[Federal Register Volume 61, Number 192 (Wednesday, October 2, 1996)]
[Notices]
[Pages 51566-51573]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-25053]



[[Page 51565]]


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Part VI





Department of Housing and Urban Development





_______________________________________________________________________



Office of Assistant Secretary for Policy and Research; Hispanic-Serving 
Institutions Work Study Program; Funding Availability FY 1996; Notice

  Federal Register / Vol. 61, No. 192 / Wednesday, October 2, 1996 / 
Notices  

[[Page 51566]]



DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-4105-N-01]


Office of the Assistant Secretary for Policy Development and 
Research; Hispanic-Serving Institutions Work Study Program Notice of 
Funding Availability--FY 1996

AGENCY: Office of the Assistant Secretary for Policy Development and 
Research, HUD.

ACTION: Notice of Funding Availability (NOFA) for Fiscal Year (FY) 
1996.

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SUMMARY: This notice invites applications from certain institutions of 
higher education (i.e., public and private non-profit Hispanic-Serving 
community colleges) for grants under the Hispanic-Serving Institutions 
Work Study Program (HSI-WSP), to assist economically disadvantaged and 
minority students participating in work study programs. The HSI-WSP 
program was created through an earmarking of funds under the Community 
Development Work Study Program. This notice announces the availability 
of up to $3 million in grants from FY 1996 appropriations to fund the 
HSI-WSP.

EFFECTIVE DATE: October 2, 1996.

DATES: Applications must be physically received by the Office of 
University Partnerships, in care of the Division of Budget, Contracts, 
and Program Control, in Room 8230, Department of Housing and Urban 
Development, 451 Seventh Street, SW, Washington, DC 20410, by 4:30 p.m. 
Eastern Time on December 11, 1996. Facsimiles will not be accepted. 
This deadline is firm as to date, hour, and place. In the interest of 
fairness to all competing applicants, the Department will treat as 
ineligible for consideration any application that is received after the 
deadline. Applicants should take this practice into account and make 
early submissions of their materials to avoid any risk of loss of 
eligibility brought about by unanticipated delays or other delivery-
related problems. Applicants hand-delivering applications are advised 
that considerable delays may occur in attempting to enter the building 
because of security procedures.

ADDRESSES: Because of the limited number of institutions eligible to 
apply for the HSI-WSP, the Department will be sending an application 
kit directly to the President of each eligible institution, without 
requiring institutions to request them. Application kits may also be 
obtained by written request from the following address: HUD USER, ATTN: 
Hispanic-Serving Institutions Work Study Program, P.O. Box 6091, 
Rockville, MD 20850. Requests for application kits may be faxed to: 
301-251-5767 (this is not a toll-free number). Such requests must 
include the applicant's name, mailing address (including zip code), 
telephone number (including area code), and must refer to ``Document 
FR-4105.'' In addition, the application kit is available on the 
Internet from the Office of University Partnerships Clearinghouse. The 
Clearinghouse can be accessed from the World Wide Web at: http://
oup.aspensys.com:89; or from a Gopher Server at: gopher://
oup.aspensys.com:77.

FOR FURTHER INFORMATION CONTACT: Jane Karadbil, Office of University 
Partnerships, Department of Housing and Urban Development, 451 Seventh 
Street, SW, Washington, DC 20410; telephone (202) 708-1537, extension 
218. The TTY number for the hearing impaired is (202) 708-1455. (These 
are not toll-free numbers.) The Federal Information Relay Service toll 
free number is 800-877-8339. Ms. Karadbil can also be reached via the 
Internet at [email protected].

SUPPLEMENTARY INFORMATION:

A. Background

    ``The Departments of Veterans Affairs and Housing and Urban 
Development and Independent Agencies Appropriations Act, 1996'' (Public 
Law 104-134) appropriated funds for HUD's Community Development Work 
Study Program (CDWSP). The Conference Report, H. Rep. 104-384, dated 
December 6, 1995, which serves as guidance for that statute, earmarked 
funds for a new community development work study program for Hispanic-
Serving Institutions (HSIs) as part of the existing CDWSP. HUD has 
determined that this Report provides sufficient legal basis for 
establishing the Hispanic-Serving Institutions Work Study Program (HSI-
WSP).
    CDWSP was created through section 501(b)(2) of the Housing and 
Community Development Act of 1987 (Public Law 100-242, enacted on 
February 5, 1987), which added a new Section 107(c) to the Housing and 
Community Development Act of 1974 (42 U.S.C. 5301, et seq.). Under 
CDWSP regulations, HUD is authorized to provide grants to institutions 
of higher education, either directly or through area-wide planning 
organizations (APOs) or States, for the purpose of providing assistance 
to economically disadvantaged and minority students, including students 
with disabilities, who participate in community development work study 
programs and are enrolled in full-time graduate programs in community 
or economic development, community planning, or community management. 
While the statute creating CDWSP authorized funding for students 
enrolled in eligible undergraduate or graduate programs, a recently 
issued regulation has limited that program to graduate programs. HSI-
WSP is subject to the same statutory requirements applicable to the 
CDWSP. For the HSI-WSP, however, eligibility will be limited to two-
year public or private non-profit institutions of higher education, 
designated as Hispanic-Serving Institutions by the U.S. Department of 
Education (see Appendix A). It should be noted that while the term 
``undergraduate'' was never construed under CDWSP to include two-year 
institutions of higher education, the U.S. Department of Education 
includes these institutions in its definition of ``undergraduate.''

B. Purpose of Notice

    This notice announces the requirements that will govern the use of 
funds earmarked for HSI-WSP for fiscal year 1996. HUD believes good 
cause exists for making these requirements effective for fiscal year 
1996 without prior public comment, because the failure to make these 
requirements effective immediately would prevent the use of HSI-WSP 
funds during the 1996-1997 school year. The time period remaining 
before the end of the 1996-1997 school year will not allow HUD to 
publish proposed requirements, respond to public comments, publish a 
notice containing revised requirements, select recipients, and permit 
the recipients to bring their programs into operation. Today's notice 
will make funds available to recipients at the earliest possible date 
(i.e., the second semester of the 1996-1997 school year). Elsewhere in 
today's issue of the Federal Register, HUD is publishing a notice of 
proposed rulemaking for the HSI-WSP, based on the requirements of this 
NOFA. The notice of proposed rulemaking incorporates this NOFA by 
reference, states HUD's intention to use the requirements contained in 
this NOFA as the basis for a final rule amending 24 CFR part 570, and 
invites public comment on the announced requirements that will be used 
in subsequent funding rounds.
    This notice also solicits applications for the $3 million in 
funding available for HSI-WSP grants. The applications requirements and 
deadlines are set forth in sections XIV. through XVII. of the program 
description below.

[[Page 51567]]

C. HSI-WSP Program Description

I. Applicability and Objectives

    Under the HSI-WSP, HUD will make grants to certain public and 
private non-profit HSIs of higher education for the purpose of 
providing assistance to economically disadvantaged and minority 
students who participate in a work study program while enrolled in 
full-time community college programs in community building, and to 
provide entry to pre-professional careers in these fields.

II. Eligible Institutions

    Title III of the Higher Education Act of 1965 (20 U.S.C. 
1059c(b)(1)) defines an HSI generally as an eligible institution of 
education that has an enrollment of undergraduate full-time students 
that is at least 25 percent Hispanic; in which not less than 50 percent 
of the Hispanic students are low-income individuals (i.e., their 
families' taxable income for the preceding year did not exceed 150 
percent of the poverty level) who are first generation college 
students; and in which another 25 percent of the Hispanic students are 
either low-income individuals or first generation college students. The 
Department will use this definition to determine eligibility for the 
HSI-WSP. Further, the U.S. Department of Education has issued a list of 
all institutions meeting this definition. A list of the community 
colleges on this list appears as Appendix A to this Notice of Funding 
Availability. Only institutions on this list, or subsequently added to 
the U.S. Department of Education's list of qualified HSI's, prior to 
the application deadline, are eligible to apply for HSI-WSP funds under 
this Notice.
    The Department has decided to limit eligibility under the HSI-WSP 
to community colleges for several reasons. There are currently 200 
institutions of higher education certified by the U.S. Department of 
Education as ``Hispanic-Serving.'' Of this number 60 are universities, 
24 are four-year colleges, 27 are two-year proprietary, i.e., for-
profit, colleges, and 89 are public or private non-profit community 
colleges. Hispanic-Serving universities are already eligible for the 
CDWSP and there is no compelling reason to make them eligible for both 
programs. Because community colleges are not eligible for the CDWSP, 
their students are not able to partake of the benefits the program has 
to offer. Hispanic-Serving four-year colleges are not to be eligible 
under this NOFA, nor under the new final rule for the CDWSP. Creating a 
program which makes community colleges and four-year colleges and 
universities all eligible would mean two sets of policies and 
requirements because of the very different nature of the educational 
programs they provide. Undue complexity would be created for the 
benefit of just a few institutions. The Department has also limited 
eligibility to community colleges because it believes it is important 
to encourage and assist their previously under-served disadvantaged 
student population to gain entry to pre-professional community building 
career paths. Increasing access to these career paths will not only 
benefit the students, but also the communities in which they live and 
will work.
    The Department has decided to limit the program to non-profit two-
year institutions of higher education because it does not believe that 
for-profit institutions should benefit from this program.
    Areawide planning organizations (APOs) and States will not be 
eligible to apply for the HSI-WSP because the Department wishes to 
minimize the complexity of implementing a new program. With regard to 
the proposed rule published elsewhere in today's Federal Register, the 
Department requests comments on whether and under what circumstances, 
Hispanic-Serving community colleges could benefit from the eligibility 
of APOs and States.

III. Eligible Community Building Academic Programs

    The statute authorizing the Community Development Work Study 
Program requires that participating students be enrolled in a full-time 
program in ``community or economic development, community planning, or 
community management.'' The regulation governing the CDWSP (at 24 CFR 
part 570.415) construes this statutory language rather narrowly and 
specifies such academic disciplines as public administration, public 
policy, urban economics, urban management, or urban planning. However, 
because community colleges usually do not offer courses in these 
specific fields of study, it is necessary for the HSI-WSP to encompass 
a wider range of academic programs.
    Accordingly, this notice uses the terms ``community building 
associate degree program'' and ``community building academic program'' 
to reference the types of academic programs encompassed in the 
statutory phrase ``community or economic development, community 
planning, or community management,'' being construed broadly for 
purposes of the HSI-WSP. For the HSI-WSP, a community building 
associate degree program will encompass not only academic programs 
authorized under the CDWSP, but also other fields that promote 
community building or community or social services. For example, 
administration of justice, child development, and human services would 
all be eligible community building associate degree programs, while 
natural sciences, computer sciences, mathematics, accounting, 
electronics, engineering, and the humanities (such as English or 
history) would not.

IV. Eligible Work Experiences

    Work experiences under the HSI-WSP must complement the field of 
study the student is pursuing. For example, a student pursuing a degree 
in child development might work in a day care center, or a student 
pursuing a degree in the administration of justice might work with 
parole officers. Students are expected to work 12-20 hours a week 
during the academic year and 35-40 hours a week during the summer.

V. Eligible Students

    All students must be economically disadvantaged, regardless of 
whether they are members of a minority group. While the program is 
restricted to eligible Hispanic-Serving Institutions, the program may 
not be restricted to Hispanic students nor provide any preferential 
treatment in the selection of students based on race or ethnicity.
    Students must be attending the institution on a full-time basis, as 
defined by that institution, and pursuing an eligible community 
building associate degree. Students must have attained no more than 
half of the credits required for their degree at the time they first 
receive assistance under this program. If a student's participation 
terminates, the student may not be replaced; the grant will be reduced 
by the amount of unused funds allotted for that student.
    Students are required to maintain a satisfactory level of 
performance, defined for this purpose as a B average. However, with 
regard to the proposed rule published elsewhere in today's Federal 
Register, because some community colleges provide only pass/fail 
grades, comments are requested on whether this definition is 
appropriate or what definition should be substituted for it.

VI. Amount of Assistance to a Student

    Unlike the CDWSP, the amount of assistance that can be provided to 
a

[[Page 51568]]

student will be a lump sum, allowing the institution to determine how 
much will be used for various eligible expenditures. The maximum amount 
that may be provided per student is $13,200 a year, for two years. 
Eligible expenditures are limited to tuition and fees, a work stipend, 
books, and an allowance of $1,000 per student per year to cover the 
cost of the institution's administration of the program. While HUD will 
not set a maximum on how much can be spent for each eligible 
expenditure, except for the administrative allowance, the institution 
must be able to document that the amounts paid are based on usual 
student expenditures for that institution and that it has actually paid 
that amount to the student.

VII. Number of Students Assisted

    The minimum number of students that may be assisted is three per 
participating institution of higher education and the maximum is ten 
students per participating institution of higher education.

VIII. Graduation Rates

    The CDWSP regulations require that, in order for institutions of 
higher education to be eligible for funding competitions under that 
program, a 50-percent rate of graduation for students participating in 
that program be maintained. The regulations also include the rate of 
graduation from previous CDWSPs as a selection criterion. It is 
important to select institutions that are providing a high-quality 
education and other services that will ensure that their students 
graduate. However, because the HSI-WSP has no previous track 
experience, it is unclear whether such a threshold requirement and/or a 
selection criterion are appropriate. Since no previous rates of 
graduation will be available for the first funding round, this notice 
specifies no such threshold requirement or selection criterion. 
However, with regard to the proposed rule published elsewhere in 
today's Federal Register, the Department solicits comments on whether 
such a threshold requirement and/or selection criterion should be 
included in the final rule for the program, as well as how these should 
be applied.

IX. Definitions

    The following definitions apply to HSI-WSP:
    Applicant means a public or private non-profit institution of 
higher education that offers two year degree programs and qualifies as 
a Hispanic-Serving Institution.
    Community building means community and economic development, 
community planning, community management, land use, and housing 
activities.
    Community building associate degree program or academic program 
means the undergraduate associate degree program whose purpose and 
focus is to educate students in community building. The terms 
``community building academic program'' or ``academic program'' refer 
to the types of academic programs encompassed in the statutory phrase 
``community or economic development, community planning or community 
management.'' However, this statutory language is being construed 
broadly for the HSI-WSP to include but not be limited to associate 
degree programs in community and economic development, community 
planning, community management, public administration, public policy, 
urban economics, urban management, urban planning, and related fields 
of study. Related fields of study that promote community building, such 
as administration of justice, child development, and human services are 
eligible, while fields such as natural sciences, computer sciences, 
mathematics, accounting, electronics, engineering, and the humanities 
(such as English or history) would not.
    Community building field means any of the fields of study eligible 
under a community building academic program.
    Economically disadvantaged and minority students means students who 
satisfy all applicable guidelines established at the participating 
institution of higher education to measure financial need for academic 
scholarship or loan assistance, including, but not limited to, students 
who are Black, American Indian/Alaskan Native, Hispanic, Asian/Pacific 
Islands, and including students with disabilities.
    Hispanic-Serving Institution is an institution of higher education 
that the U.S. Department of Education has determined meets the criteria 
set out at 20 U.S.C. 1059c(b)(1), including the following: an 
institution that has an enrollment of undergraduate full-time students 
that is at least 25 percent Hispanic; in which not less than 50 percent 
of the Hispanic students are low-income individuals (i.e., 150 percent 
of the poverty level) who are first generation college students and 
another 25 percent are either low-income individuals or first 
generation college students. The U.S. Department of Education has 
determined the eligibility of specific institutions and has issued a 
list of institutions meeting this definition. A list of the community 
colleges on this list appears as Appendix A of this NOFA. Only 
institutions on this list, or subsequently added to the U.S. Department 
of Education's list prior to the application deadline, are eligible to 
apply for HSI-WSP funds under this Notice.
    HSI-WSP means the Hispanic-Serving Institutions Work Study Program.
    Institution of higher education means a public or private non-
profit educational institution that offers two-year associate degrees 
in a community building academic program and that is accredited by an 
accrediting agency or association recognized by the Secretary of 
Education.
    Recipient means an approved applicant that executes a grant 
agreement with HUD.
    Student means a person attending an institution of higher education 
on a full-time basis, as defined by that institution and pursuing an 
eligible community building degree. Students must have attained no more 
than half of the credits required for their degree at the time they 
first receive assistance under HSI-WSP.
    Student with disabilities means a student who meets the definition 
of a ``person with disabilities'' in the Americans with Disabilities 
Act of 1990.

X. Assistance Provided

    (a) Types of assistance available.
    HUD provides funding in the form of grants to recipients who make 
assistance available to eligible students. Grants are provided to cover 
the costs of student assistance and for an administrative allowance.
    (b) Student assistance.
    Grant funds may be provided to students in the form of student 
stipends, tuition support, and additional support.
    (1) Student stipend. The amount of the student stipend should be 
based on the hourly rate for initial entry positions in the community 
building field and the number of hours worked by the student at the 
work placement assignment. The hourly rate should be sufficiently high 
to allow the student to earn the full stipend, as determined by the 
recipient, without working over 20 hours per week during the school 
year and 40 hours per week during the summer.
    (2) Tuition support. The amount of tuition support may not exceed 
the tuition and required fees charged at the participating institution 
of higher education.
    (3) Additional support. The recipient may provide additional 
support for books and for travel related to the academic program or 
work placement assignment. Costs associated with reasonable 
accommodations for students

[[Page 51569]]

with disabilities including, but not limited to, interpreters for the 
deaf/hard of hearing, special equipment, and braille materials are 
eligible under this category.
    (c) Administrative allowance.
    HUD provides an allowance to recipients to cover the administrative 
costs of the program. The administrative allowance is $1,000 per year 
for each student participating in the program; however no more than 20 
percent of the grant may be used for planning and program 
administrative costs. The maximum amount that can be provided for each 
student is $13,200 a year, including $1,000 for the administrative 
allowance. HUD will not set a maximum on how much should be spent for 
each eligible expenditure, aside from the $1,000 limit on 
administrative costs. However, the institution must be able to document 
that the amounts paid are based on usual student expenditures for that 
institution and that it has actually paid that amount to the student.
    (d) Number of students assisted.
    The minimum number of students that may be assisted is three 
students per participating institution of higher education. The maximum 
number of students that may be assisted is ten students per 
participating institution of higher education.

XI. Recipient Eligibility and Responsibilities

    (a) Recipient eligibility.
    Hispanic-Serving Institutions of higher education offering 
undergraduate two-year associate degrees in a community building 
associate degree program are eligible for assistance under the HSI-WSP.
    (b) Recipient responsibilities.
    The recipient is responsible for administering the program, for 
compliance with all program requirements, and for coordination of 
program activities carried out by the work placement agencies. The 
recipient must:
    (1) Recruit and select students for participation in the HSI-WSP. 
The recipient shall establish recruitment procedures that identify 
eligible economically disadvantaged and minority students pursuing 
careers in community building, and make them aware of the availability 
of assistance opportunities. While the program is restricted to HSIs, 
the recipient may neither restrict the program to any particular 
minority group or groups nor provide any preferential treatment in the 
selection of students based on race or ethnicity. Students must be 
selected before the beginning of the semester for which funding is 
being provided. If a student's participation terminates, the student 
may not be replaced; the grant will be reduced by the amount of unused 
funds allotted for that student.
    (2) Provide the educational component for participating students.
    (3) Recruit and select work placement agencies, and negotiate and 
execute an agreement covering each work placement assignment.
    (4) Refer participating students to work placement agencies and 
assist students in the selection of work placement assignments.
    (5) Assign sufficient staff to administer and supervise the program 
on a day-to-day basis.
    (6) Encourage participating students to obtain post-graduation 
employment with a unit of State or local government, APO, Indian tribe 
or nonprofit organization engaged in community building.
    (7) Maintain records by racial and ethnic categories for each 
economically disadvantaged and minority student participating in the 
HSI-WSP.
    (8) Keep such records and make such reports as HUD may require.
    (9) Comply with all other applicable Federal requirements.

XII. Work Placement Agencies Eligibility and Responsibilities

    (a) Work placement agency eligibility.
    To be eligible to participate in the HSI-WSP, the work placement 
agency must be an agency of a State or local government, an areawide 
planning organization, an Indian tribe, or a private nonprofit 
organization involved in community building activities.
    (b) Work placement agency responsibilities.
    Work placement agencies must:
    (1) Provide practical experience and training in the community 
building field to participating students through work placement 
assignments.
    (2) Consult with the institution of higher education to ensure that 
the student's work placement assignment provides the requisite 
experience and training to meet the required number of work hours 
specified in the student work placement agreement.
    (3) Provide a sufficient number of work placement assignments to 
provide participating students with a wide choice of work experience.
    (4) Require each student to devote 12-20 hours per week during the 
regular school year, and 35-40 hours a week during the summer, to the 
work placement assignment. Work placement agencies may provide 
flexibility in the work period, if such a schedule is consistent with 
the requirements of the student's academic program. However, a 
participating student may receive a stipend payment only during the 
period when the student is placed with the work placement agency.
    (5) Comply with all other applicable Federal requirements.
    (6) Maintain such records as HUD may require.

XIII. Student Eligibility, Selection, and Responsibilities

    (a) Student eligibility.
    Students apply directly to recipients receiving grants under the 
HSI-WSP. To be eligible for the HSI-WSP, the student:
    (1) Must satisfy all applicable guidelines established at the 
participating institution of higher education to measure financial need 
for academic scholarship or loan assistance.
    (2) Must be a full-time student enrolled in a community building 
associate degree program at the participating institution of higher 
education. The student must have attained no more than 50 percent of 
the credits required for his/her degree at the time the student first 
receives assistance under this program.
    (3) Must demonstrate an ability to maintain a satisfactory level of 
performance in a community building associate degree program (i.e., 
maintain a B average, as defined by the institution) and in work 
placement assignments, and comply with the professional standards set 
by the recipient and the work placement agencies.
    (4) May not have previously participated in the HSI-WSP.
    (b) Student selection.
    In selecting among the eligible students, the recipient must 
consider the extent to which each student has demonstrated:
    (1) Financial need under the applicable guidelines established at 
the institution of higher education;
    (2) An interest in, and commitment to, a career in community 
building;
    (3) The ability to satisfactorily complete the academic and work 
placement responsibilities under the HSI-WSP.
    (c) Student responsibilities.
    Participating students must:
    (1) Enroll or be enrolled in a two-year community building 
associate degree program. A student's academic and work placement 
responsibilities include: Full-time enrollment in an approved academic 
program; maintenance of a satisfactory level of performance in the 
community building associate degree program and in work placement 
assignments; and compliance with the professional conduct standards

[[Page 51570]]

set by the recipient and by the work placement agency. A satisfactory 
level of academic performance consists of maintaining a B average, as 
defined by the institution. A student's participation in the HSI-WSP 
shall be terminated for failure to meet these responsibilities and 
standards. If the student's participation is terminated, the student is 
ineligible for further HSI-WSP assistance.
    (2) Agree to make a good-faith effort to obtain post-graduation 
employment in community building with a unit of State or local 
government, an APO, an Indian tribe, or a non-profit organization. 
However, if the student does not obtain such employment, the student is 
not required to repay the assistance received.

XIV. Application Process

    HUD has developed an application package describing the information 
that applicants for HSI-WSP assistance must submit. The application due 
date is December 11, 1996. Because of the limited number of 
institutions eligible to apply for the HSI-WSP, the Department will be 
sending an application kit directly to the President of each eligible 
institution, without requiring institutions to request them. A list of 
the eligible institutions appears in Appendix A of this NOFA. 
Application kits may also be obtained by written request from the 
following address: HUD USER, ATTN: Hispanic-Serving Institutions Work 
Study Program, P.O. Box 6091, Rockville, MD 20850. Requests for 
application kits may be faxed to: 301-251-5767 (this is not a toll-free 
number). Such requests must include the applicant's name, mailing 
address (including zip code), telephone number (including area code), 
and must refer to ``Document FR-4105.'' In addition, the application 
kit is available on the Internet from the Office of University 
Partnerships Clearinghouse. The Clearinghouse can be accessed from the 
World Wide Web at: http://oup.aspensys.com:89; or from a Gopher Server 
at: gopher://oup.aspensys.com:77.

XV. Submitting Applications and Deadline Date and Time

    Applications for funding under this NOFA must be complete and must 
be physically received in the place designated in the application kit 
for receipt, by 4:30 p.m. Eastern Time on December 11, 1996. Facsimiles 
will not be accepted. The deadline date and time will be firm as to 
date, hour, and place. In the interest of fairness to all competing 
applicants, the Department will treat as ineligible for consideration 
any application that is received after the deadline. Applicants should 
take this practice into account and make early submission of their 
materials to avoid any risk of loss of eligibility brought about by 
unanticipated delays or other delivery related problems. Applicants 
hand-delivering applications are advised that considerable delays may 
occur in attempting to enter the building because of security 
procedures.

XVI. Selection Process

    The selection process for applications under the HSI-WSP consists 
of a threshold review, rating of eligible applications, and final 
selection.
    (a) Threshold. To be eligible for rating and ranking, an applicant 
must meet all of the following threshold requirements:
    (1) The application must be filed in the application form 
prescribed by HUD and physically received at the appropriate location 
by the required due date;
    (2) The applicant must demonstrate that it is an HSI;
    (3) The applicant must demonstrate that it is eligible to 
participate; and
    (4) The applicant must demonstrate that it has the required 
academic programs to carry out its activities under the HSI-WSP.
    (b) Rating. All applications that meet the threshold requirements 
will be rated according to the following selection factors.
    1. Quality of the Academic Program (40 points)--In rating this 
factor, HUD will evaluate: (i) the quality of the academic program in 
terms of community building course offerings and academic requirements 
for students, including its appropriateness to prepare students for 
careers in community building fields (25 points); and
    (ii) the qualifications of the faculty members and the percentage 
of time they will teach in the academic program and the qualifications 
of the academic supervisor to direct and manage the program (15 
points).
    2. Quality of the Proposed Student Work Placement Assignments (20 
points)--In rating this factor, HUD will evaluate the extent to which 
the participating students will receive a sufficient number and variety 
of work placement assignments that will provide practical and useful 
experience and further the participating students' preparation for 
professional careers in community building.
    3. Likelihood of Fostering Students' Permanent Post-Graduation 
Employment in Community Building (10 points)--In rating this factor, 
HUD will evaluate the extent to which the institution's educational 
program (based on past experience), including the assistance it 
provides to its students in finding post graduation permanent 
employment, has led directly and immediately to career opportunities in 
community building fields.
    4. Effectiveness of Program Administration (20 points)--In rating 
this factor, HUD will evaluate: (i) the degree to which the Program 
Director has clear responsibility, ample percentage of time, and 
sufficient institutional or academic authority to coordinate the 
overall administration of the program; and (ii) the adequacy of the 
applicant's plan for placing students in work placement assignments and 
keeping track of students during the two-year academic period and work 
placement assignments.
    5. Demonstrated Commitment of the Applicant to Meeting Economically 
Disadvantaged and Minority Students' Needs (10 points)--In rating this 
factor, HUD will evaluate the extent to which the applicant's 
recruitment activities, special education programs, and other means, 
including the provision of reasonable accommodations for students with 
disabilities, demonstrates an active, aggressive, and imaginative 
effort to identify, attract, and retain qualified minorities and 
economically disadvantaged students, including students with 
disabilities; and the extent to which the HSI-WSP award will not result 
in a decrease in the amount of the institution's own financial support 
available for minority and economically disadvantaged students, 
including students with disabilities, in the academic areas or the 
institution as a whole.
    (c) Corrections to Deficient Applications. After the submission 
deadline date, HUD will screen each application to determine whether it 
is complete. If an application lacks certain technical items or 
contains a technical error, such as an incorrect signatory, HUD will 
notify the applicant in writing that it has 14 calendar days from the 
date of HUD's written notification to cure the technical deficiency. If 
the applicant fails to submit the missing material within the 14-day 
cure period, HUD may disqualify the application.
    This 14-day cure period applies only to non-substantive 
deficiencies or errors. Any deficiency capable of cure will involve 
only items not necessary for HUD to assess the merits of an application 
against the factors specified in this NOFA. Substantive deficiencies or 
errors may not be corrected.
    (d) Final selection. All applications that are rated will be rank 
ordered based on their total scores on the selection factors. 
Applications will be considered for selection based on their rank 
order.

[[Page 51571]]

HUD may make awards out of rank order to achieve geographic diversity, 
and may provide assistance to support a number of students that is less 
than the number requested under an application in order to provide 
assistance to as many highly ranked applications as possible.
    If there is a tie in the point scores of two applications, the rank 
order will be determined by the applicants' scores on selection factor 
(1). The application with the most points on selection factor (1) will 
be given the higher rank. If there is still a tie, the rank order will 
be determined by the applicants' scores on selection factor (5). The 
application with the most points for selection factor (5) will be given 
the higher rank.

XVII. Application Content

    Applicants must complete and submit applications in accordance with 
instructions contained in the application kit. The following is a 
checklist of the application content that will be specified in the 
application kit:
    (a) Transmittal letter, identifying the agency accrediting the 
institutions of higher education on whose behalf the application is 
filed and further stating that such accrediting agency(ies) are 
recognized by the U.S. Department of Education. The transmittal letter 
should also include the name, address, phone number, facsimile number 
and e-mail address (if any) of the person responsible for administering 
the program.
    (b) A completed and signed Standard Form 424, Application For 
Federal Assistance.
    (c) Abstract.
    (d) Table of Contents.
    (e) Proposal narrative statement addressing the factors for award.
    (f) Sample copy of student/recipient binding agreement.
    (g) Sample copy of recipient/student work placement agreement.
    (h) Management/Workplan.
    (i) Resumes of key staff and faculty.
    (k) Budget for the program.
    (l) Audit/financial management system information.
    (m) Certification by IPA or cognizant audit agency of applicant's 
financial management system.
    (n) Drug-Free Workplace Certification.
    (o) Disclosure of Lobbying Activities on SF-LLL, if applicable.

XVIII. Agreements

    (a) Grant agreement
    The responsibilities of the recipient under the HSI-WSP will be 
incorporated in a grant agreement executed by HUD and the recipient.
    (b) Student agreement
    The recipient and each participating student must execute a written 
agreement incorporating their mutual responsibilities under the HSI-
WSP. The agreement must be executed before the student can be enrolled 
in the program. A student's participation in the HSI-WSP shall be 
terminated for failure to meet the responsibilities and standards in 
the agreement.
    (c) Work placement assignment agreement
    The recipient, the student, and the work placement agency must 
execute a written agreement covering each work placement assignment. 
The agreement must address the responsibilities of each of the parties, 
the educational objectives, the nature of the supervision, the 
standards of evaluation, and the student's time commitments under the 
work placement assignment.

XIX. Grant Administration

    (a) Initial obligation of funds.
    When HUD selects an application for funding, HUD will obligate 
funds to cover the amount of the approved grant. The term of the award 
will be for two calendar years, unless subsequently altered by HUD at 
its discretion for good cause.
    (b) Disbursement
    Recipients will receive grant payments by direct deposit. If that 
is not possible, grant payments will be made by U.S. Treasury checks.
    (c) Deobligation
    HUD may deobligate amounts for grants if proposed activities are 
not begun or completed within a reasonable period of time after 
selection.

XX. Other Federal Requirements

    (a) Applicability of part 570
    The HSI-WSP shall be subject to the policies and procedures set 
forth in subparts A, K, and O of 24 CFR part 570, as applicable, except 
as modified or limited under the provisions of this Notice. The 
provisions of subparts C and J of part 570 shall not apply to the HSI-
WSP.
    (b) Uniform Administrative requirements
    Recipients under the HSI-WSP shall comply with the requirements and 
standards of OMB Circular No. A-22, ``Cost Principles for Educational 
Institutions.'' Recipients that are private institutions of higher 
education shall comply with OMB Circular A-133, ``Non-Federal Audit 
Requirements for Institutions of Higher Education and Other Nonprofit 
Institutions,'' which is implemented at 24 CFR part 45. Recipients that 
are public institutions of higher education shall comply with OMB 
Circular A-128, ``Non-Federal Audit Requirements for State and Local 
Governments,'' which is implemented at 24 CFR part 44. Audits shall be 
conducted annually. In addition, all recipients under the HSI-WSP shall 
comply with the provisions of OMB Circular A-110, ``Uniform 
Administrative Requirements for Grants and Agreements With Institutions 
of Higher Education, Hospitals and Other Non-Profit Organizations,'' 
which is implemented at 24 CFR part 84. OMB Circular A-110 shall apply 
to recipients in its entirety.

Other Matters

Prohibition Against Lobbying Activities

    The use of funds awarded under this NOFA is subject to the 
disclosure requirements and prohibitions of Section 319 of the 
Department of Interior and Related Agencies Appropriations Act for 
Fiscal Year 1990 (31 U.S.C. 1352) and the HUD implementing regulations 
at 24 CFR Part 87. These authorities prohibit recipients of federal 
contracts, grants or loans from using appropriated funds for lobbying 
the Executive or Legislative Branches of the Federal Government in 
connection with a specific contract, grant or loan. The prohibition 
also covers the awarding of contracts, grants, cooperative agreements 
or loans unless the recipient has made an acceptable certification 
regarding lobbying. Under 24 CFR Part 87, applicants, recipients and 
subrecipients of assistance exceeding $100,000 must certify that no 
federal funds have been or will be spent on lobbying activities in 
connection with the assistance. Required Reporting. A certification is 
required at the time application for funds is made that Federally 
appropriated funds are not being or have not been used in violation of 
section 319 and the disclosure will be made of payments for lobbying 
with other than federally appropriated funds. Also, there is a standard 
disclosure form, SF-LLL, ``Disclosure Form to Report Lobbying'', which 
must be use to disclose lobbying with other than Federally appropriated 
funds at the time of application.
    1. Information Collection Requirements.
    The information collection requirements contained in this NOFA have 
been approved by the Office of Management and Budget (OMB) in 
accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3520), and assigned OMB control number 2528-0182. An agency may not 
conduct or sponsor, and a person is not required to respond to, a 
collection of

[[Page 51572]]

information unless the collection displays a valid control number.
    2. Federalism Impact 
    The General Counsel, as the Designated Official under section 6(a) 
of Executive Order 12612, Federalism, has determined that the policies 
and procedures contained in this notice will not have substantial 
direct effects on States or their political subdivisions, or the 
relationship between the Federal Government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government. This notice merely invites applications from certain 
institutions of higher education for grants under the Hispanic-Serving 
Institutions Work Study Program. As a result, the notice is not subject 
to review under the Order.
    3. Impact on the Family.
    The General Counsel, as the Designated Official under Executive 
Order 12606, The Family, has determined that this notice will likely 
have a beneficial impact on family formation, maintenance, and general 
well-being. This notice invites applications from certain institutions 
of higher education for grants under the Hispanic-Serving Institutions 
Work Study Program. Accordingly, since the impact on the family is 
beneficial, no further review is considered necessary.
    4. Accountability in the Provision of HUD Assistance.
    Section 102 of the Department of Housing and Urban Development 
Reform Act of 1989 (HUD Reform Act) and the final rule codified at 24 
CFR part 4, subpart A, published on April 1, 1996 (61 FR 1448), contain 
a number of provisions that are designed to ensure greater 
accountability and integrity in the provision of certain types of 
assistance administered by HUD. On January 14, 1992, HUD published, at 
57 FR 1942, a notice that also provides information on the 
implementation of section 102. The documentation, public access, and 
disclosure requirements of section 102 are applicable to assistance 
awarded under this NOFA as follows:
    Documentation and public access requirements. HUD will ensure that 
documentation and other information regarding each application 
submitted pursuant to this NOFA are sufficient to indicate the basis 
upon which assistance was provided or denied. This material, including 
any letters of support, will be made available for public inspection 
for a five-year period beginning not less than 30 days after the award 
of the assistance. Material will be made available in accordance with 
the Freedom of Information Act (5 U.S.C. 552) and HUD's implementing 
regulations at 24 CFR part 15. In addition, HUD will include the 
recipients of assistance pursuant to this NOFA in its Federal Register 
notice of all recipients of HUD assistance awarded on a competitive 
basis.
    Disclosures. HUD will make available to the public for five years 
all applicant disclosure reports (HUD Form 2880) submitted in 
connection with this NOFA. Update reports (also Form 2880) will be made 
available along with the applicant disclosure reports, but in no case 
for a period less than three years. All reports--both applicant 
disclosures and updates--will be made available in accordance with the 
Freedom of Information Act (5 U.S.C. 552) and HUD's implementing 
regulations at 24 CFR part 15.
    5. Prohibition Against Advance Information on Funding Decisions.
    HUD's regulation implementing section 103 of the HUD Reform Act, 
codified as 24 CFR part 4, applies to the funding competition announced 
today. The requirements of the rule continue to apply until the 
announcement of the selection of successful applicants.
    HUD employees involved in the review of applications and in the 
making of funding decisions are restrained by part 4 from providing 
advance information to any person (other than persons authorized to 
receive such information) concerning funding decisions, or from 
otherwise giving any applicant an unfair competitive advantage. Persons 
who apply for assistance in this competition should confine their 
inquiries to the subject areas permitted under 24 CFR part 4.
    Applicants or employees who have ethics related questions should 
contact the HUD Office of Ethics (202) 708-3815 (voice), (202) 708-1112 
(TTY). (These are not toll-free numbers.) For HUD employees who have 
specific program questions, the employee should contact the appropriate 
Field Office Counsel or Headquarters Counsel for the program to which 
the question pertains.
    6. Environmental Impact.
    In accordance with 24 CFR 50.20(b) of the HUD regulations, the 
policies and procedures contained in this NOFA relate only to training 
grants and technical assistance and, therefore, are categorically 
excluded from the requirements of the National Environmental Policy 
Act.
    7. The Catalog of Federal Domestic Assistance program.
    The Catalog of Federal Domestic Assistance Number is 14.513.

    Dated: August 28, 1996.
Michael A. Stegman,
Assistant Secretary for Policy Development and Research.

Appendix A--Hispanic-Serving Community Colleges (As Designated by 
the U.S. Department of Education)

Source: 1993 Integrated Post-Secondary Education Data System (IPEDS) of 
the U.S. Department of Education

------------------------------------------------------------------------
              State                             Institution             
------------------------------------------------------------------------
AZ..............................  Arizona Western College.              
AZ..............................  Central Arizona College.              
AZ..............................  Cochise College.                      
AZ..............................  Pima Community College.               
AZ..............................  South Mountain Community College.     
CA..............................  Bakersfield College.                  
CA..............................  Cerritos College.                     
CA..............................  Chaffey Community College.            
CA..............................  Citrus College.                       
CA..............................  College of the Desert.                
CA..............................  College of the Sequioas.              
CA..............................  Compton Community College.            
CA..............................  Don Bosco Technical Institute.        
CA..............................  East Los Angeles College.             
CA..............................  Evergreen Valley College.             
CA..............................  Fresno City College.                  
CA..............................  Gavilan College.                      
CA..............................  Hartnell College.                     
CA..............................  Imperial Valley College.              
CA..............................  Kelsey-Jenney Business College.       
CA..............................  Kings River Community College.        
CA..............................  Los Angeles City College.             
CA..............................  Los Angeles Harbor College.           
CA..............................  Los Angeles Mission College.          
CA..............................  Los Angeles Southwest College.        
CA..............................  Los Angeles Trade Technical College.  
CA..............................  Los Angeles Valley College.           
CA..............................  Merced College.                       
CA..............................  Mount San Antonio College.            
CA..............................  Fullerton College.                    
CA..............................  Oxnard College.                       
CA..............................  Palo Verde College.                   
CA..............................  Pasadena City College.                
CA..............................  Porterville College.                  
CA..............................  Rancho Santiago College.              
CA..............................  Rio Hondo College.                    
CA..............................  San Bernardino Valley College.        
CA..............................  San Diego City College.               
CA..............................  San Jose City College.                
CA..............................  Skyline College.                      
CA..............................  Southwestern College.                 
CA..............................  West Hills Community College.         
CO..............................  Community College of Denver.          
CO..............................  Otero Junior College.                 
CO..............................  Pueblo Community College.             
CO..............................  Trinidad State Junior College.        
FL..............................  Miami-Dade Community College/North    
                                   Campus (Main).                       
FL..............................  Miami-Dade Community College/Homestead
                                   College.                             
FL..............................  Miami-Dade Community College/Wolfson  
                                   Campus.                              
IL..............................  City Colleges of Chicago-Harry S      
                                   Truman College.                      
IL..............................  City Colleges of Chicago-Malcolm X    
                                   College.                             
IL..............................  City Colleges of Chicago-Richard J.   
                                   Daley College.                       
IL..............................  City Colleges of Chicago-Wilbur Wright
                                   College.                             

[[Page 51573]]

                                                                        
IL..............................  Lexington Institute of Hospitality    
                                   Careers.                             
IL..............................  MacCormac Junior College.             
IL..............................  Morton College.                       
IL..............................  Saint Augustine College.              
NJ..............................  Hudson County Community College.      
NJ..............................  Passaic County Community College.     
NM..............................  Albuquerque Technical Vocational      
                                   Institute.                           
NM..............................  Eastern New Mexico University-Roswell 
                                   Campus.                              
NM..............................  New Mexico State University-Carlsbad  
                                   Campus.                              
NM..............................  New Mexico State University-Dona Ana  
                                   Campus.                              
NM..............................  New Mexico State University-Grants    
                                   Campus.                              
NM..............................  Northern New Mexico Community College.
NM..............................  Santa Fe Community College.           
NM..............................  University of New Mexico-Los Alamos   
                                   Campus.                              
NM..............................  University of New Mexico-Valencia     
                                   Campus.                              
NY..............................  CUNY Bronx Community College.         
NY..............................  CUNY Hostos Community College.        
NY..............................  CUNY F.H. La Guardia Community        
                                   College.                             
PR..............................  Collegio Tecnologico Del Municipio de 
                                   San Juan.                            
PR..............................  Collegio Universitario Del Este.      
PR..............................  University of Puerto Rico-Aguadilla   
                                   Regional College.                    
PR..............................  University of Puerto Rico-Carolina    
                                   Regional College.                    
PR..............................  University of Puerto Rico-La Montana  
                                   Regional College.                    
TX..............................  Bee County College.                   
TX..............................  Del Mar College.                      
TX..............................  El Paso Community College.            
TX..............................  Laredo Community College.             
TX..............................  Odessa Community College.             
TX..............................  Palo Alto College.                    
TX..............................  San Antonio College.                  
TX..............................  Southwest Texas Junior College.       
TX..............................  St. Philips College.                  
TX..............................  Texas Southmost College.              
TX..............................  Texas State Technical College-        
                                   Harlingen.                           
------------------------------------------------------------------------

[FR Doc. 96-25053 Filed 10-1-96; 8:45 am]
BILLING CODE 4210-62-P