[Federal Register Volume 80, Number 159 (Tuesday, August 18, 2015)]
[Proposed Rules]
[Pages 49946-49955]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-20242]


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DEPARTMENT OF THE INTERIOR

Bureau of Indian Affairs

25 CFR Part 41

[156A2100DD/AAKC001030/A0A501010.999900 253G] [Docket ID: BIA-2011-
0002]
RIN 1076-AF08


Grants to Tribally Controlled Colleges and Universities and 
Din[eacute] College

AGENCY: Bureau of Indian Affairs, Interior.

ACTION: Proposed rule.

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SUMMARY: The Tribally Controlled Colleges and Universities Assistance 
Act of 1978, as amended (TCCUA), authorizes Federal assistance to 
institutions of higher education that are formally controlled or have 
been formally sanctioned or chartered by the governing body of an 
Indian tribe or tribes. Passed at the same time as the TCCUA, the 
Navajo Community College Assistance Act of 1978, as amended (NCCA) 
authorizes Federal assistance to the Navajo Nation in construction, 
maintenance, and operation of Din[eacute] College. This proposed rule 
would update the TCCUA's implementing regulations in light of 
amendments to the TCCUA in 1983, 1986, 1998 and 2008 and the NCCA's 
implementing regulations in light of amendments to the NCCA in 2008.

DATES: Please submit written comments by October 19, 2015. See Section 
IV of SUPPLEMENTARY INFORMATION for information on tribal consultation 
sessions.

ADDRESSES: You may submit comments by any of the following methods:

--Federal rulemaking portal: http://www.regulations.gov. The rule is 
listed under the agency name ``Bureau of Indian Affairs.'' The rule has 
been assigned Docket ID: BIA-2011-0002. If you would like to submit 
comments through the Federal e-Rulemaking Portal, go to 
www.regulations.gov and follow the instructions.
--Email: [email protected]. Include the number 1076-AF08 in 
the subject line of the message.
--Fax: (202) 208-3312. Include the number 1076-AF08 in the subject line 
of the message.
--Mail or hand delivery: Ms. Juanita Mendoza, Acting Chief of Staff, 
Bureau of Indian Education, 1849 C Street NW., MIB--Mail Stop 4657, 
Washington, DC 20240. Include the number 1076-AF08 in the subject line 
of the message.

    We cannot ensure that comments received after the close of the 
comment period (see DATES) will be included in the docket for this 
rulemaking and considered. Comments sent to an address other than those 
listed above will not be included in the docket for this rulemaking.
    See Section IV of SUPPLEMENTARY INFORMATION for information on 
tribal consultation sessions.

FOR FURTHER INFORMATION CONTACT: Ms. Juanita Mendoza, Acting Chief of 
Staff, Bureau of Indian Education (202) 208-3559.

SUPPLEMENTARY INFORMATION: 

I. Background
II. Purpose of Today's Proposed Rule
III. Summary of Today's Proposed Rule
IV. Tribal Consultation Sessions
V. Procedural Requirements
    A. Regulatory Planning and Review (E.O. 12866)
    B. Regulatory Flexibility Act
    C. Small Business Regulatory Enforcement Fairness Act
    D. Unfunded Mandates Reform Act
    E. Takings (E.O. 12630)
    F. Federalism (E.O. 13132)
    G. Civil Justice Reform (E.O. 12988)
    H. Consultation With Indian Tribes (E.O. 13175)
    I. Paperwork Reduction Act
    J. National Environmental Policy Act
    K. Information Quality Act
    L. Effects on the Energy Supply (E.O. 13211)
    M. Clarity of This Regulation
    N. Public Availability of Comments

I. Background

    The TCCUA authorizes grants for operating and improving tribally 
controlled colleges and universities to insure [sic] continued and 
expanded educational opportunities for Indian students and to allow for 
the improvement and expansion of the physical resources of such 
institutions. See, 25 U.S.C. 1801 et seq. The TCCUA also authorizes 
grants for the encouragement of endowment funds for the operation and 
improvement of tribally controlled colleges and universities. The NCCA 
authorizes grants to the Navajo Nation to assist in the construction, 
maintenance, and operation of Din[eacute] College. See 25 U.S.C. 640a 
et seq.
    In 1968, the Navajo Nation created the first tribally controlled 
college, now called Din[eacute] College--and other tribal colleges 
quickly followed in California, North Dakota, and South Dakota. Today, 
there are 37 tribally controlled colleges in 17 states. The tribally 
controlled institutions were chartered by one or more tribes and are 
locally managed.
    Tribally controlled colleges generally serve geographically 
isolated populations. In a relatively brief period of time, they have 
become essential to educational opportunity for American Indian 
students. Tribally controlled colleges are unique institutions that 
combine personal attention with cultural relevance, in such a way as to 
encourage American Indians--especially those living on reservations--to 
overcome barriers to higher education.

II. Purpose of the Proposed Rule

    The regulations at 25 CFR part 41 were originally published in 
1979. See, 44 FR 67042 dated November 21, 1979. Since the Tribally 
Controlled Community College Assistance Act of

[[Page 49947]]

1978 (Pub. L. 95-471, Title I) was enacted on October 17, 1978, over 30 
years of amendments to the Act have been made. These include Public Law 
98-192 (December 1, 1983), Public Law 99-428 (September 30, 1996), 
Public Law 105-244 (October 7, 1998), and Public Law 110-315 (August 
14, 2008). Similarly, the Navajo Community College Assistance Act of 
1978 (Pub. L. 95-471, Title II) was amended by Public Law 110-315 
(August 14, 2008). The revisions to the TCCUA and the NCCA have 
rendered areas of the current rule obsolete. Therefore, the proposed 
rule updates the regulations and:
     Makes changes required by Executive Order 12866 and 12988 
and by the Presidential Memorandum of June 1, 1998, to write in plain 
language;
     Updates institutional names (e.g., changing ``Director, 
Office of Indian Education Programs'' to ``Director of the Bureau of 
Indian Education'');
     Adds statutory authorities and makes accompanying 
statutory updates; and
     Combines the purpose, scope, and definitions into a new 
subpart A.

III. Summary of the Proposed Rule

    Significant changes include emphasizing that the calculation of an 
Indian Student Count (ISC) shall only include students making 
satisfactory progress, as defined by the tribally controlled college, 
towards a degree or certificate; no credit hours earned by a high 
school student that will be used towards the student's high school 
degree or its equivalent shall be included in the ISC; and grantees may 
exclude high school students for the purpose of calculating the total 
number of full-time equivalent students. Changes clarify often 
misunderstood requirements for an ISC and when high school students 
cannot be counted towards an ISC. The proposed rule updates definitions 
per amended legislation; reorganizes and clarifies institutional grant 
eligibility, grant application procedures, the Department of the 
Interior (DOI) grant reporting requirements, and essential information 
for determining Indian student eligibility. Presently, information is 
embedded in extended definitions and is difficult to find, the proposed 
changes increase accessibility and correct out of date language and 
requirements.
    The proposed rule makes several terminology changes throughout to 
reflect statutory language. These include replacing ``tribally 
controlled community colleges'' with ``tribally controlled colleges and 
universities,'' replacing ``Navajo Community College'' with 
``Din[eacute] College,'' and replacing ``feasibility'' with 
``eligibility'' in appropriate places. The following table lists 
additional changes.

--------------------------------------------------------------------------------------------------------------------------------------------------------
          Current section               Current title       Proposed  section         Proposed title                           Change
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.1..............................  Purpose.............  41.1................  When does this subpart     Removes purpose and replaces a reference to
                                                                                 apply?                     provisions in subpart A applying to subparts
                                                                                                            B and C.
41.2..............................  Scope...............  41.9................  What is the purpose of      Removes ``Scope.''
                                                                                 this subpart?              Clarifies that subpart A applies to
                                                                                                            financial assistance to tribal colleges and
                                                                                                            universities specified by Title I of the Act
                                                                                                            and technical assistance to all institutions
                                                                                                            funded under the Act.
                                                                                                            Clarifies that subpart A does not
                                                                                                            apply to financial assistance to Din[eacute]
                                                                                                            College or tribally controlled postsecondary
                                                                                                            career and technical institutions.
41.3..............................  Definitions.........  41.3................  What definitions are        Adds definition for ``Academic
                                                                                 needed?.                   facilities.''
                                                                                                            Removes definition for ``The Act.''
                                                                                                            Adds ``BIE'' to mean the Bureau of
                                                                                                            Indian Education.
                                                                                                            Adds ``Department'' to mean the
                                                                                                            Department of the Interior.
                                                                                                            Adds ``Director.''
                                                                                                            Adds ``Eligible continuing education
                                                                                                            units (CEUs).''
                                                                                                            Adds definition for ``Full-time.''
                                                                                                            Adds ``Indian Student Count (ISC) or
                                                                                                            Indian Full-Time Equivalent (FTE)'' and
                                                                                                            moves information on the formula to 41.5.
                                                                                                            Changes ``Indian'' to ``Indian
                                                                                                            student'' definition.
                                                                                                            Amends definition of ``Institution
                                                                                                            of higher education'' to clarify that
                                                                                                            unaccredited institutions must have been
                                                                                                            granted pre-accreditation or candidate
                                                                                                            status and references 20 U.S.C. 100(a).
                                                                                                            Amends ``national Indian
                                                                                                            organization'' to delete requirement for
                                                                                                            finding to be published in the Federal
                                                                                                            Register.
                                                                                                            Adds definition for ``NCCA.''
                                                                                                            Amends ``operating expenses of
                                                                                                            education programs'' to add more examples of
                                                                                                            operating expenses.
                                                                                                            Adds ``Satisfactory progress'' and
                                                                                                            defines it as what the tribal college or
                                                                                                            university defines it to be.
                                                                                                            Adds definition for ``Secretary.''
                                                                                                            Adds definition for ``TCCUA'' to
                                                                                                            mean the Tribally Controlled Colleges and
                                                                                                            Universities Assistance Act of 1978.
                                                                                                            Removed ``unused portion of received
                                                                                                            funds.''
41.4..............................  Grants..............  41.11...............  Who is eligible for        Defines tribal college or university
                                                                                 financial assistance       eligibility for receiving financial
                                                                                 under this subpart.        assistance.
41.5..............................  Eligible Activities.  41.5................  How is Indian Student       Refines formula for clarity and
                                                                                 Count/Full Time            changes the week to conduct an ISC to the
                                                                                 Equivalent calculated?     3rd week of an academic term as opposed to
                                                                                                            the 6th week of an academic term.

[[Page 49948]]

 
                                                                                                            Adds credit hours toward computation
                                                                                                            of ISC by students who have not obtained a
                                                                                                            high school degree benefiting from education
                                                                                                            or training offered but exempts credit hours
                                                                                                            from ISC computation if they are applied
                                                                                                            towards the high school degree.
                                                                                                            Adds toward a degree or certificate.
41.6..............................  HHS Participation...  Removes Section.....  .........................  Deletes section because the process is no
                                                                                                            longer relevant and moves the essence of the
                                                                                                            section to Sec. 41.17.
41.7..............................  Feasibility Studies.  41.19...............  How can a tribal college   .............................................
                                                                                 or university establish
                                                                                 eligibility to receive a
                                                                                 grant?
41.7..............................  Feasibility Studies.  41.21...............  How can a tribe appeal      Extends the amount of time the tribe
                                                                                 the results of an          may submit an appeal to the Assistant
                                                                                 eligibility study?         Secretary from 30 days to 45 days.
                                                                                                            Changes Assistant Secretary's
                                                                                                            written ruling on an appeal from 30 days to
                                                                                                            45 days.
41.7..............................  Feasibility Studies   41.23...............  Can a tribal college or    Clarifies that a college or university can
                                     (f).                                        university request a       request another eligibility study in 12
                                                                                 second eligibility         months from the date of the negative
                                                                                 study?                     determination.
41.8(a)-(b).......................  Grants..............  41.25 & 41.5........  How does a tribal college   Simplifies the formula for
                                                                                 or university apply for    calculating the amount of a grant.
                                                                                 a grant?
                                                                                                            Changes submission deadline from
                                                                                                            January 31 to June 1st.
                                                                                                            Outlines required information and
                                                                                                            provides an explanation for the required
                                                                                                            information.
                                                                                                            Adds grantees may exclude high
                                                                                                            school students from the total number of FTE
                                                                                                            students.
                                                                                                            Adds information that a grantee does
                                                                                                            not need to submit new required information
                                                                                                            if there has been no change in the
                                                                                                            information from the previous year.
41.8(c)...........................  Grants..............  41.27...............  When can the tribal        Changes the approval and disapproval time
                                                                                 college or university      frame from 30 days to 45 days.
                                                                                 expect a decision on its
                                                                                 application.
41.8(d)...........................  ....................  41.29...............  How will a grant be        Adds that the base amount is $8,000 (from
                                                                                 awarded?.                  $4,000) and that it will be adjusted
                                                                                                            annually for inflation.
41.8(e)...........................  ....................  41.31 & 41.33.......  When will the tribal        Adds that payments equal to 95
                                                                                 college or university      percent (from 50 percent) of funds available
                                                                                 receive funding?           will be distributed by either July 1 (from
                                                                                                            October 1) or within 14 days of
                                                                                                            appropriations.
                                                                                                            Adds BIE will not commingle funds
                                                                                                            appropriated for grants.
41.8 (g)..........................  ....................  41.33...............  What if there isn't        No change in information.
                                                                                 enough money to pay the
                                                                                 full amount.
41.8(f)...........................  ....................  41.35...............  What will happen if the    No change in information.
                                                                                 tribal college or
                                                                                 university doesn't
                                                                                 receive its appropriate
                                                                                 share?
41.8(h)...........................  ....................  41.37...............  Is the tribal college or   Adds clarification.
                                                                                 university eligible for
                                                                                 other grants?
41.9..............................  Reports.............  41.39...............  What reports does the      No change in information.
                                                                                 tribal college or
                                                                                 university need to
                                                                                 provide?
41.10.............................  Technical Assistance  41.41...............  Can the tribal college or  Adds that BIE will provide technical
                                                                                 university receive         assistance.
                                                                                 technical assistance.
41.11.............................  General Provisions..  41.43...............  How must the tribal        No change in information.
                                                                                 college or university
                                                                                 administer its grant?
41.12.............................  Annual Budget.......  Removes Section.....  .........................  Deletes section because section is no longer
                                                                                                            applicable; appropriations are now sent
                                                                                                            directly to Bureau of Indian Education.
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.13.............................  ....................  ....................  For what activities can    Provides examples of permissible activities.
                                                                                 financial assistance to
                                                                                 tribal colleges and
                                                                                 universities be used?
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.13.............................  Criminal penalties..  41.7................  What happens if false      No change in information.
                                                                                 information is
                                                                                 submitted?
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.15.............................  ....................  ....................  What activities are        Lists prohibited activities.
                                                                                 prohibited?.
--------------------------------------------------------------------------------------------------------------------------------------------------------

[[Page 49949]]

 
41.17.............................  ....................  ....................  What is the role of the    Clarifies role.
                                                                                 Secretary of Education?
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.20.............................  Policy..............  Removes Section.....  .........................  Deletes section because subpart A now sets
                                                                                                            out the policy.
41.21.............................  Scope...............  41.51...............  What is the scope of this  Simplifies applicability statement.
                                                                                 subpart?
41.22.............................  Definitions.........  Removes Section.....  .........................  Deletes section because definitions are now
                                                                                                            consolidated in subpart A.
41.23.............................  Eligible activities.  41.63...............  How can financial          No change in information.
                                                                                 assistance be used?
41.24(a)-(b)......................  Grants..............  41.53...............  How does Din[eacute]       Simplifies requirements.
                                                                                 College request
                                                                                 financial assistance?
41.24(c)..........................  ....................  41.55...............  How are grant funds        Clarifies funds will not be commingled with
                                                                                 processed?                 those designated for other titles of the
                                                                                                            TCCUA.
41.24(d)..........................  ....................  41.57...............  When will the application  Changes time in which grant award will be
                                                                                 be reviewed?               made from 30 days to 45 days.
41.24(e)..........................  ....................  41.29...............  How will a grant be        Refers to subpart B.
                                                                                 awarded?.
41.24(f)..........................  ....................  41.59...............  When will grant funds be   Simplifies when funds will be received.
                                                                                 paid?
41.24(g)..........................  ....................  Refers to section                                .............................................
                                                           Sec.   41.35.
41.24(h)..........................  ....................  41.61...............  Is Din[eacute] College     No change in information.
                                                                                 eligible for other
                                                                                 grants?
41.25.............................  Reports.............  41.65...............  What reports must be       Changes reporting deadline from September 1st
                                                                                 provided?                  to December 1st.
41.26.............................  Technical assistance  41.67...............  Can Din[eacute] College    Refers back to procedures in subpart B.
                                                                                 receive technical
                                                                                 assistance?
41.27(a)-(b)......................  General provisions..  41.69...............  How shall Din[eacute]      No change in information.
                                                                                 College administer its
                                                                                 grant?
41.27(c)..........................  Appeal..............  41.70...............  .........................  Changes time in which an appeal, a hearing
                                                                                                            and the Assistant Secretary's ruling will be
                                                                                                            made from 30 days to 45 days.
41.28.............................  Criminal penalties..  41.7................  What happens if false      Deletes section because it's included in
                                                                                 information is             subpart A.
                                                                                 submitted?
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.45.............................  ....................  ....................  How does the tribal        Adds tribes and tribal entities may submit a
                                                                                 college or university      request for a grant to conduct planning
                                                                                 apply for programming      activities for the establishment of a
                                                                                 grants?                    tribally controlled college or university.
--------------------------------------------------------------------------------------------------------------------------------------------------------
41.47.............................  ....................  ....................  What is the purpose of     Specifies Din[eacute] College and the
                                                                                 this subpart?              Din[eacute] College Act.
--------------------------------------------------------------------------------------------------------------------------------------------------------

IV. Tribal Consultation Sessions

    BIE will be hosting two tribal consultation sessions by webex and 
teleconference on this proposed rule:
     Monday, September 21, 2015, 3 p.m. EDT. To register for 
this session, go to this link: https://dcma100.webex.com/dcma100/k2/j.php?MTID=t23a171402a9f5518f3b863039378065a. Once the host approves 
your registration, you will receive a confirmation email with 
instructions for joining the session. To join by teleconference, please 
call: 1-866-704-9181, Passcode: 10469100.
     Wednesday, September 23, 2015, 3 p.m. EDT. To register for 
this session go to this link: https://dcma100.webex.com/dcma100/k2/j.php?MTID=tdf898f2b05e77536907260a8a358a52c. Once you are approved by 
the host, you will receive a confirmation email with instructions for 
joining the session. To join by teleconference, please call: 1-866-704-
9181, Passcode: 10469100.

V. Procedural Requirements

A. Regulatory Planning and Review (E.O. 12866)

    Executive Order (E.O.) 12866 provides that the Office of 
Information and Regulatory Affairs (OIRA) at the Office of Management 
and Budget (OMB) will review all significant rules. OIRA has determined 
that this rule is not significant.
    E.O. 13563 reaffirms the principles of E.O. 12866 while calling for 
improvements in the nation's regulatory system to promote 
predictability, to reduce uncertainty, and to use the best, most 
innovative, and least burdensome tools for achieving regulatory ends. 
The E.O. directs agencies to consider regulatory approaches that reduce 
burdens and maintain flexibility and freedom of choice for the public 
where these approaches are relevant, feasible, and consistent with 
regulatory objectives. E.O. 13563 emphasizes further that regulations 
must be based on the best available science and that the rulemaking 
process must allow for public participation and an open exchange of 
ideas. We have developed this rule in a manner consistent with these 
requirements.

B. Regulatory Flexibility Act

    The Department of the Interior certifies that this document will 
not have a significant economic effect on a substantial number of small 
entities under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.). 
It does not change current funding requirements or regulate small 
entities.

C. Small Business Regulatory Enforcement Fairness Act

    This rule is not a major rule under 5 U.S.C. 804(2), the Small 
Business Regulatory Enforcement Fairness Act. It will not result in the 
expenditure by

[[Page 49950]]

State, local, or tribal governments, in the aggregate, or by the 
private sector of $100 million or more in any one year. Because this 
proposed rule is limited to the tribally controlled colleges or 
universities within tribal communities, it will not result in a major 
increase in costs or prices for consumers, individual industries, 
Federal, State, or local government agencies, or geographic regions. 
Nor will this rule have significant adverse effects on competition, 
employment, investment, productivity, innovation, or the ability of the 
U.S.-based enterprises to compete with foreign-based enterprises.

D. Unfunded Mandates Reform Act

    This rule does not impose an unfunded mandate on State, local, or 
tribal governments or the private sector of more than $100 million per 
year. The rule does not have a significant or unique effect on State, 
local, or tribal governments or the private sector. A statement 
containing the information required by the Unfunded Mandates Reform Act 
(2 U.S.C. 1531 et seq.) is not required.

E. Takings (E.O. 12630)

    Under the criteria in Executive Order 12630, this rule does not 
affect individual property rights protected by the Fifth Amendment nor 
does it involve a compensable ``taking''. A takings implication 
assessment is not required.

F. Federalism (E.O.) 13132

    Under the criteria in Executive Order 13132, this rule has no 
substantial direct effect on the States, on the relationship between 
the national government and the States, or on the distribution of power 
and responsibilities among the various levels of government. This rule 
implements provisions within the Tribally Controlled Community College 
Assistance Act of 1978 (Pub. L. 95-471 enacted on October 17, 1978) 
that authorizes grants for operating and improving tribally controlled 
colleges or universities to ensure continued and expanded educational 
opportunities for Indian students by providing financial assistance to 
be used for the operating expenses of education programs.
    Because the rule does not affect the Federal government's 
relationship to the States or the balance of power and responsibilities 
among various levels of government, it will not have sufficient 
federalism implications to warrant the preparation of a federalism 
summary impact statement.

G. Civil Justice Reform (E.O. 12988)

    This rule complies with the requirements of Executive Order 12988. 
Specifically, this rule has been reviewed to eliminate errors and 
ambiguity and written to minimize litigation; and is written in clear 
language and contains clear legal standards.

H. Consultation With Indian Tribes (E.O. 13175)

    This rule will directly affect all those tribes planning to apply 
for or now receiving grants under the TCCUA and the NCCA. In accordance 
with Executive Order 13175 (59 FR 22951, November 6, 2000), the Bureau 
of Indian Education conducted consultation on the following dates in 
2014: October 16, Anchorage, Alaska; October 20, Webinar; October 22, 
Gallup, New Mexico; October 27, Billings, Montana; and October 29, 
Bloomington, Minnesota. To develop the proposed rule, the Department 
collaborated with the American Indian Higher Education Consortium 
(AIHEC), which represents tribally controlled colleges and universities 
that will be affected by the rule. Presidents of tribally-controlled 
colleges and universities provided the initial comments and draft of 
the rule. AIHEC formally presented the draft for the proposed rule to 
the BIE via drafting sessions. The current proposed rule is the result 
of those drafting sessions, BIE input and recommendations, and comments 
provided at the consultations.

I. Paperwork Reduction Act

    This rule contains the following information collections, which are 
currently approved by OMB: Tribal Colleges and University Grant 
Application Form, which is approved under OMB Control Number 1076-0018; 
and Tribal Colleges and University Annual Report Form, which is 
approved under OMB Control Number 1076-0105. Both of these information 
collections expire on November 30, 2015. The proposed rule does not add 
any new information collection burden beyond that covered by these 
existing OMB approvals; therefore, an information collection submission 
to OMB is not required for this rulemaking.

J. National Environmental Policy Act

    This rule does not constitute a major Federal action significantly 
affecting the quality of the human environment.

K. Information Quality Act

    In developing this rule we did not conduct or use a study, 
experiment, or survey requiring peer review under the Information 
Quality Act (Pub. L. 106-554).

L. Effects on the Energy Supply (E.O. 13211)

    This rule is not a significant energy action under the definition 
in Executive Order 13211. A Statement of Energy Effects is not 
required.

M. Clarity of This Regulation

    We are required by Executive Orders 12866 and 12988 and by the 
Presidential Memorandum of June 1, 1998, to write all rules in plain 
language. This means that each rule we publish must:
    (a) Be logically organized;
    (b) Use the active voice to address readers directly;
    (c) Use clear language rather than jargon;
    (d) Be divided into short sections and sentences; and
    (e) Use lists and tables wherever possible.
    If you feel that we have not met these requirements, send us 
comments by one of the methods listed in the ``COMMENTS'' section. To 
better help us revise the rule, your comments should be as specific as 
possible. For example, you should tell us the numbers of the sections 
or paragraphs that are unclearly written, which sections or sentences 
are too long, the sections where you feel lists or tables would be 
useful, etc.

N. Public Availability of Comments

    Before including your address, phone number, email address, or 
other personal identifying information in your comment, you should be 
aware that your entire comment--including your personal identifying 
information--may be made publicly available at any time. While you can 
ask us in your comment to withhold your personal identifying 
information from public review, we cannot guarantee that we will be 
able to do so.

List of Subjects

    Colleges or universities, Grants programs--education, Grant 
programs--Indians, Indians--education, Reporting and recordkeeping 
requirements.

    For the reasons given in the preamble, the Department of the 
Interior proposes to amend title 25 of the Code of Federal Regulations 
by revising part 41 to read as follows:

[[Page 49951]]

PART 41--GRANTS TO TRIBALLY CONTROLLED COLLEGES AND UNIVERSITIES, 
DIN[Eacute] COLLEGE, AND TRIBALLY CONTROLLED POSTSECONDARY CAREER 
AND TECHNICAL INSTITUTIONS

Subpart A--Purpose, Scope, Definitions
Sec.
41.1 When does this subpart apply?
41.3 What definitions are needed?
41.5 How is ISC/FTE calculated?
41.7 What happens if false information is submitted?
Subpart B--Tribally Controlled Colleges and Universities
41.9 What is the purpose of this subpart?
41.11 Who is eligible for financial assistance under this subpart?
41.13 For what activities can financial assistance to tribal 
colleges and universities be used?
41.15 What activities are prohibited?
41.17 What is the role of the Secretary of Education?
41.19 How can a tribal college or university establish eligibility 
to receive a grant?
41.21 How can a tribe appeal the results of an eligibility study?
41.23 Can a tribal college or university request a second 
eligibility study?
41.25 How does the tribal college or university apply for a grant?
41.27 When can the tribal college or university expect a decision on 
its application?
41.29 How will a grant be awarded?
41.31 When will the tribal college or university receive funding?
41.33 What if there isn't enough money to pay the full grant amount?
41.35 What will happen if the tribal college or university doesn't 
receive its appropriate share?
41.37 Is the tribal college or university eligible for other grants?
41.39 What reports does the tribal college or university need to 
provide?
41.41 Can the tribal college or university receive technical 
assistance?
41.43 How must the tribal college or university administer its 
grant?
41.45 How does the tribal college or university apply for 
programming grants?
41.47 Are tribal colleges or universities eligible for endowments?
Subpart C--Din[eacute] College
41.49 What is the purpose of this subpart?
41.51 What is the scope of this subpart?
41.53 How does Din[eacute] College request financial assistance?
41.55 How are grant funds processed?
41.57 When will the application be reviewed?
41.59 When will the funds be paid?
41.61 Is Din[eacute] College eligible to receive other grants?
41.63 How can financial assistance be used?
41.65 What reports must be provided?
41.67 Can Din[eacute] College receive technical assistance?
41.69 How shall Din[eacute] College administer its grant?
41.71 Can Din[eacute] College appeal an adverse decision under a 
grant agreement by the Director?

    Authority:  Pub. L. 95-471, Oct. 17, 1978, 92 Stat. 1325; 
amended Pub. L. 98-192, Dec. 1, 1983, 97 Stat. 1335; Pub. L. 99-428, 
Sept. 30, 1986, 100 Stat. 982; Pub. L. 105-244, Oct. 7, 1998, 112 
Stat. 1619; Pub. L. 110-315, Aug. 14, 2008, 122 Stat. 3460; 25 
U.S.C. 1801 et seq.; Pub. L. 98-192, Dec. 15, 1971, 85 Stat. 646; 
and Pub. L. 110-315, Aug. 14, 2008, 122 Stat. 3468; 25 U.S.C. 640a 
et seq.

Subpart A--Applicability and Definitions


Sec.  41.1  When does this subpart apply?

    The provisions in this subpart A apply to subparts B and C.


Sec.  41.3  What definitions are needed?

    As used in this part:
    Academic facilities mean structures suitable for use as:
    (1) Classrooms, laboratories, libraries, and related facilities 
necessary or appropriate for instruction of students;
    (2) Research facilities;
    (3) Facilities for administration of educational or research 
programs;
    (4) Dormitories or student services buildings; or
    (5) Maintenance, storage, support, or utility facilities essential 
to the operation of the foregoing facilities.
    Academic term means a semester, trimester, or other such period 
(not less than six weeks in duration) into which a tribal college or 
university normally subdivides its academic year, but does not include 
a summer term.
    Academic year means a twelve month period established by a tribal 
college or university as the annual period for the operation of the 
tribal college's or university's education programs.
    Assistant Secretary means the Assistant Secretary--Indian Affairs 
of the Department of the Interior.
    BIE means the Bureau of Indian Education.
    College or university means an institution of higher education that 
is formally controlled, formally sanctioned, or chartered by the 
governing body of an Indian tribe or tribes. To qualify under this 
definition, the college or university must:
    (1) Be the only institution recognized by the Department for the 
tribe, excluding Din[eacute] College; and
    (2) If under the control, sanction, or charter of more than one 
tribe, be the only institution recognized by the Department for at 
least one tribe that currently has no other formally controlled, 
formally sanctioned, or chartered college or university.
    Department means the Department of the Interior.
    Director means the Director of the Bureau of Indian Education.
    Eligible continuing education units (CEUs) means non-degree credits 
that meet the criteria established by the International Association of 
Continuing Education and Training.
    Full-time means registered for 12 or more credit hours for an 
academic term.
    Indian Student Count (ISC) or Indian Full-Time Equivalent (FTE) 
means a number equal to the total number of Indian students enrolled at 
a tribal college or university, determined according to the formula in 
Section Sec.  41.5.
    Indian student means a student who is a member of an Indian tribe, 
or (2) a biological child of a living or deceased member of an Indian 
tribe. Documentation is required to verify eligibility as a biological 
child of a living or deceased member of an Indian tribe, and may 
include birth certificate and marriage license; tribal records of 
student's parent; Indian Health Service eligibility cards; other 
documentation necessary to authenticate a student as eligible to be 
counted as an Indian student under this definition.
    Indian tribe means an Indian tribe, band, nation, pueblo, 
rancheria, or other organized group or community, including any Alaska 
Native Village or regional or village corporation as defined in or 
established pursuant to the Alaska Native Claims Settlement Act, to be 
listed in the Federal Register pursuant to 25 CFR 83.5(a) as recognized 
by and eligible to receive services from the Bureau of Indian Affairs.
    Institution of higher education means an institution as defined by 
section 1001(a) of Title 20 of the United States Code, except that 
clause (2) of such section shall not be applicable and the reference to 
Secretary in clause (5)(A) of such section shall be deemed to refer to 
the Secretary of the Interior.
    National Indian organization means an organization which the 
Secretary finds to be nationally based, represents a substantial Indian 
constituency and has expertise in the fields of tribally controlled 
colleges and universities, and Indian higher education.
    NCCA means the Navajo Community College Act of 1978, as amended (25 
U.S.C. 640a et seq.).
    Operating expenses of education programs means the obligations and 
expenditures of a tribal college or university for postsecondary except 
for acquisition or construction of academic facilities. Permissible 
expenditures may include:
    (1) Administration;
    (2) Instruction;

[[Page 49952]]

    (3) Maintenance and repair of facilities;
    (4) Acquisition and upgrade of equipment, technological equipment, 
and other physical resources.
    Part-time means registered for less than 12 credit hours for an 
academic term.
    Satisfactory progress means satisfactory progress toward a degree 
or certificate as defined by the tribal college or university.
    Secretary, unless otherwise designated, means the Secretary of the 
Interior, or his/her duly authorized representative.
    TCCUA means the Tribally Controlled Colleges and Universities 
Assistance Act of 1978, as amended (25 U.S.C. 1801 et seq.).


Sec.  41.5  How is ISC/FTE calculated?

    (a) ISC is calculated on the basis of eligible registrations of 
Indian students as in effect at the conclusion of the third week of 
each academic term.
    (b) To calculate ISC for an academic term, begin by adding all 
credit hours of full-time students and all credit hours of part-time 
students who are registered at the conclusion of the third week of the 
academic term.
    (c) Credit hours earned by students who have not obtained a high 
school degree or its equivalent may be added if you have established 
criteria for the admission of such students on the basis of their 
ability to benefit from the education or training offered. You will be 
presumed to have established such criteria if your admission procedures 
include counseling or testing that measures students' aptitude to 
successfully complete the courses in which they enroll.
    (d) No credit hours earned by a student attending high school and 
applied towards the student's high school degree or its equivalent may 
be counted toward computation of ISC; and no credit hours earned by a 
student not making satisfactory progress toward a degree or certificate 
may count toward the ISC.
    (e) If ISC is being calculated for a fall term, add to the 
calculation in paragraph (b) of this section any credits earned in 
classes offered during the preceding summer term.
    (f) Add to the calculation in paragraph (d) of this section those 
credits being earned in an eligible continuing education program at the 
conclusion of the third week of the academic term. Determine the number 
of those credits as follows:
    (1) For institutions on a semester system: one credit for every 15 
contact hours and
    (2) For institutions on a quarter system: one credit for every 10 
contact hours of participation in an organized continuing education 
experience under responsible sponsorship, capable direction, and 
qualified instruction, as described in the criteria established by the 
International Association for Continuing Education and Training. Limit 
the number of calculated eligible continuing education credits to 10 
percent of your ISC.
    (g) Divide by 12 the calculation in paragraph (e) of this section.
    The formula for the full calculation is expressed mathematically 
as:

ISC = FTCR + PTCR + SCR + CECR/12

    (h) In the formula in paragraph (f) of this section, the 
abbreviations used have the following meanings:
    (1) FTCR = the number of credit hours carried by full-time Indian 
students (students carrying 12 or more credit hours at the end of the 
third week of each academic term); and
    (2) PTCR = the number of credit hours carried by part-time Indian 
students (students carrying fewer than 12 credit hours at the end of 
the third week of each academic term).
    (3) SCR = in a fall term, the number of credit hours earned during 
the preceding summer term.
    (4) CECR = the number of credit hours being earned in an eligible 
continuing education program at the conclusion of the third week of the 
academic term, in accordance with subsection (e) of this section.
    (i) Include a count of all registered students, including distance 
education students, at the conclusion of the third week of the academic 
term.


Sec.  41.7  What happens if false information is submitted?

    Persons submitting or causing to be submitted any false information 
in connection with any application, report, or other document under 
this part may be subject to criminal prosecution under provisions such 
as sections 371 or 1001 of Title 18, U.S. Code.

Subpart B--Tribally Controlled Colleges and Universities


Sec.  41.9  What is the purpose of this subpart?

    This subpart prescribes procedures for providing financial and 
technical assistance under the Tribally Controlled Colleges and 
Universities Assistance Act of 1978, as amended (25 U.S.C. 1801 et 
seq.) for the operation and improvement of tribal colleges and 
universities and advancement of educational opportunities for Indian 
Students. This subpart does not apply to Din[eacute] College.


Sec.  41.11  Who is eligible for financial assistance under this 
subpart?

    A tribal college or university is eligible for financial assistance 
under this subpart only if:
    (a) It is governed by a board of directors or board of trustees, a 
majority of whom are Indians;
    (b) It demonstrates adherence to stated goals, a philosophy, or a 
plan of operation directed to meet the needs of Indians;
    (c) It has a student body that is more than 50 percent Indian 
(unless it has been in operation for less than one year);
    (d) Either is accredited by a nationally recognized accrediting 
agency or association determined by the Secretary of Education to be a 
reliable authority with regard to the quality of training offered, or, 
according to such agency or association, are making reasonable progress 
toward accreditation;
    (e) It has received a positive determination after completion of an 
eligibility study; and
    (f) It complies with the requirements of Sec.  41.19.
    (g) Priority to schools and the number of grants: priority in 
grants shall be given to institutions which were in operation on the 
date of enactment of this Act [enacted Oct. 17, 1978] and which have a 
history of service to Indian people.


Sec.  41.13  For what activities can financial assistance to tribal 
colleges and universities be used?

    Financial assistance under this subpart may be used to defray, at 
the determination of the tribal college or university, expenditures for 
academic, educational, and administrative purposes and for the 
operation and maintenance of the college or university.


Sec.  41.15  What activities are prohibited?

    Tribal colleges and universities shall not use financial assistance 
awarded under this subpart in connection with religious worship or 
sectarian instruction. However, nothing in this subpart shall be 
construed as barring instruction or practice in comparative religions 
or cultures or in languages of American Indian tribes.


Sec.  41.17  What is the role of the Secretary of Education?

    (a) The Secretary is authorized to enter into an agreement with the 
Secretary of Education to obtain assistance to:
    (1) Develop plans, procedures, and criteria for eligibility studies 
required under this subpart; and
    (2) Conduct such studies.

[[Page 49953]]

    (b) BIE must consult with the Secretary of Education to determine 
the reasonable number of students required to support a tribal college 
or university.


Sec.  41.19  How can a tribal college or university establish 
eligibility to receive a grant?

    (a) Before a tribal college or university can apply for an initial 
grant under this part, the governing body of one or more Indian tribes 
must request on its behalf a determination of eligibility.
    (b) Within 30 days of receiving a resolution or other duly 
authorized request from the governing body of one or more Indian 
tribes, BIE shall initiate an eligibility study to determine whether 
there is justification for a tribal college or university.
    (c) The eligibility study will analyze the following factors:
    (1) Financial feasibility based upon reasonable potential 
enrollment; considering:
    (i) Tribal, linguistics, or cultural differences;
    (ii) Isolation;
    (iii) Presence of alternate educational sources;
    (iv) Proposed curriculum;
    (2) Levels of tribal matriculation in and graduation from 
postsecondary educational institutions; and
    (3) The benefits of continued and expanded educational 
opportunities for Indian students.
    (d) Based upon results of the study, the Director will send the 
tribe a written determination of eligibility.
    (e) The Secretary and the BIE, to the extent practicable, will 
consult with national Indian organizations and with tribal governments 
chartering the institutions being considered.


Sec.  41.21  How can a tribe appeal the results of an eligibility 
study?

    If a tribe receives a negative determination under Sec.  41.19(e), 
it may submit an appeal to the Assistant Secretary within 45 days.
    (a) Following the timely filing of a tribe's notice of appeal, the 
tribal college or university and the tribe have a right to a formal 
review of the eligibility study, including a hearing upon reasonable 
notice within 60 days. At the hearing, the tribal college or university 
and the appealing tribe may present additional evidence or arguments to 
justify eligibility.
    (b) Within 45 days of the hearing, the Assistant Secretary will 
issue a written ruling confirming, modifying, or reversing the original 
determination. The ruling will be final and BIE will mail or deliver it 
within one week of its issuance.
    (c) If the Assistant Secretary does not reverse the original 
negative determination, the ruling will specify the grounds for our 
decision and state the manner in which the determination relates to 
each of the factors in Sec.  41.11.


Sec.  41.23  Can a tribal college or university request a second 
eligibility study?

    If a tribe is not successful in its appeal under Sec.  41.21, it 
can request another eligibility study 12 months or more after the date 
of the negative determination.


Sec.  41.25  How does a tribal college or university apply for a grant?

    (a) If the college or university receives a positive determination 
of the eligibility study under Sec.  41.19, it is entitled to apply for 
financial assistance under this subpart.
    (b) To be considered for assistance, a tribal college or university 
must submit an application by or before June 1st of the year preceding 
the academic year for which the tribal college or university is 
requesting assistance. The application must contain the following:

----------------------------------------------------------------------------------------------------------------
            Required information                                       Required details
----------------------------------------------------------------------------------------------------------------
(1) Identifying information.................  (i) Name and address of the tribal college or university.
                                              (ii) Names of the governing board members, and the number of its
                                               members who are Indian.
                                              (iii) Name and address of the tribe or tribes that control or have
                                               sanctioned or chartered the tribal college or university.
(2) Eligibility verification................  The date on which an eligibility determination was received
(3) Curriculum materials....................  (i) A statement of goals, philosophy, or plan of operation
                                               demonstrating how the education program is designed to meet the
                                               needs of Indians.
                                              (ii) A curriculum, which may be in the form of a college catalog
                                               or similar publication, or information located on the tribal
                                               college or university Web site.
(4) Financial information...................  (i) A proposed budget showing total expected education program
                                               operating expenses and expected revenues from all sources for the
                                               academic year to which the information applies.
                                              (ii) A description of record-keeping procedures used to track fund
                                               expenditures and to audit and monitor funded programs.
(5) Enrollment information..................  (i) If the tribal college or university has been in operation for
                                               more than one year, a statement of the total number of ISC (FTE
                                               Indian students) and the total number of all FTE students.
                                               Grantees may exclude high school students for the purpose of
                                               calculating the total number of FTE students.
                                              (ii) If the tribal college or university has not yet begun
                                               operations, or has been in operation for less than one year, a
                                               statement of expected enrollment, including the total number of
                                               FTE students and the ISC (FTE Indian students) and may also
                                               require verification of the number of registered students after
                                               operations have started.
(6) Assurances and requests.................  (i) Assurance that the tribal college or university will not deny
                                               admission to any Indian student because that student is, or is
                                               not, a member of a specific tribe.
                                              (ii) Assurance that the tribal college or university will comply
                                               with the requirements in Sec.   41.39 of this subpart.
                                              (iii) A request and justification for a specific waiver of any
                                               requirement of 25 CFR part 276 which a tribal college or
                                               university believe to be inappropriate.
(7) Certification...........................  Certification by the chief executive that the information on the
                                               application is complete and correct.
----------------------------------------------------------------------------------------------------------------

    (c) Material submitted in a tribal college's or university's 
initial successful grant application shall be retained by the BIE. A 
tribal college or university submitting a subsequent application for a 
grant, shall either confirm the information previously submitted 
remains accurate or submit updated information, as necessary.


Sec.  41.27  When can the tribal college or university expect a 
decision on its application?

    Within 45 days of receiving an application, the Director will 
notify the tribal college or university in writing whether or not the 
application has been approved.
    (a) If the Director approves the application, written notice will 
explain when the BIE will send the tribal college or university a grant 
agreement under Sec.  41.19.

[[Page 49954]]

    (b) If the Director disapproves the application, written notice 
will include:
    (1) The reasons for disapproval; and
    (2) A statement advising the tribal college or university of the 
right to amend or supplement the tribal college's or university's 
application within 45 days.
    (c) The tribal college or university may appeal a disapproval or a 
failure to act within 45 days of receipt following the procedures in 
Sec.  41.21.


Sec.  41.29  How will a grant be awarded?

    If the Director approves the tribal college's or university's 
application, the BIE will send the tribal college or university a grant 
agreement that incorporates the tribal college's or university's 
application and the provisions required by Sec.  41.25. The tribal 
college or university grant will be for the fiscal year starting after 
the approval date of the application.
    (a) The BIE will generally calculate the amount of the tribal 
college or university grant using the following procedure:
    (1) Begin with a base amount of $8,000 (adjusted annually for 
inflation);
    (2) Multiply the base amount by the number of FTE Indian students 
in attendance during each academic term; and
    (3) Divide the resulting sum by the number of academic terms in the 
academic year.
    (b) All grants under this section are subject to availability of 
appropriations.
    (c) If there are insufficient funds to pay the amount calculated 
under paragraph (a) of this section, BIE will reduce the grant amount 
awarded to each eligible tribal college or university on a pro rata 
basis.


Sec.  41.31  When will the tribal college or university receive 
funding?

    (a) BIE will authorize payments equal to 95 percent of funds 
available for allotment by either July 1 or within 14 days after 
appropriations become available, with the remainder of the payment made 
no later than September 30.
    (b) BIE will not commingle funds appropriated for grants under this 
subpart with other funds expended by the BIE.


Sec.  41.33  What if there isn't enough money to pay the full grant 
amount?

    This section applies if BIE has to reduce payments under Sec.  
41.29(c).
    (a) If additional funds have not been appropriated to pay the full 
amount of grants under this part on or before June 1st of the year, the 
BIE will notify all grant recipients in writing. The tribal college or 
university must submit a written report to the BIE on or before July 
1st explaining how much of the grant money remains unspent.
    (b) After receiving the tribal college's or university's report 
under paragraph (a) of this section, BIE will:
    (1) Reallocate the unspent funds using the formula in Sec.  41.29 
in proportion to the amount of assistance to which each grant recipient 
is entitled but has not received;
    (2) Ensure that no tribal college or university will receive more 
than the total annual cost of its education programs;
    (3) Collect unspent funds as necessary for redistribution to other 
grantees under this section; and
    (4) Make reallocation payments on or before August 1st of the 
academic year.


Sec.  41.35  What will happen if the tribal college or university 
doesn't receive its appropriate share?

    (a) If the BIE determines the tribal college or university has 
received financial assistance to which the tribal college or university 
was not entitled, BIE will:
    (1) Promptly notify the tribal college or university; and
    (2) Reduce the amount of the tribal college's or university's 
payments under this subpart to compensate for any overpayments or 
otherwise attempt to recover the overpayments.
    (b) If a tribal college or university has received less financial 
assistance than the amount to which the tribal college or university 
was entitled, the tribal college or university should promptly notify 
the BIE. If the BIE confirms the miscalculation, BIE will adjust the 
amount of the tribal college's or university's payments for the same or 
subsequent academic years to compensate for the underpayments. This 
adjustment will come from the Department's general funds and not from 
future appropriated funds.


Sec.  41.37  Is the tribal college or university eligible for other 
grants?

    Yes. Eligibility for grants under this subpart does not bar a 
tribal college or university from receiving financial assistance under 
any other federal program.


Sec.  41.39  What reports does the tribal college or university need to 
provide?

    (a) The tribal college or university must provide the BIE, on or 
before December 1 of each year a report that includes:
    (1) An accounting of the amounts and purposes for which the tribal 
college or university spent assistance received under this part during 
the preceding academic year;
    (2) An accounting of the annual cost of the tribal college's or 
university's education programs from all sources for the academic year; 
and
    (3) A final performance report based upon the criteria the tribal 
college's or university's goals, philosophy, or plan of operation.
    (b) The tribal college or university must report to the BIE their 
FTE Indian student enrollment for each academic term of the academic 
year within three (3) weeks of the date the tribal college or 
university makes the FTE calculation.


Sec.  41.41  Can the tribal college or university receive technical 
assistance?

    (a) If a tribal college or university sends the BIE a written 
request for technical assistance, BIE will respond within 30 days.
    (b) The BIE will provide technical assistance either directly or 
through annual contract to a national Indian organization that the 
tribal college or university designates.
    (c) Technical assistance may include consulting services for 
developing programs, plans, and eligibility studies and accounting, and 
other services or technical advice.


Sec.  41.43  How must the tribal college or university administer its 
grant?

    In administering any grant provided under this subpart, a tribal 
college or university must:
    (a) Provide services or assistance under this subpart in a fair and 
uniform manner;
    (b) Not deny admission to any Indian student because they either 
are, or are not, a member of a specific Indian tribe; and
    (c) Comply with part 276 of this title, unless the BIE expressly 
waives specific inappropriate provisions of part 276 in response to a 
tribal college or university request and justification for a waiver.


Sec.  41.45  How does the tribal college or university apply for 
programming grants?

    (a) Tribes and Tribal entities may submit a written request to the 
BIE for a grant to conduct planning activities for the purpose of 
developing proposals for the establishment of tribally controlled 
colleges and universities, or to determine the need and potential for 
the establishment of such colleges and universities. BIE will provide 
written notice to the tribal college or university of its determination 
on the grant request within 30 days.
    (b) Subject to the availability of appropriations, BIE may provide 
such grants to up to five tribes and tribal entities in the amount of 
$15,000 each.

[[Page 49955]]

Sec.  41.47  Are tribal colleges or universities eligible for 
endowments?

    Yes. Tribal colleges and universities are eligible for endowments 
upon a signed agreement between the tribal college and university and 
the Secretary as described in 25 U.S.C. 1832. Endowments must be 
invested in a trust fund and the tribal college or university may only 
use the interest deposited for the purpose of defraying expenses 
associated with the operation of the tribal college or university (25 
U.S.C. 1833).

Subpart C--Din[eacute] College


Sec.  41.49  What is the purpose of this subpart?

    The purpose of this subpart is to assist the Navajo Nation in 
providing education to the members of the tribe and other qualified 
applicants through a community college, established by that tribe, 
known as Din[eacute] College. To that end, the regulations in this 
subpart prescribe procedures for providing financial and technical 
assistance for Din[eacute] College under the Din[eacute] College Act, 
as amended (25 U.S.C. 640a-c).


Sec.  41.51  What is the scope of this subpart?

    The regulations in this subpart are applicable to the provision of 
financial assistance to Din[eacute] College pursuant to the Din[eacute] 
College Act of December 15, 1971 (Pub. L. 92-189, 85 Stat. 646, 25 
U.S.C. 640a-c) as amended by the Din[eacute] College Assistance Act of 
1978, title II of the Tribally Controlled Colleges and Universities 
Assistance Act of 1978 (Pub. L. 95-471, 92 Stat. 1325, 1329, 25 U.S.C. 
640c).


Sec.  41.53  How does Din[eacute] College request financial assistance?

    To request tribal college or university financial assistance, 
Din[eacute] College must submit an application. The application must be 
certified by the tribal college or university chief executive officer 
and include:
    (a) A statement of Indian student enrollment and total FTE 
enrollment for the preceding academic year;
    (b) A curriculum description, which may be in the form of a college 
catalog or like publication or information located on the tribal 
college or university Web site; and
    (c) A proposed budget showing total expected operating expenses of 
educational programs and expected revenue from all sources for the 
grant year.


Sec.  41.55  How are grant funds processed?

    (a) BIE will identify the budget request for Din[eacute] College 
separately in its annual budget justification.
    (b) BIE will not commingle funds appropriated for grants under this 
subpart with appropriations that are historically expended by the 
Bureau of Indian Affairs for programs and projects normally provided on 
the Navajo Reservation for Navajo beneficiaries.


Sec.  41.57  When will the application be reviewed?

    Within 45 days of receiving the application the BIE will send a 
grant agreement for signature by the Din[eacute] College president or 
his or her designee in an amount determined under Sec.  41.29(a). The 
grant agreement shall incorporate the grant application and include the 
provisions required by Sec.  41.25


Sec.  41.59  When will grant funds be paid?

    (a) Initial grant funds will be paid in an advance installment of 
not less than 40 percent of the funds available for allotment by 
October 1st.
    (b) The remainder of the grant funds will be paid by July 1st after 
the BIE adjusts the amount to reflect any overpayments or underpayments 
made in the first disbursement.


Sec.  41.61  Is Din[eacute] College eligible to receive other grants?

    Yes. Eligibility for grants under this subpart does not bar 
Din[eacute] College from receiving financial assistance under any other 
Federal program.


Sec.  41.63  How can financial assistance be used?

    (a) The tribal college or university must use financial assistance 
under this subpart only for operation and maintenance, including 
educations programs, annual capital expenditures, major capital 
improvements, mandatory payments, supplemental student services, and 
improvement and expansion, as described in 25 U.S.C. 640c-1(b)(1);
    (b) Must not use financial assistance under this subpart for 
religious worship or sectarian instruction. However, this subpart does 
not prohibit instruction about religions, cultures or Indian tribal 
languages.


Sec.  41.65  What reports must be provided?

    (a) Din[eacute] College must submit on or before December 1st of 
each year a report that includes:
    (1) An accounting of the amounts and purposes for which Din[eacute] 
College spent the financial assistance during the preceding academic 
year;
    (2) The annual cost of Din[eacute] College education programs from 
all sources for the academic year; and
    (3) A final report of Din[eacute] College's performance based upon 
the criteria in its stated goals, philosophy, or plan of operation.
    (b) Din[eacute] College must report its FTE Indian student 
enrollment for each academic term within six weeks of the date it makes 
the FTE calculation.


Sec.  41.67  Can Din[eacute] College receive technical assistance?

    Technical assistance will be provided to Din[eacute] College as 
noted in Sec.  41.41.


Sec.  41.69  How shall Din[eacute] College administer its grant?

    In administering any grant provided under this subpart, Din[eacute] 
College must:
    (a) Provide all services or assistance under this subpart in a fair 
and uniform manner;
    (b) Not deny admission to any Indian student because the student 
is, or is not, a member of a specific Indian tribe;
    (c) Comply with part 276 of this title, unless the BIE expressly 
waives specific inappropriate provisions of part 276 in response to 
Din[eacute] College's request and its justification for a waiver.


Sec.  41.71  Can Din[eacute] College appeal an adverse decision under a 
grant agreement by the Director?

    Din[eacute] College has the right to appeal to the Assistant 
Secretary by filing a written notice of appeal within 45 days of the 
adverse decision. Within 45 days after receiving notice of appeal, the 
Assistant Secretary shall conduct a formal hearing at which time the 
Din[eacute] College may present evidence and argument to support its 
appeal. Within 45 days of the hearing, the Assistant Secretary shall 
issue a written ruling on the appeal confirming, modifying or reversing 
the decision of the Director. If the ruling does not reverse the 
adverse decision, the Assistant Secretary shall state in detail the 
basis of his/her ruling. The ruling of the Assistant Secretary on an 
appeal shall be final for the Department.

    Dated: August 7, 2015.
Kevin K. Washburn,
Assistant Secretary--Indian Affairs.
[FR Doc. 2015-20242 Filed 8-17-15; 8:45 am]
 BILLING CODE 4337-15-P