[Federal Register Volume 61, Number 92 (Friday, May 10, 1996)]
[Notices]
[Pages 21533-21534]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-11672]



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DEPARTMENT OF THE TREASURY

[Treasury Directive Number 12-70]


Delegation of Authority of Functions and Establishment of 
Responsibilities Relating to the Institute of American Indian Arts

May 3, 1996.
    1. Purpose. This Directive delegates authority and establishes 
responsibilities for functions relating to the Institute of American 
Indian and Alaska Native Culture and Arts Development's (referred to as 
the ``Institute of American Indian Arts'' or the ``Institute'') two 
trust funds: the Program Enhancement Endowment and the Capital 
Improvement Endowment.
    2. Scope. This Directive applies to the Office of the Assistant 
Secretary for Management & CFO, Office of Inspector General (OIG), 
Office of the Commissioner of Internal Revenue (IRS), Office of the 
Commissioner, Financial Management Service (FMS), and Office of the 
Deputy CFO.
    3. Background. Treasury Order (TO) 102-11 delegates the authority 
vested in the Secretary of the Treasury by 20 U.S.C. 4425 for the 
Institute of American Indian and Alaska Native Culture and Arts 
Development to the Assistant Secretary for Management & CFO and to the 
Inspector General.
    a. The Institute, a Government-controlled corporation and not an 
agency of the United States, was established by Congress in October 
1986 by Public Law (Pub. L.) 99-498. It submits an annual report to 
Congress, submits its budget directly to Congress, and receives 
appropriations (20 U.S.C. 4451) to meet normal operating expenses. It 
is designated as its own certifying agency for funds appropriated to it 
(20 U.S.C. 4451)(a)(4)). Pub. L. 101-644, 104 Stat. 4669, dated 
November 29, 1990, enacted an amended 20 U.S.C. 4425, ``Endowment 
Programs,'' expanding the role of the Secretary of the Treasury in the 
Institute. This amendment established the Program Enhancement Endowment 
and the Capital Improvement Endowment trust funds. Statutory amendments 
(Pub. L. 101-644, Title V, Sec. 505, dated November 29, 1990) and 20 
U.S.C. 4416(f) further established a Federal matching contribution for 
private contributions to the trust funds, such that the Program 
Enhancement Endowment and the Capital Improvement Endowment may accept, 
in addition to cash contributions, ``noncash, in-kind contributions of 
real or personal property'' which may be converted to cash. Federal 
matching contributions are limited by the annual appropriation for 
matching purposes.
    b. The statute requires the Secretary of the Treasury to:
    (1) establish procedures for appraisal of noncash donations to the 
Institute;
    (2) transfer to the Institute funds constituting the Federal 
capital contribution to the Program Enhancement and Capital Endowment 
trust funds established by Sec. 4425(a) and Sec. 4416(f) equal to the 
amount the Institute demonstrates it has received as private 
contributions (either cash or noncash). It is Treasury's responsibility 
to establish appropriate procedures concerning cash contributions and 
how the Institute will ``demonstrate'' receipt; and
    (3) review and approve the governing provisions of the trust funds 
established under Sec. 4425, including the recordkeeping requirements, 
as will allow for the Secretary of the Treasury to audit and monitor 
the activities of the trust funds covered in 20 U.S.C. 4425(c)(3).
    4. Delegations. The authority delegated to the Assistant Secretary 
for Management & CFO by TO 102-11 is redelegated as follows.
    a. The Deputy CFO is delegated the authority contained in 20 U.S.C. 
4425 to perform the functions vested in the Secretary by that section, 
as redelegated under TO 102-11, subject to the delegations in 
paragraphs 4.b. and 4.c.
    b. The Commissioner of Internal Revenue is delegated the authority 
to:
    (1) amend the procedures for appraising contributions to the 
Institute established in accordance with 20 U.S.C. 4425(a)(3); and
    (2) assist the General Services Administration (GSA) in reviewing 
such appraisals.
    c. The Commissioner, Financial Management Service, is delegated the 
authority to:
    (1) establish and maintain necessary Government account symbols for 
the Institute's appropriated amounts;
    (2) make payment transfers of Federal funds to the Institute 
pursuant to, and in accordance with, the provisions of 20 U.S.C. 4451, 
4425(a)(4) and (b)(5); and
    (3) complete all necessary Federal transfer and reporting forms 
related to the Institute's appropriated amounts.
    5. Responsibilities.
    a. The Inspector General (IG) shall perform an annual financial 
statement audit of the Program Enhancement Endowment and the Capital 
Improvement Endowment trust funds. The IG shall conduct these audits 
in-house or through a contractual arrangement.
    b. The Deputy CFO shall:
    (1) review and ensure that the recordkeeping procedures for the 
trust funds, the Program Enhancement Endowment and the Capital 
Improvement Endowment, are adequate to protect the financial interest 
of the United States for the:
    (a) investment of Federal funds received by the trust funds; and
    (b) expenditure of accumulated interest for the trust funds; and
    (2) monitor the activities of the trust funds by reviewing the 
quarterly unaudited financial statements for the trust funds.
    c. The Commissioner of Internal Revenue shall perform the duties 
stated in paragraph 4.b. and as specified in the Memorandum of 
Understanding (MOU) dated February 3, 1995, between GSA, the Institute 
and the Department of the Treasury.
    d. The Commissioner, Financial Management Service, shall perform 
the duties stated in paragraph 4.c. and as specified in the MOU dated 
February 3, 1995, between GSA, the Institute and the Department of the 
Treasury.
    6. Authorities.
    a. TO 102-11, ``Delegation--Institute of American Indian Arts,'' 
dated March 17, 1992.
    b. 20 U.S.C. 4425, ``Endowment Programs.''
    c. 20 U.S.C. 4451, ``Authorization of Appropriations.''
    d. 20 U.S.C. 4416(f), ``Applicability''
    7. Cancellation. Treasury Directive 12-70, ``Delegation of 
Authority of

[[Page 21534]]

Functions and Establishment of Responsibilities Relating to the 
Institute of American Indian Arts,'' dated November 25, 1992, is 
superseded.
    8. Expiration Date. This Directive expires three years from the 
date of issuance unless superseded or cancelled prior to that date.
    9. Office of Primary Interest. Office of the Deputy CFO, Office of 
the Assistant Secretary for Management & CFO.
George Munoz,
Assistant Secretary for Management & CFO.
[FR Doc. 96-11672 Filed 5-9-96; 8:45 am]
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