compensated from some other source of funds. (Authority: 20 U.S.C. 1221e-3 and 3474) CONFLICT OF INTEREST § 75.524 Conflict of interest: Purpose of $75.525. (a) The conflict of interest regulations of the Department that apply to a grant are in § 75.525. (b) These conflict of interest regulations do not apply to a "government” as defined in 34 CFR 74.3. NOTE: A government must provide a conflict of interest assurance under the standard application required by subpart N of 34 CFR part 74 (Forms for Applying for Grants). (c) The regulations in §75.525 do not apply to a grantee's procurement contracts. The conflict of interest regulations that cover those procurement contracts are in 34 CFR part 74. (Authority: 20 U.S.C. 1221e-3 and 3474) CROSS REFERENCE: See 34 CFR part 74, Subpart G-Matching or Cost Sharing. § 75.531 Limit on total cost of a project. A grantee shall insure that the total cost to the Federal Government is not more than the amount stated in the notification of grant award. (Authority: 20 U.S.C. 1221e-3 and 3474) § 75.532 Use of funds for religion prohibited. (a) No grantee may use its grant to pay for any of the following: (1) Religious worship, instruction, or proselytization. (2) Equipment or supplies to be used for any of those activities. (3) Construction, remodeling, repair, operation, or maintenance of any facility or part of a facility to be used for any of those activities. (4) An activity of a school or department of divinity. (b) As used in this section, school or department of divinity means an institution or a component of an institution whose program is specifically for the education of students to: (1) Prepare them to enter into a religious vocation; or (2) Prepare them to teach theological subjects. (Authority: 20 U.S.C. 1221e-3 and 3474) (b) Appropriations are available to cover the cost. (Authority: 20 U.S.C. 1221e-3 and 3474) [45 FR 22497, Apr. 3, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, as amended at 57 FR 30339, July 8, 1992] INDIRECT COST RATES § 75.560 General indirect cost rates; exceptions. (a) The differences between direct and indirect costs and the principles for determining the general indirect cost rate that a grantee may use for grants under most programs are specified in the cost principles for (1) Institutions of higher education, at 34 CFR 74.27; (2) Hospitals, at 34 CFR 74.27; (3) Other nonprofit organizations, at 34 CFR 74.27; (4) Commercial (for-profit) organizations, at 34 CFR 74.27; and (5) State and local governments and federally-recognized Indian tribal organizations, at 34 CFR 80.22. (b) A grantee must have a current indirect cost rate agreement to charge indirect costs to a grant. To obtain an indirect cost rate, a grantee must submit an indirect cost proposal to its cognizant agency and negotiate an indirect cost rate agreement. (c) The Secretary may establish a temporary indirect cost rate for a grantee that does not have an indirect cost rate agreement with its cognizant agency. (d) The Secretary accepts an indirect cost rate negotiated by a grantee's cognizant agency, but may establish a restricted indirect cost rate for a grantee to satisfy the statutory requirements of certain programs administered by the Department. (Authority: 20 U.S.C. 1221e-3 and 3474) [45 FR 22497, Apr. 3, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, as amended at 57 FR 30339, July 8, 1992; 59 FR 59582, Nov. 17, 1994] § 75.561 Approval of indirect cost rates. (a) If the Department of Education is the cognizant agency, the Secretary approves an indirect cost rate for a grantee other than a local educational agency. For the purposes of this sec tion, the term local educational agency does not include a State agency. (b) Each State educational agency, on the basis of a plan approved by the Secretary, shall approve an indirect cost rate for each local educational agency that requests it to do so. These rates may be for periods longer than a year if rates are sufficiently stable to justify a longer period. (c) The Secretary generally approves indirect cost rate agreements annually. Indirect cost rate agreements may be approved for periods longer than a year if the Secretary determines that rates will be sufficiently stable to justify a longer rate period. (Authority: 20 U.S.C. 1221e-3 and 3474) [59 FR 59583, Nov. 17, 1994] § 75.562 Indirect cost rates for educational training projects. (a) Educational training grants provide funding for training or other educational services. Examples of the work supported by training grants are summer institutes, training programs for selected participants, the introduction of new or expanded courses, and similar instructional undertakings that are separately budgeted and accounted for by the sponsoring institution. These grants do not usually support activities involving research, development, and dissemination of new educational materials and methods. Training grants largely implement previously developed materials and methods and require no significant adaptation of techniques or instructional services to fit different circumstances. (b) The Secretary uses the definition in paragraph (a) to determine which grants are educational training grants. (c) Indirect cost reimbursement on a training grant is limited to the recipient's actual indirect costs, as determined by its negotiated indirect cost rate agreement, or eight percent of a modified total direct cost base, whichever amount is less. For the purposes of this section, a modified total direct cost base is defined as total direct costs less stipends, tuition and related fees, and capital expenditures of $5,000 grants, if these contracts are for training as defined in this section. (2) The eight percent limit does not apply to agencies of State or local governments, including federally recognized Indian tribal governments, as defined in 34 CFR 80.3. (3) Indirect costs in excess of the eight percent limit may not be charged directly, used to satisfy matching or cost-sharing requirements, or charged to another Federal award. (d) A grantee using the training rate of eight percent is required to have documentation available for audit that shows that its negotiated indirect cost rate is at least eight percent. (Authority: 20 U.S.C. 1221e-3 and 3474) [59 FR 59582, Nov. 17, 1994] § 75.563 Restricted indirect cost rateprograms covered. If a grantee decides to charge indirect costs to a program that has a statutory requirement prohibiting the use of Federal funds to supplant non-Federal funds, the grantee shall use a restricted indirect cost rate computed under 34 CFR 76.564 through 76.569. (Authority: 20 U.S.C. 1221e-3 and 3474) [59 FR 59583, Nov. 17, 1994] 875.564 Reimbursement costs. of indirect (a) Reimbursement of indirect costs is subject to the availability of funds and statutory or administrative restrictions. (b) The application of the rates and the determination of the direct cost base by a grantee must be in accordance with the indirect cost rate agreement approved by the grantee's cognizant agency. (c) Indirect cost reimbursement is not allowable under grants for (1) Fellowships and similar awards if Federal financing is exclusively in the form of fixed amounts such as scholarships, stipend allowances, or the tuition and fees of an institution; (2) Construction grants; (4) Grants to organizations located outside the territorial limits of the United States; (5) Grants to Federal organizations; and (6) Grants made exclusively to support conferences. (d) Indirect cost reimbursement on grants received under programs with statutory restrictions or other limitations on indirect costs must be made in accordance with the restrictions in 34 CFR 76.564 through 76.569. (e) Indirect costs for a group of eligible parties (see §§ 75.127-75.129) are limited to the amount derived by applying the rate of the applicant, or a restricted rate when applicable, to the grant in keeping with the terms of the applicant's indirect cost rate agreement. (Authority: 20 U.S.C. 1221e-3 and 3474) [59 FR 59583, Nov. 17, 1994] § 75.580 Coordination with other activities. A grantee shall, to the extent possible, coordinate its project with other activities that are in the same geographic area served by the project and that serve similar purposes and target groups. (Authority: 20 U.S.C. 1221e-3, 2890, and 3474) [45 FR 22497, Apr. 3, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, as amended at 57 FR 30339, July 8, 1992] EVALUATION § 75.590 Evaluation by the recipient. A recipient shall submit a performance report, or, for the last year of a project, a final report, that evaluates at least annually— (a) The recipient's progress in achieving the objectives in its approved application; (b) The effectiveness of the project in meeting the purposes of the program; and (c) The effect of the project on participants being served by the project. (Approved by the Office of Management and Budget under control number 1875-0102) (Authority: 20 U.S.C. 1221e-3 and 3474) [45 FR 22497, Apr. 3, 1980. Redesignated at 45 FR 77368, Nov. 21, 1980, as amended at 57 FR 30339, July 8, 1992; 59 FR 30262, June 10, 1994; 60 FR 6660, Feb. 3, 1995] $75.607 General considerations in designing facilities and carrying out construction. (a) A grantee shall insure that the construction is: (1) Functional; (2) Economical; and (3) Not elaborate in design or extravagant in the use of materials, compared with facilities of a similar type constructed in the State or other applicable geographic area. (b) The grantee shall, in developing plans for the facilities, consider excellence of architecture and design and inclusion of works of art. The grantee may not spend more than one percent of the cost of the project on inclusion of works of art. (Authority: 20 U.S.C. 1221e-3 and 3474) $75.608 Areas in the facilities for cultural activities. A grantee may make reasonable provision, consistent with the other uses to be made of the facilities, for areas in the facilities that are adaptable for artistic and other cultural activities. (Authority: 20 U.S.C. 1221e-3 and 3474) [57 FR 30339, July 8, 1992] $75.609 Comply with safety and health standards. In planning for and designing facilities, a grantee shall observe: (a) The standards under the Occupational Safety and Health Act of 1970 (Pub. L. 91-576) (See 36 CFR part 1910); and (b) State and local codes, to the extent that they are more stringent. (Authority: 20 U.S.C. 1221e-3 and 3474) § 75.610 Access by the handicapped. A grantee shall comply with the Federal regulations on access by the handicapped that apply to construction and alteration of facilities. These regulations are: (a) For residential facilities-24 CFR part 40; and (b) For non-residential facilities 41 CFR subpart 101–19.6. (Authority: 20 U.S.C. 1221e-3 and 3474) |