# DoD Grant and Agreement Regulations

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URL: https://www.frixlaw.com/law-library/documents/fr%3A96-20777

## Record

- **Collection:** Federal Register
- **Document type:** Proposed Rule
- **Published:** August 26, 1996
- **Citation:** 61 FR 43867

## Text

SUMMARY: The Department of Defense is taking the next step toward
establishing the DoD Grant and Agreement Regulations. They are being
established to satisfy a need for uniform policies and procedures for
DoD Components' award and administration of grants and cooperative
agreements.
The Department of Defense proposes to add four new parts and to
make minor amendments that update two of the four existing parts of the
DoD Grant and Agreement Regulations. The four proposed new parts:
address DoD Components' overall management of grant and agreement
functions; set forth DoD Components' and grants officers'
responsibilities related to the award and administration of grants and
agreements; implement administrative requirements in OMB Circular A-110
for grants and agreements awarded to institutions of higher education
and other nonprofit organizations; and establish administrative
requirements for awards to commercial organizations. The proposed minor
amendments to two existing parts: provide DoD-specific procedures
related to Governmentwide restrictions on lobbying; and update
administrative requirements for awards to State and local governments,
to conform with recent changes in statutes and statutory
implementation.

DATES: Comments are due on or before October 25, 1996.

ADDRESSES: Forward comments to ODDR&E(R), ATTN: Mark Herbst, 3080
Defense Pentagon, Washington, DC 20301-3080.

FOR FURTHER INFORMATION CONTACT: Mark Herbst, (703) 614-0205.

SUPPLEMENTARY INFORMATION:

Steps Taken to Date To Establish the DoD Grant and Agreement
Regulations

In 1992, the Department of Defense (DoD) took the first step toward
establishing the DoD Grant and Agreement Regulations. At that time (see
57 FR 6199, February 21, 1992), DoD redesignated into Subchapter B of
Chapter I of Title 32 of the Code of Federal Regulations three
Governmentwide rules: debarment, suspension, and drug-free workplace
requirements, now at 32 CFR Part 25; lobbying restrictions, now at 32
CFR Part 28; and administrative requirements for grants and cooperative
agreements to State and local governments, now at 32 CFR Part 33.
The Department of Defense now takes the second step toward
establishing the regulations. In this second step, the Department
proposes to make minor amendments to update the existing parts 28 and
33 in Subchapter B of Chapter I, and to adopt the new parts 21, 22, 32,
and 34.

Additional Information About Proposed Amendments to Parts 28 and 33

The proposed amendments to part 28, ``New Restrictions on
Lobbying,'' would implement the DoD-specific statutory authority to
waive certain restrictions. The proposed amendments to part 33,
``Uniform Administrative Requirements for Grants and Cooperative
Agreements to State and Local Governments,'' are needed to implement
the Resource Conservation and Recovery Act (42 U.S.C. 6962) and
statutory changes made by the Federal Acquisition Streamlining Act of
1994.

Additional Information About Proposed Parts 21 and 22

Parts 21 and 22 primarily establish internal DoD policies and
procedures. Part 21 addresses DoD Components' overall management of
grant and cooperative agreement functions. Part 22 outlines grants
officers' and DoD Components' responsibilities related to the award and
administration of grants and cooperative agreements.
In addition to establishing internal policies and procedures, the
proposed parts 21 and 22 implement several statutes that apply to DoD
grants and agreements, including: requirements in 31 U.S.C. 6101, et
seq., to report data on assistance awards and programs (implemented in
subpart C, part 21); provisions of 31 U.S.C. 6301, et seq., concerning
the appropriate use of grants and cooperative agreements (implemented
in subpart B, part 22); and statutes concerning the use of competitive
procedures, such as 10 U.S.C. 2374 (implemented in subpart C, part 22),
which was enacted by the Federal Acquisition Streamlining Act of 1994.
To reduce burdens on recipients, section 22.510 of the proposed
part 22 allows a streamlined certification method that reduces the
paperwork associated with obtaining required certifications. This is
consistent with the National Performance Review's recommendation that
the Government explore methods for eliminating needless paperwork by
simplifying the compliance certification process, a recommendation that
the Department of Defense heartily supports. The Department expects
that initiatives to increase the use of electronic commerce in agency
announcements of programs, recipients' submission of proposals, and
transmission of award documents, ultimately will enable even less
burdensome means for obtaining required certifications than the method
proposed in part 22.
One section within subpart E of the proposed part 22 is reserved,
because DoD intends to redesignate an existing rule into that section
when part 22 is finalized. That rule, currently codified at 32 CFR Part
23, implements a law concerning military recruiters' access to
university campuses.

Additional Information About Proposed Part 32

The proposed part 32 specifies administrative requirements for
grants and cooperative agreements with universities and other non-
profit organizations. It thereby implements the Governmentwide guidance
in the updated, OMB Circular A-110, ``Uniform Administrative
Requirements for Grants and Agreements With Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations.''
During the comment period on the proposed part 32, and until DoD
adopts a final version as its implementation of the November, 1993,
version of OMB Circular A-110 [58 FR 62992], DoD Components will
incorporate terms and conditions in grants and cooperative agreements
to universities and other nonprofit entities that provide for
recipients' administration of those awards in accordance with that
updated version of the Circular. Most DoD Components' awards already do
so, an interim practice that was authorized in February, 1994. By
standardizing this interim practice within the remaining DoD
Components, DoD will provide uniform requirements that parallel those
of other Federal agencies, thereby alleviating unnecessary burdens on
recipients. Award terms and conditions will provide for compliance with
part 32 when it is finalized, superseding the interim practice.
The proposed part 32 adopts the language of the updated OMB
Circular, except for clarifying changes and a few changes to reduce
paperwork requirements and conform the rule to recent changes in
regulation and statute. None of the clarifying changes are intended to
deviate from the substance

[[Page 43868]]

in the Circular. The few other changes are as follows:
In keeping with the spirit of the National Performance
Review and the Circular, the proposed section 32.44 would reduce
reporting and record keeping burdens on small entities. It provides
that recipients that receive less than $10 million annually in contract
and grant funding will not be required to have written procurement
procedures. With this change, the requirements of part 32 will be more
comparable to those applicable to contractors under the Federal
Acquisition Regulations.
The proposed part 32 deletes provisions of the Circular
concerning the Cash Management Improvement Act (CMIA). The Circular
language was based on the Department of Treasury's original
implementation of CMIA, which applied the Act's provisions to some
state universities. Subsequent to OMB's issuance of the Circular,
however, the Department of Treasury amended its regulations
implementing CMIA, to exclude state universities from the coverage.
The proposed part 32 updates references to the small
purchase threshold (previously $25,000) fixed at 41 U.S.C. 403(11), to
reflect the simplified acquisition threshold (currently $100,000)
established at 41 U.S.C. 403(11) by the Federal Acquisition
Streamlining Act of 1994.
The proposed section 32.25 deletes Circular language that
authorizes a Federal agency to waive the requirement for recipients to
obtain the agency's approval before initiating a one-time, no-cost
extension of an award for a 12-month period. The language is deleted
because DoD incremental funding policies are to use a given fiscal
year's appropriations to support programmatic effort for specified
periods (e.g., research funds usually are for effort only through the
first three months of the next fiscal year). DoD Components therefore
must scrutinize requests for no-cost extensions, when those extensions
could lengthen by a year the period during which a given fiscal year's
appropriations would be used.

Additional Information About Proposed Part 34

The proposed part 34 specifies administrative requirements for
grants and for most cooperative agreements with commercial
organizations. Consistent with the updated OMB Circular A-110, which
states that ``Federal agencies may apply the provisions of this
Circular to commercial organizations . . . ,'' the proposed part 34
uses the Circular as its basis. It necessarily differs from Circular A-
110 in areas (e.g., exempt property) where the Circular's provisions
are specifically written for educational and nonprofit organizations.
In some other areas, such as procurement standards, the proposed part
34 lessens requirements and reduces administrative burdens that
otherwise would be applied to commercial organizations.

Remaining Step To Establish the DoD Grant and Agreement Regulations

The final major step in establishing the DoD Grant and Agreement
Regulations will be to adopt one additional part on selected research
agreements with commercial organizations. That part, which currently is
being prepared, is intended to provide more flexible administrative
requirements than those in the proposed part 34. The greater
flexibility would be available for a certain class of research
agreements that is designed to help integrate the defense and non-
defense portions of the U.S. technology and industrial bases.

Executive Order 12866

The proposed part 32 was determined to be a ``significant
regulatory action,'' as defined by Executive Order 12866, by the
Administrator of OMB's Office of Information and Regulatory Affairs.
The Department of Defense believes that none of the proposed rules
will: (1) have an annual effect on the economy of $100 million or more
or adversely affect in a material way the economy, a sector of the
economy, productivity, competition, jobs, the environment, public
health or safety, or State, local, or tribal governments or
communities; (2) create a serious inconsistency or otherwise interfere
with an action taken or planned by another agency; (3) materially alter
the budgetary impact of entitlements, grants, user fees, or loan
programs or the rights and obligations of recipients thereof; or (4)
raise novel legal or policy issues arising out of legal mandates, the
President's priorities, or the principles set forth in Executive Order
12866.

Regulatory Flexibility Act of 1980 [5 U.S.C. 605(b)]

These regulatory actions will not have a significant adverse impact
on a substantial number of small entities.

Paperwork Reduction Act of 1995 (44 U.S.C. 3500 et seq.)

These regulatory actions will not impose any new reporting or
recordkeeping requirements under the Paperwork Reduction Act. Reporting
and recordkeeping requirements in the proposed parts 32 and 34 are
those promulgated by the updated OMB Circular A-110, which the Office
of Mangement and Budget proposed in August, 1992 [57 FR 39018], asking
for public comments, and finalized in November, 1993 [58 FR 62992].

List of Subjects

32 CFR Part 21

Grant programs, Grants administration.

32 CFR Part 22 -

Accounting, Grant programs, Grants administration,
Intergovernmental relations, Reporting and recordkeeping requirements.

32 CFR Part 28 -

Grant programs, Loan programs, Lobbying, Penalties, Reporting and
recordkeeping requirements.

32 CFR Part 32 -

Accounting, Colleges and universities, Grant programs, Grants
administration, Hospitals, Nonprofit organizations, Reporting and
recordkeeping requirements.

32 CFR Part 33 -

Accounting, Grant programs, Grants administration, Indians,
Intergovernmental relations, Reporting and recordkeeping requirements.

32 CFR Part 34 -

Accounting, Business and industry, Grant programs, Grants
administration, Reporting and recordkeeping requirements.

Accordingly, Title 32 of the Code of Federal Regulations, Chapter
I, Subchapter B, is proposed to be amended as follows.
1. The heading of Subchapter B is proposed to be revised to read as
follows:

SUBCHAPTER B--DoD GRANT AND AGREEMENT REGULATIONS

2. Part 21 is proposed to be added to read as follows:

PART 21--DoD GRANTS AND AGREEMENTS--GENERAL MATTERS

Subpart A--Defense Grant and Agreement Regulatory System

Sec.
21.100 Scope.
21.105 Authority, purpose, and issuance.
21.110 Applicability and relationship to acquisition regulations.
21.115 Compliance and implementation.
21.120 Publication and maintenance.
21.125 Deviations.
21.130 Definitions.

[[Page 43869]]

Subpart B--Authorities and Responsibilities

21.200 Purpose.
21.205 DoD Components' authorities.
21.210 Vesting and delegation of authority.
21.215 Contracting activities.
21.220 Grants officers.

Subpart C--Grants Information

21.300 Purpose.
21.305 Defense Assistance Awards Data System.
21.310 Catalog of Federal Domestic Assistance.
21.315 Uniform grants and agreements numbering system.

Authority: 5 U.S.C. 301 and 10 U.S.C. 113.

Subpart A--Defense Grant and Agreement Regulatory System

Sec. 21.100 Scope.

The purposes of this part, which is one portion of the DoD Grant
and Agreement Regulations (DoDGARs), are to: -
(a) Provide general information about the DoDGARs. -
(b) Set forth general policies and procedures related to DoD
Components' overall management of functions related to grants and
cooperative agreements.

Sec. 21.105 Authority, purpose, and issuance.

(a) DoD Directive 3210.6 \1\ established the Defense Grant and
Agreement Regulatory System (DGARS). The directive authorized
publication of policies and procedures comprising the DGARS in the DoD
Grant and Agreement Regulations (DoDGARs), in DoD instructions, and in
other DoD publications, as appropriate. Thus, the DoDGARs are one
element of the DGARS.
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\1\ Copies may be obtained, at cost, from the National Technical
Information Service, 5285 Port Royal Road, Springfield, VA 22161.
Authorized users may also obtain copies from the Defense Technical
Information Center, 8725 John J. Kingman Rd., Suite 0944, Fort
Belvoir, VA 22060-6218.
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(b) The purposes of the DoDGARs, in conjunction with other elements
of the DGARS, are to provide uniform policies and procedures for grants
and cooperative agreements awarded by DoD Components, in order to meet
DoD needs for:
(1) Efficient program execution, effective program oversight, and
proper stewardship of Federal funds.
(2) Compliance with relevant statutes; Executive orders; and
applicable guidance, such as Office of Management and Budget (OMB)
circulars.
(3) Collection from DoD Components, retention, and dissemination of
management and fiscal data related to grants and agreements.
(c) The Director of Defense Research and Engineering, or his or her
designee:
(1) Develops and implements DGARS policies and procedures.
(2) Issues and maintains the DoD Grant and Agreement Regulations
and other DoD publications that comprise the DGARS.

Sec. 21.110 Applicability and relationship to acquisition regulations.

(a) Applicability to grants and cooperative agreements. The DoD
Grant and Agreement Regulations (DoDGARs) apply to all DoD grants and
cooperative agreements.-
(b) Applicability to other nonprocurement instruments. (1) In
accordance with DoD Directive 3210.6, the DoDGARs may include rules
that apply to other nonprocurement instruments, when specifically
required in order to implement a statute, Executive order, or
Governmentwide rule that applies to other nonprocurement instruments,
as well as to grants and cooperative agreements. For example, the rule
on nonprocurement debarment and suspension in 32 CFR part 25, subparts
A through E, applies to all nonprocurement transactions, including
grants, cooperative agreements, contracts of assistance, loans and loan
guarantees (see definition of ``primary covered transaction'' at 32 CFR
25.110(a)(1)(i)). -
(2) The following is a list of DoDGARs rules that apply not only to
grants and cooperative agreements, but also to other types of
nonprocurement instruments: -
(i) Requirements for reporting to the Defense Assistance Award Data
System, in subpart C of this part. -
(ii) The rule on nonprocurement debarment and suspension in 32 CFR
part 25, subparts A through E. -
(iii) Drug-free workplace requirements in 32 CFR part 25, subpart
F. -
(iv) Restrictions on lobbying in 32 CFR part 28. -
(v) Administrative requirements for grants, cooperative agreements,
and other financial assistance to: -
(A) Universities and other nonprofit organizations, in 32 CFR part
32. -
(B) State and local governments, in 32 CFR part 33. -
(3) Grants officers should be aware that each rule that applies to
other types of nonprocurement instruments (i.e., other than grants and
cooperative agreements) states its applicability to such instruments.
However, grants officers must exercise caution when determining the
applicability of some Governmentwide rules that are included in the
DoDGARs, because a term may be defined differently in a Governmentwide
rule than it is defined elsewhere in the DoDGARs. For example, the
Governmentwide implementation of the Drug-Free Workplace Act of 1988
(32 CFR part 25, subpart F) states that it applies to grants, but
defines ``grants'' to include cooperative agreements and other forms of
financial assistance. -
(c) Relationship to acquisition regulations. The Federal
Acquisition Regulation (FAR) (48 CFR parts 1-53), the Defense Federal
Acquisition Regulation Supplement (DFARS) (48 CFR parts 201-270), and
DoD Component supplements to the FAR and DFARS apply to DoD Components'
procurement contracts used to acquire goods and services for the direct
benefit or use of the Federal Government. Policies and procedures in
the FAR and DFARS do not apply to grants, cooperative agreements, or
other nonprocurement transactions unless the DoDGARs specify that they
apply.

Sec. 21.115 Compliance and implementation. -

The Head of each DoD Component that awards or administers grants
and cooperative agreements, or his or her designee: -
(a) Is responsible for ensuring compliance with the DoDGARs within
that DoD Component. -
(b) May authorize the issuance of regulations, procedures, or
instructions that are necessary to implement DGARS policies and
procedures within the DoD Component, or to supplement the DoDGARs to
satisfy needs that are specific to the DoD Component, as long as such
regulations, procedures, or instructions do not impose additional costs
or administrative burdens on recipients or potential recipients. Heads
of DoD Components or their designees shall establish policies and
procedures in areas where uniform policies and procedures throughout
the DoD Component are required, such as for: -
(1) Requesting class deviations from the DoDGARs (see Sec. 21.125)
or exemptions from the provisions of 31 U.S.C. 6301 et seq., that
govern the appropriate use of contracts, grants, and cooperative
agreements (see 32 CFR 22.220). -
(2) Designating one or more Grant Appeal Authorities to resolve
claims, disputes, and appeals (see 32 CFR 22.815). -
(3) Reporting data on assistance awards and programs, as required
by 31 U.S.C. chapter 61 (see subpart C of this part). -
(4) Prescribing requirements for use and disposition of real
property acquired under awards, if the DoD

[[Page 43870]]

Component makes any awards to institutions of higher education or to
other nonprofit organizations under which real property is acquired in
whole or in part with Federal funds (see 32 CFR 32.32).

Sec. 21.120 Publication and maintenance. -

(a) The DoDGARs are published as Chapter I, Subchapter B, Title 32
of the Code of Federal Regulations (CFR) and in a separate loose-leaf
edition. The loose-leaf edition is divided into parts, subparts, and
sections, to parallel the CFR publication. Cross-references within the
DoDGARs are stated as CFR citations (e.g., a reference to section
21.115 in part 21 would be to 32 CFR 21.115). -
(b) Updates to the DoDGARs are published in the Federal Register.
When finalized, updates also are published as Defense Grant and
Agreement Circulars, with revised pages for the separate, loose-leaf
edition. -
(c) Revisions to the DoDGARs are recommended to the Director of
Defense Research and Engineering (DDR&E) by a standing working group.
The DDR&E, Director of Defense Procurement, and each Military
Department shall be represented on the working group. Other DoD
Components that use grants or cooperative agreements may also nominate
representatives. The working group meets when necessary.

Sec. 21.125 Deviations.

(a) The Head of the DoD Component or his or her designee may
authorize individual deviations from the DoDGARs, which are deviations
that affect only one grant or agreement, if such deviations are not
prohibited by statute, executive order or regulation.
(b) Class deviations that affect more than one grant or agreement
must be approved in advance by the Director, Defense Research and
Engineering (DDR&E) or his or her designee. Note that OMB concurrence
also is required for deviations from two parts of the DoDGARs, 32 CFR
parts 32 and 33, in accordance with 32 CFR 32.4 and 33.6, respectively.
(c) Copies of justifications and agency approvals for individual
deviations and written requests for class deviations shall be submitted
to:--Deputy Director, Defense Research and Engineering, ATTN: Research,
3080 Defense Pentagon, Washington D.C. 20301-3080.
(d) Copies of requests and approvals for individual and class
deviations shall be maintained in award files.

Sec. 21.130 Definitions.

Acquisition. The acquiring (by purchase, lease, or barter) of
property or services for the direct benefit or use of the United States
Government (see more detailed definition at 48 CFR 2.101). In
accordance with 31 U.S.C. 6303, procurement contracts are the
appropriate legal instruments for acquiring such property or services.
Assistance. The transfer of a thing of value to a recipient to
carry out a public purpose of support or stimulation authorized by a
law of the United States (see 31 U.S.C. 6101(3)). Grants and
cooperative agreements are examples of legal instruments used to
provide assistance.
Contract. See the definition for procurement contract in this
section.
Contracting activity. An activity to which the Head of a DoD
Component has delegated broad authority regarding acquisition
functions, pursuant to 48 CFR 1.601.
Contracting officer. A person with the authority to enter into,
administer, and/or terminate contracts and make related determinations
and findings. A more detailed definition of the term appears at 48 CFR
2.101.
Cooperative agreement. A legal instrument which, consistent with 31
U.S.C. 6305, is used to enter into the same kind of relationship as a
grant (see definition ``grant''), except that substantial involvement
is expected between the Department of Defense and the recipient when
carrying out the activity contemplated by the cooperative agreement.
The term does not include ``cooperative research and development
agreements'' as defined in 15 U.S.C. 3710a.
Deviation. The issuance or use of a policy or procedure that is
inconsistent with the DoDGARs.
DoD Components. The Office of the Secretary of Defense, the
Military Departments, the Defense Agencies, and DoD Field Activities.
Grant. A legal instrument which, consistent with 31 U.S.C. 6304, is
used to enter into a relationship:
(1) The principal purpose of which is to transfer a thing of value
to the recipient to carry out a public purpose of support or
stimulation authorized by a law of the United States, rather than to
acquire property or services for the Department of Defense's direct
benefit or use.
(2) In which substantial involvement is not expected between the
Department of Defense and the recipient when carrying out the activity
contemplated by the grant.
Grants officer. An official with the authority to enter into,
administer, and/or terminate grants or cooperative agreements.
Nonprocurement instrument. A legal instrument other than a
procurement contract. Examples include instruments of financial
assistance, such as grants or cooperative agreements, and those of
technical assistance, which provide services in lieu of money.
Procurement contract. A legal instrument which, consistent with 31
U.S.C. 6303, reflects a relationship between the Federal Government and
a State, a local government, or other person when the principal purpose
of the instrument is to acquire property or services for the direct
benefit or use of the Federal Government. See the more detailed
definition for contract at 48 CFR 2.101.
Recipient. An organization or other entity receiving a grant or
cooperative agreement from a DoD Component.

Subpart B--Authorities and Responsibilities

Sec. 21.200 Purpose.

This subpart describes the sources and flow of authority to use
grants and cooperative agreements, and assigns the broad
responsibilities associated with DoD Components' use of such
instruments.

Sec. 21.205 DoD Components' authorities.

(a) In accordance with 31 U.S.C. 6301 et seq., DoD Components shall
use grants and cooperative agreements as legal instruments reflecting
assistance relationships between the United States Government and
recipients.
(b) Unlike the use of procurement contracts (for which Federal
agencies have inherent, Constitutional authority), use of grants or
cooperative agreements requires specific statutory authority. DoD
Components may award grants and cooperative agreements under a number
of statutory authorities that fall into three categories:
(1) Authorities that statutes provide to the Secretary of Defense.
These authorities generally are delegated by the Secretary of Defense
to Heads of DoD Components, usually through DoD directives,
instructions, or policy memoranda that are not part of the Defense
Grant and Agreement Regulatory System. Examples of statutory
authorities in this category are:
(i) Authority under 10 U.S.C. 2391 to make grants or conclude
cooperative agreements to assist State and local governments in
planning and carrying out community adjustments and economic
diversification required by changes in military installations or in DoD
contracts or spending that may have a direct and significant adverse

[[Page 43871]]

consequence on the affected community.
(ii) Authority under 10 U.S.C. 2413 to enter into cooperative
agreements with entities that furnish procurement technical assistance
to businesses.
(2) Authorities that statutes may provide directly to Heads of DoD
Components. For example, 10 U.S.C. 2358 authorizes the Secretaries of
the Military Departments, in addition to the Secretary of Defense, to
perform research and development projects through grants and
cooperative agreements. A Military Department's use of the authority of
10 U.S.C. 2358 therefore requires no delegation by the Secretary of
Defense.
(3) Authorities that arise indirectly as the result of statute. For
example, authority to use a grant or cooperative agreement may result
from:
(i) A federal statute authorizing a program that is consistent with
an assistance relationship (i.e., the support or stimulation of a
public purpose, rather than the acquisition of a good or service for
the direct benefit of the Department of Defense). In accordance with 31
U.S.C. chapter 63, such a program would appropriately be carried out
through the use of grants or cooperative agreements.
(ii) Exemptions requested by the Department of Defense and granted
by the Office of Management and Budget under 31 U.S.C. 6307, as
described in 32 CFR 22.220.

Sec. 21.210 Vesting and delegation of authority.

(a) The authority and responsibility for awarding grants and
cooperative agreements is vested in the Head of each DoD Component that
has such authority.
(b) The Head of each such DoD Component, or his or her designee,
may delegate to the heads of contracting activities (HCAs) within that
Component, authority to award grants or cooperative agreements, to
appoint grants officers (see Sec. 21.220(c)), and to broadly manage the
DoD Component's functions related to grants and agreements. An HCA is
the same official (or officials) designated as the head of the
contracting activity for procurement contracts, as defined at 48 CFR
2.101--the intent is that overall management responsibilities for a DoD
Component's functions related to nonprocurement instruments be assigned
only to officials that have similar responsibilities for procurement
contracts.

Sec. 21.215 Contracting activities.

When designated by the Head of the DoD Component or his or her
designee (see 32 CFR 22.210(b)), the HCA is responsible for the grants
and cooperative agreements made by or assigned to that activity. He or
she shall supervise and establish internal policies and procedures for
that activity's assistance awards.

Sec. 21.220 Grants officers. -

(a) Authority. Only grants officers are authorized to sign grants
or cooperative agreements, or to administer or terminate such legal
instruments on behalf of the Department of Defense. Grants officers may
bind the Government only to the extent of the authority delegated to
them. -
(b) Responsibilities. Grants officers should be allowed wide
latitude to exercise judgment in performing their responsibilities.
Grants officers are responsible for ensuring that: --
(1) Individual grants and cooperative agreements are used
effectively in the execution of DoD programs, and are awarded and
administered in accordance with applicable laws, Executive orders,
regulations, and DoD policies. --
(2) Sufficient funds are available for obligation. --
(3) Recipients of grants and cooperative agreements receive
impartial, fair, and equitable treatment. -
(c) Selection, appointment and termination of appointment of grants
officers. Each DoD Component that awards grants or enters into
cooperative agreements shall have a formal process (see Sec. 21.210(b))
to select and appoint grants officers and terminate their appointments.
DoD Components are not required to maintain a selection process for
grants officers separate from the selection process for contracting
officers, and written statements of appointment or termination for
grants officers may be integrated into the necessary documentation for
contracting officers, as appropriate. --
(1) Selection. In selecting grants officers, appointing officials
shall consider the complexity and dollar value of the grants and
agreements to be assigned and judge whether candidates possess the
necessary experience, training, education, business acumen, judgment,
and knowledge of contracts and assistance instruments to function
effectively as grants officers. --
(2) Appointment. Statements of appointment shall be in writing and
shall clearly state the limits of grants officers' authority, other
than limits contained in applicable laws or regulations. Information on
the limits of a grants officer's authority shall be readily available
to the public and agency personnel. --
(3) Termination. Written statements of termination are required,
unless the written statement of appointment provides for automatic
termination. No termination shall be retroactive.

Subpart C--Grants Information

Sec. 21.300 Purpose. -

This subpart prescribes policies and procedures for compiling and
reporting data related to grants, cooperative agreements, and other
nonprocurement instruments subject to information reporting
requirements of 31 U.S.C. chapter 61.

Sec. 21.305 Defense Assistance Awards Data System. -

(a) Purposes of the system. Data from the Defense Assistance Awards
Data System (DAADS) are used to provide: --
(1) DoD inputs to meet statutory requirements for Federal
Governmentwide reporting of data related to obligations of funds by
grant, cooperative agreement, or other nonprocurement instrument. --
(2) A basis for meeting Governmentwide requirements to report to
the Federal Assistance Awards Data System maintained by the Department
of Commerce and for preparing other recurring and special reports to
the President, the Congress, the General Accounting Office, and the
public. --
(3) Information to support policy formulation and implementation
and to meet management oversight requirements related to the use of
grants, cooperative agreements, and other nonprocurement instruments. -
(b) Responsibilities. (1) The Deputy Director, Defense Research and
Engineering (DDDR&E), or his or her designee, shall issue the manual
described in paragraph (b)(2)(ii) of this section. --
(2) The Director for Information Operations and Reports, Washington
Headquarters Services (DIOR, WHS) shall, consistent with guidance
issued by the DDDR&E:----
(i) Process DAADS information on a quarterly basis and prepare
recurring and special reports using such information. ----
(ii) Prepare, update, and disseminate ``Department of Defense
Assistance Awards Data System,'' an instruction manual for reporting
information to DAADS. The manual, which shall be issued by the office
of the DDR&E, shall specify procedures, formats, and editing processes
to be used by DoD Components, including magnetic tape layout and error
correction schedules. --
(3) The following offices shall serve as central points for
collecting DAADS

[[Page 43872]]

information from contracting activities within the DoD Components: ----
(i) For the Army: As directed by the U.S. Army Contracting Support
Agency. ----
(ii) For the Navy: As directed by the Office of Naval Research. ---
-
(iii) For the Air Force: As directed by SAF/AQCP. ----
(iv) For the Office of the Secretary of Defense, Defense Agencies,
and DoD Field Activities: Each Defense Agency shall identify a central
point for collecting and reporting DAADS information to the DIOR, WHS,
at the address given in paragraph (c)(2) of this section. DIOR, WHS
shall serve as the central point for offices and activities within the
Office of the Secretary of Defense and for DoD Field Activities. --
(4) The office that serves, in accordance with paragraph (b)(3) of
this section, as the central point for collecting DAADS information
from contracting activities within each DoD Component shall: ----
(i) Establish internal procedures to ensure reporting by
contracting activities that use grants, cooperative agreements or other
nonprocurement instruments subject to 31 U.S.C. chapter 61. ----
(ii Collect information required by DD Form 2566, ``DoD Assistance
Award Action Report,'' from those contracting activities, and report it
to DIOR, WHS, in accordance with paragraph (d) of this section. ----
(iii) Submit to the DDDR&E, at the address given in Sec. 21.125(c),
any recommended changes to the DAADS or to the instruction manual
described in paragraph (b)(2)(ii) of this section. -
(c) Reporting procedures. The data required by the DD Form 2566
shall be: --
(1) Collected for each individual grant, cooperative agreement, or
other nonprocurement action that is subject to 31 U.S.C. chapter 61 and
involves the obligation or deobligation of Federal funds. Each action
is reported as an obligation under a specific program listed in the
Catalog of Federal Domestic Assistance (CFDA, see Sec. 21.310). The
program to be shown is the one that provided the funds being obligated
(i.e., if a grants officer in one DoD Component obligates
appropriations of another DoD Component's program, the grants officer
would show the CFDA program of the second DoD Component on the DD Form
2566). --
(2) Reported on a quarterly basis to DIOR, WHS by the offices that
are designated pursuant to paragraph (b)(3) of this section. For the
first three quarters of the Federal fiscal year, the data are due by
close-of-business (COB) on the 15th day after the end of the quarter
(i.e., first-quarter data are due by COB on January 15th, second-
quarter data by COB April 15th, and third-quarter data by COB July
15th). Fourth-quarter data are due by COB October 25th, the 25th day
after the end of the quarter. If any due date falls on a weekend or
holiday, the data are due on the next regular workday. The mailing
address for DIOR, WHS is 1215 Jefferson Davis Highway, Suite 1204,
Arlington, VA 22202-4302. --
(3) Reported on a computer tape, floppy diskette or by other means
permitted by the instruction manual described in paragraph (b)(2)(ii)
of this section. The data shall be reported in the format specified in
the instruction manual. -
(d) Report control symbol. DoD Components' reporting of DAADS data
is used by DoD to satisfy Governmentwide requirements to report to the
Federal Assistance Awards Data System, which is assigned Interagency
Report Control Number 0252-DOC-QU.

Sec. 21.310 Catalog of Federal Domestic Assistance.

(a) Purpose and scope of the reporting requirement. (1) Under the
Federal Program Information Act (31 U.S.C. 6101 et seq.), as
implemented through OMB Circular A-89,\2\ the Department of Defense is
required to provide certain information about its domestic assistance
programs to OMB and the General Services Administration (GSA). GSA
makes this information available to the public by publishing it in the
Catalog of Federal Domestic Assistance (CFDA) and maintaining the
Federal Assistance Programs Retrieval System, a computerized data base
of the information.
---------------------------------------------------------------------------

\2\ Contact the Office of Management and Budget, EOP
Publications, 725 17th St. N.W., New Executive Office Building,
Washington, D.C. 20503.
---------------------------------------------------------------------------

(2) The CFDA covers all domestic assistance programs and
activities, regardless of the number of awards made under the program,
the total dollar value of assistance provided, or the duration. In
addition to programs using grants and cooperative agreements, covered
programs include those providing assistance in other forms, such as
payments in lieu of taxes or indirect assistance resulting from Federal
operations.
(b) Responsibilities. (1) Each DoD Component that provides domestic
financial assistance shall:
(i) Report to the Director for Information Operations and Reports,
Washington Headquarters Services (DIOR, WHS) all new programs and
changes as they occur, or as DIOR, WHS requests annual updates to
existing CFDA information.
(ii) Identify to the DIOR, WHS a point-of-contact who will be
responsible for reporting such program information and for responding
to inquiries related to it.
(2) The DIOR, WHS shall act as the Department of Defense's single
office for collecting, compiling and reporting such program information
to OMB and GSA.

Sec. 21.315 Uniform grants and agreements numbering system.

DoD Components shall assign identifying numbers to all
nonprocurement instruments subject to this subpart, including grants
and cooperative agreements. The numbering system parallels the
procurement instrument identification (PII) numbering system specified
in 48 CFR 204.70 (in the ``Defense Federal Acquisition Regulation
Supplement''), as follows:
(a) The first six alphanumeric characters of the assigned number
shall be identical to those specified by 48 CFR 204.7003(a)(1) to
identify the DoD Component and contracting activity.
(b) The seventh and eighth positions shall be the last two digits
of the fiscal year in which the number is assigned to the grant,
cooperative agreement, or other nonprocurement instrument.
(c) The 9th position shall be a number: ``1'' for grants; ``2'' for
cooperative agreements; and ``3'' for other nonprocurement instruments.
(d) The 10th through 13th positions shall be the serial number of
the instrument. DoD Components and contracting activities need not
follow any specific pattern in assigning these numbers and may create
multiple series of letters and numbers to meet internal needs for
distinguishing between various sets of awards.
3. Part 22 is proposed to be added to read as follows:

PART 22--DoD GRANTS AND AGREEMENTS--AWARD AND ADMINISTRATION

Subpart A--General

Sec.
22.100 Purpose, relation to other parts, and organization.
22.105 Definitions.

Subpart B--Selecting the Appropriate Instrument

22.200 Purpose.
22.205 Distinguishing assistance from procurement.
22.210 Authority for providing assistance.
22.215 Distinguishing grants and cooperative agreements.
22.220 Exemptions.

Subpart C--Competition

22.300 Purpose.
22.305 General policy and requirement for competition.

[[Page 43873]]

22.310 Statutes concerning certain research, development, and
facilities construction grants.
22.315 Merit-based, competitive procedures.
22.320 Special competitions.
Subpart D--Recipient Qualification Matters--General Policies and
Procedures
22.400 Purpose.
22.405 Policy.
22.410 Grants officers' responsibilities.
22.415 Standards.
22.420 Pre-award procedures.

Subpart E--National Policy Matters

22.505 Purpose.
22.510 Certifications, representations, and assurances.
22.515 Provisions of annual appropriations acts.
22.520 Military recruiting on campus. [Reserved]
22.525 Paperwork Reduction Act.
22.530 Metric system of measurement.

Subpart F--Award

22.600 Purpose.
22.605 Grants officers' responsibilities.
22.610 Award instruments.

Subpart G--Field Administration

22.700 Purpose.
22.705 Policy.
22.710 Assignment of grants administration offices.
22.715 Grants administration office functions.

Subpart H--Post-Award Administration

22.800 Purpose and relation to other parts.
22.805 Post-award requirements in other parts.
22.810 Payments.
22.815 Claims, disputes, and appeals.
22.820 Debt collection.
22.825 Closeout audits.

Appendix A to Part 22--Suggested Proposal Provision for Required
Certifications

Appendix B to Part 22--Suggested Award Provisions for National Policy
Requirements That Often Apply

Appendix C to Part 22--Administrative Requirements and Issues To Be
Addressed in Award Terms and Conditions

Authority: 5 U.S.C. 301 and 10 U.S.C. 113.

Subpart A--General

Sec. 22.100 Purpose, relation to other parts, and organization.

(a) This part outlines grants officers' and DoD Components'
responsibilities related to the award and administration of grants and
cooperative agreements.
(b) In doing so, it also supplements other parts of the DoD Grant
and Agreement Regulations (DoDGARs) that are either Governmentwide
rules or DoD implementation of Governmentwide guidance in Office of
Management and Budget (OMB) Circulars. Those other parts of the
DoDGARs, which are referenced as appropriate in this part, are:
(1) Governmentwide rules on debarment, suspension and drug-free
workplace requirements, in 32 CFR part 25.
(2) The Governmentwide rule on lobbying restrictions, in 32 CFR
part 28.
(3) Administrative requirements for grants and agreements awarded
to specific types of recipients:
(i) For State and local governmental organizations, in the
Governmentwide rule at 32 CFR part 33.
(ii) For institutions of higher education and other nonprofit
organizations, at 32 CFR part 32.
(iii) For commercial organizations, at 32 CFR part 34.
(c)-The organization of this part parallels the award and
administration process, from pre-award through post-award matters. It
therefore is organized in the same manner as the parts of the DoDGARs
(32 CFR parts 32, 33, and 34) that prescribe administrative
requirements for specific types of recipients.

Sec. 22.105 Definitions.

Other than the terms defined in this section, terms used in this
part are defined in 32 CFR 21.130.
Administrative offset. An action whereby money payable by the
United States Government to, or held by the Government for, a recipient
is withheld to satisfy a delinquent debt the recipient owes the
Government.
Advanced research. Advanced technology development that creates new
technology or demonstrates the viability of applying existing
technology to new products and processes in a general way. Advanced
research is most closely analogous to precompetitive technology
development in the commercial sector (i.e., early phases of research
and development on which commercial competitors are willing to
collaborate, because the work is not so coupled to specific products
and processes that the results of the work must be proprietary). It
does not include development of military systems and hardware where
specific requirements have been defined. It is typically funded in
Budget Activity 3 (6.3, Advanced Development, which formerly was
category ``6.3A,'' Advanced Technology Development), within Research,
Development, Test and Evaluation (RDT&E).
Applied research. Efforts that attempt to determine and exploit the
potential of scientific discoveries or improvements in technology such
as new materials, devices, methods and processes. It typically is
funded within Budget Activity 2 (6.2, Exploratory Development) within
Research, Development, Test and Evaluation (RDT&E). Applied research
normally follows basic research but may not be fully distinguishable
from the related basic research. The term does not include efforts
whose principal aim is the design, development, or testing of specific
products, systems or processes to be considered for sale or
acquisition; these efforts are within the definition of
``development.''
Basic research. Efforts directed toward increasing knowledge and
understanding in science and engineering, rather than the practical
application of that knowledge and understanding. It typically is funded
within Budget Activity 1 (6.1, Basic Research) within Research,
Development, Test and Evaluation (RDT&E). For the purposes of this
part, basic research includes:
(1) Research-related, science and engineering education, including
graduate fellowships and research traineeships.
(2) Research instrumentation and other activities designed to
enhance the infrastructure for science and engineering research.
Claim. A written demand or written assertion by one of the parties
to a grant or cooperative agreement seeking as a matter of right, the
payment of money in a sum certain, the adjustment or interpretation of
award terms, or other relief arising under or relating to a grant or
cooperative agreement. A routine request for payment that is not in
dispute when submitted is not a claim. The submission may be converted
to a claim by written notice to the grants officer if it is disputed
either as to liability or amount, or is not acted upon in a reasonable
time.
Debt. Any amount of money or any property owed to a Federal Agency
by any person, organization, or entity except another United States
Federal agency. Debts include any amounts due from insured or
guaranteed loans, fees, leases, rents, royalties, services, sales of
real or personal property, or overpayments, penalties, damages,
interest, fines and forfeitures, and all other claims and similar
sources. Amounts due a nonappropriated fund instrumentality are not
debts owed the United States, for the purposes of this subchapter.
Delinquent debt. A debt:
(1) That the debtor fails to pay by the date specified in the
initial written notice from the agency owed the debt, normally within
30 days, unless the debtor makes satisfactory payment

[[Page 43874]]

arrangements with the agency by that date; and
(2) With respect to which the debtor has elected not to exercise
any available appeals or has exhausted all agency appeal processes.
Development. The systematic use of scientific and technical
knowledge in the design, development, testing, or evaluation of
potential new products, processes, or services to meet specific
performance requirements or objectives. It includes the functions of
design engineering, prototyping, and engineering testing.
Electronic commerce. A wide range of functions related to grants
and cooperative agreements which are performed using data
communications techniques.
Electronic data interchange. The exchange of standardized
information communicated electronically between business partners,
typically between computers. It is DoD policy that DoD Component EDI
applications conform to the American National Standards Institute
(ANSI), Accredited Standards Committee (ASC) X-12 standard.\1\
---------------------------------------------------------------------------

\1\ Available from Accredited Standards Committee, X-12
Secretariat, Data Interchange Standards Association, 1800 Diagonal
Road, Suite 355, Alexandria, VA 22314-2852; Attention: Manager
Maintenance and Publications.
---------------------------------------------------------------------------

Electronic funds transfer. A system that provides the authority to
debit or credit accounts in financial institutions by electronic means
rather than source documents (e.g., paper checks). Processing typically
occurs through the Federal Reserve System and/or the Automated Clearing
House (ACH) computer network. It is DoD policy that DoD Component EFT
transmissions conform to the American National Standards Institute
(ANSI), Accredited Standards Committee (ASC) X-12 standard.
Historically Black colleges and universities. Institutions of
higher education determined by the Secretary of Education to meet the
requirements of 34 CFR 608.2. Each DoD Component's contracting
activities and grants officers may obtain a list of historically Black
colleges and universities from that DoD Component's Small and
Disadvantaged Business Utilization office.
Institution of higher education. An educational institution that
meets the criteria in section 1201(a) of the Higher Education Act of
1965 (20 U.S.C. 1141(a)).
Minority institutions. Institutions of higher education that meet
the criteria for minority institutions specified in 10 U.S.C. 2323.
Each DoD Component's contracting activities and grants officers may
obtain copies of a current list of institutions that qualify as
minority institutions under 10 U.S.C. 2323 from that DoD Component's
Small and Disadvantaged Business Utilization office (the list of
minority institutions changes periodically, based on Department of
Education data on institutions' enrollments of minority students).
Research. Basic, applied, and advanced research, as defined in this
section.
Subaward. An award of financial assistance in the form of money, or
property in lieu of money, made under a DoD grant or cooperative
agreement by a recipient to an eligible subrecipient. The term includes
financial assistance for substantive program performance by the
subrecipient of a portion of the program for which the DoD grant or
cooperative agreement was made. It does not include the recipient's
procurement of goods and services needed to carry out the program.

Subpart B--Selecting the Appropriate Instrument

Sec. 22.200 Purpose.

This subpart provides the bases for determining the appropriate
type of instrument in a given situation.

Sec. 22.205 Distinguishing assistance from procurement.

Before using a grant or cooperative agreement, the grants officer
shall make a positive judgment that an assistance instrument, rather
than a procurement contract, is the appropriate instrument, based on
the following:
(a) Purpose. (1) The grants officer must judge that the principal
purpose of the activity to be carried out under the instrument is to
stimulate or support a public purpose (i.e., to provide assistance),
rather than acquisition (i.e., to acquire goods and services for the
direct benefit of the United States Government). If the principal
purpose is acquisition, then the grants officer shall judge that a
procurement contract is the appropriate instrument, in accordance with
31 U.S.C. chapter 63 (``Using Procurement Contracts and Grant and
Cooperative Agreements''). Assistance instruments shall not be used in
such situations, except:
(i) When a statute specifically provides otherwise; or
(ii) When an exemption is granted, in accordance with Sec. 22.220.
(2) For research and development, the appropriate use of grants and
cooperative agreements therefore is almost exclusively limited to the
performance of selected basic, applied, and advanced research projects.
Development projects nearly always shall be performed by contract
because their principal purpose is the acquisition of specific
deliverable items (e.g., prototypes or other hardware) for the benefit
of the Department of Defense.
(b) Fee or profit. 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 an assistance instrument, in all cases where:
(1) Fee or profit is to be paid to the recipient of the instrument;
or
(2) The instrument is to be used to carry out a program where fee
or profit is necessary to achieving program objectives.

Sec. 22.210 Authority for providing assistance.

(a) Before a grant or cooperative agreement may be used, the grants
officer must:
(1) Identify the program statute, the statute that authorizes the
DoD Component to carry out the activity the principal purpose of which
is assistance (see 32 CFR 21.205(b)).
(2) Review the program statute to determine if it contains
requirements that affect the:
(i) Solicitation, selection, and award processes. For example,
program statutes may authorize assistance to be provided only to
certain types of recipients; may require that recipients meet certain
other criteria to be eligible to receive assistance; or require that a
specific process shall be used to review recipients' proposals.
(ii) Terms and conditions of the award. For example, some program
statutes require a specific level of cost sharing or matching.
(b) The grants officer shall ensure that the award of any grant or
cooperative agreement for a research project complies with the
requirements of 10 U.S.C. 2358, DoD's broad authority to carry out
research, even if the research project is authorized under a statutory
authority other than 10 U.S.C. 2358. This broadening of the
applicability of 10 U.S.C. 2358 to all research awards is a matter of
DoD policy. The requirements of 10 U.S.C. 2358 are that, in the opinion
of the Head of the DoD Component or his or her designee, the projects
must be:
(1) Necessary to the responsibilities of the DoD Component.

[[Page 43875]]

(2) Related to weapons systems and other military needs or of
potential interest to the DoD Component.

Sec. 22.215 Distinguishing grants and cooperative agreements.

(a) Once a grants officer judges, in accordance with Secs. 22.205
and 22.210, that either a grant or cooperative agreement is the
appropriate instrument, the grants officer shall distinguish between
the two instruments as follows:
(1) Grants shall be used when the grants officer judges that
substantial involvement is not expected between the Department of
Defense and the recipient when carrying out the activity contemplated
in the agreement.
(2) Cooperative agreements shall be used when the grants officer
judges that substantial involvement is expected. Under no circumstances
are cooperative agreements to be used solely to obtain the stricter
controls typical of a contract. The grants officer should document the
nature of the substantial involvement that led to selection of a
cooperative agreement.
(b) In judging whether substantial involvement is expected, grants
officers should recognize that ``substantial involvement'' is a
relative, rather than an absolute, concept, and that it is primarily
based on programmatic factors, rather than requirements for grant or
agreement award or administration. For example, substantial involvement
may include collaboration, participation, or intervention in the
program or activity to be performed under the award.

Sec. 22.220 Exemptions.

Under 31 U.S.C. 6307, the Director of the OMB is authorized to
exempt an agency transaction or program from the requirements of 31
U.S.C. chapter 63. Grants officers shall request such exemptions only
in exceptional circumstances. Each request shall specify for which
individual transaction or program the exemption is sought; the reasons
for requesting an exemption; the anticipated consequences if the
exemption is not granted; and the implications for other transactions
and programs if the exemption is granted. The procedures for requesting
exemptions shall be:
(a) In cases where 31 U.S.C. chapter 63 would require use of a
contract and an exemption from that requirement is desired:
(1) The grants officer shall submit a request for exemption,
through appropriate channels established by his or her DoD Component
(see 32 CFR 21.115(b)(1)), to the Director of Defense Procurement
(DDP).
(2) The DDP, after coordination with the Director of Defense
Research and Engineering (DDR&E), shall transmit the request to OMB or
notify the DoD Component that the request has been disapproved.
(b) In other cases, the DoD Component shall submit a request for
the exemption through appropriate channels to the DDR&E. The DDR&E
shall transmit the request to OMB or notify the DoD Component that the
request has been disapproved.
(c) Where an exemption is granted, documentation of the approval
shall be maintained in the award file.

Subpart C--Competition

Sec. 22.300 Purpose.

This subpart establishes DoD policy and implements statutes related
to the use of competitive procedures in the award of grants and
cooperative agreements.

Sec. 22.305 General policy and requirement for competition.

(a) It is DoD policy to maximize use of competition in the award of
grants and cooperative agreements. This also conforms with:
(1) 31 U.S.C. 6301(3), which encourages the use of competition in
awarding all grants and cooperative agreements.
(2) 10 U.S.C. 2374(a), which sets out Congressional policy that any
new grant for research, development, test, or evaluation be awarded
through merit-based selection procedures.
(b) Grants officers shall use merit-based, competitive procedures
(as defined by Sec. 22.315) to award grants and cooperative agreements:
(1) In every case where required by statute (e.g., 10 U.S.C. 2361,
as implemented in Sec. 22.310, for certain grants to institutions of
higher education).
(2) To the maximum extent practicable in all cases where not
required by statute.

Sec. 22.310 Statutes concerning certain research, development, and
facilities construction grants.

(a) Definitions specific to this section. For the purposes of
implementing the requirements of 10 U.S.C. 2374 in this section, the
following terms are defined:
(1) Follow-on grant. A grant that provides for continuation of
research and development performed by a recipient under a preceding
grant. Note that follow-on grants are distinct from incremental funding
actions during the period of execution of a multi-year award.
(2) New grant. A grant that is not a follow-on grant.
(b) Statutory requirement to use competitive procedures. (1) A
grants officer shall not award a grant by other than merit-based,
competitive procedures (as defined by Sec. 22.315) to an institution of
higher education for the performance of research and development or for
the construction of research or other facilities, unless:
(i) In the case of a new grant for research and development, there
is a statute meeting the criteria in paragraph (c)(1) of this section;
(ii) In the case of a follow-on grant for research and development,
or of a grant for the construction of research or other facilities,
there is a statute meeting the criteria in paragraph (c)(2) of this
section; and
(iii) The Secretary of Defense submits to Congress a written notice
of intent to make the grant. The grant may not be awarded until 180
days have elapsed after the date on which Congress received the notice
of intent. Contracting activities must submit a draft notice of intent
with supporting documentation through channels to the Deputy Director,
Defense Research and Engineering.
(2) Because subsequently enacted statutes may, by their terms,
impose different requirements than set out in paragraph (b)(1) of this
section, grants officers shall consult legal counsel on a case-by-case
basis, when grants for the performance of research and development or
for the construction of research or other facilities are to be awarded
to institutions of higher education by other than merit-based
competitive procedures.
(c) Subsequent statutes. In accordance with 10 U.S.C. 2361 and 10
U.S.C. 2374, a provision of law may not be construed as requiring the
award of a grant through other than the merit-based, competitive
procedures described in Sec. 22.315, unless:
(1) Institutions of higher education--new grants for research and
development. In the case of a new grant for research and development to
an institution of higher education, such provision of law specifically:
(i) Identifies the particular institution of higher education
involved;
(ii) States that such provision of law modifies or supersedes the
provisions of 10 U.S.C. 2361 (a requirement that applies only if the
statute authorizing or requiring award by other than competitive
procedures was enacted after September 30, 1989); and

[[Page 43876]]

(iii) States that the award to the institution of higher education
involved is required by such provision of law to be made in
contravention of the policy set forth in 10 U.S.C. 2374(a).
(2) Institutions of higher education--follow-on grants for research
and development and grants for the construction of any research or
other facility. In the case of any such grant to an institution of
higher education, such provision of law specifically:
(i) Identifies the particular institution of higher education
involved; and
(ii) States that such provision of law modifies or supersedes the
provisions of 10 U.S.C. 2361 (a requirement that applies only if the
statute authorizing or requiring award by other than competitive
procedures was enacted after September 30, 1989).
(3) Other entities--new grants for research and development--(i)
General. In the case of a new grant for research and development to an
entity other than an institution of higher education, such provision of
law specifically:
(A) Identifies the particular entity involved;
(B) States that the award to that entity is required by such
provision of law to be made in contravention of the policy set forth in
10 U.S.C. 2374(a).
(ii) Exception. The requirement of paragraph (c)(3)(i) of this
section does not apply to any grant that calls upon the National
Academy of Sciences to:
(A) Investigate, examine, or experiment upon any subject of science
or art of significance to the Department of Defense or any Military
Department; and
(B) Report on such matters to the Congress or any agency of the
Federal Government.

Sec. 22.315 Merit-based, competitive procedures.

Competitive procedures are methods that encourage participation in
DoD programs by a broad base of the most highly qualified performers.
These procedures are characterized by competition among as many
eligible proposers as possible, with a published or widely disseminated
notice. Competitive procedures include, as a minimum:
(a) Notice to prospective proposers. The notice may be a notice of
funding availability or Broad Agency Announcement published in the
Federal Register or Commerce Business Daily, respectively, or a notice
that is made available broadly by electronic means. Alternatively, it
may take the form of a specific notice that is distributed to eligible
proposers (a specific notice must be distributed to at least two
eligible proposers to be considered as part of a competitive
procedure). Notices must include, as a minimum, the following
information:
(1) Programmatic area(s) of interest, in which proposals or
applications are sought.
(2) Eligibility criteria for potential recipients (see subpart D of
this part).
(3) Criteria that will be used to select the applications or
proposals that will be funded, and the method for conducting the
evaluation.
(4) The type(s) of funding instruments (e.g., grants, cooperative
agreements, other assistance instruments, or procurement contracts)
that are anticipated to be awarded pursuant to the announcement.
(5) Instructions for preparation and submission of a proposal or
application, including the time by which it must be submitted.
(b) At least two eligible, prospective proposers.
(c) Impartial review of the merits of applications or proposals
received in response to the notice, using the evaluation method and
selection criteria described in the notice. For research and
development awards, in order to be considered as part of a competitive
procedure, the two principal selection criteria, unless statute
provides otherwise, must be the:
(1) Technical merits of the proposed research and development; and
(2) Potential relationship of the proposed research and development
to Department of Defense missions.

Sec. 22.320 Special competitions.

(a) General. Some programs may be competed for programmatic or
policy reasons among specific classes of potential recipients. An
example would be a program to enhance U.S. capabilities for academic
research and research-coupled graduate education in defense-critical,
science and engineering disciplines, a program that would be competed
specifically among institutions of higher education. All such special
competitions shall be consistent with program representations in the
President's budget submission to Congress and with subsequent
Congressional authorizations and appropriations for the programs.
(b) Historically Black colleges and universities (HBCUs) and other
minority institutions (MIs). Increasing the ability of HBCUs and MIs to
participate in federally funded, university programs is an objective of
Executive Order 12876 (3 CFR, 1993 Comp., p. 671) and 10 U.S.C. 2323.
Whenever practicable, grants officers shall reserve appropriate
programmatic areas for exclusive competition among HBCUs and MIs when
preparing Broad Agency Announcements or other announcements as notices
for programs in which grants or cooperative agreements are to be
awarded to institutions of higher education.

Subpart D--Recipient Qualification Matters--General Policies and
Procedures

Sec. 22.400 Purpose.

The purpose of this subpart is to specify policies and procedures
for grants officers' determination of recipient qualifications prior to
award.

Sec. 22.405 Policy.

(a) General. Grants officers normally shall award grants or
cooperative agreements only to qualified recipients that meet the
standards in Sec. 22.415. This practice conforms with the
Governmentwide policy, stated at 32 CFR 25.115(a), to do business only
with responsible persons.
(b) Exception. In exceptional circumstances, grants officers may
make awards to recipients that do not fully meet the standards in
Sec. 22.415 and include special award conditions that are appropriate
to the particular situation, in accordance with 32 CFR 32.14, 33.12, or
34.4.

Sec. 22.410 Grants officers' responsibilities.

The grants officer is responsible for determining a recipient's
qualification prior to award. The grants officer's signature on the
award document shall signify his or her determination that either:
(a) The potential recipient meets the standards in Sec. 22.415 and
is qualified to receive the grant or cooperative agreement; or
(b) An award is justified to a recipient that does not fully meet
the standards, pursuant to Sec. 22.405(b). In such cases, grants
officers shall document in the award file the rationale for making an
award to a recipient that does not fully meet the standards.

Sec. 22.415 Standards.

To be qualified, a potential recipient must:
(a) Have the management capability and adequate financial and
technical resources, given those that would be made available through
the grant or cooperative agreement, to execute the program of
activities envisioned under the grant or cooperative agreement.
(b) Have a satisfactory record of executing such programs or
activities.
(c) Have a satisfactory record of integrity and business ethics.

[[Page 43877]]

(d) Be otherwise qualified and eligible to receive a grant or
cooperative agreement under applicable laws and regulations (see
Sec. 22.420(c)).

Sec. 22.420 Pre-award procedures.

(a) The appropriate method to be used and amount of effort to be
expended in deciding the qualification of a potential recipient will
vary. In deciding on the method and level of effort, the grants officer
should consider factors such as:
(1) DoD's past experience with the recipient;
(2) Whether the recipient has previously received cost-type
contracts, grants, or cooperative agreements from the Federal
Government; and
(3) The amount of the prospective award and complexity of the
project to be carried out under the award.
(b) There is no DoD-wide requirement to obtain a pre-award credit
report, audit, or any other specific piece of information. On a case-
by-case basis, the grants officer will decide whether there is a need
to obtain any such information to assist in deciding whether the
recipient meets the standards in Sec. 22.415(a), (b), and (c).
(1) Should the grants officer in a particular case decide that a
pre-award credit report, audit, or survey is needed, he or she should
consult first with the appropriate grants administration office
(identified in Sec. 22.710), and decide whether pre-existing surveys or
audits of the recipient, such as those of the recipient's internal
control systems under OMB Circular A-133 \2\ or A-128 \3\ will satisfy
the need (see Sec. 22.715(a)(1)).
---------------------------------------------------------------------------

\2\ Contact the Office of Management and Budget, EOP
Publications, 725 17th St. N.W., New Executive Office Building,
Washington, D.C. 20503.
\3\ See footnote 2 to paragraph (b)(1) of this section.
---------------------------------------------------------------------------

(2) If, after consulting with the grants administration office, the
grants officer decides to obtain a credit report, audit, or other
information, and the report or other information discloses that a
potential recipient is delinquent on a debt to an agency of the United
States Government, then:
(i) The grants officer shall take such information into account
when determining whether the potential recipient is qualified with
respect to the grant or cooperative agreement; and
(ii) If the grants officer decides to make the award to the
recipient, unless there are compelling reasons to do otherwise, the
grants officer shall delay the award of the grant or cooperative
agreement until payment is made or satisfactory arrangements are made
to repay the debt.
(c) In deciding whether a recipient is otherwise qualified and
eligible in accordance with the standard in Sec. 22.415(d), the grants
officer shall ensure that the potential recipient: --
(1) Is not identified on the Governmentwide ``List of Parties
Excluded from Federal Procurement and Nonprocurement Programs'' as
being debarred, suspended, or otherwise ineligible to receive the
award. The grants officer shall check the list of such parties for: ---
-
(i) Potential recipients of prime awards, as described at 32 CFR
25.505(d); ----
(ii) A recipient's principals (e.g., officers, directors, or other
key employees, as defined at 32 CFR 25.105); and ----
(iii) Potential recipients of subawards, where DoD Component
approval of such principals or lower-tier recipients is required under
the terms of the award (see 32 CFR 25.505(e)). --
(2) Has provided all certifications and assurances required by
Federal statute, Executive order, or codified regulation, unless they
are to be addressed in award terms and conditions at the time of award
(see Sec. 22.510). --
(3) Meets any eligibility criteria that may be specified in the
statute authorizing the specific program under which the award is being
made (see Sec. 22.210(a)(2)). -
(d) Grants officers shall obtain recipients' Taxpayer
Identification Numbers (these may be Social Security Numbers for
individuals and Employer Identification Numbers for businesses or non-
profit entities) to facilitate later collection of delinquent debts, if
necessary.

Subpart E--National Policy Matters

Sec. 22.505 Purpose. -

The purpose of this subpart is to supplement other regulations that
implement national policy requirements, to the extent that it is
necessary to provide additional guidance to DoD grants officers. The
other regulations that implement national policy requirements include:
-
(a) The other parts of the DoDGARs (32 CFR parts 32, 33, and 34)
that implement the Governmentwide guidance in OMB Circulars A-102 \4\
and A-110 \5\ on administrative requirements for grants and cooperative
agreements. Those parts address some national policy matters that
appear in the OMB Circulars.
---------------------------------------------------------------------------

\4\ See footnote 2 to Sec. 22.420(b)(1).
\5\ See footnote 2 to Sec. 22.420(b)(1).-
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(b) DoD regulations other than the DoDGARs. -
(c) Other Federal agencies' regulations.

Sec. 22.510 Certifications, representations, and assurances. -

(a) Certifications--(1) Policy. Certifications of compliance with
national policy requirements are to be obtained from recipients only
for those national policies where a statute, Executive order, or
codified regulation specifically states that a certification is
required. Other national policy requirements may be addressed by
obtaining representations or assurances (see paragraph (b) of this
section). Grants officers should utilize methods for obtaining
certifications, in accordance with Executive Order 12866 (3 CFR, 1993
Comp., p. 638), that minimize administration and paperwork.
(2) Procedures. (i) When necessary, grants officers may obtain
individual, written certifications.
(ii) Whenever possible, however, grants officers should identify
the certifications that are required for the particular type of
recipient and program, and consolidate them into a single certification
provision that cites them by reference.
(A) Appendix A to this part lists the common certifications and
cites their applicability. Because some certifications (e.g., the
certification on lobbying in Appendix A to this part) are required by
law to be submitted at the time of proposal, rather than at the time of
award, Appendix A to this part includes suggested language for
incorporating common certifications by reference into a proposal.
(B) If a grants officer elects to have proposers incorporate
certifications by reference into their proposals, the solicitation
either must include the full text of the certifications that proposers
are to provide by reference, or must inform the proposers where the
full text may be found (e.g., in documents or computer network sites
that are readily available to the public) and offer to provide it to
proposers upon request.
(C) Grants officers may incorporate certifications by reference in
award documents when doing so is consistent with statute and codified
regulation. Note that a statute requires submission of the lobbying
certification in Appendix A to this part at the time of proposal.
Grants officers may incorporate the other certifications listed in
Appendix A to this part in award documents, notwithstanding the
regulatory requirement stated in 32 CFR 25.510(a) for obtaining
certifications regarding debarment and suspension at the time of
proposal submission. The provision that a grants officer would use to
incorporate certifications in award documents would be similar to the

[[Page 43878]]

suggested provision in Appendix A to this part, except that it would be
modified to state that the recipient is providing the required
certifications by signing the award document or by accepting funds
under the award.
(b) Representations and assurances. Many national policies, either
in statute or in regulation, require recipients of grants and
cooperative agreements to make representations or provide assurances
(rather than certifications) that they are in compliance with the
policies. As discussed in Sec. 22.610(b), Appendix B to this part
suggests award terms and conditions that may be used to address several
of the more commonly applicable national policy requirements. These
terms and conditions may be used to obtain required assurances and
representations, if the grants officer wishes to do so at the time of
award, rather than through the use of the standard application form
(SF-424) or other means at the time of proposal.

Sec. 22.515 Provisions of annual appropriations acts. -

An annual appropriations act can include general provisions stating
national policy requirements that apply to the use of funds (e.g.,
obligation through a grant or cooperative agreement) appropriated by
the act. Because these requirements are of limited duration (the period
during which a given year's appropriations are available for
obligation), and because they can vary from year to year and from one
agency's appropriations act to another agency's, the grants officer
must know the agency(ies) and fiscal year(s) of the appropriations
being obligated by a given grant or cooperative agreement, and may need
to consult legal counsel if he or she does not know the requirements
applicable to those appropriations.

Sec. 22.520 Military recruiting on campus. [Reserved]

Sec. 22.525 Paperwork Reduction Act. -

Grants officers shall include appropriate award terms or
conditions, if a recipient's activities under an award will be subject
to the Paperwork Reduction Act of 1995 (44 U.S.C. 3500, et seq.):-
(a) Generally, the Act only applies to Federal agencies--it
requires agencies to obtain clearance from the Office of Management and
Budget before collecting information using forms, schedules,
questionnaires, or other methods calling either for answers to: ---
(1) Identical questions from ten or more persons other than
agencies, instrumentalities, or employees of the United States. ---
(2) Questions from agencies, instrumentalities, or employees of the
United States which are to be used for statistical compilations of
general public interest. --
(b) The Act applies to similar collections of information by
recipients of grants or cooperative agreements only when: ---
(1) A recipient collects information at the specific request of the
awarding Federal agency; or ---
(2) The terms and conditions of the award require specific approval
by the agency of the information collection or the collection
procedures.

Sec. 22.530 Metric system of measurement. --

(a) Statutory requirement. The Metric Conversion Act of 1975, as
amended by the Omnibus Trade and Competitiveness Act of 1988 (15 U.S.C.
205) and implemented by Executive Order 12770 (3 CFR, 1991 Comp., p.
343), states that: ---
(1) The metric system is the preferred measurement system for U.S.
trade and commerce. ---
(2) The metric system of measurement will be used, to the extent
economically feasible, in federal agencies' procurements, grants, and
other business-related activities. ---
(3) Metric implementation shall not be required to the extent that
such use is likely to cause significant inefficiencies or loss of
markets to United States firms. --
(b) Responsibilities. DoD Components shall ensure that the metric
system is used, to the maximum extent practicable, in measurement-
sensitive activities supported by programs that use grants and
cooperative agreements, and in measurement-sensitive outputs of such
programs.

Subpart F--Award

Sec. 22.600 Purpose. --

This subpart sets forth grants officers' responsibilities relating
to the award document and other actions at the time of award.

Sec. 22.605 Grants officers' responsibilities. --

At the time of award, the grants officer is responsible for
ensuring that: --
(a) The award instrument contains the appropriate terms and
conditions, in accordance with Sec. 22.610. --
(b) Information about the award is provided to the office
responsible for preparing reports for the Defense Assistance Award Data
System (DAADS), to ensure timely and accurate reporting of data
required by 31 U.S.C. 6101-6106 (see 32 CFR part 21, subpart C). --
(c) In addition to the copy of the award document provided to the
recipient, a copy is forwarded to the office designated to administer
the grant or cooperative agreement, and another copy is forwarded to
the finance and accounting office designated to make the payments to
the recipient.

Sec. 22.610 Award instruments. --

(a) Each award document shall include terms and conditions that: --
-
(1) Address programmatic requirements (e.g., a statement of work or
other appropriate terms or conditions that describe the specific goals
and objectives of the project). The grants officer shall develop such
terms and conditions in coordination with program officials. ---
(2) Provide for the recipient's compliance with: -----
(i) Pertinent Federal statutes or Executive orders that apply
broadly to Federal or DoD assistance awards. -----
(ii) Any program-specific requirements that are prescribed in the
program statute (see Sec. 22.210(a)(2)), or appropriation-specific
requirements that are stated in the pertinent Congressional
appropriations (see Sec. 22.515). -----
(iii) Pertinent portions of the DoDGARs or other Federal
regulations, including those that implement the Federal statutes or
Executive orders described in paragraphs (a)(2) (i) and (ii) of this
section. ---
(3) Specify the grants officer's instructions for post-award
administration, for any matter where the post-award administration
provisions in 32 CFR part 32, 33, or 34 give the grants officer options
for handling the matter. For example, under 32 CFR 32.24(b), the grants
officers must choose among possible methods for the recipient's
disposition of program income. It is essential that the grants officer
identify the option selected in each case, to provide clear
instructions to the recipient and the grants officer responsible for
post-award administration of the grant or cooperative agreement. --
(b) To assist grants officers: ---
(1) Appendix B to this part provides model clauses to implement
certain Federal statutes, Executive orders, and regulations (see
paragraph (a)(2)(i) of this section) that frequently apply to DoD
grants and cooperative agreements. Grants officers may incorporate the
model clauses into award terms and conditions, as appropriate. It
should be noted that Appendix B to this part is an aid, and not an
exhaustive list of all requirements that apply in all cases.

[[Page 43879]]

Depending on the circumstances of a given award, other statutes,
Executive orders, or codified regulations also may apply (e.g.,
Appendix B to this part does not list program-specific requirements
described in paragraph (a)(2)(ii) of this section).
(2) Appendix C to this part is a list of administrative
requirements that apply to awards to different types of recipients. It
also identifies post-award administration issues that the grants
officer must address in the award terms and conditions.

Subpart G--Field Administration

Sec. 22.700 Purpose. ---

This subpart prescribes policies and procedures for administering
grants and cooperative agreements. It does so in conjunction with 32
CFR parts 32, 33, and 34, which prescribe administrative requirements
for particular types of recipients.

Sec. 22.705 Policy. ---

(a) DoD policy is to have each recipient deal with a single office,
to the maximum extent practicable, for post-award administration of its
grants and agreements. This reduces burdens on recipients that can
result when multiple DoD offices separately administer grants and
agreements they award to a given recipient. It also minimizes
unnecessary duplication of field administration services. ---
(b) To further reduce burdens on recipients, the office responsible
for performing field administration services for grants and agreements
to a particular recipient shall be the same office that is assigned
responsibility for performing field administration services for
contracts awarded to that recipient. --
(c) Contracting activities and grants officers therefore shall use
cross-servicing arrangements whenever practicable and, to the maximum
extent possible, delegate responsibility for post-award administration
to the cognizant grants administration offices identified in
Sec. 22.710.

Sec. 22.710 Assignment of grants administration offices.

In accordance with the policy stated in Sec. 22.705(b), the DoD
offices (referred to in this part as ``grants administration offices'')
that are assigned responsibility for performing field administration
services for grants and agreements are (see the ``DoD Directory of
Contract Administration Services Components,'' DLAH 4105.4,\6\ for
specific addresses of administration offices): -
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\6\ Copies may be obtained from the Defense Logistics Agency,
Publications Distribution Division (DASC-WDM), 8725 John J. Kingman
Rd., Suite 0119, Fort Belvoir, VA 22060-6220.
---------------------------------------------------------------------------

(a) Regional offices of the Office of Naval Research, for grants
and agreements with: ----
(1) Institutions of higher education and laboratories affiliated
with such institutions, to the extent that such organizations are
subject to the university cost principles in OMB Circular A-21.\7\
---------------------------------------------------------------------------

\7\ See footnote 2 to Sec. 22.420(b)(1).
---------------------------------------------------------------------------

(2) Nonprofit organizations that are subject to the cost principles
in OMB Circular A-122,\8\ if their principal business with the
Department of Defense is research and development.
---------------------------------------------------------------------------

\8\ See footnote 2 to Sec. 22.420(b)(1). -
---------------------------------------------------------------------------

(b) Field offices of the Defense Contract Management Command, for
grants and agreements with all other entities, including: --
(1) Commercial organizations. --
(2) Nonprofit organizations identified in Attachment C of OMB
Circular A-122 that are subject to commercial cost principles in 48 CFR
part 31. --
(3) Nonprofit organizations subject to the cost principles in OMB
Circular A-122, if their principal business with the Department of
Defense is other than research and development.
(4) State and local governments.

Sec. 22.715 Grants administration office functions.

The primary responsibility of cognizant grants administration
offices shall be to advise and assist grants officers and recipients
prior to and after award, and to help ensure that recipients fulfill
all requirements in law, regulation, and award terms and conditions.
Specific functions include:
(a) Conducting reviews and coordinating reviews, audits, and audit
requests. This includes:
(1) Advising grants officers on the extent to which audits by
independent auditors (i.e., public accountants or Federal auditors)
have provided the information needed to carry out their
responsibilities. If a recipient has had an independent audit in
accordance with OMB Circular A-128 or OMB Circular A-133, and the audit
report disclosed no material weaknesses in the recipient's financial
management and other management and control systems, additional
preaward or closeout audits usually will not be needed (see
Secs. 22.420(b) and 22.825(b)).
(2) Performing pre-award surveys, when requested by a grants
officer, after providing advice described in paragraph (a)(1) of this
section.
(3) Reviewing recipients' systems and compliance with Federal
requirements, in coordination with any reviews and compliance audits
performed by independent auditors under OMB Circular A-128 or A-133.
This includes:
(i) Reviewing recipients' financial management, property
management, and purchasing systems, to determine the adequacy of such
systems.
(ii) Determining that recipients have drug-free workplace programs,
as required under 32 CFR part 25.
(4) Notifying the Office of the Assistant Inspector General for
Audit Policy and Oversight (OAIG(APO)), 400 Army-Navy Drive, Arlington,
VA 22202, if either of the following is not available within a
reasonable period of time (e.g., six months) after the date on which a
recipient of DoD grants and agreements was to have submitted its audit
report under OMB Circular A-128 or A-133 to the OAIG(APO):
(i) The recipient's audit report under OMB Circular A-128 or A-133.
(ii) The OAIG(APO)'s desk review of the recipient's audit report,
or a letter stating that the OAIG(APO) has decided not to conduct a
desk review.
(b) Performing property administration services for Government-
owned property, and for any property acquired by a recipient, with
respect to which the recipient has further obligations to the
Government.
(c) Ensuring timely submission of required reports.
(d) Executing administrative closeout procedures.
(e) Establishing recipients' indirect cost rates, where the
Department of Defense is the cognizant or oversight Federal agency with
the responsibility for doing so.
(f) Performing other administration functions (e.g., receiving
recipients' payment requests and transmitting approved payment
authorizations to payment offices) as delegated by applicable cross-
servicing agreements or letters of delegation.

Subpart H--Post-Award Administration

Sec. 22.800 Purpose and relation to other parts.

This subpart sets forth grants officers' and DoD Components'
responsibilities for post-award administration, by providing DoD-
specific requirements on payments; debt collection; claims, disputes
and appeals; and closeout audits.

Sec. 22.805 Post-award requirements in other parts.

Grants officers responsible for post-award administration of grants
and cooperative agreements shall administer such awards in accordance
with the

[[Page 43880]]

following parts of the DoDGARs, as supplemented by this subpart:
(a) Awards to domestic recipients. Standard administrative
requirements for grants and cooperative agreements with domestic
recipients are specified in other parts of the DoDGARs, as follows:
(1) For awards to domestic institutions of higher education and
other nonprofit organizations, requirements are specified in 32 CFR
part 32, which is the DoD implementation of OMB Circular A-110.
(2) For awards to State and local governments, specifies
requirements are specified in 32 CFR part 33, which is the DoD
codification of the Governmentwide common rule to implement OMB
Circular A-102.
(3) For awards to domestic commercial organizations, requirements
are specified in 32 CFR part 34, which is modeled on the requirements
in OMB Circular A-110.
(b) Awards to foreign recipients. DoD Components shall use the
administrative requirements specified in paragraph (a) of this section,
to the maximum extent practicable, for grants and cooperative
agreements to foreign recipients.

Sec. 22.810 Payments.

(a) Purpose. This section prescribes policies and grants officers'
post-award responsibilities, with respect to payments to recipients of
grants and cooperative agreements.
(b) Policy. It is Governmentwide policy to minimize the time
elapsing between any payment of funds to a recipient and the
recipient's disbursement of the funds for program purposes (see 32 CFR
32.22(a) and 33.21(b), and the implementation of the Cash Management
Improvement Act at 31 CFR part 205). Expanding on the Governmentwide
policy, DoD policy is to:
(1) Use electronic commerce, to the maximum extent practicable, in
the payment process for grants and cooperative agreements, to improve
timeliness and accuracy of payments.
(2) Make authorized payments expeditiously.
(i) When grants or agreements provide for payments, either advances
or reimbursements, to be made in response to recipients' requests,
authorized payments shall be made as soon as possible after receipt of
the requests. Authorized payments normally shall not be made more than:
(A) Seven days after receipt of recipients' requests, whenever
grants officers, payment offices, and recipients are able to use
electronic commerce (i.e., electronic data interchange (EDI) to request
and authorize payments and electronic funds transfer (EFT) to make
payments).
(B) Thirty days after receipt of recipients' requests, when it is
not possible to use electronic commerce and offices must process paper
to receive recipients' requests, or to authorize and make payments
(note, however, that Governmentwide guidance implemented at 32 CFR
32.22(e)(1) makes payment within 30 days a firm requirement, not just
the norm, for payments to institutions of higher education and other
nonprofit organizations, when the reimbursement method of payment is
used). Payments shall be made as expeditiously as processing of paper
transactions allows--this policy is intended neither to delay payments
nor to make them as close as possible to the 30th day.
(ii) When payments are authorized in advance, based on a
predetermined schedule, the payment office should make each payment
within 7 days of the date specified, if the schedule was provided to
the payment office at least 30 days in advance of the date of the
scheduled payment.
(c) Post-award responsibilities. The administrative grants officer
designated to handle payments for a grant or cooperative agreement is
responsible for:
(1) Maintaining a close working relationship with the personnel in
the finance and accounting office responsible for making the payments.
A good working relationship is necessary, to ensure timely and accurate
handling of financial transactions for grants and agreements.
Administrative grants officers should be generally familiar with
policies and procedures for disbursing officers that are contained in
Chapter 19 of Volume 10 of the DoD Financial Management Regulation (DoD
7000.14-R \9\).
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\9\ Copies may be obtained, at cost, from the National Technical
Information Service, 5285 Port Royal Road, Springfield, VA 22161.
Authorized users may also obtain copies from the Defense Technical
Information Center, 8725 John J. Kingman Rd., Suite 0944, Fort
Belvoir, VA 22060-6218.
---------------------------------------------------------------------------

(2) Handling recipients' requests for payments in accordance with
DoD implementation of Governmentwide guidance (see 32 CFR 32.22, 33.21,
or 34.12, as applicable).
(3) Reviewing each payment request to ensure that:
(i) The request complies with the award terms.
(ii) Available funds are adequate to pay the request.
(iii) The recipient will not have excess cash on hand, based on
expenditure patterns.
(4) Forwarding authorizations to the designated payment office
expeditiously, so that payments may be made in accordance with the
timely payment goals in paragraph (b)(2) of this section.
Authorizations generally should be forwarded to the payment office at
least 3 working days before the end of the period specified in
paragraph (b)(2)(i) (A) or (B) of this section.

Sec. 22.815 Claims, disputes, and appeals.

(a) Award terms. Grants officers shall include in grants and
cooperative agreements a term or condition that incorporates the
procedures of this section for:
(1) Processing recipient claims and disputes.
(2) Deciding appeals of grants officers' decisions.
(b) Submission of claims--(1) Recipient claims. Recipients shall
submit claims arising out of or relating to a grant or cooperative
agreement to the grants officer for decision. Claims shall be in
writing, shall specify the nature and basis for the relief requested,
and shall include all data that supports the claim.
(2) DoD Component claims. Claims by a DoD Component shall be the
subject of a written decision by a grants officer.
(c) Alternative Dispute Resolution (ADR)--(1) Policy. DoD policy is
to try to resolve all issues concerning grants and cooperative
agreements by mutual agreement at the grants officer's level. DoD
Components therefore are encouraged to use ADR procedures to the
maximum extent practicable. ADR procedures are any voluntary means
(e.g., mini-trials or mediation) used to resolve issues in controversy
without resorting to formal administrative appeals (see paragraph (e)
of this section) or to litigation.
(2) Procedures. (i) The ADR procedures or techniques to be used may
either be agreed upon by the Government and the recipient in advance
(e.g., when agreeing on the terms and conditions of the grant or
cooperative agreement), or may be agreed upon at the time the parties
determine to use ADR procedures.
(ii) If a grants officer and a recipient are not able to resolve an
issue through unassisted negotiations, the grants officer shall
encourage the recipient to enter into ADR procedures. ADR procedures
may be used prior to submission of a recipient's claim or at any time
prior to the Grant Appeal Authority's decision on a recipient's

[[Page 43881]]

appeal (see paragraph (e)(3)(iii) of this section).
(d) Grants officer decisions. (1) Within 60 days of receipt of a
written claim, the grants officer shall either:
(i) Prepare a written decision, which shall include the reasons for
the decision; shall identify all relevant data on which the decision is
based; shall identify the cognizant Grant Appeal Authority and give his
or her mailing address; and shall be included in the award file; or
(ii) Notify the recipient of a specific date when he or she will
render a written decision, if more time is required to do so. The
notice shall inform the recipient of the reason for delaying the
decision (e.g., the complexity of the claim, a need for more time to
complete ADR procedures, or a need for the recipient to provide
additional information to support the claim).
(2) The decision of the grants officer shall be final. If a
recipient decides to appeal a grants officer's decision, the grants
officer shall encourage the recipient to enter into ADR procedures, as
described in paragraph (c) of this section.
(e) Formal administrative appeals--(1) Grant Appeal Authorities.
Each DoD Component that awards grants or cooperative agreements shall
establish one or more Grant Appeal Authorities to decide formal,
administrative appeals in accordance with paragraph (e)(3) of this
section. Each Grant Appeal Authority shall be either:
(i) An individual at a grade level in the Senior Executive Service,
if civilian, or at the rank of Flag or General Officer, if military; or
(ii) A board chaired by such an individual.
(2) Right of appeal. A recipient has the right to appeal a grants
officer's decision to the Grant Appeal Authority (but note that ADR
procedures, as described in paragraph (c) of this section, are the
preferred means for resolving any appeal).
(3) Appeal procedures--(i) Notice of appeal. A recipient may appeal
a decision of the grants officer within 90 days of receiving that
decision, by filing a written notice of appeal to the Grant Appeal
Authority and to the grants officer. If a recipient elects to use an
ADR procedure, the recipient is permitted an additional 60 days to file
the written notice of appeal to the Grant Appeal Authority and grants
officer.
(ii) Appeal file. Within 30 days of receiving the notice of appeal,
the grants officer shall forward to the Grant Appeal Authority and the
recipient the appeal file, which shall include copies of all documents
relevant to the appeal. The recipient may supplement the file with
additional documents it deems relevant. Either the grants officer or
the recipient may supplement the file with a memorandum in support of
its position. The Grant Appeal Authority may request additional
information from either the grants officer or the recipient.
(iii) Decision. The appeal shall be decided solely on the basis of
the written record, unless the Grant Appeal Authority decides to
conduct fact-finding procedures or an oral hearing on the appeal. Any
fact-finding or hearing shall be conducted using procedures that the
Grant Appeal Authority deems appropriate.
(f) Representation. A recipient may be represented by counsel or
any other designated representative in any claim, appeal, or ADR
proceeding brought pursuant to this section, as long as the
representative is not otherwise prohibited by law or regulation from
appearing before the DoD Component concerned.
(g) Non-exclusivity of remedies. Nothing in this section is
intended to limit a recipient's right to any remedy under the law.

Sec. 22.820 Debt collection.

(a) Purpose. This section prescribes procedures for establishing
debts owed by recipients of grants and cooperative agreements, and
transferring them to payment offices for collection.
(b) Resolution of indebtedness. The grants officer shall attempt to
resolve by mutual agreement any claim of a recipient's indebtedness to
the United States arising out of a grant or cooperative agreement
(e.g., by a finding that a recipient was paid funds in excess of the
amount to which the recipient was entitled under the terms and
conditions of the award).
(c) Grants officer's decision. In the absence of such mutual
agreement, any claim of a recipient's indebtedness shall be the subject
of a grants officer decision, in accordance with Sec. 22.815(b)(2). The
grants officer shall prepare and transmit to the recipient a written
notice that:
(1) Describes the debt, including the amount, the name and address
of the official who determined the debt (e.g., the grants officer under
Sec. 22.815(d), and a copy of that determination.
(2) Informs the recipient that:
(i) Within 30 days of the grants officer's decision, the recipient
shall either pay the amount owed or inform the grants officer of the
recipient's intention to appeal the decision.
(ii) If the recipient elects not to appeal, any amounts not paid
within 30 days of the grants officer's decision will be a delinquent
debt.
(iii) If the recipient elects to appeal the grants officer's
decision the recipient has 90 days, or 150 days if ADR procedures are
used, after receipt of the grants officer's decision to file the
appeal, in accordance with Sec. 22.815(e)(3)(i).
(iv) The debt will bear interest, and may include penalties and
other administrative costs. No interest will be charged if the
recipient pays the amount owed within 30 days of the grants officer's
decision. Interest will be charged for the entire period from the date
the decision was mailed, if the recipient pays the amount owed after 30
days.
(d) Follow-up. Depending upon the response from the recipient, the
grants officer shall proceed as follows:
(1) If the recipient pays the amount owed within 30 days to the
grants officer, the grants officer shall forward the payment to the
responsible payment office.
(2) If within 30 days the recipient has neither paid the amount due
nor provided notice of intent to file an appeal of the grants officer's
decision, the grants officer shall send a demand letter to the
recipient, with a copy to the payment office that will be responsible
for collecting the delinquent debt. The payment office will be
responsible for any further debt collection activity, including
issuance of additional demand letters (see Chapter 19 of volume 10 of
the DoD Financial Management Regulation, DoD 7000.14-R. The grants
officer's demand letter shall:
(i) Describe the debt, including the amount, the name and address
of the official that determined the debt (e.g., the grants officer
under Sec. 22.815(d)), and a copy of that determination.
(ii) Notify the recipient that the debt is a delinquent debt that
bears interest from the date of the grants officer's decision, and that
penalties and other administrative costs may be assessed.
(iii) Identify the payment office that is responsible for the
collection of the debt, and notify the recipient that it may submit a
proposal to that payment office to defer collection, if immediate
payment is not practicable.
(3) If the recipient elects to appeal the grants officer's
decision, further action to collect the debt is deferred, pending the
outcome of the appeal. If the final result of the appeal is a
determination that the recipient owes a debt to the Federal Government,
the grants officer shall send a demand letter to the recipient and
transfer responsibility for further debt collection to a payment

[[Page 43882]]

office, as described in paragraph (d)(2) of this section.
(e) Administrative offset. In carrying out the responsibility for
collecting delinquent debts, a disbursing officer may need to consult
grants officers, to determine whether administrative offset against
payments to a recipient owing a delinquent debt would interfere with
execution of projects being carried out under grants or cooperative
agreements. Disbursing officers may also ask grants officers whether it
is feasible to convert payment methods under grants or agreements from
advance payments to reimbursements, to facilitate use of administrative
offset. Grants officers therefore should be familiar with guidelines
for disbursing officers, in Chapter 19 of Volume 10 of the Financial
Management Regulation (DoD 7000.14-R), concerning withholding and
administrative offset to recover delinquent debts.

Sec. 22.825 Closeout audits.

(a) Purpose. This section establishes DoD policy for obtaining
audits at closeout of individual grants and cooperative agreements. It
thereby supplements the closeout procedures specified in:
(1) 32 CFR 32.71 and 32.72, for awards to institutions of higher
education and other nonprofit organizations.
(2) 32 CFR 33.50 and 33.51, for awards to State and local
governments.
(3) 32 CFR 34.61 and 34.62, for awards to commercial entities.
(b) Policy. Grants officers shall use their judgment on a case-by-
case basis, in deciding whether to obtain an audit prior to closing out
a grant or cooperative agreement (i.e., there is no specific DoD
requirement to obtain an audit prior to doing so). Factors to be
considered include:
(1) The amount of the award.
(2) DoD's past experience with the recipient, including the
presence or lack of findings of material deficiencies in recent:
(i) Audits of individual awards; or
(ii) Systems-wide financial audits and audits of the compliance of
the recipient's systems with Federal requirements, under OMB Circular
A-128 or A-133, where those Circulars are applicable. (See
Sec. 22.715(a)(1)).

Appendix A to Part 22.--Suggested Proposal Provision for Required Certifications
----------------------------------------------------------------------------------------------------------------
Used for
Suggested provision in proposal ---------------------------------------------------------
(or, suitably modified, in Specific Source of requirement
award) Type of award Type of recipient situation
----------------------------------------------------------------------------------------------------------------
By signing and submitting this
proposal, the recipient is
providing the:
(1) Certification at Any All but foreign Any.............. Subparts A through E
Appendix A to 32 CFR Part nonprocurement governments, of 32 CFR 25, which
25 regarding debarment, transaction [see foreign implement E.O. 12549
suspension, and other ``primary governmental [3 CFR, 1986 Comp.,
responsibility matters. covered entities, and p. 189]; E.O. 12689
transaction,'' others excluded [3 CFR, 1989 Comp.,
defined at 32 from ``person,'' p. 235]; and Sec.
CFR as defined at 32 2455 of Federal
25.110(a)(1)(i)]. CFR 25.105. Acquisition and
Streamlining Act of
1994 (Pub. L. 103-
355).
(2) Certification at Any financial Any.............. Any, except where Subpart F of 32 CFR
Appendix C to 32 CFR Part assistance, inconsistent 25, which implements
25 regarding drug-free including any with sec. 5151-5160 of the
workplace requirements. grant or international Drug-Free Workplace
cooperative obligations of Act of 1988 (Pub. L.
agreement [see the U.S. or the 100-690, Title V,
``grant,'' as laws or Subtitle D; 41 U.S.C.
broadly defined regulations of a 701, et seq.).
at 32 CFR foreign
25.605(b)(7)]. government [see
32 CFR
25.610(b)].
(3) Certification at Any financial All but Indian Any.............. 32 CFR 28, which
Appendix A to 32 CFR Part assistance [see tribe or tribal implements 31 U.S.C.
28 regarding lobbying. 32 CFR 28.105(b) organization 1352.
and definitions with respect to
of ``Federal expenditures
grant,'' specifically
``Federal permitted by
cooperative other Federal
agreement,'' and law [see 32 CFR
``Federal loan'' 28.105(l)].
in 32 CFR 28.105
(c), (d), and
(e)].
----------------------------------------------------------------------------------------------------------------

Appendix B to Part 22.--Suggested Award Provisions for National Policy Requirements That Often Apply
----------------------------------------------------------------------------------------------------------------
Used for
--------------------------------------------------------- Some requirement(s)
Suggested award provision Specific the grants officer
Type of award Type of recipient situation should note
----------------------------------------------------------------------------------------------------------------
Nondiscrimination

By signing this agreement or
accepting funds under this
agreement, the recipient
assures that it will comply
with applicable provisions of
the following national
policies prohibiting
discrimination:

[[Page 43883]]

a. On the basis of race, Grants, Any.............. Any.............. 32 CFR part 195.6
color, or national origin, cooperative requires grants
in Title VI of the Civil agreements, and officer to obtain
Rights Act of 1964 (42 other financial recipient's assurance
U.S.C. 2000d, et seq.), as assistance of compliance. It
implemented by DoD included at 32 also requires
regulations at 32 CFR part CFR 195.2(d). recipient to flow
195. down requirements to
subrecipients.
b. On the basis of race, Grants, Any.............. Awards under Recipients must
color, religion, sex, or cooperative which include clause
national origin, in agreements, and construction prescribed by 41 CFR
Executive Order 11246 [3 other prime work is to be 60-1.4(b) in
CFR, 1964-1965 Comp., p. awards included done. federally assisted
339], as implemented by by ``Federally construction awards
Department of Labor assisted and subawards [41 CFR
regulations at 41 CFR part construction 60-1.4(d) allows
60. contract'' incorporation by
definition at 40 reference]. This
CFR 60-1.3. requirement also is
at 32 CFR 33.36(l)(3)
and at paragraphs 1.
of Appendices A to 32
CFR part 32 and 32
CFR part 34.
c. On the basis of sex or Grants, Educational Any educational ......................
blindness, in Title IX of cooperative institution [for program or
the Education Amendments agreements, and sex activity
of 1972 (20 U.S.C. 1681, other financial discrimination, receiving
et seq.). assistance excepts any Federal
included at 16 institution financial
U.S.C. 1682. controlled by assistance.
religious
organization,
when
inconsistent
with the
organization's
religious
tenets].
d. On the basis of age, in Grants, Any.............. Any.............. 45 CFR 90.4 requires
the Age Discrimination Act cooperative that recipient flow
of 1975 (42 U.S.C. 6101, agreements, and down requirements to
et seq.), as implemented other awards subrecipients
by Department of Health included in [definition of
and Human Services ``Federal ``recipient'' at 45
regulations at 45 CFR part financial CFR 90.4 includes
90. assistance'' entities to which
definition at 45 assistance is
CFR 90.4. extended indirectly,
through another
recipient].
e. On the basis of
handicap, in:
1. Section 504 of the Grants, Any.............. Any.............. 32 CFR 56.9(b)
Rehabilitation Act of cooperative requires grants
1973 (29 U.S.C. 794), agreements, and officer to obtain
as implemented by other awards recipient's written
Department of Justice included in assurance of
regulations at 28 CFR ``Federal compliance and
part 41 and DoD financial specifies what the
regulations at 32 CFR assistance'' assurance includes.
part 56. definition at 32 Note that
CFR 56.3(b). requirements flow
down to subawards
[``recipient,''
defined at 32 CFR
56.3(g), includes
entities receiving
assistance indirectly
through other
recipients].
2. The Architectural Grant or loan.... Any.............. Construction or ......................
Barriers Act of 1968 alteration of
(42 U.S.C. 4151, et buildings or
seq.). facilities which
will require
public
accessibility.
Officials Not to Benefit

No member of or delegate to Grants, Any.............. Any. ......................
Congress, or resident cooperative
commissioner, shall be agreements, and
admitted to any share or part other
of this agreement, or to any ``agreements''.
benefit arising from it, in
accordance with 41 U.S.C. 22.

Live Organisms

By signing this agreement or
accepting funds under this
agreement, the recipient
assures that it will comply
with applicable provisions of
the following national
policies concerning live
organisms:

[[Page 43884]]

a. For human subjects, the Any.............. Any.............. Research, 32 CFR 219.103
Common Federal Policy for development, requires each
the Protection of Human test, or recipient to have a
Subjects, codified by the evaluation Federally approved,
Department of Health and involving live, written assurance of
Human Services at 45 CFR human subjects, compliance [it may be
part 46 and implemented by with some HHS-approved, on file
the Department of Defense exceptions [see with HHS; DoD-
at 32 CFR part 219. 32 CFR part 219]. approved, on file
with a DoD Component;
or may need to be
obtained by the
grants officer for
the specific award].
b. For animals:
1. Rules concerning Any.............. Any.............. Research, Prior to making an
animal acquisition, experimentation, award under which
transport, care, or testing animal-based
handling, and use in: involving the research, testing, or
(i) 9 CFR parts 1-4, use of animals. training is to be
Department of performed, DoD
Agriculture Directive 3216.1 \1\
regulations that requires
implement the administrative review
Laboratory Animal of the proposal by a
Welfare Act of 1966 (7 DoD veterinarian
U.S.C. 2131-2156); and trained or
(ii) the ``Guide for experienced in
the Care and Use of laboratory animal
Laboratory Animals,'' science and medicine,
National Institutes of as well as a review
Health Publication No. by the recipient's
86-23. Institutional Animal
Care and Use
Committee.
2. Prohibitions on the Any.............. Any.............. Use of DoD ......................
purchase or use of appropriations
dogs or cats for for training on
certain medical treatment of
training purposes, in wounds.
Section 8019 (10
U.S.C. 2241 note) of
the Department of
Defense Appropriations
Act, 1991 (Pub. Law
101-511).
3. Regulations of the Any.............. Any.............. Activities which ......................
Departments of the may involve or
Interior (50 CFR parts impact wildlife
10-24) and Commerce and plants.
(50 CFR parts 217-227)
that implement
statutes and
conventions on the
taking, possession,
transport, sale,
purchase, export, or
import of wildlife and
plants, including the:
Endangered Species Act
of 1973 (16 U.S.C.
1531-1543); Marine
Mammal Protection Act
(16 U.S.C. 1361-1384);
Lacey Act (18 U.S.C.
42); and Convention on
International Trade in
Endangered Species of
Wild Fauna and Flora.

Military Recruiters

[Grants Officers shall include Grants and Domestic Any. ......................
the exact award provision cooperative institution of
specified at 32 CFR part 23.]. agreements. higher education
(see 32 CFR part
23).

[[Page 43885]]

Cargo Preference

The recipient agrees that it Grants, Any.............. Any award where 46 CFR 381.7 requires
will comply with the Cargo cooperative possibility grants officers to
Preference Act of 1954 (46 agreements, and exists for ocean include appropriate
U.S.C. 1241), as implemented other awards transport of clauses in award
by Department of included in 46 items procured documents. It also
Transportation regulations at CFR 381.7. or obtained by requires recipients
46 CFR 381.7, which require or on behalf of to include
that at least 50 percent of the recipient, appropriate clauses
equipment, materials or or any of the in contracts using
commodities procured or recipient's U.S. Government funds
otherwise obtained with U.S. contractors or under agreements,
Government funds under this subcontractors. where ocean transport
agreement, and which may be of procured goods is
transported by ocean vessel, possible [e.g., see
shall be transported on clause at 46 CFR
privately owned U.S.-flag 381.7(b)].
commercial vessels, if
available.

Preference for U.S.-Flag
Carriers

Travel supported by U.S. Any.............. Any.............. Any agreement ......................
Government funds under this under which
agreement shall use U.S.-flag international
air carriers (air carriers air travel may
holding certificates under 49 be supported by
U.S.C. 41102) for U.S. Government
international air funds.
transportation of people and
property to the extent that
such service is available, in
accordance with the
International Air
Transportation Fair
Competitive Practices Act of
1974 (49 U.S.C. 40118) and the
interpretative guidelines
issued by the Comptroller
General of the United States
in the March 31, 1981,
amendment to Comptroller
General Decision B138942.

Relocation and Real Property
Acquisition

The recipient assures that it Grants, ``State agency'' Any project that 42 U.S.C. 4630 and 49
will comply with 49 CFR part cooperative as defined in 49 may result in CFR 24.4, as
24, which implements the agreements, and CFR part 24 to real property implemented by DoD at
Uniform Relocation Assistance other ``Federal include persons acquisition or 32 CFR part 259,
and Real Property Acquisition financial with authority displacement requires grants
Policies Act of 1970 (42 assistance'' to acquire where State officers to obtain
U.S.C. 4601, et seq.) and [see 49 CFR property by agency hasn't recipients' assurance
provides for fair and 24.2(j)]. eminent domain opted to certify of compliance.
equitable treatment of persons under State law. to Dept. of
displaced by Federally Transportation
assisted programs or persons in lieu of
whose property is acquired as providing
a result of such programs. assurance.

Hatch Act

The recipient agrees to comply Grants or loans.. State and local All but employees ......................
with the Hatch Act (5 U.S.C. governments. of educational
1501-1508 and 7324-7328), as or research
implemented by the Office of institutions
Personnel Management at 5 CFR supported by
part 151, which limits State; political
political activity of subdivision
employees or officers of State thereof; or
or local governments whose religious,
employment is connected to an philanthropic,
activity financed in whole or or cultural
part with Federal funds. organization.

Environmental Standards

By signing this agreement or
accepting funds under this
agreement, the recipient
assures that it will:

[[Page 43886]]

a. Comply with applicable Grants, Any.............. Any, for Clean 40 CFR 15.31 requires
provisions of the Clean cooperative Air Act, Clean the assurances in the
Air Act (42 U.S.C. 7401, agreements, and Water Act, and suggested award
et seq.) and

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/fr%3A96-20777. Public record. Not legal advice.