[Federal Register Volume 61, Number 35 (Wednesday, February 21, 1996)]
[Notices]
[Pages 6750-6751]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-3772]
[[Page 6749]]
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Part III
Department of Education
_______________________________________________________________________
Intent To Award Grantback Funds to the South Dakota Department of
Education and Cultural Affairs; Notice
Federal Register / Vol. 61, No. 35 / Wednesday, February 21, 1996 /
Notices
[[Page 6750]]
DEPARTMENT OF EDUCATION
Intent to Repay to the South Dakota Department of Education and
Cultural Affairs Funds Recovered as a Result of a Final Audit
Determination
AGENCY: Department of Education.
ACTION: Notice of intent to award grantback funds.
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SUMMARY: Under section 459 of the General Education Provisions Act
(GEPA), 20 U.S.C. 1234h (1988), the U.S. Secretary of Education
(Secretary) intends to repay to the South Dakota Department of
Education and Cultural Affairs (South Dakota), under a grantback
arrangement, an amount equal to 75 percent of the principal amount of
Vocational Education Basic Grant funds recovered by the U.S. Department
of Education (Department) as a result of the final audit determination
(ACN: 08-92255) in this matter. The Department's recovery of funds
followed a settlement reached between the parties under which South
Dakota refunded $50,000, in principal, to the Department in full
resolution of the Department's final audit determination for fiscal
year (FY) 1988. This notice describes South Dakota's plan for the use
of the repaid vocational education funds and the terms and conditions
under which the Secretary intends to make those funds available. This
notice invites comments on the proposed grantback.
DATES: All comments must be received on or before March 22, 1996.
ADDRESSES: All written comments should be addressed to Dr. Marcel R.
DuVall, Chief, Finance Branch, Division of Vocational-Technical
Education, Office of Vocational and Adult Education, U.S. Department of
Education, 600 Independence Avenue SW., (Mary E. Switzer Building, Room
4320, MS-7324), Washington, DC 20202.
FOR FURTHER INFORMATION CONTACT: Dr. Marcel R. DuVall. Telephone: (202)
205-9502. Individuals who use a telecommunications device for the deaf
(TDD) may call the Federal Information Relay Service (FIRS) at 1-800-
877-8339 between 8 a.m. and 8 p.m., Eastern time, Monday through
Friday.
SUPPLEMENTARY INFORMATION:
A. Background
Under a settlement agreement between the Department and South
Dakota, the Department recovered $50,000 from South Dakota in full
resolution of all claims arising from an audit of the South Dakota
Department of Education and Cultural Affairs, covering FY 1988.
The Department's original claim of $150,000 was contained in a
program determination letter (PDL) issued by the Assistant Secretary
for Vocational and Adult Education on March 29, 1991. This claim arose
from findings related to South Dakota's payment of interest charges on
a State construction bond. The disputed funds were provided to South
Dakota under the provisions of the Carl D. Perkins Vocational Education
Act. 20 U.S.C. 2301 et seq. (1988) (Perkins I).
In particular, the Assistant Secretary determined in the March 29,
1991, PDL that South Dakota had not obtained prior approval for the use
of these Federal funds for construction and that the $150,000 had been
used by the State in such a way as to supplant non-Federal funds. In
addition, the Assistant Secretary determined that the $150,000 in
Federal funds had been used by the State to make interest payments on
the construction bond debt, in violation of the prohibition against the
use of Federal funds for making interest payments. See 34 CFR Part 74,
Appendix C, Part II.D.7. (1988).
The parties entered into a settlement agreement on August 9, 1993,
resolving fully all claims in this matter. In accordance with the terms
of the settlement agreement, South Dakota repaid a principal amount of
$50,000 to the Department on August 26, 1993.
B. Authority for Awarding a Grantback
Section 459(a) of GEPA, 20 U.S.C. 1234h(a), the authority
applicable to this grantback request, provides that whenever the
Secretary has recovered funds paid under an applicable program because
the recipient made an expenditure of funds that was not allowable, or
otherwise failed to discharge its responsibility to account properly
for funds, the Secretary may consider those funds to be additional
funds available for that program and may arrange to repay to the
recipient affected by that action an amount not to exceed 75 percent of
the recovered funds. The Secretary may enter into this grantback
arrangement if the Secretary determines that--
(1) The practices or procedures of the recipient that resulted in
the violation of law have been corrected, and the recipient is in all
other respects in compliance with the requirements of that program;
(2) The recipient has submitted to the Secretary a plan for the use
of those funds pursuant to the requirements of that program and, to the
extent possible, for the benefit of the population that was affected by
the failure to comply or by the misuse of funds that resulted in the
recovery; and
(3) The use of the funds in accordance with that plan would serve
to achieve the purposes of the program under which the funds were
originally paid.
C. Plan for Use of Funds Awarded Under a Grantback Arrangement
Pursuant to section 459 of GEPA, South Dakota has applied for a
grantback of $37,500, or 75 percent of the recovered funds. South
Dakota has submitted a plan for use of the proposed grantback funds,
consistent with the Carl D. Perkins Vocational and Applied Technology
Education Act of 1990 (Perkins II), 20 U.S.C. 2301 et seq., which is
currently in effect. South Dakota plans to implement a State mentoring
program for new postsecondary vocational-technical education
instructors, who are drawn, in most cases, directly from the fields of
business and industry. These individuals possess vast technical
knowledge but have a limited teacher education background.
Specifically, South Dakota plans to use the requested grantback
funds totaling $37,500 to--
(1) Pay salary costs needed to provide one Statewide Coordinator,
four Educational Mentor Specialists, four Division Mentor Specialists,
four Support Mentor Specialists, and substitutes to assist with
workshops and meetings ($12,900);
(2) Facilitate travel to a three-day training institute for
Coordinators and Division and Educational mentors, and for meetings
between Education and State Coordinators and three University
Coordinators to establish curriculum and articulation agreements
($13,343);
(3) Contract services to provide eight, two-hour presentations by
means of the Rural Development Telecommunication Network (RDTN). This
system uses two-way audio and video communication to link a single
instructional facility to off-site locations ($1,920); and
(4) Provide printing, postage, and materials needed to carry out
the mentoring program objectives ($9,337).
Southeast Technical Institute in Sioux Falls, South Dakota, will
serve as the lead institute for organizing and delivering the mentoring
program to all statewide program areas. The basic curriculum entitled,
``Foundations in Postsecondary Instruction,'' will be delivered by the
mentor specialists using two lecture hours and two lab hours per week
for one semester and also via the RDTN to the four State-supported,
postsecondary technical institute site locations that will be utilized
for instruction. ``Foundations in
[[Page 6751]]
Postsecondary Instruction'' will include the following topics:
Classroom Discipline, Philosophy of Vocational Education, Curriculum
Development, Teaching Styles, Teaching Applications, Outside Resources,
Testing/Portfolio, Evaluation Feedback, and Special Populations.
D. The Secretary's Determination
The Secretary has carefully reviewed the plan submitted by South
Dakota and other relevant documentation. Based upon that review, the
Secretary has determined that the conditions under section 459 of GEPA
have been met.
This determination is based upon the best information available to
the Secretary at the present time. If this information is not accurate
or complete, the Secretary is not precluded from taking appropriate
administrative action at a later date. In finding that the conditions
of section 459 of GEPA have been met, the Secretary makes no
determination concerning any pending audit recommendations or final
audit determinations.
E. Notice of the Secretary's Intent to Enter Into a Grantback
Arrangement
Section 459(d) of GEPA requires that, at least 30 days before
entering into an arrangement to award funds under a grantback, the
Secretary must publish in the Federal Register a notice of intent to do
so, and the terms and conditions under which the payment will be made.
In accordance with section 459(d) of GEPA, notice is hereby given
that the Secretary intends to make funds available to the South Dakota
Department of Education and Cultural Affairs under a grantback
arrangement. The grantback award will be in the amount of $37,500,
which is 75 percent--the maximum percentage authorized by the statute--
of the principal amount of Vocational Education Basic Grant funds
recovered by the Department as a result of the final audit
determination and the settlement in this matter.
F. Terms and Conditions Under Which Payments Under a Grantback
Arrangement Will Be Made
South Dakota agrees to comply with the following terms and
conditions under which payment under a grantback arrangement will be
made:
(1) South Dakota will expend the funds awarded under the grantback
in accordance with--
(a) All applicable statutory and regulatory requirements;
(b) The plan that was submitted and any amendments in that plan
that are approved in advance of the grantback by the Secretary; and
(c) The budget that was submitted with the plan and any amendments
to the budget that are approved in advance of the grantback by the
Secretary.
(2) All funds received under the grantback arrangement must be
obligated by September 30, 1996, in accordance with section 459(c) of
GEPA and South Dakota's plan.
(3) South Dakota will, no later than January 1, 1997, submit a
report to the Secretary that--
(a) Indicates that the funds awarded under the grantback have been
spent in accordance with the proposed plan and approved budget; and
(b) Describes the results and effectiveness of the project for
which the funds were spent.
(4) Separate accounting records must be maintained to document the
expenditures of funds awarded under the grantback arrangement.
(Catalog of Federal Domestic Assistance Number 84.048, Basic State
Grants for Vocational Education)
Dated: February 13, 1996.
Patricia W. McNeil,
Acting Assistant Secretary, Office of Vocational and Adult Education.
[FR Doc. 96-3772 Filed 2-20-96; 8:45 am]
BILLING CODE 4000-01-P
