Sec.  1800.312  Federally owned and exempt property.

    Under the authority of the Childs Act, 31 U.S.C. 6301 to 6308, NASA
has determined to vest title to property acquired with Federal funds in
the recipient without further obligation to NASA, including reporting
requirements.

(Authority: 14 CFR 1260.133(b))

Sec.  1800.315  Intangible property.

    Due to the substantial involvement on the part of NASA under a
cooperative agreement, intellectual property may be produced by Federal
employees and NASA contractors tasked to perform NASA assigned
activities. Title to intellectual property created under the
cooperative agreement by NASA or its contractors will initially vest
with the creating party. Certain rights may be exchanged with the
recipient.

(Authority: 14 CFR 1260.136(f))

Remedies for Noncompliance

Sec.  1800.339  Termination.

    NASA reserves the ability to terminate a Federal award in
accordance with 2 CFR 1800.921, Incremental Funding.

(Authority: 14 CFR 1260.52)

Sec.  1800.400  Policy guide.

    Payment of fee or profit is consistent with an activity whose
principal purpose is the acquisition of goods and services for the
direct benefit or use of the United States Government, rather than an
activity whose principal purpose is assistance. Therefore, the grants
officer shall use a procurement contract, rather than assistance
instrument, in all cases where fee or profit is to be paid to the
recipient of the instrument or the instrument is to be used to carry
out a program where fee or profit is necessary to achieving program
objectives. Grants and cooperative agreements shall not provide for the
payment of fee or profit to the recipient.

(Authority: 14 CFR 1260.4(b)(2); 1260.10(b)(1)(iv); 1260.14(e))

Appendix A to Part 1800--Certifications, Assurances, and
Representations

    A.1 Certifications, assurances, and representations.
    A.2 Certification of Compliance on Proposal Cover Page.
    A.3 Assurance of Compliance with the National Aeronautics and
Space Administration Regulations Pursuant to Nondiscrimination in
Federally Assisted Programs.
    A.4 Certification Regarding Lobbying.
    A.5 Certification Regarding Debarment, Suspension, and Other
Matters of Responsibility.
    A.6 Certifications to Implement Restrictions in Appropriations
Acts.
    A.1 Certifications, assurances, and representations.
    Unless prohibited by statute or codified regulation, NASA will
allow recipients to submit certain certifications and
representations required by statute, executive order, or regulation
on an annual basis, if the recipients have ongoing and continuing
relationships with the agency. Annual certifications and
representations shall be signed by responsible officials with the
authority to ensure recipients' compliance with the pertinent
requirements. Recipients determine how annual representations affect
their responsibility to obtain required certifications from pass-
through entities.
    A.2 Certification of Compliance on Proposal Cover Page.
    (This certification is required for all awards.)

CERTIFICATION OF COMPLIANCE WITH APPLICABLE EXECUTIVE ORDERS AND U.S.
CODE (MON/YEAR)

    By submitting the proposal identified in the Cover Sheet/
Proposal Summary in response to this Research Announcement, the
Authorizing Official of the proposing organization (or the
individual Proposer if there is no proposing organization) as
identified below:
    (a) Certifies that the statements made in this proposal are true
and complete to the best of his/her knowledge;
    (b) agrees to accept the obligation to comply with NASA award
terms and conditions if an award is made as a result of this
proposal; and
    (c) confirms compliance with all applicable terms and
conditions, rules, and stipulations set forth in the Certifications,
Assurances, and Representations contained in this NRA or CAN.
Willful terms and conditions of false information in this proposal
and/or its supporting documents, or in reports required under an
ensuing award, is a criminal offense (U.S. Code, Title 18, Section
1001).
    A.3 Assurance of Compliance with the National Aeronautics and
Space Administration Regulations Pursuant to Nondiscrimination in
Federally Assisted Programs.
    (This certification is required for all awards.)

ASSURANCE OF COMPLIANCE WITH THE NATIONAL AERONAUTICS AND SPACE
ADMINISTRATION REGULATIONS PURSUANT TO NONDISCRIMINATION IN FEDERALLY
ASSISTED PROGRAMS (MON/YEAR)

    ``The Organization, corporation, firm, or other organization on
whose behalf this assurance is made, hereinafter called
``Applicant:''
    ``HEREBY acknowledges and agrees that it must comply (and
require any subgrantees, contractors, successors, transferees, and
assignees to comply) with applicable provisions of National laws and
policies prohibiting discrimination, including but not limited to:
    1. Title VI of the Civil Rights Act of 1964, as amended, which
prohibits recipients of Federal financial assistance from
discriminating on the basis of race, color, or national origin (42
U.S.C. 2000d et seq.), as implemented by NASA Title VI regulations,
14 CFR part 1250. As clarified by Executive Order 13166, Improving
Access to Services for Persons with Limited English Proficiency, and
resulting agency guidance, national origin discrimination includes
discrimination on the basis of limited English proficiency (LEP). To
ensure compliance with Title VI, the Applicant must take reasonable
steps to ensure that LEP persons have meaningful access to its
programs in accordance with NASA Title VI LEP Guidance to Grant
Recipients (68 FR 70039). Meaningful access may entail providing
language assistance services, including oral and written
translation, where necessary. The Applicant is encouraged to
consider the need for language services for LEP persons served or
encountered both in developing budgets and in conducting programs
and activities. Assistance and information regarding LEP obligations
may be found at http://www.lep.gov.
    2. Title IX of the Education Amendments of 1972, as amended,
which prohibits discrimination on the basis of sex in education
programs or activities (20 U.S.C. 1681 et seq.) as implemented by
NASA Title IX regulations, 14 CFR part 1253. If the Applicant is an
educational institution:
    a. The Applicant is required to designate at least one employee
to serve as its Title IX coordinator (14 CFR 1253.135(a)).
    b. The Applicant is required to notify all of its program
beneficiaries of the name, office, address, and telephone number of
the employee(s) designated to serve as the Title IX coordinators (14
CFR 1253.135(a)).
    c. The Applicant is required to publish internal grievance
procedures to promptly and equitably resolve complaints alleging
illegal discrimination in its programs or activities (14 CFR
1253.135(b).
    d. The Applicant is required to take specific steps to regularly
and consistently notify program beneficiaries that The Applicant
does not discriminate in the operation of its programs and
activities (14 CFR 1253.140).
    3. Section 504 of the Rehabilitation Act of 1973, as amended,
which prohibits The Applicant from discriminating on the basis of
disability (29 U.S.C. 794) as implemented by NASA Section 504
regulations, 14 CFR part 1251.
    a. The Applicant is required to designate at least one employee
to serve as its Section 504 coordinator (14 CFR 1251.106(a)).
    b. The Applicant is required to notify all its program
beneficiaries of the name, office, address, and telephone number of
the employee(s) designated to serve as the Section 504 coordinator
(14 CFR 1251.106(a)).
    c. The Applicant is required to publish internal grievance
procedures to promptly and equitably resolve complaints alleging
illegal discrimination in its programs or activities (14 CFR
1251.106(b)).
    d. The Applicant is required to take specific steps to regularly
and consistently

notify program beneficiaries that the Applicant does not
discriminate in the operation of its programs and activities (14 CFR
1251.107).
    4. The Age Discrimination Act of 1975, as amended, which
prohibits the Applicant from discriminating on the basis of age (42
U.S.C. 6101 et seq.) as implemented by NASA Age Discrimination Act
regulations, 14 CFR part 1252.
    The Applicant also acknowledges and agrees that it must
cooperate with any compliance review or complaint investigation
conducted by NASA and comply (and require any subgrantees,
contractors, successors, transferees, and assignees to comply) with
applicable terms and conditions governing NASA access to records,
accounts, documents, information, facilities, and staff. The
Applicant must keep such records and submit to the responsible NASA
official or designee timely, complete, and accurate compliance
reports at such times, and in such form and containing such
information, as the responsible NASA official or his designee may
determine to be necessary to ascertain whether the Applicant has
complied or is complying with relevant obligations and must
immediately take any measure determined necessary to effectuate this
agreement. The Applicant must comply with all other reporting, data
collection, and evaluation requirements, as prescribed by law or
detailed in program guidance.
    The United States shall have the right to seek judicial
enforcement of these obligations. This assurance is binding on the
Applicant, its successors, transferees, and assignees, and the
person or persons whose signatures appear below are authorized to
sign on behalf of the Applicant.''
    Under penalty of perjury, the undersigned officials certify that
they have read and understand their obligations as herein described,
that the information submitted in conjunction with this document is
accurate and complete, and that the recipient is in compliance with
the nondiscrimination requirements set out above.

[End of Assurance]

    A.4 Certification Regarding Lobbying.
    (This certification is required for all awards.)

CERTIFICATION REGARDING LOBBYING (MON/YEAR)

    No Federal appropriated funds have been paid or will be paid, by
or on behalf of the undersigned, to any person for influencing or
attempting to influence an officer or employee of any agency, a
Member of Congress, an officer or employee of Congress, or an
employee of a Member of Congress in connection with the awarding of
any Federal contract, the making of any Federal grant, the making of
any Federal loan, the entering into of any cooperative agreement,
and the extension, continuation, renewal, amendment, or modification
of any Federal contract, grant, loan, or cooperative agreement.
    If any funds other than Federal appropriated funds have been
paid or will be paid to any person for influencing or attempting to
influence an officer or employee of any agency, a Member of
Congress, an officer or employee of Congress, or an employee of a
Member of Congress in connection with this Federal contract, grant,
loan, or cooperative agreement, the undersigned shall complete and
submit Standard Form-LLL, ``Disclosure Form to Report Lobbying,'' in
accordance with its instructions.
    The undersigned shall require that the language of this
certification be included in the award documents for all subawards
at all tiers (including subcontracts, subgrants, and contracts under
grants, loans, and cooperative agreements) and that all
subrecipients shall certify and disclose accordingly.
    This certification is a material representation of fact upon
which reliance was placed when this transaction was made or entered
into. Submission of this certification is a prerequisite for making
or entering into this transaction imposed by section 1352, title 31,
U.S. Code. Any person who fails to file the required certification
shall be subject to a civil penalty of not less than $10,000, and
not more than $100,000 for each such failure.

[End of Certification]

    A.5 Certification Regarding Debarment, Suspension, and Other
Matters of Responsibility.
    (This certification is required for all awards.)

CERTIFICATION REGARDING DEBARMENT, SUSPENSION, AND OTHER MATTERS OF
RESPONSIBILITY (MON/YEAR)

    Pursuant to Executive Order 12549, Debarment and Suspension, and
implemented at 2 CFR parts 180 and 1880:
    (1) The prospective primary participant certifies to the best of
its knowledge and belief, that it and its principals:
    (a) Are not presently debarred, suspended, proposed for
debarment, declared ineligible, or voluntarily excluded from covered
transactions by any Federal department or agency;
    (b) Have not within a three-year period preceding this proposal
been convicted of or had a civil judgment rendered against them for
commission of fraud or a criminal offense in connection with
obtaining, attempting to obtain, or performing a public (Federal,
State, or local) transaction or contract under a public transaction;
violation of Federal or State antitrust statues or commission of
embezzlement theft, forgery, bribery, falsification or destruction
of records, making false statements, or receiving stolen property;
    (c) Are not presently indicted for or otherwise criminally or
civilly charged by a governmental entity (Federal, State or local)
with commission of any of the offenses enumerated in paragraph
(1)(b) of this certification; and
    (d) Have not within a three-year period preceding this
application/proposal had one or more public transactions (Federal,
State, or local) terminated for cause or default.
    (2) Where the prospective primary participant is unable to
certify to any of the statements in this certification, such
prospective participant shall attach an explanation to this
proposal.

[End of Certification]

    A.6 Certifications to Implement Restrictions in Appropriations
Acts. The text of these certifications is found at http://www.hq.nasa.gov/office/procurement/grants/index.html.

Appendix B to Part 1800--Terms and Conditions

1800.900 Terms and Conditions.
1800.901 Compliance with OMB Guidance on Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal
awards.
1800.902 Technical publications and reports.
1800.903 Extensions.
1800.904 Termination and enforcement.
1800.905 Change in principal investigator or scope.
1800.906 Financial management.
1800.907 Equipment and other property.
1800.908 Patent rights.
1800.909 Rights in data.
1800.910 National security.
1800.911 Nondiscrimination.
1800.912 Clean air and water.
1800.913 Investigative requirements.
1800.914 Travel and transportation.
1800.915 Safety.
1800.916 Buy American encouragement.
1800.917 Investigation of research misconduct.
1800.918 Allocation of risk/liability.
1800.919 Cooperative agreement special condition.
1800.920 Multiple year grant.
1800.921 Incremental funding.
1800.922 Cost sharing.
1800.923 New technology.
1800.924 Designation of new technology representative and patent
representative.
1800.925 Invention reporting and rights.
1800.926 Equipment and other property under grants with commercial
firms.
1800.927 Listing of reportable equipment and other property.
1800.928 Invoices and payments under grants with commercial firms.
1800.929 Electronic funds transfer payment methods.

1800.900 Terms and Conditions

    (a) Unless otherwise noted in the prescriptive language grants
with Non-Federal entities shall incorporate by reference the terms
and conditions set forth in sections 1800.901 through 1800.920 of
this appendix. Certain of these terms and conditions are prescribed
on a ``substantially as'' basis. For example, the grant officer
shall substitute Sec.  1800.902, Technical Publications and Reports,
with reporting requirements specified by the program office.
    (b) Additional special terms and conditions may be included to
the extent they are required and are not inconsistent with the other
terms and conditions in this Appendix B. A deviation in accordance
with 2 CFR 1800.6 is required before an inconsistent new term and
condition can be included in a grants.
    (c) Whenever the word ``grant'' appears in this Appendix, it
shall be deemed to include, as appropriate, the term ``cooperative
agreement.''

    (d) Terms and conditions for research grants awarded to foreign
organizations, when approved by Headquarters, will be provided in
full text. Referenced handbooks, statutes, or other regulations,
which the recipient may not have access to, must be made available
when requested by the foreign organization.
    (e) Grants awarded by NASA to commercial organizations where
cost sharing is not required shall incorporate the terms and
conditions set forth in this appendix.

(Authority: 14 CFR 1260.20)

1800.901 Compliance With OMB Guidance on Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal
Awards
    (This Term and Condition implements 2 CFR part 200, Uniform
Administrative Requirements, Cost Principles, and Audit Requirements
for Federal awards herein referred to as the ``OMB Uniform Guidance.''
This term and condition shall be included in all grants with Recipients
that are other than commercial firms. Alternate I to this term and
condition shall be included in grants with commercial firms.)
COMPLIANCE WITH OMB GUIDANCE (MON/YEAR)
    This grant is subject to the requirements set forth in 2 CFR part
200, Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal awards as adopted by NASA in Part 1800 of
Title 2 of the Code of Federal Regulations. Specific terms and
conditions set forth in this award document are provided to supplement
and clarify, not replace, the OMB Uniform Guidance, except in
circumstances where a waiver from OMB Uniform Guidance requirements has
been obtained by NASA.

(End of Term and Condition)
COMPLIANCE WITH OMB GUIDANCE
Alternate I
(MON/YEAR)
    (a) With the exception of Subpart E and F, this grant is subject to
the requirements set forth in OMB Guidance on Uniform Administrative
Requirements, Cost Principles, and Audit Requirements for Federal
awards at 2 CFR Chapter 1, and Chapter II Part 200 as adopted by NASA
in Part 1800 of Title 2 of the Code of Federal Regulations. Specific
terms and conditions set forth in this award document are provided to
supplement and clarify, not replace, the Guidance, except in
circumstances where a waiver from the Guidance requirements has been
obtained by NASA.
    (b) In lieu of Subparts E and F of 2 CFR part 200, the expenditure
of Government funds by the Recipient and the allowability of costs
recognized as a resource contribution by the Recipient shall be
governed by the FAR cost principles implemented by FAR Parts 30, 31,
and 48 CFR part 99. (If the Recipient is a consortium which includes
non-commercial firm members, cost allowability for those members will
be determined by the OMB Guidance at Subpart E and F of 2 CFR 200.)

(Authority: 14 CFR 1260.21)

(End of Term and Condition)
1800.902 Technical Publications and Reports
    (This Term and Condition implements paragraph (d) of Sec.  200.210
and shall be included on a ``substantially as'' basis in all grants.
The requirements set forth under this Term and Condition may be
modified by the grant officer based on specific report needs for the
grant.)
TECHNICAL PUBLICATIONS AND REPORTS (MON/YEAR)
    (a) NASA encourages the widest practicable dissemination of
research results at any time during the course of the investigation.
    (1) All information disseminated as a result of the grant shall
contain a statement which acknowledges NASA's support and identifies
the grant by number (e.g., ``the material is based upon work supported
by NASA under award No(s) GRNASM99G000001, etc.'').
    (2) Except for articles or papers published in scientific,
technical, or professional journals, the exposition of results from
NASA supported research should also include the following disclaimer:
``Any opinions, findings, and conclusions or recommendations expressed
in this material are those of the author(s) and do not necessarily
reflect the views of the National Aeronautics and Space
Administration.''
    (3) As a courtesy, any release of a NASA photograph or illustration
should list NASA first on the credit line followed by the name of the
Principal Investigator's Institution. An example follows: ``Photograph
 courtesy of NASA  and the .''
    (b) Reports shall be in the English language, informal in nature,
and ordinarily not exceed three pages (not counting bibliographies,
abstracts, and lists of other media). The recipient shall submit the
following reports:
    (1) A Progress Report for all but the final year of the grant. Each
report is due 60 days before the anniversary date of the grant and
shall briefly describe what was accomplished during the reporting
period. A term or condition specifying more frequent reporting may be
required.
    (2) A Summary of Research or Educational Activity Report is due
within 90 days after the expiration date of the grant, regardless of
whether or not support is continued under another grant. This report
shall be a comprehensive summary of significant accomplishments during
the duration of the grant.
    (c) Progress Reports, Summaries of Research, and Educational
Activity Reports shall include the following on the first page:
    (1) Title of the grant.
    (2) Type of report.
    (3) Name of the principal investigator.
    (4) Period covered by the report.
    (5) Name and address of the recipient's institution.
    (6) Grant number.
    (d) Progress Reports, Summaries of Research, and Educational
Activity Reports shall be distributed as follows:
    (1) The original report, in both hard copy and electronic format,
to the Technical Officer.
    (2) One copy to the NASA Grant Officer, with a notice to the
Administrative Grant Officer, (when administration of the grant has
been delegated to ONR), that a report was sent.

(Authority: 14 CFR 1260.23)

(End of Term and Condition)
1800.903 Extensions
    (This Term and Condition shall be included in all grants. This Term
and Condition does not have to be included in grants with commercial
firms, and if included it may be used on a substantially as basis.)
EXTENSIONS (MON/YEAR)
    (a) It is NASA policy to provide maximum possible continuity in
funding grant-supported research and educational activities, therefore,
grants may be extended for additional periods of time when necessary to
complete work that was part of the original award. NASA generally only
approves such extensions within funds already made available. Any
extension that would require additional funding must be supported by a
proposal submitted at least three months in advance of the expiration
date of the grant.

    (b) Recipients may extend the expiration date of a grant if
additional time beyond the established expiration date is required to
assure adequate completion of the original scope of work within the
funds already made available. For this purpose, the recipient may make
a one-time no-cost extension, not to exceed 12 months, prior to the
established expiration date. Written notification of such an extension,
with the supporting reasons, must be received by the NASA Grant Officer
at least ten days prior to the expiration of the award. A copy of the
extension must also be forwarded to cognizant Office of Naval Research
(ONR) office. NASA reserves the right to disapprove the extension if
the requirements set forth at Sec.  200.308(d)(2) are not met.
    (c) Requests for approval for all other no-cost extensions must be
submitted in writing to the NASA Grant Officer. Copies are to be
forwarded to the cognizant ONR office.

(Authority: 14 CFR 1260.23)

(End of Term and Condition)
1800.904 Termination and Enforcement
    (This Term and Condition implements Sec.  200.338 through Sec.
200.342 and shall be included in all grants.)
TERMINATION AND ENFORCEMENT (MON/YEAR)
    Termination and enforcement conditions of this award are specified
in Sec. Sec.  200.338 through 200.342.

(Authority: 14 CFR 1260.24)

(End of Term and Condition)
1800.905 Change in Principal Investigator or Scope
    (This Term and Condition shall be used in all grants. The section
regarding changes in scope may be used if the Recipient is a commercial
firm.)
CHANGE IN PRINCIPAL INVESTIGATOR OR SCOPE (MON/YEAR)
    (a) The Recipient shall obtain the approval of the NASA Grant
Officer for a change of the Principal Investigator, or for a
significant absence of the Principal Investigator from the project,
defined as a three month absence from the program or a 25 percent
reduction in time devoted to the project. Significantly reduced
availability of the services of the Principal Investigator(s) named in
the grant instrument could be grounds for termination, unless
alternative arrangements are made and approved in writing by the Grant
Officer.
    (b) Prior written approval is required from NASA if there is to be
a significant change in the objective or scope.

(Authority: 14 CFR 1260.25)

End of Term and Condition)
1800.906 Financial Management
    (This Term and Condition implements Sec.  200.302 and shall be
included in all grants except when the recipient is a commercial firm.)
FINANCIAL MANAGEMENT (MON/YEAR)
    (a) Advance payments will be made by the Financial Management
Office of the NASA Center assigned financial cognizance of the grant,
using the Department of Health and Human Services' Payment Management
System (DHHS/PMS), in accordance with procedures provided to the
Recipient. The Recipient shall submit a Federal Cash Transactions
Report (SF 425), and, when applicable, a Continuation Sheet (SF 425)
electronically to DHHS/PMS within 30 working days following the end of
each Federal Fiscal quarter (i.e., December 31, March 31, June 30, and
September 30).
    (b) In addition, the Recipient shall submit a final SF 425 in
electronic or paper form to NASA within 90 calendar days after the
expiration date of the grant. The final SF 425 shall pertain only to
the completed grant and shall include total disbursements from
inception through completion. The report shall be marked ``Final.'' The
final SF 425 shall be submitted to NASA per Exhibit G, Required
Publications and Reports.
    (c) By signing any report delivered under the grant, the
authorizing official for the Recipient certifies to the best of his or
her knowledge and belief that the report is true, complete, and
accurate, and the expenditures, disbursements and cash receipts are for
the purposes and intent set forth in the award documents. The
authorizing official by signing the report also certified he or she is
aware that any false, fictitious, or fraudulent information, or the
omission of any material fact, may subject me to criminal, civil or
administrative penalties for fraud, false statements, false claims or
otherwise. (U.S. Code, Title 18, Section 1001 and Title 31 Section
3729-3733 and 3801-3812.)
    (d) Unless otherwise directed by the Grant Officer, any unexpended
balance of funds which remains at the end of any funding period, except
the final funding period of the grant, shall be carried over to the
next funding period, and may be used to defray costs of any funding
period of the grant. This includes allowing the carryover of funds to
the second and subsequent years of a multiple year grant. This Term and
Condition also applies to subcontractors performing substantive work
under the grant. For grant renewals, the estimated amount of unexpended
funds shall be identified in the grant budget section of the
Recipient's renewal proposal. NASA reserves the right to remove
unexpended balances from grants when insufficient efforts have been
made by the grantee to liquidate funding balances in a timely fashion.

(Authority: 14 CFR 1260.26, 2 CFR 200.415)

(End of Term and Condition)
1800.907 Equipment and Other Property
    (This Term and Condition shall be included in all grants except
when recipient is a commercial firm.)
EQUIPMENT AND OTHER PROPERTY (MON/YEAR)
    (a) NASA permits acquisition of special purpose and general purpose
equipment specifically required for use exclusively for research
activities.
    (1) Acquisition of special purpose or general purpose equipment
costing in excess of $5,000 (unless a lower threshold has been
established by the Recipient) and not included in the approved proposal
budget, requires the prior approval of the NASA Grant Officer. Grant
awards under the Federal Demonstration Partnership are exempt from this
requirement. Requests to the NASA Grant Officer for the acquisition of
equipment shall be supported by written documentation setting forth the
description, purpose, and acquisition value of the equipment, and
including a written certification that the equipment will be used
exclusively for research, activities. (A change in the model number of
a prior approved piece of equipment does not require resubmission for
that item.)
    (2) Special purpose and general purpose equipment costing in excess
of $5,000 (unless a lower threshold has been established by the
Recipient) acquired by the recipient under a grant for the purpose of
research shall be titled to the Recipient as ``exempt'' without further
obligation to NASA, including reporting of the equipment, in accordance
with Sec.  200.312(c). Special purpose or general purpose equipment
costing in excess of $5,000 (unless a lower threshold has been
established by the Recipient) acquired by the Recipient under a grant
for non-research work shall be titled to the Recipient in accordance
with Sec.  200.313.

    (3) Special purpose or general purpose equipment acquired by the
Recipient with grant funds, valued under $5,000 (unless a lower
threshold is established by the Recipient) are classified as
``supplies,'' do not require the prior approval of the NASA Grant
Officer, shall vest in the Recipient and will be titled to the
Recipient in accordance with Sec.  200.314.
    (4) Grant funds may be expended for the acquisition of land or
interests therein or for the acquisition and construction of facilities
only under a facilities grant.
    (b) The Recipient shall submit an annual Inventory Report, to be
received no later than October 15 of each year, which lists all
reportable (non-exempt equipment and/or Federally owned property) in
its custody as of September 30. Negative responses for annual Inventory
Reports (when there is no reportable equipment) are not required. A
Final Inventory Report of Federally Owned Property, including equipment
where title was taken by the Government, will be submitted by the
Recipient no later than 60 days after the expiration date of the grant.
Negative responses for Final Inventory Reports are required.
    (1) All reports will include the information listed in paragraph
(d)(1) of Sec.  200.313, Equipment. No specific report form or format
is required, provided that all necessary information is provided.
    (2) The original of each report shall be submitted to the Deputy
Chief Financial Officer (Finance). Copies shall be furnished to the
Center Industrial Property Officer and to ONR.

(Authority: 14 CFR 1260.27)

(End of Term and Condition)
1800.908 Patent Rights
    (This Term and Condition shall be included in all grants except
grants with large businesses.)
PATENT RIGHTS (MON/YEAR)
    As stated at Sec.  200.315, this award is subject to the provisions
of 37 CFR 401.3(a) which requires use of the standard clause set out at
37 CFR 401.14 ``Patent Rights (Small Business Firms and Nonprofit
Organizations)'' and the following:
    (a) Where the term ``contract'' or ``Contractor'' is used in the
``Patent Rights'' clause, the term shall be replaced by the term
``grant'' or ``Recipient,'' respectively.
    (b) In each instance where the term ``Federal Agency,'' ``agency,''
or ``funding Federal agency'' is used in the ``Patent Rights'' clause,
the term shall be replaced by the term ``NASA.''
    (c) The following item is added to the end of paragraph (f) of the
``Patent Rights'' clause: ``(5) The Recipient shall include a list of
any Subject Inventions required to be disclosed during the preceding
year in the performance report, technical report, or renewal proposal.
A complete list (or a negative statement) for the entire award period
shall be included in the summary of research.''
    (d) The term ``subcontract'' in paragraph (g) of the ``Patent
Rights'' clause shall include purchase orders.
    (e) The NASA implementing regulation for paragraph (g)(2) of the
``Patent Rights'' clause is at 48 CFR 1827.304-3.
    (f) The following requirement constitutes paragraph (l) of the
``Patent Rights'' clause:
    ``(l) Communications. A copy of all submissions or requests
required by this clause, plus a copy of any reports, manuscripts,
publications or similar material bearing on patent matters, shall be
sent to the Center Patent Counsel and the NASA Grant Officer in
addition to any other submission requirements in the grant terms and
conditions. If any reports contain information describing a ``subject
invention'' for which the recipient has elected or may elect to retain
title, NASA will use reasonable efforts to delay public release by NASA
or publication by NASA in a NASA technical series until an application
filing date has been established, provided that the Recipient identify
the information and the ``subject invention'' to which it relates at
the time of submittal. If required by the NASA Grant Officer, the
Recipient shall provide the filing date, serial number and title, a
copy of the patent application, and a patent number and issue date for
any ``subject invention'' in any country in which the Recipient has
applied for patents.''
    (g) NASA Inventions. NASA will use reasonable efforts to report
inventions made by NASA employees as a consequence of, or which bear a
direct relation to, the performance of specified NASA activities under
this agreement and, upon timely request, will use reasonable efforts to
grant the Recipient an exclusive, or partially exclusive, revocable,
royalty-bearing license, subject to the retention of a royalty-free
right of the Government to practice or have practiced the invention by
or on behalf of the Government.
    (h) In the event NASA contractors are tasked to perform work in
support of specified activities under a cooperative agreement and
inventions are made by Contractor employees, the Contractor will
normally retain title to its employee inventions in accordance with 35
U.S.C. 202, 14 CFR part 1245, and Executive Order 12591. In the event
the Contractor decides not to pursue rights to title in any such
invention and NASA obtains title to such inventions, NASA will use
reasonable efforts to report such inventions and, upon timely request,
will use reasonable efforts to grant the Recipient an exclusive, or
partially exclusive, revocable, royalty-bearing license, subject to the
retention of a royalty-free right of the Government to practice or have
practiced the invention by or on behalf of the Government.

(Authority: 14 CFR 1260.28)

(End of Term and Condition)
1800.909 Rights in Data
    (The grant officer may revise the language under this Term and
Condition to modify each party's rights based on the particular
circumstances of the program and/or the recipient's need to protect
specific proprietary information. Any modification to the standard
language set forth under the Term and Condition requires the
concurrence of the Center's Patent Counsel and that the Term and
Condition be printed in full text.)
RIGHTS IN DATA (MON/YEAR)
    (a) Fully funded efforts.
    (1) ``Data'' means recorded information, regardless of form, the
media on which it may be recorded, or the method of recording, created
under the grant. The term includes, but is not limited to, data of a
scientific or technical nature, and any copyrightable work, including
computer software and documentation thereof, in which the recipient
asserts copyright, or for which copyright ownership was purchased,
under the grant.
    (2) The Recipient grants to the Federal Government, a royalty-free,
nonexclusive and irrevocable license to use, reproduce, distribute
(including distribution by transmission) to the public, perform
publicly, prepare derivative works, and display publicly, data in whole
or in part and in any manner for Federal purposes and to have or permit
others to do so for Federal purposes only.
    (3) In order that the Federal Government may exercise its license
rights in data, the Federal Government, upon request to the Recipient,
shall have the right to review and/or obtain delivery of data resulting
from the performance of work under this grant, and authorize others to
receive data to use for Federal purposes.
    (b) Cost Sharing and/or Matching Efforts. When the Recipient cost
shares

with the Government on the effort, the following paragraph applies:
    ``(1) In the event data first produced by Recipient in carrying out
Recipient's responsibilities under an agreement is furnished to NASA,
and Recipient considers such data to embody trade secrets or to
comprise commercial or financial information which is privileged or
confidential, and such data is so identified with a suitable notice or
legend, the data will be maintained in confidence and disclosed and
used by the Government and its Contractors (under suitable protective
conditions) only for experimental, evaluation, research and development
purposes, by or on behalf of the Government for an agreed to period of
time, and thereafter for Federal purposes as defined in Sec.
1800.909(a)(2).''
    (c) For Cooperative Agreements the following paragraph applies:
    ``(1) As to data first produced by NASA in carrying out NASA's
responsibilities under a cooperative agreement and which data would
embody trade secrets or would comprise commercial or financial
information that is privileged or confidential if it has been obtained
from the Recipient, such data will be marked with an appropriate legend
and maintained in confidence for 5 years (unless a shorter period has
been agreed to between the Government and Recipient) after development
of the information, with the express understanding that during the
aforesaid period such data may be disclosed and used (under suitable
protective conditions) by or on behalf of the Government for Government
purposes only, and thereafter for any purpose whatsoever without
restriction on disclosure and use. Recipient agrees not to disclose
such data to any third party without NASA's written approval until the
aforementioned restricted period expires.''

(Authority: 14 CFR 1260.30)

(End of Term and Condition)
1800.910 National Security
    (This Term and Condition implements Executive Order 12829 and shall
be included in all grants.)
NATIONAL SECURITY (MON/YEAR)
    NASA grants do not involve classified information. However, if it
is known in advance that a grant involves classified information or if
the work on the grant is likely to develop classified information,
individuals performing on the grant who will have access to the
information must obtain the appropriate security clearance in advance
of performing on the grant, in accordance with NASA Procedural
Requirements (NPR) 1600.1, NASA Classified National Security
Information (CNSI) w/Change 2. When access to classified information is
not originally anticipated in the performance of a grant, but such
information is subsequently sought or potentially developed by the
grant Recipient, the NASA Grant Officer who issued the grant shall be
notified immediately, and prior to work under the grant proceeding, to
implement the appropriate clearance requirements.

(Authority: 14 CFR 1260.31)

(End of Term and Condition)
1800.911 Nondiscrimination
    (This Term and Condition implements Executive Order 11246 and shall
be included in all grants or awards with foreign recipients.)
NONDISCRIMINATION (MON/YEAR)
    (a) To the extent provided by law and any applicable agency
regulations, this award and any program assisted thereby are subject to
the provisions of Title VI of the Civil Rights Act of 1964 (Pub. L. 88-
352), Title IX of the Education amendments of 1972 (Pub. L. 92-318, 20
U.S.C. 1681 et seq.), section 504 of the Rehabilitation Act of 1973 (29
U.S.C. 794), the Age Discrimination Act of 1975 (Pub. L. 94-135), the
implementing regulations issued pursuant thereto by NASA, and the
assurance of compliance which the recipient has filed with NASA.
    (b) The Recipient shall obtain from each organization that applies
or serves as a subrecipient, Contractor or subcontractor under this
award (for other than the Term and Condition of commercially available
supplies, materials, equipment, or general support services) an
assurance of compliance as required by NASA regulations.
    (c) Work on NASA grants is subject to the provisions of Title VI of
the Civil Rights Act of 1964 (Pub. L. 88-352; 42 U.S.C. 2000d-1), Title
IX of the Education Amendments of 1972 (20 U.S.C. 1680 et seq.),
section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C.
794), the Age Discrimination Act of 1975 (42 U.S.C. 6101 et seq.), and
the NASA implementing regulations (14 CFR parts 1250, 1251, 1252, and
1253).

(Authority: 14 CFR 1260.32)

(End of Term and Condition)
1800.912 Clean Air and Water
    (This Term and Condition implements the Clean Air Act at 42 U.S.C.
7401 et seq. It is applicable only if the award exceeds $150,000, or a
facility to be used has been the subject of a conviction under the
Clean Air Act (42 U.S.C. 1857c-8(c)(1) or the Federal Water Pollution
Control Act (33 U.S.C. 1319(c)), and is listed by EPA, or if the award
is not otherwise exempt.)
CLEAN AIR AND WATER (MON/YEAR)
    The Recipient agrees to the following:
    (a) Comply with applicable standards, orders or regulations issued
pursuant to the Clean Air Act, as amended (42 U.S.C. 7401 et seq.) and
of the Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.).
    (b) Ensure that no portion of the work under this award will be
performed in a facility listed on the Environmental Protection Agency
(EPA) List of Violating Facilities on the date that this award was
effective unless and until the EPA eliminates the name of such facility
or facilities from such listings.
    (c) Use its best efforts to comply with clean air standards and
clean water standards at the facility in which the award is being
performed.
    (d) Insert the substance of the terms and conditions of this clause
into any nonexempt subaward or contract under the award.
    (e) Report violations to NASA and to EPA.

(Authority: 14 CFR 1260.34)

(End of Term and Condition)
1800.913 Investigative Requirements
    (This Term and Condition implements Executive Order 12829 and shall
be included in all grants. The Term and Condition must be augmented to
conform to the requirements of OMB Guidance M-05-24 ``Implementation of
Homeland Security Presidential Directive (HSPD) 12--Policy for a Common
Identification Standard for Federal Employees and Contractors'' when a
Recipient will require routine access to a Federal-controlled facility
and/or information system.)
INVESTIGATIVE REQUIREMENTS (MON/YEAR)
    (a) NASA reserves the right to perform security checks and to deny
or restrict access to a NASA Center, facility, or computer system, or
to NASA technical information, as NASA deems appropriate. To the extent
the Recipient needs such access for performance of the work; the
Recipient shall ensure that individuals needing such access provide the
personal background and biographical information requested by NASA.
Individuals failing to provide the requested information may be denied
such access.
    (b) All requests to visit a NASA Center or facility must be
submitted in a timely manner in accordance with

instructions provided by that Center or facility.

(Authority: 14 CFR 1260.35)

(End of Term and Condition)
1800.914 Travel and Transportation
    (This Term and Condition implements The Fly American Act, 49 U.S.C.
1517 and the Department of Transportation regulations on Hazardous
materials. This Term and Condition shall be included in all grants.)
TRAVEL AND TRANSPORTATION (MON/YEAR)
    (a) The Fly American Act, 49 U.S.C. 1517, requires the Recipient to
use U.S. flag air carriers for international air transportation of
personnel and property to the extent that service by those carriers is
available.
    (b) Department of Transportation regulations, 49 CFR part 173,
govern Recipient shipment of hazardous materials and other items.

(Authority: 14 CFR 1260.36)

(End of Term and Condition)
1800.915 Safety
    (This Term and Condition implements NPR 8715.3C or its successor
requirements document and shall be in all grants.)
SAFETY (MON/YEAR)
    (a) The Recipient shall act responsibly in matters of safety and
shall take all reasonable safety measures in performing under this
grant. The Recipient shall comply with all applicable federal, state,
and local laws relating to safety. The Recipient shall maintain a
record of, and will notify the NASA Grant Officer immediately (within
one workday) of any accident involving death, disabling injury or
substantial loss of property in performing this grant. The Recipient
will immediately (within one workday) advise NASA of hazards that come
to its attention as a result of the work performed.
    (b) Where the work under this grant involves flight hardware, the
hazardous aspects, if any, of such hardware will be identified, in
writing, by the Recipient. Compliance with this Term and Condition by
subcontractors shall be the responsibility of the Recipient.

(Authority: 14 CFR 1260.37)

(End of Term and Condition)
1800.916 Buy American Encouragement
    (This Term and Condition implements section 319 of Public Law 106-
391, the NASA Authorization Act, and shall be included in all grants
except awards with foreign recipients.)
BUY AMERICAN ENCOURAGEMENT (MON/YEAR)
    As stated in Section 319 of Public Law 106-391, the NASA
Authorization Act of 2000, Recipients are encouraged to purchase only
American-made equipment and products.

(Authority: 14 CFR 1260.39)

(End of Term and Condition)
1800.917 Investigation of Research Misconduct
    (This implements Sec.  200.336 and shall be included in all
grants.)
INVESTIGATION OF RESEARCH MISCONDUCT (MON/YEAR)
    Recipients of this grant are subject to the requirements of 14 CFR
part 1275, ``Investigation of Research Misconduct.''

(Authority: 14 CFR 1260.40)

(End of Term and Condition)
1800.918 Allocation of Risk/Liability
    (This term and condition shall be included in all grants.)
ALLOCATION OF RISK/LIABILITY (MON/YEAR)
    (a) With respect to activities undertaken under this agreement, the
Recipient agrees not to make any claim against NASA or the U.S.
Government with respect to the injury or death of its employees or its
contractors and subcontractor employees, or to the loss of its property
or that of its Contractors and subcontractors, whether such injury,
death, damage or loss arises through negligence or otherwise, except in
the case of willful misconduct.
    (b) In addition, the Recipient agrees to indemnify and hold the
U.S. Government and its Contractors and subcontractors harmless from
any third party claim, judgment, or cost arising from the injury to or
death of any person, or for damage to or loss of any property, arising
as a result of its possession or use of any U.S. Government property.

(Authority: 14 CFR 1260.61)

(End of Term and Condition)
1800.919 Cooperative Agreement Special Condition
    (This special term and condition shall apply when NASA awards a
cooperative agreement.)
COOPERATIVE AGREEMENT SPECIAL CONDITION (MON/YEAR)
    (a) This award is a cooperative agreement as it is anticipated
there will be substantial NASA involvement during performance of the
effort. NASA and the Recipient mutually agree to the following
statement of anticipated cooperative interactions which may occur
during the performance of this effort:
    (Reference the approved proposal that contains a detailed
description of the work and insert a concise statement of the exact
nature of the cooperative interactions NASA will provide.)
    (b) The terms ``grant'' and ``Recipient'' mean ``cooperative
agreement'' and ``Recipient of cooperative agreement,'' respectively,
wherever the language appears in terms and conditions included in this
agreement.
    (c) NASA's ability to participate and perform its collaborative
effort under this cooperative agreement is subject to the availability
of appropriated funds and nothing in this cooperative agreement commits
the United States Congress to appropriate funds therefor.

(Authority: 14 CFR 1260.51)

(End of Term and Condition)
1800.920 Multiple Year Grant
    (This term and condition shall be included when a multiple year
grant is awarded. This term and conditions may be used on a
``substantially as'' basis.)
MULTIPLE YEAR GRANT OR (MON/YEAR)
    This is a multiple-year grant Contingent on the availability of
funds, scientific progress of the project, and continued relevance to
NASA programs, NASA anticipates continuing support at approximately the
following levels:
    Second year $_--, Anticipated funding date_--.
    Third year $_--, Anticipated funding date_--.
    (Periods may be added or omitted, as applicable)

(Authority: 14 CFR 1260.52)

(End of Term and Condition)
1800.921 Incremental Funding
    (This term and condition shall be included when incremental funding
is used. This may be used on a substantially as basis.)
INCREMENTAL FUNDING (MON/YEAR)
    (a) Only $_-- of the amount indicated on the face of this award is
available for payment and allotted to this award. NASA contemplates
making additional allotments of funds during performance of this
effort. It is anticipated that these funds will be obligated as
appropriated funds become available without any action required by

the Recipient. The Recipient will be given written notification by the
NASA Grant Officer.
    (b) The recipient agrees to perform work up to the point at which
the total amount paid or payable by the Government approximates but
does not exceed the total amount actually allotted to this grant. NASA
is not obligated to reimburse the Recipient for the expenditure of
amounts in excess of the total funds allotted by NASA to this grant.
The Recipient is not authorized to continue performance beyond the
amount allotted to this award.

(Authority: 14 CFR 1260.53)

(End of Term and Condition)
1800.922 Cost Sharing
    (This term and condition shall be included when a grant involves
cost sharing. This may be used on a substantially as basis.)
COST SHARING (MON/YEAR)
    (a) NASA and the Recipient will share in providing the resources
necessary to perform the agreement. NASA funding and non-cash
contributions (personnel, equipment, facilities, etc.) and the dollar
value of the Recipient's cash and/or non-cash contribution will be on a
_-- percent Recipient basis.
    (b) The funding and non-cash contributions by both parties are
represented by the following dollar amounts:

Government Share

___________________--

Recipient Share

___________________--

Total Amount

___________________--

    (c) Criteria and procedures for the allowability and allocability
of cash and non-cash contributions shall be governed by Sec.  200.306,
Cost Sharing or Matching. The applicable Federal cost principles are
cited in Subpart E.
    (d) The Recipient's share shall not be charged to the Government
under this agreement or under any other contract or grant.

(Authority: 14 CFR 1260.54)

(End of Term and Condition)
1800.923 New Technology
    (This Term and Condition shall be inserted in all grants with
commercial firms other than those with small businesses, in place of
the term and condition at Sec.  1800.908, Patent Rights.)
NEW TECHNOLOGY (MON/YEAR)
    (a) Definitions.
    Administrator, as used in this term and condition, means the
Administrator of the National Aeronautics and Space Administration
(NASA) or duly authorized representative.
    Grant, as used in this term and condition, means any actual or
proposed grant, cooperative agreement, understanding, or other
arrangement, and includes any assignment, substitution of parties, or
subcontract executed or entered into thereunder.
    Made, as used in this term and condition, means conception or first
actual reduction to practice; provided, that in the case of a variety
of plant, the date of determination (as defined in section 41(d) of the
Plant Variety Protection Act, 7 U.S.C. 2401(d)) must also occur during
the period of grant performance.
    Nonprofit organization, as used in this term and condition, means a
domestic university or other institution of higher education or an
organization of the type described in section 501(c)(3) of the Internal
Revenue Code of 1954 (26 U.S.C. 501(c)) and exempt from taxation under
section 501(a) of the Internal Revenue Code (26 U.S.C. 501(a)), or any
domestic nonprofit scientific or educational organization qualified
under a State nonprofit organization statute.
    Practical application, as used in this term and condition, means to
manufacture, in the case of a composition or product; to practice, in
the case of a process or method; or to operate, in case of a machine or
system; and, in each case, under such conditions as to establish that
the invention is being utilized and that its benefits are, to the
extent permitted by law or Government regulations, available to the
public on reasonable terms.
    Reportable item, as used in this term and condition, means any
invention, discovery, improvement, or innovation of the grantee,
whether or not patentable or otherwise protectable under Title 35 of
the United States Code, made in the performance of any work under any
NASA grant or in the performance of any work that is reimbursable under
any Term and Condition in any NASA grant providing for reimbursement of
costs incurred before the effective date of the grant. Reportable items
include, but are not limited to, new processes, machines, manufactures,
and compositions of matter, and improvements to, or new applications
of, existing processes, machines, manufactures, and compositions of
matter. Reportable items also include new computer programs, and
improvements to, or new applications of, existing computer programs,
whether or not copyrightable or otherwise protectable under Title 17 of
the United States Code.
    Small business firm, as used in this term and condition, means a
domestic small business concern as defined at 15 U.S.C. 632 and
implementing regulations (see 13 CFR 121.401 et seq.) of the
Administrator of the Small Business Administration.
    Subject invention, as used in this term and condition, means any
reportable item which is or may be patentable or otherwise protectable
under Title 35 of the United States Code, or any novel variety of plant
that is or may be protectable under the Plant Variety Protection Act (7
U.S.C. 2321 et seq.).
    (b) Allocation of principal rights.
    (1) Presumption of title.
    (i) Any reportable item that the Administrator considers to be a
subject invention shall be presumed to have been made in the manner
specified in paragraph (A) or (B) of section 20135(b)(1) of the
National Aeronautics and Space Act of 1958 (51 U.S.C. 20135)
(hereinafter called ``the Act''), and that presumption shall be
conclusive unless at the time of reporting the reportable item the
Recipient submits to the Grant Officer a written statement, containing
supporting details, demonstrating that the reportable item was not made
in the manner specified in paragraph (A) or (B) of section 20135(b)(1)
of the Act.
    (ii) Regardless of whether title to a given subject invention would
otherwise be subject to an advance waiver or is the subject of a
petition for waiver, the Recipient may nevertheless file the statement
described in paragraph (b)(1)(i) of this term and condition. The
Administrator will review the information furnished by the Recipient in
any such statement and any other available information relating to the
circumstances surrounding the making of the subject invention and will
notify the Recipient whether the Administrator has determined that the
subject invention was made in the manner specified in paragraph (A) or
(B) of section 20135(b)(1) of the Act.
    (2) Property rights in subject inventions. Each subject invention
for which the presumption of paragraph (b)(1)(i) of this term and
condition is conclusive or for which there has been a determination
that it was made in the manner specified in paragraph (A) or (B) of
section 20135(b)(1) of the Act shall be the exclusive property of the
United States as represented by NASA unless the Administrator waives
all or any part of the rights of the United States, as provided in
paragraph (b)(3) of this term and condition.
    (3) Waiver of rights.

    (i) Section 20135(g) of the Act provides for the promulgation of
regulations by which the Administrator may waive the rights of the
United States with respect to any invention or class of inventions made
or that may be made under conditions specified in paragraph (A) or (B)
of section 20135(b)(1) of the Act. The promulgated NASA Patent Waiver
Regulations, 14 CFR part 1245, subpart 1, have adopted the Presidential
Memorandum on Government Patent Policy of February 18, 1983, as a guide
in acting on petitions (requests) for such waiver of rights.
    (ii) As provided in 14 CFR part 1245, subpart 1, Recipients may
petition, either prior to execution of the grant or within 30 days
after execution of the grant, for advance waiver of rights to any or
all of the inventions that may be made under a grant. If such a
petition is not submitted, or if after submission it is denied, the
Recipient (or an employee inventor of the Recipient) may petition for
waiver of rights to an identified subject invention within eight months
of first disclosure of the invention in accordance with paragraph
(e)(2) of this term and condition, or within such longer period as may
be authorized in accordance with 14 CFR 1245.105.
    (c) Minimum rights reserved by the Government.
    (1) With respect to each subject invention for which a waiver of
rights is applicable in accordance with 14 CFR part 1245, subpart 1,
the Government reserves--
    (i) An irrevocable, nonexclusive, nontransferable, royalty-free
license for the practice of such invention throughout the world by or
on behalf of the United States or any foreign government in accordance
with any treaty or agreement with the United States; and
    (ii) Such other rights as stated in 14 CFR 1245.107.
    (2) Nothing contained in this paragraph (c) shall be considered to
grant to the Government any rights with respect to any invention other
than a subject invention.
    (d) Minimum rights to the Recipient.
    (1) The Recipient is hereby granted a revocable, nonexclusive,
royalty-free license in each patent application filed in any country on
a subject invention and any resulting patent in which the Government
acquires title, unless the Recipient fails to disclose the subject
invention within the times specified in paragraph (e)(2) of this term
and condition. The Recipient's license extends to its domestic
subsidiaries and affiliates, if any, within the corporate structure of
which the Recipient is a party and includes the right to grant
sublicenses of the same scope to the extent the Recipient was legally
obligated to do so at the time the grant was awarded. The license is
transferable only with the approval of the Administrator except when
transferred to the successor of that part of the Recipient's business
to which the invention pertains.
    (2) The Recipient's domestic license may be revoked or modified by
the Administrator to the extent necessary to achieve expeditious
practical application of the subject invention pursuant to an
application for an exclusive license submitted in accordance with 37
CFR part 404, Licensing of Government Owned Inventions. This license
will not be revoked in that field of use or the geographical areas in
which the Recipient has achieved practical application and continues to
make the benefits of the invention reasonably accessible to the public.
The license in any foreign country may be revoked or modified at the
discretion of the Administrator to the extent the Recipient, its
licensees, or its domestic subsidiaries or affiliates have failed to
achieve practical application in that foreign country.
    (3) Before revocation or modification of the license, the Recipient
will be provided a written notice of the Administrator's intention to
revoke or modify the license, and the Recipient will be allowed 30 days
(or such other time as may be authorized by the Administrator for good
cause shown by the Recipient) after the notice to show cause why the
license should not be revoked or modified. The Recipient has the right
to appeal to the Administrator any decision concerning the revocation
or modification of its license.
    (e) Invention identification, disclosures, and reports.
    (1) The Recipient shall establish and maintain active and effective
procedures to assure that reportable items are promptly identified and
disclosed to Recipient personnel responsible for the administration of
this New Technology term and condition within six months of conception
and/or first actual reduction to practice, whichever occurs first in
the performance of work under this grant. These procedures shall
include the maintenance of laboratory notebooks or equivalent records
and other records as are reasonably necessary to document the
conception and/or the first actual reduction to practice of the
reportable items, and records that show that the procedures for
identifying and disclosing reportable items are followed. Upon request,
the Recipient shall furnish the Grant Officer a description of such
procedures for evaluation and for determination as to their
effectiveness.
    (2) The Recipient will disclose each reportable item to the Grant
Officer within two months after the inventor discloses it in writing to
Recipient personnel responsible for the administration of this New
Technology term and condition or, if earlier, within six months after
the Recipient becomes aware that a reportable item has been made, but
in any event for subject inventions before any on sale, public use, or
publication of such invention known to the Recipient. The disclosure to
the agency shall be in the form of a written report and shall identify
the grant under which the reportable item was made and the inventor(s)
or innovator(s). It shall be sufficiently complete in technical detail
to convey a clear understanding, to the extent known at the time of the
disclosure, of the nature, purpose, operation, and physical, chemical,
biological, or electrical characteristics of the reportable item. The
disclosure shall also identify any publication, on sale, or public use
of any subject invention and whether a manuscript describing such
invention has been submitted for publication and, if so, whether it has
been accepted for publication at the time of disclosure. In addition,
after disclosure to the agency, the Recipient will promptly notify the
agency of the acceptance of any manuscript describing a subject
invention for publication or of any on sale or public use planned by
the Recipient for such invention.
    (3) The Recipient shall furnish the Grant Officer the following:
    (i) Interim reports every 12 months (or such longer period as may
be specified by the Grant Officer) from the date of the grant, listing
reportable items during that period, and certifying that all reportable
items have been disclosed (or that there are no such inventions) and
that the procedures required by paragraph (e)(1) of this term and
condition have been followed.
    (ii) A final report, within 3 months after completion of the grant
work, listing all reportable items or certifying that there were no
such reportable items, and listing all subcontracts at any tier
containing a patent rights clause or certifying that there were no such
subcontracts.
    (4) The Recipient agrees, upon written request of the Grant
Officer, to furnish additional technical and other information
available to the Recipient as is necessary for the preparation of a

patent application on a subject invention and for the prosecution of
the patent application, and to execute all papers necessary to file
patent applications on subject inventions and to establish the
Government's rights in the subject inventions.
    (5) The Recipient agrees, subject to FAR 27.302(j), that the
Government may duplicate and disclose subject invention disclosures and
all other reports and papers furnished or required to be furnished
pursuant to this term and condition.
    (f) Examination of records relating to inventions.
    (1) The Grant Officer or any authorized representative shall, until
3 years after final payment under this grant, have the right to examine
any books (including laboratory notebooks), records, and documents of
the Recipient relating to the conception or first actual reduction to
practice of inventions in the same field of technology as the work
under this grant to determine whether--
    (i) Any such inventions are subject inventions;
    (ii) The Recipient has established and maintained the procedures
required by paragraph (e)(1) of this term and condition; and
    (iii) The Recipient and its inventors have complied with the
procedures.
    (2) If the Grant Officer learns of an unreported Recipient grantee
invention that the Grant Officer believes may be a subject invention,
the Recipient may be required to disclose the invention to the agency
for a determination of ownership rights.
    (3) Any examination of records under this paragraph will be subject
to appropriate conditions to protect the confidentiality of the
information involved.
    (g) Withholding of payment (this paragraph does not apply to
subcontracts).
    (1) Any time before final payment under this grant, the Grant
Officer may, in the Government's interest, withhold payment until a
reserve not exceeding $50,000 or 5 percent of the amount of this grant,
whichever is less, shall have been set aside if, in the Grant Officer's
opinion, the Recipient fails to--
    (i) Establish, maintain, and follow effective procedures for
identifying and disclosing reportable items pursuant to paragraph
(e)(1) of this term and condition;
    (ii) Disclose any reportable items pursuant to paragraph (e)(2) of
this term and condition;
    (iii) Deliver acceptable interim reports pursuant to paragraph
(e)(3)(i) of this term and condition; or
    (iv) Provide the information regarding subcontracts pursuant to
paragraph (h)(4) of this term and condition.
    (2) Such reserve or balance shall be withheld until the Grant
Officer has determined that the Recipient has rectified whatever
deficiencies exist and has delivered all reports, disclosures, and
other information required by the grant.
    (3) Final payment under the grant shall not be made before the
Recipient delivers to the Grant Officer all disclosures of reportable
items required by paragraph (e)(2) of this provision, and an acceptable
final report pursuant to paragraph (e)(3)(ii) of this provision.
    (4) The Grant Officer may decrease or increase the sums withheld up
to the maximum authorized in paragraph (g)(1) of this term and
condition. No amount shall be withheld under this paragraph while the
amount specified by this paragraph is being withheld under other terms
and conditions of the grant. The withholding of any amount or the
subsequent payment thereof shall not be construed as a waiver of any
Government rights.
    (h) Subcontracts.
    (1) Unless otherwise authorized or directed by the Grant Officer,
the Recipient shall--
    (i) Include the clause at NASA FAR Supplement (NFS) 1852.227-70,
New Technology, (suitably modified to identify the parties) in any
subcontract hereunder (regardless of tier) with other than a small
business firm or nonprofit organization for the performance of
experimental, developmental, or research work; and
    (ii) Include the clause at FAR 52.227-11 (suitably modified to
identify the parties) in any subcontract hereunder (regardless of tier)
with a small business firm or nonprofit organization for the
performance of experimental, developmental, or research work.
    (2) In the event of a refusal by a prospective subcontractor to
accept such a clause the Recipient--
    (i) Shall promptly submit a written notice to the Grant Officer
setting forth the subcontractor's reasons for such refusal and other
pertinent information that may expedite disposition of the matter; and
    (ii) Shall not proceed with such subcontract without the written
authorization of the Grant Officer.
    (3) In the case of subcontracts at any tier, the agency,
subcontractor, and Recipient agree that the mutual obligations of the
parties created by this term and condition constitute a contract
between the subcontractor and NASA with respect to those matters
covered by this grant.
    (4) The Recipient shall promptly notify the Grant Officer in
writing upon the award of any subcontract at any tier containing a
patent rights clause by identifying the subcontractor, the applicable
patent rights clause, the work to be performed under the subcontract,
and the dates of award and estimated completion. Upon request of the
Grant Officer, the Recipient shall furnish a copy of such subcontract,
and, no more frequently than annually, a listing of the subcontracts
that have been awarded.
    (5) The subcontractor will retain all rights provided for the
Recipient in paragraph (h)(1)(i) or (ii) of this term and condition,
whichever is included in the subcontract, and the Recipient will not,
as part of the consideration for awarding the subcontract, obtain
rights in the subcontractor's subject inventions.
    (i) Preference for United States industry. Unless provided
otherwise, no Recipient that receives title to any subject invention
and no assignee of any such Recipient shall grant to any person the
exclusive right to use or sell any subject invention in the United
States unless such person agrees that any products embodying the
subject invention will be manufactured substantially in the United
States. However, in individual cases, the requirement may be waived by
the Administrator upon a showing by the Recipient or assignee that
reasonable but unsuccessful efforts have been made to grant licenses on
similar terms to potential licensees that would be likely to
manufacture substantially in the United States or that under the
circumstances domestic manufacture is not commercially feasible.

(Authority: 14 CFR 1260.57)

(End of Term and Condition)
1800.924 Designation of New Technology Representative and Patent
Representative
    (This Term and Condition shall be inserted in all grants with
commercial firms other than those with small businesses, in place of
the term and condition at Sec.  1800.908, Patent Rights.)
DESIGNATION OF NEW TECHNOLOGY REPRESENTATIVE AND PATENT REPRESENTATIVE
(MON/YEAR)
    (a) For purposes of administration of the term and condition of
this grant entitled ``New Technology,'' the following named
representatives are hereby designated by the Grant Officer to
administer such term and condition:

Title, Office Code, Address (including zip code)

New Technology
Representative
Patent Representative

    (b) Reports of reportable items, and disclosure of subject
inventions, interim reports, final reports, utilization reports, and
other reports required by the term and condition, as well as any
correspondence with respect to such matters, should be directed to the
New Technology Representative unless transmitted in response to
correspondence or request from the Patent Representative. Inquires or
requests regarding disposition of rights, election of rights, or
related matters should be directed to the Patent Representative. This
term and condition shall be included in any subcontract hereunder
requiring a ``New Technology'' Term and Condition or ``Patent Rights--
Retention by the Contractor (Short Form)'' clause, unless otherwise
authorized or directed by the Grant Officer. The respective
responsibilities and authorities of the above-named representatives are
set forth in 1827.305-270 of the NASA FAR Supplement.

(Authority: 14 CFR 1260.58)

(End of Term and Condition)
1800.925 Invention Reporting and Rights
INVENTION REPORTING AND RIGHTS (MON/YEAR)
    (a) As used in this term and condition:
    (1) The term ``invention'' means any invention or discovery which
is or may be patentable or otherwise protectable under Title 35 of the
United States Code, or any novel variety of plant which is or may be
protected under the Plant Variety Protection Act (7 U.S.C. 2321 et
seq.).
    (2) The term ``made'' when used in relation to any invention means
the conception or first actual reduction to practice of such invention.
    (b) The Recipient shall report promptly to the grant officer each
invention made in the performance of work under this grant. The report
of such invention shall--
    (1) Identify the inventor(s) by full name; and
    (2) Include such full and complete technical information concerning
the invention as is necessary to enable an understanding of the nature
and operation thereof.
    (c) Reporting shall be made on NASA Form 1679 Disclosure of
Invention and New Technology (Including Software).
    (d) The Recipient hereby grants to the Government of the United
States of America, as represented by the Administrator of the National
Aeronautics and Space Administration, the full rights, title, and
interest in and to each such invention throughout the world.

(Authority: 14 CFR 1260.59)

(End of Term and Condition)
1800.926 Equipment and Other Property Under Grants With Commercial
Firms
    (This term and condition shall be included in grants with
commercial firms that have property.)
EQUIPMENT AND OTHER PROPERTY UNDER GRANTS WITH COMMERCIAL FIRMS (MON/
YEAR)
    (a) This grant permits acquisition of special purpose equipment
required for the conduct of research. Acquisition of special purpose
equipment costing in excess of $5,000 and not included in the approved
proposal budget requires the prior approval of the Grant Officer unless
the item is merely a different model of an item shown in the approved
proposal budget.
    (b) Recipients may not purchase, as a direct cost to the grant,
items of general purpose equipment, examples of which include but are
not limited to office equipment and furnishings, air conditioning
equipment, reproduction and printing equipment, motor vehicles, and
automatic data processing equipment. If the Recipient requests an
exception, the Recipient shall submit a written request for Grant
Officer approval, prior to purchase by the Recipient, stating why the
Recipient cannot charge the general purpose equipment to indirect
costs.
    (c) Under no circumstances shall grant funds be used to acquire
land or any interest therein, to acquire or construct facilities (as
defined in 48 CFR (FAR) 45.301), or to procure passenger carrying
vehicles.
    (d) The Government shall have title to equipment and other personal
property acquired with Government funds. Such property shall be
disposed of pursuant to 48 CFR (FAR) 45.603.
    (e) Title to Government furnished equipment (including equipment,
title to which has been transferred to the Government prior to
completion of the work) will remain with the Government.
    (f) The Recipient shall establish and maintain property management
standards for Government property and otherwise manage such property as
set forth in 48 CFR (FAR) 45.5 and 48 CFR (NFS) 1845.5.
    (g) Recipients shall submit annually a NASA Form 1018, NASA
Property in the Custody of Contractors, in accordance with the
instructions on the form, the provisions of 48 CFR (NFS) 1845.71 and
any supplemental instructions that may be issued by NASA for the
current reporting period. The original NF 1018 shall be submitted to
the center Deputy Chief Financial Officer (Finance) with three copies
sent concurrently to the center Industrial Property Officer. The annual
reporting period shall be from October 1 of each year through September
30 of the following year. The report shall be submitted in time to be
received by October 15. Negative reports (i.e. no reportable property)
are required. The information contained in the reports is entered into
the NASA accounting system to reflect current asset values for agency
financial statement purposes. Therefore, it is essential that required
reports be received no later than October 15. A final report is
required within 30 days after expiration of the agreement.
    (h) The requirements set forth in this term and condition
supersedes grant Term and Condition 1800.907, Equipment and Other
Property.

(Authority: 14 CFR 1260.67)

(End of Term and Condition)
1800.927 Listing of reportable equipment and other property.
    (This term and condition shall be included in grants with
property.)
LISTING OF REPORTABLE EQUIPMENT AND OTHER PROPERTY (MON/YEAR)
    (a) Title to federally-owned property provided to the Recipient
remains vested in the Federal Government, and shall be managed in
accordance with Sec.  200.312. The following items of federally-owned
property are being provided to the recipient for use in performance of
the work under this grant:

{List property or state ``not applicable.''{time}

    (b) The following specific items of equipment acquired by the
Recipient have been identified by NASA for transfer of title to the
Government when no longer required for performance under this grant.
This equipment will be managed in accordance with 200.313, and shall be
transferred to NASA or NASA's designee in accordance with the
procedures set forth at 200.313(e):

{List property or state ``not applicable.''{time}

(Authority: 14 CFR 1260.66)

(End of Term and Condition)

1800.928 Invoices and Payments Under Grants With Commercial Firms
    (This term and condition shall be included in all grants with
commercial firms.)
INVOICES AND PAYMENTS UNDER GRANTS WITH COMMERCIAL FIRMS (MON/YEAR)
    (a) Invoices for payment of actual incurred costs shall be
submitted by the Recipient no more frequently than on a_XX_--basis.
    (b) Invoices shall be submitted by the Recipient to the following
offices:
    (1) The original invoice shall be sent directly to the payment
office designated on the grant cover page.
    (2) Copies of the invoice shall be sent to the NASA Technical
Officer and NASA Grant Officer.
    (c) All invoices shall reference the grant number.
    (d) The final invoice shall be marked ``Final'' and shall be
submitted within 90 days of the expiration of the grant.
    (e) The requirements set forth in this term and condition
supersedes grant Term and Condition 1800.906, Financial Management.

(Authority: 14 CFR 1260.68)

(End of Term and Condition)
1800.929 Electronic Funds Transfer Payment Methods
    (This term and condition shall be included in all grants with
commercial firms.)
ELECTRONIC FUNDS TRANSFER PAYMENT METHODS (MON/YEAR)
    (a) Payments under this grant will be made by the Government by
electronic funds transfer through the Treasury Fedline Payment System
(FEDLINE) or the Automated Clearing House (ACH), at the option of the
Government. After award, but no later than 14 days before an invoice is
submitted, the Recipient shall designate a financial institution for
receipt of electronic funds transfer payments, and shall submit this
designation to the Grant Officer or other Government official, as
directed.
    (b) For payment through FEDLINE, the Recipient shall provide the
following information:
    (1) Name, address, and telegraphic abbreviation of the financial
institution receiving payment.
    (2) The American Bankers Association 9-digit identifying number for
wire transfers of the financing institution receiving payment if the
institution has access to the Federal Reserve Communication System.
    (3) Payee's account number at the financial institution where funds
are to be transferred.
    (4) If the financial institution does not have access to the
Federal Reserve Communications System, name, address, and telegraphic
abbreviation of the correspondent financial institution through which
the financial institution receiving payment obtains wire transfer
activity. Provide the telegraphic abbreviation and American Bankers
Association identifying number for the correspondent institution.
    (c) For payment through ACH, the Recipient shall provide the
following information:
    (1) Routing transit number of the financial institution receiving
payment (same as American Bankers Association identifying number used
for FEDLINE).
    (2) Number of account to which funds are to be deposited.
    (3) Type of depositor account (``C'' for checking, ``S'' for
savings).
    (4) If the Recipient is a new enrollee to the ACH system, a
``Payment Information Form,'' SF 3881, must be completed before payment
can be processed.
    (d) In the event the Recipient, during the performance of this
grant, elects to designate a different financial institution for the
receipt of any payment made using electronic funds transfer procedures,
notification of such change and the required information specified
above must be received by the appropriate Government official 30 days
prior to the date such change is to become effective.
    (e) The documents furnishing the information required in this
clause must be dated and contain the signature, title, and telephone
number of the Recipient official authorized to provide it, as well as
the Recipient's name and grant number.
    (f) Failure to properly designate a financial institution or to
provide appropriate payee bank account information may delay payments
of amounts otherwise properly due.
    (g) The requirements set forth in this term and condition
supersedes grant Term and Condition 1800.906, Financial Management.

(Authority: 14 CFR 1260.69)

(End of Term and Condition)

    Thus, this part gives regulatory effect to the OMB guidance and
supplements the guidance as needed for the Department.

Title 14--Aeronautics and Space

CHAPTER V--NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

PART 1260 [REMOVED AND RESERVED]

0
1. Part 1260 is removed and reserved.

PART 1273 [REMOVED AND RESERVED]

0
2. Part 1273 is removed and reserved.

William P. McNally,
Assistant Administrator for Procurement.

Corporation for National and Community Service

    For the reasons set forth in the common preamble, under the
authority of 5 U.S.C. 301 and the authorities listed below, 2 CFR
Chapter XXII, and 45 CFR Chapters XII and XXV, are amended as follows:

Title 2--Grants and Agreements

CHAPTER XXII--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

0
1. Part 2205 is added to Title 2, Chapter XXII to read as follows:

PART 2205--IMPLEMENTATION OF AND EXEMPTIONS TO 2 CFR

PART 200

Sec.
2205.100 Adoption of 2 CFR part 200.
2205.201 Use of grant agreements (including fixed amount awards),
cooperative agreements, and contracts.
2205.306 Cost sharing or matching.
2205.332 Fixed amount subawards.
2205.414 Indirect (F&A) costs.

    Authority: 42 U.S.C. 12571(d), 12571(e)(2)(B), 12581(l),
12581a(a), 12616(c)(2), 12651c(c), 12651d(h), 12651g(b), 12653(a),
12653(h), 12653o(a), and 12657(a); 2 CFR part 200; 45 CFR 2521.95,
and 2540.110.

Sec.  2205.100  Adoption of 2 CFR Part 200.

    Under the authority listed above, the Corporation for National and
Community Service adopts the Office of Management and Budget's (OMB)
Guidance in 2 CFR part 200, except as specified in this part. Thus,
this part gives regulatory effect to the OMB guidance and supplements
the guidance for recipients of awards from the Corporation.

Sec.  2205.201  Use of grant agreements (including fixed amount
awards), cooperative agreements, and contracts.

    (a) The Corporation will determine the appropriate instrument in
accordance with its authorities under the national service laws, and in
accordance with the Federal Grant and Cooperative Agreement Act (31
U.S.C. 6301-6308), as appropriate.
    (b) The Corporation and pass through entities may also provide
fixed amount awards in the manner and in the amounts permitted under
the national service laws.

Sec.  2205.306  Cost sharing or matching.

    (a) Shared costs or matching funds must meet the criteria of 2 CFR
200.306(b), with the exception of 2 CFR 200.306(b)(5). Federal funds
from other agencies may be used as match or cost sharing as authorized
by 42 U.S.C. 12571(e) under the national service laws.

Sec.  2205.332  Fixed amount subawards.

    Fixed amount subawards may be made in the manner and in amounts
determined under the national service laws, as authorized by the
Corporation, without respect to the Simplified Acquisition Threshold.

Sec.  2205.414  Indirect (F&A) costs.

    Administrative costs for programs funded under subtitles B and C of
the National and Community Service Act of 1990, as amended, shall be
subject to 45 CFR 2521.95 and 2540.110.

Title 45--Public Welfare

CHAPTER XII--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

PART 1235--LOCALLY GENERATED CONTRIBUTIONS IN OLDER AMERICAN
VOLUNTEER PROGRAMS

0
2. The authority citation for part 1235 continues to read as follows:

    Authority: 42 U.S.C. 5024; 42 U.S.C. 5060.

0
3. Revise Sec.  1235.2(c) to read as follows:

Sec.  1235.2  Implementation guidance.

* * * * *
    (c) That all expenditures in support of a Federal award can be
audited by the responsible Federal Agency or by independent auditors
performing audits pursuant to 2 CFR part 200.

0
4. Remove the Appendix to Part 1235

CHAPTER XXV--CORPORATION FOR NATIONAL AND COMMUNITY SERVICE

PART 2510--OVERALL PURPOSES AND DEFINITIONS

0
5. The authority citation for part 2510 continues to read as follows:

    Authority: 42 U.S.C. 12511

0
6. Revise Sec.  2510.20 revise the definition of ``Administrative
Costs'' to read as follows:

Sec.  2510.20  Definitions.

* * * * *
    Administrative costs. The term administrative costs means general
or centralized expenses of overall administration of an organization
that receives assistance under the Act and does not include program
costs.
    (1) For organizations that have an established indirect cost rate
for Federal awards, administrative costs mean those costs that are
included in the organization's indirect cost rate. Such costs are
generally identified with the organization's overall operation and are
further described in 2 CFR part 200.
    (2) For organizations that do not have an established indirect cost
rate for Federal awards, administrative costs include:
    (i) Costs for financial, accounting, auditing, contracting, or
general legal services except in unusual cases when they are
specifically approved in writing by the Corporation as program costs.
    (ii) Costs for internal evaluation, including overall
organizational management improvement costs (except for independent
evaluations and internal evaluations of a program or project).
    (iii) Costs for general liability insurance that protects the
organization(s) responsible for operating a program or project, other
than insurance costs solely attributable to a program or project.
* * * * *

PART 2520--GENERAL PROVISIONS: AMERICORPS SUBTITLE C PROGRAMS

0
7. The authority citation for part 2520 continues to read as follows:

    Authority: 42 U.S.C. 12571-12595.

0
8. Revise Sec.  2520.60 to read as follows:

Sec.  2520.60   What government-wide requirements apply to staff
fundraising under my AmeriCorps grant?

    You must follow OMB Guidance published at 2 CFR part 200 and
Corporation implementing regulations at 2 CFR Chapter XXII. In
particular, see 2 CFR 200.442--Fundraising and Investment Management
Costs.

PART 2541--[REMOVED AND RESERVED]

0
9. Remove and reserve Part 2541, consisting of Sec. Sec.  2541.10 to
2541.520.

PART 2543--[REMOVED AND RESERVED]

0
10. Remove and reserve Part 2543, consisting of Sec. Sec.  2543.1 to
2543.88.

PART 2551--SENIOR COMPANION PROGRAM

0
11. The authority citation for part 2551 continues to read as follows:

    Authority: 42 U.S.C. 4950 et seq.; 42 U.S.C. 12651b-12651d; E.O.
13331, 69 FR 9911.

0
12. Revise Sec.  2551.93 to read as follows:

Sec.  2551.93  What are grants management requirements?

    What rules govern a sponsor's management of grants?
    (a) A sponsor shall manage a grant in accordance with:
    (1) The Act;
    (2) Regulations in this part;
    (3) 2 CFR part 200 and 2 CFR part 2205; and
    (4) Other applicable Corporation requirements.
    (b) Project support provided under a Corporation grant shall be
furnished at the lowest possible cost consistent with the effective
operation of the project.
    (c) Volunteer expense items, including transportation, meals,
recognition activities and items purchased at the volunteers' own
expense and which are not reimbursed, are not allowable as
contributions to the non-Federal share of the budget.
    (d) Costs to bring a sponsor into basic compliance with
accessibility requirements for individuals with disabilities are not
allowable costs.
    (e) Payments to settle discrimination allegations, either
informally through a settlement agreement or formally as a result of a
decision finding discrimination, are not allowable costs.
    (f) Written Corporation approval/concurrence is required for the
following changes in the approved grant:
    (1) Reduction in budgeted volunteer service years.
    (2) Change in the service area.
    (3) Transfer of budgeted line items from Volunteer Expenses to
Support Expenses. This requirement does not apply if the 80 percent
volunteer cost reimbursement ratio is maintained.

PART 2552--FOSTER GRANDPARENT PROGRAM

0
13. The authority citation for part 2552 continues to read as follows:

    Authority: 42 U.S.C. 4950 et seq.; 42 U.S.C. 12651b-12651d; E.O.
13331, 69 FR 9911.

0
14. Revise Sec.  2552.93 to read as follows:

Sec.  2552.93  What are grants management requirements?

    What rules govern a sponsor's management of grants?
    (a) A sponsor shall manage a grant in accordance with:
    (1) The Act;
    (2) Regulations in this part;
    (3) 2 CFR part 200 and 2 CFR part 2205; and
    (4) Other applicable Corporation requirements.
    (b) Project support provided under a Corporation grant shall be
furnished at

the lowest possible cost consistent with the effective operation of the
project.
    (c) Volunteer expense items, including transportation, meals,
recognition activities and items purchased at the volunteers' own
expense and which are not reimbursed, are not allowable as
contributions to the non-Federal share of the budget.
    (d) Costs to bring a sponsor into basic compliance with
accessibility requirements for individuals with disabilities are not
allowable costs.
    (e) Payments to settle discrimination allegations, either
informally through a settlement agreement or formally as a result of a
decision finding discrimination, are not allowable costs.
    (f) Written Corporation approval/concurrence is required for the
following changes in the approved grant:
    (1) Reduction in budgeted volunteer service years.
    (2) Change in the service area.
    (3) Transfer of budgeted line items from Volunteer Expenses to
Support Expenses. This requirement does not apply if the 80 percent
volunteer cost reimbursement ratio is maintained.

PART 2553--THE RETIRED AND SENIOR VOLUNTEER PROGRAM

0
15. The authority citation for part 2552 continues to read as follows:

    Authority: 42 U.S.C. 4950 et seq.

0
16. Revise Sec.  2553.73 to read as follows:

Sec.  2553.73  What are grants management requirements?

    What rules govern a sponsor's management of grants?
    (a) A sponsor shall manage a grant in accordance with:
    (1) The Act;
    (2) Regulations in this part;
    (3) 2 CFR part 200 and 2 CFR part 2205; and
    (4) Other applicable Corporation requirements.
    (b) Project support provided under a Corporation grant shall be
furnished at the lowest possible cost consistent with the effective
operation of the project.
    (c) Volunteer expense items, including transportation, meals,
recognition activities and items purchased at the volunteers' own
expense and which are not reimbursed, are not allowable as
contributions to the non-Federal share of the budget.
    (d) Costs to bring a sponsor into basic compliance with
accessibility requirements for individuals with disabilities are not
allowable costs.
    (e) Payments to settle discrimination allegations, either
informally through a settlement agreement or formally as a result of a
decision finding discrimination, are not allowable costs.
    (f) Written Corporation approval/concurrence is required for a
change in the approved service area.

Valerie Green,
General Counsel.

Social Security Administration

    For the reasons set forth in the common preamble, 2 CFR chapter
XXIII is amended and, under the authority of 5 U.S.C. 301, parts 435
and 437 of title 20, chapter III of the Code of Federal Regulations are
removed to read as follows:

Title 2--Grants and Agreements

Subtitle B--Federal Agency Regulations for Grants and Agreements

CHAPTER XXIII--SOCIAL SECURITY ADMINISTRATION

0
1. Part 2300 of title 2 of the Code of Federal Regulations is added to
read as follows:

PART 2300--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES,
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS

    Authority: 5 U.S.C. 301; 2 CFR part 200, and as noted in
specific sections.

Sec.  2300.10  Applicable regulations.

    The Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal Awards set forth in 2 CFR part 200 shall apply
to the Social Security Administration.

Sec. Sec.  2300.11-2300.2335  [Reserved]

Title 20--Employee Benefits

CHAPTER III--SOCIAL SECURITY ADMINISTRATION

PART 435--[REMOVED AND RESERVED]

0
2. Remove and reserve part 435.

PART 437--[REMOVED AND RESERVED]

0
3. Remove and reserve part 437.

Carolyn W. Colvin,
Acting Commissioner of Social Security.

Department of Housing and Urban Development

    For the reasons described in the common preamble, and under the
authority of 42 U.S.C. 3535(d), HUD amends the Code of Federal
Regulations, Title 2, Subtitle B, chapter XXIV, and Title 24 CFR parts
84 and 85, as follows:

Title 2--Grants and Agreements

CHAPTER XXIV--DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

0
1. Add new part 2400 in Subtitle B, Chapter XXIV, to read as follows:

PART 2400--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES AND
AUDIT REQUIRMENTS FOR FEDERAL AWARDS

    Authority: 42 U.S.C. 3535(d); 2 CFR part 200.

Sec.  2400.101  Applicable regulations.

    Unless excepted under 24 CFR chapters I through IX, the Uniform
Administrative Requirements, Cost Principles, and Audit Requirements
for Federal Awards, set forth in 2 CFR part 200, shall apply to Federal
Awards made by the Department of Housing and Urban Development to non-
Federal entities.

Title 24--Housing and Urban Development

Subtitle A--Office of the Secretary, Department of Housing and Urban
Development

PART 84--UNIFORM ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND
AGREEMENTS WITH INSTITUTIONS OF HIGHER EDUCATION, HOSPITALS, AND
OTHER NON-PROFIT ORGANIZATIONS

0
2. The authority citation for part 84 continues to read as follows:

    Authority: 42 U.S.C. 3535(d).

0
3. Remove the heading of subpart A.
0
4. Revise Sec.  84.1 to read as follows:

Sec.  84.1  Applicability of and cross reference to 2 CFR part 200.

    (a) Federal awards to institutions of higher education, hospitals
and other non-profit organizations are subject to the Uniform
Administrative Requirements, Cost Principles and Audit Requirements for
Federal Awards at 2 CFR part 200.
    (b) Federal awards made prior to December 26, 2014 will continue to
be governed by the regulations in effect and codified in 24 CFR part 84
(2013 edition) or as provided under the terms of the Federal award.
Where the terms of a Federal award made prior to December 26, 2014,
state that the award will be subject to regulations as may be amended,
the Federal award shall be subject to 2 CFR part 200.

Sec. Sec.  84.2 through 84.5  [Removed]

0
5. Remove Sec. Sec.  84.2 to 84.5.

Subpart B [Removed]

0
6. Remove subpart B, consisting of Sec. Sec.  84.10 through 84.17.

Subpart C [Removed]

0
7. Remove subpart C, consisting of Sec. Sec.  84.20 through 84.62.

Subpart D [Removed]

0
8. Remove subpart D, consisting of Sec. Sec.  84.70 through 84.73.

Subpart E [Removed]

0
9. Remove subpart E, consisting of Sec. Sec.  84.80 through 84.87.

Appendix A to part 84 [Removed]

0
10. Remove Appendix A to part 84.

PART 85--ADMINISTRATIVE REQUIREMENTS FOR GRANTS AND COOOPERATIVE
AGREEMENTS TO STATE, LOCAL AND FEDERALLY RECOGNIZED INDIAN TRIBES

0
11. The authority citation for part 85 continues to read as follows:

    Authority: 42 U.S.C. 3535(d).

0
12. Remove the heading of subpart A.
0
13. Revise Sec.  85.1 to read as follows:

Sec.  85.1  Applicability of and cross reference to 2 CFR part 200.

    (a) Federal awards with State, local and Indian tribal governments
are subject to the Uniform Administrative Requirements, Cost Principles
and Audit Requirements for Federal Awards at 2 CFR part 200.
    (b) Federal awards made prior to December 26, 2014 will continue to
be governed by the regulations in effect and codified in 24 CFR part 85
(2013 edition) or as provided by the terms of the Federal award. Where
the terms of a Federal award made prior to December 26, 2014, state
that the award will be subject to regulations as may be amended, the
Federal award shall be subject to 2 CFR part 200.

Sec. Sec.  85.2 through 85.6  [Removed]

0
14. Remove Sec. Sec.  85.2 to 84.6.

Subpart B [Removed]

0
15. Remove subpart B, consisting of Sec. Sec.  85.10 through 85.12.

Subpart C [Removed]

0
16. Remove subpart C, consisting of Sec. Sec.  85.20 through 85.44.

Subpart D [Removed]

0
17. Remove subpart D, consisting of Sec. Sec.  85.50 through 85.52.

Subpart E [Removed]

0
18. Remove subpart E.

Juli[aacute]n Castro,
Secretary.

National Science Foundation

    For the reasons set forth in the common preamble, under the
authority of 42 U.S.C. 1861, et seq. and 2 CFR part 200, the National
Science Foundation (NSF) amends Part 2500 of Title 2, Chapter XXV, and
Part 602 of Title 45, chapter VI of the Code of Federal Regulations as
follows:

Title 2--Grants and Agreements

CHAPTER XXV--NATIONAL SCIENCE FOUNDATION

0
1. Part 2500 is added to Title 2 Chapter XXVI is revised to read as
follows:

PART 2500--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES,
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS

2500.100 Adoption of 2 CFR Part 200.

    Authority: 42 U.S.C. 1861, et seq.; 2 CFR part 200.

Sec.  2500.100  Adoption of 2 CFR Part 200.

    Under the Authority cited above, NSF has formally adopted 2 CFR
part 200, Uniform Administrative Requirements, Cost Principles, and
Audit Requirements for Federal Awards (``the Uniform Guidance''). The
Foundation's implementation document, the NSF Proposal & Award Policies
& Procedures Guide, may be found at: http://www.nsf.gov/publications/pub_summ.jsp?ods_key=papp.
    NSF's implementation includes the following deviation from the
Uniform Guidance:
    Award Cash Management System--NSF is continuing collection of award
financial information through the implementation of the Award Cash
Management Service (ACM$) and the Program Income Worksheet. ACM$
replaced the NSF Federal Financial Report (FFR) and the NSF FastLane
Cash Request process with a single web based user interface. ACM$ is
used to collect award level detail financial information at the time of
each payment request submitted by the awardee institution. The Program
Income Worksheet is used to collect program income financial
information from awardee institutions on an annual basis. ACM$ and the
Program Income Worksheet utilize approved government-wide data elements
from the FFR for the collection of financial information as provided
for in the Uniform Guidance paragraph 505(c) and prescribed in 2 CFR
200.327. The requirement for Federal agencies to use the FFR data
elements for cash management and financial reporting was publically
announced in Federal Register on August 13, 2008.

Title 45--Public Welfare

CHAPTER VI--NATIONAL SCIENCE FOUNDATION

PART 602--[Removed]

0
2. Remove 45 CFR part 602.

Lawrence Rudolph,
General Counsel.

National Archives and Records Administration

    For the reasons set forth in the common preamble, NARA amends 2 CFR
Chapter XXVI and 36 CFR Chapter XII as follows:

Title 2--Grants and Agreements

CHAPTER XXVI--NATIONAL ARCHIVES AND RECORDS ADMINISTRATION

0
1. Part 2600 of Title 2, Chapter XXVI, is revised to read as follows:

PART 2600--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES,
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS

Sec.
2600.100 Adoption of 2 CFR part 200.
2600.101 Indirect costs exception to 2 CFR 200.414.
2620.102 Additional NARA grant administration policies.

    Authority:  5 U.S.C. 301; 44 U.S.C. 2104(a); 44 U.S.C. 2501-
2506; 75 FR 66317 (Oct. 28, 2010); 2 CFR 200.

Sec.  2600.100  Adoption of 2 CFR Part 200.

    Under the authority listed above, the National Archives and Records
Administration (NARA), through its National Historical Publications and
Records Commission (NHPRC), adopts the Office of Management and Budget
(OMB) Guidance in 2 CFR part 200, except regarding indirect costs (see
Sec.  2600.101). Thus, this part gives regulatory effect to the OMB
guidance and supplements the guidance as needed for NARA and NHPRC.

Sec.  2600.101  Indirect costs exception to 2 CFR 200.414.

    As approved by the Archivist of the United States, the National
Archives does not permit grant recipients to use allocated funds from
NARA or NHPRC for indirect costs. Grant recipients may use cost sharing
to cover indirect costs

instead. NARA's policies on indirect costs are located at http://www.archives.gov/nhprc, and are included in grant opportunity
announcements.

(Authority: 44 U.S.C. 2103-04, 2 CFR part 200)

Sec.  2600.102  Additional NARA grant administration policies.

    Grant recipients must also follow NARA grant administration
policies and procedures set out in 36 CFR parts 1202, 1206, 1208, 1211,
and 1212.

Title 36--Parks, Forests, and Public Property

CHAPTER XII--NATIONAL ARCHIVES AND RECORDS ADMINISTRATION

PART 1206--NATIONAL HISTORICAL PUBLICATIONS AND RECORDS COMMISSION

0
2. Revise the authority citation for part 1206 to read as follows:

    Authority: 5 U.S.C. 301; 44 U.S.C. 2104(a); 44 U.S.C. 2501-2506;
2 CFR 200, and as noted in specific sections.

Sec.  1206.3  [Amended]

0
3. Amend Sec.  1206.3 by adding the sentence ``For a more detailed
definition, see 2 CFR 306.'' at the end of the definition paragraphs
for ``Cost sharing,'' ``Indirect costs,'' and ``State''.

Sec.  1206.8  [Amended]

0
4. Amend Sec.  1206.8(c) by adding a comma and the words ``available on
the NHPRC Web site at http://www.archives.gov/nhprc'' to the end of the
paragraph.

Sec.  1206.12  [Amended]

0
5. Amend Sec.  1206.12(a) by adding the phrase ``and 2 CFR part 200''
to the end of the sentence.

Sec.  1206.24  [Amended]

0
6. Amend Sec.  1206.24(b) by adding the phrase ``and the NHPRC Web
site'' to the end of the sentence.

Sec.  1206.45  [Amended]

0
7. Amend Sec.  1206.45(b) by adding a comma and the words ``including
those in 2 CFR parts 230 and 2600'' to the end of the sentence.

Sec.  1206.50  [Amended]

0
8. Amend Sec.  1206.50 by revising paragraph (b)(3) to read as follows:

Sec.  1206.50  What types of funding and cost sharing arrangements does
the Commission make?

* * * * *
    (b) * * *
    (3) As indicated in 2 CFR part 2600, we do not pay indirect costs
from grant funds, but allow indirect costs to be used for cost sharing.

Sec.  1206.72  [Amended]

0
9. Revise Sec.  1206.72 to read as follows:

Sec.  1206.72  Where can I find the regulatory requirements that apply
to NHPRC grants?

    (a) In addition to this Part 1206, NARA has issued other
regulations that apply to NHPRC grants in 36 CFR parts 1202, 1208,
1211, 1212 and 2 CFR part 2600 (which incorporates OMB's Uniform
Administrative Requirements, Cost Principles, and Audit Requirements
for Federal Awards guidance at 2 CFR part 200).
    (b) The Commission provides additional policy guidance related to
Title VI of the Civil Rights Act of 1964, regarding persons with
limited English proficiency, at http://www.archives.gov/nhprc/ and from
the NHPRC staff.

PART 1207 [Removed]

0
10. Remove 36 CFR part 1207.

PART 1210 [Removed]

0
11. Remove 36 CFR part 1210.

David S. Ferriero,
Archivist of the United States.

Small Business Administration

    For the reasons set forth in the common preamble, and under the
authority of 5 U.S.C. 301 and the authorities listed below, Part 2701
of Title 2, Chapter XXVII of the Code of Federal Regulations is added
and 13 CFR chapter I is amended to read as follows:

Title 2--Grants and Agreements

CHAPTER XXVII--SMALL BUSINESS ADMINISTRATION

PART 2701--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES,
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS

Sec.
2701.1 Adoption of 2 CFR part 200.
2701.74 Pass-through entity.
2701.92 Subaward.
2701.93 Subrecipient.
2701.112 Conflict of Interest.
2701.414 Indirect (F&A) Costs.
2701.503 Relation to other audit requirements.
2701.513 Responsibilities.
2701.600 Other regulatory guidance.

    Authority: 15 U.S.C. 634(b)(6), 2 CFR part 200.

Sec.  2701.1  Adoption of 2 CFR Part 200.

    (a) Under the authority listed above, the U.S. Small Business
Administration adopts the Office of Management and Budget (OMB)
Guidance in 2 CFR part 200, except for 2 CFR 200.74, 200.92, and
200.93. Thus, this part gives regulatory effect to the OMB guidance and
supplements the guidance as needed for the Administration.

Sec.  2701.74  Pass-through entity.

    SBA will only make awards to pass-through entities where expressly
authorized by statute.

Sec.  2701.92  Subaward.

    SBA will only permit pass-through entities to make awards to
subrecipients where expressly authorized by statute.

Sec.  2701.93  Subrecipient.

    SBA will only permit non-Federal entities to receive subawards
where expressly authorized by statute.

Sec.  2701.112  Conflict of Interest.

    The following conflict of interest policies apply to all SBA awards
of financial assistance:
    (a) Where an employee or contractor of a non-Federal entity
providing assistance under an SBA award also provides services in
exchange for pay in her or his private capacity, that employee or
contractor may not accept as a client for her or his private services
any individual or firm she or he assists under an SBA award.
    (b) No non-Federal entity providing assistance under an SBA award
(nor any subrecipient, employee, or contractor of such an entity) may
give preferential treatment to any client referred to it by an
organization with which it has a financial, business, or other
relationship.
    (c) Except where otherwise provided for by law, no non-Federal
entity may seek or accept an equity stake in any firm it assists under
the auspices of an SBA award. Additionally, no principal, officer,
employee, or contractor of such an entity (nor any of their Close or
Secondary Relatives as those terms are defined by 13 CFR 108.50) may
seek or accept an equity stake or paid position in any firm the entity
assists under an SBA award.

Sec.  2701.414  Indirect (F&A) Costs.

    (a) When determining whether a deviation from a negotiated indirect
cost rate is justified, SBA will consider the following factors:
    (1) The degree to which a non-Federal entity has been able to
defray its overhead expenses via those indirect costs it has recovered
under other, concurrent SBA awards;
    (2) The amount of funding that must be devoted to conducting
program activities in order for a project to result in meaningful
outcomes; and

    (3) The amount of project funds that will remain available for
conducting program activities after a negotiated rate is applied.
    (b) After conducting the analysis required in paragraph (a) above,
the head of each SBA grant program office will determine in writing
whether there is sufficient justification to deviate from a negotiated
indirect cost rate.
    (c) Where SBA determines that deviation from a negotiated rate is
justified, it will provide a copy of that determination to OMB and will
inform potential applicants of the deviation in the corresponding
funding announcement.

Sec.  2701.503  Relation to other audit requirements.

    Non-Federal entities that are not subject to the requirements of
the Single Audit Act and that are performing projects under SBA awards
will be required to submit copies of their audited financial statements
for their most recently completed fiscal year. Costs associated with
the auditing of a non-Federal entity's financial statements may be
included in its negotiations for an indirect cost rate agreement in
accordance with 2 CFR 200.425.

Sec.  2701.513  Responsibilities.

    For SBA, the Single Audit Senior Accountable Official is the Chief
Administrative Officer. The Single Audit Liaison is the Director,
Office of Grants Management.

Sec.  2701.600  Other regulatory guidance.

    (a) In addition to the general regulations set forth above and
those contained in 2 CFR part 200, the program-specific regulations
governing the operation of SBA's individual grant programs may be found
in title 13 of the Code of Federal Regulations beginning at the
sections noted below:
    (1) New Markets Venture Capital program--13 CFR 108.2000.
    (2) Program for Investment in Microentrepreneurs (PRIME)--13 CFR
119.1.
    (3) Microloan program--13 CFR 120.700.
    (4) 7(j) Management and Technical Assistance program--13 CFR
124.701.
    (5) Small Business Development Center program--13 CFR 130.100.
    (b) [Reserved]

Title 13--Business Credit and Assistance

CHAPTER I--SMALL BUSINESS ADMINISTRATION

PART 143--[REMOVED AND RESERVED]

0
2. Remove and reserve part 143.

Maria Contreras-Sweet,
Administrator, U.S. Small Business Administration.

Department of Justice

    For the reasons set forth in the common preamble, and under the
authority of 5 U.S.C. 301 and the authorities listed below, 2 CFR
chapter XXVIII and 28 chapter I are amended as follows:

Title 2--Grants and Agreements

CHAPTER XXVIII--DEPARTMENT OF JUSTICE

0
1. Part 2800 is added to Title 2, Chapter XXVIII of the Code of Federal
Regulations to read as follows:

PART 2800--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES,
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS BY THE DEPARTMENT OF
JUSTICE

Sec.
2800.101 Adoption of 2 CFR part 200.
2800.313 Equipment.
2800.314 Supplies.

    Authority:  5 U.S.C. 301; 28 U.S.C. 509; 28 U.S.C. 530C(a)(4);
42 U.S.C. 3789; 2 CFR part 200.

Sec.  2800.101  Adoption of 2 CFR Part 200.

    Under the authority listed above, the Department of Justice adopts
the Office of Management and Budget (OMB) Guidance in 2 CFR part 200,
except for 2 CFR 200.313 and 2 CFR 200.314, which are supplemented by
the corresponding sections (e.g., Sec.  2800.313 supplements Sec.
200.313) of this part. Thus, this part gives regulatory effect to the
OMB guidance and supplements the guidance as needed for the Department.

Sec.  2800.313  Equipment.

    Title I of the Omnibus Crime Control and Safe Streets Act of 1968,
Public Law 90-351, section 808 (42 U.S.C. 3789), creates a special rule
for disposition and use of equipment and supplies purchased by funds
made available under that Title, which rule, where applicable,
supersedes any conflicting provisions of 2 CFR 200.313. Section 808
currently provides that such equipment and supplies shall vest in the
criminal justice agency or nonprofit organization that purchased the
property if such agency or nonprofit certifies to the appropriate State
office (as indicated in the statute) that it will use the property for
criminal justice purposes, and further provides that, if such
certification is not made, title to the property shall vest in the
State office, which shall seek to have the property used for criminal
justice purposes elsewhere in the State prior to using it or disposing
of it in any other manner.

Sec.  2800.314  Supplies.

    Title I of the Omnibus Crime Control and Safe Streets Act of 1968,
Public Law 90-351, section 808 (42 U.S.C. 3789) creates a special rule
for disposition and use of equipment and supplies purchased by funds
made available under that Title, which rule, where applicable,
supersedes any conflicting provisions of Sec.  200.314. Section 808
currently provides that such equipment and supplies shall vest in the
criminal justice agency or nonprofit organization that purchased the
property if such agency or nonprofit certifies to the appropriate State
office (as indicated in the statute) that it will use the property for
criminal justice purposes, and further provides that, if such
certification is not made, title to the property shall vest in the
State office, which shall seek to have the property used for criminal
justice purposes elsewhere in the State prior to using it or disposing
of it in any other manner.

Title 28--Judicial Administration

CHAPTER I--DEPARTMENT OF JUSTICE

PARTS 66 and 70 [Removed]

0
2. Remove Parts 66 and 70.

James M. Cole,
Deputy Attorney General.

Department of Labor

    For the reasons set forth in the common preamble, the Department of
Labor (DOL) establishes Chapter XXIX (consisting of Part 2900) in Title
2, of the Code of Federal Regulations to read as follows:

CHAPTER XXIX--DEPARTMENT OF LABOR

PART 2900--UNIFORM ADMINISTRATIVE REQUIREMENTS, COST PRINCIPLES,
AND AUDIT REQUIREMENTS FOR FEDERAL AWARDS

Subpart A--Acronyms and Definitions
Sec.
2900.1 Budget.
2900.2 Non-Federal entity.
2900.3 Questioned cost.

Subpart B--General Provisions
2900.4 Adoption of 2 CFR part 200.
Subpart C--Pre-Federal Award Requirements and Contents of Federal
Awards
2900.5 Federal awarding agency review of merit of proposals.
Subpart D--Post Federal Award Requirements
2900.6 Advance Payment.
2900.7 Payment.
2900.8 Cost sharing or matching.
2900.9 Revision of budget and program plans.
2900.10 Prior approval requests.
2900.11 Revision of budget and program plans including extension of
the period of performance.
2900.12 Revision of budget and program plans approval from Grant
Officers.
2900.13 Intangible property.
2900.14 Financial reporting.
2900.15 Closeout.
Subpart E--Cost Principles
2900.16 Prior written approval (prior approval)
2900.17 Adjustment of negotiated IDC rates.
2900.18 Contingency provisions.
2900.19 Student activity costs.
Subpart F--Audit Requirements
2900.20 Federal Agency Audit Responsibilities.
2900.21 Management decision.
2900.22 Audit Requirements, Appeal Process for Department of Labor
Recipients.

    Authority: 5 U.S.C. 301; 2 CFR 200.

Subpart A--Acronyms and Definitions

Sec.  2900.1  Budget.

    In the DOL, approval of the budget as awarded does not constitute
prior approval of those items requiring prior approval, including those
items the Federal Awarding agency specifies as requiring prior
approval. See Sec.  200.407 for more information about prior approval.
(See 2 CFR 200.8)

Sec.  2900.2  Non-Federal entity.

    In the DOL, Non-Federal entity means a state, local government,
Indian tribe, institution of higher education (IHE), for-profit entity,
foreign public entity, foreign organization or nonprofit organization
that carries out a Federal award as a recipient or subrecipient. (See 2
CFR 200.69)

Sec.  2900.3  Questioned cost.

    In the DOL, in addition to the guidance contained in 2 CFR 200.84,
a Questioned cost means a cost that is questioned by an auditor,
Federal Project Officer, Grant Officer, or other authorized Awarding
agency representative because of an audit finding:
    (a) Which resulted from a violation or possible violation of a
statute, regulation, or the terms and conditions of a Federal award,
including for funds used to match Federal funds;
    (b) Where the costs, at the time of the audit, are not supported by
adequate documentation; or
    (c) Where the costs incurred appear unreasonable and do not reflect
the actions a prudent person would take in the circumstances.

Subpart B--General Provisions

Sec.  2900.4  Adoption of 2 CFR Part 200.

    Under the authority listed above, the Department of Labor adopts
the Office of Management and Budget (OMB) Guidance in the Uniform
Administrative Requirements, Cost Principles, and Audit Requirements
for Federal Awards to Non-Federal Entities (subparts A through F of 2
CFR 200), as supplemented by this part, as the Department of Labor
policies and procedures for financial assistance administration. This
part satisfies the requirements of 2 CFR 200.110(a) and gives
regulatory effect to the OMB guidance as supplemented by this part. The
DOL also has programmatic and administrative regulations located in 20
and 29 CFR.

Subpart C--Pre-Federal Award Requirements and Contents of Federal
Awards

Sec.  2900.5  Federal awarding agency review of merit of proposals.

    In the DOL, audits and monitoring reports containing findings,
issues of non-compliance or questioned costs are in addition to reports
and findings from audits performed under Subpart F--Audit Requirements
of this Part or the reports and findings of any other available audits;
and (See 2 CFR 200.205(c)(4))

Subpart D--Post Federal Award Requirements

Sec.  2900.6  Advance Payment.

    In the DOL, except as authorized under 2 CFR 200.207, specific
conditions, the non-Federal entity must be paid in advance. (See 2 CFR
200.305(b)(1))

Sec.  2900.7  Payment.

    In addition to the guidance set forth in 2 CFR 200.305 (b)(2), for
Federal awards from the Department of Labor, the non-Federal entity
should liquidate existing advances before it requests additional
advances.

Sec.  2900.8  Cost sharing or matching.

    In addition to the guidance set forth in 2 CFR 200.306(b), for
Federal awards from the Department of Labor, the non-Federal entity
accounts for funds used for cost sharing or match within their
accounting systems as the funds are expended.

Sec.  2900.9  Revision of budget and program plans.

    In the DOL, approval of the budget as awarded does not constitute
prior approval of those items requiring prior approval, including those
items the Federal awarding agency specifies as requiring prior approval
(see 2 CFR 200.407 and 2 CFR 200.308(a))

Sec.  2900.10  Prior approval requests.

    In addition to the guidance set forth in 2 CFR 200.308(c), for
Federal awards from the Department of Labor, the non-Federal entity
must request prior approval actions at least 30 days prior to the
effective date of the requested action.

Sec.  2900.11  Revision of budget and program plans including extension
of the period of performance.

    In addition to the guidance set forth in 2 CFR 200.308(c), for
Federal awards from the Department of Labor, the non-Federal entity
must request prior approval for an extension to the period of
performance.

Sec.  2900.12  Revision of budget and program plans approval from Grant
Officers.

    In the DOL, unless otherwise noted in the Grant Agreement, prior
written approval must come from the Grant Officer (See 2 CFR
200.308(d))

Sec.  2900.13  Intangible property.

    In addition to the guidance set forth in 2 CFR 200.315(d)(3), the
Department of Labor requires intellectual property developed under a
competitive Federal award process to be licensed under a Creative
Commons Attribution license. This license allows subsequent users to
copy, distribute, transmit and adapt the copyrighted work and requires
such users to attribute the work in the manner specified by the
grantee.

Sec.  2900.14  Financial reporting.

    In addition to the guidance set forth in 2 CFR 200.327, for Federal
awards from the Department of Labor, the DOL awarding agency will
prescribe whether the report will be on a cash or an accrual basis. If
the DOL awarding agency requires reporting on an accrual basis and the
recipient's accounting system is not on the accrual basis, the
recipient will not be required to convert its accounting system, but
must develop

and report such accrual information through best estimates based on an
analysis of the documentation on hand.

Sec.  2900.15  Closeout.

    In addition to the guidance set forth in 2 CFR 200.343(b), for
Federal awards from the Department of Labor, the non-Federal entity
must liquidate all obligations and/or accrued expenditures incurred
under the Federal award.

Subpart E--Cost Principles

Sec.  2900.16  Prior written approval (prior approval).

    In addition to the guidance set forth in 2 CFR 200.407, for Federal
awards from the Department of Labor, the non-Federal entity must
request prior written approval which should include the timeframe or
scope of the agreement and be submitted not less than 30 days before
the requested action is to occur. Unless otherwise noted in the Grant
Award, the Grant Officer is the only official with the authority to
provide prior written approval (prior approval). Items included in the
statement of work or budget as awarded does not constitute prior
approval.

Sec.  2900.17  Adjustment of negotiated IDC rates.

    In the DOL, in addition to the requirements under 2 CFR
200.411(a)(2), adjustments to indirect cost rates resulting from a
determination of unallowable costs being included in the rate proposal
may result in the reissuance of negotiated rate agreement.

Sec.  2900.18  Contingency provisions.

    In addition to the guidance set forth in 2 CFR 200.433(c), for
Federal awards from the Department of Labor, excepted citations include
2 CFR 200.333 Retention requirements for records, and 2 CFR 200.334
Requests for transfers of records.

Sec.  2900.19  Student activity costs.

    In the Department of Labor, the provisions of 2 CFR 200.469 apply
unless the activities meet a program requirement and have prior written
approval from the Federal awarding agency.

Subpart F--Audit Requirements

Sec.  2900.20  Federal Agency Audit Responsibilities.

    In the DOL, in addition to 2 CFR 200.513 the department employs a
collaborative resolution process with non-federal entities.
    (a) Department of Labor Cooperative Audit Resolution Process. The
DOL official(s) responsible for resolution shall promptly evaluate
findings and recommendations reported by auditors and the corrective
action plan developed by the recipient to determine proper actions in
response to audit findings and recommendations. The process of audit
resolution includes at a minimum an initial determination, an informal
resolution period, and a final determination.
    (1) Initial determination. After the conclusion of any comment
period for audits provided the recipient/contractor, the responsible
DOL official(s) shall make an initial determination on the allowability
of questioned costs or activities, administrative or systemic findings,
and the corrective actions outlined by the recipient. Such
determination shall be based on applicable statutes, regulations,
administrative directives, or terms and conditions of the grant/
contract award instrument.
    (2) Informal resolution. The recipient/contractor shall have a
reasonable period of time (as determined by the DOL official(s)
responsible for audit resolution) from the date of issuance of the
initial determination to informally resolve those matters in which the
recipient/contractor disagrees with the decisions of the responsible
DOL official(s).
    (3) Final determination. After the conclusion of the informal
resolution period, the responsible DOL official(s) shall issue a final
determination that:
    (i) As appropriate, indicate that efforts to informally resolve
matters contained in the initial determination have either been
successful or unsuccessful;
    (ii) Lists those matters upon which the parties continue to
disagree;
    (iii) Lists any modifications to the factual findings and
conclusions set forth in the initial determination;
    (iv) Lists any sanctions and required corrective actions; and
    (v) Sets forth any appeal rights.
    (4) Time limit. Insofar as possible, the requirements of this
section should be met within 180 days of the date the final approved
audit report is received by the DOL official(s) responsible for audit
resolution.

Sec.  2900.21  Management decision.

    In the DOL, ordinarily, a management decision is issued within six
months of receipt of an audit from the audit liaison of the Office of
the Inspector General. The pass-through entity responsible for issuing
a management decision must do so within twelve months of acceptance of
the audit report by the FAC. The auditee must initiate and proceed with
corrective action as rapidly as possible and should begin corrective
action no later than upon receipt of the audit report. (See 2 CFR
200.521(d))

Sec.  2900.22  Audit Requirements--Appeal Process for Department of
Labor Recipients.

    In the DOL, the DOL grantor agencies shall determine which of the
two appeal options set forth in paragraphs (a) and (b) of this section
the recipient may use to appeal the final determination of the grant
officer. All awards within the same Federal financial assistance
program shall follow the same appeal procedure.
    (a) Appeal to the head of the grantor agency, or his/her designee,
for which the audit was conducted.
    (1) Jurisdiction. (i) Request for hearing. Within 21 days of
receipt of the grant officer's final determination, the recipient may
transmit, by certified mail, return receipt requested, a request for
hearing to the head of the grantor agency, or his/her designee, as
noted in the final determination. A copy must also be sent to the grant
officer who signed the final determination.
    (ii) Statement of issues. The request for a hearing shall be
accompanied by a copy of the final determination, if issued, and shall