One copy of all grant products from council-conducted projects should be forwarded to the Federal/State Partnership as soon as they are available.

State humanities councils shall award regrants to provide support for humanities projects selected in open competition on the basis of established criteria that are widely known.

In addition, the administrative requirements set forth in Appendix A of these general terms and conditions shall apply to all regrants awarded by the state humanities councils.

Councils are required to maintain advances of federal funds in interest bearing accounts unless

1. the council receives total federal advances under grants of less than $120,000 per year; or
2. the best reasonably available interest bearing account would not earn interest in excess of $250 per year on federal cash balances or would require an average or minimum balance so high that it would not be feasible within the expected federal or nonfederal cash resources.

Councils and regrantees may keep $250 of the interest earned per fiscal year on all advances of federal grant funds. Bank charges related to maintaining interest bearing accounts may be paid from the interest earned on those accounts.

Interest in excess of the bank charges and the $250 a year that is retained by the council shall be remitted annually to the Department of Health and Human Services. If possible, interest should be remitted through an electronic medium such as the Remittance Express (REX) Deposit system. Councils may make payment by check. The check should be identified as interest earned on advances and should be mailed to the HHS Payment Management System, P.O. Box 6021, Rockville, MD 20852.

1. OMB Circular A-21 (2 CFR Part 220) for awards to public and private institutions of higher education.
2. OMB Circular A-122 (2 CFR Part 230) for awards to nonprofit organizations that are not institutions of higher education.
3. OMB Circular A-87 (2 CFR Part 225) for awards to state, local, and federally recognized Indian tribal governments.

1. Use of Equipment
• Equipment must be used by the council or the regrantee in the program or project for which it was acquired as long as needed, whether or not the project or program continues to be supported by federal funds. When no longer needed for the original program or project, the equipment may be used in other activities currently or previously supported by a federal agency.
• The council or regrantee shall also make equipment available for use on other projects or programs currently or previously supported by the federal government, providing such use does not interfere with the work on the projects or programs for which it was originally acquired. First preference for other use shall be given to other programs or projects supported by the NEH. If appropriate, user fees may be considered and treated as program income to the grant.
• The council or regrantee shall not use equipment acquired with grant funds to provide services for a fee to compete unfairly with private companies that provide equivalent services, unless this is specifically permitted or contemplated by federal statute.
• When acquiring replacement equipment, the council or regrantee may use the equipment to be replaced as a trade in or may sell the equipment and use the proceeds to offset the cost of the replacement equipment.

2. Management Requirements

Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part with grant funds, must at a minimum meet the following requirements until disposition takes place:
• Equipment records must be maintained that include a description of the equipment, a serial number or other identification number, the source of equipment, who holds title, the acquisition date, the cost of the equipment, the location, use, and condition of the equipment, and any ultimate disposition data including the date of disposal and the sale price of the equipment.
• A physical inventory of the equipment must be taken and the results reconciled with the equipment records at least once every two years.
• A control system must exist to ensure adequate safeguards to prevent loss, damage, or theft of the equipment. Any loss, damage, or theft shall be investigated.
• Adequate maintenance procedures must exist to keep the equipment in good condition.
• If the council or regrantee is authorized or required to sell the equipment, sales procedures must be followed that provide for competition to the extent practicable and result in the highest possible return.

3. Disposition

When original or replacement equipment acquired under a grant or regrant is no longer needed for the original project or program or for other activities currently or previously supported by the NEH, a council may retain, sell, or otherwise dispose of the equipment without further obligation to the NEH.

4. Right to Transfer Title

The NEH reserves the right to transfer title to grant-acquired equipment to the federal government or a third party named by the NEH when such a third party is eligible under existing statutes. Such transfers are subject to the following standards:
• The equipment must be identified in the grant award or otherwise made known to the council or regrantee in writing.
• The NEH shall issue disposition instructions within 120 calendar days after the end of the federal support of the project for which it was acquired.
• When title to equipment is transferred, the council or regrantee must be compensated for its share.

If a state council funds a regrant project that includes construction or renovation costs, the requirements of the Davis-Bacon Act (Article 29.b. and Appendix B, 3.) and the National Historic Preservation Act (Article 31) will apply to the regrant.

Such costs may be charged on an actual basis, on a per diem or mileage basis in lieu of actual costs, or on a combination of the two, provided the method used results in charges consistent with those normally allowed by the council in its regular operation.

Airfare costs in excess of the customary standard commercial airfare (coach or equivalent), federal government contract airfare (where authorized and available), or the lowest commercial discount airfare are unallowable except when such accommodations would: (a) require circuitous routing; (b) require travel during unreasonable hours; (c) excessively prolong travel; (d) result in additional costs that would offset the transportation savings; or (e) offer accommodations not reasonably adequate for the traveler's medical needs. All air travel that is paid in whole or in part with NEH funds must be undertaken on U.S. flag air carriers, unless one or more of the situations described under foreign travel (Article 11) apply.

However, any air transportation of persons or property from, between, or within a country other than the United States that is paid in whole or in part with NEH funds must be performed on a U.S. flag air carrier when such service is available. U.S. flag air carrier service is considered available even though a comparable or different kind of service can be provided at less cost by a foreign carrier or foreign air carrier service is preferred by, or is more convenient for, the traveler.

U.S. flag air carrier service is considered to be available unless any of the circumstances listed below applies:

1. no U.S. flag air carrier provides service on a particular leg of the route;
2. a U.S. flag air carrier involuntarily reroutes the traveler on a foreign air carrier;
3. a foreign air carrier operates under a "code-share" arrangement with a U.S. flag air carrier and the ticket, or documentation for an electronic ticket, identifies the U.S. flag air carrier's designator code and flight numbers;
4. service on a foreign air carrier would be three hours or less, and use of the U.S. flag air carrier service would at least double the en route travel time;
5. when flying between the United States and another country
1. the use of nonstop or direct U.S. flag air carrier service would extend a person's travel time, including a delay at origin, by 24 hours or more, or
2. where U.S. nonstop or direct service is not available, the use of a U.S. flag air carrier on every portion of the route where it provides service would, when compared to using a foreign air carrier
• increase the number of aircraft changes a person would have to make outside the U.S. by 2 or more; or
• extend travel time by 6 hours or more; or
• require a connecting time of 4 hours or more at an overseas interchange point.
6. when flying outside the United States, the use of a U.S. flag air carrier would result in any of the situations described in e.(2) above.

Lower cost, convenience, or traveler preferences are NOT acceptable reasons for using a foreign air carrier.

With the exception of funds allocated for regrants, councils have the authority to shift funds among budget line items within a program and from one activity or program to another. Funds may also be shifted into the regrant program without NEH approval. Once the budget for the funding period has been approved by the NEH, funds may not be transferred from the regrant category without the NEH's written approval, except to cover increased costs related to the auditing of regrants.

General support grant periods usually run for five years. Supplemental funding will be issued in the second and third years of the grant period. Councils have two years following the last funding period to close out the grant. The NEH will not extend any general support grant.

Councils are expected to obligate most of the funds awarded each year by the end of the funding period, but they will be able to carry forward unobligated funds into the succeeding year and may obligate funds that become available through deobligation any time during the grant period, provided that all obligations are liquidated within 90 days after the completion date of the grant period.

Councils are also required to use the Federal Cash Transactions Report (Standard Forms 272 and 272A) to report the disbursement of federal funds on all active NEH grants (including awards from the other NEH grant-making divisions). This report will be submitted on a calendar quarter basis and is due within 30 days after the end of each quarter.

An annual Financial Status Report (Standard Form 269A) will be submitted within 90 days of each anniversary date of the general support grant. A final Financial Status Report will be required within 90 days after the completion date of the grant.

Councils and their regrantees may deduct the costs incident to the generation of program income, if these are not already charged to the grant or regrant, to determine net program income.

Councils may use the net program income which they generate during the grant period to meet their cost sharing requirements or to support any of their humanities related activities. For general support grants, the NEH places no restrictions on the use of program income earned after the grant period.

1. Financial Reporting. Accurate, current, and complete disclosure of all financial transactions related to federally sponsored projects must be made in accordance with the financial requirements of the grant or regrant.

2. Accounting Records. The councils and their regrantees must maintain records that adequately identify the source and application of funds provided for financially assisted activities. These records must contain information pertaining to obligations, unobligated balances, assets, liabilities, expenditures, and income.

Each council or its fiscal agent shall have a double-entry accounting system that is maintained according to generally accepted accounting principles that are applied on a consistent basis. The system should provide for a general ledger, a cash receipts journal, a cash disbursements journal, and a general journal. The general ledger would contain control accounts for regrant funds that are awarded (obligated) and cost sharing funds that are provided by the council itself. A separate control account, which may be recorded in a memorandum ledger rather than the general ledger, should be established for cost-sharing funds that are provided by regrantees and the council's board.

There should also be a subsidiary ledger in which each regrant is listed separately and which contains the following information: the date of the award, the amount of gifts received, the amount of outright and matching funds awarded, the beginning and ending dates of the regrant period, the payments made, the net balance to be paid, and the cost sharing reported by the regrantee. The subsidiary ledger account balances for each regrant should be added monthly and reconciled to the general ledger if the council uses an accrual basis system. If the council's records are maintained on a cash basis, the payments recorded in the subsidiary ledger account should be added monthly and reconciled to the general ledger.

To facilitate the management of gifts and matching funds, councils are to maintain a log or journal that contains the name and the classification of the donor, the name of the recipient (if the gift was not given directly to the council), the amount of the gift, the designation of the gift as restricted or unrestricted, the amount of the gift that is certified to the NEH and the date certified, the amount of matching funds awarded by the NEH and the date of that award, and the allocation of the gifts and matching funds to one or more council activities.

3. Internal Control. Effective control and accountability must be maintained for all cash, real and personal property, and other assets. The councils and their regrantees must adequately safeguard all such property and must provide assurance that it is used solely for authorized purposes. They must also have systems in place that ensure compliance with the terms and conditions of any awards they administer.

4. Budget Control. Records of expenditures are to be maintained by the cost categories of the approved budget and actual expenditures are to be compared with budgeted amounts.

5. Allowable Costs. The applicable OMB Cost Principles, the General Terms and Conditions for General Support Grants to State Humanities Councils, and the terms and conditions of grant and regrant agreements will be followed in determining the reasonableness, allowability, and allocability of costs.

6. Source Documentation. Accounting records must be supported by such source documentation as canceled checks, bank statements, invoices, paid bill, donor letters, time and attendance records, activity reports, travel reports, contractual and consultant agreements, and subaward documentation. All supporting documentation should be clearly identified with the grant and general ledger accounts which are to be charged or credited.

   Formal agreements with independent contractors, such as consultants, must include a description of the services to be performed, the period of performance, the fee and method of payment, an itemization of travel and other costs which are chargeable to the agreement, and the signatures of both the contractor and an appropriate official of the council.

7. Cash Management. Under the Vendor Express payment system, councils shall normally draw down funds at least once a month and shall have procedures in place to ensure that grant funds on hand do not exceed the council's cash needs for a 30-day period. Councils shall also monitor the cash drawdowns of their regrantees to ensure that they conform substantially to the standards of timing and amounts set forth in Appendix A of these grant provisions.

All cash and in-kind contributions to a project that are provided by the council, a subrecipient, or a third party are acceptable as the grantee's cost sharing when such contributions meet the following criteria:

• Are verifiable from the council's or the subrecipient records;
• Are not included as contributions for any other federally-assisted program;
• Are necessary and reasonable for the proper and efficient accomplishment of project objectives;
• Are types of charges that would be allowable under the applicable cost principles;
• Are used to support activities that are included in the approved project workplan; and
• Are incurred during the grant period.

Any contribution that a subrecipient makes to its own project must be based either on the cost incurred to provide that contribution or, in the case of donated buildings or equipment, on depreciation or a use allowance that is computed in accordance with the applicable cost principles. When a subrecipient is not able to calculate the exact cost involved in contributing its own equipment, space, services, etc. to the project, then the subrecipient must indicate in the project budget the basis for determining the value of the contribution .

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¹This requirement is modified for the four territorial councils covered under the Economic Development of  Territories Act of 1984.

1. Volunteer services that are provided to the council or subrecipient by professional and technical personnel, consultants, and other skilled and unskilled labor may be counted as cost sharing if the service is an integral and necessary part of an approved project or program. Volunteer services shall be valued at rates consistent with those ordinarily paid for similar work within the grantee organization. If the council does not have employees performing similar work, the rates will be consistent with those ordinarily paid by other employers for similar work in the same labor market. In either case, a reasonable amount of fringe benefits may be included in the valuation.
2. When an employer furnishes the services of an employee, these services shall be valued at the employee's regular rate of pay (plus an amount of fringe benefits that is reasonable), provided these services involve the same skills for which the employee is normally paid.
3. The value of donated equipment shall not exceed the fair market value of equipment of the same age and condition at the time of donation, and the value of loaned equipment shall not exceed its fair rental value.
4. The value of donated space shall not exceed the fair rental value of comparable space, as established by an independent appraisal of comparable space and facilities in a privately-owned building in the same locality.
5. The value assigned to donated supplies or other expendable property should be reasonable and should not exceed the fair market value of the property at the time of donation.
6. The value of project related services that are provided without charge would be the fee the third party would normally charge for the service.

When procuring property or services under an NEH grant, a council will follow the same policies and procedures it uses for procurements with its nonfederal funds, but these policies and procedures must adhere to the standards set forth below.

1. The council and its subrecipients will maintain a system for contract administration that ensures that contractors perform in accordance with the terms, conditions, and specifications of their contracts or purchase orders.
2. A written standard of conduct governing the performance of their employees engaged in the award and administration of contracts will be maintained by the council and its subrecipients. No employee, officer, or agent of the council or subrecipient shall participate in the selection, or in the award or administration of a contract supported by federal funds if a real or apparent conflict of interest would be involved. Such a conflict would arise when
   • the employee, officer, or agent,
   • any member of his or her immediate family,
   • his or her partner, or
   • an organization which employs or is about to employ any of the above has a financial or other interest in the firm selected for an award.

   The officers, employees, and agents of a council or a subrecipient will neither solicit nor accept gratuities, favors, or anything of monetary value from contractors, or parties to subagreements. However, a council or a subrecipient may set standards governing when the financial interest is not substantial or the gift is an unsolicited item of nominal value. The standards of conduct shall provide for disciplinary actions to be applied for violations of such standards by officers, employees, or agents of the council or a subrecipient.

3. All procurement transactions will be conducted in a manner to provide, to the maximum extent practical, open and free competition. The council and subrecipient should be alert to organizational conflicts of interest or noncompetitive practices among contractors that may restrict or eliminate competition or otherwise restrain trade. In order to insure objective contractor performance and eliminate unfair competitive advantage, contractors that develop or draft specifications, requirements, statements of work, invitations for bids and/or requests for proposals should be excluded from competing for such procurements. Awards shall be made to the bidder/offeror whose bid/offer is responsive to the solicitation and is most advantageous to the council or subrecipient, price and other factors considered. Solicitations shall clearly set forth all requirements that the bidder/offeror must fulfill in order for the bid/offer to be evaluated by the council or subrecipient. When it is in the council's or subrecipient's interest to do so, any bid/offer may be rejected.
4. All councils and their subrecipients shall establish written procurement procedures that provide for, at a minimum, the following procedural requirements:
1. The councils and their subrecipients must ensure that all parties with whom they contract for goods or services are not debarred or suspended from doing business with the federal government when (1) the amount of the contract is $25,000 or more, or (2) the contract requires NEH consent, or (3) the contract is for federally-required audit services.
The councils and their subrecipients may do this in one of three ways:
1. by checking the Excluded Parties List System at http://www.epls.gov;
2. by obtaining a certification from the contractor (available on the NEH website under "Grant Management"); or
3. by adding the following clause to the contract or agreement:
   "By signing this contract, you certify that you are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any federal department or agency."
2. Proposed procurements are to be reviewed to avoid the purchase of unnecessary or duplicative items. Where appropriate, an analysis shall be made of lease and purchase alternatives to determine which would be the most economical, practical procurement.
3. Solicitations for goods and services shall be based on a clear and accurate description of the technical requirements for the material, product, or service to be procured. Such a description shall not, in competitive procurements, contain features which unduly restrict competition. "Brand name or equal" descriptions may be used as a means to define the performance or other salient requirements of a procurement, and, when used, the specific features of the named brand which must be met by bidders/offerors shall be clearly specified.
4. The council and subrecipient shall make positive efforts to assure that small businesses, minority owned firms, and women's business enterprises are used when possible. This shall include
   1. placing qualified small and minority businesses and women's business enterprises on solicitation lists;
   2. assuring that these businesses and enterprises are solicited whenever they are potential sources;
   3. contracting with consortiums of small, minority owned, or women's business enterprises;
   4. using the services and assistance, as appropriate, of such organizations as the Small Business Administration and the Department of Commerce's Minority Business Development Agency; and
   5. considering in the contract process whether firms competing for larger contracts intend to subcontract with small businesses, minority owned firms, and women's business enterprises.
5. The type of procurement instrument used, e.g., fixed price contracts, cost reimbursable contracts, incentive contracts, purchase orders, will be determined by the council or regrantee, but must be appropriate for the particular procurement and for promoting the best interest of the program involved. The "cost plus a percentage of cost" or "cost-plus-a-percentage-of-cost" methods shall not be used.
6. Contracts will be made only with responsible contractors who possess the potential ability to perform successfully under the terms and conditions of a proposed procurement. Consideration should be given to such matters as contractor integrity, the record of past performance, financial and technical resources or access to other necessary resources.
7. Some form of price or cost analysis should be made in connection with every procurement action. Price analysis may be accomplished in various ways, including the comparison of price quotations submitted, market prices and similar indicia, together with discounts. Cost analysis is the review and evaluation of each element of cost to determine reasonableness, allocability, and allowability.
8. Procurement records and files for purchases in excess of the simplified acquisition threshold (currently $100,000) shall include the basis for contractor selection, justification for lack of competition when competitive bids or offers are not obtained, and the basis for award cost or price.
5. Council contracts in excess of the simplified acquisition threshold must provide for
1. Administrative, contractual, or legal remedies in instances where contractors violate or breach contract terms, and such remedial actions as may be appropriate.
2. Termination for cause and for convenience by the grantee, including the manner by which it will be effected and the basis for settlement. In addition, these contracts shall also contain a description of the conditions under which the contract may be terminated for default as well as conditions where the contract may be terminated because of circumstances beyond the control of the contractor.
3. Access by the council, the NEH, the Comptroller General of the United States, or any other duly authorized representatives to any books, documents, papers, and records of the contractor which are directly pertinent to that specific contract for the purpose of making audit, examination, excerpts, and transcriptions.
4. All contracts that are awarded by the council, its regrantees, and their contractors shall comply with the provisions of Appendix B when applicable.

Records that relate to audits, appeals, litigation, or the settlement of claims arising out of the performance of the project shall be retained by the council and regrantee until such audits, appeals, litigation, or claims are resolved. Unless court action or audit proceedings have been initiated, microfilm copies may be substituted for the original records.

The NEH, the Comptroller General of the United States, and any of their duly authorized representatives, shall have access to any pertinent books, documents, papers, and records of the council and its subrecipients to make audits, examinations, excerpts, transcripts, and copies. Further, any contract in excess of the simplified acquisition threshold (currently $100,000) that is negotiated by the council for the purposes of carrying out grant activities shall include a provision to the effect that the grantee, the NEH, the Comptroller General, or any of their duly authorized representatives shall have access for similar purposes to any records of the contractor that are directly pertinent to the grant.

1. The council may copyright any work that is subject to copyright and was developed, or for which ownership was purchased, under the grant. Similarly, a regrantee may copyright any work that is subject to copyright and was developed, or for which ownership was purchased, under its regrant. The NEH reserves a royalty-free, nonexclusive, and irrevocable right to reproduce, publish or otherwise use these materials for Federal purposes and to authorize others to do so (see �__36. Intangible Property, OMB Circular A-110 (2 CFR Part 215)).

   "Federal purposes" include the use of grant products in activities or programs undertaken by the Federal Government, in response to a governmental request, or as otherwise required by Federal law. However, the Federal Government's use of copyrighted materials is not intended to interfere with or disadvantage the grantee or assignee in the sale and distribution of the grant product.

   The NEH may request copies of a grant product for non-profit use by other state humanities councils if the product forms an integral part of a council conducted program. These copies will be provided to the councils at the cost of reproduction and shipping, and no royalties or other fees will be charged.

2. Councils or regrantees that are awarded funds for experimental, developmental, or research work are subject to the regulations governing patents and inventions, including government-wide regulations issued by the Department of Commerce at 37 CFR Part 401, "Rights to Inventions made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements."
3. The NEH has the right to:
1. obtain, reproduce, publish or otherwise use the data first produced under a grant; and
2. authorize others to receive, reproduce, publish, or otherwise use such data for Federal purposes.
4. In addition, in response to a Freedom of Information Act (FOIA) request for research data relating to published research findings produced under a grant that were used by the Federal Government in developing an agency action that has the force and effect of law, the NEH shall request, and the grantee shall provide, within a reasonable time, the research data so that they can be made available to the public through the procedures established under the FOIA. If the NEH obtains the research data solely in response to a FOIA request, the NEH may charge the requester a reasonable fee equaling the full incremental cost of obtaining the research data. This fee should reflect costs incurred by the agency, the grantee, and applicable subrecipients. This fee is in addition to any fees the agency may assess under the FOIA (5 U.S.C. 552(a)(4)(A)). For additional information and definition of terms, please see OMB Circular A-110 (2 CFR Part 215), Section.__36.d.
5. Title to intangible property acquired under a grant or subaward vests upon acquisition in the grantee. The grantee shall use that property for the originally authorized purpose and shall not encumber the property without the NEH's approval. The NEH reserves the right to determine the disposition of the intangible property when it is no longer needed for the originally authorized purpose.

1. Title VI of the Civil Rights Act of 1964, as amended, provides that no person in the United States shall, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subject to discrimination under any program or activity receiving federal financial assistance. Title VI also extends protection to persons with limited English proficiency. (42 U.S.C. 2000d et seq.)
2. Title IX of the Education Amendments of 1972 provides that no person in the United States shall, on the basis of sex, be excluded from participation in, be denied benefits of, or be subject to discrimination under any education program or activity receiving federal financial assistance. (20 U.S.C. 1681 et seq.)
3. The Age Discrimination Act of 1975 provides that no person in the United States shall, on the basis of age , be excluded from participation in, be denied benefits of, or be subject to discrimination under any program or activity receiving federal financial assistance. (42 U.S.C. 6101 et seq.)
4. Section 504 of the Rehabilitation Act of 1973 provides that no otherwise qualified individual with a disability in the United States, shall, solely by reason of his/her disability, be excluded from participation in, be denied benefits of, or be subject to discrimination under any program or activity receiving federal financial assistance. (29 U.S.C. 794)
5. The Americans with Disabilities Act of 1990 ("ADA") prohibits discrimination on the basis of disability in employment (Title I), state and local government services (Title II), places of public accommodation and commercial facilities (Title III). (42 U.S.C. 12101-12213)

The Byrd Anti-Lobbying Amendment, 31 U.S.C. 1352, prohibits recipients of federal contracts, grants, and loans from using appropriated funds to influence the Executive or Legislative Branches of the Federal Government in connection with a specific contract, grant, cooperative agreement, loan, or any other award covered by �1352. 18 U.S.C. 1913 makes it a crime to use funds appropriated by Congress to influence members of Congress regarding congressional legislation or appropriations. Finally, Attachment B25 of Office of Management and Budget Circular A-122 designates the following as unallowable charges to grant funds or cost sharing: certain electioneering activities, financial support for political parties, attempts to influence federal or state legislation either directly or through grass roots lobbying, and some legislative liaison activities.

Therefore, any costs associated with lobbying activities will have to be recorded separately in a council's books to insure that they are not charged to grant funds or to the council's mandated cost sharing on its awards. Furthermore, any portion of the state humanities council's membership dues that are paid to the Federation of State Humanities Councils from the NEH's grant funds or the council's mandated cost sharing may not be used to support the Federation's lobbying activities.

The NEH is required by the provisions of its appropriations act to include the text of 18 U.S.C. 1913 in all of its grant and contract documents.

Text of 18 U.S.C. 1913: No part of the money appropriated by any enactment of Congress shall, in the absence of express authorization by Congress, be used directly or indirectly to pay for any personal service, advertisement, telegram, telephone, letter, printed or written matter, or other device, intended or designed to influence in any manner a Member of Congress, a jurisdiction, or an official of any government, to favor, adopt, or oppose, by vote or otherwise, any legislation, law, ratification, policy, or appropriation, whether before or after the introduction of any bill, measure, or resolution proposing such legislation, law, ratification, policy, or appropriation; but this shall not prevent officers or employees of the United States or of its departments or agencies from communicating to any such Member or official, at his request, or to Congress or such official, through the proper official channels, requests for any legislation, law, ratification, policy, or appropriations which they deem necessary for the efficient conduct of the public business, or from making any communication whose prohibition by this section might, in the opinion of the Attorney General, violate the Constitution or interfere with the conduct of foreign policy, counter-intelligence, intelligence, or national security activities. Violations of this section shall constitute violations of section 1352(a) of title 31.

1. have an on-going drug-free awareness program;
2. publish a drug-free workplace statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the recipient's workplace;
3. maintain evidence that this statement was given to each employee engaged in the performance of the award;
4. take actions concerning employees who are convicted of violating drug statutes in the workplace; and
5. identify in documents kept on file in its office all known workplace(s) where award activities will be carried out. Councils should therefore indicate that, in addition to their office space, anywhere their staff carries our council activities is considered a part of the workplace.

The state councils must comply, and must require their subrecipients (e.g., regrantees, seminar participants, and contractors receiving $25,000 or more) to comply with the NEH regulations contained at Subpart C of 45 CFR Part 1169, "Governmentwide Debarment and Suspension (Nonprocurement)" available on the NEH website at http://www.neh.gov.

Recipients of regrant awards supporting the construction of a free-standing structure, building renovations, or additions to buildings of any age are required to consult with their state historic preservation officer to determine whether a property or site is listed, or is eligible for listing, in the National Register of Historic Places.

1. If the property is not listed or eligible for listing in the National Register, then the preservation officer's eligibility determination may be retained by the state humanities council and filed in the regrant file.
2. If the property is eligible for or is listed in the National Register, then the regrant recipient must obtain the state historic preservation officer's written comments as to the effect of the project on the building or site, in accordance with the guidelines set forth in the Secretary of the Interior's "Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings." This letter must be provided to the NEH before any federal funds are released to the regrantee.

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²State councils may not use NEH general support grant funds for construction or renovation of council-owned  facilities; see Article 9.

Arrangements for liability and medical insurance for staff and foreign workers engaged on project activities are the responsibility of the grantee.

The NEH does not assume responsibility for grantee compliance with the laws and regulations of the country in which work is to be conducted.

The federal government has the right to obtain, reproduce, publish or otherwise use the data first produced under a grant and authorize others to do so for government purposes.

Research misconduct is defined as fabrication, falsification, or plagiarism in proposing, performing, or reviewing research, or in reporting research results.

The grantee bears primary responsibility for prevention and detection of research misconduct and for the inquiry, investigation, and adjudication of research misconduct alleged to have occurred in association with its own institution.

The NEH Inspector General in most cases will refer an allegation of research misconduct made directly to the NEH to the appropriate grant recipient and will rely on the grantee to make the initial response. Circumstances in which the NEH may elect not to defer to the grantee include, but are not limited to, the following: the agency determines the grantee is not prepared to handle the allegation in a manner consistent with this policy; agency involvement is needed to protect the public interest; or the allegation involves an entity of sufficiently small size that it cannot reasonably conduct the investigation itself. At any time, however, the NEH may proceed with its own inquiry or investigation. If the allegation of research misconduct is first made to the grantee, the grantee will notify the NEH if the allegation meets the definition of research misconduct given above, and if the grantee's inquiry into the allegation determines there is sufficient evidence to proceed to an investigation.

At any time during an inquiry or investigation, the grantee will immediately notify the NEH if NEH resources or interests are threatened; if public health or safety is at risk; if research activities should be suspended; if there is reasonable indication of possible violations of civil or criminal law; if federal action is required to protect the interests of those involved in the investigation; if the grantee believes the inquiry or investigation may be made public prematurely so that appropriate steps can be taken to safeguard evidence and protect the rights of those involved; or if the research community or public should be informed.

The NEH will make a finding of misconduct or take action on such a finding only after careful inquiry and investigation by a grantee, by another federal agency or by the NEH. In the event of a finding of research misconduct, the NEH will determine what administrative actions are appropriate.

Administrative actions available include, but are not limited to, appropriate steps to correct the research record; letters of reprimand; the imposition of special certification or assurance requirements to ensure compliance with applicable regulations or terms of an award; suspension or termination of an active award; or suspension and debarment in accordance with applicable NEH and government-wide rules on suspension and debarment. In the event of suspension or debarment, the information is made publicly available through the Excluded Parties List System at http://www.epls.gov, maintained by the U.S. General Services Administration. If the NEH Inspector General believes that criminal or civil fraud violations may have occurred, the Inspector General shall promptly inform the Department of Justice.

1. by the NEH, if a grantee materially fails to comply with the terms and conditions of an award;
2. by the NEH when the NEH has other reasonable cause;
3. by the NEH, when ordered under the NEH Research Misconduct Policy;
4. by the NEH with the consent of the grantee, in which case the two parties shall agree upon the termination conditions, including the effective date and, in the case of partial termination, the portion of the project to be terminated; or
5. by the grantee upon sending to the NEH written notification setting forth the reasons for such termination, the effective date, and, in the case of partial termination, the portion of the project to be terminated. However, if the NEH determines that the reduced or modified portion of the award will not accomplish the purposes for which the award was made, it may terminate the award in its entirety either unilaterally or with the consent of the grant recipient.

When the NEH determines that a grantee has failed to comply with the terms and conditions of the award, the NEH may suspend or terminate the award for cause. Normally, this action will be taken only after the grantee has been notified of the deficiency and given sufficient time to correct it, but this does not preclude immediate suspension or termination when such action is required to protect the interests of the government.

In the event that an award is suspended and corrective action is not taken within 90 days of the effective date, the NEH may issue a notice of termination. No costs that are incurred during the suspension period or after the effective date of termination will be allowable except those that are specifically authorized by the suspension or termination notice or those that, in the opinion of the NEH, could not have been reasonably avoided.

Within 30 days of the termination date, the grantee shall furnish to the NEH a summary of progress achieved under the award, an itemized accounting of charges incurred against award funds and cost sharing prior to the effective date of the suspension or termination, and a separate accounting and justification for any costs that may have been incurred after this date.