Agencies, and State Economic Opportunity Offices assisted by OEO under Title II and III of the Economic Opportunity Act of 1964, as amended.

81060.1-2 Policy.

(a) General. (1) An essential objective of community action is extensive and intensive participation by the poor and residents of poverty areas in the planning, conduct, and evaluation of programs which affect their lives.

(2) Without the steady growth of such participation in both quantity and quality, community action cannot succeed. The constituency of the Community Action Program and its grantees is poor people.

(3) The Community Action Program is based upon the recognition that poor people possess talents and resources essential to reducing the problems of poverty. They often have unique insight into their own problems and valuable knowledge about the effect on their own lives of the programs designed for their benefit. Their participation in the development of those programs is essential to building understanding and the will of the entire community to bring an end to poverty and to achieve effective communication between the poor and the nonpoor. Far more relevant, sensitive, and effective programs and plans will come out of their participation.

(4) In its provisions regarding participation by the poor, the Economic Opportunity Act as amended in 1967 clearly recognizes that successful community action must help enlist and assure effective use of these resources of the poor. It gives more specific form to the often expressed aim of community action to help the poor help themselves. Through the formation of their own organizations, they can effectively speak directly for their interests and views within their immediate areas and within the broader community and work together to solve their problems. The EOA authorizes assistance to those programs which will aid the poor to participate more fully in the affairs of their communities.

(5) OEO vigorously supports the emphasis of the Economic Opportunity Act on participation of the poor and requires meaningful participation in

all programs funded with community action monies. It will offer this support through:

(i) The funding of grantees who are carrying out the purposes of this subpart and the provision of frequent review to see that direct involvement of poor people is maintained and increasing;

(ii) The requirement that all funding applications must explicitly indicate a course of action which will lead to improvement in the involvement of poor people in the community action agency (CAA) program;

(iii) Policy, guidance, training and technical assistance to help grantees to effectively involve poor people;

(iv) Direct efforts to encourage other agencies, organizations and groups at the national, state and local levels to adopt strong participation of the poor policies for programs affecting poor people.

(6) To encourage and support effective participation by the poor, in keeping with the CAP mission and objectives, OEO has established the following minimum requirements for community action grantees. These are minimum requirements. OEO will continue to do everything it can to assist grantees in their local efforts to exceed these basic requirements. The quality of participation, not the quantity, and continuing improvement are the common goals of OEO and its community action grantees. Mere gestures or empty ritual are no substitute.

(b) Community action agencies—(1) Basic responsibilities. Every CAA has a fundamental responsibility to encourage, assist, and strengthen the ability of the poor in the areas served by the CAA to play major roles in the organization; program planning; goal setting; determination of priorities; decisions concerning budgeting and financial management; key decisions concerning hiring of personnel, selection criteria, personnel policies, the number and type of non-professional jobs, training, and career development programs; and evaluation of programs affecting their lives. Decisions affecting organization can include what policymaking boards and committees are established and what their roles are in

respect to each other, to paid staff, and to any delegate agency staff and boards; which programs will be delegated; and which staff unit or other group will have administrative responsibility for which programs. The fundamental responsibility of the CAA includes:

(i) Seeking and bringing about ways to improve its own effectiveness as a channel through which the poor, local government and private groups can communicate, plan, and act together in partnership. In such a partnership the poor must have a strong voice or role, both directly and through representatives whom they have chosen.

(ii) Providing the representatives of the poor with the tools and the support (guidance, training, and staff assistance) which will permit them to participate meaningfully in the affairs of the CAA, and in all of its programs and delegate agencies.

(iii) Encouraging the development of effective local organizations established and controlled by residents of poverty neighborhoods or areas. Community action agencies are expected to provide training, technical assistance and staff resources to enable the poor to develop, administer, and participate effectively in local area programs and to enter into the broader community discussion of poverty problems and solutions.

(iv) Providing employment for poor persons in all phases of the community action program.

(v) Continually insuring that delegate agencies involve poor persons in the planning, conduct and evaluation of delegated programs.

(vi) Working for the acceptance by other public and private agencies and organizations serving the community of effective and growing involvement of the poor in the planning, conduct and evaluation of all activities which affect them and their inclusion in career jobs in the agencies.

(2) Representation and involvement on CAA Boards. (i) Every CAA has the obligation to assure that at least onethird of the membership of the CAA governing or administering board are representatives of the poor and residents of the areas to be served by the CAA chosen in a democratic way.

(Community Action Memo 81,1 contained in the booklet “Organizing Communities for Action," sets forth on pp. 12-13 the policy for implementing this legislative requirement. The requirement that CAAS shall establish procedures in their bylaws, under which community agencies and representative groups of the poor which feel themselves inadequately represented on the CAA Board may petition for adequate representation, is spelled out on pp. 14-15.)

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(ii) In addition to the provision for public board meetings publicized and conducted in accordance with OEO Instruction 7042-1, 1 the CAA is responsible for setting up the following procedures to make certain the representatives of the poor on the board are able to participate meaningfully:

(a) The proportion of democratically selected representatives of the poor on any executive committee and on all policy making committees and other subcommittees of the CAA shall fairly reflect their proportion on the CAA Board itself;

(b) The time and place for any board, committee, advisory committee or neighborhood council meeting shall be so fixed as to insure that it will be possible and convenient for the representatives of the poor to attend;

(c) A quorum for any board or committee meeting shall be established and it shall be at least 50 percent of the membership of that board or committee;

(d) Proxy voting is prohibited;

(e) Advance notice of and the agenda (an outline of matters to be considered) for any board or committee meetings shall be provided individually to all members in writing 5 days before the meeting. In addition, notices should be given to the local public media and posted in all neighborhood or community centers along with the agenda;

Written minutes which include a record of votes on all motions, shall be distributed to all board members before the next board meeting. In addition, statements or records of all ac

'Not filed with the Office of the Federal Register.

tions taken at all board meetings (including the record of the vote of each member when a roll call vote has been taken) shall be made available to the public on request.

(g) In communities which include a non-English-speaking population advance notice, agendas, and minutes of meetings will be provided to any nonEnglish-speaking representatives of that population in their own language, and there must be an interpreter available to them during the meetings;

(h) Funds for transportation, baby sitting and other legitimate expenses, as well as an allowance, should be provided by the CAA to enable representatives of the poor to participate regularly in board, committee, advisory council, or neighborhood council meetings. Statements of the expenses allowed and how representatives will be repaid for what they have spent will be drawn up by the CAA and given to the members of all CAA boards and advisory councils. (More detailed provisions for these reimbursements is spelled out in CA Memo 29A1 OEO Instruction 6803-1, “Allowances and Reimbursements for Members of PolicyMaking Bodies" is being developed to replace CA Memo 29A.1);

(i) Representatives of the poor on CAA Boards must be given adequate information and training about board functions, duties, and responsibilities and the issues which will come before the board, to permit them to make the fullest possible contribution to the work of the board. In this connection, the by-laws of the CAA shall be distributed and fully explained to the representatives of the poor on the board;

(j) Adequate information about standards of program effectiveness established by OEO and by the CAA shall be delivered when available to the representatives of the poor to permit them to plan for and evaluate CAA programs and to set priorities for the use of funds and other resources. Evaluations of CAA programs and their operation shall consider the views of representatives of the poor on the CAA Board, as well as the views of

'Not filed with the Office of the Federal Register.

program participants and area residents;

(k) Representatives of the poor on CAA Boards will participate in the development of all parts of the CAA grant application, including "CAA Plans and Priorities," the work program, and the prereview meetings with the OEO Regional Office Field Representative.

(3) Project Advisory Committees and neighborhood or Target Area Councils. (i) While OEO recognizes that unique conditions exist in different regions of the country and in rural and urban communities and that the means of participation of the poor may therefore legitimately differ, every CAA is nonetheless responsible for developing effective involvement of the poor in each major program and in each of its target areas. This involvement may be in the form of (a) a program advisory committee composed of at least 50 percent democratically selected representatives of the poor being served by an individual program area (as required in the national emphasis programs such as Head Start, Legal Services, etc.) or (b) a neighborhood or target area based organization (such as a neighborhood or community council) made up of neighborhood residents. If these program advisory committees and neighborhood councils wish, they may:

(ii) Advise the CAA in setting annual program priorities based upon the top needs of the neighborhood or target area;

(iii) Participate in the development of the pertinent parts of the Community Action Grant process;

(iv) More particularly, participate in the development of CAP Form 81, "Community Action Agency Plans and Priorities," (Applying for a CAP Grant-OEO Instruction 6710-1, pp. III 9-14)1 and CAP Form 7, "Program Account Work Program," (pp. 13-25) bearing on the program operating in their neighborhood or in the program area for which the advisory committee or neighborhood council is responsible. Such a committee or council shall add a written approval or dissent from the CAA's Plans and Priorities, CAP Form 81, when it is submitted to OEO by the CAA;

(v) Participate in the prereview meetings with the Regional Office Field Representative prior to the submission of the funding request.

(vi) Review and comment on existing or proposed CAA projects, policies, and plans and on major OEO policy instructions sent to the CAA for comment;

(vii) Receive from the CAA copies of OEO publications, instructions, program guidance and operating handbooks;

(viii) Participate in evaluations of programs operated or delegated by the CAA and present their findings to the CAA Board for its consideration;

(ix) Review and comment on CAA self-evaluation reports, OEO on-site evaluation reports, audits, and studies or evaluations contracted privately by the CAA. Privacy of personnel matters should be protected by pulling out sensitive references rather than withholding the whole document from distribution;

(x) Have an influential voice (though not necessarily the once voice) in the approval of program staff working in their geographical area (i.e., neighborhood center directors in the case of neighborhood councils) or in the program for which they have responsibility (i.e., a Head Start Director in the case of a parent advisory committee), and have an influential voice in the development of personnel policies and standards for selection of other staff personnel:

(xi) Work toward an effective role (a) in the planning, coordination, conduct and evaluation of all related poverty programs supported by Federal, State or local funds operating in their area, and (b) in assuring that existing and proposed services in the neighborhoods and target areas are responsive and relevant to community problems and are fully adapted to neighborhood needs and conditions.

(4) Neighborhood or Target Area Organizations. (i) To strengthen the voice of poor people in the decisions which affect them and to increase the participation of poor people in the community action process, each CAA is expected to recognize or help establish target area or neighborhood-based organizations and to negotiate with

them regarding their role in CAAsponsored programs. The CAA must provide adequate support, guidance, training, and technical assistance to such organizations to help them become effective spokesmen and to attract additional resources from public and private sources. This assistance may include the provision of funds to permit the neighborhood or target area organization to hire their own expert assistance directly (lawyers, program specialist, planners, or trainers). With such support they can take part in community decisions affecting them on a basis of equality with those who are not poor.

(ii) These neighborhood or target area organizations must be (a) kept informed of all actions of the CAA or its delegate agencies which affect the neighborhood, and (b) given sufficient advance notice of CAA or delegate agency board meetings and the issues to be discussed to permit neighborhood or target area residents to consider the choice and develop neighborhood proposals to present to the CAA.

(iii) In order to increase the capability of neighborhood or target area organizations, the CAA and neighborhood organizations should determine jointly the extent to which the neighborhood organizations will be delegated responsibility for the planning, funding, conduct or administration of program activities within the neighborhood or target area. Any such delegation should take account of the capability of the organization to perform the functions effectively.

(iv) Each CAA shall take every opportunity to assist the neighborhood or target area organizations in their efforts to improve existing service programs in the community and bring additional services within the reach of the poor. Whenever possible, the services can be made available through neighborhood or community centers planned and operated by neighborhood or target area boards or councils. The success of the CAA in this effort will be judged by the ability of neighborhood or target area groups to deal effectively with public and private agencies regarding the distribution and productive use of resources to meet the needs of area residents.

(v) A subcommittee on each CAA Board, including representatives of the poor, as well as qualified staff, should be assigned specific responsibilities to assure that the CAA is providing effective assistance and support to the development of neighborhood or target area organization capabilities.

(5) Delegate agencies. (i) When programs and funds are delegated by the CAA, the CAA shall require the same policies and procedures for participation of the poor as those established in this subpart for CAAS.

(ii) Delegate agencies established specifically to operate programs funded through the CAA (such as area or county policy boards or councils servicing an entire political subdivision) or whose primary responsibility is for programs sponsored by the CAA must have governing boards at least one-third of whose members are democratically selected representatives of the poor residing within that area. In the case of those area boards or council which cover less than an entire political subdivision, at least a majority of its members must be representatives of the poor residing within the area. Target area or neighborhood based organizations or corporations may have boards composed solely of the democratically selected representatives of area residents, but in those cases where major policy or funding responsibilities are delegated, provision must be made for representation of elected public officials.

(iii) Delegate agencies whose primary responsibilities are for programs not sponsored by the CAA (such as school boards) must establish an advisory board or committee to assist in the planning, conduct, and evaluation of its community action programs. At least a majority of the membership of such boards must be democratically selected representatives of the poor served by the delegated community action program.

(c) Limited purpose agencies. Limited purposes agencies shall have either a governing body made up of one-third representatives of the poor or a policy advisory committee composed of at least 50 percent democratically selected representatives of the poor being served by the OEO-funded program.

Limited purpose agencies shall take the initiative in developing measures to implement the same requirements described in this subpart for every CAA for the participation of the poor in the planning, conduct, and evaluation of OEO-funded programs. The burden of proof shall be on the limited purpose agency to document in writing if it is legally unable to abide by the standards of this subpart.

(d) State Economic Opportunity Offices. (i) In addition to assisting in the implementation of the general policy statement of this subpart, the State Economic Opportunity Office (SEOO) shall promote the maximum feasible participation of poor people in the planning, conduct and evaluation of other state agency operations and programs which affect the poor. The SEOO shall encourage and work toward the development of career opportunities for the poor within other state agencies.

(ii) State Economic Opportunity Offices, whenever possible and consistent with State laws and regulations, shall employ poor people as staff or as consultants to help carry out training and technical assistance functions to community action programs.

(iii) Each SEOO which operates OEO-funded statewide poverty programs shall establish an advisory committee of representatives of the poor. When the SEOO submits an application for the funding of a statewide program, it shall have established an advisory committee which shall have participated in planning the programs. A representative elected by the representatives of the poor of each CAA Board in the state shall serve as a member of the SEOO Advisory Committee. These SEOO Advisory Committees shall:

(a) Meet not less than four times a year;

(b) Participate in the development of policies and procedures for the statewide programs; review and comment on the programs; participate in evaluations; and present their findings to the SEOO for its consideration;

(c) Recommend to the SEOO the advisability of operating new statewide programs.