[Federal Register Volume 60, Number 42 (Friday, March 3, 1995)]
[Rules and Regulations]
[Pages 12096-12097]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-5222]




[[Page 12095]]

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Part III





Department of Education





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34 CFR Part 75



Direct Grant Programs; Final Rule

Federal Register / Vol. 60, No. 42 / Friday, March 3, 1995 / Rules 
and Regulations 
[[Page 12096]] 

DEPARTMENT OF EDUCATION

34 CFR Part 75

RIN 1880-AA61


Direct Grant Programs

AGENCY: Department of Education.

ACTION: Final regulations.

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SUMMARY: The Secretary amends the Education Department General 
Administrative Regulations (EDGAR) to permit the Department to consider 
for funding, under appropriate discretionary grant programs 
administered by the Department, unsolicited grant applications. The 
Secretary takes this action as part of the Department's overall effort 
at re-invention. The authority to consider unsolicited applications 
allows the Department to respond to truly exceptional applications of 
national significance that might not conform to the Department's 
announced annual competitions.

EFFECTIVE DATE: These regulations take effect April 3, 1995.

FOR FURTHER INFORMATION CONTACT: Greg Vick, Grants Division, GCS, U.S. 
Department of Education, (Room 3636, ROB-3), 600 Independence Avenue, 
S.W., Washington, D.C., 20202-4700. Telephone: (202) 708-8199. 
Individuals who use a telecommunications device for the deaf (TDD) may 
call the Federal Information Relay Service (FIRS) at 1-800-877-8339 
between 8 a.m. and 8 p.m., Eastern time Monday through Friday.

SUPPLEMENTARY INFORMATION: The Secretary amends EDGAR to make a change 
in the procedures for selecting applications for new grants. The 
Secretary continues to believe that the vast majority of discretionary 
grant funds should be awarded on the basis of competition, and that for 
some of these competitions the Department should establish funding 
priorities in order to focus limited resources on critical issues and 
problems. However, the Secretary is also concerned that the constraints 
of the Department's grant schedules and funding priorities may preclude 
the Department's consideration of truly exceptional applications 
representing novel approaches to issues facing the nation or other 
groundbreaking ideas or methods appropriate to Department of Education 
programs.
    Under these amendments to EDGAR, the Department will continue to 
use existing procedures for announcing grant competitions and selecting 
applications for new grants. On what the Secretary expects to be rare 
occasions, the Secretary will also consider unsolicited applications 
that were not submitted in response to an application notice published 
in the Federal Register. However, the Secretary does not consider 
unsolicited applications under a program if the program office has 
published a notice in the Federal Register indicating that unsolicited 
applications will not be considered for that year.
    Any unsolicited applications that meet the requirements for 
existing or upcoming competitions of the Department will be considered 
under those competitions. Applications that could have been considered 
under competitions for which deadlines have passed will not be 
considered for funding as unsolicited applications unless the Secretary 
determines on an individual basis that, because of an exceptional 
circumstance, consideration of an application is warranted. Inability 
to meet a deadline for submitting an application under a grant 
competition, by itself, is not such a circumstance.

Analysis of Comments and Changes

    The Secretary published a notice of proposed rulemaking (NPRM) on 
December 9, 1994 (59 FR 63878). Two comments were received on the NPRM. 
Except for minor editorial and technical revisions, the Secretary has 
made no changes in these regulations since publication of the NPRM. A 
note has been added following Sec. 75.222 informing applicants of the 
address to which unsolicited applications should be sent to assure 
prompt consideration. An analysis of the comments follows.
    Comment: One commenter expressed support for the amendments 
permitting the Secretary to consider unsolicited applications.
    Discussion: None.
    Changes: None.
    Comment: One commenter questioned the source of the money to fund 
unsolicited applications and recommended an annual competition without 
priorities, format requirements, or regulations, to fund unsolicited 
applications.
    Discussion: Funding for unsolicited applications will come from 
available, but unobligated, funds for the program under which the 
application is considered for selection. An unsolicited application 
would be considered only if it would not have an adverse impact on the 
funds available for other awards planned for the program. Since the 
unsolicited applications would not be competing against each other, but 
would be considered on an individual basis to determine if they are of 
exceptional quality, the Secretary believes limiting the consideration 
of unsolicited applications to an annual competition would be 
unnecessarily restrictive.
    Changes: None.

Paperwork Reduction Act of 1980

    These regulations have been examined under the Paperwork Reduction 
Act of 1980 and have been found to contain no information collection 
requirements.

List of Subjects in 34 CFR Part 75

    Education Department, Grant programs--education, Grant 
administration, Incorporation by reference.

(Catalog of Federal Domestic Assistance Number does not apply)

    Dated: February 27, 1995.
Richard W. Riley,
Secretary of Education.

    The Secretary amends part 75 of title 34 of the Code of Federal 
Regulations as follows:

PART 75--DIRECT GRANT PROGRAMS

    1. The authority citation for part 75 is revised to read as 
follows:

    Authority: 20 U.S.C. 1221e-3 and 3474, unless otherwise noted.

    2. Section 75.219 is amended by removing the word ``or'' at the end 
of paragraph (a), removing the period at the end of paragraph (b)(3) 
and adding, in its place, ``; or'' and adding a new paragraph (c) to 
read as follows:


Sec. 75.219  Exceptions to the procedures under Sec. 75.217.

* * * * *
    (c) The Secretary receives an unsolicited application that meets 
the requirements of Sec. 75.222.
    3. Section 75.222 is redesignated as Sec. 75.221.
    4. A new Sec. 75.222 is added to read as follows:


Sec. 75.222  Procedures the Department uses under Sec. 75.219(c).

    If the Secretary receives an unsolicited application, the Secretary 
may consider the application under the following procedures unless the 
Secretary has published a notice in the Federal Register stating that 
the program that would fund the application would not consider 
unsolicited applications:
    (a)(1) The Secretary determines whether the application could be 
funded under a competition planned or conducted for the fiscal year 
under which funds would be used to fund the application. 
[[Page 12097]] 
    (2)(i) If the application could be funded under a competition 
described in paragraph (a)(1) of this section and the deadline for 
submission of applications has not passed, the Secretary refers the 
application to the appropriate competition for consideration under the 
procedures in Sec. 75.217.
    (ii)(A) If the application could have been funded under a 
competition described in paragraph (a)(1) of this section and the 
deadline for submission of applications has passed, the Secretary may 
consider the application only in exceptional circumstances, as 
determined by the Secretary.
    (B) If the Secretary considers an application under paragraph 
(a)(2)(ii) of this section, the Secretary considers the application 
under paragraphs (b) through (e) of this section.
    (iii) If the application could not be funded under a competition 
described in paragraph (a)(1) of this section, the Secretary considers 
the application under paragraphs (b) through (e) of this section.
    (b) If an application may be considered under paragraphs (a)(2)(ii) 
or (iii) of this section, the Secretary determines if--
    (1) There is a substantial likelihood that the application is of 
exceptional quality and national significance for a program 
administered by ED;
    (2) The application meets the requirements of all applicable 
statutes and codified regulations that apply to the program; and
    (3) Selection of the project will not have an adverse impact on the 
funds available for other awards planned for the program.
    (c) If the Secretary determines that the criteria in paragraph (b) 
of this section have been met, the Secretary assembles a panel of 
experts that does not include any employees of the Department to review 
the application.
    (d) The experts--
    (1) Evaluate the application based on the selection criteria; and
    (2) Determine whether the application is of such exceptional 
quality and national significance that it should be funded as an 
unsolicited application.
    (e) If the experts highly rate the application and determine that 
the application is of such exceptional quality and national 
significance that it should be funded as an unsolicited application, 
the Secretary may fund the application.

    Note to Sec. 75.222: To assure prompt consideration, applicants 
submitting unsolicited applications should send the application, 
marked ``Unsolicited Application'' on the outside, to the Chief, 
Application Control Center, U.S. Department of Education, 
Washington, DC 20202-4725.

(Authority: 20 U.S.C. 1221e-3 and 3474)

[FR Doc. 95-5222 Filed 3-2-95; 8:45 am]
BILLING CODE 4000-01-P