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maximum extent possible. Except in is not of a public nature. OEO will in cases where disclosure of such docu- such cases make a prompt determinaments would involve an invasion of tion as to whether the document privacy, would impose an undue ad- should be made public. ministrative burden on the agency, or would interfere with the internal deci. Subpart 1070.2-Grantee Public sion making processes of the agency,

Meetings and Hearings (CSA Inthe agency should permit examination

struction 7042-1) and inspection of all such documents requested by any person. The enu

AUTHORITY: Secs. 213, 602, 81 Stat. 695, 78 meration of books and records and

Stat. 530; 42 U.S.C. 2796, 2942. other classes of public information to

SOURCE: 34 FR 7376, May 7, 1969, unless be made available under $1070.1-4

otherwise noted. should not be considered exhaustive. $ 1070.1-6 Conditions of public inspection

§ 1070.2-1 Applicability of this subpart. and examination.

This subpart applies to all agencies (a) In any case in which books and

and organizations covered by $ 1070.1records or other documents are required by this subpart to be made

8 1070.2-2 Definitions. available for public inspection and examination, they shall be made availa As used in this subpartble at the principal office of the dis (a) The terms “Community Action closing agency at which business relat Agency," "delegate agency,” “Economed to assistance received under the ic Opportunity Act," and "OEO” have Economic Opportunity Act is transact. the same meaning as set forth in

§ 1070.1-2. (b) They shall be available during (b) “Community served” means the regular business hours on each regular most expansive geographic area in workday (Monday through Friday of which the grantee is authorized to each week, official local holidays ex conduct programs or provide benefits cepted). In the case of documents under the terms of its grant from being used for official purposes at the OEO. time requested for inspection and ex (c) “Community proposed to be amination is made, the documents served” means a city, county, multishall be made available no later than city, or multicounty unit, an Indian five business days after the receipt of Reservation or a neighborhood or each request. The requirements for other area (irrespective of boundaries public inspection may be satisfied by or political subdivisions) which promaking available for such inspection vides a suitable organizational base either the original or a copy which is and possesses the commonality of inboth legible and capable of being leg. terest needed for a community action ibly photocopied. Facsimile copies program. should also be furnished to any person (d) “Designation" means the selecupon request. If the agency uses its tion of a proposed Community Action own reproduction equipment, it may Agency by a State, a political subdivicharge a fee of 10 cents or less for sion (including the Tribal Government each page. If other equipment is used, of an Indian Reservation) or a combithe fee shall not exceed the actual nation of political subdivisions in accost of the service to the agency.

cordance with regulations issued (c) In any case in which an agency under section 210 of the Economic Opconcludes that notwithstanding the portunity Act. provisions of this subpart a document (e) “Principal Representative Board" should not be made public, the agency in the case of Community Action shall immediately request the approv. Agencies refers to that body which is al of OEO in writing, giving a descrip- designed to meet the composition retion of the document and a full expla- quirements of section 211(b) of the nation of the justification for the Economic Opportunity Act. In the agency's conclusion that the document case of all other agencies, “Principal Representative Board” refers to the wishes considered at the meeting. A agency's “governing body” or “adviso- request may be denied if, by a vote of ry board or committee” which meets at least three-fourths of the members the requirements of § 1060.1-2 (b)(5) of the principal representative board and (c) of this chapter (Subpart-Par- of the agency who are present at a ticipation of the Poor in the Planning, lawful meeting, the board determines Conduct, and Evaluation of Communi either that the request raises only ty Action Programs).

frivolous issues or that the proposed

meeting would merely be repetitive of $ 1070.2-3 Public meetings after grant of

previous public meetings. Notice of assistance.

such board decision must be sent (a) This subpart implements the re within 30 days to OEO. quirement for public meetings in sec. (b) The public hearing requirements tions 213(a) and 213(b) of the Econom of this section are in addition to the ic Opportunity Act. This requirement requirements of CA Memo 80, Part is applicable throughout the period of C(4) for public meetings prior to desigassistance to any agency which has re- nation of a community action agency ceived financial assistance under sec- and Part I of OEO Instruction 6710-1 tion 123, section 151, section 221, sec- for open board meetings are part of tion 222(a), or section 312 of the Eco- the grant preview process. nomic Opportunity Act. In the case of

(34 FR 7375, May 7, 1969, as amended at 34 a Community Action Agency which is

FR 8919, June 4, 1969) not a State, a political subdivision of the State, or a combination of subdivi

8 1070.2-4 Time, place, and notice of sions, this subpart applies to all activi

public meetings. ties of that agency. For all other Community Action Agencies, delegate

All public meetings required under agencies, and other agencies financial

paragraphs (a) and (b) of $ 1070.2-3 ly assisted under these sections, this

shall be held at a time and place consubpart applies only to matters which venient to the public. Public notic pertain to activities assisted under

each meeting shall state the time and these sections. An agency may satisfy

place at which the meeting shall be this requirement for public meetings

held and the agenda for the meeting, either by holding regular meetings as

and shall be given not less than 10 specified in paragraph (a)(1) of this

days before the day of the meeting. section or by holding special meetings

Notice of a meeting shall be given by: as specified in paragraph (a)(2) of this

(a) Publishing a formal notice as a section.

legal notice in at least one newspaper (1) The agency may establish a pro generally circulated within the comcedure whereby regularly scheduled

munity served or proposed to be meetings of the principal representa served by the agency; and tive board will be held not less often (b) Posting a formal notice in a than one meeting every 10 weeks for prominent place at the principal office the purpose of discussing past, pres of the agency, at the county courtent, or future policies or programs of house, at the city hall of each major the agency; and persons who are not city within the area, at each other members of the board may attend and place where official notices are reguwill be offered a reasonable opportuni. larly posted, and at such appropriate ty to be heard whether or not on the other places within the community agenda.

served or proposed to be served as may (2) Any such agency shall hold a be designated by the representatives public meeting in response to a written of the poor on the principal reprerequest for such a meeting by any sentative board; and person or group. The meeting shall be (c) Forwarding a formal notice of held within 30 days of the receipt of the meeting: the request by the agency. A request (1) To every newspaper with a daily for a meeting shall include a state or weekly circulation of more than ment of the basic issue or issues which 5,000 copies within the community the requesting party particularly served by the agency, or if there is no newspaper having circulation of that determine that the opportunity to be size then to every newspaper with a heard is being utilized for purposes of daily or weekly circulation of more delay, he may exclude statements esthan 2,500 copies in such community, sentially repetitious of statements al

(2) To every radio and television sta- ready heard. tion which regularly broadcasts local (c) Although meetings may be connews or announcements of meetings in ducted in an informal manner, minthe community served, or proposed to utes shall be kept which fairly and acbe served,

curately reflect the business of the (3) To any community newspaper or meeting, and the basic sides of any disjournal primarily serving a neighbor puted questions or issues which arise. hood or area in which the agency runs Written statements and affidavits or is preparing to run a program under shall be accepted for the record of the the Economic Opportunity Act,

meeting. Such statement and affida(4) To each person who has submit

vits should preferably be submitted in ted a written request for copies of

triplicate, but shall be accepted even if such notices,

offered in a single copy or in duplicate. (5) To the State Economic Opportu

Such statements shall be made public nity Office for the State in which the at the office of the agency. agency is located,

(6) To OEO,
(7) To every member of the principal

Subpart
subp

1070.4—Grantee Involverepresentative board of the agency,

ment in the News Media (CSA Inand

struction 7044-1a) (8) To the chief elected officials in the community served or proposed to

AUTHORITY: Sec. 602, 78 Stat. 530 (42 be served and other appropriate public

U.S.C. 2942). officials.

SOURCE: 41 FR 6256, Feb. 12, 1976, unless

otherwise noted. However, agencies which serve an area larger than a single county shall con

§ 1070.4-1. Applicability. sult OEO concerning the place or places where meetings shall be held

This subpart applies to all programs and what notice shall be required. Pro

financially assisted under Titles II and cedures approved by OEO shall, to the

VII of the Community Services Act if extent specified by OEO, satisfy the

such assistance is administered by the requirements of this section.

Community Services Administration.

8 1070.2-5 Conduct of the public meetings. 81070.4-2 Policy.

(a) Each meeting shall be held (a) Publishing a Newsletter or House before the principal representative Organ. CSA does not provide funds for board. It shall be held at the time and the publication of newspapers. Howevplace set forth in the notice of meet er, grantees are encouraged to publish ing. In the event the meeting cannot newsletters or house organs which be compieted on that date, it may be assist local anti-poverty efforts. These continued from day-to-day or ad publications are generally financed journed to a later day without notice under the administrative budget of other than the announcement of the the local agency. place, day, and time by the presiding (1) CSA makes the following distincofficer, and the posting of that infor tions between newspapers and newsletmation on the door of the originally ters: publicized meeting place for the bene (i) A newspaper attempts to meet a fit of late arrivals.

population's general information need, (b) Each meeting shall be open to all while the grantee newsletter has a spemembers of the public. Every person cific information objective and a limitexpressing a desire to speak shall be ed audience. A newsletter attempts to heard, although the presiding officer bridge the communication gap often may establish reasonable limits on the existing between a grantee and the length of the statement of any one people it serves by raising the level of person. Should the presiding officer information about the nature, goals,

and resources of local anti-poverty ef- allowable in-kind contribution for a forts.

grantee's non-Federal share require(ii) Newspapers are sold for profit, ment. This policy also does not prohiband they attempt to solicit commercial it a grantee from accepting public advertising. A grantee newsletter is service time or notices in the mass not sold, nor is commercial advertising media, as long as such activities are solicited or accepted for it.

not treated as in-kind, non-Federal (2) Newsletters are under local con share contributions. trol as are all other grantee activities. Consequently, they reflect the policies 1070.4-3 Procedures. and opinions of the local grantee.

In cases where the practices of a Newsletters are also subject to the

grantee conflict with this policy statesame laws and regulations, such as

ment, such as with newsletters which those restricting partisan political ac

may be soliciting advertising, CSA will tivity, which govern CSA funded pro

help the grantee determine a reasongrams.

able timetable and plan through (3) CAA principal representative

which such operations may be phasedboards and boards of CDC's and limit

out without halting publication. CSA ed purpose agencies have the ultimate

will help grantees determine a reasonresponsibility of insuring that the con

able cost for their newsletter and will tent of all grantee publications coming

assist them in working the cost of the under their jurisdiction reflect the

newsletter into their administrative policies and opinions of the local pro

budget. gram and are in accord with CSA policy. To accomplish this, the board may elect to delegate the review func

PART 1076-ECONOMIC tion to the Executive Director. In all DEVELOPMENT PROGRAMS cases, publications must be reviewed prior to printing to assure compliance Subpart 1076.10-Composition and Selection with this policy and the sanction of of CDC Boards of Directors (CSA Instruction the board. Arrangements should be 6402-2) made by the grantee with each of its

Sec. delegate agencies, neighborhood councils, and any other group it funds who

1076.10-1 Applicability. may be publishing a newsletter or

1076.10-2 Policy.

1076.10-3 Composition of CDC Boards. house organ to expedite this review

1076.10-4 Selection of CDC Board Memprocess in a manner consistent with

bers. timely publication and program re

1076.10-5 Compliance Procedures sponsiveness. Project funds will not be

and

Waivers. spent for newsletters unless a review procedure has been established in ac

Subpart 1076.20—Non-Equity Business Procordance with this Instruction.

grams Funded by CDCs (CSA Instruction (b) Use of Advertising Time and 6158-2) Space as Non-Federal Share. CSA does not credit as an in-kind contribution 1076.20-1 Applicability. for a grantee's non-Federal share re 1076.20-2 Definitions. quirement any news coverage, editori.

1076.20-3 Policy. al comment, advertising or public serv

1076.20-4 Procedures, requirements, and ice time or space in any communica

limitations. tions media such as radio, television,

Subpart 1076.41-Waiver of Non-Federal magazines, wire services and news services. This policy does not, howev

Share of Program Costs for Certain Title VII er, prohibit a grantee from using Fed

Programs (CSA Instruction 7641-1) eral or non-Federal funds for publish 1076.41-1 Applicability. ing or advertising program activities 1076.41-2 Effective date. when the grantee can show that the 1076.41-3 Purpose. expense is the best way of achieving a 1076.41-4 Background. legitimate program purpose. This is an 1076.41-5 Policy. allowable expenditure although not an 1076.41-6 Valuation of non-Federal share.

Subpart 1076.50—Rural Development Loan spokesman for the target area resiProgram

dents, with additional representation

from local businesses and financial inSec. 1076.50-1 Definitions.

stitutions to strengthen the board's 1076.50-2 Objectives of the Rural Develop technical skills and involvement with ment Loan Fund Program.

the larger community. 1076.50-3 Organizations eligible for finan (b) $ 1076.10-3 provides the specific cial assistance under this program.

requirements for the composition of 1076.50-4 Eligible activities.

CDC boards. § 1076.10-3 outlines the 1076.50-5 Program priorities. 1076.50-6 Loans; interest on; allowable

representation requirements for the costs.

two basic categories of board members. 1076.50-7 Terms of loans and guaranties. § 1076.10-4 provides the specific re1076.50-8 Application process.

quirements for selecting board mem1076.50-9 Content of applications.

bers, including a discussion of the two 1076.50-10 Loans and guaranties made by

different methods—direct and indirecipients to other eligible organiza

rect-for electing representatives of tions. 1076.50-11 Security.

target area residents. 1076.50-12 Post-award requirements. 1076.50-13 Liquidation; default.

§ 1076.10-3 Composition of CDC Boards. 1076.50-14 Conflict of interest.

(a) Size of Board. CDCs are free to CROSS REFERENCE: For policy governing the determine the size of their boards of Community Development Credit Union Pro

directors. In doing so, CDCs must gram, see 12 CFR Part 705 issued jointly by the Community Services Administration

strike a balance between various, and the National Credit Union Administra

sometimes conflicting, considerations. tion.

On the one hand, they must be of a

sufficient size as to provide adequate Subpart 1076.10—Composition and

representation to both the target area Selection of CDC Boards of Direc

residents and the business community

(see paragraph (c) below), to permit tors (CSA Instruction 6402-2)

the formation of working committees AUTHORITY: Sec. 602, 78 Stat. 530; 42 without requiring the same individuals U.S.C. 2942.

to serve on more than one or two, and SOURCE: 40 FR 44818, Sept. 30, 1975,

to insure that even a minimum unless otherwise noted.

quorum is still large enough to repre

sent the community and legitimately § 1076.10-1 Applicability.

reach basic policy and program deci. This subpart applies to all communi sions. On the other hand, the board ty development corporations (CDCs)

must be small enough to permit busifinancially assisted by CSA under Sec.

ness to be conducted in an efficient tions 712 and 747 of the Community and expeditious way. It has been the Services Act of 1974, subject to the

experience of OED that the ideal size provisions of § 1076.10-5.

for a CDC board is between 15 and 30

members. Generally, anything larger 8 1076.10-2 Policy.

tends to become unwieldly, while any. (a) It is the clear intent of Title VII thing smaller overtaxes the capacity that CDCs be self-help organizations of individual members and limits the controlled by and responsible to low. board's representativeness. Where a income residents. It is also the intent CDC chooses to have a board larger of Title VII that CDCs mobilize other than 30 or smaller than 15 members, it community resources and carry out shall explain its choice to OED. their self-help efforts in partnership (b) Residency Requirements. (1) with the business and financial com- Members of CDC boards of directors munity. The governing policy for CDC should be residents of the special boards is therefore that they be com impact area, except in those instances posed primarily of low-income resi where it is necessary to choose nondents or their representatives, chosen residents to insure effective representhrough a direct or indirect election tation of the business and financial process to assure their legitimacy as community. In almost all rural CDCs

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