95-27431. Community Development Work Study Program; Proposed Amendments  

  • [Federal Register Volume 60, Number 214 (Monday, November 6, 1995)]
    [Proposed Rules]
    [Pages 56104-56109]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-27431]
    
    
    
    
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    _______________________________________________________________________
    
    Part IV
    
    
    
    
    
    Department of Housing and Urban Development
    
    
    
    
    
    _______________________________________________________________________
    
    
    
    24 CFR Part 570
    
    
    
    Community Development Work Study Program; Proposed Rule
    
    Federal Register / Vol. 60, No. 214 / Monday, November 6, 1995 / 
    Proposed Rules
    
    [[Page 56104]]
    
    
    DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
    
    Office of the Assistant Secretary for Policy Development and Research
    
    24 CFR Part 570
    
    [Docket No. FR-3902-P-01]
    RIN 2528-AA05
    
    
    Community Development Work Study Program; Proposed Amendments
    
    AGENCY: Office of the Assistant Secretary for Policy Development and 
    Research, HUD.
    
    ACTION: Proposed rule.
    
    -----------------------------------------------------------------------
    
    SUMMARY: This proposed rule would revise HUD's regulations governing 
    the Community Development Work Study Program (CDWSP). Under the CDWSP, 
    HUD awards grants to institutions of higher education, either directly 
    or through areawide planning organizations (APOs) or States, for the 
    purpose of providing assistance to economically disadvantaged and 
    minority students who participate in a community development work study 
    program while enrolled in a full-time graduate or undergraduate 
    Community Development Academic Program. This rule proposes to make 
    several revisions to the CDWSP so that it can more effectively and 
    efficiently meet its program objectives. Among other changes, this 
    proposed rule would limit the number of students assisted under CDWSP 
    to 5 students per participating institution of higher education, limit 
    the CDWSP to graduate-level programs, and permit institutions of higher 
    learning to apply individually or through APOs.
    
    DATES: Comments Due Date: January 5, 1996.
    
    ADDRESSES: Interested persons are invited to submit comments regarding 
    this proposed rule to the Office of the General Counsel, Rules Docket 
    Clerk, Room 10276, Department of Housing and Urban Development, 451 
    Seventh Street SW., Washington, D.C. 20410-0500. Communications should 
    refer to the above docket number and title and to the specific sections 
    of the regulation. Facsimile (FAX) comments are not acceptable. A copy 
    of each communication submitted will be available for public inspection 
    and copying during regular business hours at the above address.
    
    FOR FURTHER INFORMATION CONTACT: John Hartung, Office of University 
    Partnerships, Department of Housing and Urban Development, Room 8130, 
    451 Seventh Street SW., Washington, D.C. 20410, telephone (202) 708-
    1537. Hearing or speech-impaired individuals may call HUD's TDD number 
    (202) 708-0770, or 1-800-877-8399 (Federal Information Relay Service 
    TDD). (Other than the ``800'' number, these are not toll-free numbers.)
    
    SUPPLEMENTARY INFORMATION:
    
    I. Paperwork Reduction Act Statement
    
        The information collection requirements contained in this proposed 
    rule have been submitted to the Office of Management and Budget (OMB) 
    for review under the Paperwork Reduction Act of 1980 (44 U.S.C. 3501-
    3520). No person may be subjected to a penalty for failure to comply 
    with these information collection requirements until they have been 
    approved and assigned an OMB control number. The public reporting 
    burden is estimated to include the time for reviewing the instructions, 
    searching existing data sources, gathering and maintaining the data 
    needed, and completing and reviewing the collection of information in 
    instances where such action would be necessary. Information on the 
    estimated public reporting burden is provided under the Preamble 
    heading, Other Matters. Send comments regarding this burden estimate or 
    any other aspect of this collection of information, including 
    suggestions for reducing this burden, to the Department of Housing and 
    Urban Development, Rules Docket Clerk, 451 Seventh Street SW., Room 
    10276, Washington, D.C., 20410-0500; and to the Office of Information 
    and Regulatory Affairs, Office of Management and Budget, Attention: 
    Desk Officer for HUD, Washington, D.C. 20503.
    
    II. Background
    
        Section 501(b)(2) of the Housing and Community Development Act of 
    1987 (Pub. L. 100-242, approved February 5, 1988) added a new section 
    107(c) to the Housing and Community Development Act of 1974 (42 U.S.C. 
    5301 et seq.), authorizing the Community Development Work Study Program 
    (CDWSP). Under the CDWSP, HUD is authorized to award grants to 
    institutions of higher education, either directly or through areawide 
    planning organizations (APOs) or States, for the purpose of providing 
    assistance to economically disadvantaged and minority students who 
    participate in a community development work study program while 
    enrolled in a full-time graduate or undergraduate Community Development 
    Academic Program.
        On June 27, 1989 (54 FR 27128), HUD published a final rule 
    implementing section 107(c) at 24 CFR 570.415. Since that date, HUD has 
    published Notices of Funding Availability (NOFAs) for the purpose of 
    soliciting applications for CDWSP grant awards. Based on its experience 
    in administering the CDWSP, HUD is proposing to make several amendments 
    to 24 CFR 570.415 so that the CDWSP can more effectively and 
    efficiently meet its program objectives.
    
    A. CDWSP Limited to Graduate Programs
    
        The Secretary of HUD is authorized by 24 CFR 570.415(a) to fund 
    both graduate and undergraduate students through CDWSP. However, 
    experience has convinced HUD that graduate-level programs are better 
    suited to CDWSP. Graduate programs in community and economic 
    development and related fields almost always include an internship or 
    related component that introduces most of the program's students to 
    professional work experience.
        Moreover, the master's degree has become the accepted credential 
    for professional positions in community and economic development and 
    related fields. Graduate-level CDWSP students are, therefore, qualified 
    to immediately assume positions enabling substantial contributions in 
    these fields. Accordingly, HUD has determined that CDWSP funds can be 
    utilized more effectively by limiting CDWSP to graduate-level programs. 
    HUD proposes to amend Sec. 570.415 to limit CDWSP to provide 
    opportunities for relevant graduate-level study.
    
    B. Proposed Amendments to 24 CFR 570.415(b)
    
        Paragraph (b) of Sec. 570.415 sets forth the program's definitions. 
    This proposed rule would clarify the definition of ``areawide planning 
    organization''. Language in the current definition of that term 
    referencing the ``metropolitan or nonmetropolitan area'' served by an 
    APO was confusing inasmuch as no specific ``nonmetropolitan'' areas are 
    delineated for census purposes. The definition would be amended to make 
    clear that the relevant geographic area for purposes of the APO is the 
    area defined by the State law or interlocal agreement creating it.
        Amendments to 24 CFR 570.415(b) would also clarify HUD's 
    interpretation of the statutory phrase ``community and economic 
    development, community planning or community management'' with 
    reference to the types of employment opportunities and academic 
    programs the CDWSP addresses. Specifically, the term ``community 
    building'' would be added 
    
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    and would be defined to include all the disciplines the statutory 
    phrase ``community and economic development, community planning or 
    community management'' was meant to encompass. The term ``community 
    building academic program'' would replace ``community development 
    academic program'' and would be defined to encompass academic programs 
    whose purpose and focus is to prepare students for careers in community 
    building. Finally, the definition of the term ``Institution of higher 
    education'' would be amended to reference ``community building academic 
    program'' rather than ``community development academic program.''
    
    C. Proposed Amendments to 24 CFR 570.415(c)
    
        Several changes to 24 CFR 570.415(c) are proposed. First, 24 CFR 
    570.415(c)(1)(A) would be amended to specify that the student's hourly 
    rate should be sufficiently high to permit the student to earn the full 
    stipend by working no more than 20 hours per week during the school 
    year and 40 hours per week in the summer. HUD's experience suggests 
    that some CDWSP students have worked at hourly rates which make it 
    difficult to exhaust the stipend. HUD, however, intends that students 
    be able to earn the full stipend if the specified hours are worked.
        Furthermore, 24 CFR 570.415(c)(2) would be amended to limit the 
    number of students assisted under the CDWSP to five students per 
    participating institution of higher education. HUD is interested in 
    funding economically disadvantaged and minority students who show 
    strong potential for academic and professional success in community 
    development and related fields. Given the large number of institutions 
    of higher education interested in the CDWSP, HUD's experience suggests 
    that the strongest overall group of CDWSP students would be recruited 
    by having numerous institutions of higher education select their few 
    most qualified economically disadvantaged and minority students, rather 
    than channeling the funds so that any single institution of higher 
    education distributes up to ten awards. The minimum number of students 
    to be assisted by a grant would remain unchanged, so that the students 
    earn adequate funds to pursue their degree.
    
    D. Proposed Amendments to 24 CFR 570.415(d)
    
        This proposed rule would amend 24 CFR 570.415(d)(1) to permit each 
    eligible institution of higher education to choose whether to apply 
    individually or participate in an APO or State's CDWSP application. 
    Through this approach, a State or an APO could apply with some 
    participating institutions of higher education at the same time that 
    other institutions of higher education in the area or State submit 
    separate applications. The current rule prohibits institutions of 
    higher education from applying individually if they are located within 
    the jurisdiction of an APO or State that is applying.
        HUD has found that many institutions of higher education are 
    pleased to participate in the application of an APO. However, HUD also 
    recognizes that some institutions of higher education might submit 
    stronger applications and administer a program as well or better than 
    their area APO. HUD's experience suggests that such institutions of 
    higher education should be permitted to determine whether it is to 
    their advantage to apply separately or to participate in the 
    application of an APO or State. HUD, however, does not intend to permit 
    an institution of higher education to apply both separately and as part 
    of an APO or State's application during a single funding cycle. The 
    proposed rule would amend Sec. 570.415(d)(1)(iii) to set forth the 
    procedure for disregarding an application under such circumstances.
        Without this amendment, an institution of higher education that 
    might be an excellent candidate for CDWSP funding could be denied an 
    opportunity for funding simply because its APO or State unsuccessfully 
    applies. Giving institutions this option would also strongly encourage 
    APOs to develop or maintain excellent work study programs which are 
    capable of attracting the participation of the area's institutions of 
    higher education.
        Paragraph (d)(2)(i)(D) of Sec. 570.415 sets forth a requirement of 
    periodic seminars. HUD continues to believe that seminars can often be 
    a useful means of relating CDWSP work experience to the student's 
    academic program. Nevertheless, HUD is proposing that CDWSP seminars no 
    longer be mandatory, for several reasons. First, many graduate programs 
    in community building have a professional practice seminar as a 
    requirement of the graduate program itself. Second, the experience of 
    many students in CDWSP involves ongoing, informal mentoring and work-
    related counseling from the program director and other faculty. 
    Discussions with CDWSP recipients and students have convinced HUD that 
    the recipients are best positioned to determine how administrative 
    funds can be used most effectively to further the program's objectives.
        Paragraph (d)(2)(i)(F) of Sec. 570.415 would be amended to state 
    that the recipient must encourage participating students to seek post-
    graduation employment with specified types of employers engaged in 
    community building. The current regulation requires that students be 
    encouraged to seek employment with specified types of employers 
    receiving community development funds. This proposed change recognizes 
    that a CDWSP student's post-graduation employment in community building 
    comports with CDWSP objectives even if his or her particular employer 
    is not receiving community development funds.
    
    E. Elimination of the Repayment Requirements in 24 CFR 570.415(g) and 
    24 CFR 570.415(k)
    
        The repayment requirements in paragraphs (g)(3)(i) and (k)(3)(ii) 
    of Sec. 570.415 would be eliminated. Currently, 24 CFR 570.415(g)(3)(i) 
    states that students who are terminated from CDWSP participation 
    without having completed their academic program must repay to the 
    recipient any tuition and non-stipend assistance received through 
    CDWSP. Paragraph (k)(3)(ii) of Sec. 570.415, in turn, requires that the 
    recipient repay to the Federal Government the tuition and other non-
    stipend assistance the student has received, and imposes this 
    requirement regardless of whether the recipient collects the funds from 
    the student.
        Based on experience and discussions with recipients, HUD has 
    determined that these repayment requirements should be eliminated, for 
    several reasons. First, HUD believes that a repayment requirement is 
    unnecessary as an incentive to select highly motivated students. 
    Recipients already have a strong incentive to select highly motivated 
    students since their CDWSP funding in any funding cycle depends in 
    significant part on the graduation rate of students to whom the 
    recipient provided CDWSP or similar funding.
        Moreover, as noted above, the program is to be revised to further 
    limit the number of students funded per institution of higher 
    education. The increased selectivity that institutions of higher 
    education will necessarily exercise suggests that the academic 
    potential and motivation of CDWSP students can be expected to be even 
    higher than in the past. Furthermore, the requirement may discourage 
    students from seeking to participate in CDWSP since the financial risk 
    of failure to complete the program may appear substantial. 
    
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        HUD further notes that the repayment requirements also impose a 
    substantial cost (administrative burden and repayment costs) to 
    recipients who attempt to collect funds for academic credit hours and 
    other support the student has already been provided. Because a CDWSP 
    student is necessarily economically disadvantaged, the student cannot 
    generally repay the debt other than in small payments over a long 
    period of time involving considerable administrative burden to the 
    recipient. HUD is aware of occasions in which institutions of higher 
    education have had to either ``write off'' the debt as uncollectible or 
    collect small periodic payments.
    
    F. Proposed Amendments to 24 CFR 570.415(i)
    
        Paragraph (i) of Sec. 570.415 would be amended in several respects. 
    The initial sentence in 24 CFR 570.415(i)(2) would be amended to 
    clarify that a threshold review for applicant eligibility occurs before 
    applications are rated and placed in priority funding order.
        Paragraph (i)(5) of Sec. 570.415, concerning the ranking of 
    otherwise eligible applicants, would be amended to clarify the 
    selection criteria, eliminate duplication of issues among criteria, and 
    make the criteria consistent with other proposed changes. Paragraph 
    (i)(2)(i) of Sec. 570.415, which establishes the quality of the 
    academic program as a ranking factor, would be clarified so as to set 
    forth a non-exhaustive list of academic program quality indicators. The 
    issue of the graduation rate among the applicant's past CDWSP students, 
    which is currently part of the academic quality factor, would be set 
    forth as a separate factor to reflect that factor's independent 
    significance.
        A new factor would be added as 24 CFR 570.415(i)(2)(iii), dealing 
    with the recipient's commitment to meeting the needs of CDWSP-funded 
    students. This consideration is already partially encompassed in 24 CFR 
    570.415(i)(2)(vi), dealing with the applicant's ``relative commitment 
    to meeting the needs of minority economically disadvantaged students.'' 
    However, 24 CFR 570.415(i)(2)(vi) has lacked clarity, and applicants 
    have responded to it in varying and inconsistent ways, with some 
    applicants referring to their indirect costs, others referring to 
    additional tuition support, and still others simply restating 
    information used in responding to other ranking factors.
        HUD intends to have this new, separate factor address the 
    institution of higher education's commitment to help the CDWSP student 
    see his or her way through the program financially. HUD is aware, from 
    communications with recipients and students, that the CDWSP award 
    leaves many CDWSP-funded students significantly short of funds to 
    pursue their degree, even though they are working twenty hours per 
    week. HUD believes a student's ability to pursue the academic program 
    without undue financial stress is of great importance to the student's 
    success.
        Proposed 24 CFR 570.415(i)(2)(v) would address the likelihood that 
    an applicant's program will lead students to permanent employment in 
    community building, a consideration currently addressed in 24 CFR 
    570.415(i)(2)(iv). HUD would clarify this factor by setting forth 
    several primary determinants of how well the factor is met. Proposed 24 
    CFR 570.415(i)(2)(vi) would be identical to the current 24 CFR 
    570.415(i)(2)(v).
        Proposed 24 CFR 570.415(i)(2)(vii) would address the applicant's 
    commitment to meeting the needs of economically disadvantaged and 
    minority students. This factor, a modification of the present 24 CFR 
    570.415(i)(2)(vi), would clarify that the program is intended to 
    address the needs of both minority and nonminority economically 
    disadvantaged students.
    
    III. Other Matters
    
    A. Environmental Impact
    
        A Finding of No Significant Impact with respect to the environment 
    has been made in accordance with HUD regulations at 24 CFR part 50, 
    which implements section 102(2)(C) of the National Environmental Policy 
    Act of 1969 (NEPA). This Finding of No Significant Impact is available 
    for public inspection between 7:30 a.m. and 5:30 p.m. weekdays in the 
    Office of the Rules Docket Clerk, Office of the General Counsel, 
    Department of Housing and Urban Development, Room 10276, 451 Seventh 
    Street SW., Washington, DC 20410-0500.
    
    B. Regulatory Flexibility
    
        The Secretary, in accordance with the Regulatory Flexibility Act (5 
    U.S.C. 605(b)), has reviewed and approved this proposed rule, and in so 
    doing certifies that this proposed rule will not have a significant 
    economic impact on a substantial number of small entities. This rule 
    only affects applicants and participants in HUD's Community Development 
    Work Study Program, and will not have any meaningful economic impact on 
    any entity.
    
    C. Public Reporting Burden
    
        This rule does not propose to add to the overall information 
    collection requirements of the Community Development Work Study 
    Program. Nevertheless, because the proposed rule would alter the 
    specific information requirements for applying for the program, the 
    information collection requirements of this program, as amended, are 
    being submitted to OMB for review under section 3504(h) of the 
    Paperwork Reduction Act of 1980. Information on these requirements is 
    provided as follows:
    
                        Annual Reporting Burden--24 CFR 570.415, Community Development Work Study                   
    ----------------------------------------------------------------------------------------------------------------
                                                                                  Total                             
                                                                   Number of      annual     Hours per   Total hours
                                                                  respondents   responses     response              
    ----------------------------------------------------------------------------------------------------------------
    Application.................................................           75           75           20        1,500
    Annual reports..............................................           30           30            6          180
    Final reports...............................................           30           30            8          240
    Recordkeeping...............................................           30           30            5          150
                                                                 ---------------------------------------------------
                                                                                                               2,070
    ----------------------------------------------------------------------------------------------------------------
    
    D. Federalism Impact
    
        The General Counsel, as the Designated Official under section 6(a) 
    of Executive Order 12612, Federalism, has determined that the policies 
    contained in this proposed rule will not have substantial direct 
    effects on States or their political subdivisions, or the relationship 
    between the Federal government and the States, or on the distribution 
    of power and responsibilities among the various levels of government. 
    Specifically, the requirements of this proposed rule are 
    
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    directed toward applicants and participants in HUD's Community 
    Development Work Study Program (CDWSP). It effects no changes in the 
    current relationships between the Federal government, the States and 
    their political subdivisions in connection with CDWSP.
    
    E. Family Impact
    
        The General Counsel, as the Designated Official under Executive 
    Order 12606, The Family, has determined that this proposed rule does 
    not have the potential for significant impact on family formation, 
    maintenance and general well-being, and, thus, is not subject to review 
    under the Order. No significant changes in existing HUD policies or 
    programs will result from promulgation of this proposed rule, as those 
    policies and programs relate to family concerns.
    
    F. Executive Order 12866
    
        This proposed rule was reviewed by the Office of Management and 
    Budget under Executive Order 12866, Regulatory Planning and Review. Any 
    changes made to the proposed rule as a result of that review are 
    clearly identified in the docket file, which is available for public 
    inspection in the office of the Department's Rules Docket Clerk, Room 
    10276, 451 Seventh Street SW., Washington, DC 20410-0500.
    
    List of Subjects in 24 CFR Part 570
    
        Administrative practice and procedure, American Samoa, Community 
    development block grants, Grant programs--education, Grant programs--
    housing and community development, Guam, Indians, Lead poisoning, Loan 
    programs--housing and community development, Low and moderate income 
    housing, New communities, Northern Mariana Islands, Pacific Islands 
    Trust Territory, Pockets of poverty, Puerto Rico, Reporting and 
    recordkeeping requirements, Small cities, Student aid, Virgin Islands.
    
        The Catalog of Federal Domestic Assistance program number is 
    14.234.
        Accordingly, 24 CFR part 570 is proposed to be amended as follows:
    
    PART 570--COMMUNITY DEVELOPMENT BLOCK GRANTS
    
        1. The authority citation for 24 CFR part 570 continues to read as 
    follows:
    
        Authority: 42 U.S.C. 3535(d) and 5300-5320.
    
    Subpart E--Special Purpose Grants
    
        2. Section 570.415 is amended by:
        a. Revising paragraph (a);
        b. Revising paragraph (b);
        c. Revising paragraphs (c)(1)(i) (A), (B), and (C), and (c)(2);
        d. Revising paragraphs (d)(1)(i) (A) and (B), (d)(1)(ii), and 
    (d)(1)(iii);
        e. Revising paragraph (d)(2)(i)(A);
        f. Removing paragraph (d)(2)(i)(D) and redesignating paragraphs 
    (d)(2)(i) (E) through (I) as paragraphs (d)(2)(i) (D) through (H), 
    respectively;
        g. Revising newly designated (d)(2)(i)(E);
        h. Revising paragraphs (f)(1) and (f)(2)(i);
        i. Revising paragraphs (g)(1) (ii) and (iii), (g)(2)(ii), and 
    (g)(3) (i) and (ii);
        j. Revising paragraphs (i)(1)(iii) and (i)(2);
        k. Revising paragraph (k)(3)(ii); and
        l. Removing paragraph (k)(3)(iii) and redesignating paragraph 
    (k)(3)(iv) as paragraph (k)(3)(iii), to read as follows:
    
    
    Sec. 570.415  Community Development Work Study Program.
    
        (a) Applicability and objectives. HUD makes grants under CDWSP to 
    institutions of higher education, either directly or through areawide 
    planning organizations or States, for the purpose of providing 
    assistance to economically disadvantaged and minority students who 
    participate in a work study program while enrolled in full-time 
    graduate programs in community and economic development, community 
    planning, and community management. The primary objectives of the 
    program are to attract economically disadvantaged and minority students 
    to careers in community and economic development, community planning, 
    and community management, and to provide a cadre of well-qualified 
    professionals to plan, implement and administer local community 
    development programs.
        (b) Definitions. The following definitions apply to CDWSP:
        Applicant means an institution of higher education, a State, or an 
    areawide planning organization that submits an application for 
    assistance under CDWSP.
        Areawide planning organization (APO) means an organization 
    authorized by law or by interlocal agreement to undertake planning and 
    other activities for a particular geographic area.
        CDWSP means the Community Development Work Study Program.
        Community building means community and economic development, 
    community planning, community management, land use and housing 
    activities.
        Community building academic program or academic program means a 
    graduate degree program whose purpose and focus is to educate students 
    in community building. ``Community building academic program'' or 
    ``academic program'' includes but is not limited to graduate degree 
    programs in community and economic development, community planning, 
    community management, public administration, public policy, urban 
    economics, urban management, and urban planning. ``Community building 
    academic program'' or ``academic program'' excludes social and 
    humanistic fields such as law, economics (except for urban economics), 
    education and history. ``Community building academic program'' or 
    ``academic program'' excludes joint degree programs except where both 
    joint-degree fields have the purpose and focus of educating students in 
    community building.
        Economically disadvantaged and minority students means students who 
    satisfy all applicable guidelines established at the participating 
    institution of higher education to measure financial need for academic 
    scholarship or loan assistance, including, but not limited to, students 
    who are Black, American Indian/Alaskan Native, Hispanic, or Asian/
    Pacific Island, and including students with disabilities.
        Institution of higher education means a public or private 
    educational institution that offers a community building academic 
    program and that is accredited by an accrediting agency or association 
    recognized by the Secretary of Education under 34 CFR part 602.
        Recipient means an approved applicant that executes a grant 
    agreement with HUD.
        Student means a student enrolled in an eligible full-time academic 
    program. He/she must be a first-year student in a two-year graduate 
    program. Students enrolled in Ph.D. programs are ineligible.
        Student with disabilities means a student who meets the definition 
    of ``person with disabilities'' in the Americans with Disabilities Act 
    of 1990.
        (c) * * *
        (1) * * *
        (i) * * *
        (A) Student stipend. The amount of the student stipend is based 
    upon the prevailing hourly rate for initial entry positions in 
    community building and the number of hours worked by the student at the 
    work placement assignment, except that the hourly rate used should be 
    sufficiently high to allow a student to earn the full stipend without 
    working over 20 hours per week during the school year and 40 hours per 
    week during the summer. The amount of the stipend the student receives 
    may not exceed the actual amount earned, up to $9,000 per year.
    
    [[Page 56108]]
    
        (B) Tuition support. The amount of the tuition support may not 
    exceed the tuition charged at the participating institution of higher 
    education up to a maximum of $3,500 per year.
        (C) Additional support. The amount of additional support may not 
    exceed the actual costs incurred, up to a maximum of $1,500 per year. 
    The recipient may provide additional support for:
        (1) Books;
        (2) Travel related to the academic program, work placement 
    assignment, or attendance at conferences sponsored by professional 
    organizations in community building; and
        (3) Costs associated with reasonable accommodations for students 
    with disabilities including, but not limited to, interpreters for the 
    deaf/hard of hearing, special equipment, and braille materials.
    * * * * *
        (2) Number of students assisted. The minimum number of students 
    that may be assisted is three students per participating institution of 
    higher education. If an APO or State receives assistance for a program 
    that is conducted by two or more institutions of higher education, each 
    participating institution must have a minimum of three students in the 
    program. The maximum number of students that may be assisted under 
    CDWSP is five students per participating institution of higher 
    education.
        (d) * * *
        (1) * * *
        (i) * * *
        (A) Institutions of higher education. Institutions of higher 
    education offering a community building academic program are eligible 
    for assistance under CDWSP.
        (B) Areawide planning organizations and States. An APO or a State 
    may apply for assistance for a program to be conducted by two or more 
    institutions of higher education. Institutions participating in an APO 
    program must be located within the particular area that is served by 
    the APO and is identified by the State law or interlocal agreement 
    creating the APO. Institutions of higher education participating in a 
    State program must be located within the State.
        (ii) To be eligible in future funding competitions for CDWSP, 
    recipients are required to maintain a 50-percent rate of graduation 
    from a CDWSP-funded academic program.
        (iii) If an institution of higher education that submits an 
    individual application is also included in the application of an APO or 
    State, then the separate individual application of the institution of 
    higher education will be disregarded. Additionally, if an institution 
    of higher education is included in the application of both an APO and a 
    State, then the references to the institution in the application of the 
    State will be stricken. The State's application will then be ineligible 
    if fewer than two institutions of higher education remain as 
    participants in the State's application.
        (2) * * *
        (i) * * *
        (A) Recruit and select students for participation in CDWSP. The 
    recipient shall establish recruitment procedures that identify 
    economically disadvantaged and minority students pursuing careers in 
    community building, and make such students aware of the availability of 
    assistance opportunities. Students must be selected before the 
    beginning of the semester for which funding has been provided.
    * * * * *
        (E) Encourage participating students to obtain employment for a 
    minimum of two years after graduation with a unit of State or local 
    government, Indian tribe or nonprofit organization engaged in community 
    building.
    * * * * *
        (f) Work placement agencies eligibility and responsibilities (1) 
    Eligibility. To be eligible to participate in the CDWSP, the work 
    placement agencies must be involved in community building and must be 
    an agency of a State or unit of local government, an APO, an Indian 
    tribe, or a nonprofit organization.
        (2) * * *
        (i) Provide practical experience and training in community 
    building.
    * * * * *
        (g) * * *
        (1) * * *
        (ii) Must be a full-time student enrolled in the first year of 
    graduate study in a community building academic program at the 
    participating institution of higher education. Individuals enrolled in 
    doctoral programs are ineligible.
        (iii) Must demonstrate an ability to maintain a satisfactory level 
    of performance in the community building academic program and in work 
    placement assignments, and to comply with the professional standards 
    set by the recipient and the work placement agencies.
    * * * * *
        (2) * * *
        (ii) An interest in, and commitment to, a professional career in 
    community building.
    * * * * *
        (3) * * *
        (i) Enroll in a two-year program. A student's academic and work 
    placement responsibilities include: Full-time enrollment in an approved 
    academic program; maintenance of a satisfactory level of performance in 
    the community building academic program and in work placement 
    assignments; and compliance with the professional conduct standards set 
    by the recipient and the work placement agency. A satisfactory level of 
    academic performance consists of maintaining a B average. A student's 
    participation in CDWSP shall be terminated for failure to meet these 
    responsibilities and standards. If a student's participation is 
    terminated, the student is ineligible for further CDWSP assistance.
        (ii) Agree to make a good-faith effort to obtain employment in 
    community building with a unit of State or local government, an Indian 
    tribe, or a nonprofit organization. The term of employment should be 
    for at least two consecutive years following graduation from the 
    academic program. If the student does not obtain such employment, the 
    student is not required to repay the assistance received.
    * * * * *
        (i) * * *
        (1) * * *
        (iii) The applicant must demonstrate that each institution of 
    higher education participating in the program as a recipient has the 
    required academic programs and faculty to carry out its activities 
    under CDWSP. Each work placement agency must have the required staff 
    and community building work study program to carry out its activities 
    under CDWSP.
        (2) Rating. All applications that meet the threshold requirements 
    for applicant eligibility will be rated based on the following 
    selection criteria:
        (i) Quality of Academic Program. The quality of the academic 
    program offered by the institution of higher education, including 
    without limitation the:
        (A) Quality of course offerings;
        (B) Appropriateness of course offerings for preparing students for 
    careers in community building; and
        (C) Qualifications of faculty and percentage of their time devoted 
    to teaching and research in community building.
        (ii) Rates of Graduation. The rates of graduation of students 
    previously enrolled in a community building academic program at the 
    institution of 
    
    [[Page 56109]]
    higher education, specifically including (where applicable) graduation 
    rates from any previously funded CDWSP academic programs or similar 
    programs.
        (iii) Extent of Financial Commitment. The commitment and ability of 
    the institution of higher education to assure that CDWSP students will 
    receive sufficient financial assistance (including loans, where 
    necessary) above and beyond the CDWSP funding to complete their 
    academic program in a timely manner and without working in excess of 20 
    hours per week during the school year.
        (iv) Quality of Work Placement Assignments. The extent to which the 
    participating students will receive a sufficient number and variety of 
    work placement assignments, the assignments will provide practical and 
    useful experience to students participating in the program, and the 
    assignments will further the participating students' preparation for 
    professional careers in community building.
        (v) Likelihood of Fostering Students' Permanent Employment in 
    Community Building. The extent to which the proposed program will lead 
    participating students directly and immediately to permanent employment 
    in community building, as indicated by, without limitation:
        (A) The past success of the institution of higher education in 
    placing its graduates (particularly CDWSP-funded and similar program 
    graduates where applicable) in permanent employment in community 
    building; and
        (B) The amount of faculty and staff time and institutional 
    resources devoted to assisting students (particularly students in 
    CDWSP-funded and similar programs where applicable) in finding 
    permanent employment in community building.
        (vi) Effectiveness of Program Administration. The degree to which 
    an applicant will be able effectively to coordinate and administer the 
    program. HUD will allocate the maximum points available under this 
    criterion equally among the following considerations set forth in 
    paragraphs (i)(2)(vi)(A), (B), and (C) of this section. Except that the 
    maximum points available under this criterion will be allocated equally 
    between the considerations set forth in paragraphs (i)(2)(vi)(A) and 
    (B) of this section only where the applicant has not previously 
    administered a CDWSP-funded program.
        (A) The strength and clarity of the applicant's plan for placing 
    CDWSP students on rotating work placement assignments and monitoring 
    CDWSP students' progress both academically and in their work placement 
    assignments;
        (B) The degree to which the individual who will coordinate and 
    administer the program has clear responsibility, ample available time, 
    and sufficient authority to do so; and
        (C) The effectiveness of the applicant's prior coordination and 
    administration of a CDWSP-funded program, where applicable (including 
    the timeliness and completeness of the applicant's compliance with 
    CDWSP reporting requirements).
        (vii) Commitment to Meeting Economically Disadvantaged and Minority 
    Students' Needs. The applicant's commitment to meeting the needs of 
    economically disadvantaged and minority students as demonstrated by 
    policies and plans regarding, and past effort and success in, 
    recruiting, enrolling and financially assisting economically 
    disadvantaged and minority students. If the applicant is an APO or 
    State, then HUD will consider the demonstrated commitment of each 
    institution of higher education on whose behalf the APO or State is 
    applying; HUD will then also consider the demonstrated commitment of 
    the APO or State to recruit and hire economically disadvantaged and 
    minority students.
    * * * * *
        (k) * * *
        (3) * * *
        (ii) If a student's participation in CDWSP is terminated before the 
    completion of the two-year term of the student's program, the recipient 
    may substitute another student to complete the two-year term of a 
    student whose participation has terminated. The substituted student 
    must have a sufficient number of academic credits to complete the 
    degree program within the remaining portion of the terminated student's 
    two-year term.
    * * * * *
        Dated: June 8, 1995.
    Michael A. Stegman,
    Assistant Secretary for Policy Development and Research.
    [FR Doc. 95-27431 Filed 11-3-95; 8:45 am]
    BILLING CODE 4210-62-P
    
    

Document Information

Published:
11/06/1995
Department:
Housing and Urban Development Department
Entry Type:
Proposed Rule
Action:
Proposed rule.
Document Number:
95-27431
Pages:
56104-56109 (6 pages)
Docket Numbers:
Docket No. FR-3902-P-01
RINs:
2528-AA05: Community Development Work Study Program (FR-3902)
RIN Links:
https://www.federalregister.gov/regulations/2528-AA05/community-development-work-study-program-fr-3902-
PDF File:
95-27431.pdf
CFR: (1)
24 CFR 570.415