[Federal Register Volume 61, Number 57 (Friday, March 22, 1996)]
[Rules and Regulations]
[Pages 11743-11747]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-6878]
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DEPARTMENT OF HEALTH AND HUMAN SERVICES
45 CFR Part 74
RIN 0991-AA56
Uniform Administrative Requirements for Awards and Subawards to
Institutions of Higher Education, Hospitals, Other Non-Profit
Organizations, and Commercial Organizations; and Certain Grants and
Agreements With States, Local Governments and Indian Tribal Governments
AGENCY: Department of Health and Human Services (HHS).
ACTION: Final Rule including an Interim Final Rule for State-
Administered Entitlement Programs.
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SUMMARY: This final rule amends the HHS grants administration
regulations to incorporate changes resulting from comments received in
response to the publication of an interim rule implementing Office of
Management and Budget (OMB) Circular A-110 on August 25, 1994. The
revision of Section 74.1(a)(3), which applies this rule to the
entitlement programs, remains an interim final rule until permanent
policies are developed for these programs.
EFFECTIVE DATES: This final rule is effective April 22, 1996. The
interim final rule revising Sec. 74.1(a)(3) is effective April 22,
1996.
FOR FURTHER INFORMATION CONTACT:
Charles Gale, Director, Division of Grants Policy and Oversight, HHS,
Room 517-D, 200 Independence Ave. SW, Washington, DC 20201; telephone
(202) 690-6377; fax (202) 690-8772; for the hearing impaired only: TDD
(202) 690-6415.
SUPPLEMENTARY INFORMATION: The interim rule published by the Department
on August 25, 1994 (59 FR 43754) provided recipients with substantial
flexibility regarding OMB Circular A-110. This flexibility included,
for example, declining to exercise the authority to require prior
approval for percentage budget transfers (Circular A-110, Section
______.25(f)), declining to exercise the authority to require prior
approval for fund transfers between direct and indirect costs (Circular
A-110, Section ______.25(c)(5)), and declining to exercise the
authority to require a notice of Federal interest in equipment
(Circular A-110, Section ______.37). This final rule continues that
flexibility.
The Department received comments on the interim rule from several
organizations representing the grantee community and from within HHS.
Organizations commenting included community action agencies, community
health centers, universities, State governments, law firms, and firms
of certified public accountants. Many comments were supportive of HHS'
implementation of OMB Circular A-110. All comments were considered in
developing these final amendments.
The following section presents a summary of the comments, grouped
by subject, and a response to each. Whenever possible we have cited the
specific provision under consideration.
General
Comment: HHS should control the use of policy options by HHS
awarding agencies. (For example, the choice of how program income shall
be used under particular grants may be determined by HHS awarding
agencies pursuant to Section 74.24(b).)
Response: We believe the regulation strikes an appropriate balance
between providing overall HHS uniformity, and giving flexibility to HHS
awarding agencies, particularly in that HHS awarding agencies must
operate within the requirements of the new rule in exercising their
options.
Comment: The definition of ``Federal share'' includes property
improved with Federal funds. Do not apply the Federal share requirement
to property improved with Federal funds.
Response: We do not agree. Improvement of property with Federal
funds creates a Federal interest in the same way as methods of
financing property with Federal funds creates a Federal interest.
(Section 74.2)
Comment: The definition of ``Federal share'' includes ``improvement
expenditures.'' Define ``improvement.''
Response: ``Improvement'' needs no special definition because this
is not a specialized use of the term. Only the ordinary, common sense
meaning is intended. (Section 74.2)
Comment: The definition of ``Federal share'' discusses property
acquired on an amortized basis. Give examples of the Federal share on
an amortized basis.
Response: We have dropped that addition to the definition in order
to avoid any implication of a change in the basic definition. It was
not intended to alter the definition. The Federal share of property
acquired on an amortized basis is determined in the same way as the
Federal share of any other property. (Section 74.2)
Comment: The external policy issuances of HHS awarding agencies
should be rescinded.
Response: There is no need to rescind HHS agencies' policy
issuances. In many cases those issuances provide helpful explanations
of HHS policy as it applies to special situations. Provisions of those
issuances which conflict with this regulation, if any, are superseded.
(Section 74.3)
Comment: Deviations from the Part 74 rules, in individual cases,
should be approved at the HHS level, rather than by the HHS awarding
agencies.
Response: We do not agree. HHS agencies make thousands of awards
each year. It is not administratively feasible to route all individual
cases to a central office. It would entail unacceptable delays for
recipients. (Section 74.4)
Comment: We would hope that the new rule continues to exempt block
grants and other grants and subgrants covered by 45 CFR Part 92.
Response: Part 74 applies to subawards made by State and local
governments under 45 CFR Part 92 when those subawards are made to
organizations covered by Part 74. Part 74 does not apply to subawards
under block grants covered by 45 CFR Part 96. We have amended the text
to make it clear that it does not apply to block grants. (Section
74.5(a)(1))
Comment: May a recipient impose special conditions on a
subrecipient as it deems necessary or appropriate? For example, may a
recipient insist on obtaining title when a subrecipient purchases
equipment?
Response: A recipient may impose special conditions on a
subrecipient provided the special conditions are consistent with the
provisions of this regulation. Rules which apply to recipients flow
down also to subrecipients, as provided in Section 74.5. When a
subrecipient purchases equipment, the subrecipient retains title
subject to the recipient's right to require transfer under Section
74.34(h).
Pre-Award Requirements
Comment: Why was the previous subpart E, Waiver of Single State
Agency Requirements, dropped from the regulation?
Response: Subpart E was dropped from the interim final because it
was decided that it would be better placed in the individual program
regulations. However, in recognition of its placement in Part 74 for
many years, we have now concluded it should be retained in this
regulation as a matter of general information. Accordingly, we
[[Page 11744]]
have added the waiver provision at Section 74.1(a)(3).
Comment: The circumstances for imposing special conditions should
be limited to violations of statutory and regulatory conditions.
Response: We do not agree. In addition to violations of statutory
and regulatory conditions, Section 74.14(a) lists other situations
which we believe warrant special conditions.
Post-Award Requirements
Comment: Allow recipients to request advances when their cash
declines to a percentage of their monthly budget.
Response: We do not agree. A percentage rule would allow recipients
to request advances, in some cases, before they are actually needed.
(Section 74.22(g))
Comment: Relax the requirement for insured bank accounts for
certain days, such as payroll days, when cash balances are temporarily
higher than the amount covered by Federal Deposit Insurance.
Response: The insured account requirement says ``whenever
possible.'' This covers situations, as described above, where
recipients can justify that compliance is not possible. (Section
74.22(i)(2))
Comment: Do not apply the requirement for return of interest earned
on advance payments to the period between deposit of the funds in the
recipient's bank, and their disbursement by the recipient.
Response: We do not agree. This is precisely the period that the
interest-return requirement was designed to cover. (Section 74.22(k))
Comment: Correct the reference to ``paid fringe benefits'' in the
discussion of volunteer services.
Response: We agree. We have amended the last sentence of section
74.23(d) to read ``fringe benefits consistent with those paid * * *.''
Comment: Do not require that recipients use the deductive
alternative for program income in cases where the HHS awarding agency
does not specify which alternative to use.
Response: We do not agree. Not all Federally-supported projects are
suitable for expansion with additional funds from program income.
(Section 74.24(d))
Comment: Delete the requirement that recipients use the deductive
alternative for any income that exceeds the amount authorized by the
HHS awarding agency for the recipient to use under the additive or
cost-sharing alternatives.
Response: We do not agree. Not all Federally-supported projects are
suitable for unlimited expansion with additional funds from program
income. (Section 74.24(c))
Comment: Budget revisions should be considered approved if the HHS
awarding agency does not reply within 30 days.
Response: We do not agree. Occasionally it is not possible to reply
in 30 days. This does not make the requested budget revision
appropriate. (Section 74.25(i))
Comment: Do not impose OMB Circular A-133 audit requirements on
commercial organizations because most are already audited in accordance
with generally accepted auditing standards (GAAS).
Response: We have revised section 74.26(a) to add new paragraphs
(2) and (3) to give commercial organizations which receive annual HHS
awards that exceed the OMB Circular A-133 audit threshold the option of
either a Circular A-133 audit or a financial related audit of HHS
awards in accordance with Government Auditing Standards (GAS). However,
an audit performed in accordance with GAAS alone can not be used as a
substitute. (Proposed revisions to OMB Circular A-133 (60 FR 14594) set
the audit threshold at $300,000).
Comment: Amend the real property disposition rules to authorize
waiver of the recipient's requirement to reimburse the Federal
Government if the property has been used for its authorized purpose for
the period, usually 20 years, specified in the conditions of the award.
(Comment from an HHS awarding agency.)
Response: Since the commenter's objection can be accomplished in a
particular program through OMB Circular A-110's deviations procedures,
we see no reason to amend the real property disposition rules. (Section
74.32(c))
Comment: When real property is sold, the Federal share should be
based on the proceeds of sale rather than the fair market value.
Response: We do not agree. In order for the Federal Government to
equitably share in the appreciation or depreciation of real property
acquired with Federal funds, the Federal Government's share must be
based on the current fair market value. (Section 74.32(c)(2))
Comment: Federally-furnished equipment should be included in the
provisions for Federally-owned equipment.
Response: Federally-owned equipment includes Federally-furnished
equipment. (Section 74.33)
Comment: Restore Circular A-110's introductory language in the
provisions on exempt property.
Response: We have amended section 74.33(b) to reference 31 U.S.C.
6306, which authorizes HHS to vest title to tangible personal property
in certain specified organizations conducting scientific research.
Comment: In determining equipment's value for disposition purposes,
``imputed undepreciated value'' should be an acceptable alternative to
the regulation's ``current fair market value.''
Response: We do not agree. In our view, current fair market value
is a more accurate measure of value. (Section 74.34)
Comment: The prohibition on use of equipment to provide services
for a fee that is less than that charged by private companies should be
limited to services other than those for which the award was made.
Response: The prohibition does not apply to the activities for
which the award was specifically made, because the award was
statutorily authorized for that purpose, e.g., the provision of health
care under an award to a community health center. (Section 74.34(b)(1))
Comment: The statement that property shall be held in ``trust'' for
the award's beneficiaries, and that the recipient shall record
``liens'' should be deleted because ``trust'' and ``lien'' have legal
meanings that go beyond the requirements of the policy.
Response: We do not agree. We believe that the legal effect of
``trusts'' and ``liens,'' as used in Section 74.37, is consistent with
the requirements of the policy and that Federal interests are better
protected by considering recipients as trustees for the beneficiaries
of the program and by providing the Federal Government with a lien on
the applicable property. (Section 74.37)
Comment: Delete the requirement that the recipient record a notice
of Federal interest in property, unless the HHS awarding agency
furnishes a computation of the Federal interest in each item of
property.
Response: The recipient has much better information with which to
calculate the Federal recipient shares of property than does the HHS
awarding agency. In order to furnish such a computation to the
recipient, HHS would have to impose a burdensome reporting requirement.
There is no advantage to any of the parties in doing so. (Section
74.37)
Comment: Exempt small purchases from the requirement for a cost or
price analysis.
Response: Although this is not a new requirement, OMB and the
Federal
[[Page 11745]]
agencies will carefully review this requirement, especially for
purchases involving $2,500, or less, as revisions to OMB Circular A-110
are developed. Federal fiscal interests require, and the section on
cost or price analysis is intended to assure, that each element of the
cost of a recipient's procurement action is reasonable, allocable and
allowable. Recipients, however, are provided considerable latitude in
determining the appropriate form of the cost or price analysis,
depending on the nature and size of the procurement action. (Section
74.45)
Comment: Do not require the contract clauses to be used with
purchase orders that do not require a written contract.
Response: We do not agree. All of these clauses have been
determined necessary to protect Federal interests, if not actually
required by law, and therefore cannot be waived. (Section 74.48(e))
Comment: The requirement for reasonable access to the recipient's
employees for purposes of discussing records should be rewritten to
state that recipients do not have an affirmative obligation to produce
an employee for an interview.
Response: We do not agree. Reasonable access to a recipient's
personnel is necessary in order for the Federal Government to exercise
fully its rights to undertake audits, examinations and similar
procedures. Accordingly, recipients do have an affirmative obligation
to provide that access. (Section 74.53(e))
Comment: Since Appendix G has been removed, do HHS awarding
agencies continue to have authority to place pre-award approval
requirements on procurements under the entitlement programs? (Comment
from an HHS awarding agency.)
Response. Yes. OMB Circular A-110 does not preclude HHS awarding
agencies from continuing their longstanding policies pertaining to pre-
award approval and other requirements regarding procurements under the
entitlement programs.
Comment: All enforcement actions should have a hearing on the
record.
Response: Part 74 is not intended to establish any enforcement
action hearing rights. The section on enforcement simply states that
recipients and subrecipients will receive whatever opportunity for a
hearing, appeal or other administrative proceeding that they are
entitled to. (Section 74.62(b))
Comment: Allow subrecipients to appeal recipient enforcement
actions to HHS.
Response: See the previous response. (Section 74.62(b))
Other Substantive Changes
Other substantive changes are as follows:
1. In section 74.1(a)(3) we have added references to section 74.23,
Cost sharing or matching, and section 74.52, Financial reporting, to
the list of sections of this part which do not apply to the entitlement
programs. These have been approved deviations for many years, and were
inadvertently left out of the interim regulation.
2. As we discussed in the preamble to the interim regulation (at 59
FR 43758), the applicability of this regulation to the entitlement
programs is a temporary measure until new policies for these programs
are developed. Therefore, section 74.1(a)(3) remains as interim final
rule. We intend to work with the Department of Agriculture and OMB to
review existing policies and promulgate new regulations regarding these
programs.
3. We have added OMB Circular A-110's prohibitions on additional
requirements, additional copies of payment reports, and additional
prior approval requirements at sections 74.1(c), 74.22(m), and
74.25(l), respectively. We have included the Circular's references, at
section ______.25 (d) and (i), with respect to approval of deviations
by OMB, and specified that it refers to class deviations (74.25(l)). It
is noted that individual case deviations do not require OMB approval.
(Circular section ______.4.)
4. Because this regulation is applicable to some awards to
governmental organizations (the entitlement programs), while OMB
Circular A-110 is not, we have added a sentence to the definition of
program income in section 74.2 to exempt taxes, special assessments,
levies, and fines raised by governmental recipients from the definition
of program income.
5. We have added a statement of policy that the Department will use
its deviation authority to facilitate comprehensive or integrated
service delivery or multi-source consolidated awards. A particularly
appropriate example would be to facilitate Empowerment Zones or
Enterprise Communities, and similar awards in communities that
unsuccessfully applied for those designations. (HHS may not grant
deviations in classes of cases without the approval of OMB.) (Section
74.4(b))
6. We have amended sections 74.5, 74.12, and 74.22 to exempt
subawards from section 74.12, Forms for applying for HHS financial
assistance, and use of the forms prescribed in section 74.22, Payment.
Recipients need not apply the forms in dealing with their subrecipients
and should not impose more burdensome requirements on subrecipients.
7. In order to permit automated tracking of audits, we have amended
section 74.26(d) to provide that audits shall include the recipient's
Employer Identification Number, and to request that recipients submit a
computer disk containing the audit report in addition to the paper
copy.
8. We have amended section 74.34 to add a provision that formerly
appeared at section 74.139(b)(2) and was inadvertently left out of the
interim rule. That provision allows proceeds from equipment disposition
to be used for project costs if the recipient's project is still
receiving support from the same HHS program, and if the HHS awarding
agency gives prior approval.
9. We have amended section 74.44(e)(2) to change the simplified
acquisition threshold (formerly the ``small purchase threshold'') for
recipient procurements from $25,000 to $100,000 as provided in the
Federal Acquisition Streamlining Act of 1994. We have also added the
$100,000 reference to Section 74.48(b).
10. Two changes have been made to Appendix A as a result of the
Federal acquisition Streamlining Act, Public Law 103-355. The threshold
for the requirement to include a provision for compliance with the
Copeland ``Anti-Kickback Act'' (18 U.S.C. 874) was raised from $2,000
to $100,000. Also, the threshold for the requirement to include the
provision for compliance with sections 102 and 107 of the Contract Work
Hours and Safety Standards Act (40 U.S.C. 327-333) was raised to
$100,000.
Other editorial changes have been made to correct errors and
improve clarity.
Regulatory Impact Analyses
Executive Order 12866
This rule was submitted to the Office of Management and Budget.
Regulatory Flexibility Act
The Secretary, in accordance with the Regulatory Flexibility Act (5
U.S.C. 605(b)), has reviewed this rule before publication and, by
approving it, certifies that it does not have a significant impact on a
substantial number of small entities.
Paperwork Reduction Act
In keeping with the requirements of 44 U.S.C. 3504(h), the
information
[[Page 11746]]
collection requirements in this rule have been approved by OMB as
Standard Forms or HHS adaptations of Standard Forms with the following
clearance numbers: SF-269: 0348-0039; SF-424: 0348-0043; and PMS 270
and 272: 0937-0200.
List of Subjects in 45 CFR Part 74
Accounting, Administrative practice and procedures, Grant programs-
health, Grant programs-social programs, Grants administration,
Reporting and recordkeeping requirements.
(Catalog of Federal Domestic Assistance Number does not apply.)
Dated: March 4, 1996.
Donna E. Shalala,
Secretary of Health and Human Services.
Accordingly, the interim rule amending Part 74 of Title 45 of the
Code of Federal Regulations, which was published at 59 FR 43754 on
August 25, 1994, is adopted as final, except for Section 74.1(a)(3),
which remains interim, with the following changes:
PART 74--UNIFORM ADMINISTRATIVE REQUIREMENTS FOR AWARDS AND
SUBAWARDS TO INSTITUTIONS OF HIGHER EDUCATION, HOSPITALS, OTHER
NONPROFIT ORGANIZATIONS, AND COMMERCIAL ORGANIZATIONS; AND CERTAIN
GRANTS AND AGREEMENTS WITH STATES, LOCAL GOVERNMENTS AND INDIAN
TRIBAL GOVERNMENTS
1. The authority citation for Part 74 is revised to read as
follows:
Authority: 5 U.S.C. section 301; OMB Circular A-110; Appendix J
is also issued under 31 U.S.C. section 7505.
2. Section 74.1 is amended by adding a new paragraph (c) to read as
follows:
Sec. 74.1 Purpose and applicability.
* * * * *
(c) HHS shall not impose additional or inconsistent requirements
except as provided in Secs. 74.4 and 74.14, or unless specifically
required by Federal statute or executive order.
Sec. 74.2 [Amended]
3. Section 74.2 is amended by:
a. Removing the last sentence in the definition of ``Federal
share.''
b. Adding a sentence at the end of the definition of ``Program
income'' to read as follows:
Sec. 74.2 Definitions.
* * * * *
Program income * * * Furthermore, program income does not include
taxes, special assessments, levies, and fines raised by governmental
recipients.
* * * * *
Sec. 74.3 [Amended]
4. Section 74.3 is amended by adding ``Federal'' before
``statute''.
5. Section 74.4 is amended by designating the current text as
paragraph (a) and adding a new paragraph (b) to read as follows:
Sec. 74.4 Deviations.
(a) * * *
(b) As a matter of Departmental policy, requests for individual
case deviations will be considered favorably by HHS and its awarding
agencies whenever the deviation will facilitate comprehensive or
integrated service delivery, or multiple-source consolidated awards,
unless the deviation would impair the integrity of the program.
Sec. 74.5 [Amended]
6. Section 74.5(a) introductory text is amended by adding ``(except
for Sec. 74.12 and the forms prescribed in Sec. 74.22)'' after ``this
part''.
7. Section 74.5(a)(1) is revised to read as follows:
Sec. 74.5 Subawards.
(a) * * *
(1) Except for subawards under block grants (45 CFR part 96), all
subawards received by institutions of higher education, hospitals,
other nonprofit organizations, and commercial organizations from any
recipient of an HHS award, including any subawards received from
States, local governments, and Indian tribal governments covered by 45
CFR part 92; and
* * * * *
8. Section 74.12 is amended by adding a new paragraph (e) to read
as follows:
Sec. 74.12 Forms for applying for HHS financial assistance.
* * * * *
(e) This section does not apply to applications for subawards.
Sec. 74.17 [Amended]
9. Section 74.17 is amended by removing the ``HHS'' preceding
``official(s)'' in the second sentence.
10. Section 74.22 is amended by adding a sentence at the end of
paragraph (m) and a new paragraph (n) to read as follows:
Sec. 74.22 Payment.
* * * * *
(m) * * * HHS shall not require recipients to submit more than an
original and two copies.
(n) Recipients and subrecipients are not required to use forms PMS-
270 and 272 in connection with subaward payments.
11. Section 74.23(d) is amended by revising the last sentence to
read as follows:
Sec. 74.23 Cost sharing or matching.
* * * * *
(d) * * * In either case, fringe benefits consistent with those
paid that are reasonable, allowable, and allocable may be included in
the valuation.
* * * * *
12. Section 74.25 is amended in paragraph (c)(5) by revising ``or
costs'' to read ``of costs'', and by adding a new paragraph (l) to read
as follows:
Sec. 74.25 Revision of budget and program plans.
* * * * *
(l) No other prior approval requirements for specific items may be
imposed unless a class deviation has been approved by OMB.
13. Section 74.26 is amended by revising paragraphs (a) and (d) to
read as follows:
Sec. 74.26 Non-Federal audits.
(a)(1) Recipients and subrecipients that are institutions of higher
education, hospitals affiliated with institutions of higher education,
and other nonprofit organizations shall be subject to the audit
requirements contained in OMB Circular A-133, ``Audits of Institutions
of Higher Education and Other Non-Profit Institutions.'' (See Appendix
I to this part.)
(2) Recipients and subrecipients that are commercial organizations
have two options regarding audits:
(i) A financial related audit (as defined in the Government
Auditing Standards, GPO Stock #020-000-00-265--4) of a particular award
in accordance with Government Auditing Standards, in those cases where
the recipient receives awards under only one HHS program; or, if awards
are received under multiple HHS programs, a financial related audit of
all HHS awards in accordance with Government Auditing Standards; or
(ii) An audit that meets the requirements contained in OMB Circular
A-133.
(3) Commercial organizations that receive annual HHS awards
totaling less than OMB Circular A-133'a audit requirement threshold are
exempt from requirements for a non-Federal audit for that year, but
records must be available for review by appropriate officials of
Federal agencies.
* * * * *
(d)(1) All copies of audit reports required by this section shall
be submitted to: Department of Health and Human Services, Office of
Inspector
[[Page 11747]]
General, National External Audit Review Center, Lucas Place, Room 514,
323 West 8th Street, Kansas City, MO 64105.
(2) The HHS Office of Inspector General will distribute copies as
appropriate within HHS. Recipients, therefore, are not required to send
their audit reports to any other HHS officials. Recipients shall
provide their Employer Identification Numbers (EIN) on the cover page
of reports and submit along with the printed reports a computer disk
containing the entire contents of the audit report a computer disk
containing the entire contents of the audit report or at least the
information in the report relating to HHS awards.
14. Section 74.33(b) is amended by adding two sentences at the
beginning of the paragraph to read as follows:
Sec. 74.33 Federally-owned and exempt property.
* * * * *
(b) For research awards to certain types of recipients, 31 U.S.C.
6306 authorizes HHS to vest title to property acquired with Federal
funds in the recipient without further obligation to the Federal
government and under conditions that HHS considers appropriate. Such
property is ``exempt property.'' * * *
15. Section 74.34 is amended by adding a new paragraph (g)(4) to
read as follows:
Sec. 74.34 Equipment.
* * * * *
(g) * * *
(4) If the recipient's project or program for which or under which
the equipment was acquired is still receiving support from the same HHS
program, and if the HHS awarding agency approves, the net amount due
may be used for allowable costs of that project or program. Otherwise
the net amount must be remitted to the HHS awarding agency by check.
* * * * *
Sec. 74.35 [Amended]
16. Section 74.35(b)(2) is amended by adding the word ``are'' after
``supplies''.
Sec. 74.44 [Amended]
17. Section 74.44(a)(2) is amended by adding ``recipient and the''
before ``Federal Government''.
18. Section 74.44(e)(2) is amended by removing ``small purchase
threshold fixed at 41 U.S.C. 403(11) (currently $25,000)'' and
replacing it with ``simplified acquisition threshold fixed at 41 U.S.C.
403(11) (currently $100,000)''.
Sec. 74.48 [Amended]
19. Section 74.48(b) is amended by removing ``small purchase
threshold'' and replacing it with ``simplified acquisition threshold
(currently $100,000''.
Sec. 74.81 [Amended]
20. Section 74.81 is amended by adding ``Transfer'' after
``Technology''.
Sec. 74.90 [Amended]
21. Section 74.90(d) is amended by adding ``the office responsible
for awarding agency preliminary appeal process or, where none,'' after
``e.g.,''.
Appendix A to Part 74 [Amended]
22. Paragraph 2 of Appendix A is amended by removing ``$2,000'' and
replacing it with ``$100,000''.
23. Paragraph 4 of Appendix A is amended by removing ``$2,000 for
construction contracts and in excess of $2500'' and replacing it with
``$100,000 for construction contracts and''.
24. Section 74.1(a)(3) is amended as an interim final rule by
revising interim paragraph (a)(3) to read as follows:
Sec. 74.1 Purpose and applicability.
(a) * * *
(3) HHS grants and agreements, and any subawards under such grants
and agreements, awarded to carry out the entitlement programs
identified at 45 CFR Part 92, Sec. 92.4(a)(3), (a)(7), and (a)(8),
except that Secs. 74.12, 74.23, 74.25, and 74.52 of this part do not
apply. Under these programs, requests to HHS from Governors or other
duly constituted State authorities for waiver of single State agency
requirements in accordance with 31 U.S.C. 6501-6508 will be given
expeditious handling. Whenever possible, such requests will be granted.
* * * * *
[FR Doc. 96-6878 Filed 3-21-96; 8:45 am]
BILLING CODE 4160-17-M
