[Federal Register Volume 60, Number 170 (Friday, September 1, 1995)]
[Notices]
[Pages 45707-45710]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-21920]
-----------------------------------------------------------------------
DEPARTMENT OF EDUCATION
Intent To Repay to the Washington State Board for Vocational
Education Funds Recovered as a Result of Two Final Audit Determinations
AGENCY: Department of Education.
ACTION: Notice of intent to award grantback funds.
-----------------------------------------------------------------------
SUMMARY: Under section 459 of the General Education Provisions Act
[[Page 45708]]
(GEPA), 20 U.S.C. 1234h, the Secretary of Education (Secretary) intends
to repay to the Washington State Board for Vocational Education
(Washington), under a grantback arrangement, an amount equal to 75
percent of the principal amount of funds recovered by the U.S.
Department of Education (Department) as a result of the final audit
determinations in this matter. The Department's recovery of funds
followed settlements reached between the parties under which Washington
refunded $49,500 (ACN: 10-03372G) and $50,000 (ACN: 10-13343G),
equalling a total of $99,500 in principal, to the Department in full
resolution of the Department's final audit determinations for fiscal
years (FYs) 1989 and 1990. This notice describes Washington's plan for
the use of the repaid 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 October 2, 1995.
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, (202) 205-9502.
Individuals who use a telecommunications device for the deaf (TDD) may
call the Federal Information Relay Service (FIRS) at 1-800-877-8239
between 8 a.m. and 8 p.m., Eastern time, Monday through Friday.
SUPPLEMENTARY INFORMATION
A. Background
Under settlement agreements between the Department and Washington,
the Department recovered $49,500 (ACN: 10-03372G) and $50,000 (ACN: 10-
13343G) from Washington in full resolution of all claims arising from
audits of Washington's State Division of Vocational Education, covering
FYs 1989 and 1990, respectively.
The Department's original claims of $192,354 (ACN: 10-03372G (FY
1989)) and $135,248 (ACN: 10-13343G (FY 1990)) were contained in final
letters of determination issued by the Assistant Secretary on March 29,
1991, and March 31, 1993, respectively. These claims arose from
findings related to Washington's administration of its vocational
education program under the provisions of the Carl D. Perkins
Vocational Education Act. 20 U.S.C. 2301 et seq. (1988)(Perkins I).
In the March 29, 1991 letter for FY 1989, the Assistant Secretary
determined that Washington violated the Federal regulations governing
funds set aside for disabled and disadvantaged students awarded under
Title II, Part A, of Perkins I. Specifically, Washington used funds to
pay for salaries and instructional programs that served students who
were not enrolled in vocational education programs, thus violating
provisions implemented at 34 CFR 401.52(a) and 401.53(a)(1) and
401.58(a)(1)(1989). In addition, Washington violated the requirement,
implemented at 34 CFR 401.52(a) and 401.53(a)(1), that funds allocated
for disabled and disadvantaged individuals be used only for the excess
costs incurred as a result of serving those populations. The Assistant
Secretary further determined that Washington violated the requirement
at 20 U.S.C. 2323(b)(16)(1988) that Perkins I funds be used to
supplement and not supplant State and local funds.
In the March 31, 1993 letter, the Assistant Secretary determined
that Washington awarded funds reserved for disabled and disadvantaged
under Title II, Part A, of Perkins I to 11 community colleges based on
applications proposing services that were not allowable under Perkins
I. The Assistant Secretary determined that the colleges used these
funds to pay for salaries and instructional programs that either served
disadvantaged and disabled individuals who were not enrolled in
vocational education programs or that served students who were not
members of those special populations. 34 CFR 401.52(a) and
401.53(a)(1)(1990).
The settlement negotiations resulting from Washington's appeal of
the Assistant Secretary's March 29, 1991 and March 31, 1993
determinations culminated in settlement agreements. The settlement
agreement for the March 29, 1991 determination (ACN: 10-03372G) was
executed on June 5, 1992. The Department received full payment of
$49,500 for this determination in August 1992. The settlement agreement
for the March 31, 1993 determination (ACN: 10-13343G) was executed on
May 10, 1995. The Department received full payment of $50,000 for this
determination on August 8, 1994.
B. Authority for Awarding a Grantback
Section 459(a) of GEPA, 20 U.S.C. Sec. 1234(h), provides that
whenever the Secretary has recovered funds following a final audit
determination with respect to any applicable program, the Secretary may
consider those funds to be additional funds available for the program
and may arrange to repay to the State or local educational agency
affected by that determination 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 that 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(a)(2) of GEPA, Washington has applied for a
grantback of $74,625, or 75 percent of the $99,500 total amount repaid
to the Department under the FY 1989 and FY 1990 settlement agreements,
and 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), which is currently in effect.
Washington plans to use the FY 1989 funds to purchase equipment to
assist disabled and disadvantaged populations enrolled in remedial
vocational programs. Utilizing the FY 1990 funds, Washington plans to
hire personnel and to purchase equipment to develop a communication
system for the State and postsecondary institutions involved in
vocational-technical programs.
Specifically, Washington plans to utilize the requested FY 1989
grantback funds, totaling $37,125, to--
(1) Purchase updated adaptive equipment to assist disabled and
disadvantaged students enrolled in remedial and vocational training
programs at South Seattle Community College, so that these students can
fully participate in vocational programs. This equipment will include
four G.E. Fastrac speed listening cassette recorders and adapters, two
Sharp Talking Clock calculators, three adjustable computer tables for
wheelchair users, four Language Masters, one personal FM Loop system,
[[Page 45709]]
and one portable disk drive for Type 'n Speak equipment ($3,958);
(2) Purchase adaptive equipment to assist vocational education
students enrolled at Spokane Community College including: four high-
back stools designed to accommodate students with physical disabilities
(including back injuries), six portable spell checkers for the learning
disabled, and one computer workstation specially designed for the
disabled ($9,119);
(3) Purchase equipment to assist vocational education students with
disabilities at Shoreline Community College, including: five micro tape
recorders, one computer station that utilizes speech recognition for
text input, one Dragon Dictate that also uses speech recognition input,
and one Laserjet 4M+ printer to permit special population students to
print from laptop computers ($6,330);
(4) Purchase and enhance adaptive equipment for disabled students
enrolled in vocational education programs at Everett Community College,
including: four wrist rests, two ergonomic keyboards, two FM Comtrex
systems, four 4-track recorders, two 2MG memory computer boards, one
4MG memory computer board, and four ergonomic chairs ($6,715);
(5) Purchase a laptop computer and related software for hearing-
impaired vocational education students at Green River Community College
($3,291);
(6) Purchase adaptive equipment for disabled students enrolled in
vocational education at Wenatchee Valley Community College, including:
one Vista VGA system to provide computer magnification capability for
the visually impaired, and one door to provide disabled access into the
Student Services facility ($7,712).
Washington also plans to utilize the requested FY 1990 grantback
funds, totaling $37,500, to--
(1) Purchase one Hewlett Packard NetServer and related equipment to
provide an effective communication system between the State Board and
local community and technical colleges. Washington plans to establish
an accurate and consistent method of exchange for data related to
Perkins II, its rules and regulations, especially as it relates to
disadvantaged and disabled populations. The information would be
available for special population coordinators, counselors, teachers and
local administrators. The system would share information about ``best
practices'', providing examples of exemplary utilization of Perkins
funds for disabled and disadvantaged students. It would also provide E-
mail access between the State and the local college community,
permitting a question and answer dialog to be established ($10,000);
(2) Purchase hardware and software needed to support the user
network and to provide applicable data. The system information would
serve as a clearinghouse resource for disadvantaged and disabled
populations, providing data related to career guidance and counseling,
job placement, and employment assistance. The system would also be
utilized to contact and aid employers interested in hiring disabled or
disadvantaged vocational education students. It would provide
assistance and information about job restructuring and adaptive
modifications needed to accommodate the employment of special needs
students ($7,500);
(3) Retain the services, by contract, of a computer project
technician, who would develop and implement the communication system
($18,000); and
(4) Conduct a pilot testing and dissemination program of the
completed computer network system ($2,000).
Washington plans to use the FY 1989 grantback funds to enhance
access to vocational education programs for disabled and disadvantaged
students. As is indicated in Washington's grantback plan, the
additional equipment Washington plans to purchase will serve to advance
the quality of programs delivered by, and coordinated through, the
postsecondary State system, resulting in Statewide benefit to
vocational education, and maximizing the impact of the grantback funds.
Washington plans to use the FY 1990 grantback funds to enable an
accurate and efficient exchange of information about vocational
education, especially as it relates to disadvantaged and disabled
populations, to local administrators, teachers, and students within the
community and technical college system. It will further allow
disadvantaged and disabled vocational students to access quickly and
easily a broad range of information relevant to their particular needs.
D. The Secretary's Determination
The Secretary has carefully reviewed the plan submitted by
Washington and other relevant documentation. Based upon that review,
the Secretary has determined that the conditions under section 459 of
GEPA have been met.
These determinations are 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 Washington
State Division of Vocational Education under a grantback arrangement.
The grantback award would be in the amount of $74,625, which is 75
percent--the maximum percentage authorized by the statue--of the
principal recovered to date by the Department as a result of the final
audit determinations and the settlements in this matter.
F. Terms and Conditions Under Which Payments Under a Grantback
Arrangement Would Be Made
Washington agrees to comply with the following terms and conditions
under which payment under a grantback arrangement would be made:
(1) Washington 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, 1995 for ACN: 10-03372G and September 30,
1998 for ACN: 10-13343G, in accordance with section 459(c) of GEPA and
Washington's plan.
(3) Washington will, no later than January 1, 1996, submit a report
to the Secretary which--
(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 documenting the
[[Page 45710]]
expenditures of funds awarded under the grantback arrangement.
(Catalog of Federal Domestic Assistance Number 84.048, Basic State
Grants for Vocational Education).
Dated: August 24, 1995.
Patricia W. McNeil,
Acting Assistant Secretary for Vocational and Adult Education.
[FR Doc. 95-21920 Filed 8-31-95; 8:45 am]
BILLING CODE 4000-01-P
