FR Doc 04-16231
[Federal Register: July 16, 2004 (Volume 69, Number 136)]
[Notices]
[Page 42701-42704]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr16jy04-52]
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DEPARTMENT OF EDUCATION
Native American Vocational and Technical Education Program
AGENCY: Office of Vocational and Adult Education, Department of
Education.
ACTION: Notice of extension of project period and waiver.
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SUMMARY: We hereby waive the requirement in 34 CFR 75.261(c)(2) as it
applies to projects funded under the Native American Vocational and
Technical Education Program (NAVTEP) in fiscal year (FY) 2000. We waive
this requirement in order to be able to extend the project periods for
31 current grants awarded under the FY 2000 NAVTEP competition.
A waiver means that: (1) Current grants will be continued at least
through FY 2005 (and possibly for subsequent years, depending on the
availability of appropriations for NAVTEP in FY 2005 and those years
under the current statutory authority), instead of ending in FY 2004,
and (2) we will not announce a new competition or make new awards in FY
2004.
DATES: This notice of extension of project period and waiver is
effective July 16, 2004.
FOR FURTHER INFORMATION CONTACT: Sharon A. Jones, U.S. Department of
Education, Office of Vocational and Adult Education, 400 Maryland
Avenue, SW., room 11108, Potomac Center Plaza, Washington, DC 20202-
7120. Telephone (202) 245-7803.
If you use a telecommunications device for the deaf (TDD), you may
call the Federal Information Relay Service (FIRS) at 1-800-877-8339.
Individuals with disabilities may obtain this notice of extension
of project period and waiver in an alternative format (e.g., Braille,
large print, audiotape, or computer diskette) on request to the contact
person listed under FOR FURTHER INFORMATION CONTACT.
SUPPLEMENTARY INFORMATION: On April 9, 2004, we published a notice in
the Federal Register (69 FR 18887) proposing an extension of project
period and waiver in order to give early notice of the possibility that
additional years of funding under the NAVTEP may be available for
current grantees through continuation awards.
The Carl D. Perkins Vocational and Technical Education Act of 1998
[[Page 42702]]
(Perkins Act), which includes authorization for the NAVTEP, expired at
the end of FY 2003 and was extended for one year under section 422 of
the General Education Provisions Act (20 U.S.C. 1226a). With the
uncertainties presented by the absence of authorizing legislation for
the NAVTEP beyond 2004, we proposed not to hold a competition in FY
2004 for projects that would then operate for just one year. We stated
in the Federal Register notice that we were reluctant to announce a
competition under which eligible entities would be expected to proceed
through the application preparation and submission process while
lacking critical information about the future of the program, and that
we did not think that it would be in the public interest to do so in
this case. We also noted that if we were to hold a competition in FY
2004 for grants to operate in FY 2005 using the FY 2003 appropriation,
grantees would not have sufficient time to establish and operate
effective projects.
Accordingly, we proposed to review requests for continuation awards
from the 31 current FY 2000 grantees and extend currently funded
projects, rather than hold a new competition in FY 2004.
Analysis of Comments
In response to the Secretary's invitation in the notice of proposed
extension of project period and waiver, 288 parties submitted comments.
An analysis of the comments follows. Generally, we do not address
technical and other minor changes and suggested changes that the law
does not authorize the Secretary to make. We also do not address
comments that are not related to issues discussed in the notice of
proposed extension of project period and waiver.
Extension of current grants.
Comments: 286 of the 288 commenters supported the proposed
extension of project period and waiver. The commenters generally agreed
that, with the uncertainties associated with the absence of authorizing
legislation, it is not in the best interest of the public to conduct a
grant competition at this time. Several commenters believed that, since
we are halfway into 2004, it would be difficult for administrators of
current projects to find the time and money to submit new applications
this year. The commenters agreed that having current grantees expend
the cost and effort required to submit new applications for funding in
FY 2004 would be an unnecessary burden.
Several commenters suggested that continuing the awards of current
grantees would eliminate the inefficiencies associated with starting
new projects for an uncertain duration and uncertain degree of
effectiveness. A vast majority of the commenters thought that asking
tribes to expend the time, energy, and resources that go into a large-
scale application process was not logical or prudent when combined with
the lack of time to establish and operate effective new projects.
Several commenters strongly believed that continuing to fund
current grantees would capitalize on the successes and effectiveness of
those current grantees. Moreover, the commenters thought an application
process would divert resources away from training and would be
extremely disruptive to current Perkins-funded education and job
training programs. Several other commenters pointed out that current
projects have expended considerable time, effort, and extensive
resources to develop programs, instructional skills, and community
support. These commenters felt that continuation of current grants
would maximize these expenditures, and actually reduce potential costs
and increase benefits, while preserving the effective and efficient
administration of NAVTEP.
Many commenters supported the continuation of current grantees'
awards because of the benefits they provide to the Indian community.
Those commenters noted that current projects offer education, training,
and job placement that would not be available without the NAVTEP;
provide industry specific training that produces a qualified workforce;
graduate trainees who are immediately hired; increase the earning power
for people who were underemployed or unemployed; give tribal members an
opportunity to attend college, obtain an Associate of Arts degree, and
go on to higher education; and provide educational opportunities that
improve the lives of students, many of whom are first generation, non-
traditional students who are striving to provide a better lifestyle for
themselves and their children and grandchildren. Still other commenters
thought the current projects allow students to gain the skills and
abilities necessary to compete in today's challenging job market as
well as provide such intrinsic rewards for students as motivation,
self-confidence, self-worth, and the confidence to expand beyond their
perceived boundaries. Commenters pointed out that many of the current
projects have waiting lists of tribal members wanting to take advantage
of the programs being offered.
Discussion: We have considered the comments from individuals,
tribes, and tribal organizations. The vast majority support the
extension of projects and waiver and favor our proposal to continue the
current grants for at least one more year, and perhaps longer, under
the current NAVTEP authority. They concluded that they agree with our
overall rationale for extending current projects, and that the
extension will reduce burden on current grantees and capitalize on the
success and effectiveness of current grantees.
Changes: None.
Hold a competition.
Comments: Two commenters recommended that we hold a competition in
order to provide an opportunity for all Indian tribes to apply for
support under the NAVTEP. One of those commenters also expressed the
view that creating an excessive paperwork burden for currently funded
grantees was not a legitimate reason for denying tribes, which are not
currently receiving funds, access to a source of funds for local jobs
and economic development. The commenter thought that well over 500
tribes would be deprived of a chance to apply for NAVTEP funds, and
potentially experience a devastating economic impact, if we do not hold
a competition in FY 2004. The commenter also thought our inability to
``guarantee'' new grantees more than one year of funding was not
sufficient reason to continue funding current grantees, rather than
announcing a new competition. The commenter reasoned that the amount of
money received by successful NAVTEP grantees would more than compensate
them for the effort of preparing an application. Additionally, the
commenter thought the Perkins Act (which authorizes the NAVTEP) would
not be reauthorized for several years and recommended that we award
multi-year grants to new recipients rather than continue to fund
grantees that have already received three years of funding. Yet another
commenter expressed a desire for an opportunity to apply for NAVTEP
funds this year, but thought it more important to see the projects of
other Native Americans succeed.
Discussion: In response to the two commenters who expressed the
above stated concerns about our proposal, first we would like to
clarify that while we will accept requests for continuation proposals
from the 31 current grantees for at least one additional year, in lieu
of holding a new competition in FY 2004, this will not preclude the
Department from holding a competition in FY 2005 or thereafter should
we find that the circumstances support such a decision. Most
significantly, in the
[[Page 42703]]
event of a reauthorization, it is likely that we will hold a new
competition, under the new statutory authority. If we decide to hold a
grant competition in FY 2005 or thereafter, we will announce our
decision and the reasons for that decision through a notice in the
Federal Register.
As to the comment regarding the number of Indian tribes that may be
affected by our decision not to announce a new NAVTEP competition in FY
2004, we also note that, although there are over 500 Federally
recognized Indian tribes, most of them historically have not chosen to
apply for NAVTEP funds. In fact, over the history of competitions under
the NAVTEP and the predecessor Indian Vocational Education Program, on
average only 78 Federally recognized tribes actually submitted
applications during any given competition.
In addition, neither in our notice of proposed extension of current
grants, nor here in our final notice, do we rely exclusively or
primarily on a desire to avoid what the commenter refers to as
``excessive paperwork burden'' for currently funded grantees in support
of our decision, as the commenter seems to suggest. Rather, we refer to
multiple factors, such as, the uncertainty of a statutory basis for the
program beyond FY 2004, the fact that multi-year projects are clearly
preferable in the NAVTEP, the fact that without reauthorization it is
difficult if not impossible to plan for multi-year projects, and the
cost and work involved in submitting a NAVTEP application. Finally, the
commenter's statement that the Perkins Act is not likely to be
reauthorized for several years is purely speculative and unpersuasive
as support for the accompanying recommendation that the Department
award multi-year grants to new applicants, rather than continue to fund
current grantees.
Changes: None.
Length of project period.
Comments: One commenter did not think holding a competition for
one-year projects was advisable because new grantees spend at least the
first six months of new projects gearing up to meet the grant
requirements. The commenter, therefore, reasoned that new grantees
would have difficulty operating effective projects for only one year.
Several other commenters recommended awarding three-year continuation
grants to the current grantees. Yet another commenter stated that a
period of three years was not enough time to operate projects and
suggested that a period of five or six years would be a much more cost
efficient and viable project period.
Discussion: First, we agree that many new grantees use a portion of
the first year to get projects underway and, therefore, need more than
a year to implement a project successfully. However, with the extension
of current grants, there will be no start-up period. If continued,
current projects would simply continue to address the same program
goals and objectives as contained in their original applications and
budget proposals.
Second, with regard to the suggestions that we award multi-year
continuation grants, under Sec. 75.251 of the Education Department's
General Administrative regulations, the Secretary ``usually approves a
budget period and makes a continuation award of not more than 12
months, even if the project has a multi-year project period.'' (34 CFR
75.251) The awarding of 12-month continuation awards within multi-year
projects is entirely consistent with the Secretary's administrative
oversight and technical assistance role as well as with the annual
appropriation cycle. We see no reason to do otherwise in NAVTEP, even
under these circumstances.
Change: None.
Waiver of Delayed Effective Date
The Administrative Procedure Act requires that a substantive rule
shall be published at least 30 days before its effective date, except
as otherwise provided for good cause (5 U.S.C. 553(d)(3)). During the
30-day public comment period we received only two comments objecting to
the proposed extension of project period and waiver. For this reason,
and in order to make timely continuation grants to the entities
affected, the Secretary has determined that a delayed effective date is
not required.
Waiver of Education Department General Administrative Regulations
In order to provide for continuation awards, we waive the
requirement in 34 CFR 75.261(c)(2), which establishes the conditions
for extending a project period, including prohibiting the extension of
a program's project period if it involves the obligation of additional
Federal funds.
This waiver means that: (1) Current NAVTEP grantees will be
authorized to apply for continuation awards in FY 2004 and could be
continued at least through FY 2005 (and possibly for subsequent years,
depending on the availability of appropriations for the NAVTEP in FY
2005 and subsequent years under the current statutory authority),
instead of ending their current projects in FY 2004, (2) we will not
announce a new competition or make new awards in FY 2004 and may not
announce new competitions in future years in which Congress
appropriates funds under the current authority, (3) the notice inviting
applications for new awards for FY 2000 under the NAVTEP published in
the Federal Register on January 3, 2001 (66 FR 560) will govern any
projects we extend under this notice, and (4) the approved applications
submitted by the 31 current grantees in the 2001 competition will
govern all such continuation awards.
Continuation of the Current Grantee Awards
With this waiver of 34 CFR 75.261(c)(2), we would extend the
project periods of the 31 NAVTEP grantees that received grants under
the FY 2000 competition for one year, and possibly for additional years
for which Congress appropriates funds under the current statutory
authority.
Decisions regarding annual continuation awards will be based on the
program narratives, budgets and budget narratives, Grant Performance
Reports submitted by grantees, and the regulations in 34 CFR 75.253.
Consistent with 34 CFR 75.253, we will award continuation grants if we
determine, based on information provided by each grantee, that it is
making substantial progress performing its NAVTEP grant activities.
Under this notice of extension of project period and waiver, (1) the
project period for grantees will be extended for one additional year,
and (2) additional continuation awards could be made for any additional
year or years for which Congress appropriates funds under existing
statutory authority.
We do not interpret the waiver as exempting current grantees from
the account-closing provisions of Public Law 101-510, or as extending
the availability of FY 2000 funds awarded to the grantees. As a result
of Public Law 101-510, appropriations available for a limited period
may be used for payments of valid obligations for only five years after
the expiration of their period of availability for Federal obligation.
After that time, the unexpended balance of those funds is canceled and
returned to the Treasury Department and is unavailable for restoration
for any purpose.
Regulatory Flexibility Act Certification
The Secretary certifies that the extension of project period and
waiver and the activities required to support additional years of
funding will not have a significant economic impact on a substantial
number of small entities.
[[Page 42704]]
The small entities that would be affected by this extension of
project period and waiver are the FY 2000 grantees currently receiving
Federal funds and the following entities that are eligible for an award
under the NAVTEP:
(1) A Federally recognized Indian tribe.
(2) A tribal organization.
(3) An Alaska Native entity.
(4) A Bureau-funded school (as defined in the January 3, 2001,
notice inviting applications (66 FR 560)), except for a Bureau-funded
school proposing to use its award to support secondary school
vocational and technical education programs.
However, this extension of project period and waiver is not likely
to have a significant economic impact on these entities because the
extension of project period and waiver and the activities required to
support the additional years of funding will not impose excessive
regulatory burdens or require unnecessary Federal supervision. This
extension of project period and waiver will impose minimal requirements
to ensure the proper expenditure of program funds, including
requirements that are standard to continuation awards.
Instructions for Requesting a Continuation Award
Generally, in order to receive a continuation grant, a grantee must
submit an annual program narrative that describes the activities it
intends to carry out during the year of the continuation award. The
activities must be consistent with, or be a logical extension of, the
scope, goals, and objectives of the grantee's application approved
under the FY 2000 competition. A grantee must also submit a budget and
budget narrative for each year it requests a continuation award. (34
CFR 75.253(c)(2)). A grantee should request a continuation award at
least 30 days before its current grant expires. A grantee may request a
continuation award for any year for which Congress appropriates funds
under the current statutory authority, unless the Department holds a
grant competition under the NAVTEP.
Amount of New Awards Under Continuation Grant
The actual amount of any continuation award depends on factors such
as: (1) The grantee's written statement describing how the funds made
available under the continuation award will be used, (2) a cost
analysis of the grantee's budget by the Department, and (3) whether the
unobligated funds made available are needed to complete activities that
were planned for completion in the prior budget period. (34 CFR 75.232
and 75.253(c)(2)(ii) and (3)).
Paperwork Reduction Act of 1995
This extension of project period and waiver do not contain any
information collection requirements.
Intergovernmental Review
The NAVTEP is not subject to Executive Order 12372 and the
regulations in 34 CFR part 79.
Assessment of Educational Impact
In the April 9, 2004, notice of proposed extension of project
period and waiver (69 FR 18887) we requested comments on whether the
proposed extension of project period and waiver would require
transmission of information that any other agency or authority of the
United States gathers or makes available.
Based on the responses to that notice, and our own review, we have
determined that this final notice of extension of project period and
waiver does not require transmission of information that any other
agency or authority of the United States gathers or makes available.
Electronic Access to This Document
You may view this document, as well as all other Department of
Education documents published in the Federal Register, in text or Adobe
Portable Document Format (PDF) on the Internet at the following site:
www.ed.gov/news/fedregister.
To use PDF you must have Adobe Acrobat Reader, which is available
free at this site. If you have questions about using PDF, call the U.S.
Government Printing Office (GPO), toll free, at 1-888-293-6498; or in
the Washington, DC, area at (202) 512-1530.
Note: The official version of this document is the document
published in the Federal Register. Free Internet access to the
official edition of the Federal Register and the Code of Federal
Regulations is available on GPO Access at: www.gpoaccess.gov/nara/index.html
.
(Catalog of Federal Domestic Assistance Number 84.101 Native
American Vocational and Technical Education Program.)
Program Authority: 20 U.S.C. 2326(a) through (g).
Dated: July 13, 2004.
Susan Sclafani,
Assistant Secretary for Vocational and Adult Education.
[FR Doc. 04-16231 Filed 7-15-04; 8:45 am]
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