to supplant those State and local funds.
    (b) To meet the requirement in paragraph (a) of this section, the 
total amount of State and local funds budgeted for expenditures in the 
current fiscal year for early intervention services for children 
eligible under this part and their families must be at least equal to 
the total amount of State and local funds actually expended for early 
intervention services for these children and

[[Page 105]]

their families in the most recent preceding fiscal year for which the 
information is available. Allowance may be made for--
    (1) Decreases in the number of children who are eligible to receive 
early intervention services under this part; and
    (2) Unusually large amounts of funds expended for such long-term 
purposes as the acquisition of equipment and the construction of 
facilities.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(5)(B))



Sec. 303.125  Fiscal control.

    The statement must provide assurance satisfactory to the Secretary 
that such fiscal control and fund accounting procedures will be adopted 
as may be necessary to assure proper disbursement of, and accounting 
for, Federal funds paid under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(6))



Sec. 303.126  Payor of last resort.

    The statement must include an assurance satisfactory to the 
Secretary that the State will comply with the provisions in 
Sec. 303.527, including the requirements on--
    (a) Nonsubstitution of funds; and
    (b) Non-reduction of other benefits.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(2))



Sec. 303.127  Assurance regarding expenditure of funds.

    The statement must include an assurance satisfactory to the 
Secretary that the funds paid to the State under this part will be 
expended in accordance with the provisions of this part, including the 
requirements in Sec. 303.3.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(1))



Sec. 303.128  Traditionally underserved groups.

    The statement must include an assurance satisfactory to the 
Secretary that policies and practices have been adopted to ensure--
    (a) That traditionally underserved groups, including minority, low-
income, and rural families, are meaningfully involved in the planning 
and implementation of all the requirements of this part; and
    (b) That these families have access to culturally competent services 
within their local geographical areas.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(b)(7))

              General Requirements for a State Application



Sec. 303.140  General.

    A State's application under this part must contain the information 
required in Secs. 303.141 through 303.148.

(Authority: 20 U.S.C. 1478(a))



Sec. 303.141  Information about the Council.

    Each application must include information demonstrating that the 
State has established a State Interagency Coordinating Council that 
meets the requirements of subpart G of this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(3))



Sec. 303.142  Designation of lead agency.

    Each application must include a designation of the lead agency in 
the State that will be responsible for the administration of funds 
provided under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(1))



Sec. 303.143  Designation regarding financial responsibility.

    Each application must include a designation by the State of an 
individual or entity responsible for assigning financial responsibility 
among appropriate agencies.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(2))

[[Page 106]]



Sec. 303.144  Assurance regarding use of funds.

    Each application must include an assurance that funds received under 
this part will be used to assist the State to plan, develop, and 
implement the statewide system required under subparts D through F of 
this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475, 1478(a)(4))



Sec. 303.145  Description of use of funds.

    (a) General. Each application must include a description of how a 
State proposes to use its funds under this part for the fiscal year or 
years covered by the application. The description must be presented 
separately for the lead agency and the Council, and include the 
information required in paragraphs (b) through (d) of this section.
    (b) Administrative positions. Each application must include--
    (1) A list of administrative positions, with salaries, and a 
description of the duties for each person whose salary is paid in whole 
or in part with funds awarded under this part; and
    (2) For each position, the percentage of salary paid with those 
funds.
    (c) Planning, development, and implementation activities. Each 
application must include--
    (1) A description of the nature and scope of each major activity to 
be carried out under this part in planning, developing, and implementing 
the statewide system of early intervention services; and
    (2) The approximate amount of funds to be spent for each activity.
    (d) Direct services. (1) Each application must include a description 
of any direct services that the State expects to provide to eligible 
children and their families with funds under this part, consistent with 
Secs. 303.521 and 303.527.
    (2) The description must include information about each type of 
service to be provided, including--
    (i) A summary of the methods to be used to provide the service 
(e.g., contracts or other arrangements with specified public or private 
organizations); and
    (ii) The approximate amount of funds under this part to be used for 
the service.
    (e) Activities by other agencies. If other agencies are to receive 
funds under this part, the application must include--
    (1) The name of each agency expected to receive funds;
    (2) The approximate amount of funds each agency will receive; and
    (3) A summary of the purposes for which the funds will be used.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(4) and (a)(6))



Sec. 303.146  Information about public participation.

    Each application must include the information on public 
participation that is required in Sec. 303.113(b).

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(5))



Sec. 303.147  Equitable distribution of resources.

    (a) Each application must include a description of the procedures 
used by the State to ensure an equitable distribution of resources made 
available under this part among all geographic areas within the State.
    (b) In determining equitable distribution of resources, a State must 
take into account the need for services across all geographical areas 
within the State.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(7))



Sec. 303.148  Transition to preschool programs.

    Each application must include the policies and procedures used to 
ensure a smooth transition for individuals participating in the early 
intervention program under this part who are eligible for participation 
in preschool programs under part B of the Act, including--
    (a) A description of how the families will be included in the 
transitional plans;
    (b) A description of how the lead agency under this part will--

[[Page 107]]

    (1) Notify the appropriate local educational agency or intermediate 
educational unit in which the child resides; and
    (2) Convene, with the approval of the family, a conference among the 
lead agency, the family, and the local educational agency or unit at 
least 90 days before the child's third birthday or, if earlier, the date 
on which the child is eligible for the preschool program under part B of 
the Act in accordance with State law, to--
    (i) Review the child's program options for the period from the 
child's third birthday through the remainder of the school year; and
    (ii) Establish a transition plan; and
    (c) If the State educational agency, which is responsible for 
administering preschool programs under part B of the Act, is not the 
lead agency under this part, an interagency agreement between the two 
agencies to ensure coordination on transition matters.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1478(a)(8))

    Note 1: Among the matters that should be considered in developing 
policies and procedures to ensure a smooth transition of children from 
one program to the other are the following:

     The financial responsibilities of all appropriate agencies, 
consistent with Secs. 303.523 and 300.152.
     The responsibility for performing evaluations of children 
(see Secs. 303.322 and 300.531).
     The development and implementation of an individualized 
education program (``IEP'') or an individualized family service plan 
(``IFSP'') for each child, consistent with the requirements of law (see 
Sec. 303.344(h) and sections 613(a)(15) and 614(a)(5) of the Act).
     The coordination of communication between agencies and the 
child's family.
     The mechanisms to ensure the uninterrupted provision of 
appropriate services to the child.

    Note 2: While the transition requirements of the Act and this 
section pertain to children who are eligible for preschool programs 
under part B, States are encouraged to adopt policies and procedures to 
facilitate a smooth transition of other children who are exiting the 
part H program as well.

    Specific Application Requirements for Years One Through Five and 
                               Thereafter



Sec. 303.149  Application requirements for first and second years.

    A State's annual application for the first and second years of 
participation under this part must contain the information required in 
Secs. 303.141 through 303.148.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475, 1478(a))



Sec. 303.150  Third year applications.

    (a) General. A State's third year application under this part must 
contain the following:
    (1) The information required in Secs. 303.141 through 303.148.
    (2) Either--
    (i) The information and assurances regarding the statewide system of 
early intervention services, as required in paragraph (b) of this 
section; or
    (ii) If the State is eligible for a waiver, a request for a waiver, 
in accordance with the requirements in Sec. 303.151.
    (3) Other information that the Secretary may require.
    (b) Adoption of policy on statewide system. Each third year 
application must include information and assurances demonstrating to the 
satisfaction of the Secretary that--
    (1) It is the policy of the State to develop and implement a 
statewide, comprehensive, coordinated, interagency, multidisciplinary 
system for providing early intervention services to all children 
eligible under this part and their families;
    (2) The policy in paragraph (b)(1) of this section incorporates all 
of the components of the statewide system of early intervention services 
that are required under this part; and
    (3) Subject to Sec. 303.341(a), the statewide system will be in 
effect no later than the beginning of the State's fourth year of 
participation under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475(b), 1478(a))

[[Page 108]]



Sec. 303.151  Waiver of the policy adoption requirement for the third year.

    The Secretary may award a grant to a State under this part for the 
third year even if the State has not adopted the policy required in 
Sec. 303.150(b), if the State, in its third year application, includes a 
statement requesting a waiver, including--
    (a) Information demonstrating that the State has made a good faith 
effort to adopt a policy that meets the requirements in 
Sec. 303.150(b)(1) and (b)(2);
    (b) The reasons why the State was unable to meet the timeline for 
policy adoption, and the steps remaining before the policy will be 
adopted; and
    (c) An assurance that, except as provided in Sec. 303.341(a), the 
policy required in Sec. 303.150(b)(1) and (b)(2) will be adopted and go 
into effect no later than the beginning of the State's fourth year of 
participation under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475(b)(2))

    Note: An example of when the Secretary may grant a waiver is a 
situation in which a State's policy is awaiting action by the State 
legislature, but the legislative session does not commence until after 
the State's application must be submitted.



Sec. 303.152  Fourth year applications.

    A State's application for the fourth year of participation under 
this part must contain--
    (a) The information required in Secs. 303.141 through 303.148;
    (b) Information and assurances to demonstrate that--
    (1) The requirements in Sec. 303.150(b)(1) and (b)(2) are met; and
    (2) Subject to Sec. 303.341(a), the statewide system of early 
intervention services is in effect, or will be in effect no later than 
the beginning of the fourth year of the State's participation under this 
part;
    (c) Information and assurances required in Secs. 303.161 through 
303.176; and
    (d) Other information that the Secretary may require.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475(b), 1478(a))



Sec. 303.153  States with mandates as of September 1, 1986, to serve children with disabilities from birth.

    (a) Subject to the requirements in paragraph (b) of this section, a 
State that has in effect a State law, enacted before September 1, 1986, 
that requires the provision of a free appropriate public education to 
children with disabilities from birth through age two is eligible for a 
grant under this part for the first through the fourth year of its 
participation.
    (b) A State meeting the conditions in paragraph (a) of this section 
must--
    (1) Have on file with the Secretary a statement of assurances 
containing the information required in Secs. 303.121 through 303.128;
    (2) Submit an annual application for years one through four that 
contains the information in Secs. 303.141 through 303.148;
    (3) Meet the public participation requirements in Secs. 303.110 
through 303.113; and
    (4) Provide a copy of the State law that requires the provision of a 
free appropriate public education to children with disabilities from 
birth through age two.
    (c) In order to receive funds under this part for the fifth and 
succeeding years, the State must submit an application that meets the 
requirements in Sec. 303.154.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475(d))



Sec. 303.154  Applications for year five and each year thereafter.

    (a) Fifth year application. A State's application for the fifth year 
of its participation under this part must contain--
    (1) The information and assurances required in Secs. 303.141 through 
303.148 and Secs. 303.161 through 303.176;
    (2) Information and assurances demonstrating to the satisfaction of 
the Secretary that the statewide system of early intervention services 
required in this part is in effect;
    (3) A policy that, no later than the beginning of the fifth year of 
the State's participation, appropriate early intervention services will 
be available

[[Page 109]]

to all children in the State who are eligible under this part and their 
families;
    (4) A description of the services to be provided no later than the 
beginning of the fifth year, in accordance with the timetables under 
Sec. 303.302; and
    (5) Other information that the Secretary may require.
    (b) Applications for succeeding years. A State's applications for 
the succeeding years of participation under this program must contain 
information and assurances demonstrating to the satisfaction of the 
Secretary that the State will continue to meet all applicable conditions 
in paragraph (a) of this section.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475(c), 1476(b)(2), and 1478(a))



Sec. 303.155  Differential funding.

    Notwithstanding any other provision of this part, an eligible entity 
that is experiencing significant hardships in meeting the eligibility 
requirements for a grant under this part for the fourth or fifth year of 
participation may qualify for a grant for fiscal years 1990, 1991, or 
1992 under section 675(e) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1475(e))

  Components of a Statewide System--Application Requirements for Years 
                       Four, Five, and Thereafter



Sec. 303.160  Minimum components of a statewide system.

    Each application must address the minimum components of a statewide 
system of coordinated, comprehensive, multidisciplinary, interagency 
programs providing appropriate early intervention services to all 
infants and toddlers with disabilities and their families, including 
Indian infants and toddlers with disabilities on reservations. The 
minimum components of a statewide system are described in Secs. 303.161 
through 303.176.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(a), 1478(a)(9))



Sec. 303.161  State definition of developmental delay.

    Each application must include the State's definition of 
``developmental delay,'' as described in Sec. 303.300.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(1))



Sec. 303.162  Central directory.

    Each application must include information and assurances 
demonstrating to the satisfaction of the Secretary that the State has 
developed a central directory of information that meets the requirements 
in Sec. 303.301.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(7))



Sec. 303.163  Timetables for serving eligible children.

    Each application must include an assurance that the timetables 
required in Sec. 303.302 have been established and will be met.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(2))



Sec. 303.164  Public awareness program.

    Each application must include information and assurances 
demonstrating to the satisfaction of the Secretary that the State has 
established a public awareness program that meets the requirements in 
Sec. 303.320.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(6))



Sec. 303.165  Comprehensive child find system.

    Each application must include--
    (a) The policies and procedures required in Sec. 303.321(b);
    (b) Information demonstrating that the requirements on coordination 
in Sec. 303.321(c) are met;
    (c) The referral procedures required in Sec. 303.321(d), and 
either--
    (1) A description of how the referral sources are informed about the 
procedures; or

[[Page 110]]

    (2) A copy of any memorandum or other document used by the lead 
agency to transmit the procedures to the referral sources; and
    (d) The timelines in Sec. 303.321(e).

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(5))



Sec. 303.166  Evaluation, assessment, and nondiscriminatory procedures.

    Each application must include information to demonstrate that the 
requirements in Secs. 303.322 and 303.323 are met.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(3); 1477 (a)(1), (d)(2), and (d)(3))



Sec. 303.167  Individualized family service plans.

    Each application must include--
    (a) An assurance that the IFSP requirements in Sec. 303.341 will be 
met; and
    (b) Information demonstrating that--
    (1) The State's procedures for developing, reviewing, and evaluating 
IFSPs are consistent with the requirements in Secs. 303.340, 303.342, 
303.343 and 303.345; and
    (2) The content of IFSPs used in the State is consistent with the 
requirements in Sec. 303.344.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(4), 1477(d))



Sec. 303.168  Comprehensive system of personnel development (CSPD).

    Each application must include information to show that the 
requirements in Sec. 303.360(b) are met.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(8))



Sec. 303.169  Personnel standards.

    (a) Each application must include policies and procedures that are 
consistent with the requirements in Sec. 303.361.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(13))



Sec. 303.170  Procedural safeguards.

    Each application must include procedural safeguards that--
    (a) Are consistent with Secs. 303.400 through 303.406, 303.420 
through 303.425 and 303.460; and
    (b) Incorporate either--
    (1) The due process procedures in 34 CFR 300.506 through 300.512; or
    (2) The procedures that the State has developed to meet the 
requirements in Secs. 303.420(b) and 303.421 through 303.425.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(12))



Sec. 303.171  Supervision and monitoring of programs.

    Each application must include information to show that the 
requirements in Sec. 303.501 are met.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20. U.S.C. 1476(b)(9)(A))



Sec. 303.172  Lead agency procedures for resolving complaints.

    Each application must include procedures that are consistent with 
the requirements in Secs. 303.510 through 303.512.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9))



Sec. 303.173  Policies and procedures related to financial matters.

    Each application must include--
    (a) Funding policies that meet the requirements in Secs. 303.520 and 
303.521;
    (b) Information about funding sources, as required in Sec. 303.522;
    (c) Procedures to ensure the timely delivery of services, in 
accordance with Sec. 303.525; and
    (d) A procedure related to the timely reimbursement of funds under 
this part, in accordance with Secs. 303.527(b) and 303.528.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9)(D) and (b)(9)(E), 1476(b)(11), 1481)



Sec. 303.174  Interagency agreements; resolution of individual disputes.

    Each application must include--

[[Page 111]]

    (a) A copy of each interagency agreement that has been developed 
under Sec. 303.523; and
    (b) Information to show that the requirements in Sec. 303.524 are 
met.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9)(E))



Sec. 303.175  Policy for contracting or otherwise arranging for services.

    Each application must include a policy that meets the requirements 
in Sec. 303.526.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(10))



Sec. 303.176  Data collection.

    Each application must include procedures that meet the requirements 
in Sec. 303.540.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(14))

             Participation by the Secretary of the Interior



Sec. 303.180  Payments to the Secretary of the Interior for Indian tribes and tribal organizations.

    (a) The Secretary makes payments to the Secretary of the Interior 
for the coordination of assistance in the provision of early 
intervention services by the States to infants and toddlers with 
disabilities and their families on reservations served by elementary and 
secondary schools for Indian children operated or funded by the 
Department of the Interior.
    (b)(1) The Secretary of the Interior shall distribute payments under 
this part to tribes or tribal organizations (as defined under section 4 
of the Indian Self-Determination and Education Assistance Act), or 
combinations of those entities, in accordance with section 684(b) of the 
Act.
    (2) A tribe or tribal organization is eligible to receive a payment 
under this section if the tribe is on a reservation that is served by an 
elementary or secondary school operated or funded by the Bureau of 
Indian Affairs (``BIA'').
    (c)(1) Within 90 days after the end of each fiscal year the 
Secretary of the Interior shall provide the Secretary with a report on 
the payments distributed under this section.
    (2) The report must include--
    (i) The name of each tribe, tribal organization, or combination of 
those entities that received a payment for the fiscal year;
    (ii) The amount of each payment; and
    (iii) The date of each payment.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1484(b); H.R. Rep. No. 198, 102d Cong., 1st Sess. 
22 (1991))



            Subpart C--Procedures for Making Grants to States



Sec. 303.200  Formula for State allocations.

    (a) For each fiscal year, from the aggregate amount of funds 
available under this part for distribution to the States, the Secretary 
allots to each State an amount that bears the same ratio to the 
aggregate amount as the number of infants and toddlers in the State 
bears to the number of infants and toddlers in all States.
    (b) For the purpose of allotting funds to the States under paragraph 
(a) of this section--
    (1) Aggregate amount means the amount available for distribution to 
the States after the Secretary determines the amount of payments to be 
made to the Secretary of the Interior under Sec. 303.203 and to the 
jurisdictions under Sec. 303.204;
    (2) Infants and toddlers means children from birth through age two 
in the general population, based on the most recent satisfactory data as 
determined by the Secretary; and
    (3) State means each of the 50 States, the District of Columbia, and 
the Commonwealth of Puerto Rico.

(Authority: 20 U.S.C. 1484(c))



Sec. 303.201  Distribution of allotments from non-participating States.

    If a State elects not to receive its allotment, the Secretary 
reallots those funds among the remaining States, in accordance with 
Sec. 303.200(a).

(Authority: 20 U.S.C. 1484(d))

[[Page 112]]



Sec. 303.202  Minimum grant that a State may receive.

    No State receives less than 0.5 percent of the aggregate amount 
available under Sec. 303.200 or $500,000, whichever is greater.

(Authority: 20 U.S.C. 1484(c)(1))



Sec. 303.203  Payments to the Secretary of the Interior.

    The amount of the payment to the Secretary of the Interior under 
Sec. 303.180 for any fiscal year is 1.25 percent of the aggregate amount 
available to States after the Secretary determines the amount of 
payments to be made to the jurisdictions under Sec. 303.204.

(Authority: 20 U.S.C. 1484(b))



Sec. 303.204  Payments to the jurisdictions.

    From the sums appropriated to carry out this part for any fiscal 
year, the Secretary may reserve up to 1 percent for payments to the 
jurisdictions listed in Sec. 303.2 in accordance with their respective 
needs.

(Authority: 20 U.S.C. 1484(a))



Sec. 303.205  Differential funding grants.

    Notwithstanding any other provision of this part, section 675(e) of 
the Act governs--
    (a) The amount of any grant for fiscal year 1990, 1991, or 1992 
under that subsection; and
    (b) The reallotment of funds for those fiscal years.

(Authority: 20 U.S.C. 1475(e))



Subpart D--Program and Service Components of a Statewide System of Early 
                          Intervention Services

                                 General



Sec. 303.300  State eligibility criteria and procedures.

    Each statewide system of early intervention services must include 
the eligibility criteria and procedures, consistent with Sec. 303.16, 
that will be used by the State in carrying out programs under this part.
    (a) The State shall define developmental delay by--
    (1) Describing, for each of the areas listed in Sec. 303.16(a)(1), 
the procedures, including the use of informed clinical opinion, that 
will be used to measure a child's development; and
    (2) Stating the levels of functioning or other criteria that 
constitute a developmental delay in each of those areas.
    (b) The State shall describe the criteria and procedures, including 
the use of informed clinical opinion, that will be used to determine the 
existence of a condition that has a high probability of resulting in 
developmental delay under Sec. 303.16(a)(2).
    (c) If the State elects to include in its system children who are at 
risk under Sec. 303.16(b), the State shall describe the criteria and 
procedures, including the use of informed clinical opinion, that will be 
used to identify those children.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1472(1), 1476(b)(1))

    Note: Under this section and Sec. 303.322(c)(2), States are required 
to ensure that informed clinical opinion is used in determining a 
child's eligibility under this part. Informed clinical opinion is 
especially important if there are no standardized measures, or if the 
standardized procedures are not appropriate for a given age or 
developmental area. If a given standardized procedure is considered to 
be appropriate, a State's criteria could include percentiles or 
percentages of levels of functioning on standardized measures.



Sec. 303.301  Central directory.

    (a) Each system must include a central directory of information 
about--
    (1) Public and private early intervention services, resources, and 
experts available in the State;
    (2) Research and demonstration projects being conducted in the 
State; and
    (3) Professional and other groups that provide assistance to 
children eligible under this part and their families.
    (b) The information required in paragraph (a) of this section must 
be in sufficient detail to--
    (1) Ensure that the general public will be able to determine the 
nature and scope of the services and assistance available from each of 
the sources listed in the directory; and

[[Page 113]]

    (2) Enable the parent of a child eligible under this part to 
contact, by telephone or letter, any of the sources listed in the 
directory.
    (c) The central directory must be--
    (1) Updated at least annually; and
    (2) Accessible to the general public.
    (d) To meet the requirements in paragraph (c)(2) of this section, 
the lead agency shall arrange for copies of the directory to be 
available--
    (1) In each geographic region of the State, including rural areas; 
and
    (2) In places and a manner that ensure accessibility by persons with 
disabilities.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(7))

    Note: Examples of appropriate groups that provide assistance to 
eligible children and their families include parent support groups and 
advocate associations.



Sec. 303.302  Timetables for serving eligible children.

    Except as provided in Sec. 303.4, each system must include 
timetables for ensuring that appropriate early intervention services 
will be available to all infants and toddlers with disabilities in the 
State, including Indian infants and toddlers with disabilities on 
reservations, no later than the beginning of the fifth year of the 
State's participation under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1419(g), 1476(b)(2))

    Note: Amendments to the Act made by Public Law 102-119 extend the 
State's duty to make services available to Indian children on 
reservations served by BIA schools. The State's obligation under prior 
law to make services available to other Indian children is unaffected by 
these amendments.

                      Identification and Evaluation



Sec. 303.320  Public awareness program.

    Each system must include a public awareness program that focuses on 
the early identification of children who are eligible to receive early 
intervention services under this part and includes the preparation and 
dissemination by the lead agency to all primary referral sources of 
information materials for parents on the availability of early 
intervention services. The public awareness program must provide for 
informing the public about--
    (a) The State's early intervention program;
    (b) The child find system, including--
    (1) The purpose and scope of the system;
    (2) How to make referrals; and
    (3) How to gain access to a comprehensive, multidisciplinary 
evaluation and other early intervention services; and
    (c) The central directory.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(6))

    Note 1: An effective public awareness program is one that does the 
following:
    1. Provides a continuous, ongoing effort that is in effect 
throughout the State, including rural areas;
    2. Provides for the involvement of, and communication with, major 
organizations throughout the State that have a direct interest in this 
part, including public agencies at the State and local level, private 
providers, professional associations, parent groups, advocate 
associations, and other organizations;
    3. Has coverage broad enough to reach the general public, including 
those who have disabilities; and
    4. Includes a variety of methods for informing the public about the 
provisions of this part.

    Note 2: Examples of methods for informing the general public about 
the provisions of this part include: (1) Use of television, radio, and 
newspaper releases, (2) pamphlets and posters displayed in doctors' 
offices, hospitals, and other appropriate locations, and (3) the use of 
a toll-free telephone service.



Sec. 303.321  Comprehensive child find system.

    (a) General. (1) Each system must include a comprehensive child find 
system that is consistent with part B of the Act (see 34 CFR 300.128), 
and meets the requirements of paragraphs (b) through (e) of this 
section.
    (2) The lead agency, with the advice and assistance of the Council, 
shall be responsible for implementing the child find system.
    (b) Procedures. The child find system must include the policies and 
procedures that the State will follow to ensure that--

[[Page 114]]

    (1) All infants and toddlers in the State who are eligible for 
services under this part are identified, located, and evaluated; and
    (2) An effective method is developed and implemented to determine 
which children are receiving needed early intervention services, and 
which children are not receiving those services.
    (c) Coordination. (1) The lead agency, with the assistance of the 
Council, shall ensure that the child find system under this part is 
coordinated with all other major efforts to locate and identify children 
conducted by other State agencies responsible for administering the 
various education, health, and social service programs relevant to this 
part, tribes and tribal organizations that receive payments under this 
part, and other tribes and tribal organizations as appropriate, 
including efforts in the--
    (i) Program authorized under part B of the Act;
    (ii) Maternal and Child Health program under title V of the Social 
Security Act;
    (iii) Early Periodic Screening, Diagnosis and Treatment (EPSDT) 
program under title XIX of the Social Security Act;
    (iv) Developmental Disabilities Assistance and Bill of Rights Act;
    (v) Head Start Act; and
    (vi) Supplemental Security Income program under title XVI of the 
Social Security Act.
    (2) The lead agency, with the advice and assistance of the Council, 
shall take steps to ensure that--
    (i) There will not be unnecessary duplication of effort by the 
various agencies involved in the State's child find system under this 
part; and
    (ii) The State will make use of the resources available through each 
public agency in the State to implement the child find system in an 
effective manner.
    (d) Referral procedures. (1) The child find system must include 
procedures for use by primary referral sources for referring a child to 
the appropriate public agency within the system for--
    (i) Evaluation and assessment, in accordance with Secs. 303.322 and 
303.323; or
    (ii) As appropriate, the provision of services, in accordance with 
Sec. 303.342(a) or Sec. 303.345.
    (2) The procedures required in paragraph (b)(1) of this section 
must--
    (i) Provide for an effective method of making referrals by primary 
referral sources;
    (ii) Ensure that referrals are made no more than two working days 
after a child has been identified; and
    (iii) Include procedures for determining the extent to which primary 
referral sources, especially hospitals and physicians, disseminate the 
information, as described in Sec. 303.320, prepared by the lead agency 
on the availability of early intervention services to parents of infants 
and toddlers with disabilities.
    (3) As used in paragraph (d)(1) of this section, primary referral 
sources includes--
    (i) Hospitals, including prenatal and postnatal care facilities;
    (ii) Physicians;
    (iii) Parents;
    (iv) Day care programs;
    (v) Local educational agencies;
    (vi) Public health facilities;
    (vii) Other social service agencies; and
    (viii) Other health care providers.
    (e) Timelines for public agencies to act on referrals. (1) Once the 
public agency receives a referral, it shall appoint a service 
coordinator as soon as possible.
    (2) Within 45 days after it receives a referral, the public agency 
shall--
    (i) Complete the evaluation and assessment activities in 
Sec. 303.322; and
    (ii) Hold an IFSP meeting, in accordance with Sec. 303.342.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1472(2)(E)(vii), 1476(b)(5))

    Note: In developing the child find system under this part, States 
should consider (1) tracking systems based on high-risk conditions at 
birth, and (2) other activities that are being conducted by various 
agencies or organizations in the State.



Sec. 303.322  Evaluation and assessment.

    (a) General. (1) Each system must include the performance of a 
timely, comprehensive, multidisciplinary evaluation of each child, birth 
through age two, referred for evaluation, including

[[Page 115]]

assessment activities related to the child and the child's family.
    (2) The lead agency shall be responsible for ensuring that the 
requirements of this section are implemented by all affected public 
agencies and service providers in the State.
    (b) Definitions of evaluation and assessment. As used in this part--
    (1) Evaluation means the procedures used by appropriate qualified 
personnel to determine a child's initial and continuing eligibility 
under this part, consistent with the definition of ``infants and 
toddlers with disabilities'' in Sec. 303.16, including determining the 
status of the child in each of the developmental areas in paragraph 
(c)(3)(ii) of this section.
    (2) Assessment means the ongoing procedures used by appropriate 
qualified personnel throughout the period of a child's eligibility under 
this part to identify--
    (i) The child's unique strengths and needs and the services 
appropriate to meet those needs; and
    (ii) The resources, priorities, and concerns of the family and the 
supports and services necessary to enhance the family's capacity to meet 
the developmental needs of their infant or toddler with a disability.
    (c) Evaluation and assessment of the child. The evaluation and 
assessment of each child must--
    (1) Be conducted by personnel trained to utilize appropriate methods 
and procedures;
    (2) Be based on informed clinical opinion; and
    (3) Include the following:
    (i) A review of pertinent records related to the child's current 
health status and medical history.
    (ii) An evaluation of the child's level of functioning in each of 
the following developmental areas:
    (A) Cognitive development.
    (B) Physical development, including vision and hearing.
    (C) Communication development.
    (D) Social or emotional development.
    (E) Adaptive development.
    (iii) An assessment of the unique needs of the child in terms of 
each of the developmental areas in paragraph (c)(3)(ii) of this section, 
including the identification of services appropriate to meet those 
needs.
    (d) Family assessment. (1) Family assessments under this part must 
be family-directed and designed to determine the resources, priorities, 
and concerns of the family related to enhancing the development of the 
child.
    (2) Any assessment that is conducted must be voluntary on the part 
of the family.
    (3) If an assessment of the family is carried out, the assessment 
must--
    (i) Be conducted by personnel trained to utilize appropriate methods 
and procedures;
    (ii) Be based on information provided by the family through a 
personal interview; and
    (iii) Incorporate the family's description of its resources, 
priorities, and concerns related to enhancing the child's development.
    (e) Timelines. (1) Except as provided in paragraph (e)(2) of this 
section, the evaluation and initial assessment of each child (including 
the family assessment) must be completed within the 45-day time period 
required in Sec. 303.321(e).
    (2) The lead agency shall develop procedures to ensure that in the 
event of exceptional circumstances that make it impossible to complete 
the evaluation and assessment within 45 days (e.g., if a child is ill), 
public agencies will--
    (i) Document those circumstances; and
    (ii) Develop and implement an interim IFSP, to the extent 
appropriate and consistent with Sec. 303.345 (b)(1) and (b)(2).

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(3); 1477 (a)(1), (a)(2), (d)(1), and 
(d)(2))

    Note: This section combines into one overall requirement the 
provisions on evaluation and assessment under the following sections of 
the Act: (1) section 676(b)(3) (timely, comprehensive, multidisciplinary 
evaluation), and (2) section 677(a) (1) and (2) (multidisciplinary and 
family-directed assessments).

    The section also requires that the evaluation-assessment process be 
broad enough to obtain information required in the IFSP concerning (1) 
the family's resources, priorities, and concerns related to the 
development of the child (section 677(d)(2)), and (2) the

[[Page 116]]

child's functioning level in each of the five developmental areas 
(section 677(d)(1)).



Sec. 303.323  Nondiscriminatory procedures.

    Each lead agency shall adopt nondiscriminatory evaluation and 
assessment procedures. The procedures must provide that public agencies 
responsible for the evaluation and assessment of children and families 
under this part shall ensure, at a minimum, that--
    (a) Tests and other evaluation materials and procedures are 
administered in the native language of the parents or other mode of 
communication, unless it is clearly not feasible to do so;
    (b) Any assessment and evaluation procedures and materials that are 
used are selected and administered so as not to be racially or 
culturally discriminatory;
    (c) No single procedure is used as the sole criterion for 
determining a child's eligibility under this part; and
    (d) Evaluations and assessments are conducted by qualified 
personnel.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(3); 1477 (a)(1), (d)(2), and

               Individualized Family Service Plans (IFSPs)



Sec. 303.340  General.

    (a) Each system must include policies and procedures regarding 
individualized family service plans (IFSPs) that meet the requirements 
of this section and Secs. 303.341 through 303.346.
    (b) As used in this part, individualized family service plan and 
IFSP mean a written plan for providing early intervention services to a 
child eligible under this part and the child's family. The plan must--
    (1) Be developed in accordance with Secs. 303.342 and 303.343;
    (2) Be based on the evaluation and assessment described in 
Sec. 303.322; and
    (3) Include the matters specified in Sec. 303.344.
    (c) Lead agency responsibility. The lead agency shall ensure that an 
IFSP is developed and implemented for each eligible child, in accordance 
with the requirements of this part. If there is a dispute between 
agencies as to who has responsibility for developing or implementing an 
IFSP, the lead agency shall resolve the dispute or assign 
responsibility.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1477)

    Note: In instances where an eligible child must have both an IFSP 
and an individualized service plan under another Federal program, it may 
be possible to develop a single consolidated document, provided that it 
(1) contains all of the required information in Sec. 303.344, and (2) is 
developed in accordance with the requirements of this part.



Sec. 303.341  Meeting the IFSP requirements for years four and five.

    (a) Fourth year requirements. No later than the beginning of the 
fourth year of a State's participation under this part, the State shall 
ensure that--
    (1) Evaluations and assessments are conducted in accordance with 
Sec. 303.322;
    (2) An IFSP is developed, in accordance with Secs. 303.342(a) and 
303.343(a), for each child determined to be eligible under this part and 
the child's family; and
    (3) Service coordination services are available to each eligible 
child and the child's family.
    (b) Requirements for the fifth year. No later than the beginning of 
the fifth year of a State's participation under this part, a current 
IFSP must be in effect and implemented for each eligible child and the 
child's family.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(2) and (b)(4), 1477(a)(2) and (c))



Sec. 303.342  Procedures for IFSP development, review, and evaluation.

    (a) Meeting to develop initial IFSP--timelines. For a child who has 
been evaluated for the first time and determined to be eligible, a 
meeting to develop the initial IFSP must be conducted within the 45-day 
time period in Sec. 303.321(e).
    (b) Periodic review. (1) A review of the IFSP for a child and the 
child's family must be conducted every six months, or more frequently if 
conditions warrant, or if the family requests such a review. The purpose 
of the periodic review is to determine--

[[Page 117]]

    (i) The degree to which progress toward achieving the outcomes is 
being made; and
    (ii) Whether modification or revision of the outcomes or services is 
necessary.
    (2) The review may be carried out by a meeting or by another means 
that is acceptable to the parents and other participants.
    (c) Annual meeting to evaluate the IFSP. A meeting must be conducted 
on at least an annual basis to evaluate the IFSP for a child and the 
child's family, and, as appropriate, to revise its provisions. The 
results of any current evaluations conducted under Sec. 303.322(c), and 
other information available from the ongoing assessment of the child and 
family, must be used in determining what services are needed and will be 
provided.
    (d) Accessibility and convenience of meetings. (1) IFSP meetings 
must be conducted--
    (i) In settings and at times that are convenient to families; and
    (ii) In the native language of the family or other mode of 
communication used by the family, unless it is clearly not feasible to 
do so.
    (2) Meeting arrangements must be made with, and written notice 
provided to, the family and other participants early enough before the 
meeting date to ensure that they will be able to attend.
    (e) Parental consent. The contents of the IFSP must be fully 
explained to the parents and informed written consent from the parents 
must be obtained prior to the provision of early intervention services 
described in the plan. If the parents do not provide consent with 
respect to a particular early intervention service or withdraw consent 
after first providing it, that service may not be provided. The early 
intervention services to which parental consent is obtained must be 
provided.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1477)

    Note: The requirement for the annual evaluation incorporates the 
periodic review process. Therefore, it is necessary to have only one 
separate periodic review each year (i.e., six months after the initial 
and subsequent annual IFSP meetings), unless conditions warrant 
otherwise.

    Because the needs of infants and toddlers change so rapidly during 
the course of a year, certain evaluation procedures may need to be 
repeated before conducting the periodic reviews and annual evaluation 
meetings in paragraphs (b) and (c) of this section.



Sec. 303.343  Participants in IFSP meetings and periodic reviews.

    (a) Initial and annual IFSP meetings. (1) Each initial meeting and 
each annual meeting to evaluate the IFSP must include the following 
participants:
    (i) The parent or parents of the child.
    (ii) Other family members, as requested by the parent, if feasible 
to do so;
    (iii) An advocate or person outside of the family, if the parent 
requests that the person participate.
    (iv) The service coordinator who has been working with the family 
since the initial referral of the child for evaluation, or who has been 
designated by the public agency to be responsible for implementation of 
the IFSP.
    (v) A person or persons directly involved in conducting the 
evaluations and assessments in Sec. 303.322.
    (vi) As appropriate, persons who will be providing services to the 
child or family.
    (2) If a person listed in paragraph (a)(1)(v) of this section is 
unable to attend a meeting, arrangements must be made for the person's 
involvement through other means, including--
    (i) Participating in a telephone conference call;
    (ii) Having a knowledgeable authorized representative attend the 
meeting; or
    (iii) Making pertinent records available at the meeting.
    (b) Periodic review. Each periodic review must provide for the 
participation of persons in paragraphs (a)(1)(i) through (a)(1)(iv) of 
this section. If conditions warrant, provisions must be made for the 
participation of other representatives identified in paragraph (a) of 
this section.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1477(b))

[[Page 118]]



Sec. 303.344  Content of an IFSP.

    (a) Information about the child's status. (1) The IFSP must include 
a statement of the child's present levels of physical development 
(including vision, hearing, and health status), cognitive development, 
communication development, social or emotional development, and adaptive 
development.
    (2) The statement in paragraph (a)(1) of this section must be based 
on professionally acceptable objective criteria.
    (b) Family information. With the concurrence of the family, the IFS 
must include a statement of the family's resources, priorities, and 
concerns related to enhancing the development of the child.
    (c) Outcomes. The IFSP must include a statement of the major 
outcomes expected to be achieved for the child and family, and the 
criteria, procedures, and timeliness used to determine--
    (1) The degree to which progress toward achieving the outcomes is 
being made; and
    (2) Whether modifications or revisions of the outcomes or services 
are necessary.
    (d) Early intervention services. (1) The IFSP must include a 
statement of the specific early intervention services necessary to meet 
the unique needs of the child and the family to achieve the outcomes 
identified in paragraph (c) of this section, including--
    (i) The frequency, intensity, and method of delivering the services;
    (ii) The natural environments, as described in Sec. 303.12(b), in 
which early intervention services will be provided;
    (iii) The location of the services; and
    (iv) The payment arrangements, if any.
    (2) As used in paragraph (d)(1)(i) of this section--
    (i) Frequency and intensity mean the number of days or sessions that 
a service will be provided, the length of time the service is provided 
during each session, and whether the service is provided on an 
individual or group basis; and
    (ii) Method means how a service is provided.
    (3) As used in paragraph (d)(1)(iii) of this section, location means 
the actual place or places where a service will be provided.
    (e) Other services. (1) To the extent appropriate, the IFSP must 
include--
    (i) Medical and other services that the child needs, but that are 
not required under this part; and
    (ii) The funding sources to be used in paying for those services or 
the steps that will be taken to secure those services through public or 
private sources.
    (2) The requirement in paragraph (e)(1) of this section does not 
apply to routine medical services (e.g., immunizations and ``well-baby'' 
care), unless a child needs those services and the services are not 
otherwise available or being provided.
    (f) Dates; duration of services. The IFSP must include--
    (1) The projected dates for initiation of the services in paragraph 
(d)(1) of this section as soon as possible after the IFSP meetings 
described in Sec. 303.342; and
    (2) The anticipated duration of those services.
    (g) Service coordinator. (1) The IFSP must include the name of the 
service coordinator from the profession most immediately relevant to the 
child's or family's needs (or who is otherwise qualified to carry out 
all applicable responsibilities under this part), who will be 
responsible for the implementation of the IFSP and coordination with 
other agencies and persons.
    (2) In meeting the requirements in paragraph (g)(1) of this section, 
the public agency may--
    (i) Assign the same service coordinator who was appointed at the 
time that the child was initially referred for evaluation to be 
responsible for implementing a child's and family's IFSP; or
    (ii) Appoint a new service coordinator.
    (3) As used in paragraph (g)(1) of this section, the term profession 
includes ``service coordination.''
    (h) Transition from part H services. (1) The IFSP must include the 
steps to be taken to support the transition of the child to--
    (i) Preschool services under part B of the Act, in accordance with 
Sec. 303.148, to the extent that those services are considered 
appropriate; or
    (ii) Other services that may be available, if appropriate.

[[Page 119]]

    (2) The steps required in paragraph (h)(1) of this section include--
    (i) Discussions with, and training of, parents regarding future 
placements and other matters related to the child's transition;
    (ii) Procedures to prepare the child for changes in service 
delivery, including steps to help the child adjust to, and function in, 
a new setting; and
    (iii) With parental consent, the transmission of information about 
the child to the local educational agency, to ensure continuity of 
services, including evaluation and assessment information required in 
Sec. 303.322, and copies of IFSPs that have been developed and 
implemented in accordance with Secs. 303.340 through 303.346.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1477(d))

    Note 1: With respect to the requirements in paragraph (d) of this 
section, the appropriate location of services for some infants and 
toddlers might be a hospital setting--during the period in which they 
require extensive medical intervention. However, for these and other 
eligible children, early intervention services must be provided in 
natural environments (e.g., the home, child care centers, or other 
community settings) to the maximum extent appropriate to the needs of 
the child.

    Note 2: Throughout the process of developing and implementing IFSPs 
for an eligible child and the child's family, it is important for 
agencies to recognize the variety of roles that family members play in 
enhancing the child's development. It also is important that the degree 
to which the needs of the family are addressed in the IFSP process is 
determined in a collaborative manner with the full agreement and 
participation of the parents of the child. Parents retain the ultimate 
decision in determining whether they, their child, or other family 
members will accept or decline services under this part.

    Note 3: The early intervention services in paragraph (d) of this 
section are those services that a State is required to provide to a 
child in accordance with Sec. 303.12.

    The ``other services'' in paragraph (e) of this section are services 
that a child or family needs, but that are neither required nor covered 
under this part. While listing the non-required services in the IFSP 
does not mean that those services must be provided, their identification 
can be helpful to both the child's family and the service coordinator, 
for the following reasons: First, the IFSP would provide a comprehensive 
picture of the child's total service needs (including the need for 
medical and health services, as well as early intervention services). 
Second, it is appropriate for the service coordinator to assist the 
family in securing the non-required services (e.g., by (1) determining 
if there is a public agency that could provide financial assistance, if 
needed, (2) assisting in the preparation of eligibility claims or 
insurance claims, if needed, and (3) assisting the family in seeking out 
and arranging for the child to receive the needed medical-health 
services).
    Thus, to the extent appropriate, it is important for a State's 
procedures under this part to provide for ensuring that other needs of 
the child, and of the family related to enhancing the development of the 
child, such as medical and health needs, are considered and addressed, 
including determining (1) who will provide each service, and when, 
where, and how it will be provided, and (2) how the service will be paid 
for (e.g., through private insurance, an existing Federal-State funding 
source, such as Medicaid or EPSDT, or some other funding arrangement).

    Note 4: Although the IFSP must include information about each of the 
items in paragraphs (b) through (h) of this section, this does not mean 
that the IFSP must be a detailed, lengthy document. It might be a brief 
outline, with appropriate attachments that address each of the points in 
the paragraphs under this section. It is important for the IFSP itself 
to be clear about (a) what services are to be provided, (b) the actions 
that are to be taken by the service coordinator in initiating those 
services, and (c) what actions will be taken by the parents.



Sec. 303.345  Provision of services before evaluation and assessment are completed.

    Early intervention services for an eligible child and the child's 
family may commence before the completion of the evaluation and 
assessment in Sec. 303.322, if the following conditions are met:
    (a) Parental consent is obtained.
    (b) An interim IFSP is developed that includes--
    (1) The name of the service coordinator who will be responsible, 
consistent with Sec. 303.344(g), for implementation of the interim IFSP 
and coordination with other agencies and persons; and
    (2) The early intervention services that have been determined to be 
needed immediately by the child and the child's family.

[[Page 120]]

    (c) The evaluation and assessment are completed within the time 
period required in Sec. 303.322(e).

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1477(c))

    Note: This section is intended to accomplish two specific purposes: 
(1) To facilitate the provision of services in the event that a child 
has obvious immediate needs that are identified, even at the time of 
referral (e.g., a physician recommends that a child with cerebral palsy 
begin receiving physical therapy as soon as possible), and (2) to ensure 
that the requirements for the timely evaluation and assessment are not 
circumvented.



Sec. 303.346  Responsibility and accountability.

    Each agency or person who has a direct role in the provision of 
early intervention services is responsible for making a good faith 
effort to assist each eligible child in achieving the outcomes in the 
child's IFSP. However, part H of the Act does not require that any 
agency or person be held accountable if an eligible child does not 
achieve the growth projected in the child's IFSP.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1477)

                    Personnel Training and Standards



Sec. 303.360  Comprehensive system of personnel development.

    (a) Each system must include a comprehensive system of personnel 
development.
    (b) The personnel development system under this part must--
    (1) Be consistent with the comprehensive system of personnel 
development required under part B of the Act (34 CFR 300.380 through 
300.387);
    (2) Provide for preservice and inservice training to be conducted on 
an interdisciplinary basis, to the extent appropriate;
    (3) Provide for the training of a variety of personnel needed to 
meet the requirements of this part, including public and private 
providers, primary referral sources, paraprofessionals, and persons who 
will serve as service coordinators; and
    (4) Ensure that the training provided relates specifically to--
    (i) Understanding the basic components of early intervention 
services available in the State;
    (ii) Meeting the interrelated social or emotional, health, 
developmental, and educational needs of eligible children under this 
part; and
    (iii) Assisting families in enhancing the development of their 
children, and in participating fully in the development and 
implementation of IFSPs.
    (c) A personnel development system under this part may include--
    (1) Implementing innovative strategies and activities for the 
recruitment and retention of early intervention service providers;
    (2) Promoting the preparation of early intervention providers who 
are fully and appropriately qualified to provide early intervention 
services under this part;
    (3) Training personnel to work in rural areas; and
    (4) Training personnel to coordinate transition services for infants 
and toddlers with disabilities from an early intervention program under 
this part to a preschool program under part B of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(8))



Sec. 303.361  Personnel standards.

    (a) As used in this part--
    (1) Appropriate professional requirements in the State means entry 
level requirements that--
    (i) Are based on the highest requirements in the State applicable to 
the profession or discipline in which a person is providing early 
intervention services; and
    (ii) Establish suitable qualifications for personnel providing early 
intervention services under this part to eligible children and their 
families who are served by State, local, and private agencies.
    (2) Highest requirements in the State applicable to a specific 
profession or discipline means the highest entry-level academic degree 
needed for any State approved or recognized certification, licensing, 
registration, or other comparable requirements that apply to that 
profession or discipline.

[[Page 121]]

    (3) Profession or discipline means a specific occupational category 
that--
    (i) Provides early intervention services to children eligible under 
this part and their families;
    (ii) Has been established or designated by the State; and
    (iii) Has a required scope of responsibility and degree of 
supervision.
    (4) State approved or recognized certification, licensing, 
registration, or other comparable requirements means the requirements 
that a State legislature either has enacted or has authorized a State 
agency to promulgate through rules to establish the entry-level 
standards for employment in a specific profession or discipline in that 
State.
    (b)(1) Each statewide system must have policies and procedures 
relating to the establishment and maintenance of standards to ensure 
that personnel necessary to carry out the purposes of this part are 
appropriately and adequately prepared and trained.
    (2) The policies and procedures required in paragraph (b)(1) of this 
section must provide for the establishment and maintenance of standards 
that are consistent with any State-approved or State-recognized 
certification, licensing, registration, or other comparable requirements 
that apply to the profession or discipline in which a person is 
providing early intervention services.
    (c) To the extent that a State's standards for a profession or 
discipline, including standards for temporary or emergency 
certification, are not based on the highest requirements in the State 
applicable to a specific profession or discipline, the State's 
application for assistance under this part must include the steps the 
State is taking, the procedures for notifying public agencies and 
personnel of those steps, and the timelines it has established for the 
retraining or hiring of personnel that meet appropriate professional 
requirements in the State.
    (d)(1) In meeting the requirements in paragraphs (b) and (c) of this 
section, a determination must be made about the status of personnel 
standards in the State. That determination must be based on current 
information that accurately describes, for each profession or discipline 
in which personnel are providing early intervention services, whether 
the applicable standards are consistent with the highest requirements in 
the State for that profession or discipline.
    (2) The information required in paragraph (d)(1) of this section 
must be on file in the lead agency, and available to the public.
    (e) In identifying the ``highest requirements in the State'' for 
purposes of this section, the requirements of all State statutes and the 
rules of all State agencies applicable to serving children eligible 
under this part and their families must be considered.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(13))

    Note: This section requires that a State use its own existing 
highest requirements to determine the standards appropriate to personnel 
who provide early intervention services under this part. The regulations 
do not require States to set any specified training standard, such as a 
master's degree, for employment of personnel who provide services under 
this part.
    The regulations permit each State to determine the specific 
occupational categories required to provide early intervention services 
to children eligible under this part and their families, and to revise 
or expand these categories as needed. The professions or disciplines 
need not be limited to traditional occupational categories.



                    Subpart E--Procedural Safeguards

                                 General



Sec. 303.400  General responsibility of lead agency for procedural safeguards.

    Each lead agency shall be responsible for--
    (a) Establishing or adopting procedural safeguards that meet the 
requirements of this subpart; and
    (b) Ensuring effective implementation of the safeguards by each 
public agency in the State that is involved in the provision of early 
intervention services under this part.

(Authority: 20 U.S.C. 1480)



Sec. 303.401  Definitions of consent, native language, and personally identifiable information.

    As used in this subpart--
    (a) Consent means that--

[[Page 122]]

    (1) The parent has been fully informed of all information relevant 
to the activity for which consent is sought, in the parent's native 
language or other mode of communication;
    (2) The parent understands and agrees in writing to the carrying out 
of the activity for which consent is sought, and the consent describes 
that activity and lists the records (if any) that will be released and 
to whom; and
    (3) The parent understands that the granting of consent is voluntary 
on the part of the parent and may be revoked at any time;
    (b) Native language, where used with reference to persons of limited 
English proficiency, means the language or mode of communication 
normally used by the parent of a child eligible under this part;
    (c) Personally identifiable means that information includes--
    (1) The name of the child, the child's parent, or other family 
member;
    (2) The address of the child;
    (3) A personal identifier, such as the child's or parent's social 
security number; or
    (4) A list of personal characteristics or other information that 
would make it possible to identify the child with reasonable certainty.

(Authority: 20 U.S.C. 1480)



Sec. 303.402  Opportunity to examine records.

    In accordance with the confidentiality procedures in the regulations 
under part B of the Act (34 CFR 300.560 through 300.576), the parents of 
a child eligible under this part must be afforded the opportunity to 
inspect and review records relating to evaluations and assessments, 
eligibility determinations, development and implementation of IFSPs, 
individual complaints dealing with the child, and any other area under 
this part involving records about the child and the child's family.

(Authority: 20 U.S.C. 1480(4))



Sec. 303.403  Prior notice; native language.

    (a) General. Written prior notice must be given to the parents of a 
child eligible under this part a reasonable time before a public agency 
or service provider proposes, or refuses, to initiate or change the 
identification, evaluation, or placement of the child, or the provision 
of appropriate early intervention services to the child and the child's 
family.
    (b) Content of notice. The notice must be in sufficient detail to 
inform the parents about--
    (1) The action that is being proposed or refused;
    (2) The reasons for taking the action; and
    (3) All procedural safeguards that are available under this part.
    (c) Native language. (1) The notice must be--
    (i) Written in language understandable to the general public; and
    (ii) Provided in the native language of the parents, unless it is 
clearly not feasible to do so.
    (2) If the native language or other mode of communication of the 
parent is not a written language, the public agency, or designated 
service provider, shall take steps to ensure that--
    (i) The notice is translated orally or by other means to the parent 
in the parent's native language or other mode of communication;
    (ii) The parent understands the notice; and
    (iii) There is written evidence that the requirements of this 
paragraph have been met.
    (3) If a parent is deaf or blind, or has no written language, the 
mode of communication must be that normally used by the parent (such as 
sign language, braille, or oral communication).

(Authority: 20 U.S.C. 1480(6) and (7))



Sec. 303.404  Parent consent.

    (a) Written parental consent must be obtained before--
    (1) Conducting the initial evaluation and assessment of a child 
under Sec. 303.322; and
    (2) Initiating the provision of early intervention services (see 
Sec. 303.342(e)).
    (b) If consent is not given, the public agency shall make reasonable 
efforts to ensure that the parent--
    (1) Is fully aware of the nature of the evaluation and assessment or 
the services that would be available; and
    (2) Understands that the child will not be able to receive the 
evaluation

[[Page 123]]

and assessment or services unless consent is given.

(Authority: 20 U.S.C. 1480)

    Note 1: In addition to the consent requirements in this section, 
other consent requirements are included in (1) Sec. 303.460(a), 
regarding the exchange of personally identifiable information among 
agencies, and (2) the confidentiality provisions in the regulations 
under part B of the Act (34 CFR 300.571) and 34 CFR part 99 (Family 
Educational Rights and Privacy), both of which apply to this part.

    Note 2: Under Sec. 300.504(b) of the part B regulations, a public 
agency may initiate procedures to challenge a parent's refusal to 
consent to the initial evaluation of the parent's child and, if 
successful, obtain the evaluation. This provision applies to eligible 
children under this part, since the part B evaluation requirement 
applies to all children with disabilities in a State, including infants 
and toddlers.



Sec. 303.405  Parent right to decline service.

    The parents of a child eligible under this part may determine 
whether they, their child, or other family members will accept or 
decline any early intervention service under this part in accordance 
with State law, and may decline such a service after first accepting it, 
without jeopardizing other early intervention services under this part.

(Authority: 20 U.S.C. 1480(3))



Sec. 303.406  Surrogate parents.

    (a) General. Each lead agency shall ensure that the rights of 
children eligible under this part are protected if--
    (1) No parent (as defined in Sec. 303.18) can be identified;
    (2) The public agency, after reasonable efforts, cannot discover the 
whereabouts of a parent; or
    (3) The child is a ward of the State under the laws of that State.
    (b) Duty of lead agency and other public agencies. The duty of the 
lead agency, or other public agency under paragraph (a) of this section, 
includes the assignment of an individual to act as a surrogate for the 
parent. This must include a method for--
    (1) Determining whether a child needs a surrogate parent; and
    (2) Assigning a surrogate parent to the child.
    (c) Criteria for selecting surrogates. (1) The lead agency or other 
public agency may select a surrogate parent in any way permitted under 
State law.
    (2) Public agencies shall ensure that a person selected as a 
surrogate parent--
    (i) Has no interest that conflicts with the interests of the child 
he or she represents; and
    (ii) Has knowledge and skills that ensure adequate representation of 
the child.
    (d) Non-employee requirement; compensation. (1) A person assigned as 
a surrogate parent may not be an employee of any agency involved in the 
provision of early intervention or other services to the child.
    (2) A person who otherwise qualifies to be a surrogate parent under 
paragraph (d)(1) of this section is not an employee solely because he or 
she is paid by a public agency to serve as a surrogate parent.
    (e) Responsibilities. A surrogate parent may represent a child in 
all matters related to--
    (1) The evaluation and assessment of the child;
    (2) Development and implementation of the child's IFSPs, including 
annual evaluations and periodic reviews;
    (3) The ongoing provision of early intervention services to the 
child; and
    (4) Any other rights established under this part.

(Authority: 20 U.S.C. 1480(5))

     Impartial Procedures for Resolving Individual Child Complaints



Sec. 303.420  Administrative resolution of individual child complaints by an impartial decision-maker.

    Each system must include written procedures for the timely 
administrative resolution of individual child complaints by parents 
concerning any of the matters in Sec. 303.403(a). A State may meet this 
requirement by--
    (a) Adopting the due process procedures in 34 CFR 300.506 through 
300.512 and developing procedures that meet the requirements of 
Sec. 303.425; or
    (b) Developing procedures that--
    (1) Meet the requirements in Secs. 303.421 through 303.425; and

[[Page 124]]

    (2) Provide parents a means of filing a complaint.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480(1))

    Note 1: Sections 303.420 through 303.425 are concerned with the 
adoption of impartial procedures for resolving individual child 
complaints (i.e., complaints that generally affect only a single child 
or the child's family). These procedures require the appointment of a 
decision-maker who is impartial, as defined in Sec. 303.421(b), to 
resolve a dispute concerning any of the matters in Sec. 303.403(a). The 
decision of the impartial decision-maker is binding unless it is 
reversed on appeal.
    A different type of administrative procedure is included in 
Secs. 303.510 through 303.512 of subpart F of this part. Under those 
procedures, the lead agency is responsible for (1) investigating any 
complaint that it receives (including individual child complaints and 
those that are systemic in nature), and (2) resolving the complaint if 
the agency determines that a violation has occurred.

    Note 2: It is important that the administrative procedures developed 
by a State be designed to result in speedy resolution of complaints. An 
infant's or toddler's development is so rapid that undue delay could be 
potentially harmful.
    In an effort to facilitate resolution, States may wish, with 
parental concurrence, to offer mediation as an intervening step prior to 
implementing the procedures in this section. Although mediation is not 
required under either part B or part H of the Act, some States have 
reported that mediations conducted under part B have led to speedy 
resolution of differences between parents and agencies, without the 
development of an adversarial relationship and with minimal emotional 
stress to parents.
    While a State may elect to adopt a mediation process, the State 
cannot require that parents use that process. Mediation may not be used 
to deny or delay a parent's rights under this part. The complaint must 
be resolved, and a written decision made, within the 30-day timeline in 
Sec. 303.423.



Sec. 303.421  Appointment of an impartial person.

    (a) Qualifications and duties. An impartial person must be appointed 
to implement the complaint resolution process in this subpart. The 
person must--
    (1) Have knowledge about the provisions of this part and the needs 
of, and services available for, eligible children and their families; 
and
    (2) Perform the following duties:
    (i) Listen to the presentation of relevant viewpoints about the 
complaint, examine all information relevant to the issues, and seek to 
reach a timely resolution of the complaint.
    (ii) Provide a record of the proceedings, including a written 
decision.
    (b) Definition of impartial. (1) As used in this section, impartial 
means that the person appointed to implement the complaint resolution 
process--
    (i) Is not an employee of any agency or other entity involved in the 
provision of early intervention services or care of the child; and
    (ii) Does not have a personal or professional interest that would 
conflict with his or her objectivity in implementing the process.
    (2) A person who otherwise qualifies under paragraph (b)(1) of this 
section is not an employee of an agency solely because the person is 
paid by the agency to implement the complaint resolution process.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480(1))



Sec. 303.422  Parent rights in administrative proceedings.

    (a) General. Each lead agency shall ensure that the parents of 
children eligible under this part are afforded the rights in paragraph 
(b) of this section in any administrative proceedings carried out under 
Sec. 303.420.
    (b) Rights. Any parent involved in an administrative proceeding has 
the right to--
    (1) Be accompanied and advised by counsel and by individuals with 
special knowledge or training with respect to early intervention 
services for children eligible under this part;
    (2) Present evidence and confront, cross-examine, and compel the 
attendance of witnesses;
    (3) Prohibit the introduction of any evidence at the proceeding that 
has not been disclosed to the parent at least five days before the 
proceeding;
    (4) Obtain a written or electronic verbatim transcription of the 
proceeding; and

[[Page 125]]

    (5) Obtain written findings of fact and decisions.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480)



Sec. 303.423  Convenience of proceedings; timelines.

    (a) Any proceeding for implementing the complaint resolution process 
in this subpart must be carried out at a time and place that is 
reasonably convenient to the parents.
    (b) Each lead agency shall ensure that, not later than 30 days after 
the receipt of a parent's complaint, the impartial proceeding required 
under this subpart is completed and a written decision mailed to each of 
the parties.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480(1))

    Note: Under part B of the Act, States are allowed 45 days to conduct 
an impartial due process hearing (i.e., within 45 days after the receipt 
of a request for a hearing, a decision is reached and a copy of the 
decision is mailed to each of the parties). (See 34 CFR 300.512.) Thus, 
if a State, in meeting the requirements of Sec. 303.420, elects to adopt 
the due process procedures under part B, that State would also have 45 
days for hearings. However, any State in that situation is encouraged 
(but not required) to accelerate the timeline for the due process 
hearing for children who are eligible under this part--from 45 days to 
the 30-day timeline in this section. Because the needs of children in 
the birth-through-two-age range change so rapidly, quick resolution of 
complaints is important.



Sec. 303.424  Civil action.

    Any party aggrieved by the findings and decision regarding an 
administrative complaint has the right to bring a civil action in State 
or Federal court under section 680(1) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480(1))



Sec. 303.425  Status of a child during proceedings.

    (a) During the pendency of any proceeding involving a complaint 
under this subpart, unless the public agency and parents of a child 
otherwise agree, the child must continue to receive the appropriate 
early intervention services currently being provided.
    (b) If the complaint involves an application for initial services 
under this part, the child must receive those services that are not in 
dispute.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480(7))

                             Confidentiality



Sec. 303.460  Confidentiality of information.

    (a) Each State shall adopt or develop policies and procedures that 
the State will follow in order to ensure the protection of any 
personally identifiable information collected, used, or maintained under 
this part, including the right of parents to written notice of and 
written consent to the exchange of this information among agencies 
consistent with Federal and State law.
    (b) These policies and procedures must meet the requirements in 34 
CFR 300.560 through 300.576, with the modifications specified in 
Sec. 303.5(b).

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1480(2), 1483)

    Note: With the modifications referred to in paragraph (b) of this 
section, the confidentiality requirements in the regulations 
implementing part B of the Act (34 CFR 300.560 through 300.576) are to 
be used by public agencies to meet the confidentiality requirements 
under part H of the Act and this section (Sec. 303.460).
    The part B provisions incorporate by reference the regulations in 34 
CFR part 99 (Family Educational Rights and Privacy); therefore, those 
regulations also apply to this part.



                     Subpart F--State Administration

                                 General



Sec. 303.500  Lead agency establishment or designation.

    Each system must include a single line of responsibility in a lead 
agency that--
    (a) Is established or designated by the Governor; and
    (b) Is responsible for the administration of the system, in 
accordance with the requirements of this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9))

[[Page 126]]



Sec. 303.501  Supervision and monitoring of programs.

    (a) General. Each lead agency is responsible for--
    (1) The general administration and supervision of programs and 
activities receiving assistance under this part; and
    (2) The monitoring of programs and activities used by the State to 
carry out this part, whether or not these programs or activities are 
receiving assistance under this part, to ensure that the State complies 
with this part.
    (b) Methods of administering programs. In meeting the requirement in 
paragraph (a) of this section, the lead agency shall adopt and use 
proper methods of administering each program, including--
    (1) Monitoring agencies, institutions, and organizations used by the 
State to carry out this part;
    (2) Enforcing any obligations imposed on those agencies under part H 
of the Act and these regulations;
    (3) Providing technical assistance, if necessary, to those agencies, 
institutions, and organizations; and
    (4) Correcting deficiencies that are identified through monitoring.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9)(A))

             Lead Agency Procedures for Resolving Complaints



Sec. 303.510  Adopting complaint procedures.

    Each lead agency shall adopt written procedures for--
    (a) Resolving any complaint that any public agency is violating a 
requirement of part H of the Act or this part by--
    (1) Providing for the filing of a complaint with the lead agency; 
and
    (2) At the lead agency's discretion, providing for the filing of a 
complaint with a public agency and the right to have the lead agency 
review the public agency's decision on the complaint; and
    (b) Informing parents and other interested individuals about the 
procedures in Secs. 303.510 through 303.512.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9))

    Note: Because of the interagency nature of part H of the Act, 
complaints received under these regulations could concern violations by 
(1) any public agency in the State that receives funds under this part 
(e.g., the lead agency and the Council), (2) other public agencies that 
are involved in the State's early intervention program, or (3) private 
service providers that receive part H funds on a contract basis from a 
public agency to carry out a given function or provide a given service 
required under this part. These complaint procedures are in addition to 
any other rights under State or Federal law. The lead agency must 
provide for the filing of a complaint with the lead agency and, at the 
lead agency's discretion, with a public agency subject to a right of 
appeal to the lead agency.



Sec. 303.511  An organization or individual may file a complaint.

    An individual or organization may file a written signed complaint 
under Sec. 303.510. The complaint must include--
    (a) A statement that the State has violated a requirement of part H 
of the Act or the regulations in this part; and
    (b) The facts on which the complaint is based.


(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9))



Sec. 303.512  Minimum State complaint procedures.

    Each lead agency shall include the following in its complaint 
procedures:
    (a) A time limit of 60 calendar days after a complaint is filed 
under Sec. 303.510(a) to--
    (1) Carry out an independent on-site investigation, if the lead 
agency determines that such an investigation is necessary;
    (2) Give the complainant the opportunity to submit additional 
information, either orally or in writing, about the allegations in the 
complaint;
    (3) Review all relevant information and make an independent 
determination as to whether the public agency is violating a requirement 
of part H of the Act or of this part; and

[[Page 127]]

    (4) Issue a written decision to the complainant that addresses each 
allegation in the complaint and contains--
    (i) Findings of fact and conclusions; and
    (ii) The reasons for the lead agency's final decision.
    (b) An extension of the time limit under paragraph (a) of this 
section only if exceptional circumstances exist with respect to a 
particular complaint.
    (c) Procedures for effective implementation of the lead agency's 
final decision, if needed, including technical assistance activities, 
negotiations, and corrective actions to achieve compliance.
     (d) The right of the complainant or the public agency to request 
the Secretary to review the lead agency's final decision.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9))

          Policies and Procedures Related to Financial Matters



Sec. 303.520   Policies related to payment for services.

    (a) General. Each lead agency is responsible for establishing State 
policies related to how services to children eligible under this part 
and their families will be paid for under the State's early intervention 
program. The policies must--
    (1) Meet the requirements in paragraph (b) of this section; and
    (2) Be reflected in the interagency agreements required in 
Sec. 303.523.
    (b) Specific funding policies. A State's policies must--
    (1) Specify which functions and services will be provided at no cost 
to all parents;
    (2) Specify which functions or services, if any, will be subject to 
a system of payments, and include--
    (i) Information about the payment system and schedule of sliding 
fees that will be used; and
    (ii) The basis and amount of payments; and
    (3) Include an assurance that--
    (i) Fees will not be charged for the services that a child is 
otherwise entitled to receive at no cost to parents; and
    (ii) The inability of the parents of an eligible child to pay for 
services will not result in the denial of services to the child or the 
child's family; and
    (4) Set out any fees that will be charged for early intervention 
services and the basis for those fees.
    (c) Procedures to ensure the timely provision of services. No later 
than the beginning of the fifth year of a State's participation under 
this part, the State shall implement a mechanism to ensure that no 
services that a child is entitled to receive are delayed or denied 
because of disputes between agencies regarding financial or other 
responsibilities.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9))



Sec. 303.521  Fees.

    (a) General. A State may establish, consistent with 
Sec. 303.12(a)(3)(iv), a system of payments for early intervention 
services, including a schedule of sliding fees.
    (b) Functions not subject to fees. The following are required 
functions that must be carried out at public expense by a State, and for 
which no fees may be charged to parents:
    (1) Implementing the child find requirements in Sec. 303.321.
    (2) Evaluation and assessment, as included in Sec. 303.322, and 
including the functions related to evaluation and assessment in 
Sec. 303.12.
    (3) Service coordination, as included in Secs. 303.22 and 
303.344(g).
    (4) Administrative and coordinative activities related to--
    (i) The development, review, and evaluation of IFSPs in 
Secs. 303.340 through 303.346; and
    (ii) Implementation of the procedural safeguards in subpart E of 
this part and the other components of the statewide system of early 
intervention services in subparts D and F of this part.
    (c) States with mandates to serve children from birth. If a State 
has in effect a State law requiring the provision of a free appropriate 
public education to children with disabilities from birth, the State may 
not charge parents for any services (e.g., physical or occupational 
therapy) required under that law

[[Page 128]]

that are provided to children eligible under this part and their 
families.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1472(2))



Sec. 303.522  Identification and coordination of resources.

    (a) Each lead agency is responsible for--
    (1) The identification and coordination of all available resources 
for early intervention services within the State, including those from 
Federal, State, local, and private sources; and
    (2) Updating the information on the funding sources in paragraph 
(a)(1) of this section, if a legislative or policy change is made under 
any of those sources.
    (b) The Federal funding sources in paragraph (a)(1) of this section 
include--
    (1) Title V of the Social Security Act (relating to Maternal and 
Child Health);
    (2) Title XIX of the Social Security Act (relating to the general 
Medicaid Program, and EPSDT);
    (3) The Head Start Act;
    (4) Parts B and H of the Act;
    (5) Subpart 2 of part D of chapter 1 of title I of the Elementary 
and Secondary Education Act of 1965, as amended;
    (6) The Developmental Disabilities Assistance and Bill of Rights Act 
(Pub. L. 94-103); and
    (7) Other Federal programs.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9)(B))



Sec. 303.523  Interagency agreements.

    (a) General. Each lead agency is responsible for entering into 
formal interagency agreements with other State-level agencies involved 
in the State's early intervention program. Each agreement must meet the 
requirements in paragraphs (b) through (d) of this section.
    (b) Financial responsibility. Each agreement must define the 
financial responsibility, in accordance with Sec. 303.143, of the agency 
for paying for early intervention services (consistent with State law 
and the requirements of this part).
    (c) Procedures for resolving disputes. (1) Each agreement must 
include procedures for achieving a timely resolution of intra-agency and 
interagency disputes about payments for a given service, or disputes 
about other matters related to the State's early intervention program. 
Those procedures must include a mechanism for making a final 
determination that is binding upon the agencies involved.
    (2) The agreement with each agency must--
    (i) Permit the agency to resolve its own internal disputes (based on 
the agency's procedures that are included in the agreement), so long as 
the agency acts in a timely manner; and
    (ii) Include the process that the lead agency will follow in 
achieving resolution of intra-agency disputes, if a given agency is 
unable to resolve its own internal disputes in a timely manner.
    (d) Additional components. Each agreement must include any 
additional components necessary to ensure effective cooperation and 
coordination among all agencies involved in the State's early 
intervention program.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9)(C) and (b)(9)(F))

    Note: A State may meet the requirement in paragraph (c)(1) of this 
section in any way permitted under State law, including (1) providing 
for a third party (e.g., an administrative law judge) to review a 
dispute and render a decision, (2) assignment of the responsibility by 
the Governor to the lead agency or Council, or (3) having the final 
decision made directly by the Governor.



Sec. 303.524  Resolution of disputes.

    (a) Each lead agency is responsible for resolving individual 
disputes, in accordance with the procedures in Sec. 303.523(c)(2)(ii).
    (b)(1) During a dispute, the individual or entity responsible for 
assigning financial responsibility among appropriate agencies under 
Sec. 303.143 (``financial designee'') shall assign financial 
responsibility to--
    (i) An agency, subject to the provisions in paragraph (b)(2) of this 
section; or
    (ii) The lead agency, in accordance with the ``payor of last 
resort'' provisions in Sec. 303.527.

[[Page 129]]

    (2) If, during the lead agency's resolution of the dispute, the 
financial designee determines that the assignment of financial 
responsibility under paragraph (b)(1)(i) of this section was 
inappropriately made--
    (i) The financial designee shall reassign the responsibility to the 
appropriate agency; and
    (ii) The lead agency shall make arrangements for reimbursement of 
any expenditures incurred by the agency originally assigned 
responsibility.
    (c) To the extent necessary to ensure compliance with its action in 
paragraph (b)(2) of this section, the lead agency shall--
    (1) Refer the dispute to the Council or the Governor; and
    (2) Implement the procedures to ensure the delivery of services in a 
timely manner in accordance with Sec. 303.525.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476 (b)(9)(C) and (b)(9)(E))



Sec. 303.525  Delivery of services in a timely manner.

    Each lead agency is responsible for the development of procedures to 
ensure that services are provided to eligible children and their 
families in a timely manner, pending the resolution of disputes among 
public agencies or service providers.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(9)(D))



Sec. 303.526  Policy for contracting or otherwise arranging for services.

    Each system must include a policy pertaining to contracting or 
making other arrangements with public or private service providers to 
provide early intervention services. The policy must include--
    (a) A requirement that all early intervention services must meet 
State standards and be consistent with the provisions of this part;
    (b) The mechanisms that the lead agency will use in arranging for 
these services, including the process by which awards or other 
arrangements are made; and
    (c) The basic requirements that must be met by any individual or 
organization seeking to provide these services for the lead agency.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(10))

    Note: In implementing the statewide system, States may elect to 
continue using agencies and individuals in both the public and private 
sectors that have previously been involved in providing early 
intervention services, so long as those agencies and individuals meet 
the requirements of this part.



Sec. 303.527  Payor of last resort.

    (a) Nonsubstitution of funds. Except as provided in paragraph (b)(1) 
of this section, funds under this part may not be used to satisfy a 
financial commitment for services that would otherwise have been paid 
for from another public or private source but for the enactment of part 
H of the Act. Therefore, funds under this part may be used only for 
early intervention services that an eligible child needs but is not 
currently entitled to under any other Federal, State, local, or private 
source.
    (b) Interim payments--reimbursement. (1) If necessary to prevent a 
delay in the timely provision of services to an eligible child or the 
child's family, funds under this part may be used to pay the provider of 
services, pending reimbursement from the agency or entity that has 
ultimate responsibility for the payment.
    (2) Payments under paragraph (b)(1) of this section may be made 
for--
    (i) Early intervention services, as described in Sec. 303.12;
    (ii) Eligible health services (see Sec. 303.13); and
    (iii) Other functions and services authorized under this part, 
including child find and evaluation and assessment.
    (3) The provisions of paragraph (b)(1) of this section do not apply 
to medical services or ``well-baby'' health care (see 
Sec. 303.13(c)(1)).
    (c) Non-reduction of benefits. Nothing in this part may be construed 
to permit a State to reduce medical or other assistance available or to 
alter eligibility under title V of the Social Security Act (SSA) 
(relating to maternal

[[Page 130]]

and child health) or title XIX of the SSA (relating to Medicaid for 
children eligible under this part) within the State.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1481)

    Note: The Congress intended that the enactment of part H not be 
construed as a license to any agency (including the lead agency and 
other agencies in the State) to withdraw funding for services that 
currently are or would be made available to eligible children but for 
the existence of the program under this part. Thus, the Congress 
intended that other funding sources would continue, and that there would 
be greater coordination among agencies regarding the payment of costs.
    The Congress further clarified its intent concerning payments under 
Medicaid by including in section 411(k)(13) of the Medicare Catastrophic 
Coverage Act of 1988 (Pub. L. 100-360) an amendment to title XIX of the 
Social Security Act. That amendment states, in effect, that nothing in 
this title shall be construed as prohibiting or restricting, or 
authorizing the Secretary of Health and Human Services to prohibit or 
restrict, payment under subsection (a) of section 1903 of the Social 
Security Act for medical assistance for covered services furnished to an 
infant or toddler with a disability because those services are included 
in the child's IFSP adopted pursuant to part H of the Act.



Sec. 303.528  Reimbursement procedure.

    Each system must include a procedure for securing the timely 
reimbursement of funds used under this part, in accordance with 
Sec. 303.527(b).

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(11))

                         Reporting Requirements



Sec. 303.540  Data collection.

    (a) Each system must include the procedures that the State uses to 
compile data on the statewide system. The procedures must--
    (1) Include a process for--
    (i) Collecting data from various agencies and service providers in 
the State;
    (ii) Making use of appropriate sampling methods, if sampling is 
permitted; and
    (iii) Describing the sampling methods used, if reporting to the 
Secretary; and
    (2) Provide for reporting the data required under section 676(b)(14) 
of the Act, and other information that the Secretary may require, 
including information required under section 618 of the Act.
    (b) The information required in paragraph (a)(2) of this section 
must be provided at the time and in the manner specified by the 
Secretary.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1476(b)(14))

                  Use of Funds for State Administration



Sec. 303.560  Use of funds by the lead agency.

    A lead agency may use funds under this part that are reasonable and 
necessary for administering the State's early intervention program for 
infants and toddlers with disabilities.

(Authority: 20 U.S.C. 1473, 1476(b)(9))



            Subpart G--State Interagency Coordinating Council

                                 General



Sec. 303.600  Establishment of Council.

    (a) A State that desires to receive financial assistance under this 
part shall establish a State Interagency Coordinating Council composed 
of at least 15 members but not more than 25 members, unless the State 
provides sufficient justification for a greater number of members in the 
application submitted under this part.
    (b) The Council must be appointed by the Governor. The Governor 
shall ensure that the membership of the Council reasonably represents 
the population of the State.
    (c) The Governor shall designate a member of the Council to serve as 
the chairperson of the Council or require the Council to do so. Any 
member of the Council who is a representative of the lead agency 
designated under Sec. 303.500 may not serve as the chairperson of the 
Council.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(a))


[[Page 131]]


    Note: To avoid a potential conflict of interest, it is recommended 
that parent representatives who are selected to serve on the Council not 
be employees of any agency involved in providing early intervention 
services.
    It is suggested that consideration be given to maintaining an 
appropriate balance between the urban and rural communities of the 
State.



Sec. 303.601  Composition.

    (a) The Council must be composed as follows:
    (1)(i) At least 20 percent of the members must be parents, including 
minority parents, of infants or toddlers with disabilities or children 
with disabilities aged 12 or younger, with knowledge of, or experience 
with, programs for infants and toddlers with disabilities.
    (ii) At least one member must be a parent of an infant or toddler 
with a disability or a child with a disability aged six or younger.
    (2) At least 20 percent of the members must be public or private 
providers of early intervention services.
    (3) At least one member must be from the State legislature.
    (4) At least one member must be involved in personnel preparation.
    (5) At least one member must--
    (i) Be from each of the State agencies involved in the provisions 
of, or payment for, early intervention services to infants and toddlers 
with disabilities and their families; and
    (ii) Have sufficient authority to engage in policy planning and 
implementation on behalf of these agencies.
    (6) At least one member must--
    (i) Be from the State educational agency responsible for preschool 
services to children with disabilities; and
    (ii) Have sufficient authority to engage in policy planning and 
implementation on behalf of that agency.
    (7) At least one member must be from the agency responsible for the 
State governance of insurance, especially in the area of health 
insurance.
    (b) The Council may include other members selected by the Governor, 
including a representative from the BIA or, where there is no school 
operated or funded by the BIA, from the Indian Health Service or the 
tribe or tribal council.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(b))



Sec. 303.602  Use of funds by the Council.

    (a) General. Subject to the approval by the Governor, the Council 
may use funds under this part--
    (1) To conduct hearings and forums;
    (2) To reimburse members of the Council for reasonable and necessary 
expenses for attending Council meetings and performing Council duties 
(including child care for parent representatives);
    (3) To pay compensation to a member of the Council if the member is 
not employed or must forfeit wages from other employment when performing 
official Council business;
    (4) To hire staff; and
    (5) To obtain the services of professional, technical, and clerical 
personnel, as may be necessary to carry out the performance of its 
functions under this part.
    (b) Compensation and expenses of Council members. Except as provided 
in paragraph (a) of this section, Council members shall serve without 
compensation from funds available under this part.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1479, 1482 (c) and (d))



Sec. 303.603  Meetings.

    (a) The Council shall meet at least quarterly and in such places as 
it deems necessary.
    (b) The meetings must--
    (1) Be publicly announced sufficiently in advance of the dates they 
are to be held to ensure that all interested parties have an opportunity 
to attend; and
    (2) To the extent appropriate, be open and accessible to the general 
public.
    (c) Interpreters for persons who are deaf and other necessary 
services must be provided at Council meetings, both for Council members 
and participants.

[[Page 132]]

The Council may use funds under this part to pay for those services.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482 (c) and (d))



Sec. 303.604  Conflict of interest.

    No member of the Council may cast a vote on any matter that would 
provide direct financial benefit to that member or otherwise give the 
appearance of a conflict of interest.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(f))

                        Functions of the Council



Sec. 303.650  General.

    (a) Each Council shall--
    (1) Advise and assist the lead agency in the development and 
implementation of the policies that constitute the statewide system;
    (2) Assist the lead agency in achieving the full participation, 
coordination, and cooperation of all appropriate public agencies in the 
State;
    (3) Assist the lead agency in the effective implementation of the 
statewide system, by establishing a process that includes--
    (i) Seeking information from service providers, service 
coordinators, parents, and others about any Federal, State, or local 
policies that impede timely service delivery; and
    (ii) Taking steps to ensure that any policy problems identified 
under paragraph (a)(3)(i) of this section are resolved; and
    (4) To the extent appropriate, assist the lead agency in the 
resolution of disputes.
    (b) Each Council may advise and assist the lead agency and the State 
educational agency regarding the provision of appropriate services for 
children aged birth to five, inclusive.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(e)(1)(A) and (e)(2))



Sec. 303.651  Advising and assisting the lead agency in its administrative duties.

    Each Council shall advise and assist the lead agency in the--
    (a) Identification of sources of fiscal and other support for 
services for early intervention programs under this part;
    (b) Assignment of financial responsibility to the appropriate 
agency; and
    (c) Promotion of the interagency agreements under Sec. 303.523.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(e)(1)(A))



Sec. 303.652  Applications.

    Each Council shall advise and assist the lead agency in the 
preparation of applications under this part and amendments to those 
applications.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(e)(1)(B))



Sec. 303.653  Transitional services.

    Each Council shall advise and assist the State educational agency 
regarding the transition of toddlers with disabilities to services 
provided under part B of the Act, to the extent those services are 
appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0578)

(Authority: 20 U.S.C. 1482(e)(1)(C))



Sec. 303.654  Annual report to the Secretary.

    (a) Each Council shall--
    (1) Prepare an annual report to the Governor and to the Secretary on 
the status of early intervention programs operated within the State for 
children eligible under this part and their families; and
    (2) Submit the report to the Secretary by a date that the Secretary 
establishes.
    (b) Each annual report must contain the information required by the 
Secretary for the year for which the report is made.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(e)(1)(D))

[[Page 133]]

                            Existing Councils



Sec. 303.670  Use of existing councils.

    If a State established a Council before September 1, 1986, that is 
comparable to the requirements for a Council in this subpart (e.g., in 
terms of its composition, meetings, and functions), that Council is 
considered to be in compliance with these requirements. However, within 
four years after the date that a State accepts funds under this part, 
the State shall establish a Council that complies in full with the 
requirements of this subpart.

(Approved by the Office of Management and Budget under control number 
1820-0550)

(Authority: 20 U.S.C. 1482(g))



PART 304--REMOVAL OF ARCHITECTURAL BARRIERS TO INDIVIDUALS WITH DISABILITIES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
304.1  The Removal of Architectural Barriers to Individuals with 
          Disabilities program.
304.2  Applicability of regulations in this part.
304.3  Regulations that apply to the Removal of Architectural Barriers 
          to Individuals with Disabilities program.
304.4  Definitions.
304.5  Acronyms that are used.
304.6--304.9  [Reserved]

Subpart B--How Does an SEA or the Secretary of the Interior Apply for a 
                                 Grant?

                         Application From an SEA

304.10  Submission of an SEA application.
304.11  Content of SEA application.
304.12--304.14  [Reserved]

             Application From the Secretary of the Interior

304.15  Submission of an application by the Secretary of the Interior.
304.16  Applicable regulations.
304.17--304.19  [Reserved]

             Subpart C--How Does the Secretary Make a Grant?

304.20  Amount of a grant.
304.21  Reallocation of excess funds.
304.22--304.29  [Reserved]

    Subpart D--How Does an LEA or IEU Apply to an SEA for a Subgrant?

304.30  Submission of an application to the SEA.
304.31  LEA and IEU applications.
304.32--304.39  [Reserved]

               Subpart E--How Does an SEA Make a Subgrant?

304.40  Amount of a subgrant to an LEA or IEU.
304.41  Reallocation of excess funds.
304.42--304.49  [Reserved]

     Subpart F--What Conditions Must Be Met by an SEA, LEA, or IEU?

304.50  Standards for the removal of architectural barriers.
304.51  Project priorities.
304.52  Project requirements.
304.53--304.59  [Reserved]

   Subpart G--What Are the Administrative Responsibilities of an SEA?

304.60  Amount available for SEA administration.
304.61  Administrative responsibilities and allowable costs.
304.62--304.69  [Reserved]

    Authority: 20 U.S.C. 1406, unless otherwise noted.

    Source: 50 FR 29330, July 18, 1985, unless otherwise noted.



                           Subpart A--General



Sec. 304.1  The Removal of Architectural Barriers to Individuals with Disabilities program.

    The purpose of this part is to provide financial assistance to State 
educational agencies and, through them, to local educational agencies 
and intermediate educational units to remove architectural barriers to 
children with disabilities and other individuals with disabilities.

(Authority: 20 U.S.C. 1406)

[56 FR 54689, Oct. 22, 1991]



Sec. 304.2  Applicability of regulations in this part.

    This part applies to assistance under section 607 of the Individuals 
with Disabilities Education Act.

(Authority: 20 U.S.C. 1406)

[56 FR 54689, Oct. 22, 1991]

[[Page 134]]



Sec. 304.3  Regulations that apply to the Removal of Architectural Barriers to Individuals with Disabilities program.

    The following regulations apply to assistance under the Removal of 
Architectural Barriers to Individuals with Disabilities program:
    (a) The regulations in this part 304.
    (b) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations--
    (1) Part 76 (State-administered Programs);
    (2) Part 77 (Definitions that Apply to Department Regulations);
    (3) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (4) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (5) Part 81 (General Education Provisions Act--Enforcement);
    (6) Part 82 (New Restrictions on Lobbying);
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for a Drug-Free 
Workplace (Grants)); and
    (8) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1406; 20 U.S.C. 3474(a))

[56 FR 54689, Oct. 22, 1991]



Sec. 304.4  Definitions.

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Application
    EDGAR
    Fiscal year
    Grant
    Local educational agency
    Project
    Public
    Secretary
    State
    State educational agency
    Subgrant

(Authority: 20 U.S.C. 3474(a))

    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR 300.5(a), 300.7, 300.13, and 300.14:

    Children and disabilities
    Intermediate educational unit
    Related services
    Special education

(Authority: 20 U.S.C. 1401(a)(1), (16), (17), (22))
    (c) Other definitions that apply to this part. In addition to the 
definitions referred to in paragraphs (a) and (b), the following 
definitions apply to this part:
    (1) Alteration, as applied to a building or structure, means a 
change or rearrangement in the structural parts or elements, or in the 
means of egress, or in moving from one location or position to another. 
It does not include normal maintenance and repair, reroofing, interior 
decoration, or changes to mechanical and electrical systems.

(Authority: 20 U.S.C. 1406, 41 CFR 101-19.603)

    (2) Equipment includes machinery, utilities, and built-in equipment 
and any necessary enclosures or structures to house them, and includes 
all other items necessary for the functioning of a particular facility 
as a facility for the provision of educational services, including items 
such as instructional equipment and necessary furniture, printed, 
published, and audio-visual instructional materials, telecommunications, 
sensory, and other technological aids and devices, and books, 
periodicals, documents, and other related materials.

(Authority: 20 U.S.C. 1401(a)(5), 1406)

[50 FR 29330, July 18, 1985, as amended at 56 FR 54689, Oct. 22, 1991]



Sec. 304.5  Acronyms that are used.

    The following acronyms are used in this part:
    IEU stands for intermediate educational unit.
    LEA stands for local educational agency.
    SEA stands for State educational agency.

(Authority: 20 U.S.C. 1406)

[[Page 135]]

Secs. 304.6--304.9  [Reserved]



Subpart B--How Does an SEA or the Secretary of the Interior Apply for a 
                                 Grant?

                         Application From an SEA



Sec. 304.10  Submission of an SEA application.

    In order to receive funds under this part, an SEA must submit an 
application to the Secretary for review and approval.

(Authority: 20 U.S.C. 1406)



Sec. 304.11  Content of SEA application.

    (a) Each SEA shall include in its application assurances that--
    (1) Funds received under this part will be used to pay the costs of 
altering existing buildings and equipment in accordance with the 
standards in Sec. 304.50;
    (2) In using funds appropriated under Pub. L. 98-8, special 
consideration will be given to projects in areas experiencing high rates 
of unemployment; and

(Authority: Pub. L. 98-8, ``Education for the Handicapped'', 97 Stat. 27 
(1983); S. Rep. No. 17, 98th Cong., 1st Sess. 33-34 (1983))

    (3) Funds provided under this part that are appropriated under Pub. 
L. 98-8 will, to the extent practicable, be utilized in manner which 
maximizes immediate creation of new employment opportunities to 
individuals who were unemployed at least 15 of the 26 weeks immediately 
preceding March 24, 1983 (the date of enactment of Pub. L. 98-8).

(Authority: Pub. L. 98-8, section 101(c); 97 Stat. 31-32 (1983))

    (b) Each SEA application must also include the following 
information:
    (1) A description of the goals and objectives to be supported by the 
grant in sufficient detail for the Secretary to determine what will be 
achieved with the grant.
    (2) The estimated number of LEAs and IEUs that will receive 
subgrants, and a description of the procedures and criteria the SEA will 
use to award subgrants to LEAs and IEUs, including any priorities 
established by the SEA under Sec. 304.51(b) (see Sec. 304.40 and subpart 
F, ``What Conditions Must Be Met by an SEA, LEA, or IEU?'').

(Approved by the Office of Management and Budget under control number 
1820-0534)

(Authority: 20 U.S.C. 1406)

[50 FR 29330, July 18, 1985, as amended at 53 FR 6945, Mar. 3, 1988]
Secs. 304.12--304.14  [Reserved]

             Application From the Secretary of the Interior



Sec. 304.15  Submission of an application by the Secretary of the Interior.

    In order to receive a grant under this part, the Secretary of the 
Interior shall submit an application that is consistent with the 
requirements under Sec. 304.11.

(Authority: 20 U.S.C. 1406)

[53 FR 6945, Mar. 3, 1988]



Sec. 304.16  Applicable regulations.

    The Secretary of the Interior shall comply with all the requirements 
that apply to SEAs under subparts A, C, F, and G of this part.

(Authority: 20 U.S.C. 1406)

[53 FR 6945, Mar. 3, 1988]
Secs. 304.17--304.19  [Reserved]



             Subpart C--How Does the Secretary Make a Grant?



Sec. 304.20  Amount of a grant.

    (a) For the purpose of this section--
    (1) The term Insular Area means American Samoa, Guam, the Virgin 
Islands, the Northern Mariana Islands, or the Trust Territory of the 
Pacific Islands; and
    (2) The term children with disabilities means the number of children 
with disabilities determined by the Secretary--
    (i) Under section 611 of the Act, to be receiving special education 
and related services; or
    (ii) In average daily attendance at schools for children with 
disabilities or supported by a State agency within the meaning of 
section 1221 of chapter 1 of title I of the Elementary and Secondary 
Education Act of 1965.

[[Page 136]]

    (b) The amount of an SEA's grant under this part for a State other 
than an Insular Area is determined by--
    (1) Dividing the number of children with disabilities in that State 
by the total number of children with disabilities in all States 
submitting approvable applications under this part; and
    (2) Multiplying that fraction by the amount of funds available for 
grants under this part minus the amount reserved under paragraphs (c) 
and (d) of this section.
    (c) The Secretary reserves up to one-half of one percent of the 
aggregate of the amounts available under this part for grants to Insular 
Areas. Funds reserved by the Secretary for the Insular Areas are 
allocated proportionately among them on the basis of the number of 
children ages three through twenty-one in each Insular Area. However, no 
Insular Area may receive less than $15,000, and allocations within these 
jurisdictions are ratably reduced, if necessary, to ensure that each 
Insular Area receives at least that amount. Allocations within these 
jurisdictions are further ratably reduced if the amount reserved is 
insufficient to provide $15,000 to each Insular Area.
    (d) From any appropriation enacted after September 30, 1986, the 
Secretary reserves up to 1.25 percent of the aggregate amount available 
under this part for a grant to the Secretary of the Interior to be used 
on reservations served by schools operated for Indian children by the 
Department of the Interior.

(Authority: 20 U.S.C. 1406)

[50 FR 29330, July 18, 1985, as amended at 53 FR 6945, Mar. 3, 1988; 56 
FR 54689, Oct. 22, 1991]



Sec. 304.21  Reallocation of excess funds.

    The Secretary may reallocate funds--or portions of those funds--made 
available to the Secretary of the Interior or to a State educational 
agency under this part if the Secretary determines that the Secretary of 
the Interior or the State educational agency cannot use the funds in a 
manner consistent with the requirements of applicable statutes and the 
regulations in this part. Any reallocation is made on the same basis as 
grants are determined under Sec. 304.20.

(Authority: 20 U.S.C. 1406)

[53 FR 6945, Mar. 3, 1988]
Secs. 304.22--304.29  [Reserved]



    Subpart D--How Does an LEA or IEU Apply to an SEA for a Subgrant?



Sec. 304.30  Submission of an application to the SEA.

    In order to receive funds under this part for any fiscal year, an 
LEA or IEU shall submit an application for a subgrant to the appropriate 
SEA.

(Authority: 20 U.S.C. 1406, 3474(a))



Sec. 304.31  LEA and IEU applications.

    An LEA or IEU shall include in its application any information that 
is required by the SEA in order to fulfill its responsibilities under 
this part.

(Authority: 20 U.S.C. 1406, 3474(a))
Secs. 304.32--304.39  [Reserved]



               Subpart E--How Does an SEA Make a Subgrant?



Sec. 304.40  Amount of a subgrant to an LEA or IEU.

    (a) The SEA shall determine the amount of a subgrant to an LEA or 
IEU based on--
    (1) The size, scope, and quality of the proposed project; and
    (2) Any other relevant criteria developed by the SEA and included in 
the SEA application approved by the Secretary.
    (b) The SEA may establish minimum and maximum amounts for subgrants.

(Authority: 20 U.S.C.1406)



Sec. 304.41  Reallocation of excess funds.

    (a) The SEA may reallocate funds provided for subgrants under this 
part if an LEA or IEU cannot use the funds in a manner consistent with 
the requirements of section 607 of the Individuals with Disabilities 
Education Act and the requirements in this part.

[[Page 137]]

    (b) The SEA shall reallocate funds in accordance with the criteria 
and priorities for approving subgrants in its approved application.

(Authority: 20 U.S.C. 1406)

[50 FR 29330, July 18, 1985, as amended at 56 FR 54689, Oct. 22, 1991]
Secs. 304.42--304.49  [Reserved]



     Subpart F--What Conditions Must Be Met by an SEA, LEA, or IEU?



Sec. 304.50  Standards for the removal of architectural barriers.

    The alteration of existing buildings and equipment under this part 
must be done consistently with standards adopted by the General Services 
Administration (GSA) under Pub. L. 90-480, the Architectural Barriers 
Act of 1968. However, the dimensions set out in those standards may be 
modified as appropriate considering the age groups of the individuals 
who will use the buildings or equipment.

    Note: On August 7, 1984, the GSA adopted new standards under the 
Architectural Barriers Act (49 FR 31528) and incorporated them by 
reference at 41 CFR 101-19.603 (49 FR 31625).

(Authority: 20 U.S.C. 1406)



Sec. 304.51  Project priorities.

    (a) An SEA may establish priorities for the use of funds made 
available under this part. The SEA may, for example, give special 
consideration to projects that will meet the special needs of urban or 
rural locations, or that will facilitate the transition of children with 
disabilities and individuals with disabilities from school to work.
    (b) The Secretary encourages States to use their funds for 
activities that will--
    (1) Make available to children with disabilities the variety of 
educational programs and services available to nondisabled children in 
the area served by the LEA or IEU;
    (2) Provide nonacademic and extracurricular services and activities 
in a manner that affords children with disabilities opportunity for 
participation in these services and activities; and
    (3) Provide assessibility to individuals with disabilities involved 
in the education of children with disabilities or eligible to 
participate in programs administered by LEAs and IEUs.

(Authority: 20 U.S.C. 1406)

[50 FR 29330, July 18, 1985, as amended at 56 FR 54689, Oct. 22, 1991]



Sec. 304.52   Project requirements.

    To the extent practicable, funds made available under this part that 
are appropriated under Pub. L. 98-8 must be utilized to create new 
employment opportunities for the unemployed, as required by Pub. L. 98-
8, section 101(c).

(Authority: Pub. L. 98-8, sec. 101(c); 97 Stat. 31-32 (1983))
Secs. 304.53--304.59  [Reserved]



   Subpart G--What Are the Administrative Responsibilities of an SEA?



Sec. 304.60  Amount available for SEA administration.

    An SEA may use up to five percent of its grant for the cost of 
administering funds provided under this part.

(Authority: 20 U.S.C. 1406)



Sec. 304.61  Administrative responsibilities and allowable costs.

    Administrative costs under this part include--
    (a) Planning of programs and projects assisted by funds under this 
part;
    (b) Approval, supervision, monitoring, and evaluation by an SEA of 
the effectiveness of projects assisted by funds made available under 
this part; and
    (c) Technical assistance that an SEA provides to LEAs and IEUs with 
respect to the requirements of this part.

(Authority: 20 U.S.C. 1406)
Secs. 304.62--304.69  [Reserved]



PART 305--REGIONAL RESOURCE AND FEDERAL CENTERS--Table of Contents




                           Subpart A--General

Sec.
305.1  What are the Regional Resource and Federal Centers?

[[Page 138]]

305.2  Who is eligible to apply for an award under this program?
305.3  What regulations apply to this program?
305.4  What definitions apply to this program?
305.5--305.9  [Reserved]

 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?

305.10  What kinds of services are provided by Regional Resource Centers 
          under this part?
305.11  What kinds of services are provided by the Federal Center under 
          this part?
305.12  What is the composition of the regions?
305.13--305.19  [Reserved]

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

305.30  May the Secretary require the Centers to give priority to 
          certain services?
305.31  What are the selection criteria for evaluating applications 
          under this program?
305.32--305.39  [Reserved]

  Subpart E--What Conditions Must Be Met by the Recipient of an Award?

305.40  What additional activities must each Center perform?
305.41--305.49  [Reserved]

    Authority: 20 U.S.C. 1421, unless otherwise noted.

    Source: 49 FR 25997, June 25, 1984, unless otherwise noted.



                           Subpart A--General



Sec. 305.1   What are the Regional Resource and Federal Centers?

    (a) This program supports the establishment and operation of 
Regional Resource Centers that focus on special education and related 
services and early intervention services. Regional Resource Centers 
shall provide consultation, technical assistance, and training, as 
requested, to State educational agencies and through those State 
educational agencies, to local educational agencies and to other 
appropriate public agencies providing special education and related 
services and early intervention services. The purpose of this assistance 
is to aid these agencies in providing early intervention, special 
education, and related services to infants, toddlers, children, and 
youth with disabilities and their families.
    (b) This program also supports the establishment and operation of a 
Federal Center that provides assistance to the Regional Resource Centers 
in the delivery of technical assistance focusing on national priorities 
established by the Secretary.

(Authority: 20 U.S.C. 1421)

[53 FR 3525, Feb. 5, 1988, as amended at 56 FR 54689, Oct. 22, 1991]



Sec. 305.2  Who is eligible to apply for an award under this program?

    The Secretary may provide assistance under this part through a grant 
to, or cooperative agreement or contract with--
    (a) Institutions of higher education;
    (b) Private nonprofit organizations;
    (c) State educational agencies;
    (d) Public agencies; or
    (e) Combinations of these agencies and institutions, such as 
combinations including one or more local educational agencies within 
particular regions of the United States.

(Authority: 20 U.S.C. 1421)

[53 FR 3525, Feb. 5, 1988]



Sec. 305.3  What regulations apply to this program?

    (a) The following regulations apply to grants and cooperative 
agreements for Regional Resource Centers:
    (1) The regulations in this part 305.
    (2) The Education Department General Administrative Regulations 
(EDGAR) at title 34 of the Code of Federal Regulations in--
    (i) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (ii) Part 75 (Direct Grant Programs);
    (iii) Part 77 (Definitions that Apply to Department Regulations);
    (iv) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (v) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);

[[Page 139]]

    (vi) Part 81 (General Education Provisions Act--Enforcement);
    (vii) Part 82 (New Restrictions on Lobbying);
    (viii) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirement for Drug-Free Workplace 
(Grants)); and
    (ix) Part 86 (Drug-Free Schools and Campuses).
    (b) The Federal Acquisition Regulation (FAR) in 48 CFR chapter 1 and 
the Department of Education Acquisition Regulation (EDAR) in 48 CFR 
chapter 34 apply to contracts for Regional Resource and Federal Centers.

(Authority: 20 U.S.C. 1421)

[53 FR 3525, Feb. 5, 1988, as amended at 56 FR 54690, Oct. 22, 1991]



Sec. 305.4  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    Budget period
    Contract
    EDGAR
    Fiscal Year
    Grant
    Grant period
    Local educational agency
    Nonprofit
    Private
    Project
    Project period
    Public
    Secretary
    State
    State educational agency

(Authority: 20 U.S.C. 1421; 20 U.S.C. 3474(a))
Secs. 305.5--305.9  [Reserved]



 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?



Sec. 305.10  What kinds of services are provided by Regional Resource Centers under this part?

    Each Regional Resource Center shall--
    (a) Assist State educational agencies and through such State 
educational agencies, local educational agencies and other appropriate 
public agencies, through services such as consultation, technical 
assistance, and training, to provide more effectively special education, 
related services, and early intervention services to infants, toddlers, 
children, and youth with disabilities, and their families;
    (b) Assist in identifying and solving persistent problems, and in 
identifying emerging issues and trends in providing quality special 
education, related services, and early intervention services to infants, 
toddlers, children, and youth with disabilities, and their families;
    (c) Assist in developing, identifying, and replicating successful 
programs and practices that will improve special education, related 
services, and early intervention services to infants, toddlers, 
children, and youth with disabilities, and their families;
    (d) Gather and disseminate information to all State educational 
agencies in the region and coordinate activities with other Regional 
Resource Centers and with other relevant programs and projects conducted 
by the Department;
    (e) Assist in the improvement of information dissemination to, and 
training activities for, professionals and parents of infants, toddlers, 
children, and youth with disabilities; and
    (f) Provide information to and training for agencies, institutions, 
and organizations regarding techniques and approaches for submitting 
applications for grants and cooperative agreements under this part and 
parts D through G of the Act.

(Authority: 20 U.S.C. 1421)

[53 FR 3525, Feb. 5, 1988, as amended at 56 FR 54690, Oct. 22, 1991; 58 
FR 9462, Feb. 19, 1993]



Sec. 305.11  What kinds of services are provided by the Federal Center under this part?

    The Federal Center shall--
    (a) Provide a national perspective for establishing technical 
assistance activities within and across regions by identifying and 
synthesizing emerging issues and trends and establishing a panel to 
interpret this information. This panel must be broadly representative of 
the special education constituency, including representatives of State 
and local educational agencies,

[[Page 140]]

parent organizations, consumer and advocacy organizations, professional 
organizations, and consumers, with particular attention being given to 
individuals from minority backgrounds. This information must be shared 
with Regional Resource Centers and State educational agencies and may 
serve as a basis for multi-State and multi-regional technical assistance 
activities;
    (b) Assist in linking and coordinating the Regional Resource Centers 
with each other and with other technical assistance providers, including 
health-related entities as well as organizations representing persons 
with disabilities, professional organizations, and parent projects. 
Information from these activities must be shared with the Regional 
Resource Centers as well as the States;
    (c) Provide information to, and training for, agencies, 
institutions, and organizations regarding techniques and approaches for 
submitting applications for grants, contracts, and cooperative 
agreements under parts C through G of the Act, and make that information 
available to the Regional Resource Centers on request;
    (d) Give priority to providing technical assistance concerning the 
education of children with disabilities from minority backgrounds and 
exchanging information with and, if appropriate, cooperating with other 
centers addressing the needs of these children; and
    (e) Provide assistance to State educational agencies, through 
Regional Resource Centers, for the training of hearing officers.

(Authority: 20 U.S.C. 1421)

[58 FR 9462, Feb. 19, 1993]



Sec. 305.12  What is the composition of the regions?

    The Secretary establishes the following regions:
    (a) Region 1: Maine, Vermont, New Hampshire, Massachusetts, 
Connecticut, Rhode Island, New York, and New Jersey.
    (b) Region 2: Maryland, Delaware, Virginia, West Virginia, 
Washington, DC, Kentucky, Tennessee, North Carolina, and South Carolina.
    (c) Region 3: Georgia, Alabama, Florida, Mississippi, Puerto Rico, 
the Virgin Islands, New Mexico, Texas, Oklahoma, Arkansas, and 
Louisiana.
    (d) Region 4: Illinois, Ohio, Indiana, Pennsylvania, Wisconsin, 
Minnesota, and Michigan.
    (e) Region 5: Montana, Wyoming, North Dakota, South Dakota, Utah, 
Colorado, Nebraska, Kansas, Iowa, Missouri, and the Bureau of Indian 
Affairs.
    (f) Region 6: Oregon, Idaho, Washington, Alaska, California, 
Arizona, Nevada, the Republic of Palau, the Republic of the Marhsall 
Islands, the Federated States of Micronesia, Guam, American Samoa, 
Hawaii, and the Commonwealth of the Northern Mariana Islands.

(Authority: 20 U.S.C. 1421)

[49 25997, June 25, 1984, as amended at 53 FR 3525, Feb. 5, 1988. 
Redesignated at 58 FR 9462, Feb. 19, 1993]
Secs. 305.13--305.19  [Reserved]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 305.30  May the Secretary require the Centers to give priority to certain services?

    For any fiscal year, the Secretary may, in the application notice, 
require the Centers to give priority to one or more of the services 
listed in Sec. 305.10 and Sec. 305.11.

(Authority: 20 U.S.C. 1421)

[49 FR 25997, June 25, 1984, as amended at 58 FR 9463, Feb. 19, 1993]



Sec. 305.31  What are the selection criteria for evaluating applications under this program?

    The Secretary uses the criteria in this section to evaluate 
applications for new grants. The maximum number of points for each 
criterion is stated in parentheses. The maximum score for all of the 
criteria is 100 points.
    (a) Need for the project. (5 points) (1) The Secretary reviews each 
application for a Regional Resource Center for information that shows 
the needs of the States in the region and support for

[[Page 141]]

the applicant's project by the agencies to be served by the project.
    (2) The Secretary reviews each application for a Federal Center for 
information that identifies potential issues and trends of national 
concern and procedures for obtaining broad based input in validating, 
interpreting, synthesizing, and updating information on emerging issues 
and trends on a regular basis.
    (b) Capability of applicant. (5 points) (1) The Secretary reviews 
each application for information that shows the capability of the 
applicant to fulfill the responsibilities of a Center under this part.
    (2) In making this determination, the Secretary considers evidence 
of relevant experience which demonstrates the capacity to provide 
technical assistance to State educational agencies, commitment to the 
accomplishment of the project, and timely completion of previous 
comparable work.
    (c) Plan of operation. (40 points) (1) The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project.
    (2) The Secretary looks for information that shows--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that ensures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective;
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (d) Quality of key personnel. (25 points) (1) The Secretary reviews 
each application for information that shows the qualifications of the 
key personnel the applicant plans to use on the project.
    (2) The Secretary looks for information that shows--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (d) (1) 
and (2) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other information that the applicant provides.
    (e) Budget and cost effectiveness. (10 points) (1) The Secretary 
reviews each application for information that shows that the project has 
an adequate budget and is cost effective.
    (2) The Secretary looks for information that shows--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (f) Evaluation plan. (10 points) (1) The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project.

(See 34 CFR 75.590, Evaluation by the grantee.)

    (2) The Secretary looks for information that shows methods of 
evaluation that are appropriate for the project, and, to the extent 
possible, are objective and produce data that are quantifiable. For 
Regional Resource Centers, evaluation methods must include evaluation of 
changes in State capacity to work with local educational agencies to 
improve services for students with disabilities.

[[Page 142]]

    (g) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application for information that shows that the applicant plans to 
devote adequate resources to the project.
    (2) The Secretary looks for information that shows--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1421)

[49 FR 25997, June 25, 1984, as amended at 56 FR 54690, Oct. 22, 1991; 
58 FR 9463, Feb. 19, 1993]
Secs. 305.32--305.39  [Reserved]



  Subpart E--What Conditions Must Be Met by the Recipient of an Award?



Sec. 305.40  What additional activities must each Center perform?

    Each Regional Resource or Federal Center shall--
    (a) Report a summary of materials produced or developed in the 
manner and at the time the Secretary may establish.
    (b) Assist in the evaluation of the effectiveness of Regional 
Resource Center activities through cooperation with other projects under 
this part and with other appropriate projects such as the program 
evaluations under section 610(d) of the Act.
    (c) Assure that the services provided are consistent with the 
priority needs identified by the States served by the Center.
    (d) If appropriate, prepare reports describing their procedures, 
findings, and other relevant information in a form that will maximize 
the dissemination and use of those procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the national Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1409(g); 20 U.S.C. 1421)

[49 FR 25997, June 25, 1984, as amended at 53 FR 3525, Feb. 5, 1988; 56 
FR 54690, Oct. 22, 1991; 58 FR 9463, Feb. 19, 1993]
Secs. 305.41--305.49  [Reserved]



PART 307--SERVICES FOR CHILDREN WITH DEAF-BLINDNESS--Table of Contents




                           Subpart A--General

Sec.
307.1  What is the Services for Children with Deaf-Blindness program?
307.2  Who is eligible to apply for an award under the Services for 
          Children with Deaf-Blindness program?
307.3  What regulations apply to the Services for Children with Deaf-
          Blindness program?
307.4  What definitions apply to the Services for Children with Deaf-
          Blindness program?
307.5--307.9  [Reserved]

 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?

307.10  What types of activities are considered for support under this 
          part?
307.11  What types of services and technical assistance by State and 
          multi--State projects are considered for support under this 
          part?
307.12  What types of technical assistance to grantees under Sec. 307.11 
          are considered for support under this part?
307.13  What types of technical assistance for transitional services are 
          considered for support under this part?
307.14  What types of pilot projects are considered for support to 
          successful Sec. 307.11 applicants under this part?
307.15  What types of activities are supported in a national 
          clearinghouse for children with deaf-blindness?
307.16--307.19  [Reserved]

[[Page 143]]

               Subpart C--How Does One Apply for a Grant?

307.20--307.29  [Reserved]

             Subpart D--How Does the Secretary Make a Grant?

307.30  What priorities are considered for support by the Secretary?
307.31  How does the Secretary determine the amount of an award under 
          Sec. 307.11?
307.32  How does the Secretary evaluate an application?
307.33  What criteria does the Secretary use to evaluate a State or 
          multi-State application under Sec. 307.11?
307.34  What procedures does the Secretary use if more than one 
          application for an award under Sec. 307.11 proposes to serve 
          the same State?
307.35  What criteria are used to evaluate a technical assistance 
          application under Sec. 307.10, Sec. 307.12, or Sec. 307.13?
307.36  What criteria are used to evaluate an application for other than 
          technical assistance under Sec. 307.10, or for an application 
          under Sec. 307.14 or Sec. 307.15?
307.37  What additional consideration will be given by the Secretary in 
          carrying out this part?
307.38--307.39  [Reserved]

 Subpart E--What Conditions Must Be Met by a Grantee Under This Program?

307.40  [Reserved]
307.41  What advisory committees are to be established under this 
          program?
307.42  What other conditions must be met by a grantee under this 
          program?
307.43--307.49  [Reserved]

    Authority: 20 U.S.C. 1422, unless otherwise noted.

    Source: 49 FR 28364, July 11, 1984, unless otherwise noted.



                           Subpart A--General



Sec. 307.1  What is the Services for Children with Deaf-Blindness program?

    This program supports projects that enhance services to children 
with deaf-blindness, particularly by providing technical assistance to 
State educational agencies, local educational agencies, designated lead 
agencies under part H, and others who are involved in the early 
intervention or education of children with deaf-blindness.

(Authority: 20 U.S.C. 1422)

[49 FR 28364, July 11, 1984, as amended at 56 FR 51585, Oct. 11, 1991]



Sec. 307.2  Who is eligible to apply for an award under the Services for Children with Deaf-Blindness program?

    Public or nonprofit private agencies, institutions, or 
organizations, including an Indian tribe and the Bureau of Indian 
Affairs of the Department of the Interior (if acting on behalf of 
schools operated by the Bureau for children and students on Indian 
reservations) and tribally controlled schools funded by the Department 
of the Interior, may apply for an award under this part.

(Authority: 20 U.S.C. 1422)

[49 FR 28364, July 11, 1984, as amended at 56 FR 51585, Oct. 11, 1991]



Sec. 307.3  What regulations apply to the Services for Children with Deaf-Blindness program?

    The following regulations apply to this program:
    (a) The regulations in this part 307.
    (b) The Education Department General Administrative Regulations 
(EDGAR) established in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions);
    (4) Part 78 (Education Appeal Board); and
    (5) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities).

(Authority: 20 U.S.C. 1422; 20 U.S.C. 3474(a))

[49 FR 28364, July 11, 1984, as amended at 56 FR 51585, Oct. 11, 1991]



Sec. 307.4  What definitions apply to the Services for Children with Deaf-Blindness program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:
    Applicant
    Application
    EDGAR
    Grant
    Grantee
    Nonprofit
    Private
    Project
    Public
    Secretary
    State

(Authority: 20 U.S.C. 3474(a))


[[Page 144]]


    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR part 300.
    Counseling services (Sec. 300.13(b)(2))
    Evaluation (Sec. 300.500(c))
    Free appropriate public education (Sec. 300.4)
    Parent (Sec. 300.10)
    Parent counseling and training (Sec. 300.13(b)(6))
    Public agency (Sec. 300.11)
    Related services (Sec. 300.13)
    Special education (Sec. 300.14)

(Authority: 20 U.S.C. 1401 (1), (16), (17), and (18), and 20 U.S.C. 
1424)

    (c) Other definitions.
    Children with deaf-blindness. For the purposes of this part, the 
term, children with deaf-blindness, means children and youth having 
auditory and visual impairments, the combination of which creates such 
severe communication and other developmental and learning needs that 
they cannot be appropriately educated without special education and 
related services, beyond those that would be provided solely for 
children with hearing impairments, visual impairments, or severe 
disabilities, to address their educational needs due to these concurrent 
disabilities. This term also means infants and toddlers with deaf-
blindness.
    Children with disabilities. (1) For the purposes of this part, the 
term children with disabilities means children--
    (i) With mental retardation, hearing impairments including deafness, 
speech or language impairments, visual impairments including blindness, 
serious emotional disturbance, orthopedic impairments, autism, traumatic 
brain injury, other health impairments, or specific learning 
disabilities; and
    (ii) Who, for that reason, need special education and related 
services.
    (2) For children aged three to five, inclusive, the term may, at 
State's discretion, include children--
    (i) Who are experiencing developmental delays, as defined by the 
State and as measured by appropriate diagnostic instruments and 
procedures, in one or more of the following areas: physical development, 
cognitive development, communication development, social or emotional 
development, or adaptive development; and
    (ii) Who, for that reason, need special education and related 
services.
    Infants and toddlers with deaf-blindness. For the purposes of this 
part, the term infants and toddlers with deaf-blindness means 
individuals from birth through age 2 who are experiencing developmental 
delays in hearing and vision, have a diagnosed physical or mental 
condition that has a high probability of resulting in developmental 
delays in hearing and vision, or are at risk of having substantial 
developmental delays in hearing and vision if early intervention 
services are not provided.

[49 FR 28364, July 11, 1984, as amended at 54 FR 15310, Apr. 17, 1989; 
56 FR 51585, Oct. 11, 1991; 57 FR 28965, June 29, 1992]
Secs. 307.5--307.9  [Reserved]



 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?



Sec. 307.10  What types of activities are considered for support under this part?

    The Secretary may provide financial assistance under this part to 
support the following activities:
    (a) Technical assistance to agencies, institutions, or organizations 
providing educational or early intervention services to children with 
deaf-blindness;
    (b) Preservice or inservice training to paraprofessionals, 
professionals, or related services personnel preparing to serve, or 
serving, children with deaf-blindness;
    (c) Replication of successful innovative approaches to providing 
educational, early intervention, or related services to children with 
deaf-blindness;
    (d) Pilot projects that are designed to--
    (1) Expand local educational agency capabilities by providing 
services to children with deaf-blindness that supplement services 
already provided to children and youth through State and local 
resources; and
    (2) Encourage eventual assumption of funding responsibility by State 
and local authorities;
    (e) Development, improvement, or demonstration of new or existing 
methods, approaches, or techniques that contribute to the adjustment, 
early

[[Page 145]]

intervention, and education of children with deaf-blindness;
    (f) Facilitation of parent involvement in the education of their 
children with deaf-blindness;
    (g) Research to identify and meet the full range of special needs of 
those children;
    (h) Technical assistance for transitional services, as described in 
Sec. 307.13; and
    (i) A national clearinghouse for children with deaf-blindness as 
described in Sec. 307.15.

(Authority: 20 U.S.C. 1422)

[56 FR 51585, Oct. 11, 1991]



Sec. 307.11  What types of services and technical assistance by State and multi-State projects are considered for support under this part?

    (a) The Secretary may provide financial assistance under this part 
to State and multi-State projects to support the following activities--
    (1) Special education, early intervention, and related services, as 
well as vocational and transitional services, to children with deaf-
blindness to whom States are not obligated to make available a free 
appropriate public education under part B of the Individuals with 
Disabilities Education Act and to whom the State is not providing those 
services under some other authority. These services may include the 
following:
    (i) The diagnosis and educational evaluation of children who are 
likely to be diagnosed as having deaf-blindness;
    (ii) Programs of adjustment, education, and orientation for children 
with deaf-blindness; and
    (iii) Consultative, counseling, and training services for the 
families of children with deaf-blindness.
    (iv) Preparation of a coordinated plan for each child with deaf-
blindness served, describing all the services provided under paragraphs 
(a)(1) (i) through (iii) of this section. These services must be in 
accordance with other Federal and State programs.
    (2) Technical assistance to public and private agencies, 
institutions, and organizations providing early intervention, 
educational, transitional, vocational, early identification, and related 
services to children with deaf-blindness, to assure that they may more 
effectively--
    (i) Provide special education and related services, as well as 
vocational and transitional services, to those children with deaf-
blindness to whom they are obligated to make available a free 
appropriate public education under part B of the Individuals with 
Disabilities Education Act or some other authority and provide early 
intervention services under part H of IDEA;
    (ii) Provide preservice or inservice training to paraprofessionals, 
professionals or related services personnel preparing to serve, or 
serving, children with deaf-blindness;
    (iii) Replicate successful, innovative approaches to providing early 
intervention, educational or related services to children with deaf-
blindness;
    (iv) Facilitate parental involvement in the education of their 
children with deaf-blindness;
    (v) Provide consultative and counseling services for professionals, 
paraprofessionals, parents, and others who play a direct role in the 
lives of children with deaf-blindness, to enable them to understand the 
special problems of those children, and to assist in the provision of 
appropriate services to those children; and
    (vi) Promote the integration of children with deaf-blindness with 
children with other disabilities and without disabilities.
    (3) The services described in paragraph (a)(1) of this section to 
children with deaf-blindness to whom a State is obligated to make 
available a free appropriate public education under part B of the 
Individuals with Disabilities Education Act and to whom the State is 
providing those services under some other authority.
    (b)(1) Each grantee under this section shall give priority in the 
use of project funds to the provision of services described in paragraph 
(a)(1) of this section and to the provision of technical assistance as 
described in paragraph (a)(2) of this section.
    (i) Give first priority in the use of project funds to the provision 
of services described in paragraph (a)(1) of this section; and

[[Page 146]]

    (ii) Give second priority in the use of project funds to the 
provision of technical assistance to State educational agencies, as 
described in paragraph (a)(2) of this section.
    (2) Any remaining funds may be used by the grantee, upon request of 
the State educational agency, for pilot projects.
    (c) Each grantee under this section shall--
    (1) Develop and implement procedures to evaluate the effectiveness 
of services to children with deaf-blindness which it provides under 
paragraph (a)(1) of this section;
    (2) Provide technical assistance to the public and private agencies, 
institutions, and organizations served under paragraph (a)(2) of this 
section in the development and implementation of procedures for 
evaluating the effectiveness of services they provide to children with 
deaf-blindness; and
    (3) Engage in on-going coordination with the State educational 
agency, the State's lead agency under part H of the IDEA, and other 
State agencies responsible for providing services to children with deaf-
blindness, in the provision of services under this section.
    (d) For the purpose of making awards under Sec. 307.11, the 
Secretary may make awards for single or multi-State projects. Each State 
may be served through only one project.

(Authority: 20 U.S.C. 1422)

[49 FR 28364, July 11, 1984, as amended at 54 FR 15310, Apr. 17, 1989; 
56 FR 51585, Oct. 11, 1991]



Sec. 307.12  What types of technical assistance to grantees under Sec. 307.11 are considered for support under this part?

    (a) The Secretary may provide financial assistance under this part 
for projects that establish and support programs for the provision of 
technical assistance on the activities authorized under Sec. 307.11.
    (b) Technical assistance services made available under this section 
must be requested by a grantee under Sec. 307.11, the lead agency under 
part H, or a State educational agency, and may be extended at the 
request of the Sec. 307.11 grantee, the lead agency under part H, or a 
State educational agency to local educational agencies and designated 
lead agencies under part H of IDEA, and other agencies, institutions, 
and organizations providing services to children with deaf-blindness, 
to--
    (1) Enhance personnel training programs by, for example, making 
available the combined expertise of highly trained and experienced 
professionals from the fields of education and early intervention for 
children with deaf-blindness;
    (2) Apply effective and relevant educational and early intervention 
research findings; and
    (3) Replicate effective methodology and curricula in educating 
children with deaf-blindness, and in providing early intervention 
services to children with deaf-blindness.
    (c) Technical assistance services made available under this section 
are to be determined by mutual agreement between the Sec. 307.12 
technical assistance grantee and the Sec. 307.11 grantee, the lead 
agency under part H, or the State education agency.

(Authority: 20 U.S.C. 1422)

[49 FR 28364, July 11, 1984, as amended at 54 FR 15310, Apr. 17, 1989; 
56 FR 51585, 51586, Oct. 11, 1991]



Sec. 307.13  What types of technical assistance for transitional services are considered for support under this part?

    (a) The Secretary may provide financial assistance under this part 
to provide technical assistance to State educational agencies in making 
available to adolescents and young adults with deaf-blindness, programs 
and services to facilitate their transition from education to employment 
and other services such as vocational, independent living, and other 
postsecondary services.
    (b) Each grantee under this section must provide each of the 
following services:
    (1) Technical assistance to agencies institutions, and organizations 
that are preparing adolescents and young adults with deaf-blindness for 
adult placement, or that are preparing to receive adolescents or young 
adults with deaf-blindness into adult living and work environments, or 
that serve, or

[[Page 147]]

propose to serve adolescents and young adults with deaf-blindness.
    (2) Training or inservice training to paraprofessionals or 
professionals serving, or preparing to serve, those adolescents and 
young adults, as well as training to their parents.
    (3) Assistance in the development or replication of successful 
innovative approaches to providing rehabilitative, supervised, semi-
supervised, or independent living programs.
    (c) As used in this section, the term transitional services 
includes--
    (1) Counseling, training, and other services to assist adolescents 
and young adults with deaf-blindness to adjust to work environments and 
employment options;
    (2) Information concerning relevant public services available to 
assist adolescents and young adults with deaf-blindness in transition 
from educational to other services, including, recreational and leisure 
time resources, rehabilitative, supervised, semi-supervised, or 
independent living programs, and the procedures for assessing those 
services; and
    (3) Assistance to relevant agencies in the development of 
individualized work-related plans for adolescents and young adults with 
deaf-blindness.
    (d) Each grantee under this section shall develop and implement 
strategies to promote coordination between State and local agencies, 
institutions, and organizations that are preparing adolescents and young 
adults with deaf-blindness for adult placements, or that are preparing 
to receive adolescents or young adults with deaf-blindness into adult 
living and work environments, or that serve, or propose to serve 
adolescents or young adults with deaf-blindness, including agencies 
providing rehabilitative, vocational, health, career planning and 
development, and social services, and agencies providing a range of 
supervised and unsupervised living options.
    (e) Each grantee under this section shall assess the effectiveness 
of the project in facilitating the transition of adolescents and young 
adults with deaf-blindness from education to employment and other 
services such as vocational, independent living, and other postsecondary 
services.

(Authority: 20 U.S.C. 1422)

[49 FR 28364, July 11, 1984, as amended at 56 FR 51586, Oct. 11, 1991]



Sec. 307.14  What types of pilot projects are considered for support to successful Sec. 307.11 applicants under this part?

    The Secretary may provide financial assistance under this part to 
successful applicants under Sec. 307.11, to support pilot projects 
described at Sec. 307.10(d).

(Authority: 20 U.S.C. 1422)

[56 FR 51586, Oct. 11, 1991]



Sec. 307.15  What types of activities are supported in a national clearinghouse for children with deaf-blindness?

    The Secretary may provide financial assistance under this part to 
support the following activities:
    (a) Identification, coordination, and dissemination of information 
on deaf-blindness, emphasizing information concerning practices 
developed through research, development or demonstration activities that 
have produced statistical or narrative data establishing their 
effectiveness in working with children with deaf-blindness, including--
    (1) Special educational and early intervention programs, services, 
and resources;
    (2) Related medical, health, social, and recreational services;
    (3) The nature of deaf-blindness and its early intervention, 
educational, and employment implications;
    (4) Legal issues affecting persons with disabilities; and
    (5) Information on available services and programs in postsecondary 
education for adolescents and young adults with deaf-blindness.
    (b) Interaction with educators, professional groups, and parents to 
identify areas for programming, materials development, training, and 
expansion of specific services.
    (c) Maintenance of a computerized data base on local, regional, and 
national resources.

[[Page 148]]

    (d) Responding to information requests from professionals, parents, 
and members of the public.

(Authority: 20 U.S.C. 1422)

[56 FR 51586, Oct. 11, 1991]
Secs. 307.16--307.19  [Reserved]



               Subpart C--How Does One Apply for a Grant?

Secs. 307.20--307.29  [Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 307.30  What priorities are considered for support by the Secretary?

    (a) The Secretary may select as annual priorities one or more of the 
types of projects listed in Sec. 307.10.
    (b) The Secretary advises the public of these priorities through an 
application notice published in the Federal Register.

(Authority: 20 U.S.C. 1422)



Sec. 307.31  How does the Secretary determine the amount of an award under Sec. 307.11?

    In determining the funding level for each award under Sec. 307.11 
for a single or multi-State project for children with deaf-blindness, 
the Secretary considers the following factors:
    (a) The number of children in the States the applicant proposes to 
serve.
    (b) The number of children with deaf-blindness in the State 
benefiting from services under Sec. 307.11(a) (1) and (2) in relation to 
the total number of such children in all States.
    (c) The relative cost of providing services authorized under this 
part to children with deaf-blindness in the States the applicant 
proposes to serve.
    (d) The quality of the application submitted under this part 
evaluated on the basis of the criteria in Sec. 307.33.

(Authority: 20 U.S.C. 1422)

[54 FR 15311, Apr. 17, 1989, as amended at 56 FR 51585, 51586, Oct. 11, 
1991]



Sec. 307.32  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application submitted under 
Sec. 307.11 on the basis of the criteria in Sec. 307.33. If more than 
one eligible application is received on behalf of any State for an award 
under Sec. 307.11, the Secretary uses the procedures established in 
Sec. 307.34. The Secretary uses the selection criteria in Sec. 307.35 or 
307.36 to evaluate applications submitted for other types of activities 
authorized under this part.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1422)

[54 FR 15311, Apr. 17, 1989]



Sec. 307.33  What criteria does the Secretary use to evaluate a State or multi-State application under Sec. 307.11?

    The Secretary uses the following criteria to evaluate the quality of 
an application submitted under Sec. 307.11. Each applicant may receive 
up to a total of 100 points. Each application will be evaluated based 
only on those factors of each criterion that relate to the service needs 
of the States the applicant proposes to serve.
    (a) Justification for the project, extent of need, and expected 
impact. (15 points) The Secretary reviews each application to determine 
the justification for the proposed activities in each State, based on 
the extent of State need for and expected impact from the provision of 
services and technical assistance, including consideration of--
    (1) The age, number, and location of children with deaf-blindness in 
the State to whom the State is not obligated to provide a free 
appropriate public education under part B of the IDEA, to whom the State 
is not providing special educational and related services under some 
other authority, and to whom the applicant proposes to provide services;
    (2) The specific actions needed for the provision of early 
intervention, educational, and related services to children with deaf-
blindness based on the State's plan for delivery of services to students 
with handicaps required under parts B and H of the IDEA;
    (3) The specific actions needed for the provision of technical 
assistance addressed by the project based on the

[[Page 149]]

State's plan for provision of technical assistance to providers of 
services to children with deaf-blindness;
    (4) The expected benefits to be gained by providing the early 
intervention, educational, and related services to children with deaf-
blindness to be served by the project, their parents and service 
providers; and
    (5) The expected benefits to be gained by meeting the technical 
assistance needs of service providers to be assisted by the project.
    (b) Quality of services and technical assistance. (40 points) The 
Secretary reviews each application to determine the quality of the plan 
to provide services and technical assistance in each State to be served, 
including--
    (1) The quality of the design of the project for providing each of 
the early intervention, educational, and related services described 
under Sec. 307.11(a)(1), and for providing technical assistance as 
described under Sec. 307.11(a)(2);
    (2) The extent to which the applicant's plan for providing services 
and technical assistance implements current research findings and 
exemplary practices including arranging for services that are age-
appropriate for project participants, and providing for the maximum 
integration of children with deaf-blindness in the least restrictive 
environment;
    (3) How well the objectives of the project respond to the needs of 
children with deaf-blindness in the State, their parents, and service 
providers;
    (4) The extent to which the plan of management is effective and 
ensures proper and efficient provision of early intervention, 
educational, and related services, and technical assistance, and 
reflects an analysis of the service needs of children with deaf-
blindness in the State;
    (5) How well the objectives of the project relate to the purpose of 
the program;
    (6) How the project will assist the State in developing and 
implementing the State's Comprehensive Systems of Personnel Development 
required under parts B and H of IDEA;
    (7) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disabling condition;
    (8) The quality of the applicant's plan for providing early 
intervention, consultative, and training services for families of 
children with deaf-blindness as described in Sec. 307.11(a)(1)(iii);
    (9) The quality of the applicant's plan to involve parents in the 
development and delivery of appropriate services to their children with 
deaf-blindness; and
    (10) The extent to which services provided for children birth 
through two years of age meet the requirements of part H of the IDEA.
    (c) Quality of key personnel. (10 points) The Secretary reviews each 
application to determine the qualifications of the key personnel the 
applicant plans to use on the project for the provision of services to 
children with deaf-blindness and technical assistance to agencies, 
including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
in the project;
    (3) The experience among key personnel referred to in paragraphs 
(c)(1) and (2) of this section, relevant to the provision of quality 
educational services to children with deaf-blindness in less restrictive 
environments.
    (4) The time that each person referred to in paragraphs (c)(1) and 
(2) of this section will commit to the project; and
    (5) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (d) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate to the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable.
    (Cross-reference: See 34 CFR 75.590 Evaluation by the grantee)

[[Page 150]]

    (e) Budget and cost effectiveness. (10 points) The Secretary reviews 
each application to determine for technical assistance, and direct 
services where appropriate, in each State to be served, the extent to 
which--
    (1) The budgets are adequate to support the activities;
    (2) Costs are reasonable in relation to the objectives of the 
project; and
    (3) Costs reflect--
    (i) The time anticipated to be spent by each staff member for the 
provision of services described under Sec. 307.11(a)(1) and costs for 
contracted and consultative services, travel costs, and other direct 
costs;
    (ii) The time anticipated to be spent by each staff member for the 
provision of technical assistance under Sec. 307.11(a)(2), and costs for 
contracted and consultative services, travel, and other related 
expenditures for technical assistance activities; and
    (iii) The time anticipated to be spent for administrative services.

(Authority: 20 U.S.C. 1422)

    (f) Coordination. (5 points) The Secretary reviews each application 
to determine the adequacy of the applicant's procedures for initiating 
and maintaining coordination in each State to be served with--
    (1) Related activities funded from grants, contracts, and 
cooperative agreements awarded under parts C, D, E, F, and G of the 
IDEA; and
    (2) Relevant agencies, organizations, and institutions having 
responsibility to deliver services to children with deaf-blindness in 
the State, including State education agencies and other service 
providers under parts B and H of the IDEA and section 1221 et seq. of 
title I of the Elementary and Secondary Education Act of 11965.
    (g) Dissemination. (5 points) The Secretary reviews each application 
to determine the adequacy of the applicant's procedures for 
disseminating significant project information within the State(s) to 
providers of services to children with deaf-blindness.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1422)

[54 FR 15311, Apr. 17, 1989, as amended at 56 FR 51585, 51586, Oct. 11, 
1991]



Sec. 307.34  What procedures does the Secretary use if more than one application for an award under Sec. 307.11 proposes to serve the same State?

    If more than one eligible application is received on behalf of any 
State for an award under Sec. 307.11, the Secretary applies the 
selection criteria in Sec. 307.33 and selects the highest ranked 
application for funding.

(Authority: 20 U.S.C. 1422)

[54 FR 15312, Apr. 17, 1989]



Sec. 307.35  What criteria are used to evaluate a technical assistance application under Sec. 307.10, Sec. 307.12, or Sec. 307.13?

    The Secretary uses the following criteria to evaluate an application 
for the provision of technical assistance under Sec. 307.10, 
Sec. 307.12, and Sec. 307.l3. Each application may receive up to a total 
of 100 points:
    (a) Extent of need and expected impact of the project. (25 points) 
The Secretary reviews each application to determine the extent to which 
the project will assist in meeting national needs in the provision of 
services to children with deaf-blindness, including consideration of--
    (1) The extent and importance of the needs addressed by the project;
    (2) The expected benefits to children with deaf-blindness served by 
the project, their parents, and service providers; and
    (3) The national significance of the project in terms of potential 
benefits to children with deaf-blindness who are not directly involved 
in the project.
    (b) Plan of operation. (25 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The quality of the design of the project;
    (2) The extent to which the plan of management is effective and 
ensures proper and efficient administration of the project;
    (3) How well the objectives of the project relate to the purpose of 
the program;
    (4) The quality of the applicant's plan to use its resources and 
personnel to achieve each objective;

[[Page 151]]

    (5) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disabling condition.
    (c) Quality of key personnel. (15 points) (1) The Secretary reviews 
each application to determine the quality of the key personnel the 
applicant plans to use on the project, including--
    (i) The qualifications of the project director;
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (c)(1) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (2) To determine personnel qualifications under paragraphs (c)(1) 
(i) and (ii) of this section, the Secretary considers--
    (i) Experience and training in fields related to the objectives of 
the project; and
    (ii) Any other qualifications that pertain to the quality of the 
project.
    (d) Budget and cost-effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.
    (e) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate to the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable.
    (Cross-reference: See 34 CFR 75.590 Evaluation by the grantee.)
    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Dissemination plan. (5 points) The Secretary reviews each 
application to determine the quality of the dissemination plan for the 
project, including the extent to which the applicant's plan--
    (1) Ensures proper and efficient dissemination of project 
information throughout the Nation; and
    (2) Adequately includes the content, intended audiences, and 
timelines for production of all project documents and other products 
that the applicant will disseminate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1422)

[54 FR 15312, Apr. 17, 1989. Redesignated and amended at 56 FR 51587, 
Oct. 11, 1991]



Sec. 307.36  What criteria are used to evaluate an application for other than technical assistance under Sec. 307.10, or for an application under Sec. 307.14 or 
          Sec. 307.15?

    The Secretary uses the following criteria to evaluate the quality of 
an application submitted under Sec. 307.10 (except for technical 
assistance projects), and under Sec. 307.14 and Sec. 307.15. Each 
applicant may receive up to a total of 100 points.
    (a) Importance and impact. (20 points) (1) The Secretary reviews 
each application to determine the extent to which the proposed project 
addresses concerns in light of the purposes of this part, including--
    (i) The significance of the problem or issues to be addressed;
    (ii) The extent to which the project is based on previous results, 
research and evaluation findings, or other information related to the 
problem or issue;
    (iii) The contribution that project findings or products will make 
to current knowledge and practice; and
    (iv) The extent to which findings, information, or products of the 
project will be designed to promote their adaptation by and usefulness 
to others in conducting related projects.
    (2) In determining the extent of the importance and impact of the 
application, the Secretary also considers the

[[Page 152]]

relevance of proposed activities in addressing the unique needs of 
children targeted by the project.
    (3) In determining the importance and impact of the application the 
Secretary considers the extent to which the project addresses the unique 
needs of children with disabilities from minority backgrounds.
    (b) Technical soundness. (1) The Secretary reviews each application 
to determine the technical soundness of the project, including--
    (i) The quality of the design of the project;
    (ii) The proposed sample or target population, including the numbers 
of participants involved and methods that will be used by the applicant 
to ensure that participants who are otherwise eligible to participate 
are selected without regard to race, color, national origin, gender, or 
disabling conditions; and
    (iii) The anticipated outcomes.
    (2) In determining the technical soundness of an application, the 
Secretary also considers--
    (i) For pilot projects under Sec. 307.14--
    (A) The correlation with and relevance to the activities under 
Sec. 307.11 for a State or multi-State project; and
    (B) The extent to which practices of the pilot project can be 
adopted in other settings within the State;
    (ii) For the clearinghouse project under Sec. 307.15--
    (A) The extent to which the applicant evidences awareness of the 
magnitude and importance of effective public awareness, the existence of 
already existing materials and resources available to meet general and 
specific educator and consumer needs, and gaps in the bank of resources 
and materials to meet those needs;
    (B) The quality of the information retrieval, assimilation, revision 
and dissemination systems that the applicant will utilize in meeting 
general requests of the public as well as the specific needs of 
educators, administrators, and consumers; and
    (C) The adequacy of project procedures for addressing, through 
products and outreach procedures, the unique needs of users from 
traditionally underrepresented groups;
    (iii) For research projects--
    (A) The comprehensiveness of the review of research to the problem 
or issues to be addressed by the project and to the nature of the 
population to be included in the project;
    (B) The theoretical soundness of the conceptual framework and 
research hypotheses upon which the research is to be conducted;
    (C) The appropriateness of the data analysis, procedures, and 
instrumentation;
    (D) The effectiveness of the research design in testing the research 
hypotheses; and
    (E) How the anticipated research results can be utilized in 
subsequent research or demonstration projects, if applicable;
    (iv) For model development, improvement, or demonstration projects--
    (A) The extent to which the project is focused on the development or 
adaptation of innovative educational practices;
    (B) The nature and extent to which the proposed practices to be 
included in the model demonstration have been identified and validated 
through prior research or related model developmental efforts with the 
same or similar target populations;
    (C) The extent to which the practices to be demonstrated promote the 
integration of children with deaf-blindness with peers who are not 
disabled in least-restrictive environments; and
    (D) The extent to which the project will develop materials and 
procedures that can be used by others to implement the model;
    (v) For replication, outreach, or utilization projects--
    (A) The nature and extent to which the practices to be disseminated 
through outreach strategies have been validated for effectiveness;
    (B) The extent to which the practices to be replicated or utilized 
promote the integration of children with deaf-blindness with peers who 
are not disabled in least-restrictive environments; and
    (C) The extent to which the practices to be replicated or utilized 
are economically feasible for other nonfederally supported replications, 
and lend themselves for adaptations with other relevant populations.

[[Page 153]]

    (vi) For preservice or inservice training projects--
    (A) If appropriate, the degree to which the proposed activities 
relate to and are coordinated with specific training needs identified by 
the State educational agency under part B and State lead agency under 
part H in its Comprehensive System of Personnel Development plan;
    (B) The extent to which the training will result in certification, 
recertification or licensure for participants completing the training;
    (C) The extent to which the curriculum is theoretically sound, 
incorporates validated effective practices, is appropriate in scope and 
sequence, incorporates appropriate practicum experiences, and can be 
used by others to train personnel with similar training needs;
    (D) The quality of the practicum training sites--school, group home, 
supported living, and other settings where children with deaf-blindness 
are found--including evidence that they are sufficiently available, 
apply state-of-the-art services and model teaching practices, materials 
and technology, provide adequate supervision to trainees, and offer 
opportunities for trainees to teach and foster interactions between 
children with disabilities and their peers who are not disabled; and
    (E) The extent to which training addresses the needs of a range of 
children including children with disabilities from minority backgrounds; 
and
    (vii) For parent involvement projects--
    (A) The extent to which the project will address specific needs and 
interests of parents of children with deaf-blindness upon which the 
project is focused;
    (B) The extent to which the project promotes the active involvement 
of parents of children with deaf-blindness in the design, 
implementation, and on-going review of the educational and related 
services to be provided to their children with deaf-blindness for which 
the project is to provide benefit; and
    (C) The extent to which the project is designed to meet the unique 
needs of parents of children with deaf-blindness from minority 
backgrounds.
    (3) The maximum possible score awarded under this criterion is 
indicated in parentheses by the type of project proposed, as follows:
    (i) For pilot projects (15 points).
    (ii) For the clearinghouse project under Sec. 307.15 (10 points).
    (iii) For research projects (30 points).
    (iv) For development, improvement, demonstration, or other projects 
(20 points).
    (v) For replication, outreach, or utilization projects (15 points).
    (vi) For preservice or inservice training projects (15 points).
    (vii) For parent involvement projects (15 points).
    (c) Plan of operation. (1) The Secretary reviews each application to 
determine the quality of the plan of operation for the project, 
including--
    (i) The extent to which the plan of management is effective for the 
type of project proposed and ensures proper and efficient administration 
of the project;
    (ii) The adequacy of the applicant's resources and plan for use of 
resources and personnel to achieve project objectives;
    (iii) How the budget proposed by the applicant is adequate to 
support the activities and that the costs are reasonable in relation to 
the objectives of the project;
    (iv) The adequacy of the applicant's procedures for initiating and 
maintaining coordination with relevant State, local and professional 
organizations and agencies, for the purpose of furthering achievement of 
the project objectives;
    (v) The adequacy of the applicant's plan to involve project 
participants with disabilities and, as appropriate, their family members 
in the development, implementation, and on-going review of project 
outcomes; and
    (vi) The adequacy of the applicant's plan to determine the 
effectiveness and timeliness in completion of the managerial procedures 
and objectives of the project's plan of operation.
    (2) The maximum possible score awarded under this criterion is 
indicated in parentheses by the type of project proposed, as follows:
    (i) For pilot projects (30 points).

[[Page 154]]

    (ii) For the clearinghouse project under Sec. 307.15 (35 points).
    (iii) For research projects (15 points).
    (iv) For development, improvement, demonstration, or other projects 
(25 points).
    (v) For replication, outreach, or utilization projects (30 points).
    (vi) For preservice or inservice training projects (30 points).
    (vii) For parent involvement projects (30 points).
    (d) Key personnel. (20 points) (1) The Secretary reviews each 
application to determine the qualifications of the key personnel the 
applicant plans to use on the project, including--
    (i) The qualifications of the project director or principal 
investigator;
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (d)(1) (i) 
and (ii) of this section will commit to the project; and
    (iv) Strategies of the applicant to identify and recruit personnel 
with disabilities or from traditionally underrepresented groups.
    (2) In determining the qualifications of each person referred to in 
paragraphs (d)(1) (i) and (ii) the Secretary also considers--
    (i) Experience and training in conducting, documenting, and applying 
the types of activities to be conducted; and
    (ii) Knowledge of the results and findings of relevant projects and 
potential for application of this information in addressing the unique 
needs of the children with deaf-blindness to be included in the project.
    (e) Evaluation. (15 points) (1) The Secretary reviews each 
application to determine the quality of the plan for evaluating the 
project, including--
    (i) The adequacy of the applicant's plan to determine, to the extent 
relevant, the effectiveness of the project in achieving measurable 
change and positive outcomes for children with deaf-blindness who were 
served by the project and others for whom the project was designed to 
benefit;
    (ii) The adequacy of the applicant's plan to determine the 
effectiveness and timeliness in completion of the managerial procedures 
and objectives of the project's plan of operation; and
    (iii) The procedures for recording, reviewing, analyzing, and 
interpreting for relevant audiences, data generated through conducting 
project activities.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1422)

[56 FR 51587, Oct. 11, 1991]



Sec. 307.37  What additional consideration will be given by the Secretary in carrying out this part?

    In carrying out this part, the Secretary takes into consideration 
the availability and quality of existing services for children with 
deaf-blindness in the country, and, to the extent practicable, ensures 
that all parts of the country have an opportunity to receive assistance 
under this part.

(Authority: 20 U.S.C. 1422)

[56 FR 51589, Oct. 11, 1991]
Secs. 307.38--307.39  [Reserved]



 Subpart E--What Conditions Must Be Met by a Grantee Under This Program?

Sec. 307.40  [Reserved]



Sec. 307.41  What advisory committees are to be established under this program?

    Each grantee under this part shall establish and maintain an 
advisory committee for the project. Each committee must include at least 
one parent of a child or youth with deaf-blindness, a representative of 
the State educational agency in the State in which the grantee is 
located, a limited number of professionals with training and experience 
in serving children with deaf-blindness, and other individuals 
representing related agencies and organizations. These committees may 
participate in such activities as--
    (a) Planning, development, and operation of the project; and
    (b) Dissemination of information regarding the project's activities.

(Authority: 20 U.S.C. 1422)

[49 FR 28364, July 11, 1984, as amended at 56 FR 51585, 51589, Oct. 11, 
1991]

[[Page 155]]



Sec. 307.42  What other conditions must be met by a grantee under this program?

    (a) The Secretary, if appropriate, requires grantees to prepare 
reports describing their procedures, findings, and other relevant 
information in a form that will maximize the dissemination and use of 
those procedures, findings, and information.
    (b) The Secretary requires delivery of those reports, as 
appropriate, to--
    (1) The regional and Federal resource centers, the clearinghouses, 
and the technical assistance to parents assisted under parts C and D of 
the Act;
    (2) The National Diffusion Network;
    (3) The ERIC Clearinghouse on the Handicapped and Gifted;
    (4) The Child and Adolescent Service Systems Program (CASSP) under 
the National Institute of Mental Health;
    (5) Appropriate parent and professional organizations;
    (6) Organizations representing individuals with disabilities; and
    (7) Such other networks as the Secretary may determine to be 
appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1410(g))

[56 FR 51589, Oct. 11, 1991]
Secs. 307.43--307.49  [Reserved]



PART 309--EARLY EDUCATION PROGRAM FOR CHILDREN WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
309.1  What is the Early Education Program for Children with 
          Disabilities (EEPCD)?
309.2  Who is eligible for an award?
309.3  What activities may the Secretary fund?
309.4  What regulations apply to this program?
309.5  What definitions apply to this program?

               Subpart B--How Does One Apply for an Award?

309.10  What separate applications must an applicant submit?
309.11  How does the Secretary select and announce funding priorities 
          under this program?

            Subpart C--How Does the Secretary Make an Award?

309.20  How does the Secretary evaluate an application?
309.21  What selection criteria does the Secretary use?
309.22  Are awards for experimental, demonstration, outreach, and 
          statewide data systems projects geographically dispersed?

 Subpart D--What Conditions Must Be Met After an Award by Experimental, 
    Demonstration, Technical Assistance, Statewide Data Systems, and 
                           Outreach Projects?

309.30  What conditions must be met by recipients of experimental, 
          demonstration, and outreach projects?
309.31  What are the matching requirements for experimental, 
          demonstration, and outreach projects?
309.32  What are the requirements for technical assistance projects?
309.33  What conditions must be met by recipients of statewide data 
          systems projects?
309.34  What other conditions must be met by grantees under this 
          program?

    Authority: 20 U.S.C. 1423, unless otherwise noted.

    Source: 52 FR 29817, Aug. 11, 1987, unless otherwise noted.



                           Subpart A--General



Sec. 309.1  What is the Early Education Program for Children with Disabilities (EEPCD)?

    The EEPCD supports activities that are designed--
    (a) To address the special needs of children with disabilities, 
birth through age eight, and their families; and
    (b) To assist State and local entities in expanding and improving 
programs and services for these children and their families.

(Authority: 20 U.S.C. 1423)

[52 FR 29817, Aug. 11, 1987, as amended at 56 FR 54690, Oct. 22, 1991]



Sec. 309.2  Who is eligible for an award?

    (a)(1) Public agencies and nonprofit private organizations are 
eligible for a grant or cooperative agreement under Sec. 309.3 (a) 
through (h).

[[Page 156]]

    (2) Profit-making organizations are also eligible under Sec. 309.3 
(e) and (f).
    (b) States are eligible for grants or cooperative agreements under 
Sec. 309.3(i).

(Authority: 20 U.S.C. 1423)

[57 FR 28965, June 29, 1992]



Sec. 309.3  What activities may the Secretary fund?

    The Secretary may provide financial assistance in the form of a 
contract grant or cooperative agreement under this part to support the 
following activities:
    (a) Experimental projects. These projects support the design of 
investigative models that compare alternative and innovative practices 
related to early intervention, preschool, and early education services 
for children with disabilities and their families.
    (b) Demonstration projects. These projects assist in developing and 
implementing preschool and early intervention program practices that 
establish specific strategics and products worthy of dissemination and 
replication.
    (c) Outreach projects. These projects support the replication of 
established practices to assist other agencies and organizations in 
expanding and improving services to children with disabilities and their 
families.
    (d) Research institutes. These institutes are designed to carry on 
sustained research to generate and disseminate new information on 
preschool and early intervention programs.
    (e) Research projects. These projects are designed to identify and 
meet the full range of special needs of children covered under this 
part.
    (f) Training projects. These projects support the training of 
personnel for programs specifically designed for children with 
disabilities, including programs to integrate children with disabilities 
into regular preschool programs.
    (g) Technical assistance development system. This system assists 
entities operating experimental, demonstration, and outreach programs 
and assists State agencies to expand and improve services to children 
with disabilities.
    (h) Synthesis projects. These projects synthesize the knowledge 
developed under this part and organize, integrate, and present the 
knowledge so it can be incorporated and imparted to parents, 
professionals, and others providing or preparing to provide preschool or 
early intervention services and to persons designing preschool or early 
intervention programs.
    (i) Statewide data systems projects. These projects establish an 
inter-agency, multi-disciplinary, and coordinated statewide system for 
the identification, tracking, and referral to appropriate services of 
all categories of children who are biologically or environmentally at 
risk of having developmental delays.

(Authority: 20 U.S.C. 1423)

[52 FR 29817, Aug. 11, 1987, as amended at 56 FR 54690, Oct. 22, 1991; 
57 FR 28965, June 29, 1992]



Sec. 309.4  What regulations apply to this program?

    The following regulations apply to grants and cooperative agreements 
under this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) established in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions that Apply to Department Regulations);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses)
    (b) The regulations in this part 309.

(Authority: 20 U.S.C. 1423)

[52 FR 29817, Aug. 11, 1987, as amended at 56 FR 54690, Oct. 22, 1991]

[[Page 157]]



Sec. 309.5  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    Contract
    Department
    EDGAR
    Fiscal year
    Grant
    Local educational agency
    Nonprofit
    Nonpublic
    Private
    Project
    Public
    Secretary
    State
    State educational agency

    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR part 300. The section of part 300 that 
contains the definition is given in parentheses:

    Include (Sec. 300.6)
    Parent (Sec. 300.10)
    Related services (Sec. 300.13)
    Special education (Sec. 300.14)

    (c) Other definitions. The following definitions also apply to this 
part.
    Act. As used in this part, Act means the Individuals with 
Disabilities Education Act.
    Children with disabilities. (1) As used in this part, children with 
disabilities means those children from birth through age eight--
    (i) With mental retardation, hearing impairments including deafness, 
speech or language impairments, visual impairments including blindness, 
serious emotional disturbance, orthopedic impairments, autism, traumatic 
brain injury, other health impairments, or specific learning 
disabilities; and
    (ii) Who, because of those impairments, need special education and 
related services.
    (2) The term includes infants and toddlers, birth through age two, 
who need early intervention services because they--
    (i) Are experiencing developmental delays, as measured by 
appropriate diagnostic instruments and procedures, in one or more of the 
following areas: Cognitive development, physical development including 
vision and hearing, language and speech development, psychosocial 
development, or self-help skills, or
    (ii) Have a diagnosed physical or mental condition that has a high 
probability of resulting in developmental delay.
    (3) The term also includes individuals from birth through age two 
who are at risk of having substantial developmental delays if early 
intervention services are not provided.
    (4) For children aged three to five, inclusive, the term may, at a 
State's discretion, include children--
    (i) Who are experiencing developmental delays, as defined by the 
State and as measured by appropriate diagnostic instruments and 
procedures, in one or more of the following areas; Physical development, 
cognitive development, communication development, social or emotional 
development, or adaptive development; and
    (ii) Who, for that reason, need special education and related 
services.

(Authority: 20 U.S.C. 1401(a)(1); 20 U.S.C. 1423(a)(1); 20 U.S.C. 
1472(1))

[52 FR 29817, Aug. 11, 1987, as amended at 56 FR 54691, Oct. 22, 1991; 
57 FR 28965, June 29, 1992]



               Supart B--How Does One Apply for an Award?



Sec. 309.10  What separate applications must an applicant submit?

    Applicants for assistance under this part must submit a separate 
application for each activity in Sec. 309.3 that is announced for 
competition.

(Authority: 20 U.S.C. 1423)



Sec. 309.11  How does the Secretary select and announce funding priorities under the program?

    The Secretary may establish as a priority any activity in 
Sec. 309.3.

(Authority: 20 U.S.C. 1423)

[[Page 158]]



            Subpart C--How Does the Secretary Make an Award?



Sec. 309.20  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application under this part on the 
basis of the criteria in Sec. 309.21.
    (b) The Secretary awards up 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1423)



Sec. 309.21  What selection criteria does the Secretary use?

    The Secretary uses the following criteria to evaluate applications 
unless, with regard to training projects, he determines that the 
selection criteria in 34 CFR part 318 are more appropriate:
    (a) Importance. (15 points) (1) The Secretary reviews each 
application to determine the extent to which the proposed project 
addresses concerns in light of the purposes of this part.
    (2) The Secretary considers--
    (i) The significance of the problem or issue to be addressed;
    (ii) The extent to which the project is based on previous research 
findings related to the problem or issue;
    (iii) The numbers of individuals who will benefit; and
    (iv) How the project wil address the identified problem or issue.
    (b) Impact. (15 points) (1) The Secretary reviews each application 
to determine the probable impact of the proposed project in meeting the 
needs of children with disabilities, birth through age eight, and their 
families.
    (2) The Secretary considers--
    (i) The contribution that project findings or products will make to 
current knowledge and practice;
    (ii) The methods used for dissemination of project findings or 
products to appropriate target audiences; and
    (iii) The extent to which findings or products are replicable, if 
appropriate.
    (c) Technical soundness. (35 points) (1) The Secretary reviews each 
application to determine the technical soundness of the project plan.
    (2) In reviewing applications under this part, the Secretary 
considers--
    (i) The quality of the design of the project;
    (ii) The proposed sample or target population, including the numbers 
of participants involved and methods that will be used by the applicant 
to ensure that participants who are otherwise eligible to participate 
are selected without regard to race, color, national origin, gender, 
age, or disability;
    (iii) The methods and procedures used to implement the design, 
including instrumentation and data analysis; and
    (iv) The anticipated outcomes.
    (3) With respect to training projects in applying the criterion in 
paragraph (c)(2)(iii) of this section, the Secretary considers--
    (i) The curriculum, course sequence, and practice leading to 
specific competencies; and
    (ii) The relationship of the project to the comprehensive system of 
personnel development plans required by parts B and H of the Act, and 
State licensure or certification standards.
    (4) In addition to the criteria in paragraph (c)(2) of this section, 
the Secretary, in reviewing outreach projects, also considers--
    (i) The agencies to be served through outreach activities;
    (ii) The current services, their location, and anticipated impact of 
outreach assistance for each of those agencies;
    (iii) The model demonstration project upon which the outreach 
project is based, including the effectiveness of the model program with 
children, families, or other recipients of project services; and
    (iv) The likelihood that the demonstration project will be continued 
and supported by funds other that those available through this part.
    (d) Plan of operation. (10 points) (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary considers--
    (i) The extent to which the management plan will ensure proper and 
efficient administration of the project:
    (ii) Clarity in the goals and objectives of the project;

[[Page 159]]

    (iii) The quality of the activities proposed to accomplish the goals 
and objectives;
    (iv) The adequacy of proposed timeliness for accomplishing those 
activities; and
    (v) Effectiveness in the ways in which the applicant plans to use 
the resources and personnel to accomplish the goals and objectives.
    (e) Evaluation plan. (5 points) (1) The Secretary reviews each 
application to determine the quality of the plan for evaluating project 
goals, objectives, and activities.
    (2) The Secretary considers the extent to which the methods of 
evaluation are appropriate and produce objectives and quantifiable data.
    (f) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use.
    (2) The Secretary considers--
    (i) The qualifications of the project director and project 
coordinator (if one is used);
    (ii) The qualifications of each of the other key project personnel;
    (iii) The time that each person referred to in paragraphs (f)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant will ensure that personnel are selected for 
employment without regard to race, color, national origin, gender, age, 
or disability.
    (3) The Secretary considers experience and training in areas related 
to project goals to determine qualifications of key personnel.
    (g) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine adequacy of resources allocated to the project.
    (2) The Secretary considers the adequacy of the facilities and the 
equipment and supplies that the applicant plans to use.
    (h) Budget and cost-effectiveness. (5 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to undertake project 
activities; and
    (ii) Costs are reasonable in relation to objectives of the project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1423)

[52 FR 29817, Aug. 11, 1987, as amended at 53 FR 49145, Dec. 6, 1988; 56 
FR 54691, Oct. 22, 1991]



Sec. 309.22  Are awards for experimental, demonstration, outreach, and statewide data systems projects geographically dispersed?

    To the extent feasible, the Secretary, in addition to using the 
selection criteria in Sec. 309.21, geographically disperses awards for 
experimental, demonstration, outreach, and statewide data systems 
projects throughout the Nation in urban and rural areas.

(Authority: 20 U.S.C. 1423(a)(3))

[57 FR 28965, June 29, 1992]



 Subpart D--What Conditions Must Be Met After an Award By Experimental, 
    Demonstration, Technical Assistance, Statewide Data Systems, and 
                           Outreach Projects?



Sec. 309.30   What conditions must be met by recipients of experimental, demonstration, and outreach projects?

    (a) Experimental, demonstration, and outreach projects must include 
services and activities that are designed to--
    (1) Facilitate the intellectual, emotional, physical, mental, 
social, speech or other communication mode, language development, and 
self-help skills of children with disabilities;
    (2) Provide family education and include a parent or their 
representative, as well as encourage the participation of parents of 
children with disabilities, in the development and operation of projects 
under this section;
    (3) Acquaint the community in which the project is located with the 
special needs and potentialities of children with disabilities;
    (4) Offer training about exemplary models and practices, including 
interdisciplinary models and practices, to State and local personnel who 
provide services to children with disabilities, and to the parents of 
these children;

[[Page 160]]

    (5) Support the adoption of exemplary models and practices in States 
and local communities, including the involvement of adult role models 
with disabilities at all levels of the program;
    (6) Facilitate and improve the early identification of infants and 
toddlers with disabilities or those infants and toddlers at risk of 
having developmental disabilities;
    (7) Facilitate the transition of infants with disabilities or 
infants at risk of having developmental delays, from medical care to 
early intervention services, and the transition from early intervention 
services to preschool special education or regular education services 
(especially where the lead agency for early intervention services under 
part H of the Act is not the State educational agency);
    (8) Promote the use of assistive technology devices and assistive 
technology services, if appropriate, to enhance the development of 
infants and toddlers with disabilities;
    (9) Increase the understanding of, and address, the early 
intervention and preschool needs of children exposed prenatally to 
maternal substance abuse;
    (10) Facilitate and improve outreach to low-income, minority, rural, 
and other underserved populations eligible for assistance under parts B 
and H of the Act; and
    (11) Support statewide projects, in conjunction with a State's 
application under part H of the Act and a State's plan under part B or 
the Act, to change the delivery of early intervention services to 
infants and toddlers with disabilities, and to change the delivery of 
special education and related services to preschool children with 
disabilities, from segregated to integrated environments.
    (b) Experimental, demonstration, and outreach projects must be 
coordinated with State and local educational agencies, and appropriate 
public and private health and social service agencies, in order to--
    (1) Inform those agencies of the nature and purposes of the assisted 
project's activities or services; and
    (2) Provide opportunities for the project staff to coordinate their 
activities with staff of other agencies.

(Authority: 20 U.S.C. 1423(a) (1), (2))

[52 FR 29817, Aug. 11, 1987, as amended at 56 FR 54691, Oct. 22, 1991; 
57 FR 28966, June 29, 1992]



Sec. 309.31   What are the matching requirements for experimental, demonstration, and outreach projects?

    (a) Federal financial participation for an experimental, 
demonstration, or outreach project may not exceed 90 percent of the 
total annual costs of development, operation, and evaluation of the 
project.
    (b) The Secretary may waive the matching requirement in paragraph 
(a) of this section in the case of an arrangement entered into with 
governing bodies of Indian tribes located on Federal or State 
reservations and with consortia of those bodies if they are able to 
demonstrate that insufficient resources are available.

(Authority: 20 U.S.C. 1423(a)(4))



Sec. 309.32  What are the requirements for technical assistance projects?

    (a) The technical assistance development system shall provide 
assistance to parents of and advocates for infants, toddlers, and 
children with disabilities, as well as direct service and administrative 
personnel involved with these children, including assistance to part H 
State agencies on procedures for use by primary referral sources in 
referring a child to the appropriate agency within the system for 
evaluation, assessment, or service.
    (b) Information from the system should be aggressively disseminated 
through established information networks and other mechanisms to ensure 
both an impact and benefits at the community level.

(Authority: 20 U.S.C. 1423(b))

[56 FR 54691, Oct. 22, 1991]



Sec. 309.33  What conditions must be met by recipients of statewide data systems projects?

    Recipients of statewide data systems projects shall--

[[Page 161]]

    (a) Create a data system within the first year to document the 
numbers and types of at-risk children in the State and to develop 
linkages with all appropriate existing child data and tracking systems 
that assist in providing information;
    (b) Coordinate activities with the child find component required 
under parts B and H of the Act;
    (c) Demonstrate the involvement of the lead agency and the State 
interagency coordinating council under part H of the Act as well as the 
State educational agency under part B of the Act;
    (d) Coordinate with other relevant prevention activities across 
appropriate service agencies, organizations, councils, and commissions;
    (e) Define an appropriate service delivery system based on children 
with various types of at-risk factors; and
    (f) Document the need for additional services as well as barriers.

(Authority: 20 U.S.C. 1423(b))

[57 FR 28966, June 29, 1992]



Sec. 309.34  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54691, Oct. 22, 1991, as amended at 57 FR 14314, Apr. 17, 1992. 
Redesignated at 57 FR 28966, June 29, 1992]



PART 315--PROGRAM FOR CHILDREN WITH SEVERE DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
315.1  What is the Program for Children with Severe Disabilities?
315.2  Who is eligible to apply for a grant under this program?
315.3  What regulations apply to this program?
315.4  What definitions apply to this program?
315.5--315.9  [Reserved]

 Subpart B--What Kinds of Projects Does the Secretary Assist Under this 
                                Program?

315.10  What types of activities are considered for support by the 
          Secretary under this part?
315.11  What types of research activities are considered for support by 
          the Secretary under this part?
315.12  What types of development or demonstration activities are 
          considered for support by the Secretary under this part?
315.13  What types of training activities are considered for support by 
          the Secretary under this part?
315.14  What types of dissemination activities are considered for 
          support by the Secretary under this part?
315.15--315.19  [Reserved]

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

315.30  How does the Secretary select and announce funding priorities 
          under this program?
315.31  How does the Secretary evaluate an application?
315.32  What are the selection criteria used to award a research grant?
315.33  What are the selection criteria used to award a grant for a 
          demonstration, training, or dissemination project?

[[Page 162]]

315.34  What other factors are considered by the Secretary in making a 
          grant?
315.35--315.39  [Reserved]

 Subpart E--What Conditions Must Be Met by a Grantee Under This Program?

315.40  What coordination requirement(s) must be met by a grantee?
315.41  What other conditions must be met by grantees under this 
          program?
315.42--305.49  [Reserved]

    Authority: 20 U.S.C. 1424, unless otherwise noted.

    Source: 49 FR 28021, July 9, 1984, unless otherwise noted.



                           Subpart A--General



Sec. 315.1  What is the Program for Children with Severe Disabilities?

    This program supports research, development or demonstration, 
training, and dissemination activities that, consistent with the purpose 
of part C of the Individuals with Disabilities Education Act, meet the 
unique educational needs of infants, toddlers, children, and youth with 
severe disabilities.

(Authority: 20 U.S.C. 1424)

[56 FR 54692, Oct. 22, 1991]



Sec. 315.2  Who is eligible to apply for a grant under this program?

    Any public or private, profit or nonprofit, organization or 
institution may apply for a grant under this program.

(Authority: 20 U.S.C. 1424)



Sec. 315.3  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The regulations in this part 315.
    (b) The Education Department General Administrative Regulations 
(EDGAR) established in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions that Apply to Department Regulations);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1424; 20 U.S.C. 3474(a))

[49 FR 28021, July 9, 1984, as amended at 55 FR 21714, May 25, 1990; 56 
FR 54692, Oct. 22, 1991]



Sec. 315.4  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    EDGAR
    Fiscal year
    Grant
    Grantee
    Nonprofit
    Preschool
    Private
    Project
    Public
    Recipient
    Secretary
    State

(Authority: 20 U.S.C. 1424; 20 U.S.C. 3474(a))

    (b) Definition in 34 CFR part 300. The term parent as used in this 
part is defined in 34 CFR 300.10.
    (c) Children with disabilities. (1) The term children with 
disabilities as used in this part means those children--
    (i) With mental retardation, hearing impairments including deafness, 
speech or language impairments, visual impairments including blindness, 
serious emotional disturbance, orthopedic impairments, autism, traumatic 
brain injury, other health impairments, or specific learning 
disabilities; and
    (ii) Who, for that reason, need special education and related 
services.
    (2) The term includes infants and toddlers, birth through age two, 
who need

[[Page 163]]

early intervention services because they--
    (i) Are experiencing developmental delays, as measured by 
appropriate diagnostic instruments and procedures, in one or more of the 
following areas: Cognitive development, physical development including 
vision and hearing, language and speech development, psychosocial 
development, or self-help skills; or
    (ii) Have a diagnosed physical or mental condition that has a high 
probability of resulting in developmental delay.
    (3) The term includes, at a State's discretion, individuals from 
birth through age two who are at risk of having substantial 
developmental delays if early intervention services are not provided.
    (4) For children aged three to five, inclusive, the term may, at a 
State's discretion, include children--
    (i) Who are experiencing developmental delays, as defined by the 
State and as measured by appropriate diagnostic instruments and 
procedures, in one or more of the following areas: physical development, 
cognitive development, communication development, social or emotional 
development, or adaptive development; and
    (ii) Who, for that reason, need special education and related 
services.
    (d) Children with severe disabilities. (1) As used in this part, the 
term children with severe disabilities refers to children with 
disabilities who, because of the intensity of their physical, mental, or 
emotional problems, need highly specialized education, social, 
psychological, and medical services in order to maximize their full 
potential for useful and meaningful participation in society and for 
self-fulfillment.
    (2) The term includes those children with disabilities with severe 
emotional disturbance (including schizophrenia), autism, severe and 
profound mental retardation, and those who have two or more serious 
disabilities such as deaf-blindness, mental retardation and blindness, 
and cerebral-palsy and deafness.
    (3) Children with severe disabilities--
    (i) May experience severe speech, language, and/or perceptual-
cognitive deprivations, and evidence abnormal behaviors such as--
    (A) Failure to respond to pronounced social stimuli;
    (B) Self-multilation;
    (C) Self-stimulation;
    (D) Manifestation of intense and prolonged temper tantrums; and
    (E) The absence of rudimentary forms of verbal control; and
    (ii) May also have extremely fragile physiological conditions.

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 56 FR 54692, Oct. 22, 1991; 57 
FR 28966, June 29, 1992]
Secs. 315.5--315.9  [Reserved]



 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?



Sec. 315.10  What types of activities are considered for support by the Secretary under this part?

    The Secretary may provide financial assistance under this part to 
support the following activities:
    (a) Research to identify and meet the full range of special 
education, related services and early intervention needs (including 
transportation to and from school) of children with severe disabilities, 
described in Sec. 315.11.
    (b) The development or demonstration of new, or improvements in 
existing, methods, approaches, or techniques which would contribute to 
the adjustment and education of children with severe disabilities, as 
described in Sec. 315.12.
    (c) Training of special and regular education, related services, and 
early intervention personnel engaged or preparing to engage in programs 
specifically designed for children with severe disabilities, including 
training of regular teachers, instructors, and administrators in 
strategies for serving children with disabilities that include 
integrated settings for educating children with severe disabilities 
along with their nondisabled peers, as described in Sec. 315.13.
    (d) Dissemination of materials and information about practices found 
effective in working with children with

[[Page 164]]

severe disabilities, as described in Sec. 315.14.

(Authority: 20 U.S.C. 1424)

    (e) Statewide projects in conjunction with the State's plan under 
part B, to improve the quality of special education and related services 
for children with severe disabilities, and to change the delivery of 
those services from segregated to integrated environments.
    (f) Development and operation of extended school year demonstration 
projects for children with severe disabilities.

[49 FR 28021, July 9, 1984, as amended at 52 FR 31958, Aug. 24, 1987; 56 
FR 54691, 54692, Oct. 22, 1991]



Sec. 315.11  What types of research activities are considered for support by the Secretary under this part?

    (a) The Secretary may provide financial assistance under this part 
for the following research activities:
    (1) Research to identify and meet the full range of special 
education, related services and early intervention needs (including 
transportation to and from school) of children with severe disabilities.
    (2) Research to identify and meet the instructional or counseling 
needs of parents, professionals, and others involved in the provision of 
services to children with severe disabilities, for the purpose of 
facilitating the delivery and improving the quality of these services.
    (b) Each application for assistance under this part must--
    (1) Specifically describe and justify the research activities which 
the applicant proposes to undertake;
    (2) Fully describe how the applicant will develop and validate the 
effectiveness of procedures for applying the project's research findings 
to the provision of improved direct services to children with severe 
disabilities.

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 52 FR 31958, Aug. 24, 1987; 56 
FR 54691, 54692, Oct. 22, 1991]



Sec. 315.12  What types of development or demonstration activities are considered for support by the Secretary under this part?

    (a) The Secretary may provide financial assistance under this part 
for one or more of the following development and demonstration 
activities to meet the needs of children with severe disabilities.
    (1) Review, analysis, and evaluation of current educational 
practices and research findings.
    (2) Diagnosis and evaluation of the learning capacities and 
limitations of children with severe disabilities and the identification 
of their specific learning needs and problems.
    (3) Design and demonstration of innovative procedures for addressing 
the identified needs of children with severe disabilities in a variety 
of settings.
    (4) Evaluation of the progress and achievement of children with 
severe disabilities who participate in project activities.
    (b) Each application for assistance under this part must--
    (1) Justify the need for the development or demonstration activities 
which the applicant proposes to undertake, particularly in consideration 
of related development or demonstration activities in the nation where 
applicable;
    (2) Describe the nature and extent of the impact which the proposed 
activities are expected to have on children with severe disabilities who 
will be served by the project; and
    (3) Describe the impact, in terms of replicability, that the 
activities are expected to have upon children and youth not served by 
the project.

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 52 FR 31958, Aug. 24, 1987; 56 
FR 54691, Oct. 22, 1991]



Sec. 315.13  What types of training activities are considered for support by the Secretary under this part?

    The Secretary may provide financial assistance under this part to 
support training activities that meet the following requirements:

[[Page 165]]

    (a) Training. Training of professional and allied personnel may 
include staff meetings, seminars, workshops, demonstrations, and related 
activities.
    (b) Participants. Participants in training activities may include 
present and potential project personnel and other special and regular 
education teachers, administrators, child care workers, parents, related 
service personnel, early intervention personnel and teacher aides.
    (c) Stipends. The Secretary, on a case-by-case basis, may authorize 
the payment of stipends for inservice training in an amount the 
Secretary determines appropriate for a particular training activity.
    (d) Each application for assistance under this part must--
    (1) Justify the need for the training activities that the applicant 
proposes to undertake; and
    (2) Describe the nature and extent of the impact that the proposed 
activities are expected to have on children with severe disabilities who 
will ultimately be served by the individuals who receive the training.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 52 FR 31958, Aug. 24, 1987; 56 
FR 54691, 54692, Oct. 22, 1991]



Sec. 315.14  What types of dissemination activities are considered for support by the Secretary under this part?

    The Secretary may provide assistance under this part for 
dissemination activities including distribution of materials and 
information to educational institutions, parents, the general public, 
and members of professions engaged in the field of the education of 
children with severe disabilities.

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 52 FR 31959, Aug. 24, 1987; 56 
FR 54692, Oct. 22, 1991]
Secs. 315.15--315.19  [Reserved]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 315.30  How does the Secretary select and announce funding priorities under this program?

    (a) For any fiscal year, the Secretary may give priority to one or 
more of the activities listed in Secs. 315.10--315.14.
    (b) The Secretary advises the public of these priorities through a 
notice published in the Federal Register.
    (c) The Secretary may establish other priorities through publication 
of one or more notices in the Federal Register in accordance with 34 CFR 
75.105, Annual priorities.

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 52 FR 31959, Aug. 24, 1987]



Sec. 315.31  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Secs. 315.32 or 315.33.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1424)

[52 FR 31959, Aug. 24, 1987]



Sec. 315.32  What are the selection criteria used to award a research grant?

    The Secretary uses the following criteria to evaluate an application 
for a research project described in Sec. 315.11:
    (a) Importance and expected impact of the research. (20 points) The 
Secretary reviews each application to determine the extent to which the 
project will develop new knowledge in understanding and effectively 
meeting the needs of children with severe disabilities, including the 
extent to which--
    (1) The programmatic research areas proposed by the applicant 
represent critical areas of investigation, or problems whose solution 
would have greatest impact on improving services to children with severe 
disabilities; and

[[Page 166]]

    (2) The specific questions to be addressed in the project are likely 
to generate knowledge needed for bringing about a major change in 
understanding of the topical area.
    (b) Technical soundness of the project. (15 points) (1) The 
Secretary reviews each application to determine the technical soundness 
of the research plan, including--
    (i) The design;
    (ii) The proposed sample;
    (iii) Instrumentation; and
    (iv) Data analysis procedures.
    (2) The Secretary also reviews each application for the relevance of 
its proposed training efforts, including--
    (i) Strategies for provision of training; and
    (ii) Relationships between the applicant, other organizations or 
agencies providing training in coordination with the applicant, and 
trainees receiving training from the applicant.
    (c) Plan of operation. (15 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The extent to which the plan of management is effective and 
ensures proper and efficient administration of the project;
    (2) How the objectives of the project relate to the purpose of the 
program;
    (3) The quality of the applicant's plans to use its resources and 
personnel to achieve each objective; and
    (4) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disabling condition.
    (d) Quality of key personnel. (20 points) (1) The Secretary reviews 
each application to determine the quality of key personnel the applicant 
plans to use on the project, including--
    (i) The qualifications of the project director or principal 
investigator;
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (d)(1) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (2) To determine personnel qualifications under paragraphs (d)(1) 
(i) and (ii) of this section, the Secretary considers--
    (i) Experience and training in conducting, documenting, and applying 
research pertaining to children with severe disabilities;
    (ii) Awareness of relevant research findings and demonstration 
project results pertaining to other children with disabilities and the 
potential for use of the findings and results with children with severe 
disabilities; and
    (iii) Experience in communicating research findings to service 
providers of children with severe disabilities and in assisting these 
providers with effective application of the findings.
    (e) Budget and cost-effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.
    (f) Evaluation plan. (10 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate to the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable.

(Cross-reference: See 34 CFR 75.590 Evaluation by the grantee.)
    (g) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (h) Dissemination plan. (5 points) The Secretary reviews each 
application to determine the quality of the dissemination plan for the 
project, including the extent to which the applicant's plan--
    (1) Ensures proper and efficient dissemination of project 
information within the State in which the project is

[[Page 167]]

located and throughout the Nation; and
    (2) Provides a clear description of the content, intended audiences, 
and timelines for production of all project documents and other products 
that the applicant will disseminate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 53 FR 49145, Dec. 6, 1988; 56 
FR 54691, 54692, Oct. 22, 1991]



Sec. 315.33  What are the selection criteria used to award a grant for a demonstration, training, or dissemination project?

    The Secretary uses the following criteria to evaluate an application 
for a demonstration project under Sec. 315.12 and a training project 
under Sec. 315.13. The Secretary also uses these criteria to evaluate a 
dissemination project under Sec. 315.14, except that a maximum of 30 
points may be given for criterion (b) (plan of operation) and no points 
are provided for criterion (g) (dissemination plan).
    (a) Extent of need and expected impact of the project. (25 points) 
The Secretary reviews each application to determine the extent to which 
the project is consistent with national needs in the provision of 
innovative services to children with severe disabilities, including 
consideration of--
    (1) The needs addressed by the project;
    (2) The impact and benefits to be gained by meeting the educational 
and related service needs of children with severe disabilities served by 
the project, their parents and service providers; and
    (3) The national significance of the project in terms of potential 
benefits to children with severe disabilities who are not directly 
involved in the project.
    (b) Plan of operation. (25 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The quality of the design of the project;
    (2) The extent to which the plan of management is effective and 
ensures proper and efficient administration of the project;
    (3) How well the objectives of the project relate to the purpose of 
the program;
    (4) The quality of the applicant's plan to use its resources and 
personnel to achieve each objective;
    (5) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disabling condition.
    (c) Quality of key personnel. (15 points). (1) The Secretary reviews 
each application to determine the quality of the key personnel the 
applicant plans to use on the project, including--
    (i) The qualifications of the project director;
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (c)(1) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant, as part of its non-discriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (2) To determine personnel qualifications under paragraph (c)(1) (i) 
and (ii) of this section, the Secretary considers--
    (i) Experience and training in fields related to the objectives of 
the project; and
    (ii) Any other qualifications that pertain to the quality of the 
project.
    (d) Budget and cost-effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.
    (e) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate to the project; and

[[Page 168]]

    (2) To the extent possible, are objective and produce data that are 
quantifiable.

(Cross-reference: See 34 CFR 75.590 Evaluation by the grantee)

    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Dissemination plan. (5 points) The Secretary reviews each 
application to determine the quality of the dissemination plan for the 
project, including the extent to which the applicant's plan--
    (1) Ensures proper and efficient dissemination of project 
information within the State in which the project is located and 
throughout the Nation; and
    (2) Adequately includes the content, intended audiences, and 
timeliness for production of all project documents and other products 
which the applicant will disseminate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1424)

[49 FR 28021, July 9, 1984, as amended at 53 FR 49145, Dec. 6, 1988; 56 
FR 54691, 54692, Oct. 22, 1991]



Sec. 315.34  What other factors are considered by the Secretary in making a grant?

    To the extent feasible, the Secretary supports activities that are 
geographically dispersed throughout the Nation in urban and rural areas.

(Authority: 20 U.S.C. 1424)

[52 FR 31960, Aug. 24, 1987]
Secs. 315.35--315.39  [Reserved]



 Subpart E--What Conditions Must Be Met by a Grantee Under This Program?



Sec. 315.40  What coordination require- ment(s) must be met by a grantee?

    Each recipient shall coordinate the activities assisted under this 
part with similar activities assisted under other sections of the Act.

(Authority: 20 U.S.C. 1424)



Sec. 315.41  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54692, Oct. 22, 1991, as amended at 57 FR 14314, Apr. 17, 1992]
Secs. 315.42--315.49  [Reserved]



PART 316--TRAINING PERSONNEL FOR THE EDUCATION OF INDIVIDUALS WITH DISABILITIES--PARENT TRAINING AND INFORMATION CENTERS--Table of Contents




                           Subpart A--General

Sec.
316.1  What is the Training Personnel for the Education of Individuals 
          with Disabilities--Parent Training and Information Centers 
          program?
316.2  Who is eligible for an award?
316.3  What kinds of projects may the Secretary fund?
316.4  What regulations apply to this program?
316.5  What definitions apply to this program?

Subpart B--What Activities Does the Secretary Assist Under This Program?

316.10  What activities may the Secretary fund?

[[Page 169]]

            Subpart C--How Does the Secretary Make an Award?

316.20  What are the requirements for applicants?
316.21  How does the Secretary evaluate an application?
316.22  What selection criteria does the Secretary use to evaluate 
          applications for parent centers and experimental centers?
316.23  What selection criteria does the Secretary use to evaluate 
          applications for technical assistance activities?
316.24  What additional factors does the Secretary consider?

             Subpart D--What Conditions Must a Grantee Meet?

316.30  What types of services are required?
316.31  What are the duties of the board of directors or special 
          governing committee of a parent organization?
316.32  What are the reporting requirements under this program?
316.33  What other conditions must be met by grantees under this 
          program?

    Authority: 20 U.S.C. 1431(d) and 1434, unless otherwise noted.

    Source: 57 FR 62096, Dec. 29, 1992, unless otherwise noted.



                           Subpart A--General



Sec. 316.1  What is the Training Personnel for the Education of Individuals with Disabilities--Parent Training and Information Centers program?

    (a) This program provides training and information to parents of 
children (infants, toddlers, children, and youth) with disabilities, and 
to persons who work with parents to enable parents to participate more 
fully and effectively with professionals in meeting the educational 
needs of their children with disabilities.
    (b) Parent training and information programs may, at a grantee's 
discretion, include participation of State or local educational agency 
personnel if that participation will further an objective of the program 
assisted by the grant.

(Authority: 20 U.S.C. 1431(d))



Sec. 316.2  Who is eligible for an award?

    Only parent organizations are eligible to receive awards under this 
program.

(Authority: 20 U.S.C. 1431(d))



Sec. 316.3  What kinds of projects may the Secretary fund?

    The Secretary funds three kinds of projects under this program:
    (a) Parent training and information centers.
    (b) Experimental urban and rural parent training and information 
centers.
    (c) Technical assistance for establishing, developing, and 
coordinating parent training and information programs.

(Authority: 20 U.S.C. 1431(d))



Sec. 316.4  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations:
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations).
    (2) Part 75 (Direct Grant Programs).
    (3) Part 77 (Definitions That Apply to Department Regulations).
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities).
    (5) Part 81 (General Education Provisions Act--Enforcement).
    (6) Part 82 (New Restrictions on Lobbying).
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for a Drug-Free 
Workplace (Grants)).
    (b) The regulations in this part 316.

(Authority: 20 U.S.C. 1431(d); 3474(a))



Sec. 316.5  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:
    Applicant
    Application
    Award
    Department
    EDGAR
    Fiscal year
    Local educational agency
    Nonprofit
    Private

[[Page 170]]

    Project
    Secretary
    State
    State educational agency
    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR part 300:
    Individualized education program
    Parent
    Related services
    Special education
    (c) Other definitions specific to 34 CFR part 316. The following 
terms used in this part are defined as follows:
    Act means the Individuals With Disabilities Education Act (IDEA).
    Parent organization means a private nonprofit organization that is 
governed by a board of directors of which a majority of the members are 
parents of children with disabilities--particularly minority parents--
and that includes members who are professionals--especially minority 
professionals--in the fields of special education, early intervention, 
and related services, and individuals with disabilities. If the private 
nonprofit organization does not have such a board, the organization must 
have a membership that represents the interests of individuals with 
disabilities, and must establish a special governing committee of which 
a majority of the members are parents of children with disabilities--
particularly parents of minority children--and that includes members who 
are professionals--especially minority professionals--in the fields of 
special education, early intervention, and related services. Parent and 
professional membership of these boards or special governing committees 
must be broadly representative of minority and other individuals and 
groups having an interest in special education, early intervention, and 
related services.

(Authority: 20 U.S.C. 1431(d))



Subpart B--What Activities Does the Secretary Assist Under This Program?



Sec. 316.10  What activities may the Secretary fund?

    (a) Parent training and information centers assisted under 
Sec. 316.3(a) must assist parents to--
    (1) Better understand the nature and needs of the disabling 
conditions of their children with disabilities;
    (2) Provide follow-up support for the educational programs of their 
children with disabilities;
    (3) Communicate more effectively with special and regular educators, 
administrators, related services personnel, and other relevant 
professionals;
    (4) Participate fully in educational decisionmaking processes, 
including the development of the individualized education program, for a 
child with a disability;
    (5) Obtain information about the range of options, programs, 
services, and resources available at the national, State, and local 
levels to children with disabilities and their families; and
    (6) Understand the provisions for educating children with 
disabilities under the Act.
    (b) Experimental urban centers under Sec. 316.3(b) must serve large 
numbers of parents of children with disabilities located in high density 
areas, and experimental rural centers under Sec. 316.3(b) must serve 
large numbers of parents of children with disabilities located in rural 
areas. The centers may focus on particular aspects of parent training 
and information services, including but not limited to those activities 
required under Sec. 316.10(a). Experimental projects may include a 
planning and development phase.
    (1) Experimental urban centers may concentrate on neighborhoods 
within a city or focus on specific unserved groups. They may serve an 
entire city or concentrate on a specific area or ethnic group within a 
city.
    (2) Experimental rural centers may serve a large, sparsely populated 
area. Projects may identify specific methods, including use of 
technology and telecommunications, to reach these parents.
    (c) The technical assistance to parent programs under Sec. 316.3(c) 
includes technical assistance for establishing, developing, and 
coordinating parent training and information programs. Activities must 
include, but are not limited to, the following:
    (1) Determining national needs and identifying unserved regions and 
populations.

[[Page 171]]

    (2) Identifying the specific technical assistance needs of 
individual centers.
    (3) Developing programs in unserved areas.
    (4) Conducting annual meetings at national and regional levels.
    (5) Identifying and coordinating national activities to serve 
parents of children with disabilities. This may include conferences, 
publications, and maintenance of documents and data relevant to parent 
programs.
    (6) Dissemination of information through media, newsletters, 
computers, and written documentation.
    (7) Cooperative activities with other projects and organizations on 
common goals.
    (8) Evaluation, including determination of the impact of technical 
assistance activities, and evaluation assistance to centers.
    (9) Management assistance to centers.
    (10) Involvement of parent programs and the Department in 
identifying one or more substantive specialization areas.
    (11) Acting as a resource to parent training programs in identified 
specialization areas such as transition, supported employment, early 
childhood, integration, and technology.

(Authority: 20 U.S.C. 1431(d))



            Subpart C--How Does the Secretary Make an Award?



Sec. 316.20  What are the requirements for applicants?

    (a) Applicants for awards for parent centers and experimental 
centers under Sec. 316.3 (a) and (b) shall demonstrate the capacity and 
expertise to conduct the authorized training and information activities 
effectively, and to network with clearinghouses, including those 
authorized under section 633 of the Act, other organizations and 
agencies, and other established national, State, and local parent groups 
representing the full range of parents of children with disabilities--
especially parents of minority children.
    (b) In order to assure that awards for parent centers under 
Sec. 316.3(a) serve parents of minority children with disabilities 
(including parents served pursuant to Sec. 316.33) representative to the 
proportion of the minority population in the areas being served, 
applicants for awards shall identify with specificity the special 
efforts that will be undertaken to involve those parents, including 
efforts to work with community-based and cultural organizations and the 
specification of supplementary aids, services, and supports that will be 
made available. Applicants shall also specify budgetary items earmarked 
to accomplish these efforts.
    (c) Applicants for awards for experimental urban centers shall 
provide a rationale for their project and demonstrate a capability to 
serve the parents they have identified and targeted for services.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(d))



Sec. 316.21  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Secs. 316.22 and 316.23.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(d))



Sec. 316.22  What selection criteria does the Secretary use to evaluate applications for parent centers and experimental centers?

    The Secretary uses the following criteria to evaluate applications 
for parent centers and experimental centers:
    (a) Extent of present and projected need. (15 points) The Secretary 
reviews each application to determine the extent to which the project 
makes an impact on parent training and information needs, consistent 
with the purposes of the Act, including consideration of the impact on--
    (1) The present and projected needs in the applicant's geographic 
area for trained parents;
    (2) The present and projected training and information needs for 
personnel to work with parents of children with disabilities; and

[[Page 172]]

    (3) Parents of minority infants, toddlers, children, and youth with 
disabilities.
    (b) Anticipated project results. (25 points) The Secretary reviews 
each application to determine the extent to which the project will 
assist parents to--
    (1) Better understand the nature and needs of the disabling 
conditions of their children with disabilities;
    (2) Provide follow-up support for the educational programs of their 
children with disabilities;
    (3) Communicate more effectively with special and regular educators, 
administrators, related services personnel, and other relevant 
professionals;
    (4) Participate fully in educational decision-making processes, 
including the development of the individualized educational program, for 
a child with a disability;
    (5) Obtain information about the range of options, programs, 
services, and resources available at the national, State, and local 
levels to children with disabilities and their families; and
    (6) Understand the provisions for educating children with 
disabilities under the Act.
    (c) Plan of operation. (20 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) High quality in the design of the project;
    (2) An effective management plan that ensures proper and efficient 
administration of the project;
    (3) How the objectives of the project relate to the purpose of the 
program;
    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (5) How the applicant addresses the needs of parents of minority 
infants, toddlers, children, and youth with disabilities.
    (d) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate for the project;
    (2) To the extent possible, are objective and produce data that are 
quantifiable (See 34 CFR 75.590, Evaluation by the grantee.); and
    (3) Provide the data required for the annual report to Congress. 
(See 20 U.S.C. 1434 (a)(3) and (b))
    (e) Quality of key personnel. (15 points) The Secretary reviews each 
application to determine the quality of the key personnel the applicant 
plans to use in the project, including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
on the project;
    (3) The time each of the key personnel plans to commit to the 
project;
    (4) How the applicant, as a part of its nondiscriminatory practices, 
will ensure that its personnel are selected for employment without 
regard to race, color, national origin, gender, age, or disability; and
    (5) Evidence of the applicant's past experience in the fields 
relating to the objectives of the project.
    (f) Budget and cost-effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget for the project is adequate to support the project 
activities; and
    (2) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(d))



Sec. 316.23  What selection criteria does the Secretary use to evaluate applications for technical assistance activities?

    The Secretary uses the following criteria to evaluate applications 
for technical assistance activities:
    (a) Plan of operation. (25 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) High quality in the design of the project;
    (2) An effective plan of management that ensures proper and 
efficient administration of the project;
    (3) A clear description of how the objectives of the project relate 
to the purpose of the program; and

[[Page 173]]

    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective.
    (b) Project content. (20 points) The Secretary reviews each 
application to determine--
    (1) The project's potential for national significance, its potential 
for effectiveness, and the quality of its plan for dissemination of the 
results of the project;
    (2) The extent to which substantive content and organization of the 
project--
    (i) Are appropriate for the attainment of knowledge that is 
necessary for the provision of quality educational and early 
intervention services to infants, toddlers, children, and youth with 
disabilities; and
    (ii) Demonstrate an awareness of relevant methods, procedures, 
techniques, technology, and instructional media or materials that can be 
used in the development of a model to assist parents of infants, 
toddlers, children, and youth with disabilities; and
    (3) The extent to which project philosophy, objectives, and 
activities are related to the educational or early intervention needs of 
infants, toddlers, children, and youth with disabilities.
    (c) Applicant experience and ability. (15 points) The Secretary 
looks for information that shows the applicant's--
    (1) Experience and training in fields related to the objectives of 
the project;
    (2) National experience relevant to performance of the functions 
supported by the project;
    (3) Ability to conduct the proposed project;
    (4) Ability to communicate with intended consumers of information; 
and
    (5) Ability to maintain necessary communication and coordination 
with other relevant projects, agencies, and organizations.
    (d) Quality of key personnel. (10 points) The Secretary reviews each 
application to determine the quality of the key personnel the applicant 
plans to use in the project, including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
in the project;
    (3) The time that each of the key personnel plans to commit to the 
project;
    (4) How the applicant, as a part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability; and
    (5) Evidence of the key personnel's past experience and training in 
fields related to the objectives of the project.
    (e) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate for the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable. (See 34 CFR 75.590, Evaluation by the grantee.)
    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Budget and cost effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.


(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(d))



Sec. 316.24  What additional factors does the Secretary consider?

    In addition to the criteria in Sec. 316.22, the Secretary considers 
the following factors in making an award:
    (a) Geographic distribution. In selecting projects for awards for 
parent centers under Sec. 316.3(a), the Secretary ensures that, to the 
greatest extent possible, awards are distributed geographically, on a 
State or regional basis, throughout all the States and serve parents of 
children with disabilities in both urban and rural areas.
    (b) Unserved areas. In selecting projects for parent centers under 
Sec. 316.3(a) and experimental centers

[[Page 174]]

under Sec. 316.3(b), the Secretary gives priority to applications that 
propose to serve unserved areas.


(Authority: 20 U.S.C. 1431(d))



             Subpart D--What Conditions Must a Grantee Meet?



Sec. 316.30  What types of services are required?

    (a) Parent centers and experimental centers must be designed to meet 
the unique training and information needs of parents of children with 
disabilities who live in the areas to be served by the project, 
particularly those who are members of groups that have been 
traditionally underrepresented.
    (b) Parent centers and experimental centers must consult and network 
with appropriate national, State, regional, and local agencies and 
organizations that serve or assist children with disabilities and their 
families in the geographic areas served by the project.


(Authority: 20 U.S.C. 1431(d))



Sec. 316.31  What are the duties of the board of directors or special governing committee of a parent organization?

    A recipient's board of directors or special governing committee as 
described in Sec. 316.5 must meet at least once in each calendar quarter 
to review the parent training and information activities under the 
award. Whenever a private nonprofit organization requests a renewal of 
an award under this part, the board of directors or special governing 
committee shall submit to the Secretary a written review of the parent 
training and information program conducted by that private nonprofit 
organization during the preceding fiscal year.


(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(d))



Sec. 316.32  What are the reporting requirements under this program?

    (a) Recipients shall, if appropriate, prepare reports describing 
their procedures, findings, and other relevant information in a form 
that will maximize the dissemination and use of these procedures, 
findings, and information. The Secretary requires their delivery, as 
appropriate, to the Regional and Federal Reserve Centers, the 
Clearinghouses, and the Technical Assistance to Parents Program (TAPP) 
assisted under parts C and D of the Act, as well as the National 
Diffusion Network, the ERIC Clearinghouse on the Handicapped and Gifted, 
and the Child and Adolescent Service Systems Program (CASSP) under the 
National Institute of Mental Health, appropriate parent and professional 
organizations, organizations representing individuals with disabilities, 
and other networks the Secretary may determine to be appropriate.
    (b) The recipient shall provide data for every year of the project 
on--
    (1) The number of parents provided information and training by 
disability category of their children;
    (2) The types and modes of information or training provided;
    (3) Strategies used to reach and serve parents of minority children 
with disabilities;
    (4) The number of parents served as a result of activities described 
under paragraph (b)(3) of this section;
    (5) Activities to network with other information clearinghouses and 
parent groups as required by Sec. 316.20(a);
    (6) The number of agencies and organizations consulted with at the 
national, State, regional, and local levels; and
    (7) The number of parents served who are parents of children with 
disabilities birth through age five.


(Approved by the Office of Management and Budget under control number 
1820-0530)

(Authority: 20 U.S.C. 1409(g); 1434(a)(3))



Sec. 316.33  What other conditions must be met by grantees under this program?

    (a) In the case of a grant for parent centers under Sec. 316.3(a) 
and experimental centers under Sec. 316.3(b) to a private nonprofit 
organization for fiscal year 1993 or 1994, the organization, in 
expending the amounts described in paragraph (b) of this section, shall 
give priority to providing services to parents of children with 
disabilities birth through age five.
    (b) With respect to a grant for a parent center or an experimental 
center to

[[Page 175]]

a private nonprofit organization for fiscal year 1993 or 1994, the 
amounts referred to in paragraph (a) of this section are any amounts 
provided in the grant in excess of the amount of any grant under this 
program provided to the organization for fiscal year 1992.
    (c) Recipients of awards for parent centers and experimental centers 
shall serve parents of children representing the full range of disabling 
conditions.

(Authority: 20 U.S.C. 1431(d))



PART 318--TRAINING PERSONNEL FOR THE EDUCATION OF INDIVIDUALS WITH DISABILITIES--GRANTS FOR PERSONNEL TRAINING--Table of Contents




                           Subpart A--General

Sec.
318.1  What is the purpose of the Training Personnel for the Education 
          of Individuals with Disabilities--Grants for Personnel 
          Training program?
318.2  Who is eligible for an award?
318.3  What regulations apply to this program?
318.4  What definitions apply to this program?

 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?

318.10  What activities may the Secretary fund?
318.11  What priorities may the Secretary establish?

            Subpart C--How Does the Secretary Make an Award?

318.20  What are the requirements for applicants?
318.21  How does the Secretary evaluate an application?
318.22  What selection criteria does the Secretary use to evaluate 
          applications for preservice training, leadership training, 
          professional development programs, regional model 
          demonstration training programs on deafness and secondary 
          disabilities, training educational interpreters, and training 
          regular educators to serve students with deafness?
318.23  What selection criteria does the Secretary use to evaluate 
          applications for special projects?
318.24  What selection criteria does the Secretary use to evaluate 
          applications for technical assistance activities?
318.25  What additional factors does the Secretary consider?

             Subpart D--What Conditions Must a Grantee Meet?

318.30  What are the priorities for award of student fellowships and 
          traineeships?
318.31  Is student financial assistance authorized?
318.32  What are the student financial assistance criteria?
318.33  May the grantee use funds if a financially assisted student 
          withdraws or is dismissed?
318.34  What are the reporting requirements under this program?

    Authority: 20 U.S.C. 1431(a)-(d) and 1434, unless otherwise noted.

    Source: 57 FR 62099, Dec. 29, 1992, unless otherwise noted.



                           Subpart A--General



Sec. 318.1  What is the purpose of the Training Personnel for the Education of Individuals with Disabilities--Grants for Personnel Training program?

    This program serves to increase the quantity and improve the quality 
of personnel available to serve infants, toddlers, children, and youth 
with disabilities.

(Authority: 20 U.S.C. 1431(a)-(c))



Sec. 318.2  Who is eligible for an award?

    The following are eligible for assistance under this part:
    (a) Institutions of higher education and appropriate nonprofit 
agencies are eligible under Sec. 318.10 (a)(1), (a)(2), (a)(7), and 
(a)(8).
    (b) Institutions of higher education, State agencies, and other 
appropriate nonprofit agencies are eligible under Sec. 318.10(a)(3).
    (c) States or other entities are eligible under Sec. 318.10(a) (4) 
and (5). An entity may not receive financial assistance for a 
professional development partnership project and a technical assistance 
project during the same period.
    (d) Institutions of higher education in partnership with local 
education agencies and center schools for students who are deaf are 
eligible under Sec. 318.10(a)(6).

(Authority: 20 U.S.C. 1431(a)-(c))

[57 FR 62099, Dec. 29, 1992, as amended at 58 FR 27441, May 7, 1993]

[[Page 176]]



Sec. 318.3  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations:
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations).
    (2) Part 75 (Direct Grant Programs).
    (3) Part 77 (Definitions that Apply to Department Regulations).
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities).
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments).
    (6) Part 81 (General Education Provisions Act--Enforcement).
    (7) Part 82 (New Restrictions on Lobbying).
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) Part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 318.

(Authority: 20 U.S.C. 1431(a)-(c); 3474(a))



Sec. 318.4  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:
    Applicant
    Application
    Award
    Department
    EDGAR
    Fiscal year
    Grant period
    Local educational agency
    Nonprofit
    Preschool
    Private
    Project
    Public
    Secretary
    State
    State educational agency
    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR part 300:
    Deafness
    Deaf-blindness
    Other health impairments
    Related services
    Special education
    (c) Definitions specific to 34 CFR part 318. The following terms 
used in this part are defined as follows:
    Act means the Individuals with Disabilities Education Act (IDEA).
    Infants and toddlers with disabilities. (1) The term means 
individuals from birth through age two who need early intervention 
services because they--
    (i) Are experiencing developmental delays, as measured by 
appropriate diagnostic instruments and procedures, in one or more of the 
following areas: Cognitive development, physical development, including 
vision and hearing, language and speech development, psychosocial 
development, or self-help skills; or
    (ii) Have a diagnosed physical or mental condition that has a high 
probability of resulting in developmental delay.
    (2) The term also includes children from birth through age two who 
are at risk of having substantial developmental delays if early 
intervention services are not provided.
    National Education Goals means the following goals to be achieved by 
the year 2000:
    (1) All children will start school ready to learn.
    (2) The high school graduation rate will increase to at least 90 
percent.
    (3) Students will leave grades four, eight, and twelve having 
demonstrated competency in challenging subject matter, including 
English, mathematics, science, history, and geography, and every school 
will ensure that all students learn to use their minds well, so that 
they may be prepared for responsible citizenship, further learning, and 
productive employment in our modern economy.
    (4) Students will be first in the world in science and mathematics 
achievement.
    (5) Every adult will be literate and will possess the knowledge and 
skills

[[Page 177]]

necessary to compete in a global economy and exercise the rights and 
responsibilities of citizenship.
    (6) Every school will be free of drugs and violence and will offer a 
disciplined environment conducive to learning.

(Authority: 20 U.S.C. 1401; 1431(a)-(c); 1472)



 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?



Sec. 318.10  What activities may the Secretary fund?

    (a) The Secretary supports training programs in the following eight 
areas:
    (1) Preservice training of personnel for careers in special 
education, related services, and early intervention, including careers 
in--
    (i) Special education teaching, including speech-language pathology, 
audiology, adapted physical education, and instructional and assistive 
technology;
    (ii) Related services for children with disabilities in educational 
and other settings; and
    (iii) Early intervention and preschool services.
    (2) Leadership training, including--
    (i) Supervision and administration at the advanced graduate, 
doctoral, and post-doctoral levels;
    (ii) Research; and
    (iii) Personnel preparation at the doctoral and post-doctoral 
levels.
    (3) Special projects designed to include--
    (i) Development, evaluation, and distribution of innovative 
approaches, curricula, and materials for personnel development; and
    (ii) Other projects of national significance related to the 
preparation of personnel needed to serve infants, toddlers, children, 
and youth with disabilities.
    (4) The formation of professional development programs consisting of 
consortia or partnerships of public and private entities.
    (5) Technical assistance to the entities in paragraph (a)(4) of this 
section.
    (6) Regional model demonstration training programs on deafness and 
secondary disabilities.
    (7) Training educational interpreters.
    (8) Training regular educators who serve students with deafness.
    (b) Projects for preservice training, leadership training, and 
professional development programs must--
    (1) Develop new programs to establish expanded capacity for quality 
preservice training; or
    (2) Improve existing programs designed to increase the capacity and 
quality of preservice training.
    (c) Projects supported under this program may provide training for 
degree, nondegree, certified, and noncertified personnel at associate 
degree through post-doctoral levels of preparation.

(Authority: 20 U.S.C. 1431(a)-(c))

[57 FR 62099, Dec. 29, 1992, as amended at 58 FR 27441, May 7, 1993]



Sec. 318.11  What priorities may the Secretary establish?

    (a) The Secretary may, through a notice published in the Federal 
Register, select annually one or more of the following priority areas 
for funding:
    (1) Preparation of personnel for careers in special education. This 
priority supports preservice preparation of personnel for careers in 
special education. Preservice training includes additional training for 
currently employed teachers seeking additional degrees, certifications, 
or endorsements. Training at the baccalaureate, masters, or specialist 
level is appropriate. Under this priority, ``personnel'' includes 
special education teachers, speech-language pathologists, audiologists, 
adapted physical education teachers, vocational educators, and 
instructive and assistive technology specialists.
    (2) Preparation of related services personnel. This priority 
supports preservice preparation of individuals to provide developmental, 
corrective, and other supportive services that assist children and youth 
with disabilities to benefit from special education. These include 
paraprofessional personnel, therapeutic recreation specialists, school 
social workers, health service providers, physical therapists, 
occupational therapists, school psychologists, counselors (including 
rehabilitation counselors), interpreters, orientation and mobility 
specialists, respite care providers, art therapists, volunteers,

[[Page 178]]

physicians, and other related services personnel.
    (i) Projects to train personnel identified as special education 
personnel in the regulations in this part are not appropriate, even if 
those personnel may be considered related services personnel in other 
settings.
    (ii) This priority is not designed for general training. Projects 
must include inducements and preparation to increase the probability 
that graduates will direct their efforts toward supportive services to 
special education. For example, a project in occupational therapy (OT) 
might support a special component on pediatric or juvenile psychiatric 
OT, support those students whose career goal is OT in the schools, or 
provide for practica and internships in school settings.
    (3) Training early intervention and preschool personnel. This 
priority supports projects that are designed to provide preservice 
preparation of personnel who serve infants, toddlers, and preschool 
children with disabilities, and their families. Personnel may be 
prepared to provide short-term services or long-term services that 
extend into a child's school program. The proposed training program must 
have a clear and limited focus on the special needs of children within 
the age range from birth through five, and must include consideration of 
family involvement in early intervention and preschool services. 
Training programs under this priority must have a significant 
interdisciplinary focus.
    (4) Preparation of leadership personnel. This priority supports 
projects that are designed to provide preservice professional 
preparation of leadership personnel in special education, related 
services, and early intervention. Leadership training is considered to 
be preparation in--
    (i) Supervision and administration at the advanced graduate, 
doctoral, and post-doctoral levels;
    (ii) Research; and
    (iii) Personnel preparation at the doctoral and post-doctoral 
levels.
    (5) Special projects. This priority supports projects that include 
development, evaluation, and distribution of innovative approaches to 
personnel preparation; development of curriculum materials to prepare 
personnel to educate or provide early intervention services; and other 
projects of national significance related to the preparation of 
personnel needed to serve infants, toddlers, children, and youth with 
disabilities.
    (i) Appropriate areas of interest include--
    (A) Preservice training programs to prepare regular educators to 
work with children and youth with disabilities and their families;
    (B) Training teachers to work in community and school settings with 
children and youth with disabilities and their families;
    (C) Inservice and preservice training of personnel to work with 
infants, toddlers, children, and youth with disabilities and their 
families;
    (D) Inservice and preservice training of personnel to work with 
minority infants, toddlers, children, and youth with disabilities, and 
their families;
    (E) Preservice and inservice training of special education and 
related services personnel in instructive and assistive technology to 
benefit infants, toddlers, children, and youth with disabilities; and
    (F) Recruitment and retention of special education, related 
services, and early intervention personnel.
    (ii) Both inservice and preservice training must include a component 
that addresses the coordination among all service providers, including 
regular educators.
    (6) Professional development partnerships. This priority, listed in 
Sec. 318.10(a)(4), supports the formation of consortia or partnerships 
of public and private entities for the purpose of providing 
opportunities for career advancement or competency-based training, 
including but not limited to certificate- or degree-granting programs in 
special education, related services, and early intervention for current 
workers at public and private agencies that provide services to infants, 
toddlers, children, and youth with disabilities. Activities authorized 
under this priority include, but are not limited to, the following:

[[Page 179]]

    (i) Establishing a program with colleges and universities to develop 
creative new programs and coursework options or to expand existing 
programs in the field of special education, related services, or early 
intervention. Funds may be used to provide release time for faculty and 
staff for curriculum development, instructional costs, and modest start-
up and other program development costs.
    (ii) Establishing a career development mentoring program using 
faculty and professional staff members of participating agencies as role 
models, career sponsors, and academic advisors for experienced State, 
city, county, and voluntary sector workers who have demonstrated a 
commitment to working in these fields and who are enrolled in higher 
education institution programs relating to these fields.
    (iii) Supporting a wide range of programmatic and research 
activities aimed at increasing opportunities for career advancement and 
competency-based training in these fields.
    (iv) Identifying existing public agency, private agency, and labor 
union personnel policies and benefit programs that may facilitate the 
ability of workers to take advantage of higher education opportunities 
such as leave time and tuition reimbursement.
    (7) Technical assistance to professional development partnerships. 
This priority, listed in Sec. 318.10(a)(5), supports technical 
assistance to States or entities receiving awards under professional 
development partnership projects. Activities must include, but are not 
limited to, the following:
    (i) Identifying the specific technical assistance needs of 
individual projects.
    (ii) Conducting annual meetings at the national level.
    (iii) Identifying other projects under the Act related to 
professional development for the purpose of coordinating professional 
development projects. Coordination activities may include conferences, 
publications, and maintenance of documents and data relevant to the 
activities of the professional development projects.
    (iv) Cooperating with other projects and organizations on common 
goals.
    (v) Disseminating information through media, newsletters, computers, 
and written documentation.
    (vi) Evaluating center activities, including impact determination, 
and evaluation assistance to centers.
    (8) Utilizing innovative recruitment and retention strategies. This 
priority supports projects to develop emerging and creative sources of 
supply of personnel with degrees and certification in appropriate 
disciplines, and innovative strategies related to recruitment and 
retention of personnel.
    (9) Promoting full qualifications for personnel serving infants, 
toddlers, children, and youth with disabilities. This priority supports 
projects designed specifically to train personnel who are working with 
less than full certification or outside their field of specialization, 
to assist them in becoming fully qualified. The following are 
appropriate under this priority: student incentives; extension, summer, 
and evening programs; internships; alternative certification plans; and 
other innovative practices.
    (10) Training personnel to serve low incidence disabilities. This 
priority supports projects to train teachers of children with visual 
impairments including blindness, hearing impairments including deafness, 
orthopedic impairments, other health impairments, autism, traumatic 
brain injury, and severe and multiple disabilities.
    (11) Training personnel to work in rural areas. This priority 
supports projects to train personnel to serve infants, toddlers, 
children, and youth with disabilities in rural areas. Projects, 
including curricula, procedures, practica, and innovative use of 
technology, must be designed to provide training to assist personnel to 
work with parents, teachers, and administrators in these special 
environments. Special strategies must be designed to recruit personnel 
from rural areas who will most likely return to those areas.
    (12) Training personnel to provide transition assistance from school 
to adult roles. This priority supports projects for preparation of 
personnel who assist youth with disabilities in their transition from 
school to adult roles. Personnel may be prepared to provide short-term 
transition services, long-term

[[Page 180]]

structured employment services, or instruction in community and school 
settings with secondary school students. It is especially important that 
preparation of transition personnel include training in instructional 
and assistive technology.
    (13) Preparation of paraprofessionals. This priority supports 
projects for the preparation of paraprofessionals. This includes 
programs to train teacher aids, job coaches, interpreters, therapy 
assistants, and other personnel who provide support to professional 
staff in delivery of services to infants, toddlers, children, and youth 
with disabilities.
    (14) Improving services for minorities. This priority supports 
projects to prepare personnel to serve infants, toddlers, children, and 
youth with disabilities who, because of minority status, require that 
personnel obtain professional competencies in addition to those needed 
to teach other children with similar disabilities. Projects funded under 
this priority must focus on specific minority populations, determine the 
additional competencies that are needed by professionals serving those 
populations, and develop those competencies.
    (15) Training minorities and individuals with disabilities. This 
priority supports projects to recruit and prepare minority individuals 
and individuals with disabilities for careers in special education, 
related services, and early intervention.
    (16) Minority institutions. This priority supports awards to 
Historically Black Colleges and Universities and other institutions of 
higher education whose minority student enrollment is at least 25 
percent. Awards may provide training of personnel in all areas noted in 
Sec. 318.10(a) (1) and (2), and must be designed to increase the 
capabilities of the institution in appropriate training areas.
    (17) Preparing personnel to meet the National Education Goals. This 
priority supports projects that develop or expand innovative preservice 
and inservice training programs that are designed to provide personnel 
serving children with disabilities with skills that are needed to help 
schools meet the National Education Goals. These programs must promote 
the following:
    (i) Increased collaboration among providers of special education, 
regular education, bilingual education, migrant education, and 
vocational education, and among public and private agencies and 
institutions.
    (ii) Improved coordination of services among health and social 
services agencies and within communities regarding services for children 
with disabilities and their families.
    (iii) Increased systematic parental involvement in the education of 
their children with disabilities.
    (iv) Inclusion of children with disabilities in all aspects of 
education and society.
    (v) Training that is designed to enable special education teachers 
to teach, as appropriate, to world class standards (such as those 
developed by the National Council on Teachers of Mathematics) as those 
standards are developed.
    (18) Training educational interpreters. This priority supports 
projects for the establishment or continuation of educational 
interpreter training programs to train personnel to effectively meet the 
various communication needs of elementary and secondary students who are 
deaf or deaf-blind. These programs may also provide for the training or 
retraining (including short-term and inservice training) of regular 
education teachers who are involved in providing instruction to 
individuals who are deaf, but who are not certified as teachers of such 
individuals, and other personnel who work with such individuals, on the 
role of educational interpreters.
    (19) Attention deficit disorders. This priority supports projects to 
devise new inservice and preservice training strategies for special 
education and regular classroom teachers and administrators to address 
the needs of children with attention deficit disorders (ADD). The 
purpose is not to develop distinct categorical programs for training 
personnel to teach children with ADD, but rather to enhance the skills 
of general and special education teachers and administrators to better 
serve this population of students. These strategies must be infused into 
personnel preparation programs of national organizations serving regular 
and special education personnel.

[[Page 181]]

    (20) Regional model demonstration training programs on deafness and 
secondary disabilities. This priority supports regional model 
demonstration training programs on deafness and secondary disabilities. 
These programs shall provide preservice and inservice training to 
teachers, school administrators, leadership personnel, and related 
services personnel in the education of students with deafness.
    (21) Training regular educators who serve students with deafness. 
This priority supports projects to provide for the training or 
retraining of regular education teachers who are involved in providing 
instruction to individuals who are deaf, but who are not certified as 
teachers of such individuals, to meet the communication needs of such 
individuals.
    (b) Under paragraph (a) of this section, the Secretary may identify 
an amount of funds to be set aside for projects to address the needs of 
children with particular disabilities and in particular States or 
geographic areas. Decisions to implement this paragraph would be based 
on review of each State's comprehensive systems of personnel 
development, special studies, and other information.

(Authority: 20 U.S.C. 1431(a)-(c))

[57 FR 62099, Dec. 29, 1992, as amended at 58 FR 27441, May 7, 1993]



            Subpart C--How Does the Secretary Make an Award?



Sec. 318.20  What are the requirements for applicants?

    (a) An applicant under Sec. 318.10 (a)(1), (a)(2), (a)(6), or (a)(8) 
shall demonstrate that the proposed project is consistent with the needs 
for personnel, including personnel to provide special education services 
to children with limited English proficiency, identified by the 
comprehensive systems of personnel development of the State or States 
typically employing program graduates.
    (b) A project under Sec. 318.10 (a)(1), (a)(2), (a)(6), or (a)(8) 
must include--
    (1) Training techniques and procedures designed to foster 
collaboration among special education teachers, regular teachers, 
administrators, related service personnel, early intervention personnel, 
and parents;
    (2) Training techniques, procedures, and practica designed to 
demonstrate the delivery of services in an array of regular, special 
education, and community settings; and
    (3) Interdisciplinary preparation of trainees.
    (c) An applicant shall demonstrate how it will address, in whole or 
in part, the needs of infants, toddlers, children, and youth with 
disabilities from minority backgrounds.
    (d) An applicant under Sec. 318.10 (a)(1), (a)(2), (a)(6), or (a)(8) 
shall present a detailed description of strategies for recruitment and 
training of members of minority groups and persons with disabilities.
    (e) For technical assistance under Sec. 318.10(a)(5), to 
professional development partnership projects, an applicant shall 
demonstrate capacity and expertise in the education, training, and 
retention of workers to serve children and youth with disabilities 
through the use of consortia or partnerships established for the purpose 
of retaining the existing workforce and providing opportunities for 
career enhancements.
    (f) An applicant under Sec. 318.10 ((a)(1), (a)(2), (a)(6), or 
(a)(8) shall demonstrate that it meets State and professionally 
recognized standards for the training of personnel, as evidenced by 
appropriate State and professional accreditation, unless the award is 
for the purpose of assisting the applicant to meet those standards.
    (g) An applicant under Sec. 318.10(a)(7) must provide an assurance 
that all interpreters receiving training under the grant will be 
provided training designed to develop skills necessary for facilitating 
effective communication for students who are deaf or deaf-blind.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1410; 1431(a)-(c))

[57 FR 62099, Dec. 29, 1992, as amended at 58 FR 27441, May 7, 1993]



Sec. 318.21  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Secs. 318.22, 318.23, and 318.24.

[[Page 182]]

    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1431(a)-(c))



Sec. 318.22   What selection criteria does the Secretary use to evaluate applications for preservice training, leadership training, professional development 

          programs, regional model demonstration training programs on 
          deafness and secondary disabilities, training educational 
          interpreters, and training regular educators to serve students 
          with deafness?

    The Secretary uses the following criteria to evaluate all 
applications for preservice training under Sec. 318.10(a)(1), leadership 
training under Sec. 318.10(a)(2), professional development projects 
under Sec. 318.10(a)(4), regional model demonstration training programs 
on deafness and secondary disabilities under Sec. 318.10(a)(6), training 
educational interpreters under Sec. 318.10(a)(7), and training regular 
educators to serve students with deafness under Sec. 318.10(a)(8).
    (a) Impact on critical present and projected needs. (30 points) The 
Secretary reviews each application to determine the extent to which the 
training will have a significant impact on critical present and 
projected State, regional, or national needs in the quality or the 
quantity of personnel serving infants, toddlers, children, and youth 
with disabilities. The Secretary considers--
    (1) The significance of the personnel needs to be addressed to the 
provisions of special education, related services, and early 
intervention. Significance of needs identified by the applicant may be 
shown by--
    (i) Evidence of critical shortages of personnel to serve infants, 
toddlers, children, and youth with disabilities, including those with 
limited English proficiency, in targeted specialty or geographic areas, 
as demonstrated by data from the State comprehensive systems of 
personnel development; reports from the Clearinghouse on Careers and 
Employment of Personnel serving children and youth with disabilities; or 
other indicators of need that the applicant demonstrates are relevant, 
reliable, and accurate; or
    (ii) Evidence showing significant need for improvement in the 
quality of personnel providing special education, related services, and 
early intervention services, as shown by comparisons of actual and 
needed skills of personnel in targeted speciality or geographic areas; 
and
    (2) The impact the proposed project will have on the targeted need. 
Evidence that the project results will have an impact on the targeted 
needs may include--
    (i) The projected number of graduates from the project each year who 
will have necessary competencies and certification to affect the need;
    (ii) For ongoing programs, the extent to which the applicant's 
projections are supported by the number of previous program graduates 
that have entered the field for which they received training, and the 
professional contributions of those graduates; and
    (iii) For new programs, the extent to which program features address 
the projected needs, the applicant's plan for helping graduates locate 
appropriate employment in the area of need, and the program features 
that ensure that graduates will have competencies needed to address 
identified qualitative needs.
    (b) Capacity of the applicant. (25 points) The Secretary reviews 
each application to determine the capacity of the applicant to train 
qualified personnel, including consideration of--
    (1) The qualifications and accomplishments of the project director 
and other key personnel directly involved in the proposed training 
program, including prior training, publications, and other professional 
contributions;
    (2) The amount of time each key person plans to commit to the 
project;
    (3) How the applicant, as a part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability;
    (4) The adequacy of resources, facilities, supplies, and equipment 
that the applicant plans to commit to the project;
    (5) The quality of the practicum training settings, including 
evidence that they are sufficiently available;

[[Page 183]]

apply state-of-the-art services and model teaching practices, materials, 
and technology; provide adequate supervision to trainees; offer 
opportunities for trainees to teach; and foster interaction between 
students with disabilities and their nondisabled peers;
    (6) The capacity of the applicant to recruit well-qualified 
students;
    (7) The experience and capacity of the applicant to assist local 
public schools and early intervention service agencies in providing 
training to these personnel, including the development of model 
practicum sites; and
    (8) The extent to which the applicant cooperates with the State 
educational agency, the State-designated lead agency under part H of the 
Act, other institutions of higher education, and other appropriate 
public and private agencies in the region served by the applicant in 
identifying personnel needs and plans to address those needs.
    (c) Plan of operation. (25 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) High quality in the design of the project;
    (2) The extent to which the plan of management ensures effective, 
proper, and efficient administration of the project;
    (3) How well the objectives of the project relate to the purpose of 
the program;
    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective;
    (5) The extent to which the application includes a delineation of 
competencies that program graduates will acquire and how the 
competencies will be evaluated;
    (6) The extent to which substantive content and organization of the 
program--
    (i) Are appropriate for the students' attainment of professional 
knowledge and competencies deemed necessary for the provision of quality 
educational and early intervention services for infants, toddlers, 
children, and youth with disabilities; and
    (ii) Demonstrate an awareness of methods, procedures, techniques, 
technology, and instructional media or materials that are relevant to 
the preparation of personnel who serve infants, toddlers, children, and 
youth with disabilities; and
    (7) The extent to which program philosophy, objectives, and 
activities implement current research and demonstration results in 
meeting the educational or early intervention needs of infants, 
toddlers, children, and youth with disabilities.
    (d) Evaluation plan. (10 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate for the project;
    (2) To the extent possible, are objective and produce data that are 
quantifiable, including, but not limited to, the number of trainees 
graduated and hired; and;
    (3) Provide evidence that evaluation data and student follow-up data 
are systematically collected and used to modify and improve the program. 
(See 34 CFR 75.590, Evaluation by the grantee.)
    (e) Budget and cost-effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget for the project is adequate to support the project 
activities;
    (2) Costs are reasonable in relation to the objectives of the 
project; and
    (3) The applicant presents appropriate plans for the 
institutionalization of federally supported activities into basic 
program operations.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(a)-(c))

[57 FR 62099, Dec. 29, 1992, as amended at 58 FR 27441, May 7, 1993]



Sec. 318.23  What selection criteria does the Secretary use to evaluate applications for special projects?

    The Secretary uses the following criteria to evaluate special 
projects under Sec. 318.10(a)(3):
    (a) Anticipated project results. (20 points) The Secretary reviews 
each application to determine the extent to which the project will meet 
present and projected needs under parts B and

[[Page 184]]

H of the Act in special education, related services, or early 
intervention services personnel development.
    (b) Program content. (20 points) The Secretary reviews each 
application to determine--
    (1) The project's potential for national significance, its potential 
for replication and effectiveness, and the quality of its plan for 
dissemination of the results of the project;
    (2) The extent to which substantive content and organization of the 
project--
    (i) Are appropriate for the attainment of knowledge that is 
necessary for the provision of quality educational and early 
intervention services to infants, toddlers, children, and youth with 
disabilities; and
    (ii) Demonstrate an awareness of relevant methods, procedures, 
techniques, technology, and instructional media or materials that can be 
used in the development of a model to prepare personnel to serve 
infants, toddlers, children, and youth with disabilities; and
    (3) The extent to which program philosophy, objectives, and 
activities are related to the educational or early intervention needs of 
infants, toddlers, children, and youth with disabilities.
    (c) Plan of operation. (15 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) High quality in the design of the project;
    (2) An effective plan of management that ensures proper and 
efficient administration of the project;
    (3) How the objectives of the project relate to the purpose of the 
program; and
    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective.
    (d) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate for the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable. (See 34 CFR 75.590, Evaluation by the grantee.)
    (e) Quality of key personnel. (15 points) The Secretary reviews each 
application to determine the quality of the key personnel the applicant 
plans to use in the project, including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
in the project;
    (3) The time that each of the key personnel plans to commit to the 
project;
    (4) How the applicant, as a part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability; and
    (5) Evidence of the key personnel's past experience and training in 
fields related to the objectives of the project.
    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Budget and cost effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(a)-(c))



Sec. 318.24  What selection criteria does the Secretary use to evaluate applications for technical assistance activities?

    The Secretary uses the following criteria to evaluate applications 
for technical assistance activities under Sec. 318.10(a)(5):
    (a) Plan of operation. (25 points) The Secretary reviews each 
application to determine the quality of the plan to operation for the 
project, including--
    (1) The quality of the project design;
    (2) The effectiveness of the management plan in ensuring proper and 
efficient administration of the project;
    (3) How the objectives of the project relate to the purpose of the 
program; and

[[Page 185]]

    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective.
    (b) Program content. (20 points) The Secretary reviews each 
application to determine--
    (1) The project's potential for national significance, its potential 
for effectiveness, and the quality of its plan for dissemination of the 
results of the project;
    (2) The extent to which substantive content and organization of the 
program--
    (i) Are appropriate for the attainment of knowledge that is 
necessary for the provision of quality educational and early 
intervention services to infants, toddlers, children, and youth with 
disabilities; and
    (ii) Demonstrate an awareness of relevant methods, procedures, 
techniques, technology, and instructional media or materials that can be 
used in the development of a model to prepare personnel to serve 
infants, toddlers, children, and youth with disabilities; and
    (3) The extent to which program philosophy, objectives, and 
activities are related to the educational or early intervention needs of 
infants, toddlers, children, and youth with disabilities.
    (c) Applicant experience and ability. (15 points) The Secretary 
looks for information that shows the applicant's--
    (1) Experience and training in fields related to the objectives of 
the project;
    (2) National experience relevant to performance of the functions 
supported by this program;
    (3) Ability to conduct the proposed project;
    (4) Ability to communicate with intended consumers of information;
    (5) Ability to maintain necessary communication and coordination 
with other relevant projects, agencies, and organizations; and
    (6) Capacity and expertise in the education, training, and retention 
of workers to serve children and youth with disabilities through the use 
of consortia or partnerships established for the purpose of retaining 
the existing workforce and providing opportunities for career 
enhancements.
    (d) Quality of key personnel. (10 points) The Secretary reviews each 
application to determine the quality of the key personnel the applicant 
plans to use in the project, including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
in the project;
    (3) The time that each of the key personnel plans to commit to the 
project; and
    (4) How the applicant, as a part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability.
    (e) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate for the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable. (See 34 CFR 75.590, Evaluation by the grantee.)
    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Budget and cost effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1431(a)-(c))



Sec. 318.25   What additional factors does the Secretary consider?

    To the extent feasible, the Secretary ensures that projects for 
professional development partnerships under Sec. 318.10(a)(4) and 
training educational interpreters under Sec. 318.10(a)(7) are 
geographically dispersed throughout the Nation in urban and rural areas.

(Authority: 20 U.S.C. 1431(a)-(c))

[58 FR 27441, May 7, 1993]

[[Page 186]]



             Subpart D--What Conditions Must a Grantee Meet?



Sec. 318.30  What are the priorities for award of student fellowships and traineeships?

    A grantee shall give priority consideration in the selection of 
qualified recipients of fellowships and traineeships to individuals from 
disadvantaged backgrounds, including minorities and individuals with 
disabilities who are underrepresented in the teaching profession or in 
the specializations in which they are being trained.

(Authority: 20 U.S.C. 1431(a)-(c))



Sec. 318.31  Is student financial assistance authorized?

    The sum of the assistance provided to a student under this part and 
any other assistance provided the student may not exceed the student's 
cost of attendance as follows:
    (a) Cost of attendance means--
    (1) Tuition and fees normally assessed a student carrying the same 
academic workload (as determined by the institution) including costs for 
rental or purchase of any equipment, materials, or supplies required of 
all students in the same course of study;
    (2) An allowance (as determined by the institution) for books, 
supplies, transportation, and miscellaneous personal expenses for a 
student attending the institution on at least a half-time basis;
    (3) An allowance (as determined by the institution) for room and 
board costs incurred by the student that--
    (i) Is not less than $1,500 for students without dependents residing 
at home with parents;
    (ii) Is the standard amount that the institution normally assesses 
its residents for room and board for students without dependents 
residing in institutionally owned or operated housing; and
    (iii) Is based for all other students on the expenses reasonably 
incurred for room and board outside the institution, except that the 
amount may not be less than $2,500;
    (4) For less than half-time students (as determined by the 
institution), tuition and fees and an allowance for books, supplies, and 
transportation (as determined by the institution) and dependent care 
expenses (in accordance with paragraph (a)(7) of this section);
    (5) For a student engaged in a program of study by correspondence, 
only tuition and fees; and, if required, books and supplies, travel, and 
room and board costs incurred specifically in fulfilling a required 
period of residential training;
    (6) For a student enrolled in an academic program that normally 
includes a formal program of study abroad, reasonable costs associated 
with the study as determined by the institution;
    (7) For a student with one or more dependents, an allowance, as 
determined by the institution, based on the expenses reasonably incurred 
for dependent care based on the number and age of the dependents; and
    (8) For a student with a disability, an allowance, as determined by 
the institution, for those expenses related to his or her disability, 
including special services, transportation, equipment, and supplies that 
are reasonably incurred and not provided for by other assisting 
agencies.
    (b) For a student receiving all or part of his or her instruction by 
means of telecommunications technology, no distinction may be made with 
respect to the mode of instruction in determining costs, but this 
paragraph may not be construed to permit including the cost of rental or 
purchase of equipment.

(Authority: 20 U.S.C. 1087ll)



Sec. 318.32  What are the student financial assistance criteria?

    Direct financial assistance may only be paid to a student in a 
preservice program, and only if the student--
    (a) Is qualified for admission to the program of study;
    (b) Maintains satisfactory progress in a course of study as defined 
in 34 CFR 668.7; and
    (c)(1) Is a citizen or national of the United States;
    (2) Provides evidence from the U.S. Immigration and Naturalization 
Service that he or she--
    (i) Is a permanent resident of the United States; or

[[Page 187]]

    (ii) Is in the United States for other than a temporary purpose with 
the intention of becoming a citizen or permanent resident; or
    (3) Has a permanent or lasting--as distinguished from temporary--
principal, actual dwelling place in fact, without regard to intent, in 
Palau or the Commonwealth of the Northern Mariana Islands.

(Authority: 20 U.S.C. 1091)



Sec. 318.33  May the grantee use funds if a financially assisted student withdraws or is dismissed?

    Financial assistance awarded to a student that is unexpended because 
the student withdraws or is dismissed from the training program may be 
used for financial assistance to other eligible students during the 
grant period.

(Authority: 20 U.S.C. 1087ll)



Sec. 318.34  What are the reporting requirements under this program?

    Recipients shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of those procedures, findings, and 
information. The Secretary requires their delivery, as appropriate, to 
the Regional and Federal Resource Centers, the Clearinghouses, and the 
Technical Assistance to Parents Program (TAPP) assisted under parts C 
and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and other 
networks the Secretary may determine to be appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0530)

(Authority: 20 U.S.C. 1409(g))



PART 319--TRAINING PERSONNEL FOR THE EDUCATION OF INDIVIDUALS WITH DISABILITIES--GRANTS TO STATE EDUCATIONAL AGENCIES AND INSTITUTIONS OF HIGHER EDUCATION--Table of Contents




                           Subpart A--General

Sec.
319.1  What is the Training Personnel for the Education of Individuals 
          with Disabilities--Grants to State Educational Agencies and 
          Institutions of Higher Education program?
319.2  Who is eligible for an award?
319.3  What activities may the Secretary fund?
319.4  What regulations apply to this program?
319.5  What definitions apply to this program?

               Subpart B--How Does One Apply for an Award?

319.10  What are the application requirements under this program?

            Subpart C--How Does the Secretary Make an Award?

319.20  How does the Secretary evaluate an application?
319.21  How does the Secretary determine the amount of a basic State 
          award?
319.22  How does the Secretary determine the amount available for the 
          competitive award program?
319.23  What selection criteria does the Secretary use in the basic 
          State award and competitive award programs?
319.24  What selection criteria does the Secretary use to evaluate 
          applications for technical assistance activities?

         Subpart D--What Conditions Must Be Met After an Award?

319.30  Is student financial assistance authorized?
319.31  What are the student financial assistance criteria?
319.32  May the grantee use funds if a financially assisted student 
          withdraws or is dismissed?
319.33  What are the reporting requirements under this program?

    Authority: 20 U.S.C. 1432, unless otherwise noted.


[[Page 188]]


    Source: 57 FR 62106, Dec. 29, 1992, unless otherwise noted.



                           Subpart A--General



Sec. 319.1  What is the Training Personnel for the Education of Individuals with Disabilities--Grants to State Educational Agencies and Institutions of Higher 
          Education program?

    This program assists States in establishing and maintaining 
preservice and inservice programs to prepare special and regular 
education, related services, and early intervention personnel and their 
supervisors to meet the needs of infants, toddlers, children, and youth 
with disabilities. These programs must be consistent with the personnel 
needs identified in the State's comprehensive systems of personnel 
development under sections 613 and 676(b)(8) of the Individuals With 
Disabilities Education Act (IDEA). The program also assists States in 
developing and maintaining their comprehensive systems of personnel 
development, including conducting recruitment and retention activities.

(Authority: 20 U.S.C. 1432)



Sec. 319.2  Who is eligible for an award?

    (a) Each State educational agency (SEA) is eligible to receive an 
award under the basic State award program described in Sec. 319.3(a). If 
an SEA does not apply for an award, institutions of higher education 
(IHEs) within the State may apply for the award for that State. If an 
SEA chooses not to apply for basic State award, the SEA shall notify all 
IHEs within the State at least 30 days prior to the Department's closing 
date for applications.
    (b) Only State educational agencies are eligible for a competitive 
award described in Sec. 319.3(b).
    (c) Profit and nonprofit organizations and agencies are eligible for 
technical assistance awards described in Sec. 319.3(c).

(Authority: 20 U.S.C. 1432)



Sec. 319.3  What activities may the Secretary fund?

    The Secretary funds basic State awards and may fund competitive 
grant awards and provide technical assistance to States in developing 
and maintaining their comprehensive systems of personnel development and 
in recruitment and retention strategies.
    (a) Basic State awards. The Secretary makes an award to each State 
for the purposes described in Sec. 319.1.
    (b) Competitive award program. The Secretary may make competitive 
awards for the purposes described in Sec. 319.1. These awards must 
address particularly high priority issues in a State that also have high 
potential for generalizability to needs in other States.
    (c) Technical assistance. (1) The Secretary may provide technical 
assistance to State educational agencies on matters pertaining to the 
effective implementation of section 613(a)(3) of the IDEA.
    (2) This activity includes, but is not limited to, technical 
assistance to the States relating to the following--
    (i) Monitoring personnel needs in the State including identification 
of alternative approaches for determining current and projected needs;
    (ii) Analyzing strategies to determine needs for professional 
preparation to meet the needs of children with disabilities;
    (iii) Identifying, designing, adapting, testing, and disseminating 
new professional preparation strategies; and
    (iv) Providing technical assistance in the personnel development, 
recruitment, and retention areas.
    (3) Operational activities must include, but are not limited to, the 
following:
    (i) Determining national needs and identifying unserved regions and 
populations.
    (ii) Identifying the specific technical assistance needs of 
individual States related to professional preparation.
    (iii) Conducting annual meetings at national and regional levels.
    (iv) Dissemination of information through media, newsletters, 
computers, and written documentation.
    (v) Cooperative activities with other personnel development projects 
and organizations on common goals.
    (vi) Evaluation, including impact determination, and evaluation 
assistance to personnel development projects funded under section 632 of 
the IDEA as well as evaluation of comprehensive

[[Page 189]]

system of personnel development activities.

(Authority: 20 U.S.C. 1432)

[57 FR 62106, Dec. 29, 1992; 59 FR 1651, Jan. 12, 1994]



Sec. 319.4  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations:
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations).
    (2) Part 75 (Direct Grant Programs).
    (3) Part 77 (Definitions that Apply to Department Regulations).
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities).
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments).
    (6) Part 81 (General Education Provisions Act--Enforcement).
    (7) Part 82 (New Restrictions on Lobbying).
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) Part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 319.

(Authority: 20 U.S.C. 1432; 3474(a))



Sec. 319.5  What definitions apply to this program?

    The following terms used in this part are defined in 34 CFR 77.1:
    Applicant
    Application
    Award
    Department
    EDGAR
    Fiscal year
    Grant period
    Preschool
    Project
    Public
    Secretary
    State
    State educational agency

(Authority: 20 U.S.C. 1432)



               Subpart B--How Does One Apply for an Award?



Sec. 319.10  What are the application requirements under this program?

    An institution of higher education that applies for an award under 
Sec. 319.3(a) shall demonstrate that it meets State and professionally 
recognized standards for the training of special education and related 
services personnel, as evidenced by appropriate State and professional 
accreditation, unless--as indicated in a published priority of the 
Secretary--the award is for the purpose of assisting the applicant to 
meet those standards.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1432)



            Subpart C--How Does the Secretary Make an Award?



Sec. 319.20  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Secs. 319.23 and 319.24.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1432)



Sec. 319.21  How does the Secretary determine the amount of a basic State award?

    The Secretary determines the amount of an award under Sec. 319.3(a) 
as follows:
    (a) The Secretary distributes no less than 80 percent of the funds 
available for these awards as follows:
    (1) Each State receives a base amount to be determined by the 
Secretary, but not less than $85,000.
    (2) From the funds remaining, the Secretary provides an additional 
amount to each State based on the State's proportion of the national 
child count provided under part B of the

[[Page 190]]

IDEA and subpart 2 of part D of chapter 1 of title I of the Elementary 
and Secondary Education Act of 1965, as amended.
    (b) After determining a State's award under paragraph (a) of this 
section, the Secretary determines annually the additional amount of 
funds to be awarded for the quality of the application based on the 
criteria set forth in Sec. 319.23.

(Authority: 20 U.S.C. 1432)



Sec. 319.22  How does the Secretary determine the amount available for the competitive award program?

    In any fiscal year, the Secretary may not expend for the competitive 
program under Sec. 319.3(b) an amount more than 10 percent of the amount 
expended under section 632 of the IDEA in the preceding fiscal year.

(Authority: 20 U.S.C. 1432)



Sec. 319.23  What selection criteria does the Secretary use in the basic State award and competitive award programs?

    The Secretary uses the following criteria to evaluate an application 
for a basic State award (SEA or IHE applicant) and for a competitive 
award:
    (a) Extent of need for the project. (30 points) The Secretary 
reviews each application to determine--
    (1) The extent to which the project identifies and selects priority 
needs from the range of personnel needs identified in the State 
comprehensive systems of personnel development;
    (2) The extent to which the project addresses the personnel needs 
selected by the applicant under paragraph (a)(1) of this section; and
    (3) If appropriate, how the project relates to actual and projected 
personnel needs for certified teachers in the State as identified by the 
State educational agency in its annual data report required under 
section 618 of the IDEA.
    (b) Program content. (20 points) The Secretary reviews each 
application to determine the extent to which--
    (1) Competencies that will be acquired by each trainee and how the 
competencies will be evaluated are identified;
    (2) Substantive content of the training to be provided is 
appropriate for the attainment of professional knowledge and 
competencies that are necessary for the provision of quality educational 
or early intervention services to infants, toddlers, children, and youth 
with disabilities;
    (3) Benefits to be gained by the number of trainees expected to be 
graduated or otherwise to complete training and employed over the next 
five years are described;
    (4) Appropriate methods, procedures, techniques, and instructional 
media or materials will be used in the preparation of trainees who serve 
infants, toddlers, children, and youth with disabilities;
    (5) If relevant, appropriate practicum facilities are accessible to 
the applicant agency and trainees and will be used for such activities 
as observation, participation, practice teaching, laboratory or clinical 
experience, internships, and other supervised experiences of adequate 
scope and length;
    (6) If relevant, practicum facilities for model programs will 
provide state-of-the-art educational services, including use of current 
and innovative curriculum materials, instructional procedures, and 
equipment; and
    (7) Program philosophy, program objectives, and activities to be 
implemented to attain program objectives are related to the educational 
or early intervention needs of infants, toddlers, children, and youth 
with disabilities.
    (c) Plan of operation. (15 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The quality of the project design;
    (2) The effectiveness of the management plan in ensuring proper and 
efficient administration of the project;
    (3) How the objectives of the project relate to the purpose of the 
program;
    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (5) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disability.
    (d) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation

[[Page 191]]

plan for the project, including the extent to which the applicant's 
methods of evaluation--
    (1) Are appropriate for the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable, including, but not limited to, the number of trainees 
graduated and hired, and the number of trainees who complete short-term 
in-service or pre-service training programs. (See 34 CFR 75.590, 
Evaluation by the grantee).
    (e) Quality of key personnel. (10 points) The Secretary reviews each 
application to determine the quality of the key personnel the applicant 
plans to use on the project, including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
in the project;
    (3) The time that each of the key personnel plans to commit to the 
project;
    (4) How the applicant, as a part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability; and
    (5) Experience and training in fields related to the objectives of 
the project.
    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Budget and cost-effectiveness. (5 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1432)



Sec. 319.24  What selection criteria does the Secretary use to evaluate applications for technical assistance activities?

    The Secretary uses the following criteria to evaluate applications 
for technical assistance activities:
    (a) Plan of operation. (25 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The quality of the project design;
    (2) The effectiveness of the management plan in ensuring proper and 
efficient administration of the project;
    (3) How the objectives of the project relate to the purpose of the 
program; and
    (4) The way the applicant plans to use its resources and personnel 
to achieve each objective.
    (b) Program content. (20 points) The Secretary reviews each 
application to determine--
    (1) The project's potential for national significance, its potential 
effectiveness, and the quality of its plan for dissemination of the 
results of the project;
    (2) The extent to which substantive content and organization of the 
program--
    (i) Are appropriate for the attainment of knowledge that is 
necessary for the provision of quality educational and early 
intervention services to infants, toddlers, children, and youth with 
disabilities; and
    (ii) Demonstrate an awareness of relevant methods, procedures, 
techniques, technology, and instructional media or materials that can be 
used in the development of a model to prepare personnel to serve 
infants, toddlers, children, and youth with disabilities; and
    (3) The extent to which program philosophy, objectives, and 
activities are related to the educational or early intervention needs of 
infants, toddlers, children, and youth with disabilities.
    (c) Applicant experience and ability. (15 points) The Secretary 
looks for information that shows the applicant's--
    (1) Experience and training in fields related to the objectives of 
the project;
    (2) National experience relevant to performance of the functions 
supported by this program;
    (3) Ability to conduct the proposed project;
    (4) Ability to communicate with intended consumers of information; 
and
    (5) Ability to maintain necessary communication and coordination 
with other relevant projects, agencies, and organizations.

[[Page 192]]

    (d) Quality of key personnel. (10 points) The Secretary reviews each 
application to determine the quality of the key personnel the applicant 
plans to use in the project, including--
    (1) The qualifications of the project director;
    (2) The qualifications of each of the other key personnel to be used 
in the project;
    (3) The time that each of the key personnel plans to commit to the 
project; and
    (4) How the applicant, as a part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability.
    (e) Evaluation plan. (15 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate for the project; and
    (2) To the extent possible, are objective and produce data that are 
quantifiable. (See 34 CFR 75.590, Evaluation by the grantee.)
    (f) Adequacy of resources. (5 points) The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (g) Budget and cost effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1432)



         Subpart D--What Conditions Must Be Met After an Award?



Sec. 319.30  Is student financial assistance authorized?

    A grantee may use grant funds under Sec. 319.2 (a) and (b) to 
provide traineeships or stipends. The sum of the assistance provided to 
a student through this part and any other assistance provided the 
student may not exceed the student's cost of attendance as follows:
    (a) Cost of attendance means--
    (1) Tuition and fees normally assessed a student carrying the same 
academic workload (as determined by the institution) including costs for 
rental or purchase of any equipment, materials, or supplies required of 
all students in the same course of study;
    (2) An allowance (as determined by the institution) for books, 
supplies, transportation, miscellaneous and personal expenses for a 
student attending the institution on at least a half-time basis;
    (3) An allowance (as determined by the institution) for room and 
board costs incurred by the student that--
    (i) Is not less than $1,500 for students without dependents residing 
at home with parents;
    (ii) Is the standard amount that the institution normally assesses 
its residents for room and board for students without dependents 
residing in institutionally owned or operated housing; and
    (iii) Is based for all other students on the expenses reasonably 
incurred for room and board outside the institution, except that the 
amount may not be less than $2,500;
    (4) For less than half-time students (as determined by the 
institution), tuition and fees and an allowance for books, supplies, and 
transportation (as determined by the institution) and dependent care 
expenses (in accordance with paragraph (a)(7) of this section);
    (5) For a student engaged in a program of study by correspondence, 
only tuition and fees; and, if required, books and supplies, travel, and 
room and board costs incurred specifically in fulfilling a required 
period of residential training;
    (6) For a student enrolled in an academic program that normally 
includes a formal program of study abroad, reasonable costs associated 
with the study as determined by the institution;
    (7) For a student with one or more dependents, an allowance, as 
determined by the institution, based on the expenses reasonably incurred 
for dependent care based on the number and age of the dependents; and

[[Page 193]]

    (8) For a student with a disability, an allowance, as determined by 
the institution, for those expenses related to his or her disability, 
including special services, transportation, equipment, and supplies that 
are reasonably incurred and not provided for by other assisting 
agencies.
    (b) For a student receiving all or part of his or her instruction by 
means of telecommunication technology, no distinction may be made with 
respect to the mode of instruction in determining costs. This paragraph 
may not be construed to permit including the cost of rental or purchase 
of equipment.

(Authority: 20 U.S.C. 1087ll)



Sec. 319.31  What are the student financial assistance criteria?

    Direct financial assistance under Sec. 319.2 (a) and (b) may only be 
paid to students in preservice programs and only if the student--
    (a) Is qualified for admission to the program of study;
    (b) Maintains satisfactory progress in a course of study as provided 
in 34 CFR 668.16(e); and
    (c)(1) Is a citizen or national of the United States;
    (2) Provides evidence from the U.S. Immigration and Naturalization 
Service that he or she--
    (i) Is a permanent resident of the United States; or
    (ii) Is in the United States for other than a temporary purpose with 
the intention of becoming a citizen or permanent resident; or
    (3) Has a permanent or lasting--as distinguished from temporary--
principal, actual dwelling place in fact, without regard to intent, in 
Palau or the Commonwealth of the Northern Mariana Islands.

(Authority: 20 U.S.C. 1091)



Sec. 319.32  May the grantee use funds if a financially assisted student withdraws or is dismissed?

    Financial assistance awarded to a student that is unexpended because 
the student withdraws or is dismissed from the training program may be 
used for financial assistance to other eligible students during the 
grant period.

(Authority: 20 U.S.C. 1087ll)



Sec. 319.33  What are the reporting requirements under this program?

    Recipients shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of those procedures, findings, and 
information. The Secretary requires their delivery, as appropriate, to 
the Regional and Federal Resource Centers, the Clearinghouses, and the 
Technical Assistance to Parents Program (TAPP) assisted under parts C 
and D of the IDEA, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate, parent and professional organizations, 
organizations representing individuals with disabilities, and other 
networks the Secretary may determine to be appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0530)

(Authority: 20 U.S.C. 1409(g))



PART 320--CLEARINGHOUSES--Table of Contents




                           Subpart A--General

Sec.
320.1  What is the Clearinghouse program?
320.2  Who is eligible to apply for assistance under this program?
320.3  What activities are required of clearinghouses?
320.4  What regulations apply to this program?
320.5  What definitions apply to this program?
320.6--320.9  [Reserved]

 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?

320.10  What kinds of activities may be supported under this part?
320.11--320.19  [Reserved]

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

320.30  What are the selection criteria used to award a grant?
320.31  What are the priorities for funding under this program?

[[Page 194]]

320.32  What additional factors does the Secretary consider?
320.33--320.39  [Reserved]

          Subpart E--What Conditions Must Be Met by a Grantee?

320.40  What evaluation and coordination requirements must be met by a 
          grantee?
320.41  What other conditions must be met by grantees under this 
          program?
320.42--320.49  [Reserved]

    Authority: 20 U.S.C. 1433, unless otherwise noted.

    Source: 49 FR 25986, June 25, 1984, unless otherwise noted.



                           Subpart A--General



Sec. 320.1  What is the Clearinghouse program?

    The Clearinghouses program provides financial assistance for--
    (a) A national clearinghouse on the education of children and youth 
with disabilities that disseminates information and provides technical 
assistance to parents, professionals, and other interested parties;
    (b) A national clearinghouse on postsecondary education for 
individuals with disabilities; and
    (c) A national clearinghouse designed to encourage students to seek 
careers and professional personnel to seek employment in the various 
fields relating to the education of children and youth with 
disabilities.

(Authority: 20 U.S.C. 1433)

[56 FR 54695, Oct. 22, 1991]



Sec. 320.2  Who is eligible to apply for assistance under this program?

    Parties eligible to apply for assistance under this part are public 
agencies or nonprofit private organizations or institutions.

(Authority: 20 U.S.C. 1433)

[49 FR 25986, June 25, 1984, as amended at 56 FR 54695, Oct. 22, 1991]



Sec. 320.3  What activities are required of clearinghouses?

    The clearinghouses are required to--
    (a) Collect, develop, and disseminate information;
    (b) Provide technical assistance;
    (c) Conduct coordinated outreach activities;
    (d) Provide for the coordination and networking with other relevant 
national, State, and local organizations and information and referral 
resources;
    (e) Respond to individuals and organizations seeking information; 
and
    (f) Provide for the synthesis of information for its effective 
utilization by parents, professionals, individuals with disabilities, 
and other interested parties.

(Authority: 20 U.S.C. 1433)

[56 FR 54695, Oct. 22, 1991]



Sec. 320.4  What regulations apply to this program?

    The following regulations apply to grants awarded under this 
program:
    (a) The regulations in this part 320.
    (b) The Education Department General Administrative Regulations 
(EDGAR) in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1433; 20 U.S.C. 3474(a))

[49 FR 25986, June 25, 1984. Redesignated and amended at 56 FR 54695, 
54696, Oct. 22, 1991]



Sec. 320.5  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:
    Contract
    EDGAR

[[Page 195]]

    Grant
    Nonprofit
    Private
    Project
    Public
    Secretary
    State

(Authority: 20 U.S.C. 3474(a))

    (b) Definitions in 34 CFR part 300. The term parent as used in this 
part is defined in 34 CFR 300.10.

(Authority: 20 U.S.C. 1433)

[49 FR 25986, June 25, 1984. Redesignated at 56 FR 54695, Oct. 22, 1991]
Secs. 320.6--320.9  [Reserved]



 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?



Sec. 320.10  What kinds of activities may be supported under this part?

    The Secretary may provide funds under this part to--
    (a) Establish and operate a national clearinghouse for children and 
youth with disabilities that will do the following:
    (1) Collect and disseminate information (including the development 
of materials) on characteristics of infants, toddlers, children, and 
youth with disabilities and on programs, legislation, and services 
relating to their education under this Act and other Federal laws.
    (2) Participate in programs and services related to disability 
issues for providing outreach, technical assistance; collection, and 
dissemination of information; and promoting networking of individuals 
with appropriate national, State, and local agencies and organizations.
    (3) Establish a coordinated network and conduct outreach activities 
with relevant Federal, State, and local organizations and other sources 
for promoting public awareness of disability issues and the availability 
of information, programs, and services.
    (4) Collect, disseminate, and develop information on current and 
future national, Federal, regional, and State needs for providing 
information to parents, professionals, individuals with disabilities, 
and other interested parties relating to the education and related 
services of individuals with disabilities.
    (5) Provide technical assistance to national, Federal, regional, 
State and local agencies and organizations seeking to establish 
information and referral services for individuals with disabilities and 
their families.
    (6) Include strategies to disseminate information to 
underrepresented groups such as those with limited English proficiency, 
in carrying out the activities in this section.
    (b) Establish and operate a national clearinghouse on postsecondary 
education for individuals with disabilities that will do the following:
    (1) Collect and disseminate information nationally on 
characteristics of individuals entering and participating in education 
and training programs after high school; legislation affecting such 
individuals and such programs; policies; procedures, and support 
services, as well as adaptations, and other resources available or 
recommended to facilitate the education of individuals with 
disabilities; available programs and services that include, or can be 
adapted to include, individuals with disabilities; and sources of 
financial aid for the education and training of individuals with 
disabilities.
    (2) Identify areas of need for additional information.
    (3) Develop new materials (in both print and nonprint form), 
especially by synthesizing information from a variety of fields 
affecting disability issues and the education, rehabilitation, and 
retraining of individuals with disabilities.
    (4) Develop a coordinated network of professionals, related 
organizations and associations, mass media, other clearinghouses, and 
governmental agencies at the Federal, regional, State, and local level 
for the purposes of disseminating information and promoting awareness of 
issues relevant to the education of individual with disabilities after 
high school and referring individuals who request information to local 
resources.
    (5) Respond to requests from individuals with disabilities, their 
parents, and professionals who work with them, for information that will 
enable them

[[Page 196]]

to make appropriate decisions about postsecondary education and 
training.
    (c) Establish and operate a national clearinghouse designed to 
encourage students to seek careers and professional personnel to seek 
employment in the various fields related to the education of children 
and youth with disabilities that will do the following:
    (1) Collect and disseminate information on current and future 
national, regional, and State needs for special education and related 
services personnel.
    (2) Disseminate information to high school counselors and others 
concerning current career opportunities in special education, location 
of programs, and various forms of financial assistance (such as 
scholarships, stipends, and allowances).
    (3) Identify training programs available around the country.
    (4) Establish a network among local and State educational agencies 
and institutions of higher education concerning the supply of graduates 
and available openings.
    (5) Provide technical assistance to institutions seeking to meet 
State and professionally recognized standards.

(Authority: 20 U.S.C. 1433)

[56 FR 54696, Oct. 22, 1991]
Secs. 320.11--320.19  [Reserved]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 320.30  What are the selection criteria used to award a grant?

    The Secretary uses the criteria in this section to evaluate 
applications for new grants. The maximum score for all the criteria is 
100 points. The maximum score for each complete criterion is indicated 
in parentheses.
    (a) Plan of operation. (40 points) (1) The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project.
    (2) The Secretary looks for information that shows--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (b) Quality of key personnel. (15 points) (1) The Secretary reviews 
each application for information that shows the qualifications of key 
personnel the applicant plans to use on the project.
    (2) The Secretary looks for information that shows--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other information that the applicant provides.
    (c) Budget and cost effectiveness. (10 points) (1) The Secretary 
reviews each application for information that shows that the project has 
an adequate budget and is cost effective.

[[Page 197]]

    (2) The Secretary looks for information that shows--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (10 points) (1) The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project. (See 34 CFR 75.590.) Evaluation by the grantee.)
    (2) The Secretary looks for information that shows methods of 
evaluation that are appropriate for the project, and to the extent 
possible, are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application for information that shows that the applicant plans to 
devote adequate resources to the project.
    (2) The Secretary looks for information that shows--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Experience and ability. (10 points) The Secretary looks for 
information that shows the applicant's--
    (1) National experience relevant to performance of the functions 
supported by this program;
    (2) Ability to conduct its proposed project;
    (3) Ability to communicate with the intended consumers of 
information; and
    (4) Ability to maintain the necessary communication with other 
agencies and organizations.
    (g) Cooperation and coordination with other agencies. (10 points) 
(1) The Secretary reviews each application for information that shows 
the activities funded under this section will be coordinated with--
    (i) Similar activities funded from grants and contracts awarded 
under this part and under part C of the Act; and
    (ii) Other agencies and organizations conducting or eligible to 
conduct activities essential to the effective implementation of the 
proposed project.
    (2) The Secretary looks for information that shows the nature and 
extent of, and timeline for, coordination which the applicant has had 
and proposes to have to facilitate implementation and continuation of 
the project activities after termination of Federal funding.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1433)

[49 FR 25986, June 25, 1984, as amended at 52 FR 26657, July 15, 1987; 
56 FR 54696, Oct. 22, 1991]



Sec. 320.31  What are the priorities for funding under this program?

    The Secretary may select as annual priorities any of the activities 
listed in Sec. 320.10 by publishing a notice in the Federal Register. 

(Authority: 20 U.S.C. 1433)



Sec. 320.32  What additional factors does the Secretary consider?

    In awarding grants, contracts, and cooperative agreements under this 
part, the Secretary gives priority to any applicant with:
    (a) Demonstrated, proven effectiveness at the national level in 
performing the functions established in this part; and with the ability 
to conduct such projects, communicate with intended consumers of 
information, and maintain the necessary communication with national, 
regional, State and local agencies and organizations.
    (b) Demonstrated, proven effectiveness at the national level in 
provding informational services to minorities and minority 
organizations.

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54696, Oct. 22, 1991, as amended at 57 FR 14314, Apr. 17, 1992]
Secs. 320.33--320.39  [Reserved]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 320.40  What evaluation and coordination requirements must be met by a grantee?

    (a) Each grantee under this part shall ensure that any printed 
materials it produces or disseminates have been

[[Page 198]]

evaluated by individuals with disabilities, parents of children and 
youth with disabilities, and by appropriate professionals with respect 
to the quality, currency, and appropriateness of, and the need to 
develop or disseminate, the materials.
    (b) Recipients of awards under Sec. 320.10 (a), (b), and (c) shall 
coordinate the dissemination of materials and information activities 
supported under this part.

(Authority: 20 U.S.C. 1433)

[49 FR 25986, June 25, 1984, as amended at 52 FR 26657, July 15, 1987; 
56 FR 54696, Oct. 22, 1991]



Sec. 320.41  What other conditions must be met by grantees under this program?

    (a) Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouse, and the 
Technical Assistance to Parents Program (TAPP) assisted under parts C 
and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Programs (CASSP) under the National Institute 
of Mental health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.
    (b) Beginning in fiscal year 1991, and for each year thereafter, 
each project assisted under this part provide information required by 
the Secretary, including--
    (1) The number of individuals served by disability category, as 
appropriate, including parents, professionals, students, and individuals 
with disabilities;
    (2) A description of responses utilized;
    (3) A listing of new products developed and disseminated; and
    (4) A description of strategies and activities utilized for outreach 
to urban and rural areas with populations of minorities and 
underrepresented groups.

(Authority: 20 U.S.C. 1409; 20 U.S.C. 1433)

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54696, Oct. 22, 1991, as amended at 57 FR 14314, Apr. 17, 1992]
Secs. 320.42--320.49  [Reserved]



PART 324--RESEARCH IN EDUCATION OF INDIVIDUALS WITH DISABILITIES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
324.1  What is the Research in Education of Individuals with 
          Disabilities programs?
324.2  Who is eligible to apply for an award under this program?
324.3  What regulations apply to this program?
324.4  What definitions apply to this program?
324.5--324.9  [Reserved]

Subpart B--What Priorities Does the Secretary Consider for Support Under 
                              This Program?

324.10  What kinds of priorities are authorized under this part?
324.11  What kinds of research and model projects are supported under 
          this part?
324.12--324.19  [Reserved]

                          Subpart C--[Reserved]

            Subpart D--How Does the Secretary Make an Award?

324.30  How does the Secretary select and announce funding priorities 
          under this program?
324.31  What are the selection criteria for evaluating applications for 
          research projects?
324.32  What are the selection criteria for evaluating applications for 
          model projects?
324.33  What are the selection criteria for evaluating research-related 
          activities other than research and model projects?
324.34--324.39  [Reserved]

         Subpart E--What Conditions Must Be Met by a Recipient?

324.40  What conditions must be met by a recipient?
324.41  What other conditions must be met by grantees under this 
          program?
324.42--324.49  [Reserved]


[[Page 199]]


    Authority: 20 U.S.C. 1441-1443, unless otherwise noted.

    Source: 50 FR 34639, Aug. 26, 1985, unless otherwise noted.



                           Subpart A--General



Sec. 324.1  What is the Research in Education of Individuals with Disabilities programs?

    The Research in Education of Individuals with Disabilities program 
provides support to--
    (a) Advance and improve the knowledge base and improve the practice 
of professionals, parents, and others providing early intervention, 
special education, and related services, including professionals who 
work with children with disabilities in regular education environments, 
to provide such children effective instruction and enable them to 
successfully learn; and
    (b) Research and related activities, surveys, or demonstrations 
relating to physical education or recreation, including therapeutic 
recreation, for children with disabilities.

(Authority: 20 U.S.C. 1441(a); 20 U.S.C 1442))

[56 FR 54697, Oct. 22, 1991]



Sec. 324.2  Who is eligible to apply for an award under this program?

    (a) The Secretary may make grants to, or enter into contracts and 
cooperative agreements with, State and local educational agencies, 
institutions of higher education, and other public agencies and 
nonprofit private organizations for the research and related activities 
authorized under section 641(a) of the Individuals with Disabilities 
Education Act.
    (b) The Secretary may award grants to States, State or local 
educational agencies, institutions of higher education, and other public 
or nonprofit private educational or research agencies and organizations, 
and may make contracts with States, State and local educational 
agencies, institutions of higher education, and other public or private 
educational or research agencies and organizations for research and 
related purposes authorized under section 642 of the Individuals with 
Disabilities Education Act, relating to physical education or recreation 
for children with disabilities, and to conduct research, surveys, or 
demonstrations relating to physical education or recreation for children 
with disabilities.

(Authority: 20 U.S.C. 1441(a), 1442)

[50 FR 34639, Aug. 26, 1985, as amended at 50 FR 43702, Oct. 29, 1985; 
56 FR 54697, Oct. 22, 1991]



Sec. 324.3  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The regulations in this part 324.
    (b) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions that Apply to Department Regulations);
    (4) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (5) Part 81 (General Education Provisions Act--Enforcement);
    (6) Part 82 (New Restrictions on Lobbying);
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (8) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1441-1444)

[50 FR 34639, Aug. 26, 1985, as amended at 56 FR 54697, Oct. 22, 1991]



Sec. 324.4  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    EDGAR
    Fiscal year
    Grant
    Grantee
    Local educational agency
    Nonprofit
    Private

[[Page 200]]

    Project
    Project period
    Secretary
    State educational agency

(Authority: 20 U.S.C. 1441-1444)

    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR 300.5, 300.13, and 300.14:

    Children with disabilities
    Related services
    Special education

(Authority: 20 U.S.C. 1401(a)(1), (16), (17))

    (c) Other definitions. In addition to the definitions referred to in 
paragraphs (a) and (b) of this section, the following definition applies 
to this part: Youth with disabilities means any child with disabilities 
who--
    (1) Is twelve years of age or older; or
    (2) Is enrolled in the seventh or higher grade in school.

(Authority: 20 U.S.C. 1401(b))

[50 FR 34639, Aug. 26, 1985, as amended at 56 FR 54697, Oct. 22, 1991]
Secs. 324.5--324.9  [Reserved]



Subpart B--What Priorities Does the Secretary Consider for Support Under 
                              This Program?



Sec. 324.10  What kinds of priorities are authorized under this part?

    (a) The priorities under Sec. 324.1(a) must support innovation, 
development, exchange, and use of advancements in knowledge and practice 
designed to contribute to the improvement of instruction and learning of 
infants, toddlers, children, and youth with disabilities.
    (b) Under this part, the Secretary may support a wide range of 
research and related activities designed to--
    (1) Advance knowledge regarding the provision of instruction and 
other interventions to infants, toddlers, children, and youth with 
disabilities including the--
    (i) Organization, synthesis, and interpretation of current knowledge 
and the identification of knowledge gaps;
    (ii) Identification of knowledge and skill competencies needed by 
personnel providing special education, related services, and early 
intervention services;
    (iii) Improvement of knowledge regarding the developmental and 
learning characteristics of infants, toddlers, children, and youth with 
disabilities in order to improve the design and effectiveness of 
interventions and instruction;
    (iv) Evaluation of approaches and interventions;
    (v) Development of instructional strategies, techniques, and 
activities;
    (vi) Improvement of curricula and instructional tools such as 
textbooks, media, materials, and technology;
    (vii) Development of assessment techniques, instruments (including 
tests, inventories, and scales), and strategies for measurement of 
progress and the identification, location, and evaluation of infants, 
toddlers, children, and youth with disabilities for the purpose of 
determining eligibility, program planning, and placement for special 
education, related services, and early intervention services;
    (viii) Testing of research findings in practice settings to 
determine the application, usability, effectiveness, and 
generalizability of such research findings;
    (ix) Improvement of knowledge regarding families, minorities, 
limited English proficiency, and disabling conditions; and
    (x) Identification of environmental organizational, resource, and 
other conditions necessary for effective professional practice; and
    (2) Advance the use of knowledge by personnel providing special 
education, related services, and early intervention services including 
the--
    (i) Improvement of knowledge regarding how such individuals learn 
new knowledge and skills, and strategies for effectively facilitating 
such learning in preservice, inservice, and continuing education;
    (ii) Organization, integration, and presentation of knowledge so 
that such knowledge can be incorporated and imparted in personnel 
preparation, continuing education programs, and other relevant training 
and communication vehicles; and

[[Page 201]]

    (iii) Expansion and improvement of networks that exchange knowledge 
and practice information;
    (3) Disseminate information on research and related activities 
conducted under this part to regional resource centers, interested 
individuals, and organizations;
    (4) Conduct research and related activities, surveys, or 
demonstrations relating to physical education or recreation, including 
therapeutic recreation, for children with disabilities.

(Authority: 20 U.S.C. 1441(a); 20 U.S.C. 1442)

    (c) The Secretary also may support student-initiated or field-
initiated projects consistent with the purpose of the program, as 
described in Sec. 324.1.

[56 FR 54697, Oct. 22, 1991, as amended at 57 FR 28966, June 29, 1992]



Sec. 324.11  What kinds of research and model projects are supported under this part?

    (a) Research projects supported under this part must be designed to 
generate knowledge about the early intervention or education of infants, 
toddlers, children, and youth with disabilities and to translate that 
knowledge into practical techniques and materials.
    (b) Model projects supported under this part must develop and 
implement innovative early intervention or educational programs that 
serve infants, toddlers, children, and youth with disabilities either 
directly or indirectly. These projects must be designed to--
    (1) Improve significantly an aspect of the early intervention or 
education of infants, toddlers, children, and youth with disabilities;
    (2) Provide information about the comparative effectiveness of the 
model being demonstrated;
    (3) Continue beyond the award period; and
    (4) Provide for dissemination and replication of a successful 
program.

(Authority: 20 U.S.C. 1441, 1442)

[50 FR 34639, Aug. 26, 1985, as amended at 52 FR 43483, Nov. 12 1987; 56 
FR 54698, Oct. 22, 1991]
Secs. 324.12--324.19  [Reserved]



                          Subpart C--[Reserved]



            Subpart D--How Does the Secretary Make an Award?



Sec. 324.30  How does the Secretary select and announce funding priorities under this program?

    (a) For any fiscal year, the Secretary may give priority to one or 
more of the types of activities under Sec. 324.10.
    (b) Under section 641(c) of the Individuals with Disabilities 
Education Act, the Secretary publishes proposed research priorities for 
public comment in the Federal Register not later than twelve months 
preceding the fiscal year for which they are being announced. The 
Secretary publishes final priorities for this program not later than 90 
days after the close of the comment period.
    (c) The Secretary establishes separate competitions for research and 
model projects for any activity for which the Secretary provides 
assistance under this part.

(Authority: 20 U.S.C. 1441(c), 1442)

[50 FR 34639, Aug. 26, 1985, as amended at 56 FR 54698, Oct. 22, 1991]



Sec. 324.31  What are the selection criteria for evaluating applications for research projects?

    The Secretary uses the criteria in this section to evaluate 
applications for research projects. The maximum score for all of the 
criteria is 100 points.
    (a) Plan of operation. (10 points) (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary looks for--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and

[[Page 202]]

    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
that applicant plans to use on the project.
    (2) The Secretary considers--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other evidence that the applicant provides.
    (c) Budget and cost effectiveness. (5 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (5 points) (1) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project.

    Cross reference: 34 CFR 75.590, Evaluation by the grantee.

    (2) The Secretary considers the extent to which the methods of 
evaluation that are appropriate for the project and, to the extent 
possible, are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine if the applicant plans to devote adequate 
resources to the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Importance. (10 points) The Secretary reviews each application 
to determine the importance of the project in leading to the 
understanding of, remediation of, or compensation for, the problem or 
issue that relates to the early intervention with or special education 
of infants, toddlers, children, and youth with disabilities.
    (g) Impact. (5 points) The Secretary reviews each application to 
determine the probable impact of the proposed research and development 
products and the extent to which those products can be expected to have 
a direct influence on infants, toddlers, children, and youth with 
disabilities or personnel responsible for their education or early 
intervention services.
    (h) Organizational capability. (10 points) The Secretary considers--
    (1) The applicant's experience in special education or early 
intervention services; and
    (2) The ability of the applicant to disseminate the findings of the 
project to appropriate groups to ensure that they can be used 
effectively.
    (i) Technical soundness. (40 points) The Secretary reviews each 
application to determine the technical soundness of the research or 
evaluation plan, including--
    (1) The design;
    (2) The proposed sample;
    (3) Instrumentation; and

[[Page 203]]

    (4) Data analysis procedures.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1441-1442)

[50 FR 34639, Aug. 26, 1985, as amended at 52 FR 43483, Nov. 12, 1987; 
53 FR 49145, Dec. 6, 1988; 56 FR 54698, Oct. 22, 1991]



Sec. 324.32  What are the selection criteria for evaluating applications for model projects?

    The Secretary uses the criteria in this section to evaluate 
applications for model project awards. The maximum score for all of the 
criteria is 100 points.
    (a) Plan of operation. (10 points) (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary looks for--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use on the project;
    (2) The Secretary considers--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine personnel qualification, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other evidence that the applicant provides.
    (c) Budget and cost effectiveness. (5 points) (1) The Secretary 
reviews such application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (10 points) (1) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project.

    Cross-reference: 34 CFR 75.590, Evaluation by the grantee.

    (2) The Secretary considers the extent to which the methods of 
evaluation that are appropriate for the project and, to the extent 
possible, are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine if the applicant plans to devote adequate 
resources to the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Importance. (10 points) The Secretary reviews each application 
to determine if--

[[Page 204]]

    (1) The service delivery problem addressed by the proposed project 
is of concern to others in the Nation, and;
    (2) The importance of the project in addressing the problem or 
issue.
    (g) Innovativeness. (15 points) (1) The Secretary reviews each 
application to determine the innovativeness of the proposed project.
    (2) The Secretary looks for a conceptual framework that--
    (i) Is founded on previous theory and research; and
    (ii) Provides a basis for the unique strategies and approaches to be 
incorporated into the model.
    (h) Organizational capability. (10 points) The Secretary considers--
    (1) The applicant's experience in special education or early 
intervention services; and
    (2) The applicant's ability to disseminate findings of the project 
to appropriate groups to ensure that they can be used effectively.
    (i) Technical soundness. (25 points) (1) The Secretary reviews each 
application to determine the technical soundness of the plan for the 
development, implementation, and evaluation of the model with respect to 
such matters as--
    (i) The population to be served;
    (ii) The model planning process;
    (iii) Record keeping systems;
    (iv) Coordination with other service providers;
    (v) The identification and assessment of students;
    (vi) Interventions to be used, including proposed curricula;
    (vii) Individualized educational program planning; and
    (viii) Parent and family participation.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1441-1442)

[50 FR 34639, Aug. 26, 1985, as amended at 52 FR 43483, Nov. 12, 1987; 
53 FR 49145, Dec. 6, 1988; 56 FR 54698, Oct. 22, 1991]



Sec. 324.33  What are the selection criteria for evaluating research-related activities other than research and model projects?

    The Secretary uses the criteria in 34 CFR 75.210 (Selection criteria 
for a discretionary grant program that does not have regulations) (to 
evaluate applications for new awards for research-related activities 
other than research and model projects.

(Authority: 20 U.S.C. 1441-1442).
Secs. 324.34--324.39  [Reserved]



         Subpart E--What Conditions Must Be Met by a Recipient?



Sec. 324.40  What conditions must be met by a recipient?

    Not more than 90 days after the completion of a project assisted 
under this part, each recipient must submit a report to the Secretary 
that includes--
    (a) An abstract of the project;
    (b) For a research project, a description of the research problem 
and the methodological approach used in the research study; or
    (c) For a model project--
    (1) A description of the model which permits replication, in part or 
in whole, by appropriate parties to which it is disseminated; and
    (2) A description of the evaluation procedures and findings related 
to the effectiveness of the model;
    (d) A summary of the project findings; and
    (e) A statement of the conclusions.

(Approved by the Office of Management and Budget under control number 
1820-0002)

(Authority: 20 U.S.C. 1441(d))



Sec. 324.41  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations,

[[Page 205]]

organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54698, Oct. 22, 1991, as amended at 57 FR 14315, Apr. 17, 1992]
Secs. 324.42--324.49  [Reserved]



PART 325--STATE SYSTEMS FOR TRANSITION SERVICES FOR YOUTH WITH DISABILITIES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
325.1  What is the State systems for transition services for youth with 
          disabilities program?
325.2  Who is eligible for a grant?
325.3  How must States use funds under this program?
325.4  What regulations apply?
325.5  What definitions apply?

             Subpart B--How Does a State Apply for a Grant?

325.10  What must an application include?

             Subpart C--How Does the Secretary Make a Grant?

325.20  How does the Secretary evaluate an application?
325.21  What selection criteria does the Secretary use?

          Subpart D--What Conditions Must Be Met After a Grant?

325.30  What other conditions must be met by a grantee under this 
          program?

    Authority: 20 U.S.C. 1425(e), unless otherwise noted.

    Source: 56 FR 66291, Dec. 20, 1991, unless otherwise noted.



                           Subpart A--General



Sec. 325.1  What is the State systems for transition services for youth with disabilities program?

    This program provides assistance to States to develop, implement, 
and improve systems to provide transition services for youth with 
disabilities from age 14 through the age they exit school.

(Authority: 20 U.S.C. 1425(e)(1))



Sec. 325.2  Who is eligible for a grant?

    Under this program the Secretary may make a one-time, five-year 
grant--
    (a) To a State educational agency and a State vocational 
rehabilitation agency that submit a joint application; or
    (b) If a vocational rehabilitation agency does not choose to 
participate, to a State educational agency and a State agency that 
provides transition services to individuals who are leaving programs 
under the Act, that submit a joint application.

(Authority: 20 U.S.C. 1425(e)(2))



Sec. 325.3  How must States use funds under this program?

    Agencies that receive grants under this program shall use grant 
funds to--
    (a) Increase the availability, access, and quality of transition 
assistance through the development and improvement of policies, 
procedures, systems, and other mechanisms for youth with disabilities 
and their families as those youth prepare for and enter adult life;
    (b) Improve the ability of professionals, parents, and advocates to 
work with those youth in ways that promote the understanding of and the 
capability to successfully make the transition from student to adult;
    (c) Improve working relationships among education personnel, both 
within LEAs and in postsecondary training programs, relevant State 
agencies, the private sector (especially employers), rehabilitation 
personnel, local and State employment agencies, local Private Industry 
Councils authorized by the Job Training Partnership Act, and families of 
students with disabilities and their advocates to identify and achieve 
consensus on the general nature and specific application of transition 
services to meet the needs of those youth;
    (d) Create an incentive for accessing and using the expertise and 
resources of programs, projects, and activities related to transition 
funded under this program and with other sources;

[[Page 206]]

    (e) Create incentives for the implementation of lasting State-wide 
system changes in the transition of students with disabilities to 
postsecondary training, education, and employment; and
    (f) Assist the State education agency in implementing the 
requirement in section 602(a)(20)(D) of the Act that the student's 
individualized education program include a statement of needed 
transition services for students, beginning no later than age 16 and 
annually thereafter (and, if determined appropriate for the individual, 
beginning at age 14), including, if appropriate, a statement of the 
interagency responsibilities or linkages, (or both) before the student 
leaves the school setting.

(Authority: 20 U.S.C. 1425(e)(3))



Sec. 325.4  What regulations apply?

    The following regulations apply to this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in 34 CFR--
    (1) Part 75 (Direct Grant Programs);
    (2) Part 77 (Definitions that Apply to Department Regulations);
    (3) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (4) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (5) Part 81 (General Education Provisions Act--Enforcement);
    (6) Part 82 (New Restrictions on Lobbying);
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (8) Part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 325.

(Authority: 20 U.S.C. 1425(e))



Sec. 325.5  What definitions apply?

    (a) Definition in the Act. The following term used in this part is 
defined in section 602(a)(19) of the Individuals with Disabilities 
Education Act:
    Transition services
    (b) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:
    Application
    EDGAR
    Grant
    Local education agency (LEA)
    Project
    Secretary
    State
    State educational agency (SEA)
    (c) Other definitions. The following definitions also apply to this 
part:
    Act means the Individuals with Disabilities Education Act.
    Youth with disabilities means individuals with disabilities from age 
14 through the age they exit school.

(Authority: 20 U.S.C. 1425(e))



             Subpart B--How Does a State Apply for a Grant?



Sec. 325.10  What must an application include?

    An application under this program must include the following:
    (a) A description of how the State educational agency and State 
vocational rehabilitation agency or other State agency will use--
    (1) The first year, if necessary, to plan how to implement 
transition services;
    (2) The second through fourth years to develop and implement 
transition services; and
    (3) The fifth year to evaluate transition services.
    (b) A description of how the grant funds will be used during the 
planning period and phased out during the evaluation period to ensure 
the continuation of transition services.
    (c) A description of the current availability, access, and quality 
of transition services for eligible youth and a description of how, over 
five years, the State will improve and expand the availability, access, 
and quality of transition services for youth with disabilities and their 
families as those youth prepare for and enter adult life.
    (d) A description of how the State will improve and increase the 
ability of professionals, parents, advocates, and youth to promote the 
understanding of and the capability to successfully

[[Page 207]]

make the transition from student to adult.
    (e) A description of how the State will improve and increase working 
relationships among education personnel, both with LEAs and in 
postsecondary training programs, relevant State agencies, the private 
sector (especially employers), rehabilitation personnel, local and State 
employment agencies, local Private Industry Councils authorized by the 
Job Training Partnership Act, students with disabilities, their 
families, and their advocates to identify and achieve consensus on the 
general nature and specific application of transition services to meet 
the needs of youth with disabilities.
    (f) A description of how the State will use grant funds as an 
incentive for accessing and using the expertise and resources of 
programs, projects, and activities related to transition funded through 
this program and with other sources.
    (g) A description of how the State will address, in whole or in 
part, the needs of youth with disabilities from minority backgrounds.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1410(b), 1425(e)(4)(A))



             Subpart C--How Does the Secretary Make a Grant?



Sec. 325.20  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application submitted under this 
program on the basis of the criteria in Sec. 325.21.
    (b) The Secretary awards up to 100 points under these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1425(e))



Sec. 325.21  What selection criteria does the Secretary use?

    The Secretary uses the following criteria to evaluate the quality of 
an application submitted under this part:
    (a) Extent of need and expected impact (20 points). The Secretary 
reviews each application to determine the justification for the proposed 
activities in the State based on the State need for and expected impact 
from the activities to develop, implement, and improve systems to 
provide transition services for youth with disabilities from age 14 
through the age they exit school. The Secretary looks for information 
that provides--
    (1) A description of the current availability, access, and quality 
of transition services for eligible youth and a description of how, over 
five years, the State will improve and expand the availability, access, 
and quality of transition services for youth with disabilities and their 
families as those youth prepare for and enter adult life;
    (2) A description of how the State will improve and increase the 
ability of professionals, parents, advocates, and youth to promote the 
understanding of and the capability to successfully make the transition 
from student to adult;
    (3) A description of how the State will improve and increase working 
relationships among education personnel, both within LEAs and in 
postsecondary training programs, relevant State agencies, the private 
sector (especially employers), rehabilitation personnel, local and State 
employment agencies, local Private Industry Councils authorized by the 
Job Training Partnership Act, students with disabilities, their 
families, and their advocates to identify and achieve consensus on the 
general nature and specific application or transition services to meet 
the needs of youth with disabilities:
    (4) A description of how the State will use grant funds as an 
incentive for accessing and using the expertise and resources of 
programs, projects, and activities related to transition funded under 
this program and with other sources; and
    (5) A description of how the State will address the unique needs of 
youth with disabilities from minority backgrounds.
    (b) Technical soundness (25 points). The Secretary reviews each 
application to determine the technical soundness of the project and 
whether the applicant has the capacity to achieve lasting statewide 
change, including a description of how the State will--

[[Page 208]]

    (1) Target resources to school settings, such as providing access to 
rehabilitation counselors for students with disabilities who are in 
school settings;
    (2) Target a substantial amount of grant funds, received under this 
program, to program evaluation and documentation of, and dissemination 
of information about, transition services as well as to improve the 
capacity for case management;
    (3) Provide incentives for interagency and private sector resource 
pooling and otherwise investing in transition services, especially in 
the form of cooperative agreements, particularly with Private Industry 
Councils authorized by the Job Training Partnership Act and local 
branches of State employment agencies;
    (4) Provide for early, ongoing information and training for those 
involved with or who could be involved with transition services--
professionals, parents, youth with disabilities, including self-advocacy 
training for those youth, and advocates for those youth as well as 
Private Industry Councils authorized by the Job Training Partnership Act 
and local branches of State employment agencies;
    (5) Provide for the early and direct involvement of all relevant 
parties, including Private Industry Councils authorized by the Job 
Training Partnership Act and local branches of State employment 
agencies, in operating and planning improvements in transition services, 
and the early and direct involvement of all relevant parties in planning 
and implementing transition services for individual youth;
    (6) Provide access to training for eligible youth that matches labor 
market needs in their communities;
    (7) Integrate transition services with relevant opportunities in 
communities, including those sponsored by Private Industry Councils 
authorized by the Job Training Partnership Act and local employment 
agencies;
    (8) Clearly define the services and service delivery system that 
will result from the project. The State must have analyzed in detail how 
these will differ from the current services and current delivery system;
    (9) Identify all relevant barriers to implementing the proposed 
statewide changes and identify and propose appropriate strategies for 
eliminating those barriers;
    (10) Use an evaluation plan for transition services that is outcome 
oriented, that focuses on individual youth-focused benefits, and that is 
based on standard sources of information such as the individualized 
education programs required by the IDEA;
    (11) Disseminate annually information about project activities and 
procedures and information from project evaluation activities, including 
information regarding effective strategies and obstacles to achieving 
project goals, to the organizations described in Sec. 325.30, and to 
other interested organizations within the State; and
    (12) Ensure that, if appropriate and no later than age 22, eligible 
youth who participate in transition services under this program would be 
served as appropriate in the State section 110 program, the title VI, 
part C program, or the title VII, part A program, authorized under the 
Rehabilitation Act of 1973, as amended.
    (c) Plan of operation (20 points). The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project, including--
    (1) An effective plan of management delineating the roles of both 
participating agencies and ensures proper and efficient administration 
of the project;
    (2) A clear description of how the objectives of the project relate 
to the purpose of the program;
    (3) The way the joint applicants plan to use their resources and 
personnel to achieve each objective;
    (4) A description of how all State and other agencies whose 
cooperation and participation are necessary for statewide implementation 
are actively collaborating in project management;
    (5) A description of how the joint applicants will provide for the 
direct participation of youth with disabilities and parents in the 
planning, development, and implementation of the project;
    (6) A description of the procedures to be used to ensure that youth 
and their families who are potentially eligible

[[Page 209]]

for the disability programs of the Social Security Administration are 
provided information, training, and referral services;
    (7) A description of how the first year will be used to plan, if 
necessary, how to implement transition services, the second through 
fourth years to develop and implement transition services, and the fifth 
year to evaluate statewide services;
    (8) Whether the budget is adequate to support the project and costs 
are reasonable in relation to the objectives of the project; and
    (9) The extent to which grant funds will be used during the planning 
period and phased out during the evaluation period to ensure the 
continuation of transition services.
    (d) Quality of key personnel (25 points, distributed as indicated). 
(1) The Secretary reviews each application for information that shows 
the qualifications of key personnel the applicant plans to use on the 
project, including information that shows--
    (i) The qualifications of the project director (8 points); and
    (ii) The qualifications of each of the other key personnel to be 
used in the project, including experience and training in fields related 
to the objectives of the project (7 points).
    (2) In determining the qualifications of each person referred to in 
paragraphs (d)(1) (i) and (ii) of this section the Secretary also 
considers--
    (i) The time that each person will commit to the project;
    (ii) Experience and training in conducting, documenting, and 
applying the types of activities to be conducted; and
    (iii) Knowledge of the results and findings of relevant projects and 
potential for application of this information in addressing the need for 
transitional services to youth with disabilities.
    (3) Recruitment of underrepresented populations (10 points). The 
Secretary reviews each application for information that shows effective 
efforts are being made to recruit members of underrepresented 
populations as project staff, including--
    (i) Strategies to recruit employees who are members of 
underrepresented populations, including members of racial or ethnic 
minority groups and individuals with disabilities; and
    (ii) Procedures to provide training and other necessary support to 
retain and advance qualified personnel from underrepresented 
populations.
    (e) Evaluation (10 points). The Secretary reviews each application 
to determine the quality of the plan for evaluating the project 
throughout the entire grant, leading to the required fifth year 
evaluation. The Secretary reviews factors including--
    (1) The adequacy of the applicant's plan to determine the 
effectiveness of the project in achieving measurable changes in State 
policy, programs, and services that improve systems providing transition 
services for youth with disabilities.
    (2) The adequacy of the applicant's plan to determine the 
effectiveness and timeliness in completion of the managerial procedures 
and objectives of the project's plan of operation; and
    (3) The procedures for recording, reviewing, analyzing, and 
interpreting for relevant audiences, data generated through conducting 
project activities.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1425(e))



          Subpart D--What Conditions Must Be Met After a Grant?



Sec. 325.30  What other conditions must be met by a grantee under this program?

    (a) The Secretary, if appropriate, requires grantees to prepare 
reports describing their procedures, findings, and other relevant 
information in a form that will maximize the dissemination and use of 
those procedures, findings, and information.
    (b) The Secretary requires delivery of those reports, as 
appropriate, to--
    (1) The regional and Federal resource centers, the clearinghouses, 
and the technical assistance to parents programs assisted under parts C 
and D of the Act;
    (2) The National Diffusion Network;
    (3) The ERIC Clearinghouse on the Handicapped and Gifted;

[[Page 210]]

    (4) The Child and Adolescent Service Systems Program (CASSP) under 
the National Institute of Mental Health;
    (5) Appropriate parent and professional organizations;
    (6) Organizations representing individuals with disabilities; and
    (7) Such other networks as the Secretary may determine to be 
appropriate.
    (c) Each grantee shall participate in the evaluation conducted by 
the institution of higher education or nonprofit public or private 
organization supported to implement section 626(f)(3)(A) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1410(g), 1425(f)(3))



PART 326--SECONDARY EDUCATION AND TRANSITIONAL SERVICES FOR YOUTH WITH DISABILITIES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
326.1  What is the Secondary Education and Transitional Services for 
          Youth with Disabilities program?
326.2  Who is eligible to apply for an award under this program?
326.3  What regulations apply to this program?
326.4  What definitions apply to this program?
326.5--326.9  [Reserved]

 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?

326.10  What kind of projects are authorized under this part?
326.11--326.19  [Reserved]

               Subpart C--How Does One Apply for a Grant?

326.20  What must an applicant include in its application?
326.21--326.29  [Reserved]

             Subpart D--How Does the Secretary Make a Grant?

326.30  What priorities are considered for support by the Secretary 
          under this part?
326.31  How does the Secretary establish priorities?
326.32  What are the selection criteria for evaluating applications for 
          research and evaluation projects?
326.33  What are the selection criteria for evaluating applications for 
          model projects?
326.34  Are awards in this program geographically dispersed?
326.35--326.39  [Reserved]

          Subpart E--What Conditions Must Be Met by a Grantee?

326.40  What is the requirement for participation of students with 
          disabilities and their parents?
326.41  What coordination requirements must a grantee meet?
326.42  What other conditions must be met by grantees under this 
          program?
326.43--326.49  [Reserved]

    Authority: 20 U.S.C. 1425, unless otherwise noted.

    Source: 49 FR 28383, July 11, 1984, unless otherwise noted.



                           Subpart A--General



Sec. 326.1  What is the Secondary Education and Transitional Services for Youth with Disabilities program?

    (a)(1) The purpose of this program is to assist youth with 
disabilities in the transition from secondary school to postsecondary 
environments such as competitive or supported employment.
    (2) The Secretary carries out this purpose by providing assistance 
for projects that--
    (i) Strengthen and coordinate education and related services that 
assist youth with disabilities currently in school or who recently left 
school to assist them in the transition to competitive or supported 
employment, postsecondary education, vocational training, continuing 
education, independent and community living or adult services;
    (ii) Stimulate the improvement and development of programs for 
secondary special education; or
    (iii) Stimulate the improvement of the vocational and life skills of 
students with disabilities to enable them to be better prepared for 
transition to adult life and services.
    (b) The purpose of this program is also to ensure that secondary 
special

[[Page 211]]

education and transitional services result in competitive or supported 
employment for youth with disabilities.

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 52 FR 34368, Sept. 10, 1987; 
56 FR 54698, Oct. 22, 1991]



Sec. 326.2  Who is eligible to apply for an award under this program?

    The Secretary may provide assistance under this program by grants 
to, or contracts with--
    (a) Institutions of higher education;
    (b) State educational agencies;
    (c) Local educational agencies; and
    (d) Other public and private nonprofit institutions or agencies 
(including the State job training coordinating councils and service 
delivery area administrative entities established under the Job Training 
Partnership Act (29 U.S.C. 1501 et seq.)).

(Authority: 20 U.S.C. 1425(a))



Sec. 326.3  What regulations apply to this program?

    The following regulations apply to awards under the Secondary 
Education and Transitional Services for Youth with Disabilities program:
    (a) The regulations in this part 326.
    (b) The Education Department General Administrative Regulations 
(EDGAR) in title 34 of the Code of Federal regulations in--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirement for Drug-Free Workplace 
(Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1425; 20 U.S.C. 3474(a))

[49 FR 28383, July 11, 1984, as amended at 56 FR 54698, Oct. 22, 1991]



Sec. 326.4  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    EDGAR
    Fiscal year
    Grant
    Grantee
    Local educational agency
    Nonprofit
    Private
    Project
    Project period
    Public
    Secondary school
    Secretary
    State
    State educational agency

(Authority: 20 U.S.C. 1425; 20 U.S.C. 3474(a))

    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR 300.5,300.13, and 300.14:

    Children with disabilities
    Related services
    Special education

(Authority: 20 U.S.C. 1401(a) (1), (16), (17))

    (c) Other definitions. In addition to the definitions referred to in 
paragraphs (a) and (b) of this section, the following definitions apply 
to this part:
    (1) Youth with disabilities means any child with disabilities who--
    (i) Is twelve years of age or older;
    (ii) Is enrolled in the seventh or higher grade in school; or
    (iii) Was enrolled in the seventh or higher grade in school and 
recently left school.

(Authority: 20 U.S.C. 1401(b), 1425(a)(1))

    (2) Supported employment is paid work in a variety of settings, 
particularly regular work sites, especially designed for individuals 
with disabilities--
    (i) For whom competitive employment at or above the minimum wage is 
not immediately obtainable; and

[[Page 212]]

    (ii) Who, because of their disability, need intensive on-going 
support to perform in a work setting.

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 52 FR 34368, Sept. 10, 1987; 
56 FR 54698, 54699, Oct. 22, 1991]
Secs. 326.5--326.9  [Reserved]



 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?



Sec. 326.10  What kinds of projects are authorized under this part?

    (a) This program supports research, development, demonstration, 
evaluation, and other types of projects for the following purposes:
    (1) To improve secondary education programs for youth with 
disabilities.
    (2) To coordinate with other activities serving this population.
    (3) To provide education and related services to assist youth with 
disabilities in the transitional process to postsecondary education, 
vocational training, competitive employment, continuing education, 
independent or community living, or adult services.
    (4) To stimulate the improvement of the vocational and life skills 
of students with disabilities to enable them to be better prepared for 
transition to adult life and services.
    (b) Projects funded under this part must serve youth with 
disabilities and may also include other individuals with disabilities 
who have recently left special education programs.

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 52 FR 34369, Sept. 10, 1987; 
56 FR 54698, 54699, Oct. 22, 1991]
Secs. 326.11--326.19  [Reserved]



               Subpart C--How Does One Apply for a Grant?



Sec. 326.20  What must an applicant include in its application?

    (a) Each applicant must include in its application information 
demonstrating how the activities it proposes will lead to competitive or 
supported employment of individuals with disabilities.
    (b) Each applicant, other than for the purpose of conducting studies 
or evaluation, shall--
    (1) Describe the procedures to be used for disseminating relevant 
findings and data to regional resource centers, clearinghouses, and 
other interested persons, agencies, or organizations;
    (2) Describe the procedures to be used for coordinating services 
among agencies for which youth with disabilities are or will be 
eligible;
    (3) Provide for the direct participation of students with 
disabilities and the parents of handicapped students in the planning, 
development, and implementation of such projects.
    (c) Each applicant for activities described in Sec. 326.30 (a) and 
(b) that is not an educational agency must include in its application 
information demonstrating how it has met, and will meet, the 
requirements of Sec. 326.41.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 52 FR 34369, Sept. 10, 1987; 
56 FR 54698, 54699, Oct. 22, 1991]
Secs. 326.21--326.29  [Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 326.30  What priorities are considered for support by the Secretary under this part?

    The Secretary may select annually one or more of the following 
priority areas for funding:
    (a) Transition strategies and techniques. This priority supports 
research projects designed to develop strategies and techniques for 
transition to competitive or supported employment through improvements 
in independent living skills, secondary and postsecondary education, 
vocational preparation, and availability of work opportunities.
    (b) Service demonstration models. This priority supports projects 
that develop and establish exemplary models for services and 
individualized education programs, including independent living 
vocational training and job placement, that result directly in paid 
employment in regular work settings for

[[Page 213]]

youth with disabilities leaving school, or that enhance the 
effectiveness of secondary and postsecondary services which lead to 
employment or independent living.
    (c) Demographic studies. This priority supports demographic studies 
of the numbers, locations, age levels, types and degrees of disabilities 
of youth with disabilities, and anticipated transition and adult 
services needed by those youth to obtain competitive or supported 
employment.
    (d) Service delivery research projects. This priority supports 
research projects, including field testing and evaluation of innovative 
service approaches to service delivery models or components to assist 
youth with disabilities in secondary school and in other services that 
assist transition to employment. These service delivery approaches can 
be replicated and disseminated.
    (e) Cooperative models for planning and developing transitional 
services. This priority supports projects designed to plan and develop 
cooperative models for activities among State or local educational 
agencies, developmental disabilities councils, and adult service 
agencies, including vocational rehabilitation, mental health, mental 
retardation, and public employment agencies, and private employers, 
which will facilitate effective planning for services to meet the 
employment needs of youth with disabilities as they leave school.
    (f) Procedures for evaluation of secondary education, vocational 
training, and placement services. This priority supports projects that 
will develop appropriate procedures for evaluating secondary special 
education, vocational training, placement, and other transitional 
services that lead to employment for youth with disabilities.
    (g) Program evaluation. This priority supports projects that will 
evaluate the effectiveness of the program carried out under this part to 
assist youth with disabilities in the transition from secondary school 
to postsecondary environments such as competitive or supported 
employment.
    (h) Research projects in secondary education. This priority supports 
research projects which focus on secondary level programs for youth with 
disabilities. These projects will have as their major objective the 
development and improvement of replicable programs and will focus on the 
evaluation of the program or the components of the program, such as 
curricula design, program organization, employer involvement, and 
instructional methods.
    (i) Drop out studies. This priority supports studies which provide 
information on the numbers, age levels, types of disabilities and 
reasons why some youth with disabilities remain to complete school 
programs while others drop out of school.
    (j) Curriculum development. This priority supports the development 
of curriculum and instructional techniques in special education and 
related services that will improve students with disabilities 
acquisition of the skills necessary for transition to adult life and 
services.
    (k) Physical education and therapeutic recreation. This priority 
supports specially designed or adapted physical educational and 
therapeutic recreation programs to facilitate the full participation of 
youth with disabilities in community programs.
    (l) Assistive technology. This priority supports the development and 
dissemination of exemplary programs and practices that meet the unique 
needs of students who utilize assistive technology devices and services 
as these students make the transition to postsecondary education, 
vocational training, competitive employment (including supported 
employment), and continuing education or adult services.

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 52 FR 34369, Sept. 10, 1987; 
56 FR 54698, 54699, Oct. 22, 1991]



Sec. 326.31  How does the Secretary establish priorities?

    For any fiscal year, the Secretary may select a priority or 
combination of priorities from among those listed in Sec. 326.30 by 
publishing a notice in the Federal Register.

(Authority: 20 U.S.C 1425)

[[Page 214]]



Sec. 326.32  What are the selection criteria for evaluating applications for research and evaluation projects?

    The Secretary uses the criteria in this section to evaluate 
applications for research and evaluation projects, including projects 
submitted under Sec. 326.30 (a), (c), (d), (f), (g), and (h). The 
maximum score for all of the criteria is 100 points.
    (a) Plan of operation. (10 points) (1) The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project.
    (2) The Secretary looks for information that shows--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application for information that shows the qualifications of the 
key personnel the applicant plans to use on the project.
    (2) The Secretary looks for information that shows--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other information that the applicant provides.
    (c) Budget and cost effectiveness. (10 points) (1) The Secretary 
reviews each application for information that shows that the project has 
an adequate budget and is cost effective.
    (2) The Secretary looks for information that shows--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (5 points) (1) The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project.

(See 34 CFR 75.590, Evaluation by the grantee)

    (2) The Secretary looks for information that shows methods of 
evaluation that are appropriate for the project and, to the extent 
possible, are objective and produce data that are qualifiable.
    (e) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application for information that shows that the applicant plans to 
devote adequate resources to the project.
    (2) The Secretary looks for information that shows--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Importance. (10 points) (1) The Secretary reviews each 
application for information demonstrating that the proposed project 
addresses national concerns in light of the purposes of this part.
    (2) The Secretary looks for information that shows--

[[Page 215]]

    (i) The significance of the problem or issue to be addressed;
    (ii) The importance of the proposed project in increasing the 
understanding of the problem or issue;
    (iii) The experiences of service providers related to the problem or 
issue; and
    (iv) Previous research findings related to the problem or issue.
    (g) Impact. (10 points) The Secretary reviews each application for 
information that shows the probable impact of the proposed project in 
educating youth with disabilities, including--
    (1) The contribution that the project findings or products will make 
to current knowledge or practice; and
    (2) The extent to which findings and products will be disseminated 
to, and used for the benefit of, appropriate target groups.
    (h) Technical soundness. (40 points) The Secretary reviews each 
application for information demonstrating the technical soundness of the 
research or evaluation plan, including--
    (1) The design (10 points);
    (2) The proposed sample (10 points);
    (3) Instrumentation (10 points); and
    (4) Data analysis procedures (10 points).

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 53 FR 49145, Dec. 6, 1988; 56 
FR 54698, 54699, Oct. 22, 1991]



Sec. 326.33  What are the selection criteria for evaluating applications for model projects?

    The Secretary uses the criteria in this section to evaluate 
applications for model projects, including projects submitted under 
Sec. 326.30 (b) and (e). The maximum score for all of the criteria is 
100 points.
    (a) Plan of operation. (10 points) (1) The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project.
    (2) The Secretary looks for information that shows--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application for information that shows the qualifications of the 
key personnel the applicant plans to use on the project.
    (2) The Secretary looks for information that shows--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other information that the applicant provides.
    (c) Budget and cost effectiveness. (10 points) (1) The Secretary 
reviews each application for information that shows that the project has 
an adequate budget and is cost effective.
    (2) The Secretary looks for information that shows--

[[Page 216]]

    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (10 points) (1) The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project.

(See 34 CFR 75.590, Evaluation by the grantee)

    (2) The Secretary looks for information that shows methods of 
evaluation that are appropriate for the project and, to the extent 
possible, are objective and produce data that are quantifiable.
    (e)  Adequacy of resources. (5 points) (1) The Secretary reviews 
each application for information that shows that the applicant plans to 
devote adequate resources to the project.
    (2) The Secretary looks for information that shows--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Importance. (10 points) The Secretary reviews each application 
for information that shows--
    (1) The service delivery problem addressed by the proposed project 
is of concern to others in the Nation, and;
    (2) The importance of the project in solving the problem.
    (g) Impact. (10 points) The Secretary reviews each application for 
information that shows the probable impact of the proposed model in 
educating youth with disabilities, including--
    (1) The contribution that the project findings or products will make 
to current knowledge or practice; and
    (2) The extent to which findings and products will be disseminated 
to, and used for the benefit of, appropriate target groups.
    (h) Innovativeness. (10 points) (1) The Secretary reviews each 
application for information that shows the innovativeness of the 
proposed project.
    (2) The Secretary looks for information that shows a conceptual 
framework that--
    (i) Is founded on previous theory and research; and
    (ii) Provides a basis for the unique strategies and approaches to be 
incorporated into the model.
    (i) Technical soundness. (25 points) The Secretary reviews each 
application for information demonstrating the technical soundness of the 
plan for the development, implementation, and evaluation of the model 
with respect to such matters as--
    (1) The population to be served;
    (2) The model planning process;
    (3) Recordkeeping systems;
    (4) Coordination with other service providers;
    (5) The identification and assessment of students;
    (6) Interventions to be used, including proposed curricula;
    (7) Individualized educational program planning; and
    (8) Parent and family participation.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1425)

[49 FR 28383, July 11, 1984, as amended at 53 FR 49145, Dec. 6, 1988; 56 
FR 54698, 54699, Oct. 22, 1991]



Sec. 326.34  Are awards in this program geographically dispersed?

    As much as feasible, the Secretary, in addition to using the 
criteria in Secs. 326.32 and 326.33, geographically disperses awards 
throughout the Nation in urban as well as rural areas.

(Authority: 20 U.S.C. 1425)

[52 FR 34369, Sept. 10, 1987]
Secs. 326.35--326.39  [Reserved]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 326.40  What is the requirement for participation of students with disabilities and their parents?

    Each grantee shall provide for the direct participation of 
handicapped students and the parents of students with disabilities in 
the planning, development, and implementation of its project.

(Authority: 20 U.S.C. 1425(d))

[49 FR 28383, July 11, 1984, as amended at 56 FR 54698, 54699, Oct. 22, 
1991]

[[Page 217]]



Sec. 326.41  What coordination requirements must a grantee meet?

    A grantee that is not an educational agency shall coordinate with 
the State educational agency of each affected State in the planning, 
development, and implementation of any activities described in 
Sec. 326.30 (a) or (b).

(Authority: 20 U.S.C. 1425(c))



Sec. 326.42  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54699, Oct. 22, 1991, as amended at 57 FR 14315, Apr. 17, 1992]
Secs. 326.43--326.49  [Reserved]



PART 327--SPECIAL STUDIES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
327.1  What is the Special Studies Program?
327.2  Who is eligible to apply for an award under this program?
327.3  What regulations apply to this program?
327.4  What definitions apply to this program?
327.5--327.9  [Reserved]

 Subpart B--What Kinds of Projects Does the Secretary Assist Under This 
                                Program?

327.10  What kinds of priorities are authorized under this part?
327.11--327.19  [Reserved]

                          Subpart C--[Reserved]

            Subpart D--How Does the Secretary Make an Award?

327.30  How does the Secretary establish priorities for an award?
327.31  What are the selection criteria for evaluating applications for 
          awards?
327.32--327.39  [Reserved]

          Subpart E--What Conditions Must Be Met by a Grantee?

327.40  What are the requirements for conducting projects?
327.41  What conditions must be met by a recipient of an award under 
          this program?
327.42--327.49  [Reserved]

    Authority: 20 U.S.C. 1418, unless otherwise noted.

    Source: 50 FR 35484, Aug. 30, 1985, unless otherwise noted.



                           Subpart A--General



Sec. 327.1  What is the Special Studies Program?

    The purpose of this program is to support the collection of data, 
studies, investigations, and evaluations to assess the impact and 
effectiveness of programs and projects assisted under the Individuals 
with Disabilities Education Act, and related activities to provide the 
Congress and others with this information.

(Authority: 20 U.S.C. 1418)

[50 FR 35484, Aug. 30, 1985, as amended at 56 FR 54699, Oct. 22, 1991]



Sec. 327.2  Who is eligible to apply for an award under this program?

    (a) The Secretary may make awards under this program to public or 
private agencies, institutions, organizations, and other appropriate 
parties for support of the kinds of projects described in 
Sec. 327.10(a), (b), (d), (f), (h), and (i).
    (b) In order to carry out the projects described in Sec. 327.10(c), 
the Secretary may enter into cooperative agreements with--
    (1) State educational agencies; and

[[Page 218]]

    (2) Other State agencies designated by the Governor in each State 
for the purpose of administering an early intervention program under 
part H of the Education of the Handicapped Act.
    (c) In order to carry out the projects described in Sec. 327.10(e), 
the Secretary may make awards to State or local educational agencies, 
institutions of higher education, public agencies, and private nonprofit 
organizations and, when necessary because of the unique nature of the 
study, private for-profit organizations.
    (d) In order to carry out the projects in Sec. 327.10(g), the 
Secretary may make awards to State or local educational agencies, 
institutions of higher education, other public agencies, and private 
nonprofit organizations.

(Authority: 20 U.S.C. 1418)

[50 FR 35484, Aug. 30, 1985, as amended at 53 FR 28351, July 27, 1988; 
56 FR 54699, Oct. 22, 1991]



Sec. 327.3  What regulations apply to this program?

    The following regulations apply to grants and cooperative agreements 
under this program:
    (a) The regulations in this part 327.
    (b) The Education Department General Administrative Regulations 
(EDGAR) in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions that Apply to Department Regulations);
    (4) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (5) Part 81 (General Education Provisions Act--Enforcement);
    (6) Part 82 (New Restrictions on Lobbying);
    (7) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (8) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1418)

[50 FR 35484, Aug. 30, 1985, as amended at 56 FR 54699, Oct. 22, 1991]



Sec. 327.4  What definitions apply to this program?

    Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    EDGAR
    Fiscal year
    Grant
    Grantee
    Local educational agency
    Project
    Secretary
    State educational agency.

(Authority: 20 U.S.C. 1418)

[50 FR 35484, Aug. 30, 1985, as amended at 56 FR 54700, Oct. 22, 1991]
Secs. 327.5--327.9  [Reserved]



 Subpart B--What Kinds of Projects Does the Secretary Assist under This 
                                Program?



Sec. 327.10  What kinds of priorities are authorized under this part?

    Priorities authorized under this part include activities to:
    (a) Collect data, and conduct studies, investigations, analyses, and 
evaluations to assess progress in the implementation of the Act, the 
impact of the Act, and the effectiveness of State and local efforts and 
efforts by the Secretary of the Interior to provide free appropriate 
public education to all children and youth with disabilities, and early 
intervention services to infants and toddlers with disabilities.
    (b) Obtain data, on at least an annual basis, about programs and 
projects assisted under the Act and under other Federal laws relating to 
the provision of services to infants, toddlers, children, and youth with 
disabilities as required under section 618(b) of the Act.
    (c) Assess the impact and effectiveness of programs, policies, and 
procedures assisted under the Act, in accordance with sections 618(d)(1) 
and (2) of

[[Page 219]]

the Act, through cooperative agreements with State agencies.
    (d) Provide technical assistance to participating State agencies in 
the implementation of the evaluation studies described under paragraph 
(c) of this section.
    (e)(1) Support studies, analyses, syntheses, and investigations for 
improving program management, administration, delivery, and 
effectiveness necessary to provide full educational opportunities and 
early interventions for all children with disabilities from birth 
through age 21. Such studies and investigations shall gather information 
necessary for program and system improvements, including--
    (i) Developing effective, appropriate criteria and procedures to 
identify, evaluate, and serve infants, toddlers, children, and youth 
with disabilities from minority backgrounds for purposes of program 
eligibility, program planning, delivery of services, program placement, 
and parental involvement;
    (ii) Planning and developing effective early intervention services, 
special education, and related services to meet the complex and changing 
needs of infants, toddlers, children, and youth with disabilities;
    (iii) Developing and implementing a comprehensive system of 
personnel development needed to provide qualified personnel in 
sufficient number to deliver special education, related services, and 
early intervention services;
    (iv) Developing the capacity to implement practices having the 
potential to integrate children with disabilities to the maximum extent 
appropriate, with children who are not disabled;
    (v) Effectively allocating and using human and fiscal resources for 
providing early intervention, special education, and related services;
    (vi) Strengthening programs and services to improve the progress of 
children and youth with disabilities while in special education, and to 
effect a successful transition when such children and youth leave 
special education;
    (vii) Achieving interagency coordination to maximize resource 
utilization and continuity in services provided to infants, toddlers, 
children, and youth with disabilities;
    (viii) Strengthening parent-school communication and coordination to 
improve the effectiveness of planning and delivery on interventions and 
instruction, thereby enhancing development and educational progress; and
    (ix) Identifying the environmental, organizational, resource, and 
other conditions necessary for effective professional practice.
    (2) The studies and investigations under paragraph (e)(1) of this 
section may be conducted through surveys, interviews, case studies, 
program implementation studies, secondary data analyses and synthesis, 
and other appropriate methodologies.
    (3) The studies and investigations under paragraph (e)(1) of this 
section shall address the information needs of State and local 
educational agencies for improving program management, administration, 
delivery, and effectiveness.
    (f)(1) Support special studies to assess progress in the 
implementation of the Act, and assess the impact and effectiveness of 
State and local efforts and efforts by the Secretary of the Interior to 
provide free appropriate public education to children and youth with 
disabilities, and early intervention services to infants and toddlers 
with disabilities. Reports from these studies must include 
recommendations for improving services to individuals.
    (2) In selecting priorities for 1991 through 1994, the Secretary may 
give first preference to--
    (i) Completing a longitudinal study of a sample of students with 
disabilities, examining--
    (A) The full range of disabling conditions;
    (B) The educational progress of students with disabilities while in 
special education; and
    (C) The occupational, educational, and independent living status of 
students with disabilities after graduating from secondary school or 
otherwise leaving special education;
    (ii) Conducting a nationally representative study focusing on the 
types, number, and intensity of related services provided to children 
with disabilities by disability category;
    (iii) Conducting a study that examines the degree of disparity among

[[Page 220]]

States with regard to the placement in various educational settings of 
children and youth with similar disabilities, especially those with 
mental retardation, and, to the extent that such disparity exists, the 
factors that lead these children and youth to be educated in 
significantly different educational settings;
    (iv) Conducting a study that examines the factors that have 
contributed to the decline in the number of children classified as 
mentally retarded since the implementation of the Act, and examines the 
current disparity among States in the percentage of children so 
classified;
    (v) Conducting a study that examines the extent to which out-of-
community residential programs are used for children and youth who are 
seriously emotionally disturbed, the factors that influence the 
selection of such placements, the degree to which such individuals 
transition back to education programs in their communities, and the 
factors that facilitate or impede such transition; and
    (vi) Conducting a study that examines the--
    (A) Factors that influence the referral and placement decisions and 
types of placements, by disability category and English language 
proficiency, of minority children relative to other children;
    (B) Extent to which these children are placed in regular education 
environments;
    (C) Extent to which the parents of these children are involved in 
placement decisions and in the development and implementation of the 
individualized education program and the results of such participation; 
and
    (D) Type of support provided to parents of these children that 
enable these parents to understand and participate in the educational 
process.
    (g)(1) Support activities that organize, synthesize, interpret, and 
integrate information obtained under paragraphs (e) and (f) of this 
section, with relevant knowledge obtained from other sources.
    (2) These activities include the selection and design of content, 
formats, and means for communicating such information effectively to 
specific or general audiences, in order to promote the use of such 
information in improving program administration and management, and 
service delivery and effectiveness.
    (h) Assist in the development of the annual report to the Congress 
required under section 618(g) of the Act.
    (i) Provide technical assistance to State agencies providing the 
data described in section 618(b) (1) and (2) of the Act to achieve 
accurate and comparable information.

(Authority: 20 U.S.C. 1418)


[56 FR 54700, Oct. 22, 1991]
Secs. 327.11--327.19  [Reserved]



                          Subpart C--[Reserved]



            Subpart D--How Does the Secretary Make an Award?



Sec. 327.30  How does the Secretary establish priorities for an award?

    Section 618(e)(1) of the Individuals with Disabilities Education Act 
requires that beginning in fiscal 1993 and every three years thereafter, 
the Secretary submit to the appropriate committee of each House of the 
Congress and publish in the Federal Register proposed priorities under 
the special studies described in Sec. 327.10(f) for review and comment.

(Authority: 20 U.S.C. 1418)

[56 FR 54701, Oct. 22, 1991, as amended at 57 FR 28966, June 29, 1992]



Sec. 327.31  What are the selection criteria for evaluating applications for awards?

    The Secretary uses the criteria in this section to evaluate 
applications for awards. The maximum score for all of the criteria is 
100 points.
    (a) Plan of operation (10 points). (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary looks for--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;

[[Page 221]]

    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities, and
    (D) The elderly.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use on the project.
    (2) The Secretary considers--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2)(i) 
and (ii) of this section will commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, Such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities, and
    (D) The elderly.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, as well as other evidence that the applicant provides.
    (c) Budget and cost effectiveness. (10 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (5 points). (1) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project.

    Cross Reference: 34 CFR 75.590, Evaluation by the grantee.

    (2) The Secretary considers the extent to which the methods of 
evaluation are appropriate for the project and, to the extent possible, 
are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (5 points). (1) The Secretary reviews 
each application to determine if the applicant plans to devote adequate 
resources to the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Importance. (10 points). (1) The Secretary reviews each 
application to determine if the proposed project addresses State and 
national concerns in light of the purposes of this part.
    (2) The Secretary considers--
    (i) The significance of the issues to be addressed for both State 
and national audiences;
    (ii) The importance of the proposed project in determining the 
impact and effectiveness of programs assisted under the Act;
    (iii) The experiences of service providers related to the problem or 
issue; and
    (iv) Previous research and evaluation findings related to the 
issues.
    (g) Usefulness. (10 points). The Secretary reviews each application 
to determine the usefulness of the proposed project findings in 
improving services to infants, toddlers, children, and youth with 
disabilities including--
    (1) The contribution that the project findings or products will make 
to current knowledge or practice;
    (2) The extent to which findings and reports will be useful in 
improving

[[Page 222]]

services for infants, toddlers, children, and youth with disabilities; 
and
    (3) The extent to which findings and reports will be useful to both 
State and national audiences in understanding the impact and 
effectiveness of programs assisted under the Individuals with 
Disabilities Education Act.
    (h) Technical soundness. (40 points). The Secretary reviews each 
application to determine the technical soundness of the research or 
evaluation plan, including, where appropriate--
    (1) The design;
    (2) The proposed sample;
    (3) Instrumentation;
    (4) Data analysis procedures; and
    (5) Procedures for the development of the project report.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1418)

[50 FR 35484, Aug. 30, 1985, as amended at 53 FR 28351, July 27, 1988; 
56 FR 54701, Oct. 22, 1991]
Secs. 327.32--327.39  [Reserved]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 327.40  What are the requirements for conducting projects?

    Each State educational agency or other State agency receiving an 
award for a State Agency/Federal Evaluation Studies project under 
Sec. 327.10(c) shall--
    (a) Contribute an amount not less than 40 percent of the total cost 
of the study, which amount may be paid from a State's allocation of 
funds for State administration of part B of the Act; and
    (b) Develop the study in consultation with the State advisory panel 
established under the Act, local educational agencies and others 
involved in, or concerned with, the education of children and youth with 
disabilities and the provision of early intervention services to infants 
and toddlers with disabilities.

(Authority: 20 U.S.C. 1418(c), (d)(2))

[50 FR 35484, Aug. 30, 1985, as amended at 53 FR 28351, July 27, 1988; 
56 FR 54701, Oct. 22, 1991]



Sec. 327.41  What conditions must be met by a recipient of an award under this program?

    Recipients of awards under Sec. 327.10(e) must prepare their 
procedures, findings, and other relevant information in a form that will 
maximize their dissemination and use, especially through dissemination 
networks and mechanisms authorized by the Act, and in a form for 
inclusion in the annual report to Congress under section 618(g) of the 
Act.

(Authority: 20 U.S.C. 1418(c))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54701, Oct. 22, 1991, as amended at 57 FR 14315, Apr. 17, 1992]
Secs. 327.42--327.49  [Reserved]



PART 328--PROGRAM FOR CHILDREN AND YOUTH WITH SERIOUS EMOTIONAL DISTURBANCE--Table of Contents




                           Subpart A--General

Sec.
328.1  What is the Program for Children and Youth with Serious Emotional 
          Disturbance?
328.2  Who is eligible for an award?
328.3  What priorities may the Secretary fund under this program?
328.4  What priorities may the Secretary establish?
328.5  What regulations apply?
328.6  What definitions apply?

                          Subpart B--[Reserved]

            Subpart C--How Does the Secretary Make an Award?

328.20  How does the Secretary evaluate an application?
328.21  What selection criteria does the Secretary use for applications 
          for research projects?
328.22  What selection criteria does the Secretary use for applications 
          for development or demonstration projects?
328.23  When does the Secretary propose new selection criteria?

         Subpart D--What Conditions Must Be Met After an Award?

328.30  What special conditions apply to projects assisted under this 
          program?

    Authority: 20 U.S.C. 1426, unless otherwise noted.


[[Page 223]]


    Source: 56 FR 56457, Nov. 4, 1991, unless otherwise noted.



                           Subpart A--General



Sec. 328.1   What is the Program for Children and Youth With Serious Emotional Disturbance?

    Under this program, the Secretary may support--
    (a) Projects, including research projects, for the purpose of 
improving special education and related services to children and youth 
with serious emotional disturbance; and
    (b) Demonstration projects to provide services for children and 
youth with serious emotional disturbance. Funds for projects under this 
paragraph may also be used--
    (1) To facilitate interagency and private sector resource pooling to 
improve services for children and youth with serious emotional 
disturbance; and
    (2) To provide information and training for those involved with, or 
who could be involved with, children and youth with serious emotional 
disturbance.

(Authority: 20 U.S.C. 1426 (a), (b))



Sec. 328.2   Who is eligible for an award?

    (a) To carry out the purpose in Sec. 328.1(a), the Secretary may 
make grants to, or enter into contracts or cooperative agreements with, 
institutions of higher education, State and local educational agencies, 
and other appropriate public and private nonprofit institutions or 
agencies.
    (b) Demonstration service projects. To carry out the purposes in 
Sec. 328.1(b), the Secretary may make grants to local educational 
agencies in collaboration with mental health entities.

(Authority: 20 U.S.C. 1426 (a), (b))



Sec. 328.3   What priorities may the Secretary fund under this program?

    (a) Under Sec. 328.2(a), the Secretary may support projects that 
include, but are not limited to--
    (1) Studies regarding the present state of special education and 
related services to children and youth with serious emotional 
disturbance and their families, including information and data to enable 
assessments of the status of those services over time;
    (2) Developing methodologies and curricula designed to improve 
special education and related services for these children and youth;
    (3) Developing and demonstrating strategies and approaches to reduce 
the use of out-of-community residential programs and to encourage the 
increased use of school district-based programs, which may include day 
treatment programs, after-school programs, and summer programs;
    (4) Developing the knowledge, skills and strategies for effective 
collaboration among special education, regular education, related 
services, and other professionals and agencies; or
    (5) Developing and demonstrating innovative approaches to assist and 
to prevent children with emotional and behavioral problems from 
developing serious emotional disturbances that require the provision of 
special education and related services.
    (b) Under Sec. 328.2(b), the Secretary may support demonstration 
projects that include, but are not limited to--
    (1) Increasing the availability, access, and quality of community 
services for children and youth with serious emotional disturbance and 
their families;
    (2) Improving working relationships among education, school, and 
community mental health and other relevant personnel, families of those 
children and youth, and their advocates;
    (3) Targeting resources to school settings, such as providing access 
to school or community mental health professionals or both and other 
community resources for students with serious emotional disturbance who 
are in community school settings; and
    (4) Taking into account the needs of minority children and youth in 
all phases of project activity.

(Authority: 20 U.S.C. 1426 (a), (b))



Sec. 328.4   What priorities may the Secretary establish?

    (a) Each year the Secretary may select as a priority one or more of 
the types of activities listed in Sec. 328.3.
    (b) The Secretary announces these priorities in a notice published 
in the Federal Register.

[[Page 224]]

    (c) In accordance with the Education Department General 
Administrative Regulations (EDGAR) at 34 CFR 75.105, the Secretary may 
also propose new priorities for assistance under this program through 
publication of a notice in the Federal Register.

(Authority: 20 U.S.C. 1426(a), and 20 U.S.C. 3474)



Sec. 328.5   What regulations apply?

    The following regulations apply to this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) in title 34 of the Code of Federal Regulations--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions that Apply to Department Regulations);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses).
    (b) The Federal Acquisition Regulation (FAR) in 48 CFR chapter 1 and 
the Education Department Acquisition Regulation (EDAR) in 48 CFR chapter 
34.
    (c) The regulations in this part 328.

(Authority: 20 U.S.C. 1426)



Sec. 328.6   What definitions apply?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Application
    EDGAR
    Grant
    Local educational agency (LEA)
    Project
    Public
    Secretary
    State
    State educational agency (SEA)

    (b) Other definitions. The following definitions also apply to this 
part:
    Act means the Individuals with Disabilities Education Act, as 
amended (20 U.S.C. 1400-1485).
    Free appropriate public education is defined in 34 CFR part 300.4.

(Authority: 20 U.S.C. 1426)



                          Subpart B--[Reserved]



            Subpart C--How Does the Secretary Make an Award?



Sec. 328.20   How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Secs. 328.21, 328.22, and 328.23.
    (b) The Secretary awards up to 100 points under these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1426)



Sec. 328.21  What selection criteria does the Secretary use for applications for research projects?

    The Secretary uses the following criteria to evaluate an application 
for a research project:
    (a) Plan of operation. (10 points) (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary looks for--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color,

[[Page 225]]

national origin, gender, age, or disabling condition.
    (3) The Secretary reviews each application to determine the quality 
of the evaluation plans for the project, and considers the extent to 
which the methods of evaluation are appropriate for the project and, to 
the extent possible, are objective and produce data that are 
quantifiable.

    Cross Reference: 34 CFR 75.590, Evaluation by the grantee.

    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
that the applicant plans to use on the project.
    (2) The Secretary considers--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training in fields related to the objectives of the 
project and other evidence that the applicant provides.
    (c) Budget and cost effectiveness. (5 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine if the applicant plans to devote adequate 
resources to the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (e) Importance. (15 points) The Secretary reviews each application 
to determine the importance of the project in lending to the 
understanding of, remediation of, or compensation for, the problem or 
issue that relates to the early intervention with or special education 
of infants, toddlers, children, and youth with disabilities.
    (f) Impact. (15 points) The Secretary reviews each application to 
determine the probable impact of the proposed research products on 
infants, toddlers, children, and youth with disabilities, or personnel 
responsible for their education.
    (g) Organizational capability. (5 points) The Secretary considers--
    (1) The applicant's experience in special education; and
    (2) The ability of the applicant to disseminate the findings of the 
project to appropriate groups to ensure that the findings can be used 
effectively.
    (h) Technical soundness. (35 points) The Secretary reviews each 
application to determine the technical soundness of the research or 
evaluation plan, including--
    (1) The design;
    (2) The proposed sample;
    (3) The instrumentation; and
    (4) The data analysis procedures.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1426)



Sec. 328.22  What selection criteria does the Secretary use for applications for development or demonstration projects?

    The Secretary uses the following criteria to evaluate an application 
for a development or demonstration project:
    (a) Plan of operation. (10 points) (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary looks for--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;

[[Page 226]]

    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disabling condition.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use on the project.
    (2) The Secretary considers--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training in fields related to the objectives of the 
project and other evidence that the applicant provides.
    (c) Budget and cost effectiveness. (5 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (10 points) (1) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project.

    Cross Reference: 34 CFR 75.590, Evaluation by the grantee.

    (2) The Secretary considers the extent to which the methods of 
evaluation are appropriate for the project and, to the extent possible, 
are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine if the applicant plans to devote adequate 
resources to the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Importance. (10 points) The Secretary reviews each application 
to determine--
    (1) The extent to which the service delivery problem addressed by 
the proposed project is of concern to others in the Nation; and
    (2) The importance of the project in addressing the problem or 
issue.
    (g) Innovativeness. (15 points) (1) The Secretary reviews each 
application to determine the innovativeness of the proposed project.
    (2) The Secretary looks for a conceptual framework that--
    (i) Is founded on previous theory and research; and
    (ii) Provides a basis for the unique strategies and approaches to be 
incorporated into the model.
    (h) Organizational capability. (10 points) The Secretary considers--
    (1) The applicant's experience in special education or early 
intervention services; and
    (2) The applicant's ability to disseminate findings of the project 
to appropriate groups to ensure that they can be used effectively.
    (i) Technical soundness. (25 points) The Secretary reviews each 
application to determine the technical soundness of the plan for the 
development, implementation, and evaluation of the model with respect to 
such matters as--
    (1) The population to be served;
    (2) The model planning process;
    (3) Recordkeeping systems;
    (4) Coordination with other service providers;
    (5) The identification and assessment of students;
    (6) Interventions to be used, including proposed curricula;

[[Page 227]]

    (7) Individualized educational program planning; and
    (8) Parent and family participation.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1426)



Sec. 328.23  When does the Secretary propose new selection criteria?

    (a) The Secretary may propose new selection criteria for 
applications for projects when the applications cannot be appropriately 
evaluated using the selection criteria in either Sec. 328.21 or 
Sec. 328.22.
    (b) The Secretary announces the new selection criteria in a notice 
published in the Federal Register.

(Authority: 20 U.S.C. 1426)



         Subpart D--What Conditions Must be Met After an Award?



Sec. 328.30  What special conditions apply to projects assisted under this program?

    (a) Each project assisted under this program must--
    (1) Apply existing research outcomes from multi-disciplinary fields; 
and
    (2) In complying with 34 CFR 75.590 (Evaluation by the grantee), use 
a grant evaluation plan that is outcome-oriented and that focuses on the 
benefits to individual children and youth.
    (b) A grantee, if appropriate, must prepare reports describing 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of these procedures, findings, and 
information.
    (c) The Secretary requires delivery of those reports, as 
appropriate, to--
    (1) The regional and Federal Resource Centers, the Clearinghouses, 
and the Technical Assistance to Parents Programs (TAPP) assisted under 
parts C and D of the Act;
    (2) The National Diffusion Network;
    (3) The ERIC Clearinghouse on the Handicapped and Gifted;
    (4) The Child and Adolescent Service Systems Program (CASSP) under 
the National Institute of Mental Health;
    (5) Appropriate parent and professional organizations;
    (6) Organizations representing individuals with disabilities; and
    (7) Such other networks as the Secretary may determine to be 
appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1426(c))



PART 330--CAPTIONED FILMS INCLUDING VIDEOS LOAN SERVICE PROGRAM FOR DEAF AND HARD OF HEARING INDIVIDUALS--Table of Contents




                           Subpart A--General

Sec.
330.1  Captioned Films Including Videos Loan Service Program.
330.2  Who is eligible to apply under the Captioned Films Including 
          Videos Loan Service Program?
330.3  [Reserved]
330.4  What definitions apply to the captioned films loan service for 
          the deaf program?

                        Subparts B--D [Reserved]

          Subpart E--What Conditions Must Be Met by a Borrower?

330.50  What are the limitations on use of the loan service?

    Authority: 20 U.S.C. 1451, 1452, unless otherwise noted.

    Source: 45 FR 52130, Aug. 5, 1980, unless otherwise noted. 
Redesignated at 45 FR 77368, Nov. 21, 1980.



                           Subpart A--General



Sec. 330.1  Captioned Films Including Videos Loan Service Program.

    The Captioned Films Including Videos Loan Service Program promotes 
the general welfare for deaf and hard of hearing individuals by--
    (a) Bringing to deaf and hard of hearing individuals understanding 
and appreciation of those films that play an important part in the 
general and cultural advancement of hearing individuals;
    (b) Providing enriched educational and cultural experiences through 
which deaf and hard of hearing individuals can be brought into better 
touch with the realities of their environment;
    (c) Providing a wholesome and rewarding experience that deaf and 
hard

[[Page 228]]

of hearing individuals may share together; and
    (d) Addressing the problems of illiteracy among deaf and hard of 
hearing individuals.

(Authority: 20 U.S.C. 1451, 1452)

[56 FR 54701, Oct. 22, 1991]



Sec. 330.2  Who is eligible to apply under the Captioned Films Including Videos Loan Service Program?

    The following are eligible to apply to borrow captioned films and 
videos:
    (a) Deaf and hard of hearing individuals.
    (b) Parents of deaf and hard of hearing individuals.
    (c) Other individuals directly involved in activities promoting the 
advancement of deaf and hard of hearing individuals in the United 
States.

(Authority: 20 U.S.C. 1452(a))

[56 FR 54701, Oct. 22, 1991]
Sec. 330.3  [Reserved]



Sec. 330.4  What definitions apply to the captioned films loan service for the deaf program?

    (a) [Reserved]
    (b) The following definitions apply to terms used in this part:
    Act means Individuals With Disabilities Education Act.
    Borrower means a user of loan service media.
    Deaf person means a person whose hearing is so severely impaired as 
not to be correctable to a functional level for the ordinary activities 
of living.
    Educational media means those media used for educational purposes.
    Films means motion pictures and other materials similar in display 
and function, such as video tapes and video discs.
    Media means films, filmstrips, photographs and slides, 
transparencies, television, audio and video tapes, audio and video 
discs, and similar materials. Printed materials may also be included if 
in combination with one or more of the preceding.
    Nonprofit purposes means that the exhibition of media may not result 
in monetary gain or other tangible economic benefit to the borrower.
    Theatrical films means films produced for showing in a commercial 
setting as entertainment and not those primarily developed for use in a 
formal program of instruction.

(Authority: 20 U.S.C. 1451, 1452)

[45 FR 52130, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 53 FR 41085, Oct. 19, 1988; 56 FR 54701, Oct. 22, 1991]



                        Subparts B--D [Reserved]



          Subpart E--What Conditions Must Be Met by a Borrower?



Sec. 330.50  What are the limitations on use of the loan service?

    (a) A borrower shall use the captioned films for nonprofit purposes 
only. Moreover, the sum of any fees collected by the borrower for use of 
the films may not exceed the reasonable expense incurred by the borrower 
in showing the films to eligible viewers.
    (b) In accordance with agreements with producers and distributors, a 
borrower shall show theatrical films to deaf and hard of hearing 
individuals only. However, this does not exclude the attendance of 
teachers of deaf and hard of hearing individuals, interpreters, parents, 
and occasional guests as long as the audience is composed predominantly 
of deaf and hard of hearing individuals.

(Authority: 20 U.S.C. 1452(a), (b)(1))

[45 FR 52130, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 53 FR 41085, Oct. 19, 1988; 56 FR 54701, Oct. 22, 1991]



PART 331--EDUCATIONAL MEDIA AND DESCRIPTIVE VIDEOS LOAN SERVICE PROGRAM FOR INDIVIDUALS WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
331.1  Educational Media and Descriptive Videos Loan Service Program.
331.2  Who is eligible to apply under the Educational Media and 
          Descriptive Videos Loan Service Program?
331.3  [Reserved]
331.4  What definitions apply to the Educational Media and Descriptive 
          Videos Loan Service Program?

[[Page 229]]

                        Subparts B--D [Reserved]

          Subpart E--What Conditions Must Be Met by a Borrower?

331.50  What are the limitations on the use of the loan service?

    Authority: 20 U.S.C. 1452, unless otherwise noted.

    Source: 45 FR 52131, Aug. 5, 1980, unless otherwise noted. 
Redesignated at 45 FR 77368, Nov. 21, 1980.



                           Subpart A--General



Sec. 331.1  Educational Media and Descriptive Videos Loan Service Program.

    The Educational Media and Descriptive Video Loan Service Program--
    (a) Makes educational media and descriptive videos available in the 
United States for nonprofit purposes to individuals with disabilities, 
parents of individuals with disabilities, and other individuals directly 
involved in activities for the advancement of individuals with 
disabilities; and utilizes educational media to help eliminate 
illiteracy among individuals with disabilities; and
    (b) Promotes the general welfare of visually impaired individuals 
by--
    (1) Bringing to these individuals an understanding and appreciation 
of textbooks, films, television programs, video material, and other 
educational publications and materials that play such an important part 
in the general and cultural advancement of visually unimpaired 
individuals; and
    (2) Ensuring access to television programming and other video 
materials.

(Authority: 20 U.S.C. 1452(a))

[56 FR 54702, Oct. 22, 1991]



Sec. 331.2  Who is eligible to apply under the Educational Media and Descriptive Videos Loan Service Program?

    The following are eligible to apply to borrow educational media and 
descriptive videos:
    (a) Individuals with disabilities.
    (b) Parents of individuals with disabilities.
    (c) Other persons directly involved in activities for the 
advancement of individuals with disabilities in the United States.

(Authority: 20 U.S.C. 1452(a))

[56 FR 54702, Oct. 22, 1991]
Sec. 331.3  [Reserved]



Sec. 331.4  What definitions apply to the Educational Media and Descriptive Videos Loan Service Program?

    (a) [Reserved]
    (b) The following definitions apply to the terms used in this part:
    Act means Individuals with Disabilities Education Act.
    Borrower means a user of loan service media.
    Educational media means those media used for educational purposes.
    Films means motion pictures and other materials similar in display 
and function, such as video tapes and video discs.
    Media means films, filmstrips, photographs and slides, 
transparencies, television, audio and video tapes, audio and video 
discs, and similar materials. Printed materials may also be included if 
in combination with one or more of the preceding.
    Nonprofit purposes means that the exhibition of media may not result 
in monetary gain or other tangible economic benefit to the borrower.

(Authority: 20 U.S.C. 1451, 1452)

[54 FR 52131, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 53 FR 41085, Oct. 19, 1988; 56 FR 54702, Oct. 22, 1991]



                        Subparts B--D [Reserved]



          Subpart E--What Conditions Must Be Met by a Borrower?



Sec. 331.50  What are the limitations on the use of the loan service?

    A borrower shall use the educational media for nonprofit purposes 
only. Moreover, the sum of any fees collected by the borrower for the 
use of the educational media may not exceed the reasonable expenses 
incurred by the borrower in exhibiting the media to eligible parties.

(Authority: 20 U.S.C. 1452(a))

[53 FR 41085, Oct. 19, 1988]

[[Page 230]]



PART 332--EDUCATIONAL MEDIA RESEARCH, PRODUCTION, DISTRIBUTION, AND TRAINING--Table of Contents




                           Subpart A--General

Sec.
332.1  Educational Media Research, Production, Distribution, and 
          Training Program.
332.2  Who is eligible to apply under the educational media research, 
          production, distribution, and training program?
332.3  What regulations apply to this program?
332.4  What definitions apply to the educational media research, 
          production, distribution, and training program?

   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?

332.10  Projects funded under the educational media research, 
          production, distribution, and training program.

                          Subpart C--[Reserved]

                     Subpart D--How Are Grants Made?

332.30  How does the Secretary establish priorities annually?
332.31  How does the Secretary evaluate an application?
332.32  What selection criteria does the Secretary use?

          Subpart E--What Conditions Must Be Met by a Grantee?

332.40  Final products.
332.41  What other conditions must be met by grantees under this 
          program?

    Authority: 20 U.S.C. 1451-1452, unless otherwise noted.

    Source: 45 FR 52132, Aug. 5, 1980, unless otherwise noted. 
Redesignated at 45 FR 77368, Nov. 21, 1980.



                           Subpart A--General



Sec. 332.1  Educational Media Research, Production, Distribution, and Training Program.

    The purposes of this program are to promote:
    (a) The general welfare of deaf and hard of hearing individuals by--
    (1) Bringing to such individuals understanding and appreciation of 
those films and television programs that play such an important part in 
the general and cultural advancement of hearing individuals;
    (2) Providing through these films and television programs enriched 
educational and cultural experiences through which deaf and hard of 
hearing individuals can be brought into better touch with the realities 
of their environment;
    (3) Providing a wholesome and rewarding experience that deaf and 
hard of hearing individuals may share together; and
    (b) The educational advancement of individuals with disabilities 
by--
    (1) Carrying on research in the use of educational media for 
individuals with disabilities;
    (2) Producing and distributing educational media for the use of 
individuals with disabilities, their parents, their actual or potential 
employers, and other individuals directly involved in work for the 
advancement of individuals with disabilities;
    (3) Training individuals in the use of educational media for the 
instruction of individuals with disabilities; and
    (4) Utilizing educational media to help eliminate illiteracy among 
individuals with disabilities; and
    (c) The general welfare of visually impaired individuals by--
    (1) Bringing to such individuals an understanding and appreciation 
of textbooks, films, television programs, video material, and other 
educational publications and materials that play such an important part 
in the general and cultural advancement of visually unimpaired 
individuals; and
    (2) Ensuring access to television programming and other video 
materials.

(Authority: 20 U.S.C. 1451)

[56 FR 54702, Oct. 22, 1991]



Sec. 332.2  Who is eligible to apply under the educational media research, production, distribution, and training program?

    Parties eligible for grants under this subpart are profit and 
nonprofit public and private agencies, organizations, and institutions 
except only the National Theatre of the Deaf, Inc. and other appropriate 
non-profit organizations are eligible for a grant, contract,

[[Page 231]]

or cooperative agreement under Sec. 332.10(f).

(Authority: 20 U.S.C. 1451, 1452)

[45 FR 52132, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 56 FR 54702, Oct. 22, 1991]



Sec. 332.3  What regulations apply to this program?

    (a) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions That Apply to Department Regulations);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for a Drug-Free 
Workplace (Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 332.

(Authority: 20 U.S.C. 1221e-3(a)(1))

[56 FR 54702, Oct. 22, 1991]



Sec. 332.4  What definitions apply to the educational media research, production, distribution, and training program?

    (a) Definitions in EDGAR. The following terms used in these 
regulations are defined in 34 CFR part 77:

    Applicant
    Application
    Award
    Secretary
    Nonprofit
    Public

    (b) Specific program definitions:
    Act means the Individuals with Disabilities Education Act (title VI 
of Pub. L. 91-230 as amended).
    Distribution means giving physical access to media and related 
materials and attendant equipment.
    Educational media means those media used for educational purposes.
    Films means motion pictures and other materials similar in display 
and function, such as video tapes and video discs.
    Media means films, filmstrips, photographs and slides, 
transparencies, television, audio and video tapes, audio and video 
discs, and similar materials. Printed materials may also be included if 
in combination with one or more of the preceding.
    Media technology means the methods and processes through which media 
are provided and encompasses demonstration of the use of modern 
communication technology in improving the general welfare of handicapped 
persons.
    Nonprofit purposes means that the exhibition of media may not result 
in monetary gain or other tangible economic benefit to the borrower.
    Production means creating or changing media materials.
    Training means activities designed to develop facility in the use of 
media materials and technology and in dissemination and marketing 
practices.

(Authority: 20 U.S.C. 1451, 1452)

[45 FR 52132, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 56 FR 54702, Oct. 22, 1991]



   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?



Sec. 332.10  Projects funded under the educational media research, production, distribution, and training program.

    Projects that may be supported include, but are not limited to the 
following:
    (a) Research in the use of educational and training films and other 
educational media for individuals with disabilities. This may include 
research to--

[[Page 232]]

    (1) Identify the full range of special needs of individuals with 
disabilities related to educational media and media technology;
    (2) Determine the need for--
    (i) Educational media training;
    (ii) Media information systems; and
    (iii) Media delivery systems;
    (3) Determine the extent to which the needs listed in paragraph 
(a)(2) of this section are being met; and
    (4) Develop or demonstrate new or improved techniques that would 
contribute to the advancement and education of individuals with 
disabilities through the use of educational media or technology or both.
    (b) Creation or adaptation of educational media for use by 
individuals with disabilities, their parents, their actual or potential 
employers, and other persons directly involved in activities for the 
advancement of individuals with disabilities.
    (c) Distribution of educational media. This may include the 
development of delivery systems.
    (d) Dissemination of information about practices found effective in 
regard to the effective use of educational media and technology.
    (e) Training of persons in the use and dissemination of educational 
media for the advancement of individuals with disabilities.
    (f) Provision of cultural experiences to enrich the lives of deaf 
and hard of hearing children and adults, increase public awareness and 
understanding of deafness and of the artistic and intellectual 
achievements of deaf and hard of hearing individuals, and promote the 
integration of hearing and deaf and hard of hearing individuals through 
shared cultural, educational, and social experiences.
    (g) Captioning for deaf and hard of hearing individuals and video 
describing for the visually impaired of films, television programs, and 
video materials.
    (h) Provision of current, free textbooks and other educational 
publications and materials to blind and other print-handicapped students 
in elementary, secondary, postsecondary, and graduate schools and other 
institutions of higher education through the medium of transcribed tapes 
and cassettes. The term print-handicapped refers to any individual who 
is blind as severely visually impaired, or who, by reason of a physical 
or perceptual disability, is unable to read printed material unassisted.
    (i) Distribution of captioned and video-described films, video 
materials, and other educational media and equipment through State 
schools for individuals with disabilities, public libraries, and such 
other agencies or entities as the Secretary deems appropriate to serve 
as local or regional centers for such distribution.

(Authority: 20 U.S.C. 1452)

[45 FR 52132, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 56 FR 54702, Oct. 22, 1991]



                          Subpart C--[Reserved]



                     Subpart D--How Are Grants Made?



Sec. 332.30  How does the Secretary establish priorities annually?

    (a) The Secretary may select a priority for funding from among those 
activities listed in Sec. 332.10 by publishing a notice in the Federal 
Register.
    (b) The Secretary may identify a particular disability or 
disabilities as a priority for assistance under this program through 
publication of a notice in the Federal Register.

(Authority: 20 U.S.C. 1451, 1452)

[45 FR 52132, Aug. 5, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, 
as amended at 56 FR 54703, Oct. 22, 1991]



Sec. 332.31  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Sec. 332.32. The extent to which an applicant addresses a 
priority is considered under the need criterion of Sec. 332.32(f).
    (b) The Secretary awards up to 100 possible points for these 
criteria.
    (c) The maximum possible score for each complete criterion is 
indicated in parentheses.

(Authority: 20 U.S.C. 1451)

[[Page 233]]



Sec. 332.32  What selection criteria does the Secretary use?

    (a) Plan of operation. (25 points) (1) The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project.
    (2) The Secretary looks for information that shows--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that insures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective;
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally under represented, such as--
    (A) Individuals with disabilities;
    (B) Members of racial or ethnic minority groups;
    (C) Women; and
    (D) The elderly.
    (b) Quality of key personnel. (20 points) (1) The Secretary reviews 
each application for information that shows the quality of the key 
personnel the applicant plans to use on the project.
    (2) The Secretary looks for information that shows--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section plans to commit to the project; and
    (iv) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally under represented, such as--
    (A) Individuals with disabilities;
    (B) Members of racial or ethnic minority groups;
    (C) Women; and
    (D) The elderly.
    (3) To determine the qualifications of a person, the Secretary 
considers evidence of past experience and training, in fields related to 
the objectives of the project, as well as other information that the 
applicant provides.
    (c) Budget and cost effectiveness. (15 points) (1) The Secretary 
reviews each application for information that shows that the project has 
an adequate budget and is cost effective.
    (2) The Secretary looks for information that shows--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (5 points) (1) The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project. (See 34 CFR 75.590--Evaluation by the grantee.)
    (2) The Secretary looks for information that shows methods of 
evaluation that are appropriate for the project and, to the extent 
possible, are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (10 points) (1) The Secretary reviews 
each application for information that shows that the applicant plans to 
devote adequate resources for the project.
    (2) The Secretary looks for information that shows--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Need. (20 points) (1) The Secretary reviews each application for 
information that shows the need for the project.
    (2) The Secretary looks for information that shows--
    (i) The need for the proposed activity with respect to the 
disability served or to be served by the applicant;
    (ii) The potential for using the results in other projects or 
programs.
    (g) Marketing and dissemination. (5 points) (1) The Secretary 
reviews each application for information that shows adequate provisions 
for marketing or disseminating results.

[[Page 234]]

    (2) The Secretary looks for information that shows--
    (i) The provisions for marketing or otherwise disseminating the 
results of the project; and
    (ii) Provisions for making materials and techniques available to the 
populations for whom the project would be useful.

(Authority: 20 U.S.C. 1451, 1452)

(Approved by the Office of Management and Budget under control number 
1820-0028)

[46 FR 3206, Jan. 14, 1981, as amended at 56 FR 54703, Oct. 22, 1991; 57 
FR 14315, Apr. 17, 1992]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 332.40  Final products.

    The Secretary may require any grantee engaged in the actual 
development of materials to submit up to one original and two copies of 
those materials.



Sec. 332.41  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54703, Oct. 22, 1991, as amended at 57 FR 14315, Apr. 17, 1992]



PART 333--TECHNOLOGY, EDUCATIONAL MEDIA, AND MATERIALS FOR INDIVIDUALS WITH DISABILITIES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
333.1  What is the Technology, Educational Media, and Materials for 
          Individuals with Disabilities Program?
333.2  Who is eligible for an award?
333.3  What priorities does the Secretary consider for support under 
          this part?
333.4  How does the Secretary select and announce funding priorities 
          under this program?
333.5  What regulations apply to this program?
333.6  What definitions apply to this program?
333.7--333.9  [Reserved]

                          Subpart B--[Reserved]

            Subpart C--How Does the Secretary Make an Award?

333.20  How does the Secretary evaluate an application?
333.21  What selection criteria does the Secretary use to evaluate 
          applications for research or evaluation activities?
333.22  What selection criteria does the Secretary use to evaluate 
          applications for development or demonstration activities?
333.23--333.29  [Reserved]

         Subpart D--What Conditions Must be Met After an Award?

333.30  What materials must be submitted by the grantee?
333.31  What other conditions must be met by grantees under this 
          program?
333.32--333.39  [Reserved]

    Authority: 20 U.S.C. 1461-1462, unless otherwise noted.

    Source: 53 FR 6952, Mar. 3, 1988, unless otherwise noted.



                           Subpart A--General



Sec. 333.1  What is the Technology, Educational Media, and Materials for Individuals with Disabilities Program?

    The purpose of this program is to support projects and centers for 
advancing the availability, quality, use, and effectiveness of 
technology, and educational media and materials in the

[[Page 235]]

education of children and youth with disabilities, and the provision of 
related services and early intervention services to infants and toddlers 
with disabilities.

(Authority: 20 U.S.C. 1461)


[56 FR 54703, Oct. 22, 1991]



Sec. 333.2  Who is eligible for an award?

    (a) The Secretary may award grants or contracts, or enter into 
cooperative agreements with, institutions of higher education, State and 
local educational agencies, public agencies, and private nonprofit or 
for-profit organizations.
    (b) The Secretary does not award a grant, contract, or cooperative 
agreement for the activities described in Sec. 333.3 (a) through (f) 
unless the applicant for such assistance agrees that activities carried 
out with the assistance will be coordinated, as appropriate, with the 
State entity receiving funds under the Technology-Related Assistance for 
Individuals with Disabilities Act of 1988 (title 1 of Public Law 100-
407).

(Authority: 20 U.S.C. 1461)

[53 FR 6952, Mar. 3, 1988, as amended at 56 FR 54703, Oct. 22, 1991]



Sec. 333.3  What priorities does the Secretary consider for support under this part?

    The Secretary may fund activities that carry out the purpose of the 
program. These activities may include, but are not limited to, the 
following:
    (a) Conducting research or evaluation on the need, use, design 
features, implementation, and effectiveness of technology, assistive 
technology, educational media, and materials.
    (b) Demonstrating the effectiveness and the efficient implementation 
and use of technology, assistive technology, educational media, and 
materials.
    (c) Designing and developing new technology, assistive technology, 
educational media, and materials.
    (d) Adapting, modifying, and evaluating existing technology, 
assistive technology, educational media, and materials.
    (e) Assisting the public and private sectors by providing advice and 
information to promote the development, use, distribution, and marketing 
of technology, assistive technology, educational media, and materials.
    (f) Disseminating information through such means as publications, 
telecommunications, conferences, or presentations on the availability, 
quality, use, and effectiveness of technology, assistive technology, 
educational media, and materials.
    (g) Increasing access to and use of assistive technology devices and 
assistive technology services in the education of infants, toddlers, 
children, and youth with disabilities, and other activities authorized 
under the Technology-Related Assistance for Individuals with 
Disabilities Act of 1988 as such Act relates to the education of 
students with disabilities.
    (h) Examining how these purposes can address the problem of 
illiteracy among individuals with disabilities.

(Authority: 20 U.S.C. 1461)


[53 FR 6952, Mar. 3, 1988, as amended at 56 FR 54703, Oct. 22, 1991]



Sec. 333.4  How does the Secretary select and announce funding priorities under this program?

    (a) Each year the Secretary may select as a priority one or more of 
the types of activities listed in Sec. 333.3.
    (b) The Secretary announces these priorities in a notice published 
in the Federal Register.

(Authority: 20 U.S.C. 1461)

[53 FR 6952, Mar. 3, 1988, as amended at 56 FR 54703, Oct. 22, 1991]



Sec. 333.5  What regulations apply to this program?

    (a) The following regulations apply to grants and cooperative 
agreements under this program:
    (1) The Education Department General Administrative Regulations 
(EDGAR) in the following parts of title 34 of the Code of Federal 
Regulations--
    (i) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations);
    (ii) Part 75 (Direct Grant Programs);
    (iii) Part 77 (Definitions that Apply to Department Regulations);

[[Page 236]]

    (iv) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (v) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (vi) Part 81 (General Education Provisions Act--Enforcement);
    (vii) Part 82 (New Restrictions on Lobbying);
    (viii) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (ix) Part 86 (Drug-Free Schools and Campuses)
    (2) The regulations in this part 333.
    (b) Any contracts awarded under this program are subject to the 
Federal Acquisition Regulation (FAR) in 48 CFR chapter 1 and the 
Department of Education Acquisition Regulation (EDAR) in 48 CFR chapter 
34.

(Authority: 20 U.S.C. 1461)

[53 FR 6952, Mar. 3, 1988, as amended at 56 FR 54703, Oct. 22, 1991]



Sec. 333.6  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    EDGAR
    Fiscal year
    Grant
    Grantee
    Local educational agency
    Nonprofit
    Private
    Project
    Project period
    Public
    Secretary
    State educational agency

(Authority: 20 U.S.C. 1461)
    (b) Definitions in 34 CFR part 300. The following terms used in this 
part are defined in 34 CFR 300.5, 300.13, and 300.14:

    Children with disabilities
    Related services
    Special education

(Authority: 20 U.S.C. 1401(a)(1), (16), (17), 1461)

    (c) Definitions in 34 CFR part 303. The following terms used in this 
part are defined in 34 CFR 303.10 and 303.13:

    Early intervention services
    Infants and toddlers with disabilities

(Authority: 20 U.S.C. 1472(1))

[53 FR 6952, Mar. 3, 1988, as amended at 56 FR 54703, Oct. 22, 1991]
Secs. 333.7--333.9  [Reserved]



                          Subpart B--[Reserved]



            Subpart C--How Does the Secretary Make an Award?



Sec. 333.20  How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Sec. 333.21 or Sec. 333.22, as applicable.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 20 U.S.C. 1461)



Sec. 333.21  What selection criteria does the Secretary use to evaluate applications for research or evaluation activities?

    The Secretary uses the following criteria to evaluate applications 
for research and evaluation projects:
    (a) Importance. (15 points) The Secretary reviews each application 
to determine the extent to which the proposed project addresses national 
concerns in light of the purposes of this part, and considers the 
significance of the problem or issue to be addressed.
    (b) Technical soundness. (30 points) (1) The Secretary reviews each 
application to determine if the approach is technically and 
programmatically sound.
    (2) The Secretary looks for--
    (i) High quality in the design of the project;
    (ii) Technical soundness of the research or evaluation plan, 
including if appropriate--
    (A) The design;
    (B) The proposed sample;
    (C) The instrumentation; and
    (D) The data analysis.
    (c) Plan of operation. (15 points) (1) The Secretary reviews each 
application

[[Page 237]]

to determine the quality of the plan of operation for the project.
    (2) The Secretary looks for--
    (i) An effective plan of management that ensures proper and 
efficient administration of the project;
    (ii) A clear description of how the objectives of the project relate 
to the purpose of the program;
    (iii) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (iv) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, or gender.
    (d) Quality of key personnel. (15 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use on the project.
    (2) The Secretary considers--
    (i) The qualifications of the project director;
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (d)(2) (i) 
and (ii) of this section plans to commit to the project; and
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training in fields related to the objectives of the 
project, and any other qualifications that pertain to the quality of the 
project.
    (e) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine that the applicant plans to devote adequate 
resources for the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate;
    (ii) The equipment and supplies that the applicant plans to use are 
adequate; and
    (iii) The applicant demonstrates necessary access to target 
population necessary to conduct the research or evaluation.
    (f) Impact. (5 points) The Secretary reviews each application to 
determine--
    (1) The probable impact of the proposed project in educating or 
providing early intervention services to infants, toddlers, children, 
and youth with disabilities; and
    (2) The contribution that the project findings or products will make 
to current knowledge or practice.
    (g) Dissemination. (5 points) The Secretary reviews each application 
to determine the extent to which the findings and products will be 
disseminated to, and used for the benefit of appropriate target groups.
    (h) Budget and cost-effectiveness. (10 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1461)

[53 FR 6952, Mar. 3, 1988, as amended at 55 FR 24892, June 19, 1990; 56 
FR 54704, Oct. 22, 1991]



Sec. 333.22  What selection criteria does the Secretary use to evaluate applications for development or demonstration activities?

    The Secretary uses the following criteria to evaluate applications 
for development and demonstration projects:
    (a) Importance. (20 points) (1) The Secretary reviews each 
application to determine the extent to which the proposed project 
addresses national concerns in light of the purposes of this part.
    (2) The Secretary considers--
    (i) The significance of the problem or issue to be addressed;
    (ii) The potential impact of the proposed project for providing 
innovative advancements to the problem or issues; and
    (iii) Previous research findings related to the problem or issue.

[[Page 238]]

    (b) Technical soundness. (30 points) (1) The Secretary reviews each 
application to determine the quality and technical soundness of the plan 
of operation for the project.
    (2) The Secretary looks for--
    (i) High quality in the conceptual design of the project;
    (ii) A clear specification of the procedures to be followed in 
carrying out the project; and
    (iii) The extent to which the methods of evaluation are appropriate 
for the project and, to the extent possible, are objective and produce 
data that can be quantified.
    (c) Plan of operation. (15 points) (1) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project.
    (2) The Secretary looks for--
    (i) An effective plan of management that insures proper and 
efficient administration of the project;
    (ii) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (iii) How the applicant will ensure that project participants who 
are otherwise eligible to participate are selected without regard to 
race, color, national origin, gender, age, or disabling condition.
    (d) Evaluation plan. (5 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for assuring 
adequate performance measurement of project progress.

    Cross Reference: 34 CFR 75.590, Evaluation by the grantee.

    (e) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use on the project.
    (2) The Secretary considers--
    (i) The qualifications of the project director;
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (e)(2) (i) 
and (ii) of this section will commit to the project; and
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disabling condition.
    (3) To determine personnel qualifications, the Secretary considers 
experience and training, in fields related to the objectives of the 
project, and any other qualifications that pertain to the quality of the 
project.
    (f) Adequacy of resources. (5 points) (1) The Secretary reviews each 
application to determine that the applicant plans to devote adequate 
resources to the project.
    (2) The Secretary considers the extent to which--
    (i) The facilities that the applicant plans to use are adequate;
    (ii) The equipment and supplies that the applicant plans to use are 
adequate; and
    (iii) The applicant demonstrates access to subjects necessary to 
conduct the proposed project.
    (g) Marketing and dissemination. (10 points) (1) The Secretary 
reviews each application to determine if there are adequate provisions 
for marketing or disseminating results.
    (2) The Secretary considers--
    (i) The provisions for marketing, replicating, or otherwise 
disseminating the results of the project; and
    (ii) Provisions for making materials and techniques available to the 
populations for whom the project would be useful.
    (h) Budget and cost-effectiveness. (5 points) (1) The Secretary 
reviews each application to determine if the project has an adequate 
budget and is cost effective.
    (2) The Secretary considers the extent to which--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1461)

[53 FR 6952, Mar. 3, 1988, as amended at 55 FR 24892, June 19, 1990; 56 
FR 54704, Oct. 22, 1991]

[[Page 239]]

Secs. 333.23--333.29  [Reserved]



         Subpart D--What Conditions Must Be Met After an Award?



Sec. 333.30  What materials must be submitted by the grantee?

    The Secretary may require any grantee engaged in the development of 
materials to submit a copy of those materials.

(Authority: 20 U.S.C. 1461)



Sec. 333.31  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54704, Oct. 22, 1991, as amended at 57 FR 14315, Apr. 17, 1992]
Secs. 333.32--333.39  [Reserved]



PART 338--POSTSECONDARY EDUCATION PROGRAMS FOR INDIVIDUALS WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
338.1  What are the Postsecondary Education Programs for Individuals 
          with Disabilities?
338.2  Who is eligible to apply for an award under these programs?
338.3  What regulations apply to these programs?
338.4  What definitions apply to these programs?
338.5--338.9  [Reserved]

Subpart B--What Kinds of Projects Does the Secretary Assist Under These 
                                Programs?

338.10  What kinds of activities may be supported under this part?
338.11--338.19  [Reserved]

           Subpart C--How Does an Applicant Apply for a Grant?

338.20  What are the application requirements under this part?
338.21--338.29  [Reserved]

             Subpart D--How Does the Secretary Make a Grant?

338.30  What are the priorities considered for support by the Secretary 
          under this part?
338.31  What are the selection criteria used to make awards?
338.32  Are awards for regional centers and model projects 
          geographically dispersed?
338.33--338.39  [Reserved]

             Subpart E--What Conditions Must a Grantee Meet?

338.40  What coordination and dissemination requirements must be met by 
          a grantee?
338.41  What other conditions must be met by grantees under this 
          program?
338.42--338.49  [Reserved]

    Authority: 20 U.S.C. 1424a, unless otherwise noted.

    Source: 49 FR 25991, June 25, 1984, unless otherwise noted.



                           Subpart A--General



Sec. 338.1  What are the Postsecondary Education Programs for Individuals with Disabilities?

    The Postsecondary Education Programs for Individuals with 
Disabilities provide assistance for the development, operation, and 
dissemination of specially designed model programs of postsecondary, 
vocational, technical, continuing, or adult education for individuals 
with disabilities. Such model programs may include joint projects

[[Page 240]]

that coordinate with special education and transitional services.

(Authority: 20 U.S.C. 1424a)

[56 FR 54704, Oct. 22, 1991]



Sec. 338.2  Who is eligible to apply for an award under these programs?

    State educational agencies, institutions of higher education, junior 
and community colleges, vocational and technical institutions, and other 
nonprofit educational agencies are eligible to apply for awards under 
this part.

(Authority: 20 U.S.C. 1424a)



Sec. 338.3  What regulations apply to these programs?

    The following regulations apply to awards under the Postsecondary 
Education Programs for Individuals with Disabilities;
    (a) The regulations in this part 338.
    (b) The Education Department General Administrative Regulations 
(EDGAR) established in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants to Institutions of Higher 
Education, Hospitals, and Nonprofit Organizations).
    (2) Part 75 (Direct Grant Programs);
    (3) Part 77 (Definitions);
    (4) Part 79 (Intergovernmental Review of Department of Education 
Programs and Activities);
    (5) Part 80 (Uniform Administrative Requirements for Grants and 
Cooperative Agreements to State and Local Governments);
    (6) Part 81 (General Education Provisions Act--Enforcement);
    (7) Part 82 (New Restrictions on Lobbying);
    (8) Part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for a Drug-Free 
Workplace (Grants)); and
    (9) Part 86 (Drug-Free Schools and Campuses).

(Authority: 20 U.S.C. 1424a; 20 U.S.C. 3474(a))

[49 FR 25991, June 25, 1984, as amended at 56 FR 54704, Oct. 22, 1991]



Sec. 338.4  What definitions apply to these programs?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    EDGAR
    Fiscal year
    Grant
    Nonprofit
    Project
    Secretary
    State educational agency.

(Authority: 20 U.S.C. 3474(a))
    (b) Definitions in 34 CFR part 300. The following term used in this 
part is defined in 34 CFR 300.5(b)(9):

    Specific learning disability

(Authority: 20 U.S.C. 1401(a)(15))

    (c) Other definitions--Individuals with disabilities means 
individuals--
    (1) With mental retardation, hearing impairments including deafness, 
speech or language impairments, visual impairments including blindness, 
serious emotional disturbance, orthopedic impairments, autism, traumatic 
brain injury, other health impairments, or specific learning 
disabilities; and
    (2) Who, by reason thereof, need special education and related 
services.

(Authority: 20 U.S.C. 1424a(b))

[49 FR 25991, June 25, 1984, as amended at 56 FR 54704, Oct. 22, 1991]
Secs. 338.5--338.9  [Reserved]



Subpart B--What Kinds of Projects Does the Secretary Assist Under These 
                                Programs?



Sec. 338.10  What kinds of activities may be supported under this part?

    (a) The Secretary may support projects and activities under this 
part including but not limited to--
    (1) The operation of centers for deaf individuals, including models 
of comprehensive supportive services to those individuals;
    (2) Model projects of supportive services to individuals with 
disabling conditions other than deafness that focus on--

[[Page 241]]

    (i) Specially adapted or designed educational programs that 
coordinate, facilitate, and encourage education of individuals with 
disabilities with their nondisabled peers;
    (ii) Expansion of the educational resources and services available 
to individuals with disabilities in postsecondary programs;
    (iii) Outreach activities that include the provision of technical 
assistance to strengthen efforts in the development, operation, and 
design of model programs that are adapted to the special needs of 
individuals with disabilities.
    (iv) Development and dissemination of strategies and materials for 
the inservice training of faculty and administrative personnel involved 
in the integration of individuals with disabilities in postsecondary 
institutions in order to improve their understanding of, and attitudes 
toward, those individuals;
    (3) Evaluation of the effectiveness of programs carried out under 
this part to increase access to postsecondary education for individuals 
with disabilities; and
    (4) Establishment of projects to stimulate and develop model 
statewide, regional, and national programs to improve access for 
individuals with disabilities including the fostering of cooperative and 
consortia arrangements.
    (b) The following is an illustrative list of the types of supportive 
services which may be provided (in whole or in part) in model projects 
supported under this part:

    (1) Interpreters.
    (2) Tutors.
    (3) Notetakers and readers.
    (4) Wheelchair attendants.
    (5) Guidance counselors.
    (6) Speech and auditory training.
    (7) Job placement and follow-up.
    (8) Preparatory and orientation services.
    (9) Supplementary learning experiences.
    (10) Instructional media adaptations.
    (11) Inservice training for teachers and other educational staff 
relating to the participants with disabilities in the program.
    (12) Administrative expenses, including employment of a director, 
administrator, or coordinator of the program.
    (13) Planning and evaluation activities.
    (c) Recipients may not use funds provided under this part for the 
payment of tuition or subsistence allowances.

(Authority: 20 U.S.C. 1424a)

[49 FR 25991, June 25, 1984, as amended at 52 FR 6143, Mar. 2, 1987; 56 
FR 54704, Oct. 22, 1991]
Secs. 338.11--338.19  [Reserved]



           Subpart C--How Does an Applicant Apply for a Grant?



Sec. 338.20  What are the application requirements under this part?

    Applications for funds under this part must contain--
    (a) A description of the disabling condition(s) of the persons to be 
served; and
    (b) The estimated number of individuals with disabilities to be 
served annually in the program and specification of the resources and 
services needed to enable them to benefit from an educational program.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1424, 1424a)

[49 FR 25991, June 25, 1984, as amended at 56 FR 54704, Oct. 22, 1991]
Secs. 338.21--338.29  [Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 338.30  What are the priorities considered for support by the Secretary under this part?

    (a) For each fiscal year, the Secretary gives priority consideration 
to four regional centers for deaf individuals.
    (b) For any fiscal year, the Secretary may select priorities from 
among those activities listed in Sec. 338.10(a) (2) through (4).
    (c) The Secretary may identify one or more disabling conditions as a 
priority for assistance under this part by publishing a notice in the 
Federal Register.

(Authority: 20 U.S.C. 1424a(a)(2))

[49 FR 25991, June 25, 1984, as amended at 56 FR 54704, Oct. 22, 1991]

[[Page 242]]



Sec. 338.31  What are the selection criteria used to make awards?

    The Secretary uses the weighted criteria in this section to evaluate 
applications for new awards. The maximum score for all the criteria is 
100 points.
    (a) Plan of operation. (25 points) (1) The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project.
    (2) The Secretary looks for information that shows--
    (i) High quality in the design of the project;
    (ii) An effective plan of management that ensures proper and 
efficient administration of the project;
    (iii) A clear description of how the objectives of the project 
relate to the purpose of the program;
    (iv) The way the applicant plans to use its resources and personnel 
to achieve each objective; and
    (v) A clear description of how the applicant will provide equal 
access and treatment for eligible project participants who are members 
of groups that have been traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (b) Quality of key personnel. (10 points) (1) The Secretary reviews 
each application for information that shows the qualifications of the 
key personnel the applicant plans to use on the project.
    (2) The Secretary looks for information that shows--
    (i) The qualifications of the project director (if one is to be 
used);
    (ii) The qualifications of each of the other key personnel to be 
used in the project;
    (iii) The time that each person referred to in paragraphs (b)(2) (i) 
and (ii) of this section plans to commit to the project; and
    (iv) The extent to which the applicant, as part of its non-
discriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally underrepresented, such as--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Individuals with disabilities; and
    (D) The elderly.
    (3) To determine the qualifications of a person, the Secretary 
considers experience and training in fields related to the objectives of 
the project as well as other information that the applicant provides.
    (c) Budget and cost effectiveness. (10 points) (1) The Secretary 
reviews each application for information that shows that the project has 
an adequate budget and is cost effective.
    (2) The Secretary looks for information that shows--
    (i) The budget for the project is adequate to support the project 
activities; and
    (ii) Costs are reasonable in relation to the objectives of the 
project.
    (d) Evaluation plan. (15 points) (1) The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project.

(See 34 CFR 75.590, Evaluation by the grantee.)

    (2) The Secretary looks for information that shows methods of 
evaluation that are appropriate for the project and, to the extent 
possible, are objective and produce data that are quantifiable.
    (e) Adequacy of resources. (10 points) (1) The Secretary reviews 
each application for information that shows that the applicant plans to 
devote adequate resources to the project.
    (2) The Secretary looks for information that shows--
    (i) The facilities that the applicant plans to use are adequate; and
    (ii) The equipment and supplies that the applicant plans to use are 
adequate.
    (f) Continuation of program. (5 points) (1) The Secretary reviews 
each application for information that shows that the activities to be 
supported are likely to be continued after Federal funding ends.
    (2) The Secretary looks for information that shows the likelihood 
that the services provided under the proposed program will be continued 
by the applicant following the expiration of Federal funding, as 
measured by evidence

[[Page 243]]

of financial and other commitment of the applicant to the program.
    (g) Importance. (10 points) (1) The Secretary reviews each 
application for information demonstrating that the proposed project is 
nationally important in light of the purposes of this part.
    (2) The Secretary looks for information that shows--
    (i) The significance of the problem or issue to be addressed;
    (ii) The importance of the proposed project in increasing the 
understanding of the problem or issue; and in remediating or 
compensating for it;
    (iii) The experiences of service providers related to the problem or 
issue; and
    (iv) Previous research findings related to the problem or issue.
    (h) Impact. (15 points) The Secretary reviews each application for 
information that shows the probable impact of the proposed research or 
demonstration activities in improving postsecondary education for 
individuals with disabilities, including--
    (1) The contribution that the research or demonstration findings or 
products will make to current knowledge or practice; and
    (2) The extent to which findings and products will be disseminated 
to, and used for the benefit of, appropriate target groups.

(Approved by the Office of Management and Budget under control number 
1820-0028)

(Authority: 20 U.S.C. 1424a)

[49 FR 25991, June 25, 1984, as amended at 53 FR 49145, Dec. 6, 1988; 56 
FR 54704, Oct. 22, 1991]



Sec. 338.32  Are awards for regional centers and model projects geographically dispersed?

    To the extent feasible, the Secretary, after applying the selection 
criteria in Sec. 338.31, geographically disperses awards for regional 
centers and model projects throughout the Nation in urban and rural 
areas.

(Authority: 20 U.S.C. 1424a)

[52 FR 6143, Mar. 2, 1987]
Secs. 338.33--338.39  [Reserved]



             Subpart E--What Conditions Must a Grantee Meet?



Sec. 338.40  What coordination and dissemination requirements must be met by a grantee?

    Grantees operating regional centers and model projects shall 
coordinate their efforts with, and disseminate information about their 
activities to, the clearinghouse on postsecondary programs established 
under 34 CFR 320.1(b).

(Authority: 20 U.S.C. 1424a)

[52 FR 6143, Mar. 2, 1987]



Sec. 338.41  What other conditions must be met by grantees under this program?

    Grantees shall, if appropriate, prepare reports describing their 
procedures, findings, and other relevant information in a form that will 
maximize the dissemination and use of such procedures, findings, and 
information. The Secretary shall require their delivery, as appropriate, 
to the Regional and Federal Resource Centers, the Clearinghouses, and 
the Technical Assistance to Parents Program (TAPP) assisted under parts 
C and D of the Act, as well as the National Diffusion Network, the ERIC 
Clearinghouse on the Handicapped and Gifted, and the Child and 
Adolescent Service Systems Program (CASSP) under the National Institute 
of Mental Health, appropriate parent and professional organizations, 
organizations representing individuals with disabilities, and such other 
networks as the Secretary may determine to be appropriate.

(Authority: 20 U.S.C. 1409(g))

(Approved by the Office of Management and Budget under control number 
1820-0028)

[56 FR 54704, Oct. 22, 1991, as amended at 57 FR 14315, Apr. 17, 1992]

[[Page 244]]

Secs. 338.42--338.49  [Reserved]



PART 345--STATE GRANTS PROGRAM FOR TECHNOLOGY-RELATED ASSISTANCE FOR INDIVIDUALS WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
345.1  What is the State Grants Program for Technology-Related 
          Assistance for Individuals with Disabilities?
345.2  What are the purposes of the State grants program for technology-
          related assistance for individuals with disabilities?
345.3  What are the types of awards under this program?
345.4  Who is eligible to receive a development grant?
345.5  What are the responsibilities of the lead agency or public agency 
          in applying for and in administering a development grant?
345.6  How does a State designate the lead agency?
345.7  Who is eligible to receive an extension grant?
345.8  What are the responsibilities of the lead agency in applying for 
          and in administering an extension grant?
345.9  What regulations apply to this program?
345.10  What definitions apply to this program?

    Subpart B--What Kinds of Activities Does the Department Support?

345.20  What types of activities are authorized under this program?

             Subpart C--How Does a State Apply for a Grant?

345.30  What is the content of an application for a development grant?
345.31  What is the content of an application for an extension grant?

             Subpart D--How Does the Secretary Make a Grant?

345.40  How does the Secretary evaluate an application for a development 
          grant under this program?
345.41  What other factors does the Secretary take into consideration in 
          making development grant awards under this program?
345.42  What is the review process for an application for an extension 
          grant?
345.43  What priorities does the Secretary establish?

         Subpart E--What Conditions Must Be Met After an Award?

345.50  What are the reporting requirements for the recipients of 
          development and extension grants?
345.51  When is a State making significant progress?
345.52  Who retains title to devices provided under this program?
345.53  What are the requirements for grantee participation in the 
          Secretary's progress assessments?
345.54  How may grant funds be used under this program?
345.55  What are the responsibilities of a State in carrying out 
          protection and advocacy services?

      Subpart F--What Compliance Procedures May the Secretary Use?

345.60  Who is subject to a corrective action plan?
345.61  What penalties may the Secretary impose on a grantee that is 
          subject to corrective action?
345.62  How does a State redesignate the lead agency when it is subject 
          to corrective action?
345.63  How does a State change the entity responsible for providing 
          protection and advocacy services?

    Authority: 29 U.S.C. 2201-2217, unless otherwise noted.

    Source:  61 FR 8161, Mar. 1, 1996, unless otherwise noted.



                           Subpart A--General



Sec. 345.1  What is the State Grants Program for Technology-Related Assistance for Individuals with Disabilities?

    This program provides grants to States to support systems change and 
advocacy activities designed to assist States in developing and 
implementing consumer-responsive comprehensive Statewide programs of 
technology-related assistance that accomplish the purposes in 
Sec. 345.2.

(Authority: 29 U.S.C. 2211(a); section 101(a) of the Act)



Sec. 345.2  What are the purposes of the State grants program for technology-related assistance for individuals with disabilities?

    The purposes of this program are to provide financial assistance to 
States

[[Page 245]]

to support systems change and advocacy activities designed to assist 
each State in developing and implementing a consumer-responsive 
comprehensive statewide program of technology-related assistance, for 
individuals with disabilities of all ages, that is designed to--
    (a)(1) Increase the availability of, funding for, access to, and 
provision of, assistive technology devices and assistive technology 
services;
    (2) Increase the active involvement of individuals with disabilities 
and their family members, guardians, advocates, and authorized 
representatives, in the planning, development, implementation, and 
evaluation of the program;
    (3) Increase the involvement of individuals with disabilities and, 
if appropriate, their family members, guardians, advocates, or 
authorized representatives, in decisions related to the provision of 
assistive technology devices and assistive technology services;
    (4) Increase the provision of outreach to underrepresented 
populations and rural populations, to enable the two populations to 
enjoy the benefits of programs carried out to accomplish the purposes 
described in this section to the same extent as other populations;
    (5) Increase and promote coordination among State agencies, and 
between State agencies and private entities, that are involved in 
carrying out activities under this part, particularly providing 
assistive technology devices and assistive technology services, that 
accomplish a purpose described in another paragraph of this section;
    (6)(i) Increase the awareness of laws, regulations, policies, 
practices, procedures, and organizational structures, that facilitate 
the availability or provision of assistive technology devices and 
assistive technology services; and
    (ii) Facilitate the change of laws, regulations, policies, 
practices, procedures, and organizational structures, that impede the 
availability or provision of assistive technology devices and assistive 
technology services;
    (7) Increase the probability that individuals with disabilities of 
all ages will, to the extent appropriate, be able to secure and maintain 
possession of assistive technology devices as these individuals make the 
transition between services offered by human service agencies or between 
settings of daily living;
    (8) Enhance the skills and competencies of individuals involved in 
providing assistive technology devices and assistive technology 
services;
    (9) Increase awareness and knowledge of the efficacy of assistive 
technology devices and assistive technology services among--
    (i) Individuals with disabilities and their family members, 
guardians, advocates, and authorized representatives;
    (ii) Individuals who work for public agencies, or for private 
entities (including insurers), that have contact with individuals with 
disabilities;
    (iii) Educators and related services personnel;
    (iv) Technology experts (including engineers);
    (v) Employers; and
    (vi) Other appropriate individuals;
    (10) Increase the capacity of public agencies and private entities 
to provide and pay for assistive technology devices and assistive 
technology services on a statewide basis for individuals with 
disabilities of all ages; and
    (11) Increase the awareness of the needs of individuals with 
disabilities for assistive technology devices and for assistive 
technology services.
    (b)(1) Identify Federal policies that facilitate payment for 
assistive technology devices and assistive technology services.
    (2) Identify Federal policies that impede this payment.
    (3) Eliminate inappropriate barriers to this payment.
    (c) Enhance the ability of the Federal Government to provide States 
with--
    (1) Technical assistance, information, training, and public 
awareness programs relating to the provision of assistive technology 
devices and assistive technology services; and
    (2) Funding for demonstration projects.

(Authority: 29 U.S.C. 2201(b); section 2(b) of the Act)



Sec. 345.3  What are the types of awards under this program?

    (a) Under this program, the Secretary--

[[Page 246]]

    (1) Awards three-year development grants to assist States in 
developing and implementing consumer-responsive comprehensive statewide 
programs that accomplish the purposes in Sec. 345.2;
    (2) May award an initial two-year extension grant to any State that 
meets the standards in Sec. 345.42(a); and
    (3) May award a second extension grant, for a period of not more 
than 5 years, to any State that meets the standards in Sec. 345.42(b).
    (b) The Secretary calculates the amount of the development grants in 
paragraph (a)(1) of this section on the basis of--
    (1) Amounts available for making grants under this part;
    (2) The population of the State or territory concerned; and
    (3) The types of activities proposed by the State relating to the 
development of a consumer-responsive comprehensive statewide program of 
technology-related assistance.
    (c) The Secretary calculates the amount of the extension grants in 
paragraph (a)(2) of this section on the basis of--
    (1) Amounts available for making grants;
    (2) The population of the State;
    (3) The types of assistance proposed by the State in its 
application; and
    (4) A description in its application of the amount of resources 
committed by the State and available to the State from other sources to 
sustain the program after federal funding ends.
    (d)(1) In providing any increases in initial extension grants in 
paragraph (a)(2) of this section above the amounts provided to States 
for Fiscal Year 1993, the Secretary may give priority to States (other 
than the territories) that--
    (i) Have the largest populations, based on the most recent census 
data; and
    (ii) Are sparsely populated, with a wide geographic spread.
    (2) To be eligible for the priority in paragraph (d)(1) of this 
section, the circumstances in paragraphs (d)(1)(i) or (ii) must have 
impeded the development of a consumer-responsive, comprehensive 
statewide program of technology-related assistance in a State.
    (e) During the fourth and fifth years of a State's second extension 
grant, the amount received by a State will be reduced to 75% and 50%, 
respectively, of the amount paid to the State for the third year of the 
grant.

(Authority: 29 U.S.C. 2212(b), 2213(a), 2213(c)(1)(B) and (2), and 
2213(c)(1)(D); sections 102(b), 103(a), 103(c)(1)(B) and (2), 
103(c)(1)(D) of the Act)



Sec. 345.4  Who is eligible to receive a development grant?

    A State is eligible to receive a development grant under this 
program, provided that the Governor has designated a lead agency to 
carry out the responsibilities contained in Sec. 345.5.

(Authority: 29 U.S.C. 2212(a)(1) and 2212 (d)(1); section 102(a) and 
102(d)(1) of the Act)



Sec. 345.5  What are the responsibilities of the lead agency or public agency in applying for and in administering a development grant?

    (a) The lead agency is responsible for the following:
    (1) Submitting the application containing the information and 
assurances contained in Sec. 345.30.
    (2) Administering and supervising the use of amounts made available 
under the grant.
    (3)(i) Coordinating efforts related to, and supervising the 
preparation of, the application;
    (ii) Coordinating the planning, development, implementation, and 
evaluation of the consumer-responsive comprehensive statewide program of 
technology-related assistance among public agencies and between public 
agencies and private agencies, including coordinating efforts related to 
entering into interagency agreements; and
    (iii) Coordinating efforts related to, and supervising, the active, 
timely, and meaningful participation by individuals with disabilities 
and their family members, guardians, advocates, or authorized 
representatives, and other appropriate individuals, with respect to 
activities carried out under the grant.
    (4) The delegation, in whole or in part, of any responsibilities 
described in paragraphs (a)(1) through (3) of this section to one or 
more appropriate offices, agencies, entities, or individuals.

[[Page 247]]

    (b) If the lead agency is not a public agency, a public agency shall 
have the responsibility of controlling and administering amounts 
received under the grant.

(Authority: 29 U.S.C. 2212(d)(1) and 2212(e)(12)(A); section 102(d)(1) 
and 102(e)(12)(A) of the Act)



Sec. 345.6  How does a State designate the lead agency?

    (a) The Governor may designate--
    (1) A commission appointed by the Governor;
    (2) A public-private partnership or consortium;
    (3) A university-affiliated program;
    (4) A public agency;
    (5) A council established under Federal or State law; or
    (6) Another appropriate office, agency, entity, or individual.
    (b) The State shall provide evidence that the lead agency has the 
ability--
    (1) To respond to assistive technology needs across disabilities and 
ages;
    (2) To promote the availability throughout the State of assistive 
technology devices and assistive technology services;
    (3) To promote and implement systems change and advocacy activities;
    (4) To promote and develop public-private partnerships;
    (5) To exercise leadership in identifying and responding to the 
technology needs of individuals with disabilities and their family 
members, guardians, advocates, and authorized representatives;
    (6) To promote consumer confidence, responsiveness, and advocacy; 
and
    (7) To exercise leadership in implementing effective strategies for 
capacity building, staff and consumer training, and enhancement of 
access to funding for assistive technology devices and assistive 
technology services across agencies.

(Authority: 29 U.S.C. 2212(d)(2) and (3); sections 102(d)(2) and (3) of 
the Act)



Sec. 345.7  Who is eligible to receive an extension grant?

    A State is eligible to receive an extension grant under this 
program.



Sec. 345.8  What are the responsibilities of the lead agency in applying for and in administering an extension grant?

    (a) To be eligible to receive an initial extension grant, the lead 
agency shall--
    (1) Submit an application containing the information and assurances 
in Sec. 345.31; and
    (2) Hold a public hearing in the third year of a program carried out 
under a development grant, after providing appropriate and sufficient 
notice to allow interested groups and organizations and all segments of 
the public an opportunity to comment on the program.
    (b) To be eligible to receive a second extension grant, the lead 
agency shall--
    (1) Submit an application containing the information and assurances 
in Sec. 345.31; and
    (2) Hold a public hearing in the second year of a program carried 
out under an initial extension grant, after providing appropriate and 
sufficient notice to allow interested groups and organizations and all 
segments of the public an opportunity to comment on the program.

(Authority: 29 U.S.C. 2213(d) and (e); section 103(d) and (e) of the 
Act)



Sec. 345.9  What regulations apply to this program?

    The following regulations apply to the State Grants Program for 
Technology-Related Assistance for Individuals with Disabilities:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations);
    (2) 34 CFR part 75 (Direct Grant Programs), except Sec. 75.618;
    (3) 34 CFR part 77 (Definitions That Apply to Department 
Regulations);
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities);
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments), except 
Secs. 80.32(a) and 80.33(a);

[[Page 248]]

    (6) 34 CFR part 81 (General Education Provisions Act--Enforcement);
    (7) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)); and
    (8) Part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part.

(Authority: 29 U.S.C. 2201-2217; sections 101-107 of the Act)



Sec. 345.10  What definitions apply to this program?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Applicant
Application
Award
Department
EDGAR
Fiscal year
Grant period
Nonprofit
Nonpublic
Private
Project
Project period
Public

    (b) Definitions in the Technology-Related Assistance for Individuals 
with Disabilities Act of 1988. (1) The following terms used in this part 
are defined in section 3 of the Act:

Advocacy services
Assistive technology device
Assistive technology service
Comprehensive statewide program of technology-related assistance
Consumer-responsive
Disability
Individual with a disability; individuals with disabilities
Institution of higher education
Protection and advocacy services
Secretary
State
Systems change and related activities
Technology-related assistance
Underrepresented population

    (2) The following term used in this part is defined in section 
102(b)(5) of the Act:

Territory

    (d) Other definitions. The following definitions also apply to this 
part:
    Initial extension grant means the two-year extension grant following 
a three-year development grant under this program.
    Second extension grant means the extension grant following the 
initial extension grant under this program. The period of this grant is 
for a period of not more than 5 years.

(Authority: 29 U.S.C. 2201-2217; sections 101-107 of the Act)



     Subpart B--What Kinds of Activities Does the Department Support



Sec. 345.20  What type of activities are authorized under this program?

    Any State that receives a development or extension grant shall use 
the funds made available through the grant to accomplish the purposes 
described in Sec. 345.2(a) and, in accomplishing such purposes, may 
carry out any of the following systems change and advocacy activities:
    (a) Support activities to increase access to, and funding for, 
assistive technology, including--
    (1) The development, and evaluation of the efficacy, of model 
delivery systems that provide assistive technology devices and assistive 
technology services to individuals with disabilities, that pay for 
devices and services, and that, if successful, could be replicated or 
generally applied, such as--
    (i) The development of systems for the purchase, lease, other 
acquisition, or payment for the provision, of assistive technology 
devices and assistive technology services; or
    (ii) The establishment of alternative State or privately financed 
systems of subsidies for the provision of assistive technology devices 
and assistive technology services, such as--
    (A) A loan system for assistive technology devices;
    (B) An income-contingent loan fund;
    (C) A low interest loan fund;
    (D) A revolving loan fund;
    (E) A loan insurance program; or
    (F) A partnership with private entities for the purchase, lease, or 
other acquisition of assistive technology devices and the provision of 
assistive technology services;

[[Page 249]]

    (2) The demonstration of assistive technology devices, including--
    (i) The provision of a location or locations within the State where 
the following individuals can see and touch assistive technology 
devices, and learn about the devices from personnel who are familiar 
with such devices and their applications:
    (A) Individuals with disabilities and their family members, 
guardians, advocates, and authorized representatives;
    (B) Education, rehabilitation, health care, and other service 
providers;
    (C) Individuals who work for Federal, State, or local government 
entities; and
    (D) Employers.
    (ii) The provision of counseling and assistance to individuals with 
disabilities and their family members, guardians, advocates, and 
authorized representatives to determine individual needs for assistive 
technology devices and assistive technology services; and
    (iii) The demonstration or short-term loan of assistive technology 
devices to individuals, employers, public agencies, or public 
accommodations seeking strategies to comply with the Americans with 
Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) and section 504 of 
the Rehabilitation Act of 1973 (29 U.S.C. 794); and
    (3) The establishment of information systems about, and recycling 
centers for, the redistribution of assistive technology devices and 
equipment that may include device and equipment loans, rentals, or 
gifts.
    (b) Support activities to--
    (1) Identify and coordinate Federal and State policies, resources, 
and services, relating to the provision of assistive technology devices 
and assistive technology services, including entering into interagency 
agreements;
    (2) Convene interagency work groups to enhance public funding 
options and coordinate access to funding for assistive technology 
devices and assistive technology services for individuals with 
disabilities of all ages, with special attention to the issues of 
transition (such as transition from school to work, and transition from 
participation in programs under part H of the Individuals with 
Disabilities Education Act (20 U.S.C. 1471 et seq.), to participation in 
programs under part B of such Act (20 U.S.C. 1411 et seq.)) home use, 
and individual involvement in the identification, planning, use, 
delivery, and evaluation of such devices and services; or
    (3) Document and disseminate information about interagency 
activities that promote coordination with respect to assistive 
technology devices and assistive technology services, including evidence 
of increased participation of State and local special education, 
vocational rehabilitation, and State medical assistance agencies and 
departments.
    (c) Carry out activities to encourage the creation or maintenance 
of, support, or provide assistance to, statewide and community-based 
organizations, or systems, that provide assistive technology devices and 
assistive technology services to individuals with disabilities or that 
assist individuals with disabilities in using assistive technology 
devices or assistive technology services. The activities may include 
outreach to consumer organizations and groups in the State to coordinate 
the activities of the organizations and groups with efforts (including 
self-help, support groups, and peer mentoring) to assist individuals 
with disabilities and their family members, guardians, advocates, or 
authorized representatives, to obtain funding for, and access to, 
assistive technology devices and assistive technology services.
    (d) Pay for expenses, including travel expenses, and services, 
including services of qualified interpreters, readers, and personal 
assistants services that may be necessary to ensure access to the 
comprehensive statewide program of technology-related assistance by 
individuals with disabilities who are determined by the State to be in 
financial need. The expenses must be incurred by participants in 
activities associated with the state technology program.
    (e) Conduct a statewide needs assessment that may be based on data 
in existence on the date on which the assessment is initiated and may 
include--
    (1) Estimates of the numbers of individuals with disabilities within 
the

[[Page 250]]

State, categorized by residence, type and extent of disabilities, age, 
race, gender, and ethnicity;
    (2) In the case of an assessment carried out under a development 
grant, a description of efforts, during the fiscal year preceding the 
first fiscal year for which the State received a grant, to provide 
assistive technology devices and assistive technology services to 
individuals with disabilities within the State, including--
    (i) The number of individuals with disabilities who received 
appropriate assistive technology devices and assistive technology 
services; and
    (ii) A description of the devices and services provided;
    (3) Information on the number of individuals with disabilities who 
are in need of assistive technology devices and assistive technology 
services, and a description of the devices and services needed;
    (4) Information on the cost of providing assistive technology 
devices and assistive technology services to all individuals with 
disabilities within the State who need such devices and services;
    (5) A description of State and local public resources and private 
resources (including insurance) that are available to establish a 
consumer-responsive comprehensive statewide program of technology-
related assistance;
    (6) Information identifying Federal and State laws, regulations, 
policies, practices, procedures, and organizational structures, that 
facilitate or interfere with the operation of a consumer responsive 
comprehensive statewide program of technology related assistance;
    (7) A description of the procurement policies of the State and the 
extent to which such policies will ensure, to the extent practicable, 
that assistive technology devices purchased, leased, or otherwise 
acquired with assistance made available through a development or 
extension grant under this part are compatible with other technology 
devices, including technology devices designed primarily for use by--
    (i) Individuals who are not individuals with disabilities;
    (ii) Individuals who are elderly; or
    (iii) Individuals with particular disabilities; and
    (8) Information resulting from an inquiry about whether a State 
agency or task force (composed of individuals representing the State and 
individuals representing the private sector) should study the practices 
of private insurance companies holding licenses within the State that 
offer health or disability insurance policies under which an individual 
may obtain reimbursement for--
    (i) The purchase, lease, or other acquisition of assistive 
technology devices; or
    (ii) The use of assistive technology services.
    (f) Support--(1)(i) A public awareness program designed to provide 
information relating to the availability and efficacy of assistive 
technology devices and assistive technology services for--
    (A) Individuals with disabilities and their family members, 
guardians, advocates, or authorized representatives;
    (B) Individuals who work for public agencies, or for private 
entities (including insurers), that have contact with individuals with 
disabilities;
    (C) Educators and related services personnel;
    (D) Technology experts (including engineers);
    (E) Employers; and
    (F) Other appropriate individuals and entities; or
    (ii) Establish and support the program if no such program exists.
    (2) A public awareness program that may include the--
    (i) Development and dissemination of information relating to the--
    (A) Nature of assistive technology devices and assistive technology 
services;
    (B) Appropriateness, cost, and availability of, and access to, 
assistive technology devices and assistive technology services; and
    (C) Efficacy of assistive technology devices and assistive 
technology services with respect to enhancing the capacity of 
individuals with disabilities;
    (ii) Development of procedures for providing direct communication 
among public providers of assistive technology devices and assistive 
technology services and between public providers and private providers 
of devices and services (including employers); and

[[Page 251]]

    (iii) Development and dissemination of information relating to the 
use of the program by individuals with disabilities and their family 
members, guardians, advocates, or authorized representatives, 
professionals who work in a field related to an activity described in 
this section, and other appropriate individuals.
    (g) Carry out directly, or may provide support to a public or 
private entity to carry out, training and technical assistance 
activities that--
    (1)(i) Are provided for individuals with disabilities and their 
family members, guardians, advocates, and authorized representatives, 
and other appropriate individuals; and
    (ii) May include--
    (A) Training in the use of assistive technology devices and 
assistive technology services;
    (B) The development of written materials, training, and technical 
assistance describing the means by which agencies consider the needs of 
an individual with a disability for assistive technology devices and 
assistive technology services in developing, for the individual, any 
individualized education program described in section 614(a)(5) of the 
Individuals with Disabilities Education Act (20 U.S.C. 1414(a)(5)), any 
individualized written rehabilitation program described in section 102 
of the Rehabilitation Act of 1973 (29 U.S.C. 722), any individualized 
family service plan described in section 677 of the Individuals with 
Disabilities Education Act (20 U.S.C. 1477), and any other 
individualized plans or programs;
    (C) Training regarding the rights of the persons described in 
paragraph (f)(1)(i) of this section to assistive technology devices and 
assistive technology services under any law other than this Act, to 
promote fuller independence, productivity, and inclusion in and 
integration into society of such persons; and
    (D) Training to increase consumer participation in the 
identification, planning, use, delivery, and evaluation of assistive 
technology devices and assistive technology services; and
    (2)(i) Enhance the assistive technology skills and competencies of--
    (A) Individuals who work for public agencies or for private entities 
(including insurers) that have contact with individuals with 
disabilities;
    (B) Educators and related services personnel;
    (C) Technology experts (including engineers);
    (D) Employers; and
    (E) Other appropriate personnel; and
    (ii) Include taking actions to facilitate the development of 
standards, or, when appropriate, the application of standards, to ensure 
the availability of qualified personnel.
    (h) Support the compilation and evaluation of appropriate data 
related to a program described in Sec. 345.1.
    (i)(1) Develop, operate, or expand a system for public access to 
information concerning an activity carried out under another paragraph 
of this section, including information about assistive technology 
devices and assistive technology services, funding sources and costs of 
assistance, and individuals, organizations, and agencies capable of 
carrying out such an activity for individuals with disabilities.
    (2) Access to the system may be provided through community-based 
entities, including public libraries, centers for independent living (as 
defined in section 702(1) of the Rehabilitation Act of 1973 (29 U.S.C. 
796a(1)), and community rehabilitation programs, as defined in section 
7(25) of such Act (29 U.S.C. 706(25)).
    (3) In developing, operating, or expanding a system described in 
paragraph (i)(1) of this section, the State may--
    (i) Develop, compile, and categorize print, large print, braille, 
audio, and video materials, computer disks, compact discs (including 
compact discs formatted with read-only memory), information that can be 
used in telephone-based information systems, and other media as 
technological innovation may make appropriate;
    (ii) Identify and classify existing funding sources, and the 
conditions of and criteria for access to such sources, including any 
funding mechanisms or strategies developed by the State;
    (iii) Identify existing support groups and systems designed to help 
individuals with disabilities make effective use of an activity carried 
out under another paragraph of this section; and

[[Page 252]]

    (iv) Maintain a record of the extent to which citizens of the State 
use or make inquiries of the system established in paragraph (i)(1) of 
this section, and of the nature of inquiries.
    (4) The information system may be organized on an interstate basis 
or as part of a regional consortium of States in order to facilitate the 
establishment of compatible, linked information systems.
    (j)(1) The State may enter into cooperative agreements with other 
States to expand the capacity of the States involved to assist 
individuals with disabilities of all ages to learn about, acquire, use, 
maintain, adapt, and upgrade assistive technology devices and assistive 
technology services that individuals need at home, at school, at work, 
or in other environments that are part of daily living.
    (2) The State may operate or participate in a computer system 
through which the State may electronically communicate with other States 
to gain technical assistance in a timely fashion and to avoid the 
duplication of efforts already undertaken in other States.
    (k) Support the establishment or continuation of partnerships and 
cooperative initiatives between the public sector and the private sector 
to promote the greater participation by business and industry in the--
    (1) Development, demonstration, and dissemination of assistive 
technology devices; and
    (2) Ongoing provision of information about new products to assist 
individuals with disabilities.
    (l) Provide advocacy services.
    (m) Utilize amounts made available through development and extension 
grants for any systems change and advocacy activities, other than the 
activities described in another paragraph of this section, that are 
necessary for developing, implementing, or evaluating the consumer-
responsive comprehensive statewide program of technology-related 
assistance.
    (n)(1) Accomplish the purposes in Sec. 345.2(b) and (c).

(Authority: 29 U.S.C. 2201(b) and 2211(b); sections 2(b)(2), 2(b)(3) and 
101(b) of the Act)



             Subpart C--How Does a State Apply for a Grant?



Sec. 345.30  What is the content of an application for a development grant?

    (a) Applicants for development grants under this program shall 
include the following information in their applications:
    (1) Information identifying the lead agency designated by the 
Governor under Sec. 345.4 and the evidence described in Sec. 345.6(b).
    (2) A description of the nature and extent of involvement of various 
State agencies, including the State insurance department, in the 
preparation of the application and the continuing role of each agency in 
the development and implementation of the consumer-responsive 
comprehensive statewide program of technology-related assistance, 
including the identification of the available resources and financial 
responsibility of each agency for paying for assistive technology 
devices and assistive technology services.
    (3)(i) A description of procedures that provide for--
    (A)(1) The active involvement of individuals with disabilities and 
their family members, guardians, advocates, and authorized 
representatives, and other appropriate individuals, in the development, 
implementation, and evaluation of the program; and
    (2) To the maximum extent appropriate, the active involvement of 
individuals with disabilities who use assistive technology devices or 
assistive technology services, in decisions relating to such devices and 
services; and
    (B) Mechanisms for determining consumer satisfaction and 
participation of individuals with disabilities who represent a variety 
of ages and types of disabilities, in the consumer-responsive 
comprehensive statewide program of technology-related assistance.
    (ii) A description of the nature and extent of the--
    (A) Involvement, in the designation of the lead agency under 
Sec. 345.4, and in the development of the application, of--

[[Page 253]]

    (1) Individuals with disabilities and their family members, 
guardians, advocates, or authorized representatives;
    (2) Other appropriate individuals who are not employed by a State 
agency; and
    (3) Organizations, providers, and interested parties, in the private 
sector; and
    (B) Continuing role of the individuals and entities described in 
paragraph (a)(3)(ii)(A) of this section in the program.
    (4) A tentative assessment of the extent of the need of individuals 
with disabilities in the State, including individuals from 
underrepresented populations or rural populations for a statewide 
program of technology-related assistance and a description of previous 
efforts and efforts continuing on the date of the application to develop 
a consumer-responsive comprehensive statewide program of technology-
related assistance.
    (5) A description of State resources and other resources (to the 
extent this information is available) that are available to commit to 
the development of a consumer-responsive comprehensive statewide program 
of technology-related assistance.
    (6) Information on the program with respect to the--
    (i) Goals and objectives of the State for the program;
    (ii) Systems change and advocacy activities that the State plans to 
carry out under the program; and
    (iii) Expected outcomes of the State for the program, consistent 
with the purposes described in Sec. 345.2(a).
    (7)(i) A description of the data collection system used for 
compiling information on the program, consistent with requirements 
established by the Secretary for systems, and, when a national 
classification system is developed pursuant to section 201 of the Act, 
consistent with the classification system; and
    (ii) Procedures that will be used to conduct evaluations of the 
program.
    (8) A description of the policies and procedures governing 
contracts, grants, and other arrangements with public agencies, private 
nonprofit organizations, and other entities or individuals for the 
purpose of providing assistive technology devices and assistive 
technology services consistent with this part.
    (b) Applicants for development grants shall include the following 
assurances in their applications:
    (1)(i) An assurance that the State will use funds from a development 
or extension grant to accomplish the purposes described in Sec. 345.2(a) 
and the goals, objectives, and outcomes described in paragraph (a)(6) of 
this section, and to carry out the systems change and advocacy 
activities described in paragraph (a)(6)(ii) of this section, in a 
manner that is consumer-responsive.
    (ii) An assurance that the State, in carrying out systems change and 
advocacy activities, shall carry out the following activities, unless 
the State demonstrates through the progress reports required under 
Sec. 345.50 that significant progress has been made in the development 
and implementation of a consumer-responsive comprehensive statewide 
program of technology-related assistance, and that other systems change 
and advocacy activities will increase the likelihood that the program 
will accomplish the purposes described in Sec. 345.2(a):
    (A) The development, implementation, and monitoring of State, 
regional, and local laws, regulations, policies, practices, procedures, 
and organizational structures, that will improve access to, provision 
of, funding for, and timely acquisition and delivery of, assistive 
technology devices and assistive technology services;
    (B) The development and implementation of strategies to overcome 
barriers regarding access to, provision of, and funding for, such 
devices and services, with priority for identification of barriers to 
funding through State education (including special education) services, 
vocational rehabilitation services, and medical assistance services or, 
as appropriate, other health and human services, and with particular 
emphasis on overcoming barriers for underrepresented populations and 
rural populations;
    (C) Coordination of activities among State agencies, in order to 
facilitate access to, provision of, and funding for,

[[Page 254]]

assistive technology devices and assistive technology services;
    (D) The development and implementation of strategies to empower 
individuals with disabilities and their family members, guardians, 
advocates, and authorized representatives, to successfully advocate for 
increased access to, funding for, and provision of, assistive technology 
devices and assistive technology services, and to increase the 
participation, choice, and control of individuals with disabilities and 
their family members, guardians, advocates, and authorized 
representatives in the selection and procurement of assistive technology 
devices and assistive technology services;
    (E) The provision of outreach to underrepresented populations and 
rural populations, including identifying and assessing the needs of such 
populations, providing activities to increase the accessibility of 
services to such populations, training representatives of such 
populations to become service providers, and training staff of the 
consumer-responsive comprehensive statewide program of technology-
related assistance to work with such populations; and
    (F) The development and implementation of strategies to ensure 
timely acquisition and delivery of assistive technology devices and 
assistive technology services, particularly for children.
    (2) An assurance that the State will conduct an annual assessment of 
the consumer-responsive comprehensive statewide program of technology-
related assistance, in order to determine--
    (i) The extent to which the State's goals and objectives for systems 
change and advocacy activities, as identified in the State plan under 
paragraph (a)(6) of this section, have been achieved; and
    (ii) The areas of need that require attention in the next year.
    (3) An assurance that amounts received under the grant will be 
expended in accordance with the provisions of this part;
    (4) An assurance that amounts received under the grant--
    (i) Will be used to supplement amounts available from other sources 
that are expended for technology-related assistance, including the 
provision of assistive technology devices and assistive technology 
services; and
    (ii) Will not be used to pay a financial obligation for technology-
related assistance (including the provision of assistive technology 
devices or assistive technology services) that would have been paid with 
amounts available from other sources if amounts under the grant had not 
been available, unless--
    (A) The payment is made only to prevent a delay in the receipt of 
appropriate technology-related assistance (including the provision of 
assistive technology devices or assistive technology services) by an 
individual with a disability; and
    (B) The entity or agency responsible subsequently reimburses the 
appropriate account with respect to programs and activities under the 
grant in an amount equal to the amount of the payment;
    (5) An assurance that--
    (i) A public agency shall control and administer amounts received 
under the grant; and
    (ii) A public agency or an individual with a disability shall--
    (A) Hold title to property purchased with such amounts; and
    (B) Administer such property.
    (6) An assurance that the State will--
    (i) Prepare reports to the Secretary in the form and containing 
information required by the Secretary to carry out the Secretary's 
functions under this part; and
    (ii) Keep records and allow access to records as the Secretary may 
require to ensure the correctness and verification of information 
provided to the Secretary under this paragraph of this section.
    (7) An assurance that amounts received under the grant will not be 
commingled with State or other funds;
    (8) An assurance that the State will adopt fiscal control and 
accounting procedures as may be necessary to ensure proper disbursement 
of an accounting for amounts received under the grant;
    (9) An assurance that the State will--
    (i) Make available to individuals with disabilities and their family 
members, guardians, advocates, or authorized

[[Page 255]]

representatives information concerning technology-related assistance in 
a form that will allow individuals to effectively use the information; 
and
    (ii) In preparing information for dissemination, consider the media-
related needs of individuals with disabilities who have sensory and 
cognitive limitations and consider the use of auditory materials, 
including audio cassettes, visual materials, including video cassettes 
and video discs, and braille materials.
    (10) An assurance that, to the extent practicable, technology-
related assistance made available with amounts received under the grant 
will be equitably distributed among all geographical areas of the State;
    (11) An assurance that the lead agency will have the authority to 
use funds made available through a development or extension grant to 
comply with the requirements of this part, including the ability to hire 
qualified staff necessary to carry out activities under the program;
    (12)(i) An assurance that the State will annually provide, from the 
funds made available to the State through a development or extension 
grant under this part, an amount calculated in accordance with section 
102(f)(4) of the Act in order to make a grant to, or enter into a 
contract with--
    (A) An entity to support protection and advocacy services through 
the systems established to provide protection and advocacy under the 
Developmental Disabilities Assistance and Bill of Rights Act (42 U.S.C. 
6000 et seq.), the Protection and Advocacy for Mentally Ill Individuals 
Act (42 U.S.C. 10801 et seq.), and section 509 of the Rehabilitation Act 
of 1973 (29 U.S.C. 794e); or
    (B) An entity described in Sec. 345.55(a)(1).
    (ii) The State need not provide the assurance in paragraph 
(b)(12)(i) of this section, if the State requests in its annual progress 
report or first or second extension application, as applicable, that the 
Secretary annually reserve, from the funds made available for a 
development or extension grant, an amount calculated in accordance with 
section 102(f)(4) of the Act, in order for the Secretary to make a grant 
to or enter into a contract with a system to support protection and 
advocacy services.
    (13) An assurance that the State--
    (i) Will develop and implement strategies for including personnel 
training regarding assistive technology within existing Federal- and 
State-funded training initiatives, in order to enhance assistive 
technology skills and competencies; and
    (ii) Will document the training;
    (14) An assurance that the percentage of the funds received under 
the grant that is used for indirect costs (as defined in OMB Circular A-
87 incorporated by reference in 34 CFR 80.22(b)) shall not exceed 10 
percent of the total amount of the grant; and
    (15) An assurance that the lead agency will coordinate the 
activities funded through a development or extension grant under this 
part with the activities carried out by councils within the State, 
including--
    (i) Any council or commission specified in the assurance provided by 
the State in accordance with section 101(a)(36) of the Rehabilitation 
Act of 1973 (29 U.S.C. 721(a)(36));
    (ii) The Statewide Independent Living Council established under 
section 705 of the Rehabilitation Act of 1973 (29 U.S.C. 796d));
    (iii) The advisory panel established under section 613(a)(12) of the 
Individuals with Disabilities Education Act (20 U.S.C. 1413(a)(12));
    (iv) The State Interagency Coordinating Council established under 
section 682 of the Individuals with Disabilities Education Act (20 
U.S.C. 1482));
    (v) The State Planning Council described in section 124 of the 
Developmental Disabilities Assistance and Bill of Rights Act (20 U.S.C. 
6024);
    (vi) The State mental health planning council established under 
section 1914 of the Public Health Service Act (42 U.S.C. 300x-3);
    (vii) Any council established under section 204, 206(g)(2)(A), or 
712(a)(3)(H) of the Older Americans Act of 1965 (42 U.S.C. 3015, 
3017(g)(2)(A), or 3058g(a)(3)(H)).
    (16) An assurance that there will be coordination between the 
activities

[[Page 256]]

funded through the grant and other related systems change and advocacy 
activities funded by either Federal or State sources.
    (c) Applicants for development grants shall provide any other 
related information and assurances that the Secretary may reasonably 
require.

(Authority: 29 U.S.C. 2212(e); section 102(e) of the Act)



345.31  What is the content of an application for an extension grant?

    A State that seeks an extension grant shall include the following in 
an application:
    (a) The information and assurances described in Sec. 345.30, except 
the preliminary needs assessment described in Sec. 345.30(a)(4).
    (b) A description of the following:
    (1) The needs relating to technology-related assistance of 
individuals with disabilities (including individuals from 
underrepresented populations or rural populations) and their family 
members, guardians, advocates, or authorized representatives, and other 
appropriate individuals within the State.
    (2) Any problems or gaps that remain with the development and 
implementation of a consumer-responsive comprehensive statewide program 
of technology-related assistance in the State.
    (3) The strategies that the State will pursue during the grant 
period to remedy the problems or gaps with the development and 
implementation of a program.
    (4) Outreach activities to be conducted by the State, including 
dissemination of information to eligible populations, with special 
attention to underrepresented populations and rural populations.
    (5)(i) The specific systems change and advocacy activities described 
in Sec. 345.20 (including the activities described in Sec. 345.30(b)(1)) 
carried out under the development grant received by the State, or, in 
the case of an application for a second extension grant, under an 
initial extension grant received by the State under this section, 
including--
    (A) A description of systems change and advocacy activities that 
were undertaken to produce change on a permanent basis for individuals 
with disabilities of all ages;
    (B) A description of activities undertaken to improve the 
involvement of individuals with disabilities in the program, including 
training and technical assistance efforts to improve individual access 
to assistive technology devices and assistive technology services as 
mandated under other laws and regulations in effect on the date of the 
application, and including actions undertaken to improve the 
participation of underrepresented populations and rural populations, 
such as outreach efforts; and
    (C) An evaluation of the impact and results of the activities 
described in paragraph (b)(5)(i)(A) and (B) of this section.
    (ii) The relationship of systems change and advocacy activities to 
the development and implementation of a consumer-responsive 
comprehensive statewide program of technology-related assistance.
    (iii) The progress made toward the development and implementation of 
a consumer-responsive comprehensive statewide program of technology-
related assistance.
    (6)(i) In the case of an application for an initial extension grant, 
a report on the hearing described in Sec. 345.8(a)(2) or, in the case of 
an application for a second extension grant, a report on the hearing 
described in Sec. 345.8(b)(2).
    (ii) A description of State actions, other than a hearing, designed 
to determine the degree of satisfaction of individuals with 
disabilities, and their family members, guardians, advocates, or 
authorized representatives, public service providers and private service 
providers, educators and related service providers, technology experts 
(including engineers), employers, and other appropriate individuals and 
entities with--
    (A) The degree of their ongoing involvement in the development and 
implementation of the consumer-responsive comprehensive statewide 
program of technology-related assistance;
    (B) The specific systems change and advocacy activities described in 
Sec. 345.20 (including the activities described in Sec. 345.30(b)(1)) 
carried out by the State under the development grant or the initial 
extension grant;

[[Page 257]]

    (C) Progress made toward the development and implementation of a 
consumer-responsive comprehensive statewide program of technology-
related assistance; and
    (D) The ability of the lead agency to carry out the activities 
described in Sec. 345.6(b).
    (c) A summary of any comments received concerning the issues 
described in paragraph (b)(6) of this section and response of the State 
to such comments, solicited through a public hearing or through other 
means, from individuals affected by the consumer-responsive 
comprehensive statewide program of technology-related assistance, 
including--
    (1) Individuals with disabilities and their family members, 
guardians, advocates, or authorized representatives;
    (2) Public service providers and private service providers;
    (3) Educators and related services personnel;
    (4) Technology experts (including engineers);
    (5) Employers; and
    (6) Other appropriate individuals and entities.
    (d) An assurance that the State, any recipient, and any subrecipient 
of funds made available to the State under the Act will comply with 
guidelines established under section 508 of the Rehabilitation Act of 
1973 (29 U.S.C. 794d).
    (e)(1) A copy of the protection and advocacy contract or grant 
agreement entered into by the State;
    (2) Evidence of ongoing negotiations with an entity to provide 
protection and advocacy services, if the State has not yet entered into 
a grant or contract; or
    (3) A request that the Secretary enter into a grant agreement with 
an entity to provide protection and advocacy services, pursuant to 
Sec. 345.30(b)(12)(ii).

(Authority: 29 U.S.C. 2213 (d) and (e); section 103 (d) and (e) of the 
Act).



             Subpart D--How Does the Secretary Make a Grant?



Sec. 345.40  How does the Secretary evaluate an application for a development grant under this program?

    The Secretary evaluates each application using the selection 
criteria in 34 CFR 75.210.

(Authority: 29 U.S.C. 2212(a); section 102(a) of the Act)



Sec. 345.41  What other factors does the Secretary take into consideration in making development grant awards under this program?

    In making development grants under this program, the Secretary takes 
into consideration, to the extent feasible--
    (a) Achieving a balance among States that have differing levels of 
development of consumer-responsive comprehensive statewide programs of 
technology-related assistance; and
    (b) Achieving a geographically equitable distribution of the grants.

(Authority: 29 U.S.C. 2212(c); section 102(c) of the Act)



Sec. 345.42  What is the review process for an application for an extension grant?

    (a) The Secretary may award an initial extension grant to any State 
that--
    (1) Provides the evidence described in Sec. 345.6(b) and makes the 
demonstration described in paragraph (a)(2) of this section;
    (2) Demonstrates that the State has made significant progress, and 
has carried out systems change and advocacy activities that have 
resulted in significant progress, toward the development and 
implementation of a consumer-responsive comprehensive statewide program 
of technology-related assistance, consistent with this part; and
    (3) Holds a public hearing in the third year of a program carried 
out under a development grant, after providing appropriate and 
sufficient notice to allow interested groups and organizations

[[Page 258]]

and all segments of the public an opportunity to comment on the program.
    (b) The Secretary may award a second extension grant to any State 
that--
    (1) Provides the evidence described in Sec. 345.6(b) and makes the 
demonstration described in paragraph (a)(2) of this section;
    (2) Describes the steps the State has taken or will take to continue 
on a permanent basis the consumer-responsive comprehensive statewide 
program of technology-related assistance with the ability to maintain, 
at a minimum, the outcomes achieved by the systems change and advocacy 
activities;
    (3) Identifies future funding options and commitments for the 
program from the public and private sector and the key individuals, 
agencies, and organizations to be involved in, and to direct future 
efforts of, the program; and
    (4) Holds a public hearing in the second year of a program carried 
out under an initial extension grant, after providing appropriate and 
sufficient notice to allow interested groups and organizations and all 
segments of the public an opportunity to comment on the program.
    (c) In making any award to a State for a second extension grant, the 
Secretary makes an award contingent on a determination, based on the on-
site visit in Sec. 345.53, that the State is making significant progress 
toward development and implementation of a consumer-responsive 
comprehensive statewide program of technology-related assistance, except 
where the Secretary determines that the on-site visit is unnecessary. If 
the Secretary determines that the State is not making significant 
progress, the Secretary may take an action described in Sec. 345.61.

(Authority: 29 U.S.C. 2213 (b) and (e) and 2215(a)(2); sections 103 (b) 
and (e) and 105(a)(2) of the Act)



Sec. 345.43  What priorities does the Secretary establish?

    (a) The Secretary gives, in each of the 2 fiscal years succeeding 
the fiscal year in which amounts are first appropriated for carrying out 
development grants, priority for funding to States that received 
development grants under this part during the fiscal year preceding the 
fiscal year concerned.
    (b) For States that are applying for initial extension grants, the 
Secretary gives, in any fiscal year, priority to States that received 
initial extension grants during the fiscal year preceding the fiscal 
year concerned.
    (c) The Secretary may establish other appropriate priorities under 
the Act.

(Authority: 29 U.S.C. 2212(b)(4) and 2213(c); sections 102(b)(4) and 
103(c) of the Act)



         Subpart E--What Conditions Must Be Met After an Award?



Sec. 345.50  What are the reporting requirements for the recipients of development and extension grants?

    (a) States receiving development and extension grants shall submit 
annually to the Secretary a report that documents significant progress 
in developing and implementing a consumer-responsive comprehensive 
statewide program of technology-related assistance documenting the 
following:
    (1) The progress the State has made, as determined in the State's 
annual assessment (consistent with the guidelines established by the 
Secretary under Sec. 345.51) in achieving the State's goals, objectives, 
and outcomes as identified in the State's application, and areas of need 
that require attention in the next year, including unanticipated 
problems with the achievement of the goals, objectives, and outcomes 
described in the application, and the activities the State has 
undertaken to rectify these problems.
    (2) The systems change and advocacy activities carried out by the 
State including--
    (i) An analysis of the laws, regulations, policies, practices, 
procedures, and organizational structure that the State has changed, has 
attempted to change, or will attempt to change during the next year, to 
facilitate and increase timely access to, provision of, or funding for, 
assistive technology devices and assistive technology services; and
    (ii) A description of any written policies and procedures that the 
State has developed and implemented regarding access to, provision of, 
and funding for,

[[Page 259]]

assistive technology devices and assistive technology services, 
particularly policies and procedures regarding access to, provision of, 
and funding for, such devices and services under education (including 
special education), vocational rehabilitation, and medical assistance 
programs.
    (3) The degree of involvement of various State agencies, including 
the State insurance department, in the development, implementation, and 
evaluation of the program, including any interagency agreements that the 
State has developed and implemented regarding access to, provision of, 
and funding for, assistive technology devices and assistive technology 
services such as agreements that identify available resources for, 
assistive technology devices and assistive technology services and the 
responsibility of each agency for paying for such devices and services.
    (4) The activities undertaken to collect and disseminate information 
about the documents or activities analyzed or described in paragraphs 
(a) (1) through (3) of this section, including outreach activities to 
underrepresented populations and rural populations and efforts to 
disseminate information by means of electronic communication.
    (5) The involvement of individuals with disabilities who represent a 
variety of ages and types of disabilities in the planning, development, 
implementation, and assessment of the consumer-responsive comprehensive 
statewide program of technology-related assistance, including activities 
undertaken to improve such involvement, such as consumer training and 
outreach activities to underrepresented populations and rural 
populations.
    (6) The degree of consumer satisfaction with the program, including 
satisfaction by underrepresented populations and rural populations.
    (7) Efforts to train personnel as well as consumers.
    (8) Efforts to reduce the service delivery time for receiving 
assistive technology devices and assistive technology services.
    (9) Significant progress in the provision of protection and advocacy 
services, in each of the areas described in Sec. 345.55(c)(1)(ii).
    (b) The State shall make these reports readily available to the 
public at no extra cost.
    (c) The State shall submit on an annual basis--
    (1) A copy of the protection and advocacy contract or grant 
agreement entered into by the State;
    (2) Evidence of ongoing negotiations with an entity to provide 
protection and advocacy services, if the State has not yet entered into 
a grant or contract; or
    (3) A request that the Secretary enter into a grant agreement with 
an entity to provide protection and advocacy services, pursuant to 
Sec. 345.30(b)(12)(ii).

(Authority: 29 U.S.C. 2212(e)(16)(A) and 2214(b); sections 102(e)(16)(A) 
and 104(b) of the Act)



Sec. 345.51  When is a State making significant progress?

    A State is making significant progress when it carries out--
    (a) The systems change and advocacy activities listed in 
Sec. 345.30(b)(1)(ii)(A) through (F); or
    (b) Other systems change and advocacy activities, if the State 
demonstrates through the progress reports developed by the Secretary and 
required to be submitted by a State in Sec. 345.50 that it has 
accomplished the purposes of the program listed in Sec. 345.2(a).

(Authority: 29 U.S.C. 2212(e)(7) and 2214(a); sections 102(e)(7) and 
104(a) of the Act)



Sec. 345.52  Who retains title to devices provided under this program?

    Title to devices purchased with grant funds under this part, either 
directly or through any contract or subgrant, must be held by a public 
agency or by an individual with a disability who is the beneficiary of 
the device. If the disabled individual does not have legal status to 
hold title, the title may be retained by a parent or legal guardian.

(Authority: 29 U.S.C. 2212(e)(12)(B); section 102(e)(12)(B) of the Act)

[[Page 260]]



Sec. 345.53  What are the requirements for grantee participation in the Secretary's progress assessments?

    Recipients of development grants shall participate in the 
Secretary's assessment of the extent to which States are making 
significant progress by--
    (a) Participating in the on-site monitoring visits that will be made 
to each grantee during the final year of the development grant;
    (b) Participating in an on-site monitoring visit, that is in 
addition to the visit in paragraph (a), if the State applies for a 
second extension grant and whose initial on-site visit occurred prior to 
the date of the enactment of the Technology-Related Assistance for 
Individuals with Disabilities Act Amendments of 1994, unless the 
Secretary determines that the visit is not necessary.
    (c) Providing written evaluations of the State's progress toward 
fulfilling its goals and the objectives of the project, and such other 
documents as the Secretary may reasonably require to complete the 
required assessment.

(Authority: 29 U.S.C. 2215(a); section 105(a) of the Act)



Sec. 345.54  How may grant funds be used under this program?

    (a) States receiving funds under this part shall comply with the 
assurances provided under Secs. 345.30 and 345.31.
    (b) A State receiving a grant may make contracts or subgrants to the 
eligible entities in Sec. 345.6, provided that--
    (1) A designated public agency maintains fiscal responsibility and 
accountability; and
    (2) All appropriate provisions related to data collection, 
recordkeeping, and cooperation with the Secretary's evaluation and 
program monitoring efforts are applied to all subcontractors and 
subgrantees as well as to the agency receiving the grant.

(Authority: 29 U.S.C. 2212(e), 2213(d), and 2215(a)(5); sections 102(e), 
103(d), and 105(a)(5) of the Act; section 437 of the General Education 
Provisions Act; 20 U.S.C. 1232f)



Sec. 345.55  What are the responsibilities of a State in carrying out protection and advocacy services?

    (a)(1) A State is eligible to receive funding to provide protection 
and advocacy services if--
    (i) The State, as of June 30, 1993, has provided for protection and 
advocacy services through an entity that is capable of performing the 
functions that would otherwise be performed under Sec. 345.30(b)(12) by 
the system described in that section; and
    (ii) The entity referred to in Sec. 345.30(b)(12)(i) is not a system 
described in that section.
    (b) A State that meets both of the descriptions in paragraph (a)(1) 
of this section also shall comply with the same requirements of this 
part as a system that receives funding under Sec. 345.30(b)(12).
    (c)(1) A system that receives funds under Sec. 345.30(b)(12)(i) to 
carry out the protection and advocacy services described in 
Sec. 345.30(b)(12)(i) in a State, or an entity described in paragraph 
(a)(1) of this section, shall prepare reports that contain the 
information required by the Secretary, including the following:
    (i) A description of the activities carried out by the system or 
entity with the funds;
    (ii) Documentation of significant progress, in providing protection 
and advocacy services, in each of the following areas:
    (A) Conducting activities that are consumer-responsive, including 
activities that will lead to increased access to funding for assistive 
technology devices and assistive technology services.
    (B) Executing legal, administrative, and other appropriate means of 
representation to implement systems change and advocacy activities.
    (C) Developing and implementing strategies designed to enhance the 
long-term abilities of individuals with disabilities and their family 
members, guardians, advocates, and authorized representatives to 
successfully advocate for assistive technology devices and assistive 
technology services to which the individuals with disabilities

[[Page 261]]

are entitled under law other than this Act.
    (D) Coordinating activities with protection and advocacy services 
funded through sources other than this Act, and coordinating activities 
with the systems change and advocacy activities carried out by the State 
lead agency.
    (2) The system or entity shall submit the reports to the lead agency 
in the State not less often than every 6 months.
    (3) The system or entity shall provide monthly updates to the lead 
agency concerning the activities and information described in paragraph 
(c) of this section.
    (d) Before making a grant or entering into a contract under 
Sec. 345.30(b)(12)(ii) to support the protection and advocacy services 
described in Sec. 345.30(b)(12)(ii) in a State, the Secretary shall 
solicit and consider the opinions of the lead agency in the State with 
respect to the terms of the grant or contract.
    (e)(1) In each fiscal year, the Secretary specifies for each State 
receiving a development or an extension grant the minimum amount that 
the State shall use to provide protection and advocacy services.
    (2)(i) Except as provided for in paragraphs (e) (3) and (4), the 
Secretary calculates this minimum amount based on the size of the grant, 
the needs of individuals with disabilities within the State, the 
population of the State, and the geographic size of the State.
    (ii) The Secretary establishes a minimum amount for each State that 
ranges from at least $40,000 up to $100,000.
    (3) If a State receives a second extension grant, the Secretary 
specifies a minimum amount for the fourth year (if any) of the grant 
period that equals 75 percent of the minimum amount specified for the 
State for the third year of the second extension grant of the State.
    (4) If a State receives a second extension grant, the Secretary 
specifies a minimum amount for the fifth year (if any) of the grant 
period that equals 50 percent of the minimum amount specified for the 
State for the third year of the second extension grant of the State.
    (5) After the fifth year (if any) of the grant period, no Federal 
funds may be made available under this title by the State to a system 
described in Sec. 345.30(b)(12) or an entity described in paragraph (a) 
of this section.

(Authority: 29 U.S.C. 2212(f); section 102(f) of the Act)



      Subpart F--What Compliance Procedures May the Secretary Use?



Sec. 345.60  Who is subject to a corrective action plan?

    (a) Any State that fails to comply with the requirements of this 
part is subject to a corrective action plan.
    (b) A State may appeal a finding that it is subject to corrective 
action within 30 days of being notified in writing by the Secretary of 
the finding.

(Authority: 29 U.S.C. 2215(b)(1); section 105(b)(1) of the Act)



Sec. 345.61  What penalties may the Secretary impose on a grantee that is subject to corrective action?

    A State that fails to comply with the requirements of this part may 
be subject to corrective actions such as--
    (a) Partial or complete termination of funds;
    (b) Ineligibility to participate in the grant program in the 
following year;
    (c) Reduction in funding for the following year; or
    (d) Required redesignation of the lead agency.

(Authority: 29 U.S.C. 2215(b)(2); section 105(b)(2) of the Act)



Sec. 345.62  How does a State redesignate the lead agency when it is subject to corrective action?

    (a) Once a State becomes subject to a corrective action plan under 
Sec. 345.60, the Governor of the State, subject to approval by the 
Secretary, shall appoint, within 30 days after the submission of the 
plan to the Secretary, a monitoring panel consisting of the following 
representatives:
    (1) The head of the lead agency designated by the Governor;

[[Page 262]]

    (2) Two representatives from different public or private nonprofit 
organizations that represent the interests of individuals with 
disabilities;
    (3) Two consumers who are users of assistive technology devices and 
assistive technology services and who are not--
    (i) Members of the advisory council, if any, of the consumer-
responsive comprehensive statewide program of technology-related 
assistance; or
    (ii) Employees of the State lead agency; and
    (4) Two service providers with knowledge and expertise in assistive 
technology devices and assistive technology services.
    (b) The monitoring panel must be ethnically diverse. The panel shall 
select a chairperson from among the members of the panel.
    (c) The panel shall receive periodic reports from the State 
regarding progress in implementing the corrective action plan and shall 
have the authority to request additional information necessary to 
determine compliance.
    (d) The meetings of the panel to determine compliance shall be open 
to the public (subject to confidentiality concerns) and held at 
locations that are accessible to individuals with disabilities.
    (e) The panel shall carry out the duties of the panel for the entire 
period of the corrective action plan, as determined by the Secretary.
    (f) A failure by a Governor of a State to comply with the 
requirements of paragraphs (a) through (e) of this section results in 
the termination of funding for the State under this part.
    (g) Based on its findings, a monitoring panel may determine that a 
lead agency designated by a Governor has not accomplished the purposes 
described in Sec. 345.2(a) and that there is good cause for 
redesignation of the agency and the temporary loss of funds by the State 
under this part.
    (h) For the purposes of this section, ``good cause'' includes the 
following:
    (1) Lack of progress with employment of qualified staff;
    (2) Lack of consumer-responsive activities;
    (3) Lack of resource allocation to systems change and advocacy 
activities;
    (4) Lack of progress with meeting the assurances in Sec. 345.30(b); 
or
    (5) Inadequate fiscal management.
    (i) If a monitoring panel determines that the lead agency should be 
redesignated, the panel shall recommend to the Secretary that further 
remedial action be taken or that the Secretary order the Governor to 
redesignate the lead agency within 90 days or lose funds under this 
part. The Secretary, based on the findings and recommendations of the 
monitoring panel, and after providing to the public notice and 
opportunity for comment, shall make a final determination regarding 
whether to order the Governor to redesignate the lead agency. The 
Governor shall make any redesignation in accordance with the 
requirements that apply to designations under Sec. 345.6.

(Authority: 29 U.S.C. 2215(c); section 105(c) of the Act)



Sec. 345.63  How does a State change the entity responsible for providing protection and advocacy services?

    (a) The Governor of a State, based on input from individuals with 
disabilities and their family members, guardians, advocates, or 
authorized representatives, may determine that the entity providing 
protection and advocacy services has not met the protection and advocacy 
service needs of the individuals with disabilities and their family 
members, guardians, advocates, or authorized representatives, for 
securing funding for and access to assistive technology devices and 
assistive technology services, and that there is good cause to provide 
the protection and advocacy services for the State through a contract 
with a second entity.
    (b) On making the determination in paragraph (a) of this section, 
the Governor may not enter into a contract with a second entity to 
provide the protection and advocacy services unless good cause exists 
and unless--
    (1) The Governor has given the first entity 30 days notice of the 
intention to enter into the contract, including specification of good 
cause, and an opportunity to respond to the assertion that good cause 
has been shown;

[[Page 263]]

    (2) Individuals with disabilities and their family members, 
guardians, advocates, or authorized representatives, have timely notice 
of the determination and opportunity for public comment; and
    (3) The first entity has the opportunity to appeal the determination 
to the Secretary within 30 days of the determination on the basis that 
there is not good cause to enter into the contract.
    (c)(1) When the Governor of a State determines that there is good 
cause to enter into a contract with a second entity to provide the 
protection and advocacy services, the Governor shall hold an open 
competition within the State and issue a request for proposals by 
entities desiring to provide the services.
    (2) The Governor shall not issue a request for proposals by entities 
desiring to provide protection and advocacy services until the first 
entity has been given notice and an opportunity to respond. If the first 
entity appeals the determination to the Secretary, the Governor shall 
issue such request only if the Secretary decides not to overturn the 
determination of the Governor. The Governor shall issue such request 
within 30 days after the end of the period during which the first entity 
has the opportunity to respond, or after the decision of the Secretary, 
as appropriate.
    (3) The competition shall be open to entities with the same 
expertise and ability to provide legal services as a system in 
Sec. 345.30(b)(12). The competition shall ensure public involvement, 
including a public hearing and adequate opportunity for public comment.

(Authority: 29 U.S.C. 2215(d); section 105(d) of the Act)



PART 350--DISABILITY AND REHABILITATION RESEARCH PROJECTS AND CENTERS PROGRAM (Eff. 10-1-97)--Table of Contents




                           Subpart A--General

Sec.
350.1  What is the Disability and Rehabilitation Research Projects and 
          Centers Program?
350.2  What is the purpose of the Disability and Rehabilitation Research 
          Project and Centers Program?
350.3  Who is eligible for an award?
350.4  What regulations apply?
350.5  What definitions apply?

           Subpart B--What Projects Does the Secretary Assist?

350.10  What are the general requirements for Disability and 
          Rehabilitation Research Projects?
350.11  What are the general requirements for a Field-Initiated Project?
350.12  What are the general requirements for an Advanced Rehabilitation 
          Research Training Project?
350.13  What must a grantee do in carrying out a research activity?
350.14  What must a grantee do in carrying out a training activity?
350.15  What must a grantee do in carrying out a demonstration activity?
350.16  What must a grantee do in carrying out a development activity?
350.17  What must a grantee do in carrying out a utilization activity?
350.18  What must a grantee do in carrying out a dissemination activity?
350.19  What must a grantee do in carrying out a technical assistance 
          activity?

 Subpart C--What Rehabilitation Research and Training Centers Does the 
                            Secretary Assist?

350.20  What general requirements must a Rehabilitation Research and 
          Training Center meet?
350.21  What collaboration must a Rehabilitation Research and Training 
          Center engage in?
350.22  What activities must a Rehabilitation Research and Training 
          Center conduct?
350.23  What restriction exists on Rehabilitation Research and Training 
          Centers regarding indirect costs?

  Subpart D--What Rehabilitation Engineering Research Centers Does the 
                            Secretary Assist?

350.30  What requirements must a Rehabilitation Engineering Research 
          Center meet?
350.31  What collaboration must a Rehabilitation Engineering Research 
          Center engage in?
350.32  What activities must a Rehabilitation Engineering Research 
          Center conduct?
350.33  What cooperation requirements must a Rehabilitation Engineering 
          Research Center meet?

[[Page 264]]

350.34  Which Rehabilitation Engineering Research Centers must have an 
          advisory committee?
350.35  What are the requirements for the composition of an advisory 
          committee?

               Subpart E--How Does One Apply for an Award?

350.40  What is required of each applicant regarding the needs of 
          individuals with disabilities from minority backgrounds?
350.41  What State agency review must an applicant under the Disability 
          and Rehabilitation Research Projects and Centers Program 
          obtain?

            Subpart F--How Does the Secretary Make an Award?

350.50  What is the peer review process for this Program?
350.51  What is the purpose of peer review?
350.52  What is the composition of a peer review panel?
350.53  How does the Secretary evaluate an application?
350.54  What selection criteria does the Secretary use in evaluating an 
          application?
350.55  What are the additional considerations for selecting Field-
          Initiated Project applications for funding?

         Subpart G--What Conditions Must Be Met After an Award?

350.60  How must a grantee conduct activities?
350.61  What evaluation requirements must a grantee meet?
350.62  What are the matching requirements?
350.63  What are the requirements of a grantee relative to the Client 
          Assistance Program?
350.64  What is the required duration of the training in an Advanced 
          Rehabilitation Research Training Project?
350.65  What level of participation is required of trainees in an 
          Advanced Rehabilitation Research Training Project?
350.66  What must a grantee include in a patent application?

    Authority: Sec. 204; 29 U.S.C. 761-762, unless otherwise noted.

    Source: 62 FR 5713, Feb. 6, 1997, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 350 was 
revised, effective Oct. 1, 1997. For the convenience of the user, part 
350 remaining in effect until Oct. 1, 1997, follows the text of this new 
part.



                           Subpart A--General



Sec. 350.1  What is the Disability and Rehabilitation Research Projects and Centers Program?

    The Disability and Rehabilitation Research Projects and Centers 
Program provides grants to establish and support--
    (a) The following Disability and Rehabilitation Research and Related 
Projects:
    (1) Disability and Rehabilitation Research Projects.
    (2) Field-Initiated Projects.
    (3) Advanced Rehabilitation Research Training Projects; and
    (b) The following Disability and Rehabilitation Research Centers:
    (1) Rehabilitation Research and Training Centers.
    (2) Rehabilitation Engineering Research Centers.

(Authority: Sec. 204; 29 U.S.C. 762)



Sec. 350.2  What is the purpose of the Disability and Rehabilitation Research Project and Centers Program?

    The purpose of the Disability and Rehabilitation Research Project 
and Centers Program is to plan and conduct research, demonstration 
projects, training, and related activities, including international 
activities, to--
    (a) Develop methods, procedures, and rehabilitation technology, that 
maximize the full inclusion and integration into society, employment, 
independent living, family support, and economic and social self-
sufficiency of individuals with disabilities, especially individuals 
with the most severe disabilities; and
    (b) Improve the effectiveness of services authorized under the Act.

(Authority: Secs. 204(a) and (b)(6); 29 U.S.C. 762(a) and (b)(6))



Sec. 350.3  Who is eligible for an award?

    The following entities are eligible for an award under this program:
    (a) States.
    (b) Public or private agencies, including for-profit agencies.
    (c) Public or private organizations, including for-profit 
organizations.
    (d) Institutions of higher education.

[[Page 265]]

    (e) Indian tribes and tribal organizations.

(Authority: Sec. 204(a); 29 U.S.C. 762(a))



Sec. 350.4  What regulations apply?

    The following regulations apply to the Disability and Rehabilitation 
Research Projects and Centers Program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants and Agreements with 
Institutions of Higher Education, Hospitals, and Other Non-profit 
Organizations).
    (2) 34 CFR part 75 (Direct Grant Programs).
    (3) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (4) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (5) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (6) 34 CFR part 82 (New Restrictions on Lobbying).
    (7) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (8) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 350.
    (c)(1) Subject to the additional requirement in paragraph (c)(2) of 
this section, 34 CFR part 97 (Protection of Human Subjects).
    (2) If an institutional review board (IRB) reviews research that 
purposefully requires inclusion of children with disabilities or 
individuals with mental disabilities as research subjects, the IRB must 
have at least one member who is primarily concerned with the welfare of 
these research subjects.

(Authority: 29 U.S.C. 761a, 762, 42 U.S.C. 300v-1(b))



Sec. 350.5  What definitions apply?

    (a) The following definitions in 34 CFR part 77 apply to this part--

Applicant
Application
Award
Budget
Department
EDGAR
Equipment
Facilities
Grant
Grantee
Nonprofit
Private
Project
Project period
Public
Recipient
Secretary
Supplies
State

(Authority: Sec. 202(i)(1); 29 U.S.C. 761a(i)(1))

    (b) The following definitions also apply to this part.
    Act means the Rehabilitation Act of 1973 (29 U.S.C. 701, et seq.), 
as amended.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1))

    Assistive technology device means any item, piece of equipment, or 
product system, whether acquired commercially or off the shelf, 
modified, or customized, that is used to increase, maintain, or improve 
functional capabilities of individuals with disabilities.

(Authority: Sec. 7(23); 29 U.S.C. 706(23))

    Assistive technology service means any service that directly assists 
an individual with a disability in the selection, acquisition, or use of 
an assistive technology device, including--
    (1) The evaluation of the needs of an individual with a disability, 
including a functional evaluation of the individual in the individual's 
customary environment;
    (2) Purchasing, leasing, or otherwise providing for the acquisition 
of assistive technology devices by individuals with disabilities;
    (3) Selecting, designing, fitting, customizing, adapting, applying, 
maintaining, repairing, or replacing assistive technology devices;
    (4) Coordinating and using other therapies, interventions, or 
services with assistive technology devices, such as those associated 
with existing education and rehabilitation plans and programs;
    (5) Training or technical assistance for individuals with 
disabilities, or, if appropriate, their family members,

[[Page 266]]

guardians, advocates, or authorized representatives; and
    (6) Training or technical assistance for professionals (including 
individuals providing education and rehabilitation services), employers, 
or other individuals who provide services to employ, or are otherwise 
substantially involved in the major life functions of, individuals with 
disabilities.

(Authority: Sec. 7(24); 29 U.S.C. 706(24))

    Disability means a physical or mental impairment that substantially 
limits one or more major life activities.

(Authority: Sec. 202(i)(1); 29 U.S.C. 761a(i)(1))

    Individual with a disability means any individual who:
    (1) Has a physical or mental impairment that substantially limits 
one or more of the individual's major life activities;
    (2) Has a record of this impairment; or
    (3) Is regarded as having this impairment.

(Authority: Sec. 7(8)(B); 29 U.S.C. 706(8)(B))

    Individual with a severe disability means--
    (1)(i) An individual with a disability who has a severe physical or 
mental impairment that seriously limits one or more functional 
capacities (such as mobility, communication, self-care, self-direction, 
interpersonal skills, work tolerance, or work skills) in terms of an 
employment outcome;
    (ii) Whose vocational rehabilitation can be expected to require 
multiple vocational rehabilitation services over an extended period of 
time; and
    (iii) Who has one or more physical or mental disabilities resulting 
from amputation, arthritis, autism, blindness, burn injury, cancer, 
cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, 
hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental 
retardation, mental illness, multiple sclerosis, muscular dystrophy, 
musculoskeletal disorders, neurological disorders (including stroke and 
epilepsy), paraplegia, quadriplegia, other spinal cord impairments, 
sickle cell anemia, specific learning disability, end-stage renal 
disease, or another disability or combination of disabilities determined 
on the basis of an assessment of rehabilitation needs to cause 
comparable substantial functional limitation; or
    (2) An individual with a severe mental or physical impairment whose 
ability to function independently in the family or community or whose 
ability to obtain, maintain, or advance in employment is substantially 
limited and for whom the delivery of independent living services will 
improve the ability to function, continue functioning, or move towards 
functioning independently in the family or community or to continue in 
employment, respectively.

(Authority: Sec. 7(15)(C); 29 U.S.C. 706(15)(C))

    Personal assistance services means a range of services, provided by 
one or more persons, designed to assist an individual with a disability 
to perform daily living activities, on and off the job, that the 
individual would typically perform if the individual did not have a 
disability. These services must be designed to increase the individual's 
control in life and ability to perform everyday activities on and off 
the job.

(Authority: Sec. 12(c); 29 U.S.C. 711(c))

    Rehabilitation technology means the systematic application of 
technologies, engineering methodologies, or scientific principles to 
meet the needs of and address the barriers confronted by individuals 
with disabilities in such areas as education, rehabilitation, 
employment, transportation, independent living, and recreation, and 
includes rehabilitation engineering, assistive technology devices, and 
assistive technology services.

(Authority: Sec. 7(13); 29 U.S.C. 706(13))

    Research is classified on a continuum from basic to applied:
    (1) Basic research is research in which the investigator is 
concerned primarily with gaining new knowledge or understanding of a 
subject without reference to any immediate application or utility.
    (2) Applied research is research in which the investigator is 
primarily interested in developing new knowledge, information or 
understanding which

[[Page 267]]

can be applied to a predetermined rehabilitation problem or need. 
Applied research builds on selected findings from basic research.

(Authority: Sec. 202(i)(1); 29 U.S.C. 761a(i)(1))

    State rehabilitation agency means the sole State agency designated 
to administer (or supervise local administration of) the State plan for 
vocational rehabilitation services. The term includes the State agency 
for the blind, if designated as the State agency with respect to that 
part of the plan relating to the vocational rehabilitation of blind 
individuals.

(Authority: Sec. 101(a)(1)(A); 29 U.S.C. 721(a)(1)(A))

    Target population means the group of individuals, organizations, or 
other entities expected to be affected by the project. More than one 
group may be involved since a project may affect those who receive 
services, provide services, or administer services.

(Authority: Sec. 202(i)(1); 29 U.S.C. 761a(i)(1))



           Subpart B--What Projects Does the Secretary Assist?



Sec. 350.10   What are the general requirements for Disability and Rehabilitation Research Projects?

    Disability and Rehabilitation Research Projects must meet the 
following requirements:
    (a) Carry out one or more of the following types of activities, as 
specified in Secs. 350.13-350.19:
    (1) Research.
    (2) Development.
    (3) Demonstration.
    (4) Training.
    (5) Dissemination.
    (6) Utilization.
    (7) Technical assistance.
    (b) Further one or more of the purposes listed in Sec. 350.2.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.11   What are the general requirements for a Field-Initiated Project?

    A Field-Initiated Project must--
    (a) Further one or more of the purposes in Sec. 350.2; and
    (b) Carry out one of the following types of activities:
    (1) Research.
    (2) Development.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.12   What are the general requirements for an Advanced Rehabilitation Research Training Project?

    An Advanced Rehabilitation Research Training Project must--
    (a) Provide research training and experience at an advanced level to 
individuals with doctorates or similar advanced degrees who have 
clinical or other relevant experience;
    (b) Further one or more of the purposes in Sec. 350.2; and
    (c) Carry out all of the following activities:
    (1) Recruitment and selection of candidates for advanced research 
training.
    (2) Provision of a training program that includes didactic and 
classroom instruction, is multidisciplinary, and emphasizes scientific 
methodology, and may involve collaboration among institutions.
    (3) Provision of research experience, laboratory experience or its 
equivalent in a community-based research setting, and a practicum that 
involve each individual in clinical research and in practical activities 
with organizations representing individuals with disabilities.
    (4) Provision of academic mentorship or guidance, and opportunities 
for scientific collaboration with qualified researchers at the host 
university and other appropriate institutions.
    (5) Provision of opportunities for participation in the development 
of professional presentations and publications, and for attendance at 
professional conferences and meetings as appropriate for the 
individual's field of study and level of experience.

(Authority: Sec. 202(k); 29 U.S.C. 761a(k))



Sec. 350.13   What must a grantee do in carrying out a research activity?

    In carrying out a research activity under this program, a grantee 
shall--
    (a) Identify one or more hypotheses; and
    (b) Based on the hypotheses identified, perform an intensive 
systematic study directed toward--
    (1) New or full scientific knowledge; or

[[Page 268]]

    (2) Understanding of the subject or problem studied.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.14   What must a grantee do in carrying out a training activity?

    In carrying out a training activity under this program, a grantee 
shall conduct a planned and systematic sequence of supervised 
instruction that is designed to impart predetermined skills and 
knowledge.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.15   What must a grantee do in carrying out a demonstration activity?

    In carrying out a demonstration activity under this program, a 
grantee shall apply results derived from previous research, testing, or 
practice to determine the effectiveness of a new strategy or approach.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.16   What must a grantee do in carrying out a development activity?

    In carrying out a development activity under this program, a grantee 
must use knowledge and understanding gained from research to create 
materials, devices, systems, or methods beneficial to the target 
population, including design and development of prototypes and 
processes.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.17   What must a grantee do in carrying out a utilization activity?

    In carrying out a utilization activity under this program, a grantee 
must relate research findings to practical applications in planning, 
policy making, program administration, and delivery of services to 
individuals with disabilities.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.18   What must a grantee do in carrying out a dissemination activity?

    In carrying out a dissemination activity under this program, a 
grantee must systematically distribute information or knowledge through 
a variety of ways to potential users or beneficiaries.

(Authority: Sec. 202; 29 U.S.C. 761a)



Sec. 350.19   What must a grantee do in carrying out a technical assistance activity?

    In carrying out a technical assistance activity under this program, 
a grantee must provide expertise or information for use in problem-
solving.

(Authority: Sec. 202; 29 U.S.C. 761a)



 Subpart C--What Rehabilitation Research and Training Centers Does the 
                            Secretary Assist?



Sec. 350.20   What general requirements must a Rehabilitation Research and Training Center meet?

    A Rehabilitation Research and Training Center shall--
    (a) Plan and conduct activities that further one or more of the 
purposes listed in Sec. 350.2;
    (b) Serve as a center of national excellence and as a national or 
regional resource for providers and individuals with disabilities and 
the parents, family members, guardians, advocates, or authorized 
representatives of the individuals;
    (c) Be of sufficient size, scope, and quality to effectively carry 
out the activities in an efficient manner consistent with appropriate 
State and Federal law; and
    (d) Be able to carry out training activities either directly or 
through another entity that can provide such training.

(Authority: Secs. 204(b) and (b)(2)(K); 29 U.S.C. 762(b) and (b)(2)(K))



Sec. 350.21   What collaboration must a Rehabilitation Research and Training Center engage in?

    A Rehabilitation Research and Training Center must be operated by or 
in collaboration with--
    (a) One or more institutions of higher education; or
    (b) One or more providers of rehabilitation or other appropriate 
services.

(Authority: Sec. 204(b)(2); 29 U.S.C. 762(b)(2))

[[Page 269]]



Sec. 350.22   What activities must a Rehabilitation Research and Training Center conduct?

    A Rehabilitation Research and Training Center shall--
    (a) Carry out research activities by conducting coordinated and 
advanced programs of research in rehabilitation targeted toward the 
production of new knowledge that will--
    (1) Improve rehabilitation methodology and service delivery systems;
    (2) Alleviate or stabilize disabling conditions; and
    (3) Promote maximum social and economic independence of individuals 
with disabilities;
    (b) Conduct training activities by providing training (including 
graduate, pre-service, and in-service training) to assist--
    (1) Rehabilitation personnel and other individuals to more 
effectively provide rehabilitation services; and
    (2) Rehabilitation research personnel and other rehabilitation 
personnel to improve their capacity to conduct research; and
    (c) Conduct technical assistance activities by serving as an 
informational and technical assistance resource for providers, 
individuals with disabilities, and the parents, family members, 
guardians, advocates, or authorized representatives of the individuals 
with disabilities, through conferences, workshops, public education 
programs, in-service training programs, and similar activities.



Sec. 350.23  What restriction exists on Rehabilitation Research and Training Centers regarding indirect costs?

    A host institution with which a Rehabilitation Research and Training 
Center is affiliated may not collect more than fifteen percent of the 
total grant award as indirect cost charges, notwithstanding the 
provisions in 34 CFR 75.562.

(Authority: Sec. 204(b)(2)(O); 29 U.S.C. 762(b)(2)(O))



  Subpart D--What Rehabilitation Engineering Research Centers Does the 
                            Secretary Assist?



Sec. 350.30  What requirements must a Rehabilitation Engineering Research Center meet?

    A Rehabilitation Engineering Research Center shall plan and conduct 
activities that--
    (a) Further one or more of the purposes listed in Sec. 350.2; and
    (b)(1) Lead to the development of methods, procedures, and devices 
that will benefit individuals with disabilities, especially those with 
the most severe disabilities; or
    (2) Involve rehabilitation technology and enhance opportunities for 
meeting the needs of, and addressing the barriers confronted by, 
individuals with disabilities in all aspects of their lives.

(Authority: Sec. 204(b)(3); 29 U.S.C. 762(b)(3))



Sec. 350.31  What collaboration must a Rehabilitation Engineering Research Center engage in?

    A Rehabilitation Engineering Research Center must be operated by or 
in collaboration with--
    (a) One or more institutions of higher education; or
    (b) One or more nonprofit organizations.

(Authority: Sec. 204(b)(3); 29 U.S.C. 762(b)(3))



Sec. 350.32  What activities must a Rehabilitation Engineering Research Center conduct?

    A Rehabilitation Engineering Research Center shall--
    (a) Conduct research or demonstration activities by using one or 
more of the following strategies:
    (1) Developing and disseminating innovative methods of applying 
advanced technology, scientific achievement, and psychological and 
social knowledge to solve rehabilitation problems and remove 
environmental barriers through--
    (i) Planning and conducting research, including cooperative research 
with

[[Page 270]]

public or private agencies and organizations, designed to produce new 
scientific knowledge and new or improved methods, equipment, or devices; 
and
    (ii) Studying and evaluating new or emerging technologies, products, 
or environments and their effectiveness and benefits.
    (2) Demonstrating and disseminating--
    (i) Innovative models for the delivery to rural and urban areas of 
cost-effective rehabilitation technology services that will promote the 
use of assistive technology services; and
    (ii) Other scientific research to assist in meeting the employment 
and independent living needs of individuals with severe disabilities.
    (3) Conducting research and demonstration activities that facilitate 
service delivery systems change by demonstrating, evaluating, 
documenting, and disseminating--
    (i) Consumer-responsive and individual and family-centered 
innovative models for the delivery, to both rural and urban areas, of 
innovative, cost-effective rehabilitation technology services that 
promote use of rehabilitation technology; and
    (ii) Other scientific research to assist in meeting the employment 
and independent living needs of, and addressing the barriers confronted 
by individuals with disabilities, including individuals with severe 
disabilities;
    (b) To the extent consistent with the nature and type of research or 
demonstration activities described in paragraph (a) of this section, 
carry out research, training, and information dissemination activities 
by--
    (1) Providing training opportunities to individuals, including 
individuals with disabilities, to enable them to become rehabilitation 
technology researchers and practitioners of rehabilitation technology in 
conjunction with institutions of higher education and nonprofit 
organizations; and
    (2) Responding, through research or demonstration activities, to the 
needs of individuals with all types of disabilities who may benefit from 
the application of technology within the subject area of focus of the 
Center.
    (c) Conduct orientation seminars for rehabilitation service 
personnel to improve the application of rehabilitation technology;
    (d) Conduct activities that specifically demonstrate means for 
utilizing rehabilitation technology; and
    (e) Provide technical assistance and consultation that are 
responsive to concerns of service providers and consumers.

(Authority: Sec. 204(b)(3); 29 U.S.C. 762(b)(3))



Sec. 350.33  What cooperation requirements must a Rehabilitation Engineering Research Center meet?

    A Rehabilitation Engineering Research Center--
    (a) Shall cooperate with State agencies and other local, State, 
regional, and national programs and organizations developing or 
delivering rehabilitation technology, including State programs funded 
under the Technology-Related Assistance for Individuals With 
Disabilities Act of 1988 (29 U.S.C. 2201 et seq.); and
    (b) To the extent consistent with the nature and type of research or 
demonstration activities described in Sec. 350.32(a), shall cooperate 
with the entities described in paragraph (a) of this section to provide 
information to individuals with disabilities and their parents, family 
members, guardians, advocates, or authorized representatives, to--
    (1) Increase awareness and understanding of how rehabilitation 
technology can address their needs; and
    (2) Increase awareness and understanding of the range of options, 
programs, services, and resources available, including financing options 
for the technology and services covered by the subject area of focus of 
the Center.

(Authority: Sec. 204(b)(3) and (c); 29 U.S.C. 762(b)(3) and (c))



Sec. 350.34  Which Rehabilitation Engineering Research Centers must have an advisory committee?

    A Rehabilitation Engineering Research Center conducting research or 
demonstration activities that facilitate service delivery systems change 
must have an advisory committee.

(Authority: Sec. 204 (b)(3)(D); 29 U.S.C. 762 (b)(3)(D))

[[Page 271]]



Sec. 350.35  What are the requirements for the composition of an advisory committee?

    The majority of a Rehabilitation Engineering Research Center 
advisory committee's members must be comprised of individuals with 
disabilities who are users of rehabilitation technology, or their 
parents, family members, guardians, advocates, or authorized 
representatives.

(Authority: Sec. 204(b)(3)(D); 29 U.S.C. 762(b)(3)(D))



               Subpart E--How Does One Apply for an Award?



Sec. 350.40  What is required of each applicant regarding the needs of individuals with disabilities from minority backgrounds?

    (a) Unless the Secretary indicates otherwise in a notice published 
in the Federal Register, an applicant for assistance under this program 
must demonstrate in its application how it will address, in whole or in 
part, the needs of individuals with disabilities from minority 
backgrounds.
    (b) The approaches an applicant may take to meet this requirement 
may include one or more of the following:
    (1) Proposing project objectives addressing the needs of individuals 
with disabilities from minority backgrounds.
    (2) Demonstrating that the project will address a problem that is of 
particular significance to individuals with disabilities from minority 
backgrounds.
    (3) Demonstrating that individuals from minority backgrounds will be 
included in study samples in sufficient numbers to generate information 
pertinent to individuals with disabilities from minority backgrounds.
    (4) Drawing study samples and program participant rosters from 
populations or areas that include individuals from minority backgrounds.
    (5) Providing outreach to individuals with disabilities from 
minority backgrounds to ensure that they are aware of rehabilitation 
services, clinical care, or training offered by the project.
    (6) Disseminating materials to or otherwise increasing the access to 
disability information among minority populations.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Sec. 21(b)(6); 29 U.S.C. 718b(b)(6))



Sec. 350.41  What State agency review must an applicant under the Disability and Rehabilitation Research Projects and Centers Program obtain?

    (a) An applicant that proposes to conduct research, demonstrations, 
or related activities that will either involve clients of the State 
vocational rehabilitation agency as research subjects or study 
vocational rehabilitation services or techniques under this program, 
shall follow the requirements in 34 CFR 75.155 through 75.159.
    (b) For the purposes of this Program, State as used in 34 CFR 75.155 
through 75.159 means the State rehabilitation agency or agencies in the 
primary State or States to be affected by the proposed activities.

(Authority: Secs. 204(c) and 306(i); 29 U.S.C. 762(c) and 766(a))



            Subpart F--How Does the Secretary Make an Award?



Sec. 350.50  What is the peer review process for this Program?

    (a) The Secretary refers each application for a grant governed by 
those regulations in this part to a peer review panel established by the 
Secretary.
    (b) Peer review panels review applications on the basis of the 
applicable selection criteria in Sec. 350.54.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))



Sec. 350.51  What is the purpose of peer review?

    The purpose of peer review is to insure that--
    (a) Those activities supported by the National Institute on 
Disability and Rehabilitation Research (NIDRR) are of the highest 
scientific, administrative, and technical quality; and
    (b) Activity results may be widely applied to appropriate target 
populations and rehabilitation problems.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))

[[Page 272]]



Sec. 350.52  What is the composition of a peer review panel?

    (a) The Secretary selects as members of a peer review panel 
scientists and other experts in rehabilitation or related fields who are 
qualified, on the basis of training, knowledge, or experience, to give 
expert advice on the merit of the applications under review.
    (b) Applications for awards of $60,000 or more, except those for the 
purposes of evaluation, dissemination of information, or conferences, 
must be reviewed by a peer review panel that consists of a majority of 
non-Federal members.
    (c) In selecting members to serve on a peer review panel, the 
Secretary takes into account all of the following factors:
    (1) The level of formal scientific or technical education completed 
by potential panel members.
    (2)(i) The extent to which potential panel members have engaged in 
scientific, technical, or administrative activities appropriate to the 
category of applications that the panel will consider;
    (ii) The roles of potential panel members in those activities; and
    (iii) The quality of those activities.
    (3) The recognition received by potential panel members as reflected 
by awards and other honors from scientific and professional agencies and 
organizations outside the Department.
    (4) Whether the panel includes knowledgeable individuals with 
disabilities, or parents, family members, guardians, advocates, or 
authorized representatives of individuals with disabilities.
    (5) Whether the panel includes individuals from diverse populations.

(Authority: Secs. 18 and 202(e); 29 U.S.C. 717 and 761a(e))



Sec. 350.53  How does the Secretary evaluate an application?

    (a)(1)(i) The Secretary selects one or more of the selection 
criteria in Sec. 350.54 to evaluate an application;
    (ii) The Secretary establishes selection criteria based on statutory 
provisions that apply to the Program which may include, but are not 
limited to--
    (A) Specific statutory selection criteria;
    (B) Allowable activities;
    (C) Application content requirements; or
    (D) Other pre-award and post-award conditions; or
    (iii) The Secretary uses a combination of selection criteria 
established under paragraph (a)(1)(ii) of this section and selection 
criteria in Sec. 350.54.
    (2) For Field-Initiated Projects, the Secretary does not consider 
Sec. 350.54(b) (Responsiveness to the Absolute or Competitive Priority) 
in evaluating an application.
    (b)(1) In considering selection criteria in Sec. 350.54, the 
Secretary selects one or more of the factors listed in the criteria 
except as provided for in paragraph (b)(2) of this section.
    (2) Under Sec. 350.54, the Secretary always considers the factor in 
paragraph (n)(2) of that section.
    (c) The maximum possible score for an application is 100 points.
    (d)(1) In the application package or a notice published in the 
Federal Register, the Secretary informs applicants of--
    (i)(A) The selection criteria chosen; and
    (B) The maximum possible score for each of the selection criteria; 
and
    (ii)(A) The factors selected for considering the selection criteria; 
and
    (B) If points are assigned to each factor, the maximum possible 
score for each factor under each criterion.
    (2) If no points are assigned to each factor, the Secretary 
evaluates each factor equally.
    (e) For Field-Initiated Projects, in addition to the selection 
criteria, the Secretary uses the additional considerations in selecting 
applications for funding as described in Sec. 350.55.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))



Sec. 350.54  What selection criteria does the Secretary use in evaluating an application?

    In addition to criteria established under Sec. 350.53(a)(1)(ii), the 
Secretary may select one or more of the following criteria in evaluating 
an application:
    (a) Importance of the problem. (1) The Secretary considers the 
importance of the problem.
    (2) In determining the importance of the problem, the Secretary 
considers one or more of the following factors:

[[Page 273]]

    (i) The extent to which the applicant clearly describes the need and 
target population.
    (ii) The extent to which the proposed activities further the 
purposes of the Act.
    (iii) The extent to which the proposed activities address a 
significant need of one or more disabled populations.
    (iv) The extent to which the proposed activities address a 
significant need of rehabilitation service providers.
    (v) The extent to which the proposed activities address a 
significant need of those who provide services to individuals with 
disabilities.
    (vi) The extent to which the applicant proposes to provide training 
in a rehabilitation discipline or area of study in which there is a 
shortage of qualified researchers, or to a trainee population in which 
there is a need for more qualified researchers.
    (vii) The extent to which the proposed project will have beneficial 
impact on the target population.
    (b) Responsiveness to an absolute or competitive priority. (1) The 
Secretary considers the responsiveness of the application to an absolute 
or competitive priority published in the Federal Register.
    (2) In determining the application's responsiveness to the absolute 
or competitive priority, the Secretary considers one or more of the 
following factors:
    (i) The extent to which the applicant addresses all requirements of 
the absolute or competitive priority.
    (ii) The extent to which the applicant's proposed activities are 
likely to achieve the purposes of the absolute or competitive priority.
    (c) Design of research activities. (1) The Secretary considers the 
extent to which the design of research activities is likely to be 
effective in accomplishing the objectives of the project.
    (2) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of the project, the Secretary 
considers one or more of the following factors:
    (i) The extent to which the research activities constitute a 
coherent, sustained approach to research in the field, including a 
substantial addition to the state-of-the-art.
    (ii) The extent to which the methodology of each proposed research 
activity is meritorious, including consideration of the extent to 
which--
    (A) The proposed design includes a comprehensive and informed review 
of the current literature, demonstrating knowledge of the state-of-the-
art;
    (B) Each research hypothesis is theoretically sound and based on 
current knowledge;
    (C) Each sample population is appropriate and of sufficient size;
    (D) The data collection and measurement techniques are appropriate 
and likely to be effective; and
    (E) The data analysis methods are appropriate.
    (iii) The extent to which anticipated research results are likely to 
satisfy the original hypotheses and could be used for planning 
additional research, including generation of new hypotheses where 
applicable.
    (d) Design of development activities. (1) The Secretary considers 
the extent to which the design of development activities is likely to be 
effective in accomplishing the objectives of the project.
    (2)(i) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of the project, the Secretary 
considers one or more of the following factors:
    (ii) The extent to which the plan for development, clinical testing, 
and evaluation of new devices and technology is likely to yield 
significant products or techniques, including consideration of the 
extent to which--
    (A) The proposed project will use the most effective and appropriate 
technology available in developing the new device or technique;
    (B) The proposed development is based on a sound conceptual model 
that demonstrates an awareness of the state-of-the-art in technology;
    (C) The new device or technique will be developed and tested in an 
appropriate environment;
    (D) The new device or technique is likely to be cost-effective and 
useful;
    (E) The new device or technique has the potential for commercial or 
private manufacture, marketing, and distribution of the product; and

[[Page 274]]

    (F) The proposed development efforts include adequate quality 
controls and, as appropriate, repeated testing of products.
    (e) Design of demonstration activities. (1) The Secretary considers 
the extent to which the design of demonstration activities is likely to 
be effective in accomplishing the objectives of the project.
    (2) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of the project, the Secretary 
considers one or more of the following factors:
    (i) The extent to which the proposed demonstration activities build 
on previous research, testing, or practices.
    (ii) The extent to which the proposed demonstration activities 
include the use of proper methodological tools and theoretically sound 
procedures to determine the effectiveness of the strategy or approach.
    (iii) The extent to which the proposed demonstration activities 
include innovative and effective strategies or approaches.
    (iv) The extent to which the proposed demonstration activities are 
likely to contribute to current knowledge and practice and be a 
substantial addition to the state-of-the-art.
    (v) The extent to which the proposed demonstration activities can be 
applied and replicated in other settings.
    (f) Design of training activities. (1) The Secretary considers the 
extent to which the design of training activities is likely to be 
effective in accomplishing the objectives of the project.
    (2) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of the project, the Secretary 
considers one or more of the following factors:
    (i) The extent to which the proposed training materials are likely 
to be effective, including consideration of their quality, clarity, and 
variety.
    (ii) The extent to which the proposed training methods are of 
sufficient quality, intensity, and duration.
    (iii) The extent to which the proposed training content--
    (A) Covers all of the relevant aspects of the subject matter; and
    (B) If relevant, is based on new knowledge derived from research 
activities of the proposed project.
    (iv) The extent to which the proposed training materials, methods, 
and content are appropriate to the trainees, including consideration of 
the skill level of the trainees and the subject matter of the materials.
    (v) The extent to which the proposed training materials and methods 
are accessible to individuals with disabilities.
    (vi) The extent to which the applicant's proposed recruitment 
program is likely to be effective in recruiting highly qualified 
trainees, including those who are individuals with disabilities.
    (vii) The extent to which the applicant is able to carry out the 
training activities, either directly or through another entity.
    (viii) The extent to which the proposed didactic and classroom 
training programs emphasize scientific methodology and are likely to 
develop highly qualified researchers.
    (ix) The extent to which the quality and extent of the academic 
mentorship, guidance, and supervision to be provided to each individual 
trainee are of a high level and are likely to develop highly qualified 
researchers.
    (x) The extent to which the type, extent, and quality of the 
proposed clinical and laboratory research experience, including the 
opportunity to participate in advanced-level research, are likely to 
develop highly qualified researchers.
    (xi) The extent to which the opportunities for collegial and 
collaborative activities, exposure to outstanding scientists in the 
field, and opportunities to participate in the preparation of scholarly 
or scientific publications and presentations are extensive and 
appropriate.
    (g) Design of dissemination activities. (1) The Secretary considers 
the extent to which the design of dissemination activities is likely to 
be effective in accomplishing the objectives of the project.
    (2) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of

[[Page 275]]

the project, the Secretary considers one or more of the following 
factors:
    (i) The extent to which the content of the information to be 
disseminated--
    (A) Covers all of the relevant aspects of the subject matter; and
    (B) If appropriate, is based on new knowledge derived from research 
activities of the project.
    (ii) The extent to which the materials to be disseminated are likely 
to be effective and usable, including consideration of their quality, 
clarity, variety, and format.
    (iii) The extent to which the methods for dissemination are of 
sufficient quality, intensity, and duration.
    (iv) The extent to which the materials and information to be 
disseminated and the methods for dissemination are appropriate to the 
target population, including consideration of the familiarity of the 
target population with the subject matter, format of the information, 
and subject matter.
    (v) The extent to which the information to be disseminated will be 
accessible to individuals with disabilities.
    (h) Design of utilization activities. (1) The Secretary considers 
the extent to which the design of utilization activities is likely to be 
effective in accomplishing the objectives of the project.
    (2) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of the project, the Secretary 
considers one or more of the following factors:
    (i) The extent to which the potential new users of the information 
or technology have a practical use for the information and are likely to 
adopt the practices or use the information or technology, including new 
devices.
    (ii) The extent to which the utilization strategies are likely to be 
effective.
    (iii) The extent to which the information or technology is likely to 
be of use in other settings.
    (i) Design of technical assistance activities. (1) The Secretary 
considers the extent to which the design of technical assistance 
activities is likely to be effective in accomplishing the objectives of 
the project.
    (2) In determining the extent to which the design is likely to be 
effective in accomplishing the objectives of the project, the Secretary 
considers one or more of the following factors:
    (i) The extent to which the methods for providing technical 
assistance are of sufficient quality, intensity, and duration.
    (ii) The extent to which the information to be provided through 
technical assistance covers all of the relevant aspects of the subject 
matter.
    (iii) The extent to which the technical assistance is appropriate to 
the target population, including consideration of the knowledge level of 
the target population, needs of the target population, and format for 
providing information.
    (iv) The extent to which the technical assistance is accessible to 
individuals with disabilities.
    (j) Plan of operation. (1) The Secretary considers the quality of 
the plan of operation.
    (2) In determining the quality of the plan of operation, the 
Secretary considers one or more of the following factors:
    (i) The adequacy of the plan of operation to achieve the objectives 
of the proposed project on time and within budget, including clearly 
defined responsibilities, and timelines for accomplishing project tasks.
    (ii) The adequacy of the plan of operation to provide for using 
resources, equipment, and personnel to achieve each objective.
    (k) Collaboration. (1) The Secretary considers the quality of 
collaboration.
    (2) In determining the quality of collaboration, the Secretary 
considers one or more of the following factors:
    (i) The extent to which the applicant's proposed collaboration with 
one or more agencies, organizations, or institutions is likely to be 
effective in achieving the relevant proposed activities of the project.
    (ii) The extent to which agencies, organizations, or institutions 
demonstrate a commitment to collaborate with the applicant.
    (iii) The extent to which agencies, organizations, or institutions 
that commit to collaborate with the applicant have the capacity to carry 
out collaborative activities.
    (l) Adequacy and reasonableness of the budget. (1) The Secretary 
considers the

[[Page 276]]

adequacy and the reasonableness of the proposed budget.
    (2) In determining the adequacy and the reasonableness of the 
proposed budget, the Secretary considers one or more of the following 
factors:
    (i) The extent to which the costs are reasonable in relation to the 
proposed project activities.
    (ii) The extent to which the budget for the project, including any 
subcontracts, is adequately justified to support the proposed project 
activities.
    (iii) The extent to which the applicant is of sufficient size, 
scope, and quality to effectively carry out the activities in an 
efficient manner.
    (m) Plan of evaluation. (1) The Secretary considers the quality of 
the plan of evaluation.
    (2) In determining the quality of the plan of evaluation, the 
Secretary considers one or more of the following factors:
    (i) The extent to which the plan of evaluation provides for periodic 
assessment of progress toward--
    (A) Implementing the plan of operation; and
    (B) Achieving the project's intended outcomes and expected impacts.
    (ii) The extent to which the plan of evaluation will be used to 
improve the performance of the project through the feedback generated by 
its periodic assessments.
    (iii) The extent to which the plan of evaluation provides for 
periodic assessment of a project's progress that is based on identified 
performance measures that--
    (A) Are clearly related to the intended outcomes of the project and 
expected impacts on the target population; and
    (B) Are objective, and quantifiable or qualitative, as appropriate.
    (n) Project staff. (1) The Secretary considers the quality of the 
project staff.
    (2) In determining the quality of the project staff, the Secretary 
considers the extent to which the applicant encourages applications for 
employment from persons who are members of groups that have 
traditionally been underrepresented based on race, color, national 
origin, gender, age, or disability.
    (3) In addition, the Secretary considers one or more of the 
following:
    (i) The extent to which the key personnel and other key staff have 
appropriate training and experience in disciplines required to conduct 
all proposed activities.
    (ii) The extent to which the commitment of staff time is adequate to 
accomplish all the proposed activities of the project.
    (iii) The extent to which the key personnel are knowledgeable about 
the methodology and literature of pertinent subject areas.
    (iv) The extent to which the project staff includes outstanding 
scientists in the field.
    (v) The extent to which key personnel have up-to-date knowledge from 
research or effective practice in the subject area covered in the 
priority.
    (o) Adequacy and accessibility of resources. (1) The Secretary 
considers the adequacy and accessibility of the applicant's resources to 
implement the proposed project.
    (2) In determining the adequacy and accessibility of resources, the 
Secretary considers one or more of the following factors:
    (i) The extent to which the applicant is committed to provide 
adequate facilities, equipment, other resources, including 
administrative support, and laboratories, if appropriate.
    (ii) The quality of an applicant's past performance in carrying out 
a grant.
    (iii) The extent to which the applicant has appropriate access to 
clinical populations and organizations representing individuals with 
disabilities to support advanced clinical rehabilitation research.
    (iv) The extent to which the facilities, equipment, and other 
resources are appropriately accessible to individuals with disabilities 
who may use the facilities, equipment, and other resources of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 202 and 204; 29 U.S.C. 761a and 762)

[[Page 277]]



Sec. 350.55  What are the additional considerations for selecting Field-Initiated Project applications for funding?

    (a) The Secretary reserves funds to support some or all of the 
Field-Initiated Project applications that have been awarded points 
totaling 80% or more of the maximum possible points under the procedures 
described in Sec. 350.53.
    (b) In making a final selection of applications to support as Field-
Initiated Projects, the Secretary considers the extent to which 
applications that have been awarded a rating of 80% or more of the 
maximum possible points and meet one or more of the following 
conditions:
    (1) The proposed project represents a unique opportunity to advance 
rehabilitation knowledge to improve the lives of individuals with 
disabilities.
    (2) The proposed project complements research already planned or 
funded by the NIDRR through annual priorities published in the Federal 
Register or addresses the research in a new and promising way.

(Authority: Secs. 202 (g) and (i)(1); 29 U.S.C. 761a(g) and 761a(i)(1))



         Subpart G--What Conditions Must Be Met After an Award?



Sec. 350.60  How must a grantee conduct activities?

    A grantee must--
    (a) Conduct all activities in a manner that is accessible to and 
usable by individuals with disabilities; and
    (b) If a grantee carries out more than one activity, carry out 
integrated activities.

(Authority: Secs. 202 and 204(b)(2); 29 U.S.C. 761a and 762(b))



Sec. 350.61 What evaluation requirements must a grantee meet?

    (a) A grantee must establish performance measures for use in its 
evaluation that--
    (1) Are clearly related to the--
    (i) Intended outcomes of the project; and
    (ii) Expected impacts on the target population; and
    (2) To the extent possible are quantifiable, or are objective and 
qualitative.
    (b) A grantee must make periodic assessments of progress that will 
provide the grantee with performance feedback related to--
    (1) Progress in implementing the plan of operation; and
    (2) Progress in achieving the intended outcomes and expected impacts 
as assessed by the established performance measures.

(Authority: Secs. 202 and 204; 29 U.S.C. 761a and 762)



Sec. 350.62  What are the matching requirements?

    (a)(1) The Secretary may make grants to pay for part of the costs of 
research and demonstration projects that bear directly on the 
development of procedures, methods, and devices to assist the provision 
of vocational and other rehabilitation services, and research training 
and career development projects.
    (2) Each grantee must participate in the costs of those projects.
    (3) The specific amount of cost sharing to be borne by each 
grantee--
    (i) Is negotiated at the time of the award; and
    (ii) Is not considered in the selection process.
    (b)(1) The Secretary may make grants to pay for part or all of the 
costs of--
    (i) Establishment and support of Rehabilitation Research and 
Training Centers and Rehabilitation Engineering Research Centers; and
    (ii) Specialized research or demonstration activities described in 
section 204(b)(2)-(16) of the Act.
    (2) The Secretary determines at the time of the award whether the 
grantee must pay a portion of the project or center costs.

(Authority: Sec. 204; 29 U.S.C. 762)



Sec. 350.63  What are the requirements of a grantee relative to the Client Assistance Program?

    All Projects and Centers that provide services to individuals with 
disabilities with funds awarded under this Program must--

[[Page 278]]

    (a) Advise those individuals who are applicants for or recipients of 
services under the Act, or their parents, family members, guardians, 
advocates, or authorized representatives, of the availability and 
purposes of the Client Assistance Program (CAP) funded under the Act; 
and
    (b) Provide information on the means of seeking assistance under the 
CAP.

(Authority: Sec. 20; 29 U.S.C. 718a)



Sec. 350.64  What is the required duration of the training in an Advanced Rehabilitation Research Training Project?

    A grantee for an Advanced Rehabilitation Research Training Project 
shall provide training to individuals that is at least one academic 
year, unless a longer training period is necessary to ensure that each 
trainee is qualified to conduct independent research upon completion of 
the course of training.

(Authority: Secs. 202-204; 29 U.S.C. 760-762)



Sec. 350.65  What level of participation is required of trainees in an Advanced Rehabilitation Research Training Project?

    Individuals who are receiving training under an Advanced 
Rehabilitation Research Training Project shall devote at least eighty 
percent of their time to the activities of the training program during 
the training period.

(Authority: Secs. 202-204; 29 U.S.C. 760-762)



Sec. 350.66  What must a grantee include in a patent application?

    Any patent application filed by a grantee for an invention made 
under a grant must include the following statement in the first 
paragraph:

    The invention described in this application was made under a grant 
from the Department of Education.

(Authority: 20 U.S.C. 1221e-3)

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 350 was 
revised, effective Oct. 1, 1997. For the convenience of the user, the 
text remaining in effect until Oct. 1, 1997, is set forth as follows:



PART 350--DISABILITY AND REHABILITATION RESEARCH: GENERAL PROVISIONS--Table of Contents




                           Subpart A--General

Sec.
350.1  What are the purposes of activities supported under the 
          disability and rehabilitation research program?
350.2  Who is eligible for assistance under these programs?
350.3  What regulations apply to these programs?
350.4  What definitions apply to these programs?

                          Subpart B--[Reserved]

               Subpart C--How Does One Apply for a Grant?

350.20  What are the application procedures under these programs?
350.21  What is required of each applicant relative to the needs of 
          individuals with disabilities from minority backgrounds?

             Subpart D--How Does the Secretary Make a Grant?

350.30  What is the peer review process for these programs?
350.31  What is the purpose of peer review?
350.32  What is the composition of a peer review panel?
350.33  How does the Secretary evaluate an application under 34 CFR part 
          351, 354, or 355?
350.34  What selection criteria does the Secretary use in reviewing 
          applications under part 351, 354, 355, or 357?
350.35  What additional factors does the Secretary consider in reviewing 
          applications under any Institute program?

             Subpart E--What Conditions Apply to a Grantee?

350.40  What are the matching requirements?
350.41  What are the requirements of a grantee relative to the Client 
          Assistance Program?

    Authority: 29 U.S.C. 760-762, unless otherwise noted.

    Source: 46 FR 45305, Sept. 10, 1981, unless otherwise noted.



                           Subpart A--General

Sec. 350.1   What are the purposes of activities supported under the 
disability and rehabilitation research program?
    (a) The activities funded by the Institute--

[[Page 279]]

    (1) Support the conduct of research, demonstration projects, 
training, and related activities to maximize the full inclusion and 
integration into society, employment, independent living, family 
support, and economic and social self-sufficiency of individuals with 
disabilities of all ages, with particular emphasis on improving the 
effectiveness, including the cost-effectiveness, of services authorized 
under the Act;
    (2) Provide for a comprehensive and coordinated approach to the 
support and conduct of research, demonstration projects, training, and 
related activities, and to ensure that the approach is in accordance 
with the long-range plan for research developed by the Institute;
    (3) Promote the transfer of rehabilitation technology to individuals 
with disabilities through research and demonstration projects relating 
to--
    (i) The procurement process for the purchase of rehabilitation 
technology;
    (ii) The utilization of rehabilitation technology on a national 
basis; and
    (iii) Specific adaptations or customizations of products to enable 
individuals with disabilities to live more independently;
    (4) Ensure the widespread distribution to rehabilitation 
professionals, individuals with disabilities, and other interested 
parties, in usable formats, of practical scientific and technological 
information that is generated by research, demonstration projects, 
training and related activities;
    (5) Ensure the widespread dissemination to rehabilitation 
professionals, individuals with disabilities, and other interested 
parties, in usable formats, of new knowledge about disabilities, 
including state-of-the-art practices and improvements in the services 
authorized under the Act;
    (6) Identify effective strategies that enhance the opportunities for 
individuals with disabilities to engage in productive work; and
    (7) Increase the opportunities for researchers who are individuals 
with disabilities or members of minority groups or other traditionally 
underserved populations.
    (b) The Secretary awards financial assistance through ten types of 
programs:
    (1) Research and demonstration projects (34 CFR part 351).
    (2) Research grants for establishment and operation of 
rehabilitation research and training centers (34 CFR part 352).
    (3) Research grants for the establishment and operation of 
rehabilitation engineering research centers (34 CFR part 353).
    (4) Research grants for establishment and operation of model 
training centers (34 CFR part 354).
    (5) Knowledge dissemination and research utilization projects (34 
CFR part 355).
    (6) Research fellowships (34 CFR part 356).
    (7) Field-initiated projects (34 CFR part 357).
    (8) Innovation Grants projects (34 CFR part 358).
    (9) Special Projects and Demonstrations for Spinal Cord Injuries (34 
CFR part 359).
    (10) Research Training and Career Development Projects (34 CFR part 
360).

(Authority: Secs. 200, 202, and 204; 29 U.S.C. 760, 761a, and 762)

[46 FR 45305, Sept. 10, 1981, as amended at 50 FR 16673, Apr. 26, 1985; 
52 FR 30060, Aug. 12, 1987; 53 FR 23351, June 21, 1988; 53 FR 24245, 
June 27, 1988; 60 FR 17426, Apr. 5, 1995]
Sec. 350.2  Who is eligible for assistance under these programs?
    The following agencies and organizations are eligible for grants or 
contracts as appropriate under these programs, except for programs 
described in 34 CFR parts 352, 353, 356, and 360.
    (a) State and public agencies or organizations;
    (b) Private agencies or organizations;
    (c) Institutions of higher education; and
    (d) Indian tribes and tribal organizations.

(Authority: Sec. 204(a); 29 U.S.C. 762a)

[46 FR 45305, Sept. 10, 1981, as amended at 52 FR 30061, Aug. 12, 1987; 
53 FR 23351, June 21, 1988; 60 FR 17427, Apr. 5, 1995]
Sec. 350.3  What regulations apply to these programs?
    The following regulations apply to grants under the Disability and 
Rehabilitation Research Programs--
    (a) The Education Department General Administrative Regulations 
(EDGAR), established in title 34 of the Code of Federal Regulations in--
    (1) Part 74 (Administration of Grants);
    (2) Part 75 (Direct Grant Programs), except as noted in 34 CFR 
352.33, 352.40, and 358.3;
    (3) Part 77 (Definitions that Apply to Department Programs); and
    (4) Part 78 (Education Appeal Board);
    (b) The regulations in this part, 34 CFR part 350;
    (c) The regulations in 34 CFR part 351, 352, 353, 354, 355, 356, 
357, 358, 359, or 360, as appropriate; and
    (d)(1) Subject to the additional requirement in paragraph (d)(2) of 
this section, 34 CFR part 97, Protection of Human Subjects.
    (2) When an IRB reviews research that purposefully requires 
inclusion of children with disabilities or individuals with mental 
disabilities as research subjects, the IRB must

[[Page 280]]

include at least one person primarily concerned with the welfare of 
these research subjects.

(Authority: 20 U.S.C. 761a, 762, 42 U.S.C. 300v-1(b))

[46 FR 45305, Sept. 10, 1981, as amended at 50 FR 16673, Apr. 26, 1985; 
52 FR 30061, Aug. 12, 1987; 53 FR 23351, June 21, 1988; 56 FR 28031, 
June 18, 1991; 60 FR 17427, Apr. 5, 1995]
Sec. 350.4  What definitions apply to these programs?
    (a) The following definitions in 34 CFR part 77 apply to the 
programs under Disability and Rehabilitation Research--

    Applicant.
    Application.
    Award.
    Budget Period.
    Department.
    EDGAR.
    Grant Period.
    Nonprofit.
    Nonpublic.
    Preschool.
    Private.
    Project.
    Project Period.
    Public.
    Secretary.
    State.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

    (b) The following definitions also apply to programs under 
Disability and Rehabilitation Research--

    Act means the Rehabilitation Act of 1973 (Pub. L. 93-112), as 
amended.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

    American Indian means an individual who is a member of an Indian 
tribe.

(Authority: Sec. 7(20); 29 U.S.C. 706(20))

    Assistive technology device means any item, piece of equipment, or 
product system, whether acquired commercially or off the shelf, 
modified, or customized, that is used to increase, maintain, or improve 
functional capabilities of individuals with disabilities.

(Authority: Sec. 7(23); 29 U.S.C. 706(23)

    Assistive technology service means any service that directly assists 
an individual with a disability in the selection, acquisition, or use of 
an assistive technology device. The term includes--
    (1) The evaluation of the needs of an individual with a disability, 
including a functional evaluation of the individual in the individual's 
customary environment;
    (2) Purchasing, leasing, or otherwise providing for the acquisition 
of assistive technology devices by individuals with disabilities;
    (3) Selecting, designing, fitting, customizing, adapting, applying, 
maintaining, repairing, or replacing of assistive technology devices;
    (4) Coordinating and using other therapies, interventions, or 
services with assistive technology devices, such as those associated 
with existing education and rehabilitation plans and programs;
    (5) Training or technical assistance for an individual with 
disabilities, or, where appropriate, the family members, guardians, 
advocates, or authorized representatives of such an individual; and
    (6) Training or technical assistance for professionals (including 
individuals providing education and rehabilitation services), employers, 
or other individuals who provide services to employ, or are otherwise 
substantially involved in the major life functions of individuals with 
disabilities.

(Authority: Sec. 7(24); 29 U.S.C. 706(24))

    Demonstration means the application of results derived from previous 
research, testing, or practice for purposes of establishing the 
reliability, indicating the validity, or determining the cost 
effectiveness of new rehabilitation procedures.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

    Development means the systematic use of knowledge and understanding 
gained from research, directed toward creating useful materials, 
devices, systems, or methods, including design and development of 
prototypes and processes.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

    Disability means a physical or mental impairment that substantially 
limits one or more major life activities.

(Authority: Sec. 7(26)(B); 29 U.S.C. 706(26)(B))

    Fellowship means a financial award to obtain the assistance of 
highly qualified research fellows from the United States and foreign 
countries. It is not a grant.

(Authority: Sec. 202(d); (29 U.S.C. 761a(d)))

    Indian tribe means any Federal or State Indian tribe, band, 
rancheria, pueblo, colony, or community, including any Alaskan native 
village or regional village corporation, as defined in or established 
pursuant to the Alaska Native Claims Settlement Act.

(Authority: Sec. 7(21); 29 U.S.C. 706(21))

    Individual with a disability means any individual who:
    (1) Has a physical or mental impairment that substantially limits 
one or more of such person's major life activities;

[[Page 281]]

    (2) Has a record of such an impairment; or
    (3) Is regarded as having such an impairment.

(Authority: Sec.7(8)(B); 29 U.S.C. 706(8)(B))

    Individual with a severe disability means an individual with a 
disability--
    (1)(i) Who has a severe physical or mental impairment that seriously 
limits one or more functional capacities (such as mobility, 
communication, self-care, self-direction, interpersonal skills, work 
tolerance, or work skills) in terms of an employment outcome;
    (ii) Whose vocational rehabilitation can be expected to require 
multiple vocational rehabilitation services over an extended period of 
time; and
    (iii) Who has one or more physical or mental disabilities resulting 
from amputation, arthritis, autism, blindness, burn injury, cancer, 
cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, 
hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental 
retardation, mental illness, multiple sclerosis, muscular dystrophy, 
musculoskeletal disorders, neurological disorders (including stroke and 
epilepsy), paraplegia, quadriplegia, other spinal cord impairments, 
sickle cell anemia, specific learning disability, end-stage renal 
disease, or another disability or combination of disabilities determined 
on the basis of an assessment of rehabilitation needs to cause 
comparable substantial functional limitation; or
    (2) An individual with a severe mental or physical impairment whose 
ability to function independently in the family or community or whose 
ability to obtain, maintain, or advance in employment is substantially 
limited and for whom the delivery of independent living services will 
improve the ability to function, continue functioning, or move towards 
functioning independently in the family or community or to continue in 
employment, respectively.

(Authority: Sec. 7(15)(C); 29 U.S.C. 706(15)(C))

    Institute means the National Institute on Disability and 
Rehabilitation Research.

(Authority: Sec. 202(a); (29 U.S.C. 761a(a)))

    Personal assistance services means a range of services, provided by 
one or more persons, designed to assist an individual with a disability 
to perform daily living activities, on or off the job, that the 
individual would typically perform if the individual did not have a 
disability. These services must be designed to increase the individual's 
control in life and ability to perform everyday activities on or off the 
job.

(Authority: Sec. 7(11); 29 U.S.C. 706(11))

    Rehabilitation engineering means the systematic application of 
engineering sciences to design, develop, adapt, test, evaluate, apply, 
and distribute technological solutions to problems confronted by 
individuals with disabilities in such functional areas as mobility, 
communications, hearing, vision, cognition and in activities associated 
with employment, independent living, education, and integration into the 
community.

(Authority: Sec. 12(c); 29 U.S.C. 711(c))

    Rehabilitation technology means the systematic application of 
technologies, engineering methodologies, or scientific principles to 
meet the needs of and address the barriers confronted by individuals 
with disabilities in such areas as education, rehabilitation, 
employment, transportation, independent living, and recreation, and 
includes rehabilitation engineering, assistive technology devices, and 
assistive technology services.

(Authority: Sec. 7(13); 29 U.S.C. 706(13))

    Research means intensive systematic study directed toward new or 
fuller scientific knowledge or understanding of the subject or problem 
studied. Research is classified on a continuum from basic to applied.
    (1) Basic research is research in which the investigator is 
concerned primarily with gaining new knowledge or understanding of a 
subject without reference to any immediate application or utility.
    (2) Applied research is research in which the investigator is 
primarily interested in developing new knowledge, information or 
understanding which can be applied to a predetermined rehabilitation 
problem or need. Applied research builds on selected findings from basic 
research.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

    Research utilization means activities seeking to link research 
findings to practical applications in planning, policymaking, program 
administration, and service practice in the delivery of services to 
individuals with disabilities.

(Authority: Sec. 12(c); 29 U.S.C. 711(c))

    State rehabilitation agency means the sole State agency designated 
to administer (or supervise local administration of) the State plan for 
vocational rehabilitation services. The term includes the State agency 
for the blind, if designated as the State agency with respect to that 
part of the plan relating to the vocational rehabilitation of blind 
individuals.

(Authority: Sec. 101(a)(1)(A); (29 U.S.C. 721(a)(1)(A)))

    Supported employment means competitive work in integrated work 
settings for individuals with the most severe disabilities for whom 
competitive employment has not traditionally occurred or for whom 
competitive employment has been interrupted or intermittent as a result 
of a severe disability, and

[[Page 282]]

who, because of the nature and severity of their disability, need 
intensive supported employment services and extended services after 
transition in order to perform that work. The term includes transitional 
employment for persons who are individuals with the most severe 
disabilities due to mental illness.

(Authority: Sec. 7(18); 29 U.S.C. 706(18))

    Target population means the group of individuals, organizations, or 
other entities expected to be affected by the results of specific 
research. More than one target group may be involved since research 
results may affect those who receive services, provide services, or 
administer services.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

    Training means a planned and systematic sequence of instruction 
under competent supervision which is designed to impart predetermined 
skills and knowledge.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))

[46 FR 45305, Sept. 10, 1981, as amended at 49 FR 9325, Mar. 12, 1984; 
52 FR 30061, Aug. 12, 1987; 60 FR 17427, Apr. 5, 1995]



                          Subpart B--[Reserved]



               Subpart C--How Does One Apply for a Grant?

Sec. 350.20   What are the application procedures under these programs?
    An applicant for assistance under 34 CFR parts 351, 352, 353, 354, 
355, 357, 358, 359, or 360 whose application is to conduct research, 
demonstrations, or related activities that will either involve clients 
of the State vocational rehabilitation agency as research subjects or 
study vocational rehabilitation services or techniques, shall follow the 
requirements in EDGAR Secs. 75.155-75.159, including--
    (a) Submitting a copy of its application for comment to the State 
rehabilitation agency or agencies in the primary State or States to be 
affected by the proposed activities; and
    (b) Including in its application copies of transmittal letters to 
the appropriate State agency or agencies indicating that the necessary 
copies were transmitted on or before the due date for transmittal of the 
application to the Department.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 204(c) and 306(i); 29 U.S.C. 762(c) and 766(a))

[60 FR 17428, Apr. 5, 1995]
Sec. 350.21   What is required of each applicant relative to the needs 
of individuals with disabilities from minority backgrounds?
    Unless the Secretary indicates otherwise, an applicant for 
assistance under 34 CFR parts 351, 352, 353, 354, 355, 357, 358, 359, or 
360 must demonstrate how it will address, in whole or in part, the needs 
of individuals with disabilities from minority backgrounds. The 
approaches an applicant may take to meet this requirement, in whole or 
in part, may include one or more of the following:
    (a) Proposing project objectives concerning minorities with 
disabilities.
    (b) Demonstrating that its application addresses a problem that is 
of particular significance to individuals with disabilities from 
minority backgrounds.
    (c) Demonstrating that minority individuals will be included in 
study samples in sufficient numbers to generate information pertinent to 
minority individuals with disabilities.
    (d) Drawing study samples and program participant rosters from 
populations or areas that include individuals from minority backgrounds.
    (e) Providing rehabilitation services, clinical care, or training to 
minority individuals with disabilities.
    (f) Disseminating materials to or otherwise increasing the access to 
disability information among minority populations.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 12(c) and 21(b)(6); 29 U.S.C. 711(c) and 718b(b)(6))

[60 FR 17428, Apr. 5, 1995]



             Subpart D--How Does the Secretary Make a Grant?

Sec. 350.30   What is the peer review process for these programs?
    The Secretary refers each application for a grant under the 
Disability and Rehabilitation Research Programs to a peer review panel 
established by the Secretary. Peer review panels review applications on 
the basis of the applicable selection criteria in 34 CFR 350.34, 352.31, 
353.31, 357.32, 358.32, or 359.31.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))

[52 FR 30061, Aug. 12, 1987, as amended at 53 FR 23352, June 21, 1988; 
53 FR 24245, June 27, 1988]
Sec. 350.31  What is the purpose of peer review?
    The purpose of peer review is to insure that those activities 
supported by the Institute are of the highest scientific, 
administrative, and technical quality and that the results may be widely 
applied to appropriate

[[Page 283]]

target populations and rehabilitation problems.

(Authority: Sec. 202(e); (29 U.S.C. 761a(e)))
Sec. 350.32  What is the composition of a peer review panel?
    (a) The Secretary selects as members of a peer review panel 
scientists and other experts in rehabilitation or related fields who are 
qualified, on the basis of training, knowledge, or experience, to give 
expert advice on the merit of the applications under review. 
Applications for awards of $60,000 or more, except those for the 
purposes of evaluation, dissemination of information, or conferences, 
must be reviewed by a peer review panel that consists of a majority of 
non-Federal members.
    (b) In selecting an individual for membership on a peer review 
panel, the Secretary takes into account, among other factors, the 
following:
    (1) The level of formal scientific or technical education completed 
by the individual;
    (2) The extent to which the individual has engaged in scientific, 
technical, or administrative activities appropriate to the category of 
applications that the panel will consider, the role of the individual in 
those activities, and the quality of those activities; and
    (3) The recognition received by the individual as reflected by 
awards and other honors from scientific and professional agencies and 
organizations outside the Department.

(Authority: Secs. 18 and 202(e); 29 U.S.C. 717 and 761a(e))

[46 FR 45305, Sept. 10, 1981, as amended at 52 FR 30061, Aug. 12, 1987]
Sec. 350.33  How does the Secretary evaluate an application under 34 CFR 
part 351, 354, or 355?
    (a) The Secretary evaluates an application under 34 CFR part 351, 
354, or 355 on the basis of the selection criteria in Sec. 350.34.
    (b) Each criterion applies to all types of projects under the 
programs governed by these parts; the elements within each criterion 
also apply to all of the activities within the projects unless the 
regulations specifically state that their application is limited to 
certain types of activities.
    (c) The Secretary awards up to five possible points for each 
criterion. These points are awarded as follows based on how well the 
applicant addresses each criterion: Outstanding (5); superior (4); 
satisfactory (3); marginal (2); or poor (1).
    (d) The Secretary computes a final score by multiplying the points 
awarded on each criterion by the weight assigned each criterion as 
indicated in parentheses after the descriptive title of the criterion.
    (e) The maximum possible score for an application is 100 points.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))

[49 FR 9325, Mar. 12, 1984, as amended at 52 FR 30062, Aug. 12, 1987; 53 
FR 24245, June 27, 1988]
Sec. 350.34   What selection criteria does the Secretary use in 
reviewing applications under part 351, 354, or 355?
    (a) Potential Impact of Outcomes: Importance of Program (Weight 
3.0). The Secretary reviews each application to determine to what 
degree--
    (1) The proposed activity relates to the announced priority;
    (2) The research is likely to produce new and useful information 
(research activities only);
    (3) The need and target population are adequately defined;
    (4) The outcomes are likely to benefit the defined target 
population;
    (5) The training needs are clearly defined (training activities 
only);
    (6) The training methods and developed subject matter are likely to 
meet the defined need (training activities only); and
    (7) The need for information exists (utilization activities only).
    (b) Potential Impact of Outcomes: Dissemination/Utilization (Weight 
3.0). The Secretary reviews each application to determine to what 
degree--
    (1) The research results are likely to become available to others 
working in the field (research activities only);
    (2) The means to disseminate and promote utilization by others are 
defined;
    (3) The training methods and content are to be packaged for 
dissemination and use by others (training activities only);
    (4) The utilization approach is likely to address the defined need 
(utilization activities only); and
    (5) There is likely to be widespread dissemination of the results, 
in a usable and effective manner, to all appropriate target populations, 
including individuals with disabilities and their family members.
    (c) Probability of Achieving Proposed Outcomes; Program/Project 
Design (Weight 5.0). The Secretary reviews each application to determine 
to what degree--
    (1) The objectives of the project(s) are clearly stated;
    (2) The hypothesis is sound and based on evidence (research 
activities only);
    (3) The project design/methodology is likely to achieve the 
objectives;
    (4) The measurement methodology and analysis is sound (research and 
development/demonstration activities only);
    (5) The conceptual model (if used) is sound (development/
demonstration activities only);

[[Page 284]]

    (6) The sample populations are correct and significant (research and 
development/demonstration activities only);
    (7) The human subjects are sufficiently protected (research and 
development/demonstration activities only);
    (8) The device(s) or model system is to be developed in an 
appropriate environment;
    (9) The training content is comprehensive and at an appropriate 
level (training activities only);
    (10) The training methods are likely to be effective (training 
activities only);
    (11) The new materials (if developed) are likely to be of high 
quality and uniqueness (training activities only);
    (12) The target populations are linked to the project (utilization 
activities only);
    (13) The format of the dissemination medium is the best to achieve 
the desired result (utilization activities only); and
    (14) The materials to be used in the project and the materials to be 
disseminated are likely to be in formats that are accessible to the 
appropriate populations.
    (d) Probability of Achieving Proposed Outcomes: Key Personnel 
(Weight 4.0). The Secretary reviews each application to determine to 
what degree--
    (1) The principal investigator and other key staff have adequate 
training and/or experience and demonstrate appropriate potential to 
conduct the proposed research, demonstration, training, development, or 
dissemination activity;
    (2) The principal investigator and other key staff are familiar with 
pertinent literature and/or methods;
    (3) All required disciplines are effectively covered;
    (4) Commitments of staff time are adequate for the project; and
    (5) The applicant is likely, as part of its non-discriminatory 
employment practices, to encourage applications for employment from 
persons who are members of groups that traditionally have been 
underrepresented, such as--
    (i) Members of racial or ethnic minority groups;
    (ii) Women;
    (iii) Handicapped persons; and
    (iv) The elderly.
    (e) Probability of Achieving Proposed Outcomes: Evaluation Plan 
(Weight 1.0). The Secretary reviews each application to determine to 
what degree--
    (1) There is a mechanism to evaluate plans, progress and results;
    (2) The evaluation methods and objectives are likely to produce data 
that are quantifiable; and
    (3) The evaluation results, where relevant, are likely to be 
assessed in a service setting.
    (f) Program/Project Management: Plan of Operation (Weight 2.0). The 
Secretary reviews each application to determine to what degree--
    (1) There is an effective plan of operation that insures proper and 
efficient administration of the project(s);
    (2) The applicant's planned use of its resources and personnel is 
likely to achieve each objective;
    (3) Collaboration between institutions, if proposed, is likely to be 
effective; and
    (4) There is a clear description of how the applicant will include 
eligible project participants who have been traditionally 
underrepresented, such as--
    (i) Members of racial or ethnic minority groups;
    (ii) Women;
    (iii) Handicapped persons; and
    (iv) The elderly.
    (g) Program/Project Management: Adequacy of Resources (Weight 1.0). 
The Secretary reviews each application to determine to what degree--
    (1) The facilities planned for use are adequate;
    (2) The equipment and supplies planned for use are adequate; and
    (3) The commitment of the applicant to provide administrative 
support and adquate facilities is evident.
    (h) Program/Project Management: Budget and Cost Effectiveness 
(Weight 1.0). The Secretary reviews each application to determine to 
what degree--
    (1) The budget for the project(s) is adequate to support the 
activities;
    (2) The costs are reasonable in relation to the objectives of the 
project(s); and
    (3) The budget for subcontracts (if required) is detailed and 
appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 202(e) and 202(i)(1); (29 U.S.C. 761a(e) and 
761a(i)(1)))

[49 FR 9325, Mar. 12, 1984, as amended at 50 FR 16674, Apr. 26, 1985; 52 
FR 30062, Aug. 12, 1987; 53 FR 24245, June 27, 1988; 60 FR 17428, Apr. 
5, 1995]
Sec. 350.35   What additional factors does the Secretary consider in 
reviewing applications under any Institute program?
    (a) In making grants of more than $299,999 per year under any 
Institute program, the Secretary also considers the findings of an on-
site review of the applicant. An on-site review is made of the applicant 
rated most highly by the peer review panel, and, at the discretion of 
the Secretary, of other applicants that are very highly rated by the 
peer review panel.
    (b) The purpose of an on-site review is to verify certain aspects of 
the application, including facilites and resources, client populations, 
staffing, management structure, institutional support, and relations 
with other

[[Page 285]]

agencies, and to clarify certain aspects of the proposed activity if 
recommended by the members of the peer review panel.
    (c) An on-site review is conducted by a group that includes one or 
more members of the peer review panel that originally reviewed by the 
application, supplemented by other experts as necessary.
    (d) The Secretary uses the findings of the site review to assist in 
determining the order in which applications are selected for funding.

(Authority: Secs. 204(d)(2); 29 U.S.C. 762(d))

[52 FR 30062, Aug. 12, 1987]



             Subpart E--What Conditions Apply to a Grantee?

Sec. 350.40  What are the matching requirements?
    (a) The Secretary may make grants to pay for part of the costs of 
research and demonstration projects that bear directly on the 
development of procedures, methods, and devices to assist the provision 
of vocational and other rehabilitation services, and research training 
and career development projects. Each grantee must participate in the 
costs of those projects. The specific amount of cost sharing to be borne 
by each grantee is negotiated at the time of the award and is not a 
factor that is considered in the selection process.
    (b)(1) The Secretary may make grants to pay for part or all of the 
costs of the following activities:
    (i) Establishment and support of Rehabilitation Research and 
Training Centers, Rehabilitation Engineering Centers, and Model Training 
Centers.
    (ii) Research and other special projects and demonstrations 
concerned with spinal cord injury.
    (iii) Research projects concerned with end-stage renal disease, 
telecommunications, rehabilitation of children with disabilities and 
older individuals with disabilities, (including American Indians), 
attracting and retaining rehabilitation professionals in rural areas, 
producing and distributing captioned video cassettes to individuals who 
are deaf, and innovative methods for providing services for children 
with disabilities and their parents.
    (iv) Joint projects with other Federal agencies and private 
industry.
    (v) Research to test new concepts and innovative ideas.
    (vi) International programs of research, demonstration, training, 
exchange of experts, and technical assistance.
    (2) The Secretary determines at the time of the award whether the 
grantee must pay a portion of the project or center costs.

(Authority: Sec. 204; 29 U.S.C. 762)

[46 FR 45305, Sept. 10, 1981, as amended at 50 FR FR 16674, Apr. 26, 
1985; 52 FR 30062, Aug. 12, 1987; 53 FR 23352, June 21, 1988; 60 FR 
17428, Apr. 5, 1995]
Sec. 350.41  What are the requirements of a grantee relative to the 
Client Assistance Program?
    All projects that provide services to individuals with disabilities 
with funds awarded under these programs must advise those individuals 
who are applicants for or recipients of services under the Act, or the 
parents, family members, guardians, advocates, or authorized 
representatives of the individuals, of the availability and purposes of 
the Client Assistance Program (CAP) funded under the Act, and must 
provide information on the means of seeking assistance under the CAP.

(Authority: Sec. 20; 29 U.S.C. 718a)

[60 FR 17428, Apr. 5, 1995]



PART 351--DISABILITY AND REHABILITATION RESEARCH: RESEARCH AND DEMONSTRATION PROJECTS--Table of Contents




                           Subpart A--General

Sec.
351.1  What is the research and demonstration projects program?
351.2  Who is eligible for assistance under this program?
351.3  What regulations apply to this program?
351.4  What definitions apply to this program?

 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?

351.10  What types of projects are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

351.30  How is peer review conducted under this program?
351.31  What selection criteria are used under this program?
351.32  What are the priorities for funding under this program?

    Authority:  29 U.S.C. 750-762, unless otherwise noted.


[[Page 286]]


    Source: 46 FR 45308, Sept. 10, 1981, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 351 was 
removed, effective Oct. 1, 1997.



                           Subpart A--General



Sec. 351.1  What is the research and demonstration projects program?

    This program is designed to support--
    (a) Discrete research, demonstration, training, and related projects 
to develop methods, procedures, and technology that maximize the full 
inclusion and integration into society, independent living, employment, 
family support, and economic and social self-sufficiency of individuals 
with disabilities, especially those with the most severe disabilities; 
and
    (b) Discrete research, demonstration, and training projects that 
specifically address the implementation of titles I, III, VI, VII, and 
VIII of the Act, with emphasis on projects to improve the effectiveness 
of these programs and to meet the needs described in State Plans 
submitted to the Rehabilitation Services Administration by State 
vocational rehabilitation agencies.

(Authority: Sec. 204(a); 29 U.S.C. 761 and 762)

[60 FR 17429, Apr. 5, 1995]



Sec. 351.2  Who is eligible for assistance under this program?

    Those agencies and organizations eligible to apply under this 
program are described in 34 CFR 350.2.

(Authority: Sec. 204; (29 U.S.C. 762))



Sec. 351.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: Secs. 202 and 204; (29 U.S.C. 761a, 762))



Sec. 351.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))



 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?



Sec. 351.10  What types of projects are authorized under this program?

    The Research and Demonstration Projects Program provides financial 
assistance for the following types of projects--
    (a)(1) Studies and analyses of medical rehabilitation and 
restorative techniques, rehabilitation techniques or services, 
industrial, vocational, social, recreational, psychiatric, 
psychological, economic, and other factors affecting rehabilitation of 
individuals with disabilities;
    (2) Studies and analyses of special problems of individuals who are 
homebound and individuals who are institutionalized;
    (3) Studies, analyses, and demonstrations of architectural and 
engineering design--including universal design--adapted to meet the 
special needs of individuals with disabilities;
    (4) Studies, analyses, and other activities related to supported 
employment; and
    (5) Related activities that hold promise of increasing knowledge and 
improving the rehabilitation of individuals with disabilities, 
particularly those with the most severe disabilities and those who are 
members of populations that are unserved or underserved by programs 
under this Act.
    (b) Specialized research activities as follows--
    (1) Spinal cord injury research and demonstrations;
    (2) End-stage renal disease research and demonstrations;
    (3) International research, demonstration, training, and technical 
assistance projects, and exchange of experts;
    (4) Joint projects with other Federal agencies and private industry 
in areas of joint interest involving rehabilitation;
    (5) Research related to the rehabilitation of children or older 
individuals with disabilities, including older American Indian 
individuals with disabilities;
    (6) Projects to develop and demonstrate innovative methods to 
attract

[[Page 287]]

and retain professionals to serve in rural areas in the rehabilitation 
of individuals with disabilities, including individuals with severe 
disabilities;
    (7) Research and demonstration projects on the provision of services 
for children through the age of five with disabilities;
    (8) Studies of the rehabilitation needs of American Indian 
populations, and of effective means for delivery of rehabilitation 
services to American Indians residing on and off reservations; and
    (9) Research concerning the use of existing telecommunication 
systems to improve services to individuals with disabilities; and
    (10) Demonstration projects to provide incentives for the 
development, manufacture, and marketing of orphan technological devices 
to enable individuals with disabilities to achieve independence and 
access to gainful employment.

(Authority: Secs. 202(b)(8), 204(a), and 204(b)(4)-(10), (12), (15), and 
(16); 29 U.S.C. 761a(b)(8), 762(a), and 762(b)(4)-(10), (12), (15), and 
(16))

[46 FR 45308, Sept. 10, 1981, as amended at 52 FR 30062, Aug. 12, 1987; 
60 FR 17429, Apr. 5, 1995]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 351.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32.

(Authority: Sec. 202(e); (29 U.S.C. 761a(e))



Sec. 351.31  What selection criteria are used under this program?

    The selection criteria used under this program are the criteria 
described in Sec. 350.34.

(Authority: Secs. 202(e) and 202(i)(1); (29 U.S.C. 761a(e) and 
761a(i)(1)))

[49 FR 9326, Mar. 12, 1984]



Sec. 351.32  What are the priorities for funding under this program?

    (a) The Secretary may from time to time reserve funds to support 
some or all of the types of projects listed in Sec. 351.10.
    (b) The Secretary advises the public of these priorities through an 
Application Notice published in the Federal Register.

(Authority: Secs. 202(g), 204; (29 U.S.C. 761a(g), 762))



PART 352--DISABILITY AND REHABILITATION RESEARCH: REHABILITATION RESEARCH AND TRAINING CENTERS--Table of Contents




                           Subpart A--General

Sec.
352.1  What is the Rehabilitation Research and Training Centers program?
352.2  Who is eligible for assistance under this program?
352.3  What regulations apply to this program?
352.4  What definitions apply to this program?

  Subpart B--What Kinds of Activities Does the Department Assist Under 
                              This Program?

352.10  What activities are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

352.30  How is peer review conducted under this program?
352.31  What selection criteria are used under this program?
352.32  What are the priorities for funding under this program?
352.33  What is the project period of a Rehabilitation Research and 
          Training Center?
352.34  What other factors does the Secretary consider in making an 
          award under this program?

             Subpart E--What Conditions Apply to a Grantee?

352.40  What are the indirect cost requirements for this program?

    Authority: 29 U.S.C. 762(b)(1), unless otherwise noted.

    Source: 46 FR 45309, Sept. 10, 1981, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 352 was 
removed, effective Oct. 1, 1997.

[[Page 288]]



                           Subpart A--General



Sec. 352.1  What is the Rehabilitation Research and Training Centers program?

    This program supports Rehabilitation Research and Training Centers 
for the purpose of--
    (a) Conducting coordinated and advanced programs of research on 
disability and rehabilitation that will produce new knowledge that will 
improve rehabilitation methods and service delivery systems, alleviate 
or stabilize disabling conditions, and promote maximum social and 
economic independence for individuals with disabilities;
    (b) Providing training to service providers at the preservice, 
inservice, undergraduate, and graduate levels, to improve the quality 
and effectiveness of rehabilitation services;
    (c) Providing advanced research training to individuals, including 
individuals with disabilities and those from minority backgrounds, 
engaged in research on disability and rehabilitation; and
    (d) Serving as national and regional technical assistance resources, 
and providing training for service providers, individuals with 
disabilities and their families and representatives, and rehabilitation 
researchers.

(Authority: Sec. 204(b)(2); 29 U.S.C. 762(b)(2))

[60 FR 17429, Apr. 5, 1995]



Sec. 352.2  Who is eligible for assistance under this program?

    Under this program, awards may be made to public and private 
organizations, including institutions of higher education and Indian 
tribes or tribal organizations, that--
    (a) Are of sufficient size, scope and quality to carry out 
effectively the activities in an efficient manner consistent with 
appropriate State and Federal law;
    (b) Demonstrate the ability to carry out the training activities, 
either directly or through another entity that can provide that 
training; and
    (c) Demonstrate that the Center will be operated in collaboration 
with an institution of higher education or provider of rehabilitation or 
other appropriate services.

(Authority: Secs. 204(a) and 204(b)(2)(A)(i) and (K); 29 U.S.C. 762(a) 
and 762(b)(2)(A)(i) and (K))

[60 FR 17429, Apr. 5, 1995]



Sec. 352.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: Secs. 202 and 204; (29 U.S.C. 761a, 762))



Sec. 352.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))



  Subpart B--What Kinds of Activities Does the Department Assist Under 
                              This Program?



Sec. 352.10  What activities are authorized under this program?

    (a) Rehabilitation Research and Training Centers shall conduct 
research activities, which must be accessible to and usable by 
individuals with disabilities, that may include the following:
    (1) Basic or applied medical rehabilitation research.
    (2) Research regarding the psychological and social aspects of 
rehabilitation.
    (3) Research regarding disability policy.
    (4) Research related to vocational rehabilitation.
    (5) Research that promotes the social, emotional, functional, and 
educational growth of children who have disabilities.
    (6) Research to develop and evaluate interventions, policies, and 
services that support families of children and adults who have 
disabilities.
    (7) Research that will support the improvement of services and 
policies to foster the productivity, independence, and social 
integration of individuals with disabilities of all types, to live in 
their communities.

[[Page 289]]

    (b) Rehabilitation Research and Training Centers shall conduct 
training activities, which must be accessible to and usable by 
individuals with disabilities, that may include the following:
    (1) Training of students preparing to be rehabilitation personnel.
    (2) Training at the preservice, inservice, and graduate levels to 
assist individuals to provide rehabilitation services more effectively.
    (3) Training at graduate, preservice, and inservice levels for 
rehabilitation research personnel.
    (4) In-service training for individuals with disabilities and their 
family members, guardians, advocates, or authorized representatives.
    (5) Faculty support for teaching rehabilitation-related courses of 
study for credit and other courses offered by the Center.
    (c) Rehabilitation Research and Training Centers shall disseminate 
information and provide technical assistance, which must be accessible 
to and usable by individuals with disabilities, through conferences, 
workshops, public education programs, inservice training programs, 
publications, and similar activities, to--
    (1) Providers of rehabilitation and other relevant services to 
individuals with disabilities;
    (2) Individuals with disabilities;
    (3) Family members of individuals with disabilities; and
    (4) Other authorized representatives, advocates, and organizations 
that provide information and support to individuals with disabilities 
and their families.
    (d) Rehabilitation Research and Training Centers may use part of 
their funds to provide services connected with their research and 
training activities to individuals with disabilities.
    (e) Rehabilitation Research and Training Centers are encouraged--
    (1) To develop practical applications for the findings of their 
research; and
    (2) To disseminate information and provide technical assistance to 
administrators, policymakers, and representatives of public and private 
organizations whose activities affect the productivity, independence, 
and community integration of individuals with disabilities.

(Authority: Sec. 204(b)(2)(A)(ii),(B)-(D), and (F)-(I); 29 U.S.C. 
762(b)(2)(A)(ii), (B)-(D), and (F)-(I))

[60 FR 17429, Apr. 5, 1995]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 352.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32.

(Authority: Sec. 202(e); (29 U.S.C. 761a(e)))



Sec. 352.31   What selection criteria are used under this program?

    The Secretary evaluates applications under this program according to 
the following criteria:
    (a) Relevance and importance of the research program. (20 points)

    (Note: For fiscal year 1987 only, the maximum number of points to be 
awarded under this criterion is 25 points.)

    The Secretary reviews each application to determine to what degree--
    (1) The proposed activities are responsive to a priority established 
by the Secretary and address a significant need of a disabled target 
population and rehabilitation service providers;
    (2) The overall research program of the Center includes appropriate 
interdisciplinary and collaborative research activities, is likely to 
lead to new and useful knowledge in the priority area, and is likely to 
become a nationally recognized source of scientific knowledge; and
    (3) The applicant demonstrates that all component activities of the 
Center are related to the overall objective of the Center, and will 
build upon and complement each other to enhance the likelihood of 
solving significant rehabilitation problems.
    (b) Quality of the research design. (35 points)

    (Note: For fiscal year 1987 only, the maximum number of points to be 
awarded under this criterion is 25 points.)


[[Page 290]]


    The Secretary reviews each application to determine to what degree--
    (1) The applicant proposes a comprehensive research program for the 
entire project period, including at least three interrelated research 
projects;
    (2) The research design and methodology of each proposed activity 
are meritorious in that--
    (i) The literature review is appropriate and indicates familiarity 
with current research in the field;
    (ii) The research hypotheses are important and scientifically 
relevant;
    (iii) The sample populations are appropriate and significant;
    (iv) The data collection and measurement techniques are appropriate 
and likely to be effective;
    (v) The data analysis methods are appropriate; and
    (vi) The applicant assures that human subjects, animals, and the 
environment are adequately protected; and
    (3) The application discusses the anticipated research results and 
demonstrates how those results would satisfy the original hypotheses and 
could be used for planning future research, including generation of new 
hypotheses where applicable.
    (c) Quality of the training and dissemination program. (25 points): 
The Secretary reviews each application to determine the degree to 
which--
    (1) The proposed plan for training and dissemination provides 
evidence that research results will be effectively disseminated and 
utilized based on the identification of appropriate and accessible 
target groups; the proposed training materials and methods are 
appropriate; the proposed activities are relevant to the regional and 
national needs of the rehabilitation field; and the training materials 
and dissemination packages will be developed in alternate media that are 
usable by people with various types of disabilities;
    (2) The proposed plan for training and dissemination provides for--
    (i) Advanced training in rehabilitation research;
    (ii) Training rehabilitation service personnel and other appropriate 
individuals to improve practitioner skills based on new knowledge 
derived from research;
    (iii) Training packages that make research results available to 
service providers, researchers, educators, individuals with 
disabilities, parents, and others;
    (iv) Technical assistance or consultation that is responsive to the 
concerns of service providers and consumers;
    (v) Dissemination of research findings through publication in 
professional journals, textbooks, and consumer and other publications, 
and through other appropriate media such as audiovisual materials and 
telecommunications;
    (vi) Widespread dissemination of findings and other appropriate 
materials to providers of rehabilitation and other relevant services to 
individuals with disabilities, individuals with disabilities, family 
members of individuals with disabilities, and other authorized 
representatives, advocates, and organizations that provide information 
and support to individuals with disabilities and their families; and
    (vii) Dissemination of research findings and other materials in 
appropriate formats and accessible media for use by individuals with 
various disabilities.
    (d) Quality of the organization and management. (20 points):

    (Note: For fiscal year 1987 only, the maximum number of points to be 
awarded under this criterion is 25 points.)

The Secretary reviews each application to determine the degree to 
which--
    (1) The staffing plan for the Center provides evidence that the 
project director, research director, training director, principal 
investigator and other personnel have appropriate training and 
experience in disciplines required to conduct the proposed activities; 
the commitment of staff time is adequate to conduct all proposed 
activities; and the Center, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
handicapping condition.
    (2) The budgets for the Center and for each component project are 
reasonable, adequate, and cost-effective for the proposed activities;
    (3) The facilities, equipment, and other resources are adequate and 
are

[[Page 291]]

appropriately accessible to persons with disabilities;
    (4) The plan of operations is adequate to accomplish the Center's 
objectives and to ensure proper and efficient management of the Center;
    (5) The proposed relationships with Federal, State, and local 
rehabilitation service providers and consumer organizations are likely 
to ensure that the Center program is relevant and applicable to the 
needs of consumers and service providers;
    (6) The past performance and accomplishments of the applicant 
indicate an ability to complete successfully the proposed scope of work;
    (7) The application demonstrates appropriate commitment and support 
by the host institution and opportunities for interdisciplinary 
activities and collaboration with other institutions and organizations; 
and
    (8) The plan for evaluation of the Center provides for an annual 
assessment of the outcomes of the research, the impact of the training 
and dissemination activities on the target populations, and the extent 
to which the overall objectives have been accomplished.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 202(e) and 204(b)(2); 29 U.S.C. 761a(e) and 762(b)(2))

[52 FR 30063, Aug. 12, 1987, as amended at 60 FR 17430, Apr. 5, 1995]



Sec. 352.32  What are the priorities for funding under this program?

    (a) The Secretary may from time to time reserve funds to support 
some or all of the types of centers listed in 34 CFR 352.10.
    (b) The Secretary advises the public of these priorities through an 
Application Notice in the Federal Register.

(Authority: Secs. 202(g) and 204; (29 U.S.C. 761a(g) and 762))



Sec. 352.33  What is the project period of a Rehabilitation Research and Training Center?

    Awards are made under this program for a period of five years except 
that awards may be made for a lesser period if--
    (a) The award is made to a new recipient; or
    (b) The award supports a new research area or an innovative approach 
to a research area.

(Authority: Sec. 204(b)(2)(L); 29 U.S.C. 762(b)(2)(L))

[60 FR 17430, Apr. 5, 1995]



Sec. 352.34  What other factors does the Secretary consider in making an award under this program?

    In making an award under this program, the Secretary takes into 
consideration the location of any proposed Center and the appropriate 
geographic and regional allocation of all Centers.

(Authority: Sec. 204(b)(2)(J); 29 U.S.C. 762(b)(2)(J))

[60 FR 17430, Apr. 5, 1995]



             Subpart E--What Conditions Apply to a Grantee?



Sec. 352.40  What are the indirect cost requirements for this program?

    A host institution with which a center is affiliated may not collect 
in excess of fifteen percent of the total grant award as indirect cost 
charges, notwithstanding the provisions in Sec. 75.562 of EDGAR.

(Authority: Section 204(b)(2); 29 U.S.C. 762(b)(2))

[52 FR 30064, Aug. 12, 1987, as amended at 60 FR 17430, Apr. 5, 1995]



PART 353--DISABILITY AND REHABILITATION RESEARCH: REHABILITATION ENGINEERING RESEARCH CENTERS--Table of Contents




                           Subpart A--General

Sec.
353.1  What is the Rehabilitation Engineering Research Centers program?
353.2  Who is eligible for assistance under this program?
353.3  What regulations apply to this program?
353.4  What definitions apply to this program?

 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?

353.10  What types of activities are authorized under this program?

[[Page 292]]

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

353.30  How is peer review conducted under this program?
353.31  What selection criteria are used under this program?
353.32  What are the priorities for funding under this program?
353.33  What is the project period of a Rehabilitation Engineering 
          Research Center?
353.40  What additional requirements must be met by a grantee under this 
          program?
353.41  What is the advisory committee requirement for a grantee under 
          this program?

    Authority: 29 U.S.C. 762(b)(3), unless otherwise noted.

    Source: 46 FR 45310, Sept. 10, 1981, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 353 was 
removed, effective Oct. 1, 1997.



                           Subpart A--General



Sec. 353.1  What is the Rehabilitation Engineering Research Centers program?

    Rehabilitation Engineering Research Centers conduct research, 
demonstration, and training activities regarding rehabilitation 
technology--including rehabilitation engineering, assistive technology 
devices, and assistive technology services, in order to enhance the 
opportunities to better meet the needs of, and address the barriers 
confronted by, individuals with disabilities in all aspects of their 
lives.

(Authority: Sec. 204(b)(3)(A); 29 U.S.C. 762(b)(3)(A))

[60 FR 17430, Apr. 5, 1995]



Sec. 353.2  Who is eligible for assistance under this program?

    A public or private entity, including an Indian tribe or tribal 
organization, is eligible to receive an award under this program if the 
entity demonstrates that the Center will be operated by, or in 
collaboration with, an institution of higher education or a nonprofit 
organization.

(Authority: Sec. 204(b)(3)(A); 29 U.S.C. 762(b)(3)(A))

[60 FR 17430, Apr. 5, 1995]



Sec. 353.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: Secs. 202 and 204; (29 U.S.C. 761a and 762))



Sec. 353.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))



 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?



Sec. 353.10  What types of activities are authorized under this program?

    (a) Rehabilitation Engineering Research Centers shall carry out 
research and demonstration activities through--
    (1) Developing and disseminating innovative methods of applying 
advanced technology, scientific achievement, and psychological and 
social knowledge to solve rehabilitation problems and remove 
environmental barriers through--
    (i) Planning and conducting research, including cooperative research 
with public or private agencies and organizations, designed to produce 
new scientific knowledge and new or improved methods, equipment, or 
devices; and
    (ii) Studying and evaluating the effectiveness and benefits of new 
or emerging technologies, products, or environments.
    (2) Demonstrating and disseminating--
    (i) Innovative models for the delivery to rural and urban areas of 
cost-effective rehabilitation technology services that will promote the 
use of assistive technology services; and
    (ii) Other scientific research to assist in meeting the employment 
and independent living needs of individuals with severe disabilities; or
    (3) Conducting research and demonstration activities that facilitate 
service delivery systems change by demonstrating, evaluating, 
documenting, and disseminating--
    (i) Consumer-responsive and individual and-family-centered 
innovative

[[Page 293]]

models for the delivery to both rural and urban areas of innovative, 
cost-effective rehabilitation technology services that promote 
utilization of rehabilitation devices; and
    (ii) Other scientific research to assist in meeting the employment 
and independent living needs of, and addressing the barriers confronted 
by individuals with disabilities, including individuals with severe 
disabilities.
    (b) To the extent consistent with the nature and type of research or 
demonstration activities described in paragraph (a) of this section, the 
Rehabilitation Engineering Research Centers shall carry out research, 
training, and information dissemination activities by--
    (1) Cooperating with programs established under the Technology-
Related Assistance for Individuals with Disabilities Act of 1988 (Pub. 
L. 100-407), and other regional and local programs, to provide 
information to individuals with disabilities and their parents, family 
members, guardians, advocates, or authorized representatives, to 
increase awareness and understanding of how rehabilitation technology 
can address their needs, and the range of options, programs, services, 
and resources available, including financing options for the technology 
and services covered by the area of focus of the Center;
    (2) Providing training to individuals, including individuals with 
disabilities, to enable them to become rehabilitation technology 
researchers and practitioners of rehabilitation technology; and
    (c) Responding, through research or demonstration activities, to the 
needs of individuals with all types of disabilities who may benefit from 
the application of technology within the area of focus of the Center.

(Authority: Secs. 204(b)(3); 29 U.S.C. 762(b)(3))

[60 FR 17430, Apr. 5, 1995]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 353.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32.

(Authority: Sec. 202(e); (29 U.S.C. 761a(e)))



Sec. 353.31  What selection criteria are used under this program?

    (a) Relevance and importance of the research program. (25 points) 
The Secretary reviews each application to determine to what degree--
    (1) The proposed activities are responsive to a priority established 
by the Secretary and address a significant need of a disabled target 
population and rehabilitation service providers;
    (2) The overall research program of the Center includes appropriate 
interdisciplinary and collaborative research activities, is likely to 
lead to new and useful knowledge in the priority area and to the 
development of new technology or new applications of existing 
technology, and is likely to become a nationally recognized source of 
information on technology in the priority area; and
    (3) The applicant demonstrates that all component activities of the 
Center are related to the overall objectives of the Center, and will 
build upon and complement each other to enhance the likelihood of 
finding solutions to significant rehabilitation problems.
    (b) Quality of the research design. (25 points) The Secretary 
reviews each application to determine to what degree--
    (1) The applicant proposes a comprehensive program of research for 
the total project period, including at least three interrelated research 
projects;
    (2) The research design and methodology of each proposed activity 
are meritorious in that--

[[Page 294]]

    (i) The literature review is appropriate and indicates familiarity 
with the state-of-the-art and current research in rehabilitation 
technology;
    (ii) The research hypotheses are important and scientifically 
relevant;
    (iii) The sample populations are appropriate and significant;
    (iv) The data collection and measurement techniques are appropriate 
and likely to be effective;
    (v) The data analysis methods are appropriate; and
    (vi) The applicant assures that human subjects, animals, and the 
environment are adequately protected.
    (3) The plan for development, clinical testing, and evaluation of 
new devices and technology is likely to yield significant products; and
    (4) The application discusses the anticipated research results and 
demonstrates how those results would satisfy the original hypotheses and 
could be used for planning additional research, including the generation 
of new hypotheses where applicable.
    (c) Quality of the dissemination and utilization program. (25 
points) The Secretary reviews each application to determine the degree 
to which--
    (1) The proposed plan for dissemination provides evidence that 
research results will be effectively disseminated and utilized based on 
the identification of appropriate and accessible target groups; the 
proposed activities are relevant to the regional and national needs of 
the rehabilitation field; and dissemination packages will be prepared in 
a form usable by individuals with all types of disabilities;
    (2) The proposed plan for dissemination and utilization of the 
research and development provides for--
    (i) Orientation programs for rehabilitation service personnel to 
improve the application of rehabilitation technology;
    (ii) Programs which specifically demonstrate means for utilizing 
rehabilitation technology;
    (iii) Technical assistance and consultation that are responsive to 
concerns of service providers and consumers; and
    (iv) Dissemination of reseach findings through publication in 
professional journals, textbooks, and consumer and other publications, 
and through other appropriate media such as audiovisual materials and 
telecommunications, in an effort to make research results accessible to 
manufacturers, rehabilitation service providers, researchers, educators, 
disabled individuals and their families, and others;
    (3) There is an appropriate plan to ensure the distribution and 
utilization of new devices and technology; and
    (4) The plan provides for effective cooperation with appropriate 
State, local, and regional organizations and projects to provide 
information to individuals with disabilities and their family members, 
advocates, and representatives, about the potential uses and benefits, 
and resources for obtaining, rehabilitation technology.
    (d) Quality of the organization and management. (25 points): The 
Secretary reviews each application to determine the degree to which--
    (1) The staffing plan for the Center provides evidence that the 
principal investigator and other personnel have appropriate training and 
experience in disciplines required to conduct the proposed activities; 
the commitment of time for all staff is adequate to conduct all proposed 
activities; and the Center, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
handicapping condition;
    (2) The budgets for the Center and each of the proposed activities 
are reasonable, adequate, and cost-effective for the proposed 
activities;
    (3) The facilities, equipment, and other resources are adequate and 
are appropriately accessible to persons with disabilities;
    (4) The plan of operations is adequate to accomplish the Center's 
objectives and to ensure proper and efficient management of the Center;
    (5) The proposed relationships with Federal, State, and local 
rehabilitation service providers and consumer organizations are likely 
to ensure that the Center program is relevant and applicable to the 
needs of consumers and service providers;
    (6) The past performance and accomplishments of the applicant 
indicate an

[[Page 295]]

ability to complete successfully the proposed scope of work;
    (7) The application demonstrates appropriate commitment and support 
by the host institution and opportunities for interdisciplinary 
activities and collaboration with other institutions; and
    (8) The plan for evaluation of the Center will assess annually the 
outcomes of the discrete and interrelated research projects, the impact 
of the training and dissemination activities on the target populations, 
and the extent to which the overall objectives have been accomplished.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 202(e) and 204(b)(3); 29 U.S.C. 761a(e) and 762(b)(3))

[52 FR 30064, Aug. 12, 1987, as amended at 60 FR 17431, Apr. 5, 1995]



Sec. 353.32  What are the priorities for funding under this program?

    (a) The Secretary may from time to time reserve funds to support 
some or all of the types of research centers or projects listed in 34 
CFR 353.10.
    (b) The Secretary advises the public of these priorities through an 
Application Notice published in the Federal Register.

(Authority: Secs. 202(g) and 204; (29 U.S.C. 761a(g) and 762))



Sec. 353.33  What is the project period of a Rehabilitation Engineering Research Center?

    Awards are made under this program for a period of five years except 
that awards may be made for a lesser period if--
    (a) The award is made to a new recipient; or
    (b) The award supports a new research area or an innovative approach 
to a research area.

(Authority: Sec. 204(b)(3)(E); 29 U.S.C. 762(b)(3)(E))

[60 FR 17431, Apr. 5, 1995]



Sec. 353.40  What additional requirements must be met by a grantee under this program?

    (a) A Rehabilitation Engineering Research Center shall cooperate 
with State rehabilitation agencies, and other local, State, regional, 
and national programs and organizations developing or delivering 
rehabilitation technology, including State programs funded under the 
Technology-Related Assistance for Individuals with Disabilities Act of 
1988, as amended.
    (b) A Rehabilitation Engineering Research Center funded under this 
program shall prepare and submit to the Secretary, either as part of an 
application for continuation of a grant or as part of a final report, a 
report that documents the short- and long-term impact of the center's 
program and program outcomes on the lives of individuals with 
disabilities, and such other information as the Secretary may request.

(Authority: Sec. 204(b)(3)(G); 29 U.S.C. 762(b)(3)(G))

[60 FR 17431, Apr. 5, 1995]



Sec. 353.41  What is the advisory committee requirement for a grantee under this program?

    A Rehabilitation Engineering Research Center that conducts research 
or demonstration activities that facilitate service delivery systems 
change shall have an advisory committee of which the majority of the 
members are individuals with disabilities who are users of 
rehabilitation technology, or the parents, family members, guardians, 
advocates, or authorized representatives of users of assistive 
technology.

(Authority: Secs. 204(b)(3)(D)(ii); 29 U.S.C. 762(b)(3)(D)(ii))

[60 FR 17431, Apr. 5, 1995]



PART 355--DISABILITY AND REHABILITATION RESEARCH: KNOWLEDGE DISSEMINATION AND UTILIZATION PROGRAMS--Table of Contents




                           Subpart A--General

Sec.
355.1  What is the Knowledge Dissemination and Utilization Program?
355.2  Who is eligible for assistance under this program?
355.3  What regulations apply to this program?
355.4  What definitions apply to this program?

[[Page 296]]

 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?

355.10  What types of activities are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

355.30  How is peer review conducted under this program?
355.31  What selection criteria are used under this program?
355.32  What are the priorities for funding under this program?

    Authority: 29 U.S.C. 760-762, unless otherwise noted.

    Source: 46 FR 45312, Sept. 10, 1981, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 355 was 
removed, effective Oct. 1, 1997.



                           Subpart A--General



Sec. 355.1  What is the Knowledge Dissemination and Utilization Program?

    This program is designed to support activities that will insure that 
rehabilitation knowledge generated from projects and centers funded by 
the Institute and from other sources is fully utilized to improve the 
lives of individuals with disabilities.

(Authority: Secs. 202, 204(a), and 204(b)(5); (29 U.S.C. 761a, 762(a) 
and 762(b)(5)))

[46 FR 45312, Sept. 10, 1981, as amended at 58 FR 49419, Sept. 22, 1993]



Sec. 355.2  Who is eligible for assistance under this program?

    Those agencies and organizations eligible to apply under this 
program are described in 34 CFR 350.2.

(Authority: Sec. 204; (29 U.S.C. 762))



Sec. 355.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: Secs. 202 and 204; (29 U.S.C. 761a and 762))



Sec. 355.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))



 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?



Sec. 355.10  What types of activities are authorized under this program?

    The knowledge dissemination and utilization program provides 
financial assistance for the following types of projects--
    (a) Domestic or international research utilization;
    (b) Domestic or international information dissemination activities;
    (c) Building public awareness about ways of rehabilitating 
individuals with disabilities;

(Authority: Secs. 200(2), 202(b)4-6, 204(a), 204(b)(5); (29 U.S.C. 
761a(b)(2), 761a(b) (4-6), 762(a), 762(b)(5)))

[46 FR 45312, Sept. 10, 1981, as amended at 58 FR 49419, Sept. 22, 1993]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 355.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32.

(Authority: Sec. 202e; (29 U.S.C. 761a(e))



Sec. 355.31  What selection criteria are used under this program?

    The selection criteria used under this program are the criteria 
described in Sec. 350.34.

(Authority: Secs. 202(e) and 202(i)(1); (29 U.S.C. 761a(e) and 
761(i)(1)))

[49 FR 9326, Mar. 12, 1984]



Sec. 355.32  What are the priorities for funding under this program?

    (a) The Secretary may from time to time reserve funds to support 
some or

[[Page 297]]

all of the types of projects listed in 34 CFR 355.10.
    (b) The Secretary advises the public of these priorities through an 
Application Notice published in the Federal Register.

(Authority: Secs. 202(g) and 204; (29 U.S.C. 761a(g) and 762))



PART 356--DISABILITY AND REHABILITATION RESEARCH: RESEARCH FELLOWSHIPS--Table of Contents




                           Subpart A--General

Sec.
356.1  What is the Research Fellowships Program?
356.2  Who is eligible for assistance under this program?
356.3  What regulations apply to this program?
356.4  What definitions apply to this program?

 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?

356.10  What types of activities are authorized?
356.11  What types of problems may be researched under the fellowship 
          program?

    Subpart C--How Does One Apply for Assistance Under This Program?

356.20  What are the application procedures under this part?
356.21  What is the fellowship review process?

           Subpart D--How Does the Secretary Select a Fellow?

356.30  What selection criteria are used for this program?
356.31  How does the Secretary evaluate an application under this part?
356.32  What are the special considerations in selecting applications 
          for funding under this part?

         Subpart E--What Conditions Have to be Met by a Fellow?

356.40  What is the length of a fellowship award?
356.41  What are the employment limitations during a fellowship period?
356.42  What acknowledgement of support is required?

  Subpart F--What Are the Administrative Responsibilities of a Fellow?

356.50  What kinds of payments are allowed under this program?
356.51  What reports are required?
356.52  Are there other requirements?

    Authority: 29 U.S.C. 760-762, unless otherwise noted.

    Source: 46 FR 45312, Sept. 10, 1981, unless otherwise noted.



                           Subpart A--General



Sec. 356.1  What is the Research Fellowships Program?

    The purpose of this program is to build research capacity by 
providing support to highly qualified individuals, including those who 
are individuals with disabilities, to perform research on the 
rehabilitation of individuals with disabilities.

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984, as amended at 58 FR 49419, Sept. 22, 1993]



Sec. 356.2  Who is eligible for assistance under this program?

    (a) Only individuals are eligible to be recipients of Fellowships.
    (b) Any individual is eligible for assistance under this program who 
has training and experience that indicate a potential for engaging in 
scientific research related to the solution of rehabilitation problems 
of individuals with disabilities.
    (c) This program provides two categories of Fellowships: Merit 
Fellowships and Distinguished Fellowships.
    (1) To be eligible for a Distinguished Fellowship, an individual 
must have seven or more years of research experience in subject areas, 
methods, or techniques relevant to rehabilitation research and must have 
a doctorate, other terminal degree, or comparable academic 
qualifications.
    (2) The Secretary awards Merit Fellowships to individuals in earlier 
stages of their careers in research. To be eligible for a Merit 
Fellowship, an individual must have either advanced professional 
training or experience in independent study in an area which is directly 
pertinent to disability and rehabilitation.

[[Page 298]]

    (d) An applicant for a fellowship under this program must be 
eligible under 34 CFR 75.60.

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984, as amended at 57 FR 30343, July 8, 1992; 58 
FR 49419, Sept. 22, 1993]



Sec. 356.3  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The peer review requirements contained in 34 CFR 350.31-350.32.
    (b) The regulations in this part--34 CFR part 356;
    (c)(1) Subject to the additional requirement in paragraph (c)(2) of 
this section, 34 CFR part 97, Protection of Human Subjects.
    (2) When an IRB reviews research that purposefully requires 
inclusion of children with disabilities or individuals with mental 
disabilities as research subjects, the IRB must include at least one 
person primarily concerned with the welfare of these research subjects.
    (d) The regulations in 34 CFR 75.60-75.61 (regarding the 
ineligibility of certain individuals to receive assistance).

(Authority: 29 U.S.C. 761a(d), 42 U.S.C. 300v-1(b))

[46 FR 45312, Sept. 10, 1981, as amended at 56 FR 28031, June 18, 1991; 
57 FR 30343, July 8, 1992; 58 FR 49419, Sept. 22, 1993; 60 FR 17431, 
Apr. 5, 1995]



Sec. 356.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i)(1); (29 U.S.C. 761a(i)(1)))



 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?



Sec. 356.10  What types of activities are authorized?

    (a) Fellows may conduct original research in any area authorized by 
section 204 of the Act.
    (b) Each year the Secretary may determine that research is needed in 
certain areas authorized under section 204 of the Act and may set aside 
funds to provide fellowship assistance for research in these specific 
areas. The Secretary publishes the selected priorities, if any, in a 
notice in the Federal Register. 

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]



Sec. 356.11  What types of problems may be researched under the fellowship program?

    Problems encountered by individuals with disabilities in their daily 
lives that are due to the presence of a disabling condition, problems 
associated with the provision of rehabilitation services to individuals 
with disabilities, and problems connected with the conduct of disability 
research may be addressed under this program.

(Authority: Secs. 202(d), 202(g)(1), 204; 29 U.S.C. 761a(d), 761a(g)(1), 
762)

[58 FR 49419, Sept. 22, 1993]



    Subpart C--How Does One Apply for Assistance Under This Program?



Sec. 356.20  What are the application procedures under this part?

    From time to time the Secretary will publish in the Federal Register 
an Application Notice that announces the availability of fellowship 
assistance under this part.

(Authority: Sec. 202(d); (29 U.S.C. 761a(d)))



Sec. 356.21  What is the fellowship review process?

    The Secretary reviews applications for Fellowships in accordance 
with the peer review requirements governing grants in 34 CFR 350.31 and 
350.32 and the selection criteria contained in Sec. 356.30.

(Approved by the Office of Management and Budget under control number 
1800-0027)

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]



           Subpart D--How Does the Secretary Select a Fellow?



Sec. 356.30  What selection criteria are used for this program?

    The Secretary evaluates an application for a Fellowship on the basis 
of--

[[Page 299]]

    (a) Quality and level of formal education, previous work experience, 
and recommendations of present or former supervisors or colleagues that 
include an indication of the applicant's ability to work creatively in 
scientific research; and
    (b) The quality of a research proposal of no more than 12 pages 
containing the following information:
    (1) The importance of the problem to be investigated to the purpose 
of the Act and the mission of the Institute.
    (2) The research hypotheses or related objectives and the 
methodology and design to be followed.
    (3) Assurance of the availability of any necessary data resources, 
equipment, or institutional support, including technical consultation 
and support where appropriate, required to carry out the proposed 
activity.

(Approved by the Office of Management and Budget under control number 
1800-0027)

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984, as amended at 52 FR 30065, Aug. 12, 1987]



Sec. 356.31  How does the Secretary evaluate an application under this part?

    The Secretary awards the following points for each application based 
on how well the applicant addresses the two criteria in Sec. 356.30: 
Outstanding (5); Superior (4); Satisfactory (3); Marginal (2); Poor (1).

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]



Sec. 356.32  What are the special considerations in selecting applications for funding under this part?

    (a) The Secretary reserves funds to support some or all of the 
applications which have been awarded a rating of superior or better (4-5 
points) under Sec. 356.31.
    (b) In making a final selection of applicants to support under this 
program, the Secretary considers the extent to which applicants rated 
outstanding or superior present a unique opportunity to effect a major 
advance in knowledge, address critical problems in innovative ways, 
present proposals which are consistent with the Institute's Long-Range 
Plan, build research capacity within the field, or complement and 
significantly increases the potential value of already planned research 
and related activities.

(Approved by the Office of Management and Budget under control number 
1800-0027)

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984, as amended at 52 FR 30065, Aug. 12, 1987]



         Subpart E--What Conditions Have To Be Met by a Fellow?



Sec. 356.40  What is the length of a Fellowship award?

    The Secretary awards Fellowships for a period of 12 months. Under 
exceptional circumstances, the Secretary may extend the period of a 
Fellowship; such an extension may not exceed 12 months.

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]



Sec. 356.41  What are the employment limitations during a fellowship period?

    The Secretary may require a research fellow to work full time on 
authorized fellowship activities.

(Authority: Sec. 202(d); (29 U.S.C. 761a(d)))



Sec. 356.42  What acknowledgement of support is required?

    Publication, distribution, and disposition of all manuscripts and 
other materials resulting from a fellowship awarded under this part must 
acknowledge that assistance was received from the Department and the 
Institute. Three copies of these publications or other materials must be 
furnished to the Secretary.

(Authority: Sec. 202(d); (29 U.S.C. 761a(d)))



  Subpart F--What are the Administrative Responsibilities of a Fellow?



Sec. 356.50  What kinds of payments are allowed under this program?

    A Fellowship award in either the Distinguished or Merit category 
includes a fixed stipend and a flat rate allowance for research and 
research-related expenses including travel expenses.

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]

[[Page 300]]



Sec. 356.51  What reports are required?

    Fellows shall submit final reports. Each report must contain at a 
minimum an analysis of the significance of the project and an assessment 
of the degree to which the objectives of the project have been achieved.

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]



Sec. 356.52  Are there other requirements?

    The Secretary may require fellows to attend one or more meetings in 
connection with Fellowship activities.

(Authority: Sec. 202(d); 29 U.S.C. 761a(d))

[49 FR 24979, June 18, 1984]



PART 357--DISABILITY AND REHABILITATION RESEARCH: FIELD-INITIATED PROJECTS--Table of Contents




                           Subpart A--General

Sec.
357.1  What is the field-initiated projects program?
357.2  Who is eligible for assistance under this program?
357.3  What regulations apply to this program?
357.4  What definitions apply to this program?

 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?

357.10  What types of projects are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

357.30  How is peer review conducted under this program?
357.31  How does the Secretary evaluate an application under this 
          program?
357.32  How does the Secretary evaluate an application under this 
          program?
357.33  What are the priorities for funding under this program?

    Authority: 29 U.S.C 760-762, unless otherwise noted.

    Source: 49 FR 9326, Mar. 12, 1984, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 357 was 
removed, effective Oct. 1, 1997.



                           Subpart A--General



Sec. 357.1  What is the field-initiated projects program?

    This program is designed--
    (a) To encourage eligible parties to originate valuable ideas for 
research and demonstration, development, or knowledge dissemination 
projects to further the purposes of the Institute; and
    (b) To support research and demonstration, development, or knowledge 
dissemination projects as described in Sec. 357.10, that address 
important activities not supported by Institute-funded research or that 
complement that research in a promising way.

(Authority: Secs. 200(1); 202(i)(1); 204; 29 U.S.C. 760(1), 761(a)(1), 
762)

[53 FR 24245, June 27, 1988]



Sec. 357.2  Who is eligible for assistance under this program?

    Those agencies and organizations eligible to apply under this 
program are described in 34 CFR 350.2.

(Authority: Sec. 204; (29 U.S.C. 762))



Sec. 357.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: Secs. 202 and 204; 29 U.S.C 761a, 762)



Sec. 357.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i) (1); (29 U.S.C. 761a(i)(1)))



 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?



Sec. 357.10  What types of projects are authorized under this program?

    The following types of projects may be funded under this program:
    (a) Research and demonstration projects, including--
    (1) Scientific investigations into the nature of disability and its 
prevalence and distribution;
    (2) Methods of analyzing disability;

[[Page 301]]

    (3) Techniques and devices for habilitation, rehabilitation, and 
restoration of physical, emotional, cognitive, communicative, 
vocational, and social functioning;
    (4) Analyses of social, economic, industrial, geographic, and 
demographic factors affecting disability and rehabilitation;
    (5) Studies of architectural, administrative, employment, and 
transportation barriers and other problems encountered by individuals 
with disabilities in their daily lives; and
    (6) General scientific and technological inquiries to develop 
methods and devices to enable persons with disabilities to live with 
maximum independence, and other comparable research and demonstration 
activities.
    (b) Knowledge dissemination projects related to the dissemination 
and utilization of new knowledge in disability and rehabilitation, 
including--
    (1) Studies of the most effective means to disseminate new knowledge 
to disabled consumers and service providers;
    (2) Controlled demonstrations of selected techniques to encourage 
the utilization of new knowledge; and
    (3) Studies to develop and test new curricula to train service 
providers in specific clinical or service skills or in the management of 
services.
    (c) Development projects to--
    (1) Design and develop new devices or techniques to assist 
individuals with disabilities to engage in activities of daily living;
    (2) Fabricate prototype devices;
    (3) Evaluate prototypes and other important but untested devices in 
clinical and daily living settings;
    (4) Develop standards for assistive devices; and
    (5) Develop techniques to promote the manufacture, evaluation, and 
distribution of new devices.

(Authority: Secs. 202(e) and 202(i)(1); 29 U.S.C. 761a(e) and 
761a(i)(1))

[53 FR 24245, June 27, 1988]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 357.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32.

(Sec. 202(e); (29 U.S.C 761a(e)))



Sec. 357.31  How does the Secretary evaluate an application under this program?

    The Secretary evaluates an application under this program for 
scientific merit on the basis of the selection criteria in Sec. 357.32, 
and according to the procedures in Sec. 350.33.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: Secs. 202(e) and 202(i)(1); (29 U.S.C. 761a(e) and 
761a(i)(1)))



Sec. 357.32  How does the Secretary evaluate an application under this program?

    (a) Importance of the problem. (20 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The proposed project addresses a problem that is significant to 
persons with disabilities or to those who provide services to them; and
    (2) The proposed project is likely to produce new and useful 
knowledge, techniques, or devices that will develop or disseminate 
solutions to problems confronting persons with disabilities.
    (3) The application addresses the needs of individuals with 
disabilities from minority backgrounds.
    (b) Design of the project. (45 points) (1) The Secretary reviews 
each application for a research and demonstration project to determine 
the extent to which--
    (i) The review of the literature is appropriate and indicates 
familiarity with the relevant current research;

[[Page 302]]

    (ii) The research hypotheses are theoretically sound and based on 
current knowledge;
    (iii) The sample populations are adequate and appropriately 
selected;
    (iv) The data collection instruments and methods are appropriate and 
likely to be successful;
    (v) The data analysis measures are appropriate; and
    (vi) The application discusses the anticipated research results and 
demonstrates how those results would satisfy the original hypotheses.
    (2) The Secretary reviews each application for a knowledge 
dissemination project to determine the extent to which--
    (i) The need for the information has been demonstrated;
    (ii) The target populations are appropriately specified;
    (iii) The dissemination methods are appropriate to the target 
populations;
    (iv) The materials for dissemination are prepared in media 
accessible to the target population;
    (v) There are adequate means of documenting and evaluating the 
effectiveness of the dissemination activity.
    (3) The Secretary reviews each application for a development project 
to determine the extent to which--
    (i) The proposed project will use the most effective and appropriate 
technology available in developing the new device or technique;
    (ii) The proposed development is based on a sound conceptual model 
that demonstrates an awareness of the state-of-the-art in technology;
    (iii) Devices or techniques will be developed and tested in an 
appropriate environment;
    (iv) The applicant considers the cost-effectiveness and usefulness 
of the device or technique to be developed for persons with 
disabilities; and
    (v) The applicant discusses the potential for commercial or private 
manufacture, marketing, and distribution of the product.
    (c) Personnel. (20 points) The Secretary reviews each application to 
determine the extent to which--
    (1) The key personnel have adequate training and experience in the 
required disciplines to conduct the proposed activities;
    (2) The allotment of staff time is adequate to accomplish the 
proposed activities; and
    (3) The applicant ensures that personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
handicapping condition.
    (d) Management and evaluation. (15 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The resources of the applicant are adequate, appropriate, and 
accessible to individuals with disabilities;
    (2) The proposed budget is adequate and appropriate for the 
activities to be carried out;
    (3) There is a plan, appropriate to the type of field-initiated 
project, to evaluate the effectiveness of the project in accomplishing 
its goals and objectives;
    (4) The applicant provides a plan of operations, appropriate to the 
type of field-initiated project, indicating that it will achieve the 
project objectives in a timely and effective manner; and
    (5) Appropriate collaboration with other agencies is assured.

(Approved by the Office of Management and Budget under Control Number 
1820-0027)

(Authority: Secs. 202(e) and 202(i)(1); 29 U.S.C. 761a(e) and 
761a(i)(1))

[53 FR 24246, June 27, 1988, as amended at 58 FR 49419, Sept. 22, 1993]



Sec. 357.33  What are the priorities for funding under this program?

    (a) The Secretary reserves funds to support some or all of the 
proposals which have been awarded a rating of 80 points or more under 
the procedures described in Sec. 357.31.
    (b) In making a final selection of proposals to support under this 
program, the Secretary will consider the extent to which proposals that 
have been awarded a rating of 80 points or more meet one or more of the 
following conditions:
    (1) The proposed project represents a unique opportunity to advance 
rehabilitation knowledge to improve the lives of individuals with 
disabilities.
    (2) The proposed project complements research already planned or 
funded by the Institute through annual priorities published in the 
Federal

[[Page 303]]

Register or addresses that research in a new and promising way.

(Authority: Secs. 202(g) and 202(i)(1); (29 U.S.C. 761a(g) and 
761a(i)(1))

[49 FR 9326, Mar. 12, 1984, as amended at 53 FR 24245, June 27, 1988]



PART 359--DISABILITY AND REHABILITATION RESEARCH: SPECIAL PROJECTS AND DEMONSTRATIONS FOR SPINAL CORD INJURIES--Table of Contents




                           Subpart A--General

Sec.
359.1  What is the Special Projects and Demonstrations for Spinal Cord 
          Injuries program?
359.2  Who is eligible for assistance under this program?
359.3  What regulations apply to this program?
359.4  What definitions apply to this program?
359.5--359.9  [Reserved]

Subpart B--What Kinds of Activities Does the Secretary Assist Under This 
                                Program?

359.10  What types of projects are authorized under this program?
359.11  What activities must each recipient carry out under this 
          program?
359.12--359.19  [Reserved]

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make A Grant?

359.30  How is peer review conducted under this program?
359.31  What selection criteria does the Secretary use in reviewing 
          applications under this program?
359.32  What additional factors does the Secretary consider in making a 
          grant under this program?
359.33--359.39  [Reserved]

    Authority: 29 U.S.C. 762(b)(4), unless otherwise noted.

    Source: 50 FR 16676, Apr. 26, 1985, unless otherwise noted.



                           Subpart A--General



Sec. 359.1  What is the Special Projects and Demonstrations for Spinal Cord Injuries Program?

    This program provides assistance to establish innovative projects 
for the delivery, demonstration, and evaluation of comprehensive 
medical, vocational, and other rehabilitation services to meet the wide 
range of needs of individuals with spinal cord injuries.

(Authority: Sec. 204(b)(4); 29 U.S.C. 762(b)(4))



Sec. 359.2  Who is eligible for assistance under this program?

    The agencies and organizations eligible to apply under this program 
are described in 34 CFR 350.2.

(Authority: Sec. 204(b)(4)(A); 29 U.S.C. 762(b)(4)(A))

[58 FR 49420, Sept. 22, 1993]



Sec. 359.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: Secs. 202 and 204; 29 U.S.C. 761a and 762)



Sec. 359.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: Sec. 202(i)(1); 29 U.S.C. 761a(i)(1))
Secs. 359.5--359.9  [Reserved]



Subpart B--What Kinds of Activities Does the Secretary Assist Under This 
                                Program?



Sec. 359.10  What types of projects are authorized under this program?

    This program provides assistance for demonstration projects that--
    (a) Provide comprehensive rehabilitation services to individuals 
with spinal cord injuries; and
    (b) Conduct spinal cord research, including clinical research and 
the analysis of standardized data in collaboration with other related 
projects.

(Authority: Sec. 204(b)(4); 29 U.S.C. 762(b)(4))



Sec. 359.11  What activities must each recipient carry out under this program?

    Each recipient, whether administering a project separately under 
this part or in coordination with other activities supported under title 
II of the Act, shall--

[[Page 304]]

    (a) Establish a multidisciplinary system of providing rehabilitation 
services specifically designed to meet the special needs of individuals 
with spinal cord injuries, including emergency medical services, acute 
care, vocational and other rehabilitation services, community and job 
placement, and long-term community follow up and health maintenance. The 
system must be established on an appropriate geographical basis that 
reflects patterns of patient flow, and must be administered in close 
coordination with similar programs of the Veterans Administration, the 
National Institutes of Health, and other public and private agencies and 
institutions where appropriate;
    (b) Demonstrate and evaluate both the service and cost benefits of a 
regional service system to those individuals with spinal cord injuries 
who might be served within that system;
    (c) Establish within the system a rehabilitation research 
environment for the achievement of new knowledge leading to the 
reduction and treatment of complications arising from spinal cord injury 
and the development of new techniques of medical management and 
rehabilitation;
    (d) Demonstrate and evaluate the development and application of 
improved methods and equipment essential to the care, management, and 
rehabilitation of individuals with spinal cord injury;
    (e) Demonstrate methods of community outreach and education for 
individuals with spinal cord injury in areas such as housing, 
transportation, recreation, employment, and other community activities; 
and
    (f) Address the needs of individuals with spinal cord injuries from 
minority backgrounds;
    (g) Participate as directed by the Secretary in national studies of 
the benefits of a spinal cord injury service system by contributing to a 
national database and by other means as required by the Secretary.

(Authority: Secs. 21(b)(6) and 204(b)(4); 29 U.S.C. 718b and 762(b)(4))

[50 FR 16676, Apr. 26, 1985, as amended at 58 FR 49420, Sept. 22, 1993]
Secs. 359.12--359.19  [Reserved]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 359.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32, using the selection criteria in Sec. 359.31.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))



Sec. 359.31  What selection criteria does the Secretary use in reviewing applications under this program?

    The Secretary uses the criteria in this section to evaluate 
applications under this program. The maximum score for all the criteria 
is 100 points.
    (a) Project design (20 points). The Secretary reviews each 
application to determine to what degree--
    (1) There is a clear description of how the objectives of the 
project relate to the purpose of the program;
    (2) The research is likely to produce new and useful information;
    (3) The need and target population are adequately defined;
    (4) The outcomes are likely to benefit the defined target 
population;
    (5) The research hypotheses are sound; and
    (6) The research methodology is sound in the sample design and 
selection, the data collection plan, the measurement instruments, and 
the data analysis plan.
    (b) Service comprehensiveness (20 points). The Secretary reviews 
each application to determine to what degree--
    (1) The services to be provided within the project are comprehensive 
in scope, and include emergency medical services, intensive and acute 
medical care, rehabilitation management, psychosocial and community 
reintegration, and follow up;
    (2) A broad range of vocational and other rehabilitation services 
will be available to severely handicapped individuals within the 
project; and

[[Page 305]]

    (3) Services will be coordinated with those services provided by 
other appropriate community resources.
    (c) Plan of operation (15 points). The Secretary reviews each 
application to determine to what degree--
    (1) There is an effective plan of operation that ensures proper and 
efficient administration of the project;
    (2) The applicant's planned use of its resources and personnel is 
likely to achieve each objective;
    (3) Collaboration between institutions, if proposed, is likely to be 
effective; and
    (4) There is a clear description of how the applicant will include 
eligible project participants who have been traditionally 
underrepresented, such as--
    (i) Members of racial or ethnic minority groups;
    (ii) Women;
    (iii) Individuals with disabilities; and
    (iv) The elderly.
    (d) Quality of key personnel (10 points). The Secretary reviews each 
application to determine to what degree--
    (1) The principal investigator and other key staff have adequate 
training or experience, or both, in spinal cord injury care and 
rehabilitation and demonstrate appropriate potential to conduct the 
proposed research, demonstration, training, development, or 
dissemination activity;
    (2) The principal investigator and other key staff are familiar with 
pertinent literature or methods, or both;
    (3) All the disciplines necessary to establish the multidisciplinary 
system described in Sec. 359.11(a) are effectively represented;
    (4) Commitments of staff time are adequate for the project; and
    (5) The applicant is likely, as part of its non-discriminatory 
employment practices, to encourage applications for employment from 
persons who are members of groups that traditionally have been 
underrepresented, such as--
    (i) Members of racial or ethnic minority groups;
    (ii) Women;
    (iii) Individuals with disabilities; and
    (iv) The elderly.
    (e) Adequacy of resources (10 points). The Secretary reviews each 
application to determine to what degree--
    (1) The facilities planned for use are adequate;
    (2) The equipment and supplies planned for use are adequate; and
    (3) The commitment of the applicant to provide administrative and 
other necessary support is evident.
    (f) Budget/cost effectiveness (10 points). The Secretary reviews 
each application to determine to what degree--
    (1) The budget for the project is adequate to support the 
activities;
    (2) The costs are reasonable in relation to the objectives of the 
project; and
    (3) The budget for subcontracts (if required) is detailed and 
appropriate.
    (g) Dissemination/utilization (5 points). The Secretary reviews each 
application to determine to what degree--
    (1) There is a clearly defined plan for dissemination and 
utilization of project findings;
    (2) The research results are likely to become available to others 
working in the field;
    (3) The means to disseminate and promote utilization by others are 
defined; and
    (4) The utilization approach is likely to address the defined need.
    (h) Evaluation plan (10 points). The Secretary reviews each 
application to determine to what degree--
    (1) There is a mechanism to evaluate plans, progress and results;
    (2) The evaluation methods and objectives are likely to produce data 
that are quantifiable; and
    (3) The evaluation results, where relevant, are likely to be 
assessed in a service setting.

(Authority: Secs. 202(e) and 204(b)(4); 29 U.S.C. 761a(e) and 762(b)(4))

[50 FR 16676, Apr. 26, 1985, as amended at 58 FR 49420, Sept. 22, 1993]



Sec. 359.32  What additional factors does the Secretary consider in making a grant under this program?

    In determining which applicants to fund under this program, the 
Secretary also considers the proposed location of any project in order 
to achieve, to the

[[Page 306]]

extent possible, a geographic distribution of projects.

(Authority: Sec. 204(b)(4)(C); 29 U.S.C. 762(b)(4)(C))

[52 FR 30066, Aug. 12, 1987]
Secs. 359.33--359.39  [Reserved]



PART 360--DISABILITY AND REHABILITATION RESEARCH: RESEARCH TRAINING AND CAREER DEVELOPMENT PROGRAM--Table of Contents




                           Subpart A--General

Sec.
360.1  What is the Research Training and Career Development Program?
360.2  Who is eligible for asssistance under this program?
360.3  What regulations apply to this program?
360.4  What definitions apply to this program?

 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?

360.10  What types of projects are authorized under this program?
360.11  What types of activities are required under these projects?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

360.30  How is peer review conducted under this program?
360.31  What selection criteria are used under this program?
360.32  What are the priorities for funding under this program?

         Subpart E--What Conditions Must Be Met After an Award?

360.40  What is the required duration of the training?
360.41  What level of participation is required of trainees?

    Authority: 29 U.S.C. 760-762, unless otherwise noted.

    Source: 53 FR 23352, June 21, 1988, unless otherwise noted.

    Effective Date Note: At 62 FR 5713, Feb. 6, 1997, part 360 was 
removed, effective Oct. 1, 1997.



                           Subpart A--General



Sec. 360.1  What is the Research Training and Career Development Program?

    The purpose of this program is to expand capability in the field of 
rehabilitation research by supporting projects that provide advanced 
training in rehabilitation research.

(Authority: 29 U.S.C. 761a(k))



Sec. 360.2  Who is eligible for assistance under this program?

    Institutions of higher education are eligible to receive assistance 
under this program.

(Authority: 29 U.S.C. 761(a)(k))



Sec. 360.3  What regulations apply to this program?

    The regulations referenced in 34 CFR 350.3 apply to this program.

(Authority: 29 U.S.C. 761a(i)(l))



Sec. 360.4  What definitions apply to this program?

    The definitions listed in 34 CFR 350.4 apply to this program.

(Authority: 29 U.S.C. 761a(i)(l))



 Subpart B--What Kinds of Activities Does the Department Support Under 
                              This Program?



Sec. 360.10  What types of projects are authorized under this program?

    The Research Training and Career Development Program provides 
financial assistance for projects of advanced training in rehabilitation 
research. These projects provide research training and experience at an 
advanced level to individuals with doctorates or similar advanced 
degrees who have clinical or other relevant experience, including 
experience in management or basic science research, in fields pertinent 
to rehabilitation in order to qualify those individuals to conduct 
independent research on problems related to disability and 
rehabilitation.

(Authority: 29 U.S.C. 761a(k))

[[Page 307]]



Sec. 360.11  What types of activities are required under these projects?

    Each project must include the following activities:
    (a) Recruitment and selection of candidates for advanced research 
training.
    (b) Provision of a training program that includes didactic and 
classroom instruction, is multidisciplinary, and emphasizes scientific 
methodology, and that may involve collaboration among institutions.
    (c) Provision of research experience, laboratory experience or its 
equivalent in a community-based research setting, and a practicum that 
involve each individual in clinical research and in practical activities 
with organizations representing individuals with disabilities.
    (d) Provision of academic mentorship or guidance, and opportunities 
for scientific collaboration with qualified researchers at the host 
university and other appropriate institutions.
    (e) Opportunities for participation in the development of 
professional presentations and publications, and for attendance at 
professional conferences and meetings as appropriate for the 
individual's field of study and level of experience.

(Authority: 29 U.S.C. 761(a)(k))



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 360.30  How is peer review conducted under this program?

    Peer review is conducted under this program in accordance with 34 
CFR 350.30-350.32.

(Authority: Sec. 202(e); 29 U.S.C. 761a(e))



Sec. 360.31  What selection criteria are used under this program?

    (a) Importance and potential contribution. (20 points) (Note: For 
fiscal year 1988 only, the maximum number of points to be awarded under 
this criterion is 10 points.) The Secretary reviews each application to 
determine to what degree--
    (1) The applicant is responsive to any priority established under 
Sec. 360.32;
    (2) The applicant proposes to provide training in a rehabilitation 
discipline or area of study in which there is a shortage of qualified 
researchers, or to provide training to a trainee population in which 
there is a need for more qualified researchers, such as clinicians in 
rural areas, or clinicians who have direct experience with underserved 
populations, including minority populations; and
    (3) The applicant is likely to make a significant increase in the 
number of trained rehabilitation researchers.
    (b) Quality of proposed training program. (40 points) The Secretary 
reviews each application to determine to what degree--
    (1) The applicant's proposed recruitment program is likely to be 
effective in recruiting highly qualified trainees, including those who 
are individuals with disabilities;
    (2) The proposed didactic and classroom training programs emphasize 
scientific methodology, are multidisciplinary, comprehensive, and 
appropriate to the level of the trainees, and are likely to produce 
qualified independent researchers;
    (3) The quality and extent of the academic mentorship, guidance, and 
supervision to be provided to each individual trainee are of a high 
level and are likely to produce highly qualified researchers;
    (4) The type, extent, and quality of the proposed clinical and 
laboratory research experience, incuding the opportunity to participate 
in research on meaningful topics at an advanced level, are likely to 
develop individuals with the capacity to perform independent research; 
and
    (5) The opportunities for collegial and collaborative activities, 
exposure to outstanding scientists in the field, and opportunities to 
participate in the preparation of scholarly or scientific publications 
and presentations are extensive and appropriate.
    (c) Personnel and resources committed to the project. (30 points) 
The Secretary evaluates each application to determine to what degree--
    (1) The activities of the project will be implemented by sufficient 
and qualified staff who are outstanding scientists in the field;

[[Page 308]]

    (2) The project director and other key staff are experienced in the 
delivery of advanced research training as well as knowledgeable about 
the methodology and literature of pertinent subject areas;
    (3) All required disciplines are effectively included; and
    (4) The applicant possesses the appropriate facilities, 
laboratories, and access to clinical populations and organizations 
representing persons with disabilities to support the conduct of 
advanced clinical rehabilitation research.
    (d) Management and operating plans. (10 points) (Note: For fiscal 
year 1988 only, the maximum number of points to be awarded under this 
criterion is 20 points.) The Secretary evaluates each application to 
determine to what degree--
    (1) There is an effective plan of operation that ensures proper and 
efficient administration of the project;
    (2) There is an effective plan for collaboration with other 
institutions of higher education and organizations whose participation 
is necessary to ensure effective classroom and clinical research 
training;
    (3) The applicant, as part of its non-discriminatory employment 
practices, will ensure that its personnel are selected without regard to 
race, color, national origin, gender, age, or disability;
    (4) The applicant has provided an adequate plan for the use of 
facilities, resources, supplies, and equipment;
    (5) The budget for the project is reasonable and adequate to support 
the proposed activities; and
    (6) The applicant provides an appropriate plan for the evaluation of 
all phases of the project.

(Approved by the Office of Management and Budget under control number 
1820-0027)

(Authority: 29 U.S.C. 761a(e) and 76(a)(k))

[53 FR 23352, June 21, 1988, as amended at 58 FR 49420, Sept. 22, 1993]



Sec. 360.32  What are the priorities for funding under this program?

    (a) Each year, the Secretary may establish priorities to support 
research training in one or more of the following areas of study:
    (1) Medicine or medical specialties, such as physical medicine and 
rehabilitation; neurology; orthopedics; otolaryngology; rheumatology; 
psychiatry; family medicine; endocrinology; pediatrics; podiatry; 
dentistry; urology; plastic and reconstructive surgery; or maxillofacial 
prosthodontics.
    (2) Allied health professions, such as physical therapy; 
occupational therapy; nursing; audiology; speech pathology; psychology; 
or recreational therapy.
    (3) Engineering and rehabilitation technology fields, such as 
prosthetics and orthotics; engineering; design; architecture; computer 
applications; or biomechanics.
    (4) Miscellaneous clinical or technical fields, such as 
rehabilitation counseling; social work; law; social and behavioral 
sciences; gerontology; or demographics.
    (b) The Secreatary establishes any priorities under this section 
through a notice in the Federal Register.

(Authority: 29 U.S.C. 760-762)



         Subpart E--What Conditions Must Be Met After an Award?



Sec. 360.40  What is the required duration of the training?

    A grantee shall provide training to individuals that is not less 
than one academic year in duration, unless a longer training period is 
required to ensure that each trainee is qualified to conduct independent 
research upon completion of the course of training. (Note: For fiscal 
year 1988 only, the minimum required training period is two academic 
years.)

(Authority: 29 U.S.C. 760-762)



Sec. 360.41  What level of participation is required of trainees?

    Individuals who are receiving training under this program shall 
devote a minimum of eighty percent of their time to the activities of 
the training program during the training period.

(Authority: 29 U.S.C. 760-762)

[[Page 309]]



PART 361--THE STATE VOCATIONAL REHABILITATION SERVICES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
361.1  Purpose.
361.2  Eligibility for a grant.
361.3  Authorized activities.
361.4  Applicable regulations.
361.5  Applicable definitions.

      Subpart B--State Plan for Vocational Rehabilitation Services

361.10  Submission, approval, and disapproval of the State plan.
361.11  Withholding of funds.

                   State Plan Content: Administration

361.12  Methods of administration.
361.13  State agency for administration.
361.14  Substitute State agency.
361.15  Local administration.
361.16  Establishment of an independent commission or a State 
          Rehabilitation Advisory Council.
361.17  Requirements for a State Rehabilitation Advisory Council.
361.18  Comprehensive system of personnel development.
361.19  Affirmative action for individuals with disabilities.
361.20  State plan development.
361.21  Consultations regarding the administration of the State plan.
361.22  Cooperation with agencies responsible for students with 
          disabilities.
361.23  Cooperation with other public agencies.
361.24  Coordination with the Statewide Independent Living Council.
361.25  Statewideness.
361.26  Waiver of statewideness.
361.27  Shared funding and administration of joint programs.
361.28  Third-party cooperative arrangements involving funds from other 
          public agencies.
361.29  Statewide studies and evaluations.
361.30  Services to special groups of individuals with disabilities.
361.31  Utilization of community resources.
361.32  Utilization of profitmaking organizations for on-the-job 
          training in connection with selected projects.
361.33  Use, assessment, and support of community rehabilitation 
          programs.
361.34  Supported employment plan.
361.35  Strategic plan.
361.36  Ability to serve all eligible individuals; order of selection 
          for services.
361.37  Establishment and maintenance of information and referral 
          programs.
361.38  Protection, use, and release of personal information.
361.39  State-imposed requirements.
361.40  Reports.

           State Plan Content: Provision and Scope of Services

361.41  Processing referrals and applications.
361.42  Assessment for determining eligibility and priority for 
          services.
361.43  Procedures for ineligibility determination.
361.44  Closure without eligibility determination.
361.45  Development of the individualized written rehabilitation 
          program.
361.46  Content of the individualized written rehabilitation program.
361.47  Record of services.
361.48 Scope of vocational rehabilitation services for individuals with 
          disabilities.
361.49  Scope of vocational rehabilitation services for groups of 
          individuals with disabilities.
361.50  Written policies governing the provision of services for 
          individuals with disabilities.
361.51  Written standards for facilities and providers of services.
361.52  Opportunity to make informed choices.
361.53  Availability of comparable services and benefits.
361.54  Participation of individuals in cost of services based on 
          financial need.
361.55  Review of extended employment in community rehabilitation 
          programs or other employment under section 14(c) of the Fair 
          Labor Standards Act.
361.56  Individuals determined to have achieved an employment outcome.
361.57  Review of rehabilitation counselor or coordinator 
          determinations.

    Subpart C--Financing of State Vocational Rehabilitation Programs

361.60  Matching requirements.
361.61  Limitation on use of funds for construction expenditures.
361.62  Maintenance of effort requirements.
361.63  Program income.
361.64  Obligation of Federal funds and program income.
361.65  Allotment and payment of Federal funds for vocational 
          rehabilitation services.

  Subpart D--Strategic Plan for Innovation and Expansion of Vocational 
                         Rehabilitation Services

361.70  Purpose of the strategic plan.
361.71  Procedures for developing the strategic plan.
361.72  Content of the strategic plan.

[[Page 310]]

361.73  Use of funds.
361.74  Allotment of Federal funds.

    Authority: 29 U.S.C. 711(c), unless otherwise noted.

    Source: 62 FR 6334, Feb. 11, 1997, unless otherwise noted.



                           Subpart A--General



Sec. 361.1  Purpose.

    Under the State Vocational Rehabilitation Services Program 
(program), the Secretary provides grants to assist States in operating a 
comprehensive, coordinated, effective, efficient, and accountable 
program that is designed to assess, plan, develop, and provide 
vocational rehabilitation services for individuals with disabilities, 
consistent with their strengths, resources, priorities, concerns, 
abilities, capabilities, and informed choice, so that they may prepare 
for and engage in gainful employment.

(Authority: Sec. 12(c) and 100(a)(2) of the Act; 29 U.S.C. 711(c) and 
720(a)(2))



Sec. 361.2  Eligibility for a grant.

    Any State that submits to the Secretary a State plan that meets the 
requirements of section 101(a) of the Act and this part is eligible for 
a grant under this program.

(Authority: Sec. 101(a) of the Act; 29 U.S.C. 721(a))



Sec. 361.3  Authorized activities.

    The Secretary makes payments to a State to assist in--
    (a) The costs of providing vocational rehabilitation services under 
the State plan;

    (b) Administrative costs under the State plan; and
    (c) The costs of developing and implementing the strategic plan.

(Authority: Sec. 111(a)(1) of the Act; 29 U.S.C. 731(a)(1))



Sec. 361.4  Applicable regulations.

    The following regulations apply to this program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations), with respect 
to subgrants to entities that are not State or local governments or 
Indian tribal organizations.
    (2) 34 CFR part 76 (State-Administered Programs).
    (3) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments), except for 
Sec. 80.24(a)(2).
    (6) 34 CFR part 81 (General Education Provisions Act-Enforcement).
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 361.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))



Sec. 361.5  Applicable definitions.

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Department
EDGAR
Fiscal year
Nonprofit
Private
Public
Secretary

    (b) Other definitions. The following definitions also apply to this 
part:
    (1) Act means the Rehabilitation Act of 1973 (29 U.S.C. 701 et 
seq.), as amended.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (2) Administrative costs under the State plan means expenditures 
incurred in the performance of administrative functions under the 
vocational rehabilitation program. Administrative costs include expenses 
related to program planning, development, monitoring, and evaluation, 
including, but not

[[Page 311]]

limited to, quality assurance; budgeting, accounting, financial 
management, information systems, and related data processing; providing 
information about the program to the public; technical assistance to 
other State agencies, private nonprofit organizations, and businesses 
and industries, except for technical assistance and support services 
described in Sec. 361.49(a)(4); the State Rehabilitation Advisory 
Council and other advisory committees; professional organization 
membership dues for State unit employees; the removal of architectural 
barriers in State vocational rehabilitation agency offices and State-
operated rehabilitation facilities; operating and maintaining State unit 
facilities, equipment, and grounds; supplies; administration of the 
comprehensive system of personnel development, including personnel 
administration, administration of affirmative action plans, and training 
and staff development; administrative salaries, including clerical and 
other support staff salaries, in support of these functions; travel 
costs related to carrying out the program, other than travel costs 
related to the provision of services; costs incurred in conducting 
reviews of rehabilitation counselor or coordinator determinations under 
Sec. 361.57; and legal expenses required in the administration of the 
program.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (3) American Indian means an individual who is a member of an Indian 
tribe.

(Authority: Sec. 7(20) of the Act; 29 U.S.C. 706(20))

    (4) Applicant means an individual who submits an application for 
vocational rehabilitation services in accordance with Sec. 361.41(b)(2).

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (5) Appropriate modes of communication means specialized aids and 
supports that enable an individual with a disability to comprehend and 
respond to information that is being communicated. Appropriate modes of 
communication include, but are not limited to, the use of interpreters, 
open and closed captioned videos, specialized telecommunications 
services and audio recordings, Brailled and large print materials, 
materials in electronic formats, augmentative communication devices, 
graphic presentations, and simple language materials.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (6) Assistive technology device means any item, piece of equipment, 
or product system, whether acquired commercially off the shelf, 
modified, or customized, that is used to increase, maintain, or improve 
the functional capabilities of an individual with a disability.

(Authority: Sec. 7(23) of the Act; 29 U.S.C. 706(23))

    (7) Assistive technology service means any service that directly 
assists an individual with a disability in the selection, acquisition, 
or use of an assistive technology device, including--
    (i) The evaluation of the needs of an individual with a disability, 
including a functional evaluation of the individual in his or her 
customary environment;
    (ii) Purchasing, leasing, or otherwise providing for the acquisition 
by an individual with a disability of an assistive technology device;
    (iii) Selecting, designing, fitting, customizing, adapting, 
applying, maintaining, repairing, or replacing assistive technology 
devices;
    (iv) Coordinating and using other therapies, interventions, or 
services with assistive technology devices, such as those associated 
with existing education and rehabilitation plans and programs;
    (v) Training or technical assistance for an individual with a 
disability or, if appropriate, the family members, guardians, advocates, 
or authorized representatives of the individual; and
    (vi) Training or technical assistance for professionals (including 
individuals providing education and rehabilitation services), employers, 
or others who provide services to, employ, or are otherwise 
substantially involved in the major life functions of individuals with 
disabilities, to the extent that training or technical assistance is 
necessary to the achievement of an employment

[[Page 312]]

outcome by an individual with a disability.

(Authority: Sec. 7(24) and 12(c) of the Act; 29 U.S.C. 706(24) and 
711(c))

    (8) Community rehabilitation program.
    (i) Community rehabilitation program means a program that provides 
directly or facilitates the provision of one or more of the following 
vocational rehabilitation services to individuals with disabilities to 
enable those individuals to maximize their opportunities for employment, 
including career advancement:
    (A) Medical, psychiatric, psychological, social, and vocational 
services that are provided under one management.
    (B) Testing, fitting, or training in the use of prosthetic and 
orthotic devices.
    (C) Recreational therapy.
    (D) Physical and occupational therapy.
    (E) Speech, language, and hearing therapy.
    (F) Psychiatric, psychological, and social services, including 
positive behavior management.
    (G) Assessment for determining eligibility and vocational 
rehabilitation needs.
    (H) Rehabilitation technology.
    (I) Job development, placement, and retention services.
    (J) Evaluation or control of specific disabilities.
    (K) Orientation and mobility services for individuals who are blind.
    (L) Extended employment.
    (M) Psychosocial rehabilitation services.
    (N) Supported employment services and extended services.
    (O) Services to family members if necessary to enable the applicant 
or eligible individual to achieve an employment outcome.
    (P) Personal assistance services.
    (Q) Services similar to the services described in paragraphs (A) 
through (P) of this definition.
    (ii) For the purposes of this definition, the word program means an 
agency, organization, or institution, or unit of an agency, 
organization, or institution, that provides directly or facilitates the 
provision of vocational rehabilitation services as one of its major 
functions.

(Authority: Sec. 7(25) and 12(c) of the Act; 29 U.S.C. 706(25) and 
711(c))

    (9) Comparable services and benefits means services and benefits 
that are--
    (i) Provided or paid for, in whole or in part, by other Federal, 
State, or local public agencies, by health insurance, or by employee 
benefits;
    (ii) Available to the individual at the time needed to achieve the 
intermediate rehabilitation objectives in the individual's 
Individualized Written Rehabilitation Program (IWRP) in accordance with 
Sec. 361.53; and
    (iii) Commensurate to the services that the individual would 
otherwise receive from the vocational rehabilitation agency.

(Authority: Sec. 12(c) and 101(a)(8) of the Act; 29 U.S.C. 711(c) and 
721(a)(8))

    (10) Competitive employment means work--
    (i) In the competitive labor market that is performed on a full-time 
or part-time basis in an integrated setting; and
    (ii) For which an individual is compensated at or above the minimum 
wage, but not less than the customary wage and level of benefits paid by 
the employer for the same or similar work performed by individuals who 
are not disabled.

(Authority: Sec. 7(5), 7(18), and 12(c) of the Act; 29 U.S.C. 706(5), 
706(18), and 711(c))

    (11) Construction of a facility for a public or nonprofit community 
rehabilitation program means--
    (i) The acquisition of land in connection with the construction of a 
new building for a community rehabilitation program;
    (ii) The acquisition of existing buildings;
    (iii) The remodeling, alteration, or renovation of existing 
buildings;
    (iv) The construction of new buildings and expansion of existing 
buildings;
    (v) Architect's fees, site surveys, and soil investigation, if 
necessary, in connection with the construction project;
    (vi) The acquisition of initial fixed or movable equipment of any 
new, newly

[[Page 313]]

acquired, newly expanded, newly remodeled, newly altered, or newly 
renovated buildings that are to be used for community rehabilitation 
program purposes; and
    (vii) Other direct expenditures appropriate to the construction 
project, except costs of off-site improvements.

(Authority: Sec. 7(1) and 12(c) of the Act; 29 U.S.C. 706(1) and 711(c))

    (12) Designated State agency or State agency means the sole State 
agency, designated in accordance with Sec. 361.13(a), to administer, or 
supervise local administration of, the State plan for vocational 
rehabilitation services. The term includes the State agency for 
individuals who are blind, if designated as the sole State agency with 
respect to that part of the plan relating to the vocational 
rehabilitation of individuals who are blind.

(Authority: Sec. 7(3)(A) and 101(a)(1)(A) of the Act; 29 U.S.C. 
706(3)(A) and 721(a)(1)(A))

    (13) Designated State unit or State unit means either--
    (i) The State agency vocational rehabilitation bureau, division, or 
other organizational unit that is primarily concerned with vocational 
rehabilitation or vocational and other rehabilitation of individuals 
with disabilities and that is responsible for the administration of the 
vocational rehabilitation program of the State agency, as required under 
Sec. 361.13(b); or
    (ii) The independent State commission, board, or other agency that 
has vocational rehabilitation, or vocational and other rehabilitation, 
as its primary function.

(Authority: Sec. 7(3)(B) and 101(a)(2)(A) of the Act; 29 U.S.C. 
706(3)(B) and 721(a)(2)(A))

    (14) Eligible individual means an applicant for vocational 
rehabilitation services who meets the eligibility requirements of 
Sec. 361.42(a).

(Authority: Sec. 7(8)(a) and 102(a)(1) of the Act; 29 U.S.C. 706(8) and 
722(a)(1))

    (15) Employment outcome means, with respect to an individual, 
entering or retaining full-time or, if appropriate, part-time 
competitive employment in the integrated labor market to the greatest 
extent practicable; supported employment; or any other type of 
employment that is consistent with an individual's strengths, resources, 
priorities, concerns, abilities, capabilities, interests, and informed 
choice.

(Authority: Sec. 7(5), 12(c), 100(a)(2), and 102(b)(1)(B)(i) of the Act; 
29 U.S.C. 706(5), 711(c), 720(a)(2), and 722(b)(1)(B)(i))

    (16) Establishment, development, or improvement of a public or 
nonprofit community rehabilitation program means--
    (i) The establishment of a facility for a public or nonprofit 
community rehabilitation program as defined in paragraph (b)(17) of this 
section to provide vocational rehabilitation services to applicants or 
eligible individuals;
    (ii) Staffing, if necessary to establish, develop, or improve a 
community rehabilitation program for the purpose of providing vocational 
rehabilitation services to applicants or eligible individuals, for a 
maximum period of four years, with Federal financial participation 
available at the applicable matching rate for the following levels of 
staffing costs:
    (A) 100 percent of staffing costs for the first year.
    (B) 75 percent of staffing costs for the second year.
    (C) 60 percent of staffing costs for the third year.
    (D) 45 percent of staffing costs for the fourth year; and
    (iii) Other expenditures related to the establishment, development, 
or improvement of a community rehabilitation program that are necessary 
to make the program functional or increase its effectiveness in 
providing vocational rehabilitation services to applicants or eligible 
individuals, but are not ongoing operating expenses of the program.

(Authority: Secs. 7(6) and 12(c) of the Act; 29 U.S.C. 706(6) and 
711(c))

    (17) Establishment of a facility for a public or nonprofit community 
rehabilitation program means--
    (i) The acquisition of an existing building, and if necessary the 
land in connection with the acquisition, if the building has been 
completed in all respects for at least one year prior to the date of 
acquisition and the Federal share of the cost of the acquisition is not 
more than $300,000;

[[Page 314]]

    (ii) The remodeling or alteration of an existing building, provided 
the estimated cost of remodeling or alteration does not exceed the 
appraised value of the existing building;
    (iii) The expansion of an existing building, provided that--
    (A) The existing building is complete in all respects;
    (B) The total size in square footage of the expanded building, 
notwithstanding the number of expansions, is not greater than twice the 
size of the existing building;
    (C) The expansion is joined structurally to the existing building 
and does not constitute a separate building; and
    (D) The costs of the expansion do not exceed the appraised value of 
the existing building;
    (iv) Architect's fees, site survey, and soil investigation, if 
necessary in connection with the acquisition, remodeling, alteration, or 
expansion of an existing building; and
    (v) The acquisition of fixed or movable equipment, including the 
costs of installation of the equipment, if necessary to establish, 
develop, or improve a community rehabilitation program;

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (18) Extended employment means work in a non-integrated or sheltered 
setting for a public or private nonprofit agency or organization that 
provides compensation in accordance with the Fair Labor Standards Act 
and any needed support services to an individual with a disability to 
enable the individual to continue to train or otherwise prepare for 
competitive employment, unless the individual through informed choice 
chooses to remain in extended employment.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (19) Extended services, as used in the definition of ``Supported 
employment,'' means ongoing support services and other appropriate 
services that are needed to support and maintain an individual with a 
most severe disability in supported employment and that are provided by 
a State agency, a private nonprofit organization, employer, or any other 
appropriate resource, from funds other than funds received under this 
part, 34 CFR part 363, 34 CFR part 376, or 34 CFR part 380, after an 
individual with a most severe disability has made the transition from 
support provided by the designated State unit.

(Authority: Sec. 7(27) of the Act; 29 U.S.C. 706(27))

    (20) Extreme medical risk means a probability of substantially 
increasing functional impairment or death if medical services, including 
mental health services, are not provided expeditiously.

(Authority: Secs. 12(c) and 101(a)(8) of the Act; 29 U.S.C. 711(c) and 
721(a)(8))

    (21) Family member, for purposes of receiving vocational 
rehabilitation services in accordance with Sec. 361.48(a)(9), means an 
individual--
    (i) Who either--
    (A) Is a relative or guardian of an applicant or eligible 
individual; or
    (B) Lives in the same household as an applicant or eligible 
individual;
    (ii) Who has a substantial interest in the well-being of that 
individual; and
    (iii) Whose receipt of vocational rehabilitation services is 
necessary to enable the applicant or eligible individual to achieve an 
employment outcome.

(Authority: Secs. 12(c) and 103(a)(3) of the Act; 29 U.S.C. 711(c) and 
723(a)(3))

    (22) Impartial hearing officer. (i) ``Impartial hearing officer'' 
means an individual who--
    (A) Is not an employee of a public agency (other than an 
administrative law judge, hearing examiner, or employee of an 
institution of higher education);
    (B) Is not a member of the State Rehabilitation Advisory Council for 
the designated State unit;
    (C) Has not been involved in previous decisions regarding the 
vocational rehabilitation of the applicant or eligible individual;
    (D) Has knowledge of the delivery of vocational rehabilitation 
services, the State plan, and the Federal and State regulations 
governing the provision of services;
    (E) Has received training with respect to the performance of 
official duties; and

[[Page 315]]

    (F) Has no personal, professional, or financial interest that would 
be in conflict with the objectivity of the individual.
    (ii) An individual may not be considered to be an employee of a 
public agency for the purposes of this definition solely because the 
individual is paid by the agency to serve as a hearing officer.

(Authority: Sec. 7(28) of the Act; 29 U.S.C. 706(28))

    (23) Indian tribe means any Federal or State Indian tribe, band, 
rancheria, pueblo, colony, or community, including any Alaskan native 
village or regional village corporation (as defined in or established 
pursuant to the Alaska Native Claims Settlement Act).

(Authority: Sec. 7(21) of the Act; 29 U.S.C. 706(21))

    (24) Individual who is blind means a person who is blind within the 
meaning of the applicable State law.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (25) Individual with a disability, except in Secs. 361.17 (a), (b), 
(c), and (j), 361.19, 361.20, and 361.51(b)(2), means an individual--
    (i) Who has a physical or mental impairment;
    (ii) Whose impairment constitutes or results in a substantial 
impediment to employment; and
    (iii) Who can benefit in terms of an employment outcome from the 
provision of vocational rehabilitation services.

(Authority: Sec. 7(8)(A) of the Act; 29 U.S.C. 706(8)(A))

    (26) Individual with a disability, for purposes of Secs. 361.17 (a), 
(b), (c), and (j), 361.19, 361.20, and 361.51(b)(2), means an 
individual--
    (i) Who has a physical or mental impairment that substantially 
limits one or more major life activities;
    (ii) Who has a record of such an impairment; or
    (iii) Who is regarded as having such an impairment.

(Authority: Sec. 7(8)(B) of the Act; 29 U.S.C. 706(8)(B))

    (27) Individual with a most severe disability means an individual 
with a severe disability who meets the designated State unit's criteria 
for an individual with a most severe disability. These criteria must be 
consistent with the requirements in Sec. 361.36(c)(3).

(Authority: Sec. 101(a)(5) of the Act; 29 U.S.C. 721(a)(5))

    (28) Individual with a severe disability means an individual with a 
disability--
    (i) Who has a severe physical or mental impairment that seriously 
limits one or more functional capacities (such as mobility, 
communication, self-care, self-direction, interpersonal skills, work 
tolerance, or work skills) in terms of an employment outcome;
    (ii) Whose vocational rehabilitation can be expected to require 
multiple vocational rehabilitation services over an extended period of 
time; and
    (iii) Who has one or more physical or mental disabilities resulting 
from amputation, arthritis, autism, blindness, burn injury, cancer, 
cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, 
hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental 
retardation, mental illness, multiple sclerosis, muscular dystrophy, 
musculo-skeletal disorders, neurological disorders (including stroke and 
epilepsy), spinal cord conditions (including paraplegia and 
quadriplegia), sickle cell anemia, specific learning disability, end-
stage renal disease, or another disability or combination of 
disabilities determined on the basis of an assessment for determining 
eligibility and vocational rehabilitation needs to cause comparable 
substantial functional limitation.

(Authority: Sec. 7(15)(A) of the Act; 29 U.S.C. 708(15)(A))

    (29) Individual's representative means any representative chosen by 
an applicant or eligible individual, including a parent, guardian, other 
family member, or advocate, unless a representative has been appointed 
by a court to represent the individual, in which case the court-
appointed representative is the individual's representative.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (30) Integrated setting--

[[Page 316]]

    (i) With respect to the provision of services, means a setting 
typically found in the community in which applicants or eligible 
individuals interact with non-disabled individuals other than non-
disabled individuals who are providing services to those applicants or 
eligible individuals;
    (ii) With respect to an employment outcome, means a setting 
typically found in the community in which applicants or eligible 
individuals interact with non-disabled individuals, other than non-
disabled individuals who are providing services to those applicants or 
eligible individuals, to the same extent that non-disabled individuals 
in comparable positions interact with other persons.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (31) Maintenance means monetary support provided to an eligible 
individual or an individual receiving extended evaluation services for 
those expenses, such as food, shelter, and clothing, that are in excess 
of the normal expenses of the individual and that are necessitated by 
the individual's participation in a program of vocational rehabilitation 
services.

(Authority: Secs. 12(c) and 103(a)(5) of the Act; 29 U.S.C. 711(c) and 
723(a)(5))

    Note: The following are examples of expenses that would meet the 
definition of maintenance. The examples are purely illustrative, do not 
address all possible circumstances, and are not intended to substitute 
for individual counselor judgement.

    Example: The cost of a uniform or other suitable clothing that is 
required for an individual's job placement or job seeking activities.
    Example: The cost of short-term shelter that is required in order 
for an individual to participate in vocational training at a site that 
is not within commuting distance of an individual's home.
    Example: The initial one-time costs, such as a security deposit or 
charges for the initiation of utilities, that are required in order for 
an individual to relocate for a job placement.
    Example: The costs of an individual's participation in enrichment 
activities related to that individual's training program.

    (32) Nonprofit, with respect to a community rehabilitation program, 
means a community rehabilitation program carried out by a corporation or 
association, no part of the net earnings of which inures, or may 
lawfully inure, to the benefit of any private shareholder or individual 
and the income of which is exempt from taxation under section 501(c)(3) 
of the Internal Revenue Code of 1954.

(Authority: Sec. 7(10) of the Act; 29 U.S.C. 706(10))

    (33) Ongoing support services, as used in the definition of 
``Supported employment''--
    (i) Means services that are--
    (A) Needed to support and maintain an individual with a most severe 
disability in supported employment;
    (B) Identified based on a determination by the designated State unit 
of the individual's needs as specified in an individualized written 
rehabilitation program; and
    (C) Furnished by the designated State unit from the time of job 
placement until transition to extended services, unless post-employment 
services are provided following transition, and thereafter by one or 
more extended services providers throughout the individual's term of 
employment in a particular job placement or multiple placements if those 
placements are being provided under a program of transitional 
employment;
    (ii) Must include an assessment of employment stability and 
provision of specific services or the coordination of services at or 
away from the worksite that are needed to maintain stability based on--
    (A) At a minimum, twice-monthly monitoring at the worksite of each 
individual in supported employment; or
    (B) If under special circumstances, especially at the request of the 
individual, the individualized written rehabilitation program provides 
for off-site monitoring, twice-monthly meetings with the individual;
    (iii) Consist of--
    (A) Any particularized assessment supplementary to the comprehensive 
assessment of rehabilitation needs described in this part;
    (B) The provision of skilled job trainers who accompany the 
individual for intensive job skill training at the work site;
    (C) Job development and placement;
    (D) Social skills training;

[[Page 317]]

    (E) Regular observation or supervision of the individual;
    (F) Follow-up services including regular contact with the employers, 
the individuals, the parents, family members, guardians, advocates or 
authorized representatives of the individuals, and other suitable 
professional and informed advisors, in order to reinforce and stabilize 
the job placement;
    (G) Facilitation of natural supports at the worksite;
    (H) Any other service identified in the scope of vocational 
rehabilitation services for individuals, described in Sec. 361.48; or
    (I) Any service similar to the foregoing services.

(Authority: Sec. 7(33) and 12(c) of the Act; 29 U.S.C. 706(33) and 
711(c))

    (34) Personal assistance services means a range of services provided 
by one or more persons designed to assist an individual with a 
disability to perform daily living activities on or off the job that the 
individual would typically perform without assistance if the individual 
did not have a disability. The services must be designed to increase the 
individual's control in life and ability to perform everyday activities 
on or off the job. The services must be necessary to the achievement of 
an employment outcome and may be provided only while the individual is 
receiving other vocational rehabilitation services. The services may 
include training in managing, supervising, and directing personal 
assistance services.

(Authority: Sec. 7(11) and 103(a)(15) of the Act; 29 U.S.C. 706(11) and 
29 U.S.C. 723)

    (35) Physical and mental restoration services means--
    (i) Corrective surgery or therapeutic treatment that is likely, 
within a reasonable period of time, to correct or modify substantially a 
stable or slowly progressive physical or mental impairment that 
constitutes a substantial impediment to employment;
    (ii) Diagnosis of and treatment for mental or emotional disorders by 
qualified personnel in accordance with State licensure laws;
    (iii) Dentistry;
    (iv) Nursing services;
    (v) Necessary hospitalization (either inpatient or outpatient care) 
in connection with surgery or treatment and clinic services;
    (vi) Drugs and supplies;
    (vii) Prosthetic, orthotic, or other assistive devices, including 
hearing aids;
    (viii) Eyeglasses and visual services, including visual training, 
and the examination and services necessary for the prescription and 
provision of eyeglasses, contact lenses, microscopic lenses, telescopic 
lenses, and other special visual aids prescribed by personnel that are 
qualified in accordance with State licensure laws;
    (ix) Podiatry;
    (x) Physical therapy;
    (xi) Occupational therapy;
    (xii) Speech or hearing therapy;
    (xiii) Mental health services;
    (xiv) Treatment of either acute or chronic medical complications and 
emergencies that are associated with or arise out of the provision of 
physical and mental restoration services, or that are inherent in the 
condition under treatment;
    (xv) Special services for the treatment of individuals with end-
stage renal disease, including transplantation, dialysis, artificial 
kidneys, and supplies; and
    (xvi) Other medical or medically related rehabilitation services.

(Authority: Sec. 12(c) and 103(a)(4) of the Act; 29 U.S.C. 711(c) and 
723(a)(4))

    (36) Physical or mental impairment means an injury, disease, or 
other condition that materially limits, or if not treated is expected to 
materially limit, mental or physical functioning.

(Authority: Sec. 7(8)(A) and 12(c) of the Act; 29 U.S.C. 706(8)(A) and 
711(c))

    (37) Post-employment services means one or more of the services 
identified in Sec. 361.48 that are provided subsequent to the 
achievement of an employment outcome and that are necessary for an 
individual to maintain, regain, or advance in employment, consistent 
with the individual's strengths, resources, priorities, concerns, 
abilities, capabilities, and interests.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))


[[Page 318]]


    Note: Post-employment services are intended to ensure that the 
employment outcome remains consistent with the individual's strengths, 
resources, priorities, concerns, abilities, capabilities, and interests. 
These services are available to meet rehabilitation needs that do not 
require a complex and comprehensive provision of services and, thus, 
should be limited in scope and duration. If more comprehensive services 
are required, then a new rehabilitation effort should be considered. 
Post-employment services are to be provided under an amended 
individualized written rehabilitation program; thus, a re-determination 
of eligibility is not required. The provision of post-employment 
services is subject to the same requirements in this part as the 
provision of any other vocational rehabilitation service. Post-
employment services are available to assist an individual to maintain 
employment, e.g., the individual's employment is jeopardized because of 
conflicts with supervisors or co-workers and the individual needs mental 
health services and counseling to maintain the employment; to regain 
employment, e.g., the individual's job is eliminated through 
reorganization and new placement services are needed; and to advance in 
employment, e.g., the employment is no longer consistent with the 
individual's strengths, resources, priorities, concerns, abilities, 
capabilities, and interests.

    (38) Rehabilitation engineering means the systematic application of 
engineering sciences to design, develop, adapt, test, evaluate, apply, 
and distribute technological solutions to problems confronted by 
individuals with disabilities in functional areas, such as mobility, 
communications, hearing, vision, and cognition, and in activities 
associated with employment, independent living, education, and 
integration into the community.

(Authority: Secs. 7(13) and 12(c) of the Act; 29 U.S.C. 706(13) and 
711(c))

    (39) Rehabilitation technology means the systematic application of 
technologies, engineering methodologies, or scientific principles to 
meet the needs of, and address the barriers confronted by, individuals 
with disabilities in areas that include education, rehabilitation, 
employment, transportation, independent living, and recreation. The term 
includes rehabilitation engineering, assistive technology devices, and 
assistive technology services.

(Authority: Sec. 7(13) of the Act; 29 U.S.C. 706(13))

    (40) Reservation means a Federal or State Indian reservation, public 
domain Indian allotment, former Indian reservation in Oklahoma, and land 
held by incorporated Native groups, regional corporations, and village 
corporations under the provisions of the Alaska Native Claims Settlement 
Act.

(Authority: Sec. 130(c) of the Act; 29 U.S.C. 750(c))

    (41) Sole local agency means a unit or combination of units of 
general local government or one or more Indian tribes that has the sole 
responsibility under an agreement with, and the supervision of, the 
State agency to conduct a local or tribal vocational rehabilitation 
program, in accordance with the State plan.

(Authority: Sec. 7(9) of the Act; 29 U.S.C. 706(9))

    (42) State means any of the 50 States, the District of Columbia, the 
Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, 
American Samoa, and the Commonwealth of the Northern Mariana Islands.

(Authority: Sec. 7(16) of the Act; 29 U.S.C. 706(16))

    (43) State plan means the State plan for vocational rehabilitation 
services or the vocational rehabilitation services part of a 
consolidated rehabilitation plan under Sec. 361.10(c).

(Authority: Secs. 12(c) and 101 of the Act; 29 U.S.C. 711(c) and 721)

    (44) Substantial impediment to employment means that a physical or 
mental impairment (in light of attendant medical, psychological, 
vocational, educational, and other related factors) hinders an 
individual from preparing for, entering into, engaging in, or retaining 
employment consistent with the individual's abilities and capabilities.

(Authority: Secs. 7(8)(A) and 12(c) of the Act; 29 U.S.C. 706(8)(A) and 
711(c))

    (45) Supported employment means--
    (i) Competitive employment in an integrated setting with ongoing 
support

[[Page 319]]

services for individuals with the most severe disabilities--
    (A) For whom competitive employment has not traditionally occurred 
or for whom competitive employment has been interrupted or intermittent 
as a result of a severe disability; and
    (B) Who, because of the nature and severity of their disabilities, 
need intensive supported employment services from the designated State 
unit and extended services after transition in order to perform this 
work; or
    (ii) Transitional employment for individuals with the most severe 
disabilities due to mental illness.

(Authority: Sec. 7(18) of the Act; 29 U.S.C. 706(18)(A))

    (46) Supported employment services means ongoing support services 
and other appropriate services needed to support and maintain an 
individual with a most severe disability in supported employment that 
are provided by the designated State unit--
    (i) For a period of time not to exceed 18 months, unless under 
special circumstances the eligible individual and the rehabilitation 
counselor or coordinator jointly agree to extend the time in order to 
achieve the rehabilitation objectives identified in the individualized 
written rehabilitation program; and
    (ii) Following transition, as post-employment services that are 
unavailable from an extended services provider and that are necessary to 
maintain or regain the job placement or advance in employment.

(Authority: Sec. 7(34) and 12(c) of the Act; 29 U.S.C. 706(34) and 
711(c))

    (47) Transition services means a coordinated set of activities for a 
student designed within an outcome-oriented process that promotes 
movement from school to post-school activities, including postsecondary 
education, vocational training, integrated employment (including 
supported employment), continuing and adult education, adult services, 
independent living, or community participation. The coordinated set of 
activities must be based upon the individual student's needs, taking 
into account the student's preferences and interests, and must include 
instruction, community experiences, the development of employment and 
other post-school adult living objectives, and, if appropriate, 
acquisition of daily living skills and functional vocational evaluation. 
Transition services must promote or facilitate the accomplishment of 
long-term rehabilitation goals and intermediate rehabilitation 
objectives identified in the student's IWRP.

(Authority: Section 7(35) and 103(a)(14) of the Act; 29 U.S.C. 706(35) 
and 723(a)(14))

    (48) Transitional employment, as used in the definition of 
``Supported employment,'' means a series of temporary job placements in 
competitive work in integrated settings with ongoing support services 
for individuals with the most severe disabilities due to mental illness. 
In transitional employment, the provision of ongoing support services 
must include continuing sequential job placements until job permanency 
is achieved.

(Authority: Secs. 7(18) and 12(c) of the Act; 29 U.S.C. 706(18) and 
711(c))

    (49) Transportation means travel and related expenses that are 
necessary to enable an applicant or eligible individual to participate 
in a vocational rehabilitation service.

(Authority: Secs. 12(c) and 103(a)(10) of the Act; 29 U.S.C. 711(c) and 
723(a)(10))

    Note: The following are examples of expenses that would meet the 
definition of transportation. The examples are purely illustrative, do 
not address all possible circumstances, and are not intended to 
substitute for individual counselor judgement.

    Example: Travel and related expenses for a personal care attendant 
or aide if the services of that person are necessary to enable the 
applicant or eligible individual to travel to participate in any 
vocational rehabilitation service.
    Example: Short-term travel-related expenses, such as food and 
shelter, incurred by an applicant participating in evaluation or 
assessment services that necessitates travel.
    Example: Relocation expenses incurred by an eligible individual in 
connection with a job placement that is a significant distance from the 
eligible individual's current residence.
    Example: The purchase and repair of vehicles, including vans, but 
not the modification of these vehicles, as modification would be 
considered a rehabilitation technology service.


[[Page 320]]


    (50) Vocational rehabilitation services--
    (i) If provided to an individual, means those services listed in 
Sec. 361.48; and
    (ii) If provided for the benefit of groups of individuals, also 
means those services listed in Sec. 361.49.

(Authority: Sec. 103 (a) and (b) of the Act; 29 U.S.C. 723 (a) and (b))



      Subpart B--State Plan for Vocational Rehabilitation Services



Sec. 361.10  Submission, approval, and disapproval of the State plan.

    (a) Purpose. In order for a State to receive a grant under this 
part, the designated State agency shall submit to the Secretary, and 
obtain approval of, a State plan that contains a description of the 
State's vocational rehabilitation services program, the plans and 
policies to be followed in carrying out the program, and other 
information requested by the Secretary, in accordance with the 
requirements of this part.
    (b) Separate part relating to rehabilitation of individuals who are 
blind. If a separate State agency administers or supervises the 
administration of a separate part of the State plan relating to the 
rehabilitation of individuals who are blind, that part of the State plan 
must separately conform to all requirements under this part that are 
applicable to a State plan.
    (c) Consolidated rehabilitation plan. The State may choose to submit 
a consolidated rehabilitation plan that includes the State plan for 
vocational rehabilitation services and the State's plan for its program 
for persons with developmental disabilities. The State planning and 
advisory council for developmental disabilities and the agency 
administering the State's program for persons with developmental 
disabilities must concur in the submission of a consolidated 
rehabilitation plan. A consolidated rehabilitation plan must comply 
with, and be administered in accordance with, the Act and the 
Developmental Disabilities Assistance and Bill of Rights Act, as 
amended.
    (d) Public participation. The State shall develop the State plan 
with input from the public, through public meetings, in accordance with 
the requirements of Sec. 361.20.
    (e) Duration. The State plan must cover a multi-year period to be 
determined by the Secretary.
    (f) Submission of the State plan. The State shall submit the State 
plan to the Secretary for approval--
    (1) No later than July 1 of the year preceding the first fiscal year 
for which the State plan is submitted; or
    (2) With the prior approval of the Secretary, no later than the date 
on which the State is required to submit a State plan under another 
Federal law.
    (g) Revisions to the State plan. The State shall submit to the 
Secretary for approval revisions to the State plan in accordance with 
the requirements of this part and 34 CFR 76.140.
    (h) Approval. The Secretary approves a State plan and revisions to 
the State plan that conform to the requirements of this part and section 
101(a) of the Act.
    (i) Disapproval. The Secretary disapproves a State plan that does 
not conform to the requirements of this part and section 101(a) of the 
Act, in accordance with the following procedures:
    (1) Informal resolution. Prior to disapproving a State plan, the 
Secretary attempts to resolve disputes informally with State officials.
    (2) Notice. If, after reasonable effort has been made to resolve the 
dispute, no resolution has been reached, the Secretary provides notice 
to the State agency of the intention to disapprove the State plan and of 
the opportunity for a hearing.
    (3) State plan hearing. If the State agency requests a hearing, the 
Secretary designates one or more individuals, either from the Department 
or elsewhere, not responsible for or connected with the administration 
of this program, to conduct a hearing in accordance with the provisions 
of 34 CFR part 81, subpart A.
    (4) Initial decision. The hearing officer issues an initial decision 
in accordance with 34 CFR 81.41.
    (5) Petition for review of an initial decision. The State agency may 
seek the Secretary's review of the initial decision in accordance with 
34 CFR part 81.

[[Page 321]]

    (6) Review by the Secretary. The Secretary reviews the initial 
decision in accordance with 34 CFR 81.43.
    (7) Final decision of the Department. The final decision of the 
Department is made in accordance with 34 CFR 81.44.
    (8) Judicial review. A State may appeal the Secretary's decision to 
disapprove the State plan by filing a petition for review with the 
United States Court of Appeals for the circuit in which the State is 
located, in accordance with section 107(d) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 6, 101 (a) and (b), and 107(d) of the Act; 20 U.S.C. 
1231g(a); and 29 U.S.C. 705, 721 (a) and (b), and 727(d))



Sec. 361.11  Withholding of funds.

    (a) Basis for withholding. The Secretary may withhold or limit 
payments under section 111, 124, or 632(a) of the Act, as provided by 
section 107 (c) and (d) of the Act, if the Secretary determines that--
    (1) The State plan, including the supported employment supplement, 
has been so changed that it no longer conforms with the requirements of 
this part or 34 CFR part 363; or
    (2) In the administration of the State plan, there has been a 
failure to comply substantially with any provision of that plan or a 
program improvement plan established in accordance with section 106 of 
the Act.
    (b) Informal resolution. Prior to withholding or limiting payments 
in accordance with this section, the Secretary attempts to resolve 
disputed issues informally with State officials.
    (c) Notice. If, after reasonable effort has been made to resolve the 
dispute, no resolution has been reached, the Secretary provides notice 
to the State agency of the intention to withhold or limit payments and 
of the opportunity for a hearing.
    (d) Withholding hearing. If the State agency requests a hearing, the 
Secretary designates one or more individuals, either from the Department 
or elsewhere, not responsible for or connected with the administration 
of this program, to conduct a hearing in accordance with the provisions 
of 34 CFR part 81, subpart A.
    (e) Initial decision. The hearing officer issues an initial decision 
in accordance with 34 CFR 81.41.
    (f) Petition for review of an initial decision. The State agency may 
seek the Secretary's review of the initial decision in accordance with 
34 CFR 81.42.
    (g) Review by the Secretary. The Secretary reviews the initial 
decision in accordance with 34 CFR 81.43.
    (h) Final decision of the Department. The final decision of the 
Department is made in accordance with 34 CFR 81.44
    (i) Judicial review. A State may appeal the Secretary's decision to 
withhold or limit payments by filing a petition for review with the U.S. 
Court of Appeals for the circuit in which the State is located, in 
accordance with section 107(d) of the Act.

(Authority: Secs. 101(b), 107(c), and 107(d) of the Act; 29 U.S.C. 
721(b), 727(c)(1) and (2), and 727(d))

                   State Plan Content: Administration



Sec. 361.12  Methods of administration.

    The State plan must assure that the State agency, and the designated 
State unit if applicable, employs methods of administration found 
necessary by the Secretary for the proper and efficient administration 
of the plan and for carrying out all functions for which the State is 
responsible under the plan and this part. These methods must include 
procedures to ensure accurate data collection and financial 
accountability.

(Authority: Sec. 101(a)(6) of the Act; 29 U.S.C. 721(a)(6))



Sec. 361.13  State agency for administration.

    (a) Designation of State agency. The State plan must designate a 
State agency as the sole State agency to administer the State plan, or 
to supervise its administration in a political subdivision of the State 
by a sole local agency, in accordance with the following requirements:
    (1) General. Except as provided in paragraphs (a) (2) and (3) of 
this section, the State plan must provide that the designated State 
agency is one of the following types of agencies:
    (i) A State agency that is an independent State commission, board, 
or other agency that has as its major

[[Page 322]]

function vocational rehabilitation or vocational and other 
rehabilitation of individuals with disabilities.
    (ii) The State agency administering or supervising the 
administration of education or vocational education in the State, 
provided that it includes a vocational rehabilitation unit as provided 
in paragraph (b) of this section.
    (iii) A State agency that includes a vocational rehabilitation unit, 
as provided in paragraph (b) of this section, and at least two other 
major organizational units, each of which administers one or more of the 
State's major programs of public education, public health, public 
welfare, or labor.
    (2) American Samoa. In the case of American Samoa, the State plan 
must designate the Governor.
    (3) Designated State agency for individuals who are blind. If a 
State commission or other agency that provides assistance or services to 
individuals who are blind is authorized under State law to provide 
vocational rehabilitation services to individuals who are blind, and 
this commission or agency is primarily concerned with vocational 
rehabilitation or includes a vocational rehabilitation unit as provided 
in paragraph (b) of this section, the State plan may designate that 
agency as the sole State agency to administer the part of the plan under 
which vocational rehabilitation services are provided for individuals 
who are blind or to supervise its administration in a political 
subdivision of the State by a sole local agency.
    (b) Designation of State unit. (1) If the designated State agency is 
of the type specified in paragraph (a)(1)(ii) or (a)(1)(iii) of this 
section, or if the designated State agency specified in paragraph (a)(3) 
of this section does not have as its major function vocational 
rehabilitation or vocational and other rehabilitation of individuals 
with disabilities, the State plan must assure that the agency (or each 
agency if two agencies are designated) includes a vocational 
rehabilitation bureau, division, or unit that--
    (i) Is primarily concerned with vocational rehabilitation or 
vocational and other rehabilitation of individuals with disabilities and 
is responsible for the administration of the State agency's vocational 
rehabilitation program under the State plan, including those 
responsibilities specified in paragraph (c) of this section;
    (ii) Has a full-time director;
    (iii) Has a staff, at least 90 percent of whom are employed full 
time on the rehabilitation work of the organizational unit; and
    (iv) Is located at an organizational level and has an organizational 
status within the State agency comparable to that of other major 
organizational units of the agency or, in the case of an agency 
described in paragraph (a)(1)(ii) of this section, is so located and has 
that status or has a director who is the executive officer of the State 
agency.
    (2) In the case of a State that has not designated a separate State 
agency for individuals who are blind, as provided for in paragraph 
(a)(3) of this section, the State may assign responsibility for the part 
of the plan under which vocational rehabilitation services are provided 
to individuals who are blind to one organizational unit of the 
designated State agency and may assign responsibility for the rest of 
the plan to another organizational unit of the designated State agency, 
with the provisions of paragraph (b)(1) of this section applying 
separately to each of these units.
    (c) Responsibility for administration. (1) The State plan must 
assure that, at a minimum, the following activities are the 
responsibility of the designated State unit or the sole local agency 
under the supervision of the State unit:
    (i) All decisions affecting eligibility for vocational 
rehabilitation services, the nature and scope of available services, and 
the provision of these services.
    (ii) The determination that an individual has achieved an employment 
outcome under Sec. 361.56.
    (iii) Policy formulation and implementation.
    (iv) The allocation and expenditure of vocational rehabilitation 
funds.
    (2) This responsibility may not be delegated to any other agency or 
individual.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(1) and 101(a)(2) of the Act; 29 U.S.C. 721(a)(1) 
and 721(a)(2))

[[Page 323]]



Sec. 361.14  Substitute State agency.

    (a) General provisions. (1) If the Secretary has withheld all 
funding from a State under Sec. 361.11, the State may designate another 
agency to substitute for the designated State agency in carrying out the 
State's program of vocational rehabilitation services.
    (2) Any public or nonprofit private organization or agency within 
the State or any political subdivision of the State is eligible to be a 
substitute agency.
    (3) The substitute agency shall submit a State plan that meets the 
requirements of this part.
    (4) The Secretary makes no grant to a substitute agency until the 
Secretary approves its plan.
    (b) Substitute agency matching share. The Secretary does not make 
any payment to a substitute agency unless it has provided assurances 
that it will contribute the same matching share as the State would have 
been required to contribute if the State agency were carrying out the 
vocational rehabilitation program.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 107(c)(3) of the Act; 29 U.S.C. 727(c)(3))



Sec. 361.15  Local administration.

    (a) If the State plan provides for local administration, it must--
    (1) Identify each local agency;
    (2) Assure that each local agency is under the supervision of the 
designated State unit and is the sole local agency as defined in 
Sec. 361.5(b)(41) that is responsible for the administration of the 
program within the political subdivision that it serves; and
    (3) Describe the methods each local agency will use to administer 
the vocational rehabilitation program, in accordance with the State 
plan.
    (b) A separate local agency serving individuals who are blind may 
administer that part of the plan relating to vocational rehabilitation 
of individuals who are blind, under the supervision of the designated 
State unit for individuals who are blind.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 7(9) and 101(a)(1)(A) of the Act; 29 U.S.C. 706(9) and 
721(a)(1)(A))



Sec. 361.16  Establishment of an independent commission or a State Rehabilitation Advisory Council.

    (a) General requirement. Except as provided in paragraph (b) of this 
section, the State plan must contain one of the following two 
assurances:
    (1) An assurance that the State agency is an independent State 
commission that--
    (i) Is primarily concerned with vocational rehabilitation or 
vocational and other rehabilitation services, in accordance with 
Sec. 361.13(a)(1)(i);
    (ii) Is consumer-controlled by persons who--
    (A) Are individuals with physical or mental impairments that 
substantially limit major life activities; and
    (B) Represent individuals with a broad range of disabilities;
    (iii) Includes individuals representing family members, advocates, 
and authorized representatives of individuals with mental impairments; 
and
    (iv) Conducts a review and analysis of the effectiveness of and 
consumer satisfaction with vocational rehabilitation services and 
providers in the State, in accordance with the provisions in 
Sec. 361.17(h)(3).
    (2) An assurance that--
    (i) The State has established a State Rehabilitation Advisory 
Council (Council) that meets the requirements of Sec. 361.17;
    (ii) The designated State unit seeks and seriously considers, on a 
regular and ongoing basis, advice from the Council regarding the 
development, implementation, and amendment of the State plan, the 
strategic plan, and other policies and procedures of general 
applicability pertaining to the provision of vocational rehabilitation 
services in the State;
    (iii) The designated State unit transmits to the Council--

[[Page 324]]

    (A) All plans, reports, and other information required under the Act 
to be submitted to the Secretary;
    (B) Copies of all written policies, practices, and procedures of 
general applicability provided to or used by rehabilitation personnel; 
and
    (C) Copies of due process hearing decisions in a manner that 
preserves the confidentiality of the participants in the hearings; and
    (iv) The State plan summarizes annually the advice provided by the 
Council, including recommendations from the annual report of the 
Council, the survey of consumer satisfaction, and other reports prepared 
by the Council, and the State agency's response to the advice and 
recommendations, including the manner in which the State will modify its 
policies and procedures based on the survey of consumer satisfaction and 
explanations of reasons for rejecting any advice or recommendations of 
the Council.
    (b) Exception for separate State agency for individuals who are 
blind. In the case of a State that designates a separate State agency, 
under Sec. 361.13(a)(3), to administer the part of the State plan under 
which vocational rehabilitation services are provided to individuals who 
are blind, the State plan must contain one of the following four 
assurances:
    (1) An assurance that an independent commission in accordance with 
paragraph (a)(1) of this section is responsible under State law for 
operating or overseeing the operation of the vocational rehabilitation 
program of both the State agency that administers the part of the State 
plan under which vocational rehabilitation services are provided to 
individuals who are blind and the State agency that administers the 
remainder of the State plan.
    (2) An assurance that--
    (i) An independent commission that is consumer-controlled by, and 
represents the interests of, individuals who are blind and conducts a 
review and analysis of the effectiveness of and consumer satisfaction 
with vocational rehabilitation services and providers, in accordance 
with the provisions of Sec. 361.17(h)(3), is responsible under State law 
for operating, or overseeing the operation of, the vocational 
rehabilitation program in the State for individuals who are blind; and
    (ii) An independent commission that is consumer-controlled in 
accordance with paragraph (a)(1)(i) of this section and conducts a 
review and analysis of the effectiveness of and consumer satisfaction 
with vocational rehabilitation services and providers, in accordance 
with Sec. 361.17(h)(3), is responsible under State law for operating, or 
overseeing the operation of, the vocational rehabilitation program in 
the State for all individuals with disabilities, except individuals who 
are blind.
    (3) An assurance that--
    (i) An independent commission that is consumer-controlled by, and 
represents the interests of, individuals who are blind and that conducts 
a review and analysis of the effectiveness of and consumer satisfaction 
with vocational rehabilitation services and providers, in accordance 
with Sec. 361.17(h)(3), is responsible under State law for operating, or 
overseeing the operation of, the vocational rehabilitation program in 
the State for individuals who are blind; and
    (ii) The State has established a State Rehabilitation Advisory 
Council that meets the criteria in Sec. 361.17 and carries out the 
duties of a Council with respect to functions for, and services provided 
to, individuals with disabilities, except for individuals who are blind.
    (4) An assurance that--
    (i) An independent commission that is consumer-controlled in 
accordance with paragraph (a)(1)(i) of this section and conducts a 
review and analysis of the effectiveness of and consumer satisfaction 
with vocational rehabilitation services and providers, in accordance 
with the provisions of Sec. 361.17(h)(3), is responsible under State law 
for operating or overseeing the operation of the vocational 
rehabilitation services for all individuals in the State, except 
individuals who are blind; and
    (ii) The State has established a State Rehabilitation Advisory 
Council that meets the criteria in Sec. 361.17 and carries out the 
duties of a Council with respect

[[Page 325]]

to functions for, and services provided to, individuals who are blind.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(32) and 101(a)(36) of the Act; 29 U.S.C. 
721(a)(32) and 721(a)(36))



Sec. 361.17  Requirements for a State Rehabilitation Advisory Council.

    If the State plan contains an assurance that the State has 
established a Council under Sec. 361.16(a)(2), (b)(3)(ii), or 
(b)(4)(ii), the State plan must also contain an assurance that the 
Council meets the following requirements:
    (a) Appointment. (1) The members of the Council shall be--
    (i) Appointed by the Governor; or
    (ii) If State law vests appointment authority in an entity other 
than, or in conjunction with, the Governor (such as one or more houses 
of the State legislature or an independent board that has general 
appointment authority), appointed by that entity or entities.
    (2) The appointing authority shall select members of the Council 
after soliciting recommendations from representatives of organizations 
representing a broad range of individuals with disabilities and 
organizations interested in individuals with disabilities.
    (b) Composition--(1) General. Except as provided in paragraph (b)(3) 
of this section, the Council shall be composed of at least 13 members, 
including--
    (i) At least one representative of the Statewide Independent Living 
Council, who shall be the chairperson of, or other individual 
recommended by, the Statewide Independent Living Council;
    (ii) At least one representative of a parent training and 
information center established pursuant to section 631(e)(1) of IDEA;
    (iii) At least one representative of the Client Assistance Program 
(CAP), established under 34 CFR part 370, who shall be the director of, 
or other individual recommended by, the CAP;
    (iv) At least one vocational rehabilitation counselor with knowledge 
of and experience with vocational rehabilitation programs who serves as 
an ex officio, nonvoting member if employed by the designated State 
agency;
    (v) At least one representative of community rehabilitation program 
service providers;
    (vi) Four representatives of business, industry, and labor;
    (vii) Representatives of disability groups that include a cross 
section of--
    (A) Individuals with physical, cognitive, sensory, and mental 
disabilities; and
    (B) Parents, family members, guardians, advocates, or authorized 
representatives of individuals with disabilities who have difficulty 
representing themselves due to their disabilities;
    (viii) Current or former applicants for, or recipients of, 
vocational rehabilitation services; and
    (ix) The director of the designated State unit as an ex officio, 
nonvoting member.
    (2) Employees of the designated State agency. Employees of the 
designated State agency may serve only as nonvoting members of the 
Council.
    (3) Composition of a separate Council for a separate State agency 
for individuals who are blind. Except as provided in paragraph (b)(4) of 
this section, if the State establishes a separate Council for a separate 
State agency for individuals who are blind, that Council shall--
    (i) Conform with all of the composition requirements for a Council 
under paragraph (b)(1) of this section, except the requirements in 
paragraph (b)(1)(vii), unless the exception in paragraph (b)(4) of this 
section applies; and
    (ii) Include--
    (A) At least one representative of a disability advocacy group 
representing individuals who are blind; and
    (B) At least one parent, family member, guardian, advocate, or 
authorized representative of an individual who is blind, has multiple 
disabilities, and has difficulty representing himself or herself due to 
disabilities.
    (4) Exception. If State law in effect on October 29, 1992 requires a 
separate Council under paragraph (b)(3) of this section to have fewer 
than 13 members, the separate Council is deemed to be in compliance with 
the composition requirements in paragraphs (b)(1)(vi) and (b)(1)(viii) 
of this section if it includes at least one representative who meets the 
requirements for each of those paragraphs.

[[Page 326]]

    (c) Majority. A majority of the Council members shall be individuals 
with disabilities who are not employed by the designated State unit.
    (d) Chairperson. The chairperson shall be--
    (1) Selected by the members of the Council from among the voting 
members of the Council, subject to the veto power of the Governor; or
    (2) If the Governor does not have veto power pursuant to State law, 
selected by the Governor, or by the Council if required by the Governor, 
from among the voting members of the Council.
    (e) Terms of appointment. (1) Each member of the Council shall be 
appointed for a term of no more than three years and may serve for no 
more than two consecutive full terms.
    (2) A member appointed to fill a vacancy occurring prior to the end 
of the term for which the predecessor was appointed shall be appointed 
for the remainder of the predecessor's term.
    (3) The terms of service of the members initially appointed must be 
for varied numbers of years to ensure that terms expire on a staggered 
basis.
    (f) Vacancies. (1) A vacancy in the membership of the Council must 
be filled in the same manner as the original appointment.
    (2) No vacancy affects the power of the remaining members to execute 
the duties of the Council.
    (g) Conflict of interest. No member of the Council shall cast a vote 
on any matter that would provide direct financial benefit to the member 
or the member's organization or otherwise give the appearance of a 
conflict of interest under State law.
    (h) Functions. The Council shall--
    (1) Review, analyze, and advise the designated State unit regarding 
the performance of the State unit's responsibilities under this part, 
particularly responsibilities related to--
    (i) Eligibility, including order of selection;
    (ii) The extent, scope, and effectiveness of services provided; and
    (iii) Functions performed by State agencies that affect or 
potentially affect the ability of individuals with disabilities to 
achieve rehabilitation goals and objectives under this part;
    (2) Advise, and at the discretion of the State agency assist, the 
State unit in the preparation of applications, the State plan, the 
strategic plan, and amendments to the plans, reports, needs assessments, 
and evaluations required by this part;
    (3) To the extent feasible, conduct a review and analysis of the 
effectiveness of, and consumer satisfaction with--
    (i) The functions performed by State agencies and other public and 
private entities responsible for serving individuals with disabilities; 
and
    (ii) The vocational rehabilitation services provided by State 
agencies and other public and private entities responsible for providing 
vocational rehabilitation services to individuals with disabilities from 
funds made available under the Act or through other public or private 
sources;
    (4) Prepare and submit to the Governor, or appropriate State entity, 
and to the Secretary no later than 90 days after the end of the Federal 
fiscal year an annual report on the status of vocational rehabilitation 
programs operated within the State and make the report available to the 
public through appropriate modes of communication;
    (5) Coordinate with other councils within the State, including the 
Statewide Independent Living Council established under 34 CFR part 364, 
the advisory panel established under section 613(a)(12) of IDEA, the 
State Planning Council described in section 124 of the Developmental 
Disabilities Assistance and Bill of Rights Act, and the State mental 
health planning council established under section 1916(e) of the Public 
Health Service Act;
    (6) Advise the designated State agency and provide for coordination 
and the establishment of working relationships between the designated 
State agency and the Statewide Independent Living Council and centers 
for independent living within the State; and
    (7) Perform other comparable functions, consistent with the purpose 
of this part, that the Council determines to be appropriate.
    (i) Resources. (1) The Council, in conjunction with the designated 
State unit, shall prepare a plan for the provision of resources, 
including staff and other personnel, that may be necessary

[[Page 327]]

for the Council to carry out its functions under this part.
    (2) In implementing the resources plan, the Council shall rely on 
existing resources to the maximum extent possible.
    (3) Any disagreements between the designated State unit and the 
Council regarding the amount of resources necessary must be resolved by 
the Governor or other appointing entity, consistent with paragraphs 
(i)(1) and (2) of this section.
    (4) The Council shall, consistent with State law, supervise and 
evaluate the staff and personnel that are necessary to carry out its 
functions.
    (5) Those staff and personnel that are assisting the Council in 
carrying out its functions may not be assigned duties by the designated 
State unit or any other agency or office of the State that would create 
a conflict of interest.
    (j) Meetings. The Council shall--
    (1) Convene at least four meetings a year to conduct Council 
business that are publicly announced, open and accessible to the public, 
including individuals with disabilities, unless there is a valid reason 
for an executive session; and
    (2) Conduct forums or hearings, as appropriate, that are publicly 
announced, open and accessible to the public, including individuals with 
disabilities.
    (k) Compensation. Funds appropriated under title I of the Act, 
except funds to carry out sections 112 and 130 of the Act, may be used 
to compensate and reimburse the expenses of Council members in 
accordance with section 105(g) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 105 of the Act; 29 U.S.C. 725)



Sec. 361.18  Comprehensive system of personnel development.

    The State plan must describe the procedures and activities the State 
agency will undertake to establish and maintain a comprehensive system 
of personnel development designed to ensure an adequate supply of 
qualified rehabilitation personnel, including professionals and 
paraprofessionals, for the designated State unit. If the State agency 
has a State Rehabilitation Advisory Council, this description must, at a 
minimum, specify that the Council has an opportunity to review and 
comment on the development of plans, policies, and procedures necessary 
to meet the requirements of paragraphs (b) through (d) and paragraph (f) 
of this section. This description must also conform with the following 
requirements:
    (a) Data system on personnel and personnel development. The State 
plan must describe the development and maintenance of a system by the 
State agency for collecting and analyzing on an annual basis data on 
qualified personnel needs and personnel development, in accordance with 
the following requirements:
    (1) Data on qualified personnel needs must include--
    (i) The number of personnel who are employed by the State agency in 
the provision of vocational rehabilitation services in relation to the 
number of individuals served, broken down by personnel category;
    (ii) The number of personnel currently needed by the State agency to 
provide vocational rehabilitation services, broken down by personnel 
category; and
    (iii) Projections of the number of personnel, broken down by 
personnel category, who will be needed by the State agency to provide 
vocational rehabilitation services in the State in five years based on 
projections of the number of individuals to be served, including 
individuals with severe disabilities, the number of personnel expected 
to retire or leave the field, and other relevant factors.
    (2) Data on personnel development must include--
    (i) A list of the institutions of higher education in the State that 
are preparing vocational rehabilitation professionals, by type of 
program;
    (ii) The number of students enrolled at each of those institutions, 
broken down by type of program; and
    (iii) The number of students who graduated during the prior year 
from each of those institutions with certification or licensure, or with 
the credentials for certification or licensure, broken down by the 
personnel category for which they have received, or have the

[[Page 328]]

credentials to receive, certification or licensure.
    (b) Plan for recruitment, preparation, and retention of qualified 
personnel. The State plan must describe the development, updating, and 
implementation of a plan to address the current and projected needs for 
personnel who are qualified in accordance with paragraph (c) of this 
section. The plan must identify the personnel needs based on the data 
collection and analysis system described in paragraph (a) of this 
section and must provide for the coordination and facilitation of 
efforts between the designated State unit and institutions of higher 
education and professional associations to recruit, prepare, and retain 
personnel who are qualified in accordance with paragraph (c) of this 
section, including personnel from minority backgrounds and personnel who 
are individuals with disabilities.
    (c) Personnel standards. (1) The State plan must include the State 
agency's policies and describe the procedures the State agency will 
undertake to establish and maintain standards to ensure that 
professional and paraprofessional personnel needed within the State unit 
to carry out this part are appropriately and adequately prepared and 
trained, including--
    (i) Standards that are consistent with any national or State-
approved or -recognized certification, licensing, or registration 
requirements, or, in the absence of these requirements, other comparable 
requirements (including State personnel requirements), that apply to the 
profession or discipline in which that category of personnel is 
providing vocational rehabilitation services; and
    (ii) To the extent that existing standards are not based on the 
highest requirements in the State, the steps the State is currently 
taking and the steps the State plans to take to retrain or hire 
personnel to meet standards that are based on the highest requirements 
in the State, including measures to notify State unit personnel, the 
institutions of higher education identified under paragraph (a)(2)(i) of 
this section, and other public agencies of these steps and the timelines 
for taking each step.
    (2) As used in this section--
    (i) Highest requirements in the State applicable to that profession 
or discipline means the highest entry-level academic degree needed for 
any national or State-approved or -recognized certification, licensing, 
registration, or other comparable requirements that apply to that 
profession or discipline. The current requirements of all State statutes 
and regulations of other agencies in the State applicable to that 
profession or discipline must be considered and must be kept on file by 
the designated State unit and available to the public.
    (ii) Profession or discipline means a specific occupational 
category, including any paraprofessional occupational category, that--
    (A) Provides rehabilitation services to individuals with 
disabilities;
    (B) Has been established or designated by the State; and
    (C) Has a specified scope of responsibility.
    (d) Staff development. (1) The State plan must include the State 
agency's policies and describe the procedures and activities the State 
agency will undertake to ensure that all personnel employed by the State 
unit receive appropriate and adequate training, including a description 
of--
    (i) A system of staff development for rehabilitation professionals 
and paraprofessionals within the State unit, particularly with respect 
to rehabilitation technology; and
    (ii) Procedures for acquiring and disseminating to rehabilitation 
professionals and paraprofessionals within the designated State unit 
significant knowledge from research and other sources, including 
procedures for providing training regarding the amendments to the 
Rehabilitation Act of 1973 made by the Rehabilitation Act Amendments of 
1992.
    (2) The specific training areas for staff development must be based 
on the needs of each State unit and may include, but are not limited to, 
training with respect to the requirements of the Americans with 
Disabilities Act, IDEA, and Social Security work incentive programs, 
training to facilitate informed choice under this program, and training 
to improve the provision of

[[Page 329]]

services to culturally diverse populations.
    (e) Personnel to address individual communication needs. The State 
plan must describe how the State unit--
    (1) Includes among its personnel, or obtains the services of, 
individuals able to communicate in the native languages of applicants 
and eligible individuals who have limited English speaking ability; and
    (2) Includes among its personnel, or obtains the services of, 
individuals able to communicate with applicants and eligible individuals 
in appropriate modes of communication.
    (f) Performance evaluation system. The State plan must describe how 
the system for evaluating the performance of rehabilitation counselors, 
coordinators, and other personnel used in the State unit facilitates, 
and in no way impedes, the accomplishment of the purpose and policy of 
the program as described in sections 100(a)(2) and 100(a)(3) of the Act, 
including the policy of serving, among others, individuals with the most 
severe disabilities.
    (g) Coordination with personnel development under IDEA. The State 
plan must describe the procedures and activities the State agency will 
undertake to coordinate its comprehensive system of personnel 
development under the Act with personnel development under IDEA.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101 (a)(7) and (a)(35) of the Act; 29 U.S.C. 721(a) (7) 
and (35))

    Note: Under the Act and the regulations in this part, the State 
agency is required to collect and analyze data regarding personnel needs 
by type or category of personnel. The personnel data must be collected 
and analyzed according to personnel category breakdowns that are based 
on the major categories of staff in the State unit. Similarly, the data 
from institutions of higher education must be broken down by type of 
program to correspond as closely as possible with the personnel 
categories of the State unit.



Sec. 361.19  Affirmative action for individuals with disabilities.

    The State plan must assure that the State agency takes affirmative 
action to employ and advance in employment qualified individuals with 
disabilities.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(6)(A) of the Act; 29 U.S.C. 721(a)(6)(A))



Sec. 361.20  State plan development.

    (a) Public participation requirements--(1) Plan development and 
revisions. The State plan must assure that the State unit conducts 
public meetings throughout the State to provide all segments of the 
public, including interested groups, organizations, and individuals, an 
opportunity to comment on the State plan prior to its development and to 
comment on any revisions to the State plan.
    (2) Notice requirements. The State plan must assure that the State 
unit, prior to conducting public meetings, provides appropriate and 
sufficient notice throughout the State of the meetings in accordance 
with--
    (i) State law governing public meetings; or
    (ii) In the absence of State law governing public meetings, 
procedures developed by the State unit in consultation with the State 
Rehabilitation Advisory Council.
    (3) Revisions based on consumer satisfaction surveys. The State plan 
must describe the manner in which the State's policies and procedures 
will be revised based on the results of consumer satisfaction surveys 
conducted by the State Rehabilitation Advisory Council under 
Sec. 361.17(h)(3) or by the State agency if it is an independent 
commission in accordance with the requirements of Sec. 361.16.
    (b) Special consultation requirements. The State plan must assure 
that, as appropriate, the State unit actively consults in the 
development and revision of the State plan with the CAP director, the 
State Rehabilitation Advisory Council, and, as appropriate, those Indian 
tribes, tribal organizations, and native Hawaiian organizations that 
represent significant numbers of individuals with disabilities within 
the State.
    (c) Summary of public comments. The State plan must include a 
summary of the public comments on the State plan, including comments on 
revisions to the

[[Page 330]]

State plan and the State unit's response to those comments.
    (d) Appropriate modes of communication. The State unit shall 
provide, through appropriate modes of communication, the notices of the 
public meetings, any materials furnished prior to or during the public 
meetings, and the approved State plan.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(20), 101(a)(23), 101(a)(32), and 105(c)(2) of 
the Act; 29 U.S.C. 721(a)(20), (23), and (32) and 725(c)(2))



Sec. 361.21  Consultations regarding the administration of the State plan.

    (a) The State plan must assure that, in connection with matters of 
general policy development and implementation arising in the 
administration of the State plan, the State unit seeks and takes into 
account the views of--
    (1) Individuals who receive vocational rehabilitation services or, 
as appropriate, the individuals' representatives;
    (2) Personnel working in the field of vocational rehabilitation;
    (3) Providers of vocational rehabilitation services;
    (4) The CAP director; and
    (5) The State Rehabilitation Advisory Council, if the State has a 
Council.
    (b) The State plan must specifically describe the manner in which 
the State unit will take into account the views regarding State policy 
and administration of the State plan that are expressed in the consumer 
satisfaction surveys conducted by the State Rehabilitation Advisory 
Council under Sec. 361.17(h)(3) or by the State agency if it is an 
independent commission in accordance with the requirements of 
Sec. 361.16(a)(1).

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(18), 101(a)(32), and 105(c)(2) of the Act; 29 
U.S.C. 721(a)(18), 721(a)(32), and 725(c)(2))



Sec. 361.22  Cooperation with agencies responsible for students with disabilities.

    (a) Students with disabilities who are receiving special education 
services--(1) General. The State plan must contain plans, policies, and 
procedures that are designed to facilitate the transition of students 
who are receiving special education services from the provision of a 
free appropriate public education under the responsibility of an 
educational agency to the provision of vocational rehabilitation 
services under the responsibility of the designated State unit. These 
plans, policies, and procedures must provide for the development and 
completion of the IWRP before the student leaves the school setting for 
each student determined to be eligible for vocational rehabilitation 
services or, if the designated State unit is operating under an order of 
selection, for each eligible student able to be served under the order. 
The IWRP must, at a minimum, identify the long-term rehabilitation 
goals, intermediate rehabilitation objectives, and goals and objectives 
related to enabling the student to live independently, to the extent 
these goals and objectives are included in the student's individualized 
education program.
    (2) Formal interagency agreement. The State plan must assure that 
the State unit enters into formal interagency agreements with the State 
educational agency and, as appropriate, with local educational agencies, 
that are responsible for the free appropriate public education of 
students with disabilities who are receiving special education services. 
Formal interagency agreements must, at a minimum, identify--
    (i) Policies, practices, and procedures that can be coordinated 
between the agencies, including definitions, standards for eligibility, 
policies and procedures for making referrals, procedures for outreach to 
and identification of youth who are receiving special education services 
and are in need of transition services, and procedures and timeframes 
for evaluation and follow-up of those students;
    (ii) The roles of each agency, including provisions for determining 
State lead agencies and qualified personnel responsible for transition 
services;
    (iii) Procedures for providing training for staff of State and local 
educational agencies as to the availability, benefits of, and 
eligibility standards for vocational rehabilitation services, to the 
extent practicable;

[[Page 331]]

    (iv) Available resources, including sources of funds for the 
development and expansion of services;
    (v) The financial responsibility of each agency in providing 
services to students with disabilities who are receiving special 
education services, consistent with State law;
    (vi) Procedures for resolving disputes between the agencies that are 
parties to the agreement; and
    (vii) All other components necessary to ensure meaningful 
cooperation among agencies, including procedures to facilitate the 
development of local teams to coordinate the provision of services to 
individuals, sharing data, and coordinating joint training of staff in 
the provision of transition services.
    (b) Students with disabilities who are not receiving special 
education services. The State plan must contain plans, policies, and 
procedures, including cooperation with appropriate agencies, designed to 
ensure that students with disabilities who are not receiving special 
education services have access to and can receive vocational 
rehabilitation services, if appropriate, and to ensure outreach to and 
identification of those students.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(11)(C), 101(a)(24) and 101(a)(30) of the Act; 
29 U.S.C. 721 (a)(11), (a)(24), and (a)(30))

    Note: The following excerpt from page 33 of Senate Report No. 102-
357 further clarifies the provision of transition services by the State 
vocational rehabilitation agency:
    The overall purpose of this provision is to ensure that all students 
who require vocational rehabilitation services receive those services in 
a timely manner. There should be no gap in services between the 
education system and the vocational rehabilitation system * * *. The 
committee intends that students with disabilities who are eligible for, 
and who need, vocational rehabilitation services will receive those 
services as soon as possible, consistent with Federal and State law. 
These provisions are not intended in any way to shift the responsibility 
of service delivery from education to rehabilitation during the 
transition years. School officials will continue to be responsible for 
providing a free and appropriate public education as defined by the IEP. 
The role of the rehabilitation system is primarily one of planning for 
the student's years after leaving school. (S. Rep. No. 357, 102d Cong., 
2d. Sess. 33 (1992))



Sec. 361.23  Cooperation with other public agencies.

    (a) Coordination of services with vocational education and Javits-
Wagner-O'Day programs. The State plan must assure that specific 
arrangements or agreements are made for the coordination of services for 
any individual who is eligible for vocational rehabilitation services 
and is also eligible for services under the Carl D. Perkins Vocational 
and Applied Technology Education Act or the Javits-Wagner-O'Day Act.
    (b) Cooperation with other Federal, State, and local public agencies 
providing services related to the rehabilitation of individuals with 
disabilities. (1) The State plan must assure that the State unit 
cooperates with other Federal, State, and local public agencies 
providing services related to the rehabilitation of individuals with 
disabilities, including, as appropriate, establishing interagency 
working groups or entering into formal interagency cooperative 
agreements with, and using the services and facilities of--
    (i) Federal agencies providing services related to the 
rehabilitation of individuals with disabilities, including the Social 
Security Administration, the Office of Workers' Compensation Programs of 
the Department of Labor, and the Department of Veterans Affairs; and
    (ii) State and local public agencies providing services related to 
the rehabilitation of individuals with disabilities, including State and 
local public agencies administering the State's social services and 
financial assistance programs and other State programs for individuals 
with disabilities, such as the State's developmental disabilities 
program, veterans programs, health and mental health programs, education 
programs (including adult education, higher education, and vocational 
education programs), workers' compensation programs, job training and 
placement programs, and public employment offices.
    (2) Interagency cooperation under paragraph (b)(1) of this section, 
to the extent practicable, must provide for training for staff of the 
agencies as to the availability, benefits of, and eligibility standards 
for vocational rehabilitation services.

[[Page 332]]

    (3) If the State unit chooses to enter into formal interagency 
cooperative agreements developed under paragraph (b)(1) of this section, 
the agreements must--
    (i) Identify policies, practices, and procedures that can be 
coordinated among the agencies (particularly definitions, standards for 
eligibility, the joint sharing and use of evaluations and assessments, 
and procedures for making referrals);
    (ii) Identify available resources and define the financial 
responsibility of each agency for paying for necessary services 
(consistent with State law) and procedures for resolving disputes 
between agencies; and
    (iii) Include all additional components necessary to ensure 
meaningful cooperation and coordination.
    (c) Reciprocal referral services with a separate agency for 
individuals who are blind. If there is a separate State unit for 
individuals who are blind, the State plan must assure that the two State 
units establish reciprocal referral services, use each other's services 
and facilities to the extent feasible, jointly plan activities to 
improve services in the State for individuals with multiple impairments, 
including visual impairments, and otherwise cooperate to provide more 
effective services, including, if appropriate, entering into a written 
cooperative agreement.

(Authority: Secs. 101(a)(11) and 101(a)(22) of the Act; 29 U.S.C. 
721(a)(11) and 721(a)(22))



Sec. 361.24  Coordination with the Statewide Independent Living Council.

    The State plan must assure that the State unit will coordinate and 
establish working relationships with the Statewide Independent Living 
Council established under 34 CFR part 364 and with independent living 
centers within the State.

(Authority: Sec. 101(a)(33) of the Act; 29 U.S.C. 721(a)(33))



Sec. 361.25  Statewideness.

    The State plan must assure that services provided under the State 
plan will be available in all political subdivisions of the State, 
unless a waiver of statewideness is requested and approved in accordance 
with Sec. 361.26.

(Authority: Section 101(a)(4) of the Act; 29 U.S.C. 721(a)(4))



Sec. 361.26  Waiver of statewideness.

    (a) Availability. The State unit may provide services in one or more 
political subdivisions of the State that increase services or expand the 
scope of services that are available statewide under the State plan if--
    (1) The non-Federal share of the cost of these services is met from 
funds provided by a local public agency, including funds contributed to 
a local public agency by a private agency, organization, or individual;
    (2) The services are likely to promote the vocational rehabilitation 
of substantially larger numbers of individuals with disabilities or of 
individuals with disabilities with particular types of impairments; and
    (3) The State includes in its State plan, and the Secretary 
approves, a request for a waiver of the statewideness requirement, in 
accordance with the requirements of paragraph (b) of this section.
    (b) Request for waiver. The request for a waiver of statewideness 
must--
    (1) Identify the types of services to be provided;
    (2) Contain a written assurance from the local public agency that it 
will make available to the State unit the non-Federal share of funds;
    (3) Contain a written assurance that State unit approval will be 
obtained for each proposed service before it is put into effect; and
    (4) Contain a written assurance that all other State plan 
requirements, including a State's order of selection requirements, will 
apply to all services approved under the waiver.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(4) of the Act; 29 U.S.C. 721(a)(4))



Sec. 361.27  Shared funding and administration of joint programs.

    (a) If the State plan provides for a joint program involving shared 
funding and administrative responsibility with another State agency or a 
local public

[[Page 333]]

agency to provide services to individuals with disabilities, the plan 
must include a description of the nature and scope of the joint program, 
the services to be provided, the respective roles of each participating 
agency in the provision of services and in their administration, and the 
share of the costs to be assumed by each agency.
    (b) If a proposed joint program does not comply with the 
statewideness requirement in Sec. 361.25, the State unit shall obtain a 
waiver of statewideness, in accordance with Sec. 361.26.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Section 101(a)(1)(A) of the Act; 29 U.S.C. 721(a)(1)(A))



Sec. 361.28  Third-party cooperative arrangements involving funds from other public agencies.

    (a) If the designated State unit enters into a third-party 
cooperative arrangement for providing or administering vocational 
rehabilitation services with another State agency or a local public 
agency that is furnishing part or all of the non-Federal share, the 
State plan must assure that--
    (1) The services provided by the cooperating agency are not the 
customary or typical services provided by that agency but are new 
services that have a vocational rehabilitation focus or existing 
services that have been modified, adapted, expanded, or reconfigured to 
have a vocational rehabilitation focus;
    (2) The services provided by the cooperating agency are only 
available to applicants for, or recipients of, services from the 
designated State unit;
    (3) Program expenditures and staff providing services under the 
cooperative arrangement are under the administrative supervision of the 
designated State unit; and
    (4) All State plan requirements, including a State's order of 
selection, will apply to all services provided under the cooperative 
program.
    (b) If a third party cooperative agreement does not comply with the 
statewideness requirement in Sec. 361.25, the State unit shall obtain a 
waiver of statewideness, in accordance with Sec. 361.26.

(Authority: Sec. 101(a)(1)(A) of the Act; 29 U.S.C. 721(a)(1)(A))



Sec. 361.29  Statewide studies and evaluations.

    (a) Statewide studies. The State plan must assure that the State 
unit conducts continuing statewide studies to determine the current 
needs of individuals with disabilities within the State and the best 
methods to meet those needs. As part of the development of the State 
plan, the continuing statewide studies, at a minimum, must include--
    (1) A triennial comprehensive assessment of the rehabilitation needs 
of individuals with severe disabilities who reside in the State;
    (2) A triennial review of the effectiveness of outreach procedures 
used to identify and serve individuals with disabilities who are 
minorities and individuals with disabilities who are unserved and 
underserved by the vocational rehabilitation system; and
    (3) A triennial review of a broad variety of methods to provide, 
expand, and improve vocational rehabilitation services to individuals 
with the most severe disabilities, including individuals receiving 
supported employment services under 34 CFR part 363.
    (b) Annual evaluation. The State plan must assure that the State 
unit conducts an annual evaluation of the effectiveness of the State's 
vocational rehabilitation program in providing vocational rehabilitation 
and supported employment services, especially to individuals with the 
most severe disabilities. The annual evaluation must analyze the extent 
to which--
    (1) The State has achieved the goals and priorities established in 
the State plan and annual amendments to the plan; and
    (2) The State is in compliance with the evaluation standards and 
performance indicators established by the Secretary pursuant to section 
106 of the Act.
    (c) Reporting requirements. (1) The State plan must describe 
annually those changes that have been adopted in policy, in the State 
plan and its amendments, and in the strategic plan

[[Page 334]]

and its amendments as a result of the statewide studies and the annual 
program evaluation.
    (2) The State plan must contain an annual description of the methods 
used to expand and improve vocational rehabilitation services to 
individuals with the most severe disabilities, including the State 
unit's criteria for determining which individuals are individuals with 
the most severe disabilities.
    (3) The State plan must contain an annual analysis of the 
characteristics of individuals determined to be ineligible for services 
and the reasons for the ineligibility determinations.
    (4) The State unit shall maintain copies of the statewide studies 
and the annual evaluations and shall make the copies available to the 
Secretary upon request.
    (d) Role of the State Rehabilitation Advisory Council. The State 
plan must assure that the State unit seeks the advice of the State 
Rehabilitation Advisory Council, if the State has a Council, regarding 
the continuing statewide studies and the annual evaluation and, at the 
discretion of the State agency, seeks assistance from the Council in the 
preparation and analysis of the studies and evaluation.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sections 101(a)(5) (A) and (B), 101(a)(9)(D), 101(a)(15) 
(A), (C), and (D), 101(a)(19), and 105(c)(2) of the Act; 29 U.S.C. 
721(a) (5), (9), (15), and (19) and 725(c)(2))



Sec. 361.30  Services to special groups of individuals with disabilities.

    (a) Civil employees of the United States. The State plan must assure 
that vocational rehabilitation services are available to civil employees 
of the U.S. Government who are disabled in the line of duty, under the 
same terms and conditions applied to other individuals with 
disabilities.
    (b) Public safety officers. (1) The State plan must assure that 
special consideration will be given to those individuals with 
disabilities whose disability arose from an impairment sustained in the 
line of duty while performing as a public safety officer and the 
immediate cause of that impairment was a criminal act, apparent criminal 
act, or a hazardous condition resulting directly from the officer's 
performance of duties in direct connection with the enforcement, 
execution, and administration of law or fire prevention, firefighting, 
or related public safety activities.
    (2) For the purposes of paragraph (b) of this section, special 
consideration for States under an order of selection means that those 
public safety officers who meet the requirements of paragraph (b)(1) of 
this section must receive priority for services over other eligible 
individuals in the same priority category of the order of selection.
    (3) For the purposes of paragraph (b) of this section, criminal act 
means any crime, including an act, omission, or possession under the 
laws of the United States, a State, or a unit of general local 
government that poses a substantial threat of personal injury, 
notwithstanding that by reason of age, insanity, intoxication, or 
otherwise, the person engaging in the act, omission, or possession was 
legally incapable of committing a crime.
    (4) For the purposes of paragraph (b) of this section, public safety 
officer means a person serving the United States or a State or unit of 
local government, with or without compensation, in any activity 
pertaining to--
    (i) The enforcement of the criminal laws, including highway patrol, 
or the maintenance of civil peace by the National Guard or the Armed 
Forces;
    (ii) A correctional program, facility, or institution if the 
activity is potentially dangerous because of contact with criminal 
suspects, defendants, prisoners, probationers, or parolees;
    (iii) A court having criminal or juvenile delinquent jurisdiction if 
the activity is potentially dangerous because of contact with criminal 
suspects, defendants, prisoners, probationers, or parolees; or
    (iv) Firefighting, fire prevention, or emergency rescue missions.
    (c) American Indians. (1) The State plan must assure that vocational 
rehabilitation services are provided to American Indians with 
disabilities residing in the State to the same extent that these 
services are provided to other significant groups of individuals with 
disabilities residing in the State.

[[Page 335]]

    (2) The State plan also must assure that the designated State unit 
continues to provide vocational rehabilitation services, including, as 
appropriate, services traditionally used by Indian tribes, to American 
Indians with disabilities who reside on reservations and are eligible 
for services by a special tribal program under 34 CFR part 371.

(Authority: Secs. 7, 101(a)(13), 101(a)(20), and 130(b)(3) of the Act; 
29 U.S.C. 706, 721(a)(13), 721(a)(20), and 750(b)(3))



Sec. 361.31  Utilization of community resources.

    The State plan must assure that, in providing vocational 
rehabilitation services, public or other vocational or technical 
training programs or other appropriate community resources are used to 
the maximum extent feasible.

(Authority: Sec. 101(a)(12)(A) of the Act; 29 U.S.C. 721(a)(12)(A))



Sec. 361.32  Utilization of profitmaking organizations for on-the-job training in connection with selected projects.

    The State plan must assure that the State unit has the authority to 
enter into contracts with profitmaking organizations for the purpose of 
providing on-the-job training and related programs for individuals with 
disabilities under the Projects With Industry program, 34 CFR part 379, 
if it has been determined that they are better qualified to provide 
needed services than nonprofit agencies, organizations, or programs in 
the State.

(Authority: Sec. 101(a)(21) of the Act; 29 U.S.C. 721(a)(21))



Sec. 361.33  Use, assessment, and support of community rehabilitation programs.

    (a) The State plan must contain a description of how the designated 
State unit uses community rehabilitation programs to the maximum extent 
feasible to provide vocational rehabilitation services in the most 
integrated settings possible, consistent with the informed choices of 
the individuals. This description must--
    (1) Include the methods the designated State unit uses to ensure the 
appropriate use of community rehabilitation programs;
    (2) Provide, as appropriate, for entering into agreements with the 
operators of those community rehabilitation programs;
    (3) Specify the manner in which the designated State unit will 
establish cooperative agreements with private nonprofit vocational 
rehabilitation service providers;
    (4) Contain the findings resulting from an assessment of the 
capacity and effectiveness of community rehabilitation programs, 
including programs under the Javits-Wagner-O'Day Act, based on the use 
of those programs; and
    (5) Contain plans for improving community rehabilitation programs 
based on the assessment in paragraph (a)(4) of this section.
    (b) If the State plan provides for the establishment, development, 
or improvement of a public or nonprofit community rehabilitation 
program, the State plan must contain a description of the need to 
establish, develop, or improve, as appropriate, the community 
rehabilitation program to provide vocational rehabilitation services to 
applicants and eligible individuals, based on the assessment and 
improvement plans required in paragraphs (a)(4) and (a)(5) of this 
section.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(5)(A), 101(a)(12)(B), 101(a)(15)(B), 
101(a)(27), 101(a)(28), and 103(b)(2) of the Act; 29 U.S.C. 721(a)(5), 
(12), (15), (27), and (28) and 723(b)(2))



Sec. 361.34  Supported employment plan.

    (a) The State plan must assure that the State has an acceptable plan 
under 34 CFR part 363 that provides for the use of funds under that part 
to supplement funds under this part for the cost of services leading to 
supported employment.
    (b) The supported employment plan, including any needed annual 
revisions, must be submitted as a supplement to the State plan.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(25) and 635(a) of the Act; 29 U.S.C. 
721(a)(25))

[[Page 336]]



Sec. 361.35  Strategic plan.

    (a) The State plan must assure that the State--
    (1) Has developed and implemented a strategic plan for expanding and 
improving vocational rehabilitation services for individuals with 
disabilities on a statewide basis in accordance with subpart D of this 
part; and
    (2) Will use at least 1.5 percent of its allotment under this 
program for expansion and improvement activities in accordance with 
Sec. 361.73(b).
    (b) The strategic plan must be submitted at the same time as the 
State plan.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(34) and 120 of the Act; 29 U.S.C. 721(a)(34) 
and 740)



Sec. 361.36  Ability to serve all eligible individuals; order of selection for services.

    (a) General provisions. (1) The State plan must contain--
    (i) An assurance that the designated State unit is able to provide 
the full range of services listed in section 103(a) of the Act, as 
appropriate, to all eligible individuals. The assurance must be 
supported by an explanation that satisfies the requirements of paragraph 
(a)(2) or (a)(3) of this section and describes how, on the basis of the 
designated State unit's projected fiscal and personnel resources and its 
assessment of the rehabilitation needs of individuals with severe 
disabilities within the State, it will--
    (A) Continue to provide services to all individuals currently 
receiving services;
    (B) Provide assessment services to all individuals expected to apply 
for services in the next fiscal year;
    (C) Provide services to all individuals who are expected to be 
determined eligible in the next fiscal year; and
    (D) Meet all program requirements; or
    (ii) The order to be followed in selecting eligible individuals to 
be provided services, a justification of that order of selection, and a 
description of the outcome and service goals and service costs to be 
achieved for individuals with disabilities in each category within the 
order and the time within which these goals may be achieved.
    (2) For those designated State units that provided assurances in 
their State plans for the current fiscal year and the preceding fiscal 
year that they are able to provide the full range of services, as 
appropriate, to all eligible individuals, the explanation required by 
paragraph (a)(1)(i) of this section must include a statement that, 
during the current fiscal year and the preceding fiscal year, the DSU 
has in fact--
    (i) Provided assessment services to all applicants and the full 
range of services, as appropriate, to all eligible individuals;
    (ii) Made referral forms widely available throughout the State;
    (iii) Conducted outreach efforts to identify and serve individuals 
with disabilities who have been unserved or underserved by the 
vocational rehabilitation system; and
    (iv) Not delayed, through waiting lists or other means, 
determinations of eligibility, the development of individualized written 
rehabilitation programs (IWRPs) for individuals determined eligible, or 
the provision of services for eligible individuals for whom IWRPs have 
been developed.
    (3) For those designated State units unable to provide the full 
range of services to all eligible individuals during the current or 
preceding fiscal year, or unable to provide the statement required in 
paragraph (a)(2) of this section, the explanation required by paragraph 
(a)(1)(i) of this section must include--
    (i) A description of the circumstances that have changed that will 
allow the DSU to meet the requirements of paragraph (a)(1)(i) of this 
section in the next fiscal year, including a description of--
    (A) The estimated number of and projected costs of serving, in the 
next fiscal year, individuals with existing IWRPs;
    (B) The projected number of individuals with disabilities who will 
apply for services and will be determined eligible in the next fiscal 
year and the projected costs of serving those individuals;
    (C) The projected costs of administering the program in the next 
fiscal year,

[[Page 337]]

including, but not limited to, costs of staff salaries and benefits, 
outreach activities, and required statewide studies; and
    (D) The projected revenues and projected number of qualified 
personnel for the program in the next fiscal year;
    (ii) Comparable data, as relevant, for the current or preceding 
fiscal year, or for both years, of the costs listed in paragraphs 
(a)(3)(i) (A) through (C) of this section and the resources identified 
in paragraph (a)(3)(i)(D) of this section and an explanation of any 
projected increases or decreases in these costs and resources; and
    (iii) A demonstration that the projected revenues and the projected 
number of qualified personnel for the program in the next fiscal year 
are adequate to cover the costs identified in paragraphs (a)(3)(i) (A) 
through (C) of this section so as to ensure the provision of the full 
range of services, as appropriate, to all eligible individuals.
    (b) Time for determining need for an order of selection. (1) The 
designated State unit shall determine, prior to the beginning of each 
fiscal year, whether to establish and implement an order of selection.
    (2) If the designated State unit determines that it does not need to 
establish an order of selection, it shall reevaluate this determination 
whenever changed circumstances during the course of a fiscal year, such 
as a decrease in its fiscal or personnel resources or an increase in its 
program costs, indicate that it may no longer be able to provide the 
full range of services, as appropriate, to all eligible individuals.
    (c) Establishing an order of selection--(1) Basis for order of 
selection. An order of selection must be based on a refinement of the 
three criteria in the definition of ``individual with a severe 
disability'' in section 7(15)(A) of the Act.
    (2) Factors that cannot be used in determining order of selection of 
eligible individuals. An order of selection may not be based on any 
other factors, including--
    (i) Any duration of residency requirement, provided the individual 
is present in the State;
    (ii) Type of disability;
    (iii) Age, gender, race, color, creed, or national origin;
    (iv) Source of referral;
    (v) Type of expected employment outcome;
    (vi) The need for specific services or anticipated cost of services 
required by an individual; or
    (vii) The income level of an individual or an individual's family.
    (3) Priority for individuals with the most severe disabilities. The 
State plan must assure that those individuals with the most severe 
disabilities are selected for service before other individuals with 
disabilities. The designated State unit shall establish criteria for 
determining which individuals are individuals with the most severe 
disabilities. The criteria must be consistent with the definition of 
``individual with a severe disability'' in section 7(15)(A) of the Act 
and the requirements in paragraphs (c) (1) and (2) of this section.
    (d) Administrative requirements. In administering the order of 
selection, the designated State unit shall--
    (1) Implement the order of selection on a statewide basis;
    (2) Notify all eligible individuals of the priority categories in a 
State's order of selection, their assignment to a particular category, 
and their right to appeal their category assignment;
    (3) Continue to provide all needed services to any eligible 
individual who has begun to receive services under an IWRP prior to the 
effective date of the order of selection, irrespective of the severity 
of the individual's disability;
    (4) Ensure that its funding arrangements for providing services 
under the State plan, including third-party arrangements and awards 
under the establishment authority, are consistent with the order of 
selection. If any funding arrangements are inconsistent with the order 
of selection, the designated State unit shall renegotiate these funding 
arrangements so that they are consistent with the order of selection.
    (e) State Rehabilitation Advisory Council. The designated State unit 
shall consult with and seriously consider the advice of the State 
Rehabilitation Advisory Council regarding the--
    (1) Need to establish an order of selection, including any 
reevaluation of

[[Page 338]]

the need under paragraph (b)(2) of this section;
    (2) Priority categories of the particular order of selection;
    (3) Criteria for determining individuals with the most severe 
disabilities; and
    (4) Administration of the order of selection.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 7(15)(A); 12(d); 17; 101(a)(4); 101(a)(5)(A); 
101(a)(7); 101(a)(11)(A); 101(a)(15)(D); 101(a)(24); 101(a)(30); 
101(a)(36)(A)(ii); 107(a)(4)(B); and 504(a) of the Act; 29 U.S.C. 
706(15)(A), 711(d), 716, 721(a)(4), 721(a)(5)(A), 721(a)(7), 
721(a)(11)(A), 721(a)(15)(D), 721(a)(24), 721(a)(30), 721(a)(36)(A)(ii), 
727(a)(4)(B), and 794(a))



Sec. 361.37  Establishment and maintenance of information and referral programs.

    (a) General provisions. The State plan must assure that--
    (1) The designated State unit will establish and maintain 
information and referral programs adequate to ensure that individuals 
with disabilities within the State are given accurate information about 
State vocational rehabilitation services, independent living services, 
vocational rehabilitation services available from other agencies, 
organizations, and community rehabilitation programs, and, to the extent 
possible, other Federal and State services and programs that assist 
individuals with disabilities, including client assistance and other 
protection and advocacy programs;
    (2) The State unit will refer individuals with disabilities to other 
appropriate Federal and State programs that might be of benefit to them; 
and
    (3) The State unit will use existing information and referral 
systems in the State to the greatest extent possible.
    (b) Appropriate modes of communication. The State plan further must 
assure that information and referral programs use appropriate modes of 
communication.
    (c) Special circumstances. If the State unit is operating under an 
order of selection for services, the State unit may elect to establish 
an expanded information and referral program that includes counseling, 
guidance, and referral for job placements for those eligible individuals 
who are not in the priority category or categories to receive vocational 
rehabilitation services under the State's order of selection.
    (1) If a State unit elects to establish an expanded information and 
referral program under paragraph (c) of this section, the State plan 
must include--
    (i) A description of how the expanded information and referral 
program will be established and how it will function, including the 
level of commitment of State unit staff and resources; and
    (ii) An assurance that, in carrying out this program, the State unit 
will not use funds that are needed to provide vocational rehabilitation 
services under IWRPs for eligible individuals in the priority category 
or categories receiving services under the State unit's order of 
selection or for other eligible individuals who have begun to receive 
services prior to the effective date of the order of selection.
    (2) If the designated State unit chooses to track the individuals 
who obtain employment through participation in an expanded information 
and referral program established under paragraph (c) of this section, 
the State plan must include a report of the number of individuals served 
and the number of individuals who obtain employment through this 
program.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(22) of the Act; 29 U.S.C. 721(a)(22))



Sec. 361.38  Protection, use, and release of personal information.

    (a) General provisions. (1) The State plan must assure that the 
State agency and the State unit will adopt and implement policies and 
procedures to safeguard the confidentiality of all personal information, 
including photographs and lists of names. These policies and procedures 
must assure that--
    (i) Specific safeguards protect current and stored personal 
information;
    (ii) All applicants and eligible individuals and, as appropriate, 
those individuals' representatives, service providers, cooperating 
agencies, and interested persons are informed through appropriate modes 
of communication of the confidentiality of personal information and the 
conditions for

[[Page 339]]

accessing and releasing this information;
    (iii) All applicants or their representatives are informed about the 
State unit need to collect personal information and the policies 
governing its use, including--
    (A) Identification of the authority under which information is 
collected;
    (B) Explanation of the principal purposes for which the State unit 
intends to use or release the information;
    (C) Explanation of whether providing requested information to the 
State unit is mandatory or voluntary and the effects of not providing 
requested information;
    (D) Identification of those situations in which the State unit 
requires or does not require informed written consent of the individual 
before information may be released; and
    (E) Identification of other agencies to which information is 
routinely released;
    (iv) An explanation of State policies and procedures affecting 
personal information will be provided to each individual in that 
individual's native language or through the appropriate mode of 
communication; and
    (v) These policies and procedures provide no fewer protections for 
individuals than State laws and regulations.
    (2) The State unit may establish reasonable fees to cover 
extraordinary costs of duplicating records or making extensive searches 
and shall establish policies and procedures governing access to records.
    (b) State program use. All personal information in the possession of 
the State agency or the designated State unit must be used only for the 
purposes directly connected with the administration of the vocational 
rehabilitation program. Information containing identifiable personal 
information may not be shared with advisory or other bodies that do not 
have official responsibility for administration of the program. In the 
administration of the program, the State unit may obtain personal 
information from service providers and cooperating agencies under 
assurances that the information may not be further divulged, except as 
provided under paragraphs (c), (d), and (e) of this section.
    (c) Release to applicants and eligible individuals. (1) Except as 
provided in paragraphs (c)(2) and (c)(3) of this section, if requested 
in writing by an applicant or eligible individual, the State unit shall 
make all requested information in that individual's record of services 
accessible to and shall release the information to the individual or the 
individual's representative in a timely manner.
    (2) Medical, psychological, or other information that the State unit 
determines may be harmful to the individual may not be released directly 
to the individual, but must be provided to the individual through a 
third party chosen by the individual, which may include, among others, 
an advocate, a family member, or a qualified medical or mental health 
professional, unless a representative has been appointed by a court to 
represent the individual, in which case the information must be released 
to the court-appointed representative.
    (3) If personal information has been obtained from another agency or 
organization, it may be released only by, or under the conditions 
established by, the other agency or organization.
    (4) An applicant or eligible individual who believes that 
information in the individual's record of services is inaccurate or 
misleading may request that the designated State unit amend the 
information. If the information is not amended, the request for an 
amendment must be documented in the record of services.
    (d) Release for audit, evaluation, and research. Personal 
information may be released to an organization, agency, or individual 
engaged in audit, evaluation, or research only for purposes directly 
connected with the administration of the vocational rehabilitation 
program, or for purposes that would significantly improve the quality of 
life for applicants and eligible individuals and only if the 
organization, agency, or individual assures that--
    (1) The information will be used only for the purposes for which it 
is being provided;
    (2) The information will be released only to persons officially 
connected with the audit, evaluation, or research;

[[Page 340]]

    (3) The information will not be released to the involved individual;
    (4) The information will be managed in a manner to safeguard 
confidentiality; and
    (5) The final product will not reveal any personal identifying 
information without the informed written consent of the involved 
individual or the individual's representative.
    (e) Release to other programs or authorities. (1) Upon receiving the 
informed written consent of the individual or, if appropriate, the 
individual's representative, the State unit may release personal 
information to another agency or organization for its program purposes 
only to the extent that the information may be released to the involved 
individual or the individual's representative and only to the extent 
that the other agency or organization demonstrates that the information 
requested is necessary for its program.
    (2) Medical or psychological information that the State unit 
determines may be harmful to the individual may be released if the other 
agency or organization assures the State unit that the information will 
be used only for the purpose for which it is being provided and will not 
be further released to the individual.
    (3) The State unit shall release personal information if required by 
Federal law or regulations.
    (4) The State unit shall release personal information in response to 
investigations in connection with law enforcement, fraud, or abuse, 
unless expressly prohibited by Federal or State laws or regulations, and 
in response to an order issued by a judge, magistrate, or other 
authorized judicial officer.
    (5) The State unit also may release personal information in order to 
protect the individual or others if the individual poses a threat to his 
or her safety or to the safety of others.

(Authority: Secs. 12(c) and 101(a)(6)(A) of the Act; 29 U.S.C. 711(c) 
and 721(a)(6)(A))



Sec. 361.39  State-imposed requirements.

    The State plan must assure that the designated State unit identifies 
upon request those regulations and policies relating to the 
administration or operation of its vocational rehabilitation program 
that are State-imposed, including any regulations or policy based on 
State interpretation of any Federal law, regulations, or guideline.

(Authority: Sect. 17 of the Act; 29 U.S.C. 716)



Sec. 361.40  Reports.

    The State plan must assure that the State unit--
    (a) Will submit reports in the form and detail and at the time 
required by the Secretary, including reports required under sections 13, 
14, and 101(a)(10) of the Act; and
    (b) Will comply with any requirements necessary to ensure the 
correctness and verification of those reports.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 101(a)(10) of the Act; 29 U.S.C. 721(a)(10))

           State Plan Content: Provision and Scope of Services



Sec. 361.41  Processing referrals and applications.

    (a) Referrals. The State plan must assure that the designated State 
unit has established and implemented standards for the prompt and 
equitable handling of referrals of individuals for vocational 
rehabilitation services. The standards must include timelines for making 
good faith efforts to inform these individuals of application 
requirements and to gather information necessary to initiate an 
assessment for determining eligibility and priority for services.
    (b) Applications. (1) The State plan must assure that once an 
individual has submitted an application for vocational rehabilitation 
services, an eligibility determination will be made within 60 days, 
unless--
    (i) Exceptional and unforeseen circumstances beyond the control of 
the agency preclude a determination within 60 days and the agency and 
the individual agree to a specific extension of time; or
    (ii) An extended evaluation is necessary, in accordance with 
Sec. 361.42(d).
    (2) An individual is considered to have submitted an application 
when the individual or the individual's representative, as 
appropriate,--

[[Page 341]]

    (i) Has completed and signed an agency application form or has 
otherwise requested services;
    (ii) Has provided information necessary to initiate an assessment to 
determine eligibility and priority for services; and
    (iii) Is available to complete the assessment process.
    (3) The designated State unit shall ensure that its application 
forms are widely available throughout the State.

(Authority: Sec. 101(a)(6)(A) and 102(a)(5)(A) of the Act; 29 U.S.C. 
721(a)(6)(A) and 722(a)(5)(A))



Sec. 361.42  Assessment for determining eligibility and priority for services.

    The State plan must assure that, in order to determine whether an 
individual is eligible for vocational rehabilitation services and the 
individual's priority under an order of selection for services (if the 
State is operating under an order of selection), the designated State 
unit will conduct an assessment for determining eligibility and priority 
for services. The assessment must be conducted in the most integrated 
setting possible, consistent with the individual's needs and informed 
choice, and in accordance with the following provisions:
    (a) Eligibility requirements--(1) Basic requirements. The State plan 
must assure that the State unit's determination of an applicant's 
eligibility for vocational rehabilitation services is based only on the 
following requirements:
    (i) A determination that the applicant has a physical or mental 
impairment.
    (ii) A determination that the applicant's physical or mental 
impairment constitutes or results in a substantial impediment to 
employment for the applicant.
    (iii) A presumption, in accordance with paragraph (a)(2) of this 
section, that the applicant can benefit in terms of an employment 
outcome from the provision of vocational rehabilitation services.
    (iv) A determination that the applicant requires vocational 
rehabilitation services to prepare for, enter into, engage in, or retain 
gainful employment consistent with the applicant's strengths, resources, 
priorities, concerns, abilities, capabilities, and informed choice.
    (2) Presumption of benefit. The State plan must assure that the 
designated State unit will presume that an applicant who meets the 
eligibility requirements in paragraphs (a)(1) (i) and (ii) of this 
section can benefit in terms of an employment outcome unless it 
demonstrates, based on clear and convincing evidence, that the applicant 
is incapable of benefitting in terms of an employment outcome from 
vocational rehabilitation services.
    (3) Limited presumption for Social Security beneficiaries. The State 
plan must assure that, if an applicant has appropriate evidence, such as 
an award letter, that establishes the applicant's eligibility for Social 
Security benefits under title II or title XVI of the Social Security 
Act, the designated State unit will presume that the applicant--
    (i) Meets the eligibility requirements in paragraphs (a)(1) (i) and 
(ii) of this section; and
    (ii) Has a severe physical or mental impairment that seriously 
limits one or more functional capacities in terms of an employment 
outcome.
    (b) Prohibited factors. The State plan must assure that--
    (1) No duration of residence requirement is imposed that excludes 
from services any applicant who is present in the State;
    (2) No applicant or group of applicants is excluded or found 
ineligible solely on the basis of the type of disability;
    (3) The eligibility requirements are applied without regard to the 
age, gender, race, color, creed, or national origin of the applicant; 
and
    (4) The eligibility requirements are applied without regard to the 
particular service needs or anticipated cost of services required by an 
applicant or the income level of an applicant or applicant's family.
    (c) Review and assessment of data for eligibility determination. 
Except as provided in paragraph (d) of this section, the designated 
State unit shall base its determination of each of the basic eligibility 
requirements in paragraph (a) of this section on--

[[Page 342]]

    (1) A review and assessment of existing data, including counselor 
observations, education records, information provided by the individual 
or the individual's family, information used by the Social Security 
Administration, and determinations made by officials of other agencies; 
and
    (2) To the extent existing data do not describe the current 
functioning of the individual or are unavailable, insufficient, or 
inappropriate to make an eligibility determination, an assessment of 
additional data resulting from the provision of vocational 
rehabilitation services, including assistive technology devices and 
services and worksite assessments, that are necessary to determine 
whether an individual is eligible.
    (d) Extended evaluation for individuals with severe disabilities. 
(1) Prior to any determination that an individual with a severe 
disability is incapable of benefitting from vocational rehabilitation 
services in terms of an employment outcome because of the severity of 
that individual's disability, the State unit shall conduct an extended 
evaluation to determine whether or not there is clear and convincing 
evidence to support such a determination.
    (2) During the extended evaluation period, which may not exceed 18 
months, vocational rehabilitation services must be provided in the most 
integrated setting possible, consistent with the informed choice of the 
individual.
    (3) During the extended evaluation period, the State unit shall 
develop a written plan for determining eligibility and for determining 
the nature and scope of services required to achieve an employment 
outcome. The State unit may provide during this period only those 
services that are necessary to make these two determinations.
    (4) The State unit shall assess the individual's progress as 
frequently as necessary, but at least once every 90 days, during the 
extended evaluation period.
    (5) The State unit shall terminate extended evaluation services at 
any point during the 18-month extended evaluation period if the State 
unit determines that--
    (i) There is sufficient evidence to conclude that the individual can 
benefit from the provision of vocational rehabilitation services in 
terms of an employment outcome; or
    (ii) There is clear and convincing evidence that the individual is 
incapable of benefiting from vocational rehabilitation services in terms 
of an employment outcome.
    (e) Data for determination of priority for services under an order 
of selection. If the State unit is operating under an order of selection 
for services, as provided in Sec. 361.36, the State unit shall base its 
priority assignments on--
    (1) A review of the data that was developed under paragraphs (c) and 
(d) of this section to make the eligibility determination; and
    (2) An assessment of additional data, to the extent necessary.

(Authority: Secs. 7(22)(A)(ii), 7(22)(C)(iii), 101(a)(9)(A), 101(a)(14), 
101(a)(31), 102(a)(1), 102(a)(2), 102(a)(3), 102(a)(4), 103(a)(4), and 
103(a)(6) of the Act; 29 U.S.C. 706(22)(A)(ii), 706(22)(C)(iii), 
721(a)(9)(a), 721(a)(14), 721(a)(31), 722(a)(1), 722(a)(2), 722(a)(3), 
722(a)(4), 723(a)(4), and 723(a)(6))

    Note: Clear and convincing evidence means that the designated State 
unit shall have a high degree of certainty before it can conclude that 
an individual is incapable of benefiting from services in terms of an 
employment outcome. The ``clear and convincing'' standard constitutes 
the highest standard used in our civil system of law and is to be 
individually applied on a case-by-case basis. The term clear means 
unequivocal. Given these requirements, a review of existing information 
generally would not provide clear and convincing evidence. For example, 
the use of an intelligence test result alone would not constitute clear 
and convincing evidence. Clear and convincing evidence might include a 
description of assessments, including situational assessments and 
supported employment assessments, from service providers who have 
concluded that they would be unable to meet the individual's needs due 
to the severity of the individual's disability. The demonstration of 
``clear and convincing evidence'' must include, if appropriate, a 
functional assessment of skill development activities, with any 
necessary supports (including assistive technology), in real life 
settings. (S. Rep. No. 357, 102d Cong., 2d. Sess. 37-38 (1992))



Sec. 361.43  Procedures for ineligibility determination.

    The State plan must assure that if the State unit determines that an 
applicant is ineligible for vocational rehabilitation services or 
determines

[[Page 343]]

that an individual receiving services under an individualized written 
rehabilitation program is no longer eligible for services, the State 
unit shall--
    (a) Make the determination only after providing an opportunity for 
full consultation with the individual or, as appropriate, with the 
individual's representative;
    (b) Inform the individual in writing, supplemented as necessary by 
other appropriate modes of communication consistent with the informed 
choice of the individual, of the ineligibility determination, including 
the reasons for that determination, the requirements under this section, 
and the means by which the individual may express and seek remedy for 
any dissatisfaction, including the procedures for review of a 
determination by the rehabilitation counselor or coordinator in 
accordance with Sec. 361.57;
    (c) Provide the individual with a description of services available 
from a client assistance program established under 34 CFR part 370 and 
information on how to contact that program; and
    (d) Review within 12 months and annually thereafter if requested by 
the individual or, if appropriate, by the individual's representative 
any ineligibility determination that is based on a finding that the 
individual is incapable of achieving an employment outcome. This review 
need not be conducted in situations in which the individual has refused 
it, the individual is no longer present in the State, the individual's 
whereabouts are unknown, or the individual's medical condition is 
rapidly progressive or terminal.

(Authority: Secs. 101(a)(9)(D), 102(a)(6), and 102(c) of the Act; 29 
U.S.C. 721(a)(9), 722(a)(6), and 722(c))



Sec. 361.44  Closure without eligibility determination.

    The State plan must assure that the State unit may not close an 
applicant's record of services prior to making an eligibility 
determination unless the applicant declines to participate in, or is 
unavailable to complete an assessment for determining eligibility and 
priority for services, and the State unit has made a reasonable number 
of attempts to contact the applicant or, if appropriate, the applicant's 
representative to encourage the applicant's participation.

(Authority: Secs. 12(c) and 101(a)(6)(A) of the Act; 29 U.S.C. 711(c) 
and 721(a)(6))



Sec. 361.45  Development of the individualized written rehabilitation program.

    (a) Purpose. The State plan must assure that the State unit conducts 
an assessment for determining vocational rehabilitation needs for each 
eligible individual or, if the State is operating under an order of 
selection, for each eligible individual to whom the State is able to 
provide services. The purpose of this assessment is to determine the 
long-term vocational goal, intermediate rehabilitation objectives, and 
the nature and scope of vocational rehabilitation services to be 
included in the IWRP, which must be designed to achieve an employment 
outcome that is consistent with the individual's unique strengths, 
priorities, concerns, abilities, capabilities, career interests, and 
informed choice.
    (b) Procedural requirements. The State plan must assure that--
    (1) The IWRP is developed jointly, agreed to, and signed by the 
vocational rehabilitation counselor or coordinator and the individual 
or, as appropriate, the individual's representative within the framework 
of a counseling and guidance relationship;
    (2) The State unit has established and implemented standards for the 
prompt development of IWRPs for the individuals identified under 
paragraph (a) of this section, including timelines that take into 
consideration the needs of the individual;
    (3) The State unit advises each individual or, as appropriate, the 
individual's representative of all State unit procedures and 
requirements affecting the development and review of an IWRP, including 
the availability of appropriate modes of communication;
    (4) In developing an IWRP for a student with a disability who is 
receiving special education services, the State unit considers the 
student's individualized education program;
    (5) The State unit reviews the IWRP with the individual or, as 
appropriate, the individual's representative as often as necessary, but 
at least once each

[[Page 344]]

year to assess the individual's progress in meeting the objectives 
identified in the IWRP;
    (6) The State unit incorporates into the IWRP any revisions that are 
necessary to reflect changes in the individual's vocational goal, 
intermediate objectives, or vocational rehabilitation services, and 
obtains the agreement and signature of the individual or, as 
appropriate, of the individual's representative to the revisions; and
    (7) The State unit promptly provides each individual or, as 
appropriate, the individual's representative, a copy of the IWRP and its 
amendments in the native language, or appropriate mode of communication, 
of the individual or, as appropriate, of the individual's 
representative.
    (c) Data for preparing the IWRP--(1) Preparation without 
comprehensive assessment. To the extent possible, the vocational goal, 
intermediate objectives, and the nature and scope of rehabilitation 
services to be included in the individual's IWRP must be determined 
based on the data used for the assessment of eligibility and priority 
for services under Sec. 361.42.
    (2) Preparation based on comprehensive assessment. (i) If additional 
data are necessary to prepare the IWRP, the designated State unit shall 
conduct a comprehensive assessment of the unique strengths, resources, 
priorities, concerns, abilities, capabilities, interests, and needs, 
including the need for supported employment services, of an eligible 
individual, in the most integrated setting possible, consistent with the 
informed choice of the individual.
    (ii) The comprehensive assessment must be limited to information 
that is necessary to identify the rehabilitation needs of the individual 
and develop the IWRP and may, to the extent needed, include--
    (A) An analysis of pertinent medical, psychiatric, psychological, 
neuropsychological, and other pertinent vocational, educational, 
cultural, social, recreational, and environmental factors, and related 
functional limitations, that affect the employment and rehabilitation 
needs of the individual;
    (B) An analysis of the individual's personality, career interests, 
interpersonal skills, intelligence and related functional capacities, 
educational achievements, work experience, vocational aptitudes, 
personal and social adjustments, and employment opportunities;
    (C) An appraisal of the individual's patterns of work behavior and 
services needed to acquire occupational skills and to develop work 
attitudes, work habits, work tolerance, and social and behavior patterns 
suitable for successful job performance; and
    (D) An assessment, through provision of rehabilitation technology 
services, of the individual's capacities to perform in a work 
environment, including in an integrated setting, to the maximum extent 
feasible and consistent with the individual's informed choice.
    (iii) In preparing a comprehensive assessment, the State unit shall 
use, to the maximum extent possible and appropriate and in accordance 
with confidentiality requirements, existing information, including 
information that is provided by the individual, the family of the 
individual, and education agencies.

(Authority: Secs. 7(22)(B), 102(b)(1)(A), and 102(b)(2); 29 U.S.C. 
706(5), 721(a)(9), 722, and 723(a)(1))



Sec. 361.46  Content of the individualized written rehabilitation program.

    (a) General requirements. The State plan must assure that each IWRP 
includes, as appropriate, statements concerning--
    (1) The specific long-term vocational goal, which must be based on 
the assessment for determining vocational rehabilitation needs, 
including the individual's career interests, and must be, to the extent 
appropriate and consistent with the informed choice of the individual, 
in an integrated setting;
    (2) The specific intermediate rehabilitation objectives related to 
the attainment of the long-term vocational goal, based on the assessment 
for determining vocational rehabilitation needs and consistent with the 
informed choice of the individual;
    (3) The specific rehabilitation services under Sec. 361.48 to be 
provided to achieve the established intermediate rehabilitation 
objectives, including, if appropriate, rehabilitation technology

[[Page 345]]

services and on-the-job and related personal assistance services;
    (4) The projected dates for the initiation of each vocational 
rehabilitation service, the anticipated duration of each service, and 
the projected timeframe for the achievement of the individual's 
vocational goal;
    (5) A procedure and schedule for periodic review and evaluation of 
progress toward achieving intermediate rehabilitation objectives based 
upon objective criteria;
    (6) How, in the words of the individual or, as appropriate, in the 
words of the individual's representative, the individual was informed 
about and involved in choosing among alternative goals, objectives, 
services, providers, and methods used to procure or provide services;
    (7) The terms and conditions for the provision of vocational 
rehabilitation services, including--
    (i) The responsibilities of the individual in implementing the IWRP;
    (ii) The extent of the individual's participation in the cost of 
services;
    (iii) The extent to which goods and services will be provided in the 
most integrated settings possible, consistent with the informed choices 
of the individual;
    (iv) The extent to which comparable services and benefits are 
available to the individual under any other program; and
    (v) The entity or entities that will provide the services and the 
process used to provide or procure the services;
    (8) The rights of the individual under this part and the means by 
which the individual may express and seek remedy for any 
dissatisfaction, including the opportunity for a review of 
rehabilitation counselor or coordinator determinations under 
Sec. 361.57;
    (9) The availability of a client assistance program established 
under 34 CFR part 370; and
    (10) The basis on which the individual has been determined to have 
achieved an employment outcome in accordance with Sec. 361.56.
    (b) Supported employment requirements. The State plan must assure 
that the IWRP for individuals with the most severe disabilities for whom 
a vocational goal in a supported employment setting has been determined 
to be appropriate will also contain--
    (1) A description of the supported employment services to be 
provided by the State unit; and
    (2) A description of the extended services needed and identification 
of the source of extended services or, in the event that identification 
of the source is not possible at the time the IWRP is developed, a 
statement explaining the basis for concluding that there is a reasonable 
expectation that services will become available.
    (c) Post-employment services. The State plan must assure that the 
IWRP for each individual contains statements concerning--
    (1) The expected need for post-employment services, based on an 
assessment during the development of the IWRP;
    (2) A reassessment of the need for post-employment services prior to 
the determination that the individual has achieved an employment 
outcome;
    (3) A description of the terms and conditions for the provision of 
any post-employment services, including the anticipated duration of 
those services, subsequent to the achievement of an employment outcome 
by the individual; and
    (4) If appropriate, a statement of how post-employment services will 
be provided or arranged through cooperative agreements with other 
service providers.
    (d) Coordination of services for students with disabilities who are 
receiving special education services. The State plan must assure that 
the IWRP for a student with a disability who is receiving special 
education services is coordinated with the individualized education 
program (IEP) for that individual in terms of the goals, objectives, and 
services identified in the IEP.
    (e) Ineligibility. The State plan must assure that the decision that 
an individual is not capable of achieving an employment outcome and is 
no longer eligible to receive services under an IWRP is made in 
accordance with the requirements in Sec. 361.43. The decision, and the 
reasons on which the decision

[[Page 346]]

was based, must be included as an amendment to the IWRP.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(9), 102(b)(1), 102(c), and 635(b)(6) of the 
Act; 29 U.S.C. 721(a)(9), 722, and 795n)



Sec. 361.47  Record of services.

    The State plan must assure that the designated State unit maintains 
for each applicant or eligible individual a record of services that 
includes, to the extent pertinent, the following documentation:
    (a) If an applicant has been determined to be an eligible 
individual, documentation supporting that determination in accordance 
with the requirements in Sec. 361.42.
    (b) If an applicant has been determined to be ineligible, 
documentation supporting that determination in accordance with the 
requirements of Sec. 361.43.
    (c) Documentation supporting the determination that an individual 
has a severe disability or a most severe disability.
    (d) If an individual with a severe disability requires an extended 
evaluation in order to determine whether the individual is an eligible 
individual, documentation supporting the need for an extended 
evaluation, documentation supporting the periodic assessments conducted 
during the extended evaluation, and the written plan developed during 
the extended evaluation, in accordance with the requirements in 
Sec. 361.42(d).
    (e) The IWRP, and any amendments to the IWRP, containing the 
information required under Sec. 361.46.
    (f) In accordance with Sec. 361.45(a), documentation supporting the 
development of the long-term vocational goal, intermediate 
rehabilitation objectives, and nature and scope of services included in 
the individual's IWRP and, for students with disabilities who are 
receiving special education services, in the student's IEP.
    (g) In the event that an individual's IWRP provides for services or 
a job placement in a non-integrated setting, a justification for that 
non-integrated setting.
    (h) Documentation of the periodic reviews and evaluations of 
progress toward achieving intermediate rehabilitation objectives 
conducted under Sec. 361.46(a)(5).
    (i) In the event that an individual obtains competitive employment, 
verification that the individual is compensated at or above the minimum 
wage and that the individual's wage and level of benefits are not less 
than that customarily paid by the employer for the same or similar work 
performed by non-disabled individuals in accordance with 
Sec. 361.5(b)(10)(ii).
    (j) Documentation concerning any action and decision resulting from 
a request by an individual for review of a rehabilitation counselor or 
coordinator determination under Sec. 361.57.

(Authority: Secs. 101(a)(6) and 101(a)(9) of the Act; 29 U.S.C. 
721(a)(6) and 721(a)(9))



Sec. 361.48  Scope of vocational rehabilitation services for individuals with disabilities.

    (a) The State plan must assure that, as appropriate to the 
vocational rehabilitation needs of each individual and consistent with 
each individual's informed choice, the following vocational 
rehabilitation services are available:
    (1) Assessment for determining eligibility and priority for services 
in accordance with Sec. 361.42.
    (2) Assessment for determining vocational rehabilitation needs in 
accordance with Sec. 361.45.
    (3) Vocational rehabilitation counseling and guidance.
    (4) Referral and other services necessary to help applicants and 
eligible individuals secure needed services from other agencies and to 
advise those individuals about client assistance programs established 
under 34 CFR part 370.
    (5) Physical and mental restoration services in accordance with the 
definition of that term in Sec. 361.5(b)(35).
    (6) Vocational and other training services, including personal and 
vocational adjustment training, books, tools, and other training 
materials, except that no training or training services in an 
institution of higher education (universities, colleges, community or 
junior colleges, vocational

[[Page 347]]

schools, technical institutes, or hospital schools of nursing) may be 
paid for with funds under this part unless maximum efforts have been 
made by the State unit and the individual to secure grant assistance in 
whole or in part from other sources to pay for that training.
    (7) Maintenance, in accordance with the definition of that term in 
Sec. 361.5(b)(31).
    (8) Transportation in connection with the rendering of any 
vocational rehabilitation service and in accordance with the definition 
of that term in Sec. 361.5(b)(49).
    (9) Vocational rehabilitation services to family members of an 
applicant or eligible individual if necessary to enable the applicant or 
eligible individual to achieve an employment outcome.
    (10) Interpreter services for individuals who are deaf and tactile 
interpreting services for individuals who are deaf-blind.
    (11) Reader services, rehabilitation teaching services, and 
orientation and mobility services for individuals who are blind.
    (12) Recruitment and training services to provide new employment 
opportunities in the fields of rehabilitation, health, welfare, public 
safety, law enforcement, and other appropriate public service 
employment.
    (13) Job search and placement assistance and job retention services.
    (14) Supported employment services in accordance with the definition 
of that term in Sec. 361.5(b)(46).
    (15) Personal assistance services in accordance with the definition 
of that term in Sec. 361.5(b)(34).
    (16) Post-employment services in accordance with the definition of 
that term in Sec. 361.5(b)(37).
    (17) Occupational licenses, tools, equipment, initial stocks, and 
supplies.
    (18) Rehabilitation technology in accordance with the definition of 
that term in Sec. 361.5(b)(39), including vehicular modification, 
telecommunications, sensory, and other technological aids and devices.
    (19) Transition services in accordance with the definition of that 
term in Sec. 361.5(b)(47).
    (20) Other goods and services determined necessary for the 
individual with a disability to achieve an employment outcome.
    (b) The State plan also must describe--
    (1) The manner in which a broad range of rehabilitation technology 
services will be provided at each stage of the rehabilitation process 
and on a statewide basis;
    (2) The training that will be provided to vocational rehabilitation 
counselors, client assistance personnel, and other related services 
personnel on the provision of rehabilitation technology services;
    (3) The manner in which assistive technology devices and services 
will be provided or worksite assessments will be made as part of the 
assessment for determining eligibility and vocational rehabilitation 
needs of an individual; and
    (4) The manner in which on-the-job and other related personal 
assistance services will be provided to assist individuals while they 
are receiving vocational rehabilitation services.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 101(a)(5)(C), 101(a)(26), 101(a)(31), and 103(a) of 
the Act; 29 U.S.C. 721(a)(5)(C), 721(a)(26), 721(a)(31), and 723(a))



Sec. 361.49  Scope of vocational rehabilitation services for groups of individuals with disabilities.

    (a) The State plan may also provide for the following vocational 
rehabilitation services for the benefit of groups of individuals with 
disabilities:
    (1) The establishment, development, or improvement of a public or 
other nonprofit community rehabilitation program that is used to provide 
services that promote integration and competitive employment, including 
under special circumstances, the construction of a facility for a public 
or nonprofit community rehabilitation program. Examples of ``special 
circumstances'' include the destruction by natural disaster of the only 
available center serving an area or a State determination that 
construction is necessary in a rural area because no other public 
agencies or private nonprofit organizations are currently able to 
provide services to individuals.

[[Page 348]]

    (2) Telecommunications systems that have the potential for 
substantially improving vocational rehabilitation service delivery 
methods and developing appropriate programming to meet the particular 
needs of individuals with disabilities, including telephone, television, 
video description services, satellite, tactile-vibratory devices, and 
similar systems, as appropriate.
    (3) Special services to provide recorded material or video 
description services for individuals who are blind, captioned 
television, films, or video cassettes for individuals who are deaf, 
tactile materials for individuals who are deaf-blind, and other special 
services that provide information through tactile, vibratory, auditory, 
and visual media.
    (4) Technical assistance and support services, such as job site 
modification and other reasonable accommodations, to businesses that are 
not subject to title I of the Americans with Disabilities Act of 1990 
and that are seeking to employ individuals with disabilities.
    (5) In the case of small business enterprises operated by 
individuals with the most severe disabilities under the supervision of 
the State unit, including enterprises established under the Randolph-
Sheppard program, management services and supervision, acquisition of 
equipment, initial stocks and supplies, and initial operating expenses, 
in accordance with the following requirements:
    (i) ``Management services and supervision'' includes inspection, 
quality control, consultation, accounting, regulating, in-service 
training, and related services provided on a systematic basis to support 
and improve small business enterprises operated by individuals with the 
most severe disabilities. ``Management services and supervision'' may be 
provided throughout the operation of the small business enterprise.
    (ii) ``Initial stocks and supplies'' includes those items necessary 
to the establishment of a new business enterprise during the initial 
establishment period, which may not exceed six months.
    (iii) Costs of establishing a small business enterprise may include 
operational costs during the initial establishment period, which may not 
exceed six months.
    (iv) If the State plan provides for these services, it must contain 
an assurance that only individuals with the most severe disabilities 
will be selected to participate in this supervised program.
    (v) If the State plan provides for these services and the State unit 
chooses to set aside funds from the proceeds of the operation of the 
small business enterprises, the State plan also must assure that the 
State unit maintains a description of the methods used in setting aside 
funds and the purposes for which funds are set aside. Funds may be used 
only for small business enterprises purposes, and benefits that are 
provided to operators from set-aside funds must be provided on an 
equitable basis.
    (6) Other services that promise to contribute substantially to the 
rehabilitation of a group of individuals but that are not related 
directly to the IWRP of any one individual. Examples of those other 
services might include the purchase or lease of a bus to provide 
transportation to a group of applicants or eligible individuals or the 
purchase of equipment or instructional materials that would benefit a 
group of applicants or eligible individuals.
    (b) If the State plan provides for vocational rehabilitation 
services for groups of individuals, the State plan must assure that the 
designated State unit--
    (1) Develops and maintains written policies covering the nature and 
scope of each of the vocational rehabilitation services it provides and 
the criteria under which each service is provided; and
    (2) Maintains information to ensure the proper and efficient 
administration of those services in the form and detail and at the time 
required by the Secretary, including the types of services provided, the 
costs of those services, and, to the extent feasible, estimates of the 
numbers of individuals benefitting from those services.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 12(c), 101(a)(6), and 103(b) of the Act; 29 U.S.C. 
711(c), 721(a)(6), and 723(b))

[[Page 349]]



Sec. 361.50  Written policies governing the provision of services for individuals with disabilities.

    The State plan must assure that the State unit develops and 
maintains written policies covering the nature and scope of each of the 
vocational rehabilitation services specified in Sec. 361.48 and the 
criteria under which each service is provided. The policies must ensure 
that the provision of services is based on the rehabilitation needs of 
each individual as identified in that individual's IWRP and is 
consistent with the individual's informed choice. The written policies 
may not establish any arbitrary limits on the nature and scope of 
vocational rehabilitation services to be provided to the individual to 
achieve an employment outcome. The policies must be developed in 
accordance with the following provisions:
    (a) Out-of-State services. (1) The State unit may establish a 
preference for in-State services, provided that the preference does not 
effectively deny an individual a necessary service. If the individual 
chooses an out-of-State service at a higher cost than an in-State 
service, if either service would meet the individual's rehabilitation 
needs, the designated State unit is not responsible for those costs in 
excess of the cost of the in-State service.
    (2) The State unit may not establish policies that effectively 
prohibit the provision of out-of-State services.
    (b) Payment for services. (1) The State unit shall establish and 
maintain written policies to govern the rates of payment for all 
purchased vocational rehabilitation services.
    (2) The State unit may establish a fee schedule designed to ensure a 
reasonable cost to the program for each service, provided that the 
schedule is--
    (i) Not so low as to effectively deny an individual a necessary 
service; and
    (ii) Not absolute and permits exceptions so that individual needs 
can be addressed.
    (3) The State unit may not place absolute dollar limits on specific 
service categories or on the total services provided to an individual.
    (c) Duration of services. (1) The State unit may establish 
reasonable time periods for the provision of services provided that the 
time periods are--
    (i) Not so short as to effectively deny an individual a necessary 
service; and
    (ii) Not absolute and permit exceptions so that individual needs can 
be addressed.
    (2) The State unit may not establish absolute time limits on the 
provision of specific services or on the provision of services to an 
individual. The duration of each service needed by an individual must be 
determined on an individual basis and reflected in that individual's 
IWRP.
    (d) Authorization of services. The State unit shall establish 
policies related to the timely authorization of services, including any 
conditions under which verbal authorization can be given.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 12(c), 12(e)(2)(A), and 101(a)(6) of the Act and 29 
U.S.C. 711(c), 711(e)(2)(A), and 721(a)(6))



Sec. 361.51  Written standards for facilities and providers of services.

    The State plan must assure that the designated State unit 
establishes, maintains, makes available to the public, and implements 
written minimum standards for the various types of facilities and 
providers of services used by the State unit in providing vocational 
rehabilitation services, in accordance with the following requirements:
    (a) Accessibility of facilities. Any facility in which vocational 
rehabilitation services are provided must be accessible to individuals 
receiving services and must comply with the requirements of the 
Architectural Barriers Act of 1968, the Uniform Accessibility Standards 
and their implementing regulations in 41 CFR part 101, subpart 101-19.6, 
the Americans with Disabilities Act of 1990, and section 504 of the Act.
    (b) Personnel standards. (1) Qualified personnel. Providers of 
vocational rehabilitation services shall use qualified personnel, in 
accordance with any applicable national or State-approved or -recognized 
certification, licensing, or registration requirements, or, in the 
absence of these requirements, other comparable requirements (including

[[Page 350]]

State personnel requirements), that apply to the profession or 
discipline in which that category of personnel is providing vocational 
rehabilitation services.
    (2) Affirmative action. Providers of vocational rehabilitation 
services shall take affirmative action to employ and advance in 
employment qualified individuals with disabilities.
    (3) Special communication needs personnel. Providers of vocational 
rehabilitation services shall--
    (i) Include among their personnel, or obtain the services of, 
individuals able to communicate in the native languages of applicants 
and eligible individuals who have limited English speaking ability; and
    (ii) Ensure that appropriate modes of communication for all 
applicants and eligible individuals are used.
    (c) Fraud, waste, and abuse. Providers of vocational rehabilitation 
services shall have adequate and appropriate policies and procedures to 
prevent fraud, waste, and abuse.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 12(e)(2) (B), (D), and (E) and 101(a)(6)(B) of the 
Act; 29 U.S.C. 711(e) and 721(a)(6)(B))



Sec. 361.52  Opportunity to make informed choices.

    The State plan must describe the manner in which the State unit will 
provide each applicant, including individuals who are receiving services 
during an extended evaluation, and each eligible individual the 
opportunity to make informed choices throughout the vocational 
rehabilitation process in accordance with the following requirements:
    (a) Each State unit, in consultation with its State Rehabilitation 
Advisory Council, if it has one, shall develop and implement written 
policies and procedures that enable each individual to make an informed 
choice with regard to the selection of a long-term vocational goal, 
intermediate rehabilitation objectives, vocational rehabilitation 
services, including assessment services, and service providers. These 
policies and procedures must ensure that each individual receives, 
through appropriate modes of communication, information concerning the 
availability and scope of informed choice, the manner in which informed 
choice may be exercised, and the availability of support services for 
individuals with cognitive or other disabilities who require assistance 
in exercising informed choice.
    (b) In developing an individual's IWRP, the State unit shall provide 
the individual, or assist the individual in acquiring, information 
necessary to make an informed choice about the specific services, 
including the providers of those services, that are needed to achieve 
the individual's vocational goal. This information must include, at a 
minimum, information relating to the cost, accessibility, and duration 
of potential services, the consumer satisfaction with those services to 
the extent that information relating to consumer satisfaction is 
available, the qualifications of potential service providers, the types 
of services offered by those providers, and the degree to which services 
are provided in integrated settings.
    (c) In providing, or assisting the individual in acquiring, the 
information required under paragraph (b) of this section, the State unit 
may use, but is not limited to, the following methods or sources of 
information:
    (1) State or regional lists of services and service providers.
    (2) Periodic consumer satisfaction surveys and reports.
    (3) Referrals to other consumers, local consumer groups, or 
disability advisory councils qualified to discuss the services or 
service providers.
    (4) Relevant accreditation, certification, or other information 
relating to the qualifications of service providers.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 12(e)(1), 12(e)(2) (C) and (F), and 101(a)(29) of the 
Act; 29 U.S.C. 711(e) and 721(a)(29))



Sec. 361.53  Availability of comparable services and benefits.

    (a) The State plan must assure that--
    (1) Prior to providing any vocational rehabilitation services to an 
eligible individual, or to members of the individual's family, except 
those services

[[Page 351]]

listed in paragraph (b) of this section, the State unit shall determine 
whether comparable services and benefits exist under any other program 
and whether those services and benefits are available to the individual;
    (2) If comparable services or benefits exist under any other program 
and are available to the eligible individual at the time needed to 
achieve the rehabilitation objectives in the individual's IWRP, the 
State unit shall use those comparable services or benefits to meet, in 
whole or in part, the cost of vocational rehabilitation services; and
    (3) If comparable services or benefits exist under any other 
program, but are not available to the individual at the time needed to 
satisfy the rehabilitation objectives in the individual's IWRP, the 
State unit shall provide vocational rehabilitation services until those 
comparable services and benefits become available.
    (b) The following services are exempt from a determination of the 
availability of comparable services and benefits under paragraph (a) of 
this section:
    (1) Assessment for determining eligibility and priority for 
services.
    (2) Assessment for determining vocational rehabilitation needs.
    (3) Vocational rehabilitation counseling, guidance, and referral 
services.
    (4) Vocational and other training services, such as personal and 
vocational adjustment training, books (including alternative format 
books accessible by computer and taped books), tools, and other training 
materials in accordance with Sec. 361.48(a)(6).
    (5) Placement services.
    (6) Rehabilitation technology.
    (7) Post-employment services consisting of the services listed under 
paragraphs (b) (1) through (6) of this section.
    (c) The requirements of paragraph (a) of this section also do not 
apply if--
    (1) The determination of the availability of comparable services and 
benefits under any other program would delay the provision of vocational 
rehabilitation services to any individual who is determined to be at 
extreme medical risk, based on medical evidence provided by an 
appropriate qualified medical professional; or
    (2) An immediate job placement would be lost due to a delay in the 
provision of comparable services and benefits.

(Authority: Sec. 101(a)(8) of the Act; 29 U.S.C. 721(a)(8))



Sec. 361.54  Participation of individuals in cost of services based on financial need.

    (a) No Federal requirement. There is no Federal requirement that the 
financial need of individuals be considered in the provision of 
vocational rehabilitation services.
    (b) State unit requirements. (1) The State unit may choose to 
consider the financial need of eligible individuals or individuals who 
are receiving services during an extended evaluation for purposes of 
determining the extent of their participation in the costs of vocational 
rehabilitation services, other than those services identified in 
paragraph (b)(3) of this section.
    (2) If the State unit chooses to consider financial need--
    (i) It shall maintain written policies covering the determination of 
financial need;
    (ii) The State plan must specify the types of vocational 
rehabilitation services for which the unit has established a financial 
needs test;
    (iii) The policies must be applied uniformly to all individuals in 
similar circumstances;
    (iv) The policies may require different levels of need for different 
geographic regions in the State, but must be applied uniformly to all 
individuals within each geographic region; and
    (v) The policies must ensure that the level of an individual's 
participation in the cost of vocational rehabilitation services is--
    (A) Reasonable;
    (B) Based on the individual's financial need, including 
consideration of any disability-related expenses paid by the individual; 
and
    (C) Not so high as to effectively deny the individual a necessary 
service.
    (3) The State plan must assure that no financial needs test is 
applied and no financial participation is required as a condition for 
furnishing the following vocational rehabilitation services:

[[Page 352]]

    (i) Assessment for determining eligibility and priority for 
services, except those non-assessment services that are provided during 
an extended evaluation for an individual with a severe disability under 
Sec. 361.42(d).
    (ii) Assessment for determining vocational rehabilitation needs.
    (iii) Vocational rehabilitation counseling, guidance, and referral 
services.
    (iv) Placement services.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))



Sec. 361.55  Review of extended employment in community rehabilitation programs or other employment under section 14(c) of the Fair Labor Standards Act.

    The State plan must assure that the State unit--
    (a) Reviews and re-evaluates at least annually the status of each 
individual determined by the State unit to have achieved an employment 
outcome in an extended employment setting in a community rehabilitation 
program or other employment setting in which the individual is 
compensated in accordance with section 14(c) of the Fair Labor Standards 
Act. This review or re-evaluation must include input from the individual 
or, in an appropriate case, the individual's representative to determine 
the interests, priorities, and needs of the individual for employment 
in, or training for, competitive employment in an integrated setting in 
the labor market;
    (b) Makes maximum effort, including the identification of vocational 
rehabilitation services, reasonable accommodations, and other support 
services, to enable the eligible individual to benefit from training in, 
or to be placed in employment in, an integrated setting; and
    (c) Provides services designed to promote movement from extended 
employment to integrated employment, including supported employment, 
independent living, and community participation.

(Authority: Sec. 101(a)(16) of the Act; 29 U.S.C. 721(a)(16))



Sec. 361.56  Individuals determined to have achieved an employment outcome.

    The State plan must assure that an individual is determined to have 
achieved an employment outcome only if the following requirements are 
met:
    (a) The provision of services under the individual's IWRP has 
contributed to the achievement of the employment outcome.
    (b) The employment outcome is consistent with the individual's 
strengths, resources, priorities, concerns, abilities, capabilities, 
interests, and informed choice.
    (c) The employment outcome is in the most integrated setting 
possible, consistent with the individual's informed choice.
    (d) The individual has maintained the employment outcome for a 
period of at least 90 days.
    (e) At the end of the appropriate period under paragraph (d) of this 
section, the individual and the rehabilitation counselor or coordinator 
consider the employment outcome to be satisfactory and agree that the 
individual is performing well on the job.

(Authority: Secs. 12(c), 101(a)(6), and 106(a)(2) of the Act; 29 U.S.C. 
711(c), 721(a)(6), and 726(a)(2))



Sec. 361.57  Review of rehabilitation counselor or coordinator determinations.

    The State plan must contain procedures, including standards of 
review under paragraph (b)(7) of this section, established by the 
director of the designated State unit to ensure that any applicant or 
eligible individual who is dissatisfied with any determinations made by 
a rehabilitation counselor or coordinator concerning the furnishing or 
denial of services may request, or, if appropriate, may request through 
the individual's representative, a timely review of those 
determinations. The procedures established by the director of the State 
unit must be in accordance with the following provisions:
    (a) Informal resolution. The State unit may establish an informal 
process to resolve a request for review without conducting a formal 
hearing. However, a State's informal process must be conducted and 
concluded within the time

[[Page 353]]

period established under paragraph (b)(1) of this section for holding a 
formal hearing. If informal resolution is not successful, a formal 
hearing must be conducted by the end of this same period, unless the 
parties agree to a specific extension of time.
    (b) Formal hearing procedures. Except as provided in paragraph (d) 
of this section, the State unit shall establish formal review procedures 
that provide that--
    (1) A hearing by an impartial hearing officer, selected in 
accordance with paragraph (c) of this section, must be held within 45 
days of an individual's request for review, unless informal resolution 
is achieved prior to the 45th day or the parties agree to a specific 
extension of time;
    (2) The State unit may not institute a suspension, reduction, or 
termination of services being provided under an IWRP pending a final 
determination of the formal hearing under this paragraph or informal 
resolution under paragraph (a) of this section, unless the individual 
or, in an appropriate case, the individual's representative so requests 
or the agency has evidence that the services have been obtained through 
misrepresentation, fraud, collusion, or criminal conduct on the part of 
the individual;
    (3) The individual or, if appropriate, the individual's 
representative must be afforded an opportunity to present additional 
evidence, information, and witnesses to the impartial hearing officer, 
to be represented by counsel or other appropriate advocate, and to 
examine all witnesses and other relevant sources of information and 
evidence;
    (4) The impartial hearing officer shall make a decision based on the 
provisions of the approved State plan, the Act, Federal vocational 
rehabilitation regulations, and State regulations and policies that are 
consistent with Federal requirements and shall provide to the individual 
or, if appropriate, the individual's representative and to the director 
of the designated State unit a full written report of the findings and 
grounds for the decision within 30 days of the completion of the 
hearing;
    (5) If the director of the designated State unit decides to review 
the decision of the impartial hearing officer, the director shall notify 
in writing the individual or, if appropriate, the individual's 
representative of that intent within 20 days of the mailing of the 
impartial hearing officer's decision;
    (6) If the director of the designated State unit fails to provide 
the notice required by paragraph (b)(5) of this section, the impartial 
hearing officer's decision becomes a final decision;
    (7) The decision of the director of the designated State unit to 
review any impartial hearing officer's decision must be based on 
standards of review contained in written State unit policy;
    (8) If the director of the designated State unit decides to review 
the decision of the impartial hearing officer, the director shall 
provide the individual or, if appropriate, the individual's 
representative an opportunity to submit additional evidence and 
information relevant to the final decision;
    (9) The director may not overturn or modify a decision, or part of a 
decision, of an impartial hearing officer that supports the position of 
the individual unless the director concludes, based on clear and 
convincing evidence, that the decision of the impartial hearing officer 
is clearly erroneous because it is contrary to the approved State plan, 
the Act, Federal vocational rehabilitation regulations, or State 
regulations or policies that are consistent with Federal requirements;
    (10) Within 30 days of providing notice of intent to review the 
impartial hearing officer's decision, the director of the designated 
State unit shall make a final decision and provide a full report in 
writing of the decision, including the findings and the statutory, 
regulatory, or policy grounds for the decision, to the individual or, if 
appropriate, the individual's representative;
    (11) The director of the designated State unit may not delegate 
responsibility to make any final decision to any other officer or 
employee of the designated State unit; and
    (12) Except for the time limitations established in paragraphs 
(b)(1) and (b)(5) of this section, each State's review procedures may 
provide for reasonable time extensions for good cause shown at the 
request of a party or at the request of both parties.

[[Page 354]]

    (c) Selection of impartial hearing officers. Except as provided in 
paragraph (d) of this section, the impartial hearing officer for a 
particular case must be selected--
    (1) From among the pool of persons qualified to be an impartial 
hearing officer, as defined in Sec. 361.5(b)(22), who are identified by 
the State unit, if the State unit is an independent commission, or 
jointly by the designated State unit and those members of the State 
Rehabilitation Advisory Council designated in section 102(d)(2)(C) of 
the Act, if the State has a Council; and
    (2)(i) On a random basis; or
    (ii) By agreement between the director of the designated State unit 
and the individual or, if appropriate, the individual's representative.
    (d) State fair hearing board. The provisions of paragraphs (b) and 
(c) of this section are not applicable if the State has a fair hearing 
board that was established before January 1, 1985, that is authorized 
under State law to review rehabilitation counselor or coordinator 
determinations and to carry out the responsibilities of the director of 
the designated State unit under this section.
    (e) Informing affected individuals. The State unit shall inform, 
through appropriate modes of communication, all applicants and eligible 
individuals of--
    (1) Their right to review under this section, including the names 
and addresses of individuals with whom appeals may be filed; and
    (2) The manner in which an impartial hearing officer will be 
selected consistent with the requirements of paragraph (c) of this 
section.
    (f) Data collection. The director of the designated State unit shall 
collect and submit, at a minimum, the following data to the Secretary 
for inclusion each year in the annual report to Congress under section 
13 of the Act:
    (1) The number of appeals to impartial hearing officers and the 
State director, including the type of complaints and the issues 
involved.
    (2) The number of decisions by the State director reversing in whole 
or in part a decision of the impartial hearing officer.
    (3) The number of decisions affirming the position of the 
dissatisfied individual assisted through the client assistance program, 
when that assistance is known to the State unit.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Secs. 102(b) and 102(d) of the Act; 29 U.S.C. 722(b) and 
722(d))



    Subpart C--Financing of State Vocational Rehabilitation Programs



Sec. 361.60  Matching requirements.

    (a) Federal share--(1) General. Except as provided in paragraphs 
(a)(2) and (a)(3) of this section, the Federal share for expenditures 
made by the State unit under the State plan, including expenditures for 
the provision of vocational rehabilitation services, administration of 
the State plan, and the development and implementation of the strategic 
plan, is 78.7 percent.
    (2) Construction projects. The Federal share for expenditures made 
for the construction of a facility for community rehabilitation program 
purposes may not be more than 50 percent of the total cost of the 
project.
    (3) Innovation and expansion grant activities. The Federal share for 
the cost of innovation and expansion grant activities funded by 
appropriations under part C of title I of the Act is 90 percent.
    (b) Non-Federal share--(1) General. Except as provided in paragraphs 
(b)(2) and (b)(3) of this section, expenditures made under the State 
plan to meet the non-Federal share under this section must be consistent 
with the provisions of 34 CFR 80.24.
    (2) Third party in-kind contributions. Third party in-kind 
contributions specified in 34 CFR 80.24(a)(2) may not be used to meet 
the non-Federal share under this section.
    (3) Contributions by private entities. Expenditures made from 
contributions by private organizations, agencies, or individuals that 
are deposited in the account of the State agency or sole local agency in 
accordance with State law and that are earmarked, under a condition 
imposed by the contributor, may be used as part of the non-Federal share 
under this section if the following requirements are met:
    (i) The funds are earmarked for meeting in whole or in part the 
State's

[[Page 355]]

share for establishing a community rehabilitation program or 
constructing a particular facility for community rehabilitation program 
purposes.
    (ii) If the funds are earmarked for any other purpose under the 
State plan, the expenditures do not benefit in any way the donor, an 
individual to whom the donor is related by blood or marriage or with 
whom the donor has a close personal relationship, or an individual, 
entity, or organization with whom the donor shares a financial interest. 
The Secretary does not consider a donor's receipt from the State unit of 
a grant, subgrant, or contract with funds allotted under this part to be 
a benefit for the purposes of this paragraph if the grant, subgrant, or 
contract is awarded under the State's regular competitive procedures.

(Authority: Secs. 7(7), 101(a)(3), and 104 of the Act; 29 U.S.C. 706(7), 
721(a)(3) and 724)

    Note: The Secretary notes that contributions may be earmarked in 
accordance with paragraph (b)(3)(ii) of this section for providing 
particular services (e.g., rehabilitation technology services); serving 
individuals with certain types of disabilities (e.g., individuals who 
are blind), consistent with the State's order of selection, if 
applicable; providing services to special groups that State or Federal 
law permits to be targeted for services (e.g., students with 
disabilities who are receiving special education services), consistent 
with the State's order of selection, if applicable; or carrying out 
particular types of administrative activities permissible under State 
law. Contributions also may be restricted to particular geographic areas 
to increase services or expand the scope of services that are available 
statewide under the State plan. However, if a contribution is earmarked 
for a restricted geographic area, expenditures from that contribution 
may be used to meet the non-Federal share requirement only if the State 
unit requests and the Secretary approves a waiver of statewideness, in 
accordance with Sec. 361.26.



Sec. 361.61  Limitation on use of funds for construction expenditures.

    No more than 10 percent of a State's allotment for any fiscal year 
under section 110 of the Act may be spent on the construction of 
facilities for community rehabilitation program purposes.

(Authority: Sec. 101(a)(17)(A) of the Act; 29 U.S.C. 721(a)(17)(A))



Sec. 361.62  Maintenance of effort requirements.

    (a) General requirements. (1) The Secretary reduces the amount 
otherwise payable to a State for a fiscal year by the amount by which 
the total expenditures from non-Federal sources under the State plan for 
the previous fiscal year were less than the total of those expenditures 
for the fiscal year two years prior to the previous fiscal year. For 
example, for fiscal year 1996, a State's maintenance of effort level is 
based on the amount of its expenditures from non-Federal sources for 
fiscal year 1994. Thus, if the State's non-Federal expenditures in 1996 
are less than they were in 1994, the State has a maintenance of effort 
deficit, and the Secretary reduces the State's allotment in 1997 by the 
amount of that deficit.
    (2) If, at the time the Secretary makes a determination that a State 
has failed to meet its maintenance of effort requirements, it is too 
late for the Secretary to make a reduction in accordance with paragraph 
(a)(1) of this section, then the Secretary recovers the amount of the 
maintenance of effort deficit through audit disallowance.
    (b) Specific requirements for construction of facilities. If the 
State plan provides for the construction of a facility for community 
rehabilitation program purposes, the amount of the State's share of 
expenditures for vocational rehabilitation services under the plan, 
other than for the construction of a facility for community 
rehabilitation program purposes or the establishment of a facility for 
community rehabilitation purposes, must be at least equal to the 
expenditures for those services for the second prior fiscal year. If a 
State fails to meet the requirements of this paragraph, the Secretary 
recovers the amount of the maintenance of effort deficit through audit 
disallowance.
    (c) Separate State agency for vocational rehabilitation services for 
individuals who are blind. If there is a separate part of the State plan 
administered by a separate State agency to provide vocational 
rehabilitation services for individuals who are blind--

[[Page 356]]

    (1) Satisfaction of the maintenance of effort requirements under 
paragraphs (a) and (b) of this section are determined based on the total 
amount of a State's non-Federal expenditures under both parts of the 
State plan; and
    (2) If a State fails to meet any maintenance of effort requirement, 
the Secretary reduces the amount otherwise payable to the State for that 
fiscal year under each part of the plan in direct relation to the amount 
by which expenditures from non-Federal sources under each part of the 
plan in the previous fiscal year were less than they were for that part 
of the plan for the fiscal year two years prior to the previous fiscal 
year.
    (d) Waiver or modification. (1) The Secretary may waive or modify 
the maintenance of effort requirement in paragraph (a)(1) of this 
section if the Secretary determines that a waiver or modification is 
necessary to permit the State to respond to exceptional or 
uncontrollable circumstances, such as a major natural disaster or a 
serious economic downturn, that--
    (i) Cause significant unanticipated expenditures or reductions in 
revenue; and
    (ii) Result in--
    (A) A general reduction of programs within the State; or
    (B) The State making substantial expenditures in the vocational 
rehabilitation program for long-term purposes due to the one-time costs 
associated with the construction of a facility for community 
rehabilitation program purposes, the establishment of a facility for 
community rehabilitation program purposes, or the acquisition of 
equipment.
    (2) The Secretary may waive or modify the maintenance of effort 
requirement in paragraph (b) of this section or the 10 percent allotment 
limitation in Sec. 361.61 if the Secretary determines that a waiver or 
modification is necessary to permit the State to respond to exceptional 
or uncontrollable circumstances, such as a major natural disaster, that 
result in significant destruction of existing facilities and require the 
State to make substantial expenditures for the construction of a 
facility for community rehabilitation program purposes or the 
establishment of a facility for community rehabilitation program 
purposes in order to provide vocational rehabilitation services.
    (3) A written request for waiver or modification, including 
supporting justification, must be submitted to the Secretary as soon as 
the State determines that an exceptional or uncontrollable circumstance 
will prevent it from making its required expenditures from non-Federal 
sources.

(Authority: Secs. 101(a)(17) and 111(a)(2) of the Act; 29 U.S.C. 
721(a)(17) and 731(a)(2))



Sec. 361.63  Program income.

    (a) Definition--Program income means gross income received by the 
State that is directly generated by an activity supported under this 
part.
    (b) Sources. Sources of program income include, but are not limited 
to, payments from the Social Security Administration for rehabilitating 
Social Security beneficiaries, payments received from workers' 
compensation funds, fees for services to defray part or all of the costs 
of services provided to particular individuals, and income generated by 
a State-operated community rehabilitation program.
    (c) Use of program income. (1) Except as provided in paragraph 
(c)(2) of this section, program income, whenever earned, must be used 
for the provision of vocational rehabilitation services, the 
administration of the State plan, and developing and implementing the 
strategic plan. Program income is considered earned when it is received.
    (2) Payments provided to a State from the Social Security 
Administration for rehabilitating Social Security beneficiaries may also 
be used to carry out programs under part B of title I of the Act (client 
assistance), part C of title I of the Act (innovation and expansion), 
part C of title VI of the Act (supported employment) and title VII of 
the Act (independent living).
    (3) The State is authorized to treat program income as--
    (i) An addition to the grant funds to be used for additional 
allowable program expenditures, in accordance with 34 CFR 80.25(g)(2); 
or
    (ii) A deduction from total allowable costs, in accordance with 34 
CFR 80.25(g)(1).

[[Page 357]]

    (4) Program income may not be used to meet the non-Federal share 
requirement under Sec. 361.60.

(Authority: Sec. 108 of the Act; 29 U.S.C. 728; 34 CFR 80.25)



Sec. 361.64  Obligation of Federal funds and program income.

    (a) Except as provided in paragraph (b) of this section, any Federal 
funds, including reallotted funds, that are appropriated for a fiscal 
year to carry out a program under this part that are not obligated by 
the State unit by the beginning of the succeeding fiscal year and any 
program income received during a fiscal year that is not obligated by 
the State unit by the beginning of the succeeding fiscal year must 
remain available for obligation by the State unit during that succeeding 
fiscal year.
    (b) Federal funds appropriated for a fiscal year remain available 
for obligation in the succeeding fiscal year only to the extent that the 
State unit met the matching requirement for those Federal funds by 
obligating, in accordance with 34 CFR 76.707, the non-Federal share in 
the fiscal year for which the funds were appropriated.

(Authority: Sec. 19 of the Act; 29 U.S.C. 718)



Sec. 361.65  Allotment and payment of Federal funds for vocational rehabilitation services.

    (a) Allotment. (1) The allotment of Federal funds for vocational 
rehabilitation services for each State is computed in accordance with 
the requirements of section 110 of the Act, and payments are made to the 
State on a quarterly basis, unless some other period is established by 
the Secretary.
    (2) If the State plan designates one State agency to administer, or 
supervise the administration of, the part of the plan under which 
vocational rehabilitation services are provided for individuals who are 
blind and another State agency to administer the rest of the plan, the 
division of the State's allotment is a matter for State determination.
    (b) Reallotment. (1) The Secretary determines not later than 45 days 
before the end of a fiscal year which States, if any, will not use their 
full allotment.
    (2) As soon as possible, but not later than the end of the fiscal 
year, the Secretary reallots these funds to other States that can use 
those additional funds during the current or subsequent fiscal year, 
provided the State can meet the matching requirement by obligating the 
non-Federal share of any reallotted funds in the fiscal year for which 
the funds were appropriated.
    (3) Funds reallotted to another State are considered to be an 
increase in the recipient State's allotment for the fiscal year for 
which the funds were appropriated.

(Authority: Secs. 110 and 111 of the Act; 29 U.S.C. 730 and 731)



  Subpart D--Strategic Plan for Innovation and Expansion of Vocational 
                         Rehabilitation Services



Sec. 361.70  Purpose of the strategic plan.

    The State shall prepare a statewide strategic plan, in accordance 
with Sec. 361.71, to develop and use innovative approaches for achieving 
long-term success in expanding and improving vocational rehabilitation 
services, including supported employment services, provided under the 
State plan, including the supported employment supplement to the State 
plan required under 34 CFR part 363.

(Authority: Sec. 120 of the Act; 29 U.S.C. 740)



Sec. 361.71  Procedures for developing the strategic plan.

    (a) Public input. (1) The State unit shall meet with and receive 
recommendations from members of the State Rehabilitation Advisory 
Council, if the State has a Council, and the Statewide Independent 
Living Council prior to developing the strategic plan.
    (2) The State unit shall solicit public input on the strategic plan 
prior to or at the public meetings on the State plan, in accordance with 
the requirements of Sec. 361.20.
    (3) The State unit shall consider the recommendations received under 
paragraphs (a)(1) and (a)(2) of this section and, if the State rejects 
any recommendations, shall include a written explanation of the reasons 
for those rejections in the strategic plan.
    (4) The State unit shall develop a procedure to ensure ongoing 
comment

[[Page 358]]

from the Council or Councils, if applicable, as the plan is being 
implemented.
    (b) Duration. The strategic plan must cover a three-year period.
    (c) Revisions. The State unit shall revise the strategic plan on an 
annual basis to reflect the unit's actual experience over the previous 
year and input from the State Rehabilitation Advisory Council, if the 
State has a Council, individuals with disabilities, and other interested 
parties.
    (d) Dissemination. The State unit shall disseminate widely the 
strategic plan to individuals with disabilities, disability 
organizations, rehabilitation professionals, and other interested 
persons and shall make the strategic plan available in accessible 
formats and appropriate modes of communication.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 122 of the Act; 29 U.S.C. 742)



Sec. 361.72  Content of the strategic plan.

    The strategic plan must include--
    (a) A statement of the mission, philosophy, values, and principles 
of the vocational rehabilitation program in the State;
    (b) Specific goals and objectives for expanding and improving the 
system for providing vocational rehabilitation services;
    (c) Specific multi-faceted and systemic approaches for accomplishing 
the objectives, including interagency coordination and cooperation, that 
build upon state-of-the-art practices and research findings and that 
implement the State plan and the supplement to the State plan submitted 
under 34 CFR part 363;
    (d) A description of the specific programs, projects, and activities 
funded under this subpart, including how the programs, projects, and 
activities accomplish the objectives of the subpart, and the resource 
allocation and budget for the programs, projects, and activities; and
    (e) Specific criteria for determining whether the objectives have 
been achieved, including an assurance that the State will conduct an 
annual evaluation to determine the extent to which the objectives have 
been achieved and, if specific objectives have not been achieved, the 
reasons that the objectives have not been achieved and a description of 
alternative approaches that will be taken.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: Sec. 121 of the Act; 29 U.S.C. 741)



Sec. 361.73  Use of funds.

    (a) A State unit shall use all grant funds received under title I, 
part C of the Act to carry out programs and activities that are 
identified under the State's strategic plan, including but not limited 
to those programs and activities that are identified in paragraph (b) of 
this section.
    (b) A State unit shall use at least 1.5 percent of the funds 
received under section 111 of the Act to carry out one or more of the 
following types of programs and activities that are identified in the 
State's strategic plan:
    (1) Programs to initiate or expand employment opportunities for 
individuals with severe disabilities in integrated settings that allow 
for the use of on-the-job training to promote the objectives of title I 
of the Americans with Disabilities Act of 1990.
    (2) Programs or activities to improve or expand the provision of 
employment services in integrated settings to individuals with sensory, 
cognitive, physical, and mental impairments who traditionally have not 
been served by the State vocational rehabilitation agency.
    (3) Programs or activities to maximize the ability of individuals 
with disabilities to use rehabilitation technology in employment 
settings.
    (4) Programs or activities that assist employers in accommodating, 
evaluating, training, or placing individuals with disabilities in the 
workplace of the employer consistent with the provisions of the Act and 
title I of the Americans with Disabilities Act of 1990. These programs 
or activities may include short-term technical assistance or other 
effective strategies.
    (5) Programs or activities that expand and improve the extent and 
type of an individual's involvement in the review and selection of his 
or her training and employment goals.

[[Page 359]]

    (6) Programs or activities that expand and improve opportunities for 
career advancement for individuals with severe disabilities.
    (7) Programs, projects, or activities designed to initiate, expand, 
or improve working relationships between vocational rehabilitation 
services provided under title I of the Act and independent living 
services provided under title VII of the Act.
    (8) Programs, projects, or activities designed to improve 
functioning of the system for delivering vocational rehabilitation 
services and to improve coordination and working relationships with 
other State agencies and local public agencies, business, industry, 
labor, community rehabilitation programs, and centers for independent 
living, including projects designed to--
    (i) Increase the ease of access to, timeliness of, and quality of 
vocational rehabilitation services through the development and 
implementation of policies, procedures, systems, and interagency 
mechanisms for providing vocational rehabilitation services;
    (ii) Improve the working relationships between State vocational 
rehabilitation agencies and other State agencies, centers for 
independent living, community rehabilitation programs, educational 
agencies involved in higher education, adult basic education, and 
continuing education, and businesses, industry, and labor organizations, 
in order to create and facilitate cooperation in--
    (A) Planning and implementing services; and
    (B) Developing an integrated system of community-based vocational 
rehabilitation services that includes appropriate transitions between 
service systems; and
    (iii) Improve the ability of professionals, advocates, business, 
industry, labor, and individuals with disabilities to work in 
cooperative partnerships to improve the quality of vocational 
rehabilitation services and job and career opportunities for individuals 
with disabilities.
    (9) Projects or activities that ensure that the annual evaluation of 
the effectiveness of the program in meeting the goals and objectives in 
the State plan, including the system for evaluating the performance of 
rehabilitation counselors, coordinators, and other personnel used in the 
State, facilitates and does not impede the accomplishment of the purpose 
of this part, including serving individuals with the most severe 
disabilities.
    (10) Projects or activities to support the initiation, expansion, 
and improvement of a comprehensive system of personnel development.
    (11) Programs, projects, or activities to support the provision of 
training and technical assistance to individuals with disabilities, 
business, industry, labor, community rehabilitation programs, and others 
regarding the implementation of the Rehabilitation Act Amendments of 
1992, of title V of the Act, and of the Americans with Disabilities Act 
of 1990.
    (12) Projects or activities to support the funding of the State 
Rehabilitation Advisory Council and the Statewide Independent Living 
Council.

(Authority: Secs. 101(a)(34)(B) and 123 of the Act; 29 U.S.C. 
721(a)(34)(B) and 743)



Sec. 361.74  Allotment of Federal funds.

    (a) The allotment and any reallotment of Federal funds under title 
I, part C of the Act are computed in accordance with the requirements of 
section 124 of the Act.
    (b) If at any time the Secretary determines that any amount will not 
be expended by a State in carrying out the purpose of this subpart, the 
Secretary makes that amount available to one or more other States that 
the Secretary determines will be able to use additional amounts during 
the fiscal year. Any amount made available to any State under this 
paragraph of this section is regarded as an increase in the State's 
allotment for that fiscal year.

(Authority: Sec. 124 of the Act; 29 U.S.C. 744)



PART 363--THE STATE SUPPORTED EMPLOYMENT SERVICES PROGRAM--Table of Contents




                           Subpart A--General

Sec.
363.1  What is the State Supported Employment Services Program?
363.2  Who is eligible for an award?

[[Page 360]]

363.3  Who is eligible for services?
363.4  What are the authorized activities under a State Supported 
          Employment Services grant?
363.5  What regulations apply?
363.6  What definitions apply?

             Subpart B--How Does a State Apply for a Grant?

363.10  What documents must a State submit to receive a grant?
363.11  What information and assurances must be included in the State 
          plan supplement?

             Subpart C--How Does the Secretary Make a Grant?

363.20  How does the Secretary allocate funds?
363.21  How does the Secretary reallocate funds?

                        Subparts D-E--[Reserved]

      Subpart F--What Post-Award Conditions Must Be Met by a State?

363.50  What collaborative agreements must the State develop?
363.51  What are allowable administrative costs?
363.52  What are the information collection and reporting requirements?
363.53  What special conditions apply to services and activities under 
          this program?
363.54  What requirements must a State meet before it provides for the 
          transition of an individual to extended services?
363.55  What are the requirements for successfully rehabilitating an 
          individual in supported employment?
363.56  What notice requirements apply to this program?

    Authority: 29 U.S.C. 795j-q, unless otherwise noted.

    Source: 59 FR 8331, Feb. 18, 1993, unless otherwise noted.



                           Subpart A--General



Sec. 363.1  What is the State Supported Employment Services Program?

    Under the State Supported Employment Services Program, the Secretary 
provides grants to assist States in developing and implementing 
collaborative programs with appropriate entities to provide programs of 
supported employment services for individuals with the most severe 
disabilities who require supported employment services to enter or 
retain competitive employment.

(Authority: 29 U.S.C. 795j)



Sec. 363.2  Who is eligible for an award?

    Any State is eligible for an award under this program.

(Authority: 29 U.S.C. 795n)



Sec. 363.3  Who is eligible for services?

    A State may provide services under this program to any individual 
if--
    (a) The individual has been determined eligible for vocational 
rehabilitation services in accordance with the criteria in section 
102(a)(1) of the Act;
    (b) The individual has been determined to be an individual with the 
most severe disabilities; and
    (c) Supported employment has been identified as the appropriate 
rehabilitation objective for the individual on the basis of a 
comprehensive assessment of rehabilitation needs, including an 
evaluation of rehabilitation, career, and job needs.

(Authority: 29 U.S.C. 795m)



Sec. 363.4  What are the authorized activities under a State Supported Employment Services grant?

    Under this program, the following activities are authorized:
    (a) Any particularized assessment that is needed to supplement the 
comprehensive assessment of rehabilitation needs done under 34 CFR part 
361 and that is provided subsequent to the development of the 
individualized written rehabilitation program. The supplementary 
assessment may be provided in circumstances such as the following:
    (1) A reassessment of the suitability of the placement is warranted.
    (2) There is a change in the individual's medical condition.
    (b) Development of and placement in jobs for individuals with the 
most severe disabilities.
    (c) Provision of supported employment services that are needed to 
support individuals with the most severe disabilities in employment, 
such as--
    (1) Intensive on-the-job skills training and other training provided 
by skilled job trainers, co-workers, and other qualified individuals, 
and other

[[Page 361]]

services specified in section 103(a) of the Act in order to achieve and 
maintain job stability;
    (2) Follow-up services, including regular contact with employers, 
trainees with the most severe disabilities, parents, guardians or other 
representatives of trainees, and other suitable professional and 
informed advisors in order to reinforce and stabilize the job placement; 
and
    (3) Discrete post-employment services following transition that are 
unavailable from an extended services provider and that are necessary to 
maintain the job placement, such as job station redesign, repair and 
maintenance of assistive technology, and replacement of prosthetic and 
orthotic devices.

(Authority: 29 U.S.C. 795l)



Sec. 363.5  What regulations apply?

    The following regulations apply to the State Supported Employment 
Services Program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 76 (State-Administered Programs).
    (2) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (3) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (4) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (5) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (6) 34 CFR part 82 (New Restrictions on Lobbying).
    (7) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (8) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 363.
    (c) The following regulations in 34 CFR part 361 (The State 
Vocational Rehabilitation Services Program): Secs. 361.31; 361.32; 
361.33; 361.34; 361.35; 361.39; 361.40; 361.41; 361.42; 361.47(a); 
361.48; and 361.49.

    Note: Many of the regulatory provisions cross-referenced in 
Sec. 363.5(c) are affected by statutory changes made by the 
Rehabilitation Act Amendments of 1992. If these provisions conflict with 
statutory language, they are superseded by the statutory language. 
Program regulations for part 361 are being amended to implement 
statutory changes. When final regulations for part 361 are published, 
these cross-references will be corrected, if necessary.

(Authority: 29 U.S.C. 795j and 711(c))



Sec. 363.6  What definitions apply?

    (a) Definitions in 34 CFR part 361. The following terms used in this 
part are defined in 34 CFR 369.4(b):

Act
Designated State unit
Individual with disabilities
Individual with severe disabilities
State plan

    (b) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Fiscal Year
Nonprofit
Private Secretary
State

    (c) Other definitions. The following definitions also apply to this 
part:
    (1) Supported employment means--
    (i) Competitive employment in an integrated setting with ongoing 
support services for individuals with the most severe disabilities--
    (A) For whom competitive employment has not traditionally occurred 
or for whom competitive employment has been interrupted or intermittent 
as a result of a severe disability; and
    (B) Who, because of the nature and severity of their disabilities, 
need intensive supported employment services from the designated State 
unit and extended services after transition in order to perform this 
work; or
    (ii) Transitional employment for individuals with the most severe 
disabilities due to mental illness.
    (2) As used in the definition of ``Supported employment''--
    (i) Competitive employment means work--
    (A) In the competitive labor market that is performed on a full-time 
or part-time basis in an integrated setting; and

[[Page 362]]

    (B) For which an individual is compensated at or above the minimum 
wage, but not less than the customary or usual wage paid by the employer 
for the same or similar work performed by individuals who are not 
disabled.
    (ii) Integrated setting means a setting typically found in the 
community in which an individual with the most severe disabilities 
interacts with non-disabled individuals, other than non-disabled 
individuals who are providing services to that individual, to the same 
extent that non-disabled individuals in comparable positions interact 
with other persons.
    (iii) Supported employment services means on-going support services 
provided by the designated State unit with funds under this part--
    (A) For a period not to exceed 18 months, unless under special 
circumstances a longer period to achieve job stabilization has been 
jointly agreed to by the individual and the rehabilitation counselor and 
established in the individualized written rehabilitation program, before 
an individual with the most severe disabilities makes the transition to 
extended services; and
    (B) As discrete post-employment services following transition in 
accordance with Sec. 363.4(c)(3);
    (iv) Extended services means on-going support services and other 
appropriate services provided by a State agency, a private nonprofit 
organization, employer, or any other appropriate resource, from funds 
other than funds received under this part, part 381, part 376, or part 
380, after an individual with the most severe disabilities has made the 
transition from State vocational rehabilitation agency support; and
    (v) Transitional employment means a series of temporary job 
placements in competitive work in an integrated work setting with on-
going support services for individuals with the most severe disabilities 
due to mental illness. In transitional employment, the provision of on-
going support services must include continuing sequential job placements 
until job permanency is achieved.
    (3) On-going support services means services that are--
    (i) Needed to support and maintain an individual with the most 
severe disabilities in supported employment;
    (ii) Based on a determination by the designated State unit of the 
individual's needs as specified in an individualized written 
rehabilitation program; and
    (iii) Furnished by the designated State unit from the time of job 
placement until transition to extended services, except as provided in 
Sec. 363.4(c)(3) and, following transition, by one or more extended 
services providers throughout the individual's term of employment in a 
particular job placement or multiple placements if those placements are 
being provided under a program of transitional employment. On-going 
support services must include, at a minimum, twice-monthly monitoring at 
the work site of each individual in supported employment to assess 
employment stability, unless under special circumstances, especially at 
the request of the individual, the individualized written rehabilitation 
program provides for off-site monitoring, and, based upon that 
assessment, the coordination or provision of specific services at or 
away from the work site, that are needed to maintain employment 
stability. If off-site monitoring is determined to be appropriate, it 
must, at a minimum, consist of two meetings with the individual and one 
contact with the employer each month. On-going support services consist 
of--
    (A) Any particularized assessment needed to supplement the 
comprehensive assessment of rehabilitation needs;
    (B) The provision of skilled job trainers who accompany the 
individual for intensive job skill training at the work site;
    (C) Job development and placement;
    (D) Social skills training;
    (E) Regular observation or supervision of the individual;
    (F) Follow-up services such as regular contact with the employers, 
the individuals, the parents, family members, guardians, advocates or 
authorized representatives of the individuals, and other suitable 
professional and informed advisors, in order to reinforce and stabilize 
the job placement;
    (G) Facilitation of natural supports at the worksite;

[[Page 363]]

    (H) Any other service identified in the scope of rehabilitation 
services described in 34 CFR part 361; and
    (I) Any service similar to the foregoing services.

(Authority: 29 U.S.C. 706(18), 711(c), and 795j)

[59 FR 8331, Feb. 18, 1993, as amended at 62 FR 6363, Feb. 11, 1997]



             Subpart B--How Does a State Apply for a Grant?



Sec. 363.10  What documents must a State submit to receive a grant?

    To receive a grant under this part, a State must submit to the 
Secretary, as part of the State plan under 34 CFR part 361, a State plan 
supplement that meets the requirements of Sec. 363.11.

(Authority: 29 U.S.C. 795n)



Sec. 363.11  What information and assurances must be included in the State plan supplement?

    Each State plan supplement must include the following:
    (a) Designated State agency. Designate the State unit or units for 
vocational rehabilitation services identified in the State plan 
submitted under 34 CFR part 361 as the State agency or agencies to 
administer this program.
    (b) Results of needs assessment. Summarize the results of the needs 
assessment of individuals with severe disabilities conducted under title 
I of the Act with respect to the rehabilitation and career needs of 
individuals with severe disabilities and the need for supported 
employment services. The results of the needs assessment must address 
the coordination and use of information within the State relating to 
section 618(b)(1)(c) of the Individuals with Disabilities Education Act.
    (c) Quality, scope, and extent of services. Describe the quality, 
scope, and extent of supported employment services to be provided to 
individuals with the most severe disabilities under this program. The 
description must address the timing of the transition to extended 
services referred to in Sec. 363.50(b)(2).
    (d) Distribution of funds. Describe the State's goals and plans with 
respect to the distribution of funds received under Sec. 363.20.
    (e) Collaboration. Demonstrate evidence of the efforts of the 
designated State unit to identify and make arrangements, including 
entering into cooperative agreements, with--
    (1) Other State agencies and other appropriate entities to assist in 
the provision of supported employment services; and
    (2) Other public or non-profit agencies or organizations within the 
State, employers, natural supports, and other entities with respect to 
the provision of extended services.
    (f) Minority outreach. Describe the designated State unit's outreach 
procedures for identifying and serving individuals with the most severe 
disabilities who are minorities.
    (g) Assurances. Provide assurances that--
    (1) Funds made available under this part will only be used to 
provide supported employment services authorized under the Act to 
individuals who are eligible under this part to receive the services;
    (2) The comprehensive assessments of individuals with severe 
disabilities conducted under section 102(b)(1)(A) and funded under title 
I of the Act will include consideration of supported employment as an 
appropriate rehabilitation objective;
    (3) An individualized written rehabilitation program, as required by 
section 102 of the Act, will be developed and updated, using funds under 
title I, that--
    (i) Specifies the supported employment services to be provided to 
each individual served under this program, including a description of 
the expected extended services needed, which may include natural 
supports, and an identification of the State, Federal, or private 
programs or other resources that will provide the extended services, 
including a description of the basis for determining that extended 
services are available, or to the extent that it is not possible to 
identify the source of extended services at the time the individualized 
written rehabilitation program is developed, a statement describing the 
basis for concluding that there is a reasonable expectation that sources 
will become available;

[[Page 364]]

    (ii) Provides for periodic monitoring to ensure that each individual 
with severe disabilities is making satisfactory progress toward meeting 
the weekly work requirement established in the individualized written 
rehabilitation program by the time of transition to extended services;
    (4) The State will use funds provided under this part only to 
supplement, and not supplant, the funds provided under title I of the 
Act, in providing supported employment services specified in the 
individualized written rehabilitation program;
    (5) Services provided under an individualized written rehabilitation 
program will be coordinated with services provided under other 
individualized plans established under other Federal or State programs;
    (6) To the extent job skills training is provided, the training will 
be provided on-site;
    (7) Supported employment services will include placement in an 
integrated setting for the maximum number of hours possible based on the 
unique strengths, resources, interests, concerns, abilities, and 
capabilities of individuals with the most severe disabilities;
    (8) The designated State agency or agencies will expend no more than 
5 percent of the State's allotment under this part for administrative 
costs of carrying out this program; and
    (9) The public participation requirements of section 101(a)(23) are 
met.
    (h) Other information. Contain any other information and be 
submitted in the form and in accordance with the procedures that the 
Secretary may require.

(Approved by the Office of Management and Budget under control number 
1820-0500)

(Authority: 29 U.S.C. 795n)



             Subpart C--How Does the Secretary Make a Grant?



Sec. 363.20  How does the Secretary allocate funds?

    The Secretary allocates funds under this program in accordance with 
section 632(a) of the Act.

(Authority: 29 U.S.C. 795k)



Sec. 363.21  How does the Secretary reallocate funds?

    The Secretary reallocates funds in accordance with section 632(b) of 
the Act.

(Authority: 29 U.S.C. 795k)



                        Subparts D-E--[Reserved]



      Subpart F--What Post-Award Conditions Must Be Met by a State?



Sec. 363.50  What collaborative agreements must the State develop?

    (a) A designated State unit must enter into one or more written 
cooperative agreements or memoranda of understanding with other 
appropriate State agencies, private nonprofit organizations, and other 
available funding sources to ensure collaboration in a plan to provide 
supported employment services and extended services to individuals with 
the most severe disabilities.
    (b) A cooperative agreement or memorandum of understanding must, at 
a minimum, specify the following:
    (1) The supported employment services to be provided by the 
designated State unit with funds received under this part.
    (2) The extended services to be provided by relevant State agencies, 
private nonprofit organizations, or other sources following the 
cessation of supported employment services under this part.
    (3) The estimated funds to be expended by the participating party or 
parties in implementing the agreement or memorandum.
    (4) The projected number of individuals with the most severe 
disabilities who will receive supported employment services and extended 
services under the agreement or memorandum.

(Authority: 29 U.S.C. 795n)



Sec. 363.51  What are the allowable administrative costs?

    (a) Administrative costs--general. Expenditures are allowable for 
the following administrative costs:
    (1) Administration of the State plan supplement for this program.

[[Page 365]]

    (2) Planning program development, and personnel development to 
implement a system of supported employment services.
    (3) Monitoring, supervision, and evaluation of this program.
    (4) Technical assistance to other State agencies, private nonprofit 
organizations, and businesses and industries.
    (b) Limitation on administrative costs. Not more than five percent 
of a State's allotment may be expended for administrative costs for 
carrying out this program.

(Authority: 29 U.S.C. 795n)



Sec. 363.52  What are the information collection and reporting requirements?

    (a) A State shall collect and report information as required under 
section 13 of the Act for each individual with the most severe 
disabilities served under this program.
    (b) The State shall collect and report separately information for
    (1) Supported employment clients served under this program; and
    (2) Supported employment clients served under 34 CFR part 361.

(Approved by the Office of Management and Budget under control number 
1820-0551)

(Authority: 29 U.S.C. 712 and 795o)



Sec. 363.53  What special conditions apply to services and activities under this program?

    Each grantee shall coordinate the services provided to an individual 
under this part and under 34 CFR part 361 to ensure that the services 
are complementary and not duplicative.

(Authority: 29 U.S.C. 711(c) and 795p)



Sec. 363.54  What requirements must a State meet before it provides for the transition of an individual to extended services?

    A designated State unit must provide for the transition of an 
individual with the most severe disabilities to extended services no 
later than 18 months after placement in supported employment, unless a 
longer period is established in the individualized written 
rehabilitation program, and only if the individual has made substantial 
progress toward meeting the hours-per-week work goal provided for in the 
individualized written rehabilitation program, the individual is 
stabilized in the job, and extended services are available and can be 
provided without a hiatus in services.

(Authority: 29 U.S.C. 795n and 711(c))



Sec. 363.55  What are the requirements for successfully rehabilitating an individual in supported employment?

    An individual with the most severe disabilities who is receiving 
supported employment services is considered to be successfully 
rehabilitated if the individual maintains a supported employment 
placement for 60 days after making the transition to extended services.

(Authority: 29 U.S.C. 711(c))



Sec. 363.56  What notice requirements apply to this program?

    Each grantee must advise applicants for or recipients of services 
under this part, or as appropriate, the parents, family members, 
guardians, advocates, or authorized representatives of those 
individuals, of the availability and purposes of the State's Client 
Assistance Program, including information on seeking assistance from 
that program.

(Authority: 29 U.S.C. 718a)



PART 364--STATE INDEPENDENT LIVING SERVICES PROGRAM AND CENTERS FOR INDEPENDENT LIVING PROGRAM: GENERAL PROVISIONS--Table of Contents




                           Subpart A--General

Sec.
364.1  What programs are covered?
364.2  What is the purpose of the programs authorized by chapter 1 of 
          title VII?
364.3  What regulations apply?
364.4  What definitions apply?
364.5  What is program income and how may it be used?
364.6  What requirements apply to the obligation of Federal funds and 
          program income?

            Subpart B--What Are the Application Requirements?

364.10  What are the application requirements?

[[Page 366]]

364.11  When must the State plan be submitted for approval?
364.12  How does the Secretary approve State plans?
364.13  Under what circumstances may funds be withheld, reduced, 
          limited, or terminated?

            Subpart C--What Are the State Plan Requirements?

364.20  What are the general requirements for a State plan?
364.21  What are the requirements for the statewide Independent Living 
          Council (SILC)?
364.22  What is the State's responsibility for administration of the 
          programs authorized by chapter 1 of title VII?
364.23  What are the staffing requirements?
364.24  What assurances are required for staff development?
364.25  What are the requirements for a statewide network of centers for 
          independent living?
364.26  What are the requirements for cooperation, coordination, and 
          working relationships?
364.27  What are the requirements for coordinating independent living 
          (IL) services?
364.28  What requirements relate to IL services for older individuals 
          who are blind?
364.29  What are the requirements for coordinating Federal and State 
          sources of funding?
364.30  What notice must be given about the Client Assistance Program 
          (CAP)?
364.31  What are the affirmative action requirements?
364.32  What are the requirements for outreach?
364.33  What is required to meet minority needs?
364.34  What are the fiscal and accounting requirements?
364.35  What records must be maintained?
364.36  What are the reporting requirements?
364.37  What access to records must be provided?
364.38  What methods of evaluation must the State plan include?
364.39  What requirements apply to the administration of grants under 
          the Centers for Independent Living program?
364.40  Who is eligible to receive IL services?
364.41  What assurances must be included regarding eligibility?
364.42  What objectives and information must be included in the State 
          plan?
364.43  What requirements apply to the provision of State IL services?

         Subpart D--What Conditions Must Be Met After an Award?

364.50  What requirements apply to the processing of referrals and 
          applications?
364.51  What requirements apply to determinations of eligibility or 
          ineligibility?
364.52  What are the requirements for an IL plan?
364.53  What records must be maintained for the individual?
364.54  What are the durational limitations on IL services?
364.55  What standards shall service providers meet?
364.56  What are the special requirements pertaining to the protection, 
          use, and release of personal information?
364.57  What functions and responsibilities may the State delegate?
364.58  What appeal procedures must be available to consumers?
364.59  May an individual's ability to pay be considered in determining 
          his or her participation in the costs of IL services?

    Authority: 29 U.S.C. 796-796f-5, unless otherwise noted.

    Source: 59 FR 41887, Aug. 15, 1994, unless otherwise noted.



                           Subpart A--General



Sec. 364.1  What programs are covered?

    (a) This part includes general requirements applicable to the 
conduct of the following programs authorized under title VII of the 
Rehabilitation Act of 1973, as amended:
    (1) The State Independent Living Services (SILS) program (34 CFR 
part 365).
    (2) The Centers for Independent Living (CIL) program (34 CFR part 
366).
    (b) Some provisions in this part also are made specifically 
applicable to the Independent Living Services for Older Individuals Who 
Are Blind (OIB) program (34 CFR part 367).

(Authority: 29 U.S.C. 711(c) and 796-796f-5)



Sec. 364.2  What is the purpose of the programs authorized by chapter 1 of title VII?

    The purpose of the SILS and CIL programs authorized by chapter 1 of 
title VII of the Act is to promote a philosophy of independent living 
(IL), including a philosophy of consumer control, peer support, self-
help, self-determination, equal access, and individual and system 
advocacy, to maximize the leadership, empowerment, independence, and 
productivity of individuals with significant disabilities, and to 
promote and maximize the integration and full inclusion of individuals 
with

[[Page 367]]

significant disabilities into the mainstream of American society by 
providing financial assistance to States--
    (a) For providing, expanding, and improving the provision of IL 
services;
    (b) To develop and support statewide networks of centers for 
independent living (centers); and
    (c) For improving working relationships among--
    (1) SILS programs;
    (2) Centers;
    (3) Statewide Independent Living Councils (SILCs) established under 
section 705 of the Act;
    (4) State vocational rehabilitation (VR) programs receiving 
assistance under title I and under part C of title VI of the Act;
    (5) Client assistance programs (CAPs) receiving assistance under 
section 112 of the Act;
    (6) Programs funded under other titles of the Act;
    (7) Programs funded under other Federal laws; and
    (8) Programs funded through non-Federal sources.

(Authority: 29 U.S.C. 796)



Sec. 364.3  What regulations apply?

    The following regulations apply to the SILS and CIL programs:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations), with respect 
to grants or subgrants to an eligible agency that is not a State or 
local government or Indian tribal organization.
    (2) 34 CFR part 75 (Direct Grant Programs), with respect to grants 
under subparts B and C of 34 CFR part 366.
    (3) 34 CFR part 76 (State-Administered Programs), with respect to 
grants under 34 CFR part 365 and subpart D of 34 CFR part 366.
    (4) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (5) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (6) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments), with respect 
to grants to an eligible agency that is a State or local government or 
Indian tribal organization.
    (7) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (8) 34 CFR part 82 (New Restrictions on Lobbying).
    (9) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (10) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 364.
    (c) The regulations in 34 CFR parts 365 and 366 as applicable.

(Authority: 29 U.S.C. 711(c))



Sec. 364.4  What definitions apply?

    (a) Definitions in EDGAR. The following terms used in this part and 
in 34 CFR parts 365, 366, and 367 are defined in 34 CFR 77.1:

    Applicant
    Application
    Award
    Department
    EDGAR
    Fiscal year
    Nonprofit
    Private
    Project
    Public
    Secretary
    (b) Other definitions. The following definitions also apply to this 
part and to 34 CFR parts 365, 366, and 367:
    Act means the Rehabilitation Act of 1973, as amended.
    Administrative support services means assistance to support IL 
programs and the activities of centers and may include financial and 
technical assistance in planning, budget development, and evaluation of 
center activities, and support for financial management (including 
audits), personnel development, and recordkeeping activities.

(Authority: 29 U.S.C. 796c(c)(2))

    Advocacy means pleading an individual's cause or speaking or writing 
in support of an individual. To the extent permitted by State law or the 
rules of the agency before which an individual is appearing, a non-
lawyer may engage in advocacy on behalf of another individual. Advocacy 
may--

[[Page 368]]

    (1) Involve representing an individual--
    (i) Before private entities or organizations, government agencies 
(whether State, local, or Federal), or in a court of law (whether State 
or Federal); or
    (ii) In negotiations or mediation, in formal or informal 
administrative proceedings before government agencies (whether State, 
local, or Federal), or in legal proceedings in a court of law; and
    (2) Be on behalf of--
    (i) A single individual, in which case it is individual advocacy;
    (ii) A group or class of individuals, in which case it is systems 
(or systemic) advocacy; or
    (iii) Oneself, in which case it is self advocacy.
    Attendant care means a personal assistance service provided to an 
individual with significant disabilities in performing a variety of 
tasks required to meet essential personal needs in areas such as 
bathing, communicating, cooking, dressing, eating, homemaking, 
toileting, and transportation.

(Authority: 20 U.S.C. 706(30)(B)(vi))

    Center for independent living means a consumer-controlled, 
community-based, cross-disability, nonresidential, private nonprofit 
agency that--
    (1) Is designed and operated within a local community by individuals 
with disabilities; and
    (2) Provides an array of IL services.

(Authority: 29 U.S.C. 796a(1))

    Consumer control means, with respect to a center or eligible agency, 
that the center or eligible agency vests power and authority in 
individuals with disabilities, including individuals who are or have 
been recipients of IL services.

(Authority: 29 U.S.C. 796a(2))

    Cross-disability means, with respect to a center, that a center 
provides IL services to individuals representing a range of significant 
disabilities and does not require the presence of one or more specific 
significant disabilities before determining that an individual is 
eligible for IL services.

(Authority: 29 U.S.C. 796a(1))

    Designated State agency or State agency means the sole State agency 
designated to administer (or supervise local administration of) the 
State plan for VR services. The term includes the State agency for 
individuals who are blind, if that agency has been designated as the 
sole State agency with respect to that part of the State VR plan 
relating to the vocational rehabilitation of individuals who are blind.

(Authority: 29 U.S.C.. 706(3) and 721(a)(1)(A))

    Designated State unit means either--
    (1) The State agency or the bureau, division, or other 
organizational unit within a State agency that is primarily concerned 
with the vocational rehabilitation, or vocational and other 
rehabilitation, of individuals with disabilities and that is responsible 
for the administration of the VR program of the State agency; or
    (2) The independent State commission, board, or other agency that 
has the vocational rehabilitation, or vocational and other 
rehabilitation, of individuals with disabilities as its primary 
function.

(Authority: 29 U.S.C. 706(3) and 721(a)(2)(A))

    Eligible agency means a consumer-controlled, community-based, cross-
disability, nonresidential, private, nonprofit agency.

Authority: 29 U.S.C. 796f-5)

    Independent living core services mean, for purposes of services that 
are supported under the SILS or CIL programs--
    (1) Information and referral services;
    (2) IL skills training;
    (3) Peer counseling, including cross-disability peer counseling; and
    (4) Individual and systems advocacy.

(Authority: 29 U.S.C. 706(29))

    Independent living services includes the independent living core 
services and--
    (1) Counseling services, including psychological, psychotherapeutic, 
and related services;
    (2) Services related to securing housing or shelter, including 
services related to community group living, that are supportive of the 
purposes of the Act, and adaptive housing services, including 
appropriate accommodations to and modifications of any space used to 
serve, or to be occupied by, individuals with significant disabilities;

[[Page 369]]

    (3) Rehabilitation technology;
    (4) Mobility training;
    (5) Services and training for individuals with cognitive and sensory 
disabilities, including life skills training and interpreter and reader 
services;
    (6) Personal assistance services, including attendant care and the 
training of personnel providing these services;
    (7) Surveys, directories, and other activities to identify 
appropriate housing, recreation opportunities, and accessible 
transportation, and other support services;
    (8) Consumer information programs on rehabilitation and IL services 
available under the Act, especially for minorities and other individuals 
with significant disabilities who have traditionally been unserved or 
underserved by programs under the Act;
    (9) Education and training necessary for living in a community and 
participating in community activities;
    (10) Supported living;
    (11) Transportation, including referral and assistance for 
transportation;
    (12) Physical rehabilitation;
    (13) Therapeutic treatment;
    (14) Provision of needed prostheses and other appliances and 
devices;
    (15) Individual and group social and recreational services;
    (16) Training to develop skills specifically designed for youths who 
are individuals with significant disabilities to promote self-awareness 
and esteem, develop advocacy and self-empowerment skills, and explore 
career options;
    (17) Services for children;
    (18) Services under other Federal, State, or local programs designed 
to provide resources, training, counseling, or other assistance of 
substantial benefit in enhancing the independence, productivity, and 
quality of life of individuals with significant disabilities;
    (19) Appropriate preventive services to decrease the need of 
individuals with significant disabilities assisted under the Act for 
similar services in the future;
    (20) Community awareness programs to enhance the understanding and 
integration into society of individuals with significant disabilities; 
and
    (21) Any other services that may be necessary to improve the ability 
of an individual with a significant disability to function, continue 
functioning, or move toward functioning independently in the family or 
community or to continue in employment and that are not inconsistent 
with any other provisions of the Act.

(Authority: 29 U.S.C. 796e-2(1))

    Individual with a disability means an individual who--
    (1) Has a physical, mental, cognitive, or sensory impairment that 
substantially limits one or more of the individual's major life 
activities;
    (2) Has a record of such an impairment; or
    (3) Is regarded as having such an impairment.

(Authority: 29 U.S.C. 706(8)(B))

    Individual with a significant disability means an individual with a 
severe physical, mental, cognitive, or sensory impairment whose ability 
to function independently in the family or community or whose ability to 
obtain, maintain, or advance in employment is substantially limited and 
for whom the delivery of IL services will improve the ability to 
function, continue functioning, or move toward functioning independently 
in the family or community or to continue in employment.

(Authority: 29 U.S.C. 706(15)(B))

    Legally authorized advocate or representative means an individual 
who is authorized under State law to act or advocate on behalf of 
another individual. Under certain circumstances, State law permits only 
an attorney, legal guardian, or individual with a power of attorney to 
act or advocate on behalf of another individual. In other circumstances, 
State law may permit other individuals to act or advocate on behalf of 
another individual.

(Authority: 29 U.S.C. 711(c))

    Minority group means Alaskan Natives, American Indians, Asian 
Americans, Blacks (African Americans), Hispanic Americans, Native 
Hawaiians, and Pacific Islanders.
    Nonresidential means, with respect to a center, that the center, as 
of October 1, 1994, does not operate or manage housing or shelter for 
individuals as an IL service on either a temporary or

[[Page 370]]

long-term basis unless the housing or shelter is--
    (1) Incidental to the overall operation of the center;
    (2) Necessary so that the individual may receive an IL service; and
    (3) Limited to a period not to exceed eight weeks during any six-
month period.

(Authority: 29 U.S.C. 796a, 796f-1(f) and 706f-2(f))

    Peer relationships mean relationships involving mutual support and 
assistance among individuals with significant disabilities who are 
actively pursuing IL goals.
    Peer role models means individuals with significant disabilities 
whose achievements can serve as a positive example for other individuals 
with significant disabilities.
    Personal assistance services means a range of IL services, provided 
by one or more persons, designed to assist an individual with a 
significant disability to perform daily living activities on or off the 
job that the individual would typically perform if the individual did 
not have a disability. These IL services must be designed to increase 
the individual's control in life and ability to perform everyday 
activities on or off the job.

(Authority: 29 U.S.C. 706(11))

    Service provider means--
    (1) A designated State unit (DSU) that directly provides IL services 
to individuals with significant disabilities;
    (2) A center that receives financial assistance under part B or C of 
chapter 1 of title VII of the Act; or
    (3) Any other entity or individual that meets the requirements of 
Sec. 364.43(e) and provides IL services under a grant or contract from 
the DSU pursuant to Sec. 364.43(b).

(Authority: 29 U.S.C. 711(c) and 796(e))

    Significant disability means a severe physical, mental, cognitive, 
or sensory impairment that substantially limits an individual's ability 
to function independently in the family or community or to obtain, 
maintain, or advance in employment.
    State means, except for sections 711(a)(2)(A) and 721(c)(2)(A) and 
where otherwise specified in the Act, in addition to each of the several 
States of the United States, the District of Columbia, the Commonwealth 
of Puerto Rico, the United States Virgin Islands, Guam, American Samoa, 
the Commonwealth of the Northern Mariana Islands, and the Republic of 
Palau (until the Compact of Free Association with Palau takes effect).

(Authority: 29 U.S.C. 706(16))

    State plan means the State IL plan required under section 704 of 
title VII of the Act.
    Transportation means travel and related expenses that are necessary 
to enable an individual with a significant disability to benefit from 
another IL service and travel and related expenses for an attendant or 
aide if the services of that attendant or aide are necessary to enable 
an individual with a significant disability to benefit from that IL 
service.

(Authority: 29 U.S.C. 706(30)(B)(xi) and 711(c))

    Unserved and underserved groups or populations, with respect to 
groups or populations of individuals with significant disabilities in a 
State, include, but are not limited to, groups or populations of 
individuals with significant disabilities who--
    (1) Have cognitive and sensory impairments;
    (2) Are members of racial and ethnic minority groups;
    (3) Live in rural areas; or
    (4) Have been identified by the eligible agency as unserved or 
underserved within a center's project area.

(Authority: 29 U.S.C. 706, 711(c), and 796f-796f-5)



Sec. 364.5  What is program income and how may it be used?

    (a) Definition. Program income means gross income received by a 
grantee under title VII of the Act that is directly generated by an 
activity supported under 34 CFR part 365, 366, or 367.
    (b) Sources. Sources of program income include, but are not limited 
to, payments received from workers' compensation funds or fees for 
services to defray part or all of the costs of services provided to 
particular consumers.

[[Page 371]]

    (c) Use of program income. (1) Program income, whenever earned, must 
be used for the provision of IL services or the administration of the 
State plan, as appropriate.
    (2) A service provider is authorized to treat program income as--
    (i) A deduction from total allowable costs charged to a Federal 
grant, in accordance with 34 CFR 80.25(g)(1); or
    (ii) An addition to the grant funds to be used for additional 
allowable program expenditures, in accordance with 34 CFR 80.25(g)(2).
    (3) Program income may not be used to meet the non-Federal share 
requirement under 34 CFR 365.12(b).

(Authority: 29 U.S.C. 711(c); 34 CFR 80.25)



Sec. 364.6  What requirements apply to the obligation of Federal funds and program income?

    (a) Except as provided in paragraph (b) of this section, any Federal 
funds, including reallotted funds, that are appropriated for a fiscal 
year to carry out a program under 34 CFR part 365, 366, or 367 that are 
not obligated or expended by the DSU or center prior to the beginning of 
the succeeding fiscal year, and any program income received during a 
fiscal year that is not obligated or expended by the DSU or center prior 
to the beginning of the succeeding fiscal year in which the program 
income was received, remain available for obligation and expenditure by 
the DSU or center during that succeeding fiscal year.
    (b) Federal funds appropriated for a fiscal year under part B of 
chapter 1 and under chapter 2 of title VII of the Act remain available 
for obligation in the succeeding fiscal year only to the extent that the 
DSU complied with any matching requirement by obligating, in accordance 
with 34 CFR 76.707, the non-Federal share in the fiscal year for which 
the funds were appropriated.

(Authority: 29 U.S.C. 718)



            Subpart B--What Are the Application Requirements?



Sec. 364.10  What are the application requirements?

    To receive a grant from a State's allotment of funds under parts B 
and C of chapter 1 of title VII of the Act and 34 CFR parts 365 and 366, 
a State shall submit to the Secretary, and obtain approval of, a three-
year State plan meeting the requirements in subpart C of this part.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(a)(1))



Sec. 364.11  When must the State plan be submitted for approval?

    The designated State unit (DSU) shall submit to the Secretary for 
approval the three-year State plan no later than July 1 of the year 
preceding the first fiscal year of the three-year period for which the 
State plan is submitted.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(a)(4))



Sec. 364.12  How does the Secretary approve State plans?

    (a) General. The Secretary approves a State plan that the Secretary 
determines meets the requirements of section 704 of the Act and subparts 
B through D of this part and disapproves a plan that does not meet these 
requirements.
    (b) Informal resolution. If the Secretary intends to disapprove the 
State plan, the Secretary attempts to resolve disputed issues informally 
with State officials.
    (c) Notice of formal hearing. If, after reasonable effort has been 
made to resolve the dispute informally, no resolution has been reached, 
the Secretary provides written notice to the DSU and the SILC of the 
intention to disapprove the State plan and of the opportunity for a 
hearing.

[[Page 372]]

    (d) Hearing. (1) If the DSU requests a hearing, the Secretary 
designates one or more individuals, either from the Department or 
elsewhere, not responsible for or connected with the Department's 
administration of the programs authorized by title VII of the Act, to 
conduct a hearing.
    (2) If more than one individual is designated, the Secretary 
designates one of those individuals as the Chief Hearing Official of the 
Hearing Panel. If one individual is designated, that individual is the 
Hearing Official.
    (e) Judicial review. A State may appeal the Secretary's decision to 
disapprove its State plan by filing a petition for review with the U.S. 
Court of Appeals for the circuit in which the State is located, in 
accordance with section 107(d) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796d-1(a))



Sec. 364.13  Under what circumstances may funds be withheld, reduced, limited, or terminated?

    (a) When withheld, reduced, limited, or terminated. Payments to a 
State under chapter 1 of title VII of the Act may be withheld, reduced, 
limited, or terminated as provided by section 107(c) of the Act if the 
Secretary finds that--
    (1) The State plan has been so changed that it no longer conforms 
with the requirements of section 704 of the Act; or
    (2) In the administration of the State plan, there is a failure to 
comply substantially with any provision of the plan.
    (b) Informal resolution. If the Secretary intends to withhold, 
reduce, limit, or terminate payment of funds to a State under title VII 
of the Act as provided by section 107(c) of the Act, the Secretary 
attempts to resolve disputed issues informally with State officials.
    (c) Notice of formal hearing. If, after reasonable effort has been 
made to resolve the dispute informally, no resolution has been reached, 
the Secretary provides written notice to the DSU and SILC of the 
intention to withhold, reduce, limit, or terminate payment of funds 
under title VII of the Act and of the opportunity for a hearing.
    (d) Hearing. If the DSU requests a hearing, the Secretary designates 
an administrative law judge (ALJ) in the Office of Administrative Law 
Judges to conduct a hearing in accordance with the provisions of 34 CFR 
part 81, subpart A.
    (e) Initial decision. The ALJ issues an initial decision in 
accordance with 34 CFR 81.41.
    (f) Petition for review of an initial decision. The DSU may seek the 
Secretary's review of an ALJ's initial decision in accordance with 34 
CFR 81.42.
    (g) Review by the Secretary. The Secretary reviews an ALJ's initial 
decision in accordance with 34 CFR 81.43.
    (h) Final decision of the Department. The ALJ's initial decision 
becomes the final decision of the Department in accordance with 34 CFR 
81.44.
    (i) Judicial review. A State may appeal the Secretary's final 
decision to withhold, reduce, limit, or terminate payment of funds to a 
State under title VII of the Act by filing a petition for review with 
the U.S. Court of Appeals for the circuit in which the State is located, 
in accordance with section 107(d) of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 727(c)-(d) and 796d-1(a))



            Subpart C--What Are the State Plan Requirements?



Sec. 364.20  What are the general requirements for a State plan?

    (a) Form and content. The State plan must contain, in the form 
prescribed by the Secretary, the information required by this part and 
any other information requested by the Secretary.
    (b) Duration. (1) The State plan must cover a three-year period and 
must be amended whenever necessary to reflect any material change in 
State law, organization, policy, or agency operations that affects the 
administration of the State plan.
    (2) The Secretary may require a State to submit an interim State 
plan for a period of less than three years following a reauthorization 
of the Act and prior to the effective date of final regulations.

[[Page 373]]

    (c) Joint development-single agency. The State plan must be 
jointly--
    (1) Developed by the DSU and the SILC; and
    (2) Signed by the--
    (i) Director of the DSU (Director); and
    (ii) Chairperson of the SILC, acting on behalf of and at the 
direction of the SILC.
    (d) Joint development-separate agency for individuals who are blind. 
If a separate State agency is authorized by State law as the sole State 
agency with authority to administer or supervise the administration of 
that part of the State plan relating to the vocational rehabilitation of 
individuals who are blind, the State plan must be jointly--
    (1) Developed by the DSU, the SILC, and the separate State agency 
authorized to provide VR services for individuals who are blind; and
    (2) Signed by the--
    (i) Director;
    (ii) Director of the separate State agency authorized to provide VR 
services for individuals who are blind; and
    (iii) Chairperson of the SILC, acting on behalf of and at the 
direction of the SILC.
    (3) (Cross-reference: See Sec. 364.22(c).)
    (e) The State plan must assure that, as appropriate, the DSU and 
SILC actively consult in the development of the State plan with the 
Director of the CAP authorized under section 112 of the Act.
    (f) Periodic review and revision. The State plan must provide for 
the review and revision of the plan, at least once every three years, to 
ensure the existence of appropriate planning, financial support and 
coordination, and other assistance to appropriately address, on a 
statewide and comprehensive basis, the needs in the State for--
    (1) Providing State IL services;
    (2) Developing and supporting a statewide network of centers; and
    (3) Working relationships between--
    (i) Programs providing IL services and supporting or establishing 
centers; and
    (ii) The VR program established under title I of the Act, and other 
programs providing services for individuals with disabilities.
    (g) Public hearings. (1) The State plan must assure that the DSU and 
SILC conduct public meetings to provide all segments of the public, 
including interested groups, organizations, and individuals, an 
opportunity to comment on the State plan prior to its submission to the 
Secretary and on any revisions to the approved State plan. The DSU and 
SILC may meet the public participation requirement by holding the public 
meetings before a preliminary draft State plan is prepared or by 
providing a preliminary draft State plan for comment at the public 
meetings.
    (2) The State plan must assure that the DSU and SILC establish and 
maintain a written description of procedures for conducting public 
meetings in accordance with the following requirements:
    (i) The DSU and SILC shall provide appropriate and sufficient notice 
of the public meetings. Appropriate and sufficient notice means notice 
provided at least 30 days prior to the public meeting through various 
media available to the general public, such as newspapers and public 
service announcements, and through specific contacts with appropriate 
constituency groups and organizations identified by the DSU and SILC.
    (ii) The DSU and SILC shall make reasonable accommodation to 
individuals with disabilities who rely on alternative modes of 
communication in the conduct of the public meetings, including providing 
sign language interpreters and audio-loops.
    (iii) The DSU and SILC shall provide the notices of the public 
meetings, any written material provided prior to or at the public 
meetings, and the approved State plan in accessible formats for 
individuals who rely on alternative modes of communication.
    (h) The State plan must assure that, at the public meetings to 
develop the State plan, the DSU and SILC identify those provisions in 
the State plan that are State-imposed requirements. For purposes of this 
section, a State-imposed requirement includes any State law, regulation, 
rule, or policy relating to the DSU's administration or operation of IL 
programs under title VII of the Act, including any rule or policy

[[Page 374]]

implementing any Federal law, regulation, or guideline, that is beyond 
what would be required to comply with the regulations in 34 CFR parts 
364, 365, 366, and 367.
    (i) The State plan also must address how the specific requirements 
in Secs. 364.21 through 364.43 and in Secs. 364.56 and 364.59 will be 
met.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c (a) and (m)(6))



Sec. 364.21  What are the requirements for the Statewide Independent Living Council (SILC)?

    (a) Establishment. (1) To be eligible to receive assistance under 
chapter 1 of title VII of the Act, each State shall establish a SILC 
that meets the requirements of section 705 of the Act.
    (2) The SILC may not be established as an entity within a State 
agency, including the designated State agency or DSU. The SILC shall be 
independent of the DSU and all other State agencies.
    (b) Appointment and composition--(1) Appointment. Members of the 
SILC must be appointed by the Governor or the appropriate entity within 
the State responsible, in accordance with State law, for making 
appointments.
    (2) Composition. (i) The SILC must include--
    (A) At least one director of a center chosen by the directors of 
centers within the State; and
    (B) As ex officio, nonvoting members, a representative from the DSU 
and representatives from other State agencies that provide services to 
individuals with disabilities.
    (ii) The SILC may include--
    (A) Other representatives from centers;
    (B) Parents and legal guardians of individuals with disabilities;
    (C) Advocates of and for individuals with disabilities;
    (D) Representatives from private businesses;
    (E) Representatives from organizations that provide services for 
individuals with disabilities; and
    (F) Other appropriate individuals.
    (iii) A majority of the members of the SILC must be individuals with 
disabilities, as defined in Sec. 364.4(b), and not employed by any State 
agency or center.
    (c) Qualifications. The SILC must be composed of members--
    (1) Who provide statewide representation;
    (2) Who represent a broad range of individuals with disabilities; 
and
    (3) Who are knowledgeable about centers and IL services.
    (d) Voting members. A majority of the voting members of the SILC 
must be individuals with disabilities, as defined in Sec. 364.4(b), and 
not employed by any State agency or center.
    (e) Chairperson--(1) In general. Except as provided in paragraph 
(e)(2) of this section, the SILC shall select a chairperson from among 
the voting membership of the SILC.
    (2) Designation by Governor. In States in which the Governor does 
not have veto power pursuant to State law, the Governor shall designate 
a voting member of the SILC to serve as the chairperson of the SILC or 
shall require the SILC to so designate a voting member.
    (f) Terms of appointment. Each member of the SILC shall serve for 
term of three years, except that--
    (1) A member appointed to fill a vacancy occurring prior to the 
expiration of the term for which a predecessor was appointed must be 
appointed for the remainder of that term;
    (2) The terms of service of the members initially appointed must be 
(as specified by the appointing authority) for the fewer number of years 
as will provide for the expiration of terms on a staggered basis; and
    (3) No member of the SILC may serve for more than two consecutive 
full terms.
    (g) Duties. The SILC shall--
    (1) Jointly develop and sign (in conjunction with the DSU) the State 
plan required by section 704 of the Act and Sec. 364.20;
    (2) Monitor, review, and evaluate the implementation of the State 
plan;
    (3) Coordinate activities with the State Rehabilitation Advisory 
Council established under section 105 of the Act and councils that 
address the needs of specific disability populations and issues under 
other Federal law;

[[Page 375]]

    (4) Ensure that all regularly scheduled meetings of the SILC are 
open to the public and sufficient advance notice is provided; and
    (5) Submit to the Secretary all periodic reports as the Secretary 
may reasonably request and keep all records, and afford access to all 
records, as the Secretary finds necessary to verify the periodic 
reports.
    (h) Hearings. The SILC is authorized to hold any hearings and forums 
that the SILC determines to be necessary to carry out its duties.
    (i) Resource plan. (1) The SILC shall prepare, in conjunction with 
the DSU, a resource plan for the provision of resources, including staff 
and personnel, made available under parts B and C of chapter 1 of title 
VII of the Act, part C of title I of the Act, and from other public and 
private sources that may be necessary to carry out the functions of the 
SILC under this part.
    (2) The SILC's resource plan must, to the maximum extent possible, 
rely on the use of resources in existence during the period of 
implementation of the State plan.
    (3) No conditions or requirements may be included in the SILC's 
resource plan that may compromise the independence of the SILC.
    (4) The SILC is responsible for the proper expenditure of funds and 
use of resources that it receives under the resource plan.
    (5) A description of the SILC's resource plan required by paragraph 
(i)(1) of this section must be included in the State plan.
    (j) Staff. (1) The SILC shall, consistent with State law, supervise 
and evaluate its staff and other personnel as may be necessary to carry 
out its functions under this section.
    (2) While assisting the SILC in carrying out its duties, staff and 
other personnel made available to the SILC by the DSU may not be 
assigned duties by the designated State agency or DSU, or any other 
agency or office of the State, that would create a conflict of interest.
    (k) Reimbursement and compensation. The SILC may use the resources 
described in paragraph (i) of this section to reimburse members of the 
SILC for reasonable and necessary expenses of attending SILC meetings 
and performing SILC duties (including child care and personal assistance 
services) and to pay compensation to a member of the SILC, if the member 
is not employed or must forfeit wages from other employment, for each 
day the member is engaged in performing SILC duties.
    (l) Conflict of interest. The code of conduct provisions in 34 CFR 
74.162 and the conflict of interest provisions in 34 CFR 75.524 and 
75.525 apply to members of the SILC. For purposes of this paragraph and 
34 CFR 74.162, 75.524, and 75.525, a SILC is not considered a 
government, governmental entity, or governmental recipient.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796d)



Sec. 364.22  What is the State's responsibility for administration of the programs authorized by chapter 1 of title VII?

    (a) General. The State plan must identify the DSU as the entity 
that, on behalf of the State, shall--
    (1) Receive, account for, and disburse funds received by the State 
under part B of chapter 1 and section 723 of title VII of the Act (and 
34 CFR parts 365 and 366, as applicable) based on the plan;
    (2) Provide, as applicable, administrative support services for the 
SILS and CIL programs under part B of chapter 1 and section 723 of title 
VII of the Act, respectively, and 34 CFR parts 365 and 366, 
respectively;
    (3) Keep records and afford access to these records as the Secretary 
finds to be necessary with respect to the SILS and CIL programs; and
    (4) Submit additional information or provide assurances as the 
Secretary may require with respect to the SILS and CIL programs.
    (b) Provision of administrative support services. The State plan 
must describe the administrative support services to be provided by the 
DSU under paragraph (a)(2) of this section.
    (c) Designation of State unit for individuals who are blind. The 
State plan may designate a State agency or the organizational unit of a 
State agency that is authorized under State law to provide VR services 
to individuals who

[[Page 376]]

are blind under a State VR plan as the DSU to administer that part of 
the State IL plan under which IL services are provided to individuals 
who are blind. However, a State agency designated pursuant to this 
paragraph may not submit a separate State plan.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(c))



Sec. 364.23  What are the staffing requirements?

    (a) General staffing requirement. The State plan must assure that 
the staff of the service provider includes personnel who are specialists 
in the development and provision of IL services and in the development 
and support of centers.
    (b) Alternative communication needs staffing. The State plan must 
also assure that, to the maximum extent feasible, the service provider 
makes available personnel able to communicate--
    (1) With individuals with significant disabilities who rely on 
alternative modes of communication, such as manual communication, 
nonverbal communication devices, Braille, or audio tapes, and who apply 
for or receive IL services under title VII of the Act; and
    (2) In the native languages of individuals with significant 
disabilities whose English proficiency is limited and who apply for or 
receive IL services under title VII of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(a)(1))



Sec. 364.24  What assurances are required for staff development?

    The State plan must assure that the service provider establishes and 
maintains a program of staff development for all classes of positions 
involved in providing IL services and, if appropriate, in administering 
the CIL program. The staff development program must emphasize improving 
the skills of staff directly responsible for the provision of IL 
services, including knowledge of and practice in the IL philosophy.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(a)(1))



Sec. 364.25  What are the requirements for a statewide network of centers for independent living?

    (a) The State plan must include a design for the establishment of a 
statewide network of centers that comply with the standards and 
assurances in section 725 (b) and (c) of the Act and subparts F and G of 
34 CFR part 366.
    (b) The design required by paragraph (a) of this section must 
identify unserved and underserved areas and must provide an order of 
priority for serving these areas.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(g))



Sec. 364.26  What are the requirements for cooperation, coordination, and working relationships?

    (a) The State plan must include steps that will be taken to maximize 
the cooperation, coordination, and working relationships among--
    (1) The SILS program, the SILC, and centers; and
    (2) The DSU, other State agencies represented on the SILC, other 
councils that address the needs of specific disability populations and 
issues, and other public and private entities determined to be 
appropriate by the SILC.
    (b) The State plan must identify the entities to which the DSU and 
the SILC will relate in carrying out the requirements of paragraph (a) 
of this section.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(i))



Sec. 364.27  What are the requirements for coordinating independent living (IL) services?

    The State plan must describe how IL services funded under chapter 1 
of title VII of the Act will be coordinated with, and complement, other 
services, to avoid unnecessary duplication with other Federal, State, 
and local programs, including the OIB program authorized by chapter 2 of 
title VII of the Act, that provide IL- or VR-related services. This 
description must include those services provided by State and local 
agencies administering the special education, vocational education,

[[Page 377]]

developmental disabilities services, public health, mental health, 
housing, transportation, and veterans' programs, and the programs 
authorized under titles XVIII through XX of the Social Security Act 
within the State.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(j) and 752(i)(2)(C))



Sec. 364.28  What requirements relate to IL services for older individuals who are blind?

    The State plan must include an assurance that the DSU will seek to 
incorporate into and describe in the State plan any new methods or 
approaches for the provision to older individuals who are blind of IL 
services that are developed under a project funded under chapter 2 of 
title VII of the Act and that the DSU determines to be effective.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c), 796c(j), and 796k(h))



Sec. 364.29  What are the requirements for coordinating Federal and State sources of funding?

    (a) The State plan must describe efforts to coordinate Federal and 
State funding for centers and IL services.
    (b) The State plan must identify the amounts, sources, and purposes 
of the funding to be coordinated under paragraph (a) of this section, 
including the amount of State funds earmarked for the general operation 
of centers.
    (c) Cross-reference: See 34 CFR 366.30(a).

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(k))



Sec. 364.30  What notice must be given about the Client Assistance Program (CAP)?

    The State plan must include satisfactory assurances that all service 
providers will use formats that are accessible to notify individuals 
seeking or receiving IL services under chapter 1 of title VII about--
    (a) The availability of the CAP authorized by section 112 of the 
Act;
    (b) The purposes of the services provided under the CAP; and
    (c) How to contact the CAP.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 718a and 796c(m)(1))



Sec. 364.31  What are the affirmative action requirements?

    The State plan must include satisfactory assurances that all 
recipients of financial assistance under parts B and C of chapter 1 of 
title VII of the Act will take affirmative action to employ and advance 
in employment qualified individuals with significant disabilities on the 
same terms and conditions required with respect to the employment of 
individuals with disabilities under section 503 of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(m)(2))



Sec. 364.32  What are the requirements for outreach?

    (a) With respect to IL services and centers funded under chapter 1 
of title VII of the Act, the State plan must include steps to be taken 
regarding outreach to populations in the State that are unserved or 
underserved by programs under title VII, including minority groups and 
urban and rural populations.
    (b) The State plan must identify the populations to be designated 
for targeted outreach efforts under paragraph (a) of this section and 
the geographic areas (i.e., communities) in which they reside.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(l))



Sec. 364.33  What is required to meet minority needs?

    The State plan must demonstrate how the State will address the needs 
of individuals with significant disabilities from minority group 
backgrounds.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c), 718b(b), and 796c(l))

[[Page 378]]



Sec. 364.34  What are the fiscal and accounting requirements?

    In addition to complying with applicable EDGAR fiscal and accounting 
requirements, the State plan must include satisfactory assurances that 
all recipients of financial assistance under parts B and C of chapter 1 
of title VII of the Act will adopt those fiscal control and fund 
accounting procedures as may be necessary to ensure the proper 
disbursement of and accounting for those funds.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(m)(3))



Sec. 364.35  What records must be maintained?

    In addition to complying with applicable EDGAR recordkeeping 
requirements, the State plan must include satisfactory assurances that 
all recipients of financial assistance under parts B and C of chapter 1 
of title VII of the Act will maintain--
    (a) Records that fully disclose and document--
    (1) The amount and disposition by the recipient of that financial 
assistance;
    (2) The total cost of the project or undertaking in connection with 
which the financial assistance is given or used;
    (3) The amount of that portion of the cost of the project or 
undertaking supplied by other sources; and
    (4) Compliance with the requirements of chapter 1 of title VII of 
the Act and this part; and
    (b) Other records that the Secretary determines to be appropriate to 
facilitate an effective audit.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(m)(4))



Sec. 364.36  What are the reporting requirements?

    With respect to the records that are required by Sec. 364.35, the 
State plan must include satisfactory assurances that all recipients of 
financial assistance under parts B and C of chapter 1 of title VII of 
the Act will submit reports that the Secretary determines to be 
appropriate.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(m)(4)(D))



Sec. 364.37  What access to records must be provided?

    For the purpose of conducting audits, examinations, and compliance 
reviews, the State plan must include satisfactory assurances that all 
recipients of financial assistance under parts B and C of chapter 1 and 
chapter 2 of title VII of the Act will provide access to the Secretary 
and the Comptroller General, or any of their duly authorized 
representatives, to--
    (a) The records maintained under Sec. 364.35;
    (b) Any other books, documents, papers, and records of the 
recipients that are pertinent to the financial assistance received under 
chapter 1 of title VII of the Act; and
    (c) All individual case records or files or consumer service records 
of individuals served under 34 CFR part 365, 366, or 367, including 
names, addresses, photographs, and records of evaluation included in 
those individual case records or files or consumer service records.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(m)(4)(c) and (5))



Sec. 364.38  What methods of evaluation must the State plan include?

    The State plan must establish a method for the periodic evaluation 
of the effectiveness of the plan in meeting the objectives established 
in Sec. 364.42, including evaluation of satisfaction by individuals with 
significant disabilities who have participated in the program.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(n))



Sec. 364.39  What requirements apply to the administration of grants under the Centers for Independent Living program?

    In States in which State funding for centers equals or exceeds the 
amount of funds allotted to the State under

[[Page 379]]

part C of title VII of the Act, as determined pursuant to 34 CFR 366.29 
and 366.31, and in which the State elects to administer the CIL program 
as provided in section 723 of the Act, the State plan must include 
policies, practices, and procedures, including the order of priorities 
that the State may establish pursuant to 34 CFR 366.34(a), that are 
consistent with section 723 of the Act to govern the awarding of grants 
to centers and the oversight of these centers.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c (g) and (h), 796f-1(d), and 796f-2(d))



Sec. 364.40  Who is eligible to receive IL services?

    The State plan must assure that--
    (a) Any individual with a significant disability, as defined in 
Sec. 364.4(b), is eligible for IL services under the SILS and CIL 
programs authorized under chapter 1 of title VII of the Act;
    (b) Any individual may seek information about IL services under 
these programs and request referral to other services and programs for 
individuals with significant disabilities, as appropriate; and
    (c) The determination of an individual's eligibility for IL services 
under the SILS and CIL programs meets the requirements of Sec. 364.51.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 706(15)(B) and 796b)



Sec. 364.41  What assurances must be included regarding eligibility?

    (a) The State plan must assure that the service provider applies 
eligibility requirements without regard to age, color, creed, gender, 
national origin, race, religion, or type of significant disability of 
the individual applying for IL services.
    (b) The State plan must assure that the service provider does not 
impose any State or local residence requirement that excludes under the 
plan any individual who is present in the State and who is otherwise 
eligible for IL services from receiving IL services.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(a)(1))



Sec. 364.42  What objectives and information must be included in the State plan?

    (a) The State plan must specifically describe--
    (1) The objectives to be achieved;
    (2) The financial plan for the use of Federal and non-Federal funds 
to meet these objectives. The financial plan must identify the source 
and amounts of other Federal and non-Federal funds to be used to meet 
these objectives; and
    (3) How funds received under sections 711, 721, and 752 of the Act 
will further these objectives.
    (b) The objectives required by paragraph (a) of this section must 
address--
    (1) The overall goals and mission of the State's IL programs and 
services;
    (2) The various priorities for the types of services and populations 
to be served; and
    (3) The types of services to be provided.
    (c) In developing the objectives required by paragraph (a) of this 
section, the DSU and the SILC shall consider, and incorporate if 
appropriate, the priorities and objectives established by centers 
pursuant to section 725(c)(4) of the Act.
    (d) The State plan must establish timeframes for the achievement of 
the objectives required by paragraph (a) of this section.
    (e) The State plan must explain how the objectives required by 
paragraph (a) of this section are consistent with and further the 
purpose of chapter 1 of title VII of the Act, as stated in section 701 
of the Act and Sec. 364.2.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(d))



Sec. 364.43  What requirements apply to the provision of State IL services?

    (a) The State plan must describe the extent and scope of IL services 
to be

[[Page 380]]

provided under title VII of the Act to meet the objectives stated in 
Sec. 364.42.
    (b) The State plan must provide that the State directly, or through 
grants or contracts, will provide IL services with Federal, State, or 
other funds.
    (c) Unless the individual signs a waiver stating that an IL plan is 
unnecessary, IL services provided to individuals with significant 
disabilities must be in accordance with an IL plan that meets the 
requirements of Sec. 364.52 and that is mutually agreed upon by--
    (1) An appropriate staff member of the service provider; and
    (2) The individual.
    (d) If the State provides the IL services that it is required to 
provide by paragraph (b) of this section through grants or contracts 
with third parties, the State plan must describe these arrangements.
    (e) If the State contracts with or awards a grant to a center for 
the general operation of the center, the State shall delegate to the 
center the determination of an individual's eligibility for services 
from that center. If the State contracts with or awards a grant to a 
third party to provide specific IL services, the State may choose to 
delegate to the IL service provider the determination of eligibility for 
these services and the development of an IL plan for individuals who 
receive these services.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c), 796c(e)-(f), and 796f-4(b)(2))



         Subpart D--What Conditions Must Be Met After an Award?



Sec. 364.50  What requirements apply to the processing of referrals and applications?

    The service provider shall apply the standards and procedures 
established by the DSU pursuant to 34 CFR 365.30 to ensure expeditious 
and equitable handling of referrals and applications for IL services 
from individuals with significant disabilities.

(Authority: 29 U.S.C. 711(c) and 796-796f-5)



Sec. 364.51  What requirements apply to determinations of eligibility or ineligibility?

    (a) Eligibility. (1) Before or at the same time as an applicant for 
IL services may begin receiving IL services funded under this part, the 
service provider shall determine the applicant's eligibility and 
maintain documentation that the applicant has met the basic requirements 
specified in Sec. 364.40.
    (2) The documentation must be dated and signed by an appropriate 
staff member of the service provider.
    (b) Ineligibility. (1) If a determination is made that an applicant 
for IL services is not an individual with a significant disability, the 
service provider shall provide documentation of the ineligibility 
determination that is dated and signed by an appropriate staff member.
    (2)(i) The service provider may determine an applicant to be 
ineligible for IL services only after full consultation with the 
applicant or, if the applicant chooses, the applicant's parent, 
guardian, or other legally authorized advocate or representative, or 
after providing a clear opportunity for this consultation.
    (ii) The service provider shall notify the applicant in writing of 
the action taken and inform the applicant or, if the applicant chooses, 
the applicant's parent, guardian, or other legally authorized advocate 
or representative, of the applicant's rights and the means by which the 
applicant may appeal the action taken. (Cross-reference: See 
Sec. 364.58(a).)
    (iii) The service provider shall provide a detailed explanation of 
the availability and purposes of the CAP established within the State 
under section 112 of the Act, including information on how to contact 
the program.
    (iv) If appropriate, the service provider shall refer the applicant 
to other agencies and facilities, including the State's VR program under 
34 CFR part 361.
    (c) Review of ineligibility determination. (1) If an applicant for 
IL services has been found ineligible, the service provider shall review 
the applicant's ineligibility at least once within 12 months after the 
ineligibility determination

[[Page 381]]

has been made and whenever the service provider determines that the 
applicant's status has materially changed.
    (2) The review need not be conducted in situations where the 
applicant has refused the review, the applicant is no longer present in 
the State, or the applicant's whereabouts are unknown.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(e))



Sec. 364.52  What are the requirements for an IL plan?

    (a) General. (1) Unless the individual who is to be provided IL 
services under this part signs a waiver in accordance with paragraph 
(a)(2) of this section, the service provider, in collaboration with the 
individual with a significant disability, shall develop and periodically 
review an IL plan for the individual in accordance with the requirements 
in Sec. 364.43(c) and paragraphs (b) through (e) of this section.
    (2) The requirements of this section with respect to an IL plan do 
not apply if the individual knowingly and voluntarily signs a waiver 
stating that an IL plan is unnecessary.
    (3) Subject to paragraph (a)(2) of this section, the service 
provider shall provide each IL service in accordance with the IL plan.
    (b) Initiation and development of an IL plan. (1) Development of an 
individual's IL plan must be initiated after documentation of 
eligibility under Sec. 364.51(a) and must indicate the goals or 
objectives established, the services to be provided, and the anticipated 
duration of the service program and each component service.
    (2) The IL plan must be developed jointly and signed by the 
appropriate staff member of the service provider and the individual with 
a significant disability or, if consistent with State law and the 
individual chooses, the individual's guardian, parent, or other legally 
authorized advocate or representative.
    (3) A copy of the IL plan, and any amendments, must be provided in 
an accessible format to the individual with a significant disability or, 
if consistent with State law and the individual chooses, the 
individual's guardian, parent, or other legally authorized advocate or 
representative.
    (c) Review. (1) The IL plan must be reviewed as often as necessary 
but at least on an annual basis to determine whether services should be 
continued, modified, or discontinued, or whether the individual should 
be referred to a program of VR services under 34 CFR part 361 or to any 
other program of assistance.
    (2) Each individual with a significant disability or, if consistent 
with State law and the individual chooses, the individual's guardian, 
parent, or other legally authorized advocate or representative, must be 
given an opportunity to review the IL plan and, if necessary, jointly 
redevelop and agree by signature to its terms.
    (d) Coordination with vocational rehabilitation, developmental 
disabilities, and special education programs. The development of the IL 
plan and the provision of IL services must be coordinated to the maximum 
extent possible with any individualized--
    (1) Written rehabilitation program for VR services for that 
individual;
    (2) Habilitation program for the individual prepared under the 
Developmental Disabilities Assistance and Bill of Rights Act; and
    (3) Education program for the individual prepared under part B of 
the Individuals with Disabilities Education Act.
    (e) Termination of services. If the service provider intends to 
terminate services to an individual receiving IL services under an IL 
plan, the service provider shall follow the procedures in 
Sec. 364.51(b)(2)(ii) through (iv) and (c).

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796c(e) and (j))



Sec. 364.53  What records must be maintained for the individual?

    For each applicant for IL services (other than information and 
referral) and for each individual receiving IL services (other than 
information and referral), the service provider shall maintain a 
consumer service record that includes--
    (a) Documentation concerning eligibility or ineligibility for 
services;

[[Page 382]]

    (b) The services requested by the consumer;
    (c) Either the IL plan developed with the consumer or a waiver 
signed by the consumer stating that an IL plan is unnecessary;
    (d) The services actually provided to the consumer; and
    (e) The IL goals or objectives--
    (1) Established with the consumer, whether or not in the consumer's 
IL plan; and
    (2) Achieved by the consumer.
    (f) A consumer service record may be maintained either 
electronically or in written form, except that the IL plan and waiver 
must be in writing.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c), 712 and 796c(m)(4)(B))



Sec. 364.54  What are the durational limitations on IL services?

    The service provider may not impose any uniform durational 
limitations on the provision of IL services, except as otherwise 
provided by Federal law or regulation.

(Authority: 29 U.S.C. 711(c) and 796-796f-5)



Sec. 364.55  What standards shall service providers meet?

    In providing IL services to individuals with significant 
disabilities, service providers shall comply with--
    (a) The written standards for IL service providers established by 
the DSU pursuant to 34 CFR 365.31; and
    (b) All applicable State or Federal licensure or certification 
requirements.

(Authority: 29 U.S.C. 711(c) and 796-796f-5)



Sec. 364.56  What are the special requirements pertaining to the protection, use, and release of personal information?

    (a) General provisions. The State plan must assure that each service 
provider will adopt and implement policies and procedures to safeguard 
the confidentiality of all personal information, including photographs 
and lists of names. These policies and procedures must assure that--
    (1) Specific safeguards protect current and stored personal 
information;
    (2) All applicants for, or recipients of, IL services and, as 
appropriate, those individuals' legally authorized representatives, 
service providers, cooperating agencies, and interested persons are 
informed of the confidentiality of personal information and the 
conditions for gaining access to and releasing this information;
    (3) All applicants or their legally authorized representatives are 
informed about the service provider's need to collect personal 
information and the policies governing its use, including--
    (i) Identification of the authority under which information is 
collected;
    (ii) Explanation of the principal purposes for which the service 
provider intends to use or release the information;
    (iii) Explanation of whether providing requested information to the 
service provider is mandatory or voluntary and the effects to the 
individual of not providing requested information;
    (iv) Identification of those situations in which the service 
provider requires or does not require informed written consent of the 
individual or his or her legally authorized representative before 
information may be released; and
    (v) Identification of other agencies to which information is 
routinely released;
    (4) Persons who are unable to communicate in English or who rely on 
alternative modes of communication must be provided an explanation of 
service provider policies and procedures affecting personal information 
through methods that can be adequately understood by them;
    (5) At least the same protections are provided to individuals with 
significant disabilities as provided by State laws and regulations; and
    (6) Access to records is governed by rules established by the 
service provider and any fees charged for copies of records are 
reasonable and cover only extraordinary costs of duplication or making 
extensive searches.
    (b) Service provider use. All personal information in the possession 
of the service provider may be used only for the purposes directly 
connected with the provision of IL services and the administration of 
the IL program under which IL services are provided. Information 
containing identifiable personal information may not be shared with 
advisory or other bodies that do

[[Page 383]]

not have official responsibility for the provision of IL services or the 
administration of the IL program under which IL services are provided. 
In the provision of IL services or the administration of the IL program 
under which IL services are provided, the service provider may obtain 
personal information from other service providers and cooperating 
agencies under assurances that the information may not be further 
divulged, except as provided under paragraphs (c), (d), and (e) of this 
section.
    (c) Release to recipients of IL services. (1) Except as provided in 
paragraphs (c)(2) and (c)(3) of this section, if requested in writing by 
a recipient of IL services, the service provider shall release all 
information in that individual's record of services to the individual or 
the individual's legally authorized representative in a timely manner.
    (2) Medical, psychological, or other information that the service 
provider determines may be harmful to the individual may not be released 
directly to the individual, but must be provided through a qualified 
medical or psychological professional or the individual's legally 
authorized representative.
    (3) If personal information has been obtained from another agency or 
organization, it may be released only by, or under the conditions 
established by, the other agency or organization.
    (d) Release for audit, evaluation, and research. Personal 
information may be released to an organization, agency, or individual 
engaged in audit, evaluation, or research activities only for purposes 
directly connected with the administration of an IL program, or for 
purposes that would significantly improve the quality of life for 
individuals with significant disabilities and only if the organization, 
agency, or individual assures that--
    (1) The information will be used only for the purposes for which it 
is being provided;
    (2) The information will be released only to persons officially 
connected with the audit, evaluation, or research;
    (3) The information will not be released to the involved individual;
    (4) The information will be managed in a manner to safeguard 
confidentiality; and
    (5) The final product will not reveal any personally identifying 
information without the informed written consent of the involved 
individual or the individual's legally authorized representative.
    (e) Release to other programs or authorities. (1) Upon receiving the 
informed written consent of the individual or, if appropriate, the 
individual's legally authorized representative, the service provider may 
release personal information to another agency or organization for the 
latter's program purposes only to the extent that the information may be 
released to the involved individual and only to the extent that the 
other agency or organization demonstrates that the information requested 
is necessary for the proper administration of its program.
    (2) Medical or psychological information may be released pursuant to 
paragraph (e)(1) of this section if the other agency or organization 
assures the service provider that the information will be used only for 
the purpose for which it is being provided and will not be further 
released to the individual.
    (3) The service provider shall release personal information if 
required by Federal laws or regulations.
    (4) The service provider shall release personal information in 
response to investigations in connection with law enforcement, fraud, or 
abuse, unless expressly prohibited by Federal or State laws or 
regulations, and in response to judicial order.
    (5) The service provider also may release personal information to 
protect the individual or others if the individual poses a threat to his 
or her safety or to the safety of others.

(Authority: 29 U.S.C. 711(c))



Sec. 364.57   What functions and responsibilities may the State delegate?

    A DSU may carry out the functions and responsibilities described in 
Secs. 364.50, 364.51 (subject to 364.43(d)), 364.52, 364.53, and 364.56 
or, except as otherwise provided, may delegate these functions and 
responsibilities to the appropriate service provider with

[[Page 384]]

which the DSU subgrants or contracts to provide IL services.

(Authority: 29 U.S.C. 711(c), 796c(f) and 796e-2)



Sec. 364.58   What appeal procedures must be available to consumers?

    Each service provider shall--
    (a) Establish policies and procedures that an individual may use to 
obtain review of decisions made by the service provider concerning the 
individual's request for IL services or the provision of IL services to 
the individual; and
    (b) Use formats that are accessible to inform each individual who 
seeks or is receiving IL services from the service provider about the 
procedures required by paragraph (a) of this section.

(Authority: 29 U.S.C. 711(c))



Sec. 364.59   May an individual's ability to pay be considered in determining his or her participation in the costs of IL services?

    (a) No Federal requirement or prohibition. (1) A State is neither 
required to allow nor prohibited from allowing service providers to 
charge consumers for the cost of IL services.
    (2) If a State allows service providers to charge consumers for the 
cost of IL services, a State is neither required to allow nor prohibited 
from allowing service providers to consider the ability of individual 
consumers to pay for the cost of IL services in determining how much a 
particular consumer must contribute to the costs of a particular IL 
service.
    (b) State plan requirements. If a State chooses to allow service 
providers to charge consumers for the cost of IL services or if a State 
chooses to allow service providers to consider the ability of individual 
consumers to pay for the cost of IL services, the State plan must--
    (1) Specify the types of IL services for which costs may be charged 
and for which a financial need test may be applied; and
    (2) Assure that any consideration of financial need is applied 
uniformly so that all individuals who are eligible for IL services are 
treated equally.
    (c) Financial need. Consistent with paragraph (b) of this section, a 
service provider may choose to charge consumers for the cost of IL 
services or may choose to consider the financial need of an individual 
who is eligible for IL services.
    (d) Written policies and documentation. If the service provider 
chooses to consider financial need--
    (1) It shall maintain written policies covering the specific types 
of IL services for which a financial need test will be applied; and
    (2) It shall document the individual's participation in the cost of 
any IL services, including the individual's financial need.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c))



PART 365--STATE INDEPENDENT LIVING SERVICES--Table of Contents




                           Subpart A--General

Sec.
365.1  What is the State Independent Living Services (SILS) program?
365.2  Who is eligible for an award?
365.3  What regulations apply?

       Subpart B--How Does the Secretary Make a Grant to a State?

365.10  How does a State apply for a grant?
365.11  How is the allotment of Federal funds for State independent 
          living (IL) services computed?
365.12  How are payments from allotments for IL services made?
365.13  What requirements apply if the State's non-Federal share is in 
          cash?
365.14  What conditions relating to cash or in-kind contributions apply 
          to awards to grantees, subgrantees, or contractors?
365.15  What requirements apply if the State's non-Federal share is in 
          kind?
365.16  What requirements apply to refunds and rebates?

Subpart C--For What Purpose Are Funds Authorized or Required To Be Used?

365.20  What are the authorized uses of funds?
365.21  What funds may the State use to provide the IL core services?
365.22  What additional IL services may the State provide?
365.23  How does a State make a subgrant or enter into a contract?

[[Page 385]]

         Subpart D--What Conditions Must Be Met After an Award?

365.30  What are the standards for processing referrals and 
          applications?
365.31  What are the standards for service providers?

    Authority: 29 U.S.C. 796e-796e-2, unless otherwise noted.

    Source: 59 FR 41897, Aug. 15, 1994, unless otherwise noted.



                           Subpart A--General



Sec. 365.1   What is the State Independent Living Services (SILS) program?

    The Secretary provides financial assistance to States under the SILS 
program authorized by part B of chapter 1 of title VII of the Act to--
    (a) Provide the resources described in the resource plan required by 
section 705(e) of the Act and 34 CFR 364.21(d) relating to the Statewide 
IL Council (SILC);
    (b) Provide to individuals with significant disabilities the 
independent living (IL) services required by section 704(e) of the Act;
    (c) Demonstrate ways to expand and improve IL services;
    (d) Support the operation of centers for independent living 
(centers) that are in compliance with the standards and assurances in 
section 725 (b) and (c) of the Act and subparts F and G of 34 CFR part 
366;
    (e) Support activities to increase the capacities of public or 
nonprofit agencies and organizations and other entities to develop 
comprehensive approaches or systems for providing IL services;
    (f) Conduct studies and analyses, gather information, develop model 
policies and procedures, and present information, approaches, 
strategies, findings, conclusions, and recommendations to Federal, 
State, and local policy makers in order to enhance IL services for 
individuals with significant disabilities;
    (g) Train individuals with significant disabilities, individuals 
with disabilities, individuals providing services to individuals with 
significant disabilities, and other persons regarding the IL philosophy; 
and
    (h) Provide outreach to populations that are unserved or underserved 
by programs under title VII of the Act, including minority groups and 
urban and rural populations.

(Authority: 29 U.S.C. 796e)



Sec. 365.2   Who is eligible for an award?

    Any designated State unit (DSU) identified by the State pursuant to 
34 CFR 364.22 is eligible to apply for assistance under this part in 
accordance with 34 CFR 364.10 and 364.11.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(a)(1) and (c) and 796e(a))



Sec. 365.3  What regulations apply?

    The following regulations apply to this part:
    (a) The regulations in 34 CFR part 364.
    (b) The regulations in this part 365.

(Authority: 29 U.S.C. 711(c) and 796e)



       Subpart B--How Does the Secretary Make a Grant to a State?



Sec. 365.10  How does a State apply for a grant?

    To receive a grant under this part, a State shall submit to the 
Secretary and obtain approval of a State plan that meets the 
requirements of part A of title VII of the Act and subparts B and C of 
34 CFR part 364.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 796c(a)(1) and (c) and 796e(a))



Sec. 365.11  How is the allotment of Federal funds for State independent living (IL) services computed?

    (a) The allotment of Federal funds for State IL services for each 
State is computed in accordance with the requirements of section 
711(a)(1) of the Act.
    (b) The allotment of Federal funds for Guam, American Samoa, the 
United States Virgin Islands, the Commonwealth of the Northern Mariana 
Islands, and the Republic of Palau is computed in accordance with 
section 711(a)(2) of the Act.

[[Page 386]]

    (c) If the State plan designates, pursuant to Sec. 364.22(c), a unit 
to administer the part of the plan under which State IL services are 
provided for individuals who are blind and a separate or different unit 
to administer the rest of the plan, the division of the State's 
allotment between these two units is a matter for State determination.

(Authority: 29 U.S.C. 711(c) and 796e(a))



Sec. 365.12  How are payments from allotments for IL services made?

    (a) From the allotment of a State for a fiscal year under 
Sec. 365.11, the Secretary pays to the State the Federal share of the 
expenditures incurred by the State during the year in accordance with 
the State plan approved under section 706 of the Act. After any 
necessary adjustments resulting from previously made overpayments or 
underpayments, the payments may be made in advance or by reimbursement, 
in installments, and on conditions that the Secretary may determine.
    (b)(1) The Federal share with respect to any State for any fiscal 
year is 90 percent of the expenditures incurred by the State during that 
fiscal year under its State plan approved under section 706 of the Act.
    (2) The non-Federal share of the cost of any project that receives 
assistance through an allotment under this part may be provided in cash 
or in kind, fairly evaluated, including plant, equipment, or services.

(Authority: U.S.C. 796e-1)



Sec. 365.13  What requirements apply if the State's non-Federal share is in cash?

    (a) Except as further limited by paragraph (b) of this section, 
expenditures that meet the requirements of 34 CFR 80.24(a) through 
(b)(6) may be used to meet the non-Federal share matching requirement 
under section 712(b) of the Act if--
    (1) The expenditures are made with funds made available by 
appropriation directly to the designated State agency or with funds made 
available by allotment or transfer from any other unit of State or local 
government;
    (2) The expenditures are made with cash contributions from a donor 
that are deposited in the account of the designated State agency in 
accordance with State law for expenditure by, and at the sole discretion 
of, the DSU for activities identified or described in the State plan and 
authorized by Sec. 365.20; or
    (3) The expenditures are made with cash contributions from a donor 
that are earmarked for meeting the State's share for--
    (i) Providing particular services (e.g., personal assistance 
services);
    (ii) Serving individuals with certain types of disabilities (e.g., 
older individuals who are blind);
    (iii) Providing services to specific groups that State or Federal 
law permits to be targeted for services (e.g., children of migrant 
laborers); or
    (iv) Carrying out particular types of administrative activities 
permissible under State law.
    (b) Cash contributions are permissible under paragraph (a)(3) of 
this section only if the cash contributions are not used for 
expenditures that benefit or will benefit in any way the donor, an 
individual to whom the donor is related by blood or marriage or with 
whom the donor has a close personal relationship, or an individual, 
entity, or organization with whom the donor shares a financial interest.
    (c) The receipt of a grant, subgrant, or contract under section 713 
of the Act or a grant, subgrant, or assistance contract under section 
723 of the Act from the DSU is not considered a benefit to the donor of 
a cash contribution for purposes of paragraph (b) of this section if the 
grant, subgrant, or contract was awarded under the State's regular 
competitive procedures.
    (d) For purposes of this section, a donor may be a private agency, a 
profit-making or nonprofit organization, or an individual.

(Authority: 29 U.S.C. 711(c) and 796e-1(b))



Sec. 365.14  What conditions relating to cash or in-kind contributions apply to awards to grantees, subgrantees, or contractors?

    (a) A State may not condition the award of a grant, subgrant, or 
contract under section 713 of the Act or a grant, subgrant, or 
assistance contract under section 723 of the Act on the requirement that 
the applicant for the grant

[[Page 387]]

or subgrant make a cash or in-kind contribution of any particular amount 
or value to the State.
    (b) An individual, entity, or organization that is a grantee or 
subgrantee of the State, or has a contract with the State, may not 
condition the award of a subgrant or subcontract under section 713 of 
the Act or section 723 of the Act on the requirement that the applicant 
for the subgrant or subcontract make a cash or in-kind contribution of 
any particular amount or value to the State or to the grantee or 
contractor of the State.

(Authority: 29 U.S.C. 711(c) and 796e-1(b))



Sec. 365.15  What requirements apply if the State's non-Federal share is in kind?

    Subject to Sec. 365.14, in-kind contributions may be--
    (a) Used to meet the matching requirement under section 712(b) of 
the Act if the in-kind contributions meet the requirements of 34 CFR 
80.24 (b)(7) through (g) and if the in-kind contributions would be 
considered allowable costs under this part, as determined by the cost 
principles made applicable by either subpart Q of 34 CFR part 74 or 34 
CFR 80.22, as appropriate; and
    (b) Made to the program or project by the State or by a third party 
(i.e., an individual, entity, or organization, whether local, public, 
private, for profit, or nonprofit), including a third party that is a 
grantee, subgrantee, or contractor that is receiving or will receive 
assistance under section 713 or 723 of the Act.

(Authority: 29 U.S.C. 711(c) and 796e-1(b))



Sec. 365.16  What requirements apply to refunds and rebates?

    The following must be treated as a reduction of expenditures charged 
to the grant, subgrant, or contract awarded under this part and may not 
be used for meeting the State's matching requirement under section 
712(b) of the Act:
    (a) Rebates, deductions, refunds, discounts, or reductions to the 
price of goods, products, equipment, rental property, real property, or 
services.
    (b) Premiums, bonuses, gifts, and any other payments related to the 
purchase of goods, products, equipment, rental property, real property, 
or services.

(Authority: 29 U.S.C. 711(c), 796e-1(b), and OMB Circulars A-87 and A-
122)



Subpart C--For What Purpose Are Funds Authorized or Required To Be Used?



Sec. 365.20  What are the authorized uses of funds?

    The State may use funds received under this part to support the 
activities listed in Sec. 365.1 and to meet its obligation under section 
704(e) of the Act and 34 CFR 364.43(b).

(Authority: 29 U.S.C. 796e-2)



Sec. 365.21  What funds may the State use to provide the IL core services?

    (a) In providing IL services as required under section 704(e) of the 
Act and 34 CFR 364.43(b), a State may use funds provided under this part 
to provide directly, or through grants or contracts, the following IL 
core services:
    (1) Information and referral services.
    (2) IL skills training.
    (3) Peer counseling, including cross-disability peer counseling.
    (4) Individual and systems advocacy.
    (b) Information and referral services may be provided independently 
of the other services described in paragraph (a) of this section and 
without regard to subpart G of 34 CFR part 366.

(Authority: 29 U.S.C. 711(c) and 796c(e))



Sec. 365.22  What additional IL services may the State provide?

    In addition to the IL core services that the State may provide 
pursuant to Sec. 365.21(a) with funds received under part B of chapter 1 
of title VII of the Act, the State also may use funds received under 
part B of chapter 1 of title VII of the Act to provide other IL services 
defined in 34 CFR 364.4 (Independent living services).

(Authority: 29 U.S.C. 796e-2(1))



Sec. 365.23  How does a State make a subgrant or enter into a contract?

    If a State makes a subgrant or enters into a contract to provide IL 
services to meet its obligation under section 704(e) of the Act--

[[Page 388]]

    (a) The provisions of this part apply to both the State and the 
entity or individual to whom it awards a subgrant or with whom it enters 
into a contract; and
    (b) The provisions concerning the administration of subgrants and 
contracts in 34 CFR parts 76 and 80 apply to the State.
    (c) Cross-reference: See 34 CFR parts 74, 76, and 80.

(Authority: 29 U.S.C. 711(c), 796c(f), and 796e-2)



         Subpart D--What Conditions Must Be Met After an Award?



Sec. 365.30  What are the standards for processing referrals and applications?

    The DSU shall develop, establish, and maintain written standards and 
procedures to be applied by service providers to assure expeditious and 
equitable handling of referrals and applications for IL services from 
individuals with significant disabilities.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c) and 796e)



Sec. 365.31  What are the standards for service providers?

    (a) The DSU shall develop, establish, make available to the public, 
maintain, and implement written minimum standards for the provision of--
    (1) IL services to be met by service providers that are not centers; 
and
    (2) Specialized IL services to individuals with significant 
disabilities by centers under a contract with the DSU.
    (b) The minimum standards developed pursuant to paragraph (a)(2) of 
this section may differ from the standards and assurances in section 725 
of the Act and subparts F and G of 34 CFR part 366.
    (c) The DSU shall assure that participating service providers meet 
all applicable State licensure or certification requirements.

(Approved by the Office of Management and Budget under control number 
1820-0527)

(Authority: 29 U.S.C. 711(c))



PART 366--CENTERS FOR INDEPENDENT LIVING--Table of Contents




                           Subpart A--General

Sec.
366.1  What is the Centers for Independent Living (CIL) program?
366.2  What agencies are eligible for assistance under the CIL program?
366.3  What activities may the Secretary fund?
366.4  What regulations apply?
366.5  What definitions apply to this program?
366.6  How are program funds allotted?

              Subpart B--Training and Technical Assistance

366.10  What agencies are eligible for assistance to provide training 
          and technical assistance?
366.11  What financial assistance does the Secretary provide for 
          training and technical assistance?
366.12  How does the Secretary make an award?
366.13  How does the Secretary determine funding priorities?
366.14  How does the Secretary evaluate an application?
366.15  What selection criteria does the Secretary use?

Subpart C--Grants to Centers for Independent Living (Centers) in States 
             in Which Federal Funding Exceeds State Funding

366.20  When does the Secretary award grants to centers?
366.21  What are the application requirements for existing eligible 
          agencies?
366.22  What is the order of priorities?
366.23  What grants must be made to existing eligible agencies?
366.24  How is an award made to a new center?
366.25  What additional factor does the Secretary use in making a grant 
          for a new center under Sec. 366.24?
366.26  How does the Secretary evaluate an application?
366.27  What selection criteria does the Secretary use?
366.28  Under what circumstances may the Secretary award a grant to a 
          center in one State to serve individuals in another State?

[[Page 389]]

Subpart D--Grants to Centers in States in Which State Funding Equals or 
                         Exceeds Federal Funding

   Determining Whether State Funding Equals or Exceeds Federal Funding

366.29  When may the Director of the designated State unit (DSU) award 
          grants to centers?
366.30  What are earmarked funds?
366.31  What happens if the amount of earmarked funds does not equal or 
          exceed the amount of Federal funds for a preceding fiscal 
          year?

                             Awarding Grants

366.32  Under what circumstances may the DSU make grants?
366.33  What are the application requirements for existing eligible 
          agencies?
366.34  What is the order of priorities?
366.35  What grants must be made to existing eligible agencies?
366.36  How is an award made to a new center?
366.37  What procedures does the Director of the DSU (Director) use in 
          making a grant for a new center?
366.38  What are the procedures for review of centers?

              Subpart E--Enforcement and Appeals Procedures

366.39  What procedures does the Secretary use for enforcement?
366.40  How does the Director initiate enforcement procedures?
366.41  What must be included in an initial written notice from the 
          Director?
366.42  When does a Director issue a final written decision?
366.43  What must be included in the Director's final written decision?
366.44  How does a center appeal a decision included in a Director's 
          initial written notice or a Director's final written decision?
366.45  What must a Director do upon receipt of a copy of a center's 
          formal written appeal to the Secretary?
366.46  How does the Secretary review a center's appeal of a decision 
          included in a Director's initial written notice or a 
          Director's final written decision?

                    Subpart F--Assurances for Centers

366.50  What assurances shall a center provide and comply with?

        Subpart G--Evaluation Standards and Compliance Indicators

366.60  What are project evaluation standards?
366.61  What are the compliance indicators?
366.62  What are the requirements for continuation funding?
366.63  What evidence must a center present to demonstrate that it is in 
          minimum compliance with the evaluation standards?

    Authority: 29 U.S.C. 796d-1(b) and 796f-796f-6, unless otherwise 
noted.

    Source: 59 FR 41900, Aug. 15, 1994, unless otherwise noted.



                           Subpart A--General



Sec. 366.1  What is the Centers for Independent Living (CIL) program?

    The CIL program provides financial assistance for planning, 
conducting, administering, and evaluating centers for independent living 
(centers) that comply with the standards and assurances in section 
725(b) and (c) of the Act, consistent with the design included in the 
State plan pursuant to 34 CFR 364.25 for establishing a statewide 
network of centers.

(Authority: 29 U.S.C. 796f, 796f-1(a)(2), and 796f-2(a)(1)(A)(ii))



Sec. 366.2  What agencies are eligible for assistance under the CIL program?

    (a) In any State in which the Secretary has approved the State plan 
required by section 704 of the Act, an applicant may receive a grant 
under subpart C or D of this part, as applicable, if the applicant 
demonstrates in its application submitted pursuant to Sec. 366.21, 
366.24, 366.33, 366.35, or 366.36 that it--
    (1) Has the power and authority to--
    (i) Carry out the purpose of part C of title VII of the Act and 
perform the functions listed in section 725(b) and (c) of the Act and 
subparts F and G of this part within a community located within that 
State or in a bordering State; and
    (ii) Receive and administer--
    (A) Funds under this part;
    (B) Funds and contributions from private or public sources that may 
be used in support of a center; and
    (C) Funds from other public and private programs; and
    (2) Is able to plan, conduct, administer, and evaluate a center 
consistent with the standards and assurances in

[[Page 390]]

section 725(b) and (c) of the Act and subparts F and G of this part.
    (b) An applicant that meets the requirements of paragraph (a) of 
this section is eligible to apply as a new center under Secs. 366.24 or 
366.36 if it--
    (1) Is not receiving funds under part C of chapter 1 of title VII of 
the Act; or
    (2) Proposes the expansion of an existing center through the 
establishment of a separate and complete center (except that the 
governing board of the existing center may serve as the governing board 
of the new center) at a different geographical location; and
    (3) Meets the requirements of Sec. 366.24;
    (c) A State that received assistance in fiscal year (FY) 1993 to 
directly operate a center in accordance with section 724(a) of the Act 
is eligible to continue to receive assistance under this part to 
directly operate that center for FY 1994 or a succeeding fiscal year if, 
for the fiscal year for which assistance is sought--
    (1) No nonprofit private agency submits and obtains approval of an 
acceptable application under section 722 or 723 of the Act or 
Sec. 366.21 or Sec. 366.24 to operate a center for that fiscal year 
before a date specified by the Secretary; or
    (2) After funding all applications so submitted and approved, the 
Secretary determines that funds remain available to provide that 
assistance.
    (d) Except for the requirement that the center be a private 
nonprofit agency, a center that is operated by a State that receives 
assistance under paragraph (a), (b), or (c) of this section shall comply 
with all of the requirements of part C of title VII of the Act and the 
requirements in subparts C or D, as applicable, and F of this part.
    (e) Eligibility requirements for assistance under subpart B of this 
part are described in Sec. 366.10.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c), 796f-1(b) and (d)(3), 796f-2(b), and 796f-
3(a)(2) and (b))



Sec. 366.3  What activities may the Secretary fund?

    (a) An eligible agency may use funds awarded under subpart B of this 
part to carry out activities described in Sec. 366.11(b).
    (b) An eligible agency may use funds awarded under subparts C and D 
of this part to--
    (1) Plan, conduct, administer, and evaluate centers that comply with 
the standards and assurances in section 725(b) and (c) of the Act;
    (2) Promote and practice the independent living (IL) philosophy in 
accordance with Evaluation Standard 1 (``Philosophy'');
    (3) Provide IL services (including IL core services and, as 
appropriate, a combination of any other IL services specified in section 
7(30)(B) of the Act) to individuals with a range of significant 
disabilities in accordance with Evaluation Standards 2 and 5 
(``Provision of services'' and ``Independent living core services,'' 
respectively);
    (4) Facilitate the development and achievement of IL goals selected 
by individuals with significant disabilities who seek assistance in the 
development and achievement of IL goals from the center in accordance 
with Evaluation Standard 3 (``Independent living goals'');
    (5) Increase the availability and improve the quality of community 
options for independent living in order to facilitate the development 
and achievement of IL goals by individuals with significant disabilities 
in accordance with Evaluation Standard 4 (``Community options'');
    (6) Increase the capacity of communities within the service area of 
the center to meet the needs of individuals with significant 
disabilities in accordance with Evaluation Standard 6 (``Activities to 
increase community capacity'');
    (7) Conduct resource development activities to obtain funding from 
sources other than chapter 1 of title VII of the Act in accordance with 
Evaluation Standard 7 (Resource development activities); and
    (8) Conduct activities necessary to comply with the assurances in 
section 725(c) of the Act, including, but not limited to the following:
    (i) Aggressive outreach regarding services provided through the 
center in an effort to reach populations of individuals with significant 
disabilities that are unserved or underserved by

[[Page 391]]

programs under title VII of the Act, especially minority groups and 
urban and rural populations.
    (ii) Training for center staff on how to serve unserved and 
underserved populations, including minority groups and urban and rural 
populations.
    (9) Cross-reference: See Sec. 366.71 in subpart G.

(Authority: 29 U.S.C. 796f through 796f-4)



Sec. 366.4  What regulations apply?

    The following regulations apply to the CIL program:
    (a) The regulations in 34 CFR part 364.
    (b) The regulations in this part 366.

(Authority: 29 U.S.C. 711(c) and 796f-796f-5)



Sec. 366.5  What definitions apply to this program?

    Decisionmaking position means the executive director, any 
supervisory position, and any other policymaking position within the 
center.
    Staff position means a paid non-contract position within the center 
that is not included within the definition of a ``decisionmaking 
position.''

(Authority: 29 U.S.C. 796a(a))

[60 FR 39221, Aug. 1, 1995]



Sec. 366.6  How are program funds allotted?

    (a) The Secretary allots Federal funds appropriated for FY 1994 and 
subsequent fiscal years for the CIL program to each State in accordance 
with the requirements of section 721 of the Act.
    (b)(1) After the Secretary makes the reservation required by section 
721(b) of the Act, the Secretary makes an allotment, from the remainder 
of the amount appropriated for a fiscal year to carry out part C of 
title VII of the Act, to each State whose State plan has been approved 
under section 706 of the Act and 34 CFR part 364.
    (2) The Secretary makes the allotment under paragraph (b)(1) of this 
section subject to sections 721(c)(1)(B) and (C), 721(c)(2) and (3), and 
721(d) of the Act.

(Authority: 29 U.S.C. 796f)

[59 FR 41900, Aug. 15, 1994. Redesignated at 60 FR 39221, Aug. 1, 1995]



              Subpart B--Training and Technical Assistance



Sec. 366.10  What agencies are eligible for assistance to provide training and technical assistance?

    Entities that have experience in the operation of centers are 
eligible to apply for grants to provide training and technical 
assistance under section 721(b) of the Act to eligible agencies, 
centers, and Statewide Independent Living Councils (SILCs).

(Authority: 29 U.S.C. 796f(b)(1))



Sec. 366.11  What financial assistance does the Secretary provide for training and technical assistance?

    (a) From funds, if any, reserved under section 721(b)(1) of the Act 
to carry out the purposes of this subpart, the Secretary makes grants 
to, and enters into contracts, cooperative agreements, and other 
arrangements with, entities that have experience in the operation of 
centers.
    (b) An entity receiving assistance in accordance with paragraph (a) 
of this section shall provide training and technical assistance to 
eligible agencies, centers, and SILCs to plan, develop, conduct, 
administer, and evaluate centers.

(Authority: 29 U.S.C. 796f(b)(1)-(3))



Sec. 366.12  How does the Secretary make an award?

    (a) To be eligible to receive a grant or enter into a contract or 
other arrangement under section 721(b) of the Act and this subpart, an 
applicant shall submit an application to the Secretary containing a 
proposal to provide training and technical assistance to eligible 
agencies, centers, and SILCs and any additional information at the time 
and in the manner that the Secretary may require.
    (b) The Secretary provides for peer review of grant applications by 
panels that include persons who are not Federal government employees and 
who have experience in the operation of centers.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f(b))

[[Page 392]]



Sec. 366.13  How does the Secretary determine funding priorities?

    In making awards under this section, the Secretary determines 
funding priorities in accordance with the training and technical 
assistance needs identified by the survey of SILCs and centers required 
by section 721(b)(3) of the Act.

(Authority: 29 U.S.C. 796f(b)(3))



Sec. 366.14  How does the Secretary evaluate an application?

    (a) The Secretary evaluates each application for a grant under this 
subpart on the basis of the criteria in Sec. 366.15.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 29 U.S.C. 796f(b)(3))



Sec. 366.15  What selection criteria does the Secretary use?

    The Secretary uses the following criteria to evaluate applications 
for new awards for training and technical assistance:
    (a) Meeting the purposes of the program (30 points). The Secretary 
reviews each application to determine how well the project will be able 
to meet the purpose of the program of providing training and technical 
assistance to eligible agencies, centers, and SILCs with respect to 
planning, developing, conducting, administering, and evaluating centers, 
including consideration of--
    (1) The objectives of the project; and
    (2) How the objectives further training and technical assistance 
with respect to planning, developing, conducting, administering, and 
evaluating centers.
    (b) Extent of need for the project (20 points). The Secretary 
reviews each application to determine the extent to which the project 
meets specific needs recognized in title VII of the Act, including 
consideration of--
    (1) The needs addressed by the project;
    (2) How the applicant identified those needs;
    (3) How those needs will be met by the project; and
    (4) The benefits to be gained by meeting those needs.
    (c) Plan of operation (15 points). The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project, including--
    (1) The quality of the design of the project;
    (2) The extent to which the plan of management ensures proper and 
efficient administration of the project;
    (3) How well the objectives of the project relate to the purpose of 
the program;
    (4) The quality of the applicant's plan to use its resources and 
personnel to achieve each objective; and
    (5) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disability.
    (d) Quality of key personnel (7 points). (1) The Secretary reviews 
each application for information that shows the qualifications of the 
key personnel the applicant plans to use on the project, including--
    (i) The qualifications of the project director, if one is to be 
used;
    (ii) The qualifications of each of the other management and 
decision-making personnel to be used in the project;
    (iii) The time that each person referred to in paragraphs (d)(1)(i) 
and (ii) of this section will commit to the project;
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability; and
    (v) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally under-represented, including members of racial or ethnic 
minority groups, women, persons with disabilities, and elderly 
individuals.
    (2) To determine personnel qualifications under paragraphs (d)(1)(i) 
and (ii) of this section, the Secretary considers--

[[Page 393]]

    (i) Experience and training in fields related to the objectives of 
the project; and
    (ii) Any other qualifications that pertain to the objectives of the 
project.
    (e) Budget and cost effectiveness (5 points). The Secretary reviews 
each application for information that shows the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.
    (f) Evaluation plan (5 points). The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate to the project;
    (2) Will determine how successful the project is in meeting its 
goals and objectives; and
    (3) Are objective and produce data that are quantifiable.
    (4) Cross-reference: See 34 CFR 75.590.
    (g) Adequacy of resources (3 points). The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including facilities, 
equipment, and supplies.
    (h) Extent of prior experience (15 points). The Secretary reviews 
each application to determine the extent of experience the applicant has 
in the operation of centers and with providing training and technical 
assistance to centers, including--
    (1) Training and technical assistance with planning, developing, and 
administering centers;
    (2) The scope of training and technical assistance provided, 
including methods used to conduct training and technical assistance for 
centers;
    (3) Knowledge of techniques and approaches for evaluating centers; 
and
    (4) The capacity for providing training and technical assistance as 
demonstrated by previous experience in these areas.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f(b))



Subpart C--Grants to Centers for Independent Living (Centers) in States 
             in Which Federal Funding Exceeds State Funding



Sec. 366.20  When does the Secretary award grants to centers?

    The Secretary awards grants to centers in a State in a fiscal year 
if--
    (a) The amount of Federal funds allotted to the State under section 
721(c) and (d) of the Act to support the general operation of centers is 
greater than the amount of State funds earmarked for the same purpose, 
as determined pursuant to Secs. 366.29 and 366.31; or
    (b) The Director of a designated State unit (DSU) does not submit to 
the Secretary and obtain approval of an application to award grants 
under section 723 of the Act and Sec. 366.32(a) and (b).

(Authority: 29 U.S.C. 796f-1 and 796f-2(a)(2))



Sec. 366.21  What are the application requirements for existing eligible agencies?

    To be eligible for assistance, an eligible agency shall submit--
    (a) An application at the time, in the manner, and containing the 
information that is required;
    (b) An assurance that the eligible agency meets the requirements of 
Sec. 366.2; and
    (c) The assurances required by section 725(c) of the Act and subpart 
F of this part.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-1(b))



Sec. 366.22  What is the order of priorities?

    (a) In accordance with a State's allotment and to the extent funds 
are available, the order of priorities for allocating funds among 
centers within a State is as follows:
    (1) Existing centers, as described in Sec. 366.23, that comply with 
the standards and assurances in section 725(b) and (c) of the Act and 
subparts F and G of this part first receive the level of funding each 
center received in the previous year. However, any funds received by

[[Page 394]]

an existing center to establish a new center at a different geographical 
location pursuant to proposed Sec. 366.2(b)(2) are not included in 
determining the level of funding to the existing center in any fiscal 
year that the new center applies for and receives funds as a separate 
center.
    (2) Existing centers that meet the requirements of paragraph (a)(1) 
of this section then receive a cost-of-living increase in accordance 
with procedures consistent with section 721(c)(3) of the Act.
    (3) New centers, as described in Sec. 366.2(b), that comply with the 
standards and assurances in section 725(b) and (c) of the Act and 
subparts F and G of this part.
    (b) If, after meeting the priorities in paragraphs (a)(1) and (2) of 
this section, there are insufficient funds under the State's allotment 
under section 721(c) and (d) of the Act to fund a new center under 
paragraph (a)(3) of this section, the Secretary may--
    (1) Use the excess funds in the State to assist existing centers 
consistent with the State plan; or
    (2) Reallot these funds in accordance with section 721(d) of the 
Act.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-1(e))



Sec. 366.23  What grants must be made to existing eligible agencies?

    (a) In accordance with the order of priorities established in 
Sec. 366.22, an eligible agency may receive a grant if the eligible 
agency demonstrates in its application that it--
    (1) Meets the requirements in Sec. 366.21 or Sec. 366.24;
    (2) Is receiving funds under part C of title VII of the Act on 
September 30, 1993; and
    (3) Is in compliance with the program and fiscal standards and 
assurances in section 725(b) and (c) of the Act and subparts F and G of 
this part. (The indicators of minimum compliance in subpart G of this 
part are used to determine compliance with the evaluation standards in 
section 725(b) of the Act.)
    (b) For purposes of this section, an eligible agency is receiving 
funds under part C of title VII of the Act on September 30, 1993, if it 
was awarded a grant on or before that date, i.e., during FY 1993.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-1(c))



Sec. 366.24  How is an award made to a new center?

    (a) To apply for a grant as a new center, an eligible agency shall--
    (1) Meet the requirements of Sec. 366.2(b);
    (2) Submit an application that meets the requirements of 
Sec. 366.21; and
    (3) Meet the requirements of this section.
    (b) Subject to the order of priorities established in Sec. 366.22, a 
grant for a new center may be awarded to the most qualified eligible 
agency that applies for funds under this section, if--
    (1)(i) No center serves a geographic area of a State; or
    (ii) A geographic area of a State is underserved by centers serving 
other areas of the State;
    (2) The eligible agency proposes to serve the geographic area that 
is unserved or underserved in the State; and
    (3) The increase in the allotment of the State under section 721 of 
the Act for a fiscal year, as compared with the immediately preceding 
fiscal year, is sufficient to support an additional center in the State.
    (c) The establishment of a new center under this subpart must be 
consistent with the design included in the State plan pursuant to 34 CFR 
364.25 for establishing a statewide network of centers.
    (d) An applicant may satisfy the requirements of paragraph (c) of 
this section by submitting appropriate documentation demonstrating that 
the establishment of a new center is consistent with the design in the 
State plan required by 34 CFR 364.25.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-1(d))

[[Page 395]]



Sec. 366.25  What additional factor does the Secretary use in making a grant for a new center under Sec. 366.24?

    In selecting from among applicants for a grant under Sec. 366.24 for 
a new center, the Secretary considers comments regarding the 
application, if any, by the SILC in the State in which the applicant is 
located.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-1(d)(1))



Sec. 366.26  How does the Secretary evaluate an application?

    (a) The Secretary evaluates each application for a grant under this 
subpart on the basis of the criteria in Sec. 366.27.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 29 U.S.C. 796f(b)(3))



Sec. 366.27  What selection criteria does the Secretary use?

    In evaluating each application for a new center under this part, the 
Secretary uses the following selection criteria:
    (a) Extent of the need for the project (20 points). (1) The 
Secretary reviews each application for persuasive evidence that shows 
the extent to which the project meets the specific needs for the 
program, including considerations of--
    (i) The needs addressed by the project;
    (ii) How the applicant identified those needs (e.g., whether from 
the 1990 census data or other current sources);
    (iii) How those needs will be met by the project; and
    (iv) The benefits to be gained by meeting those needs.
    (2) The Secretary looks for information that shows that the need for 
the center has been established based on an assessment of the ability of 
existing programs and facilities to meet the need for IL services of 
individuals with significant disabilities in the geographic area to be 
served.
    (3) The Secretary looks for information that shows--
    (i) That the applicant proposes to establish a new center to serve a 
priority service area that is identified in the current State plan; and
    (ii) The priority that the State has placed on establishing a new 
center in this proposed service area.
    (b) Past performance (5 points). The Secretary reviews each 
application for information that shows the past performance of the 
applicant in successfully providing services comparable to the IL core 
services and other IL services listed in section 7 (29) and (30) of the 
Act and 34 CFR 365.21 and 365.22 and other services that empower 
individuals with significant disabilities.
    (c) Meeting the standards and the assurances (25 points). The 
Secretary reviews each application for information that shows--
    (1) Evidence of demonstrated success in satisfying, or a clearly 
defined plan to satisfy, the standards in section 725(b) of the Act and 
subpart G of this part; and
    (2) Convincing evidence of demonstrated success in satisfying, or a 
clearly defined plan to satisfy, the assurances in section 725(c) of the 
Act and subpart F of this part.
    (d) Quality of key personnel (10 points). (1) The Secretary reviews 
each application for information that shows the qualifications of the 
key personnel the applicant plans to use on the project, including--
    (i) The qualifications of the project director, if one is to be 
used;
    (ii) The qualifications of each of the other management and 
decision-making personnel to be used in the project;
    (iii) The time that each person referred to in paragraphs (d)(1) (i) 
and (ii) of this section will commit to the project;
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability; and
    (v) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally under-represented, including--
    (A) Members of racial or ethnic minority groups;

[[Page 396]]

    (B) Women;
    (C) Persons with disabilities; and
    (D) Elderly individuals.
    (2) To determine personnel qualifications under paragraphs (d)(1) 
(i) and (ii) of this section, the Secretary considers--
    (i) Experience and training in fields related to the objectives of 
the project; and
    (ii) Any other qualifications that pertain to the objectives of the 
project.
    (e) Budget and cost effectiveness (10 points). The Secretary reviews 
each application for information that shows the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.
    (f) Evaluation plan (5 points). The Secretary reviews each 
application for information that shows the quality of the evaluation 
plan for the project, including the extent to which the applicant's 
methods of evaluation--
    (1) Are appropriate for the project;
    (2) Will determine how successful the project is in meeting its 
goals and objectives; and
    (3) Are objective and produce data that are quantifiable.
    (4) (Cross-reference: See 34 CFR 75.590.)
    (g) Plan of operation (20 points). The Secretary reviews each 
application for information that shows the quality of the plan of 
operation for the project, including--
    (1) The quality of the design of the project;
    (2) The extent to which the plan of management ensures proper and 
efficient administration of the project;
    (3) How well the objectives of the project relate to the purpose of 
the program;
    (4) The quality and adequacy of the applicant's plan to use its 
resources (including funding, facilities, equipment, and supplies) and 
personnel to achieve each objective;
    (5) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disability; and
    (6) A clear description of how the applicant will provide equal 
access to services for eligible project participants who are members of 
groups that have been traditionally under-represented, including--
    (i) Members of racial or ethnic minority groups;
    (ii) Women;
    (iii) Elderly individuals; and
    (iv) Children and youth.
    (h) Involvement of individuals with significant disabilities (5 
points). (1) The Secretary reviews each application for information that 
shows that individuals with significant disabilities are appropriately 
involved in the development of the application.
    (2) The Secretary looks for information that shows that individuals 
with significant disabilities or their parents, guardians, or other 
legally authorized advocates or representatives, as appropriate, will be 
substantially involved in planning, policy direction, and management of 
the center, and, to the greatest extent possible, that individuals with 
significant disabilities will be employed by the center.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-1(d)(2)(B))



Sec. 366.28  Under what circumstances may the Secretary award a grant to a center in one State to serve individuals in another State?

    (a) The Secretary may use funds from the allotment of one State to 
award a grant to a center located in a bordering State if the Secretary 
determines that the proposal of the out-of-State center to serve 
individuals with significant disabilities who reside in the bordering 
State is consistent with the State plan of the State in which these 
individuals reside.
    (b) An applicant shall submit documentation demonstrating that the 
arrangements described in paragraph (a) of this section are consistent 
with the State plan of the State in which the individuals reside.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f (c) and (d))

[[Page 397]]



Subpart D--Grants to Centers in States in Which State Funding Equals or 
                         Exceeds Federal Funding

   Determining Whether State Funding Equals or Exceeds Federal Funding



Sec. 366.29  When may the Director of the designated State unit (DSU) award grants to centers?

    (a) The Director of the DSU (Director) may award grants under 
section 723 of the Act and this subpart to centers located within the 
State or in a bordering State in a fiscal year if--
    (1) The Director submits to the Secretary and obtains approval of an 
application to award grants for that fiscal year under section 723 of 
the Act and Sec. 366.32 (a) and (b); and
    (2) The Secretary determines that the amount of State funds that 
were earmarked by the State to support the general operation of centers 
meeting the requirements of part C of chapter 1 of title VII of the Act 
in the second fiscal year preceding the fiscal year for which the 
application is submitted equaled or exceeded the amount of funds 
allotted to the State under section 721 (c) and (d) of the Act (or part 
B of title VII of the Act as in effect on October 28, 1992) for that 
preceding fiscal year.
    (b) For purposes of section 723(a)(1)(A)(iii) of the Act and this 
subpart, the second fiscal year preceding the fiscal year for which the 
State submits an application to administer the CIL program is considered 
the ``preceding fiscal year.'' Example: If FY 1995 is the fiscal year 
for which the State submits an application to administer the CIL program 
under this subpart, FY 1993 is the ``preceding fiscal year.'' In 
determining the ``preceding fiscal year'' under this subpart, the 
Secretary makes any adjustments necessary to accommodate a State's 
multi-year funding cycle or fiscal year that does not coincide with the 
Federal fiscal year.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-2(a)(3))



Sec. 366.30  What are earmarked funds?

    (a) For purposes of this subpart, the amount of State funds that 
were earmarked by a State to support the general operation of centers 
does not include--
    (1) Federal funds used for the general operation of centers;
    (2) State funds used to purchase specific services from a center, 
including State funds used for grants or contracts to procure or 
purchase personal assistance services or particular types of skills 
training;
    (3) State attendant care funds; or
    (4) Social Security Administration reimbursement funds.
    (b) For purposes of this subpart, earmarked funds means funds 
appropriated by the State and expressly or clearly identified as State 
expenditures in the relevant fiscal year for the sole purpose of funding 
the general operation of centers.

(Authority: 29 U.S.C. 711(c) and 796f-2(a)(1)(A))



Sec. 366.31  What happens if the amount of earmarked funds does not equal or exceed the amount of Federal funds for a preceding fiscal year?

    If the State submits an application to administer the CIL program 
under section 723 of the Act and this subpart for a fiscal year, but did 
not earmark the amount of State funds required by Sec. 366.29(a)(2) in 
the preceding fiscal year, the State shall be ineligible to make grants 
under section 723 of the Act and this subpart after the end of the 
fiscal year succeeding the preceding fiscal year and for each succeeding 
fiscal year.

    Example: A State meets the earmarking requirement in FY 1994. It 
also meets this requirement in FY 1995. However, in reviewing the 
State's application to administer the CIL program in FY 1998, the 
Secretary determines that the State failed to meet the earmarking 
requirement in FY 1996. The State may continue to award grants in FY 
1997 but may not do so in FY 1998 and succeeding fiscal years.

(Authority: 29 U.S.C. 796f-2(a)(1)(B))

[[Page 398]]

                             Awarding Grants



Sec. 366.32  Under what circumstances may the DSU make grants?

    (a) To be eligible to award grants under this subpart and to carry 
out section 723 of the Act for a fiscal year, the Director must submit 
to the Secretary for approval an application at the time and in the 
manner that the Secretary may require and that includes, at a minimum--
    (1) Information demonstrating that the amount of funds earmarked by 
the State for the general operation of centers meets the requirements in 
Sec. 366.29(a)(1); and
    (2) A summary of the annual performance reports submitted to the 
Director from centers in accordance with Sec. 366.50(n).
    (b) If the amount of funds earmarked by the State for the general 
operation of centers meets the requirements in Sec. 366.29(a)(1), the 
Secretary approves the application and designates the Director to award 
the grants and carry out section 723 of the Act.
    (c) If the Secretary designates the Director to award grants and 
carry out section 723 of the Act under paragraph (b) of this section, 
the Director makes grants to eligible agencies in a State, as described 
in Sec. 366.2, for a fiscal year from the amount of funds allotted to 
the State under section 721(c) and (d) of the Act.
    (d)(1) In the case of a State in which there is both a DSU 
responsible for providing IL services to the general population and a 
DSU responsible for providing IL services for individuals who are blind, 
for purposes of subparts D and E of this part, the ``Director'' shall be 
the Director of the general DSU.
    (2) The State units described in paragraph (d)(1) of this section 
shall periodically consult with each other with respect to the provision 
of services for individuals who are blind.
    (e) The Director may enter into assistance contracts with centers to 
carry out section 723 of the Act. For purposes of this paragraph, an 
assistance contract is an instrument whose principal purpose is to 
transfer funds allotted to the State under section 721 (c) and (d) of 
the Act and this part to an eligible agency to carry out section 723 of 
the Act. Under an assistance contract, the DSU shall assume a role 
consistent with that of the Secretary under section 722 of the Act. If 
the DSU uses an assistance contract to award funds under section 723 of 
the Act, the DSU may not add any requirements, terms, or conditions to 
the assistance contract other than those that would be permitted if the 
assistance contract were a grant rather than an assistance contract. 
Under an assistance contract, as defined in this paragraph, the role of 
the DSU is to ensure that the terms of the assistance contract, which 
are established by chapter 1 of title VII of the Act and the 
implementing regulations in this part and 34 CFR part 364, are 
satisfied.
    (f) The Director may not enter into procurement contracts with 
centers to carry out section 723 of the Act. For purposes of this 
paragraph, a procurement contract is an instrument whose principal 
purpose is to acquire (by purchase, lease, or barter) property or 
services for the direct benefit or use of the DSU. Under a procurement 
contract, the DSU prescribes the specific services it intends to procure 
and the terms and conditions of the procurement.
    (g) In the enforcement of any breach of the terms and conditions of 
an assistance contract, the DSU shall follow the procedures established 
in Secs. 366.40 through 366.45.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2(a)(2))



Sec. 366.33  What are the application requirements for existing eligible agencies?

    To be eligible for assistance under this subpart, an eligible agency 
shall comply with the requirements in Sec. 366.21.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-2(b))



Sec. 366.34  What is the order of priorities?

    (a) Unless the Director and the chairperson of the SILC, or other 
individual designated by the SILC to act on behalf of and at the 
direction of the SILC,

[[Page 399]]

jointly agree on another order of priorities, the Director shall follow 
the order of priorities in Sec. 366.22 for allocating funds among 
centers within a State, to the extent funds are available.
    (b) If the order of priorities in Sec. 366.22 is followed and, after 
meeting the priorities in Sec. 366.22(a) (1) and (2), there are 
insufficient funds under the State's allotment under section 721(c) and 
(d) of the Act to fund a new center under Sec. 366.22(a)(3), the 
Director may--
    (1) Use the excess funds in the State to assist existing centers 
consistent with the State plan; or
    (2) Return these funds to the Secretary for reallotment in 
accordance with section 721(d) of the Act.

(Authority: 29 U.S.C. 711(c) and 796f-2(e))



Sec. 366.35  What grants must be made to existing eligible agencies?

    In accordance with the order of priorities established in 
Sec. 366.34(a), an eligible agency may receive a grant under this 
subpart if the eligible agency meets the applicable requirements in 
Secs. 366.2, 366.21, and 366.23.

(Authority: 29 U.S.C. 796f-2(c))



Sec. 366.36  How is an award made to a new center?

    To be eligible for a grant as a new center under this subpart, an 
eligible agency shall meet the requirements for a new center in 
Secs. 366.2(b) and 366.24, except that the award of a grant to a new 
center under this section is subject to the order of priorities in 
Sec. 366.34(a).

(Authority: 29 U.S.C. 796f-2(d))



Sec. 366.37  What procedures does the Director of the DSU (Director) use in making a grant for a new center?

    (a) In selecting from among applicants for a grant for a new center 
under Sec. 366.24 of this subpart--
    (1) The Director and the chairperson of the SILC, or other 
individual designated by the SILC to act on behalf of and at the 
direction of the SILC, shall jointly appoint a peer review committee 
that shall rank applications in accordance with the standards and 
assurances in section 725 (b) and (c) of the Act and subparts F and G of 
this part and any criteria jointly established by the Director and the 
chairperson or other designated individual;
    (2) The peer review committee shall consider the ability of each 
applicant to operate a center and shall recommend an applicant to 
receive a grant under this subpart, based on either the selection 
criteria in Sec. 366.27 or the following:
    (i) Evidence of the need for a center, consistent with the State 
plan.
    (ii) Any past performance of the applicant in providing services 
comparable to IL services.
    (iii) The plan for complying with, or demonstrated success in 
complying with, the standards and the assurances in section 725 (b) and 
(c) of the Act and subparts F and G of this part.
    (iv) The quality of key personnel of the applicant and the 
involvement of individuals with significant disabilities by the 
applicant.
    (v) The budget and cost-effectiveness of the applicant.
    (vi) The evaluation plan of the applicant.
    (vii) The ability of the applicant to carry out the plans identified 
in paragraphs (a)(2) (iii) and (vi) of this section.
    (b) The Director shall award the grant on the basis of the 
recommendations of the peer review committee if the actions of the 
committee are consistent with Federal and State law.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-2(d)(2))



Sec. 366.38  What are the procedures for review of centers?

    (a) The Director shall, in accordance with section 723(g)(1) and (h) 
of the Act, periodically review each center receiving funds under 
section 723 of the Act to determine whether the center is in compliance 
with the standards and assurances in section 725 (b) and (c) of the Act 
and subparts F and G of this part.
    (b) The periodic reviews of centers required by paragraph (a) of 
this section must include annual on-site compliance reviews of at least 
15 percent of the centers assisted under section 723 of the Act in that 
State in each year.
    (c) Each team that conducts an on-site compliance review of a center 
shall

[[Page 400]]

include at least one person who is not an employee of the designated 
State agency, who has experience in the operation of centers, and who is 
jointly selected by the Director and the chairperson of the SILC, or 
other individual designated by the SILC to act on behalf of and at the 
direction of the SILC.
    (d) A copy of each review under this section shall be provided to 
the Secretary and the SILC.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2(g)(1) and (h))



              Subpart E--Enforcement and Appeals Procedures



Sec. 366.39  What procedures does the Secretary use for enforcement?

    (a) If the Secretary determines that any center receiving funds 
under this part is not in compliance with the standards and assurances 
in section 725 (b) and (c) of the Act and subparts F and G of this part, 
the Secretary immediately notifies the center, by certified mail, return 
receipt requested, or other means that provide proof of receipt, that 
the center is out of compliance. The Secretary also offers technical 
assistance to the center to develop a corrective action plan to comply 
with the standards and assurances.
    (b) The Secretary terminates all funds under section 721 of the Act 
to that center 90 days after the date of the notification required by 
paragraph (a) of this section unless--
    (1) The center submits, within 90 days after receiving the 
notification required by paragraph (a) of this section, a corrective 
action plan to achieve compliance that is approved by the Secretary; or
    (2) The center requests a hearing pursuant to paragraph (c) or (d) 
of this section.
    (c) If the Secretary does not approve a center's corrective action 
plan submitted pursuant to paragraph (b)(1) of this section, the center 
has 30 days from receipt of the Secretary's written notice of 
disapproval of the center's corrective action plan to request a hearing 
by submitting a formal written request that gives the reasons why the 
center believes that the Secretary should have approved the center's 
corrective action plan.
    (d) If the center does not submit a corrective action plan to the 
Secretary, the center has 90 days after receiving the notification 
required by paragraph (a) of this section to request a hearing by 
submitting a formal written request that gives the reasons why the 
center believes that the Secretary should have found the center in 
compliance with the standards and assurances in section 725 (b) and (c) 
of the Act and subparts F and G of this part.
    (e) The date of filing a formal written request for a hearing to the 
Secretary under paragraph (c) or (d) of this section is determined in a 
manner consistent with the requirements of 34 CFR 81.12.
    (f) The Secretary issues a written decision to terminate funds to 
the center if, after providing reasonable notice and an opportunity for 
a hearing, the Secretary finds that--
    (1) The center receiving funds under this part is not in compliance 
with the standards and assurances in section 725 (b) and (c) of the Act 
and subparts F and G of this part; or
    (2) The center's corrective action plan submitted under paragraph 
(b)(1) of this section cannot be approved.
    (g) The Secretary's decision to terminate funds to a center pursuant 
to paragraph (f) of this section takes effect upon issuance.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-1(g))



Sec. 366.40  How does the Director initiate enforcement procedures?

    (a) If the Director determines that any center receiving funds under 
this part is not in compliance with the standards and assurances in 
section 725 (b) and (c) of the Act and subparts F and G of this part, 
the Director shall immediately provide the center, by certified mail, 
return receipt requested, or other means that provide proof of receipt, 
with an initial written notice that the center is out of compliance with 
the standards and assurances and that the Director will terminate the 
center's funds or take other proposed significant adverse action against 
the center 90 days after the

[[Page 401]]

center's receipt of this initial written notice. The Director shall 
provide technical assistance to the center to develop a corrective 
action plan to comply with the standards and assurances.
    (b) Unless the center submits, within 90 days after receiving the 
notification required by paragraph (a) of this section, a corrective 
action plan to achieve compliance that is approved by the Director or, 
if appealed, by the Secretary, the Director shall terminate all funds 
under section 723 of the Act to a center 90 days after the later of--
    (1) The date that the center receives the initial written notice 
required by paragraph (a) of this section; or
    (2) The date that the center receives the Secretary's final decision 
issued pursuant to Sec. 366.46(c) if--
    (i) The center files a formal written appeal of the Director's final 
written decision pursuant to Sec. 366.44(a); or
    (ii) The center files a formal written appeal of the decision 
described in the Director's initial written notice pursuant to 
Sec. 366.44(b).

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2(g) and (i))



Sec. 366.41  What must be included in an initial written notice from the Director?

    The initial written notice required by Sec. 366.40(a) must--
    (a) Include, at a minimum, the following:
    (1) The name of the center.
    (2) The reason or reasons for proposing the termination of funds or 
other significant adverse action against the center, including any 
evidence that the center has failed to comply with any of the evaluation 
standards or assurances in section 725(b) and (c) of the Act and 
subparts F and G of this part.
    (3) The effective date of the proposed termination of funds or other 
significant adverse action against the center;
    (b) Be given 90 days in advance of the date the Director intends to 
terminate a center's funds or take any other significant adverse action 
against the center;
    (c) Inform the center that it has 90 days from the date the center 
receives the notice to submit a corrective action plan;
    (d) Inform the center that it may seek mediation and conciliation in 
accordance with Sec. 366.40(a) to resolve any dispute with the Director 
within the 90 days before the proposed termination of funds or other 
significant adverse action against the center; and
    (e) Inform the center that, if mediation and conciliation are not 
successful and the Director does not issue a final written decision 
pursuant to Sec. 366.42, the center may appeal to the Secretary the 
decision described in the Director's initial written notice on or after 
the 90th day, but not later than the 120th day, after the center 
receives the Director's initial decision.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2 (g) and (i))



Sec. 366.42  When does a Director issue a final written decision?

    (a) If the center submits a corrective action plan in accordance 
with Sec. 366.40(b), the Director shall provide to the center, not later 
than the 120th day after the center receives the Director's initial 
written notice, a final written decision approving or disapproving the 
center's corrective action plan and informing the center, if 
appropriate, of the termination of the center's funds or any other 
proposed significant adverse action against the center.
    (b) The Director shall send the final written decision to the center 
by registered or certified mail, return receipt requested, or other 
means that provide a record that the center received the Director's 
final written decision.
    (c) A Director's final written decision to terminate funds or take 
any other adverse action against a center may not take effect until 30 
days after the date that the center receives it.
    (d) If a center appeals pursuant to Sec. 366.44(a), the Director's 
final written decision to terminate funds or take any other adverse 
action against a center does not take effect until the Secretary issues 
a final decision.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2 (g) and (i))

[[Page 402]]



Sec. 366.43  What must be included in the Director's final written decision?

    The Director's final written decision to disapprove a center's 
corrective action plan required by Sec. 366.42 must--
    (a) Address any response from the center to the Director's initial 
written notice to terminate funds or take other significant adverse 
action against the center;
    (b) Include a statement of the reasons why the Director could not 
approve the corrective action plan; and
    (c) Inform the center of its right to appeal to the Secretary the 
Director's final written decision to terminate funds or take any other 
significant adverse action against the center.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2 (g) and (i))



Sec. 366.44  How does a center appeal a decision included in a Director's initial written notice or a Director's final written decision?

    (a) To obtain the Secretary's review of a Director's final written 
decision to disapprove a center's corrective action plan submitted 
pursuant to Sec. 366.40(b), the center shall file, within 30 days from 
receipt of the Director's final written decision, a formal written 
appeal with the Secretary giving the reasons why the center believes 
that the Director should have approved the center's corrective action 
plan. (Cross-reference: See Sec. 366.42.)
    (b) To obtain the Secretary's review of a decision described in a 
Director's initial written notice, a center that does not submit a 
corrective action plan to a Director shall file, in accordance with 
paragraph (c)(1)(i) of this section, a formal written appeal with the 
Secretary giving the reasons why the center believes that the Director 
should have found the center in compliance with the standards and 
assurances in section 725 (b) and (c) of the Act and subparts F and G of 
this part.
    (c) To appeal to the Secretary a decision described in a Director's 
initial written notice or a Director's final written decision to 
disapprove a center's corrective action plan and to terminate or take 
other significant adverse action, a center shall file with the 
Secretary--
    (1) A formal written appeal--
    (i) On or after the 90th day but not later than the 120th day 
following a center's receipt of a Director's initial written notice; or
    (ii) On or before the 30th day after a center's receipt of the 
Director's final written decision to disapprove a center's corrective 
action plan and to terminate or take other significant adverse action;
    (2) A copy of the corrective action plan, if any, submitted to the 
Director; and
    (3) One copy each of any other written submissions sent to the 
Director in response to the Director's initial written notice to 
terminate funds or take other significant adverse action against the 
center.
    (d) The date of filing a formal written appeal to the Secretary 
under paragraph (c) of this section is determined in a manner consistent 
with the requirements of 34 CFR 81.12.
    (e) If the center files a formal written appeal with the Secretary, 
the center shall send a separate copy of this appeal to the Director by 
registered or certified mail, return receipt requested, or other means 
that provide a record that the Director received a separate copy of the 
center's written appeal.
    (f) The center's formal written appeal to the Secretary must state 
why--
    (1) The Director has not met the burden of showing that the center 
is not in compliance with the standards and assurances in section 725 
(b) and (c) of the Act and in subparts F and G of this part;
    (2) The corrective action plan, if any, should have been approved; 
or
    (3) The Director has not met the procedural requirements of 
Secs. 366.40 through 366.45.
    (g) As part of its submissions under this section, the center may 
request an informal meeting with the Secretary at which representatives 
of both parties will have an opportunity to present their views on the 
issues raised in the appeal.
    (h) A Director's decision to terminate funds that is described in an 
initial written notice or final written decision

[[Page 403]]

is stayed as of the date (determined pursuant to paragraph (d) of this 
section) that the center files a formal written appeal with the 
Secretary.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2(g)(2) and (i))



Sec. 366.45  What must a Director do upon receipt of a copy of a center's formal written appeal to the Secretary?

    (a) If the center files a formal written appeal in accordance with 
Sec. 366.44(c), the Director shall, within 15 days of receipt of the 
center's appeal, submit to the Secretary one copy each of the following:
    (1) The Director's initial written notice to terminate funds or take 
any other significant adverse action against the center sent to the 
center.
    (2) The Director's final written decision, if any, to disapprove the 
center's corrective action plan and to terminate the center's funds or 
take any other significant adverse action against the center.
    (3) Any other written documentation or submissions the Director 
wishes the Secretary to consider.
    (4) Any other information requested by the Secretary.
    (b) As part of its submissions under this section, the Director may 
request an informal meeting with the Secretary at which representatives 
of both parties will have an opportunity to present their views on the 
issues raised in the appeal.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796f-2(g)(2) and (i))



Sec. 366.46  How does the Secretary review a center's appeal of a decision included in a Director's initial written notice or a Director's final written 
          decision?

    (a) If either party requests a meeting under Secs. 366.44(g) or 
366.45(b), the meeting is to be held within 30 days of the date of the 
Secretary's receipt of the submissions from the Director that are 
required by Sec. 366.45(a). The Secretary promptly notifies the parties 
of the date and place of the meeting.
    (b) Within 30 days of the informal meeting permitted under paragraph 
(a) of this section or, if neither party has requested an informal 
meeting, within 60 days of the date of receipt of the submissions 
required from the Director by Sec. 366.45(a), the Secretary issues to 
the parties the Secretary's decision.
    (c) The Secretary reviews a decision included in a Director's 
initial written notice or a Director's final written decision to 
disapprove the center's corrective action plan and to terminate the 
center's funds or take any other significant adverse action against the 
center based on the record submitted under Secs. 366.44 and 366.45 and 
may affirm or, if the Secretary finds that the decision included in a 
Director's initial written notice or a Director's final written decision 
is not supported by the evidence or is not in accordance with the law, 
may--
    (1) Remand the appeal for further findings; or
    (2) Reverse the decision described in the Director's initial written 
notice or the Director's final written decision to disapprove the 
center's corrective action plan and to terminate funds or take any other 
significant adverse action against the center.
    (d) The Secretary sends copies of his or her decision to the parties 
by registered or certified mail, return receipt requested, or other 
means that provide a record of receipt by both parties.
    (e) If the Secretary affirms the decision described in a Director's 
initial written notice or the Director's final written decision, the 
Director's decision takes effect on the date of the Secretary's final 
decision to affirm.

(Authority: 29 U.S.C. 711(c) and 796f-2(g)(2) and (i))



                    Subpart F--Assurances for Centers



Sec. 366.50  What assurances shall a center provide and comply with?

    To be eligible for assistance under this part, an eligible agency 
shall provide satisfactory assurances that--
    (a) The applicant is an eligible agency;
    (b) The center will be designed and operated within local 
communities by individuals with disabilities, including

[[Page 404]]

an assurance that the center will have a board that is the principal 
governing body of the center and a majority of which must be composed of 
individuals with significant disabilities;
    (c) The applicant will comply with the standards in subpart G;
    (d) The applicant will establish clear priorities through--
    (1) Annual and three-year program and financial planning objectives 
for the center, including overall goals or a mission for the center;
    (2) A work plan for achieving the goals or mission, specific 
objectives, service priorities, and types of services to be provided; 
and
    (3) A description that demonstrates how the proposed activities of 
the applicant are consistent with the most recent three-year State plan 
under section 704 of the Act;
    (e) The applicant will use sound organizational and personnel 
assignment practices, including taking affirmative action to employ and 
advance in employment qualified individuals with significant 
disabilities on the same terms and conditions required with respect to 
the employment of individuals with disabilities under section 503 of the 
Act;
    (f) The applicant will ensure that the majority of the staff, and 
individuals in decision-making positions, of the applicant are 
individuals with disabilities;
    (g) The applicant will practice sound fiscal management, including 
making arrangements for an annual independent fiscal audit;
    (h) The applicant will conduct an annual self-evaluation, prepare an 
annual performance report, and maintain records adequate to measure 
performance with respect to the standards in subpart G;
    (i) The annual performance report and the records of the center's 
performance required by paragraph (h) of this section must each contain 
information regarding, at a minimum--
    (1) The extent to which the center is in compliance with the 
standards in section 725(b) of the Act and subpart G of this part 
(Cross-reference: See Secs. 366.70(a)(2) and 366.73);
    (2) The number and types of individuals with significant 
disabilities receiving services through the center;
    (3) The types of services provided through the center and the number 
of individuals with significant disabilities receiving each type of 
service;
    (4) The sources and amounts of funding for the operation of the 
center;
    (5) The number of individuals with significant disabilities who are 
employed by, and the number who are in management and decision-making 
positions in, the center;
    (6) The number of individuals from minority populations who are 
employed by, and the number who are in management and decision-making 
positions in, the center; and
    (7) A comparison, if appropriate, of the activities of the center in 
prior years with the activities of the center in most recent years;
    (j) Individuals with significant disabilities who are seeking or 
receiving services at the center will be notified by the center of the 
existence of, the availability of, and how to contact the client 
assistance program;
    (k) Aggressive outreach regarding services provided through the 
center will be conducted in an effort to reach populations of 
individuals with significant disabilities that are unserved or 
underserved by programs under title VII of the Act, especially minority 
groups and urban and rural populations;
    (l) Staff at centers will receive training on how to serve unserved 
and underserved populations, including minority groups and urban and 
rural populations;
    (m) The center will submit to the SILC a copy of its approved grant 
application and the annual performance report required under paragraph 
(h) of this section;
    (n) The center will prepare and submit to the DSU, if the center 
received a grant from the Director, or to the Secretary, if the center 
received a grant from the Secretary, within 90 days of the end of each 
fiscal year, the annual performance report that is required to be 
prepared pursuant to paragraph (h) of this section and that contains the 
information described in paragraph (i) of this section; and
    (o) An IL plan as described in section 704(e) of the Act will be 
developed for

[[Page 405]]

each individual who will receive services under this part unless the 
individual signs a waiver stating that an IL plan is unnecessary.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796f-4)



        Subpart G--Evaluation Standards and Compliance Indicators

    Source:  60 FR 39221, Aug. 1, 1995, unless otherwise noted.



Sec. 366.60  What are the project evaluation standards?

    To be eligible to receive funds under this part, an applicant must 
agree to comply with the following evaluation standards:
    (a) Evaluation standard 1--Philosophy. The center shall promote and 
practice the IL philosophy of--
    (1) Consumer control of the center regarding decisionmaking, service 
delivery, management, and establishment of the policy and direction of 
the center;
    (2) Self-help and self-advocacy;
    (3) Development of peer relationships and peer role models;
    (4) Equal access of individuals with significant disabilities to all 
of the center's services, programs, activities, resources, and 
facilities, whether publicly or privately funded, without regard to the 
type of significant disability of the individual; and
    (5) Promoting equal access of individuals with significant 
disabilities to all services, programs, activities, resources, and 
facilities in society, whether public or private, and regardless of 
funding source, on the same basis that access is provided to other 
individuals with disabilities and to individuals without disabilities.
    (b) Evaluation standard 2--Provision of services. (1) The center 
shall provide IL services to individuals with a range of significant 
disabilities.
    (2) The center shall provide IL services on a cross-disability basis 
(i.e., for individuals with all different types of significant 
disabilities, including individuals with significant disabilities who 
are members of populations that are unserved or underserved by programs 
under title VII of this Act).
    (3) The center shall determine eligibility for IL services. The 
center may not base eligibility on the presence of any one specific 
significant disability.
    (c) Evaluation standard 3--Independent living goals. The center 
shall facilitate the development and achievement of IL goals selected by 
individuals with significant disabilities who seek assistance in the 
development and achievement of IL goals from the center.
    (d) Evaluation standard 4--Community options. The center shall 
conduct activities to increase the availability and improve the quality 
of community options for IL to facilitate the development and 
achievement of IL goals by individuals with significant disabilities.
    (e) Evaluation standard 5--Independent living core services. The 
center shall provide IL core services and, as appropriate, a combination 
of any other IL services specified in section 7(30)(B) of the Act.
    (f) Evaluation standard 6--Activities to increase community 
capacity. The center shall conduct activities to increase the capacity 
of communities within the service area of the center to meet the needs 
of individuals with significant disabilities.
    (g) Evaluation standard 7--Resource development activities. The 
center shall conduct resource development activities to obtain funding 
from sources other than chapter 1 of title VII of the Act.

(Authority: 29 U.S.C. 796f-4)



Sec. 366.61  What are the compliance indicators?

    (a) The compliance indicators establish the activities that a center 
shall carry out to demonstrate minimum compliance with the evaluation 
standards in Sec. 366.60.
    (b) If a center fails to satisfy any one of the indicators, the 
center is out of compliance with the evaluation standards.

(Authority: 20 U.S.C. 796d-1(b))



Sec. 366.62  What are the requirements for continuation funding?

    (a) To be eligible to receive a continuation award for the third or 
any

[[Page 406]]

subsequent year of a grant, a center shall--
    (1) Have complied fully during the previous project year with all of 
the terms and conditions of its grant;
    (2) Provide adequate evidence in its most recent annual performance 
report that the center is in minimum compliance with the evaluation 
standards in Sec. 366.60 (Cross-reference: See Secs. 366.50 (h) and (i) 
and 34 CFR 75.118(a)); and
    (3) Meet the requirements in this part 366.
    (b) If a recipient receives funding for more than one center, each 
individual center that receives a continuation award shall meet the 
requirements of paragraph (a) of this section.

(Approved by the Office of Management and Budget under control number 
1820-0606)

(Authority: 29 U.S.C. 711(c), 796d-1(b), 796e, and 796f-4)



Sec. 366.63  What evidence must a center present to demonstrate that it is in minimum compliance with the evaluation standards?

    (a) Compliance indicator 1--Philosophy--(1) Consumer control. (i) 
The center shall provide evidence in its most recent annual performance 
report that--
    (A) Individuals with significant disabilities constitute more than 
50 percent of the center's governing board; and
    (B) Individuals with disabilities constitute more than 50 percent of 
the center's--
    (1) Employees in decisionmaking positions; and
    (2) Employees in staff positions.
    (ii) A center may exclude personal assistants, readers, drivers, and 
interpreters employed by the center from the requirement in paragraph 
(a)(1)(B) of this section.
    (iii) The determination that over 50 percent of a center's employees 
in decisionmaking and staff positions are individuals with disabilities 
must be based on the total number of hours (excluding any overtime) for 
which employees are actually paid during the last six-month period 
covered by the center's most recent annual performance report. However, 
a center must include in this determination its employees who are on 
unpaid family or maternity leave during this six-month period.
    (2) Self-help and self-advocacy. The center shall provide evidence 
in its most recent annual performance report that it promotes self-help 
and self-advocacy among individuals with significant disabilities (e.g., 
by conducting activities to train individuals with significant 
disabilities in self-advocacy).
    (3) Development of peer relationships and peer role models. The 
center shall provide evidence in its most recent annual performance 
report that it promotes the development of peer relationships and peer 
role models among individuals with significant disabilities (e.g., by 
using individuals with significant disabilities who have achieved IL 
goals [whether the goals were achieved independently or through 
assistance and services provided by a center] as instructors [volunteer 
or paid] in its training programs or as peer counselors).
    (4) Equal access. The center shall provide evidence in its most 
recent annual performance report that it--
    (i) Ensures equal access of individuals with significant 
disabilities, including communication and physical access, to the 
center's services, programs, activities, resources, and facilities, 
whether publicly or privately funded. Equal access, for purposes of this 
paragraph, means that the same access is provided to any individual with 
a significant disability regardless of the individual's type of 
significant disability.
    (ii) Advocates for and conducts activities that promote the equal 
access to all services, programs, activities, resources, and facilities 
in society, whether public or private, and regardless of funding source, 
for individuals with significant disabilities. Equal access, for 
purposes of this paragraph, means that the same access provided to 
individuals without disabilities is provided in the center's service 
area to individuals with significant disabilities.
    (5) Alternative formats. To ensure that a center complies with 
Sec. 366.63(a)(4) and for effective communication, a center shall make 
available in alternative formats, as appropriate, all of its written 
policies and materials and IL services.

[[Page 407]]

    (b) Compliance indicator 2--Provision of services on a cross-
disability basis. The center shall provide evidence in its most recent 
annual performance report that it--
    (1) Provides IL services to eligible individuals or groups of 
individuals without restrictions based on the particular type or types 
of significant disability of an individual or group of individuals, 
unless the restricted IL service (other than the IL core services) is 
unique to the significant disability of the individuals to be served;
    (2) Provides IL services to individuals with a diversity of 
significant disabilities and individuals who are members of populations 
that are unserved or underserved by programs under title VII of the Act; 
and
    (3) Provides IL core services to individuals with significant 
disabilities in a manner that is neither targeted nor limited to a 
particular type of significant disability.
    (c) Compliance indicator 3--Independent living goals. (1) The center 
shall provide evidence in its most recent annual performance report that 
it--
    (i) Maintains a consumer service record that meets the requirements 
of 34 CFR 364.53 for each consumer;
    (ii) Facilitates the development and achievement of IL goals 
selected by individuals with significant disabilities who request 
assistance from the center;
    (iii) Provides opportunities for consumers to express satisfaction 
with the center's services and policies in facilitating their 
achievement of IL goals and provides any results to its governing board 
and the appropriate SILC; and
    (iv) Notifies all consumers of their right to develop or waive the 
development of an IL plan (ILP).
    (2) The center shall provide evidence in its most recent annual 
performance report that the center maintains records on--
    (i) The IL goals that consumers receiving services at the center 
believe they have achieved;
    (ii) The number of ILPs developed by consumers receiving services at 
the center; and
    (iii) The number of waivers signed by consumers receiving services 
at the center stating that an ILP is unnecessary.
    (d) Compliance indicator 4--Community options and community 
capacity. The center shall provide evidence in its most recent annual 
performance report that, during the project year covered by the center's 
most recent annual performance report, the center promoted the increased 
availability and improved quality of community-based programs that serve 
individuals with significant disabilities and promoted the removal of 
any existing architectural, attitudinal, communication, environmental, 
or other type of barrier that prevents the full integration of these 
individuals into society. This evidence must demonstrate that the center 
performed at least one activity in each of the following categories:
    (1) Community advocacy.
    (2) Technical assistance to the community on making services, 
programs, activities, resources, and facilities in society accessible to 
individuals with significant disabilities.
    (3) Public information and education.
    (4) Aggressive outreach to members of populations of individuals 
with significant disabilities that are unserved or underserved by 
programs under title VII of the Act in the center's service area.
    (5) Collaboration with service providers, other agencies, and 
organizations that could assist in improving the options available for 
individuals with significant disabilities to avail themselves of the 
services, programs, activities, resources, and facilities in the 
center's service area.
    (e) Compliance indicator 5--IL core services and other IL services. 
The center shall provide evidence in its most recent annual performance 
report that it provides--
    (1) Information and referral services to all individuals who request 
this type of assistance or services from the center in formats 
accessible to the individual requesting these services; and
    (2) As appropriate in response to requests from individuals with 
significant disabilities who are eligible for IL services from the 
center, the following services:
    (i) IL skills training.

[[Page 408]]

    (ii) Peer counseling (including cross-disability peer counseling).
    (iii) Individual and systems advocacy.
    (iv) A combination, as appropriate, of any two or more of the IL 
services defined in section 7(30)(B) of the Act.
    (f) Compliance indicator 6--Resource development activities. The 
center shall provide evidence in its most recent annual performance 
report that it has conducted resource development activities within the 
period covered by the performance report to obtain funding from sources 
other than chapter 1 of title VII of the Act.

(Approved by the Office of Management and Budget under control number 
1820-0606)

(Authority: 29 U.S.C. 711(c), 796d-1(b), and 796f-4)



PART 367--INDEPENDENT LIVING SERVICES FOR OLDER INDIVIDUALS WHO ARE BLIND--Table of Contents




                           Subpart A--General

Sec.
367.1  What is the Independent Living Services for Older Individuals Who 
          Are Blind program?
367.2  Who is eligible for an award?
367.3  What activities may the Secretary fund?
367.4  What regulations apply?
367.5  What definitions apply?

            Subpart B--What Are the Application Requirements?

367.10  How does a designated State agency (DSA) apply for an award?
367.11  What assurances must a DSA include in its application?

   Subpart C--How Does the Secretary Award Discretionary Grants on a 
                           Competitive Basis?

367.20  Under what circumstances does the Secretary award discretionary 
          grants on a competitive basis to States?
367.21  How does the Secretary evaluate an application for a 
          discretionary grant?
367.22  What selection criteria does the Secretary use?
367.23  What additional factor does the Secretary consider?

   Subpart D--How Does the Secretary Award Contingent Formula Grants?

367.30  Under what circumstances does the Secretary award contingent 
          formula grants to States?
367.31  How are allotments made?
367.32  How does the Secretary reallot funds under section 752(j)(4) of 
          the Act?

         Subpart E--What Conditions Must Be Met After an Award?

367.40  What matching requirements apply?
367.41  When may a DSA award grants or contracts?
367.42  When does the Secretary award noncompetitive continuation 
          grants?

    Authority: 29 U.S.C. 796k, unless otherwise noted.

    Source: 59 FR 41909, Aug. 15, 1994, unless otherwise noted.



                           Subpart A--General



Sec. 367.1  What is the Independent Living Services for Older Individuals Who Are Blind program?

    This program supports projects that--
    (a) Provide any of the independent living (IL) services to older 
individuals who are blind that are described in Sec. 367.3(b);
    (b) Conduct activities that will improve or expand services for 
these individuals; and
    (c) Conduct activities to help improve public understanding of the 
problems of these individuals.

(Authority: 29 U.S.C. 796k(a) and (b))



Sec. 367.2  Who is eligible for an award?

    Any designated State agency (DSA) is eligible for an award under 
this program if the DSA--
    (a) Is authorized to provide rehabilitation services to individuals 
who are blind; and
    (b) Submits to and obtains approval from the Secretary of an 
application that meets the requirements of section 752(i) of the Act and 
Secs. 367.10 and 367.11.

(Authority: 29 U.S.C. 796k(a)(2))

[[Page 409]]



Sec. 367.3  What activities may the Secretary fund?

    (a) The DSA may use funds awarded under this part for the activities 
described in Sec. 367.1 and paragraph (b) of this section.
    (b) For purposes of Sec. 367.1(a), IL services for older individuals 
who are blind include--
    (1) Services to help correct blindness, such as--
    (i) Outreach services;
    (ii) Visual screening;
    (iii) Surgical or therapeutic treatment to prevent, correct, or 
modify disabling eye conditions; and
    (iv) Hospitalization related to these services;
    (2) The provision of eyeglasses and other visual aids;
    (3) The provision of services and equipment to assist an older 
individual who is blind to become more mobile and more self-sufficient;
    (4) Mobility training, Braille instruction, and other services and 
equipment to help an older individual who is blind adjust to blindness;
    (5) Guide services, reader services, and transportation;
    (6) Any other appropriate service designed to assist an older 
individual who is blind in coping with daily living activities, 
including supportive services and rehabilitation teaching services;
    (7) IL skills training, information and referral services, peer 
counseling, and individual advocacy training; and
    (8) Other IL services, as defined in section 7(30) of the Act and as 
listed in 34 CFR 365.22.

(Authority: 29 U.S.C. 796k (d) and (e))



Sec. 367.4  What regulations apply?

    The following regulations apply to the Independent Living Services 
for Older Individuals Who Are Blind program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations), with respect 
to subgrants to an entity that is not a State or local government or 
Indian tribal organization.
    (2) 34 CFR part 75 (Direct Grant Programs), with respect to grants 
under subpart C.
    (3) 34 CFR part 76 (State-Administered Programs), with respect to 
grants under subpart D.
    (4) 34 CFR part 77 (Definitions That Apply to Department 
Regulations).
    (5) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (6) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (7) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (8) 34 CFR part 82 (New Restrictions on Lobbying).
    (9) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (10) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 367.
    (c) The following provisions in 34 CFR part 364:
    (1) Section 364.4 (What definitions apply?).
    (2) Section 364.5 (What is program income and how may it be used?)
    (3) Section 364.6 (What requirements apply to the obligation of 
Federal funds and program income?)
    (4) Section 364.30 (What notice must be given about the Client 
Assistance Program (CAP)?).
    (5) Section 364.37 (What access to records must be provided?).
    (6) Section 364.56 (What are the special requirements pertaining to 
the protection, use, and release of personal information?).
    (d) The following provisions in 34 CFR part 365:
    (1) Section 365.13 (What requirements apply if the State's non-
Federal share is in cash?).
    (2) Section 365.14 (What conditions relating to cash or in-kind 
contributions apply to awards to grantees, subgrantees, or 
contractors?).
    (3) Section 365.15 (What requirements apply if the State's non-
Federal share is in kind?).

[[Page 410]]

    (4) Section 365.16 (What requirements apply to refunds and 
rebates?).

(Authority: 29 U.S.C. 711(c) and 796k)



Sec. 367.5  What definitions apply?

    In addition to the definitions in 34 CFR 364.4, the following 
definitions also apply to this part:
    Independent living services for older individuals who are blind 
means those services listed in Sec. 367.3(b).
    Older individual who is blind means an individual age fifty-five or 
older whose severe visual impairment makes competitive employment 
extremely difficult to obtain but for whom IL goals are feasible.

(Authority: 29 U.S.C. 711(c) and 796j)



            Subpart B--What Are the Application Requirements?



Sec. 367.10  How does a designated State agency (DSA) apply for an award?

    To receive a grant under section 752(i) or a reallotment grant under 
section 752(j)(4) of the Act, a DSA must submit to and obtain approval 
from the Secretary of an application for assistance under this program 
at the time, in the form and manner, and containing the agreements, 
assurances, and information, that the Secretary determines to be 
necessary to carry out this program.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796k(c)(2) and (i)(1))



Sec. 367.11  What assurances must a DSA include in its application?

    An application for a grant under section 752(i) or a reallotment 
grant under section 752(j)(4) of the Act must contain an assurance 
that--
    (a) Grant funds will be expended only for the purposes described in 
Sec. 367.1;
    (b) With respect to the costs of the program to be carried out by 
the State pursuant to this part, the State will make available, directly 
or through donations from public or private entities, non-Federal 
contributions toward these costs in an amount that is not less than $1 
for each $9 of Federal funds provided in the grant;
    (c) In carrying out Sec. 367.1(a) and (b), and consistent with 34 
CFR 364.28, the DSA will seek to incorporate into and describe in the 
State plan under section 704 of the Act any new methods and approaches 
relating to IL services for older individuals who are blind that are 
developed by projects funded under this part and that the DSA determines 
to be effective;
    (d) At the end of each fiscal year, the DSA will prepare and submit 
to the Secretary a report, with respect to each project or program the 
DSA operates or administers under this part, whether directly or through 
a grant or contract, that contains, information that the Secretary 
determines necessary for the proper and efficient administration of this 
program, including--
    (1) The number and types of older individuals who are blind, 
including older individuals who are blind from minority backgrounds, and 
are receiving services;
    (2) The types of services provided and the number of older 
individuals who are blind and are receiving each type of service;
    (3) The sources and amounts of funding for the operation of each 
project or program;
    (4) The amounts and percentages of resources committed to each type 
of service provided;
    (5) Data on actions taken to employ, and advance in employment, 
qualified--
    (i) Individuals with significant disabilities;
    (ii) Older individuals with significant disabilities who are blind;
    (iii) Individuals who are members of racial or ethnic minority 
groups;
    (iv) Women; and
    (v) Elderly individuals;
    (6) A comparison, if appropriate, of prior year activities with the 
activities of the most recent year; and
    (7) Any new methods and approaches relating to IL services for older 
individuals who are blind that are developed by projects funded under 
this part;
    (e) The DSA will--
    (1) Provide services that contribute to the maintenance of, or the 
increased

[[Page 411]]

independence of, older individuals who are blind; and
    (2) Engage in--
    (i) Capacity-building activities, including collaboration with other 
agencies and organizations;
    (ii) Activities to promote community awareness, involvement, and 
assistance; and
    (iii) Outreach efforts;
    (f) The application is consistent with the State plan for providing 
IL services required by section 704 of the Act and subpart C of 34 CFR 
part 364; and
    (g) The applicant has been designated by the State as the sole State 
agency authorized to provide rehabilitation services to individuals who 
are blind.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796k(d), (f), (h), and (i))



   Subpart C--How Does the Secretary Award Discretionary Grants on a 
                           Competitive Basis?



Sec. 367.20  Under what circumstances does the Secretary award discretionary grants on a competitive basis to States?

    (a) In the case of a fiscal year for which the amount appropriated 
under section 753 of the Act is less than $13,000,000, the Secretary 
awards discretionary grants under this part on a competitive basis to 
States.
    (b) Subparts A, B, C, and E of this part govern the award of 
competitive grants under this part.

(Authority: 29 U.S.C. 796k(b)(1))



Sec. 367.21  How does the Secretary evaluate an application for a discretionary grant?

    (a) The Secretary evaluates an application for a discretionary grant 
on the basis of the criteria in Sec. 367.22.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: 29 U.S.C. 711(c) and 796k(b)(1) and (i)(1))



Sec. 367.22  What selection criteria does the Secretary use?

    The Secretary uses the following criteria to evaluate an application 
for a discretionary grant:
    (a) Extent of need for the project (20 points). (1) The Secretary 
reviews each application to determine the extent to which the project 
meets the specific needs of the program, including consideration of--
    (i) The needs addressed by the project;
    (ii) How the applicant identified those needs;
    (iii) How those needs will be met by the project; and
    (iv) The benefits to be gained by meeting those needs.
    (2) The Secretary reviews each application to determine--
    (i) The extent that the need for IL services for older individuals 
who are blind is justified, in terms of complementing or expanding 
existing IL and aging programs and facilities; and
    (ii) The potential of the project to support the overall mission of 
the IL program, as stated in section 701 of the Act.
    (b) Plan of operation (25 points). The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The quality of the design of the project;
    (2) The extent to which the plan of management ensures proper and 
efficient administration of the project;
    (3) How well the objectives of the project relate to the purpose of 
the program;
    (4) The quality and adequacy of the applicant's plan to use its 
resources (including funding, facilities, equipment, and supplies) and 
personnel to achieve each objective;
    (5) How the applicant will ensure that project participants who are 
otherwise eligible to participate are selected without regard to race, 
color, national origin, gender, age, or disability;
    (6) A clear description of how the applicant will provide equal 
access to services for eligible project participants who are members of 
groups that

[[Page 412]]

have been traditionally under-represented, including members of racial 
or ethnic minority groups; and
    (7) The extent to which the plan of operation and management 
includes involvement by older individuals who are blind in planning and 
conducting program activities.
    (c) Quality of key personnel (10 points). (1) The Secretary reviews 
each application to determine the qualifications of the key personnel 
the applicant plans to use on the project, including--
    (i) The qualifications of the project director;
    (ii) The qualifications of each of the other management and 
decision-making personnel to be used in the project;
    (iii) The time that each person referred to in paragraphs (c)(1)(i) 
and (ii) of this section will commit to the project;
    (iv) How the applicant, as part of its nondiscriminatory employment 
practices, will ensure that its personnel are selected for employment 
without regard to race, color, national origin, gender, age, or 
disability; and
    (v) The extent to which the applicant, as part of its 
nondiscriminatory employment practices, encourages applications for 
employment from persons who are members of groups that have been 
traditionally under-represented, including--
    (A) Members of racial or ethnic minority groups;
    (B) Women;
    (C) Persons with disabilities; and
    (D) Elderly individuals.
    (2) To determine personnel qualifications under paragraphs (c)(1)(i) 
and (ii) of this section, the Secretary considers--
    (i) Experience and training in fields related to the scope of the 
project; and
    (ii) Any other qualifications that pertain to the objectives of the 
project.
    (d) Budget and cost effectiveness (5 points). The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project;
    (2) Costs are reasonable in relation to the objectives of the 
project; and
    (3) The applicant demonstrates the cost-effectiveness of project 
services in comparison with alternative services and programs available 
to older individuals who are blind.
    (e) Evaluation plan (5 points). The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Accurately evaluate the success and cost-effectiveness of the 
project;
    (2) Are objective and produce data that are quantifiable; and
    (3) Will determine how successful the project is in meeting its 
goals and objectives.
    (4) (Cross-reference: See 34 CFR 75.590.)
    (f) Adequacy of resources (5 points). The Secretary reviews each 
application to determine the adequacy of the resources that the 
applicant plans to devote to the project, including accessibility of 
facilities, equipment, and supplies.
    (g) Service comprehensiveness (20 points). (1) The Secretary reviews 
each application to determine the extent to which the proposed outreach 
activities promote maximum participation of the target population within 
the geographic area served by the project.
    (2) The Secretary reviews each application to determine the extent 
to which the DSA addresses the unmet IL needs in the State of older 
individuals with varying degrees of significant visual impairment. In 
making this determination, the Secretary reviews the extent to which the 
DSA makes available appropriate services listed in Sec. 367.3(b), which 
may include any or all of the following services:
    (i) Orientation and mobility skills training that will enable older 
individuals who are blind to travel independently, safely, and 
confidently in familiar and unfamiliar environments.
    (ii) Skills training in Braille, handwriting, typewriting, or other 
means of communication.
    (iii) Communication aids, such as large print, cassette tape 
recorders, and readers.
    (iv) Training to perform daily living activities, such as meal 
preparation, identifying coins and currency, selection of clothing, 
telling time, and maintaining a household.

[[Page 413]]

    (v) Provision of low-vision services and aids, such as magnifiers to 
perform reading and mobility tasks.
    (vi) Family and peer counseling services to assist older individuals 
who are blind adjust emotionally to the loss of vision as well as to 
assist in their integration into the community and its resources.
    (h) Likelihood of sustaining the program (10 points). The Secretary 
reviews each application to determine--
    (1) The likelihood that the service program will be sustained after 
the completion of Federal project grant assistance;
    (2) The extent to which the applicant intends to continue to operate 
the service program through cooperative agreements and other formal 
arrangements; and
    (3) The extent to which the applicant will identify and, to the 
extent possible, use comparable services and benefits that are available 
under other programs for which project participants may be eligible.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 796k(b)(1) and (i)(1))



Sec. 367.23  What additional factor does the Secretary consider?

    In addition to the criteria in Sec. 367.22, the Secretary considers 
the geographic distribution of projects in making an award.

(Authority: 29 U.S.C. 711(c) and 796k(b)(1) and (i)(1))



   Subpart D--How Does the Secretary Award Contingent Formula Grants?



Sec. 367.30  Under what circumstances does the Secretary award contingent formula grants to States?

    (a) In the case of a fiscal year for which the amount appropriated 
under section 753 of the Act is equal to or greater than $13,000,000, 
grants under this part are made to States from allotments under section 
752(c)(2) of the Act.
    (b) Subparts A, B, D, and E of this part govern the award of formula 
grants under this part.

(Authority: 29 U.S.C. 796k(c))



Sec. 367.31  How are allotments made?

    (a) For purposes of making grants under section 752(c) of the Act 
and this subpart, the Secretary makes an allotment to each State in an 
amount determined in accordance with section 752(j) of the Act.
    (b) The Secretary makes a grant to a DSA in the amount of the 
allotment to the State under section 752(j) of the Act if the DSA 
submits to and obtains approval from the Secretary of an application for 
assistance under this program that meets the requirements of section 
752(i) of the Act and Secs. 367.10 and 367.11.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796k(c)(2))



Sec. 367.32  How does the Secretary reallot funds under section 752(j)(4) of the Act?

    (a) From the amounts specified in paragraph (b) of this section, the 
Secretary may make reallotment grants to States, as determined by the 
Secretary, whose population of older individuals who are blind has a 
substantial need for the services specified in section 752(d) of the Act 
and Sec. 367.3(b), relative to the populations in other States of older 
individuals who are blind.
    (b) The amounts referred to in paragraph (a) of this section are any 
amounts that are not paid to States under section 752(c)(2) of the Act 
and Sec. 367.31 as a result of--
    (1) The failure of a DSA to prepare, submit, and receive approval of 
an application under section 752(i) of the Act and in accordance with 
Secs. 367.10 and 367.11; or
    (2) Information received by the Secretary from the DSA that the DSA 
does not intend to expend the full amount of the State's allotment under 
section 752(c) of the Act and this subpart.
    (c) A reallotment grant to a State under paragraph (a) of this 
section is subject to the same conditions as

[[Page 414]]

grants made under section 752(a) of the Act and this part.
    (d) Any funds made available to a State for any fiscal year pursuant 
to this section are regarded as an increase in the allotment of the 
State under Sec. 367.31 for that fiscal year only.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796k(j)(4))



         Subpart E--What Conditions Must Be Met After an Award?



Sec. 367.40  What matching requirements apply?

    (a) Non-Federal contributions required by Sec. 367.11(b) may be in 
cash or in kind, fairly evaluated, including plant, equipment, or 
services.
    (b) For purposes of non-Federal contributions required by 
Sec. 367.11(b), amounts provided by the Federal Government, or services 
assisted or subsidized to any significant extent by the Federal 
Government, may not be included in determining the amount of non-Federal 
contributions.

(Authority: 29 U.S.C. 796k(f))



Sec. 367.41  When may a DSA award grants or contracts?

    (a) A DSA may operate or administer the program or projects under 
this part to carry out the purposes specified in Sec. 367.1, either 
directly or through--
    (1) Grants to public or private nonprofit agencies or organizations; 
or
    (2) Contracts with individuals, entities, or organizations that are 
not public or private nonprofit agencies or organizations.
    (b) Notwithstanding paragraph (a) of this section, a DSA may enter 
into assistance contracts, but not procurement contracts, with public or 
private nonprofit agencies or organizations in a manner consistent with 
34 CFR 366.32(e).

(Authority: 29 U.S.C. 796k(g) and (i)(2)(A))



Sec. 367.42  When does the Secretary award noncompetitive continuation grants?

    (a) In the case of a fiscal year for which the amount appropriated 
under section 753 of the Act is less than $13,000,000, the Secretary 
awards noncompetitive continuation grants for a multi-year project to 
pay for the costs of activities for which a grant was awarded--
    (1) Under chapter 2 of title VII of the Act; or
    (2) Under part C of title VII of the Act, as in effect on October 
28, 1992.
    (b) To be eligible to receive a noncompetitive continuation grant 
under this part, a grantee must satisfy the applicable requirements in 
this part and in 34 CFR 75.253.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 796k(b)(2))



PART 369--VOCATIONAL REHABILITATION SERVICE PROJECTS--Table of Contents




                           Subpart A--General

Sec.
369.1  What are the Vocational Rehabilitation Service Projects?
369.2  Who is eligible for assistance under these programs?
369.3  What regulations apply to these programs?
369.4  What definitions apply to these programs?

                          Subpart B--[Reserved]

               Subpart C--How Does One Apply For A Grant?

369.20  What are the application procedures for these programs?
369.21  What application requirement applies to these programs?

             Subpart D--How Does the Secretary Make A Grant?

369.30  How does the Secretary evaluate an application?
369.32  What other factors does the Secretary consider in reviewing an 
          application?

          Subpart E--What Conditions Must Be Met By A Grantee?

369.40--369.41  [Reserved]
369.42  What special requirements affect provision of services to 
          individuals with disabilities?
369.43  What are the affirmative action plan requirements affecting 
          grantees?
369.44  What wage and hour standards apply to community rehabilitation 
          programs?

[[Page 415]]

369.45  What are the special requirements pertaining to the membership 
          of project advisory committees?
369.46  What are the special requirements pertaining to the protection, 
          use, and release of personal information?
369.47  What are the special requirements affecting the collection of 
          data from State agencies?

    Authority: 29 U.S.C. 711(c), 732, 750, 777(a)(1), 777b, 777f and 
795g, unless otherwise noted.

    Source: 46 FR 5417, Jan. 19, 1981, unless otherwise noted.



                           Subpart A--General



Sec. 369.1  What are the Vocational Rehabilitation Service Projects?

    (a) These programs provide financial assistance for the support of 
special project activities for providing vocational rehabilitation 
services and related services to individuals with disabilities and other 
persons.
    (b) The Secretary awards financial assistance through the following 
programs--
    (1) Vocational Rehabilitation Service Projects for American Indians 
with Disabilities (34 CFR part 371).
    (2) Special Projects and Demonstrations for Providing Vocational 
Rehabilitation Services to Individuals with Disabilities.
    (3) Vocational Rehabilitation Service Projects for Migratory 
Agricultural and Seasonal Farmworkers with Disabilities.
    (4) Special Projects and Demonstrations for Providing Transitional 
Rehabilitation Services to Youths with Disabilities (34 CFR part 376).
    (5) Projects for Initiating Special Recreation Programs for 
Individuals with Disabilities.
    (6) Projects with Industry (34 CFR part 379).

(Authority: Secs. 112, 130, 305, 308, 311a, 311(a)(3), 311(a)(4), 312, 
316, and 621 of the Act; 29 U.S.C. 732, 750, 775, 776, 777(a)(1), 
777(a)(3), 777(a)(4), 777(b), 777f, and 795g)

[46 FR 5417, Jan. 19, 1981, as amended at 50 FR 9962, Mar. 12, 1985; 51 
FR 3895, Jan. 30, 1986; 53 FR 17142, 17143, May 13, 1988; 59 FR 8335, 
Feb. 18, 1994; 62 FR 10403, Mar. 6, 1997]



Sec. 369.2  Who is eligible for assistance under these programs?

    (a) Vocational rehabilitation service projects for American Indians 
with disabilities. Governing bodies of Indian tribes and consortia of 
those governing bodies located on Federal and State reservations are 
eligible for assistance to support projects for providing vocational 
rehabilitation services to American Indians with disabilities.

(Authority: Sec. 130 of the Act; 29 U.S.C. 750)

    (b) Special projects and demonstrations for providing vocational 
rehabilitation services to individuals with disabilities.  States and 
public and other nonprofit agencies and organizations are eligible for 
expanding or otherwise improving vocational rehabilitation services to 
individuals with disabilities.

(Authority: Sec. 311(a)(1) of the Act; 29 U.S.C. 777(a)(1))

    (c) Vocational rehabilitation service projects for migratory 
agricultural workers and seasonal farmworkers with disabilities. State 
vocational rehabilitation agencies, local agencies administering 
vocational rehabilitation programs under written agreements with State 
agencies, and nonprofit agencies working in collaboration with State 
vocational rehabilitation agencies are eligible for assistance to 
support projects for providing vocational rehabilitation services to 
migratory agricultural workers or seasonal farmworkers with 
disabilities.

(Authority: Sec. 312 of the Act; 29 U.S.C. 777(b))

    (d) Projects for initiating special recreation programs for 
individuals with disabilities. State and other public agencies and 
private nonprofit agencies and organizations are eligible for assistance 
to support projects for initiating special recreation programs for 
individuals with disabilities.

(Authority: Sec. 316 of the Act; 29 U.S.C. 777(f))
    (e) Projects with industry. Any designated State unit, labor union, 
community rehabilitation program provider, Indian tribe or tribal 
organization employer, trade association, or other agency or 
organization with the capacity to create and expand job and

[[Page 416]]

career opportunities for individuals with disabilities is eligible for 
assistance to support a project with industry.

(Authority: Sec. 621 of the Act; 29 U.S.C. 795(g))

    (f) Special projects and demonstrations for providing transitional 
rehabilitation services to youths with disabilities. State and other 
public and nonprofit agencies and organizations are eligible for 
assistance under this program.

(Authority: Sec. 311(c) of the Act; 29 U.S.C. 777a(c))

[46 FR 5417, Jan. 19, 1981, as amended at 50 FR 9962, Mar. 12, 1985; 51 
FR 3895, Jan. 30, 1986; 53 FR 17142, 17143, May 13, 1988; 59 FR 8335, 
Feb. 18, 1994; 62 FR 10403, Mar. 6, 1997]



Sec. 369.3  What regulations apply to these programs?

    The following regulations apply to the programs listed in 
Sec. 369.1(b):
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations).
    (2) 34 CFR part 75 (Direct Grant Programs).
    (3) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities); except the part 79 does not apply to 
the Vocational Rehabilitation Service Program for American Indians with 
Disabilities.
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (6) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 369.
    (c) The regulations in 34 CFR parts 371, 372, 373, 374, 375, 376, 
378, and 379, as appropriate.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[51 FR 3895, Jan. 30, 1986, as amended at 55 FR 21714, May 25, 1990; 59 
FR 8335, Feb. 18, 1994]



Sec. 369.4  What definitions apply to these programs?

    (a) The following definitions in 34 CFR part 77 apply to the 
programs under Vocational Rehabilitation Service Projects--

    Applicant
    Application
    Award
    Budget Period
    Department
    EDGAR
    Nonprofit
    Profit
    Project Period
    Public
    Secretary
    Work of Art

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (b) The following definitions also apply to programs under 
Vocational Rehabilitation Service Projects:
    Act means the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.), as 
amended.
    Community rehabilitation program means a program that provides 
directly or facilitates the provision of vocational rehabilitation 
services to individuals with disabilities, and that provides, singly or 
in combination, for an individual with a disability to enable the 
individual to maximize opportunities for employment, including career 
advancement--
    (1) Medical, psychiatric, psychological, social, and vocational 
services that are provided under one management;
    (2) Testing, fitting, or training in the use of prosthetic and 
orthotic devices;
    (3) Recreational therapy;
    (4) Physical and occupational therapy;
    (5) Speech, language and hearing therapy;
    (6) Psychiatric, psychological and social services, including 
positive behavior management;

[[Page 417]]

    (7) Assessment for determining eligibility and vocational 
rehabilitation needs;
    (8) Rehabilitation technology;
    (9) Job development, placement, and retention services;
    (10) Evaluation or control of specific disabilities;
    (11) Orientation and mobility services for individuals who are 
blind;
    (12) Extended employment;
    (13) Psychosocial rehabilitation services;
    (14) Supported employment services and extended services;
    (15) Services to family members when necessary to the vocational 
rehabilitation of the individual;
    (16) Personal assistance services; or
    (17) Services similar to the services described in paragraphs (1) 
through (16) of this definition.

(Authority: Sec. 7(25) of the Act; 29 U.S.C. 706(25))

    Employment outcome means entering or retaining full-time or, if 
appropriate, part-time competitive employment in the integrated labor 
market, the practice of a profession, self-employment, homemaking, farm 
or family work (including work for which payment is in kind rather than 
cash), extended employment in a community rehabilitation program, 
supported employment, or other gainful work.

(Authority: Sec 7(5) of the Act; 29 U.S.C. 706(5))

    Individual who is blind means a person who is blind within the 
meaning of the law relating to vocational rehabilitation in each State.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    Individual with a disability means any individual who--
    (1) Has a physical or mental impairment that for that individual 
constitutes or results in a substantial impediment to employment; and
    (2) Can benefit in terms of an employment outcome from vocational 
rehabilitation services provided under title I, III, VI, or VIII of the 
Act.

(Authority: Sec. 7(8)(A) of the Act; 29 U.S.C. 706(8)(A))

    Individual with a severe disability means an individual with a 
disability--
    (1) Who has a severe physical or mental impairment that seriously 
limits one or more functional capacities (such as mobility, 
communication, self-care, self-direction, interpersonal skills, work 
tolerance, or work skills) in terms of an employment outcome;
    (2) Whose vocational rehabilitation can be expected to require 
multiple vocational rehabilitation services over an extended period of 
time; and
    (3) Who has one or more physical or mental disabilities resulting 
from amputation, arthritis, autism, blindness, burn injury, cancer, 
cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, 
hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental 
retardation, mental illness, multiple sclerosis, muscular dystrophy, 
musculo-skeletal disorders, neurological disorders (including stroke and 
epilepsy), paraplegia, quadriplegia and other spinal cord conditions, 
sickle-cell anemia, specific learning disabilities, end-stage renal 
disease, or another disability or combination of disabilities determined 
to cause comparable substantial functional limitation.

(Authority: Sec. 7(15)(A) of the Act; 29 U.S.C. 706(15)(A))

    Physical and mental restoration services means--
    (1) Medical or corrective surgical treatment for the purpose of 
correcting or modifying substantially a physical or mental condition 
that is stable or slowly progressive and constitutes a substantial 
impediment to employment and that is likely, within a reasonable period 
of time, to be corrected or substantially modified as a result of the 
medical or surgical treatment;
    (2) Diagnosis and treatment for mental or emotional disorders by 
qualified personnel in accordance with State licensure laws;
    (3) Dentistry;
    (4) Nursing services;
    (5) Necessary hospitalization (either inpatient or outpatient care) 
in connection with surgery or treatment and clinic services;
    (6) Convalescent or nursing home care;
    (7) Drugs and supplies;

[[Page 418]]

    (8) Prosthetic, orthotic, or other assistive devices, including 
hearing aids essential to obtaining or retaining employment;
    (9) Eyeglasses and visual services, including visual training, and 
the examination and services necessary for the prescription and 
provision of eyeglasses, contact lenses, microscopic lenses, telescopic 
lenses, and other special visual aids, prescribed by qualified persons 
under State licensure laws, that are selected by the individual;
    (10) Podiatry;
    (11) Physical therapy;
    (12) Occupational therapy;
    (13) Speech and hearing therapy;
    (14) Psychological services;
    (15) Therapeutic recreation services;
    (16) Medical or medically related social work services;
    (17) Treatment of either acute or chronic medical complications and 
emergencies that are associated with or arise out of the provision of 
physical and mental restoration services or that are inherent in the 
condition under treatment;
    (18) Special services for the treatment of individuals with end-
stage renal disease, including transplantation, dialysis, artificial 
kidneys, and supplies; and
    (19) Other medical or medically related rehabilitation services, 
including art therapy, dance therapy, music therapy, and psychodrama.

(Authority: Sec. 103(a)(4) of the Act; 29 U.S.C. 723(a)(4))

    Physical or mental impairment means a physical or mental condition 
which materially limits, contributes to limiting or, if not corrected, 
will probably result in limiting an individual's employment activities 
or vocational functioning.

(Authority: Sec. 7(8)(A) of the Act; 29 U.S.C. 706(8)(A))

    Reservation means a Federal or State Indian reservation, public 
domain Indian allotment, former Indian reservation in Oklahoma, and land 
held by incorporated Native groups, regional corporations and village 
corporations under the provisions of the Alaska Native Claims Settlement 
Act.

(Authority: Sec. 130(c) of the Act; 29 U.S.C. 750(c))

    State agency means the sole State agency designated to administer 
(or supervise local administration of) the State plan for vocational 
rehabilitation services. The term includes the State agency for the 
blind, if designated as the sole State agency with respect to that part 
of the plan relating to the vocational rehabilitation of individuals who 
are blind.

(Authority: Sec. 7(3)(A) and 101(a)(1)(A) of the Act; 29 U.S.C. 
721(a)(1)(A))

    State plan means the State plan for vocational rehabilitation 
services. (34 CFR part 361)

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    State unit, State vocational rehabilitation unit or designated State 
unit means either--
    (1) The State agency vocational rehabilitation bureau, division, or 
other organizational unit that is primarily concerned with vocational 
rehabilitation or vocational and other rehabilitation of individuals 
with disabilities and that is responsible for the administration of the 
vocational rehabilitation program of the State agency; or
    (2) The independent State commission, board, or other agency that 
has vocational rehabilitation, or vocational and other rehabilitation as 
its primary function.

(Authority: Sec. 7(3) of the Act; 29 U.S.C. 706(3))

    Substantial impediment to employment means that a physical or mental 
impairment (in light of attendant medical, psychological, vocational, 
educational, and other related factors) significantly restricts an 
individual's occupational performance by preventing his preparing for, 
obtaining, or retaining employment consistent with his capacities and 
abilities.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    Vocational rehabilitation services: (1) When provided to an 
individual, means any goods or services necessary to

[[Page 419]]

render an individual with a disability employable, including, but not 
limited to, the following--
    (i) An assessment for determining eligibility and vocational 
rehabilitation needs by qualified personnel, including, if appropriate, 
an assessment by personnel skilled in rehabilitation technology;
    (ii) Counseling, guidance, and work-related placement services for 
individuals with disabilities, including job search assistance, 
placement assistance, job retention services, personal assistance 
services, and follow-up, follow-along, and specific diagnosis services 
necessary to assist such individuals to maintain, regain, or advance in 
employment;
    (iii) Vocational and other training services for individuals with 
disabilities, including personal and vocational adjustment, books, or 
other training materials;
    (iv) Services to the families of such individuals with disabilities, 
if necessary to the adjustment or rehabilitation of such individuals;
    (v) Physical and mental restoration services;
    (vi) Maintenance for additional costs incurred while participating 
in rehabilitation;
    (vii) Interpreter services and note-taking services for individuals 
who are deaf, including tactile interpreting for individuals who are 
deaf-blind;
    (viii) Reader services and note-taking services for those 
individuals who are determined to be blind after an examination by 
qualified personnel under State licensure laws;
    (ix) Recruitment and training services to provide new employment 
opportunities in the fields of rehabilitation, health, welfare, public 
safety and law enforcement, and other appropriate service employment;
    (x) Rehabilitation teaching services and orientation and mobility 
services for individuals who are blind;
    (xi) Occupational licenses, tools, equipment, and initial stocks and 
supplies;
    (xii) Transportation in connection with the rendering of any 
vocational rehabilitation service;
    (xiii) Telecommunications, sensory, and other technological aids and 
devices;
    (xiv) Rehabilitation technology services;
    (xv) Referral and other services designed to assist individuals with 
disabilities in securing needed services from other agencies;
    (xvi) Transition services that promote or facilitate the 
accomplishment of long-term rehabilitation goals and intermediate 
rehabilitation objectives;
    (xvii) On-the-job or other related personal assistance services 
provided while an individual with a disability is receiving vocational 
rehabilitation services; and
    (xviii) Supported employment services.

(Authority: Sec. 103(a) of the Act; 29 U.S.C. 723(a))

    (2) When provided for the benefit of groups of individuals, 
Vocational rehabilitation services also means--
    (i) In the case of any type of small business enterprise operated by 
individuals with the most severe disabilities under the supervision of 
the State unit, management services, and supervision and acquisition of 
vending facilities or other equipment, and initial stocks and supplies;
    (ii) The establishment, development, or improvement of community 
rehabilitation programs, including, under special circumstances, the 
construction of a rehabilitation facility to provide services that 
promote integration and competitive employment;
    (iii) The provision of services, including services provided at 
community rehabilitation programs, that promise to contribute 
substantially to the rehabilitation of a group of individuals but that 
are not related directly to the individualized written rehabilitation 
program of any one individual with disabilities;
    (iv) The use of existing telecommunications systems;
    (v) The use of services providing recorded material for persons who 
are blind and captioned films or video cassettes for persons who are 
deaf; and
    (vi) Technical assistance and support services to businesses that 
are not subject to title I of the Americans with Disabilities Act of 
1990 and that are

[[Page 420]]

seeking to employ individuals with disabilities.

(Authority: Sec. 103(b) of the Act; 29 U.S.C. 723(b))

[46 FR 5417, Jan. 19, 1981, as amended at 50 FR 38630, Sept. 23, 1985; 
53 FR 17143, May 13, 1988; 59 FR 8335, Feb. 18, 1994]



                          Subpart B--[Reserved]



               Subpart C--How Does One Apply for a Grant?



Sec. 369.20  What are the application procedures for these programs?

    The Secretary gives the appropriate State vocational rehabilitation 
unit an opportunity to review and comment on applications submitted from 
within the State that it serves. The procedures to be followed by the 
applicant and the State are in EDGAR Secs. 75.155-75.159.

(Authority: Sec. 12)(c) of the Act; 29 U.S.C. 711(c))



Sec. 369.21  What application requirement applies to these programs?

    Each applicant for a grant under a program covered by this part must 
include in its application a description of the manner in which it will 
address the needs of individuals with disabilities from minority 
backgrounds.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Sec. 21(b)(5) of the Act; 29 U.S.C. 718b)

[59 FR 8337, Feb. 18, 1994, as amended at 62 FR 10403, Mar. 6, 1997]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 369.30  How does the Secretary evaluate an application?

    The Secretary evaluates an application under the procedures in 34 
CFR part 75.

(Authority: 29 U.S.C. 711(c))

[62 FR 10404, Mar. 6, 1997]



Sec. 369.32  What other factors does the Secretary consider in reviewing an application?

    In addition to the selection criteria used in accordance with the 
procedures in 34 CFR part 75, the Secretary, in making awards under 
these programs, considers such factors as--
    (a) The geographical distribution of projects in each program 
category throughout the country; and
    (b) The past performance of the applicant in carrying out similar 
activities under previously awarded grants, as indicated by such factors 
as compliance with grant conditions, soundness of programmatic and 
financial management practices and attainment of established project 
objectives.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(a)).

[46 FR 5417, Jan. 19, 1981, as amended at 51 FR 3895, Jan. 30, 1986; 62 
FR 10404, Mar. 6, 1997]



          Subpart E--What Conditions Must Be Met by a Grantee?

Secs. 369.40--369.41  [Reserved]



Sec. 369.42  What special requirements affect provision of services to individuals with disabilities?

    (a) Vocational rehabilitation services provided in projects assisted 
under these programs must be provided in the same manner as services 
provided under the State plan for vocational rehabilitation services 
under 34 CFR part 361.
    (b) Each grantee under a program covered by this part must advise 
applicants for or recipients of services under its project, or as 
appropriate, the parents, family members, guardians, advocates, or 
authorized representatives of those individuals, of the availability and 
purposes of the State's Client Assistance Program, including information 
on seeking assistance from that program.

(Authority: Secs. 20 and 306(h) of the Act; 29 U.S.C. 718a and 776(h))

[46 FR 5417, Jan. 19, 1981, as amended at 53 FR 17144, May 13, 1988; 59 
FR 8337, Feb. 18, 1994; 62 FR 10404, Mar. 6, 1997]

[[Page 421]]



Sec. 369.43  What are the affirmative action plan requirements affecting grantees?

    A recipient of Federal assistance must develop and implement an 
affirmative action plan to employ and advance in employment qualified 
individuals with disabilities. This plan must provide for specific 
action steps, timetables, and complaint and enforcement procedures 
necessary to assure affirmative action.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[46 FR 5417, Jan. 19, 1981, as amended at 53 FR 17144, May 13, 1988; 59 
FR 8335, Feb. 18, 1994]



Sec. 369.44  What wage and hour standards apply to community rehabilitation programs?

    All applicable Federal and State wage and hour standards must be 
observed in projects carried out in community rehabilitation programs.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[46 FR 5417, Jan. 19, 1981. Redesignated and amended at 59 FR 8337, Feb. 
18, 1994]



Sec. 369.45  What are the special requirements pertaining to the membership of project advisory committees?

    If an advisory committee is established under a project, its 
membership must include persons with disabilities or their 
representatives and other individuals to be assisted within the project, 
providers of services, and other appropriate individuals.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[46 FR 5417, Jan. 19, 1981, as amended at 53 FR 17144, May 13, 1988; 59 
FR 8335, Feb. 18, 1994. Redesignated at 59 FR 8337, Feb. 18, 1994]



Sec. 369.46  What are the special requirements pertaining to the protection, use, and release of personal information?

    (a) All personal information about individuals served by any project 
under this part, including lists of names, addresses, photographs, and 
records of evaluation, must be held confidential.
    (b) The use of information and records concerning individuals must 
be limited only to purposes directly connected with the project, 
including project evaluation activities. This information may not be 
disclosed, directly or indirectly, other than in the administration of 
the project unless the consent of the agency providing the information 
and the individual to whom the information applies, or his or her 
representative, have been obtained in writing. The Secretary or other 
Federal or State officials responsible for enforcing legal requirements 
have access to this information without written consent being obtained. 
The final product of the project may not reveal any personal identifying 
information without written consent of the individual or his or her 
representative.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[46 FR 5417, Jan. 19, 1981. Redesignated at 59 FR 8337, Feb. 18, 1994]



Sec. 369.47  What are the special requirements affecting the collection of data from State agencies?

    If the collection of data is necessary either from individuals with 
disabilities being served by two or more State agencies or from 
employees of two or more of these agencies, the project director must 
submit requests for the data to appropriate representatives of the 
affected agencies, as determined by the Secretary. This requirement also 
applies to employed project staff and individuals enrolled in courses of 
study supported under this part.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[46 FR 5417, Jan. 19, 1981, as amended at 53 FR 17144, May 13, 1988; 59 
FR 8335, Feb. 18, 1994. Redesignated at 59 FR 8337, Feb. 18, 1994]



PART 370--CLIENT ASSISTANCE PROGRAM--Table of Contents




                           Subpart A--General

Sec.
370.1  What is the Client Assistance Program (CAP)?
370.2  Who is eligible for an award?
370.3  Who is eligible for services and information under the CAP?

[[Page 422]]

370.4  What kinds of activities may the Secretary fund?
370.5  What regulations apply?
370.6  What definitions apply?
370.7  What shall the designated agency do to make its services 
          accessible?

          Subpart B--What Requirements Apply to Redesignation?

370.10  When do the requirements for redesignation apply?
370.11  What requirements apply to a notice of proposed redesignation?
370.12  How does a designated agency preserve its right to appeal a 
          redesignation?
370.13  What are the requirements for a decision to redesignate?
370.14  How does a designated agency appeal a written decision to 
          redesignate?
370.15  What must the Governor of a State do upon receipt of a copy of a 
          designated agency's written appeal to the Secretary?
370.16  How does the Secretary review an appeal of a redesignation?
370.17  When does a redesignation become effective?

             Subpart C--How Does a State Apply For a Grant?

370.20  What must be included in a request for a grant?

  Subpart D--How Does the Secretary Allocate and Reallocate Funds to a 
                                 State?

370.30  How does the Secretary allocate funds?
370.31  How does the Secretary reallocate funds?

   Subpart E--What Post-Award Conditions Must Be Met by a Designated 
                                 Agency?

370.40  What are allowable costs?
370.41  What conflict of interest provision applies to employees of a 
          designated agency?
370.42  What access must the CAP be afforded to policymaking and 
          administrative personnel?
370.43  What requirement applies to the use of mediation procedures?
370.44  What reporting requirement applies to each designated agency?
370.45  What limitation applies to the pursuit of legal remedies?
370.46  What consultation requirement applies to a Governor of a State?
370.47  When must grant funds be obligated?
370.48  What are the special requirements pertaining to the protection, 
          use, and release of personal information?

    Authority: 29 U.S.C. 732, unless otherwise noted.

    Source:  60 FR 55766, Nov. 2, 1995, unless otherwise noted.



                           Subpart A--General



Sec. 370.1  What is the Client Assistance Program (CAP)?

    The purpose of this program is to establish and carry out CAPs 
that--
    (a) Advise and inform clients and client applicants of all services 
and benefits available to them through programs authorized under the 
Rehabilitation Act of 1973 (Act), as amended;
    (b) Assist and advocate for clients and client applicants in their 
relationships with projects, programs, and community rehabilitation 
programs providing services under the Act; and
    (c) Inform individuals with disabilities in the State, especially 
individuals with disabilities who have traditionally been unserved or 
underserved by vocational rehabilitation programs, of the services and 
benefits available to them under the Act and under title I of the 
Americans with Disabilities Act of 1990 (ADA), 42 U.S.C. 12101-12213.

(Authority: 29 U.S.C. 732(a))



Sec. 370.2  Who is eligible for an award?

    (a) Any State, through its Governor, is eligible for an award under 
this part if the State submits, and receives approval of, an application 
in accordance with Sec. 370.20.
    (b) The Governor of each State shall designate a public or private 
agency to conduct the State's CAP under this part.
    (c) Except as provided in paragraph (d) of this section, the 
Governor shall designate an agency that is independent of any agency 
that provides treatment, services, or rehabilitation to individuals 
under the Act.
    (d) The Governor may, in the initial designation, designate an 
agency that provides treatment, services, or rehabilitation to 
individuals with disabilities under the Act if, at any time before 
February 22, 1984, there was an agency in the State that both--
    (1) Was a grantee under section 112 of the Act by serving as a 
client assistance agency and directly carrying out a CAP; and
    (2) Was, at the same time, a grantee under any other provision of 
the Act.

[[Page 423]]

    (e) Except as permitted in paragraph (f) of this section, an agency 
designated by the Governor of a State to conduct the State's CAP under 
this part may not award a subgrant to or enter into a contract with an 
agency that provides services under this Act either to carry out the CAP 
or to provide services under the CAP.
    (f) An agency designated by the Governor of a State to conduct the 
State's CAP under this part may enter into a contract with a center for 
independent living (center) that provides services under the Act if--
    (1) On February 22, 1984, the designated agency was contracting with 
one or more centers to provide CAP services; and
    (2) The designated agency meets the requirements of paragraph (g) of 
this section.
    (g) A designated agency that contracts to provide CAP services with 
a center (pursuant to paragraph (f) of this section) or with an entity 
or individual that does not provide services under the Act remains 
responsible for--
    (1) The conduct of a CAP that meets all of the requirements of this 
part;
    (2) Ensuring that the center, entity, or individual expends CAP 
funds in accordance with--
    (i) The regulations in this part; and
    (ii) The cost principles applicable to the designated agency; and
    (3) The direct day-to-day supervision of the CAP services being 
carried out by the contractor. This day-to-day supervision must include 
the direct supervision of the individuals who are employed or used by 
the contractor to provide CAP services.

(Authority: 29 U.S.C. 711(c) and 732(a) and (c)(1)(A))



Sec. 370.3  Who is eligible for services and information under the CAP?

    (a) Any client or client applicant is eligible for the services 
described in Sec. 370.4.
    (b) Any individual with a disability is eligible to receive 
information on the services and benefits available to individuals with 
disabilities under the Act and title I of the ADA.

(Authority: 29 U.S.C. 732(a))



Sec. 370.4  What kinds of activities may the Secretary fund?

    (a) Funds made available under this part must be used for activities 
consistent with the purposes of this program, including--
    (1) Advising and informing clients, client applicants, and 
individuals with disabilities in the State, especially individuals with 
disabilities who have traditionally been unserved or underserved by 
vocational rehabilitation programs, of--
    (i) All services and benefits available to them through programs 
authorized under the Act; and
    (ii) Their rights in connection with those services and benefits;
    (2) Informing individuals with disabilities in the State, especially 
individuals with disabilities who have traditionally been unserved or 
underserved by vocational rehabilitation programs, of the services and 
benefits available to them under title I of the ADA;
    (3) Upon the request of a client or client applicant, assisting and 
advocating on behalf of a client and client applicant in his or her 
relationship with projects, programs, and community rehabilitation 
programs that provide services under the Act by engaging in individual 
or systemic advocacy and pursuing, or assisting and advocating on behalf 
of a client and client applicant to pursue, legal, administrative, and 
other available remedies, if necessary--
    (i) To ensure the protection of the rights of a client or client 
applicant under the Act; and
    (ii) To facilitate access by individuals with disabilities and 
individuals with disabilities who are making the transition from public 
school programs to services funded under the Act; and
    (4) Providing information to the public concerning the CAP.
    (b) In providing assistance and advocacy services under this part 
with respect to services under title I of the Act, a designated agency 
may provide assistance and advocacy services to a client or client 
applicant to facilitate the individual's employment, including 
assistance and advocacy services with respect to the individual's claims 
under title I of the ADA, if those claims

[[Page 424]]

under title I of the ADA are directly related to services under the Act 
that the individual is receiving or seeking.

(Authority: 29 U.S.C. 732(a))



Sec. 370.5  What regulations apply?

    The following regulations apply to the expenditure of funds under 
the CAP:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals and Nonprofit Organizations) applies to the 
designated agency if the designated agency is not a State agency, local 
government agency, or Indian tribal organization. As the entity that 
eventually, if not directly, receives the CAP grant funds, the 
designated agency is considered a recipient for purposes of part 74.
    (2) 34 CFR part 76 (State-Administered Programs) applies to the 
State and, if the designated agency is a State or local government 
agency, to the designated agency, except for--
    (i) Sec. 76.103;
    (ii) Secs. 76.125 through 76.137;
    (iii) Secs. 76.300 through 76.401;
    (iv) Sec. 76.708;
    (v) Sec. 76.734; and
    (vi) Sec. 76.740.
    (3) 34 CFR part 77 (Definitions That Apply to Department 
Regulations).
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments) applies to 
the State and, if the designated agency is a State or local government 
agency, to the designated agency.
    (6) 34 CFR part 81 (General Education Provisions Act-Enforcement) 
applies to both the State and the designated agency, whether or not the 
designated agency is the actual recipient of the CAP grant. As the 
entity that eventually, if not directly, receives the CAP grant funds, 
the designated agency is considered a recipient for purposes of Part 81.
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (b) The regulations in this part 370.
    (c) The regulations in 34 CFR 369.43, 369.46 and 369.48, relating to 
various conditions to be met by grantees.

    Note: Any funds made available to a State under this program that 
are transferred by a State to a designated agency do not comprise a 
subgrant as that term is defined in 34 CFR 77.1. The designated agency 
is not, therefore, in these circumstances a subgrantee, as that term is 
defined in that section or in 34 CFR part 74, 76, or 80.)

(Authority: 29 U.S.C. 711(c) and 732)



Sec. 370.6  What definitions apply?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Award
EDGAR
Fiscal year
Nonprofit
Private
Public
Secretary

    (b) Other definitions. The following definitions also apply to this 
part:
    Act means the Rehabilitation Act of 1973, as amended.
    Advocacy means pleading an individual's cause or speaking or writing 
in support of an individual. Advocacy may be formal, as in the case of a 
lawyer representing an individual in a court of law or in formal 
administrative proceedings before government agencies (whether State, 
local or Federal). Advocacy also may be informal, as in the case of a 
lawyer or non-lawyer representing an individual in negotiations, 
mediation, or informal administrative proceedings before government 
agencies (whether State, local or Federal), or as in the case of a 
lawyer or non-lawyer representing an individual's cause before private 
entities or organizations, or government agencies (whether State, local 
or Federal). Advocacy may be on behalf of--
    (1) A single individual, in which case it is individual advocacy;
    (2) More than one individual or a group or class of individuals, in 
which

[[Page 425]]

case it is systems (or systemic) advocacy; or
    (3) Oneself, in which case it is self advocacy.
    Class action means a formal legal suit on behalf of a group or class 
of individuals filed in a Federal or State court that meets the 
requirements for a ``class action'' under Federal or State law. 
``Systems (or systemic) advocacy'' that does not include filing a formal 
class action in a Federal or State court is not considered a class 
action for purposes of this part.
    Client or client applicant means an individual receiving or seeking 
services under the Act, respectively.
    Designated agency means the agency designated by the Governor under 
Sec. 370.2 to conduct a client assistance program under this part.
    Mediation means the act or process of using an independent third 
party to act as a mediator, intermediary, or conciliator to settle 
differences or disputes between persons or parties. The third party who 
acts as a mediator, intermediary, or conciliator may not be any entity 
or individual who is connected in any way with the eligible system or 
the agency, entity, or individual with whom the individual with a 
disability has a dispute. Mediation may involve the use of professional 
mediators or any other independent third party mutually agreed to by the 
parties to the dispute.
    Services under the Act means vocational rehabilitation, independent 
living, supported employment, and other similar rehabilitation services 
provided under the Act. For purposes of the CAP, the term ``services 
under the Act'' does not include activities carried out under the 
protection and advocacy program authorized by section 509 of the Act 
(i.e., the Protection and Advocacy of Individual Rights (PAIR) program, 
34 CFR part 381).
    State means, in addition to each of the several States of the United 
States, the District of Columbia, the Commonwealth of Puerto Rico, The 
United States Virgin Islands, Guam, American Samoa, the Commonwealth of 
the Northern Mariana Islands, and the Republic of Palau (but only until 
September 30, 1998), except for purposes of the allotments under section 
112 of the Act, in which case ``State'' does not mean or include Guam, 
American Samoa, the United States Virgin Islands, the Commonwealth of 
the Northern Mariana Islands, and the Republic of Palau.

(Authority: 29 U.S.C. 711(c) and 732; Pub. L. 101-219 (Dec. 12, 1989); 
Pub. L. 99-658 (Nov. 14, 1986); and Pub. L. 99-239 (Jan. 14, 1986))



Sec. 370.7  What shall the designated agency do to make its services accessible?

    The designated agency shall provide, as appropriate, the CAP 
services described in Sec. 370.4 in formats that are accessible to 
clients or client applicants who seek or receive CAP services.

(Authority: 29 U.S.C. 711(c))



          Subpart B--What Requirements Apply to Redesignation?



Sec. 370.10  When do the requirements for redesignation apply?

    (a) The Governor may not redesignate the agency designated pursuant 
to section 112(c) of the Act and Sec. 370.2(b) without good cause and 
without complying with the requirements of Secs. 370.10 through 370.17.
    (b) For purposes of Secs. 370.10 through 370.17, a ``redesignation 
of'' or ``to redesignate'' a designated agency means any change in or 
transfer of the designation of an agency previously designated by the 
Governor to conduct the State's CAP to a new or different agency, unit, 
or organization, including--
    (1) A decision by a designated agency to cancel its existing 
contract with another entity with which it has previously contracted to 
carry out and operate all or part of its responsibilities under the CAP 
(including providing advisory, assistance, or advocacy services to 
eligible clients and client applicants); or
    (2) A decision by a designated agency not to renew its existing 
contract with another entity with which it has previously contracted. 
Therefore, an agency that is carrying out a State's CAP under a contract 
with a designated agency is considered a designated agency for purposes 
of Secs. 370.10 through 370.17.

[[Page 426]]

    (c) For purposes of paragraph (a) of this section, a designated 
agency that does not renew a contract for CAP services because it is 
following State procurement laws that require contracts to be awarded 
through a competitive bidding process is presumed to have good cause for 
not renewing an existing contract. However, this presumption may be 
rebutted.
    (d) If State procurement laws require a designated agency to award a 
contract through a competitive bidding process, the designated agency 
must hold public hearings on the request for proposal before awarding 
the new contract.

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))



Sec. 370.11  What requirements apply to a notice of proposed redesignation?

    (a) Prior to any redesignation of the agency that conducts the CAP, 
the Governor shall give written notice of the proposed redesignation to 
the designated agency, the State Rehabilitation Advisory Council (SRAC), 
and the State Independent Living Council (SILC) and publish a public 
notice of the Governor's intention to redesignate. Both the notice to 
the designated agency, the SRAC, and the SILC and the public notice must 
include, at a minimum, the following:
    (1) The Federal requirements for the CAP (section 112 of the Act).
    (2) The goals and function of the CAP.
    (3) The name of the current designated agency.
    (4) A description of the current CAP and how it is administered.
    (5) The reason or reasons for proposing the redesignation, including 
why the Governor believes good cause exists for the proposed 
redesignation.
    (6) The effective date of the proposed redesignation.
    (7) The name of the agency the Governor proposes to administer the 
CAP.
    (8) A description of the system that the redesignated (i.e., new) 
agency would administer.
    (b) The notice to the designated agency must--
    (1) Be given at least 30 days in advance of the Governor's written 
decision to redesignate; and
    (2) Advise the designated agency that it has at least 30 days from 
receipt of the notice of proposed redesignation to respond to the 
Governor and that the response must be in writing.
    (c) The notice of proposed redesignation must be published in a 
place and manner that provides the SRAC, the SILC, individuals with 
disabilities or their representatives, and the public with at least 30 
days to submit oral or written comments to the Governor.
    (d) Following public notice, public hearings concerning the proposed 
redesignation must be conducted in an accessible format that provides 
individuals with disabilities or their representatives an opportunity 
for comment. The Governor shall maintain a written public record of 
these hearings.
    (e) The Governor shall fully consider any public comments before 
issuing a written decision to redesignate.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))



Sec. 370.12  How does a designated agency preserve its right to appeal a redesignation?

    (a) To preserve its right to appeal a Governor's written decision to 
redesignate (see Sec. 370.13), a designated agency must respond in 
writing to the Governor within 30 days after it receives the Governor's 
notice of proposed redesignation.
    (b) The designated agency shall send its response to the Governor by 
registered or certified mail, return receipt requested, or other means 
that provides a record that the Governor received the designated 
agency's response.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))



Sec. 370.13  What are the requirements for a decision to redesignate?

    (a) If, after complying with the requirements of Sec. 370.11, the 
Governor decides to redesignate the designated agency, the Governor 
shall provide to the designated agency a written decision to redesignate 
that includes the rationale for the redesignation. The

[[Page 427]]

Governor shall send the written decision to redesignate to the 
designated agency by registered or certified mail, return receipt 
requested, or other means that provides a record that the designated 
agency received the Governor's written decision to redesignate.
    (b) If the designated agency submitted to the Governor a timely 
response to the Governor's notice of proposed redesignation, the 
Governor shall inform the designated agency that it has at least 15 days 
from receipt of the Governor's written decision to redesignate to file a 
formal written appeal with the Secretary.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(A))



Sec. 370.14  How does a designated agency appeal a written decision to redesignate?

    (a) A designated agency may appeal to the Secretary a Governor's 
written decision to redesignate only if the designated agency submitted 
to the Governor a timely written response to the Governor's notice of 
proposed redesignation in accordance with Sec. 370.12.
    (b) To appeal to the Secretary a Governor's written decision to 
redesignate, a designated agency shall file a formal written appeal with 
the Secretary within 15 days after the designated agency's receipt of 
the Governor's written decision to redesignate. The date of filing of 
the designated agency's written appeal with the Secretary will be 
determined in a manner consistent with the requirements of 34 CFR 81.12.
    (c) If the designated agency files a written appeal with the 
Secretary, the designated agency shall send a separate copy of this 
appeal to the Governor by registered or certified mail, return receipt 
requested, or other means that provides a record that the Governor 
received a copy of the designated agency's appeal to the Secretary.
    (d) The designated agency's written appeal to the Secretary must 
state why the Governor has not met the burden of showing that good cause 
for the redesignation exists or has not met the procedural requirements 
under Secs. 370.11 and 370.13.
    (e) The designated agency's written appeal must be accompanied by 
the designated agency's written response to the Governor's notice of 
proposed redesignation and may be accompanied by any other written 
submissions or documentation the designated agency wishes the Secretary 
to consider.
    (f) As part of its submissions under this section, the designated 
agency may request an informal meeting with the Secretary at which 
representatives of both parties will have an opportunity to present 
their views on the issues raised in the appeal.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))



Sec. 370.15  What must the Governor of a State do upon receipt of a copy of a designated agency's written appeal to the Secretary?

    (a) If the designated agency files a formal written appeal in 
accordance with Sec. 370.14, the Governor shall, within 15 days of 
receipt of the designated agency's appeal, submit to the Secretary 
copies of the following:
    (1) The written notice of proposed redesignation sent to the 
designated agency.
    (2) The public notice of proposed redesignation.
    (3) Transcripts of all public hearings held on the proposed 
redesignation.
    (4) Written comments received by the Governor in response to the 
public notice of proposed redesignation.
    (5) The Governor's written decision to redesignate, including the 
rationale for the decision.
    (6) Any other written documentation or submissions the Governor 
wishes the Secretary to consider.
    (7) Any other information requested by the Secretary.
    (b) As part of the submissions under this section, the Governor may 
request an informal meeting with the Secretary at which representatives 
of both parties will have an opportunity to present their views on the 
issues raised in the appeal.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))

[[Page 428]]



Sec. 370.16  How does the Secretary review an appeal of a redesignation?

    (a) If either party requests a meeting under Sec. 370.14(f) or 
Sec. 370.15(b), the meeting is to be held within 30 days of the 
submissions by the Governor under Sec. 370.15, unless both parties agree 
to waive this requirement. The Secretary promptly notifies the parties 
of the date and place of the meeting.
    (b) Within 30 days of the informal meeting permitted under paragraph 
(a) of this section or, if neither party has requested an informal 
meeting, within 60 days of the submissions required from the Governor 
under Sec. 370.15, the Secretary issues to the parties a final written 
decision on whether the redesignation was for good cause.
    (c) The Secretary reviews a Governor's decision based on the record 
submitted under Secs. 370.14 and 370.15 and any other relevant 
submissions of other interested parties. The Secretary may affirm or, if 
the Secretary finds that the redesignation is not for good cause, remand 
for further findings or reverse a Governor's redesignation.
    (d) The Secretary sends copies of the decision to the parties by 
registered or certified mail, return receipt requested, or other means 
that provide a record of receipt by both parties.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))



Sec. 370.17  When does a redesignation become effective?

    A redesignation does not take effect for at least 15 days following 
the designated agency's receipt of the Governor's written decision to 
redesignate or, if the designated agency appeals, for at least 5 days 
after the Secretary has affirmed the Governor's written decision to 
redesignate.
(Authority: 29 U.S.C. 711(c) and 732(c)(1)(B))



             Subpart C--How Does a State Apply for a Grant?



Sec. 370.20  What must be included in a request for a grant?

    (a) Each State seeking assistance under this part shall submit to 
the Secretary, in writing, each fiscal year, an application that 
includes, at a minimum--
    (1) The name of the designated agency; and
    (2) An assurance that the designated agency meets the independence 
requirement of section 112(c)(1)(A) of the Act and Sec. 370.2(c), or 
that the State is exempted from that requirement under section 
112(c)(1)(A) of the Act and Sec. 370.2(d).
    (b)(1) Each State also shall submit to the Secretary an assurance 
that the designated agency has the authority to pursue legal, 
administrative, and other appropriate remedies to ensure the protection 
of the rights of clients or client applicants within the State.
    (2) The authority to pursue remedies described in paragraph (b)(1) 
of this section must include the authority to pursue those remedies 
against the State vocational rehabilitation agency and other appropriate 
State agencies. The designated agency meets this requirement if it has 
the authority to pursue those remedies either on its own behalf or by 
obtaining necessary services, such as legal representation, from outside 
sources.
    (c) Each State also shall submit to the Secretary assurances that--
    (1) All entities conducting, administering, operating, or carrying 
out programs within the State that provide services under the Act to 
individuals with disabilities in the State will advise all clients and 
client applicants of the existence of the CAP, the services provided 
under the program, and how to contact the designated agency;
    (2) The designated agency will meet each of the requirements in this 
part; and
    (3) The designated agency will provide the Secretary with the annual 
report required by section 112(g)(4) of the Act and Sec. 370.44.
    (d) To allow a designated agency to receive direct payment of funds 
under this part, a State must provide to the Secretary, as part of its 
application for assistance, an assurance that direct payment to the 
designated agency is not prohibited by or inconsistent with State law, 
regulation, or policy.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 732 (b) and (f))

[[Page 429]]



  Subpart D--How Does the Secretary Allocate and Reallocate Funds to a 
                                 State?



Sec. 370.30  How does the Secretary allocate funds?

    (a) The Secretary allocates the funds available under this part for 
any fiscal year to the States on the basis of the relative population of 
each State. The Secretary allocates at least $50,000 to each State, 
unless the provisions of section 112(e)(1)(D) of the Act (which provides 
for increasing the minimum allotment if the appropriation for the CAP 
exceeds $7,500,000 or the appropriation is increased by a certain 
percentage described in section 112(e)(1)(D)(ii) of the Act) are 
applicable.
    (b) The Secretary allocates $30,000 each, unless the provisions of 
section 112(e)(1)(D) of the Act are applicable, to American Samoa, Guam, 
the Virgin Islands, the Northern Mariana Islands, and the Republic of 
Palau, except that the Secretary allocates to the Republic of Palau only 
75 percent of this allotment in fiscal year 1996, only 50 percent of 
this allotment in fiscal year 1997, only 25 percent of this allotment in 
fiscal year 1998, and none of this allotment in fiscal year 1999 and 
thereafter.
    (c) Unless prohibited or otherwise provided by State law, 
regulation, or policy, the Secretary pays to the designated agency, from 
the State allotment under paragraph (a) or (b) of this section, the 
amount specified in the State's approved request. Because the designated 
agency is the eventual, if not the direct, recipient of the CAP funds, 
34 CFR parts 74 and 81 apply to the designated agency, whether or not 
the designated agency is the actual recipient of the CAP grant. However, 
because it is the State that submits an application for and receives the 
CAP grant, the State remains the grantee for purposes of 34 CFR parts 76 
and 80. In addition, both the State and the designated agency are 
considered recipients for purposes of 34 CFR part 81.

(Authority: 29 U.S.C. 732 (b) and (e); Pub. L. 101-219 (Dec. 12, 1989); 
Pub. L. 99-658 (Nov. 14, 1986); and Pub. L. 99-239 (Jan. 14, 1986))



Sec. 370.31  How does the Secretary reallocate funds?

    (a) The Secretary reallocates funds in accordance with section 
112(e)(2) of the Act.
    (b) A designated agency shall inform the Secretary at least 90 days 
before the end of the fiscal year for which CAP funds were received 
whether the designated agency is making available for reallotment any of 
those CAP funds that it will be unable to obligate in that fiscal year.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 711(c) and 732(e)(2))



   Subpart E--What Post-Award Conditions Must Be Met by a Designated 
                                 Agency?



Sec. 370.40  What are allowable costs?

    (a) If the designated agency is a State or local government agency, 
the designated agency shall apply the cost principles in accordance with 
34 CFR 80.22(b).
    (b) If the designated agency is a private nonprofit organization, 
the designated agency shall apply the cost principles in accordance with 
subpart Q of 34 CFR part 74.
    (c) In addition to those allowable costs established in EDGAR, and 
consistent with the program activities listed in Sec. 370.4, the cost of 
travel in connection with the provision to a client or client applicant 
of assistance under this program is allowable. The cost of travel 
includes the cost of travel for an attendant if the attendant must 
accompany the client or client applicant.
    (d) The State and the designated agency are accountable, both 
jointly and severally, to the Secretary for the proper use of funds made 
available under this part. However, the Secretary may choose to recover 
funds under the procedures in 34 CFR part 81 from either the State or 
the designated agency, or both, depending on the circumstances of each 
case.

(Authority: 29 U.S.C. 711(c) and 732(c)(3))

[[Page 430]]



Sec. 370.41  What conflict of interest provision applies to employees of a designated agency?

    (a) Except as permitted by paragraph (b) of this section, an 
employee of a designated agency, of a center under contract with a 
designated agency (as permitted by Sec. 370.2(f)), or of an entity or 
individual under contract with a designated agency, who carries out any 
CAP duties or responsibilities, while so employed, may not--
    (1) Serve concurrently as a staff member of, consultant to, or in 
any other capacity within, any other rehabilitation project, program, or 
community rehabilitation program receiving assistance under the Act in 
the State; or
    (2) Provide any services under the Act, other than CAP and PAIR 
services.
    (b) An employee of a designated agency or of a center under contract 
with a designated agency, as permitted by Sec. 370.2(f), may--
    (1) Receive a traineeship under section 302 of the Act;
    (2) Provide services under the PAIR program;
    (3) Represent the CAP on any board or council (such as the SRAC) if 
CAP representation on the board or council is specifically permitted or 
mandated by the Act; and
    (4) Consult with policymaking and administrative personnel in State 
and local rehabilitation programs, projects, and community 
rehabilitation programs, if consultation with the designated agency is 
specifically permitted or mandated by the Act.

(Authority: 29 U.S.C. 732(g)(1))



Sec. 370.42  What access must the CAP be afforded to policymaking and administrative personnel?

    The CAP must be afforded reasonable access to policymaking and 
administrative personnel in State and local rehabilitation programs, 
projects, and community rehabilitation programs. One way in which the 
CAP may be provided that access would be to include the director of the 
designated agency among the individuals to be consulted on matters of 
general policy development and implementation, as required by sections 
101(a) (18) and (23) of the Act.

(Authority: 29 U.S.C. 721(a) (18) and (23) and 732(g)(2))



Sec. 370.43  What requirement applies to the use of mediation procedures?

    (a) Each designated agency shall implement procedures designed to 
ensure that, to the maximum extent possible, good faith negotiations and 
mediation procedures are used before resorting to formal administrative 
or legal remedies. In designing these procedures, the designated agency 
may take into account its level of resources.
    (b) For purposes of this section, mediation may involve the use of 
professional mediators, other independent third parties mutually agreed 
to by the parties to the dispute, or an employee of the designated 
agency who--
    (1) Is not assigned to advocate for or otherwise represent or is not 
involved with advocating for or otherwise representing the client or 
client applicant who is a party to the mediation; and
    (2) Has not previously advocated for or otherwise represented or 
been involved with advocating for or otherwise representing that same 
client or client applicant.

(Authority: 29 U.S.C. 732(g)(3))



Sec. 370.44  What reporting requirement applies to each designated agency?

    In addition to the program and fiscal reporting requirements in 
EDGAR that are applicable to this program, each designated agency shall 
submit to the Secretary, no later than 90 days after the end of each 
fiscal year, an annual report on the operation of its CAP during the 
previous year, including a summary of the work done and the uniform 
statistical tabulation of all cases handled by the program. The annual 
report must contain information on--
    (a) The number of requests received by the designated agency for 
information on services and benefits under the Act and title I of the 
ADA;
    (b) The number of referrals to other agencies made by the designated 
agency and the reason or reasons for those referrals;

[[Page 431]]

    (c) The number of requests for advocacy services received by the 
designated agency from clients or client applicants;
    (d) The number of the requests for advocacy services from clients or 
client applicants that the designated agency was unable to serve;
    (e) The reasons that the designated agency was unable to serve all 
of the requests for advocacy services from clients or client applicants; 
and
    (f) Any other information that the Secretary may require.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 732(g) (4) and (5))



Sec. 370.45  What limitation applies to the pursuit of legal remedies?

    A designated agency may not bring any class action in carrying out 
its responsibilities under this part.

(Authority: 29 U.S.C. 732(d))



Sec. 370.46  What consultation requirement applies to a Governor of a State?

    In designating a client assistance agency under Sec. 370.2, 
redesignating a client assistance agency under Sec. 370.10(a), and 
carrying out the other provisions of this part, the Governor shall 
consult with the director of the State vocational rehabilitation agency 
(or, in States with both a general agency and an agency for the blind, 
the directors of both agencies), the head of the developmental 
disability protection and advocacy agency, and representatives of 
professional and consumer organizations serving individuals with 
disabilities in the State.

(Authority: 29 U.S.C. 732(c)(2))



Sec. 370.47  When must grant funds be obligated?

    (a) Any funds appropriated for a fiscal year to carry out the CAP 
that are not expended or obligated by the designated agency prior to the 
beginning of the succeeding fiscal year remain available for obligation 
by the designated agency during the succeeding fiscal year in accordance 
with 34 CFR 76.705 through 76.707.
    (b) A designated agency shall inform the Secretary within 90 days 
after the end of the fiscal year for which the CAP funds were made 
available whether the designated agency carried over to the succeeding 
fiscal year any CAP funds that it was unable to obligate by the end of 
the fiscal year.

(Approved by the Office of Management and Budget under control number 
1820-0520)

(Authority: 29 U.S.C. 718)



Sec. 370.48  What are the special requirements pertaining to the protection, use, and release of personal information?

    (a) All personal information about individuals served by any 
designated agency under this part, including lists of names, addresses, 
photographs, and records of evaluation, must be held strictly 
confidential.
    (b) The designated agency's use of information and records 
concerning individuals must be limited only to purposes directly 
connected with the CAP, including program evaluation activities. Except 
as provided in paragraphs (c) and (e) of this section, this information 
may not be disclosed, directly or indirectly, other than in the 
administration of the CAP, unless the consent of the individual to whom 
the information applies, or his or her parent, legal guardian, or other 
legally authorized representative or advocate (including the 
individual's advocate from the designated agency), has been obtained in 
writing. A designated agency may not produce any report, evaluation, or 
study that reveals any personally identifying information without the 
written consent of the individual or his or her representative.
    (c) Except as limited in paragraphs (d) and (e) of this section, the 
Secretary or other Federal or State officials responsible for enforcing 
legal requirements are to have complete access to all--
    (1) Records of the designated agency that receives funds under this 
program; and
    (2) All individual case records of clients served under this part 
without the consent of the client.
    (d) For purposes of conducting any periodic audit, preparing or 
producing any report, or conducting any evaluation of the performance of 
the CAP established or assisted under this part,

[[Page 432]]

the Secretary does not require the designated agency to disclose the 
identity of, or any other personally identifiable information related 
to, any individual requesting assistance under the CAP.
    (e) Notwithstanding paragraph (d) of this section and consistent 
with paragraph (f) of this section, a designated agency shall disclose 
to the Secretary, if the Secretary so requests, the identity of, or any 
other personally identifiable information (i.e., name, address, 
telephone number, social security number, or any other official code or 
number by which an individual may be readily identified) related to, any 
individual requesting assistance under the CAP if--
    (1) An audit, evaluation, monitoring review, State plan assurance 
review, or other investigation produces reliable evidence that there is 
probable cause to believe that the designated agency has violated its 
legislative mandate or misused Federal funds; or
    (2) The Secretary determines that this information may reasonably 
lead to further evidence that is directly related to alleged misconduct 
of the designated agency.
    (f) In addition to the protection afforded by paragraph (d) of this 
section, the right of a person or designated agency not to produce 
documents or disclose information to the Secretary is governed by the 
common law of privileges, as interpreted by the courts of the United 
States.

(Authority: 29 U.S.C. 711(c) and 732(g)(6))



PART 371--VOCATIONAL REHABILITATION SERVICE PROJECTS FOR AMERICAN INDIANS WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
371.1  What is the Vocational Rehabilitation Services Program for 
          American Indians with Disabilities?
371.2  Who is eligible for assistance under this program?
371.3  What regulations apply to this program?
371.4  What definitions apply to this program?
371.5  What is the length of the project period under this program?

  Subpart B--What Kinds of Activities Does the Department of Education 
                       Assist Under This Program?

371.10  What types of projects are authorized under this program?

               Subpart C--How Does One Apply for a Grant?

371.20  What are the application procedures under this program?
371.21  What are the special application requirements related to the 
          State plan Program?

             Subpart D--How Does the Secretary Make a Grant?

371.31  How are grants awarded?

    Subpart E--What Conditions Apply to a Grantee Under this Program?

371.40  What are the matching requirements?
371.41  What are allowable costs?
371.42  How are services to be administered under this program?
371.43  What other special conditions apply to this program?

    Authority: 29 U.S.C. 711(c) and 750, unless otherwise noted.

    Source: 46 FR 5423, Jan. 19, 1981, unless otherwise noted.



                           Subpart A--General



Sec. 371.1  What is the Vocational Rehabilitation Services Program for American Indians with Disabilities?

    This program is designed to provide vocational rehabilitation 
services to American Indians with disabilities who reside on Federal or 
State reservations, consistent with their individual strengths, 
resources, priorities, concerns, abilities, capabilities, and informed 
choice, so that they may prepare for and engage in gainful employment.

(Authority: Secs. 100(a)(2) and 130(a) of the Act; 29 U.S.C. 720(a)(2) 
and 750(a))

[60 FR 58137, Nov. 24, 1995]



Sec. 371.2  Who is eligible for assistance under this program?

    Applications may be made only by the governing bodies of Indian 
tribes and consortia of those governing bodies

[[Page 433]]

located on Federal and State reservations.

(Authority: Sec. 130(a) of the Act; 29 U.S.C. 750(a))

[46 FR 5423, Jan. 19, 1981, as amended at 52 FR 30555, Aug. 14, 1987]



Sec. 371.3  What regulations apply to this program?

    The following regulations apply to this program--
    (a) 34 CFR part 369;
    (b) The regulations in this part 371.

(Authority: Sec. 130 of the Act; 29 U.S.C. 750)



Sec. 371.4  What definitions apply to this program?

    (a) The definitions in 34 CFR part 369 apply to this program;
    (b) The following definitions also apply specifically to this 
program--
     American Indian means a person who is a member of an Indian tribe.

(Authority: Secs. 12(c) and 130 of the Act; 29 U.S.C. 711(c) and 750)

    Consortium means two or more eligible governing bodies of Indian 
tribes that make application as a single applicant under an agreement 
whereby each governing body is legally responsible for carrying out all 
of the activities in the application.

(Authority: Secs. 12(c) and 130 of the Act; 29 U.S.C. 711(c) and 750)

     Governing bodies of Indian tribes means those duly elected or 
appointed representatives of an Indian tribe or of an Alaskan native 
village. These representatives must have the authority to enter into 
contracts, agreements, and grants on behalf of their constituency.

(Authority: Secs. 12(c) and 130 of the Act; 29 U.S.C. 711(c) and 750)

     Indian tribe means any Federal or State Indian band, rancheria, 
pueblo, colony, and community, including any Alaskan native village or 
regional village corporation (as defined in or established pursuant to 
the Alaska Native Claims Settlement Act).

(Authority: Secs. 12(c) and 130 of the Act; 29 U.S.C. 711(c) and 750)

     Reservation means a Federal or State Indian reservation, public 
domain Indian allotment, former Indian reservation in Oklahoma, and land 
held by incorporated Native groups, regional corporations and village 
corporations under the provisions of the Alaska Native Claims Settlement 
Act.

(Authority: Secs. 12(c) and 130(c) of the Act; 29 U.S.C. 711(c) and 
750(c))

[46 FR 5423, Jan. 19, 1981, as amended at 52 FR 30555, Aug. 14, 1987; 59 
FR 8338, Feb. 18, 1994]



Sec. 371.5  What is the length of the project period under this program?

    (a) The Secretary approves a project period of up to three years.
    (b) The Secretary may extend a grant for up to two additional years 
if the grantee includes in its extension request--
    (1) An assurance that the project is in compliance with all 
applicable program requirements; and
    (2) Satisfactory evidence that--
    (i) The project has made substantial and measurable progress in 
meeting the needs of American Indians with disabilities on the 
reservation or reservations it serves;
    (ii) American Indians with disabilities who have received project 
services have achieved employment outcomes consistent with their 
strengths, resources, priorities, concerns, abilities, capabilities, and 
informed choice; and
    (iii) There is a continuing need for the project.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Section 130(b)(3) of the Act; 29 U.S.C. 750(b)(3))

[60 FR 58137, Nov. 24, 1995]



  Subpart B--What Kinds of Activities Does the Department of Education 
                       Assist Under This Program?



Sec. 371.10  What types of projects are authorized under this program?

    The Vocational Rehabilitation Service Program for American Indians 
with

[[Page 434]]

Disabilities provides financial assistance for the establishment and 
operation of tribal vocational rehabilitation service programs for 
American Indians with disabilities who reside on Federal or State 
reservations.

(Authority: Sec. 130(a) of the Act; 29 U.S.C. 750(a))

[59 FR 8338, Feb. 18, 1994]



               Subpart C--How Does One Apply for a Grant?



Sec. 371.20  What are the application procedures for this program?

    In the development of an application, a governing body or consortium 
is required to consult with the designated State unit or the designated 
State units of the State or States in which vocational rehabilitation 
services are to be provided.

(Authority: Sec. 130(b) of the Act; 29 U.S.C. 750(b))

[46 FR 5423, Jan. 19, 1981, as amended at 52 FR 30555, Aug. 14, 1987]



Sec. 371.21  What are the special application requirements related to the State plan program?

    Each applicant under this program must provide evidence that--
    (a) Effort will be made to provide a broad scope of vocational 
rehabilitation services in a manner and at a level of quality at least 
comparable to those services provided by the designated State unit under 
34 CFR part 361.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (b) All decisions affecting eligibility for and the nature and scope 
of vocational rehabilitation services to be provided, and the provision 
of these services, will be made by the tribal vocational rehabilitation 
program through its vocational rehabilitation unit and will not be 
delegated to another agency or individual.

(Authority: Secs. 12(c) and 101(a) of the Act; 29 U.S.C. 711(c) and 
721(a))

    (c) Priority in the delivery of vocational rehabilitation service 
will be given to those American Indians with disabilities who are the 
most severely disabled.

(Authority: Secs. 12(c) and 101(a)(5) of the Act; 29 U.S.C. 711(c) and 
721(a)(5))

    (d) An order of selection of individuals with disabilities to be 
served under the program will be specified if services cannot be 
provided to all eligible American Indians with disabilities who apply.

(Authority: Secs. 12(c) and 101(a)(5) of the Act; 29 U.S.C. 711(c) and 
721(a)(5))

    (e) All vocational rehabilitation services will be provided 
according to an individualized written rehabilitation program which has 
been developed jointly by the representative of the service providing 
organization and each American Indian with disabilities being served.

(Authority: Secs. 12(c) and 101(a)(9) of the Act; 29 U.S.C. 711(c) and 
721(a)(9))

    (f) American Indians with disabilities living on Federal or State 
reservations where service programs are being carried out under this 
part will have an opportunity to participate in matters of general 
policy development and implementation affecting vocational 
rehabilitation service delivery on the reservation.

(Authority: Secs. 12(c) and 101(a)(18) of the Act; 29 U.S.C. 711(c) and 
721(a)(18))

    (g) Cooperative working arrangements will be developed with the 
designated State unit, or designated State units, as appropriate, which 
are providing vocational rehabilitation services to other individuals 
with disabilities who reside in the State or States being served.

(Authority: Secs. 12(c) and 101(a)(11) of the Act; 29 U.S.C. 711(c) and 
721(a)(11))

    (h) Any similar benefits available to American Indians with 
disabilities under any other program which might meet in whole or in 
part the cost of any vocational rehabilitation service will be fully 
considered in the provision of vocational rehabilitation services in 
accordance with 34 CFR part 361.

(Authority: Secs. 12(c) and 101(a)(8) of the Act; 29 U.S.C. 711(c) and 
721(a)(8))


[[Page 435]]


    (i) Any American Indian with disabilities who is an applicant or 
recipient of services, and who is dissatisfied with a determination made 
by a counselor or coordinator under this program and files a request for 
a review, will be afforded a review under procedures developed by the 
grantee comparable to those under the provisions of section 102(d) (1)-
(3) of the Act.

(Authority: Secs. 12(c) and 102(d) of the Act; 29 U.S.C. 711(c) and 
722(d))

    (j) Minimum standards will be established for community 
rehabilitation programs and providers of service which will be 
comparable to the standards set by the designated State unit or 
designated State units in the State or States in which the program is to 
be provided; and

(Authority: Secs. 12(c) and 101(a) (6) and (7) of the Act; 29 U.S.C. 
711(c) and 721(a) (6) and (7))

    (k) Maximum use will be made of public or other vocational or 
technical training facilities or other appropriate community resources.

(Authority: Secs. 12(c) and 101(a)(12) of the Act; 29 U.S.C. 711(c) and 
721(a)(12))

[46 FR 5423, Jan. 19, 1981, as amended at 52 FR 30555, Aug. 14, 1987; 59 
FR 8337, 8338, Feb. 18, 1994]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 371.31  How are grants awarded?

    To the extent that funds have been appropriated under this program, 
the Secretary approves all applications which meet acceptable standards 
of program quality. If any application is not approved because of 
deficiencies in proposed program standards, the Secretary provides 
technical assistance to the applicant Indian tribe with respect to any 
areas of the proposal which were judged to be deficient.

(Authority: Secs. 12(c) and 130 of the Act; 29 U.S.C. 711(c) and 750)



    Subpart E--What Conditions Apply to A Grantee Under This Program?



Sec. 371.40  What are the matching requirements?

    (a) Federal share. Except as provided in paragraph (c) of this 
section, the Federal share may not be more than 90 percent of the total 
cost of the project.
    (b) Non-Federal share. The non-Federal share of the cost of the 
project may be in cash or in kind, fairly valued.
    (c) Waiver of non-Federal share. In order to carry out the purposes 
of the program, the Secretary may waive the non-Federal share 
requirement, in part or in whole, only if the applicant demonstrates 
that it does not have sufficient resources to contribute the non-Federal 
share of the cost of the project.

(Authority: Secs. 12(c) and 130(a) of the Act; 29 U.S.C. 711(c) and 
750(a))

[52 FR 30556, Aug. 14, 1987]



Sec. 371.41  What are allowable costs?

    (a) In addition to those allowable costs established in EDGAR 
Secs. 75.530-75.534, the following items are allowable costs under this 
program--
    (1) Expenditures for the provision of vocational rehabilitation 
services and for the administration, including staff development, of a 
program of vocational rehabilitation services.
    (2) Expenditures for services reflecting the cultural background of 
the American Indians being served, including treatment provided by 
native healing practitioners who are recognized as such by the tribal 
vocational rehabilitation program when the services are necessary to 
assist an individual with disabilities to achieve his or her vocational 
rehabilitation objective.
    (b) Expenditures may not be made under this program to cover the 
costs of providing vocational rehabilitation services to individuals 
with disabilities

[[Page 436]]

not residing on Federal or State reservations.

(Authority: Secs. 12(c) and 130(a) of the Act; 29 U.S.C. 711(c) and 
750(a))

[46 FR 5423, Jan. 19, 1981, as amended at 52 FR 30555, Aug. 14, 1987; 59 
FR 8337, Feb. 18, 1994]



Sec. 371.42  How are services to be administered under this program?

    (a) Directly or by contract. A grantee under this part may provide 
the vocational rehabilitation services directly or it may contract or 
otherwise enter into an agreement with a designated State unit, a 
community rehabilitation program, or another agency to assist in the 
implementation of the vocational rehabilitation service program for 
American Indians with disabilities.
    (b) Inter-tribal agreement. A grantee under this part may enter into 
an inter-tribal arrangement with governing bodies of other Indian tribes 
for carrying out a project that serves more than one Indian tribe.
    (c) Comparable service program. To the maximum extent feasible, 
services provided by a grantee under this part must be comparable to 
rehabilitation service provided under this title to other individuals 
with disabilities residing in the State.

(Authority: Secs. 12(c) and 130 of the Act; 29 U.S.C. 711(c) and 750)

[52 FR 30556, Aug. 14, 1987, as amended at 59 FR 8337, 8338, Feb. 18, 
1994]



Sec. 371.43  What other special conditions apply to this program?

    (a) Any American Indian with disabilities who is eligible for 
service under this program but who wishes to be provided service by the 
designated State unit must be referred to the State unit for such 
services.
    (b) Preference in employment in connection with the provision of 
vocational rehabilitation services under this section must be given to 
American Indians, with a special priority being given to American 
Indians with disabilities.
    (c) The provisions of sections 5, 6, 7, and 102(a) of the Indian 
Self-Determination and Education Assistance Act also apply under this 
program. These provisions relate to grant reporting and audit 
requirements, maintenance of records, access to records, availability of 
required reports and information to Indian people served or represented, 
repayment of unexpended Federal funds, criminal activities involving 
grants, penalties, wage and labor standards, preference requirements for 
American Indians in the conduct and administration of the grant, and 
requirements affecting requests of tribal organizations to enter into 
contracts. For purposes of applying these requirements to this program, 
the Secretary carries out those responsibilities assigned to the 
Secretary of Interior.

(Authority: Secs. 12(c) and 130(b)(2) of the Act; 29 U.S.C. 711(c) and 
750(b)(2))

[46 FR 5423, Jan. 19, 1981, as amended at 52 FR 30555, Aug. 14, 1987; 59 
FR 8337, Feb. 18, 1994]



PART 376--SPECIAL PROJECTS AND DEMONSTRATIONS FOR PROVIDING TRANSITIONAL REHABILITATION SERVICES TO YOUTH WITH DISABILITIES--Table of Contents




                           Subpart A--General

Sec.
376.1  What is the Program of Special Projects and Demonstrations for 
          Providing Transitional Rehabilitation Services to Youth with 
          Disabilities?
376.2  Who is eligible for assistance under this program?
376.3  What regulations apply to this program?
376.4  What definitions apply to this program?

Subpart B--What Kinds of Activities Does the Secretary Assist Under This 
                                Program?

376.10  What types of projects are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

376.30  What priorities are considered for support by the Secretary 
          under this part?

          Subpart E--What Conditions Must Be Met by a Grantee?

376.40  What are the matching requirements?

[[Page 437]]

376.41  What are the requirements for cooperation between grantees and 
          other agencies and organizations?

    Authority: 29 U.S.C. 777a(b), unless otherwise noted.
    Source: 51 FR 3895, Jan. 30, 1986, unless otherwise noted.



                           Subpart A--General



Sec. 376.1  What is the program of Special Projects and Demonstrations for Providing Transitional Rehabilitation Services to Youths with Disabilities?

    This program is designed to provide job training for youths with 
disabilities to prepare them for entry into the labor force, including 
competitive or supported employment.

(Authority: Sec. 311(b); 29 U.S.C. 777a(b))

[51 FR 3895, Jan. 30, 1986, as amended at 57 FR 28441, June 24, 1992; 59 
FR 8340, Feb. 18, 1994]



Sec. 376.2  Who is eligible for assistance under this program?

    State and other public and nonprofit agencies and organizations are 
eligible for assistance under this program.

(Authority: Sec. 311(b); 29 U.S.C. 777a(b))



Sec. 376.3  What regulations apply to this program?

    The following regulations apply to this program:
    (a) The regulations in 34 CFR part 369.
    (b) The regulations in this part 376.
    (c) The regulations in 34 CFR 380.20.

(Authority: Secs. 12(c) and 311(b); 29 U.S.C. 711(c) and 777a(b))

[51 FR 3895, Jan. 30, 1986, as amended at 57 FR 28441, June 24, 1992]



Sec. 376.4  What definitions apply to this program?

    (a) The definitions in 34 CFR part 369.
    (b) The definition of ``Supported employment'' in 34 CFR part 363.
    (c) The definitions of ``Competitive employment'', ``Integrated 
setting'', ``On-going support services'', ``Transitional employment'', 
and ``Time-limited services'' in 34 CFR part 380.
    (d) The following definitions also apply to this program:
    (1) Extended services means on-going support services and other 
appropriate services provided by a State agency, a private nonprofit 
organization, employer, or any other appropriate resource, from funds 
other than funds under this part, part 361, part 363, or part 380, after 
an individual with the most severe disabilities has made the transition 
from project support.
    (2) Transitional rehabilitation services means any vocational 
rehabilitation services available under the State plan for vocational 
rehabilitation services under 34 CFR part 361 or the State plan for 
independent living services under 34 CFR part 365 and may also include--
    (i) Jobs search assistance;
    (ii) On-the-job training;
    (iii) Job development, including work-site modification and use of 
advanced learning technology for skills training; and
    (iv) Follow-up services for individuals placed in employment.
    (3) Youths with disabilities means individuals with disabilities 
between the ages of 12 and 26.

(Authority: 29 U.S.C. 711(c) and 777a(b))

[57 FR 28441, June 24, 1992, as amended at 59 FR 8340, Feb. 18, 1994; 62 
FR 6363, Feb. 11, 1997]



Subpart B--What Kinds of Activities Does the Secretary Assist Under This 
                                Program?



Sec. 376.10  What types of projects are authorized under this program?

    (a) This program supports special projects and demonstrations, 
including research and evaluation, for the following purposes:
    (1) To demonstrate effective ways in which to provide job training, 
placement, and other transitional rehabilitation services to youths with 
disabilities to prepare them for entry in the labor force, including 
competitive or supported employment.
    (2) To demonstrate service programs for youths with disabilities 
reflecting cooperative efforts between local educational agencies, 
business and industry, vocational rehabilitation agencies, community 
rehabilitation programs,

[[Page 438]]

parent groups, public or other nonprofit developmental disabilities 
agencies, organizations representing labor, and organizations 
responsible for promoting or assisting in local economic development.
    (3) To develop and implement new patterns or practices of 
transitional rehabilitation service delivery and to conduct the field-
testing and evaluation of these patterns or practices to determine the 
efficacy of their being replicated in other settings.
    (b) Research and evaluation activities carried out under this 
program must be specifically related to a transitional rehabilitation 
service model under which direct services are provided.
    (c) Projects funded under this part must serve youths with 
disabilities.
    (d) A project funded under this part may include dissemination of 
information on project activities to business and industry.

(Authority: Secs. 12(c) and 311(b); 29 U.S.C. 711a(c) and 777(b))

[51 FR 3895, Jan. 30, 1986, as amended at 59 FR 8340, Feb. 18, 1994]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 376.30  What priorities are considered for support by the Secretary under this part?

    The Secretary may select annually in a notice published in the 
Federal Register, one or more of the following priority areas for 
funding under this program:
    (a) Community-based transitional rehabilitation service delivery. 
This priority supports projects that demonstrate exemplary models for 
developing and establishing community-based transitional rehabilitation 
service programs that result directly in competitive or supported 
employment for youths with disabilities within the labor force.
    (b) Statewide transitional rehabilitation service delivery. This 
priority supports projects that demonstrate effective Statewide 
approaches to transitional rehabilitation service delivery for youths 
with disabilities and demonstrate cooperative efforts between State 
agencies responsible for service to youths with disabilities including 
but not limited to, special education, vocational rehabilitation, and 
day services for adults with developmental disabilities.
    (c) Transitional rehabilitation services for youths with 
disabilities who have special needs. This priority supports projects 
that demonstrate transitional rehabilitation service programs focused on 
meeting the special job training and placement needs of one or more 
groups of individuals with physical or mental disabilities which present 
unusual and difficult rehabilitation problems including, but not limited 
to, blindness, cerebral palsy, deafness, epilepsy, mental illness, 
mental retardation, and learning disability.
    (d) Transitional rehabilitation services for institutionalized 
persons. This priority supports projects that demonstrate effective ways 
to assist youths and young adults who are institutionalized, including 
those residing in skilled nursing or intermediate care facilities, to 
return to community living and competitive or supported employment.
    (e) Transitional rehabilitation services for unemployed youths with 
disabilities. This priority supports projects that demonstrate ways to 
train and place in competitive or supported employment youths with 
disabilities who were unable to participate in special education 
programs or who recently graduated from those programs but have been 
unable to secure and maintain employment.
    (f) Home-based transitional rehabilitation services. This priority 
supports projects that demonstrate ways in which youths with 
disabilities, including those residing in rural areas, who because of 
the severity of their disabilities are precluded from employment in the 
community, could be gainfully employed in home settings.

(Authority: Sec. 311(b); 29 U.S.C. 777 (a), (b))

[51 FR 3895, Jan. 30, 1986, as amended at 59 FR 8340, Feb. 18, 1994]

[[Page 439]]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 376.40  What are the matching requirements?

    The Secretary may pay all or part of the costs of activities funded 
under this program. If part of the costs is to be paid by a grantee, the 
amount of grantee participation is specified in the application notice 
and will not be more than 10 percent of the total cost of the project.

(Authority: Secs. 12(c) and 311(b); 29 U.S.C. 711(c) and 777a(b))

[59 FR 8340, Feb. 18, 1994]



Sec. 376.41  What are the requirements for cooperation between grantees and other agencies and organizations?

    Each project must be designed to demonstrate a cooperative effort 
between local educational agencies, business and industry, vocational 
rehabilitation programs, organizations representing labor, and 
organizations responsible for promoting or assisting in local economic 
development.

(Authority: Sec. 311(b); 29 U.S.C. 777a(b))



PART 377--DEMONSTRATION PROJECTS TO INCREASE CLIENT CHOICE PROGRAM--Table of Contents




                           Subpart A--General

Sec.
377.1  What is the Demonstration Projects to Increase Client Choice 
          Program?
377.2  Who is eligible for an award?
377.3  What types of activities may the Secretary fund?
377.4  What regulations apply?
377.5  What definitions apply?

               Subpart B--How Does One Apply for an Award?

377.10  How does an eligible entity apply for an award?
377.11  What is the content of an application for an award?

            Subpart C--How Does the Secretary Make an Award?

377.20  How does the Secretary evaluate an application?
377.21  What selection criteria does the Secretary use?
377.22  What additional factors does the Secretary consider in making 
          grants?

     Subpart D--What Post-Award Conditions Must be Met by a Grantee?

377.30  What information must a grantee maintain and provide to the 
          Secretary?
377.31  What information must a grantee provide to eligible clients?
377.32  What are the matching requirements?

    Authority: Sec. 802(g) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g), unless otherwise noted.

    Source: 58 FR 40709, July 29, 1993, unless otherwise noted.



                           Subpart A--General



Sec. 377.1  What is the Demonstration Projects to Increase Client Choice Program?

    The Demonstration Projects to Increase Client Choice Program is 
designed to provide financial assistance for projects that demonstrate 
ways to increase client choice in the vocational rehabilitation process, 
including choice in the selection of vocational rehabilitation goals, 
services, and providers.

(Authority: Sec. 802(g)(1) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(1))



Sec. 377.2  Who is eligible for an award?

    States and public and nonprofit agencies and organizations are 
eligible to receive a grant under this program.

(Authority: Sec. 802(g)(1) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(1))



Sec. 377.3  What types of activities may the Secretary fund?

    The Secretary provides financial assistance under this program for 
activities that are directly related to planning, operating, and 
evaluating projects to demonstrate effective ways to increase the 
choices available to eligible clients in the rehabilitation process as 
follows:
    (a) At a minimum, all projects must demonstrate effective ways to 
increase the choices available to clients in selecting goals, services, 
and providers of services.

[[Page 440]]

    (b) Projects may also use these funds to demonstrate additional ways 
to increase the choices available to clients in the rehabilitation 
process.

(Authority: Secs. 802(g)(1) and 802(g)(2)(A) of the Rehabilitation Act 
of 1973; 29 U.S.C. 797a(g) (1) and (2))



Sec. 377.4  What regulations apply?

    The following regulations apply to the Demonstration Projects to 
Increase Client Choice Program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations).
    (2) 34 CFR part 75 (Direct Grant Programs).
    (3) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (6) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The following regulations in 34 CFR part 369 (Vocational 
Rehabilitation Service Projects): Secs. 369.43, 369.46, and 369.47.
    (c) The regulations in this part 377.

(Authority: Sec. 802(g) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g))



Sec. 377.5  What definitions apply?

    (a) Definitions in the Rehabilitation Act of 1973, as amended (the 
Act). The following terms used in this part are defined in the Act:
    Client or eligible client means an individual with a disability who 
is not currently receiving services under an individualized written 
rehabilitation program established through a designated State unit. 
(Section 802(g)(8) of the Act)
    Individual with a disability means any individual who--
    (1) Has a physical or mental impairment that for that individual 
constitutes or results in a substantial impediment to employment; and
    (2) Can benefit in terms of an employment outcome from vocational 
rehabilitation services provided pursuant to title I, III, VI, or VIII 
of the Act. (Section 7(8)(A) of the Act)
    Individual with a severe disability means an individual with a 
disability--
    (1) Who has a severe physical or mental impairment that seriously 
limits one or more functional capacities (such as mobility, 
communication, self-care, self-direction, interpersonal skills, work 
tolerance, or work skills) in terms of an employment outcome;
    (2) Whose vocational rehabilitation can be expected to require 
multiple vocational rehabilitation services over an extended period of 
time; and
    (3) Who has one or more physical or mental disabilities resulting 
from amputation, arthritis, autism, blindness, burn injury, cancer, 
cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, 
hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental 
retardation, mental illness, multiple sclerosis, muscular dystrophy, 
musculo-skeletal disorders, neurological disorders (including stroke and 
epilepsy), spinal cord conditions (including paraplegia and 
quadriplegia), sickle cell anemia, specific learning disability, end-
stage renal disease, or another disability or combination of 
disabilities determined on the basis of an assessment for determining 
eligibility and vocational rehabilitation needs to cause comparable 
substantial functional limitation. (Section 7(15)(A) of the Act)
    State means each of the several States of the United States, the 
District of Columbia, the Commonwealth of Puerto Rico, the United States 
Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern 
Mariana Islands, and the Republic of Palau (until the Compact of Free 
Association with Palau takes effect). (Section 7(16) of the Act)

[[Page 441]]

    Vocational rehabilitation services means the services authorized in 
section 103(a) of the Act. (Section 103(a) of the Act)
    (b) Definitions in EDGAR. (1) The following terms used in this part 
are defined in 34 CFR 77.1:

Applicant
Application
Award
Budget period
Department
EDGAR
Nonprofit
Project
Project period
Public
Secretary

    (2) The following terms used in this part are defined in 34 CFR 
74.3:

Grant
Grantee

    (c) Other definitions. The following definitions also apply to this 
part:
    Employment outcome means entering or retaining full-time or, if 
appropriate, part-time competitive employment in the integrated labor 
market, the practice of a profession, self-employment, homemaking, farm 
or family work (including work for which payment is in kind rather than 
in cash), extended employment in a community rehabilitation program, 
supported employment, or other gainful work.
    Voucher means a credit of specified monetary value, issued by a 
grantee to an eligible client, that the eligible client exchanges for 
vocational rehabilitation services from a qualified provider.

(Authority: Secs. 7(5), 7(8)(A), and 802(g) of the Rehabilitation Act of 
1973; 29 U.S.C. 706 and 29 U.S.C. 797a(g))

[58 FR 40709, July 29, 1993, as amended at 59 FR 8340, Feb. 18, 1994]



               Subpart B--How Does One Apply for an Award?



Sec. 377.10  How does an eligible entity apply for an award?

    In order to apply for a grant, an eligible entity shall submit an 
application to the Secretary in response to an application notice 
published in the Federal Register.

(Authority: Sec. 802(g)(3) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(3))



Sec. 377.11  What is the content of an application for an award?

    (a) The grant application must include a description of--
    (1) The manner in which the applicant intends to promote increased 
client choice in the geographical area identified in the application;
    (2) The manner in which the applicant intends to provide 
individuals, including individuals with cognitive disabilities, the 
information necessary to make informed choices, including, at a minimum, 
informed choices in the selection of goals, services, and providers.
    (3) The outreach activities the applicant plans to conduct to obtain 
eligible clients, including clients who are individuals with a severe 
disability;
    (4) The manner in which the applicant will ensure that service 
providers are accredited or meet any quality assurance and cost-control 
criteria established by the State;
    (5) The manner in which the applicant will ensure that eligible 
clients are satisfied with the quality and scope of services provided;
    (6) The manner in which the applicant will monitor and account for 
use of funds to purchase services;
    (7) The manner in which the applicant will determine the monetary 
value of the services or products available to clients, including, if 
appropriate, the monetary value of vouchers;
    (8) The manner in which the applicant will address the needs of 
individuals with disabilities who are from minority backgrounds; and
    (9) Those features of the proposed project that the applicant 
considers to be essential and a discussion of their potential for 
widespread replication.
    (b) The application also must include assurances from the applicant 
that--
    (1) A written plan to provide vocational rehabilitation services 
will be established for, and with the full participation of, each 
eligible client, and,

[[Page 442]]

if the client elects, with the participation also of family members, 
guardians, advocates, or authorized representatives, that at a minimum 
will include--
    (i) A statement of the client's vocational rehabilitation goals, 
which must include goals that are designed to lead to an employment 
outcome consistent with the client's unique strengths, resources, 
priorities, concerns, abilities, and capabilities;
    (ii) A statement of the specific vocational rehabilitation services 
to be provided and the projected dates for the initiation and 
termination of each service; and
    (iii) A description of an evaluation procedure for determining 
whether the client's vocational rehabilitation goals are being achieved, 
including--
    (A) Objective evaluation criteria; and
    (B) An evaluation schedule;
    (2) The Federal funds granted under this part will be used to 
supplement, and in no case to supplant, funds made available from other 
Federal and non-Federal sources for projects providing increased choice 
in the rehabilitation process;
    (3) At least 80 percent of the funds awarded for any project under 
this part will be used to provide vocational rehabilitation services, as 
specifically chosen by eligible clients;
    (4) The applicant will cooperate fully with the Secretary in a 
national evaluation, including assisting the Department's contractor in 
selecting and obtaining data for a control group established through 
random assignment or by the selection of a matched comparison group; and
    (5) Individuals with disabilities will be involved in the 
development and implementation of the project.
    (c) Each applicant also shall submit to the Secretary any other 
information and assurances that the Secretary determines to be 
necessary.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Secs. 21(b)(6), 802(g)(2), 802(g)(3), 802(g)(5), 802(g)(6), 
and 802(g)(7) of the Rehabilitation Act of 1973; 29 U.S.C. 718b and 29 
U.S.C. 797a(g)(2), (3), (5), (6), and (7))



            Subpart C--How Does the Secretary Make an Award?



Sec. 377.20   How does the Secretary evaluate an application?

    (a) The Secretary evaluates an application on the basis of the 
criteria in Sec. 377.21.
    (b) The Secretary awards up to 100 points for these criteria.
    (c) The maximum possible score for each criterion is indicated in 
parentheses.

(Authority: Sec. 802(g)(3) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(3))



Sec. 377.21   What selection criteria does the Secretary use?

    The Secretary uses the following criteria to evaluate an 
application:
    (a) Plan of operation. (30 points) The Secretary reviews each 
application to determine the quality of the plan of operation for the 
project, including--
    (1) The extent to which the project includes specific intended 
outcomes that--
    (i) Will accomplish the purpose of the program to provide increased 
client choice in the rehabilitation process, including at a minimum 
increased choice in the selection of goals, services, and providers, 
leading to an employment outcome;
    (ii) Are attainable within the project period, given the project's 
budget and other resources;
    (iii) Are objective and measurable for purposes of evaluation, 
including an estimate of the numbers of clients to be served;
    (iv) Include objectives to be met during each budget period that can 
be used to determine the progress of the project toward meeting its 
intended outcomes;
    (2) The extent to which the plan of operation specifies the 
methodology for accomplishing each objective of the project;
    (3) The extent to which the applicant's plan of management, 
including resources and timelines, is designed to achieve each objective 
and intended outcome during the period of Federal funding;
    (4) The extent to which the applicant's plan identifies the numbers 
of eligible clients by type of disability

[[Page 443]]

and the number of eligible clients with severe disabilities who are 
available to participate in the project;
    (5) The extent to which the applicant plans to conduct outreach 
activities to obtain eligible clients;
    (6) The extent to which the applicant's plan ensures that clients 
who are otherwise eligible to participate are selected without regard to 
race, color, national origin, gender, or age;
    (7) The extent to which the applicant's plan describes a workable 
process for determining the monetary value of any service or product 
offered to eligible clients, including, if appropriate, the value of 
vouchers; and
    (8) The extent to which the applicant's plan describes a 
satisfactory system for conducting vocational assessment with eligible 
clients to ensure that a full range of vocational goals are considered.
    (b) Key personnel and other resources. (15 points) (1) The Secretary 
reviews each application to determine the quality of key personnel 
proposed for the project, including--
    (i) The relevant experience and training of the project director;
    (ii) The relevant experience and training of each of the other key 
personnel to be used on the project;
    (iii) The amount of time that each person referred to in paragraphs 
(b)(1)(i) and (ii) of this section will commit to the project;
    (iv) The extent to which persons referred to in paragraphs (b)(1)(i) 
and (ii) of this section are capable of providing technical assistance 
to other entities interested in replicating the project; and
    (v) The extent to which the applicant will ensure that persons 
employed through the project are selected and work without regard to 
race, color, national origin, gender, age, or disabling condition.
    (2) The Secretary reviews each application to determine the adequacy 
of the resources the applicant plans to devote to the project, 
including--
    (i) The facilities that the applicant plans to use;
    (ii) The equipment and supplies that the applicant plans to use; and
    (iii) The recordkeeping capabilities of the applicant for financial 
and evaluation purposes.
    (c) Service provision. (20 points) The Secretary reviews each 
application to determine the quality and comprehensiveness of the 
services to be offered and the applicant's capacity to provide increased 
choice in the provision of services to eligible clients, including the 
extent to which the applicant--
    (1) Has the capacity to evaluate the eligibility of applicants for 
services and to develop written plans for services for individual 
clients;
    (2) Has demonstrated knowledge of a wide range of potential service 
providers that can meet the needs of eligible clients;
    (3) Has described a workable process for enabling eligible clients 
to choose from among a wide range of service providers;
    (4) Has described satisfactory systems to account for the 
appropriate expenditure of funds; and
    (5) Has described satisfactory systems to ensure the provision of 
quality services.
    (d) Evaluation plan. (10 points) The Secretary reviews each 
application to determine the quality of the evaluation plan for the 
project, including the extent to which the applicant's methods of 
evaluation--
    (1) Are appropriate to the project;
    (2) Will determine how successful the project is in meeting its 
intended outcomes; and
    (3) Are objective and produce data that are quantifiable, including 
data that are required under Sec. 377.30.
    (e) National significance. (15 points) The Secretary reviews each 
application to determine the extent to which--
    (1) Project findings might be effectively used within the State 
vocational rehabilitation service system; and
    (2) Project activities might be successfully replicated by other 
entities.
    (f) Budget and cost effectiveness. (10 points) The Secretary reviews 
each application to determine the extent to which--
    (1) The budget for the project is adequate to support the project 
activities;

[[Page 444]]

    (2) Costs are reasonable in relation to the objectives of the 
project.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Sec. 802(g)(3) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(3))



Sec. 377.22   What additional factors does the Secretary consider in making grants?

    In addition to the criteria in Sec. 377.21, the Secretary considers 
the following factors in making grants under this program:
    (a) The diversity of strategies to increase client choice, in order 
to ensure that a variety of approaches are demonstrated by funded 
projects.
    (b) The diversity of clients to be served, in order to ensure that a 
variety of disability populations are served by funded projects.
    (c) The geographical distribution of funded projects.

(Authority: Sec. 802(g)(4) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(4))



     Subpart D--What Post-Award Conditions Must Be Met by a Grantee?



Sec. 377.30   What information must a grantee maintain and provide to the Secretary?

    (a) Each grantee shall maintain the records that the Secretary 
requires to conduct an evaluation of projects funded under this program, 
which at a minimum must include information regarding the--
    (1) Types of services provided;
    (2) Costs of services provided;
    (3) Number of clients served by disability, race, gender, and age;
    (4) Number of clients with a severe disability served;
    (5) Client outcomes obtained;
    (6) Implementation issues addressed; and
    (7) Any other information the Secretary requires.
    (b) Each grantee shall comply with any request from the Secretary 
for those records.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Secs. 802(g)(5) and 802(g)(7) of the Rehabilitation Act of 
1973; 29 U.S.C. 797a(g) (5) and (7))



Sec. 377.31   What information must a grantee provide to eligible clients?

    Each grantee shall advise all clients and applicants for services 
under this program, or their parents, family members, guardians, 
advocates, or authorized representatives, of the availability and 
purposes of the Client Assistance Program under section 112 of the Act, 
including information on means of seeking assistance under that program.

(Authority: Sec. 20 of the Rehabilitation Act of 1973; 29 U.S.C 718a)



Sec. 377.32   What are the matching requirements?

    Grants may be made for paying all or part of the costs of projects 
under this program. If part of the costs is to be covered by the 
grantee, the amount of grantee contribution is specified in the 
application notice and will not be required to be more than 10 percent 
of the total cost of the project.

(Authority: Sec. 802(g)(1) of the Rehabilitation Act of 1973; 29 U.S.C. 
797a(g)(1))



PART 379--PROJECTS WITH INDUSTRY--Table of Contents




                           Subpart A--General

Sec.
379.1  What is the Projects With Industry (PWI) program?
379.2  Who is eligible for a grant award under this program?
379.3  Who is eligible for services under this program?
379.4  What regulations apply?
379.5  What definitions apply?

  Subpart B--What Kinds of Activities Does the Department of Education 
                       Assist Under This Program?

379.10  What types of project activities are required of each grantee 
          under this program?
379.11  What additional types of project activities may be authorized 
          under this program?

[[Page 445]]

               Subpart C--How Does One Apply for an Award?

379.20  How does an eligible entity apply for an award?
379.21  What is the content of an application for an award?

             Subpart D--How Does the Secretary Make a Grant?

379.30  What selection criteria does the Secretary use under this 
          program?
379.31  What other factors does the Secretary consider in reviewing an 
          application?

          Subpart E--What Conditions Must Be Met by a Grantee?

379.40  What are the matching requirements?
379.41  What are allowable costs?
379.42  What are the requirements for a continuation award?
379.43  What are the additional reporting requirements?

Subpart F--What Compliance Indicator Requirements Must a Grantee Meet To 
                      Receive Continuation Funding?

379.50  What are the requirements for continuation funding?
379.51  What are the program compliance indicators?
379.52  How is grantee performance measured using the compliance 
          indicators?
379.53  What are the weights, minimum performance levels, and 
          performance ranges for each compliance indicator?
379.54  What are the reporting requirements for the compliance 
          indicators?

Appendix to Part 379--Evaluation Standards

    Authority: Secs. 12(c) and 621 of the Act; 29 U.S.C. 711(c) and 
795g, unless otherwise noted.

    Source: 46 FR 5432, Jan. 19, 1981, unless otherwise noted.



                           Subpart A--General

    Source: 62 FR 5689, Feb. 6, 1997, unless otherwise indicated.



Sec. 379.1  What is the Projects With Industry (PWI) program?

    This program is designed to--
    (a) Create and expand job and career opportunities for individuals 
with disabilities in the competitive labor market by engaging the talent 
and leadership of private industry as partners in the rehabilitation 
process;
    (b) Identify competitive job and career opportunities and the skills 
needed to perform these jobs;
    (c) Create practical settings for job readiness and job training 
programs; and
    (d) Provide job placements and career advancement.

(Authority: Sec. 621(a)(1) of the Act; 29 U.S.C. 795g(a)(1))



Sec. 379.2  Who is eligible for a grant award under this program?

    (a) The Secretary may make a grant under this program to any--
    (1) Community rehabilitation program provider;
    (2) Designated State unit;
    (3) Employer;
    (4) Indian tribe or tribal organization;
    (5) Labor union;
    (6) Nonprofit agency or organization;
    (7) Trade association; or
    (8) Other agency or organization with the capacity to create and 
expand job and career opportunities for individuals with disabilities.
    (b) New awards may be made only to those eligible entities 
identified in paragraph (a) of this section that propose to serve 
individuals with disabilities in States, portions of States, Indian 
tribes, or tribal organizations that are currently unserved or 
underserved by the PWI program.

(Authority: Secs. 621(a)(2) and 621(e)(2) of the Act; 29 U.S.C. 
795g(a)(2) and 795g(e)(2))



Sec. 379.3  Who is eligible for services under this program?

    (a) An individual is eligible for services under this program if the 
appropriate State vocational rehabilitation unit determines the 
individual to be an individual with a disability or an individual with a 
severe disability, as defined in sections 7(8)(A) and 7(15)(A), 
respectively, of the Act.
    (b) In making the determination under paragraph (a) of this section, 
the State vocational rehabilitation unit shall rely on the determination 
made by the recipient of the grant under which the services are 
provided, to the

[[Page 446]]

extent that the determination is appropriate, available, and consistent 
with the requirements of the Act.
    (c) If a State vocational rehabilitation unit does not notify a 
recipient of a grant within 60 days that the determination of the 
recipient is inappropriate, the recipient of the grant may consider the 
individual to be eligible for services.

(Authority: Sec. 621(a)(3) of the Act; 29 U.S.C. 795g(a)(3))

                         Appendix to Sec. 379.3

    The following guidance is provided regarding the determination of 
eligibility for PWI project services:
    (1) If an individual is referred to the PWI project by the State 
vocational rehabilitation (VR) unit and the individual has been 
determined by the State VR unit to be an ``individual with a 
disability'' under section 102(a)(1)(A) of the Act, then the PWI grantee 
may initiate services to that individual. In these instances, the State 
VR unit should provide documentation of this determination to the PWI 
grantee. If the State VR unit has determined that the individual also 
meets the definition of an ``individual with a severe disability'' under 
section 7(15)(A) of the Act, the PWI grantee should be advised of that 
determination and provided appropriate documentation of that 
determination.
    (2) If an individual is not referred to the PWI project by the State 
VR unit, then the PWI grantee makes an initial or preliminary 
determination that the individual is eligible for services because the 
individual meets the definition of an ``individual with a disability'' 
or an ``individual with a severe disability.'' The State VR unit has a 
maximum of 60 days to assess the appropriateness of the preliminary 
determination. If the State VR unit does not decide that the preliminary 
eligibility determination is inappropriate within this time period, the 
eligibility determination becomes final.



Sec. 379.4  What regulations apply?

    The following regulations apply to the Projects With Industry 
program:
    (a) The regulations in this part 379; and
    (b) The regulations in 34 CFR part 369, except for the regulations 
in Secs. 369.30 and 369.31.

(Authority: Sec. 621 of the Act; 29 U.S.C. 795g)



Sec. 379.5  What definitions apply?

    (a) The definitions in 34 CFR part 369 apply to this program.
    (b) The following definitions also apply to this program:
    (1) Career advancement services mean services that develop specific 
job skills beyond those required by the position currently held by an 
individual with a disability to assist the individual to compete for a 
promotion or achieve an advanced position.
    (2) Competitive employment, as the placement outcome under this 
program, means work--
    (i) In the competitive labor market that is performed on a full-time 
or part-time basis in an integrated setting; and
    (ii) For which an individual is compensated at or above the minimum 
wage, but not less than the customary or usual wage and terms and 
benefits provided by the employer for the same or similar work performed 
by individuals who are not disabled.
    (3) Integrated setting, as part of the definition of competitive 
employment, means a setting typically found in the community in which 
individuals with disabilities interact with non-disabled individuals, 
other than non-disabled individuals who are providing services to them, 
to the same extent that non-disabled individuals in comparable positions 
interact with other persons.
    (4) Job readiness training, as used in Sec. 379.41(a), means--
    (i) Training in job-seeking skills;
    (ii) Training in the preparation of resumes or job applications;
    (iii) Training in interviewing skills;
    (iv) Participating in a job club; or
    (v) Other related activities that may assist an individual to secure 
competitive employment.
    (5) Job training, as used in this part, means one or more of the 
following training activities provided prior to placement, as that term 
is defined in Sec. 379.5(b)(7):
    (i) Occupational skills training.
    (ii) On-the-job training.
    (iii) Workplace training combined with related instruction.
    (iv) Job skill upgrading and retraining.
    (v) Training to enhance basic work skills and workplace 
competencies.
    (vi) On-site job coaching.
    (6) Person served means an individual for whom services by a PWI 
project

[[Page 447]]

have been initiated with the objective that those services will result 
in a placement in competitive employment.
    (7) Placement means the attainment of competitive employment by a 
person who has received services from a PWI project and has maintained 
employment for a period of at least 90 days.

(Authority: Secs. 12(c) and 621 of the Act; 29 U.S.C. 711(c) and 795g)



  Subpart B--What Kinds of Activities Does the Department of Education 
                       Assist Under This Program?

    Source: 62 FR 5690, Feb. 6, 1997, unless otherwise noted.



Sec. 379.10  What types of project activities are required of each grantee under this program?

    Each grantee under the PWI program shall--
    (a) Arrange for the provision of, or provide individuals with 
disabilities with, job training in a realistic work setting, if 
appropriate to the needs of the individual, in order to prepare 
individuals for employment and career advancement in the competitive 
labor market;
    (b) Provide individuals with disabilities with job placement and 
career advancement services;
    (c) Provide individuals with disabilities with supportive services 
that are necessary to permit them to maintain the employment and career 
advancement for which they have received training under this program;
    (d) To the extent appropriate, provide for--
    (1) The development and modification of jobs and careers to 
accommodate the special needs of the individuals with disabilities being 
trained and employed under this program;
    (2) The purchase and distribution of rehabilitation technology to 
meet the needs of individuals with disabilities at job sites; and
    (3) The modification of any facilities or equipment of the employer 
that are to be used by individuals with disabilities under this program; 
and
    (e) Provide for the establishment of a Business Advisory Council 
(BAC) comprised of representatives of private industry, business 
concerns, organized labor, and individuals with disabilities and their 
representatives who will identify job and career availability within the 
community, the skills necessary to perform those jobs and careers, and 
prescribe appropriate training programs.

                         Appendix to Sec. 379.10

    A PWI grantee can meet the requirements of Sec. 379.10(a) (1) by 
directly providing job training to project participants, (2) by 
arranging for the provision of this training by other entities and 
taking appropriate follow-up measures to ensure that the training is, in 
fact, provided, or (3) by a combination of both (1) and (2). The job 
training provided must meet the definition of job training in 
Sec. 379.5(b)(5) and must be provided as appropriate to the needs of 
each individual served by the project. Although each individual served 
by the project may not need job training, the Secretary expects that 
each PWI project will have an identifiable job training component that 
is available to those individuals who need it. In order to meet the 
requirements of Sec. 379.10(a), the job training must be provided while 
the individual is participating in the project (i.e. prior to, or within 
90 days of, attaining competitive employment). Therefore, training 
provided by an employer more than 90 days after the individual begins 
competitive employment would not meet this requirement. In addition, a 
project that provides only job readiness training, as defined in 
Sec. 379.5(b)(4), would not meet the requirements of Sec. 379.10(a).

(Authority: Sec. 621(a) of the Act; 29 U.S.C. 795g)



Sec. 379.11  What additional types of project activities may be authorized under this program?

    The Secretary may include, as part of grant agreements with 
recipients under this program, authority for recipients to provide the 
following types of technical assistance:
    (a) Assisting employers in hiring individuals with disabilities.
    (b) Improving or developing relationships between grant recipients 
or prospective grant recipients and employers or organized labor.
    (c) Assisting employers in understanding and meeting the 
requirements of the Americans with Disabilities Act of 1990 (42 U.S.C 
12101 et seq.) as that

[[Page 448]]

Act relates to employment of individuals with disabilities.

(Authority: Sec. 621(a) of the Act; 29 U.S.C 795g)



               Subpart C--How Does One Apply for an Award?

    Source: 62 FR 5690, Feb. 6, 1997, unless otherwise noted.



Sec. 379.20  How does an eligible entity apply for an award?

    In order to apply for a grant, an eligible entity shall submit an 
application to the Secretary in response to an application notice 
published in the Federal Register.

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Sec. 621(e)(1)(B) of the Act; 29 U.S.C. 795g(e)(1)(B))



Sec. 379.21  What is the content of an application for an award?

    (a) The grant application must include a description of--
    (1) The proposed job training to prepare project participants for 
specific jobs in the competitive labor market for which there is a need 
in the geographic area to be served by the project, as identified by an 
existing current labor market analysis or other needs assessment or one 
conducted by the applicant in collaboration with private industry;
    (2) The involvement of private industry in the design of the 
proposed project and the manner in which the project will collaborate 
with private industry in planning, implementing, and evaluating job 
training, job placement, and career advancement activities;
    (3) The responsibilities of the BAC and how it will interact with 
the project in carrying out grant activities;
    (4) The geographic area to be served by the project, including an 
explanation of how the area is currently unserved or underserved by the 
PWI program;
    (5) A plan for evaluating annually the operation of the proposed 
project, which, at a minimum, provides for collecting and submitting to 
the Secretary the following information and any additional data needed 
to determine compliance with the program compliance indicators 
established in subpart F of this part:
    (i) The numbers and types of individuals with disabilities served.
    (ii) The types of services provided.
    (iii) The sources of funding.
    (iv) The percentage of resources committed to each type of service 
provided.
    (v) The extent to which the employment status and earning power of 
individuals with disabilities changed following services.
    (vi) The extent of capacity building activities, including 
collaboration with business and industry and other organizations, 
institutions, and agencies, including the State vocational 
rehabilitation unit.
    (vii) A comparison, if appropriate, of activities in prior years 
with activities in the most recent year.
    (viii) The number of project participants who were terminated from 
project placements and the duration of those placements;
    (6) A description of the manner in which the project will address 
the needs of individuals with disabilities from minority backgrounds, as 
required by 34 CFR 369.21; and
    (7) A description of how career advancement services will be 
provided to project participants.
    (b) The grant application must also include assurances from the 
applicant that--
    (1) The project will carry out all activities required in 
Sec. 379.10;
    (2) Individuals with disabilities who are placed by the project will 
receive compensation at or above the minimum wage, but not less than the 
customary or usual wage paid by the employer for the same or similar 
work performed by individuals who are not disabled;
    (3) Individuals with disabilities who are placed by the project will 
be given terms and benefits of employment equal to those that are given 
to similarly situated co-workers and will not be segregated from their 
co-workers; and
    (4) The project will maintain any records required by the Secretary 
and

[[Page 449]]

make those records available for monitoring and audit purposes.

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Secs. 621(a)(4), 621(a)(5), 621(b), and 621(e)(1)(B) of the 
Act; 29 U.S.C. 795g(a)(4), 795g(a)(5), 795g(b), and 795g(e)(1)(B))



             Subpart D--How Does the Secretary Make a Grant?

    Source: 62 FR 5691, Feb. 6, 1997, unless otherwise noted.



Sec. 379.30  What selection criteria does the Secretary use under this program?

    The Secretary uses the following criteria to evaluate an 
application:
    (a) Extent of need for project (20 points). The Secretary reviews 
each application to determine the extent to which the project meets 
demonstrated needs. The Secretary looks for evidence that--
    (1) The applicant has described an existing current labor market 
analysis or other needs assessment, or one that it has performed in 
collaboration with private industry, that shows, for the geographic area 
to be served, a demand in the competitive labor market for the types of 
jobs for which project participants will be trained; and
    (2) The job training to be provided meets the identified needs for 
personnel in specific occupations or occupational categories in the 
geographic area to be served.
    (b) Partnership with industry (25 points). The Secretary looks for 
information that demonstrates--
    (1) The extent of the project's proposed collaboration with private 
industry in the planning, implementation, and evaluation of job 
training, placement, and career advancement activities; and
    (2) The extent of proposed participation of the BAC in the 
identification of job and career opportunities, the skills necessary to 
perform the jobs and careers identified, and the development of training 
programs designed to develop these skills.
    (c) Project design and plan of operation for achieving competitive 
employment outcomes (25 points). The Secretary reviews each application 
to determine--
    (1) The extent to which the project goals and objectives for 
achieving competitive employment outcomes for individuals with 
disabilities to be served by the project are clearly stated and meet the 
needs identified by the applicant and the purposes of the program;
    (2) The extent to which the project provides for all services and 
activities required under Sec. 379.10;
    (3) The feasibility of proposed strategies and methods for achieving 
project goals and objectives for competitive employment outcomes for 
project participants;
    (4) The extent to which project activities will be coordinated with 
the State vocational rehabilitation unit and with other appropriate 
community resources in order to ensure an adequate number of referrals 
and a maximum use of comparable benefits and services;
    (5) The extent to which the applicant's management plan will ensure 
proper and efficient administration of the project; and
    (6) Whether the applicant has proposed a realistic timeline for the 
implementation of project activities to ensure timely accomplishment of 
proposed goals and objectives to achieve competitive employment outcomes 
for individuals with disabilities to be served by the project.
    (d) Adequacy of resources and quality of key personnel (10 points). 
The Secretary reviews each application to determine--
    (1) The adequacy of the resources (including facilities, equipment, 
and supplies) that the applicant plans to devote to the project;
    (2) The quality of key personnel who will be involved in the 
project, including--
    (i) The qualifications of the project director;
    (ii) The qualifications of each of the other key personnel to be 
used in the project; and
    (iii) The experience and training of key personnel in fields related 
to the objectives and activities of the project; and
    (3) The way the applicant plans to use its resources and personnel 
to

[[Page 450]]

achieve the project's goals and objectives, including the time that key 
personnel will commit to the project.
    (e) Budget and cost effectiveness (10 points). The Secretary reviews 
each application to determine the extent to which--
    (1) The budget is adequate to support the project; and
    (2) Costs are reasonable in relation to the objectives of the 
project.
    (f) Project evaluation (10 points). The Secretary reviews each 
application to determine the quality of the proposed evaluation plan 
with respect to--
    (1) Evaluating project operations and outcomes;
    (2) Involving the BAC in evaluating the project's job training, 
placement, and career advancement activities;
    (3) Meeting the annual evaluation reporting requirements in 
Sec. 379.21(a)(5);
    (4) Determining compliance with the indicators; and
    (5) Addressing any deficiencies identified through project 
evaluation.

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Secs. 12(c) and 621 of the Act; 29 U.S.C. 711(c) and 795g)



Sec. 379.31  What other factors does the Secretary consider in reviewing an application?

    In addition to the selection criteria in Sec. 379.30, the Secretary, 
in making awards under this program, considers--
    (a) The equitable distribution of projects among the States; and
    (b) The past performance of the applicant in carrying out a similar 
PWI project under previously awarded grants, as indicated by factors 
such as compliance with grant conditions, soundness of programmatic and 
financial management practices, and meeting the requirements of subpart 
F of this part.

(Authority: Secs. 621(e)(2) and 621(f)(4) of the Act; 29 U.S.C. 
795g(e)(2) and 795g(f)(4))



          Subpart E--What Conditions Must Be Met by a Grantee?

    Source: 62 FR 5691, Feb. 6, 1997, unless otherwise noted.



Sec. 379.40   What are the matching requirements?

    The Federal share may not be more than 80 percent of the total cost 
of a project under this program.

(Authority: Sec. 621(c) of the Act; 29 U.S.C. 795g(c))

                         Appendix to Sec. 379.40

    (a) For example, if the total cost of a project is $500,000, the 
Federal share would be no more than $400,000 and the grantee's required 
minimum share (matching contribution) would be $100,000 (provided in 
cash or through third party in-kind contributions). The matching 
contribution is based upon the total cost of the project, not on the 
amount of the Federal grant award.
    (b) The matching contribution must comply with the requirements of 
34 CFR 74.23 (for grantees that are institutions of higher education, 
hospitals, or other nonprofit organizations) or 34 CFR 80.24 (for 
grantees that are State, local, or Indian tribal governments). The term 
third party in-kind contributions is defined in either 34 CFR 74.2 or 34 
CFR 80.3, as applicable to the type of grantee.



Sec. 379.41   What are allowable costs?

    In addition to those costs that are allowable in accordance with 34 
CFR 74.27 and 34 CFR 80.22, the following items are allowable costs 
under this program:
    (a) The costs of job readiness training, as defined in 
Sec. 379.5(b)(4); job training, as defined in Sec. 379.5(b)(5); job 
placement services; job development and modification; and related 
vocational rehabilitation services and supportive rehabilitation 
services.
    (b) Instruction and supervision of trainees.
    (c) Training materials and supplies, including consumable materials.
    (d) Instructional aids.
    (e) The purchase or modification of rehabilitation technology to 
meet the needs of individuals with disabilities.
    (f) Alteration and renovation appropriate and necessary to ensure 
access to and use of buildings by persons with disabilities served by 
the project.
    (g) The modification of any facilities or equipment of the employer 
to be used by individuals with disabilities under this program.

(Authority: Secs. 12(c) and 621 of the Act; 29 U.S.C. 711(c) and 795g))

[[Page 451]]



Sec. 379.42   What are the requirements for a continuation award?

    (a) A grantee that wants to receive a continuation award must--
    (1) Comply with the provisions of 34 CFR 75.253(a), including making 
substantial progress toward meeting the objectives in its approved 
application and submitting all performance and financial reports 
required by 34 CFR 75.118; and
    (2) Submit data in accordance with Sec. 379.54 showing that it has 
met the program compliance indicators established in subpart F of this 
part.
    (b) In addition to the requirements in paragraph (a) of this 
section, the following other conditions in 34 CFR 75.253(a) must be met 
before the Secretary makes a continuation award:
    (1) Congress must appropriate sufficient funds under the program.
    (2) Continuation of the project must be in the best interest of the 
Federal Government.

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Secs. 12(c) and 621(f)(4) of the Act; 29 U.S.C. 711(c) and 
795g(f)(4))



Sec. 379.43   What are the additional reporting requirements?

    Each grantee shall submit the data from its annual evaluation of 
project operations required under Sec. 379.21(a)(5) no later than 60 
days after the end of each project year, unless the Secretary authorizes 
a later submission date.

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Secs. 12(c) and 621 of the Act; 29 U.S.C. 711(c) and 795g)



Subpart F--What Compliance Indicator Requirements Must a Grantee Meet To 
                      Receive Continuation Funding?

    Source: 54 FR 36103, Aug. 31, 1989, unless otherwise noted.



Sec. 379.50  What are the requirements for continuation funding?

    Beginning with fiscal year 1990, in order to receive a continuation 
award for the third or any subsequent year of a PWI grant a grantee 
shall adhere to the provisions of its approved application and shall 
receive a minimum composite score of at least 70 points on the program 
compliance indicators contained in Sec. 379.53.

(Authority: Sec. 621(h)(4)(B) of the Act; 29 U.S.C. 795g(h)(4)(B))



Sec. 379.51  What are the program compliance indicators?

    The program compliance indicators implement program evaluation 
standards, which are contained in an appendix to this part, by 
establishing minimum performance levels and performance ranges in 
essential project areas to measure the effectiveness of individual 
grantees.

(Authority: Secs. 621(d)(1) and 621(f)(1) of the Act; 29 U.S.C. 
795g(d)(1) and 795g(f)(1))



Sec. 379.52  How is grantee performance measured using the compliance indicators?

    (a) Each compliance indicator establishes a minimum performance 
level.
    (b) Each compliance indicator also establishes three performance 
ranges with points assigned to each range. The higher the performance 
range, the greater the number of points assigned to that range.
    (c) If a grantee does not achieve the minimum performance level for 
a compliance indicator, the grantee receives no points.
    (d) If a grantee achieves or exceeds the minimum performance level, 
the grantee receives the points assigned to the particular performance 
range that corresponds to its actual level of performance.
    (e) The maximum possible composite score that a grantee can receive 
is 150 points.
    (f) A grantee must receive a composite score of at least 70 points 
to meet the evaluation standards and qualify for continuation funding.

(Authority: 621(h)(4)(B) of the Act; 29 U.S.C. 795g(h)(4)(B))



Sec. 379.53  What are the weights, minimum performance levels, and performance ranges for each compliance indicator?

    (a) Percent of persons served whose disabilities are severe. (3-10 
points) A minimum of 50 percent of persons served by the project are 
persons who have severe

[[Page 452]]

disabilities. The performance ranges and the points assigned to each 
range are as follows:
    (1) 50 percent to 59 percent--3 points.
    (2) 60 percent to 75 percent--7 points.
    (3) 76 percent or more--10 points.
    (b) Percent of persons served who have been unemployed for at least 
six months at the time of project entry. (5-15 points) A minimum of 50 
percent of persons served by the project have been unemployed for at 
least six months at the time of project entry. The performance ranges 
and the points assigned to each range are as follows:
    (1) 50 percent to 59 percent--5 points.
    (2) 60 percent to 75 percent--10 points.
    (3) 76 percent or more--15 points.
    (c) Cost per placement. (8-25 points) The average cost per placement 
of persons served by the project does not exceed $1600.00. The 
performance ranges and the points assigned to each range are as follows:
    (1) $1351 to $1600--8 points.
    (2) $1000 to $1350--17 points.
    (3) Less than $1000--25 points.
    (d) Projected cost per placement. (5-15 points) The actual average 
cost per placement of persons served by the project does not exceed 140 
percent of the projected average cost per placement in the grantee's 
application. The performance ranges and the points assigned to each 
range are as follows:
    (1) 126 percent to 140 percent--5 points.
    (2) 111 percent to 125 percent--10 points.
    (3) 110 percent or less--15 points.
    (e) Placement rate. (8-25 points) A minimum of 40 percent of persons 
served by the project are placed in competitive employment. The 
performance ranges and the points assigned to each range are as follows:
    (1) 40 percent to 49 percent--8 points.
    (2) 50 percent to 69 percent--17 points.
    (3) 70 percent or more--25 points.
    (f) Projected placement rate. (5-15 points) The actual number of 
persons served by the project that are placed into competitive 
employment is at least 50 percent of the number of persons that the 
grantee, in the grant application, projected would be placed. The 
performance ranges and the points assigned to each range are as follows:
    (1) 50 percent to 74 percent--5 points.
    (2) 75 percent to 94 percent--10 points.
    (3) 95 percent or more--15 points.
    (g) Change in earnings. (7-20 points) The earnings of persons served 
by the project who are placed into competitive employment have increased 
by an average of at least $75.00 a week over earnings at project entry. 
The performance ranges and the points assigned to each range are as 
follows:
    (1) $75 to $124--7 points.
    (2) $125 to $199--14 points.
    (3) $200 or more--20 points.
    (h) Percent placed who have severe disabilities. (3-10 points) At 
least 50 percent of persons served by the project who are placed into 
competitive employment are persons who have severe disabilities. The 
performance ranges and the points assigned to each range are as follows:
    (1) 50 percent to 59 percent--3 points.
    (2) 60 percent to 75 percent--7 points.
    (3) 76 percent or more--10 points.
    (i) Percent unemployed placed. (5-15 points) At least 50 percent of 
persons served by the project who are placed into competitive employment 
are persons who were unemployed for at least six months at the time of 
project entry. The performance ranges and the points assigned to each 
range are as follows:
    (1) 50 percent to 59 percent--5 points.
    (2) 60 percent to 75 percent--10 points.
    (3) 76 percent or more--15 points.
    (j) Summary chart of weights and performance ranges. The following 
composite chart shows the weights assigned to the performance ranges for 
each compliance indicator.

------------------------------------------------------------------------
                                                  Performance ranges:   
                                              --------------------------
                  Indicator                     Range    Range    Range 
                                                 (1)      (2)      (3)  
------------------------------------------------------------------------
Persons with severe disabilities served......        3        7       10
Unemployed served............................        5       10       15
Cost per placement...........................        8       17       25
Projected cost per placement.................        5       10       15
Placement rate...............................        8       17       25
Projected placement rate.....................        5       10       15
Change in earnings...........................        7       14       20
Percent placed who have severe disabilities..        3        7       10
Percent unemployed placed....................        5       10       15
                                              --------------------------
      Total possible score...................       49      102      150
------------------------------------------------------------------------



[[Page 453]]

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Sec. 621(f)(1) of the Act; 29 U.S.C. 795g(f)(1))

[54 FR 36103, Aug. 31, 1989, as amended at 62 FR 5692, Feb. 6, 1997]



Sec. 379.54   What are the reporting requirements for the compliance indicators?

    (a) In order to receive continuation funding for the third or any 
subsequent year of a PWI grant, each grantee must submit data for the 
most recent complete project year no later than 60 days after the end of 
that project year, unless the Secretary authorizes a later submission 
date, in order for the Secretary to determine if the grantee has met the 
program compliance indicators established in this subpart F.
    (b) If the data for the most recent complete project year provided 
under paragraph (a) of this section shows that a grantee has failed to 
achieve the minimum composite score required in Sec. 379.52(f) to meet 
the program compliance indicators, the grantee may, at its option, 
submit data from the first 6 months of the current project year no later 
than 60 days after the end of that 6-month period, unless the Secretary 
authorizes a later submission date, to demonstrate that its project 
performance has improved sufficiently to meet the minimum composite 
score.

(Approved by the Office of Management and Budget under control number 
1820-0612)

(Authority: Sec. 621(f)(2) of the Act; 29 U.S.C. 795g(f)(2))

    Note: A grantee receives its second year of funding (or the first 
continuation award) under this program before data from the first 
complete project year is available. Data from the first project year, 
however, must be submitted and is used (unless the grantee exercises the 
option in paragraph (b) of this section) to determine eligibility for 
the third year of funding (or the second continuation award).

[62 FR 5692, Feb. 6, 1997]

               Appendix to Part 379--Evaluation Standards

    Standard 1: The primary objective of the project shall be to assist 
individuals with disabilities to obtain competitive employment. The 
activities carried out by the project shall support the accomplishment 
of this objective.
    Standard 2: The project shall serve individuals with disabilities 
that impair their capacity to obtain competitive employment. In 
selecting persons to receive services, priority shall be given to 
individuals with severe disabilities.
    Standard 3: The project shall ensure the provision of services that 
will assist in the placement of persons with disabilities.
    Standard 4: Funds shall be used to achieve the project's primary 
objective at minimum cost to the federal government.
    Standard 5: The project's advisory council shall provide policy 
guidance and assistance in the conduct of the project.
    Standard 6: Working relationships, including partnerships, shall be 
established with agencies and organizations in order to expand the 
project's capacity to meet its objectives.
    Standard 7: The project shall obtain positive results in assisting 
individuals with disabilities to obtain competitive employment.



    PART 380--SPECIAL PROJECTS AND DEMONSTRATIONS FOR PROVIDING SUPPORTED EMPLOYMENT SERVICES TO INDIVIDUALS WITH THE MOST SEVERE DISABILITIES AND TECHNICAL ASSISTANCE PROJECTS--Table of Contents





                           Subpart A--General

Sec.
380.1  What is the program of special projects and demonstrations for 
          providing supported employment services to individuals with 
          the most severe disabilities and technical assistance 
          projects?
380.2  Who is eligible for an award?
380.3  What types of projects are authorized?
380.4  What activities may the Secretary fund under Statewide supported 
          employment demonstration projects?
380.5  What activities may the Secretary fund under community-based 
          supported employment projects?
380.6  What activities may the Secretary fund under technical assistance 
          supported employment projects?
380.7  What priorities may the Secretary establish?
380.8  What regulations apply?
380.9  What definitions apply?

            Subpart B--How Does the Secretary Make an Award?

380.10  How does the Secretary evaluate an application?

[[Page 454]]

380.14  What other factors does the Secretary consider in reviewing an 
          application?
380.15  What application requirement applies to this program?

     Subpart C--What Post-Award Conditions Must Be Met by a Grantee?

380.20  What requirements must a grantee meet before it provides for the 
          transition of an individual in supported employment?
380.21  What information requirement applies to this program?

    Authority: 29 U.S.C 711(c) and 777a(c), unless otherwise noted.

    Source: 54 FR 12400, Mar. 22, 1989, unless otherwise noted.



                           Subpart A--General



Sec. 380.1  What is the program of special projects and demonstrations for providing supported employment services to individuals with the most severe 
          disabilities and technical assistance projects?

    This program is designed to provide grants for special projects and 
demonstrations to expand or otherwise improve the provision of supported 
employment services to individuals with the most severe disabilities, 
including projects that demonstrate the effectiveness of natural 
supports or other alternative approaches for supporting and maintaining 
individuals in supported employment, and grants for technical assistance 
projects.

(Authority: 29 U.S.C. 777a(a)(1) and 777a(c))

[59 FR 8342, Feb. 18, 1994]



Sec. 380.2  Who is eligible for an award?

    (a) Applications for Statewide demonstration projects under 
Sec. 380.4 may be submitted by public and nonprofit community 
rehabilitation programs, designated State units, and other public and 
private agencies and organizations.
    (b) Applications for community-based projects under Sec. 380.5 may 
be submitted by public and nonprofit community rehabilitation programs, 
designated State units, and other public and private agencies and 
organizations.
    (c) Applications for technical assistance projects under Sec. 380.6 
may be submitted by public agencies and nonprofit private organizations 
that have experience in training and provision of supported employment 
services.

(Authority: 29 U.S.C. 777a(c))

[54 FR 12400, Mar. 22, 1989, as amended at 59 FR 8342, Feb. 18, 1994]



Sec. 380.3  What types of projects are authorized?

    The following types of projects may be funded under this program:
    (a) Statewide demonstration projects as described in Sec. 380.4. The 
purpose of Statewide demonstration projects is to stimulate the 
development and provision of supported employment services on a 
statewide basis for individuals with the most severe disabilities.
    (b) Community-based projects as described in Sec. 380.5. The 
purposes of community-based projects are to stimulate the development of 
innovative approaches for improving and expanding the provision of 
supported employment services to individuals with the most severe 
disabilities, and to enhance local capacity to provide supported 
employment services.
    (c) Technical assistance projects as described in Sec. 380.6. The 
purpose of technical assistance projects is to provide technical 
assistance to States in implementing the State Supported Employment 
Services Program under 34 CFR part 363.

(Authority: 29 U.S.C. 777a(a)(1) and 777a(c))

[54 FR 12400, Mar. 22, 1989, as amended at 59 FR 8342, Feb. 18, 1994]



Sec. 380.4  What activities may the Secretary fund under Statewide supported employment demonstration projects?

    (a) Authorized activities. The Following activities are authorized 
under Statewide Supported Employment demonstration projects:
    (1) Program development, including program start-up costs, for new 
or existing community organizations and employers.
    (2) Staff training.
    (3) Program evaluation.
    (4) Reorganization, expansion, or, if appropriate, conversion of 
existing programs to provide supported employment services.
    (b) Restrictions on the use of funds. (1) Statewide Supported 
Employment

[[Page 455]]

demonstration project grants may not be used to provide supported 
employment services to individuals with the most severe disabilities.
    (2) A grantee must provide, or ensure the provision of, those direct 
services needed by individuals with the most severe disabilities in 
order for them to obtain and maintain employment from funds other than 
those made available under this part. These supported employment 
services include but are not limited to--
    (i) Job site training to prepare and enable individuals with the 
most severe disabilities to perform work and maintain the job;
    (ii) Ongoing supervision of individuals with the most severe 
disabilities on the job;
    (iii) Ongoing behavior management; and
    (iv) Case management, including assistance to coordinate services 
from various sources.

(Authority: 29 U.S.C. 777a(a)(1) and 777a(c))

[54 FR 12400, Mar. 22, 1989, as amended at 59 FR 8342, Feb. 18, 1994]



Sec. 380.5  What activities may the Secretary fund under community-based supported employment projects?

    (a) Authorized activities. The following activities are authorized 
under community-based projects:
    (1) Job search assistance.
    (2) Job development, including work site modification and use of 
advanced learning technology for skills training.
    (3) On-the-job training.
    (4) Job placement.
    (5) Application of rehabilitation technology in providing supported 
employment services.
    (6) Provision of supported employment services for individuals 
placed in employment.
    (7) Development of cooperative agreements with service providers for 
the provision of extended services.
    (b) Restrictions on the use of funds. The Secretary does not provide 
financial assistance under Community-Based Supported Employment projects 
for the provision of extended supported employment services.

(Authority: 29 U.S.C. 777a(c))

[54 FR 12400, Mar. 22, 1989, as amended at 57 FR 28441, June 24, 1992; 
59 FR 8342, Feb. 18, 1994]



Sec. 380.6  What activities may the Secretary fund under technical assistance supported employment projects?

    The following activities are authorized under technical assistance 
projects:
    (a) Staff training.
    (b) Development of and placement in jobs for individuals with the 
most severe disabilities.
    (c) Development of cooperative agreements with service providers for 
extended services.
    (d) Reorganization, expansion, or, if appropriate, conversion of 
existing programs to provide supported employment services.

(Authority: 29 U.S.C. 777a(c)(2))

[54 FR 12400, Mar. 22, 1989, as amended at 59 FR 8342, Feb. 18, 1994]



Sec. 380.7  What priorities may the Secretary establish?

    In any fiscal year, the Secretary may establish priorities for one 
or more of the types of projects described in Sec. 380.3 by publishing a 
notice in the Federal Register.

(Authority: 29 U.S.C. 777a(c)(2))



Sec. 380.8  What regulations apply?

    The following regulations apply to the Program of Special Projects 
and Demonstrations for Providing Supported Employment Services to 
Individuals with the Most Severe Disabilities and Technical Assistance 
Projects:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations).
    (2) 34 CFR part 75 (Direct Grant Programs).
    (3) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).

[[Page 456]]

    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (6) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 380.
    (c) The regulations in 34 CFR 369.46

(Authority: 29 U.S.C. 711(c) and 777a(c))

[54 FR 12400, Mar. 22, 1989, as amended at 55 FR 21714, May 25, 1990; 59 
FR 8342, Feb. 18, 1994]



Sec. 380.9  What definitions apply?

    (a) The following term used in this part is defined in 34 CFR part 
363: Supported employment.
    (b) The following terms used in this part are defined in 34 CFR part 
369:

Designated State unit
Community rehabilitation program
Individual with a severe disability

    (c) Other definitions. The following definitions also apply to this 
part:
    (1) As used in the definition of ``supported employment''--
    (i) Competitive employment means work--
    (A) In the competitive labor market that is performed on a full-time 
or part-time basis in an integrated setting; and
    (B) For which an individual is compensated at or above the minimum 
wage, but not less than the customary or usual wage paid by the employer 
for the same or similar work performed by individuals who are not 
disabled.
    (ii) Integrated setting means a setting typically found in the 
community in which an individual with the most severe disabilities 
interacts with non-disabled individuals, other than non-disabled 
individuals who are providing services to that individual, to the same 
extent that non-disabled individuals in comparable positions interact 
with other persons.
    (iii) Supported employment services means on-going support services 
provided by the grantee with funds under this part--
    (A) For a period not to exceed 18 months, unless under special 
circumstances a longer period to achieve job stabilization has been 
jointly agreed to by the individual and the rehabilitation counselor and 
established in the individual's program of services, before an 
individual with the most severe disabilities makes the transition to 
extended services; and
    (B) As discrete post-employment services following transition in 
accordance with 34 CFR 363.4(c)(3);
    (iv) Extended services means on-going support services and other 
appropriate services provided by a State agency, a private nonprofit 
organization, employer, or any other appropriate resource, from funds 
other than funds received under this part, part 361, part 363, or part 
376 after an individual with the most severe disabilities has made the 
transition from project support; and
    (v) Transitional employment means a series of temporary job 
placements in competitive work in an integrated work setting with on-
going support services for individuals with the most severe disabilities 
due to mental illness. In transitional employment, the provision of on-
going support services must include continuing sequential job placements 
until job permanency is achieved.
    (2) On-going support services means services that are--
    (i) Needed to support and maintain an individual with the most 
severe disabilities in supported employment;
    (ii) Based on a determination by the grantee of the individual's 
needs as specified in a program of services; and
    (iii) Furnished by the grantee from the time of job placement until 
transition to extended services, except as provided in 34 CFR 
363.4(c)(3) and, following transition, by one or more extended services 
providers throughout the individual's term of employment in a particular 
job placement or multiple placements if those placements are being 
provided under a program of

[[Page 457]]

transitional employment. On-going support services must include, at a 
minimum, twice-monthly monitoring at the work site of each individual in 
supported employment to assess employment stability, unless under 
special circumstances, especially at the request of the individual, the 
individual's program of services provides for off-site monitoring, and, 
based upon that assessment, the coordination or provision of specific 
services, at or away from the work site, that are needed to maintain 
employment stability. If off-site monitoring is determined to be 
appropriate, it must, at a minimum, consist of two meetings with the 
individual and one contact with the employer each month. On-going 
support services consist of--
    (A) Any particularized assessment needed to supplement the 
comprehensive assessment of rehabilitation needs;
    (B) The provision of skilled job trainers who accompany the 
individual for intensive job skill training at the work site;
    (C) Job development and placement;
    (D) Social skills training;
    (E) Regular observation or supervision of the individual;
    (F) Follow-up services such as regular contact with the employers, 
the individuals, the parents, family members, guardians, advocates or 
authorized representative of the individuals, and other suitable 
professional and informed advisors, in order to reinforce and stabilize 
the job placement;
    (G) Facilitation of natural supports at the worksite;
    (H) Any other service identified in the scope of rehabilitation 
services described in 34 CFR part 361; and
    (I) Any service similar to the foregoing services.

(Authority: 29 U.S.C. 777a(c))

[54 FR 12400, Mar. 22, 1989, as amended at 57 FR 28441, June 24, 1992; 
59 FR 8342, Feb. 18, 1994; 62 FR 6363, Feb. 11, 1997]



            Subpart B--How Does the Secretary Make an Award?



Sec. 380.10  How does the Secretary evaluate an application?

    The Secretary evaluates an application under the procedures in 34 
CFR part 75.

(Authority: 29 U.S.C. 777a(c))

[62 FR 10404, Mar. 6, 1997]



Sec. 380.14  What other factors does the Secretary consider in reviewing an application?

    In addition to the selection criteria used in accordance with the 
procedures in 34 CFR part 75, the Secretary, in making awards under this 
part, considers the geographical distribution of projects in each 
program category throughout the country.

(Authority: 29 U.S.C. 777a(a)(1) and 777a(c))

[62 FR 10404, Mar. 6, 1997]



Sec. 380.15  What application requirement applies to this program?

    Each applicant for a grant under this program must include in its 
application a description of the manner in which it will address the 
needs of individuals with the most severe disabilities from minority 
backgrounds.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 718b)

[59 FR 8343, Feb. 18, 1994]



     Subpart C--What Post-Award Conditions Must Be Met by a Grantee?



Sec. 380.20  What requirements must a grantee meet before it provides for the transition of an individual in supported employment?

    A grantee must provide for the transition of an individual with the 
most severe disabilities to extended services no later than 18 months 
after placement in supported employment, unless

[[Page 458]]

a longer period is established in the individual's program of services, 
and only if the individual has made substantial progress toward meeting 
his or her hours-per-week work goal, is stabilized in the job, and 
extended services are available and can be provided without a hiatus in 
services.

(Authority: 29 U.S.C. 777a(c))

[57 FR 28442, June 24, 1992, as amended at 59 FR 8342, Feb. 18, 1994]



Sec. 380.21  What information requirement applies to this program?

    Each grantee must advise recipients of services under its project 
or, as appropriate, the parents, family members, guardians, advocates, 
or authorized representatives of those individuals, of the availability 
and purposes of the State's Client Assistance Program, including 
information on seeking assistance from that program.

(Authority: 29 U.S.C. 718a)

[59 FR 8343, Feb. 18, 1994]



PART 381--PROTECTION AND ADVOCACY OF INDIVIDUAL RIGHTS--Table of Contents




                           Subpart A--General

Sec.
381.1  What is the Protection and Advocacy of Individual Rights program?
381.2  Who is eligible for an award?
381.3  What activities may the Secretary fund?
381.4  What regulations apply?
381.5  What definitions apply?

               Subpart B--How Does One Apply for an Award?

381.10  What are the application requirements?

            Subpart C--How Does the Secretary Make an Award?

381.20  How does the Secretary evaluate an application?
381.22  How does the Secretary allocate funds under this program?

         Subpart D--What Conditions Must Be Met After an Award?

381.30  How are services to be administered?
381.31  What are the requirements pertaining to the protection, use, and 
          release of personal information?
381.32  What are the reporting requirements?
381.33  What are the requirements related to the use of funds provided 
          under this part?

    Authority: 29 U.S.C. 794e, unless otherwise noted.

    Source: 58 FR 43022, Aug. 12, 1993, unless otherwise noted.



                           Subpart A--General



Sec. 381.1  What is the Protection and Advocacy of Individual Rights program?

    This program is designed to support a system in each State to 
protect the legal and human rights of eligible individuals with 
disabilities.

(Authority: Sec. 509(a) of the Act; 29 U.S.C. 794e(a))



Sec. 381.2  Who is eligible for an award?

    (a) A protection and advocacy system that is established under part 
C of the Developmental Disabilities Assistance and Bill of Rights Act 
(DDA), 42 U.S.C. 6041-6043, and that meets the requirements of 
Sec. 381.10 is eligible to apply for a grant award under this program.
    (b) In any fiscal year in which the amount appropriated to carry out 
this section is less than $5,500,000, a protection and advocacy system 
from any State or from Guam, American Samoa, the United States Virgin 
Islands, the Commonwealth of the Northern Mariana Islands, or the 
Republic of Palau may apply for a grant under the Protection and 
Advocacy of Individual Rights (PAIR) program to plan for, develop 
outreach strategies for, and carry out a protection and advocacy program 
authorized under this part, except that the Republic of Palau may not 
apply for a grant under the PAIR program after the Compact of Free 
Association with Palau takes effect.
    (c) In any fiscal year in which the amount appropriated to carry out 
this section is equal to or greater than $5,500,000, an eligible system 
from any State and from any of the jurisdictions named in paragraph (b) 
of this section may apply to receive the amount allotted pursuant to 
section 509(c)-(e) of the Act, except that the Republic of Palau

[[Page 459]]

may receive an allotment under section 509 of the Act only until the 
Compact of Free Association with Palau takes effect.

(Authority: Sec. 509(b)-(e) of the Act; 29 U.S.C. 794e(b)-(e))

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8343, Feb. 18, 1994]



Sec. 381.3  What activities may the Secretary fund?

    (a) Funds made available under this part must be used for the 
following activities:
    (1) Establishing a system to protect, and advocate for, the rights 
of individuals with disabilities.
    (2) Pursuing legal, administrative, and other appropriate remedies 
or approaches to ensure the protection of, and advocacy for, the rights 
of eligible individuals with disabilities within the State.
    (3) Providing information on and making referrals to programs and 
services addressing the needs of individuals with disabilities in the 
State, including individuals with disabilities who are exiting from 
public school programs.
    (4) Coordinating the protection and advocacy program provided 
through an eligible system with the advocacy programs under--
    (i) Section 112 of the Act (the Client Assistance Program (CAP));
    (ii) The Older Americans Act of 1965 (the State long-term care 
ombudsman program);
    (iii) Part C of the DDA; and
    (iv) The Protection and Advocacy for Individuals with Mental Illness 
Act of 1986 (PAIMI), 42 U.S.C. 10801-10851.
    (5) Developing a statement of objectives and priorities on an annual 
basis and a plan for achieving these objectives and priorities.
    (6) Providing to the public, including individuals with disabilities 
and, as appropriate, their representatives, an opportunity to comment on 
the objectives and priorities described in Sec. 381.10(f).
    (7) Establishing a grievance procedure for clients or prospective 
clients of the eligible system to ensure that individuals with 
disabilities are afforded equal access to the services of the eligible 
system.
    (b) Funds made available under this part also may be used to carry 
out any other activities consistent with the purpose of this part and 
the activities listed in paragraph (a) of this section.

(Authority: Secs. 12 and 509(f) of the Act; 29 U.S.C. 711(c) and 
794e(f)).

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8344, Feb. 18, 1994]



Sec. 381.4  What regulations apply?

    The following regulations apply to the PAIR program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals and Nonprofit Organizations), if the 
eligible system is not a State or local government agency or Indian 
tribal organization.
    (2) 34 CFR part 75 (Direct Grant Programs), if the appropriation for 
the PAIR program is less than $5,500,000.
    (3) 34 CFR part 76 (State-Administered Programs), if the 
appropriation for the PAIR program is equal to or greater than 
$5,500,000 and the eligible system is a State or local government 
agency, except for--
    (i) Section 76.103;
    (ii) Sections 76.125 through 76.137;
    (iii) Sections 76.300 through 76.401;
    (iv) Section 76.704;
    (v) Section 76.734; and
    (vi) Section 76.740.
    (4) 34 CFR part 77 (Definitions that Apply to Department 
Regulations).
    (5) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (6) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments), if the 
eligible system is a State or local government agency.
    (7) 34 CFR part 81 (General Education Provisions Act-- Enforcement).
    (8) 34 CFR part 82 (New Restrictions on Lobbying).
    (9) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).

[[Page 460]]

    (10) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 381.
    (c) The regulations in 34 CFR 369.43, 369.46 and 369.48 relating to 
certain conditions that must be met by grantees.


(Authority: Secs. 12 and 509 of the Act; 29 U.S.C. 711(c) and 794e)



Sec. 381.5  What definitions apply?

    (a) Definitions in EDGAR. The following terms used in this part are 
defined in 34 CFR 77.1:

Award
EDGAR
Fiscal year
Nonprofit
Private
Public
Secretary

    (b) Other definitions. The following definitions also apply to this 
part:
    Act means the Rehabilitation Act of 1973, as amended.
    Advocacy means pleading an individual's cause or speaking or writing 
in support of an individual. Advocacy may be formal, as in the case of a 
lawyer representing an individual in a court of law or in formal 
administrative proceedings before government agencies (whether State, 
local or Federal). Advocacy also may be informal, as in the case of a 
lawyer or non-lawyer representing an individual in negotiations, 
mediation, or informal administrative proceedings before government 
agencies (whether State, local or Federal), or as in the case of a 
lawyer or non-lawyer representing an individual's cause before private 
entities or organizations, or government agencies (whether State, local 
or Federal). Advocacy may be on behalf of--
    (1) A single individual, in which case it is individual advocacy;
    (2) More than one individual or a group or class of individuals, in 
which case it is systems (or systemic) advocacy; or
    (3) Oneself, in which case it is self advocacy.
    Eligible individual with a disability means an individual who--
    (1) Needs protection and advocacy services that are beyond the scope 
of services authorized to be provided by the CAP under section 112 of 
the Act; and
    (2) Is ineligible for--
    (i) Protection and advocacy programs under part C of the DDA; and
    (ii) Protection and advocacy programs under the PAIMI.
    Eligible system means a protection and advocacy system that is 
established under part C of the DDA, 42 U.S.C. 6041-6043, and that meets 
the requirements of Sec. 381.10 of this part.
    Mediation means the act or process of using an independent third 
party to act as a mediator, intermediary, or conciliator to settle 
differences or disputes between persons or parties. The third party who 
acts as a mediator, intermediary, or conciliator must not be any entity 
or individual who is connected in any way with the eligible system or 
the agency, entity, or individual with whom the individual with a 
disability has a dispute. Mediation may involve the use of professional 
mediators or any other independent third party mutually agreed to by the 
parties to the dispute.
    State means, in addition to each of the several States of the United 
States, the District of Columbia, the Commonwealth of Puerto Rico, the 
United States Virgin Islands, Guam, American Samoa, the Commonwealth of 
the Northern Mariana Islands, and the Republic of Palau (until the 
Compact of Free Association takes effect), except for purposes of the 
section 509(c)(3)(B) and (c)(4) of the Act, in which case State does not 
mean or include Guam, American Samoa, the United States Virgin Islands, 
the Commonwealth of the Northern Mariana Islands, and the Republic of 
Palau.

(Authority: Secs. 12 and 509 of the Act; 29 U.S.C. 711(c) and 794e)

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8344, Feb. 18, 1994]



               Subpart B--How Does One Apply for an Award?



Sec. 381.10  What are the application requirements?

    (a) Regardless of the amount of funds appropriated for the PAIR 
program in a fiscal year, an eligible system shall submit to the 
Secretary an application

[[Page 461]]

for assistance under this part at the time and in the form and manner 
determined by the Secretary that contains all information that the 
Secretary determines necessary, including assurances that the eligible 
system will--
    (1) Have in effect a system to protect, and advocate for, the rights 
of eligible individuals with disabilities;
    (2) Have the same general authorities, including access to records 
and program income, as in part C of the DDA;
    (3) Have the authority to pursue legal, administrative, and other 
appropriate remedies or approaches to ensure the protection of, and 
advocacy for, the rights of eligible individuals with disabilities 
within the State;
    (4) Provide information on and make referrals to programs and 
services addressing the needs of individuals with disabilities in the 
State, including individuals with disabilities who are exiting from 
public school programs;
    (5) Develop a statement of objectives and priorities on an annual 
basis and a plan for achieving these objectives and priorities;
    (6) Provide to the public, including individuals with disabilities 
and, as appropriate, their representatives, an opportunity to comment on 
the objectives and priorities established by, and activities of, the 
eligible system including--
    (i) The objectives and priorities for the activities of the eligible 
system for each year and the rationale for the establishment of those 
objectives and priorities; and
    (ii) The coordination of programs provided through eligible systems 
with the advocacy programs under--
    (A) Section 112 of the Act (CAP);
    (B) The Older Americans Act of 1965 (the State long-term care 
ombudsman program);
    (C) Part C of the DDA; and
    (D) The PAIMI;
    (7) Establish a grievance procedure for clients or prospective 
clients of the eligible system to ensure that individuals with 
disabilities are afforded equal access to the services of the eligible 
system;
    (8) Use funds made available under this part to supplement and not 
supplant the non-Federal funds that would otherwise be made available 
for the purpose for which Federal funds are provided; and
    (9) Implement procedures designed to ensure that, to the maximum 
extent possible, mediation (and other alternative dispute resolution) 
procedures, which include good faith negotiation, are used before 
resorting to formal administrative or legal remedies.
    (b) To receive direct payment of funds under this part, an eligible 
system must provide to the Secretary, as part of its application for 
assistance, an assurance that direct payment is not prohibited by or 
inconsistent with State law, regulation, or policy.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Secs. 12 and 509(f) of the Act; 29 U.S.C. 711(c) and 
794e(f))

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8344, Feb. 18, 1994; 59 
FR 33680, June 30, 1994]



            Subpart C--How Does the Secretary Make an Award?



Sec. 381.20  How does the Secretary evaluate an application?

    In any fiscal year in which the amount appropriated for the PAIR 
program is less than $5,500,000, the Secretary evaluates applications 
under the procedures in 34 CFR part 75.

(Authority: 29 U.S.C. 711(c) and 794e (b) and (f))

[62 FR 10404, Mar. 6, 1997]



Sec. 381.22  How does the Secretary allocate funds under this program?

    (a) In any fiscal year in which the amount appropriated for this 
program is equal to or greater than $5,500,000--
    (1) The Secretary sets aside not less than 1.8 percent but not more 
than 2.2 percent of the amount appropriated to provide training and 
technical assistance to eligible systems established under this program.
    (2) After the reservation required by paragraph (a)(1) of this 
section, the Secretary makes allotments from the remainder of the amount 
appropriated in accordance with section 509(c)(2)-(e) of the Act.

[[Page 462]]

    (b) Notwithstanding any other provision of law, in any fiscal year 
in which the amount appropriated for this program is equal to or greater 
than $5,500,000, the Secretary pays directly to an eligible system that 
submits an application that meets the requirements of Sec. 381.10 the 
amount of the allotment to the State pursuant to section 509 of the Act, 
unless the State provides otherwise.

(Authority: Sec. 509(c)-(e) of the Act; 29 U.S.C. 794e(c)-(e))



         Subpart D--What Conditions Must Be Met After an Award?



Sec. 381.30  How are services to be administered?

    (a) Each eligible system shall carry out the protection and advocacy 
program authorized under this part.
    (b) An eligible system may not award a grant or subgrant to another 
entity to carry out, in whole or in part, the protection and advocacy 
program authorized under this part.
    (c) An eligible system may contract with another agency, entity, or 
individual to carry out the PAIR program in whole or in part, but only 
if the agency, entity, or individual with whom the eligible system has 
contracted--
    (1) Does not provide services under the Act or does not provide 
treatment, services, or habilitation to persons with disabilities; and
    (2) Is independent of, and not connected financially or through a 
board of directors to, an entity or individual that provides services 
under the Act or that provides treatment, services, or habilitation to 
persons with disabilities.
    (d) For purposes of paragraph (c) of this section, ``services under 
the Act'' and ``treatment, services, or habilitation'' does not include 
client assistance services under CAP, protection and advocacy services 
authorized under the protection and advocacy programs under part C of 
the DDA and the PAIMI, or any other protection and advocacy services.

(Authority: Secs. 12 and 509(i) of the Act; 29 U.S.C. 711(c) and 
794e(i))

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8344, Feb. 18, 1994]



Sec. 381.31  What are the requirements pertaining to the protection, use, and release of personal information?

    (a) All personal information about individuals served by any 
eligible system under this part, including lists of names, addresses, 
photographs, and records of evaluation, must be held confidential.
    (b) The eligible system's use of information and records concerning 
individuals must be limited only to purposes directly connected with the 
protection and advocacy program, including program evaluation 
activities. Except as provided in paragraph (c) of this section, an 
eligible system may not disclose personal information about an 
individual, directly or indirectly, other than in the administration of 
the protection and advocacy program, unless the consent of the 
individual to whom the information applies, or his or her guardian, 
parent, or other authorized representative or advocate (including the 
individual's advocate from the eligible system), has been obtained in 
writing. An eligible system may not produce any report, evaluation, or 
study that reveals any personally identifying information without the 
written consent of the individual or his or her representative.
    (c) Except as limited in paragraph (d) of this section, the 
Secretary or other Federal or State officials responsible for enforcing 
legal requirements must be given complete access to all--
    (1) Records of the eligible system receiving funds under this 
program; and
    (2) All individual case records of clients served under this part 
without the consent of the client.
    (d)(1) The privilege of a person or eligible system not to produce 
documents or provide information pursuant to paragraph (c) of this 
section is governed by the principles of common law

[[Page 463]]

as interpreted by the courts of the United States, except that, for 
purposes of any periodic audit, report, or evaluation of the performance 
of the eligible system established or assisted under this part, the 
Secretary does not require the eligible system to disclose the identity 
of, or any other personally identifiable information related to, any 
individual requesting assistance under the PAIR program.
    (2) However, notwithstanding paragraph (d)(1) of this section, if an 
audit, monitoring review, State plan assurance review, evaluation, or 
other investigation has already produced independent and reliable 
evidence that there is probable cause to believe that the eligible 
system has violated its legislative mandate or misused Federal funds, 
the eligible system shall disclose, if the Secretary so requests, the 
identity of, or any other personally identifiable information (i.e., 
name, address, telephone number, social security number, or other 
official code or number by which an individual may be readily 
identified) related to, any individual requesting assistance under the 
PAIR program, in accordance with the principles of common law as 
interpreted by the courts of the United States.

(Authority: Secs. 12 and 509(h) of the Act; 29 U.S.C. 711(c) and 
794e(h))

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8344, Feb. 18, 1994]



Sec. 381.32  What are the reporting requirements?

    Each eligible system shall provide to the Secretary, no later than 
90 days after the end of each fiscal year, an annual report that 
includes information on the following:
    (a) The types of services and activities undertaken by the eligible 
system and how these services and activities addressed the objectives 
and priorities developed pursuant to Sec. 381.10(e).
    (b) The total number of individuals, by race, color, national 
origin, gender, age, and disabling condition, who requested services 
from the eligible system and the total number of individuals, by race, 
color, national origin, gender, age, and disabling condition, who were 
served by the eligible system.
    (c) The types of disabilities represented by individuals served by 
the eligible system.
    (d) The types of issues being addressed on behalf of individuals 
served by the eligible system.
    (e) Any other information that the Secretary may require.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Secs. 12(c), 13, and 509(l) of the Act; 29 U.S.C. 711(c), 
712, and 794e(l))



Sec. 381.33  What are the requirements related to the use of funds provided under this part?

    (a) Funds made available under this part must be used to supplement 
and not supplant the non-Federal funds that would otherwise be made 
available for the purpose for which Federal funds are provided under 
this part.
    (b) In any State in which an eligible system is located within a 
State agency, that State or State agency may not use more than five 
percent of any allotment for the costs of administration of the eligible 
system supported under this part. For purposes of this paragraph, 
``costs of administration'' include, but are not limited to, 
administrative salaries (including salaries for clerical and support 
staff), supplies, depreciation or use allowances, the cost of operating 
and maintaining facilities, equipment, and grounds (e.g., rental of 
office space or equipment, telephone, postage, maintenance agreements), 
and other similar types of costs that may be incurred by the State or 
State agency to administer the eligible system.
    (c) Funds paid to a State or an eligible system within a State for a 
fiscal year to carry out this program that are not expended or obligated 
prior to the end of that fiscal year remain available to the State or an 
eligible system within a State for obligation during the succeeding 
fiscal year in accordance with 34 CFR 76.705-76.707.
    (d) For determining when an eligible system makes an obligation for 
various kinds of property or services, 34 CFR 75.707 and 76.707, as 
appropriate, apply to this program. If the appropriation for the PAIR 
program is less than $5,500,000, Sec. 75.707 applies. If the 
appropriation for the PAIR program is equal

[[Page 464]]

to or greater than $5,500,000, Sec. 76.707 applies. An eligible system 
is considered a State for purposes of Sec. 76.707.

(Authority: Secs. 12 and 509(f),(g), and (j) of the Act; 29 U.S.C. 
711(c) and 794e(f), (g), and (j))

[58 FR 43022, Aug. 12, 1993, as amended at 59 FR 8344, Feb. 18, 1994]



PART 385--REHABILITATION TRAINING--Table of Contents




                           Subpart A--General

Sec.
385.1  What is the Rehabilitation Training Program?
385.2  Who is eligible for assistance under these programs?
385.3  What regulations apply to these programs?
385.4  What definitions apply to these programs?

                          Subpart B--[Reserved]

               Subpart C--How Does One Apply For a Grant?

385.20  What are the application procedures for these programs?

             Subpart D--How Does the Secretary Make a Grant?

385.30  [Reserved]
385.31  How does the Secretary evaluate an application?
385.33  What other factors does the Secretary consider in reviewing an 
          application?

          Subpart E--What Conditions Must Be Met by a Grantee?

385.40  What are the requirements pertaining to the membership of a 
          project advisory committee?
385.41  What are the requirements affecting the collection of data from 
          designated State agencies?
385.42  What are the requirements affecting the dissemination of 
          training materials?
385.43  What requirements apply to the training of rehabilitation 
          counselors and other rehabilitation personnel?
385.44  What requirement applies to the training of individuals with 
          disabilities?
385.45  What additional application requirements apply to the training 
          of individuals for rehabilitation careers?
385.46  What limitations apply to the rate of pay for experts or 
          consultants appointed or serving under contract under the 
          Rehabilitation Training program?

    Authority: 29 U.S.C. 711(c), 772, and 774, unless otherwise noted.

    Source: 45 FR 86379, Dec. 30, 1980, unless otherwise noted.



                           Subpart A--General



Sec. 385.1  What is the Rehabilitation Training program?

    (a) The Rehabilitation Training program is designed to--
    (1) Ensure that skilled personnel are available to provide 
rehabilitation services to individuals with disabilities through 
vocational, medical, social, and psychological rehabilitation programs, 
through supported employment programs, through independent living 
services programs, and through client assistance programs;
    (2) Maintain and upgrade basic skills and knowledge of personnel 
employed to provide state-of-the-art service delivery systems and 
rehabilitation technology services; and
    (3) Provide training and information to individuals with 
disabilities, the parents, families, guardians, advocates, and 
authorized representatives of the individuals, and other appropriate 
parties to develop the skills necessary for individuals with 
disabilities to access the rehabilitation system and to become active 
decisionmakers in the rehabilitation process.
    (b) The Secretary awards grants and contracts to pay part of the 
costs of projects for training, traineeships, and related activities, 
including the provision of technical assistance, to assist in increasing 
the numbers of qualified personnel trained in providing rehabilitation 
services and other services provided under the Act, to individuals with 
disabilities. Financial assistance is provided through six categories of 
training programs:
    (1) Rehabilitation Long-Term Training (34 CFR part 386).
    (2) Experimental and Innovative Training (34 CFR part 387).
    (3) State Vocational Rehabilitation Unit In-Service Training (34 CFR 
part 388).
    (4) Rehabilitation Continuing Education Programs (34 CFR part 389).
    (5) Rehabilitation Short-Term Training (34 CFR part 390).

[[Page 465]]

    (6) Training of Interpreters for Individuals Who Are Deaf and 
Individuals Who Are Deaf-Blind (34 CFR part 396).

(Authority: Secs. 301 and 302 of the Act; 29 U.S.C. 770 and 774)

[59 FR 8344, Feb. 18, 1994]



Sec. 385.2  Who is eligible for assistance under these programs?

    States and public or nonprofit agencies and organizations, including 
Indian tribes and institutions of higher education, are eligible for 
assistance under the Rehabilitation Training program.

(Authority: Secs. 7(19) and 302 of the Act; 29 U.S.C. 706(19) and 774)

[59 FR 8345, Feb. 18, 1994]



Sec. 385.3  What regulations apply to these programs?

    The following regulations apply to the Rehabilitation Training 
program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations).
    (2) 34 CFR part 75 (Direct Grant Programs).
    (3) 34 CFR part 77 (Definitions That Apply to Department 
Regulations).
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (6) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Governmentwide Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 385.
    (c) The regulations in 34 CFR parts 386, 387, 388, 389, 390, and 
396, as appropriate.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)

[59 FR 8345, Feb. 18, 1994]



Sec. 385.4  What definitions apply to these programs?

    (a) The following definitions in 34 CFR part 77 apply to the 
programs under the Rehabilitation Training Program--

    Applicant
    Application
    Award
    Budget Period
    Department
    EDGAR
    Nonprofit
    Private
    Project
    Project Period
    Public
    Secretary

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

    (b) The following definitions also apply to programs under the 
Rehabilitation Training program:
    Act means the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.), as 
amended.
    Assistive technology device means any item, piece of equipment, or 
product system, whether acquired commercially off the shelf, modified, 
or customized, that is used to increase, maintain, or improve functional 
capabilities of individuals with disabilities.
    Assistive technology service means any service that directly assists 
an individual with a disability in the selection, acquisition, or use of 
an assistive technology device. The term includes--
    (1) The evaluation of the needs of an individual with a disability, 
including a functional evaluation of the individual in the individual's 
customary environment;
    (2) Purchasing, leasing, or otherwise providing for the acquisition 
of assistive technology devices by individuals with disabilities;
    (3) Selecting, designing, fitting, customizing, adapting, applying, 
maintaining, repairing, or replacing of assistive technology devices;
    (4) Coordinating and using other therapies, interventions, or 
services

[[Page 466]]

with assistive technology devices, such as those associated with 
existing education and rehabilitation plans and programs;
    (5) Training or technical assistance for an individual with 
disabilities, or, if appropriate, the family of an individual with 
disabilities; and
    (6) Training or technical assistance for professionals (including 
individuals providing education and rehabilitation services), employers, 
or other individuals who provide services to, employ, or are otherwise 
substantially involved in the major life functions of individuals with 
disabilities.
    Community rehabilitation program means a program that provides 
directly or facilitates the provision of vocational rehabilitation 
services to individuals with disabilities, and that provides, singly or 
in combination, for an individual with a disability to enable the 
individual to maximize opportunities for employment, including career 
advancement--
    (1) Medical, psychiatric, psychological, social, and vocational 
services that are provided under one management;
    (2) Testing, fitting, or training in the use of prosthetic and 
orthotic devices;
    (3) Recreational therapy;
    (4) Physical and occupational therapy;
    (5) Speech, language, and hearing therapy;
    (6) Psychiatric, psychological, and social services, including 
positive behavior management;
    (7) Assessment for determining eligibility and vocational 
rehabilitation needs;
    (8) Rehabilitation technology;
    (9) Job development, placement, and retention services;
    (10) Evaluation or control of specific disabilities;
    (11) Orientation and mobility services for individuals who are 
blind;
    (12) Extended employment;
    (13) Psychosocial rehabilitation services;
    (14) Supported employment services and extended services;
    (15) Services to family members when necessary to the vocational 
rehabilitation of the individual;
    (16) Personal assistance services; or
    (17) Services similar to the services described in paragraphs (1) 
through (16) of this definition.
    Designated State agency means an agency designated under section 
101(a)(1)(A) of the Act.
    Designated State unit means (1) Any State agency unit required under 
section 101(a)(2)(A) of the Act, or
    (2) In cases in which no State agency unit is required, the State 
agency described in section 101(a)(2)(B)(i) of the Act.
    Independent living core services means--
    (1) Information and referral services;
    (2) Independent living skills training;
    (3) Peer counseling, including cross-disability peer counseling; and
    (4) Individual and systems advocacy.
    Independent living services includes--
    (1) Independent living core services; and
    (2)(i) Counseling services, including psychological, 
psychotherapeutic, and related services;
    (ii) Services related to securing housing or shelter, including 
services related to community group living, and supportive of the 
purposes of this Act and of the titles of this Act, and adaptive housing 
services (including appropriate accommodations to and modifications of 
any space used to serve, or occupied by, individuals with disabilities);
    (iii) Rehabilitation technology;
    (iv) Mobility training;
    (v) Services and training for individuals with cognitive and sensory 
disabilities, including life skills training, and interpreter and reader 
services;
    (vi) Personal assistance services, including attendant care and the 
training of personnel providing these services;
    (vii) Surveys, directories, and other activities to identify 
appropriate housing, recreation opportunities, and accessible 
transportation, and other support services;
    (viii) Consumer information programs on rehabilitation and 
independent living services available under this Act, especially for 
minorities and other individuals with disabilities who have 
traditionally been unserved or underserved by programs under this Act;

[[Page 467]]

    (ix) Education and training necessary for living in the community 
and participating in community activities;
    (x) Supported living;
    (xi) Transportation, including referral and assistance for 
transportation;
    (xii) Physical rehabilitation;
    (xiii) Therapeutic treatment;
    (xiv) Provision of needed prostheses and other appliances and 
devices;
    (xv) Individual and group social and recreational services;
    (xvi) Training to develop skills specifically designed for youths 
who are individuals with disabilities to promote self-awareness and 
esteem, develop advocacy and self-empowerment skills, and explore career 
options;
    (xvii) Services for children;
    (xviii) Services under other Federal, State, or local programs 
designed to provide resources, training, counseling, or other assistance 
of substantial benefit in enhancing the independence, productivity, and 
quality of life of individuals with disabilities;
    (xvix) Appropriate preventive services to decrease the need of 
individuals assisted under this Act for similar services in the future;
    (xx) Community awareness programs to enhance the understanding and 
integration of individuals with disabilities; and
    (xxi) Such other services as may be necessary and not inconsistent 
with the provisions of this Act.
    Individual with a disability means any individual who--
    (1) Has a physical or mental impairment, which for that individual 
constitutes or results in a substantial impediment to employment; and
    (2) Can benefit in terms of an employment outcome from vocational 
rehabilitation services provided pursuant to title I, II, III, VI, or 
VIII of the Act.
    Individual with a severe disability means an individual with a 
disability--
    (1) Who has a severe physical or mental impairment that seriously 
limits one or more functional capacities (such as mobility, 
communication, self-care, self-direction, interpersonal skills, work 
tolerance, or work skills) in terms of an employment outcome;
    (2) Whose vocational rehabilitation can be expected to require 
multiple vocational rehabilitation services over an extended period of 
time; and
    (3) Who has one or more physical or mental disabilities resulting 
from amputation, arthritis, autism, blindness, burn injury, cancer, 
cerebral palsy, cystic fibrosis, deafness, head injury, heart disease, 
hemiplegia, hemophilia, respiratory or pulmonary dysfunction, mental 
retardation, mental illness, multiple sclerosis, muscular dystrophy, 
musculo-skeletal disorders, neurological disorders (including stroke and 
epilepsy), paraplegia, quadriplegia and other spinal cord conditions, 
sickle-cell anemia, specific learning disabilities, end-stage renal 
disease, or another disability or combination of disabilities determined 
on the basis of an assessment for determining eligibility and vocational 
rehabilitation needs.
    Institution of higher education has the meaning given the term in 
section 1201(a) of the Higher Education Act of 1965 (20 U.S.C. 1141(a)).
    Personal assistance services means a range of services provided by 
one or more persons designed to assist an individual with a disability 
to perform daily living activities on or off the job that the individual 
would typically perform if the individual did not have a disability. The 
services shall be designed to increase the individual's control in life 
and ability to perform everyday activities on or off the job.
    Qualified personnel: (1) For designated State agencies or designated 
State units, means personnel who have met standards that are consistent 
with existing national or State approved or recognized certification, 
licensing, registration, or other comparable requirements that apply to 
the area in which such personnel are providing vocational rehabilitation 
services.
    (2) For other than designated State agencies or designated State 
units, means personnel who have met existing State certification or 
licensure requirements, or in the absence of State requirements, have 
met professionally accepted requirements established by national 
certification boards.
    Rehabilitation technology means the systematic application of 
technologies, engineering methodologies, or scientific principles to 
meet the needs of and address the barriers confronted by

[[Page 468]]

individuals with disabilities in areas that include education, 
rehabilitation, employment, transportation, independent living, and 
recreation. The term includes rehabilitation engineering, assistive 
technology devices, and assistive technology services.
    State includes, in addition to each of the several States of the 
United States, the District of Columbia, the Commonwealth of Puerto 
Rico, the United States Virgin Islands, Guam, American Samoa, the 
Commonwealth of the Northern Mariana Islands and the Republic of Palau 
(until the Compact of Free Association with Palau takes effect).
    Stipend means financial assistance on behalf of individuals in 
support of their training, as opposed to salary payment for services 
provided within the project.
    Supported employment means--
    (1) Competitive work in integrated work settings for individuals 
with the most severe disabilities--
    (i)(A) For whom competitive employment has not traditionally 
occurred; or
    (B) For whom competitive employment has been interrupted or 
intermittent as a result of a severe disability; and
    (ii) Who, because of the nature and severity of their disability, 
need intensive supported employment services from the designated State 
unit and extended services after transition in order to perform this 
work.
    (2) Transitional employment for individuals with the most severe 
disabilities due to mental illness.
    Supported employment services means ongoing support services and 
other appropriate services needed to support and maintain an individual 
with most severe disability in supported employment, that are--
    (1) Provided singly or in combination and are organized and made 
available in such a way as to assist an eligible individual in entering 
or maintaining integrated, competitive employment;
    (2) Based on a determination of the needs of an eligible individual, 
as specified in an individualized written rehabilitation program; and
    (3) Provided by the designated State unit for a period of time not 
to extend beyond 18 months, unless under special circumstances the 
eligible individual and the rehabilitation counselor or coordinator 
jointly agree to extend the time in order to achieve the rehabilitation 
objectives identified in the individualized written rehabilitation 
program.
    Vocational rehabilitation services means the same as the term is 
defined in 34 CFR 369.4(b).

(Authority: Secs. 7, 12(c), and 101(a)(7) of the Act; 29 U.S.C. 706, 
711(c), and 721(a)(7))

[45 FR 86379, Dec. 30, 1980, as amended at 50 FR 38631, Sept. 23, 1985; 
53 FR 17146, May 13, 1988; 59 FR 8345, Feb. 18, 1994]



                          Subpart B--[Reserved]



               Subpart C--How Does One Apply for a Grant?



Sec. 385.20  What are the application procedures for these programs?

    The Secretary gives the designated State agency an opportunity to 
review and comment on applications submitted from within the State that 
it serves. The procedures to be followed by the applicant and the State 
are in EDGAR Secs. 75.155-75.159.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[45 FR 86379, Dec. 30, 1980, as amended at 59 FR 8347, Feb. 18, 1994]



             Subpart D--How Does the Secretary Make a Grant?

Sec. 385.30  [Reserved]



Sec. 385.31  How does the Secretary evaluate an application?

    (a) The Secretary evaluates applications under the procedures in 34 
CFR part 75.
    (b) The Secretary evaluates each application using selection 
criteria identified in parts 386, 387, 388, 389 and 390, as appropriate.
    (c) In addition to the selection criteria described in paragraph (b) 
of this section, the Secretary evaluates each application using--
    (1) Selection criteria in 34 CFR 75.210;
    (2) Selection criteria established under 34 CFR 75.209; or

[[Page 469]]

    (3) A combination of selection criteria established under 34 CFR 
75.209 and selection criteria in 34 CFR 75.210.

(Authority: 29 U.S.C. 711(c))

[62 FR 10404, Mar. 6, 1997]



Sec. 385.33  What other factors does the Secretary consider in reviewing an application?

    In addition to the selection criteria listed in Sec. 75.210 and 
parts 386 through 390, the Secretary, in making awards under this 
program, considers such factors as--
    (a) The geographical distribution of projects in each Rehabilitation 
Training Program category throughout the country; and
    (b) The past performance of the applicant in carrying out similar 
training activities under previously awarded grants, as indicated by 
such factors as compliance with grant conditions, soundness of 
programmatic and financial management practices and attainment of 
established project objectives.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[45 FR 86379, Dec. 30, 1980, as amended at 62 FR 10404, Mar. 6, 1997]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 385.40  What are the requirements pertaining to the membership of a project advisory committee?

    If a project funded under 34 CFR parts 386 through 390 or 396 
establishes an advisory committee, its membership must include 
individuals with disabilities or parents, family members, guardians, 
advocates, or other authorized representatives of the individuals; 
members of minority groups; trainees; and providers of vocational 
rehabilitation and independent living rehabilitation services.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[59 FR 8347, Feb. 18, 1994]



Sec. 385.41  What are the requirements affecting the collection of data from designated State agencies?

    If the collection of data is necessary from individuals with 
disabilities being served by two or more designated State agencies or 
from employees of two or more of these agencies, the project director 
must submit requests for the data to appropriate representatives of the 
affected agencies, as determined by the Secretary. This requirement also 
applies to employed project staff and individuals enrolled in courses of 
study supported under these programs.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))

[45 FR 86379, Dec. 30, 1980, as amended at 53 FR 17147, May 13, 1988; 59 
FR 8347, Feb. 18, 1994]



Sec. 385.42  What are the requirements affecting the dissemination of training materials?

    A set of any training materials developed under the Rehabilitation 
Training Program must be submitted to any information clearinghouse 
designated by the Secretary.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))



Sec. 385.43  What requirements apply to the training of rehabilitation counselors and other rehabilitation personnel?

    Any grantee who provides training of rehabilitation counselors or 
other rehabilitation personnel under any of the programs in 34 CFR parts 
386 through 390 shall train those counselors and personnel on the 
services provided under this Act, and, in particular, services provided 
in accordance with amendments made by the Rehabilitation Act Amendments 
of 1992. The grantee shall also furnish training to these counselors and 
personnel regarding the applicability of section 504 of this Act, title 
I of the Americans with Disabilities Act of 1990, and the provisions of 
titles II and XVI of the Social Security Act that are related to work

[[Page 470]]

incentives for individuals with disabilities.

(Authority: Sec. 302(a)(3) of the Act; 29 U.S.C. 774(a)(3))

[59 FR 8347, Feb. 18, 1994]



Sec. 385.44  What requirement applies to the training of individuals with disabilities?

    Any grantee or contractor who provides training under any of the 
programs in 34 CFR parts 386 through 390 and 396 shall give due regard 
to the training of individuals with disabilities as part of its effort 
to increase the number of qualified personnel available to provide 
rehabilitation services.

(Authority: Sec. 302(a)(1) of the Act; 29 U.S.C. 774(a)(1))

[59 FR 8347, Feb. 18, 1994]



Sec. 385.45  What additional application requirements apply to the training of individuals for rehabilitation careers?

    (a) All applicants for a grant or contract to provide training under 
any of the programs in 34 CFR parts 386 through 390 and 396 shall 
demonstrate how the training they plan to provide will prepare 
rehabilitation professionals to address the needs of individuals with 
disabilities from minority backgrounds.
    (b) All applicants for a grant under any of the programs in 34 CFR 
parts 386 through 390 and 396 shall include a detailed description of 
strategies that will be utilized to recruit and train persons so as to 
reflect the diverse populations of the United States, as part of the 
effort to increase the number of individuals with disabilities, and 
individuals who are members of minority groups, who are available to 
provide rehabilitation services.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: Secs. 21(b)(5) and 302(a)(5) of the Act; 29 U.S.C. 
718b(b)(6) and 774(a)(6))

[59 FR 8347, Feb. 18, 1994, as amended at 59 FR 33680, June 30, 1994]



Sec. 385.46  What limitations apply to the rate of pay for experts or consultants appointed or serving under contract under the Rehabilitation Training program?

    An expert or consultant appointed or serving under contract pursuant 
to this section shall be compensated at a rate subject to approval of 
the Commissioner which shall not exceed the daily equivalent of the rate 
of pay for level 4 of the Senior Executive Service Schedule under 
section 5382 of title 5, United States Code. Such an expert or 
consultant may be allowed travel and transportation expenses in 
accordance with section 5703 of title 5, United States Code.

(Authority: Sec. 302(g)(2) of the Act; 29 U.S.C. 774(g)(2))

[59 FR 8347, Feb. 18, 1994]



PART 386--REHABILITATION TRAINING: REHABILITATION LONG-TERM TRAINING--Table of Contents




                           Subpart A--General

Sec.
386.1  What is the Rehabilitation Long-Term Training program?
386.2  Who is eligible for an award?
386.3  What regulations apply?
386.4  What definitions apply?

                          Subpart B--[Reserved]

            Subpart C--How Does the Secretary Make an Award?

386.20  What additional selection criteria are used under this program?

         Subpart D--What Conditions Must Be Met After an Award?

386.30  What are the matching requirements?
386.31  What are requirements for directing grant funds?
386.32  What are allowable costs?
386.33  What are the requirements for grantees in disbursing 
          scholarships?
386.34  What assurances must be provided by a grantee that intends to 
          provide scholarships?
386.35  What information must be provided by a grantee that is an 
          institution of higher education to assist designated State 
          agencies?

[[Page 471]]

          Subpart E--What Conditions Must Be Met by a Scholar?

386.40  What are the requirements for scholars?
386.41  Under what circumstances does the Secretary grant a deferral or 
          exception to performance or repayment under a scholarship 
          agreement?
386.42  What must a scholar do to obtain a deferral or exception to 
          performance or repayment under a scholarship agreement?
386.43  What are the consequences of a scholar's failure to meet the 
          terms and conditions of scholarship agreement?

    Authortiy: 29 U.S.C. 711(c) and 774, unless otherwise noted.

    Source: 59 FR 31066, June 16, 1994, unless otherwise noted.



                           Subpart A--General



Sec. 386.1  What is the Rehabilitation Long-Term Training program?

    (a) The Rehabilitation Long-Term Training program provides financial 
assistance for--
    (1) Projects that provide basic or advanced training leading to an 
academic degree in one of those fields of study identified in paragraph 
(b) of this section;
    (2) Projects that provide a specified series of courses or program 
of study leading to award of a certificate in one of those fields of 
study identified in paragraph (b) of this section; and
    (3) Projects that provide support for medical residents enrolled in 
residency training programs in the specialty of physical medicine and 
rehabilitation.
    (b) The Rehabilitation Long-Term Training program is designed to 
provide academic training in areas of personnel shortages identified by 
the Secretary and published in a notice in the Federal Register. These 
areas may include--
    (1) Vocational rehabilitation counseling;
    (2) Rehabilitation technology;
    (3) Rehabilitation medicine;
    (4) Rehabilitation nursing;
    (5) Rehabilitation social work;
    (6) Rehabilitation psychiatry;
    (7) Rehabilitation psychology;
    (8) Rehabilitation dentistry;
    (9) Physical therapy;
    (10) Occupational therapy;
    (11) Speech pathology and audiology;
    (12) Physical education;
    (13) Therapeutic recreation;
    (14) Community rehabilitation program personnel;
    (15) Prosthetics and orthotics;
    (16) Specialized personnel for rehabilitation of individuals who are 
blind or have vision impairment;
    (17) Rehabilitation of individuals who are deaf or hard of hearing;
    (18) Rehabilitation of individuals who are mentally ill;
    (19) Undergraduate education in the rehabilitation services;
    (20) Independent living;
    (21) Client assistance;
    (22) Administration of community rehabilitation programs;
    (23) Rehabilitation administration;
    (24) Vocational evaluation and work adjustment;
    (25) Services to individuals with specific disabilities or specific 
impediments to rehabilitation, including individuals who are members of 
populations that are unserved or underserved by programs under this Act;
    (26) Job development and job placement services to individuals with 
disabilities;
    (27) Supported employment services, including services of employment 
specialists for individuals with disabilities;
    (28) Specialized services for individuals with severe disabilities;
    (29) Recreation for individuals with disabilities;
    (30) The use, applications, and benefits of assistive technology 
devices and assistive technology services; and
    (31) Other fields contributing to the rehabilitation of individuals 
with disabilities.

(Authority: 29 U.S.C. 711 and 771a)



Sec. 386.2  Who is eligible for an award?

    Those agencies and organizations eligible for assistance under this 
program are described in 34 CFR 385.2.

(Authority: 29 U.S.C. 771a(a))



Sec. 386.3  What regulations apply?

    The following regulations apply to the Rehabilitation Training: 
Rehabilitation Long-Term Training program:
    (a) The regulations in this part 386.

[[Page 472]]

    (b) The regulations in 34 CFR part 385.

(Authority: 29 U.S.C. 771a)



Sec. 386.4  What definitions apply?

    The following definitions apply to this program:
    (a) Definitions in 34 CFR 385.4.
    (b) Other definitions. The following definitions also apply to this 
part:
    Academic year means a full-time course of study--
    (1) Taken for a period totaling at least nine months; or
    (2) Taken for the equivalent of at least two semesters, two 
trimesters, or three quarters.
    Certificate means a recognized educational credential awarded by a 
grantee under this part that attests to the completion of a specified 
series of courses or program of study.
    Professional corporation or professional practice means--
    (1) A professional service corporation or practice formed by one or 
more individuals duly authorized to render the same professional 
service, for the purpose of rendering that service; and
    (2) The corporation or practice and its members are subject to the 
same supervision by appropriate State regulatory agencies as individual 
practitioners.
    Related agency means--
    (1) An American Indian rehabilitation program; or
    (2) Any of the following agencies that provide services to 
individuals with disabilities under an agreement with a designated State 
agency in the area of specialty for which training is provided:
    (i) A Federal, State, or local agency.
    (ii) A nonprofit organization.
    (iii) A professional corporation or professional practice group.
    Scholar means an individual who is enrolled in a certificate or 
degree granting course of study in one of the areas listed in 
Sec. 386.1(b) and who receives scholarship assistance under this part.
    Scholarship means an award of financial assistance to a scholar for 
training and includes all disbursements or credits for student stipends, 
tuition and fees, and student travel in conjunction with training 
assignments.
    State rehabilitation agency means the designated State agency.

(Authority: 29 U.S.C. 711(c))



                          Subpart B--[Reserved]



            Subpart C--How Does the Secretary Make an Award?



Sec. 386.20  What additional selection criteria are used under this program?

    In addition to the criteria in 34 CFR 385.31(c), the Secretary uses 
the following additional selection criteria to evaluate an application:
    (a) Relevance to State-Federal rehabilitation service program. (1) 
The Secretary reviews each application for information that shows that 
the proposed project appropriately relates to the mission of the State-
Federal rehabilitation service program.
    (2) The Secretary looks for information that shows that the project 
can be expected either--
    (i) To increase the supply of trained personnel available to State 
and other public or nonprofit agencies involved in the rehabilitation of 
individuals with physical or mental disabilities through degree or 
certificate granting programs; or
    (ii) To improve the skills and quality of professional personnel in 
the rehabilitation field in which the training is to be provided through 
the granting of a degree or certificate.
    (b) Nature and scope of curriculum. (1) The Secretary reviews each 
application for information that demonstrates the adequacy of the 
proposed curriculum.
    (2) The Secretary looks for information that shows--
    (i) The scope and nature of the coursework reflect content that can 
be expected to enable the achievement of the established project 
objectives;
    (ii) The curriculum and teaching methods provide for an integration 
of theory and practice relevant to the educational objectives of the 
program;
    (iii) There is evidence of educationally focused practical and other 
field experiences in settings that ensure student involvement in the 
provision of vocational rehabilitation, supported employment, or 
independent living rehabilitation services to individuals

[[Page 473]]

with disabilities, especially individuals with severe disabilities;
    (iv) The coursework includes student exposure to vocational 
rehabilitation, supported employment, or independent living 
rehabilitation processes, concepts, programs, and services; and
    (v) If applicable, there is evidence of current professional 
accreditation by the designated accrediting agency in the professional 
field in which grant support is being requested.

(Authority: 29 U.S.C. 711(c) and 771a)

[62 FR 10404, Mar. 6, 1997]



         Subpart D--What Conditions Must Be Met After an Award?



Sec. 386.30  What are the matching requirements?

    The Federal share may not be more than 90 percent of the total cost 
of a project under this program. The Secretary may waive part of the 
non-Federal share of the cost of the project after negotiations if the 
applicant demonstrates that it does not have sufficient resources to 
contribute the entire match.

(Authority: 29 U.S.C. 711(c))



Sec. 386.31  What are the requirements for directing grant funds?

    (a) A grantee must use at least 75 percent of the total award for 
scholarships as defined in Sec. 386.4.
    (b) The Secretary may award grants that use less than 75 percent of 
the total award for scholarships based upon the unique nature of the 
project, such as the establishment of a new training program or long-
term training in an emerging field that does not award degrees or 
certificates.
    (c) For multi-year projects in existence on October 1, 1994, the 
requirements of paragraph (a) of this section do not apply for the 
remainder of the project period.

(Authority: 29 U.S.C. 711(c) and 771a)



Sec. 386.32  What are allowable costs?

    In addition to those allowable costs established in the Education 
Department General Administrative Regulations in 34 CFR 75.530 through 
75.562, the following items are allowable under long-term training 
projects:
    (a) Student stipends.
    (b) Tuition and fees.
    (c) Student travel in conjunction with training assignments.

(Authority: 29 U.S.C. 711(c) and 771a)



Sec. 386.33  What are the requirements for grantees in disbursing scholarships?

    (a) Before disbursement of scholarship assistance to an individual, 
a grantee--
    (1)(i) Shall obtain documentation that the individual is--
    (A) A U.S. citizen or national; or
    (B) A permanent resident of the Republic of the Marshall Islands, 
Federated States of Micronesia, Republic of Palau, or the Commonwealth 
of the Northern Mariana Islands; or
    (ii) Shall confirm from documentation issued to the individual by 
the U.S. Immigration and Naturalization Service that he or she--
    (A) Is a lawful permanent resident of the United States; or
    (B) Is in the United States for other than a temporary purpose with 
the intention of becoming a citizen or permanent resident; and
    (2) Shall confirm that the applicant has expressed interest in a 
career in clinical practice, administration, supervision, teaching, or 
research in the vocational rehabilitation, supported employment, or 
independent living rehabilitation of individuals with disabilities, 
especially individuals with severe disabilities;
    (3) Shall have documentation that the individual expects to maintain 
or seek employment in a designated State rehabilitation agency or in a 
nonprofit rehabilitation, professional corporation, professional 
practice group, or related agency providing services to individuals with 
disabilities or individuals with severe disabilities under an agreement 
with a designated State agency;
    (4) Shall reduce the scholarship by the amount in which the combined 
awards would be in excess of the cost of attendance, if a scholarship, 
when added to the amount the scholar is to receive for the same academic 
year under title IV of the Higher Education

[[Page 474]]

Act, would otherwise exceed the scholar's cost of attendance;
    (5) Shall limit scholarship assistance to the individual's cost of 
attendance at the institution for no more than four academic years 
except that the grantee may provide an extension consistent with the 
institution's accommodations under section 504 of the Act if the grantee 
determines that an individual has a disability that seriously affects 
the completion of the course of study; and
    (6) Shall obtain a Certification of Eligibility for Federal 
Assistance from each scholar as prescribed in 34 CFR 75.60, 75.61, and 
75.62.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 771a(b))



Sec. 386.34  What assurances must be provided by a grantee that intends to provide scholarships?

    A grantee under this part that intends to grant scholarships for any 
academic year beginning after June 1, 1992, shall provide the following 
assurances before an award is made:
    (a) Requirement for agreement. No individual will be provided a 
scholarship without entering into a written agreement containing the 
terms and conditions required by this section. An individual will sign 
and date the agreement prior to the initial disbursement of scholarship 
funds to the individual for payment of the individual's expenses, such 
as tuition.
    (b) Disclosure to applicants. The terms and conditions of the 
agreement that the grantee enters into with a scholar will be fully 
disclosed in the application for scholarship.
    (c) Form and terms of agreement. Each scholarship agreement with a 
grantee will be in the form and contain the terms that the Secretary 
requires, including at a minimum the following provisions:
    (1) The scholar will--
    (i) Maintain employment--
    (A) In a nonprofit rehabilitation agency or related agency or in a 
State rehabilitation agency or related agency, including a professional 
corporation or professional practice group through which the individual 
has a service arrangement with the designated State agency;
    (B) On a full- or part-time basis; and
    (C) For a period of not less than the full-time equivalent of two 
years for each year for which assistance under this section was 
received, within a period, beginning after the recipient completes the 
training for which the scholarship was awarded, of not more than the sum 
of the number of years required in this paragraph and two additional 
years; and
    (ii) Repay all or part of any scholarship received, plus interest, 
if the individual does not fulfill the requirements of paragraph 
(c)(1(i) of this section, except as the Secretary by regulations may 
provide for repayment exceptions and deferrals.
    (2) The employment obligation in paragraph (c)(1) of this section as 
applied to a part-time scholar will be based on the accumulated academic 
years of training for which the scholarship is received.
    (3) Until the scholar has satisfied the employment obligation 
described in paragraph (c)(1) of this section, the scholar will inform 
the grantee of any change of name, address, or employment status and 
will document employment satisfying the terms of the agreement.
    (4) Subject to the provisions in Sec. 386.41 regarding a deferral or 
exception, when the scholar enters repayment status under 
Sec. 386.43(e), the amount of the scholarship that has not been retired 
through eligible employment will constitute a debt owed to the United 
States that--
    (i) Will be repaid by the scholar, including interest and costs of 
collection as provided in Sec. 386.43; and
    (ii) May be collected by the Secretary in accordance with 34 CFR 
part 30, in the case of the scholar's failure to meet the obligation of 
Sec. 386.43.
    (d) Executed agreement. The grantee will provide an original 
executed agreement upon request to the Secretary.
    (e) Standards for satisfactory progress. The grantee will establish, 
publish, and apply reasonable standards for measuring whether a scholar 
is maintaining satisfactory progress in the scholar's

[[Page 475]]

course of study. The Secretary considers an institution's standards to 
be reasonable if the standards--
    (1) Conform with the standards of satisfactory progress of the 
nationally recognized accrediting agency that accredits the 
institution's program of study, if the institution's program of study is 
accredited by such an agency, and if the agency has those standards;
    (2) For a scholar enrolled in an eligible program who is to receive 
assistance under the Rehabilitation Act, are the same as or stricter 
than the institution's standards for a student enrolled in the same 
academic program who is not receiving assistance under the 
Rehabilitation Act; and
    (3) Include the following elements:
    (i) Grades, work projects completed, or comparable factors that are 
measurable against a norm.
    (ii) A maximum timeframe in which the scholar shall complete the 
scholar's educational objective, degree, or certificate.
    (iii) Consistent application of standards to all scholars within 
categories of students; e.g., full-time, part-time, undergraduates, 
graduate students, and students attending programs established by the 
institution.
    (iv) Specific policies defining the effect of course incompletes, 
withdrawals, repetitions, and noncredit remedial courses on satisfactory 
progress.
    (v) Specific procedures for appeal of a determination that a scholar 
is not making satisfactory progress and for reinstatement of aid.
    (f) Exit certification. The grantee has established policies and 
procedures for receiving written certification from scholars at the time 
of exit from the program acknowledging the following:
    (1) The name of the institution and the number of the Federal grant 
that provided the scholarship.
    (2) The scholar's field of study.
    (3) The number of years the scholar needs to work to satisfy the 
work requirements in Sec. 386.34(c)(1)(i)(C).
    (4) The total amount of scholarship assistance received subject to 
the work-or-repay provision in Sec. 386.34(c)(1)(ii).
    (5) The time period during which the scholar must satisfy the work 
requirements in Sec. 386.34(c)(1)(i)(C).
    (6) All other obligations of the scholar in Sec. 386.34.
    (g) Tracking system. The grantee has established policies and 
procedures to determine compliance of the scholar with the terms of the 
agreement. In order to determine whether a scholar has met the work-or-
repay provision in Sec. 386.34(c)(1)(i), the tracking system must 
include for each employment position maintained by the scholar--
    (1) Documentation of the employer's name, address, dates of the 
scholar's employment, and the position the scholar maintained;
    (2) Documentation of how the employment meets the requirements in 
Sec. 386.34(c)(1)(i); and
    (3) Documentation that the grantee, if experiencing difficulty in 
locating a scholar, has checked with existing tracking systems operated 
by alumni organizations.
    (h) Reports. The grantee shall make reports to the Secretary that 
are necessary to carry out the Secretary's functions under this part.
    (i) Records. The grantee shall maintain the information obtained in 
paragraphs (g) and (h) of this section for a period of time equal to the 
time required to fulfill the obligation under Sec. 386.34(c)(1)(i)(C).

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 771a(b))



Sec. 386.35  What information must be provided by a grantee that is an institution of higher education to assist designated State agencies?

    A grantee that is an institution of higher education provided 
assistance under this part shall cooperate with the following requests 
for information from a designated State agency:
    (a) Information required by section 101(a)(7) of the Act which may 
include, but is not limited to--
    (1) The number of students enrolled by the grantee in rehabilitation 
training programs; and
    (2) The number of rehabilitation professionals trained by the 
grantee who graduated with certification or licensure, or with 
credentials to qualify for certification or licensure, during the past 
year.

[[Page 476]]

    (b) Information on the availability of rehabilitation courses 
leading to certification or licensure, or the credentials to qualify for 
certification or licensure, to assist State agencies in the planning of 
a program of staff development for all classes of positions that are 
involved in the administration and operation of the State agency's 
vocational rehabilitation program.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 771a)



          Subpart E--What Conditions Must Be Met by a Scholar?



Sec. 386.40  What are the requirements for scholars?

    A scholar--
    (a) Shall receive the training at the educational institution or 
agency designated in the scholarship; and
    (b) Shall not accept payment of educational allowances from any 
other Federal, State, or local public or private nonprofit agency if 
that allowance conflicts with the individual's obligation under 
Sec. 386.33(a)(4) or Sec. 386.34(c)(1).
    (c) Shall enter into a written agreement with the grantee, before 
starting training, that meets the terms and conditions required in 
Sec. 386.34;
    (d) Shall be enrolled in a course of study leading to a certificate 
or degree in one of the fields designated in Sec. 386.1(b); and
    (e) Shall maintain satisfactory progress toward the certificate or 
degree as determined by the grantee.

(Authority: 29 U.S.C. 711(c) and 771a(b))



Sec. 386.41  Under what circumstances does the Secretary grant a deferral or exception to performance or repayment under a scholarship agreement?

    A deferral or repayment exception to the requirements of 
Sec. 386.34(c)(1) may be granted, in whole or part, by the Secretary as 
follows:
    (a) Repayment is not required if the scholar--
    (1) Is unable to continue the course of study or perform the work 
obligation because of a disability that is expected to continue 
indefinitely or result in death; or
    (2) Has died.
    (b) Repayment of a scholarship may be deferred during the time the 
scholar is--
    (1) Engaging in a full-time course of study at an institution of 
higher education;
    (2) Serving, not in excess of three years, on active duty as a 
member of the armed services of the United States;
    (3) Serving as a volunteer under the Peace Corps Act;
    (4) Serving as a full-time volunteer under title I of the Domestic 
Volunteer Service Act of 1973;
    (5) Temporarily totally disabled, for a period not to exceed three 
years; or
    (6) Unable to secure employment as required by the agreement by 
reason of the care provided to a disabled spouse for a period not to 
exceed 12 months.

(Authority: 29 U.S.C. 771(c) and 771a(b))



Sec. 386.42  What must a scholar do to obtain a deferral or exception to performance or repayment under a scholarship agreement?

    To obtain a deferral or exception to performance or repayment under 
a scholarship agreement, a scholar shall provide the following:
    (a) Written application. A written application must be made to the 
Secretary to request a deferral or an exception to performance or 
repayment of a scholarship.
    (b) Documentation. (1) Documentation must be provided to 
substantiate the grounds for a deferral or exception.
    (2) Documentation necessary to substantiate an exception under 
Sec. 386.41(a)(1) or a deferral under Sec. 386.41(b)(5) must include a 
sworn affidavit from a qualified physician or other evidence of 
disability satisfactory to the Secretary.
    (3) Documentation to substantiate an exception under 
Sec. 386.41(a)(2) must include a death certificate or other evidence 
conclusive under State law.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 711(c) and 771a)

[[Page 477]]



Sec. 386.43  What are the consequences of a scholar's failure to meet the terms and conditions of a scholarship agreement?

    In the event of a failure to meet the terms and conditions of a 
scholarship agreement or to obtain a deferral or an exception as 
provided in Sec. 386.41, the scholar shall repay all or part of the 
scholarship as follows:
    (a) Amount. The amount of the scholarship to be repaid is 
proportional to the employment obligation not completed.
    (b) Interest rate. The Secretary charges the scholar interest on the 
unpaid balance owed in accordance with 31 U.S.C. 3717.
    (c) Interest accrual. (1) Interest on the unpaid balance accrues 
from the date the scholar is determined to have entered repayment status 
under paragraph (e) of this section.
    (2) Any accrued interest is capitalized at the time the scholar's 
repayment schedule is established.
    (3) No interest is charged for the period of time during which 
repayment has been deferred under Sec. 386.41.
    (d) Collection costs. Under the authority of 31 U.S.C. 3717, the 
Secretary may impose reasonable collection costs.
    (e) Repayment status. A scholar enters repayment status on the first 
day of the first calendar month after the earliest of the following 
dates, as applicable:
    (1) The date the scholar informs the Secretary he or she does not 
plan to fulfill the employment obligation under the agreement.
    (2) Any date when the scholar's failure to begin or maintain 
employment makes it impossible for that individual to complete the 
employment obligation within the number of years required in 
Sec. 386.34(c)(1).
    (f) Amounts and frequency of payment. The scholar shall make 
payments to the Secretary that cover principal, interest, and collection 
costs according to a schedule established by the Secretary.

(Authority: 29 U.S.C. 711(c) and 771a(b))



PART 387--EXPERIMENTAL AND INNOVATIVE TRAINING--Table of Contents




                           Subpart A--General

Sec.
387.1  What is the Experimental and Innovative Training Program?
387.2  Who is eligible for assistance under this program?
387.3  What regulations apply to this program?
387.4  What definitions apply to this program?

   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?

387.10  What types of projects are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

387.30  What additional selection criteria are used under this program?

          Subpart E--What Conditions Must Be Met by a Grantee?

387.40  What are the matching requirements?
387.41  What are the allowable costs?

    Authority: 29 U.S.C. 711(c) and 774, unless otherwise noted.

    Source: 45 FR 86383, Dec. 30, 1980, unless otherwise noted.



                           Subpart A--General



Sec. 387.1  What is the Experimental and Innovative Training Program?

    This program is designed--
    (a) To develop new types of training programs for rehabilitation 
personnel and to demonstrate the effectiveness of these new types of 
training programs for rehabilitation personnel in providing 
rehabilitation services to individuals with disabilities; and

[[Page 478]]

    (b) To develop new and improved methods of training rehabilitation 
personnel so that there may be a more effective delivery of 
rehabilitation services by State and other rehabilitation agencies.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)

[45 FR 86383, Dec. 30, 1980, as amended at 53 FR 17147, May 13, 1988; 59 
FR 8347, Feb. 18, 1994]



Sec. 387.2  Who is eligible for assistance under this program?

    Those agencies and organizations eligible for assistance under this 
program are described in 34 CFR 385.2.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



Sec. 387.3  What regulations apply to this program?

    (a) 34 CFR part 385 (Rehabilitation Training); and
    (b) The regulations in this part 387.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



Sec. 387.4  What definitions apply to this program?

    The definitions in 34 CFR part 385 apply to this program.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))



   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?



Sec. 387.10  What types of projects are authorized under this program?

    The Experimental and Innovative Training Program supports time-
limited pilot projects through which new types of rehabilitation workers 
may be trained or through which innovative methods of training 
rehabilitation workers may be demonstrated.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 387.30  What additional selection criteria are used under this program?

    In addition to the criteria in 34 CFR 385.31(c), the Secretary uses 
the following additional selection criteria to evaluate an application:
    (a) Relevance to State-Federal rehabilitation service program. (1) 
The Secretary reviews each application for information that shows that 
the proposed project appropriately relates to the mission of the State-
Federal rehabilitation service program.
    (2) The Secretary looks for information that shows that the project 
can be expected either--
    (i) To increase the supply of trained personnel available to public 
and private agencies involved in the rehabilitation of individuals with 
disabilities; or
    (ii) To maintain and improve the skills and quality of 
rehabilitation workers.
    (b) Nature and scope of curriculum. (1) The Secretary reviews each 
application for information that demonstrates the adequacy and scope of 
the proposed curriculum.
    (2) The Secretary looks for information that shows that--
    (i) The scope and nature of the training content can be expected to 
enable the achievement of the established project objectives of the 
training project;
    (ii) The curriculum and teaching methods provide for an integration 
of theory and practice relevant to the educational objectives of the 
program;
    (iii) There is evidence of educationally focused practicum or other 
field experiences in settings that assure student involvement in the 
provision of vocational rehabilitation or independent living 
rehabilitation services to individuals with disabilities, especially 
individuals with severe disabilities; and

[[Page 479]]

    (iv) The didactic coursework includes student exposure to vocational 
rehabilitation or independent living rehabilitation processes, concepts, 
programs, and services.

(Authority: 29 U.S.C. 711(c) and 774)

[62 FR 10405, Mar. 6, 1997]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 387.40  What are the matching requirements?

    A grantee must contribute to the cost of a project under this 
program in an amount satisfactory to the Secretary. The part of the 
costs to be borne by the grantee is determined by the Secretary at the 
time of the grant award.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)



Sec. 387.41  What are allowable costs?

    In addition to those allowable costs established under EDGAR 
Secs. 75.530-75.562, the following items are allowable under 
experimental and innovative training projects--
    (a) Student stipends;
    (b) Tuition and fees; and
    (c) Student travel in conjunction with training assignments.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)



PART 388--STATE VOCATIONAL REHABILITATION UNIT IN-SERVICE TRAINING--Table of Contents




                           Subpart A--General

Sec.
388.1  What is the State Vocational Rehabilitation Unit In-Service 
          Training program?
388.2  Who is eligible for an award?
388.3  What types of projects are authorized?
388.4  What activities may the Secretary fund?
388.5  What regulations apply?
388.6  What definitions apply?

                          Subpart B--[Reserved]

            Subpart C--How Does the Secretary Make an Award?

388.20  What additional selection criterion is used under this program?
388.21  How does the Secretary determine the amount of a basic State 
          award?
388.22  What priorities does the Secretary consider in making an award?

         Subpart D--What Conditions Must Be Met After an Award?

388.30  What are the matching requirements?
388.31  What are the allowable costs?

    Authority: 29 U.S.C. 711(c) and 774, unless otherwise noted.

    Source: 59 FR 40178, Aug. 5, 1994



                           Subpart A--General



Sec. 388.1  What is the State Vocational Rehabilitation Unit In-Service Training program?

    This program is designed to support projects for training State 
vocational rehabilitation unit personnel in program areas essential to 
the effective management of the unit's program of vocational 
rehabilitation services or in skill areas that will enable staff 
personnel to improve their ability to provide vocational rehabilitation 
services leading to employment outcomes for individuals with 
disabilities. The State Vocational Rehabilitation Unit In-Service 
Training program responds to needs identified in the comprehensive 
system of personnel development in section 101(a)(7) of the Act. The 
program may include training designed--
    (a) To address recruitment and retention of qualified rehabilitation 
professionals;
    (b) To provide for succession planning;
    (c) To provide for leadership development and capacity building; and
    (d) For fiscal year 1994, to provide training on the amendments to 
the Rehabilitation Act of 1973 made by the Rehabilitation Act Amendments 
of 1992.

(Authority: 29 U.S.C. 771a(g)(3))



Sec. 388.2  Who is eligible for an award?

    Each designated State agency is eligible to receive an award under 
the

[[Page 480]]

basic State award program described in Sec. 388.21. If a designated 
State agency does not apply for an award during an announced 
competition, no funds may be made available for in-service training of 
the staff of that designated State agency under this program until there 
is a new competition for funding. At least 15 percent of the sums 
appropriated to carry out section 302 of the Act must be allocated to 
designated State agencies to be used, directly or indirectly, for 
projects for in-service training of rehabilitation personnel.

(Authority: 29 U.S.C. 771a(g)(3))



Sec. 388.3  What types of projects are authorized?

    State vocational rehabilitation unit in-service training projects 
are concerned with the staff development and training of State 
vocational rehabilitation unit personnel in order to ensure an improved 
level of competence in serving State unit clients and to assist in 
expanding and improving vocational rehabilitation services for 
individuals with disabilities, especially those with severe 
disabilities, to ensure employment outcomes.

(Authority: 29 U.S.C. 770 and 771a)



Sec. 388.4  What activities may the Secretary fund?

    (a) Training activities supported under a State vocational 
rehabilitation unit in-service training grant focus primarily on program 
areas that are essential to the State unit's operation or on skill areas 
that will enable staff personnel to improve their ability to function on 
their job, or prepare for positions of greater responsibility within the 
unit, or to correct deficiencies identified in the State program. 
Projects may--
    (1) Address recruitment and retention of qualified rehabilitation 
professionals;
    (2) Provide for succession planning;
    (3) Provide for leadership development and capacity building; and
    (4) For fiscal year 1994, provide training on the amendments to the 
Rehabilitation Act of 1973 made by the Rehabilitation Act Amendments of 
1992.
    (b) Training methods may include--
    (1) The development of State unit training institutes related to the 
specific aspects of State unit administration or service provision;
    (2) Group employee training at courses conducted in cooperation with 
or by an educational institution;
    (3) Individualized directed study in priority areas of State unit 
service or practice;
    (4) Employee access to current agency instructional resources for 
books, films, videos, tapes, and other human resource development 
resources;
    (5) Distance learning through telecommunications; and
    (6) Dissemination and information sharing with other designated 
State agencies.

(Authority: 29 U.S.C. 770 and 771a)



Sec. 388.5  What regulations apply?

    The following regulations apply to the State Vocational 
Rehabilitation Unit In-Service Training program:
    (a) The regulations in this part 388.
    (b) The regulations in 34 CFR part 385.

(Authority: 29 U.S.C. 770 and 771a)



Sec. 388.6  What definitions apply?

    The definitions in 34 CFR part 385 apply to this program.

(Authority: 29 U.S.C. 711(c) and 771(a)(g)(3))



                          Subpart B--[Reserved]



            Subpart C--How Does the Secretary Make an Award?



Sec. 388.20  What additional selection criterion is used under this program?

    In addition to the selection criteria in 34 CFR 385.31(c), the 
Secretary uses the following additional selection criteria to evaluate 
an application:
    (a) Evidence of need. (1) The Secretary reviews each application for 
information that shows that the need for the in-service training has 
been adequately justified.
    (2) The Secretary looks for information that shows--
    (i) How the proposed project relates to the mission of the State-
Federal rehabilitation service program and can be expected to improve 
the competence

[[Page 481]]

of all State vocational rehabilitation personnel in providing vocational 
rehabilitation services to individuals with disabilities that will 
result in employment outcomes or otherwise contribute to more effective 
management of the State unit program;
    (ii) That the State unit in-service training plan responds to needs 
identified in their training needs assessment and the proposed training 
relates to the unit's State plan, particularly the requirements in 
section 101(a)(7) of the Rehabilitation Act for each designated State 
unit to develop a comprehensive system of personnel development;
    (iii) The need for in-service training methods and materials that 
will improve the effectiveness of services to individuals with 
disabilities assisted under the Rehabilitation Act and ensure employment 
outcomes; and
    (iv) The State has conducted a needs assessment of the in-service 
training needs for all of the State unit employees.
    (b) [Reserved]

(Authority: 29 U.S.C. 711(c), 770, and 771a)

[62 FR 10405, Mar. 6, 1997]



Sec. 388.21  How does the Secretary determine the amount of a basic State award?

    (a) The Secretary distributes no more than 80 percent of the funds 
available for these awards as follows:
    (1) For each competition the Secretary will determine a minimum 
score based upon the selection criteria in Sec. 388.20 that an applicant 
must receive in order for its application to be approved by the 
Secretary.
    (2) Each designated State agency that submits an approved 
application receives an amount based upon a formula that provides each 
approved project an amount equal to the percentage that the designated 
State agency's staff, as reported by total person years to the Secretary 
on Form RSA-2, represents of all staff of all designated State agencies, 
as reported to the Secretary on Form RSA-2 for the most recent reporting 
period. A copy of Form RSA-2 may be obtained from the Department of 
Education, 400 Maryland Avenue, S.W., 3211 Switzer Building, Washington, 
D.C. 22204-2735.
    (3) No designated State agency with an approved project receives 
less than one-third of one percent of the sums made available for the 
fiscal year.
    (b) After determining a designated State agency's award under 
paragraph (a) of this section, the Secretary reserves the remaining 
funds to be allocated based on the quality of the application as 
determined by competitive reviews conducted by the Department using the 
criteria in Sec. 388.20 and the priorities in Sec. 388.22.
    (c) Prior to award, negotiations may be conducted with applicants to 
resolve any problems or weaknesses in the application identified by the 
review process.

(Authority: 29 U.S.C. 711(c), 770, and 771a)



Sec. 388.22  What priorities does the Secretary consider in making an award?

    (a) The Secretary reserves funds to support some or all of the 
proposals that have been awarded a rating of 80 points or more under the 
criteria described in Sec. 388.20.
    (b) In making a final selection of proposals to support under this 
program, the Secretary considers the extent to which proposals have 
exceeded a rating of 80 points and address one or more of the following 
priorities announced in the application notice:
    (1) Development and dissemination of model in-service training 
materials and practices. The proposed project demonstrates an effective 
plan to develop and disseminate information on its State Vocational 
Rehabilitation In-Service Training program, including the identification 
of training approaches and successful practices, in order to permit the 
replication of these programs by other State vocational rehabilitation 
units.
    (2) Distance education. The proposed project demonstrates innovative 
strategies for training State vocational rehabilitation unit personnel 
through distance education methods, such as interactive audio, video, 
computer technologies, or existing telecommunications networks.
    (3) Enhanced employment outcomes for specific populations. The 
proposed project supports specialized training in

[[Page 482]]

the provision of vocational rehabilitation or related services to 
individuals with disabilities to increase the rehabilitation rate into 
competitive employment for all individuals or specified target groups.

(Authority: 29 U.S.C. 711(c), 770, and 771a)



         Subpart D--What Conditions Must be Met After an Award?



Sec. 388.30  What are the matching requirements?

    (a) The Secretary may make grants for paying part of the costs of 
projects under this program. Except as provided for in paragraphs (b) 
and (c) of this section, the grantee shall provide at least 10 percent 
of the total costs of the project.
    (b) Grantees designated in Sec. 388.21(a)(3) to receive a minimum 
share of one third of one percent of the sums made available for the 
fiscal year shall provide at least four percent of the total costs of 
the project.

(Authority: 29 U.S.C. 711(c), 770, and 771a)



Sec. 388.31  What are the allowable costs?

    In addition to those allowable costs established in 34 CFR 75.530 
through 75.562 (Education Department General Administrative 
Regulations), the following items are allowable under State vocational 
rehabilitation unit in-service training projects:
    (a) Trainee per diem costs.
    (b) Trainee travel in connection with a training course.
    (c) Trainee tuition and fees.
    (d) Telecommunications and technology fees.

(Authority: 29 U.S.C. 711(c), 770, and 771a)



PART 389--REHABILITATION CONTINUING EDUCATION PROGRAMS--Table of Contents




                           Subpart A--General

Sec.
389.1  What is the Rehabilitation Continuing Education Program?
389.2  Who is eligible for assistance under this program?
389.3  What regulations apply to this program?
389.4  What definitions apply to this program?

   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?

389.10  What types of projects are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

389.30  What additional selection criterion is used under this program?

          Subpart E--What Conditions Must Be Met by a Grantee?

389.40  What are the matching requirements?
389.41  What are allowable costs?

    Authority: 29 U.S.C. 711(c) and 774, unless otherwise noted.

    Source: 45 FR 86385, Dec. 30, 1980, unless otherwise noted.



                           Subpart A--General



Sec. 389.1  What is the Rehabilitation Continuing Education Program?

    This program is designed to support training centers that serve 
either a Federal region or another geographical area and provide for a 
broad integrated sequence of training activities that focus on meeting 
recurrent and common training needs of employed rehabilitation personnel 
throughout a multi-State geographical area.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



Sec. 389.2  Who is eligible for assistance under this program?

    Those agencies and organizations eligible for assistance under this 
program are described in 34 CFR 385.2.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



Sec. 389.3  What regulations apply to this program?

    The following regulations apply to this program--
    (a) 34 CFR part 385 (Rehabilitation Training); and
    (b) The regulations in this part 389.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)

[[Page 483]]



Sec. 389.4  What definitions apply to this program?

    The definitions in 34 CFR part 385 apply to this program.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))



   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?



Sec. 389.10  What types of projects are authorized under this program?

    Rehabilitation Continuing Education Programs--
    (a) Train newly employed State agency staff at the administrative, 
supervisory, professional, subprofessional, or clerical levels in order 
to develop needs skills for effective agency performance;
    (b) Provide training opportunities for experienced State agency 
personnel at all levels of State agency practice to upgrade their skills 
and to develop mastery of new program developments dealing with 
significant issues, priorities and legislative thrusts of the State/
Federal vocational rehabilitation program; and
    (c) Develop and conduct training programs for staff of--
    (1) Private rehabilitation agencies and facilities which cooperate 
with State vocational rehabilitation units in providing vocational 
rehabilitation and other rehabilitation services;
    (2) Centers for independent living; and
    (3) Client assistance programs.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)

[45 FR 86385, Dec. 30, 1980, as amended at 50 FR 38631, Sept. 23, 1985]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 389.30  What additional selection criterion is used under this program?

    In addition to the criteria in 34 CFR 385.31(c), the Secretary uses 
the following additional selection criterion to evaluate an application:
    (a) Relevance to State-Federal rehabilitation service program. (1) 
The Secretary reviews each application for information that shows that 
the proposed project appropriately relates to the mission of the State-
Federal rehabilitation service programs.
    (2) The Secretary reviews each application for information that 
shows that the proposed project includes an assessment of the potential 
of existing programs within the geographical area (including State 
vocational rehabilitation unit in-service training) to meet the needs 
for which support is sought.
    (3) The Secretary looks for information that shows that the proposed 
project can be expected to improve the competence of professional and 
other personnel in the rehabilitation agencies serving individuals with 
severe disabilities.
    (b) [Reserved]

(Authority: 29 U.S.C. 711(c))

[62 FR 10405, Mar. 6, 1997]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 389.40  What are the matching requirements?

    A grantee must contribute to the cost of a project under this 
program in an amount satisfactory to the Secretary. The part of the cost 
to be borne by the grantee is determined by the Secretary at the time of 
the grant award.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)



Sec. 389.41  What are allowable costs?

    In addition to those allowable costs established under EDGAR 
Secs. 75.530-75.562, the following items are allowable under 
Rehabilitation Continuing Education programs--
    (a) Trainee per diem costs;
    (b) Trainee travel in connection with a training course;
    (c) Trainee tuition and fees; and
    (d) Special accommodations for trainees with handicaps.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)

[45 FR 86385, Dec. 30, 1980, as amended at 53 FR 17147, May 13, 1988]

[[Page 484]]



PART 390--REHABILITATION SHORT-TERM TRAINING--Table of Contents




                           Subpart A--General

Sec.
390.1  What is the Rehabilitation Short-Term Training Program?
390.2  Who is eligible for assistance under this program?
390.3  What regulations apply to this program?
390.4  What definitions apply to this program?

   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?

390.10  What types of projects are authorized under this program?

                          Subpart C--[Reserved]

             Subpart D--How Does the Secretary Make a Grant?

390.30  What additional selection criterion is used under this program?

          Subpart E--What Conditions Must Be Met by a Grantee?

390.40  What are the matching requirements?
390.41  What are allowable costs?

    Authority: 29 U.S.C. 711(c) and 774, unless otherwise noted.

    Source: 45 FR 86386, Dec. 30, 1980, unless otherwise noted.



                           Subpart A--General



Sec. 390.1  What is the Rehabilitation Short-Term Training program?

    This program is designed for the support of special seminars, 
institutes, workshops, and other short-term courses in technical matters 
relating to the vocational, medical, social, and psychological 
rehabilitation programs, independent living services programs, and 
client assistance programs.

(Authority: Secs. 12(a)(2) and 302 of the Act; 29 U.S.C. 711(a)(2) and 
774)

[59 FR 8348, Feb. 18, 1994]



Sec. 390.2  Who is eligible for assistance under this program?

    Those agencies and organizations eligible for assistance under this 
program are described in 34 CFR 385.2.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



Sec. 390.3  What regulations apply to this program?

    (a) 34 CFR part 385 (Rehabilitation Training); and
    (b) The regulations in this part 390.

(Authority: Sec. 302 of the Act; 29 U.S.C. 774)



Sec. 390.4  What definitions apply to this program?

    The definitions in 34 CFR part 385 apply to this program.

(Authority: Sec. 12(c) of the Act; 29 U.S.C. 711(c))



   Subpart B--What Kinds of Projects Does the Department of Education 
                       Assist Under This Program?



Sec. 390.10  What types of projects are authorized under this program?

    (a) Projects under this program are designed to provide short-term 
training and technical instruction in areas of special significance to 
the vocational, medical, social, and psychological rehabilitation 
programs, supported employment programs, independent living services 
programs, and client assistance programs.
    (b) Short-term training projects may be of regional or national 
scope.
    (c) Conferences and meetings in which training is not the primary 
focus may not be supported under this program.

(Authority: Secs. 12(a)(2) and 302 of the Act; 29 U.S.C. 711(a)(2) and 
774)

[45 FR 86386, Dec. 30, 1980, as amended at 59 FR 8348, Feb. 18, 1994]

[[Page 485]]



                          Subpart C--[Reserved]



             Subpart D--How Does the Secretary Make a Grant?



Sec. 390.30  What additional selection criterion is used under this program?

    In addition to the criteria in 34 CFR 385.31(c), the Secretary uses 
the following additional selection criterion to evaluate an application:
    (a) Relevance to State-Federal rehabilitation service program. (1) 
The Secretary reviews each application for information that shows that 
the proposed project appropriately relates to the mission of the State-
Federal rehabilitation service programs.
    (2) The Secretary looks for information that shows that the proposed 
project can be expected to improve the skills and competence of--
    (i) Personnel engaged in the administration or delivery of 
rehabilitation services; and
    (ii) Others with an interest in the delivery of rehabilitation 
services.
    (b) [Reserved]

(Authority: 29 U.S.C. 711(c) and 774)

[62 FR 10406, Mar. 6, 1997]



          Subpart E--What Conditions Must Be Met by a Grantee?



Sec. 390.40  What are the matching requirements?

    A grantee must contribute to the cost of a project under this 
program in an amount satisfactory to the Secretary. The part of the 
costs to be borne by the grantee is determined by the Secretary at the 
time of the award.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)



Sec. 390.41  What are allowable costs?

    (a) In addition to those allowable costs established in EDGAR 
Secs. 75.530-75.562, the following items are allowable under short-term 
training projects:
    (1) Trainee per diem costs;
    (2) Trainee travel in connection with a training course;
    (3) Trainee registration fees; and
    (4) Special accommodations for trainees with handicaps.
    (b) The preparation of training materials may not be supported under 
a short-term training grant unless the materials are essential for the 
conduct of the seminar, institute, workshop or other short course for 
which the grant support has been provided.

(Authority: Secs. 12(c) and 302 of the Act; 29 U.S.C. 711(c) and 774)

[45 FR 86386, Dec. 30, 1980, as amended at 53 FR 17148, May 13, 1988]



PART 395--VENDING FACILITY PROGRAM FOR THE BLIND ON FEDERAL AND OTHER PROPERTY--Table of Contents




                         Subpart A--Definitions

Sec.
395.1  Terms.

                  Subpart B--The State Licensing Agency

395.2  Application for designation as a State licensing agency; general.
395.3  Application for designation as State licensing agency; content.
395.4  State rules and regulations.
395.5  Approval of application for designation a State licensing agency.
395.6  Vendor ownership of vending facilities.
395.7  The issuance and conditions of licenses.
395.8  Distribution and use of income from vending machines on Federal 
          property.
395.9  The setting aside of funds by the State licensing agency.
395.10  The maintenance and replacement of vending facility equipment.
395.11  Training program for blind individuals.
395.12  Access to program and financial information.
395.13  Evidentiary hearings and arbitration of vendor complaints.
395.14  The State Committee of Blind Vendors.
395.15  Use of nominee agreements.
395.16  Permit for the establishment of vending facilities.
395.17  Suspension of designation as State licensing agency.

                 Subpart C--Federal Property Management

395.30  The location and operation of vending facilities for blind 
          vendors on Federal property.
395.31  Acquisition and occupation of Federal property.
395.32  Collection and distribution of vending machine income from 
          vending machines on Federal property.

[[Page 486]]

395.33  Operation of cafeterias by blind vendors.
395.34  Application for permits.
395.35  Terms of permit.
395.36  Enforcement procedures.
395.37  Arbitration of State licensing agency complaints.
395.38  Reports.

    Authority: Sec. 2, 49 Stat. 1559, as amended; 20 U.S.C. 107a.

    Source: 42 FR 15802, Mar. 23, 1977, unless otherwise noted. 
Redesignated at 45 FR 77369, Nov. 21, 1980, and further redesignated at 
46 FR 5417, Jan. 19, 1981.



                         Subpart A--Definitions



Sec. 395.1  Terms.

    Unless otherwise indicated in this part, the terms below are defined 
as follows:
    (a) Act means the Randolph-Sheppard Vending Stand Act (Pub. L. 74-
732), as amended by Pub. L. 83-565 and Pub. L. 93-516, 20 U.S.C., ch. 
6A, Sec 107.
    (b) Blind licensee means a blind person licensed by the State 
licensing agency to operate a vending facility on Federal or other 
property.
    (c) Blind person means a person who, after examination by a 
physician skilled in diseases of the eye or by an optometrist, whichever 
such person shall select, has been determined to have
    (1) Not more than 20/200 central visual acuity in the better eye 
with correcting lenses, or
    (2) An equally disabling loss of the visual field as evidenced by a 
limitation to the field of vision in the better eye to such a degree 
that its widest diameter subtends an angle of no greater than 20 deg..
    (d) Cafeteria means a food dispensing facility capable of providing 
a broad variety of prepared foods and beverages (including hot meals) 
primarily through the use of a line where the customer serves himself 
from displayed selections. A cafeteria may be fully automatic or some 
limited waiter or waitress service may be available and provided within 
a cafeteria and table or booth seating facilities are always provided.
    (e) Secretary means the Secretary of the Rehabilitation Services 
Administration.
    (f) Direct competition means the presence and operation of a vending 
machine or a vending facility on the same premises as a vending facility 
operated by a blind vendor, except that vending machines or vending 
facilities operated in areas serving employees the majority of whom 
normally do not have direct access (in terms of uninterrupted ease of 
approach and the amount of time required to patronize the vending 
facility) to the vending facility operated by a blind vendor shall not 
be considered to be in direct competition with the vending facility 
operated by a blind vendor.
    (g) Federal property means any building, land, or other real 
property owned, leased, or occupied by any department, agency or 
instrumentality of the United States (including the Department of 
Defense and the U.S. Postal Service), or any other instrumentality 
wholly owned by the United States, or by any department or agency of the 
District of Columbia or any territory or possession of the United 
States.
    (h) Individual location installation or facility means a single 
building or a self-contained group of buildings. In order for two or 
more buildings to be considered to be a self-contained group of 
buildings, such buildings must be located in close proximity to each 
other, and a majority of the Federal employees housed in any such 
building must regularly move from one building to another in the course 
of official business during normal working days.
    (i) License means a written instrument issued by the State licensing 
agency to a blind person, authorizing such person to operate a vending 
facility on Federal or other property.
    (j) Management services means supervision, inspection, quality 
control, consultation, accounting, regulating, in-service training, and 
other related services provided on a systematic basis to support and 
improve vending facilities operated by blind vendors. Management 
services does not include those services or costs which pertain to the 
on-going operation of an individual facility after the initial 
establishment period.
    (k) Net proceeds means the amount remaining from the sale of 
articles or services of vending facilities, and any

[[Page 487]]

vending machine or other income accruing to blind vendors after 
deducting the cost of such sale and other expenses (excluding set-aside 
charges required to be paid by such blind vendors).
    (l) Nominee means a nonprofit agency or organization designated by 
the State licensing agency through a written agreement to act as its 
agent in the provision of services to blind licensees under the State's 
vending facility program.
    (m) Normal working hours means an eight hour work period between the 
approximate hours of 8:00 a.m., to 6:00 p.m., Monday through Friday.
    (n) Other property means property which is not Federal property and 
on which vending facilities are established or operated by the use of 
any funds derived in whole or in part, directly or indirectly, from the 
operation of vending facilities on any Federal property.
    (o) Permit means the official approval given a State licensing 
agency by a department, agency or instrumentality in control of the 
maintenance, operation, and protection of Federal property, or person in 
control of other property, whereby the State licensing agency is 
authorized to establish a vending facility.
    (p) Program means all the activities of the licensing agency under 
this part related to vending facilities on Federal and other property.
    (q) Satisfactory site means an area fully accessible to vending 
facility patrons and having:
    (1) Effective on March 23, 1977 a minimum of 250 square feet 
available for the vending and storage of articles necessary for the 
operation of a vending facility; and
    (2) Sufficient electrical plumbing, heating, and ventilation outlets 
for the location and operation of a vending facility in accordance with 
applicable health laws and building codes.
    (r) Secretary means the Secretary of Education.
    (s) Set-aside funds means funds which accrue to a State licensing 
agency from an assessment against the net proceeds of each vending 
facility in the State's vending facility program and any income from 
vending machines on Federal property which accrues to the State 
licensing agency.
    (t) State means a State, territory, possession, Puerto Rico, or the 
District of Columbia.
    (u) State vocational rehabilitation agency means that agency in the 
State providing vocational rehabilitation services to the blind as the 
sole State agency under a State plan for vocational rehabilitation 
services approved pursuant to the provisions of the Rehabilitation Act 
of 1973 (29 U.S.C., ch. 16).
    (v) State licensing agency means the State agency designated by the 
Secretary under this part to issue licenses to blind persons for the 
operation of vending facilities on Federal and other property.
    (w) United States includes the several States, territories, and 
possessions of the United States, Puerto Rico, and the District of 
Columbia.
    (x) Vending facility means automatic vending machines, cafeterias, 
snack bars, cart service, shelters, counters, and such other appropriate 
auxiliary equipment which may be operated by blind licensees and which 
is necessary for the sale of newspapers, periodicals, confections, 
tobacco products, foods, beverages, and other articles or services 
dispensed automatically or manually and prepared on or off the premises 
in accordance with all applicable health laws, and including the vending 
or exchange of changes for any lottery authorized by State law and 
conducted by an agency of a State within such State.
    (y) Vending machine, for the purpose of assigning vending machine 
income under this part, means a coin or currency operated machine which 
dispenses articles or services, except that those machines operated by 
the United States Postal Service for the sale of postage stamps or other 
postal products and services, machines providing services of a 
recreational nature, and telephones shall not be considered to be 
vending machines.
    (z) Vending machine income means receipts (other than those of a 
blind vendor) from vending machine operations on Federal property, after 
deducting the cost of goods sold (including reasonable service and 
maintenance costs in accordance with customary business

[[Page 488]]

practices of commercial vending concerns, where the machines are 
operated, serviced, or maintained by, or with the approval of, a 
department, agency, or instrumentality of the United States, or 
commissions paid (other than to a blind vendor) by a commercial vending 
concern which operates, services, and maintains vending machines on 
Federal property for, or with the approval of, a department, agency, or 
instrumentality of the United States.
    (aa) Vendor means a blind licensee who is operating a vending 
facility on Federal or other property.
    (bb) Vocational rehabilitation services means those services as 
defined in Sec. 1361.1(ee) (1) and (2) of this chapter.



                  Subpart B--The State Licensing Agency



Sec. 395.2  Application for designation as a State licensing agency; general.

    (a) An application for designation as a State licensing agency may 
be submitted only by the State vocational rehabilitation agency 
providing vocational rehabilitation services to the blind under an 
approved State plan for vocational rehabilitation services under part 
1361 of this chapter.
    (b) Such application shall be:
    (1) Submitted in writing to the Secretary;
    (2) Approved by the chief executive of the State; and
    (3) Transmitted over the signature of the administrator of the State 
agency making application.



Sec. 395.3  Application for designation as State licensing agency; content.

    (a) An application for designation as a State licensing agency under 
Sec. 395.2 shall indicate:
    (1) The State licensing agency's legal authority to administer the 
program, including its authority to promulgate rules and regulations to 
govern the program;
    (2) The State licensing agency's organization for carrying out the 
program, including a description of the methods for coordinating the 
State's vending facility program and the State's vocational 
rehabilitation program, with special reference to the provision of such 
post-employment services necessary to assure that the maximum vocational 
potential of each blind vendor is achieved;
    (3) The policies and standards to be employed in the selection of 
suitable locations for vending facilities;
    (4) The methods to be used to ensure the continuing and active 
participation of the State Committee of Blind Vendors in matters 
affecting policy and program development and administration.
    (5) The policies to be followed in making suitable vending facility 
equipment and adequate initial stock available to a vendor;
    (6) The sources of funds for the administration of the program;
    (7) The policies and standards governing the relationship of the 
State licensing agency to the vendors, including their selection, 
duties, supervision, transfer, promotion, financial participation, 
rights to a full evidentiary hearing concerning a State licensing agency 
action, and, where necessary, rights for the submittal of complaints to 
an arbitration panel;
    (8) The methods to be followed in providing suitable training, 
including on-the-job training and, where appropriate, upward mobility 
training, to blind vendors;
    (9) The arrangements made or contemplated, if any, for the 
utilization of the services of any nominee under Sec. 395.15; the 
agreements therefor and the services to be provided; the procedures for 
the supervision and control of the services provided by such nominee and 
the methods used in evaluating services received, the basis for 
remuneration, and the fiscal controls and accounting procedures;
    (10) The arrangements made or contemplated, if any, for the vesting 
in accordance with the laws of the State, of the right, title to, and 
interest in vending facility equipment or stock (including vending 
machines), used in the program, in a nominee to hold such right, title 
to, and interest for program purposes; and
    (11) The assurances of the State licensing agency that it will:
    (i) Cooperate with the Secretary in applying the requirements of the 
Act in a uniform manner;

[[Page 489]]

    (ii) Take effective action, including the termination of licenses, 
to carry out full responsibility for the supervision and management of 
each vending facility in its program in accordance with its established 
rules and regulations, this part, and the terms and conditions governing 
the permit;
    (iii) Submit promptly to the Secretary for approval a description of 
any changes in the legal authority of the State licensing agency, its 
rules and regulations, blind vendor agreements, schedules for the 
setting aside of funds, contractual arrangements for the furnishing of 
services by a nominee, arrangements for carrying general liability and 
product liability insurance, and any other matters which form a part of 
the application;
    (iv) If it intends to set aside, or cause to be set aside, funds 
from the net proceeds of the operation of vending facilities, obtain a 
prior determination by the Secretary that the amount of such funds to be 
set aside is reasonable;
    (v) Establish policies against discrimination of any blind vendor on 
the basis of sex, age, physical or mental impairment, creed, color, 
national origin, or political affiliation;
    (vi) Furnish each vendor a copy of its rules and regulations and a 
description of the arrangements for providing services, and take 
adequate steps to assure that each vendor understands the provisions of 
the permit and any agreement under which he operates, as evidenced by 
his signed statements:
    (vii) Submit to an arbitration panel those grievances of any vendor 
unresolved after a full evidentiary hearing;
    (viii) Adopt accounting procedures and maintain financial records in 
a manner necessary to provide for each vending facility and for the 
State's vending facility program a classification of financial 
transactions in such detail as is sufficient to enable evaluation of 
performance; and
    (ix) Maintain records and make reports in such form and containing 
such information as the Secretary may require, make such records 
available for audit purposes, and comply with such provisions as the 
Secretary may find necessary to assure the correctness and verification 
of such reports.
    (b) An application submitted under Sec. 395.2 shall be accompanied 
by a copy of State rules and regulations affecting the administration 
and operation of the State's vending facility program.



Sec. 395.4  State rules and regulations.

    (a) The State licensing agency shall promulgate rules and 
regulations which have been approved by the Secretary and which shall be 
adequate to assure the effective conduct of the State's vending facility 
program (including State licensing agency procedures covering the 
conduct of full evidentiary hearings) and the operation of each vending 
facility in accordance with this part and with the requirements and 
conditions of each department, agency, and instrumentality in control of 
the maintenance, operation, and protection of Federal property, 
including the conditions contained in permits, as well as in all 
applicable Federal and State laws, local ordinances and regulations.
    (b) Such rules and regulations and amendments thereto shall be filed 
or published in accordance with State law.
    (c) Such rules and regulations shall include provisions adequate to 
insure that the right, title to, and interest in each vending facility 
used in the program and the stock will be vested in accordance with the 
laws of the State in only the following:
    (1) The State licensing agency; or
    (2) Its nominee, subject to the conditions specified in 
Sec. 395.15(b); or
    (3) The vendor, in accordance with State determination.
    (d) Notwithstanding the provisions of paragraph (c) of this section, 
any right, title to, or interest which existed on June 30, 1955, in 
stock may continue so long as:
    (1) The interest is in the stock of a facility established under the 
program prior to July 1, 1955, and
    (2) The vendor was licensed in the program (whether or not for the 
operation of the vending facility in question) prior to July 1, 1955.



Sec. 395.5  Approval of application for designation as State licensing agency.

    When the Secretary determines that an application submitted by a 
State

[[Page 490]]

vocational rehabilitation agency under Sec. 395.2, and the accompanying 
rules and regulations indicate a plan of program operations which will 
stimulate and enlarge the economic opportunities for the blind, and 
which will meet all other requirements of this part, he shall approve 
the application and shall designate the applying State vocational 
rehabilitation agency as the State licensing agency.



Sec. 395.6  Vendor ownership of vending facilities.

    (a) If a State licensing agency determines under Sec. 395.4(c) that 
the right, title to, and interest in a vending facility may be vested in 
the blind vendor, the State licensing agency shall enter into a written 
agreement with each vendor who is to have such ownership. Such agreement 
shall contain in full the terms and conditions governing such ownership 
in accordance with criteria in the State licensing agency's regulations, 
this part, and the terms and conditions of the permit. The criteria 
established to govern the determination that the title may be so vested 
shall contain reasonable provisions to enable a vendor to purchase 
vending facility equipment and to ensure that no individual will be 
denied the opportunity to become a vendor because of his inability to 
purchase the vending facility equipment or the initial stock;
    (b) The State licensing agency shall establish in writing and 
maintain policies determining whether the vendor-owner or the State 
licensing agency shall be required to maintain the vending facility in 
good repair and in an attractive condition and replace worn-out or 
obsolete equipment; and if the former, such policies shall provide that 
upon such vendor-owner's failure to do so, the State licensing agency 
may make the necessary maintenance, replacement, or repairs and make 
equitable arrangements for reimbursement;
    (c) Where the vendor owns such equipment and is required to maintain 
the vending facility in good repair and in an attractive condition and 
replace worn-out or obsolete equipment, or agrees to purchase additional 
new equipment, service charges for such purposes shall be equitably 
reduced and the method for determining such amount shall be established 
by the State licensing agency in writing;
    (d) Where the vendor owns such equipment, the State licensing agency 
shall retain a first option to repurchase such equipment, and in the 
event the vendor-owner dies, or for any other reason ceases to be a 
licensee, or transfers to another vending facility, ownership of such 
equipment shall become vested in the State licensing agency for transfer 
to a successor licensee subject to an obligation on its part to pay to 
such vendor-owner or his estate, the fair value therein; and
    (e) The vendor-owner, his personal representative or next of kin 
shall be entitled to an opportunity for a full evidentiary hearing with 
respect to the determination of the amount to be paid by the State 
licensing agency for a vendor's ownership in the equipment. When the 
vendor-owner is dissatisfied with any decision rendered as a result of 
such hearing, he may file a complaint with the Secretary under 
Sec. 395.13 to request the convening of an ad hoc arbitration panel.



Sec. 395.7  The issuance and conditions of licenses.

    (a) The State licensing agency shall establish in writing and 
maintain objective criteria for licensing qualified applicants, 
including a provision for giving preference to blind persons who are in 
need of employment. Such criteria shall also include provisions to 
assure that licenses will be issued only to persons who are determined 
by the State licensing agency to be:
    (1) Blind;
    (2) Citizens of the United States; and
    (3) Certified by the State vocational rehabilitation agency as 
qualified to operate a vending facility.
    (b) The State licensing agency shall provide for the issuance of 
licenses for an indefinite period but subject to suspension or 
termination if, after affording the vendor an opportunity for a full 
evidentiary hearing, the State licensing agency finds that the vending 
facility is not being operated in accordance with its rules and 
regulations, the terms and conditions of the permit, and the terms and 
conditions of the agreement with the vendor.

[[Page 491]]

    (c) The State licensing agency shall further establish in writing 
and maintain policies which have been developed with the active 
participation of the State Committee of Blind Vendors and which govern 
the duties, supervision, transfer, promotion, and financial 
participation of the vendors. The State licensing agency shall also 
establish procedures to assure that such policies have been explained to 
each blind vendor.



Sec. 395.8  Distribution and use of income from vending machines on Federal property.

    (a) Vending machine income from vending machines on Federal property 
which has been disbursed to the State licensing agency by a property 
managing department, agency, or instrumentality of the United States 
under Sec. 395.32 shall accrue to each blind vendor operating a vending 
facility on such Federal property in each State in an amount not to 
exceed the average net income of the total number of blind vendors 
within such State, as determined each fiscal year on the basis of each 
prior year's operation, except that vending machine income shall not 
accrue to any blind vendor in any amount exceeding the average net 
income of the total number of blind vendors in the United States. No 
blind vendor shall receive less vending machine income than he was 
receiving during the calendar year prior to January 1, 1974, as a direct 
result of any limitation imposed on such income under this paragraph. No 
limitation shall be imposed on income from vending machines, combined to 
create a vending facility, when such facility is maintained, serviced, 
or operated by a blind vendor. Vending machine income disbursed by a 
property managing department, agency or instrumentality of the United 
States to a State licensing agency in excess of the amounts eligible to 
accrue to blind vendors in accordance with this paragraph shall be 
retained by the appropriate State licensing agency.
    (b) The State licensing agency shall disburse vending machine income 
to blind vendors within the State on at least a quarterly basis.
    (c) Vending machine income which is retained under paragraph (a) of 
this section by a State licensing agency shall be used by such agency 
for the establishment and maintenance of retirement or pension plans, 
for health insurance contributions, and for the provision of paid sick 
leave and vacation time for blind vendors in such State, if it is so 
determined by a majority vote of blind vendors licensed by the State 
licensing agency, after such agency has provided to each such vendor 
information on all matters relevant to such purposes. Any vending 
machine income not necessary for such purposes shall be used by the 
State licensing agency for the maintenance and replacement of equipment, 
the purchase of new equipment, management services, and assuring a fair 
minimum return to vendors. Any assessment charged to blind vendors by a 
State licensing agency shall be reduced pro rata in an amount equal to 
the total of such remaining vending machine income.



Sec. 395.9  The setting aside of funds by the State licensing agency.

    (a) The State licensing agency shall establish in writing the extent 
to which funds are to be set aside or caused to be set aside from the 
net proceeds of the operation of the vending facilities and, to the 
extent applicable, from vending machine income under Sec. 395.8(c) in an 
amount determined by the Secretary to be reasonable.
    (b) Funds may be set aside under paragraph (a) of this section only 
for the purposes of:
    (1) Maintenance and replacement of equipment;
    (2) The purchase of new equipment;
    (3) Management services;
    (4) Assuring a fair minimum of return to vendors; or
    (5) The establishment and maintenance of retirement or pension 
funds, health insurance contributions, and provision for paid sick leave 
and vacation time, if it is so determined by a majority vote of blind 
vendors licensed by the State licensing agency, after such agency 
provides to each such vendor information on all matters relevant to such 
proposed purposes.

[[Page 492]]

    (c) The State licensing agency shall further set out the method of 
determining the charge for each of the above purposes listed in 
paragraph (b) of this section, which will be determined with the active 
participation of the State Committee of Blind Vendors and which will be 
designed to prevent, so far as is practicable, a greater charge for any 
purpose than is reasonably required for that purpose. The State 
licensing agency shall maintain adequate records to support the 
reasonableness of the charges for each of the purposes listed in this 
section, including any reserves necessary to assure that such purposes 
can be achieved on a consistent basis.



Sec. 395.10  The maintenance and replacement of vending facility equipment.

    The State licensing agency shall maintain (or cause to be 
maintained) all vending facility equipment in good repair and in an 
attractive condition and shall replace or cause to be replaced worn-out 
and obsolete equipment as required to ensure the continued successful 
operation of the facility.



Sec. 395.11  Training program for blind individuals.

    The State licensing agency shall ensure that effective programs of 
vocational and other training services, including personal and 
vocational adjustment, books, tools, and other training materials, shall 
be provided to blind individuals as vocational rehabilitation services 
under the Rehabilitation Act of 1973 (Pub. L. 93-112), as amended by the 
Rehabilitation Act Amendments of 1974 (Pub. L. 93-516). Such programs 
shall include on-the-job training in all aspects of vending facility 
operation for blind persons with the capacity to operate a vending 
facility, and upward mobility training (including further education and 
additional training or retraining for improved work opportunities) for 
all blind licensees. The State licensing agency shall further ensure 
that post-employment services shall be provided to blind vendors as 
vocational rehabilitation services as necessary to assure that the 
maximum vocational potential of such vendors is achieved and suitable 
employment is maintained within the State's vending facility program.



Sec. 395.12  Access to program and financial information.

    Each blind vendor under this part shall be provided access to all 
financial data of the State licensing agency relevant to the operation 
of the State vending facility program, including quarterly and annual 
financial reports, provided that such disclosure does not violate 
applicable Federal or State laws pertaining to the disclosure of 
confidential information. Insofar as practicable, such data shall be 
made available in braille or recorded tape. At the request of a blind 
vendor State licensing agency staff shall arrange a convenient time to 
assist in the interpretation of such financial data.



Sec. 395.13  Evidentiary hearings and arbitration of vendor complaints.

    (a) The State licensing agency shall specify in writing and maintain 
procedures whereby such agency affords an opportunity for a full 
evidentiary hearing to each blind vendor (which procedures shall also 
apply to cases under Sec. 395.6(e)) dissatisfied with any State 
licensing agency action arising from the operation or administration of 
the vending facility program. When such blind vendor is dissatisfied 
with any action taken or decision rendered as a result of such hearing, 
he may file a complaint with the Secretary. Such complaint shall be 
accompanied by all available supporting documents, including a statement 
of the decision which was rendered and the reasons in support thereof.
    (b) The filing of a complaint under paragraph (a) of this section 
with either the State licensing agency or the Secretary shall indicate 
consent by the blind vendor for the release of such information as is 
necessary for the conduct of a full evidentiary hearing or the hearing 
of an ad hoc arbitration panel.
    (c) Upon receipt of a complaint filed by a blind vendor which meets 
the requirements established by the Secretary, the Secretary shall 
convene an ad hoc arbitration panel which shall, in accordance with the 
provisions of 5 U.S.C. chapter 5, subchapter II, give notice, conduct a 
hearing, and render its decision which shall be final and binding on the 
parties except that such

[[Page 493]]

decision shall be subject to appeal and review as a final agency action 
for purposes of the provisions of 5 U.S.C. chapter 7.
    (d) The arbitration panel convened by the Secretary to hear the 
grievances of blind vendors shall be composed of three members appointed 
as follows:
    (1) One individual designated by the State licensing agency;
    (2) One individual designated by the blind vendor; and
    (3) One individual not employed by the State licensing agency or, 
where appropriate, its parent agency, who shall be jointly designated by 
the other members of the panel and who shall serve as chairman of the 
panel.
    (e) If either the State licensing agency or the blind vendor fails 
to designate a member of an arbitration panel, the Secretary shall 
designate such member on behalf of such party.
    (f) The decisions of an arbitration panel convened by the Secretary 
under this section shall be matters of public record and shall be 
published in the Federal Register.
    (g) The Secretary shall pay all reasonable costs of arbitration 
under this section in accordance with a schedule of fees and expenses 
which shall be published in the Federal Register.
    (h) The provisions of this section shall not require the 
participation of grantors of permits for the operation of vending 
facilities on property other than Federal property.



Sec. 395.14  The State Committee of Blind Vendors.

    (a) The State licensing agency shall provide for the biennial 
election of a State Committee of Blind Vendors which, to the extent 
possible, shall be fully representative of all blind vendors in the 
State program on the basis of such factors as geography and vending 
facility type with a goal of providing for proportional representation 
of blind vendors on Federal property and blind vendors on other 
property. Participation by any blind vendor in any election shall not be 
conditioned upon the payment of dues or any other fees.
    (b) The State Committee of Blind Vendors shall:
    (1) Actively participate with the State licensing agency in major 
administrative decisions and policy and program development decisions 
affecting the overall administration of the State's vending facility 
program;
    (2) Receive and transmit to the State licensing agency grievances at 
the request of blind vendors and serve as advocates for such vendors in 
connection with such grievances;
    (3) Actively participate with the State licensing agency in the 
development and administration of a State system for the transfer and 
promotion of blind vendors;
    (4) Actively participate with the State licensing agency in the 
development of training and retraining programs for blind vendors; and
    (5) Sponsor, with the assistance of the State licensing agency, 
meetings and instructional conferences for blind vendors within the 
State.



Sec. 395.15  Use of nominee agreements.

    (a) The State licensing agency may enter into an agreement whereby 
another agency or organization undertakes to furnish services to blind 
vendors. Such agreement shall be in writing and shall contain provisions 
which:
    (1) Clearly insure the retention by the State licensing agency of 
full responsibility for the administration and operation of all phases 
of the program;
    (2) Specify the type and extent of the services to be provided under 
such agreement;
    (3) Provide that no set-aside charges will be collected from blind 
vendors except as specified in such agreement;
    (4) Specify that no nominee will be allowed to exercise any function 
with respect to funds for the purchase of new equipment or for assuring 
a fair minimum of return to vendors, except to collect and hold solely 
for disposition in accordance with the order of the State licensing 
agency any charges authorized for those purposes by the licensing 
agency; and
    (5) Specify that only the State licensing agency shall have control 
with respect to selection, placement, transfer, financial participation 
and termination of the vendors, and the preservation, utilization, and 
disposition of program assets.
    (b) If the State licensing agency permits any agency or organization 
other

[[Page 494]]

than a vendor to hold any right, title to, or interest in vending 
facilities or stock, the arrangement shall be one permitted by State law 
and shall specify in writing that all such right, title to, or interest 
is held by such agency or organization as the nominee of the State 
licensing agency for program purposes and subject to the paramount right 
of the State licensing agency to direct and control the use, transfer, 
and disposition of such vending facilities or stock.



Sec. 395.16  Permit for the establishment of vending facilities.

    Prior to the establishment of each vending facility, other than a 
cafeteria, the State licensing agency shall submit an application for a 
permit setting forth the location, the amount of space necessary for the 
operation of the vending facility; the type of facility and equipment, 
the number, location and type of vending machines and other terms and 
conditions desired to be included in the permit. Such application shall 
be submitted for the approval of the head of the Federal property 
managing department, agency, or instrumentality. When an application is 
not approved, the head of the Federal property managing department, 
agency, or instrumentality shall advise the State licensing agency in 
writing and shall indicate the reasons for the disapproval.



Sec. 395.17  Suspension of designation as State licensing agency.

    (a) If the Secretary has reason to believe that, in the 
administration of the program, there is a failure on the part of any 
State licensing agency to comply substantially with the Act and this 
part, he shall so inform such agency in writing, setting forth, in 
detail, the areas in which there is such failure and giving it a 
reasonable opportunity to comply.
    (b) If, after the lapse of a reasonable time, the Secretary is of 
the opinion that such failure to comply still continues and that the 
State licensing agency is not taking the necessary steps to comply, he 
shall offer to such agency, by reasonable notice in writing thereto and 
to the chief executive of the State, an opportunity for a hearing before 
the Secretary (or person designated by the Secretary) to determine 
whether there is a failure on the part of such agency to comply 
substantially with the provisions of the Act and of this part.
    (c) If it is thereupon determined that there is a failure on the 
part of such agency to comply substantially with the Act and this part, 
appropriate written notice shall be given to such agency and to the 
chief executive of the State suspending such agency's designation as 
licensing agency effective 90 days from the date of such notice. A copy 
of such written notice shall be given to each department, agency, or 
instrumentality of the United States responsible for the maintenance, 
operation, and protection of Federal property on which vending machines 
subject to the requirements of Sec. 395.32 are located in the State. 
Upon the suspension of such designation, vending machine income from 
vending machines on Federal property due for accrual to the State 
licensing agency under Sec. 395.32 shall be retained in escrow by such 
department, agency, or instrumentality of the United States responsible 
for the maintenance, operation and protection of the Federal property on 
which such vending machines are located, pending redesignation of the 
State licensing agency or rescission of the suspension under paragraph 
(e) of this section.
    (d) If, before the expiration of such 90 days, the Secretary (or 
person designated by him) determines that the State licensing agency is 
taking the necessary steps to comply, he may postpone the effective date 
of such suspension for such time as he deems necessary in the best 
interest of the program.
    (e) If, prior to the effective date of such suspension, the 
Secretary (or person designated by him) finds that there is no longer a 
failure on the part of the State licensing agency to comply 
substantially with the provisions of the Act and this part, he shall so 
notify the agency, the chief executive of the State, and each Federal 
department, agency, or instrumentality required to place funds in escrow 
under paragraph (c) of this section, in which event the suspension of 
the designation shall not

[[Page 495]]

become effective and the requirement to place funds in escrow shall be 
terminated.



                 Subpart C--Federal Property Management



Sec. 395.30  The location and operation of vending facilities for blind vendors on Federal property.

    (a) Each department, agency, or instrumentality of the United States 
in control of the maintenance, operation, and protection of Federal 
property shall take all steps necessary to assure that, wherever 
feasible, in light of appropriate space and potential patronage, one or 
more vending facilities for operation by blind licensees shall be 
located on all Federal property Provided that the location or operation 
of such facility or facilities would not adversely affect the interests 
of the United States. Blind persons licensed by State licensing agencies 
shall be given priority in the operation of vending facilities on any 
Federal property.
    (b) Any limitation on the location or operation of a vending 
facility for blind vendors by a department, agency or instrumentality of 
the United States based on a finding that such location or operation or 
type of location or operation would adversely affect the interests of 
the United States shall be fully justified in writing to the Secretary 
who shall determine whether such limitation is warranted. A 
determination made by the Secretary concerning such limitation shall be 
binding on any department, agency, or instrumentality of the United 
States affected by such determination. The Secretary shall publish such 
determination in the Federal Register along with supporting documents 
directly relating to the determination.
    (c) Priority in the operation of vending facilities in areas 
administered by the National Park Service or the National Aeronautics 
and Space Administration shall be given to blind vendors. Priority in 
the awarding of contracts for the operation of concessions in such areas 
when such concessions provide accommodations, facilities, and services 
of a scope or of a character not generally available in vending 
facilities operated by blind vendors shall be given in accordance with 
the provisions of the Concession Policy Act (Pub. L. 98-249, 16 U.S.C. 
1) or the National Aeronautics and Space Act of 1958, as amended (Pub. 
L. 85-568, 42 U.S.C. 2473). The provisions of this part shall not apply 
when all accommodations, facilities, or services in such areas are 
operated by a single responsible concessioner.



Sec. 395.31  Acquisition and occupation of Federal property.

    (a) Effective January 2, 1975, no department, agency, or 
instrumentality of the United States shall undertake to acquire by 
ownership, rent, or lease, or to otherwise occupy, in whole or in part, 
any building unless it is determined that such building includes a 
satisfactory site or sites for the location and operation of a vending 
facility by a blind vendor. In those cases where a purchase contract, an 
agreement to lease, or other similar commitment was entered into prior 
to January 2, 1975, the provisions of this paragraph shall not apply.
    (b) Effective January 2, 1975, no department, agency, or 
instrumentality of the United States, shall undertake to occupy, in 
whole or in part, any building which is to be constructed, substantially 
altered, or renovated, or in the case of a building which is occupied on 
January 2, 1975 by a department, agency, or instrumentality of the 
United States, no such department, agency, or instrumentality shall 
undertake to substantially alter or renovate such building, unless it is 
determined that the design for such construction, substantial 
alteration, or renovation includes a satisfactory site or sites for the 
location and operation of a vending facility by a blind vendor. In those 
cases where a design contract or other similar commitment was entered 
into prior to January 2, 1975, the provisions of this paragraph shall 
not apply. For purposes of this paragraph, substantial alteration or 
renovation of a building means a permanent material change in the floor 
area of such building which would render such building appropriate for 
the location and operation of a vending facility by a blind vendor.
    (c) The determination that a building contains a satisfactory site 
or sites

[[Page 496]]

under paragraph (a) or (b) of this section shall be made after 
consultation between the State licensing agency and the head of the 
department, agency, or instrumentality of the United States which is 
planning to acquire or otherwise occupy such building. In order to make 
such determination, effective on the publication date of this part each 
such department, agency, or instrumentality shall provide to the 
appropriate State licensing agency written notice of its intention to 
acquire or otherwise occupy such building. Such written notice shall be 
by certified or registered mail with return receipt and shall be 
provided as early as practicable but no later than 60 days prior to such 
intended action. The written notice shall indicate that a satisfactory 
site or sites for the location and operation of a vending facility by 
blind persons is included in the plans for the building to be acquired 
or otherwise occupied and shall further assure that the State licensing 
agency shall be afforded the opportunity to determine whether such 
building includes a satisfactory site or sites for a vending facility. 
The written notice shall further assure that the State licensing agency, 
subject to the approval of the head of the Federal property managing 
department, agency, or instrumentality, shall be offered the opportunity 
to select the location and type of vending facility to be operated by a 
blind vendor prior to the completion of the final space layout of the 
building. The receipt of such written notice shall be acknowledged in 
writing promptly by the State licensing agency but no later than within 
30 days and the State licensing agency shall indicate at that time 
whether it is interested in establishing a vending facility. A copy of 
the written notice to the State licensing agency and the State licensing 
agency's acknowledgement shall be provided to the Secretary.
    (d) When, after a written notice has been provided under paragraph 
(c) of this section, the State licensing agency determines that the 
number of persons using the Federal property is or will be insufficient 
to support a vending facility, and the Secretary concurs with such 
determination, the provisions of paragraphs (a) and (b) of this section 
shall not apply. The provisions of paragraphs (a) and (b) of this 
section shall also not apply when fewer than 100 Federal Government 
employees are or will be located during normal working hours in the 
building to be acquired or otherwise occupied or when such building 
contains less than 15,000 square feet of interior space to be utilized 
for Federal Government purposes in the case of buildings in which 
services are to be provided to the public.
    (e) The operation of a vending facility established under pre-
existing arrangements shall not be affected by the provisions of this 
section. The provisions of this section shall further not preclude 
future arrangements under which vending facilities to be operated by 
blind vendors may be established in buildings of a size or with an 
employee population less than that specified in paragraph (d) of this 
section: Provided, That both the State licensing agency and the Federal 
property managing department, agency or instrumentality concur in such 
establishment.
    (f) Each department, agency, and instrumentality of the United 
States, when leasing property in privately owned buildings, shall make 
every effort to lease property capable of accommodating a vending 
facility. When, however, such department, agency, or instrumentality is 
leasing part of a privately owned building in which prior to the 
execution of the lease, the lessor or any of his tenants had in 
operation or had entered into a contract for the operation of a 
restaurant or other food facility in a part of the building not included 
in such lease and the operation of a vending facility by a blind vendor 
would be in proximate and substantial direct competition with such 
restaurant or other food facility, the provisions of paragraphs (a), 
(b), and (c) of this section shall not apply.



Sec. 395.32  Collection and distribution of vending machine income from vending machines on Federal property.

    (a) The on-site official responsible for the Federal property of 
each property managing department, agency, or instrumentality of the 
United States, in accordance with established procedures

[[Page 497]]

of such department, agency, or instrumentality, shall be responsible for 
the collection of, and accounting for, vending machine income from 
vending machines on Federal property under his control and shall 
otherwise ensure compliance with the provisions of this section.
    (b) Effective January 2, 1975, 100 per centum of all vending machine 
income from vending machines on Federal property which are in direct 
competition with a vending facility operated by a blind vendor shall 
accure to the State licensing agency which shall disburse such income to 
such blind vendor operating such vending facility on such property 
provided that the total amount of such income accruing to such blind 
vendor does not exceed the maximum amount determined under 
Sec. 395.8(a). In the event that there is income from such vending 
machines in excess of the maximum amount which may be disbursed to the 
blind vendor under Sec. 395.8(a), such additional income shall accrue to 
the State licensing agency for purposes determined in accordance with 
Sec. 395.8(c).
    (c) Effective January 2, 1975, 50 per centum of all vending machine 
income from vending machines on Federal property which are not in direct 
competition with a vending facility operated by a blind vendor shall 
accrue to the State licensing agency which shall disburse such income to 
the blind vendor operating such vending facility on such property. In 
the event that there is no blind vendor, such income shall accrue to the 
State licensing agency, except as indicated under paragraph (d) of this 
section. The total amount of such income disbursed to such blind vendor 
shall not exceed the maximum amount determined under Sec. 395.8(a). In 
the event that there is income from such vending machines in excess of 
the maximum amount which may accrue to the blind vendor under 
Sec. 395.8(a), such additional income shall accrue to the State 
licensing agency for purposes determined in accordance with 
Sec. 395.8(c).
    (d) Effective January 2, 1975, 30 per centum of all vending machine 
income from vending machines, which are not in direct competition with a 
vending facility operated by a blind vendor and which are on Federal 
property at which at least 50 per centum of the total hours worked on 
the premises occurs during a period other than normal working hours, 
shall accrue to the State licensing agency which shall disburse such 
income to the blind vendor operating a vending facility on such 
property. In the event that there is no blind vendor on such property, 
such income shall accrue to the State licensing agency. The total amount 
of such income disbursed to such blind vendor shall not exceed the 
maximum amount determined under Sec. 395.8(a). In the event that there 
is income from such vending machines in excess of the maximum amount 
which may be disbursed to the blind vendor under Sec. 395.8(a), such 
additional income shall accrue to the State licensing agency for 
purposes determined in accordance with Sec. 395.8(c).
    (e) The determination that a vending machine on Federal property is 
in direct competition with a vending facility operated by a blind vendor 
shall be the responsibility of the on-site official responsible for the 
Federal property of each property managing department, agency or 
instrumentality of the United States, subject to the concurrence of the 
State licensing agency.
    (f) In the case of vending machine income which, prior to the 
effective date of this part, has been disbursed to a blind vendor by a 
property managing department, agency, or instrumentality from proceeds 
which accrued from operations subsequent to January 2, 1975, pursuant to 
agreements in effect prior to such time, such income may be deducted, at 
the discretion of such property managing department, agency or 
instrumentality, from vending machine income due to the State licensing 
agency under paragraphs (b), (c), or (d) of this section.
    (g) The collection of vending machine income and its disbursement to 
the appropriate State licensing agency shall be conducted on at least a 
quarterly basis.
    (h) All arrangements pertaining to the operation of vending machines 
on Federal property not covered by contract with, or by permits issued 
to, State licensing agencies, shall be renegotiated upon the expiration 
of the

[[Page 498]]

existing contract or other arrangement for consistency with the 
provisions of this section.
    (i) The provisions of this section shall not apply to income from 
vending machines within operated retail sales outlets under the control 
of post exchange or ships' stores systems authorized under title 10 
U.S.C.; to income from vending machines operated by the Veterans Canteen 
Service; or to income from vending machines not in direct competition 
with a blind vending facility at individual locations, installations, or 
facilities on Federal property the total of which at such individual 
locations, installations, or facilities does not exceed $3,000 annually.
    (j) The provisions of this section shall not operate to preclude 
pre-existing or future arrangements, or regulations of departments, 
agencies, or instrumentalities of the United States, under which blind 
vendors or State licensing agencies may:
    (1) Receive a greater percentage or amount of vending machine income 
than that specified in paragraphs (b), (c), and (d) of this section, or
    (2) Receive vending machine income from individual locations, 
installations, or facilities on Federal property the total of which at 
such individual locations, installations, or facilities does not exceed 
$3,000 annually.



Sec. 395.33  Operation of cafeterias by blind vendors.

    (a) Priority in the operation of cafeterias by blind vendors on 
Federal property shall be afforded when the Secretary determines, on an 
individual basis, and after consultation with the appropriate property 
managing department, agency, or instrumentality, that such operation can 
be provided at a reasonable cost, with food of a high quality comparable 
to that currently provided employees, whether by contract or otherwise. 
Such operation shall be expected to provide maximum employment 
opportunities to blind vendors to the greatest extent possible.
    (b) In order to establish the ability of blind vendors to operate a 
cafeteria in such a manner as to provide food service at comparable cost 
and of comparable high quality as that available from other providers of 
cafeteria services, the appropriate State licensing agency shall be 
invited to respond to solicitations for offers when a cafeteria contract 
is contemplated by the appropriate property managing department, agency, 
or instrumentality. Such solicitations for offers shall establish 
criteria under which all responses will be judged. Such criteria may 
include sanitation practices, personnel, staffing, menu pricing and 
portion sizes, menu variety, budget and accounting practices. If the 
proposal received from the State licensing agency is judged to be within 
a competitive range and has been ranked among those proposals which have 
a reasonable chance of being selected for final award, the property 
managing department, agency, or instrumentality shall consult with the 
Secretary as required under paragraph (a) of this section. If the State 
licensing agency is dissatisfied with an action taken relative to its 
proposal, it may file a complaint with the Secretary under the 
provisions of Sec. 395.37.
    (c) All contracts or other existing arrangements pertaining to the 
operation of cafeterias on Federal property not covered by contract 
with, or by permits issued to, State licensing agencies shall be 
renegotiated subsequent to the effective date of this part on or before 
the expiration of such contracts or other arrangements pursuant to the 
provisions of this section.
    (d) Notwithstanding the requirements of paragraphs (a) and (b) of 
this section, Federal property managing departments, agencies, and 
instrumentalities may afford priority in the operation of cafeterias by 
blind vendors on Federal property through direct negotiations with State 
licensing agencies whenever such department, agency, or instrumentality 
determines, on an individual basis, that such operation can be provided 
at a reasonable cost, with food of a high quality comparable to that 
currently provided employees: Provided, however, That the provisions of 
paragraphs (a) and (b) of this section shall apply in the event that the 
negotiations authorized by this paragraph do not result in a contract.

[[Page 499]]



Sec. 395.34  Application for permits.

    Applications for permits for the operation of vending facilities 
other than cafeterias shall be made in writing on the appropriate form, 
and submitted for the review and approval of the head of the Federal 
property managing department, agency, or instrumentality.



Sec. 395.35  Terms of permit.

    Every permit shall describe the location of the vending facility 
including any vending machines located on other than the facility 
premises and shall be subject to the following provisions:
    (a) The permit shall be issued in the name of the applicant State 
licensing agency which shall:
    (1) Prescribe such procedures as are necessary to assure that in the 
selection of vendors and employees for vending facilities there shall be 
no discrimination because of sex, race, age, creed, color, national 
origin, physical or mental disability, or political affiliation; and
    (2) Take the necessary action to assure that vendors do not 
discriminate against any person or persons in furnishing, or by refusing 
to furnish, to such person or persons the use of any vending facility, 
including any and all services, privileges, accommodations, and 
activities provided thereby, and comply with title VI of the Civil 
Rights Act of 1964 and regulations issued pursuant thereto.
    (b) The permit shall be issued for an indefinite period of time 
subject to suspension or termination on the basis of compliance with 
agreed upon terms.
    (c) The permit shall provide that:
    (1) No charge shall be made to the State licensing agency for normal 
cleaning, maintenance, and repair of the building structure in and 
adjacent to the vending facility areas;
    (2) Cleaning necessary for sanitation, and the maintenance of 
vending facilities and vending machines in an orderly condition at all 
times, and the installation, maintenance, repair, replacement, 
servicing, and removal of vending facility equipment shall be without 
cost to the department, agency, or instrumentality responsible for the 
maintenance of the Federal property; and
    (3) Articles sold at vending facilities operated by blind licensees 
may consist of newspapers, periodicals, publications, confections, 
tobacco products, foods, beverages, chances for any lottery authorized 
by State law and conducted by an agency of a State within such State, 
and other articles or services as are determined by the State licensing 
agency, in consultation with the on-site official responsible for the 
Federal property of the property managing department, agency or 
instrumentality, to be suitable for a particular location. Such articles 
and services may be dispensed automatically or manually and may be 
prepared on or off the premises in accordance with all applicable health 
laws.
    (d) The permit shall further provide that vending facilities shall 
be operated in compliance with applicable health, sanitation, and 
building codes or ordinances.
    (e) The permit shall further provide that installation, 
modification, relocation, removal, and renovation of vending facilities 
shall be subject to the prior approval and supervision of the on-site 
official responsible for the Federal property of the property managing 
department, agency, or instrumentality, and the State licensing agency; 
that costs of relocations initiated by the State licensing agency shall 
be paid by the State licensing agency; and that costs of relocations 
initiated by the department, agency, or instrumentality shall be borne 
by such department, agency, or instrumentality.
    (f) The operation of a cafeteria by a blind vendor shall be covered 
by a contractual agreement and not by a permit.



Sec. 395.36  Enforcement procedures.

    (a) The State licensing agency shall attempt to resolve day-to-day 
problems pertaining to the operation of the vending facility in an 
informal manner with the participation of the blind vendor and the on-
site official responsible for the property of the property managing 
department, agency, or instrumentality as necessary.
    (b) Unresolved disagreements concerning the terms of the permit, the 
Act, or the regulations in this part and any other unresolved matters 
shall be

[[Page 500]]

reported in writing to the State licensing agency supervisory personnel 
by the Regional or other appropriate official of the Federal property 
managing department, agency, or instrumentality in an attempt to resolve 
the issue.



Sec. 395.37  Arbitration of State licensing agency complaints.

    (a) Whenever any State licensing agency determines that any 
department, agency, or instrumentality of the United States which has 
control of the maintenance, operation, and protection of Federal 
property is failing to comply with the provisions of the Act or of this 
part and all informal attempts to resolve the issues have been 
unsuccessful, such licensing agency may file a complaint with the 
Secretary.
    (b) Upon receipt of a complaint filed under paragraph (a) of this 
section, the Secretary shall convene an ad hoc arbitration panel which 
shall, in accordance with the provisions of 5 U.S.C. ch. 5, subchapter 
II, give notice, conduct a hearing and render its decision which shall 
be final and binding on the parties except that such decision shall be 
subject to appeal and review as a final agency action for purposes of 
the provisions of 5 U.S.C. ch. 7. The arbitration panel convened by the 
Secretary to hear complaints filed by a State licensing agency shall be 
composed of three members appointed as follows:
    (1) One individual designated by the State licensing agency;
    (2) One individual designated by the head of the Federal department, 
agency, or instrumentality controlling the Federal property over which 
the dispute arose; and
    (3) One individual, not employed by the Federal department, agency, 
or instrumentality controlling the Federal property over which the 
dispute arose, who shall be jointly designated by the other members of 
the panel and who shall serve as chairman of the panel.
    (c) If either the State licensing agency or the head of the Federal 
department, agency, or instrumentality fails to designate a member of an 
arbitration panel, the Secretary shall designate such member on behalf 
of such party.
    (d) If the panel finds that the acts or practices of any department, 
agency, or instrumentality are in violation of the Act or of this part, 
the head of any such department, agency, or instrumentality (subject to 
any appeal under paragraph (b) of this section) shall cause such acts or 
practices to be terminated promptly and shall take such other action as 
may be necessary to carry out the decision of the panel.
    (e) The decisions of an arbitration panel convened by the Secretary 
under this section shall be matters of public record and shall be 
published in the Federal Register.
    (f) The Secretary shall pay all reasonable costs of arbitration 
under this section in accordance with a schedule of fees and expenses 
which shall be published in the Federal Register.



Sec. 395.38  Reports.

    At the end of each fiscal year, each property managing department, 
agency, or instrumentality of the United States shall report to the 
Secretary the total number of applications for vending facility 
locations received from State licensing agencies, the number accepted, 
the number denied, the number still pending, the total amount of vending 
machine income collected and the amount of such vending machine income 
disbursed to the State licensing agency in each State.



PART 396--TRAINING OF INTERPRETERS FOR INDIVIDUALS WHO ARE DEAF AND INDIVIDUALS WHO ARE DEAF-BLIND--Table of Contents




                           Subpart A--General

Sec.
396.1  What is the Training of Interpreters for Individuals Who Are Deaf 
          and Individuals Who Are Deaf-Blind Program?
396.2  Who is eligible for an award?
396.3  What regulations apply?
396.4  What definitions apply?
396.5  What activities may the Secretary fund?

                          Subpart B--[Reserved]

               Subpart C--How Does One Apply for an Award?

396.20  What must be included in an application?

[[Page 501]]

            Subpart D--How Does the Secretary Make an Award?

396.30  How does the Secretary evaluate an application?
396.31  What additional selection criteria are used under this program?
396.32  What additional factors does the Secretary consider in making 
          awards?
396.33  What priorities does the Secretary apply in making awards?

    Authority: 29 U.S.C. 771a(f), unless otherwise noted.

    Source: 59 FR 52220, Oct. 14, 1994, unless otherwise noted.



                           Subpart A--General



Sec. 396.1  What is the Training of Interpreters for Individuals Who Are Deaf and Individuals Who Are Deaf-Blind program?

    The Training of Interpreters for Individuals Who Are Deaf and 
Individuals Who Are Deaf-Blind program is designed to establish 
interpreter training programs or to assist ongoing programs to train a 
sufficient number of skilled interpreters throughout the country in 
order to meet the communication needs of individuals who are deaf and 
individuals who are deaf-blind by--
    (a) Training manual, tactile, oral, and cued speech interpreters;
    (b) Ensuring the maintenance of the skills of interpreters; and
    (c) Providing opportunities for interpreters to raise their level of 
competence.

(Authority: 29 U.S.C. 771a(f))



Sec. 396.2  Who is eligible for an award?

    Public and private nonprofit agencies and organizations, including 
institutions of higher education, are eligible for assistance under this 
program.

(Authority: 29 U.S.C. 771a(f))



Sec. 396.3  What regulations apply?

    The following regulations apply to the Training of Interpreters for 
Individuals Who Are Deaf and Individuals Who Are Deaf-Blind program:
    (a) The Education Department General Administrative Regulations 
(EDGAR) as follows:
    (1) 34 CFR part 74 (Administration of Grants to Institutions of 
Higher Education, Hospitals, and Nonprofit Organizations).
    (2) 34 CFR part 75 (Direct Grant Programs).
    (3) 34 CFR part 77 (Definitions That Apply to Department 
Regulations).
    (4) 34 CFR part 79 (Intergovernmental Review of Department of 
Education Programs and Activities).
    (5) 34 CFR part 80 (Uniform Administrative Requirements for Grants 
and Cooperative Agreements to State and Local Governments).
    (6) 34 CFR part 81 (General Education Provisions Act--Enforcement).
    (7) 34 CFR part 82 (New Restrictions on Lobbying).
    (8) 34 CFR part 85 (Government Debarment and Suspension 
(Nonprocurement) and Governmentwide Requirements for Drug-Free Workplace 
(Grants)).
    (9) 34 CFR part 86 (Drug-Free Schools and Campuses).
    (b) The regulations in this part 396.
    (c) The following regulations in 34 CFR part 385:
    (1) Section 385.32.
    (2) Section 385.40.
    (3) Section 385.44.
    (4) Section 385.45.
    (5) Section 385.46.

(Authority: 29 U.S.C. 771a(f))



Sec. 396.4  What definitions apply?

    (a) Definitions in EDGAR. The following terms defined in 34 CFR 77.1 
apply to this part:

Applicant
Application
Award
Equipment
Grant
Nonprofit
Private
Project
Public
Secretary
Supplies

    (b) Definitions in the rehabilitation training regulations. The 
following terms defined in 34 CFR 385.4(b) apply to this part:
    Individual With a Disability
    Institution of Higher Education
    (c) Other definitions. The following definitions also apply to this 
part:
    Existing program that has demonstrated its capacity for providing 
interpreter

[[Page 502]]

training services means an established program with--
    (1) A record of training interpreters who are serving the deaf and 
deaf-blind communities; and
    (2) An established curriculum that is suitable for training 
interpreters.
    Individual who is deaf means an individual who has a hearing 
impairment of such severity that the individual must depend primarily 
upon visual modes, such as sign language, lip reading, and gestures, or 
reading and writing to facilitate communication.
    Individual who is deaf-blind means an individual--
    (1)(i) Who has a central visual acuity of 20/200 or less in the 
better eye with corrective lenses, or a field defect such that the 
peripheral diameter of visual field subtends an angular distance no 
greater than 20 degrees, or a progressive visual loss having a prognosis 
leading to one or both of these conditions;
    (ii) Who has a chronic hearing impairment so severe that most speech 
cannot be understood with optimum amplification, or a progressive 
hearing loss having a prognosis leading to this condition; and
    (iii) For whom the combination of impairments described in 
paragraphs (1)(i) and (ii) of this definition causes extreme difficulty 
in attaining independence in daily life activities, achieving 
psychosocial adjustment, or obtaining a vocation;
    (2) Who, despite the inability to be measured accurately for hearing 
and vision loss due to cognitive or behavioral constraints, or both, can 
be determined through functional and performance assessment to have 
severe hearing and visual disabilities that cause extreme difficulty in 
attaining independence in daily life activities, achieving psychosocial 
adjustment, or obtaining vocational objectives; or
    (3) Who meets any other requirements that the Secretary may 
prescribe.
    Interpreter for individuals who are deaf means a qualified 
professional who uses sign language skills, cued speech, or oral 
interpreting skills, as appropriate to the needs of individuals who are 
deaf, to facilitate communication between individuals who are deaf and 
other individuals.
    Interpreter for individuals who are deaf-blind means a qualified 
professional who uses tactile or other manual language or fingerspelling 
modes, as appropriate to the needs of individuals who are deaf-blind, to 
facilitate communication between individuals who are deaf-blind and 
other individuals.
    Qualified professional means an individual who has either--
    (1) Met existing national or state certification or evaluation 
requirements; or
    (2) Successfully demonstrated equivalent interpreting skills through 
prior work experience.

(Authority: 29 U.S.C. 711(c) and 771a(f); 29 U.S.C 1905)



Sec. 396.5  What activities may the Secretary fund?

    The Secretary provides assistance for projects that provide training 
in interpreting skills for persons preparing to serve, and persons who 
are already serving, as interpreters for individuals who are deaf and as 
interpreters for individuals who are deaf-blind in public and private 
agencies, schools, and other service-providing institutions.

(Authority: 29 U.S.C. 771a(f))



                          Subpart B--[Reserved]



               Subpart C--How Does One Apply for an Award?



Sec. 396.20  What must be included in an application?

    Each applicant shall include in the application--
    (a) A description of the manner in which the proposed interpreter 
training program will be developed and operated during the five-year 
period following the award of the grant;
    (b) A description of the geographical area to be served by the 
project;
    (c) A description of the applicant's capacity or potential for 
providing training for interpreters for individuals who are deaf and 
interpreters for individuals who are deaf-blind;

[[Page 503]]

    (d) An assurance that any interpreter trained or retrained under 
this program shall meet any minimum standards of competency that the 
Secretary may establish;
    (e) An assurance that the project shall cooperate or coordinate its 
activities, as appropriate, with the activities of other projects funded 
under this program; and
    (f) The descriptions required in 34 CFR 385.45 with regard to the 
training of individuals with disabilities, including those from minority 
groups, for rehabilitation careers.

(Approved by the Office of Management and Budget under control number 
1820-0018)

(Authority: 29 U.S.C. 718b(b)(6), 777a(a)(5), and 771a(f))



            Subpart D--How Does the Secretary Make an Award?



Sec. 396.30  How does the Secretary evaluate an application?

    (a) The Secretary evaluates applications under the procedures in 34 
CFR part 75.
    (b) The Secretary evaluates each application using selection 
criteria in Sec. 396.31.
    (c) In addition to the selection criteria described in paragraph (b) 
of this section, the Secretary evaluates each application using--
    (1) Selection criteria in 34 CFR 75.210;
    (2) Selection criteria established under 34 CFR 75.209; or
    (3) A combination of selection criteria established under 34 CFR 
75.209 and selection criteria in 34 CFR 75.210.

(Authority: 29 U.S.C. 771a(f))

[62 FR 10406, Mar. 6, 1997]



Sec. 396.31  What additional selection criteria are used under this program?

    In addition to the criteria in 34 CFR 396.30(c), the Secretary uses 
the following additional selection criterion to evaluate an application:
    (a) Demonstrated relationships with service providers and consumers. 
The Secretary reviews each application to determine the extent to 
which--
    (1) The proposed interpreter training project was developed in 
consultation with service providers;
    (2) The training is appropriate to the needs of both individuals who 
are deaf and individuals who are deaf-blind and to the needs of public 
and private agencies that provide services to either individuals who are 
deaf or individuals who are deaf-blind in the geographical area to be 
served by the training project;
    (3) There is a working relationship between the interpreter training 
project and service providers; and
    (4) There are opportunities for individuals who are deaf and 
individuals who are deaf-blind to be involved in the training project.

(Authority: 29 U.S.C. 771a(f))

[62 FR 10406, Mar. 6, 1997]



Sec. 396.32  What additional factors does the Secretary consider in making awards?

    In addition to the selection criteria listed in Sec. 396.31 and 34 
CFR 75.210, the Secretary, in making awards under this part, considers 
the geographical distribution of projects throughout the country, as 
appropriate, in order to best carry out the purposes of this program. To 
accomplish this, the Secretary may in any fiscal year make awards of 
regional or national scope.

(Authority: 29 U.S.C. 771a(f))

[59 FR 52220, Oct. 14, 1994, as amended at 62 FR 10406, Mar. 6, 1997]



Sec. 396.33  What priorities does the Secretary apply in making awards?

    The Secretary, in making awards under this part, gives priority to 
public or private nonprofit agencies or organizations with existing 
programs that have demonstrated their capacity for providing interpreter 
training services.

(Authority: 29 U.S.C. 771a(f))



PARTS 397--399 [RESERVED]



[[Page 505]]



                              FINDING AIDS




  --------------------------------------------------------------------

  A list of CFR titles, subtitles, chapters, subchapters, and parts and 
an alphabetical list of agencies publishing in the CFR are included in 
the CFR Index and Finding Aids volume to the Code of Federal Regulations 
which is published separately and revised annually.

  Table of CFR Titles and Chapters
  Alphabetical List of Agencies Appearing in the CFR
  List of CFR Sections Affected



[[Page 507]]



                    Table of CFR Titles and Chapters




                      (Revised as of June 20, 1997)

                      Title 1--General Provisions

         I  Administrative Committee of the Federal Register 
                (Parts 1--49)
        II  Office of the Federal Register (Parts 50--299)
        IV  Miscellaneous Agencies (Parts 400--500)

                          Title 2--[Reserved]

                        Title 3--The President

         I  Executive Office of the President (Parts 100--199)

                           Title 4--Accounts

         I  General Accounting Office (Parts 1--99)
        II  Federal Claims Collection Standards (General 
                Accounting Office--Department of Justice) (Parts 
                100--299)

                   Title 5--Administrative Personnel

         I  Office of Personnel Management (Parts 1--1199)
        II  Merit Systems Protection Board (Parts 1200--1299)
       III  Office of Management and Budget (Parts 1300--1399)
        IV  Advisory Committee on Federal Pay (Parts 1400--1499)
         V  The International Organizations Employees Loyalty 
                Board (Parts 1500--1599)
        VI  Federal Retirement Thrift Investment Board (Parts 
                1600--1699)
       VII  Advisory Commission on Intergovernmental Relations 
                (Parts 1700--1799)
      VIII  Office of Special Counsel (Parts 1800--1899)
        IX  Appalachian Regional Commission (Parts 1900--1999)
        XI  Armed Forces Retirement Home (Part 2100)
       XIV  Federal Labor Relations Authority, General Counsel of 
                the Federal Labor Relations Authority and Federal 
                Service Impasses Panel (Parts 2400--2499)
        XV  Office of Administration, Executive Office of the 
                President (Parts 2500--2599)
       XVI  Office of Government Ethics (Parts 2600--2699)
       XXI  Department of the Treasury (Parts 3100--3199)
      XXII  Federal Deposit Insurance Corporation (Part 3201)
     XXIII  Department of Energy (Part 3301)

[[Page 508]]

      XXIV  Federal Energy Regulatory Commission (Part 3401)
      XXVI  Department of Defense (Part 3601)
    XXVIII  Department of Justice (Part 3801)
      XXIX  Federal Communications Commission (Parts 3900--3999)
       XXX  Farm Credit System Insurance Corporation (Parts 4000--
                4099)
      XXXI  Farm Credit Administration (Parts 4100--4199)
    XXXIII  Overseas Private Investment Corporation (Part 4301)
      XXXV  Office of Personnel Management (Part 4501)
        XL  Interstate Commerce Commission (Part 5001)
       XLI  Commodity Futures Trading Commission (Part 5101)
      XLII  Department of Labor (Part 5201)
     XLIII  National Science Foundation (Part 5301)
       XLV  Department of Health and Human Services (Part 5501)
      XLVI  Postal Rate Commission (Part 5601)
     XLVII  Federal Trade Commission (Part 5701)
    XLVIII  Nuclear Regulatory Commission (Part 5801)
         L  Department of Transportation (Part 6001)
       LII  Export-Import Bank of the United States (Part 6201)
      LIII  Department of Education (Parts 6300--6399)
       LIV  Environmental Protection Agency (Part 6401)
      LVII  General Services Administration (Part 6701)
     LVIII  Board of Governors of the Federal Reserve System (Part 
                6801)
       LIX  National Aeronautics and Space Administration (Part 
                6901)
        LX  United States Postal Service (Part 7001)
       LXI  National Labor Relations Board (Part 7101)
      LXII  Equal Employment Opportunity Commission (Part 7201)
     LXIII  Inter-American Foundation (Part 7301)
       LXV  Department of Housing and Urban Development (Part 
                7501)
      LXVI  National Archives and Records Administration (Part 
                7601)
      LXIX  Tennessee Valley Authority (Part 7901)
      LXXI  Consumer Product Safety Commission (Part 8101)
     LXXIV  Federal Mine Safety and Health Review Commission (Part 
                8401)
     LXXVI  Federal Retirement Thrift Investment Board (Part 8601)
    LXXVII  Office of Management and Budget (Part 8701)

                          Title 6--[Reserved]

                         Title 7--Agriculture

            Subtitle A--Office of the Secretary of Agriculture 
                (Parts 0--26)
            Subtitle B--Regulations of the Department of 
                Agriculture
         I  Agricultural Marketing Service (Standards, 
                Inspections, Marketing Practices), Department of 
                Agriculture (Parts 27--209)
        II  Food and Consumer Service, Department of Agriculture 
                (Parts 210--299)

[[Page 509]]

       III  Animal and Plant Health Inspection Service, Department 
                of Agriculture (Parts 300--399)
        IV  Federal Crop Insurance Corporation, Department of 
                Agriculture (Parts 400--499)
         V  Agricultural Research Service, Department of 
                Agriculture (Parts 500--599)
        VI  Natural Resources Conservation Service, Department of 
                Agriculture (Parts 600--699)
       VII  Farm Service Agency, Department of Agriculture (Parts 
                700--799)
      VIII  Grain Inspection, Packers and Stockyards 
                Administration (Federal Grain Inspection Service), 
                Department of Agriculture (Parts 800--899)
        IX  Agricultural Marketing Service (Marketing Agreements 
                and Orders; Fruits, Vegetables, Nuts), Department 
                of Agriculture (Parts 900--999)
         X  Agricultural Marketing Service (Marketing Agreements 
                and Orders; Milk), Department of Agriculture 
                (Parts 1000--1199)
        XI  Agricultural Marketing Service (Marketing Agreements 
                and Orders; Miscellaneous Commodities), Department 
                of Agriculture (Parts 1200--1299)
      XIII  Northeast Dairy Compact Commission (Parts 1300--1399)
       XIV  Commodity Credit Corporation, Department of 
                Agriculture (Parts 1400--1499)
        XV  Foreign Agricultural Service, Department of 
                Agriculture (Parts 1500--1599)
       XVI  Rural Telephone Bank, Department of Agriculture (Parts 
                1600--1699)
      XVII  Rural Utilities Service, Department of Agriculture 
                (Parts 1700--1799)
     XVIII  Rural Housing Service, Rural Business-Cooperative 
                Service, Rural Utilities Service, and Farm Service 
                Agency, Department of Agriculture (Parts 1800--
                2099)
      XXVI  Office of Inspector General, Department of Agriculture 
                (Parts 2600--2699)
     XXVII  Office of Information Resources Management, Department 
                of Agriculture (Parts 2700--2799)
    XXVIII  Office of Operations, Department of Agriculture (Parts 
                2800--2899)
      XXIX  Office of Energy, Department of Agriculture (Parts 
                2900--2999)
       XXX  Office of Finance and Management, Department of 
                Agriculture (Parts 3000--3099)
      XXXI  Office of Environmental Quality, Department of 
                Agriculture (Parts 3100--3199)
     XXXII  [Reserved]
    XXXIII  Office of Transportation, Department of Agriculture 
                (Parts 3300--3399)
     XXXIV  Cooperative State Research, Education, and Extension 
                Service, Department of Agriculture (Parts 3400--
                3499)

[[Page 510]]

      XXXV  Rural Housing Service, Department of Agriculture 
                (Parts 3500--3599)
     XXXVI  National Agricultural Statistics Service, Department 
                of Agriculture (Parts 3600--3699)
    XXXVII  Economic Research Service, Department of Agriculture 
                (Parts 3700--3799)
   XXXVIII  World Agricultural Outlook Board, Department of 
                Agriculture (Parts 3800--3899)
       XLI  [Reserved]
      XLII  Rural Business-Cooperative Service and Rural Utilities 
                Service, Department of Agriculture (Parts 4200--
                4299)

                    Title 8--Aliens and Nationality

         I  Immigration and Naturalization Service, Department of 
                Justice (Parts 1--499)

                 Title 9--Animals and Animal Products

         I  Animal and Plant Health Inspection Service, Department 
                of Agriculture (Parts 1--199)
        II  Grain Inspection, Packers and Stockyards 
                Administration (Packers and Stockyards Programs), 
                Department of Agriculture (Parts 200--299)
       III  Food Safety and Inspection Service, Meat and Poultry 
                Inspection, Department of Agriculture (Parts 300--
                599)

                           Title 10--Energy

         I  Nuclear Regulatory Commission (Parts 0--199)
        II  Department of Energy (Parts 200--699)
       III  Department of Energy (Parts 700--999)
         X  Department of Energy (General Provisions) (Parts 
                1000--1099)
        XI  United States Enrichment Corporation (Parts 1100--
                1199)
        XV  Office of the Federal Inspector for the Alaska Natural 
                Gas Transportation System (Parts 1500--1599)
      XVII  Defense Nuclear Facilities Safety Board (Parts 1700--
                1799)

                      Title 11--Federal Elections

         I  Federal Election Commission (Parts 1--9099)

                      Title 12--Banks and Banking

         I  Comptroller of the Currency, Department of the 
                Treasury (Parts 1--199)
        II  Federal Reserve System (Parts 200--299)
       III  Federal Deposit Insurance Corporation (Parts 300--399)
        IV  Export-Import Bank of the United States (Parts 400--
                499)

[[Page 511]]

         V  Office of Thrift Supervision, Department of the 
                Treasury (Parts 500--599)
        VI  Farm Credit Administration (Parts 600--699)
       VII  National Credit Union Administration (Parts 700--799)
      VIII  Federal Financing Bank (Parts 800--899)
        IX  Federal Housing Finance Board (Parts 900--999)
        XI  Federal Financial Institutions Examination Council 
                (Parts 1100--1199)
       XIV  Farm Credit System Insurance Corporation (Parts 1400--
                1499)
        XV  Thrift Depositor Protection Oversight Board (Parts 
                1500--1599)
      XVII  Office of Federal Housing Enterprise Oversight, 
                Department of Housing and Urban Development (Parts 
                1700-1799)
     XVIII  Community Development Financial Institutions Fund, 
                Department of the Treasury (Parts 1800--1899)

               Title 13--Business Credit and Assistance

         I  Small Business Administration (Parts 1--199)
       III  Economic Development Administration, Department of 
                Commerce (Parts 300--399)

                    Title 14--Aeronautics and Space

         I  Federal Aviation Administration, Department of 
                Transportation (Parts 1--199)
        II  Office of the Secretary, Department of Transportation 
                (Aviation Proceedings) (Parts 200--399)
       III  Commercial Space Transportation, Federal Aviation 
                Administration, Department of Transportation 
                (Parts 400--499)
         V  National Aeronautics and Space Administration (Parts 
                1200--1299)

                 Title 15--Commerce and Foreign Trade

            Subtitle A--Office of the Secretary of Commerce (Parts 
                0--29)
            Subtitle B--Regulations Relating to Commerce and 
                Foreign Trade
         I  Bureau of the Census, Department of Commerce (Parts 
                30--199)
        II  National Institute of Standards and Technology, 
                Department of Commerce (Parts 200--299)
       III  International Trade Administration, Department of 
                Commerce (Parts 300--399)
        IV  Foreign-Trade Zones Board, Department of Commerce 
                (Parts 400--499)
       VII  Bureau of Export Administration, Department of 
                Commerce (Parts 700--799)
      VIII  Bureau of Economic Analysis, Department of Commerce 
                (Parts 800--899)
        IX  National Oceanic and Atmospheric Administration, 
                Department of Commerce (Parts 900--999)

[[Page 512]]

        XI  Technology Administration, Department of Commerce 
                (Parts 1100--1199)
      XIII  East-West Foreign Trade Board (Parts 1300--1399)
       XIV  Minority Business Development Agency (Parts 1400--
                1499)
            Subtitle C--Regulations Relating to Foreign Trade 
                Agreements
        XX  Office of the United States Trade Representative 
                (Parts 2000--2099)
            Subtitle D--Regulations Relating to Telecommunications 
                and Information
     XXIII  National Telecommunications and Information 
                Administration, Department of Commerce (Parts 
                2300--2399)

                    Title 16--Commercial Practices

         I  Federal Trade Commission (Parts 0--999)
        II  Consumer Product Safety Commission (Parts 1000--1799)

             Title 17--Commodity and Securities Exchanges

         I  Commodity Futures Trading Commission (Parts 1--199)
        II  Securities and Exchange Commission (Parts 200--399)
        IV  Department of the Treasury (Parts 400--499)

          Title 18--Conservation of Power and Water Resources

         I  Federal Energy Regulatory Commission, Department of 
                Energy (Parts 1--399)
       III  Delaware River Basin Commission (Parts 400--499)
        VI  Water Resources Council (Parts 700--799)
      VIII  Susquehanna River Basin Commission (Parts 800--899)
      XIII  Tennessee Valley Authority (Parts 1300--1399)

                       Title 19--Customs Duties

         I  United States Customs Service, Department of the 
                Treasury (Parts 1--199)
        II  United States International Trade Commission (Parts 
                200--299)
       III  International Trade Administration, Department of 
                Commerce (Parts 300--399)

                     Title 20--Employees' Benefits

         I  Office of Workers' Compensation Programs, Department 
                of Labor (Parts 1--199)
        II  Railroad Retirement Board (Parts 200--399)
       III  Social Security Administration (Parts 400--499)
        IV  Employees' Compensation Appeals Board, Department of 
                Labor (Parts 500--599)
         V  Employment and Training Administration, Department of 
                Labor (Parts 600--699)

[[Page 513]]

        VI  Employment Standards Administration, Department of 
                Labor (Parts 700--799)
       VII  Benefits Review Board, Department of Labor (Parts 
                800--899)
      VIII  Joint Board for the Enrollment of Actuaries (Parts 
                900--999)
        IX  Office of the Assistant Secretary for Veterans' 
                Employment and Training, Department of Labor 
                (Parts 1000--1099)

                       Title 21--Food and Drugs

         I  Food and Drug Administration, Department of Health and 
                Human Services (Parts 1--1299)
        II  Drug Enforcement Administration, Department of Justice 
                (Parts 1300--1399)
       III  Office of National Drug Control Policy (Parts 1400--
                1499)

                      Title 22--Foreign Relations

         I  Department of State (Parts 1--199)
        II  Agency for International Development, International 
                Development Cooperation Agency (Parts 200--299)
       III  Peace Corps (Parts 300--399)
        IV  International Joint Commission, United States and 
                Canada (Parts 400--499)
         V  United States Information Agency (Parts 500--599)
        VI  United States Arms Control and Disarmament Agency 
                (Parts 600--699)
       VII  Overseas Private Investment Corporation, International 
                Development Cooperation Agency (Parts 700--799)
        IX  Foreign Service Grievance Board Regulations (Parts 
                900--999)
         X  Inter-American Foundation (Parts 1000--1099)
        XI  International Boundary and Water Commission, United 
                States and Mexico, United States Section (Parts 
                1100--1199)
       XII  United States International Development Cooperation 
                Agency (Parts 1200--1299)
      XIII  Board for International Broadcasting (Parts 1300--
                1399)
       XIV  Foreign Service Labor Relations Board; Federal Labor 
                Relations Authority; General Counsel of the 
                Federal Labor Relations Authority; and the Foreign 
                Service Impasse Disputes Panel (Parts 1400--1499)
        XV  African Development Foundation (Parts 1500--1599)
       XVI  Japan-United States Friendship Commission (Parts 
                1600--1699)
      XVII  United States Institute of Peace (Parts 1700--1799)

                          Title 23--Highways

         I  Federal Highway Administration, Department of 
                Transportation (Parts 1--999)
        II  National Highway Traffic Safety Administration and 
                Federal Highway Administration, Department of 
                Transportation (Parts 1200--1299)

[[Page 514]]

       III  National Highway Traffic Safety Administration, 
                Department of Transportation (Parts 1300--1399)

                Title 24--Housing and Urban Development

            Subtitle A--Office of the Secretary, Department of 
                Housing and Urban Development (Parts 0--99)
            Subtitle B--Regulations Relating to Housing and Urban 
                Development
         I  Office of Assistant Secretary for Equal Opportunity, 
                Department of Housing and Urban Development (Parts 
                100--199)
        II  Office of Assistant Secretary for Housing-Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Parts 200--299)
       III  Government National Mortgage Association, Department 
                of Housing and Urban Development (Parts 300--399)
         V  Office of Assistant Secretary for Community Planning 
                and Development, Department of Housing and Urban 
                Development (Parts 500--599)
        VI  Office of Assistant Secretary for Community Planning 
                and Development, Department of Housing and Urban 
                Development (Parts 600--699) [Reserved]
       VII  Office of the Secretary, Department of Housing and 
                Urban Development (Housing Assistance Programs and 
                Public and Indian Housing Programs) (Parts 700--
                799)
      VIII  Office of the Assistant Secretary for Housing--Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Section 8 Housing Assistance 
                Programs and Section 202 Direct Loan Program) 
                (Parts 800--899)
        IX  Office of Assistant Secretary for Public and Indian 
                Housing, Department of Housing and Urban 
                Development (Parts 900--999)
         X  Office of Assistant Secretary for Housing--Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Interstate Land Sales 
                Registration Program) (Parts 1700--1799)
       XII  Office of Inspector General, Department of Housing and 
                Urban Development (Parts 2000--2099)
        XX  Office of Assistant Secretary for Housing--Federal 
                Housing Commissioner, Department of Housing and 
                Urban Development (Parts 3200--3899)
       XXV  Neighborhood Reinvestment Corporation (Parts 4100--
                4199)

                           Title 25--Indians

         I  Bureau of Indian Affairs, Department of the Interior 
                (Parts 1--299)
        II  Indian Arts and Crafts Board, Department of the 
                Interior (Parts 300--399)
       III  National Indian Gaming Commission, Department of the 
                Interior (Parts 500--599)
        IV  Office of Navajo and Hopi Indian Relocation (Parts 
                700--799)

[[Page 515]]

         V  Bureau of Indian Affairs, Department of the Interior, 
                and Indian Health Service, Department of Health 
                and Human Services (Part 900)
        VI  Office of the Assistant Secretary-Indian Affairs, 
                Department of the Interior (Part 1001)
       VII  Office of the Special Trustee for American Indians, 
                Department of the Interior (Part 1200)

                      Title 26--Internal Revenue

         I  Internal Revenue Service, Department of the Treasury 
                (Parts 1--799)

           Title 27--Alcohol, Tobacco Products and Firearms

         I  Bureau of Alcohol, Tobacco and Firearms, Department of 
                the Treasury (Parts 1--299)

                   Title 28--Judicial Administration

         I  Department of Justice (Parts 0--199)
       III  Federal Prison Industries, Inc., Department of Justice 
                (Parts 300--399)
         V  Bureau of Prisons, Department of Justice (Parts 500--
                599)
        VI  Offices of Independent Counsel, Department of Justice 
                (Parts 600--699)
       VII  Office of Independent Counsel (Parts 700--799)

                            Title 29--Labor

            Subtitle A--Office of the Secretary of Labor (Parts 
                0--99)
            Subtitle B--Regulations Relating to Labor
         I  National Labor Relations Board (Parts 100--199)
        II  Office of Labor-Management Standards, Department of 
                Labor (Parts 200--299)
       III  National Railroad Adjustment Board (Parts 300--399)
        IV  Office of Labor-Management Standards, Department of 
                Labor (Parts 400--499)
         V  Wage and Hour Division, Department of Labor (Parts 
                500--899)
        IX  Construction Industry Collective Bargaining Commission 
                (Parts 900--999)
         X  National Mediation Board (Parts 1200--1299)
       XII  Federal Mediation and Conciliation Service (Parts 
                1400--1499)
       XIV  Equal Employment Opportunity Commission (Parts 1600--
                1699)
      XVII  Occupational Safety and Health Administration, 
                Department of Labor (Parts 1900--1999)
        XX  Occupational Safety and Health Review Commission 
                (Parts 2200--2499)
       XXV  Pension and Welfare Benefits Administration, 
                Department of Labor (Parts 2500--2599)

[[Page 516]]

     XXVII  Federal Mine Safety and Health Review Commission 
                (Parts 2700--2799)
        XL  Pension Benefit Guaranty Corporation (Parts 4000--
                4999)

                      Title 30--Mineral Resources

         I  Mine Safety and Health Administration, Department of 
                Labor (Parts 1--199)
        II  Minerals Management Service, Department of the 
                Interior (Parts 200--299)
       III  Board of Surface Mining and Reclamation Appeals, 
                Department of the Interior (Parts 300--399)
        IV  Geological Survey, Department of the Interior (Parts 
                400--499)
        VI  Bureau of Mines, Department of the Interior (Parts 
                600--699)
       VII  Office of Surface Mining Reclamation and Enforcement, 
                Department of the Interior (Parts 700--999)

                 Title 31--Money and Finance: Treasury

            Subtitle A--Office of the Secretary of the Treasury 
                (Parts 0--50)
            Subtitle B--Regulations Relating to Money and Finance
         I  Monetary Offices, Department of the Treasury (Parts 
                51--199)
        II  Fiscal Service, Department of the Treasury (Parts 
                200--399)
        IV  Secret Service, Department of the Treasury (Parts 
                400--499)
         V  Office of Foreign Assets Control, Department of the 
                Treasury (Parts 500--599)
        VI  Bureau of Engraving and Printing, Department of the 
                Treasury (Parts 600--699)
       VII  Federal Law Enforcement Training Center, Department of 
                the Treasury (Parts 700--799)
      VIII  Office of International Investment, Department of the 
                Treasury (Parts 800--899)

                      Title 32--National Defense

            Subtitle A--Department of Defense
         I  Office of the Secretary of Defense (Parts 1--399)
         V  Department of the Army (Parts 400--699)
        VI  Department of the Navy (Parts 700--799)
       VII  Department of the Air Force (Parts 800--1099)
            Subtitle B--Other Regulations Relating to National 
                Defense
       XII  Defense Logistics Agency (Parts 1200--1299)
       XVI  Selective Service System (Parts 1600--1699)
       XIX  Central Intelligence Agency (Parts 1900--1999)
        XX  Information Security Oversight Office, National 
                Archives and Records Administration (Parts 2000--
                2099)
       XXI  National Security Council (Parts 2100--2199)

[[Page 517]]

      XXIV  Office of Science and Technology Policy (Parts 2400--
                2499)
     XXVII  Office for Micronesian Status Negotiations (Parts 
                2700--2799)
    XXVIII  Office of the Vice President of the United States 
                (Parts 2800--2899)
      XXIX  Presidential Commission on the Assignment of Women in 
                the Armed Forces (Part 2900)

               Title 33--Navigation and Navigable Waters

         I  Coast Guard, Department of Transportation (Parts 1--
                199)
        II  Corps of Engineers, Department of the Army (Parts 
                200--399)
        IV  Saint Lawrence Seaway Development Corporation, 
                Department of Transportation (Parts 400--499)

                          Title 34--Education

            Subtitle A--Office of the Secretary, Department of 
                Education (Parts 1--99)
            Subtitle B--Regulations of the Offices of the 
                Department of Education
         I  Office for Civil Rights, Department of Education 
                (Parts 100--199)
        II  Office of Elementary and Secondary Education, 
                Department of Education (Parts 200--299)
       III  Office of Special Education and Rehabilitative 
                Services, Department of Education (Parts 300--399)
        IV  Office of Vocational and Adult Education, Department 
                of Education (Parts 400--499)
         V  Office of Bilingual Education and Minority Languages 
                Affairs, Department of Education (Parts 500--599)
        VI  Office of Postsecondary Education, Department of 
                Education (Parts 600--699)
       VII  Office of Educational Research and Improvement, 
                Department of Education (Parts 700--799)
        XI  National Institute for Literacy (Parts 1100-1199)
            Subtitle C--Regulations Relating to Education
       XII  National Council on Disability (Parts 1200--1299)

                        Title 35--Panama Canal

         I  Panama Canal Regulations (Parts 1--299)

             Title 36--Parks, Forests, and Public Property

         I  National Park Service, Department of the Interior 
                (Parts 1--199)
        II  Forest Service, Department of Agriculture (Parts 200--
                299)
       III  Corps of Engineers, Department of the Army (Parts 
                300--399)
        IV  American Battle Monuments Commission (Parts 400--499)
         V  Smithsonian Institution (Parts 500--599)
       VII  Library of Congress (Parts 700--799)

[[Page 518]]

      VIII  Advisory Council on Historic Preservation (Parts 800--
                899)
        IX  Pennsylvania Avenue Development Corporation (Parts 
                900--999)
        XI  Architectural and Transportation Barriers Compliance 
                Board (Parts 1100--1199)
       XII  National Archives and Records Administration (Parts 
                1200--1299)
       XIV  Assassination Records Review Board (Parts 1400-1499)

             Title 37--Patents, Trademarks, and Copyrights

         I  Patent and Trademark Office, Department of Commerce 
                (Parts 1--199)
        II  Copyright Office, Library of Congress (Parts 200--299)
        IV  Assistant Secretary for Technology Policy, Department 
                of Commerce (Parts 400--499)
         V  Under Secretary for Technology, Department of Commerce 
                (Parts 500--599)

           Title 38--Pensions, Bonuses, and Veterans' Relief

         I  Department of Veterans Affairs (Parts 0--99)

                       Title 39--Postal Service

         I  United States Postal Service (Parts 1--999)
       III  Postal Rate Commission (Parts 3000--3099)

                  Title 40--Protection of Environment

         I  Environmental Protection Agency (Parts 1--799)
         V  Council on Environmental Quality (Parts 1500--1599)

          Title 41--Public Contracts and Property Management

            Subtitle B--Other Provisions Relating to Public 
                Contracts
        50  Public Contracts, Department of Labor (Parts 50-1--50-
                999)
        51  Committee for Purchase From People Who Are Blind or 
                Severely Disabled (Parts 51-1--51-99)
        60  Office of Federal Contract Compliance Programs, Equal 
                Employment Opportunity, Department of Labor (Parts 
                60-1--60-999)
        61  Office of the Assistant Secretary for Veterans 
                Employment and Training, Department of Labor 
                (Parts 61-1--61-999)
            Subtitle C--Federal Property Management Regulations 
                System
       101  Federal Property Management Regulations (Parts 101-1--
                101-99)
       105  General Services Administration (Parts 105-1--105-999)
       109  Department of Energy Property Management Regulations 
                (Parts 109-1--109-99)
       114  Department of the Interior (Parts 114-1--114-99)
       115  Environmental Protection Agency (Parts 115-1--115-99)
       128  Department of Justice (Parts 128-1--128-99)

[[Page 519]]

            Subtitle D--Other Provisions Relating to Property 
                Management [Reserved]
            Subtitle E--Federal Information Resources Management 
                Regulations System
       201  Federal Information Resources Management Regulation 
                (Parts 201-1--201-99) [Reserved]
            Subtitle F--Federal Travel Regulation System
       301  Travel Allowances (Parts 301-1--301-99)
       302  Relocation Allowances (Parts 302-1--302-99)
       303  Payment of Expenses Connected with the Death of 
                Certain Employees (Parts 303-1--303-2)
       304  Payment from a Non-Federal Source for Travel Expenses 
                (Parts 304-1--304-99)

                        Title 42--Public Health

         I  Public Health Service, Department of Health and Human 
                Services (Parts 1--199)
        IV  Health Care Financing Administration, Department of 
                Health and Human Services (Parts 400--499)
         V  Office of Inspector General-Health Care, Department of 
                Health and Human Services (Parts 1000--1999)

                   Title 43--Public Lands: Interior

            Subtitle A--Office of the Secretary of the Interior 
                (Parts 1--199)
            Subtitle B--Regulations Relating to Public Lands
         I  Bureau of Reclamation, Department of the Interior 
                (Parts 200--499)
        II  Bureau of Land Management, Department of the Interior 
                (Parts 1000--9999)
       III  Utah Reclamation Mitigation and Conservation 
                Commission (Parts 10000--10005)

             Title 44--Emergency Management and Assistance

         I  Federal Emergency Management Agency (Parts 0--399)
        IV  Department of Commerce and Department of 
                Transportation (Parts 400--499)

                       Title 45--Public Welfare

            Subtitle A--Department of Health and Human Services 
                (Parts 1--199)
            Subtitle B--Regulations Relating to Public Welfare
        II  Office of Family Assistance (Assistance Programs), 
                Administration for Children and Families, 
                Department of Health and Human Services (Parts 
                200--299)
       III  Office of Child Support Enforcement (Child Support 
                Enforcement Program), Administration for Children 
                and Families, Department of Health and Human 
                Services (Parts 300--399)

[[Page 520]]

        IV  Office of Refugee Resettlement, Administration for 
                Children and Families Department of Health and 
                Human Services (Parts 400--499)
         V  Foreign Claims Settlement Commission of the United 
                States, Department of Justice (Parts 500--599)
        VI  National Science Foundation (Parts 600--699)
       VII  Commission on Civil Rights (Parts 700--799)
      VIII  Office of Personnel Management (Parts 800--899)
         X  Office of Community Services, Administration for 
                Children and Families, Department of Health and 
                Human Services (Parts 1000--1099)
        XI  National Foundation on the Arts and the Humanities 
                (Parts 1100--1199)
       XII  ACTION (Parts 1200--1299)
      XIII  Office of Human Development Services, Department of 
                Health and Human Services (Parts 1300--1399)
       XVI  Legal Services Corporation (Parts 1600--1699)
      XVII  National Commission on Libraries and Information 
                Science (Parts 1700--1799)
     XVIII  Harry S. Truman Scholarship Foundation (Parts 1800--
                1899)
       XXI  Commission on Fine Arts (Parts 2100--2199)
      XXII  Christopher Columbus Quincentenary Jubilee Commission 
                (Parts 2200--2299)
     XXIII  Arctic Research Commission (Part 2301)
      XXIV  James Madison Memorial Fellowship Foundation (Parts 
                2400--2499)
       XXV  Corporation for National and Community Service (Parts 
                2500--2599)

                          Title 46--Shipping

         I  Coast Guard, Department of Transportation (Parts 1--
                199)
        II  Maritime Administration, Department of Transportation 
                (Parts 200--399)
        IV  Federal Maritime Commission (Parts 500--599)

                      Title 47--Telecommunication

         I  Federal Communications Commission (Parts 0--199)
        II  Office of Science and Technology Policy and National 
                Security Council (Parts 200--299)
       III  National Telecommunications and Information 
                Administration, Department of Commerce (Parts 
                300--399)

           Title 48--Federal Acquisition Regulations System

         1  Federal Acquisition Regulation (Parts 1--99)
         2  Department of Defense (Parts 200--299)
         3  Department of Health and Human Services (Parts 300--
                399)

[[Page 521]]

         4  Department of Agriculture (Parts 400--499)
         5  General Services Administration (Parts 500--599)
         6  Department of State (Parts 600--699)
         7  Agency for International Development (Parts 700--799)
         8  Department of Veterans Affairs (Parts 800--899)
         9  Department of Energy (Parts 900--999)
        10  Department of the Treasury (Parts 1000--1099)
        12  Department of Transportation (Parts 1200--1299)
        13  Department of Commerce (Parts 1300--1399)
        14  Department of the Interior (Parts 1400--1499)
        15  Environmental Protection Agency (Parts 1500--1599)
        16  Office of Personnel Management Federal Employees 
                Health Benefits Acquisition Regulation (Parts 
                1600--1699)
        17  Office of Personnel Management (Parts 1700--1799)
        18  National Aeronautics and Space Administration (Parts 
                1800--1899)
        19  United States Information Agency (Parts 1900--1999)
        20  Nuclear Regulatory Commission (Parts 2000--2099)
        21  Office of Personnel Management, Federal Employees 
                Group Life Insurance Federal Acquisition 
                Regulation (Parts 2100--2199)
        23  Social Security Administration (Parts 2300--2399)
        24  Department of Housing and Urban Development (Parts 
                2400--2499)
        25  National Science Foundation (Parts 2500--2599)
        28  Department of Justice (Parts 2800--2899)
        29  Department of Labor (Parts 2900--2999)
        34  Department of Education Acquisition Regulation (Parts 
                3400--3499)
        35  Panama Canal Commission (Parts 3500--3599)
        44  Federal Emergency Management Agency (Parts 4400--4499)
        51  Department of the Army Acquisition Regulations (Parts 
                5100--5199)
        52  Department of the Navy Acquisition Regulations (Parts 
                5200--5299)
        53  Department of the Air Force Federal Acquisition 
                Regulation Supplement (Parts 5300--5399)
        54  Defense Logistics Agency, Department of Defense (Part 
                5452)
        57  African Development Foundation (Parts 5700--5799)
        61  General Services Administration Board of Contract 
                Appeals (Parts 6100--6199)
        63  Department of Transportation Board of Contract Appeals 
                (Parts 6300--6399)
        99  Cost Accounting Standards Board, Office of Federal 
                Procurement Policy, Office of Management and 
                Budget (Parts 9900--9999)

[[Page 522]]

                       Title 49--Transportation

            Subtitle A--Office of the Secretary of Transportation 
                (Parts 1--99)
            Subtitle B--Other Regulations Relating to 
                Transportation
         I  Research and Special Programs Administration, 
                Department of Transportation (Parts 100--199)
        II  Federal Railroad Administration, Department of 
                Transportation (Parts 200--299)
       III  Federal Highway Administration, Department of 
                Transportation (Parts 300--399)
        IV  Coast Guard, Department of Transportation (Parts 400--
                499)
         V  National Highway Traffic Safety Administration, 
                Department of Transportation (Parts 500--599)
        VI  Federal Transit Administration, Department of 
                Transportation (Parts 600--699)
       VII  National Railroad Passenger Corporation (AMTRAK) 
                (Parts 700--799)
      VIII  National Transportation Safety Board (Parts 800--999)
         X  Surface Transportation Board, Department of 
                Transportation (Parts 1000--1399)

                   Title 50--Wildlife and Fisheries

         I  United States Fish and Wildlife Service, Department of 
                the Interior (Parts 1--199)
        II  National Marine Fisheries Service, National Oceanic 
                and Atmospheric Administration, Department of 
                Commerce (Parts 200--299)
       III  International Fishing and Related Activities (Parts 
                300--399)
        IV  Joint Regulations (United States Fish and Wildlife 
                Service, Department of the Interior and National 
                Marine Fisheries Service, National Oceanic and 
                Atmospheric Administration, Department of 
                Commerce); Endangered Species Committee 
                Regulations (Parts 400--499)
         V  Marine Mammal Commission (Parts 500--599)
        VI  Fishery Conservation and Management, National Oceanic 
                and Atmospheric Administration, Department of 
                Commerce (Parts 600--699)

                      CFR Index and Finding Aids

            Subject/Agency Index
            List of Agency Prepared Indexes
            Parallel Tables of Statutory Authorities and Rules
            Acts Requiring Publication in the Federal Register
            List of CFR Titles, Chapters, Subchapters, and Parts
            Alphabetical List of Agencies Appearing in the CFR



[[Page 523]]





           Alphabetical List of Agencies Appearing in the CFR




                      (Revised as of June 20, 1997)

                                                  CFR Title, Subtitle or
                     Agency                               Chapter

ACTION                                            45, XII
Administrative Committee of the Federal Register  1, I
Advanced Research Projects Agency                 32, I
Advisory Commission on Intergovernmental          5, VII
     Relations
Advisory Committee on Federal Pay                 5, IV
Advisory Council on Historic Preservation         36, VIII
African Development Foundation                    22, XV
  Federal Acquisition Regulation                  48, 57
Agency for International Development              22, II
  Federal Acquisition Regulation                  48, 7
Agricultural Marketing Service                    7, I, IX, X, XI
Agricultural Research Service                     7, V
Agriculture Department
  Agricultural Marketing Service                  7, I, IX, X, XI
  Agricultural Research Service                   7, V
  Animal and Plant Health Inspection Service      7, III; 9, I
  Commodity Credit Corporation                    7, XIV
  Cooperative State Research, Education, and      7, XXXIV
       Extension Service
  Economic Research Service                       7, XXXVII
  Energy, Office of                               7, XXIX
  Environmental Quality, Office of                7, XXXI
  Farm Service Agency                             7, VII, XVIII
  Federal Acquisition Regulation                  48, 4
  Federal Crop Insurance Corporation              7, IV
  Finance and Management, Office of               7, XXX
  Food and Consumer Service                       7, II
  Food Safety and Inspection Service              9, III
  Foreign Agricultural Service                    7, XV
  Forest Service                                  36, II
  Grain Inspection, Packers and Stockyards        7, VIII; 9, II
       Administration
  Information Resources Management, Office of     7, XXVII
  Inspector General, Office of                    7, XXVI
  National Agricultural Library                   7, XLI
  National Agricultural Statistics Service        7, XXXVI
  Natural Resources Conservation Service          7, VI
  Operations, Office of                           7, XXVIII
  Rural Business-Cooperative Service              7, XVIII, XLII
  Rural Development Administration                7, XLII
  Rural Housing Service                           7, XVIII, XXXV
  Rural Telephone Bank                            7, XVI
  Rural Utilities Service                         7, XVII, XVIII, XLII
  Secretary of Agriculture, Office of             7, Subtitle A
  Transportation, Office of                       7, XXXIII
  World Agricultural Outlook Board                7, XXXVIII
Air Force Department                              32, VII
  Federal Acquisition Regulation Supplement       48, 53
Alaska Natural Gas Transportation System, Office  10, XV
     of the Federal Inspector
Alcohol, Tobacco and Firearms, Bureau of          27, I
AMTRAK                                            49, VII
American Battle Monuments Commission              36, IV
American Indians, Office of the Special Trustee   25, VII

[[Page 524]]

Animal and Plant Health Inspection Service        7, III; 9, I
Appalachian Regional Commission                   5, IX
Architectural and Transportation Barriers         36, XI
     Compliance Board
Arctic Research Commission                        45, XXIII
Armed Forces Retirement Home                      5, XI
Arms Control and Disarmament Agency, United       22, VI
     States
Army Department                                   32, V
  Engineers, Corps of                             33, II; 36, III
  Federal Acquisition Regulation                  48, 51
Assassination Records Review Board                36, XIV
Benefits Review Board                             20, VII
Bilingual Education and Minority Languages        34, V
     Affairs, Office of
Blind or Severely Disabled, Committee for         41, 51
     Purchase From People Who Are
Board for International Broadcasting              22, XIII
Census Bureau                                     15, I
Central Intelligence Agency                       32, XIX
Child Support Enforcement, Office of              45, III
Children and Families, Administration for         45, II, III, IV, X
Christopher Columbus Quincentenary Jubilee        45, XXII
     Commission
Civil Rights, Commission on                       45, VII
Civil Rights, Office for                          34, I
Coast Guard                                       33, I; 46, I; 49, IV
Commerce Department                               44, IV
  Census Bureau                                   15, I`
  Economic Affairs, Under Secretary               37, V
  Economic Analysis, Bureau of                    15, VIII
  Economic Development Administration             13, III
  Emergency Management and Assistance             44, IV
  Export Administration, Bureau of                15, VII
  Federal Acquisition Regulation                  48, 13
  Fishery Conservation and Management             50, VI
  Foreign-Trade Zones Board                       15, IV
  International Trade Administration              15, III; 19, III
  National Institute of Standards and Technology  15, II
  National Marine Fisheries Service               50, II, IV
  National Oceanic and Atmospheric                15, IX; 50, II, III, IV, 
       Administration                             VI
  National Telecommunications and Information     15, XXIII; 47, III
       Administration
  National Weather Service                        15, IX
  Patent and Trademark Office                     37, I
  Productivity, Technology and Innovation,        37, IV
       Assistant Secretary for
  Secretary of Commerce, Office of                15, Subtitle A
  Technology, Under Secretary for                 37, V
  Technology Administration                       15, XI
  Technology Policy, Assistant Secretary for      37, IV
Commercial Space Transportation                   14, III
Commodity Credit Corporation                      7, XIV
Commodity Futures Trading Commission              5, XLI; 17, I
Community Planning and Development, Office of     24, V, VI
     Assistant Secretary for
Community Services, Office of                     45, X
Comptroller of the Currency                       12, I
Construction Industry Collective Bargaining       29, IX
     Commission
Consumer Product Safety Commission                5, LXXI; 16, II
Cooperative State Research, Education, and        7, XXXIV
     Extension Service
Copyright Office                                  37, II
Cost Accounting Standards Board                   48, 99
Council on Environmental Quality                  40, V
Customs Service, United States                    19, I
Defense Contract Audit Agency                     32, I
Defense Department                                5, XXVI; 32, Subtitle A
  Advanced Research Projects Agency               32, I
  Air Force Department                            32, VII
  Army Department                                 32, V; 33, II; 36, III, 
                                                  48, 51

[[Page 525]]

  Defense Intelligence Agency                     32, I
  Defense Logistics Agency                        32, I, XII; 48, 54
  Defense Mapping Agency                          32, I
  Engineers, Corps of                             33, II; 36, III
  Federal Acquisition Regulation                  48, 2
  Navy Department                                 32, VI; 48, 52
  Secretary of Defense, Office of                 32, I
Defense Contract Audit Agency                     32, I
Defense Intelligence Agency                       32, I
Defense Logistics Agency                          32, XII; 48, 54
Defense Mapping Agency                            32, I
Defense Nuclear Facilities Safety Board           10, XVII
Delaware River Basin Commission                   18, III
Drug Enforcement Administration                   21, II
East-West Foreign Trade Board                     15, XIII
Economic Affairs, Under Secretary                 37, V
Economic Analysis, Bureau of                      15, VIII
Economic Development Administration               13, III
Economic Research Service                         7, XXXVII
Education, Department of                          5, LIII
  Bilingual Education and Minority Languages      34, V
       Affairs, Office of
  Civil Rights, Office for                        34, I
  Educational Research and Improvement, Office    34, VII
       of
  Elementary and Secondary Education, Office of   34, II
  Federal Acquisition Regulation                  48, 34
  Postsecondary Education, Office of              34, VI
  Secretary of Education, Office of               34, Subtitle A
  Special Education and Rehabilitative Services,  34, III
       Office of
  Vocational and Adult Education, Office of       34, IV
Educational Research and Improvement, Office of   34, VII
Elementary and Secondary Education, Office of     34, II
Employees' Compensation Appeals Board             20, IV
Employees Loyalty Board                           5, V
Employment and Training Administration            20, V
Employment Standards Administration               20, VI
Endangered Species Committee                      50, IV
Energy, Department of                             5, XXIII; 10, II, III, X
  Federal Acquisition Regulation                  48, 9
  Federal Energy Regulatory Commission            5, XXIV; 18, I
  Property Management Regulations                 41, 109
Energy, Office of                                 7, XXIX
Engineers, Corps of                               33, II; 36, III
Engraving and Printing, Bureau of                 31, VI
Enrichment Corporation, United States             10, XI
Environmental Protection Agency                   5, LIV; 40, I
  Federal Acquisition Regulation                  48, 15
  Property Management Regulations                 41, 115
Environmental Quality, Office of                  7, XXXI
Equal Employment Opportunity Commission           5, LXII; 29, XIV
Equal Opportunity, Office of Assistant Secretary  24, I
     for
Executive Office of the President                 3, I
  Administration, Office of                       5, XV
  Environmental Quality, Council on               40, V
  Management and Budget, Office of                25, III, LXXVII; 48, 99
  National Drug Control Policy, Office of         21, III
  National Security Council                       32, XXI; 47, 2
  Presidential Documents                          3
  Science and Technology Policy, Office of        32, XXIV; 47, II
  Trade Representative, Office of the United      15, XX
       States
Export Administration, Bureau of                  15, VII
Export-Import Bank of the United States           5, LII; 12, IV
Family Assistance, Office of                      45, II
Farm Credit Administration                        5, XXXI; 12, VI
Farm Credit System Insurance Corporation          5, XXX; 12, XIV
Farm Service Agency                               7, VII, XVIII
Federal Acquisition Regulation                    48, 1
Federal Aviation Administration                   14, I

[[Page 526]]

  Commercial Space Transportation                 14, III
Federal Claims Collection Standards               4, II
Federal Communications Commission                 5, XXIX; 47, I
Federal Contract Compliance Programs, Office of   41, 60
Federal Crop Insurance Corporation                7, IV
Federal Deposit Insurance Corporation             5, XXII; 12, III
Federal Election Commission                       11, I
Federal Emergency Management Agency               44, I
  Federal Acquisition Regulation                  48, 44
Federal Employees Group Life Insurance Federal    48, 21
     Acquisition Regulation
Federal Employees Health Benefits Acquisition     48, 16
     Regulation
Federal Energy Regulatory Commission              5, XXIV; 18, I
Federal Financial Institutions Examination        12, XI
     Council
Federal Financing Bank                            12, VIII
Federal Highway Administration                    23, I, II; 49, III
Federal Home Loan Mortgage Corporation            1, IV
Federal Housing Enterprise Oversight Office       12, XVII
Federal Housing Finance Board                     12, IX
Federal Inspector for the Alaska Natural Gas      10, XV
     Transportation System, Office of
Federal Labor Relations Authority, and General    5, XIV; 22, XIV
     Counsel of the Federal Labor Relations 
     Authority
Federal Law Enforcement Training Center           31, VII
Federal Maritime Commission                       46, IV
Federal Mediation and Conciliation Service        29, XII
Federal Mine Safety and Health Review Commission  5, LXXIV; 29, XXVII
Federal Pay, Advisory Committee on                5, IV
Federal Prison Industries, Inc.                   28, III
Federal Procurement Policy Office                 48, 99
Federal Property Management Regulations           41, 101
Federal Property Management Regulations System    41, Subtitle C
Federal Railroad Administration                   49, II
Federal Register, Administrative Committee of     1, I
Federal Register, Office of                       1, II
Federal Reserve System                            12, II
  Board of Governors                              5, LVIII
Federal Retirement Thrift Investment Board        5, VI, LXXVI
Federal Service Impasses Panel                    5, XIV
Federal Trade Commission                          5, XLVII; 16, I
Federal Transit Administration                    49, VI
Federal Travel Regulation System                  41, Subtitle F
Finance and Management, Office of                 7, XXX
Fine Arts, Commission on                          45, XXI
Fiscal Service                                    31, II
Fish and Wildlife Service, United States          50, I, IV
Fishery Conservation and Management               50, VI
Food and Drug Administration                      21, I
Food and Consumer Service                         7, II
Food Safety and Inspection Service                9, III
Foreign Agricultural Service                      7, XV
Foreign Assets Control, Office of                 31, V
Foreign Claims Settlement Commission of the       45, V
     United States
Foreign Service Grievance Board                   22, IX
Foreign Service Impasse Disputes Panel            22, XIV
Foreign Service Labor Relations Board             22, XIV
Foreign-Trade Zones Board                         15, IV
Forest Service                                    36, II
General Accounting Office                         4, I, II
General Services Administration                   5, LVII
  Contract Appeals, Board of                      48, 61
  Federal Acquisition Regulation                  48, 5
  Federal Property Management Regulations System  41, 101, 105
  Federal Travel Regulation System                41, Subtitle F
  Payment From a Non-Federal Source for Travel    41, 304
       Expenses
  Payment of Expenses Connected With the Death    41, 303
       of Certain Employees
  Relocation Allowances                           41, 302

[[Page 527]]

  Travel Allowances                               41, 301
Geological Survey                                 30, IV
Government Ethics, Office of                      5, XVI
Government National Mortgage Association          24, III
Grain Inspection, Packers and Stockyards          7, VIII; 9, II
     Administration
Great Lakes Pilotage                              46, III
Harry S. Truman Scholarship Foundation            45, XVIII
Health and Human Services, Department of          5, XLV; 45, Subtitle A
  Child Support Enforcement, Office of            45, III
  Children and Families, Administration for       45, II, III, IV, X
  Community Services, Office of                   45, X
  Family Assistance, Office of                    45, II
  Federal Acquisition Regulation                  48, 3
  Food and Drug Administration                    21, I
  Health Care Financing Administration            42, IV
  Human Development Services, Office of           45, XIII
  Indian Health Service                           25, V
  Inspector General (Health Care), Office of      42, V
  Public Health Service                           42, I
  Refugee Resettlement, Office of                 45, IV
Health Care Financing Administration              42, IV
Housing and Urban Development, Department of      5, LXV; 24, Subtitle B
  Community Planning and Development, Office of   24, V, VI
       Assistant Secretary for
  Equal Opportunity, Office of Assistant          24, I
       Secretary for
  Federal Acquisition Regulation                  48, 24
  Federal Housing Enterprise Oversight, Office    12, XVII
       of
  Government National Mortgage Association        24, III
  Housing--Federal Housing Commissioner, Office   24, II, VIII, X, XX
       of Assistant Secretary for
  Inspector General, Office of                    24, XII
  Public and Indian Housing, Office of Assistant  24, IX
       Secretary for
  Secretary, Office of                            24, Subtitle A, VII
Housing--Federal Housing Commissioner, Office of  24, II, VIII, X, XX
     Assistant Secretary for
Human Development Services, Office of             45, XIII
Immigration and Naturalization Service            8, I
Independent Counsel, Office of                    28, VII
Indian Affairs, Bureau of                         25, I, V
Indian Affairs, Office of the Assistant           25, VI
     Secretary
Indian Arts and Crafts Board                      25, II
Indian Health Service                             25, V
Information Agency, United States                 22, V
  Federal Acquisition Regulation                  48, 19
Information Resources Management, Office of       7, XXVII
Information Security Oversight Office, National   32, XX
     Archives and Records Administration
Inspector General
  Agriculture Department                          7, XXVI
  Health and Human Services Department            42, V
  Housing and Urban Development Department        24, XII
Institute of Peace, United States                 22, XVII
Inter-American Foundation                         5, LXIII; 22, X
Intergovernmental Relations, Advisory Commission  5, VII
     on
Interior Department
  American Indians, Office of the Special         25, VII
       Trustee
  Endangered Species Committee                    50, IV
  Federal Acquisition Regulation                  48, 14
  Federal Property Management Regulations System  41, 114
  Fish and Wildlife Service, United States        50, I, IV
  Geological Survey                               30, IV
  Indian Affairs, Bureau of                       25, I, V
  Indian Affairs, Office of the Assistant         25, VI
       Secretary
  Indian Arts and Crafts Board                    25, II
  Land Management, Bureau of                      43, II
  Minerals Management Service                     30, II
  Mines, Bureau of                                30, VI
  National Indian Gaming Commission               25, III

[[Page 528]]

  National Park Service                           36, I
  Reclamation, Bureau of                          43, I
  Secretary of the Interior, Office of            43, Subtitle A
  Surface Mining and Reclamation Appeals, Board   30, III
       of
  Surface Mining Reclamation and Enforcement,     30, VII
       Office of
Internal Revenue Service                          26, I
International Boundary and Water Commission,      22, XI
     United States and Mexico, United States 
     Section
International Development, Agency for             22, II
  Federal Acquisition Regulation                  48, 7
International Development Cooperation Agency,     22, XII
     United States
  International Development, Agency for           22, II; 48, 7
  Overseas Private Investment Corporation         5, XXXIII; 22, VII
International Fishing and Related Activities      50, III
International Investment, Office of               31, VIII
International Joint Commission, United States     22, IV
     and Canada
International Organizations Employees Loyalty     5, V
     Board
International Trade Administration                15, III; 19, III
International Trade Commission, United States     19, II
Interstate Commerce Commission                    5, XL
James Madison Memorial Fellowship Foundation      45, XXIV
Japan-United States Friendship Commission         22, XVI
Joint Board for the Enrollment of Actuaries       20, VIII
Justice Department                                5, XXVIII; 28, I
  Drug Enforcement Administration                 21, II
  Federal Acquisition Regulation                  48, 28
  Federal Claims Collection Standards             4, II
  Federal Prison Industries, Inc.                 28, III
  Foreign Claims Settlement Commission of the     45, V
       United States
  Immigration and Naturalization Service          8, I
  Offices of Independent Counsel                  28, VI
  Prisons, Bureau of                              28, V
  Property Management Regulations                 41, 128
Labor Department                                  5, XLII
  Benefits Review Board                           20, VII
  Employees' Compensation Appeals Board           20, IV
  Employment and Training Administration          20, V
  Employment Standards Administration             20, VI
  Federal Acquisition Regulation                  48, 29
  Federal Contract Compliance Programs, Office    41, 60
       of
  Federal Procurement Regulations System          41, 50
  Labor-Management Standards, Office of           29, II, IV
  Mine Safety and Health Administration           30, I
  Occupational Safety and Health Administration   29, XVII
  Pension and Welfare Benefits Administration     29, XXV
  Public Contracts                                41, 50
  Secretary of Labor, Office of                   29, Subtitle A
  Veterans' Employment and Training, Office of    41, 61; 20, IX
       the Assistant Secretary for
  Wage and Hour Division                          29, V
  Workers' Compensation Programs, Office of       20, I
Labor-Management Standards, Office of             29, II, IV
Land Management, Bureau of                        43, II
Legal Services Corporation                        45, XVI
Library of Congress                               36, VII
  Copyright Office                                37, II
Management and Budget, Office of                  5, III, LXXVII; 48, 99
Marine Mammal Commission                          50, V
Maritime Administration                           46, II
Merit Systems Protection Board                    5, II
Micronesian Status Negotiations, Office for       32, XXVII
Mine Safety and Health Administration             30, I
Minerals Management Service                       30, II
Mines, Bureau of                                  30, VI
Minority Business Development Agency              15, XIV
Miscellaneous Agencies                            1, IV

[[Page 529]]

Monetary Offices                                  31, I
National Aeronautics and Space Administration     5, LIX; 14, V
  Federal Acquisition Regulation                  48, 18
National Agricultural Library                     7, XLI
National Agricultural Statistics Service          7, XXXVI
National Archives and Records Administration      5, LXVI; 36, XII
  Information Security Oversight Office           32, XX
National Bureau of Standards                      15, II
National Capital Planning Commission              1, IV
National Commission for Employment Policy         1, IV
National Commission on Libraries and Information  45, XVII
     Science
National and Community Service, Corporation for   45, XXV
National Council on Disability                    34, XII
National Credit Union Administration              12, VII
National Drug Control Policy, Office of           21, III
National Foundation on the Arts and the           45, XI
     Humanities
National Highway Traffic Safety Administration    23, II, III; 49, V
National Indian Gaming Commission                 25, III
National Institute for Literacy                   34, XI
National Institute of Standards and Technology    15, II
National Labor Relations Board                    5, LXI; 29, I
National Marine Fisheries Service                 50, II, IV
National Mediation Board                          29, X
National Oceanic and Atmospheric Administration   15, IX; 50, II, III, IV, 
                                                  VI
National Park Service                             36, I
National Railroad Adjustment Board                29, III
National Railroad Passenger Corporation (AMTRAK)  49, VII
National Science Foundation                       5, XLIII; 45, VI
  Federal Acquisition Regulation                  48, 25
National Security Council                         32, XXI
National Security Council and Office of Science   47, II
     and Technology Policy
National Telecommunications and Information       15, XXIII; 47, III
     Administration
National Transportation Safety Board              49, VIII
National Weather Service                          15, IX
Natural Resources Conservation Service            7, VI
Navajo and Hopi Indian Relocation, Office of      25, IV
Navy Department                                   32, VI
  Federal Acquisition Regulation                  48, 52
Neighborhood Reinvestment Corporation             24, XXV
Northeast Dairy Compact Commission                7, XIII
Nuclear Regulatory Commission                     5, XLVIII; 10, I
  Federal Acquisition Regulation                  48, 20
Occupational Safety and Health Administration     29, XVII
Occupational Safety and Health Review Commission  29, XX
Offices of Independent Counsel                    28, VI
Operations Office                                 7, XXVIII
Overseas Private Investment Corporation           5, XXXIII; 22, VII
Panama Canal Commission                           48, 35
Panama Canal Regulations                          35, I
Patent and Trademark Office                       37, I
Payment From a Non-Federal Source for Travel      41, 304
     Expenses
Payment of Expenses Connected With the Death of   41, 303
     Certain Employees
Peace Corps                                       22, III
Pennsylvania Avenue Development Corporation       36, IX
Pension and Welfare Benefits Administration       29, XXV
Pension Benefit Guaranty Corporation              29, XL
Personnel Management, Office of                   5, I, XXXV; 45, VIII
  Federal Acquisition Regulation                  48, 17
  Federal Employees Group Life Insurance Federal  48, 21
       Acquisition Regulation
  Federal Employees Health Benefits Acquisition   48, 16
       Regulation
Postal Rate Commission                            5, XLVI; 39, III
Postal Service, United States                     5, LX; 39, I
Postsecondary Education, Office of                34, VI
President's Commission on White House             1, IV
   Fellowships
[[Page 530]]

Presidential Commission on the Assignment of      32, XXIX
     Women in the Armed Forces
Presidential Documents                            3
Prisons, Bureau of                                28, V
Productivity, Technology and Innovation,          37, IV
     Assistant Secretary
Public Contracts, Department of Labor             41, 50
Public and Indian Housing, Office of Assistant    24, IX
     Secretary for
Public Health Service                             42, I
Railroad Retirement Board                         20, II
Reclamation, Bureau of                            43, I
Refugee Resettlement, Office of                   45, IV
Regional Action Planning Commissions              13, V
Relocation Allowances                             41, 302
Research and Special Programs Administration      49, I
Rural Business-Cooperative Service                7, XVIII, XLII
Rural Development Administration                  7, XLII
Rural Housing Service                             7, XVIII, XXXV
Rural Telephone Bank                              7, XVI
Rural Utilities Service                           7, XVII, XVIII, XLII
Saint Lawrence Seaway Development Corporation     33, IV
Science and Technology Policy, Office of          32, XXIV
Science and Technology Policy, Office of, and     47, II
     National Security Council
Secret Service                                    31, IV
Securities and Exchange Commission                17, II
Selective Service System                          32, XVI
Small Business Administration                     13, I
Smithsonian Institution                           36, V
Social Security Administration                    20, III; 48, 23
Soldiers' and Airmen's Home, United States        5, XI
Special Counsel, Office of                        5, VIII
Special Education and Rehabilitative Services,    34, III
     Office of
State Department                                  22, I
  Federal Acquisition Regulation                  48, 6
Surface Mining and Reclamation Appeals, Board of  30, III
Surface Mining Reclamation and Enforcement,       30, VII
     Office of
Surface Transportation Board                      49, X
Susquehanna River Basin Commission                18, VIII
Technology Administration                         15, XI
Technology Policy, Assistant Secretary for        37, IV
Technology, Under Secretary for                   37, V
Tennessee Valley Authority                        5, LXIX; 18, XIII
Thrift Depositor Protection Oversight Board       12, XV
Thrift Supervision Office, Department of the      12, V
     Treasury
Trade Representative, United States, Office of    15, XX
Transportation, Department of                     5, L
  Coast Guard                                     33, I; 46, I; 49, IV
  Commercial Space Transportation                 14, III
  Contract Appeals, Board of                      48, 63
  Emergency Management and Assistance             44, IV
  Federal Acquisition Regulation                  48, 12
  Federal Aviation Administration                 14, I
  Federal Highway Administration                  23, I, II; 49, III
  Federal Railroad Administration                 49, II
  Federal Transit Administration                  49, VI
  Maritime Administration                         46, II
  National Highway Traffic Safety Administration  23, II, III; 49, V
  Research and Special Programs Administration    49, I
  Saint Lawrence Seaway Development Corporation   33, IV
  Secretary of Transportation, Office of          14, II; 49, Subtitle A
  Surface Transportation Board                    49, X
Transportation, Office of                         7, XXXIII
Travel Allowances                                 41, 301
Treasury Department                               5, XXI; 17, IV
  Alcohol, Tobacco and Firearms, Bureau of        27, I
  Community Development Financial Institutions    12, XVIII
       Fund
  Comptroller of the Currency                     12, I

[[Page 531]]

  Customs Service, United States                  19, I
  Engraving and Printing, Bureau of               31, VI
  Federal Acquisition Regulation                  48, 10
  Federal Law Enforcement Training Center         31, VII
  Fiscal Service                                  31, II
  Foreign Assets Control, Office of               31, V
  Internal Revenue Service                        26, I
  International Investment, Office of             31, VIII
  Monetary Offices                                31, I
  Secret Service                                  31, IV
  Secretary of the Treasury, Office of            31, Subtitle A
  Thrift Supervision, Office of                   12, V
Truman, Harry S. Scholarship Foundation           45, XVIII
United States and Canada, International Joint     22, IV
     Commission
United States and Mexico, International Boundary  22, XI
     and Water Commission, United States Section
United States Enrichment Corporation              10, XI
Utah Reclamation Mitigation and Conservation      43, III
     Commission
Veterans Affairs Department                       38, I
  Federal Acquisition Regulation                  48, 8
Veterans' Employment and Training, Office of the  41, 61; 20, IX
     Assistant Secretary for
Vice President of the United States, Office of    32, XXVIII
Vocational and Adult Education, Office of         34, IV
Wage and Hour Division                            29, V
Water Resources Council                           18, VI
Workers' Compensation Programs, Office of         20, I
World Agricultural Outlook Board                  7, XXXVIII

[[Page 533]]



List of CFR Sections Affected




All changes in this volume of the Code of Federal Regulations which were 
made by documents published in the Federal Register since January 1, 
1986, are enumerated in the following list. Entries indicate the nature 
of the changes effected. Page numbers refer to Federal Register pages. 
The user should consult the entries for chapters and parts as well as 
sections for revisions.
For the period before January 1, 1986, see the ``List of CFR Sections 
Affected, 1949-1963, 1964-1972, and 1973-1985,'' published in seven 
separate volumes.

                                  1986

34 CFR
                                                                   51 FR
                                                                    Page
Chapter III
300  Authority citation revised....................................19311
300.262  (a) revised (effective date pending)......................19311
300.580  Removed (effective date pending)..........................17905
300.581--300.584  Added (effective date pending)...................17905
300.585  Added (effective date pending)............................17906
300.586  Added (effective date pending)............................17906
300.587  Removed (effective date pending)..........................17906
300.588  Removed (effective date pending)..........................17906
300.589  (g) revised (effective date pending)......................17906
300.620  Revised (effective date pending)..........................19311
369.1  (b)(6) and (7) redesignated as (b)(7) and (8); new (b)(6) 
        added.......................................................3895
369.2  (h) added....................................................3895
369.3  Revised......................................................3895
369.30  (a) revised.................................................3895
369.32  Introductory text revised...................................3895
376  Added..........................................................3895

                                  1987

34 CFR
                                                                   52 FR
                                                                    Page
Chapter III
309  Revised (effective date pending)..............................29817
315  Heading and authority citation revised (effective date 
        pending)...................................................31958
315.1  Heading revised; text amended; nomenclature change 
        (effective date pending)...................................31958
315.10  Nomenclature change (effective date pending)...............31958
315.11  Nomenclature change (effective date pending)...............31958
315.12  Nomenclature change; (a) introductory text and (4) and 
        (b)(2) amended (effective date pending)....................31958
315.13  Nomenclature change; (a) revised; (c) redesignated as (d); 
        new (c) added (effective date pending).....................31958
315.14  Amended (effective date pending)...........................31959
315.30  (a) amended (effective date pending).......................31959
315.31  Redesignated as 315.32 and revised; new 315.31 added 
        (effective date pending)...................................31959
315.32  Redesignated from 315.31 and revised (effective date 
        pending)...................................................31959

[[Page 534]]

315.33  Added (effective date pending).............................31959
315.34  Added (effective date pending).............................31960
319  Added (effective date pending)................................25831
320  Heading and authority citation revised........................26657
320.1  Heading, introductory text and (a) revised; (b) amended; 
        (c) redesignated as (d); new (c) added (effective date 
        pending)...................................................26657
320.10  (a)(2) removed; (a)(3) and (c) redesignated as (a)(2) and 
        (d); (a)(1)(iii) and (b) amended; new (c) added (effective 
        date pending)..............................................26657
320.30  (b)(2)(iii) amended (effective date pending)...............26657
320.40  (b) revised (effective date pending).......................26657
324  Authority citation revised....................................43482
324.1  (a) and (b) revised (effective date pending)................43483
324.10  Introductory text and (a) through (e) revised; (f) and (g) 
        redesignated as (g) and (h); new (f) added (effective date 
        pending)...................................................43483
324.11  (a) and (b) amended (effective date pending)...............43483
324.31  (f), (g) and (h)(1) revised (effective date pending).......43483
324.32  (h)(1) revised (effective date pending)....................43483
326  Authority citation revised....................................34368
326.1  (a)(2) (i) and (ii) revised; (a)(2)(iii) added (effective 
        date pending)..............................................34368
326.4  (c)(1) (i) and (ii) revised; (c)(1)(iii) added (effective 
        date pending)..............................................34368
326.10  (a)(3) amended; (a)(4) revised (effective date pending)....34369
326.20  (b) revised (effective date pending).......................34369
326.30  (b) and (e) amended; (i), (j), and (k) added (effective 
        date pending...............................................34369
326.34  Added (effective date pending).............................34369
338  Authority citation revised.....................................6143
338.10  (a)(5) removed (effective date pending).....................6143
338.32  Added (effective date pending)..............................6143
338.40 (Subpart E)  Added (effective date pending)..................6143
350  Heading and authority citation revised (effective date 
        pending)...................................................30060
350.1  Heading, (a) (1) and (3), and authority citation revised; 
        (a) introductory text republished (effective date pending)
                                                                   30060
350.2  (b), (c), and authority citation revised; (d) added 
        (effective date pending)...................................30061
350.3  Introductory text and (a)(2) revised (effective date 
        pending)...................................................30061
350.4  (a) introductory text and (b) introductory text revised; 
        (b) amended (effective date pending).......................30061
350.30  Revised (effective date pending)...........................30061
350.32  (a) and authority citation revised (effective date 
        pending)...................................................30061
350.33  (a), (b), and (e) revised; (c) amended (effective date 
        pending)...................................................30062
350.34  Heading revised (effective date pending)...................30062
350.35  Added (effective date pending).............................30062
350.40  (b)(1) introductory text republished; (b)(1)(iii) revised 
        (effective date pending)...................................30062
351  Heading and authority citation revised (effective date 
        pending)...................................................30062
351.1  Nomenclature changes (effective date pending)...............30062
351.10  Introductory text and (b) introductory text republished; 
        (a), (b) (6) and (7), and authority citation revised; (b) 
        (8) and (9) added; nomenclature changes (effective date 
        pending)...................................................30062
352  Heading and authority citation revised (effective date 
        pending)...................................................30063

[[Page 535]]

352.10  (b) and (d) revised (effective date pending)...............30063
352.31  Revised (effective date pending)...........................30063
352.40 (Subpart E)  Added (effective date pending).................30064
353  Heading and authority citation revised (effective date 
        pending)...................................................30064
353.1  (b) and (c) revised (effective date pending)................30064
353.10  (a) introductory text and (b) introductory text 
        republished; (a) (iii) and (iv) amended; (a)(v) added; 
        (b)(1) revised (effective date pending)....................30064
353.31  Revised (effective date pending)...........................30064
354  Heading and authority citation revised (effective date 
        pending)...................................................30065
355  Heading and authority citation revised (effective date 
        pending)...................................................30065
356  Heading and authority citation revised (effective date 
        pending)...................................................30065
356.30  (b)(1) amended (effective date pending)....................30065
356.32  (b) amended (effective date pending).......................30065
357  Heading and authority citation revised (effective date 
        pending)...................................................30065
357.1  (b) and (c) amended (effective date pending)................30065
358  Heading and authority citation revised (effective date 
        pending)...................................................30065
359  Heading and authority citation revised (effective date 
        pending)...................................................30065
359.32  Added (effective date pending).............................30066
363  Added (effective date pending)................................30550
371  Heading and authority citation revised (effective date 
        pending)...................................................30555
371.1  Revised (effective date pending)............................30555
371.2  Amended (effective date pending)............................30555
371.4  (b) (1) through (4) designations removed; (b) amended 
        (effective date pending)...................................30555
371.10  Amended (effective date pending)...........................30555
371.20  Amended (effective date pending)...........................30555
371.21  (c), (d), (e), (f), (g), and (h) amended; (i) revised 
        (effective date pending)...................................30555
371.30  (f)(2) (i) and (ii) amended (effective date pending).......30555
371.40  Revised (effective date pending)...........................30556
371.41  (a)(2) and (b) amended (effective date pending)............30555
371.42  Amended (effective date pending)...........................30555
    Revised (effective date pending)...............................30556
371.43  (a) and (b) amended (effective date pending)...............30555
386  Authority citation revised....................................30556
386.1  Revised (effective date pending)............................30556
386.4  Revised (effective date pending)............................30556
386.30  (c) and (h)(2)(iii) amended (effective date pending).......30556
386.42  Revised (effective date pending)...........................30556
386.43  Added (effective date pending).............................30557
386.44  Added (effective date pending).............................30557
386.45  Added (effective date pending).............................30558
386.46  Added (effective date pending).............................30558
386.47  Added (effective date pending).............................30558

                                  1988

34 CFR
                                                                   53 FR
                                                                    Page
Chapter III
300.121  OMB number................................................49144
300.122  OMB number................................................49144
300.123  OMB number................................................49144
300.124  OMB number................................................49144
300.125  OMB number................................................49144
300.126  OMB number................................................49144
300.127  OMB number................................................49144
300.128  OMB number................................................49144

[[Page 536]]

300.129  OMB number................................................49144
300.130  OMB number................................................49144
300.131  OMB number................................................49144
300.132  OMB number................................................49144
300.133  OMB number................................................49144
300.134  OMB number................................................49144
300.136  OMB number................................................49144
300.137  OMB number................................................49144
300.138  OMB number................................................49144
300.139  OMB number................................................49144
300.140  OMB number................................................49144
300.141  OMB number................................................49144
300.144  OMB number................................................49144
300.146  OMB number................................................49144
300.148  OMB number................................................49144
300.149  OMB number................................................49144
300.150  OMB number................................................49144
300.151  OMB number................................................49144
300.380  OMB number................................................49144
300.381  OMB number................................................49144
300.382  OMB number................................................49144
300.383  OMB number................................................49144
300.384  OMB number................................................49144
300.385  OMB number................................................49144
300.387  OMB number................................................49144
300.507  OMB number................................................49144
300.754  OMB number................................................49144
302  Authority citation revised....................................49144
302.21  OMB number.................................................49144
302.25  OMB number.................................................49144
302.30  OMB number.................................................49144
304  Authority citation revised.....................................6944
304.10--304.16 (Subpart B)  Heading revised (effective date 
        pending)....................................................6945
304.10--304.11  Undesignated center heading added (effective date 
        pending)....................................................6945
304.11  OMB number (effective date pending).........................6945
304.15--304.16  Undesignated center heading added (effective date 
        pending)....................................................6945
304.15  Added (effective date pending)..............................6945
304.16  Added (effective date pending)..............................6945
304.20--304.21 (Subpart C)  Heading revised (effective date 
        pending)....................................................6945
304.20  Heading and (b)(2) revised; (d) added (effective date 
        pending)....................................................6945
304.21  Revised (effective date pending)............................6945
305  Heading and authority citation revised (effective date 
        pending)....................................................3525
305.1  Revised (effective date pending).............................3525
305.2  Revised (effective date pending).............................3525
305.3  Revised (effective date pending).............................3525
305.10  Revised (effective date pending)............................3525
305.11  (f) revised (effective date pending)........................3525
305.12  Removed (effective date pending)............................3525
305.40 (Subpart E)  Heading revised (effective date pending)........3525
    Introductory text and authority citation revised; (c) added 
(effective date pending)............................................3525
307.40  OMB number.................................................49145
309.21  OMB number.................................................49145
315.32  OMB number.................................................49145
315.33  OMB number.................................................49145
316  Added (effective date pending)................................45732
318  Revised (effective date pending)..............................45734
322  Removed........................................................4620
324  Authority citation revised....................................49145
    Authority citation corrected...................................49966
324.31  OMB number.................................................49145
324.32  OMB number.................................................49145
326.32  OMB number.................................................49145
326.33  OMB number.................................................49145
327  Authority citation revised....................................28350
327.2  (b) revised (effective date pending)........................28351
327.10  Introductory text republished; (a) through (e) revised 
        (effective date pending)...................................28351
327.31  (g) amended (effective date pending).......................28351
327.40  Introductory text and (b) revised (effective date pending)
                                                                   28351
    (b) corrected..................................................29988
330  Authority citation revised....................................41085

[[Page 537]]

330.1  (b) and (c) amended; (d) and authority citation added 
        (effective date pending)...................................41085
330.3  Removed (effective date pending)............................41085
330.4  (a) and (b) designation and heading removed; section 
        amended (effective date pending)...........................41085
330.30 (Subpart C)  Removed (effective date pending)...............41085
330.50  (a) amended; (b) removed; (c) redesignated as (b) 
        (effective date pending)...................................41085
331  Authority citation revised....................................41085
331.1  Amended (effective date pending)............................41085
331.3  Removed (effective date pending)............................41085
331.4  (a) and (b) designation and heading removed; section 
        amended....................................................41085
331.30 (Subpart C)  Removed........................................41085
331.50  Revised....................................................41085
333  Revised (effective date pending)...............................6952
338.31  OMB number.................................................49145
350.1  (b) introductory text revised; new (b)(10) added (effective 
        date pending)..............................................23351
    (b)(7) revised; (b) introductory text republished (effective 
date pending)......................................................24245
350.2  Introductory text revised (effective date pending)..........23351
350.3  (c) revised (effective date pending)........................23351
350.20  Revised....................................................23352
350.30  Amended (effective date pending)...........................23352
    Heading revised; text amended (effective date pending).........24245
350.33  Heading and (a) revised (effective date pending)...........24245
350.34  Heading and (a)(1) revised; (a) introductory text 
        republished (effective date pending).......................24245
350.40  (a) revised (effective date pending).......................23352
357  Heading revised (effective date pending)......................24245
357.1  Revised (effective date pending)............................24245
357.10  Revised (effective date pending)...........................24245
357.32  Revised (effective date pending)...........................24246
357.33  (b) (1) and (2) revised; (b)(3) removed (effective date 
        pending)...................................................24246
360  Added (effective date pending)................................23352
361  Authority citation revised....................................16982
361.1  (b)(1) and (c)(2) introductory text revised; (c)(2) amended 
        (effective date pending)...................................16982
361.2  (b) (1), (2) (ii) through (v) revised; new (b)(2)(vi) 
        added; (d) amended (effective date pending)................16984
    OMB number.....................................................49145
361.5  (b)(1) amended (effective date pending).....................16982
361.6  (b)(1) amended (effective date pending).....................16982
361.9  (a)(5) amended (effective date pending).....................16982
361.11  (a) amended (effective date pending).......................16982
361.12  (a) amended (effective date pending).......................16982
361.13  (a)(3) amended (effective date pending)....................16982
361.14  (a) amended (effective date pending).......................16982
361.15  Heading and (b) amended (effective date pending)...........16982
361.17  (a), (b) introductory text and (1) revised (effective date 
        pending)...................................................16984
    OMB number.....................................................49145
361.18  Revised (effective date pending)...........................16984
    OMB number.....................................................49145
361.19  (a) and (d) amended (effective date pending)...............16982
361.20  (a) revised (effective date pending).......................16985
361.22  Amended (effective date pending)...........................16982
361.25  Added (effective date pending).............................16985
361.30  Authority citation revised.................................16985
361.31  (a)(1) amended (effective date pending)....................16982

[[Page 538]]

361.32  (c) amended (effective date pending).......................16985
361.33  (a) and (b) amended (effective date pending)...............16985
361.34  (b) amended (effective date pending).......................16982
    (c)(1) and (e) (1) and (2) amended (effective date pending)....16985
361.35  (a) amended (effective date pending).......................16982
    (c)(2), (d) and (e) amended (effective date pending)...........16985
361.36  (c) amended (effective date pending).......................16982
    (a) and (b) revised (effective date pending)...................16985
    OMB number.....................................................49145
361.37  Amended (effective date pending)...........................16982
361.38  Revised (effective date pending)...........................16985
361.39  (f), (h), and (j) amended (effective date pending).........16982
    (c) and (m) revised (effective date pending)...................16985
    OMB number.....................................................49145
361.40  (d) introductory text, (1), and (3) amended (effective 
        date pending)..............................................16982
    (a), (c) and authority citation revised (effective date 
pending)...........................................................16986
    OMB number.....................................................49145
361.41  (a) and authority citation revised; (b) redesignated as 
        (c); new (b) added (effective date pending)................16986
    OMB number.....................................................49145
361.42  (a) (6) and (7) amended (effective date pending)...........16982
    (a) (2) and (13) revised; (a) (5) and (14) amended; (a)(15) 
redesignated as (a)(16) and revised; new (a)(15) added (effective 
date pending)......................................................16986
361.43  (b) revised (effective date pending).......................16987
361.45  (b) revised (effective date pending).......................16987
361.47  (a) (1) and (2) amended (effective date pending)...........16982
    Heading and (b) revised (effective date pending)...............16987
361.48  Revised (effective date pending)...........................16987
    OMB number.....................................................49145
361.49  (e)(4) amended; (f) removed; authority citation added 
        (effective date pending)...................................16988
361.50  Heading, (a) and (b)(5) amended (effective date pending) 
                                                                   16982
361.51  (c) and (e) amended (effective date pending)...............16982
361.52  (c) and (g) amended (effective date pending)...............16982
361.53  Heading and text amended (effective date pending)..........16982
361.54  Amended (effective date pending)...........................16982
361.55  Amended (effective date pending)...........................16982
361.57  Amended (effective date pending)...........................16982
361.58  Amended (effective date pending)...........................16982
361.71  (a) and (c) amended (effective date pending)...............16982
    (b) amended (effective date pending)...........................16988
361.72  Heading and (a) amended (effective date pending)...........16982
    (b) amended (effective date pending)...........................16988
361.73  (c) amended (effective date pending).......................16988
361.75  Heading and text amended (effective date pending)..........16982
361.85  (d) removed; (b) and (c) redesignated as (c) and (d); new 
        (b) added; authority citation revised (effective date 
        pending....................................................16988
361.86  Revised (effective date pending)...........................16988
361.87  Redesignated as 361.88; new 361.87 added...................16988
361.88  Redesignated as 361.89; new 361.88 redesignated from 
        361.87.....................................................16988
361.89  Redesignated as 361.90; new 361.89 redesignated from 
        361.88.....................................................16988
361.90  Redesignated as 361.91; new 361.90 redesignated from 
        361.89.....................................................16988
361.91  Redesignated as 361.92; new 361.91 redesignated from 
        361.90.....................................................16988

[[Page 539]]

361.92  Redesignated from 361.91...................................16988
361.150  (b) amended (effective date pending)......................16982
361.151  (c) and (h) amended (effective date pending)..............16982
361.155  Amended (effective date pending)..........................16982
363.7  (a)(2)(iv) amended; (a)(2)(v) introductory text, (A), (B), 
        and (C) redesignated as (a)(3) introductory text, (i), 
        (ii), and (iii) (effective date pending)...................17141
365  Authority citation revised....................................17141
365.1  (c)(3) amended (effective date pending).....................17141
365.2  (a) amended (effective date pending)........................17141
365.6  (a) and (b) amended (effective date pending)................17141
365.8  (a) and (b) amended (effective date pending)................17141
365.9  (a) and (b) amended (effective date pending)................17141
365.10  Authority citation revised.................................17141
365.11  Amended (effective date pending)...........................17141
365.12  (b), (c), and (e) amended; authority citation revised 
        (effective date pending)...................................17141
365.13  Amended (effective date pending)...........................17141
365.16  Added (effective date pending).............................17141
365.30  Amended (effective date pending)...........................17141
365.32  (a) amended (effective date pending).......................17141
365.33  (a) amended................................................17141
365.34  Amended (effective date pending)...........................17141
365.36  (a) and (c) amended; authority citation revised (effective 
        date pending)..............................................17141
365.37  (a) introductory text, (2), (15), and (16) and (b) 
        amended; (a) (8), (9), and (10) revised (effective date 
        pending)...................................................17141
365.38  Amended (effective date pending)...........................17141
365.40  Amended (effective date pending)...........................17141
365.41  Amended (effective date pending)...........................17141
365.42  Amended (effective date pending)...........................17141
    Heading revised (effective date pending).......................17142
365.43  Amended (effective date pending)...........................17141
365.44  (b) amended (effective date pending).......................17142
366  Authority citation revised....................................17142
366.2  (b) amended (effective date pending)........................17142
366.4  (b) amended (effective date pending)........................17142
366.20  (a) through (c) redesignated as (b) through (d); new (b), 
        (c), and (d)(7) amended; new (a) added; new (d) 
        introductory text, (1) and (6) revised (effective date 
        pending)...................................................17142
    OMB number.....................................................49145
366.31  (a)(2), (b)(2)(v)(C), (d)(2)(iv)(C), (e) introductory 
        text, (1) and (2) amended (effective date pending).........17142
    OMB number.....................................................49145
366.43  Added (effective date pending).............................17142
367  Added (effective date pending)................................26978
367.20  OMB numbers.........................................35071, 49145
367.21  OMB numbers.........................................35071, 49145
369  Authority citation revised....................................17142
369.1  (a) amended; (b) (1), (3), (4), (5) and (7) revised........17142, 
                                                                   17143
369.2  (a), (c) heading, (d) heading, (e), and (f) revised; (c) 
        text, (d) text, and (g) amended (effective date pending) 
                                                            17142, 17143
369.4  (b) amended (effective date pending)........................17143
369.31  (a)(2)(v)(A) and (b)(2)(iv)(A) amended (effective date 
        pending)...................................................17143
    OMB number.....................................................49145
369.42  Heading revised............................................17144
369.43  Amended (effective date pending)....................17142, 17144
369.44  (b) amended (effective date pending)................17142, 17144
369.46  Amended (effective date pending)...........................17144

[[Page 540]]

369.48  Amended (effective date pending)....................17142, 17144
370  Authority citation revised....................................17144
370.1  Revised (effective date pending)............................17144
370.2  (d) amended; (e) redesignated as (f) and amended; new (e) 
        added (effective date pending).............................17144
370.4  Note revised (effective date pending).......................17144
370.10  (e) and (f) amended; (g) added (effective date pending)....17144
370.20  (b)(1) amended (effective date pending)....................17144
370.30  (a), (b), and (c) revised; (d) removed; (e) redesignated 
        as (d) (effective date pending)............................17144
370.41  (a) amended (effective date pending).......................17144
370.44  OMB number.................................................49145
370.46  Amended (effective date pending)...........................17144
372  Authority citation revised....................................17144
372.1  Amended (effective date pending)............................17144
372.2  (b) amended.................................................17144
372.4  (b) (1) and (2) amended (effective date pending)............17144
372.10  Amended (effective date pending)...........................17144
372.42  (b) and (d) amended (effective date pending)...............17144
374  Heading and authority citation revised (effective date 
        pending)...................................................17144
374.1  Heading revised; section amended (effective date pending) 
                                                                   17144
374.10  (a) and (b) amended; (c) revised (effective date pending) 
                                                                   17145
374.30  (f) (1) and (2) and (g) (1), (2) (i), (ii), (iv) and (v) 
        amended (effective date pending)...........................17145
374.42  Revised (effective date pending)...........................17145
375  Heading and authority citation revised (effective date 
        pending)...................................................17145
375.1  Revised (effective date pending)............................17145
375.4  (b)(1) amended (effective date pending).....................17145
375.10  Amended (effective date pending)...........................17145
375.41  (a) and (b) amended (effective date pending)...............17145
378  Heading and authority citation revised........................17145
378.1  Revised (effective date pending)............................17145
378.2  Revised (effective date pending)............................17145
378.10  (a) and (b) introductory text revised; (b) (4) and (5) 
        amended; (b)(6) added (effective date pending).............17145
378.31  (f)(2)(i) and (g) (1), (2) (i), (ii) and (iv) amended 
        (effective date pending)...................................17145
378.42  Revised (effective date pending)...........................17145
379  Authority citation revised....................................17146
379.1  Revised (effective date pending)............................17146
379.2  (g) amended.................................................17146
379.10  Heading and (c)(4) revised; (a), (b), and (c) introductory 
        text, (1), (2) and (3) amended; (d) added (effective date 
        pending)...................................................17146
379.30  (f) introductory text and (2) (i), (ii) and (iii) and 
        (h)(1) amended (effective date pending)....................17146
379.41  (f) and (g) amended (effective date pending)...............17146
379.42  Introductory text and (a) amended (effective date pending)
                                                                   17146
379.43  (f) through (l) and (m) (1), (5), and (7) amended; (h) 
        revised; (n) added (effective date pending)................17146
379.46  Added......................................................17146
385  Authority citation revised....................................17146
385.1  (a)(1) amended..............................................17146
385.4  (b) amended (effective date pending)........................17146
385.32  (a)(2)(v)(A) and (b)(2)(iv)(A) amended.....................17147
    OMB number.....................................................49145

[[Page 541]]

385.40  Revised (effective date pending)...........................17147
385.41  Amended (effective date pending)...........................17147
385.44  Added (effective date pending).............................17147
386.30  OMB number.................................................49145
387  Authority citation revised....................................17147
387.1  (a) amended (effective date pending)........................17147
387.30  (g)(2) and (h)(2)(iii) amended (effective date pending)....17147
    OMB number.....................................................49146
388  Authority citation revised....................................17147
388.1  Amended (effective date pending)............................17147
388.10  Amended (effective date pending)...........................17147
388.30  (g)(2) and (h)(2)(ii)(B) amended (effective date pending) 
                                                                   17147
    OMB number.....................................................49146
389  Authority citation revised....................................17147
389.30  (g)(2) amended (effective date pending)....................17147
    OMB number.....................................................49146
389.41  (d) amended (effective date pending).......................17148
390  Authority citation revised....................................17148
390.30  OMB number.................................................49146
390.41  (a)(4) amended (effective date pending)....................17148
396.20  OMB number.................................................49146
396.30  OMB number.................................................49146

                                  1989

34 CFR
                                                                   54 FR
                                                                    Page
Chapter III
300  Effective date confirmed......................................46064
300.138  Amended (effective date pending)..........................18253
    Corrected......................................................27303
300.150  Added (effective date pending)............................18253
    Amendment correctly withdrawn..................................27161
300.152  Added (effective date pending)............................18253
    Amended (OMB numbers)..........................................50476
300.153  Added (effective date pending)............................18253
    Amended (OMB numbers)..........................................50476
300.260  Revised (effective date pending)..........................18254
    Amended (OMB numbers)..........................................50476
300.300  (b)(3) revised (effective date pending)...................18254
300.370  Heading and (a) revised...................................18254
300.552  Amended (effective date pending)..........................18254
300.589  (a) revised (effective date pending)......................18255
    (a) corrected..................................................27303
300.600  Undesignated center heading revised; (c) added (effective 
        date pending)..............................................18255
300.601  Added (effective date pending)............................18255
300.701  (a) revised; (b) removed (effective date pending).........18255
300.702  (a) (1), (3), and (b) revised; (a)(2) added (effective 
        date pending)..............................................18255
    (a)(3) corrected...............................................27303
300.709  (b) revised...............................................18255
300.750  Amended...................................................18255
300.751  (a)(2) added; (a)(3) revised..............................18256
    (d)(2) corrected...............................................27303
300.753  (b)(4) amended............................................18256
    (b)(4) corrected...............................................27303
301  Revised; (effective date pending)..............................1646
303  Added (effective date pending)................................26309
303  Effective date confirmed......................................46064
303  Table of contents corrected...................................30823
303.4  (a)(1), (ii), (v) and Note corrected........................35156
303.12  (d)(7)(ii) corrected.......................................35156
303.13  Note corrected.............................................35156
303.15  Authority citation corrected...............................35156
303.19  (b)(2) corrected...........................................35156
303.22  Section and authority citation corrected...................35156
303.113  Amended (OMB numbers).....................................50478
303.121  (b) corrected.............................................35156
303.122  (a) and (b)...............................................35156
303.123  Corrected.................................................35156
303.141  Amended (OMB numbers).....................................50478

[[Page 542]]

303.142  Amended (OMB numbers).....................................50478
303.143  Amended (OMB numbers).....................................50478
303.144  Amended (OMB numbers).....................................50478
303.145  Amended (OMB numbers).....................................50478
303.146  Amended (OMB numbers).....................................50478
303.148  Amended (OMB numbers).....................................50478
303.149  Amended (OMB numbers).....................................50478
303.150  Amended (OMB numbers).....................................50478
303.151  Amended (OMB numbers).....................................50478
303.152  Amended (OMB numbers).....................................50478
303.160  Amended (OMB numbers).....................................50478
303.161  Amended (OMB numbers).....................................50478
303.162  Amended (OMB numbers).....................................50478
303.163  Amended (OMB numbers).....................................50478
303.164  Amended (OMB numbers).....................................50478
303.165  Amended (OMB numbers).....................................50478
303.166  Amended (OMB numbers).....................................50478
303.167  Amended (OMB numbers).....................................50478
303.168  Amended (OMB numbers).....................................50478
303.169  Amended (OMB numbers).....................................50478
303.170  Amended (OMB numbers).....................................50478
303.171  Amended (OMB numbers).....................................50478
303.172  Amended (OMB numbers).....................................50478
303.173  Amended (OMB numbers).....................................50478
303.174  Amended (OMB numbers).....................................50478
303.175  Amended (OMB numbers).....................................50478
303.200  Corrected.................................................35156
303.202  Authority citation corrected..............................35156
303.203  Corrected.................................................35156
303.300  Note corrected............................................35156
303.301  Amended (OMB numbers).....................................50478
303.321  (c)(1) corrected..........................................35156
303.322  Correctly designated......................................35156
303.340  (c) correctly designated..................................35156
303.341  (a)(1) corrected..........................................35156
    Amended (OMB numbers)..........................................50478
303.342  Note corrected............................................35156
303.344  Note 2 corrected..........................................35156
    Amended (OMB numbers)..........................................50478
303.361  (b)(2) corrected..........................................35156
    (d)(1) amended.................................................30823
303.402  Corrected.................................................35156
303.403  Amended (OMB numbers).....................................50478
303.404  Note 1 corrected..........................................35156
303.420  Amended (OMB numbers).....................................50478
303.423  Note corrected............................................35156
303.460  Note corrected............................................35156
303.510  Amended (OMB numbers).....................................50478
303.520  Amended (OMB numbers).....................................50478
303.527  Note corrected............................................35156
303.540  Amended (OMB numbers).....................................50478
303.600  Note corrected............................................35156
303.601  Correctly designated......................................35156
303.603  (b)(1) amended............................................30823
303.604  Authority citation corrected..............................35156
307  Authority citation revised....................................15310
307  Effective date confirmed......................................46064
307.4  Heading, introductory text, and authority citation revised; 
        text amended (effective date pending)......................15310
307.10  (a) revised; (d) and (e) removed; (c) amended; new (d) 
        added (effective date pending).............................15310
307.11  Heading, (a)(2) introductory text, (b)(1), (c)(2), and (d) 
        revised; (a)(1)(iv), (2)(vi), and (c)(3) added; (a)(2) 
        (iv) and (v) and (c)(1) amended (effective date pending) 
                                                                   15310
307.12  (a) and (b) introductory text revised; (c) added 
        (effective date pending)...................................15310

[[Page 543]]

307.14  Removed (effective date pending)...........................15310
307.15  Removed (effective date pending)...........................15310
307.20  Removed (effective date pending)...........................15310
307.31  Revised (effective date pending)...........................15311
307.32  Added (effective date pending).............................15311
307.33  Added (effective date pending).............................15311
307.34  Added (effective date pending).............................15312
307.35  Added (effective date pending).............................15312
307.36  Added (effective date pending).............................15312
307.40  Removed (effective date pending)...........................15313
307.42  Removed (effective date pending)...........................15313
345  Added (effective date pending)................................32771
345  Effective date confirmed......................................46064
373  Authority citation revised....................................12400
    Heading revised (effective date pending).......................12400
373.1  Heading revised; text amended (effective date pending)......12400
373.10  (a) amended; (b) redesignated as (c) and amended; new (b) 
        added; authority citation revised (effective date pending)
                                                                   12400
373.14  Removed (effective date pending)...........................12400
373.30  Introductory text, (f)(2)(i), (g)(2)(i), and (h)(2) 
        amended (effective date pending)...........................12400
373.31  Removed (effective date pending)...........................12400
373.42  (b) amended................................................12400
379  Effective date confirmed......................................46064
379.4  Revised (effective date pending)............................36102
379.31  Redesignated as 379.32; new 379.31 added (effective date 
        pending)...................................................36102
379.32  Redesignated from 379.31 (effective date pending)..........36102
379.46  Revised (effective date pending)...........................36102
379.50--379.53 (Subpart F)  Added (effective date pending).........36102
379  Appendix added (effective date pending).......................36103
380  Added.........................................................12400

                                  1990

34 CFR
                                                                   55 FR
                                                                    Page
Chapter III
300.3  Amended (effective date pending)............................46064
302  Revised; effective date pending...............................34845
303.653  Amended (OMB numbers).....................................25776
315.3  (b)(3) and (4) revised (effective date pending).............21714
319  Revised (effective date pending)................................195
    Effective date confirmed.......................................26200
332  Authority citation revised....................................21714
332.3  Amended (effective date pending)............................21714
333.21  Amended (OMB numbers)......................................24892
333.22  Amended (OMB numbers)......................................24892
346  Added (effective date pending)................................33069
365.1  (b)(1) amended (effective date pending).....................21714
366.3  (a) amended (effective date pending)........................21714
367.4  (a) amended (effective date pending)........................21714
369.3  (a) amended (effective date pending)........................21714
380.8  (a) amended (effective date pending)........................21714
385.3  (a) amended (effective date pending)........................21714
396  Authority citation revised....................................21714
396.3  (a)(3) and (4) revised (effective date pending).............21714

                                  1991

34 CFR
                                                                   56 FR
                                                                    Page
Chapter III
300.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436

[[Page 544]]

301  Heading revised (effective date pending)......................54688
301.1  Heading, introductory text, (a), (b) and (c) amended 
        (effective date pending)...................................54688
301.3  (a), (b) and (c) amended (effective date pending)...........54688
301.4  (a) revised (effective date pending)........................54688
301.5  (c) amended (effective date pending)........................54688
301.10  (a)(2) and (b)(2) amended (effective date pending).........54688
301.12  Heading, (b) and (c) amended (effective date pending)......54688
301.20  Heading, (a) introductory text, (1), (2), (b) and (c) 
        amended (effective date pending)...........................54688
301.21  Heading and text amended (effective date pending)..........54688
301.30  (a), (b)(1), (2) and (d) amended (effective date pending) 
                                                                   54688
301.31  (a) and (b) amended (effective date pending)...............54688
301.32  Amended (effective date pending)...........................54688
302  Regulation at 55 FR 34845 eff. 10-8-90........................29436
303  Heading revised (effective date pending)......................54688
303.1  Heading, (a) and (c) amended (effective date pending).......54688
303.4  (a)(3) amended (effective date pending).....................54688
303.5  Amended (effective date pending)............................54688
303.7  Amended (effective date pending)............................54688
303.12  (b) and Note 1 amended (effective date pending)............54688
303.16  Heading, (a) and Note 2 amended (effective date pending) 
                                                                   54688
303.151  Heading, (a) and (b)(4) amended (effective date pending) 
                                                                   54688
303.180  (a) amended (effective date pending)......................54688
303.301  (d)(2) amended (effective date pending)...................54688
303.302  Amended (effective date pending)..........................54688
303.320  Introductory text and Note 1 amended (effective date 
        pending)...................................................54688
303.321  (d)(2)(i) and (ii) amended; (d)(2)(iii) added (effective 
        date pending)..............................................54688
303.322  (b)(1) amended (effective date pending)...................54688
303.360  (b)(3)(i) and (ii) redesignated as (b)(3)(ii) and (iii); 
        new (b)(3)(i) added (effective date pending)...............54688
303.404  Note 2 amended (effective date pending)...................54688
303.460  (b)(2) amended (effective date pending)...................54688
303.521  (c) amended (effective date pending)......................54688
303.522  (b)(4) amended (effective date pending)...................54689
303.527  Note amended (effective date pending).....................54689
303.601  (a)(1) amended (effective date pending)...................54688
304  Heading revised (effective date pending)......................54689
304.1  Revised (effective date pending)............................54689
304.2  Revised (effective date pending)............................54689
304.3  Revised (effective date pending)............................54689
304.4  (b) amended (effective date pending)........................54689
304.20  (a)(2) introductory text, (ii) and (b)(1) revised 
        (effective date pending)...................................54689
304.41  (a) amended (effective date pending).......................54689
304.51  (a), (b)(1), (2) and (3) revised (effective date pending) 
                                                                   54689
305.1  (a) revised (effective date pending)........................54689
305.3  (a)(2)(i), (iv) and (v) revised; (a)(2)(vi), (vii), (viii) 
        and (ix) added (effective date pending)....................54690
305.10  (a) through (e) amended (effective date pending)...........54690
305.31  (c)(2)(v)(C) and (d)(2)(iv)(C) revised.....................54690
305.40  (a) and (b) amended; (c) revised; (d) added (effective 
        date pending)..............................................54690
307  Heading revised...............................................51584

[[Page 545]]

307.1  Heading and text amended (effective date pending)...........51585
307.2  Heading and text amended (effective date pending)...........51585
307.3  Heading amended (effective date pending)....................51585
307.4  Heading revised; (b) amended; (c) added (effective date 
        pending)...................................................51585
307.10  Revised (effective date pending)...........................51585
307.11  Heading, (a) introductory text, (1)(i), (ii), and (iii) 
        revised; (a)(1) introductory text, (iv), (2) introductory 
        text, (i) through (vi), (3), (b)(2), (c)(1) through (3) 
        amended (effective date pending)...........................51585
307.12  (b) introductory text amended (effective date pending).....51585
    (b) introductory text, (1), (2), (3) and (c) amended 
(effective date pending)...........................................51586
307.13  (a), (b)(1), (2), (3), (c)(1), (2), (3), (d) and (e) 
        amended (effective date pending)...........................51586
307.14  Added (effective date pending).............................51586
307.15  Added (effective date pending).............................51586
307.31  (b) and (c) amended (effective date pending)...............51585
    Introductory text and (a) amended (effective date pending).....51586
307.33  (a)(1) through (4), (b)(2), (3), (4), (8), (9), (c) 
        introductory text, (3), (f)(2), and (g) amended (effective 
        date pending)..............................................51585
    Heading revised; (a)(1) and (2), (4), (b)(1), (4), (6), (7), 
(8), (10), (c)(5), (f)(1), and (2) amended (effective date 
pending)...........................................................51586
307.35  Removed; new 307.35 redesignated from 307.36; heading and 
        introductory text revised; (a) introductory text, (2), 
        (3), (b)(5), and (c)(1)(iv) amended (effective date 
        pending)...................................................51587
307.36  Redesignated as new 307.35; new 307.36 added (effective 
        date pending)..............................................51587
307.37  Added (effective date pending).............................51589
307.41  Introductory text amended (effective date pending).........51585
    Introductory text amended (effective date pending).............51589
307.42  Added (effective date pending).............................51589
309  Heading revised (effective date pending)......................54690
309.1  Heading, introductory text and (a) revised (effective date 
        pending)...................................................54690
309.3  Introductory text, (a), (c) and (f) amended; (g) and (h) 
        added (effective date pending).............................54690
309.4  (a)(1) revised; (a)(4) removed; (a)(5) redesignated as 
        (a)(4) and amended; new (a)(5) through (9) added 
        (effective date pending)...................................54690
309.5  (b) amended; (c) revised (effective date pending)...........54691
309.21  (b)(1), (c)(2)(ii) and (f)(2)(iv) amended (effective date 
        pending)...................................................54691
309.30--309.33 (Subpart D)  Heading amended (effective date 
        pending)...................................................54691
309.30  (a)(1) through (5) revised; (a)(6) through (9) added 
        (effective date pending)...................................54691
309.32  Added (effective date pending).............................54691
309.33  Added (effective date pending).............................54691
315  Heading revised (effective date pending)......................54691
315.1  Revised (effective date pending)............................54692
315.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436
    (b)(1) revised; (b)(4) amended; (b)(5) through (9) added 
(effective date pending)...........................................54692
315.4  (c), (d) introductory text, (1), (2) and (3) introductory 
        text revised (effective date pending)......................54692
315.10  (b) and (d) amended (effective date pending)...............54691
    (a) and (c) revised; (e) and (f) added (effective date 
pending)...........................................................54692
315.11  (a)(2) and (b)(2) amended (effective date pending).........54691

[[Page 546]]

315.11  (a)(1) amended (effective date pending)....................54692
315.12  (a) introductory text, (2), (3), (4) and (b)(2) amended 
        (effective date pending)...................................54691
315.13  (d)(2) amended (effective date pending)....................54691
    (b) amended (effective date pending)...........................54692
315.14  Amended (effective date pending)...........................54692
315.32  (a) introductory text, (1), (d)(2)(i), (ii) and (iii) 
        amended (effective date pending)...........................54691
    (c)(4), (d)(1)(iv) and (2)(ii) amended (effective date 
pending)...........................................................54692
315.33  (a) introductory text, (2) and (3) amended (effective date 
        pending)...................................................54691
    (b)(5) and (c)(1)(iv) amended (effective date pending).........54692
315.41  Added (effective date pending).............................54692
316  Heading revised (effective date pending)......................54693
316.1  (a) revised (effective date pending)........................54693
316.3  (a), (b), (e) and (f) revised (effective date pending)......54693
316.4  (a) revised (effective date pending)........................54693
316.5  (c) revised (effective date pending)........................54693
316.21  (a)(2), (b)(1), (2), (5), (6) and (e)(4) revised 
        (effective date pending)...................................54693
316.22  (a) revised; (c) added (effective date pending)............54694
316.30  Revised (effective date pending)...........................54694
316.31  Revised (effective date pending)...........................54694
316.32  Added (effective date pending).............................54694
318  Revised (effective date pending)..............................57199
319  Heading revised (effective date pending)......................54694
319.1  Introductory text amended (effective date pending)..........54694
319.2  (a) amended; (b) revised; (c) and (d) added (effective date 
        pending)...................................................54694
319.3  (a) revised (effective date pending)........................54694
319.10  Heading and (a) revised (effective date pending)...........54695
319.11  Added (effective date pending).............................54695
319.20  Heading revised; (a) introductory text and (1) amended 
        (effective date pending)...................................54695
319.21  (a) and (b) amended (effective date pending)...............54695
319.22  (b)(1)(i), (iii), (2)(ii), (iv), (vii), (3)(v) and (5)(iv) 
        amended (effective date pending)...........................54695
319.30  (h) revised (effective date pending).......................54695
319.33  Added (effective date pending).............................54695
320  Heading revised (effective date pending)......................54695
320.1  Revised (effective date pending)............................54695
320.2  Amended (effective date pending)............................54695
320.3  Redesignated as 320.4; new 320.3 added (effective date 
        pending)...................................................54695
320.4  Redesignated as 320.5; new 320.4 redesignated from 320.3 
        (effective date pending)...................................54695
    (b)(1), (4) and (5) revised; (b)(6) through (9) added 
(effective date pending)...........................................54696
320.5  Redesignated from 320.4 (effective date pending)............54695
320.10  Revised (effective date pending)...........................54696
320.30  (a)(2)(v)(C) and (b)(2)(iv)(C) amended (effective date 
        pending)...................................................54696
320.32  Added (effective date pending).............................54696
320.40  (a) amended (effective date pending).......................54696
320.41  Added (effective date pending).............................54696
324  Heading revised (effective date pending)......................54697
324.1  Revised (effective date pending)............................54697
324.2  (a) and (b) amended (effective date pending)................54697
324.3  (b)(1), (3) and (4) revised; (b)(5) through (8) added 
        (effective date pending)...................................54697

[[Page 547]]

324.4  (b) and (c) amended (effective date pending)................54697
324.10--324.11 (Subpart B)  Heading revised (effective date 
        pending)...................................................54697
324.10  Revised (effective date pending)...........................54697
324.11  (a), (b) introductory text and (1) amended (effective date 
        pending)...................................................54698
324.30  (b) revised (effective date pending).......................54698
324.31  (a)(2)(v)(C) and (b)((2)(iv)(C) amended; (f) and (g) 
        revised (effective date pending)...........................54698
324.32  (a)(2)(v)(C) and (b)(2)(iv)(C) amended (effective date 
        pending)...................................................54698
324.41  Added (effective date pending).............................54698
325  Added (effective date pending)................................66291
326  Heading revised (effective date pending)......................54698
326.1  Heading, (a)(1), (2)(i), (iii) and (b) amended (effective 
        date pending)..............................................54698
326.3  Introductory text, (b)(1), (4) and (5) revised; (b)(6) 
        through (9) added (effective date pending).................54698
326.4  (c)(2) amended (effective date pending).....................54698
326.4  (b) and (c)(1) amended (effective date pending).............54699
326.10  (a)(1), (3), (4) and (b) amended (effective date pending) 
                                                                   54698
    (a)(3) amended (effective date pending)........................54699
326.20  (a), (b)(2) and (3) amended (effective date pending).......54698
    (b)(3) amended (effective date pending)........................54699
326.30  (b) through (h) amended (effective date pending)...........54698
    (b), (i) and (j) amended; (k) revised; (l) added (effective 
date pending)......................................................54699
326.32  (g) amended (effective date pending).......................54698
    (a)(2)(v)(C) and (b)(2)(iv)(C) amended (effective date 
pending)...........................................................54699
326.33  (g) amended (effective date pending).......................54698
    (a)(2)(v)(C) and (b)(2)(iv)(C) amended (effective date 
pending)...........................................................54699
326.40  Heading and text amended (effective date pending)...54698, 54699
326.42  Added (effective date pending).............................54699
327  Heading revised (effective date pending)......................54699
327.1  Heading and text amended (effective date pending)...........54699
327.2  (a) amended; (c) and (d) added (effective date pending).....54699
327.3  (b)(1), (4) and (5) revised; (b)(6), (7) and (8) added 
        (effective date pending)...................................54699
327.4  (a) designation and (b) removed (effective date pending)....54700
327.10  Revised (effective date pending)...........................54700
327.30  Revised (effective date pending)...........................54701
327.31  (a)(2)(v)(C), (b)(2)(iv)(C), (g) introductory text, (2) 
        and (3) amended (effective date pending)...................54701
327.40  (b) revised (effective date pending).......................54701
327.41  Added (effective date pending).............................54701
328  Added (effective date pending)................................56457
330  Heading revised (effective date pending)......................54701
330.1  Revised (effective date pending)............................54701
330.2  Revised (effective date pending)............................54701
330.4  (b) amended (effective date pending)........................54701
330.50  (b) revised (effective date pending).......................54701
331  Heading revised (effective date pending)......................54701
331.1  Revised (effective date pending)............................54702
331.2  Revised (effective date pending)............................54702
331.4  Heading revised; (b) amended (effective date pending).......54702

[[Page 548]]

332.1  Revised (effective date pending)............................54702
332.2  Amended (effective date pending)............................54702
332.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436
    Revised (effective date pending)...............................54702
332.4  (b) amended (effective date pending)........................54702
332.10  (a) introductory text, (1), (4), (b) and (e) amended; (f) 
        through (i) added (effective date pending).................54702
332.30  (b) amended (effective date pending).......................54703
332.32  (a)(2)(v)(A), (b)(2)(iv)(A) and (f)(2)(i) amended 
        (effective date pending)...................................54703
332.41  Added (effective date pending).............................54703
333  Heading revised (effective date pending)......................54703
333.1  Revised (effective date pending)............................54703
333.2  Existing text designated as (a); (b) added (effective date 
        pending)...................................................54703
333.3  Heading revised; (a) through (f) amended; (g) and (h) added 
        (effective date pending)...................................54703
333.4  Heading revised (effective date pending)....................54703
333.5  (a)(1) revised (effective date pending).....................54703
333.6  (b) and (c) amended (effective date pending)................54703
333.21  (d)(2)(iv) and (f)(1) amended (effective date pending).....54704
333.22  (c)(2)(iii) and (e)(2)(iv) amended (effective date 
        pending)...................................................54704
333.31  Added (effective date pending).............................54704
338  Heading revised (effective date pending)......................54704
338.1  Revised (effective date pending)............................54704
338.3  Introductory text amended; (b)(1), (4) and (5) revised; 
        (b)(6) through (9) added (effective date pending)..........54704
338.4  (c) revised (effective date pending)........................54704
338.10  (a)(2) introductory text, (i), (ii), (iv), (3), (4) and 
        (b)(11) amended; (a)(2)(iii) revised (effective date 
        pending)...................................................54704
338.20  (a) and (b) amended (effective date pending)...............54704
338.30  (b) and (c) amended (effective date pending)...............54704
338.31  (a)(2)(v)(C), (b)(2)(iv)(C) and (h) amended (effective 
        date pending)..............................................54704
338.41  Added (effective date pending).............................54704
346  Regulation at 55 FR 33069 eff. 9-27-90........................29436
347  Added (effective date pending)................................40195
350.3  (d) and authority citation revised (effective date pending)
                                                                   28031
356.3  (c) and authority citation revised (effective date pending)
                                                                   28031
361.86  Revised....................................................33149
365.1  Regulation at 55 FR 21714 eff. 7-19-90......................29436
366.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436
367.4  Regulation at 55 FR 21714 eff. 7-19-90......................29436
369.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436
380.8  Regulation at 55 FR 21714 eff. 7-19-90......................29436
385.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436
396.3  Regulation at 55 FR 21714 eff. 7-19-90......................29436

                                  1992

34 CFR
                                                                   57 FR
                                                                    Page
Chapter III
300  Revised (effective date pending)..............................44798
300.17  (b)(3) and Note 2 corrected................................48694
300.18  (b)(2) corrected...........................................48694
300.110  OMB number pending........................................44798
300.111  Corrected.................................................48694
300.121  OMB number pending........................................44798
300.122  OMB number pending........................................44798
300.123  OMB number pending........................................44798
300.125  OMB number pending........................................44798
300.126  OMB number pending........................................44798

[[Page 549]]

300.127  OMB number pending........................................44798
300.128  OMB number pending........................................44798
300.129  OMB number pending........................................44798
300.130  OMB number pending........................................44798
300.131  OMB number pending........................................44798
300.132  OMB number pending........................................44798
300.133  OMB number pending........................................44798
300.134  OMB number pending........................................44798
300.136  OMB number pending........................................44798
300.138  OMB number pending........................................44798
300.139  OMB number pending........................................44798
300.140  OMB number pending........................................44798
300.141  OMB number pending........................................44798
300.144  OMB number pending........................................44798
300.146  OMB number pending........................................44798
300.148  OMB number pending........................................44798
300.149  OMB number pending........................................44798
300.152  OMB number pending........................................44798
300.153  OMB number pending........................................44798
300.180  OMB number pending........................................44798
300.192  OMB number pending........................................44798
300.220  OMB number pending........................................44798
300.222  OMB number pending........................................44798
300.223  OMB number pending........................................44798
300.224  OMB number pending........................................44798
300.225  OMB number pending........................................44798
300.226  OMB number pending........................................44798
300.227  OMB number pending........................................44798
300.230  (b) introductory text amended; (b)(1) designation; (b)(2) 
        and comment removed; (b)(1)(i) and (ii) redesignated as 
        new (b)(1) and (2); new (b)(2) amended.....................37654
300.231  OMB number pending........................................44798
300.235  OMB number pending........................................44798
300.238  OMB number pending........................................44798
300.240  OMB number pending........................................44798
300.280  OMB number pending........................................44798
300.281  OMB number pending........................................44798
300.284  OMB number pending........................................44798
300.341  OMB number pending........................................44798
300.343  OMB number pending........................................44798
300.345  OMB number pending........................................44798
300.346  OMB number pending........................................44798
300.349  OMB number pending........................................44798
300.380  OMB number pending........................................44798
300.381  OMB number pending........................................44798
300.382  OMB number pending........................................44798
300.383  OMB number pending........................................44798
300.402  OMB number pending........................................44798
300.482  OMB number pending........................................44798
300.483  OMB number pending........................................44798
300.486  Redesignated as 300.487; new 300.486 added (effective 
        date pending)..............................................56796
300.487  Redesignated from 300.486 (effective date pending)........56796
300.505  OMB number pending........................................44798
300.510  OMB number pending........................................44798
300.512  OMB number pending........................................44798
300.532  OMB number pending........................................44798
300.533  OMB number pending........................................44798
300.543  OMB number pending........................................44798
300.561  OMB number pending........................................44798
300.562  OMB number pending........................................44798
300.563  OMB number pending........................................44798
300.565  OMB number pending........................................44798
300.569  OMB number pending........................................44798
300.570  Corrected.................................................48694
300.571  OMB number pending........................................44798
300.572  OMB number pending........................................44798
300.574  OMB number pending........................................44798
300.575  OMB number pending........................................44798
300.586  Redesignated as 300.587; new 300.586 added (effective 
        date pending)..............................................56796
300.587  Redesignated from 300.586 (effective date pending)........56796
300.589  OMB number pending........................................44798
300.600  OMB number pending........................................44798
300.653  OMB number pending........................................44798
300.660  OMB number pending........................................44798
300.661  OMB number pending........................................44798
300.662  OMB number pending........................................44798
300.670--300.672  Undesignated center heading added (effective 
        date pending)..............................................30342
300.670  Added (effective date pending)............................30343
300.671  Added (effective date pending)............................30343
300.672  Added (effective date pending)............................30343
300.750  OMB number pending........................................44798
300.751  OMB number pending........................................44798
300.754  OMB number pending........................................44798
300  Appendix C corrected..........................................48694
301  Regulation at 56 FR 54688 eff. 12-28-91.......................27704
301.1  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
    (a) revised (effective date pending)...........................44840
301.3  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
    (a) and (c) revised (effective date pending)...................44840
301.4  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
301.5  Regulation at 56 FR 54688 eff. 12-28-91.....................27704

[[Page 550]]

301.6  Added (effective date pending)..............................44840
301.10  (b)(2) revised (effective date pending)....................44840
    Regulation at 56 FR 54688 eff. 12-28-91........................27704
301.12  Regulation at 56 FR 54688 eff. 12-28-91....................27704
301.20  Regulation at 56 FR 54688 eff. 12-28-91....................27704
301.21  Regulation at 56 FR 54688 eff. 12-28-91....................27704
301.30  Regulation at 56 FR 54688 eff. 12-28-91....................27704
    (a), (b)(2) and (d) revised; (b)(3) added (effective date 
pending)...........................................................44840
301.31  Regulation at 56 FR 54688 eff. 12-28-91....................27704
301.32  Regulation at 56 FR 54688 eff. 12-28-91....................27704
303  Regulation at 56 FR 54688 eff. 12-28-91.......................27704
303.1  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
303.4  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
303.5  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
303.7  Regulation at 56 FR 54688 eff. 12-28-91.....................27704
303.12  Regulation at 56 FR 54688 eff. 12-28-91....................27704
303.16  Regulation at 56 FR 54688 eff. 12-28-91....................27704
303.124  (b) introductory text amended; (b)(1) designation; (b)(2) 
        and note removed; (b)(1)(i) and (ii) redesignated as new 
        (b)(1) and (2); new (b)(2) amended.........................37654
303.151  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.180  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.301  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.302  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.320  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.321  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.322  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.360  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.404  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.460  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.521  Regulation at 56 FR 54688 eff. 12-28-91...................27704
303.522  Regulation at 56 FR 54689 eff. 12-28-91...................27704
303.527  Regulation at 56 FR 54689 eff. 12-28-91...................27704
303.601  Regulation at 56 FR 54688 eff. 12-28-91...................27704
304  Regulation at 56 FR 54689 eff. 12-28-91.......................27704
304.1  Regulation at 56 FR 54689 eff. 12-28-91.....................27704
304.2  Regulation at 56 FR 54689 eff. 12-28-91.....................27704
304.3  Regulation at 56 FR 54689 eff. 12-28-91.....................27704
304.4  Regulation at 56 FR 54689 eff. 12-28-91.....................27704
304.20  Regulation at 56 FR 54689 eff. 12-28-91....................27704
304.41  Regulation at 56 FR 54689 eff. 12-28-91....................27704
304.51  Regulation at 56 FR 54689 eff. 12-28-91....................27704
305.1  Regulation at 56 FR 54689 eff. 12-28-91.....................27704
305.3  Regulation at 56 FR 54690 eff. 12-28-91.....................27704
305.10  Regulation at 56 FR 54690 eff. 12-28-91....................27704
305.31  Regulation at 56 FR 54690 eff. 12-28-91....................27704
305.40  Regulation at 56 FR 54690 eff. 12-28-91....................27704
307  Regulation at 56 FR 51584 eff. 11-25-91.......................27704
307.1  Regulation at 56 FR 51585 eff. 11-25-91.....................27704
307.2  Regulation at 56 FR 51585 eff. 11-25-91.....................27704
307.3  Regulation at 56 FR 51585 eff. 11-25-91.....................27704
307.4  Regulation at 56 FR 51585 eff. 11-25-91.....................27704
    (c) amended (effective date pending)...........................28965
307.10  Regulation at 56 FR 51585 eff. 11-25-91....................27704

[[Page 551]]

307.11  Regulation at 56 FR 51585 eff. 11-25-91....................27704
307.12  Regulations at 56 FR 51585 and 51586 eff. 11-25-91.........27704
307.13  Regulation at 56 FR 51586 eff. 11-25-91....................27704
307.14  Regulation at 56 FR 51586 eff. 11-25-91....................27704
307.15  Regulation at 56 FR 51586 eff. 11-25-91....................27704
307.31  Regulations at 56 FR 51585 and 51586 eff. 11-25-91.........27704
307.33  Regulations at 56 FR 51585 and 51587 eff. 11-25-91.........27704
307.35  Regulation at 56 FR 51587 eff. 11-21-91....................27704
307.36  Regulation at 56 FR 51587 eff. 11-21-91....................27704
307.37  Regulation at 56 FR 51589 eff. 11-21-91....................27704
307.41  Regulations at 56 FR 51585 and 51589 eff. 11-21-91.........27704
307.42  Regulation at 56 FR 51589 eff. 11-21-91....................27704
309  Regulation at 56 FR 54690 eff. 12-28-91.......................27704
309.1  Regulation at 56 FR 54690 eff. 12-28-91.....................27704
309.2  Revised (effective date pending)............................28965
309.3  Regulation at 56 FR 54690 eff. 12-28-91.....................27704
    (i) added (effective date pending).............................28965
309.4  Regulation at 56 FR 54690 eff. 12-28-91.....................27704
309.5  Regulation at 56 FR 54691 eff. 12-28-91.....................27704
    (c) amended (effective date pending)...........................28965
309.21  Regulation at 56 FR 54691 eff. 12-28-91....................27704
309.22  Revised (effective date pending)...........................28965
309.30--309.33 (Subpart D)  Regulation at 56 FR 54691 eff. 12-28-
        91.........................................................27704
    Heading amended (effective date pending).......................28966
309.30  Regulation at 56 FR 54691 eff. 12-28-91....................27704
    (a)(8) and (9) amended; (a)(10) and (11) added (effective date 
pending)...........................................................28966
309.32  Regulation at 56 FR 54691 eff. 12-28-91....................27704
309.33  OMB number.................................................14314
    Regulation at 56 FR 54691 eff. 12-28-91........................27704
    Redesignated as 309.34; new 309.33 added (effective date 
pending)...........................................................28966
309.34  Redesignated from 309.33 (effective date pending)..........28966
315  Regulation at 56 FR 54691 eff. 12-28-91.......................27704
315.1  Regulation at 56 FR 54692 eff. 12-28-91.....................27704
315.3  Regulation at 56 FR 54692 eff. 12-28-91.....................27704
315.4  Regulation at 56 FR 54692 eff. 12-28-91.....................27704
    (c) revised (efffective date pending)..........................28966
315.10  Regulations at 56 FR 54691 and 54692 eff. 12-28-91.........27704
315.11  Regulations at 56 FR 54691 and 45692 eff. 12-28-91.........27704
315.12  Regulation at 56 FR 54691 eff. 12-28-91....................27704
315.13  Regulations at 56 FR 54691 and 54692 eff. 12-28-91.........27704
315.14  Regulation at 56 FR 54692 eff. 12-28-91....................27704
315.32  Regulations at 56 FR 54691 and 54692 eff. 12-28-91.........27704
315.33  Regulations at 56 FR 54691 and 54692 eff. 12-28-91.........27704
315.41  OMB number.................................................14314
    Regulation at 56 FR 54692 eff. 12-28-91........................27704
316  Regulation at 56 FR 54693 eff. 12-28-91.......................27704
    Revised........................................................62096
316.1  Regulation at 56 FR 54693 eff. 12-28-91.....................27704
316.3  Regulation at 56 FR 54693 eff. 12-28-91.....................27704
316.4  Regulation at 56 FR 54693 eff. 12-28-91.....................27704
316.5  Regulation at 56 FR 54693 eff. 12-28-91.....................27704
316.21  Regulation at 56 FR 54693 eff. 12-28-91....................27704
316.22  Regulation at 56 FR 54694 eff. 12-28-91....................27704
316.30  Regulation at 56 FR 54694 eff. 12-28-91....................27704

[[Page 552]]

316.31  Regulation at 56 FR 54694 eff. 12-28-91....................27704
316.32  Regulation at 56 FR 54694 eff. 12-28-91....................27704
318  Regulation at 56 FR 57199 eff. 12-28-91.......................27704
    Revised........................................................62099
319  Regulation at 56 FR 54694 eff. 12-28-91.......................27704
    Revised........................................................62106
319.1  Regulation at 56 FR 54694 eff. 12-28-91.....................27704
319.2  Regulation at 56 FR 54694 eff. 12-28-91.....................27704
319.3  Regulation at 56 FR 54694 eff. 12-28-91.....................27704
319.10  Regulation at 56 FR 54695 eff. 12-28-91....................27704
319.11  Regulation at 56 FR 54695 eff. 12-28-91....................27704
319.20  Regulation at 56 FR 54695 eff. 12-28-91....................27704
319.21  Regulation at 56 FR 54695 eff. 12-28-91....................27704
319.22  Regulation at 56 FR 54695 eff. 12-28-91....................27704
319.30  Regulation at 56 FR 54695 eff. 12-28-91....................27704
319.33  Regulation at 56 FR 54695 eff. 12-28-91....................27704
320  Regulation at 56 FR 54695 eff. 12-28-91.......................27704
320.1  Regulation at 56 FR 54695 eff. 12-28-91.....................27704
320.2  Regulation at 56 FR 54695 eff. 12-28-91.....................27704
320.3  Regulation at 56 FR 54695 eff. 12-28-91.....................27704
320.4  Regulations at 56 FR 54695 and 54696 eff. 12-28-91..........27704
320.5  Regulation at 56 FR 54695 eff. 12-28-91.....................27704
320.10  Regulation at 56 FR 54696 eff. 12-28-91....................27704
320.30  Regulation at 56 FR 54696 eff. 12-28-91....................27704
320.32  OMB number.................................................14314
    Regulation at 56 FR 54696 eff. 12-28-91........................27704
320.40  Regulation at 56 FR 54696 eff. 12-28-91....................27704
320.41  OMB number.................................................14314
    Regulation at 56 FR 54696 eff. 12-28-91........................27704
324  Authority citation revised....................................28966
    Regulation at 56 FR 54697 eff. 12-28-91........................27704
324.1  Regulation at 56 FR 54697 eff. 12-28-91.....................27704
324.2  Regulation at 56 FR 54697 eff. 12-28-91.....................27704
324.3  Regulation at 56 FR 54697 eff. 12-28-91.....................27704
324.4  Regulation at 56 FR 54697 eff. 12-28-91.....................27704
324.10--324.11 (Subpart B)  Regulation at 56 FR 54697 eff. 12-28-
        91.........................................................27704
324.10  Regulation at 56 FR 54697 eff. 12-28-91....................27704
    (c) added (effective date pending).............................28966
324.11  Regulation at 56 FR 54698 eff. 12-28-91....................27704
324.30  Regulation at 56 FR 54698 eff. 12-28-91....................27704
324.31  Regulation at 56 FR 54698 eff. 12-28-91....................27704
324.32  Regulation at 56 FR 54698 eff. 12-28-91....................27704
324.41  OMB number.................................................14315
    Regulation at 56 FR 54698 eff. 12-28-91........................27704
325  Regulation at 56 FR 66291 eff. 2-3-92.........................27704
326  Regulation at 56 FR 54698 eff. 12-28-91.......................27704
326.1  Regulation at 56 FR 54698 eff. 12-28-91.....................27704
326.3  Regulation at 56 FR 54698 eff. 12-28-91.....................27704
326.4  Regulations at 56 FR 54698 and 54699 eff. 12-28-91..........27704
326.10  Regulations at 56 FR 54698 and 54699 eff. 12-28-91.........27704
326.20  Regulations at 56 FR 54698 and 54699 eff. 12-28-91.........27704
326.30  Regulations at 56 FR 54698 and 54699 eff. 12-28-91.........27704
326.32  Regulations at 56 FR 54698 and 54699 eff. 12-28-91.........27704
326.33  Regulations at 56 FR 54698 and 54699 eff. 12-28-91.........27704
326.40  Regulations at 56 FR 54698 and 54699 eff. 12-28-91.........27704
326.42  OMB number.................................................14315
    Regulation at 56 FR 54699 eff. 12-28-91........................27704

[[Page 553]]

327  Regulation at 56 FR 54699 eff. 12-28-91.......................27704
327.1  Regulation at 56 FR 54699 eff. 12-28-91.....................27704
327.2  Regulation at 56 FR 54699 eff. 12-28-91.....................27704
327.3  Regulation at 56 FR 54699 eff. 12-28-91.....................27704
327.4  Regulation at 56 FR 54700 eff. 12-28-91.....................27704
327.10  Regulation at 56 FR 54700 eff. 12-28-91....................27704
327.30  Regulation at 56 FR 54701 eff. 12-28-91....................27704
    Amended (effective date pending)...............................28966
327.31  Regulation at 56 FR 54701 eff. 12-28-91....................27704
327.40  Regulation at 56 FR 54701 eff. 12-28-91....................27704
327.41  OMB number.................................................14315
    Regulation at 56 FR 54701 eff. 12-28-91........................27704
328  Regulation at 56 FR 56457 eff. 12-28-91.......................27704
330  Regulation at 56 FR 54701 eff. 12-28-91.......................27704
330.1  Regulation at 56 FR 54701 eff. 12-28-91.....................27704
330.2  Regulation at 56 FR 54701 eff. 12-28-91.....................27704
330.4  Regulation at 56 FR 54701 eff. 12-28-91.....................27704
330.50  Regulation at 56 FR 54701 eff. 12-28-91....................27704
331  Regulation at 56 FR 54701 eff. 12-28-91.......................27704
331.1  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
331.2  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
331.4  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
332.1  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
332.2  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
332.3  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
332.4  Regulation at 56 FR 54702 eff. 12-28-91.....................27704
332.10  Regulation at 56 FR 54702 eff. 12-28-91....................27704
332.30  Regulation at 56 FR 54703 eff. 12-28-91....................27704
332.32  OMB number.................................................14315
    Regulation at 56 FR 54703 eff. 12-28-91........................27704
332.41  OMB number.................................................14315
    Regulation at 56 FR 54703 eff. 12-28-91........................27704
333  Regulation at 56 FR 54703 eff. 12-28-91.......................27704
333.1  Regulation at 56 FR 54703 eff. 12-28-91.....................27704
333.2  Regulation at 56 FR 54703 eff. 12-28-91.....................27704
333.3  Regulation at 56 FR 54703 eff. 12-28-91.....................27704
333.4  Regulation at 56 FR 54703 eff. 12-28-91.....................27704
333.5  Regulation at 56 FR 54703 eff. 12-28-91.....................27704
333.6  Regulation at 56 FR 54703 eff. 12-28-91.....................27704
333.21  Regulation at 56 FR 54704 eff. 12-28-91....................27704
333.22  Regulation at 56 FR 54704 eff. 12-28-91....................27704
333.31  OMB number.................................................14315
    Regulation at 56 FR 54704 eff. 12-28-91........................27704
338.1  Regulation at 56 FR 54704 eff. 12-28-91.....................27704
338.3  Regulation at 56 FR 54704 eff. 12-28-91.....................27704
338.4  Regulation at 56 FR 54704 eff. 12-28-91.....................27704
338.10  Regulation at 56 FR 54704 eff. 12-28-91....................27704
338.20  Regulation at 56 FR 54704 eff. 12-28-91....................27704
338.30  Regulation at 56 FR 54704 eff. 12-28-91....................27704
338.31  Regulation at 56 FR 54704 eff. 12-28-91....................27704
338.41  OMB number.................................................14315
    Regulation at 56 FR 54704 eff. 12-28-91........................27704
345.20  OMB number.................................................14315
345.21  OMB number.................................................14315
345.31  OMB number.................................................14315
345.40  OMB number.................................................14315
345.41  OMB number.................................................14315
345.43  OMB number.................................................14315
345.46  OMB number.................................................14315
347  Regulation at 56 FR 40195 eff. 9-27-91........................27703
350.3  Regulation at 56 FR 28031 eff. 8-19-91......................27703

[[Page 554]]

356  Authority citation revised....................................30343
356.2  (d) added (effective date pending)..........................30343
356.3  Regulation at 56 FR 28031 eff. 8-19-91......................27703
    (b) and (c)(2) amended; (d) added (effective date pending).....30343
361.1  (b)(3) added; (c)(2) amended; (effective date pending)......28440
361.41  (b)(1) and (2) revised; (b)(3) added (effective date 
        pending)...................................................28440
361.43  (a)(4) revised (effective date pending)....................28441
361.86  Regulation at 56 FR 33149 eff. 9- 2-91.....................27703
361.170  (d) revised (effective date pending)......................56797
361.171  (b) and (c) redesignated as (c) and (d); new (b) added 
        (effective date pending)...................................56797
363  Revised (effective date pending)..............................28437
376  Authority citation revised....................................28441
376.1  Amended (effective date pending)............................28441
376.3  (c) added (effective date pending)..........................28441
376.4  Revised (effective date pending)............................28441
380.5  (a)(6) revised (effective date pending).....................28441
380.9  (c) revised (effective date pending)........................28441
380.11  OMB number.................................................14315
380.12  OMB number.................................................14315
380.13  OMB number.................................................14315
380.20 (Subpart C)  Added (effective)..............................28442

                                  1993

34 CFR
                                                                   58 FR
                                                                    Page
Chapter III
300  Regulation at 57 FR 44798 eff. 11-13-92.......................36870
    Regulation at 57 FR 48694 eff. 11-13-92........................36870
300.17  Regulation at 57 FR 48694 eff. 11-13-92....................36870
300.18  Regulation at 57 FR 48694 eff. 11-13-92....................36870
300.110  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.111  Regulation at 57 FR 48694 eff. 11-13-92...................36870
300.121  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.122  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.123  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.125  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.126  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.127  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.128  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.129  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.130  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.131  OMB number................................................13528
300.131  Regulation at 57 FR 44798 eff. 11-13-92...................36870
300.132  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.133  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.134  OMB number................................................13528
      Regulation at 57 FR 44798 eff. 11-13-92......................36870
300.136  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.138  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.139  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.140  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870

[[Page 555]]

300.141  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.144  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.146OMB number..................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.148  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.149  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.152  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.153  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.180  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.192  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.220  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.222  OMB number................................................13528
      Regulation at 57 FR 44798 eff. 11-13-92......................36870
300.223  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.224  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.225  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.226  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.227  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.230  Regulations at 57 FR 37654 and 44798 eff. in part 10-3-92 
        and 11-13-92...............................................36870
300.231  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.235  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.238  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.240  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.280  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.281  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.284  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.341  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.343  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.345  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.346  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.349  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.380  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.381  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.382  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.383  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.402  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.482  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.483  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.486  Regulation at 57 FR 56796 eff. 1-29-93....................36870

[[Page 556]]

300.487  Regulation at 57 FR 56796 eff. 1-29-93....................36870
300.505  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.510  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.512  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.532  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.533  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.543  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.561  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.562  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.563  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.565  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.569  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.570  Regulation at 57 FR 48694 eff. 11-13-92...................36870
300.571  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.572  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.574  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.575  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.586  Regulation at 57 FR 56796 eff. 1-29-93....................36870
300.587  Regulation at 57 FR 56796 eff. 1-29-93....................36870
300.589  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.600  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.653  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.660  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.661  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.662  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.670--300.672  Regulation at 57 FR 30342 eff. 9-18-92...........36870
300.670  Regulation at 57 FR 30342 eff. 9-18-92....................36870
300.671  Regulation at 57 FR 30343 eff. 9-18-92....................36870
300.672  Regulation at 57 FR 30343 eff. 9-18-92....................36870
300.750  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.751  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
300.754  OMB number................................................13528
    Regulation at 57 FR 44798 eff. 11-13-92........................36870
301.1  Regulation at 57 FR 44840 eff. 11-13-92.....................36870
301.3  Regulation at 57 FR 44840 eff. 11-13-92.....................36870
301.6  Regulation at 57 FR 44840 eff. 11-13-92.....................36870
301.10  Regulation at 57 FR 44840 eff. 11-13-92....................36870
301.30  Regulation at 57 FR 44840 eff. 11-13-92....................36870
303  Revised (effective date pending)..............................40959
303.124  Regulation at 57 FR 37654 eff. 10-3-92....................36870
305.10  Heading revised; (b) amended (effective date pending).......9462
    Regulation at 58 FR 9462 eff. 4-28-93..........................36871
305.11  Redesignated as 305.12; new 305.11 added (effective date 
        pending)....................................................9462

[[Page 557]]

    Regulation at 58 FR 9462 eff. 4-28-93..........................36871
305.12  Redesignated from 305.11 (effective date pending)...........9462
    Regulation at 58 FR 9462 eff. 4-28-93..........................36871
305.30  Amended (effective date pending)............................9463
    Regulation at 58 FR 9463 eff. 4-28-93..........................36871
305.31  Heading, (a)(1), (2) and (f)(2) revised; OMB number 
        (effective date pending)....................................9463
    Regulation at 58 FR 9463 eff. 4-28-93..........................36871
305.40  Heading and introductory text revised; OMB number 
        (effective date pending)....................................9463
    Regulation at 58 FR 9463 eff. 4-28-93..........................36871
307.4  Regulation at 57 FR 28965 eff. 9-18-92......................36870
309.2  Regulation at 57 FR 28965 eff. 9-18-92......................36870
309.3  Regulation at 57 FR 28965 eff. 9-18-92......................36870
309.5  Regulation at 57 FR 28965 eff. 9-18-92......................36870
309.22  Regulation at 57 FR 28965 eff. 9-18-92.....................36870
309.30--309.33 (Subpart D)  Regulation at 57 FR 28966 eff. 9-18-92
                                                                   36870
309.30  Regulation at 57 FR 28966 eff. 9-18-92.....................36870
309.33  Regulation at 57 FR 28966 eff. 9-18-92.....................36870
309.34  Regulation at 57 FR 28966 eff. 9-18-92.....................36870
315.4  Regulation at 57 FR 28966 eff. 9-18-92......................36870
316  Regulation at 57 FR 62096 eff. 2-25-93........................36871
318  Authority citation revised....................................27441
    Regulation at 57 FR 62099 eff. 2-25-93.........................36871
318.2  (a) revised; (d) added (effective date pending).............27441
    Regulation at 58 FR 27441 eff. 6-21-93.........................36871
318.10  (a) introductory text revised; (a)(6), (7) and (8) added 
        (effective date pending)...................................27441
    Regulation at 58 FR 27441 eff. 6-21-93.........................36871
318.11  (a)(18) revised; (a)(20) and (21) added (effective date 
        pending....................................................27441
    Regulation at 58 FR 27441 eff. 6-21-93.........................36871
318.20  (a), (b) introductory text, (d), and (f) revised; (g) 
        added (effective date pending).............................27441
    Regulation at 58 FR 27441 eff. 6-21-93.........................36871
318.22  Heading and introductory text revised (effective date 
        pending)...................................................27441
    Regulation  at 58 FR 27441 eff. 6-21-93........................36871
318.25  Revised (effective date pending)...........................27441
    Regulation at 58 FR 27441 eff. 6-21-93.........................36871
319  Regulation at 57 FR 62106 eff. 2-25-93........................36871
324  Regulation at 57 FR 28966 eff. 9-18-92........................36870
324.10  Regulation at 57 FR 28966 eff. 9-18-92.....................36870
327.30  Regulation at 57 FR 28966 eff. 9-18-92.....................36870
346.3  Revised (effective date pending)............................49419
347.3  (a) and (c) revised (effective date pending)................49419
354.1  Amended (effective date pending)............................49419
354.10  (b)(1) through (5) amended (effective date pending)........49419
355.1  Amended (effective date pending)............................49419
355.10  (c) amended (effective date pending).......................49419
356.1  Amended (effective date pending)............................49419
356.2  Regulation at 57 FR 30343 eff.9-18-92.......................36870
    (b) amended (effective date pending)...........................49419
356.3  Regulation at 57 FR 30343 eff.9-18-92.......................36870
    (c)(2) amended (effective date pending)........................49419
356.11  Revised (effective date pending)...........................49419
357.32  (a)(3) added (effective date pending)......................49419

[[Page 558]]

358  Authority citation revised....................................49419
358.1  Authority citation revised (effective date pending).........49419
358.10  (a) amended; authority citation revised (effective date 
        pending)...................................................49419
358.30  Authority citation revised (effective date pending)........49420
358.31  (a)(3) and authority citation revised (effective date 
        pending)...................................................49420
358.32  Authority citation revised (effective date pending)........49420
358.33  Authority citation revised (effective date pending)........49420
358.34  Authority citation revised (effective date pending)........49420
359  Authority citation revised....................................49420
359.1  Authority citation revised (effective date pending).........49420
359.2  Revised (effective date pending)............................49420
359.3  Authority citation revised (effective date pending).........49420
359.4  Authority citation revised (effective date pending).........49420
359.10  Authority citation revised (effective date pending)........49420
359.11  (f) redesignated as (g); new (f) added; authority citation 
        revised (effective date pending)...........................49420
359.30  Authority citation revised (effective date pending)........49420
359.31  (c)(4)(iii) and authority citation revised (effective date 
        pending)...................................................49420
359.32  Authority citation revised (effective date pending)........49420
360.31  (a)(2), (b)(1) and (d)(3) revised (effective date pending)
                                                                   49420
361.1  Regulation at 57 FR 28440 eff. 8-8-92.......................36870
361.41  Regulation at 57 FR 28440 eff. 8-8-92......................36870
361.43  Regulation at 57 FR 28441 eff. 8-8-92......................36870
361.170  Regulation at 57 FR 56797 eff. 1-29-93....................36870
361.171  Regulation at 57 FR 56797 eff. 1-29-93....................36870
363  Regulation at 57 FR 28437 eff. 8-8-92.........................36870
376  Regulation at 57 FR 28441 eff. 8-8-92.........................36870
376.1  Regulation at 57 FR 28441 eff. 8-8-92.......................36870
376.3  Regulation at 57 FR 28441 eff. 8-8-92.......................36870
376.4  Regulation at 57 FR 28441 eff. 8-8-92.......................36870
377  Added (effective date pending)................................40709
378  Revised (effective date pending)..............................35764
380.5  Regulation at 57 FR 28441 eff. 8-8-92.......................36870
380.9  Regulation at 57 FR 28441 eff. 8-8-92.......................36870
380.20  Regulation at 57 FR 28442 eff. 8-8-92......................36870
381  Added (effective date pending)................................43022

                                  1994

34 CFR
                                                                   59 FR
                                                                    Page
Chapter III
303  Regulation  at 58 FR 40959 eff. 9-13-93.......................32656
319.3  Introductory text corrected..................................1651
346.3  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
347.3  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
354.1  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
354.10  Regulation  at 58 FR 49419 eff. 11-6-93....................32657
355.1  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
355.10  Regulation  at 58 FR 49419 eff. 11-6-93....................32657
356.1  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
356.2  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
356.3  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657
356.11  Regulation  at 58 FR 49419 eff. 11-6-93....................32657
357.32  Regulation  at 58 FR 49419 eff. 11-6-93....................32657
358.1  Regulation  at 58 FR 49419 eff. 11-6-93.....................32657

[[Page 559]]

358.10  Regulation  at 58 FR 49419 eff. 11-6-93....................32657
358.30  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
358.31  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
358.32  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
358.33  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
358.34  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
359.1  Regulation  at 58 FR 49420 eff. 11-6-93.....................32657
359.2  Regulation  at 58 FR 49420 eff. 11-6-93.....................32657
359.3  Regulation  at 58 FR 49420 eff. 11-6-93.....................32657
359.4  Regulation  at 58 FR 49420 eff. 11-6-93.....................32657
359.10  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
359.11  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
359.30  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
359.31  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
359.32  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
360.31  Regulation  at 58 FR 49420 eff. 11-6-93....................32657
363  Revised  (effective date pending)..............................8331
    Regulation  at 59 FR 8331 eff. 4-20-94.........................32657
364  Added (effective date pending)................................41887
364.10  OMB number.................................................41890
364.11  OMB number.................................................41890
364.12  OMB number.................................................41890
364.13  OMB number.................................................41890
364.20  OMB number.................................................41891
364.21  OMB number.................................................41892
364.22  OMB number.................................................41892
364.23  OMB number.................................................41893
364.24  OMB number.................................................41893
364.25  OMB number.................................................41893
364.26  OMB number.................................................41893
364.27  OMB number.................................................41893
364.28  OMB number.................................................41893
364.29  OMB number.................................................41893
364.30  OMB number.................................................41893
364.31  OMB number.................................................41893
364.32  OMB number.................................................41894
364.33  OMB number.................................................41894
364.34  OMB number.................................................41894
364.35  OMB number.................................................41894
364.36  OMB number.................................................41894
364.37  OMB number.................................................41894
364.38  OMB number.................................................41894
364.39  OMB number.................................................41894
364.40  OMB number.................................................41894
364.41  OMB number.................................................41894
364.42  OMB number.................................................41895
364.43  OMB number.................................................41895
364.50  OMB number.................................................41895
364.51  OMB number.................................................41895
364.52  OMB number.................................................41895
364.53  OMB number.................................................41895
364.59  OMB number.................................................41895
365  Revised (effective date pending)..............................41898
365.30  OMB number.................................................41899
365.31  OMB number.................................................41899
366  Revised (effective date pending)..............................41900
366.2  OMB number..................................................41900
366.12  OMB number.................................................41901
366.15  OMB number.................................................41901
366.21  OMB number.................................................41902
366.23  OMB number.................................................41903
366.24  OMB number.................................................41903
366.27  OMB number.................................................41903
366.28  OMB number.................................................41904
366.29  OMB number.................................................41904
366.32  OMB number.................................................41905
366.37  OMB number.................................................41905
366.38  OMB number.................................................41906
366.39  OMB number.................................................41906
366.40  OMB number.................................................41906
366.41  OMB number.................................................41906
366.42  OMB number.................................................41907
366.43  OMB number.................................................41907
366.44  OMB number.................................................41907
366.45  OMB number.................................................41908
366.50  OMB number.................................................41908
367  Revised (effective date pending)..............................41909
367.11  OMB number.................................................41910
367.22  OMB number.................................................41910
367.31  OMB number.................................................41912
367.32  OMB number.................................................41912
367.42  OMB number.................................................41912
369.1  (a), (b)(1) and (3) through (7) amended; authority citation 
        revised (effective date pending)............................8335
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657

[[Page 560]]

369.2  (a), (c), (d), (f) and (h) amended; (e) and (g) revised 
        (effective date pending)....................................8335
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657
369.3  (a) revised (effective date pending).........................8335
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657
369.4  (b) revised (effective date pending).........................8335
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657
369.21  Added; OMB number (effective date pending)..................8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
369.31  (a)(2)(v)(A) and (b)(2)(iv)(A) amended (effective date 
        pending)....................................................8335
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657
369.42  Heading and authority citation revised; existing text 
        designated as (a); (b) added (effective date pending).......8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
369.43  Amended (effective date pending)............................8335
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657
369.44  Removed; new 369.44 redesignated from 369.45 and amended 
        (effective date pending)....................................8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
369.45  Redesignated as 369.44; new 369.45 redesignated from 
        369.46 (effective date pending).............................8337
    Regulations  at 59 FR 8335 and 8337 eff. 4-20-94...............32657
369.46  Amended (effective date pending)............................8335
    Redesignated  as 369.45; new 369.46 redesignated from 369.47 
(effective date pending)............................................8337
    Regulation  at 59 FR 8335 eff. 4-20-94.........................32657
369.47  Redesignated as 369.46; new 369.47 redesignated from 
        369.48 (effective date pending).............................8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
369.48  Amended (effective date pending)............................8335
    Redesignated  as 369.47 (effective date pending)................8337
    Regulations  at 59 FR 8335 and 8337 eff. 4-20-94...............32657
371  Heading revised (effective date pending).......................8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
371.1  Amended (effective date pending).............................8337
    Heading  revised (effective date pending).......................8338
    Regulations  at 59 FR 8337 and 8338 eff. 4-20-94...............32657
371.4  (b) authority citation revised (effective date pending)......8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
371.10  Revised (effective date pending)............................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
371.21  (d) through (i) amended (effective date pending)............8337
    (c)  revised; (j) amended (effective date pending)..............8338
    Regulations  at 59 FR 8337 and 8338 eff. 4-20-94...............32657
371.30  (f)(2)(i) and (ii) amended (effective date pending).........8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
371.40  Authority citation revised (effective date pending).........8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
371.41  (a)(2) and (b) amended (effective date pending).............8337
    Regulation  at 59 FR 8337 eff. 4-20-94.........................32657
371.42  (a) and (c) amended (effective date pending)................8337
    (a)  amended (effective date pending)...........................8338
    Regulations  at 59 FR 8337 and 8338 eff. 4-20-94...............32657
371.43  (a) and (b) amended (effective date pending)................8337
    Authority  citation revised (effective date pending)............8338
    Regulations  at 59 FR 8337 and 8338 eff. 4-20-94...............32657

[[Page 561]]

373  Heading revised (effective date pending).......................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
373.1  Revised (effective date pending).............................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
373.10  Revised (effective date pending)............................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
373.11  Heading, introductory text, (a) and (c) revised (effective 
        date pending)...............................................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
373.12  Revised (effective date pending)............................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
373.30  (f)(2)(i), (g)(2)(i), (iv) and (h)(2) revised (OMB number 
        pending)....................................................8338
    Regulation  at 59 FR 8338 eff. 4-20-94.........................32657
    OMB  number....................................................33680
373.40  Revised (effective date pending)............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
373.41  Removed (effective date pending)............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
373.42  Removed (effective date pending)............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374  Heading revised (effective date pending).......................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.1  Revised (effective date pending).............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.3  (b) amended (effective date pending).........................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.10  (a) revised; (c) amended (effective date pending)...........8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.30  (f)(1), (g)(1), (2)(i), (ii), (iv) and (v) amended 
        (effective date pending)....................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.40  Revised (effective date pending)............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.41  Removed; new 374.41 redesignated from 374.42 and amended 
        (effective date pending)....................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.42  Redesignated as 374.41 (effective date pending).............8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
374.43  Removed (effective date pending)............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375  Heading revised (effective date pending).......................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.1  Amended; heading and authority citation revised (effective 
        date pending)...............................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.2  (a) amended (effective date pending).........................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.4  (b)(1) amended (effective date pending)......................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.10  Amended (effective date pending)............................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.30  (g)(2) amended; authority citation revised (effective date 
        pending)....................................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.40  Authority citation revised (effective date pending).........8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657

[[Page 562]]

375.41  (a) and (b) amended; authority citation revised (effective 
        date pending)...............................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
375.42  Amended; authority citation revised (effective date 
        pending)....................................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
376  Heading  revised (effective date pending)......................8339
    Authority  citation revised.....................................8339
    Regulation  at 59 FR 8339 eff. 4-20-94.........................32657
376.1  Amended;  heading and authority citation revised (effective 
        date pending)...............................................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.2  Authority citation revised (effective date pending)..........8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.3  Authority  citation revised (effective date pending).........8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.4  (d)(2)  removed; (d)(1) amended; (d)(3) redesignated as as 
        (d)(2); new (d)(3) added; Authority citation revised, 
        (effective date pending)....................................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.10  (a)(1), (2) and (c) amended; authority citation revised 
        (effective date pending)....................................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.30  (a), (b), (c) heading, (e) and (f) amended; authority 
        citation revised............................................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.31  (f)(1), (2)(ii), (g)(2)(i) and (h)(2)(ii) amended; 
        authority citation revised (effective date pending).........8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.40  Revised (effective date pending)............................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
376.41  Authority citation revised (effective date pending).........8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
377  Regulation  at 58 FR 40709 eff. 12-12-93......................32656
377.5  (a) amended (effective date pending).........................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
377.11  Authority citation revised (effective date pending).........8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
378  Regulation  at 58 FR 35764 eff. 9-6-94........................32656
378.3  Authority citation revised (effective date pending)..........8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
379.1  Revised (effective date pending).............................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
379.2  Revised (effective date pending).............................8340
    Regulation  at 59 FR 8340 eff. 4-20-94.........................32657
379.3  Redesignated as 379.4; new 379.3 added (effective date 
        pending)....................................................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.4  Redesignated as 379.5; new 379.4 redesignated from 379.3 
        (effective date pending)....................................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.5  Redesignated from 379.4 (effective date pending).............8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.10  (a) through (d) revised; (e) added (effective date 
        pending)....................................................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.11  Added (effective date pending)..............................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.30  (f)(1), (2)(i), (ii), (iii), (g)(2)(i) and (h)(1) amended 
        (effective date pending)....................................8341

[[Page 563]]

    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.31  (a) and authority citation revised (effective date 
        pending)....................................................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.41  (f) and (g) revised (effective date pending)................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.42  Introductory text and (a) amended (effective date pending)
                                                                    8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
379.43  (d) amended; (f) and (i) removed; (g), (h), and (j) 
        through (n) redesignated as (f) through (l) and revised 
        (OMB number pending)........................................8341
    Regulation  at 59 FR 8341 eff. 4-20-94.........................32657
    OMB  number....................................................33680
379.44  (c) added (effective date pending)..........................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380  Heading revised (effective date pending).......................8342
    Authority  citation revised.....................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.1  Revised (effective date pending).............................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.2  (a) and (b) amended; authority citation revised (effective 
        date pending)...............................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.3  (a) and (b) amended; authority citation revised (effective 
        date pending)...............................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.4  Heading, (b)(1), (2) introductory text, (i) and (ii) 
        amended; authority citation revised (effective date 
        pending)....................................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.5  (a)(5),  (6) and authority citation revised (effective date 
        pending)....................................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.6  (b) amended; authority citation revised (effective date 
        pending)....................................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.7  Authority citation revised (effective date pending)..........8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.8  Introductory text amended; (a), (c) and authority citation 
        revised (effective date pending)............................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.9  (b),  (c) and authority citation revised (effective date 
        pending)....................................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.10  Authority citation revised (effective date pending).........8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.11  (h)(2)(i) amended; authority citation revised (effective 
        date pending)...............................................8342
    Heading,  (a)(2) and (b)(1)(iv) amended (effective date 
pending)............................................................8343
    Regulations  at 59 FR 8342 and 8343 eff. 4-20-94...............32657
380.12  (f) and (g)(1) amended; authority citation revised 
        (effective date pending)....................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.13  (h)(1), (2)(i) and (ii) amended; authority citation 
        revised (effective date pending)............................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.14  Authority citation revised..................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.15  Added; OMB number (effective date pending)..................8343
    Regulation  at 59 FR 8343 eff. 4-20-94.........................32657

[[Page 564]]

380.20  Amended;  authority citation revised (effective date 
        pending)....................................................8342
    Regulation  at 59 FR 8342 eff. 4-20-94.........................32657
380.21  Added (effective date pending)..............................8343
    Regulation  at 59 FR 8343 eff. 4-20-94.........................32657
381  Regulation  at 58 FR 43022 eff. 4-20-94.......................32657
381.2  (a) and (c) amended; (b) revised (effective date pending) 
                                                                    8343
    Regulation  at 59 FR 8343 eff. 4-20-94.........................32657
381.3  (a)(4) revised (effective date pending)......................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
381.5  (b) amended (effective date pending).........................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
381.10  (a)(6)(ii) revised (OMB number pending).....................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
    OMB  number....................................................33680
381.21  (h)(1) amended (effective date pending).....................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
381.30  (c) introductory text and (1) revised (effective date 
        pending)....................................................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
381.31  (b) amended (effective date pending)........................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
381.33  (b) revised; (d) amended (effective date pending)...........8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
385  Authority citation revised.....................................8344
385.1  Revised (effective date pending).............................8344
    Regulation  at 59 FR 8344 eff. 4-20-94.........................32657
385.2  Revised (effective date pending).............................8345
    Regulation  at 59 FR 8345 eff. 4-20-94.........................32657
385.3  Revised (effective date pending).............................8345
    Regulation  at 59 FR 8345 eff. 4-20-94.........................32657
385.4  (b) and authority citation revised (effective date pending)
                                                                    8345
    Regulation  at 59 FR 8345 eff. 4-20-94.........................32657
385.20  Amended (effective date pending)............................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
385.32  (a)(2)(v)(A), (b)(2)(iv)(A) and (iii) amended; authority 
        citation revised (effective date pending)...................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
385.40  Revised (effective date pending)............................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
385.41  Amended (effective date pending)............................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
385.43  Revised (effective date pending)............................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
385.44  Revised (effective date pending)............................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
385.45  Added (OMB number pending)..................................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
    OMB  number....................................................33680
385.46  Added (effective date pending)..............................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
386  Revised (effective date pending)..............................31066
387.1  Amended; authority citation revised (effective date 
        pending)....................................................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
387.2  Authority citation revised (effective date pending)..........8347

[[Page 565]]

    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
387.3  Authority citation revised (effective date pending)..........8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
387.10  Authority citation revised (effective date pending).........8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
387.30  (g)(2) and (h)(2)(iii) amended; authority citation revised 
        (effective date pending)....................................8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
387.40  Authority citation revised (effective date pending).........8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
387.41  Authority citation revised (effective date pending).........8347
    Regulation  at 59 FR 8347 eff. 4-20-94.........................32657
388  Revised (effective date pending)..............................40178
389.1  Authority citation revised (effective date pending)..........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
389.2  Authority citation revised (effective date pending)..........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
389.3  Authority citation revised (effective date pending)..........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
389.10  Authority citation revised (effective date pending).........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
389.30  (g) introductory text, (1) and (2) amended (effective date 
        pending)....................................................8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
389.40  Authority citation revised (effective date pending).........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
389.41  Authority citation revised (effective date pending).........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.1  Revised (effective date pending).............................8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.2  Authority citation revised (effective date pending)..........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.3  Authority citation revised (effective date pending)..........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.10  (a) and authority citation revised (effective date 
        pending)....................................................8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.30  (g) heading, (1) and (2) amended (effective date pending) 
                                                                    8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.40  Authority citation revised (effective date pending).........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
390.41  Authority citation revised (effective date pending).........8348
    Regulation  at 59 FR 8348 eff. 4-20-94.........................32657
396  Revised (effective date pending)..............................52220
396.20  OMB number.................................................52221
396.31  OMB number.................................................52221

                                  1995

34 CFR
                                                                   60 FR
                                                                    Page
Chapter III
346  Removed.......................................................27226
347  Removed.......................................................27226
350.1  Heading, (a) and (b)(3) revised.............................17426
350.2  Introductory text revised...................................17426
350.3  (d) revised.................................................17427
350.4  (b) amended.................................................17427
350.20  Revised; OMB number........................................17428
350.21  Added (OMB number).........................................17428
350.34  (b)(3), (4), (c)(12) and (13) amended; (b)(5) and (c)(14) 
        added; OMB number..........................................17428
350.40  (b)(1)(iii) revised........................................17428
350.41  Added......................................................17428
351.1  Revised.....................................................17429

[[Page 566]]

351.10  (a), (b)(3) through (7), (9) and authority citation 
        revised; (b)(10) added.....................................17429
352.1  Revised.....................................................17429
352.2  Revised.....................................................17429
352.10  Revised....................................................17429
352.31  (c)(2)(iii) and authority citation revised; (c)(2)(iv) and 
        (v) amended; (c)(2)(vi) and (vii) added....................17430
352.33  Revised....................................................17430
352.34  Added......................................................17430
352.40  Authority citation revised.................................17430
353  Authority citation revised....................................17430
    Heading revised................................................17430
353.1  Revised.....................................................17430
353.2  Revised.....................................................17430
353.10  Revised....................................................17430
353.31  (b)(2)(vi), (c)(2)(vi) and (3) amended; (c)(4) added; 
        authority citation revised.................................17431
353.33  Added......................................................17431
353.40  Added......................................................17431
353.41  Added......................................................17431
354  Removed.......................................................27226
356.3  (c) added...................................................17431
362  Removed.......................................................27226
364  Regulation at 59 FR 41887 eff. 9-29-94........................32912
365  Regulation at 59 FR 41897 eff. 9-29-94........................32912
366  Regulation at 59 FR 41900 eff. 9-29-94........................32912
    Authority citation revised.....................................39221
366.5  Redesignated as 366.6; new 366.5 added......................39221
366.6  Redesignated from 366.5.....................................39221
366.60--366.63 (Subpart G)  Added..................................39221
367  Regulation at 59 FR 41909 eff. 9-29-94........................32912
370  Revised.......................................................55766
371.1  Revised.....................................................58137
371.5  Added (OMB number)..........................................58137
372  Removed.......................................................27226
373.30  OMB number.................................................33680
374  Removed.......................................................27226
379.43  OMB number.................................................33680
381.10  OMB number.................................................33680
385.45  OMB number.................................................33680
386  Regulation at 59 FR 31066 eff. 7-31-94........................32912
388  Regulation at 59 FR 40178 eff. 9-21-94........................32912
396  Regulation at 59 FR 52220 eff. 11-28-94.......................32912

                                  1996

34 CFR
                                                                   61 FR
                                                                    Page
Chapter III
302  Removed.......................................................18681
345  Revised........................................................8161
345.30  OMB number pending..........................................8166
345.31  OMB number pending..........................................8168
345.42  OMB number pending..........................................8169
345.50  OMB number pending..........................................8170
345.53  OMB number pending..........................................8170
345.55  OMB number pending..........................................8171
358  Removed.......................................................18681
361.36  Revised (OMB number).......................................24402

                                  1997

   (Regulations published from January 1, 1997, through July 1, 1997)

34 CFR
                                                                   62 FR
                                                                    Page
Chapter III
350  Revised; eff. 10-1-97..........................................5713
351  Removed; eff. 10-1-97..........................................5713
352  Removed; eff. 10-1-97..........................................5713
353  Removed; eff. 10-1-97..........................................5713
355  Removed; eff. 10-1-97..........................................5713
357  Removed; eff. 10-1-97..........................................5713
360  Removed; eff. 10-1-97..........................................5713
361  Revised........................................................6334
363.6  (c)(1), (c)(2)(i), (ii) and authority citation revised.......6363
369  Authority citation revised....................................10403
    Interpretation.................................................14638
369.1  (b)(2) and (4) removed; (b)(3), (5) and (7) amended; 
        (b)(3), (5), (6), (7) and (8) redesignated as (b)(2) 
        through (6)................................................10403
369.2  (b) and (d) removed; (c) and (e) through (h) redesignated 
        as (b) through (f).........................................10403
369.21  Amended....................................................10403
369.30  Revised....................................................10404
369.31  Removed....................................................10404
369.32  Introductory text amended..................................10404
369.42  (b) amended................................................10404
371  Interpretation................................................14638
371.30  Removed....................................................10404
373  Removed.......................................................10404

[[Page 567]]

    Interpretation.................................................14638
375  Removed.......................................................10404
    Interpretation.................................................14638
376  Interpretation................................................14638
376.4  (c) and authority citation revised...........................6363
376.31  Removed....................................................10404
378  Removed.......................................................10404
    Interpretation.................................................14638
379.1--379.5 (Subpart A)  Revised...................................5689
379.10--379.11 (Subpart B)  Revised.................................5690
379.20--379.21 (Subpart C)  Revised.................................5690
379.30--379.31 (Subpart D)  Revised.................................5691
379.40--379.43 (Subpart E)  Revised.................................5691
379.50--379.53 (Subpart F)  Heading revised.........................5692
379.53  OMB number..................................................5692
379.54  Added.......................................................5692
380  Interpretation................................................14638
380.9  (c)(1)(i) and (ii) revised...................................6363
380.10  Revised....................................................10404
380.11  Removed....................................................10404
380.12  Removed....................................................10404
380.13  Removed....................................................10404
380.14  Revised....................................................10404
381  Interpretation................................................14638
381.20  Revised....................................................10404
381.21  Removed....................................................10404
385  Interpretation................................................14638
385.31  Revised....................................................10404
385.32  Removed....................................................10404
385.33  Introductory text amended..................................10404
386  Interpretation................................................14638
386.20  Revised....................................................10404
387  Interpretation................................................14638
387.30  Revised....................................................10405
388  Interpretation................................................14638
388.20  Revised....................................................10405
389  Interpretation................................................14638
389.30  Revised....................................................10405
390  Interpretation................................................14638
390.30  Revised....................................................10406
396  Interpretation................................................14638
396.30  Revised....................................................10406
396.31  Revised....................................................10406
396.32  Amended....................................................10406