U.S.C. 5514 or any other provision of contract law unless there are statutes or contract(s) to the contrary.

§ 1179.12 Interest, penalties, and administrative costs.

Charges may be assessed for interest, penalties, and administrative costs in accordance with the Federal Claims Collection Standards, 4 CFR 102.13.

1180.20 Guidelines and standards for conservation projects.

Subpart B-General Application, Selection and Award Procedures Applications APPLICATIONS

1180.30 Publication of an application notice; content of the notice. 1180.31 Information in the application notice.

1180.32 Deadline date for applications. 1180.33 Applicants must meet procedural rules.

1180.34 Number of copies.

1180.35 Special Project grant; group applications.

SELECTION AND AWARD PROCEDURES 1180.36 Rejection of an application. 1180.37 Rejection for technical deficiency-appeal; reconsideration; waiver. 1180.38 How grants are processed. 1180.39 Applications not selected for funding.

1180.40 How the Institute makes a Special Project grant.

1180.41 The cost analysis; basis for Special Project grant amount.

1180.42 The notification of grant award. 1180.43 Effect of the grant.

Subpart C-General Conditions Which Must Be Met by a Grantee NONDISCRIMINATION

1180.44 Federal statutes and regulations on nondiscrimination. 1180.45 Use of consultants in Special Projects.

EVALUATION

1180.46 Evaluation by the grantee. 1180.47 Federal evaluation-cooperation by a grantee.

PUBLICATIONS AND COPYRIGHTS

1180.48 General conditions on publications. 1180.49 Copyright policy for grantees. 1180.50 Definition of "Special Project ma

terials."

GENERAL ADMINISTRATIVE RESPONSIBILITIES 1180.51 Compliance with statutes, regulations, and its approved grant application.

1180.52 The grantee administers or supervises the grant.

1180.53 Fiscal control and fund accounting procedures.

1180.54 Obligation of funds during the grant period.

1180.55 Prohibition of subgrants.

RECORDS

1180.56 Records related to grant funds. 1180.57 Records related to compliance. 1180.58 Records related to Special Project performance.

1180.59 Applicability.

Subpart D-Museum Assessment

1180.70 Purpose of program.

1180.71 Eligibility.

1180.72 Allowable costs.

1180.73 Form of assistance; limitation on

amount.

1180.74 Conditions of participation. 1180.75 Funding and award procedures. 1180.76 Responsibility of a museum.

Subpart E-Assistance to Professional Museum Organizations

1180.77 Contracts and cooperative agree ments with professional museum organizations.

81180.3 Definition of museum.

For the purpose of this part: (a) "Museum means a public or private nonprofit institution which is organized on a permanent basis for essentially educational or aesthetic purposes and which, using a professional staff:

(1) Owns or uses tangible objects, either animate or inanimate;

(2) Cares for these objects; and (3) Exhibits them to the general public on a regular basis.

(i) An institution which exhibits objects to the general public for at least 120 days a year shall be deemed to meet this requirement.

(ii) An institution which exhibits objects by appointment may meet this requirement if it can establish, in light of the facts under all the relevant circumstances, that this method of exhibition does not unreasonably restrict the accessibility of the institution's exhibits to the general public.

(b) "Museum" includes (but is not limited to) the following institutions if they satisfy the provisions of this section:

(1) Aquariums and zoological parks; (2) Botanical gardens and arboretums;

(3) Nature Centers;

(4) Museums relating to art, history (including historic buildings), natural history, science and technology; and (5) Planetariums.

staff

(c) For the purposes of this section, an institution uses a professional staff if it employs at least one member, or the fulltime equivalent, whether paid or unpaid primarily engaged in the acquisition, care, or exhibition to the public of objects owned or used by the institution.

(d)(1) Except as set forth in paragraph (d)(2) of this section, an institution exhibits objects to the general public for the purposes of this section if such exhibition is a primary purpose of the institution.

(2) An institution which does not have as a primary purpose the exhibition of objects to the general public but which can demonstrate that it exhibits objects to the general public on a regular basis as a significant, separate, distinct, and continuing portion

of its activities, and that it otherwise meets the requirements of this section, may be determined to be a museum under this section. In order to establish its eligibility, such an institution must provide information regarding the following:

(i) The number of staff members devoted to museum functions as described in paragraph (a) of this section.

(ii) The period of time that such museum functions have been carried out by the institution over the course of the institution's history.

(iii) Appropriate financial information for such functions presented separately from the financial information of the institution as a whole.

(iv) The percentage of the institution's total space devoted to such museum functions.

(v) Such other information as the Director requests.

(3) The Director uses the information furnished under paragraph (d)(2) of this section in making a determination regarding the eligibility of such an institution under this section.

(e) For the purpose of this section, an institution exhibits objects to the public if it exhibits the objects through facilities which it owns or operates.

[48 FR 27728, June 17, 1983, as amended at 50 FR 27587, July 5, 1985]

"Act" means the Museum Services Act, Title II of the Arts, Humanities and Cultural Affairs Act of 1976, Pub. L. 94-462 (20 U.S.C. 961-968). "Board" means the National Museum Services Board established under Section 204 of the Act.

"Collection" includes objects owned, used or loaned by a museum as well as those literary, archival and documentary resources specifically required for the study and interpretation of these objects.

"Foundation" means the National Foundation on the Arts and the Humanities.

"Director" means the Director of the Institute of Museum Services.

"Grantee" means the recipient of a grant under the Act.

"Institute" means the Institute of Museum Services ("IMS") established under Section 203 of the Act.

"Museum services" means services provided by a museum, primarily exhibiting objects to the general public, and including but not limited to preserving and maintaining its collections, and providing educational and other programs to the public through the use of its collections and other resources.

§ 1180.5 Eligibility and burden of proofWho may apply.

(a) A museum located in any of the fifty States of the Union, the Commonwealth of Puerto Rico, American Samoa, the Virgin Islands, the Northern Mariana Islands, the Trust Territory of the Pacific Islands, Guam, or the District of Columbia may apply for a grant under the Act.

(b) No museum is eligible to apply for funding available under the Act unless it has provided museum services, including exhibiting objects to the general public on a regular basis, for at least two years prior to application.

(c) A public or private nonprofit agency which is responsible for the operation of a museum may, if necessary, apply on behalf of the museum.

(d) A museum operated by a department or agency of the Federal Government is not eligible to apply.

(e) An applicant has the burden of establishing that it is eligible for assistance under these regulations.

[50 FR 27588, July 5, 1985]

§ 1180.6 Related institutions.

(a) If two or more institutions are under the common control of one agency or institution or are otherwise organizationally related and apply for assistance under the Act, the Director determines under all the relevant circumstances whether they are separate museums for the purposes of establishing eligibility for assistance under these regulations. See §§ 1180.5 and 1180.9.

(b) IMS regards the following fac tors, among others, as showing that a

§ 1180.9 Likely size of grants and allocation of funds among activities.

(a) It is anticipated that no museum will receive for General Operating Support more than an amount to be specified by notice in the FEDERAL REGISTER for each fiscal year.

(b) The Director, subject to the policy direction of the Board, determines the percent of the funds available under the Act for grants in any fiscal year which shall be reserved for § 1180.7 General Operating Support grants.

[48 FR 27728, June 17, 1983, as amended at 50 FR 27588, July 5, 1985]

§ 1180.10 Allowable costs.

(a) Determination of costs allowable under a grant is made in accordance with government-wide cost principles in applicable OMB circulars. (OMB circular A-21 (educational institutions) February 26, 1979, published in 44 FR 12368 (March 6, 1979); OMB circular A-87 (State and local governments) January 15, 1981 published in 46 FR 9548 (January 28, 1981); and OMB circular A-122 (Nonprofit organizations) June 27, 1980, published in 45 FR 46022 (July 8, 1980)).

(b) No costs shall be allowed for the purchase of any object to be included in the collection of a museum, except library, literary, or archival material specifically required for a designated activity under a grant under the Act.

§ 1180.11 Basic requirements which museum must meet to be considered for funding.

(a) Application. To apply for a grant, a museum must submit the designated application form containing the information requested in the form. Failure to submit the information required by the application at the time of filing can subject an applicant to rejection of the application without consideration on its merits.

(b) IRS letter. A museum applying as a private, nonprofit institution must submit a copy of the letter from the Internal Revenue Service indicating the applicant's eligibility for nonprofit status under the applicable provision of the Internal Revenue Code of 1954, as amended.

(c) Financial statements. (1) Each applicant museum must submit, with its application at the time of filing, its financial statements for the two fiscal years immediately preceding the fiscal year for which application is made or, if not available, for the second and third immediately preceding years. Each financial statement must include a statement of financial operations and if applicable, a balance sheet. Examples of a financial statement and a balance sheet may be found in the Museum Accounting Guidelines of the Association of Science-Technology Centers (1976) or in the Museum Accounting Handbook of the American Association of Museums (1978).

(2)(i) Every applicant which has previously received an IMS award must submit its audited financial statement for the last fiscal year immediately preceding the fiscal year in which application is made or the immediately preceding fiscal year, prepared by an individual or organization meeting the qualifications of the Comptroller General of the United States for individuals or organizations conducting Government audits. Reference is made to GAO, Standards for Audit of Governmental Organizations, Programs and Functions (1981 revision).

(ii) In the case of a museum which does not use cash basis accounting, the individual or organization performing the audit must offer an opinion that the financial statement of the