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maintain during the life of the contract adequate fire, workmen's compensation, public liability and property damage insurance (unless applicant furnishes evidence of such other acceptable arrangements for any and all such insurance). § 151.32 Davis-Bacon Act.

The grantee shall comply with the requirements of the Davis-Bacon Act and shall include the following in its construction contracts or subcontracts supported in whole or in part by Federal funds:

(c) All laborers and mechanics employed by contractors or subcontractors in the performance of work on construction of any project under this section shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor in accordance with the Davis-Bacon Act, as amended (40 U.S.C. 276a-276a-5). The Secretary of Labor shall have, with respect to the labor standards specified in this clause, the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (15 F.R. 3176; 5 U.S.C. 1332–15); and section 2 of the Act of June 13, 1934, as amended (40 U.S.C. 276c). § 151.33 Antikickback.

The grantee shall comply with the Copeland Act, and shall include the following in its construction contracts supported in whole or in part by Federal funds.

The Contractor will comply with the regulations applicable to contractors and subcontractors (29 CFR Part 3, copy of which is attached) issued by the Secretary of Labor pursuant to the Copeland Act, as amended (48 Stat. 948; 62 Stat. 862; 63 Stat. 108; 72 Stat. 967; 40 U.S.C. 276c), and any amendments, or modifications thereof, will cause appropriate provisions to be inserted in subcontracts to insure compliance thereto, and will be responsible for the submission of statements required of subcontractors thereunder, except as the Secretary of Labor may specifically provide for reasonable limitations, variations, tolerances, and exemptions from the requirements thereof. § 151.34 Equal employment pportu

nity. In all contracts in excess of $10,000 financed in whole or in part with Federal funds, the grantee will include the contract clauses relating to nondiscrimination in employment as required by and set forth in the rules and regulations in effect under Executive Order 11246.

§ 151.35 Conflict of interest.

No officer or employee of the grantee or any firm, organization, corporation or partnership which such officer or employee controls or directs shall receive funds from the grantee for payment for services provided in connection with the planning, design, construction or equipping of a facility. § 151.36 Commissioner's approval.

Approval of the final working drawings and specifications will be obtained from the Commissioner before the construction covered by the application is advertised or placed on the market for bidding. § 151.37 Initiation of construction.

If the application for a construction grant is approved, the construction financed in whole or in part by the construction grant will be commenced within six months from date of acceptance of the construction grant by the applicant provided that a longer period for commencement of construction may be approved by the Commissioner for good cause shown. § 151.38 Construction supervision.

The grantee shall be responsible for on-site supervision of the construction project and compliance with all applicable Federal, State, and local laws. Architectural or engineering supervision and inspection will be provided for by the grantee at the construction site to insure that the completed work conforms with the approved plans and specifications, and was built” drawing will be made available to the Commissioner upon completion of the project. § 151.39 Change requests.

Any time prior to completion of construction a grantee desires to make changes in the project which will affect the nature or scope of the project he shall inform the Commissioner in writing of such proposed change and no such change shall be made without prior approval of the Commissioner who may make such adjustments, arrangements or conditions as he deems necessary or desirable. § 151.40 Inspection.

Representatives of the U.S. Office of Education and such other persons as the Commissioner may designate will have access at all reasonable times to work $ 151.47 Determination of equipment.

For the purpose of establishing the distinction between equipment and expendable supplies, for any Item listed in pp. 101-121 (Alphabetical List of Supplies and Equipment) of the U.S. Department of Health, Education, and Welfare, Office of Education, Bulletin 1959, No. 22, the determination between equipment or expendable supply item as contained therein shall apply.

PART 160—TRAINING PROGRAM

UNDER MANPOWER DEVELOP-
MENT AND TRAINING ACT OF 1962

wherever it is in preparation or progress, and the contractor shall provide proper facilities for such access and inspection. § 151.41 Warranty period.

All construction contracts shall contain a provision holding the contractor responsible for the quality of the construction for three years after acceptance of a facility. § 151.42 Progress reports.

The construction applicant will furnish progress reports and such other information relating to the proposed construction grant as the Commissioner may require. § 151.43 Payment schedule.

Payment of Federal funds on approved construction projects shall be made by the Commissioner upon request of the applicant, either in advance or by way of reimbursement according to schedules established by the Commissioner and based upon the completion of stages of construction as indicated by the inspection and progress reports earlier mentioned. Payment of the final installment of 10 percent of the Federal grant will be withheld until final inspection of the facility and approval of a final audit of the completed project. § 151.44 Excess payments.

Construction grant funds not expended in connection with the construction of the facilities will constitute excess payments and shall be refunded by the grantee by check made payable to the U.S. Office of Education. & 151.45. Transfer of title.

The Commissioner may transfer title to any facility constructed pursuant to the Act and this subpart, if such title is vested in the United States, to any eligible party specified in § 151.29 subject to the condition that the facility will be operated for the purposes for which it was constructed and subject to such other conditions as the Commissioner may deem necessary to carry out the objectives of the Act and to protect the interest of the United States. § 151.46 Competitive equipment bids.

Equipment not included in the basic construction contract will be procured by competitive bidding either by public advertising or by obtaining three or more bids, unless other procurement methods are required by State or local laws.

Sec. 160.1 Definitions. 160.2 Summary of program. 160.3 Services and facilities for the pro

vision of training. 160.4 Approval of project proposal and

budget. 160.5 Payment to State agency. 160.6 Allowable costs. 160.7 Payment procedures. 160.8 Effect of payments. 160.9 Fiscal procedures. 160.10 Equipment and teaching aids. 160.11 Separate records. 160.12 Evaluation. 160.13 Records retention. 160.14 Fees and charges. 160.15 Disposal of saleable items. 160.16 In-kind matching.

AUTHORITY: The provisions of this part 160 issued under secs. 231, 232, 76 Stat. 30– 415, as amended, 42 U.S.C. 2601, 2602.

SOURCE: The provisions of this part 160 appear at 31 F.R. 5559, Apr. 8, 1966, unless otherwise noted.

$ 160.1 Definitions.

(a) “Act" means the Manpower Development and Training Act of 1962, PL. 87-415, 76 Stat. 23, as amended; 42 U.S.C. 2571 et seq.

(b) “Agreement” means a written agreement for training executed pursuant to section 231 of the Act by a State and the Commissioner acting for the Secretary.

(c) "Basic education" means elementary level education, usually in the general areas of reading, writing, language skills, and arithmetic, given in order to enable the trainee to pursue a program of occupational training.

(d) “Commissioner" means the U.S. Commissioner of Education or his duly authorized representative.

(e) “Department” means the Department of Health, Education, and Welfare.

(f) "Direction and supervision” in- (0) “State agency' means the State cludes direction and supervision of train- vocational education agency or other ing projects and other supportive sery- agency responsible under State law for ices, whether by the State agency or the direction and supervision of training approved subdivisions of the State, projects under the Act, except that, with necessary to carry out such projects un- respect to training provided for referrals der the agreement, such as educational under subsection (b) or (i) of section 202 and vocational testing, guidance and of the Act, any other appropriate educacounseling; in-service teacher training;

tion agency. development of curriculum and instruc- (p) "Training" means a planned and tional materials; dissemination of health systematic sequence of instruction under information and services; services of competent supervision designed to imconsultants and advisory Committees; part predetermined skill, knowledge, or and clerical, accounting, and auditing abilities with respect to designated occuservices.

pational objectives; and, in addition to (g) "Provocational training' means occupational training, may include, to training in a number of different oc- the extent necessary, basic education, cupational areas and counseling designed prevocational training, refresher and reto assist referred trainees in determin- orientation training for professionals, ing the occupational area in which he and such direction and supervision as should be trained.

may be required by the agency or in(h) “Public," as applied to any train- stitution to conduct the training. ing agency or institution, means under (q) "Training project” means a propublic supervision and control.

gram or course for the training of a given (1) "Referral" means a person referred

number of referrals (including special to a State agency for training by the

youth projects), either on a class group U.S. Department of Labor.

or individual referral basis. (j) "Refresher and reorientation & 160.2 Summary of program. training for professionals” means short intensive courses for unemployed or

(a) Conduct of training projects. Unpotentially unemployed professional per

der the agreement, the State agency

shall provide the necessary training sons who are not seeking to qualify for initial employment in a professional oc

through public or private educational cupation but who need to develop their

agencies or institutions. All such agen

cies or institutions must meet the standparticular professional skills or a new skill so as to maintain their present

ards for training specified in § 160.3. employment or qualify for new employ

Before awarding a training project to a ment within their professions.

private agency or institution, the State

agency shall determine that such an in(k) "Secretary" means the Secretary

stitution can provide equipment or servof the U.S. Department of Health, Educa

ices not available in public institutions, tion, and Welfare,

particularly for training in technical and (1) "Special youth project" means a

subprofessional occupations, or that such project providing guidance, counseling,

institution can, at comparable cost, (1) testing, basic education, basic work skills,

provide substantially equivalent trainsocial adjustment, occupational train

ing, or (2) make possible expanded use ing, or other appropriate instruction or

of individual referral procedures, or (3) services to meet the needs of youths, 16

aid in reducing more quickly unemployyears of age or older, who because of in

ment or current and prospective manadequate educational background and

power shortages. work preparation are unable to qualify

(b) State agency's responsibility for for and obtain employment without such

training. Notwithstanding any arrangetraining or education.

ments it may make for the conduct of (m) "State" includes, in addition to

training projects, the State agency is rethe several States of the Union, the Dis

sponsible for taking such steps as are nectrict of Columbia, the Commonwealth of

essary to assure that all notifications of Puerto Rico, Guam, and the Virgin

training need are quickly processed and Islands.

that training projects are expeditiously (n) "State Advisory Committee" formulated so that referrals may enter means the State-level committee pro- training promptly and, further, that the vided for in the agreement to provide quality and standards of all such trainconsultative services to the State agency. ing are consistently maintained.

(c) State participation in Manpower veloped and presented only as part of a Development and Training program. In total training plan. the event the State agency is unable to

$ 160.4 Approval of project proposal provide particular training under the

and budget. agreement, it shall notify the Commissioner in writing within 30 days of off- (a) Training projects. Prior to the cial notification of training need. commitment of any funds for any trainThereafter, the Commissioner may make

ing project, a project proposal and other appropriate arrangements for that

budget prepared on the basis of the estitraining. The Commissioner may in his

mated costs of the training involved must discretion, however, extend the 30-day

be approved by the state agency and the limitation.

Commissioner. Costs of local direction

and supervision directly attributable to § 160.3 Services and facilities for the

the training project shall be separately provision of training.

identified in the budget. (a) Standards for training. No public

(b) State direction and supervisory or private educational agency or training

costs. A budget estimate covering the institution may be utilized to provide

cost of State direction and supervision training unless the state agency shall

of the training program under the agreefind that the agency or institution:

ment shall be separately prepared and (1) Is generally regarded as offering submitted to the Commissioner for apquality training, as reflected by such fac

proval. If the State agency intends to tors as its placement record, accredita

expend any funds for costs of the State tion status, or, in the case of an agency Advisory Committee, such expenditures or institution which has not previously shall be separately identified in this engaged in training, evidence clearly in

budget. dicating that such agency or institution (c) Maximum Federal commitment. can make a unique contribution in pro

In order to assure that the Federal funds viding quality training;

committed with respect to all approved (2) Will provide courses of instruction,

training projects and the costs of the based on the recognized training needs

State agency's direction and supervision of the referrals, which will provide the of the program do not exceed the total skills and information requisite for em- funds available for those purposes, each ployment in the occupations for which

approved budget shall represent the training is to be provided;

maximum amount the Commissioner is (3) Will provide instructional staff for such training that meets or exceeds the

obligated to pay the State agency for State's standards of training, education,

such training, direction, or supervision. and experience for teaching similar

This amount may be revised from time courses;

to time by agreement of the State agency (4) Has developed suitable standards

and the Commissioner as reductions or which set forth the level of competency increases may warrant. that will be required for the successful (d) Effective date of approval. The completion of the training project;

effective date of approval of a training (5) Will insure that all persons re- project shall be the date upon which the ferred for training will have the benefit

agency is advised by the Commissioner or of educational or vocational guidance

his representative that Federal funds are services;

committed to such project. No expendi(6) Will have the facilities necessary tures made prior to notification of official for the training to be provided, including, commitment of funds will be approved. but not limited to, space, tools, machines,

$ 160.5 Payment to State agency. supplies, and teaching aids;

(7) Will establish and maintain appro- (a) In general. Within the budget priate health and safety standards in estimates approved by the State agency the conduct of the training; and,

and the Commissioner, the State agency (8) Is financially sound and capable will be paid the Federal share of the alof fulfilling its commitments for training. lowable costs attributable to training

(b) Basic education. Basic educa- projects and to State direction and tion may be provided only as part of an supervision. occupational training program. The (b) Determination of Federal share of plan for basic education shall be de- allowable costs-training projects. Subject to the limitation in § 160.4(c), the properly related to the efficient direction Federal share of approved allowable costs of the program; (ii) the State agency incurred in connection with training will receive benefits of the expenditures projects shall be as follows:

during the period of occupancy com(1) 100 percent of allowable costs mensurate with such expenditures; (iii) which are attributable to training proj- the amounts paid by the State agency do ects under section 231 of the Act ap- not exceed comparable rental in the proved prior to July 1, 1966;

particular locality; (iv) the expenditures (2) Not more than 90 percent of al- represent an actual cost to the State lowable costs which are attributable to agency; and (v) in the case of publicly training projects under section 231 of owned buildings, like charges are made the Act approved after June 30, 1966, un- to other agencies occupying similar space less the Commissioner determines that for similar purposes. Federal funds in excess of 90 percent are (6) Necessary travel and per diem for necessary to give full effect to the pur- the State Advisory Committee to the exposes of the Act with respect to private tent permitted under the agreement; institutions. The non-Federal share may (7) Travel of staff; be on a Statewide basis and may be in (8) Out-of-area travel of local supercash or in kind, fairly evaluated, includ- visors and teachers when undertaken at ing but not limited to plant, equipment, the request of the State agency; and services whether derived from State (9) Cost of training staff orientation sources or donated by public or private and development; agencies, institutions or organizations or (10) The acquisition of resource maany other source.

terials and the cost of development of (c) Determination of Federal share of instructional materials; allowable costsState direction and su- (11) Transportation and storage of pervision. The Federal share of allow- supplies and equipment obtained on loan able costs incurred in connection with

from other Federal agencies under secthe State direction and supervision of the

tion 303(a) of the Act or from Federal program (including expenses of the State excess or surplus property, the National Advisory Committee) shall be computed

Industrial Reserve, or completed training in the same manner as for projects under projects within the State or from other subparagraphs (1) and (2) of paragraph jurisdictions; (b) of this section.

(12) Subject to prior approval by the

Commissioner, program development 160.6 Allowable costs.

costs incurred by approved subdivisions (a) State direction and supervision. of the State, which costs may include To the extent they are attributable to those allowed for State direction and carrying out the responsibilities of the supervision as enumerated in subparaState agency under the agreement, the graphs (1) to (11) of this paragraph. approved allowable costs of the State (b) Training by public agencies or agency in its direction and supervision institutions. To the extent that they are of the training program may include the attributable to carrying out a training following:

project, either by the State agency itself (1) Salaries, including employers' or by arrangement with other public educontributions to retirement, workmen's cational agencies or institutions, apcompensation, and other welfare funds proved allowable costs may include the maintained for one or more general

following: classes of employees of the State agency; (1) Salaries, including employers' and, in addition, the value of contributed contributions to retirement, workmen's services where no cash payments are compensation, and other welfare funds made;

maintained for one or more general (2) Equipment necessary for the di- classes of employees; and, in addition, rection and supervision of training proj- the value of contributed services where ects;

no cash payments are made; (3) Communications;

(2) Acquisition of supplies, training (4) Supplies, printing, and printed

manuals, and materials, and other teachmaterials;

ing aids; acquisition, transportation, (5) Rental of office space (including maintenance, and repair of equipment; the cost of utilities and custodial serv- and rental of equipment (including pubices) if: (i) The expenditures for the licly owned equipment) to the extent not space are necessary, reasonable, and purchased with funds obtained from the

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