from the State at times and in the manner established by the State.

(j) Voluntary agreements. Substate applicants who are eligible to apply directly to HUD may decide voluntarily to enter into agreements with States providing for State administration of 701 grant funds. The Substate applicant's decision must be communicated to the State in writing and be endorsed by the Chief Executive Officer, or in the case of an areawide planning organization, the highest policy officer. Once a substate applicant has committed itself in the manner indicated above, it may not change its decision during the Federal fiscal year in question. The State shall accept or reject substate requests for State administration and notify HUD by the date annually established by HUD. The State notification to HUD must identify the applicants to be assisted by the State and include copies of the substate applicant requests.

(1) Interstate voluntary agreements. Interstate recipients may voluntarily agree to administration by a single State provided that all affected States also agree to such an arrangement. Letters from the Governors of the affected States must accompany the administering State's notification to HUD along with the interstate's request for State administration.

(2) Agreement duration. State administration shall be on an annual basis and substate applicants must reaffirm their intentions to the State annually.

(k) Expenditure of funds. The grant will be available to the State only for the duration of the project period.

(1) Commitment of funds. After receiving from HUD the formal notification of grant approval, the State agency may commit and/or expend funds effective with the beginning of the project period and without further HUD concurrence. However, in the case of grants to counties having a population of 50,000 or more located within metropolitan areas, prior HUD concurrence is required.

(m) State notification. Each State shall notify its State central information reception agency of each subgrant that it awards within (7) days of the award, using Standard Form 240 (Notification of Grant-in-Aid Action), copies of which can be obtained from HUD. Three copies of the notification shall be submitted to HUD along with a copy of the annual work program summary and the

organizational characteristics

statement for area wide planning organizations, urban counties, and large cities, and a copy of the description of work or scope of services for localities. The Standard Form 240 (line 3) should indicate the Federal grantor (HUD) and the State grantor. Lines 13, 14 and 15 need not be completed. The State shall also indicate in line 16 (Remarks) the county within which the subgrantee is located and, for areawide planning organizations, the counties of jurisdiction, and the population of the jurisdiction or organization being assisted.

(c) Substate applicant performance and progress; and

(d) State capability for providing a variety of planning assistance and services.

§ 600.135 State review and evaluation.

The State shall review the planning activities of recipients on a continuing basis. The following specific items shall be reviewed:

(a) The quality of the planning work performed;

(b) The timeliness of the work performance;

(c) The recipient's coordination efforts;

(d) The quality of citizen involvement;

(e) The value of the planning work in improving the chief executive's management capability;

(f) The recipient's compliance with Equal Opportunity requirements; and

(g) The recipient's progress toward meeting the housing and land use elements required in § 600.67. Subpart E-Evaluation and Coordination

may enhance or be affected by such planning.

§ 600.145

Evaluation and review.

Evaluation and review procedures are established as follows:

(a) Evaluation. Required monitoring and reporting activities are defined in chapter 4 of HUD Handbook 6042.1A "Comprehensive Planning Assistance

Handbook II" (July 1973). With the Annual Program Report described therein and required to be submitted, applicants shall include a brief evaluation statement endorsed by the Governor, chief executive officer, or highest policy officer of an areawide planning organization that relates the following:

(1) Overall benefit of the program to the recipient government or area wide planning organization;

(2) Anticipated or actual effects of the major planning and management activities undertaken by the applicant in terms of dollar savings, improved effectiveness, increased efficiency, etc.; and

(3) Progress of the recipient in implementing 701 funded planning and management recommendations.

(b) HUD review of recipient evaluation. HUD review of evaluations made by recipients will be discussed at the time of negotiations on new applications. The HUD review will cover the recipient's:

(1) Capability, performance and progress pursuant to the criteria of § 600.10 (d); and

(2) Performance in administering grants to substate applicants, as applicable.

§ 600.150

Coordination and intergovernmental review procedures. The procedures required by § 600.160 and 600.170 are established to assure intergovernmental coordination and review of planning and management programs proposed for assistance.

§ 600.160 OMB Circular A-95 coordination procedures.

(a) General. In accordance with Office of Management and Budget Circular A95, Part I, Project Notification and Review System, applicants (except Federally recognized Indian tribes) are required to notify the State and regional or metropolitan clearinghouse of the intent to submit an application to HUD or to the State for comprehensive planning assistance. Federally recognized Indian tribes

may voluntarily participate in the A-95 Project Notification and Review System and are encouraged to do so.

(b) Interstate applications. Interstate Regional Commissions submitting applications for a HUD Comprehensive Planning Assistance grant shall notify the Governors of the affected States and/or the designated State clearinghouse (s) of their intent to apply to HUD.

(c) Clearinghouse notification. Applicants must notify the appropriate State, regional, and metropolitan clearinghouses well in advance of the HUD negotiations conference. In no instance will applications be processed without having fulfilled the A-95 requirements.

(d) Clearinghouse comments. State clearinghouses, in addition to commenting on the basis of the criteria contained in OMB Circular No. A-95, are encouraged to provide HUD with comments on substate applications on the basis of the policies contained in the applicable section of the State OPD pursuant to § 600.115 (d). 600.165 § 600.170

view.

[Reserved]

Overall Program Design re

(a) In addition to the A-95 review, referred to in § 600.160, assisted agencies should submit a draft copy of the Overall Program Design to agencies likely to be asked to implement portions of the plans and programs or to agencies whose activities are likely to be substantially affected by the plans and programs; and to State, areawide, local, and Federal agencies and private agencies expected to contribute cash or services to the planning effort.

(b) Each nonmetropolitan area wide planning organization shall submit a copy of its Overall Program Design to the chairman of the State Rural Development Committee of the U.S. Department of Agriculture, in accordance with agreed upon procedures between the State planning agency and the State rural development committee.

(c) Each area wide planning organization designated as an economic development district (EDD) or adjacent to an EDD must submit a copy of its Overall Program Design to the regional office of the Economic Development Administration, U.S. Department of Commerce.

(d) Each areawide planning organization designated as a local development district (LDD) must submit a copy of its

Overall Program Design to the central office of the Appalachian Regional Commission.

(e) Executive bodies of areawide planning organizations and the chief execu

tive officials of cities and counties over 50,000 population within the areawide jurisdiction shall exchange draft Overall Program Designs or work programs for comment by the reciprocating office.

members as follows: (1) The Secretary, who shall be Chairman of the Board; (2) the General Manager, who shall be appointed by the President of the United States by and with the advice and consent of the Senate and who shall serve at the pleasure of the President; (3) three persons appointed by the Secretary, who shall serve at his pleasure, not more than one of whom shall be selected from among officers and employees of the Department. Appointments to fill vacancies on the Board shall be in the same manner as the appointment of the vacating member.

SEC. 3.03 Regular meetings. Regular meetings of the Board shall be held without notice in the Secretary's conference room of the Department in the city of Washington, D.C., on the first Wednesday of each month, or if that day be a legal holiday, on the next succeeding business day, at 4 p.m., unless notice of another hour is given.

SEC. 3.04 Special meetings. Special meetings may be called at any time by the Chairman, the General Manager, or by the Chairman or the General Manager at the request of three Directors. Notice of such special meetings shall be given either personally or by mail, telegram, or telephone. A Director may waive in writing such notice as to himself; the presence of a Director at any meeting shall constitute a waiver of notice of such meeting. No notice of an adjourned meeting must be given.

SEC. 3.05 Quorum. At any meeting of the Board a quorum shall consist of three Directors, provided that at least one. of such Directors shall be a Director appointed by the Secretary who is not an officer or employee of the Department. The act of a majority of the Directors present at any meeting at which there is a quorum shall be the act of the Board. A Director shall be considered present and may participate in any meeting of the Board by means of conference telephone or similar communications equipment by means of which all persons participating in the meeting can hear each other.

SEC. 3.06

Written action. Any act required or permitted to be taken at any meeting of the Board of Directors may be taken without a meeting if all members of the Board consent thereto in writing and the writing or writings are filed with the minutes or proceedings of the Board.

SEC. 3.07 Presiding officer. The Chairman shall preside at meetings of the Board. In the absence or unavailability of the Chairman, the General Manager shall preside. In the absence or unavailability of the Chairman and the General Manager, the Directors present at the meeting shall designate a presiding officer.

SEC. 3.08 Compensation. Members of the Board who are regular, full-time officers or employees of the Federal Government shall

receive no additional compensation for their services as Board members. Other members shall receive for their services as members, when engaged in the performance of their duties, the per diem equivalent to the rate for level IV of the Federal Executive Salary Schedule under section 5315 of title 5 of the United States Code. Each member of the Board shall be allowed travel expenses, including per diem in lieu of subsistence, as authorized by section 5703 of such title for persons in the Government service employed intermittently.

SEC. 3.09 Resignation. The three Directors appointed by the Secretary may resign at any time upon written notice to the Corporation and the Secretary.

SEC. 3.10 Interested Director; quorum. No contract or transaction between the Corporation and any other corporation, partnership, association, or other organization with respect to which a Corporation Director would be prohibited from acting under the provisions of 24 CFR Subtitle A, Part 0 shall be vold or voldable solely for this reason, or solely because such Director is present at or participates in the meeting of the Board which authorizes the contract or transaction: Provided, That the material facts as to the relationship or interest of such Directors are first made known to the Board and the Board in good faith authorizes the contract or transaction by the affirmative votes of a majority of the disinterested Directors. An interested Director shall not vote on any such contract or transaction but may be counted in determining the presence of a quorum under section 3.05.

ARTICLE 4-OFFICERS

SEC. 4.01 Number and appointment. The officers of the Corporation shall consist of the General Manager, Deputy General Manager, Recording Secretary, General Counsel and such additional officers as the Board may deem necessary.

SEC. 4.02 General Manager. The General Manager shall be the chief executive officer, and under the general direction of the Board of Directors, shall have responsibility for executive management of the operation of the Corporation. Except as may be otherwise provided by the Secretary or by these Bylaws, the General Manager shall have the power and authority to perform all duties ordinarily incident to the office of general manager and such other duties as may be assigned to him from time to time by the Board or the Secretary.

SEC. 4.03 Deputy General Manager. The Deputy General Manager shall perform such duties as may be specified from time to time by the Secretary or the General Manager, and, in the event of absence or disability of the General Manager, the Deputy General Manager shall perform his powers and duties.