pends or salaries charged against the grant must follow salary policies and be on a scale consistent with the regular practices of the grantee institution. The extent of compensation of individuals from grant funds will depend on the degree to which their services are necessary. For research to be conducted under a grant made to an educational institution, compensation shall be consistent with the institution's policies for work during the summer months.

(iii) Part or all of an individual's services may be charged against a grant: Provided, That he be relieved of a comparable portion of his teaching or other obligations and that his regular stipend or salary be reduced pro rata.

(2) Equipment. Itemize required equipment by description and estimated cost, and include a thorough justification for each (see paragraph (f) of this section).

(3) Consumable property. Indicate in general terms the types of required equipment and supplies that will be expended during performance under the grant.

(4) Travel. Indicate in as great detail as possible the type of anticipated travel, its frequency, and its applicability to the research. Grant funds may be used for travel only to the extent that expenditures are reasonable and bear a close relationship to the research work. No foreign travel shall be undertaken in fulfillment of the grant's objectives without specific written approval from the Granting Officer.

(5) Publication costs. Indicate all types of publication costs anticipated, including the purchase of reprints. (See Subpart 23-50.5 of this part.)

(6) Other direct costs. Itemize other anticipated direct costs not included above, such as computer charges and reference texts.

(7) Indirect costs. Institutions may claim indirect costs in accordance with cost principles set forth in Part 1-15 of this title.

(8) Total. Give total of all costs by years and a cumulative final total as well.

To the extent that the applicant considers such financial information privi

leged, he must identify the information to be protected and request expressly that it be held in confidence. (See paragraph (j) of this section.)

(i) Other sponsors. (1) State whether the proposal has been submitted to other possible sponsors (and if so, to whom), including other Federal agencies, and state proposed total cost to other sponsors. Indicate also any present sponsors of any portion of the program outlined in the proposal. The submission of the proposal to other organizations concurrently with its submission to ACDA will not prejudice its review by the Agency but notification of other sponsorship is required.

(2) In the event of ACDA partial sponsorship, if actual cost is less than anticipated, ACDA will expect a pro rata refund.

(j) Privileged information. When an application results in an Agency grant, the proposal itself becomes a part of the record of the transaction which may be made available to the public for inspection and copying upon specific request. If any information or material presented in an application for a grant is of a confidential character which meets the criteria of applicable law for protection against unauthorized disclosure, it will be withheld from disclosure to the general public under the authority of such applicable law, including the authority of the Freedom of Information Act (5 U.S.C. 552). The burden of asserting the privileged character of the information or material rests on the applicant. Such information shall be contained in an annex, conspicuously bearing an appropriately restrictive legend (see § 23-3.5002 of this title), six copies of which must accompany the application.

Subpart 23-50.3—Financial Support

§ 23-50.301 Educational institutions and other organizational grantees.

Funds provided under Agency grants may be expended by organizations or by educational institutions for those direct and indirect expenditures recognized under applicable cost principles set forth in Subparts 1-15.1, 1-15.2, or 1-15.3 of this part, and those specific

items of allowable costs set forth in the grant instrument.

§ 23-50.302 Individual grantees.

Financial support provided directly by the Agency to individual grantees, or indirectly to such grantees through some nonprofit academic organization or educational institution of higher learning may or may not cover the entire expenses borne by the individual. Such support may take the form of stipends, subsistence, travel, or book allowances. In appropriate circumstances and as a condition precedent to making the grant, the Agency may require an individual grantee to certify that he will diligently pursue the research to substantial completion. Where such a condition has been required, the grant will contain a provision to the effect that the grantee will repay on demand by the Agency all monies advanced to him in the event of his failure to pursue the research to substantial completion.

Subpart 23-50.4-Administration of Grants

§ 23-50.401 Terms and conditions of grants.

(a) The provisions set forth in the instrument of grant (or incorporated by reference) shall be binding upon the grantee. During the period of the grant, modifications of the original provisions, which may be agreed from time to time, shall be reduced to writing and form part of the instrument of grant as a binding amendment thereto.

(b) An original of the instrument of grant shall be delivered to the grantee. In the case of grants made to organizations, copies of the instrument shall be sent to the principal investigator and to the administrative officer (if any).

(c) In appropriate circumstances, a grant instrument may contain a provision stating that the Agency shall not be liable (1) for injuries sustained by the grantee, his officers, agents, employees or members of his family or (2) for property damage sustained by any such person during performance under the grant. The instrument shall also contain a provision that the

grantee and not the Agency shall be responsible for liabilities to third persons for either property damage or personal injuries and that by his acceptance of the grant the grantee agrees not to assert a claim against the Government for reimbursement of expenses and costs resulting from such liabilities.

(d) In the case of all grants, unless otherwise specified in the grant letter, the grantee will be required to:

(1) Furnish a draft of the final report for Agency comments thirty (30) days prior to the due date of the final report;

(2) Furnish to the Agency, in the case of grants for which the grant period is in excess of six (6) months, not more than ten (10) copies of a brief interim status report at three (3) month intervals; and

(3) Furnish a reproducible master of a comprehensive final report, prepared in accordance with Agency specifications, to the Agency on or before the expiration date of the grant; the final report shall include a summary of its contents.

§ 23-50.402 Fiscal administration.

(a) In the absence of specific written authorization contained in the instrument of grant, expenditures incurred by the grantee prior to the date of the grant and otherwise reasonable and allocable to the grant shall not be charged thereto directly or indirectly.

(b) Funds not expended or committed under a binding legal obligation prior to termination of the grant or the expiration of the grant period, shall be remitted promptly by check in a sum increased by the amount of any earned or accrued interest. The check shall be made payable to the U.S. Arms Control and Disarmament Agency and identified by the Agency's grant designation.

(c) Generally, the Agency will provide grant funds quarterly and in ad

vance.

(d) Each application for a research project shall be accompanied by an itemized budget which shall be approved by ACDA in the grant instrument. Within the limits of the total budget, deviations from the itemized budget estimates submitted with the

proposal are permissible. However, the grantee or principal investigator shall inform ACDA promptly of any contemplated major deviations, shall state the reasons therefor, and shall not initiate such deviations without prior written approval from the Agency.

(e) Projects supported by Agency grant must be performed within the stated limit of funds.

(f) Grant funds received from the Agency will be deposited in separate checking (or other type of accounts) established and maintained by the grantee. In no event shall such funds (1) be commingled with the personal funds of the grantee or of any officer or agent of the grantee organization; or (2) be deposited in personal bank accounts for disbursement by personal check.

(g) The grantee shall maintain separate records for each grant in accordance with generally accepted accounting principles. Such records shall provide the basis for any fiscal reports that may be required. All accounting records relating to expenditures under each grant shall be subject to examination and audit by authorized representatives of ACDA at all reasonable times during the period of the grant and for 3 years after termination. In addition, the Comptroller General of the United States or any of his duly authorized representatives shall, until the expiration of 3 years after termination of the grant, have access to and the right to examine any directly pertinent books, documents, and records of the grantee involving transactions relating to the grant.

(h) A final fiscal report containing an itemized statement of the disposition of all grant funds shall be submitted within ninety (90) days after the completion of work under the grant. An interim fiscal report containing an itemized statement of expenditures and commitments made and of any interest earned on grant funds, shall be submitted at 3-month intervals.

(i) Agency grants may not be transferred from one grantee to another without the execution of a novation or other appropriate agreement executed by the existing and prospective grantees as well as by the Agency. A request for such a transfer shall be ad

ministratively processed as an application for a new grant.

§ 23-50.403 Patents.

(a) Section 32 of the Act states that all research within the United States sponsored, cosponsored, or authorized under the Act, shall be provided for in such manner that all information as to uses, products, processes, patents and other developments resulting from such research developed by government expenditure will (with such exceptions and limitations, if any, as the Director may find to be necessary in the public interest) be available to the general public. Section 32 shall not be so construed as to deprive the owner of any background patent relating thereto of such rights as he may have thereunder.

(b) The instrument of grant will contain a provision to the effect that the grantee or principal investigator shall promptly disclose to ACDA all discoveries and inventions conceived or first actually reduced to practice in the performance of work aided or supported under the grant. The grantee will, upon request, assign, and transfer to the United States, as represented for this purpose by ACDA, full and entire, right, title, and interest in and to such discoveries or inventions; Provided, however, That in the absence of any request by the Agency for such an assignment or transfer, the grantee agrees in any event that it will grant an irrevocable, nonexclusive, nontransferable, royalty-free license for the practice throughout the world, by or on behalf of the United States or by any foreign government or international organization pursuant to any treaty or other agreement with the Government of the United States, of each such discovery or invention. The grantee will warrant that he has or shall obtain full authority to make such assignments and transfers by obtaining from all persons who will be participating in the research project agreements to assign to the grantee all discoveries and inventions conceived or first actually reduced to practice during the grant period with the aid or support of grant funds.

(c) If to the best of the grantee's knowledge and belief no inventions

have been conceived or first actually reduced to practice during the grant period with the aid or support of grant funds, the grantee shall so certify to ACDA at the termination of the grant period. Nothing contained herein shall be deemed to require the grant of any rights to the United States under any invention other than an invention conceived or first actually reduced to practice during the grant period and as a result of performance of work aided or supported under the grant.

§ 23-50.404 Security.

(a) To the maximum extent practicable, projects sponsored or assisted by Agency grant shall be unclassified and free of any information, which under paragraph (b) of this section, is likely to serve as a bar to publication.

(b) Special provisions, pertaining to security or to administrative controls necessary to avoid unauthorized disclosure, shall be incorporated in the grant instrument, in appropriate circumstances. These include circumstances where the performance of work under the grant requires or involves access to Restricted Data or other classified information, or to information the public disclosure of which would, in the opinion of the Agency, violate a confidential relationship or other obligation established or recognized by law requiring the

Agency to withhold publication.

§ 23-50.405 Equal opportunity.

Each grant shall contain a provision to the effect that no person in the United States shall (a) be excluded from participation in performance under this grant, (b) be denied the benefits of the grant, or (c) be subjected to any discrimination under the grant, on the grounds of race, color, or national origin. The grant shall also require compliance on the part of the grantee with such Agency regulations as may be promulgated from time to time to effectuate the objectives of such equal opportunity.

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Subpart 23-50.5—Publication

§ 23-50.501 Policy.

The Agency is concerned that research, development, or study projects sponsored or assisted by its grants take proper account of the public interest and the interests of scholars as well as of potential users of the resulting information. Scholars or other investigators engaged in such projects shall be free to exercise their best professional judgments as to the content of the project report, whose ultimate acceptance will depend on its intrinsic merit.

§ 23-50.502 Copyrights and other rights in data.

(a) Agency support of such projects entitles the Agency to monitor closely the publication and distribution of the project report to ensure that publication and distribution reflect adequately the public interest. Various procedures are available to effectuate the Agency's policy. One procedure would permit the publication and dissemination under copyright held by the grantee with grant of an irrevocable, nonexclusive, transferable, royaltyfree license to the Government. Another would permit publication and dissemination by the Government without statutory copyright protection. The instrument of grant shall contain appropriate provisions to such effect.

(b) With respect to any release of unclassified information (including, without limitation, any news release, article, brochure, speech, manuscript, or other material) which discloses either the existence of the study supported by the grant or the work product of the grant (including, without limitation, factual findings, hypotheses, conclusions, opinions, or recommendations), the grantee shall: (1) Provide the Agency with a copy of the proposed release at least thirty (30). days prior to the release date; and (2) unless otherwise directed in writing by the Granting Officer, make an appropriate acknowledgment of support by the U.S. Arms Control and Disarmament Agency and if the work product

wise stated) to any official designated to act for one of those enumerated during the absence or incapacity of the latter, subject to the specific limitations stated in this Part 23-51.

(b) Unless otherwise limited in this Part 23-51, the contracting officers named in Subpart 23-51.2 of this part may designate one or more qualified Government officials to act as their authorized representatives, and authority is hereby delegated to such officials to administer the performance of work required by the contracts. Designations will be in writing and will specifically state the scope and limitations of the designee's contractual authority which must be within the scope of authority possessed by the designating Contracting Officer. The signed original or duplicate original of such delegations of authority shall be retained in the files for examination and a copy given to the contractor.

(c) When exercising the authority contained in this Part 23-51, the designated procurement official is identified as the Contracting Officer and will function within the limits prescribed by law, Federal Procurement Regulations, Procurement Regulations of the U.S. Arms Control and Disarmament Agency and all applicable provisions of Executive orders, regulations, and directives which are now in effect or which may be issued hereafter by competent authority.

(d) The Executive Director is designated as the chief officer responsible for procurement. In collaboration with the General Counsel or his designee, he shall formulate procurement policy for the Director's approval and within the policy approved by the Director shall prescribe standards and procedures for the negotiation, award and administration of contracts.

Subpart 23-51.2-Delegations

§ 23-51.201 The Executive Director.

(a) To the Executive Director is delegated the following authority:

(1) Subject to availability of funds, to enter into contracts or contract modifications which will not require the expenditure of more than $1 million for the acquisition of property or services following formal advertising.