80_FR_22480 80 FR 22403 - Indian Education Discretionary Grants Program; Professional Development Program and Demonstration Grants for Indian Children Program

80 FR 22403 - Indian Education Discretionary Grants Program; Professional Development Program and Demonstration Grants for Indian Children Program

DEPARTMENT OF EDUCATION

Federal Register Volume 80, Issue 77 (April 22, 2015)

Page Range22403-22417
FR Document2015-09396

The Secretary amends the regulations that govern the Professional Development program and the Demonstration Grants for Indian Children program (Demonstration Grants program), authorized under title VII of the Elementary and Secondary Act of 1965, as amended (ESEA). The regulations govern the grant application process for new awards for each program for the next fiscal year in which competitions are conducted for that program and subsequent years. For the Professional Development program, the regulations enhance the project design and quality of services to meet the objectives of the program; establish post-award requirements; and govern the payback process for grants in existence on the date these regulations become effective. For the Demonstration Grants program, the regulations add new priorities, including a priority for native youth community projects (NYCPs), and new application requirements.

Federal Register, Volume 80 Issue 77 (Wednesday, April 22, 2015)
[Federal Register Volume 80, Number 77 (Wednesday, April 22, 2015)]
[Rules and Regulations]
[Pages 22403-22417]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-09396]


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DEPARTMENT OF EDUCATION

34 CFR Part 263

RIN 1810-AB19
[Docket ID ED-2014-OESE-0050]


Indian Education Discretionary Grants Program; Professional 
Development Program and Demonstration Grants for Indian Children 
Program

AGENCY: Office of Elementary and Secondary Education, Department of 
Education.

ACTION: Final regulations.

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SUMMARY: The Secretary amends the regulations that govern the 
Professional Development program and the Demonstration Grants for 
Indian Children program (Demonstration Grants program), authorized 
under title VII of the Elementary and Secondary Act of 1965, as amended 
(ESEA). The regulations govern the grant application process for new 
awards for each program for the next fiscal year in which competitions 
are conducted for that program and subsequent years. For the 
Professional Development program, the regulations enhance the project 
design and quality of services to meet the objectives of the program; 
establish post-award requirements; and govern the payback process for 
grants in existence on the date these regulations become effective. For 
the Demonstration Grants program, the regulations add new priorities, 
including a priority for native youth community projects (NYCPs), and 
new application requirements.

DATES: These regulations are effective May 22, 2015.

FOR FURTHER INFORMATION CONTACT: John Cheek, U.S. Department of 
Education, 400 Maryland Avenue SW., Room 3W207, Washington, DC 20202-
6135. Telephone: (202) 401-0274 or by email: [email protected].
    If you use a telecommunications device for the deaf (TDD) or a text 
telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1-
800-877-8339.

[[Page 22404]]


SUPPLEMENTARY INFORMATION: On December 3, 2014, the Secretary published 
a notice of proposed rulemaking (NPRM) for Indian Education 
Discretionary Grant Programs; Professional Development Program and 
Demonstration Grants for Indian Children Program in the Federal 
Register (79 FR 71930-71947).
    In the preamble of the NPRM, we discussed on pages 71931 through 
71938 the major changes proposed in that document to improve the 
Professional Development program and the Demonstration Grants program. 
These included the following:
     Amending Sec.  263.3 to change the definitions of ``Indian 
organization,'' ``induction services,'' and ``professional 
development;'' and to remove the term, ``undergraduate degree.''
     Amending Sec.  263.4 to provide greater detail about the 
kinds of training costs that may be covered under the Professional 
Development program.
     Amending Sec.  263.5 to revise the competitive preference 
priorities for tribes, Indian organizations, and Indian institutions of 
higher education (IHE); to amend pre-service priorities to include 
project-specific goals; and to require applicants to submit a letter of 
support from an entity in the applicant's service area agreeing to 
consider program graduates for qualifying employment.
     Amending Sec.  263.6 to remove fixed points assigned to 
each criterion; to include in the regulations only program-specific 
factors and to eliminate the factors that are separately codified in 34 
CFR 75.210; and to revise the selection criteria.
     Amending Sec.  263.7 to specify that participants who do 
not return from a leave of absence by the end of the grant period will 
be considered not to have completed the program for the purposes of 
project performance reporting.
     Amending Sec.  263.8 to consolidate all of the regulatory 
provisions that govern the payback process, currently in Sec.  263.8 
through Sec.  263.10, into Sec.  263.8.
     Amending Sec.  263.9 to specify the two types of deferral 
that are available: Education and military service; to add a provision 
for military deferrals; and to remove the provision stating that 
payback begins within six months of program completion.
     Amending Sec.  263.10 to eliminate the work-related 
payback plan and the requirement that eligible employment must be 
continuous.
     Amending Sec.  263.11 to add a requirement for grantees to 
conduct a payback meeting with each participant; to require that 
grantees report participant and payback information to the U.S. 
Department of Education (Department); to require the grantee to obtain 
a signed payback agreement from each participant and submit it to the 
Department; to require that grantees assist participants in finding 
qualifying employment after completing the program; and to clarify that 
the hiring preference provisions of the Indian Self-Determination and 
Education Assistance Act apply to this program.
     Amending Sec.  263.12 to add to the criteria we use in 
making continuation awards; and to clarify that we may reduce 
continuation awards based on a grantee's failure to meet project goals.
     Amending Sec.  263.20 to modify the definition of ``Indian 
organization''; and to add a definition of ``native youth community 
project.''
     Amending Sec.  263.21 to remove the set number of 
competitive preference priority points; to revise the priority for 
applications submitted by Indian entities in paragraph (b), and to 
propose in paragraph (c) five new priorities, including one for native 
youth community projects.
     Adding Sec.  263.22 to include application requirements 
for the Demonstration Grants program.
     Adding Sec.  263.23 to clarify that the hiring preference 
provisions of the Indian Self-Determination and Education Act apply to 
this program.
    These final regulations contain changes from the NPRM, which are 
fully explained in the Analysis of Comments and Changes section of this 
document.
    Public Comment: In response to our invitation in the NPRM, 15 
parties submitted comments on the proposed regulations. We discuss 
substantive issues under the section number of the item to which they 
pertain. Several comments did not pertain to a specific section of the 
proposed regulations. We discuss these comments based on the general 
topic area. Generally, we do not address technical and other minor 
changes.
    Analysis of Comments and Changes: An analysis of the comments and 
of any changes in the regulations since publication of the NPRM 
follows.

General Comments

    Comments: Several commenters expressed strong support for the 
changes in the NPRM generally. One commenter requested that the 
Secretary issue a tribal consultation policy.
    Discussion: We appreciate the support for the changes to the 
Professional Development program and the Demonstration Grants program. 
The tribal consultation policy is outside the scope of this rulemaking. 
However, we are in the process of developing an updated tribal 
consultation policy. During this process, we are consulting with 
tribes, in accordance with the requirements of Executive Order 13175. 
We expect to publish this revised policy during FY 2015.
    Changes: None.

Professional Development Program

General

    Comments: Several commenters expressed support for the Professional 
Development program, and gave examples of impressive results from past 
grants, which have expanded the number of American Indian teachers in 
tribal communities.
    Discussion: We appreciate the support for this program.
    Changes: None.
    Comment: One commenter asked that we ensure active collaboration 
among grantees, tribes, and local schools to ensure that the training 
provided under the grants meets the educational needs of local 
communities.
    Discussion: We expect that the competitive priority for consortia 
that include a tribal entity (Sec.  263.5(a)), the new priority for 
applicants with a letter of support from a school district or other 
entity that will consider hiring graduates of this project (Sec.  
263.5(b)(3)), and the new selection criteria for need that relates to 
employment opportunities and shortages in certain fields (Sec.  
263.6(a)), will all contribute to the commenter's expressed goal.
    Changes: None.

Eligible Applicants (Sec.  263.2)

    Comments: Several commenters objected to the requirement that a 
tribal applicant (tribe or Indian organization) be required to apply in 
consortium with an IHE. One commenter asked that we allow a period of 
time after funding in order for a grantee to obtain a partner IHE. 
Another commenter asked that we define ``in consortium with an 
institution of higher education,'' in terms of the level of commitment 
required from the IHE, and suggested we permit an Indian organization 
to apply as a sole applicant without an IHE. This commenter also asked 
whether an Indian organization can apply with more than one IHE, and if 
so, what is required to demonstrate the partnerships.
    Discussion: The statute requires that any eligible entity that is 
not an IHE (other than a Department of the Interior Bureau of Indian 
Education (BIE)-funded school) must apply in consortium with an IHE 
(section 7122 of the ESEA), and we cannot change that statutory 
requirement. That eligibility requirement also precludes us from

[[Page 22405]]

permitting grantees to obtain a partner IHE after grants are made; for 
entities required to be in a consortium with an IHE in order to be 
eligible for a grant, the application must be from the consortium.
    With regard to the level of commitment required from the IHE, we do 
not believe it is necessary to prescribe the details of an arrangement 
with an IHE. To demonstrate an eligible consortium, the applicant must 
submit a consortium agreement that complies with the requirements of 34 
CFR 75.127-129, including the requirement that the agreement detail the 
activities to be performed by each member, and bind each member to 
every statement and assurance in the application. The IHE is the entity 
that will provide the actual education and training to Indian 
individuals to enable those individuals to teach in or administer 
schools serving Indians. By receiving a federally-funded education, 
these individuals do not need to take on loans and other financial 
obligations that can be onerous and can often dissuade students from 
pursuing a career in education. The level of commitment required by the 
IHE is large; the IHE educates and trains the participants, granting 
them the degree needed to teach or administer in accordance with State 
requirements. Often the IHE is the entity that recruits the students, 
assists with job placement, provides support services during the first 
year of a participant's teaching or administrative job, and complies 
with the grantee reporting requirements. However, an eligible entity 
partner such as an Indian organization or other nonprofit could provide 
these required support services under the Professional Development 
grant. It is possible for an eligible entity to apply in consortium 
with more than one IHE.
    Changes: None.
    Comment: One commenter asked that eligibility for these grants be 
expanded to include national non-profit organizations.
    Discussion: The eligibility requirements are statutory (see section 
7122 of the ESEA) and we cannot expand eligibility beyond the statutory 
authority.
    Changes: None.
    Comment: One commenter asked whether two local educational agencies 
(LEAs) and a particular land grant college that does not target Native 
students could serve as partners for the Professional Development 
program under the proposed changes. The commenter also asked whether a 
regional education association (REA) is eligible to apply.
    Discussion: Any number of eligible entities, in consortium with an 
eligible IHE, can join together to apply for a Professional Development 
grant. The IHE must be accredited to provide the coursework and level 
of degree required by the project, as specified in Sec.  263.2(c). The 
IHE does not have to target or serve primarily Native students; 
however, in order to receive the priority for an application submitted 
by an Indian entity, the IHE must be an Indian IHE that meets the 
definition in Sec.  263.3. A consortium applicant must submit a 
consortium agreement that complies with the requirements of 34 CFR 
75.127-129. With regard to the eligibility of an REA, that entity would 
need to meet the definition of one of the eligible entities: IHE, State 
educational agency (SEA), LEA, Indian tribe or Indian organization, or 
BIE-funded school, and would need to partner with an eligible IHE.
    Changes: None.

Definitions (Sec.  263.3)

    Comments: Several commenters supported the broader definition of 
``Indian organization'' that provides eligibility to organizations that 
have education as one of their purposes, rather than the sole purpose. 
One commenter asked that we ensure that the expansion of the definition 
would not preclude existing grantees from receiving funds.
    Discussion: We agree that the broader definition better serves the 
purposes of this program. The change in definition will not affect 
existing grantees, which will continue to be eligible for continuation 
awards. It also will not affect past grantees that qualified under the 
more narrow definition and will continue to be eligible if they apply 
for a new grant.
    Changes: None.
    Comments: A few commenters asked that the definition of ``Indian 
institution of higher education'' be expanded to include Native 
American Serving Non-Tribal Institutions (NASNTIs).
    Discussion: ``Indian IHE'' is currently defined in Sec.  263.3 of 
these regulations, and includes only tribal colleges and universities. 
NASNTIs are defined in Title III, Parts A and F, of the Higher 
Education Act, to mean IHEs that are not tribal colleges or 
universities, but that meet certain eligibility requirements, including 
a minimum number of enrolled students who are Native American. We 
decline to change the definition of ``Indian IHE'' for ESEA because, 
while the term ``Indian IHE'' is not defined in the ESEA, we believe 
that the plain meaning of the statutory term is limited to tribal 
colleges and universities, as reflected in our regulations.
    Changes: None.

Priorities (Sec.  263.5)

    Comments: Several commenters asked that the priority for Indian 
entities in Sec.  263.5(a) be expanded to include NASNTIs. These 
commenters stated that NASNTIs are often located in close proximity to 
tribal communities, and gave examples, including an institution that 
was founded in response to local tribal needs for qualified teachers in 
reservation schools, and another institution that educates and trains 
large numbers of native students to serve as teachers on a reservation. 
One commenter asked that the priority include NASNTIs that partner with 
a tribal college, for example, when students feed from a two-year 
tribal college into a four-year NASNTI. Another commenter requested 
that the priority include all IHEs that predominantly serve Native 
students.
    Discussion: We agree with the commenter that many NASNTIs fulfill 
an important role in educating Native students to serve as teachers in 
tribal communities. However, Congress specifically identified in 
section 7143 of the ESEA the group of entities to which we must give 
priority (Indian tribes, Indian organizations, and Indian IHEs). This 
group does not include NANSTIs, and we decline to expand the priority 
for Indian entities to include NASNTIs. Furthermore, because non-Indian 
IHEs, including those designated as NASNTI, received almost half of all 
awards under this grant program over the past three years, we decline 
to add an additional priority for NASNTIs.
    Changes: None.
    Comments: Several commenters objected to the consolidation of the 
two existing priorities (in current Sec.  263.5(a) and (b)) in proposed 
Sec.  263.5(a)); previously, one priority was for applications from any 
tribal entity, and one priority was for a consortium that includes an 
Indian IHE as fiscal agent.
    Discussion: We agree with the comments about the difficulties 
caused by our proposal to combine the two existing priorities into one. 
The statute requires that we give priority to applications from all 
three types of tribal entities: Tribes, Indian organizations, and 
Indian IHEs. As proposed, the combined priority could result in a 
tribal entity that is part of a consortium, but is not the fiscal agent 
or lead applicant, not receiving a preference. However, when an Indian 
IHE or other Indian entity is the lead applicant in a consortium, that 
entity has more influence in directing and

[[Page 22406]]

administering the grant. Therefore we are revising the regulations to 
create two separate priorities rather than the proposed combined one.
    The first priority, in Sec.  263.5(a)(1), gives preference to an 
Indian entity--tribe, organization, or IHE--either applying alone, or 
in a consortium for which it serves as the lead applicant. The second 
priority, in Sec.  263.5(a)(2), is for an Indian entity that is part of 
a consortium but is not the lead applicant. This will satisfy the 
statutory requirement to give priority to the three types of Indian 
entities, while enabling us to provide a competitive preference to 
applications for which the Indian entity is the sole or lead applicant. 
An applicant cannot receive competitive preference points under both of 
these priorities.
    Changes: We have revised Sec.  263.5(a) to create two separate 
competitive preference priorities. The first is for an Indian entity--
tribe, organization, or IHE--either applying alone or as lead applicant 
in a consortium. The second is for an Indian entity that is part of a 
consortium but is not the lead applicant.
    Comment: One commenter was concerned about the requirement that a 
consortium applicant would be eligible for the priority in proposed 
Sec.  263.5(a) only if an Indian IHE leads the consortium as fiscal 
agent. The commenter stated that the high overhead costs of IHEs limit 
the funding delivered directly to the program, and that the requirement 
would limit flexibility for an entity that trains teachers and 
administrators by working with a variety of IHEs to provide the 
required coursework. This commenter suggested that, alternatively, an 
Indian organization should be able to serve as lead applicant or fiscal 
agent in a consortium, and be eligible for the priority.
    Discussion: Our goal was to ensure that, in order to receive 
competitive preference points, a consortium would be led by an Indian 
entity. We agree with the commenter, however, that the proposed 
requirement that the lead of the consortium must be an IHE was too 
narrow. We agree that it is possible for an Indian organization to 
operate a Professional Development grant in consortium with an IHE, and 
for the Indian organization to be the actual lead entity for the 
project. The same is true for a tribe as lead applicant. The tribe or 
Indian organization would receive the grant and provide the funding to 
the IHE to pay for the cost of the participants' education. We agree 
that this could result in more direct funding for student training. 
Therefore, we are revising the priority in Sec.  263.5(a)(1) to permit 
a consortium to receive a competitive preference if the lead applicant 
is an Indian tribe, Indian organization, or Indian IHE. Before awarding 
priority points, we will examine the proposed project and activities to 
ensure that the Indian entity will in fact be serving as lead entity 
for the project.
    Changes: We have revised Sec.  263.5(a)(1) to provide that a 
consortium may receive a competitive preference if the lead applicant 
is an Indian tribe, Indian organization, or Indian IHE.
    Comment: None.
    Discussion: During our internal review we reexamined the proposed 
requirement that the Indian entity leading a consortium must be the 
fiscal agent in order to receive priority points. While not common, we 
recognize that it is possible to have a fiscal agent that is not the 
lead applicant. Accordingly, in Sec.  263.5(a)(1) we are revising the 
proposed requirement that an Indian entity be the ``fiscal agent,'' to 
instead require that the Indian entity be the lead applicant, which is 
the entity that receives the grant.
    Changes: We have revised Sec.  263.5(a) to change the preference 
for consortia in which the fiscal agent is an Indian entity, to 
consortia in which the lead applicant is an Indian entity.
    Comments: Several commenters were generally concerned that the 
proposed priority in Sec.  263.5(a) would prevent entities other than 
tribal entities from obtaining grants.
    Discussion: Due to the confusion evident in some comments, we are 
clarifying that the priorities in Sec.  263.5(a) for tribal entities 
are competitive preference priorities. We will not use those priorities 
as absolute priorities, but we will use them as competitive preference 
priorities in each year of a new competition. If they were absolute 
priorities, then a non-tribal IHE would not be eligible to receive a 
grant, which would be inconsistent with the statutory list of eligible 
entities. This is different from the priorities in Sec.  263.5(b), 
which we can designate as absolute or competitive in any year, or can 
decline to use.
    Changes: We have revised Sec.  263.5(a) to clarify that the 
priorities for tribal entities are competitive preference priorities.
    Comments: One commenter objected to removing the point values from 
the priorities for applications submitted by Indian entities, arguing 
that it would cause confusion for applicants and that applicants may 
not have timely information about eligibility requirements. Another 
commenter was opposed to removing the five-point priority for tribal 
colleges. Another commenter suggested that we rely upon letters of 
support to show collaboration but not assign preference points for 
partnerships.
    Discussion: We removed the specific number of points from the 
priorities for Indian entities, including the five points for tribal 
colleges, so that we have the flexibility to assign more (or fewer) 
points in a particular grant competition. This will allow us to provide 
additional points as needed in any application year to ensure that 
tribal entities, including tribal colleges, are eligible to receive a 
competitive preference. We do not believe this will confuse applicants. 
For each year in which we have a competition for new awards, we will 
announce the points for the tribal entity preferences in the notice 
inviting applications. Typically the notice is published 60 days in 
advance of the application deadline.
    With regard to the comment objecting to the awarding of competitive 
preference points for partnerships, eligible entities for this program 
include consortia, and we are required by statute to give priority to 
Indian entities; thus consortia that include such Indian entities will 
receive priority under revised Sec.  263.5(a). An Indian IHE, however, 
that applies as the lead applicant in a consortium would receive no 
advantage, under Sec.  263.5(a), over an Indian IHE that is the sole 
applicant, because both scenarios are included in Sec.  263.5(a)(1) and 
would receive an equal number of competitive preference points. With 
respect to letters of support, Sec.  263.5(b)(3) adds a new priority 
for applicants that include in their applications a letter of support 
from an entity, including a local school district, that agrees to 
consider program graduates for qualifying employment. We believe that 
such letters of support strengthen the likelihood that graduates will 
find employment in schools serving Indian students following their 
training.
    Changes: None.
    Comments: One commenter asked whether we are removing the absolute 
priority for pre-service training. Several commenters requested that we 
permit the use of funds to support and train Indian individuals in 
obtaining masters and doctoral degrees under the priorities in proposed 
Sec.  263.5(b) for pre-service training for teachers and 
administrators.
    Discussion: We have not removed the priority for pre-service 
training, and in any grant competition in which the Department uses 
this priority, we retain the discretion to designate that priority an 
absolute priority (see Sec.  263.5(b)).

[[Page 22407]]

    With regard to masters and doctoral degrees, funds under the 
Professional Development program can be used to support a student in 
obtaining any degree that is required by the State for the teaching or 
administrative position for which individuals are being trained. 
However, the focus of this program is on preparing teachers and 
administrators for elementary and secondary education. The current 
regulations include graduate degrees as part of the definitions of 
``full-time student'' and ``pre-service training'' in Sec.  263.3, and 
we have not changed those definitions. However, we are providing 
further clarification in the priorities for pre-service training for 
teachers and administrators by removing the references to bachelor's 
degrees for teachers and master's degrees for administrators so that a 
student pursuing a higher-level degree may be supported as a 
participant under this program if that degree is required for a 
specific position. However, because we interpret the statute to support 
only the preparation of teachers and administrators in elementary and 
secondary education, we are not expanding the scope of the program to 
include doctoral degrees for Indian students seeking employment in 
higher education.
    Changes: We have revised the priorities for pre-service training in 
proposed Sec. Sec.  263.5(b)(1) and (2) to remove the references to a 
``bachelor's degree'' for pre-service teacher training, and, for 
administrator training, changing the reference from ``master's degree'' 
to ``graduate degree.''
    Comments: None.
    Discussion: During our internal review we analyzed the existing 
requirements in the priorities for pre-service teacher training and 
administrator training (in current Sec.  263.5(c), proposed Sec.  
263.5(b)) and believe it would be helpful to clarify certain 
provisions. We are revising the regulation to make clear that the 
requirement that training be provided before the end of the award 
period applies to all three situations: An education degree, a subject-
matter degree, and specialized training. We are removing the exception 
for a fifth year from the education degree provision because a review 
of funded projects shows that this exception is not necessary. We are 
also removing, in the provision on degrees in a subject area (new Sec.  
263.5(b)(1)(i)(B)), the reference to the requirement that training meet 
the requirements for full State certification or licensure, because it 
is redundant with the introductory language of that paragraph.
    Changes: We have revised the priority for pre-service training for 
teachers in proposed Sec.  263.5(b)(1) by moving the reference to 
earning a degree before the end of the award period from proposed Sec.  
263.5(b)(1)(i)(a) to the introductory language of final Sec.  
263.5(b)(1)(i), by removing the proposed exception for a fifth year 
from Sec.  263.5(b)(1)(i)(A), and by removing the reference to the 
requirement that training meets the requirements for full State 
certification or licensure from proposed Sec.  263.5(b)(1)(i)(B).

Selection Criteria (Sec.  263.6)

    Comments: One commenter objected to the job market analysis element 
of the selection criterion for ``Need for Project'' in proposed Sec.  
263.6, and stated that this would increase the burden for applicants to 
search for and interpret market analysis data. The commenter also 
requested that appropriate market analysis Web site links be made 
available to applicants.
    Discussion: Under the selection criterion ``Need for Project'' in 
Sec.  263.6, we will evaluate the extent to which the proposed project 
will prepare personnel in specific fields, and the extent to which 
employment opportunities exist in the project's service area, with both 
elements to be demonstrated by a job market analysis. The purpose of a 
job market analysis is to determine whether there is a need for 
qualified education personnel to fill vacancies in teacher and 
administrator positions within the geographic region to be served. To 
conduct the job market analysis, applicants can use accessible data 
sources at the national, State and local level to determine current and 
future teacher and administrator shortages in selected fields. Because 
job market data are now generally available online, a market analysis 
would not increase an applicant's burden. We also note that prior 
applicants under the current regulations also addressed need for 
personnel, documenting education personnel shortages in the region to 
be served and designing their proposed programs accordingly.
    Accessible resources for determining teacher shortages are 
available at the national level; however, applicants should rely on 
State and local sources for more accurate and timely data. We also note 
that this is an element of a selection criterion, not an application 
requirement, so it is optional for applicants to address, although we 
encourage all applicants to do so.
    Changes: None.

Payback Requirements (Sec.  263.8)

    Comments: Commenters supported the proposed regulations clarifying 
the payback requirements and procedures.
    Discussion: We appreciate the support for these changes.
    Changes: None.

Demonstration Grants Program

General

    Comments: Several commenters were generally supportive of the 
proposed changes to the Demonstration Grants program regulations.
    Discussion: We appreciate the support for the changes.
    Changes: None.

Definitions (Sec.  263.20)

    Comments: Several commenters addressed the proposed definition of 
``Indian organization'' as it applies to both this program and the 
Professional Development program; it is the same definition for both 
programs.
    Discussion: We address those comments under the discussion of 
Definitions for the Professional Development program (Sec.  263.3).
    Changes: None.

Definition of Native Youth Community Project

    Comments: Several commenters supported the proposed definition of 
``Native Youth Community Project,'' and specifically the requirement 
that a community come together to address the adverse experiences 
affecting Indian children. However, several other commenters expressed 
concern that the requirement for a partnership among the specified 
entities could adversely affect the success of some applications. For 
example, one commenter was concerned that some applicants do not have 
readily available partner organizations, which would reduce the 
likelihood that such applicants would receive funding.
    Discussion: We appreciate the support for encouraging partnerships 
among entities to more effectively address the complex barriers facing 
native youth. We believe that greater collaboration among the 
organizations increases the likelihood that an NYCP will improve the 
college and career readiness of Indian youth. Furthermore, we believe 
that proposed projects that demonstrate the existence of a partnership 
at the time of application are more likely to become strong, viable 
projects. Therefore, we disagree with the commenters who objected to 
the partnership requirement.
    While we cannot ensure that partnerships and agreements formed in 
order to apply for a grant will stand the

[[Page 22408]]

test of time, we believe that an applicant with a formal partnership 
agreement will have a greater chance of success than an applicant with 
only letters of support. We expect that in ranking applications, 
reviewers will judge the quality of the partnerships presented in those 
application, based on the selection criteria. Moreover, a partnership 
that fails after being awarded a grant would not be able to show 
substantial progress in order to receive continuation funding.
    Changes: None.
    Comment: One commenter asked that we not give priority to 
applicants simply because of their geographic proximity to locally 
available and willing partners.
    Discussion: We agree that if a community comes together to create 
an NYCP, that partnership should have the flexibility to include non-
local partners. A tribe and school district may wish to engage with a 
national nonprofit organization that is skilled in addressing the focus 
of the local project, whether it is academic success, drug prevention, 
parental engagement in schools, or any other project focus. Therefore 
we are broadening part of the definition of NYCP; rather than requiring 
the applicant or a partner to show that it has the capacity to improve 
outcomes for Indian students, we are requiring the applicant or a 
partner to demonstrate that it has the capacity to improve outcomes 
that are relevant to the project focus. This allows an applicant to 
partner with a national organization that has demonstrated the capacity 
to improve outcomes that are relevant to the project focus, and not be 
limited to locally available and willing partners. There is a statutory 
application requirement that projects must be based either on 
scientific research or on an existing program that has been modified to 
be culturally appropriate for Indian students (see Sec.  263.22(a)(3). 
Thus, an applicant that partners with an entity that has demonstrated 
success with non-Indian students, and proposes to use that entity's 
program model, will need to explain how it has modified that program to 
be culturally appropriate.
    Changes: We have revised paragraph (6) of the definition of NYCP in 
Sec.  263.20 to provide that an applicant or a partner must have 
demonstrated the capacity to improve outcomes that are relevant to the 
project focus.
    Comment: One commenter requested that we ensure that States and 
local public schools actively participate and coordinate with tribal 
grantees.
    Discussion: We are requiring that at least one tribe and at least 
one local school district be partners in a proposed project. We are not 
requiring State involvement, although States may be partners in a 
project. Because of the focus on local community-driven solutions, it 
would not be appropriate to require a State's involvement.
    Changes: None.
    Comments: Two commenters asked that we include tribal colleges in 
NYCP partnerships, and one asked that we include both tribal colleges 
and NASNTIs.
    Discussion: Tribal colleges are eligible entities under the 
Demonstration Grants program, and nothing in the regulations precludes 
either a tribal college or a NASNTI from being a partner in an NYCP. 
Although we agree that a college or university could be a valuable 
partner in an NYCP, we decline to make tribal colleges or any other 
IHEs mandatory partners in NYCPs, because the focus of these projects 
is a local community area, and not all tribal communities have a 
college in the vicinity.
    Changes: None.
    Comments: We received several comments asking whether one NYCP can 
include multiple tribes. We also received additional comments 
expressing the concern that urban communities often include Indian 
youth from many different tribes, and that urban applicants might face 
unfair challenges in partnering with tribes or their tribal education 
agencies because of the distance between the tribes and the urban 
communities in which the Indian youth live and attend school. Another 
commenter expressed concern that a partnering tribe would refuse to 
serve youth from other tribes. Some commenters specifically requested 
that we eliminate the requirement that applicants form a partnership 
with a tribe. Another commenter asked whether one tribe can participate 
in more than one NYCP.
    Discussion: Nothing in the definition of NYCP prohibits a project 
from including multiple tribes as partners. To meet the NYCP 
definition, applicants must identify and address significant barriers 
and needs within a local community. It is likely that in many areas, 
including urban areas, Indian youth and their families from many tribes 
live within a defined local community. Also, members of one tribe often 
live in several different communities. The entities responsible for 
Indian youth in the identified local community should partner with one 
another. We agree that certain NYCP applicants may need to partner with 
multiple tribes or their tribal education agencies in order to address 
the identified need in the local community. We are therefore clarifying 
in the final regulations that partnerships can include more than one 
tribe.
    However, we disagree with the commenters that it is unfair to urban 
areas to require applicants to partner with one or more tribes. The 
NYCPs are intended to support the involvement of tribes in the 
education of Indian children, which is one of the goals of title VII of 
the ESEA. Each project must therefore include a partnership among a 
school district or BIE-funded school, a tribe or its education agency, 
and other organizations as necessary, to address the need identified by 
the project. The partnering entities must agree to serve the Indian 
youth living in the defined local community, regardless of their tribal 
membership.
    With regard to whether one tribe can participate in more than one 
NYCP, nothing in the regulations prohibits such participation.
    Changes: We have revised paragraph (5)(i) of the definition of NYCP 
in Sec.  263.20 to include one or more tribes or their tribal education 
agencies.
    Comment: One commenter objected to the requirement that NYCPs 
include a school district as a partner, arguing that this would lead to 
more bureaucracy and undue attention to the school district's own 
programs as opposed to those favored by a qualifying Indian 
organization.
    Discussion: We believe that schools, tribes, and Indian 
organizations similarly value better outcomes for Indian youth, 
including academic achievement and readiness for postsecondary 
education and employment. The NYCPs are intended to leverage the 
resources and capacity currently spread among tribes, LEAs, BIE-funded 
schools, or other organizations, through a partnership to increase the 
likelihood of reaching these better outcomes. We believe that, 
especially for communities where most American Indian/Alaska Native 
(AI/AN) students attend the local public schools, the inclusion of the 
LEA in these projects is essential to the success of the projects.
    Changes: None.
    Comment: One commenter suggested that the Department should revise 
the definition of NYCP to allow for a project to include a partnership 
with organizations such as the Boys and Girls Club of America.
    Discussion: Paragraph (5) of the NCYP definition permits community 
organizations to be included in a partnership. However, we do not 
recommend any specific community organizations as partners in an NYCP. 
The applicants must determine which entities are necessary partners in 
order

[[Page 22409]]

to address the identified need of the Indian youth in the local 
community to be served by the NYCP.
    Changes: None.

Definition of ``Rural''

    Comment: One commenter requested that we add a definition of 
``rural'' in the final regulations.
    Discussion: There is no need to define ``rural'' because the 
priority for rural applicants under Sec.  263.21(c)(5) explains which 
entities are considered rural. We include further discussion of the 
rural priority under the Priorities section of the Analysis of Comments 
and Changes in this notice.
    Changes: None.

Priorities (Sec.  263.21)

    Comments: Several commenters supported our proposal to expand the 
Demonstration Grants program beyond the two absolute priorities of 
early childhood and college readiness. One commenter further commended 
the Department for supporting complex projects to address the complex 
issues facing some Indian communities.
    Discussion: We appreciate the support for the priorities.
    Changes: None.
    Comments: Several commenters generally objected to the proposed 
revisions to the priorities in Sec.  263.21(b), and to the parallel 
provision in the Professional Development regulations. One objected to 
removing the priority preference for consortia that include an Indian 
entity; another commenter objected to removing the required number of 
priority preference points.
    Discussion: The statute for both the Professional Development and 
Demonstration Grants requires that we give priority to applications 
from all three types of tribal entities: Tribes, Indian organizations, 
and Indian IHEs. We proposed to remove the priority for consortia that 
include a tribal entity because a tribal entity that is not a sole 
applicant or lead applicant in a consortium does not necessarily have 
the influence that a sole applicant, or lead applicant in a consortium, 
has. However, if we only give priority when the Indian entity is the 
lead applicant, it would result in a tribal entity receiving no 
preference when it is part of a consortium but not the lead applicant. 
Therefore we are creating two separate priorities for the Demonstration 
Grants, similar to those created for the Professional Development 
Grants. The first priority, in Sec.  263.21(b)(1), gives preference to 
an Indian entity--tribe, organization, or IHE--either applying alone, 
or in a consortium or partnership if it serves as the lead applicant. 
The second priority, in Sec.  263.21(b)(2), is for an Indian entity 
that is part of a consortium or partnership but is not the lead 
applicant. This will enable us to satisfy the statutory requirement to 
give priority to the three types of Indian entities, while retaining 
the ability to provide more points to applications for which the Indian 
entity is the sole or lead applicant. Applicants cannot receive points 
under both of these priorities.
    With regard to the concern about removing point values from the 
regulations, we have removed the five-point limitation for both 
priorities so that we have the flexibility to assign more (or fewer) 
points as needed to ensure that applicants from tribal entities have an 
advantage over other applicants.
    Changes: We have revised Sec.  263.21(b) to create two separate 
competitive preference priorities. The first priority is for an Indian 
entity--tribe, organization, or IHE--either applying alone or as lead 
applicant in a consortium or partnership. The second is for an Indian 
entity that is part of a consortium or partnership but is not the lead 
applicant.
    Comments: One commenter objected to the revisions in Sec.  
263.21(c) that would give the Department discretion to choose specific 
priorities for a competition in any given year. The commenter stated 
that changing the priorities would make it hard for long-term grantees 
to create stable programs across multiple years.
    Discussion: Under Sec.  263.21(c), the Department has the 
discretion to choose any of the listed priorities in any year the 
Department conducts a grant competition for this program. This is 
consistent with the previous provisions in the same paragraph, which 
provided that the Department could choose among three different 
priorities in any given year, although all of those were absolute 
priorities. We recognize that potential applicants will need to respond 
to the priorities as published under each notice inviting applications. 
However, grantees will have the full grant period, typically 48 months, 
to implement their projects. We also note that there is no guarantee 
that a grantee under a discretionary grant program will receive another 
grant under the same program at the end of its grant period. The 
revisions to the priorities in Sec.  263.21(c) enable the Secretary to 
prioritize projects that address the needs of the target communities.
    Changes: None.

Priority for Native Youth Community Project (NYCP) (Sec.  263.21(c)(1))

    Comments: Several commenters supported the proposed priority for 
NYCP; one commenter mentioned the benefits of collaboration between 
tribes and schools and noted how out-of-school environments 
significantly affect in-classroom success. Other commenters requested 
that we support parent and family engagement in funding NYCPs.
    Discussion: We appreciate the support for the NYCP priority. We 
agree that parent and family engagement both in school and in the 
community is a crucial component in efforts to improve the outcomes of 
all children, including Indian children and youth. Each applicant must 
include in its application a description of how parents of Indian 
children have been and will be involved in developing and implementing 
the proposed activities, as required by Sec.  263.22(a)(1). In 
addition, an existing AI/AN parent organization or tribal parent 
committee could serve as a valuable partner in an NYCP.
    Changes: None.

Priority for Grantees Under Other Programs (Sec.  263.21(c)(2))

    Comments: Several commenters objected to the priority for 
applicants that have been awarded grants under other programs. One 
commenter stated that Indian organizations would be unfairly excluded 
under this priority, which would interfere with their ability to 
receive funding. Another commenter stated that the priority would 
provide undue advantage to applicants that are already receiving 
Federal funds.
    Discussion: This priority is designed to increase the likelihood 
that funded projects will attain their goals. The Demonstration Grants 
program is intended to target the most persistent issues facing Indian 
children, and to provide models that others can use. Grantees with 
existing resources to leverage are likely to have greater opportunities 
to address the needs of Indian children and to provide models that can 
be disseminated broadly.
    Although we did not receive a comment requesting clarification, the 
proposed regulations did not state the timeframe within which 
applicants must have received these other awards in order to qualify 
for this preference. We are clarifying that, to receive preference 
under this priority, the lead applicant or its partner must have 
received an award within the last four years. A longer period of time 
would make it less likely that the grantee could build on the 
experience gained by that grant.

[[Page 22410]]

    Changes: We have revised Sec.  263.21(c)(2) to provide that the 
applicant or one of its partners must have received an award under a 
selected program within the last four years in order to receive this 
preference.
    Comment: One commenter objected to the priority for applicants that 
consolidate funds through a plan that complies with section 7116 of the 
ESEA or other authority. The commenter argued that this preference 
would unduly favor tribes, which manage multiple programs, as opposed 
to Indian organizations that have a more narrow focus.
    Discussion: The purpose of the priority in Sec.  263.21(c)(3) for 
entities that have Department approval to consolidate funds is to 
encourage entities to take advantage of measures available to them to 
reduce duplication and bureaucracy, such as the authority under section 
7116 of the ESEA for consolidation of funding designed to benefit 
Indian students. Even though we recognize that not every eligible 
entity will be able to take advantage of this priority, we seek to 
encourage this consolidation in order to increase the impact of Federal 
funding by reducing duplication of effort.
    Changes: None.

Rural Priority (Sec.  263.21(c)(5))

    Comments: We received several comments regarding the competitive 
preference priority for rural applicants. Some commenters commended our 
efforts to address the needs associated with rural poverty. However, 
other commenters stated that urban areas, like rural communities, face 
the challenges of poverty. Several commenters stated that projects 
serving urban communities and those serving rural communities should 
not be required to compete for funding. One commenter stated that more 
American Indian children live in urban than in rural areas. Several 
commenters argued that because the Department's Impact Aid program 
compensates school districts in rural areas, such districts should not 
receive a priority under this program. A commenter also argued that the 
Department should allocate more funds to Impact Aid programs in order 
to address rural poverty, rather than providing a priority under this 
program.
    Discussion: Based on the Common Core of Data reported by SEAs in 
school year 2012-2013, nearly one-third of AI/AN children are enrolled 
in rural school districts, whereas fewer than one-fourth of AI/AN 
children live in city school districts. Therefore, we believe that 
giving preference to rural districts will appropriately focus on the 
geographical areas with proportionately larger populations of Indian 
children.
    Furthermore, we believe that the solutions to educational 
challenges may be different in rural communities than in urban 
communities and that there is a need for solutions that are unique to 
rural communities. The scarcity of services and resources available in 
rural communities may require additional attention to address these 
needs.
    With regard to the argument concerning the Impact Aid program, we 
note that not all rural school districts receive Impact Aid funding, 
often because they do not meet the eligibility requirements. For 
example, compared to the more than 1,200 school districts that receive 
title VII formula grants for Indian students, fewer than 700 school 
districts receive Impact Aid funding for students residing on Indian 
lands. Moreover, Impact Aid funds are intended to replace lost tax 
revenues or increased expenses due to a Federal presence. The Impact 
Aid funds are considered general aid to the recipient school districts, 
and they may use the funds in whatever manner they choose in accordance 
with their local and State requirements. Thus a school district that 
receives Impact Aid may be as much in need of supplemental funding for 
Indian students through the Demonstration Grants program as any other 
school district.
    Changes: None.
    Comment: None.
    Discussion: During our internal review of the proposed priority for 
rural applicants in Sec.  263.21(c)(5), we reviewed again whether all 
BIE-funded schools serve rural locales and determined that not all BIE-
funded schools serve those locales. Accordingly, we are revising the 
regulations to add a reference to the census locale codes as the 
indicator for BIE-funded schools that would be considered rural for 
purposes of this priority.
    Changes: We have revised the language in Sec.  263.21(c)(5) with 
regard to BIE-funded schools to add that, to meet the rural priority, 
they must be in locale codes 42 or 43, as designated by the U.S. Census 
Bureau.

Application Requirements (Sec.  263.22)

    Comment: One commenter objected to the requirement in Sec.  
263.22(b)(2) that applicants submit a written agreement between the 
partners in a proposed project.
    Discussion: This is an application requirement that the Department 
may choose to use in any year of a new competition. For a priority such 
as the NYCP priority, we would select this application requirement 
because it would be essential for such a project to show agreement 
between the required partners. For other priorities, such as a priority 
for early learning projects, this requirement may not be appropriate. 
We will publish the selected application requirements in the notice 
inviting applications in the Federal Register.
    Changes: None.
    Comment: None.
    Discussion: During our internal review of the proposed application 
requirements, we noted that the requirement to submit measureable 
objectives in Sec.  263.22(b)(3) insufficiently communicated the 
expectation for the project to use the measureable objectives in 
evaluating the progress toward and success in meeting its goal or 
goals. Accordingly, we are revising the regulations to include a 
project evaluation plan.
    Changes: We have revised the language in Sec.  263.22(b)(3) to 
clarify that the applicant must submit, in response to a notice 
inviting applications published in the Federal Register, an evaluation 
plan that includes measureable objectives.

Executive Orders 12866 and 13563

Regulatory Impact Analysis

    Under Executive Order 12866, the Secretary must determine whether 
this regulatory action is ``significant'' and, therefore, subject to 
the requirements of the Executive order and subject to review by the 
Office of Management and Budget (OMB). Section 3(f) of Executive Order 
12866 defines a ``significant regulatory action'' as an action likely 
to result in a rule that may--
    (1) Have an annual effect on the economy of $100 million or more, 
or adversely affect a sector of the economy, productivity, competition, 
jobs, the environment, public health or safety, or State, local, or 
tribal governments or communities in a material way (also referred to 
as an ``economically significant'' rule);
    (2) Create serious inconsistency or otherwise interfere with an 
action taken or planned by another agency;
    (3) Materially alter the budgetary impacts of entitlement 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 stated in the 
Executive order.
    This final regulatory action is not a significant regulatory action 
subject to review by OMB under section 3(f) of Executive Order 12866.
    We have also reviewed these regulations under Executive Order

[[Page 22411]]

13563, which supplements and explicitly reaffirms the principles, 
structures, and definitions governing regulatory review established in 
Executive Order 12866. To the extent permitted by law, Executive Order 
13563 requires that an agency--
    (1) Propose or adopt regulations only on a reasoned determination 
that their benefits justify their costs (recognizing that some benefits 
and costs are difficult to quantify);
    (2) Tailor its regulations to impose the least burden on society, 
consistent with obtaining regulatory objectives and taking into 
account--among other things and to the extent practicable--the costs of 
cumulative regulations;
    (3) In choosing among alternative regulatory approaches, select 
those approaches that maximize net benefits (including potential 
economic, environmental, public health and safety, and other 
advantages; distributive impacts; and equity);
    (4) To the extent feasible, specify performance objectives, rather 
than the behavior or manner of compliance a regulated entity must 
adopt; and
    (5) Identify and assess available alternatives to direct 
regulation, including economic incentives--such as user fees or 
marketable permits--to encourage the desired behavior, or provide 
information that enables the public to make choices.
    Executive Order 13563 also requires an agency ``to use the best 
available techniques to quantify anticipated present and future 
benefits and costs as accurately as possible.'' The Office of 
Information and Regulatory Affairs of OMB has emphasized that these 
techniques may include ``identifying changing future compliance costs 
that might result from technological innovation or anticipated 
behavioral changes.''
    We are issuing these final regulations only on a reasoned 
determination that their benefits justify their costs. In choosing 
among alternative regulatory approaches, we selected those approaches 
that maximize net benefits. Based on the analysis that follows, the 
Department believes that these final regulations are consistent with 
the principles in Executive Order 13563.
    We also have determined that this regulatory action does not unduly 
interfere with State, local, or tribal governments in the exercise of 
their governmental functions.
    In accordance with both Executive orders, the Department has 
assessed the potential costs and benefits, both quantitative and 
qualitative, of this regulatory action. The potential costs associated 
with this regulatory action are those resulting from statutory 
requirements and those we have determined as necessary for 
administering the Department's programs and activities.
    Discussion of Costs and Benefits: The potential costs associated 
with the priorities and requirements would be minimal while the 
potential benefits are significant.
    For Professional Development grants, applicants may anticipate 
costs in developing their applications and time spent reporting 
participant payback information in the Data Collection System (DCS). 
Additional costs would be associated with participant and employer 
information entered in the DCS, but program funds would pay for the 
costs of carrying out these activities.
    The benefits include enhancing project design and quality of 
services to better meet the program objectives, with the end result 
that more participants successfully complete their programs of study 
and obtain employment as teachers and administrators.
    For the Demonstration Grants program, applicants may anticipate 
costs associated with developing a partnership agreement and providing 
evidence of a local needs assessment or data analysis. These 
requirements should improve the quality of projects funded and 
conducted under these grants, and we believe the benefits of these 
improvements will outweigh the costs. Elsewhere in this section, under 
Paperwork Reduction Act of 1995, we identify and explain burdens 
specifically associated with information collection requirements.

Paperwork Reduction Act of 1995

    Sections 263.6, 263.10, 263.11 and 263.22 Indian Education 
Discretionary Grant Programs; Professional Development Program and 
Demonstration Grants for Indian Children Program contain information 
collection requirements. Under the Paperwork Reduction Act of 1995 
(PRA) (44 U.S.C. 3507(d)), the Department of Education has submitted a 
copy of these sections and related application forms to the Office of 
Management and Budget (OMB) for its review and approval. In accordance 
with the PRA, the OMB Control number associated with the Professional 
Development final regulations, related application forms, and ICRs for 
section 263.6, is OMB approved 1810-0580, and for sections 263.10 and 
263.11 it is OMB approved 1810-0698. The Department also submitted to 
OMB for its review and approval a new Information Collection Request 
(ICR) for control number 1810--New Application for Demonstration Grants 
for Indian Children Program for section 263.22. An approved OMB control 
number will be assigned to this new ICR at the time of publication of 
the final rule.
    A Federal agency may not conduct or sponsor a collection of 
information unless OMB approves the collection under the PRA and the 
corresponding information collection instrument displays a currently 
valid OMB control number. Notwithstanding any other provision of law, 
no person is required to comply with, or is subject to penalty for 
failure to comply with, a collection of information if the collection 
instrument does not display a currently valid OMB control number.

Intergovernmental Review

    These programs are subject to the requirements of Executive Order 
12372 and the regulations in 34 CFR part 79. One of the objectives of 
the Executive order is to foster an intergovernmental partnership and a 
strengthened federalism. The Executive order relies on processes 
developed by State and local governments for coordination and review of 
proposed Federal financial assistance.
    This document provides early notification of our specific plans and 
actions for these programs.

Assessment of Educational Impact

    In the NPRM we requested comments on whether the proposed 
regulations would require transmission of information that any other 
agency or authority of the United States gathers or makes available.
    Based on our review, we have determined that these final 
regulations do not require transmission of information that any other 
agency or authority of the United States gathers or makes available.
    Accessible Format: Individuals with disabilities can obtain this 
document in an accessible format (e.g., braille, large print, 
audiotape, or compact disc) on request to the program contact person 
listed under FOR FURTHER INFORMATION CONTACT.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. Free 
Internet access to the official edition of the Federal Register and the 
Code of Federal Regulations is available via the Federal Digital System 
at: www.thefederalregister.org/fdsys. At this site you can view this document, as well 
as all other documents of this Department published in the Federal 
Register, in text or Adobe Portable Document Format (PDF). To use PDF 
you must

[[Page 22412]]

have Adobe Acrobat Reader, which is available free at the site.
    You may also access documents of the Department published in the 
Federal Register by using the article search feature at: 
www.federalregister.gov. Specifically, through the advanced search 
feature at this site, you can limit your search to documents published 
by the Department.

(Catalog of Federal Domestic Assistance Numbers: 84.299A 
Demonstration Grants for Indian Children Program; 84.299B 
Professional Development Program)

List of Subjects in 34 CFR Part 263

    Business and industry, Colleges and universities, Elementary and 
secondary education, Grant programs--education, Grant program--Indians, 
Indians--education, Reporting and recordkeeping requirements, 
Scholarships and fellowships.

    Dated: April 17, 2015.
Deborah Delisle,
Assistant Secretary for Elementary and Secondary Education.

    For the reasons discussed in the preamble, the Secretary of 
Education amends title 34 of the Code of Federal Regulations by 
revising part 263 to read as follows:

PART 263--INDIAN EDUCATION DISCRETIONARY GRANT PROGRAMS

Subpart A--Professional Development Program
Sec.
263.1 What is the Professional Development Program?
263.2 Who is eligible to apply under the Professional Development 
program?
263.3 What definitions apply to the Professional Development 
program?
263.4 What costs may a Professional Development program include?
263.5 What priority is given to certain projects and applicants?
263.6 How does the Secretary evaluate applications for the 
Professional Development program?
263.7 What are the requirements for a leave of absence?
263.8 What are the payback requirements?
263.9 What are the requirements for payback deferral?
263.10 What are the participant payback reporting requirements?
263.11 What are the grantee post-award requirements?
263.12 What are the program-specific requirements for continuation 
awards?

    Authority: 20 U.S.C. 7442, unless otherwise noted.
Subpart B--Demonstration Grants for Indian Children Program
Sec.
263.20 What definitions apply to the Demonstration Grants for Indian 
Children program?
263.21 What priority is given to certain projects and applicants?
263.22 What are the application requirements for these grants?
263.23 What is the Federal requirement for Indian hiring preference 
that applies to these grants?

    Authority: 20 U.S.C. 7441, unless otherwise noted.

Subpart A--Professional Development Program

    Authority: 20 U.S.C. 7442, unless otherwise noted.


Sec.  263.1  What is the Professional Development program?

    (a) The Professional Development program provides grants to 
eligible entities to--
    (1) Increase the number of qualified Indian individuals in 
professions that serve Indian people;
    (2) Provide training to qualified Indian individuals to become 
teachers, administrators, teacher aides, social workers, and ancillary 
educational personnel; and
    (3) Improve the skills of qualified Indian individuals who serve in 
the education field.
    (b) The Professional Development program requires individuals who 
receive training to--
    (1) Perform work related to the training received under the program 
and that benefits Indian people, or to repay all or a prorated part of 
the assistance received under the program; and
    (2) Periodically report to the Secretary on the individual's 
compliance with the work requirement until work-related payback is 
complete or the individual has been referred for cash payback.


Sec.  263.2  Who is eligible to apply under the Professional 
Development program?

    (a) In order to be eligible for either pre-service or in-service 
training programs, an applicant must be an eligible entity which 
means--
    (1) An institution of higher education, including an Indian 
institution of higher education;
    (2) A State educational agency in consortium with an institution of 
higher education;
    (3) A local educational agency (LEA) in consortium with an 
institution of higher education;
    (4) An Indian tribe or Indian organization in consortium with an 
institution of higher education; or
    (5) A Bureau of Indian Education (Bureau)-funded school.
    (b) Bureau-funded schools are eligible applicants for--
    (1) An in-service training program; and
    (2) A pre-service training program when the Bureau-funded school 
applies in consortium with an institution of higher education that is 
accredited to provide the coursework and level of degree required by 
the project.
    (c) Eligibility of an applicant requiring a consortium with any 
institution of higher education, including Indian institutions of 
higher education, requires that the institution of higher education be 
accredited to provide the coursework and level of degree required by 
the project.


Sec.  263.3  What definitions apply to the Professional Development 
program?

    The following definitions apply to the Professional Development 
program:
    Bureau-funded school means a Bureau of Indian Education school, a 
contract or grant school, or a school for which assistance is provided 
under the Tribally Controlled Schools Act of 1988.
    Department means the U.S. Department of Education.
    Dependent allowance means costs for the care of minor children 
under the age of 18 who reside with the training participant and for 
whom the participant has responsibility. The term does not include 
financial obligations for payment of child support required of the 
participant.
    Full course load means the number of credit hours that the 
institution requires of a full-time student.
    Full-time student means a student who--
    (1) Is a degree candidate for a baccalaureate or graduate degree;
    (2) Carries a full course load; and
    (3) Is not employed for more than 20 hours a week.
    Good standing means a cumulative grade point average of at least 
2.0 on a 4.0 grade point scale in which failing grades are computed as 
part of the average, or another appropriate standard established by the 
institution.
    Graduate degree means a post-baccalaureate degree awarded by an 
institution of higher education.
    Indian means an individual who is--
    (1) A member of an Indian tribe or band, as membership is defined 
by the Indian tribe or band, including any tribe or band terminated 
since 1940, and any tribe or band recognized by the State in which the 
tribe or band resides;
    (2) A descendant of a parent or grandparent who meets the 
requirements of paragraph (1) of this definition;
    (3) Considered by the Secretary of the Interior to be an Indian for 
any purpose;
    (4) An Eskimo, Aleut, or other Alaska Native; or
    (5) A member of an organized Indian group that received a grant 
under the

[[Page 22413]]

Indian Education Act of 1988 as it was in effect on October 19, 1994.
    Indian institution of higher education means an accredited college 
or university within the United States cited in section 532 of the 
Equity in Educational Land-Grant Status Act of 1994, any other 
institution that qualifies for funding under the Tribally Controlled 
College or University Assistance Act of 1978, and the Navajo Community 
College, authorized in the Navajo Community College Assistance Act of 
1978.
    Indian organization means an organization that--
    (1) Is legally established--
    (i) By tribal or inter-tribal charter or in accordance with State 
or tribal law; and
    (ii) With appropriate constitution, by-laws, or articles of 
incorporation;
    (2) Includes in its purposes the promotion of the education of 
Indians;
    (3) Is controlled by a governing board, the majority of which is 
Indian;
    (4) If located on an Indian reservation, operates with the sanction 
or by charter of the governing body of that reservation;
    (5) Is neither an organization or subdivision of, nor under the 
direct control of, any institution of higher education; and
    (6) Is not an agency of State or local government.
    Induction services means services provided after participants 
complete their training program and during their first year of 
teaching. Induction services support and improve participants' 
professional performance and promote their retention in the field of 
education and teaching. They include, at a minimum, these activities:
    (1) High-quality mentoring, coaching, and consultation services for 
the participant to improve performance;
    (2) Access to research materials and information on teaching and 
learning;
    (3) Assisting new teachers with use of technology in the classroom 
and use of data, particularly student achievement data, for classroom 
instruction;
    (4) Clear, timely and useful feedback on performance, provided in 
coordination with the participant's supervisor; and
    (5) Periodic meetings or seminars for participants to enhance 
collaboration, feedback, and peer networking and support.
    In-service training means activities and opportunities designed to 
enhance the skills and abilities of individuals in their current areas 
of employment.
    Institution of higher education means an accredited college or 
university within the United States that awards a baccalaureate or 
post-baccalaureate degree.
    Participant means an Indian individual who is being trained under 
the Professional Development program.
    Payback means work-related service or cash reimbursement to the 
Department of Education for the training received under the 
Professional Development program.
    Pre-service training means training to Indian individuals to 
prepare them to meet the requirements for licensing or certification in 
a professional field requiring at least a baccalaureate degree.
    Professional development activities means pre-service or in-service 
training offered to enhance the skills and abilities of individual 
participants.
    Secretary means the Secretary of the Department of Education or an 
official or employee of the Department acting for the Secretary under a 
delegation of authority.
    Stipend means that portion of an award that is used for room, 
board, and personal living expenses for full-time participants who are 
living at or near the institution providing the training.

(Authority: 20 U.S.C. 7442 and 7491)

Sec.  263.4  What costs may a Professional Development program include?

    (a) A Professional Development program may include, as training 
costs, assistance to--
    (1) Fully finance a student's educational expenses including 
tuition, books, and required fees; health insurance required by the 
institution of higher education; stipend; dependent allowance; 
technology costs; program required travel; and instructional supplies; 
or
    (2) Supplement other financial aid, including Federal funding other 
than loans, for meeting a student's educational expenses.
    (b) The Secretary announces the expected maximum amounts for 
stipends and dependent allowance in the annual notice inviting 
applications published in the Federal Register.
    (c) Other costs that a Professional Development program may 
include, but that must not be included as training costs, include costs 
for--
    (1) Collaborating with prospective employers within the grantees' 
local service area to create a pool of potentially available qualifying 
employment opportunities;
    (2) In-service training activities such as providing mentorships 
linking experienced teachers at job placement sites with program 
participants; and
    (3) Assisting participants in identifying and securing qualifying 
employment opportunities in their field of study following completion 
of the program.


Sec.  263.5  What priority is given to certain projects and applicants?

    (a) The Secretary gives competitive preference priority to--
    (1) An application submitted by an Indian tribe, Indian 
organization, or an Indian institution of higher education that is 
eligible to participate in the Professional Development program. A 
consortium application of eligible entities that meets the requirements 
of 34 CFR 75.127 through 75.129 and includes an Indian tribe, Indian 
organization, or Indian institution of higher education will be 
considered eligible to receive preference under this priority only if 
the lead applicant for the consortium is the Indian tribe, Indian 
organization, or Indian institution of higher education. In order to be 
considered a consortium application, the application must include the 
consortium agreement, signed by all parties; or
    (2) A consortium application of eligible entities that--
    (i) Meets the requirements of 34 CFR 75.127 through 75.129 and 
includes an Indian tribe, Indian organization, or Indian institution of 
higher education; and
    (ii) Is not eligible to receive a preference under paragraph (a)(1) 
of this section.
    (b) The Secretary may annually establish as a priority any of the 
priorities listed in this paragraph. When inviting applications for a 
competition under the Professional Development program, the Secretary 
designates the type of each priority as absolute, competitive 
preference, or invitational through a notice in the Federal Register. 
The effect of each type of priority is described in 34 CFR 75.105.
    (1) Pre-Service training for teachers. The Secretary establishes a 
priority for projects that--
    (i) Provide support and training to Indian individuals to complete 
a pre-service education program before the end of the award period that 
enables the individuals to meet the requirements for full State 
certification or licensure as a teacher through--
    (A) Training that leads to a degree in education;
    (B) For States allowing a degree in a specific subject area, 
training that leads to a degree in the subject area; or
    (C) Training in a current or new specialized teaching assignment 
that requires a degree and in which a documented teacher shortage 
exists;
    (ii) Provide one year of induction services, during the award 
period, to

[[Page 22414]]

participants after graduation, certification, or licensure, while they 
are completing their first year of work in schools with significant 
Indian student populations; and
    (iii) Include goals for the--
    (A) Number of participants to be recruited each year;
    (B) Number of participants to continue in the project each year;
    (C) Number of participants to graduate each year; and
    (D) Number of participants to find qualifying jobs within twelve 
months of completion.
    (2) Pre-service administrator training. The Secretary establishes a 
priority for projects that--
    (i) Provide support and training to Indian individuals to complete 
a graduate degree in education administration that is provided before 
the end of the award period and that allows participants to meet the 
requirements for State certification or licensure as an education 
administrator;
    (ii) Provide one year of induction services, during the award 
period, to participants after graduation, certification, or licensure, 
while they are completing their first year of work as administrators in 
schools with significant Indian student populations; and
    (iii) Include goals for the--
    (A) Number of participants to be recruited each year;
    (B) Number of participants to continue in the project each year;
    (C) Number of participants to graduate each year; and
    (D) Number of participants to find qualifying jobs within twelve 
months of completion.
    (3) Letter of support. The Secretary establishes a priority for 
applicants that include a letter of support signed by the authorized 
representative of an LEA or Department of the Interior Bureau of Indian 
Education (BIE)-funded school or other entity in the applicant's 
service area that agrees to consider program graduates for qualifying 
employment.

(Authority: 20 U.S.C. 7442 and 7473)

Sec.  263.6  How does the Secretary evaluate applications for the 
Professional Development program?

    The Secretary uses the procedures for establishing selection 
criteria and factors in 34 CFR 75.200 through 75.210 to establish the 
criteria and factors used to evaluate applications submitted in a grant 
competition for the Professional Development program. The Secretary may 
also consider one or more of the criteria and factors listed in 
paragraphs (a) through (e) of this section to evaluate applications.
    (a) Need for project. In determining the need for the proposed 
project, the Secretary considers one or more of the following:
    (1) The extent to which the proposed project will prepare personnel 
in specific fields in which shortages have been demonstrated through a 
job market analysis.
    (2) The extent to which employment opportunities exist in the 
project's service area, as demonstrated through a job market analysis.
    (b) Significance. In determining the significance of the proposed 
project, the Secretary considers one or more of the following:
    (1) The potential of the proposed project to develop effective 
strategies for teaching Indian students and improving Indian student 
achievement, as demonstrated by a plan to share findings gained from 
the proposed project with parties who could benefit from such findings, 
such as other institutions of higher education who are training 
teachers and administrators who will be serving Indian students.
    (2) The likelihood that the proposed project will build local 
capacity to provide, improve, or expand services that address the 
specific needs of Indian students.
    (c) Quality of the project design. The Secretary considers one or 
more of the following factors in determining the quality of the design 
of the proposed project:
    (1) The extent to which the goals, objectives, and outcomes to be 
achieved by the proposed project are ambitious but also attainable and 
address--
    (i) The number of participants expected to be recruited in the 
project each year;
    (ii) The number of participants expected to continue in the project 
each year;
    (iii) The number of participants expected to graduate; and
    (iv) The number of participants expected to find qualifying jobs 
within twelve months of completion.
    (2) The extent to which the proposed project has a plan for 
recruiting and selecting participants that ensures that program 
participants are likely to complete the program.
    (3) The extent to which the proposed project will incorporate the 
needs of potential employers, as identified by a job market analysis, 
by establishing partnerships and relationships with appropriate 
entities (e.g., Bureau-funded schools, organizations providing 
educational services to Indian students, and LEAs) and developing 
programs that meet their employment needs.
    (d) Quality of project services. The Secretary considers one or 
more of the following factors in determining the quality of project 
services:
    (1) The likelihood that the proposed project will provide 
participants with learning experiences that develop needed skills for 
successful teaching and/or administration in schools with significant 
Indian populations.
    (2) The extent to which the proposed project prepares participants 
to adapt teaching and/or administrative practices to meet the breadth 
of Indian student needs.
    (3) The extent to which the applicant will provide job placement 
activities that reflect the findings of a job market analysis and needs 
of potential employers.
    (4) The extent to which the applicant will offer induction services 
that reflect the latest research on effective delivery of such 
services.
    (e) Quality of project personnel. The Secretary considers one or 
more of the following factors when determining the quality of the 
personnel who will carry out the proposed project:
    (1) The qualifications, including relevant training, experience, 
and cultural competence, of the project director and the amount of time 
this individual will spend directly involved in the project.
    (2) The qualifications, including relevant training, experience, 
and cultural competence, of key project personnel and the amount of 
time to be spent on the project and direct interactions with 
participants.
    (3) The qualifications, including relevant training, experience, 
and cultural competence (as necessary), of project consultants or 
subcontractors, if any.


(Approved by the Office of Management and Budget under control number 
1810-0580)


Sec.  263.7  What are the requirements for a leave of absence?

    (a) A participant must submit a written request for a leave of 
absence to the project director not less than 30 days prior to 
withdrawal or completion of a grading period, unless an emergency 
situation has occurred and the project director chooses to waive the 
prior notification requirement.
    (b) The project director may approve a leave of absence, for a 
period not longer than twelve months, provided the participant has 
completed at least twelve months of training in the project and is in 
good standing at the time of request.
    (c) The project director permits a leave of absence only if the 
institution

[[Page 22415]]

of higher education certifies that the training participant is eligible 
to resume his or her course of study at the end of the leave of 
absence.
    (d) A participant who is granted a leave of absence and does not 
return to his or her course of study by the end of the grant project 
period will be considered not to have completed the course of study for 
the purpose of project performance reporting.


Sec.  263.8  What are the payback requirements?

    (a) General. All participants must--
    (1) Either perform work-related payback or provide cash 
reimbursement to the Department for the training received. It is the 
preference of the Department for participants to complete a work-
related payback;
    (2) Sign an agreement, at the time of selection for training, that 
sets forth the payback requirements; and
    (3) Report employment verification in a manner specified by the 
Department or its designee.
    (b) Work-related payback. (1) Participants qualify for work-related 
payback if the work they are performing is in their field of study 
under the Professional Development program and benefits Indian people. 
Employment in a school that has a significant Indian student population 
qualifies as work that benefits Indian people.
    (2) The period of time required for a work-related payback is 
equivalent to the total period of time for which pre-service or in-
service training was actually received on a month-for-month basis under 
the Professional Development program.
    (3) Work-related payback is credited for the actual time the 
participant works, not for how the participant is paid (e.g., for work 
completed over 9 months but paid over 12 months, the payback credit is 
9 months).
    (4) For participants that initiate, but cannot complete, a work-
related payback, the payback converts to a cash payback that is 
prorated based upon the amount of work-related payback completed.
    (c) Cash payback. (1) Participants who do not submit employment 
verification within twelve months of program exit or completion, or 
have not submitted employment verification for a twelve-month period 
during a work-related payback, will automatically be referred for a 
cash payback unless the participant qualifies for a deferral as 
described in Sec.  263.9.
    (2) The cash payback required shall be equivalent to the total 
amount of funds received and expended for training received under this 
program and may be prorated based on any approved work-related service 
the participant performs.
    (3) Participants who are referred to cash payback may incur non-
refundable penalty and administrative fees in addition to their total 
training costs and will incur interest charges starting the day of 
referral.
    (4) The cash payback obligation may only be discharged through 
bankruptcy if repaying the loan would cause the participant undue 
hardship as defined in 11 U.S.C. 523(a)(8).


Sec.  263.9  What are the requirements for payback deferral?

    (a) Education deferral. If a participant completes or exits the 
Professional Development program, but plans to continue his or her 
education as a full-time student without interruption, in a program 
leading to a degree at an accredited institution of higher education, 
the Secretary may defer the payback requirement until the participant 
has completed his or her educational program.
    (1) A request for a deferral must be submitted to the Secretary 
within 30 days of completing or exiting the Professional Development 
program and must provide the following information--
    (i) The name of the accredited institution the student will be 
attending;
    (ii) A copy of the letter of admission from the institution;
    (iii) The degree being sought; and
    (iv) The projected date of completion.
    (2) If the Secretary approves the deferral of the payback 
requirement on the basis that a participant is continuing as a full-
time student, the participant must submit to the Secretary a status 
report from an academic advisor or other authorized representative of 
the institution of higher education, showing verification of enrollment 
and status, after every grading period.
    (b) Military deferral. If a participant exits the Professional 
Development program because he or she is called or ordered to active 
duty status in connection with a war, military operation, or national 
emergency for more than 30 days as a member of a reserve component of 
the Armed Forces named in 10 U.S.C. 10101, or as a member of the 
National Guard on full-time National Guard duty, as defined in 10 
U.S.C. 101(d)(5), the Secretary may defer the payback requirement until 
the participant has completed his or her military service, for a period 
not to exceed 36 months. Requests for deferral must be submitted to the 
Secretary within 30 days of the earlier of receiving the call to 
military service or completing or exiting the Professional Development 
program, and must provide--
    (1) A written statement from the participant's commanding or 
personnel officer certifying--
    (i) That the participant is on active duty in the Armed Forces of 
the United States;
    (ii) The date on which the participant's service began; and
    (iii) The date on which the participant's service is expected to 
end; or
    (2)(i) A true certified copy of the participant's official military 
orders; and
    (ii) A copy of the participant's military identification.


Sec.  263.10  What are the participant payback reporting requirements?

    (a) Notice of intent. Participants must submit to the Secretary, 
within 30 days of completion of, or exit from, as applicable, their 
training program, a notice of intent to complete a work-related or cash 
payback, or to continue in a degree program as a full-time student.
    (b) Work-related payback. (1) Starting within six months after exit 
from or completion of the program, participants must submit to the 
Secretary employment information, which includes information explaining 
how the employment is related to the training received and benefits 
Indian people.
    (2) Participants must submit an employment status report every six 
months beginning from the date the work-related service is to begin 
until the payback obligation has been fulfilled.
    (c) Cash payback. If a cash payback is to be made, the Department 
contacts the participant to establish an appropriate schedule for 
payments.


(Approved by the Office of Management and Budget under control number 
1810-0698)


Sec.  263.11  What are the grantee post-award requirements?

    (a) Prior to providing funds or services to a participant, the 
grantee must conduct a payback meeting with the participant to explain 
the costs of training and payback responsibilities following training.
    (b) The grantee must report to the Secretary all participant 
training and payback information in a manner specified by the 
Department or its designee.
    (c)(1) Grantees must obtain a signed payback agreement from each 
participant before the participant begins training. The agreement must 
include--
    (i) The estimated total training costs;
    (ii) The estimated length of training; and

[[Page 22416]]

    (iii) Information documenting that the grantee held a payback 
meeting with the participant that meets the requirements of this 
section.
    (2) Grantees must submit a signed payback agreement to the 
Department within seven days of signing the payback agreement.
    (d) Grantees must conduct activities to assist participants in 
identifying and securing qualifying employment opportunities following 
completion of the program.
    (e)(1) Awards that are primarily for the benefit of Indians are 
subject to the provisions of section 7(b) of the Indian Self-
Determination and Education Assistance Act (Pub. L. 93-638). That 
section requires that, to the greatest extent feasible, a grantee--
    (i) Give to Indians preferences and opportunities for training and 
employment in connection with the administration of the grant; and
    (ii) Give to Indian organizations and to Indian-owned economic 
enterprises, as defined in section 3 of the Indian Financing Act of 
1974 (25 U.S.C. 1452(e)), preference in the award of contracts in 
connection with the administration of the grant.
    (2) For the purposes of paragraph (e), an Indian is a member of any 
federally recognized Indian tribe.

(Authority: 25 U.S.C. 450b, 450e(b))



(Approved by the Office of Management and Budget under control number 
1810-0698)


Sec.  263.12  What are the program-specific requirements for 
continuation awards?

    (a) In making continuation awards, in addition to applying the 
criteria in 34 CFR 75.253, the Secretary considers the extent to which 
a grantee has achieved its project goals to recruit, retain, graduate, 
and place in qualifying employment program participants.
    (b) The Secretary may reduce continuation awards, including the 
portion of awards that may be used for administrative costs, as well as 
student training costs, based on a grantee's failure to achieve its 
project goals specified in paragraph (a) of this section.

Subpart B--Demonstration Grants for Indian Children Program

(Authority: 20 U.S.C. 7441, unless otherwise noted.)

Sec.  263.20  What definitions apply to the Demonstration Grants for 
Indian Children program?

    The following definitions apply to the Demonstration Grants for 
Indian Children program:
    Federally supported elementary or secondary school for Indian 
students means an elementary or secondary school that is operated or 
funded, through a contract or grant, by the Bureau of Indian Education.
    Indian means an individual who is--
    (1) A member of an Indian tribe or band, as membership is defined 
by the Indian tribe or band, including any tribe or band terminated 
since 1940, and any tribe or band recognized by the State in which the 
tribe or band resides;
    (2) A descendant of a parent or grandparent who meets the 
requirements described in paragraph (1) of this definition;
    (3) Considered by the Secretary of the Interior to be an Indian for 
any purpose;
    (4) An Eskimo, Aleut, or other Alaska Native; or
    (5) A member of an organized Indian group that received a grant 
under the Indian Education Act of 1988 as it was in effect on October 
19, 1994.
    Indian institution of higher education means an accredited college 
or university within the United States cited in section 532 of the 
Equity in Educational Land-Grant Status Act of 1994, any other 
institution that qualifies for funding under the Tribally Controlled 
College or University Assistance Act of 1978, and the Navajo Community 
College, authorized in the Navajo Community College Assistance Act of 
1978.
    Indian organization means an organization that--
    (1) Is legally established--
    (i) By tribal or inter-tribal charter or in accordance with State 
or tribal law; and
    (ii) With appropriate constitution, by-laws, or articles of 
incorporation;
    (2) Includes in its purposes the promotion of the education of 
Indians;
    (3) Is controlled by a governing board, the majority of which is 
Indian;
    (4) If located on an Indian reservation, operates with the sanction 
of or by charter from the governing body of that reservation;
    (5) Is neither an organization or subdivision of, nor under the 
direct control of, any institution of higher education; and
    (6) Is not an agency of State or local government.
    Native youth community project means a project that is--
    (1) Focused on a defined local geographic area;
    (2) Centered on the goal of ensuring that Indian students are 
prepared for college and careers;
    (3) Informed by evidence, which could be either a needs assessment 
conducted within the last three years or other data analysis, on--
    (i) The greatest barriers, both in and out of school, to the 
readiness of local Indian students for college and careers;
    (ii) Opportunities in the local community to support Indian 
students; and
    (iii) Existing local policies, programs, practices, service 
providers, and funding sources;
    (4) Focused on one or more barriers or opportunities with a 
community-based strategy or strategies and measurable objectives;
    (5) Designed and implemented through a partnership of various 
entities, which--
    (i) Must include--
    (A) One or more tribes or their tribal education agencies; and
    (B) One or more BIE-funded schools, one or more local educational 
agencies, or both; and
    (ii) May include other optional entities, including community-based 
organizations, national nonprofit organizations, and Alaska regional 
corporations; and
    (6) Led by an entity that--
    (i) Is eligible for a grant under the Demonstration Grants for 
Indian Children program; and
    (ii) Demonstrates, or partners with an entity that demonstrates, 
the capacity to improve outcomes that are relevant to the project focus 
through experience with programs funded through other sources.
    Professional development activities means in-service training 
offered to enhance the skills and abilities of individuals that may be 
part of, but not exclusively, the activities provided in a 
Demonstration Grants for Indian Children program.


Sec.  263.21  What priority is given to certain projects and 
applicants?

    (a) The Secretary gives priority to an application that presents a 
plan for combining two or more of the activities described in section 
7121(c) of the Elementary and Secondary Education Act of 1965, as 
amended, over a period of more than one year.
    (b) The Secretary gives a competitive preference priority to--
    (1) An application submitted by an Indian tribe, Indian 
organization, or Indian institution of higher education that is 
eligible to participate in the Demonstration Grants for Indian Children 
program. A group application submitted by a consortium that meets the 
requirements of 34 CFR 75.127 through 75.129 or submitted by a 
partnership is eligible to receive the preference only if the lead 
applicant is an Indian tribe, Indian organization, or Indian 
institution of higher education; or

[[Page 22417]]

    (2) A group application submitted by a consortium of eligible 
entities that meets the requirements of 34 CFR 75.127 through 75.129 or 
submitted by a partnership if the consortium or partnership--
    (i) Includes an Indian tribe, Indian organization, or Indian 
institution of higher education; and
    (ii) Is not eligible to receive the preference in paragraph (b)(1) 
of this section.
    (c) The Secretary may give priority to an application that meets 
any of the priorities listed in this paragraph. When inviting 
applications for a competition under the Demonstration Grants program, 
the Secretary designates the type of each priority as absolute, 
competitive preference, or invitational through a notice inviting 
applications published in the Federal Register. The effect of each type 
of priority is described in 34 CFR 75.105.
    (1) Native youth community projects.
    (2) Projects in which the applicant or one of its partners has 
received a grant in the last four years under a federal program 
selected by the Secretary and announced in a notice inviting 
applications published in the Federal Register.
    (3) Projects in which the applicant has Department approval to 
consolidate funding through a plan that complies with section 7116 of 
the ESEA or other authority designated by the Secretary.
    (4) Projects that focus on a specific activity authorized in 
section 7121(c) of the ESEA as designated by the Secretary in the 
notice inviting applications.
    (5) Projects that include either--
    (i) An LEA that is eligible under the Small Rural School 
Achievement (SRSA) program or the Rural and Low-Income School (RLIS) 
program authorized under title VI, part B of the ESEA; or
    (ii) A BIE-funded school that is located in an area designated with 
locale code of either 42 or 43 as designated by the U.S. Census Bureau.

(Authority: 20 U.S.C. 7426, 7441, and 7473)

Sec.  263.22  What are the application requirements for these grants?

    (a) Each application must contain--
    (1) A description of how Indian tribes and parents of Indian 
children have been, and will be, involved in developing and 
implementing the proposed activities;
    (2) Assurances that the applicant will participate, at the request 
of the Secretary, in any national evaluation of this program;
    (3) Information demonstrating that the proposed project is based on 
scientific research, where applicable, or an existing program that has 
been modified to be culturally appropriate for Indian students;
    (4) A description of how the applicant will continue the proposed 
activities once the grant period is over; and
    (5) Other assurances and information as the Secretary may 
reasonably require.
    (b) The Secretary may require an applicant to satisfy any of the 
requirements in this paragraph. When inviting applications for a 
competition under the Demonstration Grants program, the Secretary 
establishes the application requirements through a notice inviting 
applications published in the Federal Register. If specified in the 
notice inviting applications, an applicant must submit--
    (1) Evidence, which could be either a needs assessment conducted 
within the last three years or other data analysis, of--
    (i) The greatest barriers, both in and out of school, to the 
readiness of local Indian students for college and careers;
    (ii) Opportunities in the local community to support Indian 
students; and
    (iii) Existing local policies, programs, practices, service 
providers, and funding sources.
    (2) A copy of an agreement signed by the partners in the proposed 
project, identifying the responsibilities of each partner in the 
project. The agreement can be either--
    (i) A consortium agreement that meets the requirements of 34 CFR 
75.128, if each of the entities are eligible entities under this 
program; or
    (ii) Another form of partnership agreement, such as a memorandum of 
understanding or a memorandum of agreement, if not all the partners are 
eligible entities under this program.
    (3) A plan, which includes measurable objectives, to evaluate 
reaching the project goal or goals.


Sec.  263.23  What is the Federal requirement for Indian hiring 
preference that applies to these grants?

    (a) Awards that are primarily for the benefit of Indians are 
subject to the provisions of section 7(b) of the Indian Self-
Determination and Education Assistance Act (Pub. L. 93-638). That 
section requires that, to the greatest extent feasible, a grantee--
    (1) Give to Indians preferences and opportunities for training and 
employment in connection with the administration of the grant; and
    (2) Give to Indian organizations and to Indian-owned economic 
enterprises, as defined in section 3 of the Indian Financing Act of 
1974 (25 U.S.C. 1452(e)), preference in the award of contracts in 
connection with the administration of the grant.
    (b) For purposes of this section, an Indian is a member of any 
federally recognized Indian tribe.

(Authority: 25 U.S.C. 450b, 450e(b)).

[FR Doc. 2015-09396 Filed 4-21-15; 8:45 am]
 BILLING CODE 4000-01-P



                                                                    Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                              22403

                                                authority and/or Regulation Reserve                       of Congress and to the General                        paragraph is corrected to read: ‘‘We
                                                Sharing Group. These costs represent an                   Accountability Office.                                certify that this final rule will not have
                                                estimate of the costs a small entity could                  By the Commission.                                  a significant economic impact on a
                                                incur if the entity is identified as an                     Issued: April 16, 2015.                             substantial number of small entities.’’
                                                applicable entity. The Commission does                    Nathaniel J. Davis, Sr.,                                Dated: April 16, 2015.
                                                not consider the estimated cost per                       Deputy Secretary.                                     Leslie Kux,
                                                small entity to have a significant                        [FR Doc. 2015–09227 Filed 4–21–15; 8:45 am]           Associate Commissioner for Policy.
                                                economic impact on a substantial
                                                                                                          BILLING CODE 6717–01–P                                [FR Doc. 2015–09301 Filed 4–21–15; 8:45 am]
                                                number of small entities. The
                                                Commission did not receive any                                                                                  BILLING CODE 4164–01–P

                                                comments regarding this aspect of the
                                                NOPR. Based on the above, the                             DEPARTMENT OF HEALTH AND
                                                Commission certifies that this Final                      HUMAN SERVICES
                                                                                                                                                                DEPARTMENT OF EDUCATION
                                                Rule will not have a significant                          Food and Drug Administration
                                                economic impact on a substantial                                                                                34 CFR Part 263
                                                number of small entities. Accordingly,                    21 CFR Parts 1 and 16                                 RIN 1810–AB19
                                                no regulatory flexibility analysis is
                                                required.                                                 [Docket No. FDA–2013–N–0365]
                                                                                                                                                                [Docket ID ED–2014–OESE–0050]
                                                VIII. Document Availability                               Administrative Detention of Drugs
                                                                                                                                                                Indian Education Discretionary Grants
                                                                                                          Intended for Human or Animal Use;
                                                  55. In addition to publishing the full                                                                        Program; Professional Development
                                                                                                          Correction
                                                text of this document in the Federal                                                                            Program and Demonstration Grants for
                                                Register, the Commission provides all                     AGENCY:    Food and Drug Administration,              Indian Children Program
                                                interested persons an opportunity to                      HHS.
                                                                                                                                                                AGENCY:  Office of Elementary and
                                                view and/or print the contents of this                    ACTION:   Final rule; correction.
                                                                                                                                                                Secondary Education, Department of
                                                document via the Internet through the                                                                           Education.
                                                Commission’s Home Page (http://                           SUMMARY:    The Food and Drug
                                                www.ferc.gov) and in the Commission’s                     Administration (FDA) is correcting a                  ACTION: Final regulations.
                                                Public Reference Room during normal                       final rule entitled ‘‘Administrative
                                                                                                          Detention of Drugs Intended for Human                 SUMMARY:   The Secretary amends the
                                                business hours (8:30 a.m. to 5:00 p.m.                                                                          regulations that govern the Professional
                                                Eastern time) at 888 First Street NE.,                    or Animal Use’’ that appeared in the
                                                                                                          Federal Register of May 29, 2014 (79 FR               Development program and the
                                                Room 2A, Washington, DC 20426.                                                                                  Demonstration Grants for Indian
                                                                                                          30716). The rule sets forth the
                                                  56. From the Commission’s Home                          procedures for detention of drugs                     Children program (Demonstration
                                                Page on the Internet, this information is                 believed to be adulterated or                         Grants program), authorized under title
                                                available on eLibrary. The full text of                   misbranded and amends the scope of                    VII of the Elementary and Secondary
                                                this document is available on eLibrary                    FDA’s part 16 regulatory hearing                      Act of 1965, as amended (ESEA). The
                                                in PDF and Microsoft Word format for                      procedures to include the                             regulations govern the grant application
                                                viewing, printing, and/or downloading.                    administrative detention of drugs. The                process for new awards for each
                                                To access this document in eLibrary,                      rule published with incorrect statements              program for the next fiscal year in
                                                type the docket number excluding the                      regarding the impact of the final rule on             which competitions are conducted for
                                                last three digits of this document in the                 small entities. This document corrects                that program and subsequent years. For
                                                docket number field.                                      those errors.                                         the Professional Development program,
                                                  57. User assistance is available for                    DATES: Effective April 22, 2015 and                   the regulations enhance the project
                                                eLibrary and the Commission’s Web site                    applicable beginning June 30, 2014.                   design and quality of services to meet
                                                during normal business hours from the                     FOR FURTHER INFORMATION CONTACT:
                                                                                                                                                                the objectives of the program; establish
                                                Commission’s Online Support at (202)                      Emily Leongini, Office of Regulatory                  post-award requirements; and govern
                                                502–6652 (toll free at 1–866–208–3676)                    Affairs, Food and Drug Administration,                the payback process for grants in
                                                or email at ferconlinesupport@ferc.gov,                   10903 New Hampshire Ave., Bldg. 32,                   existence on the date these regulations
                                                or the Public Reference Room at (202)                     Rm. 4339, Silver Spring, MD 20993–                    become effective. For the Demonstration
                                                502–8371, TTY (202) 502–8659. Email                       0002, 301–796–5300,                                   Grants program, the regulations add
                                                the Public Reference Room at                              FDASIAImplementationORA@                              new priorities, including a priority for
                                                public.referenceroom@ferc.gov.                            fda.hhs.gov.                                          native youth community projects
                                                                                                                                                                (NYCPs), and new application
                                                IX. Effective Date and Congressional                      SUPPLEMENTARY INFORMATION: In the                     requirements.
                                                Notification                                              Federal Register of May 29, 2014, in FR
                                                                                                          Doc. 2014–12458, the following                        DATES:  These regulations are effective
                                                  58. This Final Rule is effective June                   corrections are made:                                 May 22, 2015.
                                                22, 2015. The Commission has                                 1. On page 30718, in the third                     FOR FURTHER INFORMATION CONTACT: John
                                                determined, with the concurrence of the                   column, under ‘‘Analysis of Impacts                   Cheek, U.S. Department of Education,
                                                Administrator of the Office of                            (Summary of the Regulatory Impact                     400 Maryland Avenue SW., Room
                                                Information and Regulatory Affairs of                     Analysis),’’ the last sentence of the                 3W207, Washington, DC 20202–6135.
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                                                OMB, that this rule is not a ‘‘major rule’’               second paragraph is corrected to read:                Telephone: (202) 401–0274 or by email:
                                                as defined in section 351 of the Small                    ‘‘FDA certifies that this final rule will             john.cheek@ed.gov.
                                                Business Regulatory Enforcement                           not have a significant economic impact                   If you use a telecommunications
                                                Fairness Act of 1996.86 The Commission                    on a substantial number of small                      device for the deaf (TDD) or a text
                                                will submit the final rule to both houses                 entities.’’                                           telephone (TTY), call the Federal Relay
                                                                                                             2. On page 30719, in the first column,             Service (FRS), toll free, at 1–800–877–
                                                  86 See   5 U.S.C. 804(2).                               the third sentence of the last full                   8339.


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                                                22404            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                SUPPLEMENTARY INFORMATION:      On                      (Department); to require the grantee to               During this process, we are consulting
                                                December 3, 2014, the Secretary                         obtain a signed payback agreement from                with tribes, in accordance with the
                                                published a notice of proposed                          each participant and submit it to the                 requirements of Executive Order 13175.
                                                rulemaking (NPRM) for Indian                            Department; to require that grantees                  We expect to publish this revised policy
                                                Education Discretionary Grant                           assist participants in finding qualifying             during FY 2015.
                                                Programs; Professional Development                      employment after completing the                         Changes: None.
                                                Program and Demonstration Grants for                    program; and to clarify that the hiring
                                                                                                                                                              Professional Development Program
                                                Indian Children Program in the Federal                  preference provisions of the Indian Self-
                                                Register (79 FR 71930–71947).                           Determination and Education                           General
                                                   In the preamble of the NPRM, we                      Assistance Act apply to this program.                    Comments: Several commenters
                                                discussed on pages 71931 through                           • Amending § 263.12 to add to the                  expressed support for the Professional
                                                71938 the major changes proposed in                     criteria we use in making continuation                Development program, and gave
                                                that document to improve the                            awards; and to clarify that we may                    examples of impressive results from
                                                Professional Development program and                    reduce continuation awards based on a                 past grants, which have expanded the
                                                the Demonstration Grants program.                       grantee’s failure to meet project goals.              number of American Indian teachers in
                                                These included the following:                              • Amending § 263.20 to modify the
                                                                                                                                                              tribal communities.
                                                   • Amending § 263.3 to change the                     definition of ‘‘Indian organization’’; and
                                                                                                                                                                 Discussion: We appreciate the support
                                                definitions of ‘‘Indian organization,’’                 to add a definition of ‘‘native youth
                                                                                                                                                              for this program.
                                                ‘‘induction services,’’ and ‘‘professional              community project.’’
                                                                                                           • Amending § 263.21 to remove the                     Changes: None.
                                                development;’’ and to remove the term,
                                                                                                                                                                 Comment: One commenter asked that
                                                ‘‘undergraduate degree.’’                               set number of competitive preference
                                                   • Amending § 263.4 to provide                                                                              we ensure active collaboration among
                                                                                                        priority points; to revise the priority for
                                                greater detail about the kinds of training                                                                    grantees, tribes, and local schools to
                                                                                                        applications submitted by Indian
                                                costs that may be covered under the                                                                           ensure that the training provided under
                                                                                                        entities in paragraph (b), and to propose
                                                Professional Development program.                                                                             the grants meets the educational needs
                                                                                                        in paragraph (c) five new priorities,
                                                   • Amending § 263.5 to revise the                                                                           of local communities.
                                                                                                        including one for native youth
                                                competitive preference priorities for                                                                            Discussion: We expect that the
                                                                                                        community projects.
                                                tribes, Indian organizations, and Indian                   • Adding § 263.22 to include                       competitive priority for consortia that
                                                institutions of higher education (IHE); to              application requirements for the                      include a tribal entity (§ 263.5(a)), the
                                                amend pre-service priorities to include                 Demonstration Grants program.                         new priority for applicants with a letter
                                                project-specific goals; and to require                     • Adding § 263.23 to clarify that the              of support from a school district or other
                                                applicants to submit a letter of support                hiring preference provisions of the                   entity that will consider hiring
                                                from an entity in the applicant’s service               Indian Self-Determination and                         graduates of this project (§ 263.5(b)(3)),
                                                area agreeing to consider program                       Education Act apply to this program.                  and the new selection criteria for need
                                                graduates for qualifying employment.                       These final regulations contain                    that relates to employment
                                                   • Amending § 263.6 to remove fixed                   changes from the NPRM, which are fully                opportunities and shortages in certain
                                                points assigned to each criterion; to                   explained in the Analysis of Comments                 fields (§ 263.6(a)), will all contribute to
                                                include in the regulations only program-                and Changes section of this document.                 the commenter’s expressed goal.
                                                specific factors and to eliminate the                      Public Comment: In response to our                    Changes: None.
                                                factors that are separately codified in 34              invitation in the NPRM, 15 parties                    Eligible Applicants (§ 263.2)
                                                CFR 75.210; and to revise the selection                 submitted comments on the proposed
                                                criteria.                                               regulations. We discuss substantive                      Comments: Several commenters
                                                   • Amending § 263.7 to specify that                   issues under the section number of the                objected to the requirement that a tribal
                                                participants who do not return from a                   item to which they pertain. Several                   applicant (tribe or Indian organization)
                                                leave of absence by the end of the grant                comments did not pertain to a specific                be required to apply in consortium with
                                                period will be considered not to have                   section of the proposed regulations. We               an IHE. One commenter asked that we
                                                completed the program for the purposes                  discuss these comments based on the                   allow a period of time after funding in
                                                of project performance reporting.                       general topic area. Generally, we do not              order for a grantee to obtain a partner
                                                   • Amending § 263.8 to consolidate all                address technical and other minor                     IHE. Another commenter asked that we
                                                of the regulatory provisions that govern                changes.                                              define ‘‘in consortium with an
                                                the payback process, currently in                          Analysis of Comments and Changes:                  institution of higher education,’’ in
                                                § 263.8 through § 263.10, into § 263.8.                 An analysis of the comments and of any                terms of the level of commitment
                                                   • Amending § 263.9 to specify the                    changes in the regulations since                      required from the IHE, and suggested we
                                                two types of deferral that are available:               publication of the NPRM follows.                      permit an Indian organization to apply
                                                Education and military service; to add a                                                                      as a sole applicant without an IHE. This
                                                provision for military deferrals; and to                General Comments                                      commenter also asked whether an
                                                remove the provision stating that                          Comments: Several commenters                       Indian organization can apply with
                                                payback begins within six months of                     expressed strong support for the                      more than one IHE, and if so, what is
                                                program completion.                                     changes in the NPRM generally. One                    required to demonstrate the
                                                   • Amending § 263.10 to eliminate the                 commenter requested that the Secretary                partnerships.
                                                work-related payback plan and the                       issue a tribal consultation policy.                      Discussion: The statute requires that
                                                requirement that eligible employment                       Discussion: We appreciate the support              any eligible entity that is not an IHE
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                                                must be continuous.                                     for the changes to the Professional                   (other than a Department of the Interior
                                                   • Amending § 263.11 to add a                         Development program and the                           Bureau of Indian Education (BIE)-
                                                requirement for grantees to conduct a                   Demonstration Grants program. The                     funded school) must apply in
                                                payback meeting with each participant;                  tribal consultation policy is outside the             consortium with an IHE (section 7122 of
                                                to require that grantees report                         scope of this rulemaking. However, we                 the ESEA), and we cannot change that
                                                participant and payback information to                  are in the process of developing an                   statutory requirement. That eligibility
                                                the U.S. Department of Education                        updated tribal consultation policy.                   requirement also precludes us from


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                           22405

                                                permitting grantees to obtain a partner                    Discussion: Any number of eligible                 universities, as reflected in our
                                                IHE after grants are made; for entities                 entities, in consortium with an eligible              regulations.
                                                required to be in a consortium with an                  IHE, can join together to apply for a                   Changes: None.
                                                IHE in order to be eligible for a grant,                Professional Development grant. The                   Priorities (§ 263.5)
                                                the application must be from the                        IHE must be accredited to provide the
                                                consortium.                                             coursework and level of degree required                  Comments: Several commenters asked
                                                   With regard to the level of                          by the project, as specified in § 263.2(c).           that the priority for Indian entities in
                                                commitment required from the IHE, we                    The IHE does not have to target or serve              § 263.5(a) be expanded to include
                                                do not believe it is necessary to                       primarily Native students; however, in                NASNTIs. These commenters stated that
                                                prescribe the details of an arrangement                 order to receive the priority for an                  NASNTIs are often located in close
                                                with an IHE. To demonstrate an eligible                 application submitted by an Indian                    proximity to tribal communities, and
                                                consortium, the applicant must submit                   entity, the IHE must be an Indian IHE                 gave examples, including an institution
                                                a consortium agreement that complies                    that meets the definition in § 263.3. A               that was founded in response to local
                                                with the requirements of 34 CFR                         consortium applicant must submit a                    tribal needs for qualified teachers in
                                                75.127–129, including the requirement                   consortium agreement that complies                    reservation schools, and another
                                                that the agreement detail the activities                with the requirements of 34 CFR                       institution that educates and trains large
                                                                                                        75.127–129. With regard to the                        numbers of native students to serve as
                                                to be performed by each member, and
                                                                                                        eligibility of an REA, that entity would              teachers on a reservation. One
                                                bind each member to every statement
                                                                                                        need to meet the definition of one of the             commenter asked that the priority
                                                and assurance in the application. The
                                                                                                        eligible entities: IHE, State educational             include NASNTIs that partner with a
                                                IHE is the entity that will provide the
                                                                                                        agency (SEA), LEA, Indian tribe or                    tribal college, for example, when
                                                actual education and training to Indian
                                                                                                        Indian organization, or BIE-funded                    students feed from a two-year tribal
                                                individuals to enable those individuals
                                                                                                        school, and would need to partner with                college into a four-year NASNTI.
                                                to teach in or administer schools serving
                                                                                                        an eligible IHE.                                      Another commenter requested that the
                                                Indians. By receiving a federally-funded
                                                                                                           Changes: None.                                     priority include all IHEs that
                                                education, these individuals do not
                                                                                                                                                              predominantly serve Native students.
                                                need to take on loans and other                         Definitions (§ 263.3)                                    Discussion: We agree with the
                                                financial obligations that can be onerous                                                                     commenter that many NASNTIs fulfill
                                                                                                           Comments: Several commenters
                                                and can often dissuade students from                                                                          an important role in educating Native
                                                                                                        supported the broader definition of
                                                pursuing a career in education. The                                                                           students to serve as teachers in tribal
                                                                                                        ‘‘Indian organization’’ that provides
                                                level of commitment required by the                                                                           communities. However, Congress
                                                                                                        eligibility to organizations that have
                                                IHE is large; the IHE educates and trains                                                                     specifically identified in section 7143 of
                                                                                                        education as one of their purposes,
                                                the participants, granting them the                                                                           the ESEA the group of entities to which
                                                                                                        rather than the sole purpose. One
                                                degree needed to teach or administer in                                                                       we must give priority (Indian tribes,
                                                                                                        commenter asked that we ensure that
                                                accordance with State requirements.                                                                           Indian organizations, and Indian IHEs).
                                                                                                        the expansion of the definition would
                                                Often the IHE is the entity that recruits                                                                     This group does not include NANSTIs,
                                                                                                        not preclude existing grantees from
                                                the students, assists with job placement,                                                                     and we decline to expand the priority
                                                                                                        receiving funds.
                                                provides support services during the                       Discussion: We agree that the broader              for Indian entities to include NASNTIs.
                                                first year of a participant’s teaching or               definition better serves the purposes of              Furthermore, because non-Indian IHEs,
                                                administrative job, and complies with                   this program. The change in definition                including those designated as NASNTI,
                                                the grantee reporting requirements.                     will not affect existing grantees, which              received almost half of all awards under
                                                However, an eligible entity partner such                will continue to be eligible for                      this grant program over the past three
                                                as an Indian organization or other                      continuation awards. It also will not                 years, we decline to add an additional
                                                nonprofit could provide these required                  affect past grantees that qualified under             priority for NASNTIs.
                                                support services under the Professional                 the more narrow definition and will                      Changes: None.
                                                Development grant. It is possible for an                continue to be eligible if they apply for                Comments: Several commenters
                                                eligible entity to apply in consortium                  a new grant.                                          objected to the consolidation of the two
                                                with more than one IHE.                                    Changes: None.                                     existing priorities (in current § 263.5(a)
                                                   Changes: None.                                          Comments: A few commenters asked                   and (b)) in proposed § 263.5(a));
                                                   Comment: One commenter asked that                    that the definition of ‘‘Indian institution           previously, one priority was for
                                                eligibility for these grants be expanded                of higher education’’ be expanded to                  applications from any tribal entity, and
                                                to include national non-profit                          include Native American Serving Non-                  one priority was for a consortium that
                                                organizations.                                          Tribal Institutions (NASNTIs).                        includes an Indian IHE as fiscal agent.
                                                   Discussion: The eligibility                             Discussion: ‘‘Indian IHE’’ is currently               Discussion: We agree with the
                                                requirements are statutory (see section                 defined in § 263.3 of these regulations,              comments about the difficulties caused
                                                7122 of the ESEA) and we cannot                         and includes only tribal colleges and                 by our proposal to combine the two
                                                expand eligibility beyond the statutory                 universities. NASNTIs are defined in                  existing priorities into one. The statute
                                                authority.                                              Title III, Parts A and F, of the Higher               requires that we give priority to
                                                   Changes: None.                                       Education Act, to mean IHEs that are                  applications from all three types of
                                                   Comment: One commenter asked                         not tribal colleges or universities, but              tribal entities: Tribes, Indian
                                                whether two local educational agencies                  that meet certain eligibility                         organizations, and Indian IHEs. As
                                                (LEAs) and a particular land grant                      requirements, including a minimum                     proposed, the combined priority could
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                                                college that does not target Native                     number of enrolled students who are                   result in a tribal entity that is part of a
                                                students could serve as partners for the                Native American. We decline to change                 consortium, but is not the fiscal agent or
                                                Professional Development program                        the definition of ‘‘Indian IHE’’ for ESEA             lead applicant, not receiving a
                                                under the proposed changes. The                         because, while the term ‘‘Indian IHE’’ is             preference. However, when an Indian
                                                commenter also asked whether a                          not defined in the ESEA, we believe that              IHE or other Indian entity is the lead
                                                regional education association (REA) is                 the plain meaning of the statutory term               applicant in a consortium, that entity
                                                eligible to apply.                                      is limited to tribal colleges and                     has more influence in directing and


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                                                22406            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                administering the grant. Therefore we                   permit a consortium to receive a                      opposed to removing the five-point
                                                are revising the regulations to create two              competitive preference if the lead                    priority for tribal colleges. Another
                                                separate priorities rather than the                     applicant is an Indian tribe, Indian                  commenter suggested that we rely upon
                                                proposed combined one.                                  organization, or Indian IHE. Before                   letters of support to show collaboration
                                                   The first priority, in § 263.5(a)(1),                awarding priority points, we will                     but not assign preference points for
                                                gives preference to an Indian entity—                   examine the proposed project and                      partnerships.
                                                tribe, organization, or IHE—either                      activities to ensure that the Indian entity              Discussion: We removed the specific
                                                applying alone, or in a consortium for                  will in fact be serving as lead entity for            number of points from the priorities for
                                                which it serves as the lead applicant.                  the project.                                          Indian entities, including the five points
                                                The second priority, in § 263.5(a)(2), is                  Changes: We have revised                           for tribal colleges, so that we have the
                                                for an Indian entity that is part of a                  § 263.5(a)(1) to provide that a                       flexibility to assign more (or fewer)
                                                consortium but is not the lead applicant.               consortium may receive a competitive                  points in a particular grant competition.
                                                This will satisfy the statutory                         preference if the lead applicant is an                This will allow us to provide additional
                                                requirement to give priority to the three               Indian tribe, Indian organization, or                 points as needed in any application year
                                                types of Indian entities, while enabling                Indian IHE.                                           to ensure that tribal entities, including
                                                us to provide a competitive preference                     Comment: None.                                     tribal colleges, are eligible to receive a
                                                to applications for which the Indian                       Discussion: During our internal                    competitive preference. We do not
                                                entity is the sole or lead applicant. An                review we reexamined the proposed                     believe this will confuse applicants. For
                                                applicant cannot receive competitive                    requirement that the Indian entity                    each year in which we have a
                                                preference points under both of these                   leading a consortium must be the fiscal               competition for new awards, we will
                                                priorities.                                             agent in order to receive priority points.            announce the points for the tribal entity
                                                   Changes: We have revised § 263.5(a)                  While not common, we recognize that it                preferences in the notice inviting
                                                to create two separate competitive                      is possible to have a fiscal agent that is            applications. Typically the notice is
                                                preference priorities. The first is for an              not the lead applicant. Accordingly, in               published 60 days in advance of the
                                                Indian entity—tribe, organization, or                   § 263.5(a)(1) we are revising the                     application deadline.
                                                IHE—either applying alone or as lead                    proposed requirement that an Indian                      With regard to the comment objecting
                                                applicant in a consortium. The second                   entity be the ‘‘fiscal agent,’’ to instead            to the awarding of competitive
                                                is for an Indian entity that is part of a               require that the Indian entity be the lead            preference points for partnerships,
                                                consortium but is not the lead applicant.               applicant, which is the entity that                   eligible entities for this program include
                                                   Comment: One commenter was                           receives the grant.                                   consortia, and we are required by statute
                                                concerned about the requirement that a                     Changes: We have revised § 263.5(a)                to give priority to Indian entities; thus
                                                consortium applicant would be eligible                  to change the preference for consortia in             consortia that include such Indian
                                                for the priority in proposed § 263.5(a)                 which the fiscal agent is an Indian                   entities will receive priority under
                                                only if an Indian IHE leads the                         entity, to consortia in which the lead                revised § 263.5(a). An Indian IHE,
                                                consortium as fiscal agent. The                         applicant is an Indian entity.                        however, that applies as the lead
                                                commenter stated that the high                             Comments: Several commenters were                  applicant in a consortium would receive
                                                overhead costs of IHEs limit the funding                generally concerned that the proposed                 no advantage, under § 263.5(a), over an
                                                delivered directly to the program, and                  priority in § 263.5(a) would prevent                  Indian IHE that is the sole applicant,
                                                that the requirement would limit                        entities other than tribal entities from              because both scenarios are included in
                                                flexibility for an entity that trains                   obtaining grants.                                     § 263.5(a)(1) and would receive an equal
                                                teachers and administrators by working                     Discussion: Due to the confusion                   number of competitive preference
                                                with a variety of IHEs to provide the                   evident in some comments, we are                      points. With respect to letters of
                                                required coursework. This commenter                     clarifying that the priorities in § 263.5(a)          support, § 263.5(b)(3) adds a new
                                                suggested that, alternatively, an Indian                for tribal entities are competitive                   priority for applicants that include in
                                                organization should be able to serve as                 preference priorities. We will not use                their applications a letter of support
                                                lead applicant or fiscal agent in a                     those priorities as absolute priorities,              from an entity, including a local school
                                                consortium, and be eligible for the                     but we will use them as competitive                   district, that agrees to consider program
                                                priority.                                               preference priorities in each year of a               graduates for qualifying employment.
                                                   Discussion: Our goal was to ensure                   new competition. If they were absolute                We believe that such letters of support
                                                that, in order to receive competitive                   priorities, then a non-tribal IHE would               strengthen the likelihood that graduates
                                                preference points, a consortium would                   not be eligible to receive a grant, which             will find employment in schools serving
                                                be led by an Indian entity. We agree                    would be inconsistent with the statutory              Indian students following their training.
                                                with the commenter, however, that the                   list of eligible entities. This is different             Changes: None.
                                                proposed requirement that the lead of                   from the priorities in § 263.5(b), which                 Comments: One commenter asked
                                                the consortium must be an IHE was too                   we can designate as absolute or                       whether we are removing the absolute
                                                narrow. We agree that it is possible for                competitive in any year, or can decline               priority for pre-service training. Several
                                                an Indian organization to operate a                     to use.                                               commenters requested that we permit
                                                Professional Development grant in                          Changes: We have revised § 263.5(a)                the use of funds to support and train
                                                consortium with an IHE, and for the                     to clarify that the priorities for tribal             Indian individuals in obtaining masters
                                                Indian organization to be the actual lead               entities are competitive preference                   and doctoral degrees under the
                                                entity for the project. The same is true                priorities.                                           priorities in proposed § 263.5(b) for pre-
                                                for a tribe as lead applicant. The tribe                   Comments: One commenter objected                   service training for teachers and
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                                                or Indian organization would receive                    to removing the point values from the                 administrators.
                                                the grant and provide the funding to the                priorities for applications submitted by                 Discussion: We have not removed the
                                                IHE to pay for the cost of the                          Indian entities, arguing that it would                priority for pre-service training, and in
                                                participants’ education. We agree that                  cause confusion for applicants and that               any grant competition in which the
                                                this could result in more direct funding                applicants may not have timely                        Department uses this priority, we retain
                                                for student training. Therefore, we are                 information about eligibility                         the discretion to designate that priority
                                                revising the priority in § 263.5(a)(1) to               requirements. Another commenter was                   an absolute priority (see § 263.5(b)).


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                         22407

                                                   With regard to masters and doctoral                     Changes: We have revised the priority              Payback Requirements (§ 263.8)
                                                degrees, funds under the Professional                   for pre-service training for teachers in                Comments: Commenters supported
                                                Development program can be used to                      proposed § 263.5(b)(1) by moving the                  the proposed regulations clarifying the
                                                support a student in obtaining any                      reference to earning a degree before the              payback requirements and procedures.
                                                degree that is required by the State for                end of the award period from proposed                   Discussion: We appreciate the support
                                                the teaching or administrative position                 § 263.5(b)(1)(i)(a) to the introductory               for these changes.
                                                for which individuals are being trained.                language of final § 263.5(b)(1)(i), by                  Changes: None.
                                                However, the focus of this program is on                removing the proposed exception for a
                                                preparing teachers and administrators                   fifth year from § 263.5(b)(1)(i)(A), and by           Demonstration Grants Program
                                                for elementary and secondary                            removing the reference to the                         General
                                                education. The current regulations                      requirement that training meets the
                                                include graduate degrees as part of the                                                                         Comments: Several commenters were
                                                                                                        requirements for full State certification             generally supportive of the proposed
                                                definitions of ‘‘full-time student’’ and                or licensure from proposed
                                                ‘‘pre-service training’’ in § 263.3, and we                                                                   changes to the Demonstration Grants
                                                                                                        § 263.5(b)(1)(i)(B).                                  program regulations.
                                                have not changed those definitions.
                                                However, we are providing further                       Selection Criteria (§ 263.6)                            Discussion: We appreciate the support
                                                clarification in the priorities for pre-                                                                      for the changes.
                                                service training for teachers and                         Comments: One commenter objected                      Changes: None.
                                                administrators by removing the                          to the job market analysis element of the
                                                                                                                                                              Definitions (§ 263.20)
                                                references to bachelor’s degrees for                    selection criterion for ‘‘Need for Project’’
                                                teachers and master’s degrees for                       in proposed § 263.6, and stated that this                Comments: Several commenters
                                                administrators so that a student                        would increase the burden for                         addressed the proposed definition of
                                                pursuing a higher-level degree may be                   applicants to search for and interpret                ‘‘Indian organization’’ as it applies to
                                                supported as a participant under this                   market analysis data. The commenter                   both this program and the Professional
                                                program if that degree is required for a                also requested that appropriate market                Development program; it is the same
                                                specific position. However, because we                  analysis Web site links be made                       definition for both programs.
                                                interpret the statute to support only the               available to applicants.                                 Discussion: We address those
                                                preparation of teachers and                                                                                   comments under the discussion of
                                                                                                          Discussion: Under the selection                     Definitions for the Professional
                                                administrators in elementary and                        criterion ‘‘Need for Project’’ in § 263.6,
                                                secondary education, we are not                                                                               Development program (§ 263.3).
                                                                                                        we will evaluate the extent to which the                 Changes: None.
                                                expanding the scope of the program to                   proposed project will prepare personnel
                                                include doctoral degrees for Indian                     in specific fields, and the extent to                 Definition of Native Youth Community
                                                students seeking employment in higher                                                                         Project
                                                                                                        which employment opportunities exist
                                                education.
                                                   Changes: We have revised the                         in the project’s service area, with both                 Comments: Several commenters
                                                priorities for pre-service training in                  elements to be demonstrated by a job                  supported the proposed definition of
                                                proposed §§ 263.5(b)(1) and (2) to                      market analysis. The purpose of a job                 ‘‘Native Youth Community Project,’’ and
                                                remove the references to a ‘‘bachelor’s                 market analysis is to determine whether               specifically the requirement that a
                                                degree’’ for pre-service teacher training,              there is a need for qualified education               community come together to address the
                                                and, for administrator training, changing               personnel to fill vacancies in teacher                adverse experiences affecting Indian
                                                the reference from ‘‘master’s degree’’ to               and administrator positions within the                children. However, several other
                                                ‘‘graduate degree.’’                                    geographic region to be served. To                    commenters expressed concern that the
                                                   Comments: None.                                      conduct the job market analysis,                      requirement for a partnership among the
                                                   Discussion: During our internal                      applicants can use accessible data                    specified entities could adversely affect
                                                review we analyzed the existing                         sources at the national, State and local              the success of some applications. For
                                                requirements in the priorities for pre-                 level to determine current and future                 example, one commenter was concerned
                                                service teacher training and                            teacher and administrator shortages in                that some applicants do not have readily
                                                administrator training (in current                      selected fields. Because job market data              available partner organizations, which
                                                § 263.5(c), proposed § 263.5(b)) and                    are now generally available online, a                 would reduce the likelihood that such
                                                believe it would be helpful to clarify                  market analysis would not increase an                 applicants would receive funding.
                                                certain provisions. We are revising the                 applicant’s burden. We also note that                    Discussion: We appreciate the support
                                                regulation to make clear that the                       prior applicants under the current                    for encouraging partnerships among
                                                requirement that training be provided                   regulations also addressed need for                   entities to more effectively address the
                                                before the end of the award period                      personnel, documenting education                      complex barriers facing native youth.
                                                applies to all three situations: An                     personnel shortages in the region to be               We believe that greater collaboration
                                                education degree, a subject-matter                      served and designing their proposed                   among the organizations increases the
                                                degree, and specialized training. We are                programs accordingly.                                 likelihood that an NYCP will improve
                                                removing the exception for a fifth year                                                                       the college and career readiness of
                                                from the education degree provision                       Accessible resources for determining                Indian youth. Furthermore, we believe
                                                because a review of funded projects                     teacher shortages are available at the                that proposed projects that demonstrate
                                                shows that this exception is not                        national level; however, applicants                   the existence of a partnership at the
                                                necessary. We are also removing, in the                 should rely on State and local sources                time of application are more likely to
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                                                provision on degrees in a subject area                  for more accurate and timely data. We                 become strong, viable projects.
                                                (new § 263.5(b)(1)(i)(B)), the reference to             also note that this is an element of a                Therefore, we disagree with the
                                                the requirement that training meet the                  selection criterion, not an application               commenters who objected to the
                                                requirements for full State certification               requirement, so it is optional for                    partnership requirement.
                                                or licensure, because it is redundant                   applicants to address, although we                       While we cannot ensure that
                                                with the introductory language of that                  encourage all applicants to do so.                    partnerships and agreements formed in
                                                paragraph.                                                Changes: None.                                      order to apply for a grant will stand the


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                                                22408            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                test of time, we believe that an applicant              project. We are not requiring State                   regulations that partnerships can
                                                with a formal partnership agreement                     involvement, although States may be                   include more than one tribe.
                                                will have a greater chance of success                   partners in a project. Because of the                    However, we disagree with the
                                                than an applicant with only letters of                  focus on local community-driven                       commenters that it is unfair to urban
                                                support. We expect that in ranking                      solutions, it would not be appropriate to             areas to require applicants to partner
                                                applications, reviewers will judge the                  require a State’s involvement.                        with one or more tribes. The NYCPs are
                                                quality of the partnerships presented in                   Changes: None.                                     intended to support the involvement of
                                                those application, based on the selection                  Comments: Two commenters asked                     tribes in the education of Indian
                                                criteria. Moreover, a partnership that                  that we include tribal colleges in NYCP               children, which is one of the goals of
                                                fails after being awarded a grant would                 partnerships, and one asked that we                   title VII of the ESEA. Each project must
                                                not be able to show substantial progress                include both tribal colleges and                      therefore include a partnership among a
                                                in order to receive continuation                        NASNTIs.                                              school district or BIE-funded school, a
                                                funding.                                                   Discussion: Tribal colleges are eligible           tribe or its education agency, and other
                                                   Changes: None.                                       entities under the Demonstration Grants               organizations as necessary, to address
                                                   Comment: One commenter asked that                    program, and nothing in the regulations               the need identified by the project. The
                                                we not give priority to applicants                      precludes either a tribal college or a                partnering entities must agree to serve
                                                simply because of their geographic                      NASNTI from being a partner in an                     the Indian youth living in the defined
                                                proximity to locally available and                      NYCP. Although we agree that a college                local community, regardless of their
                                                willing partners.                                       or university could be a valuable partner             tribal membership.
                                                   Discussion: We agree that if a                       in an NYCP, we decline to make tribal                    With regard to whether one tribe can
                                                community comes together to create an                   colleges or any other IHEs mandatory                  participate in more than one NYCP,
                                                NYCP, that partnership should have the                  partners in NYCPs, because the focus of               nothing in the regulations prohibits
                                                flexibility to include non-local partners.              these projects is a local community area,             such participation.
                                                A tribe and school district may wish to                 and not all tribal communities have a                    Changes: We have revised paragraph
                                                engage with a national nonprofit                        college in the vicinity.                              (5)(i) of the definition of NYCP in
                                                organization that is skilled in addressing                 Changes: None.                                     § 263.20 to include one or more tribes or
                                                the focus of the local project, whether it                 Comments: We received several                      their tribal education agencies.
                                                is academic success, drug prevention,                   comments asking whether one NYCP                         Comment: One commenter objected to
                                                parental engagement in schools, or any                  can include multiple tribes. We also                  the requirement that NYCPs include a
                                                other project focus. Therefore we are                   received additional comments                          school district as a partner, arguing that
                                                broadening part of the definition of                    expressing the concern that urban                     this would lead to more bureaucracy
                                                NYCP; rather than requiring the                         communities often include Indian youth                and undue attention to the school
                                                applicant or a partner to show that it has              from many different tribes, and that                  district’s own programs as opposed to
                                                the capacity to improve outcomes for                    urban applicants might face unfair                    those favored by a qualifying Indian
                                                Indian students, we are requiring the                   challenges in partnering with tribes or               organization.
                                                applicant or a partner to demonstrate                   their tribal education agencies because                  Discussion: We believe that schools,
                                                that it has the capacity to improve                     of the distance between the tribes and                tribes, and Indian organizations
                                                outcomes that are relevant to the project               the urban communities in which the                    similarly value better outcomes for
                                                focus. This allows an applicant to                      Indian youth live and attend school.                  Indian youth, including academic
                                                partner with a national organization that               Another commenter expressed concern                   achievement and readiness for
                                                has demonstrated the capacity to                        that a partnering tribe would refuse to               postsecondary education and
                                                improve outcomes that are relevant to                   serve youth from other tribes. Some                   employment. The NYCPs are intended
                                                the project focus, and not be limited to                commenters specifically requested that                to leverage the resources and capacity
                                                locally available and willing partners.                 we eliminate the requirement that                     currently spread among tribes, LEAs,
                                                There is a statutory application                        applicants form a partnership with a                  BIE-funded schools, or other
                                                requirement that projects must be based                 tribe. Another commenter asked                        organizations, through a partnership to
                                                either on scientific research or on an                  whether one tribe can participate in                  increase the likelihood of reaching these
                                                existing program that has been modified                 more than one NYCP.                                   better outcomes. We believe that,
                                                to be culturally appropriate for Indian                    Discussion: Nothing in the definition              especially for communities where most
                                                students (see § 263.22(a)(3). Thus, an                  of NYCP prohibits a project from                      American Indian/Alaska Native (AI/AN)
                                                applicant that partners with an entity                  including multiple tribes as partners. To             students attend the local public schools,
                                                that has demonstrated success with non-                 meet the NYCP definition, applicants                  the inclusion of the LEA in these
                                                Indian students, and proposes to use                    must identify and address significant                 projects is essential to the success of the
                                                that entity’s program model, will need                  barriers and needs within a local                     projects.
                                                to explain how it has modified that                     community. It is likely that in many                     Changes: None.
                                                program to be culturally appropriate.                   areas, including urban areas, Indian                     Comment: One commenter suggested
                                                   Changes: We have revised paragraph                   youth and their families from many                    that the Department should revise the
                                                (6) of the definition of NYCP in § 263.20               tribes live within a defined local                    definition of NYCP to allow for a project
                                                to provide that an applicant or a partner               community. Also, members of one tribe                 to include a partnership with
                                                must have demonstrated the capacity to                  often live in several different                       organizations such as the Boys and Girls
                                                improve outcomes that are relevant to                   communities. The entities responsible                 Club of America.
                                                the project focus.                                      for Indian youth in the identified local                 Discussion: Paragraph (5) of the NCYP
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                                                   Comment: One commenter requested                     community should partner with one                     definition permits community
                                                that we ensure that States and local                    another. We agree that certain NYCP                   organizations to be included in a
                                                public schools actively participate and                 applicants may need to partner with                   partnership. However, we do not
                                                coordinate with tribal grantees.                        multiple tribes or their tribal education             recommend any specific community
                                                   Discussion: We are requiring that at                 agencies in order to address the                      organizations as partners in an NYCP.
                                                least one tribe and at least one local                  identified need in the local community.               The applicants must determine which
                                                school district be partners in a proposed               We are therefore clarifying in the final              entities are necessary partners in order


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                         22409

                                                to address the identified need of the                   second priority, in § 263.21(b)(2), is for            Priority for Native Youth Community
                                                Indian youth in the local community to                  an Indian entity that is part of a                    Project (NYCP) (§ 263.21(c)(1))
                                                be served by the NYCP.                                  consortium or partnership but is not the                Comments: Several commenters
                                                  Changes: None.                                        lead applicant. This will enable us to                supported the proposed priority for
                                                Definition of ‘‘Rural’’                                 satisfy the statutory requirement to give             NYCP; one commenter mentioned the
                                                                                                        priority to the three types of Indian                 benefits of collaboration between tribes
                                                   Comment: One commenter requested                     entities, while retaining the ability to
                                                that we add a definition of ‘‘rural’’ in                                                                      and schools and noted how out-of-
                                                                                                        provide more points to applications for               school environments significantly affect
                                                the final regulations.                                  which the Indian entity is the sole or
                                                   Discussion: There is no need to define                                                                     in-classroom success. Other commenters
                                                                                                        lead applicant. Applicants cannot                     requested that we support parent and
                                                ‘‘rural’’ because the priority for rural                receive points under both of these
                                                applicants under § 263.21(c)(5) explains                                                                      family engagement in funding NYCPs.
                                                                                                        priorities.                                             Discussion: We appreciate the support
                                                which entities are considered rural. We
                                                include further discussion of the rural                   With regard to the concern about                    for the NYCP priority. We agree that
                                                priority under the Priorities section of                removing point values from the                        parent and family engagement both in
                                                the Analysis of Comments and Changes                    regulations, we have removed the five-                school and in the community is a
                                                in this notice.                                         point limitation for both priorities so               crucial component in efforts to improve
                                                   Changes: None.                                       that we have the flexibility to assign                the outcomes of all children, including
                                                                                                        more (or fewer) points as needed to                   Indian children and youth. Each
                                                Priorities (§ 263.21)                                   ensure that applicants from tribal                    applicant must include in its
                                                   Comments: Several commenters                         entities have an advantage over other                 application a description of how parents
                                                supported our proposal to expand the                    applicants.                                           of Indian children have been and will be
                                                Demonstration Grants program beyond                                                                           involved in developing and
                                                                                                          Changes: We have revised § 263.21(b)
                                                the two absolute priorities of early                                                                          implementing the proposed activities, as
                                                                                                        to create two separate competitive
                                                childhood and college readiness. One                                                                          required by § 263.22(a)(1). In addition,
                                                                                                        preference priorities. The first priority is
                                                commenter further commended the                                                                               an existing AI/AN parent organization
                                                                                                        for an Indian entity—tribe, organization,
                                                Department for supporting complex                                                                             or tribal parent committee could serve
                                                                                                        or IHE—either applying alone or as lead
                                                projects to address the complex issues                                                                        as a valuable partner in an NYCP.
                                                                                                        applicant in a consortium or
                                                facing some Indian communities.                                                                                 Changes: None.
                                                                                                        partnership. The second is for an Indian
                                                   Discussion: We appreciate the support                                                                      Priority for Grantees Under Other
                                                                                                        entity that is part of a consortium or
                                                for the priorities.                                                                                           Programs (§ 263.21(c)(2))
                                                   Changes: None.                                       partnership but is not the lead
                                                   Comments: Several commenters                         applicant.                                               Comments: Several commenters
                                                generally objected to the proposed                        Comments: One commenter objected                    objected to the priority for applicants
                                                revisions to the priorities in § 263.21(b),             to the revisions in § 263.21(c) that                  that have been awarded grants under
                                                and to the parallel provision in the                    would give the Department discretion to               other programs. One commenter stated
                                                Professional Development regulations.                   choose specific priorities for a                      that Indian organizations would be
                                                One objected to removing the priority                   competition in any given year. The                    unfairly excluded under this priority,
                                                preference for consortia that include an                commenter stated that changing the                    which would interfere with their ability
                                                Indian entity; another commenter                        priorities would make it hard for long-               to receive funding. Another commenter
                                                objected to removing the required                       term grantees to create stable programs               stated that the priority would provide
                                                number of priority preference points.                   across multiple years.                                undue advantage to applicants that are
                                                   Discussion: The statute for both the                   Discussion: Under § 263.21(c), the                  already receiving Federal funds.
                                                Professional Development and                            Department has the discretion to choose                  Discussion: This priority is designed
                                                Demonstration Grants requires that we                                                                         to increase the likelihood that funded
                                                                                                        any of the listed priorities in any year
                                                give priority to applications from all                                                                        projects will attain their goals. The
                                                                                                        the Department conducts a grant
                                                three types of tribal entities: Tribes,                                                                       Demonstration Grants program is
                                                                                                        competition for this program. This is
                                                Indian organizations, and Indian IHEs.                                                                        intended to target the most persistent
                                                                                                        consistent with the previous provisions
                                                We proposed to remove the priority for                                                                        issues facing Indian children, and to
                                                                                                        in the same paragraph, which provided
                                                consortia that include a tribal entity                                                                        provide models that others can use.
                                                                                                        that the Department could choose
                                                because a tribal entity that is not a sole                                                                    Grantees with existing resources to
                                                                                                        among three different priorities in any
                                                applicant or lead applicant in a                                                                              leverage are likely to have greater
                                                                                                        given year, although all of those were
                                                consortium does not necessarily have                                                                          opportunities to address the needs of
                                                                                                        absolute priorities. We recognize that
                                                the influence that a sole applicant, or                                                                       Indian children and to provide models
                                                                                                        potential applicants will need to
                                                lead applicant in a consortium, has.                                                                          that can be disseminated broadly.
                                                However, if we only give priority when                  respond to the priorities as published                   Although we did not receive a
                                                the Indian entity is the lead applicant,                under each notice inviting applications.              comment requesting clarification, the
                                                it would result in a tribal entity                      However, grantees will have the full                  proposed regulations did not state the
                                                receiving no preference when it is part                 grant period, typically 48 months, to                 timeframe within which applicants
                                                of a consortium but not the lead                        implement their projects. We also note                must have received these other awards
                                                applicant. Therefore we are creating two                that there is no guarantee that a grantee             in order to qualify for this preference.
                                                separate priorities for the Demonstration               under a discretionary grant program will              We are clarifying that, to receive
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                                                Grants, similar to those created for the                receive another grant under the same                  preference under this priority, the lead
                                                Professional Development Grants. The                    program at the end of its grant period.               applicant or its partner must have
                                                first priority, in § 263.21(b)(1), gives                The revisions to the priorities in                    received an award within the last four
                                                preference to an Indian entity—tribe,                   § 263.21(c) enable the Secretary to                   years. A longer period of time would
                                                organization, or IHE—either applying                    prioritize projects that address the needs            make it less likely that the grantee could
                                                alone, or in a consortium or partnership                of the target communities.                            build on the experience gained by that
                                                if it serves as the lead applicant. The                   Changes: None.                                      grant.


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                                                22410            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                  Changes: We have revised                              areas with proportionately larger                     application requirement because it
                                                § 263.21(c)(2) to provide that the                      populations of Indian children.                       would be essential for such a project to
                                                applicant or one of its partners must                      Furthermore, we believe that the                   show agreement between the required
                                                have received an award under a selected                 solutions to educational challenges may               partners. For other priorities, such as a
                                                program within the last four years in                   be different in rural communities than                priority for early learning projects, this
                                                order to receive this preference.                       in urban communities and that there is                requirement may not be appropriate. We
                                                  Comment: One commenter objected to                    a need for solutions that are unique to               will publish the selected application
                                                the priority for applicants that                        rural communities. The scarcity of                    requirements in the notice inviting
                                                consolidate funds through a plan that                   services and resources available in rural             applications in the Federal Register.
                                                complies with section 7116 of the ESEA                  communities may require additional                       Changes: None.
                                                or other authority. The commenter                       attention to address these needs.                        Comment: None.
                                                argued that this preference would                          With regard to the argument                           Discussion: During our internal
                                                unduly favor tribes, which manage                       concerning the Impact Aid program, we                 review of the proposed application
                                                multiple programs, as opposed to Indian                 note that not all rural school districts              requirements, we noted that the
                                                organizations that have a more narrow                   receive Impact Aid funding, often                     requirement to submit measureable
                                                focus.                                                  because they do not meet the eligibility              objectives in § 263.22(b)(3)
                                                  Discussion: The purpose of the                        requirements. For example, compared to                insufficiently communicated the
                                                priority in § 263.21(c)(3) for entities that            the more than 1,200 school districts that             expectation for the project to use the
                                                have Department approval to                             receive title VII formula grants for                  measureable objectives in evaluating the
                                                consolidate funds is to encourage                       Indian students, fewer than 700 school                progress toward and success in meeting
                                                entities to take advantage of measures                  districts receive Impact Aid funding for              its goal or goals. Accordingly, we are
                                                available to them to reduce duplication                 students residing on Indian lands.                    revising the regulations to include a
                                                and bureaucracy, such as the authority                  Moreover, Impact Aid funds are                        project evaluation plan.
                                                under section 7116 of the ESEA for                      intended to replace lost tax revenues or                 Changes: We have revised the
                                                consolidation of funding designed to                    increased expenses due to a Federal                   language in § 263.22(b)(3) to clarify that
                                                benefit Indian students. Even though we                 presence. The Impact Aid funds are                    the applicant must submit, in response
                                                recognize that not every eligible entity                considered general aid to the recipient               to a notice inviting applications
                                                will be able to take advantage of this                  school districts, and they may use the                published in the Federal Register, an
                                                priority, we seek to encourage this                     funds in whatever manner they choose                  evaluation plan that includes
                                                consolidation in order to increase the                  in accordance with their local and State              measureable objectives.
                                                impact of Federal funding by reducing                   requirements. Thus a school district that             Executive Orders 12866 and 13563
                                                duplication of effort.                                  receives Impact Aid may be as much in
                                                  Changes: None.                                        need of supplemental funding for Indian               Regulatory Impact Analysis
                                                Rural Priority (§ 263.21(c)(5))                         students through the Demonstration                      Under Executive Order 12866, the
                                                                                                        Grants program as any other school                    Secretary must determine whether this
                                                   Comments: We received several                                                                              regulatory action is ‘‘significant’’ and,
                                                                                                        district.
                                                comments regarding the competitive                         Changes: None.                                     therefore, subject to the requirements of
                                                preference priority for rural applicants.                  Comment: None.                                     the Executive order and subject to
                                                Some commenters commended our                              Discussion: During our internal                    review by the Office of Management and
                                                efforts to address the needs associated                 review of the proposed priority for rural             Budget (OMB). Section 3(f) of Executive
                                                with rural poverty. However, other                      applicants in § 263.21(c)(5), we                      Order 12866 defines a ‘‘significant
                                                commenters stated that urban areas, like                reviewed again whether all BIE-funded                 regulatory action’’ as an action likely to
                                                rural communities, face the challenges                  schools serve rural locales and                       result in a rule that may—
                                                of poverty. Several commenters stated                   determined that not all BIE-funded                      (1) Have an annual effect on the
                                                that projects serving urban communities                 schools serve those locales.                          economy of $100 million or more, or
                                                and those serving rural communities                     Accordingly, we are revising the                      adversely affect a sector of the economy,
                                                should not be required to compete for                   regulations to add a reference to the                 productivity, competition, jobs, the
                                                funding. One commenter stated that                      census locale codes as the indicator for              environment, public health or safety, or
                                                more American Indian children live in                   BIE-funded schools that would be                      State, local, or tribal governments or
                                                urban than in rural areas. Several                      considered rural for purposes of this                 communities in a material way (also
                                                commenters argued that because the                      priority.                                             referred to as an ‘‘economically
                                                Department’s Impact Aid program                            Changes: We have revised the                       significant’’ rule);
                                                compensates school districts in rural                   language in § 263.21(c)(5) with regard to               (2) Create serious inconsistency or
                                                areas, such districts should not receive                BIE-funded schools to add that, to meet               otherwise interfere with an action taken
                                                a priority under this program. A                        the rural priority, they must be in locale            or planned by another agency;
                                                commenter also argued that the                          codes 42 or 43, as designated by the U.S.               (3) Materially alter the budgetary
                                                Department should allocate more funds                   Census Bureau.                                        impacts of entitlement grants, user fees,
                                                to Impact Aid programs in order to                                                                            or loan programs or the rights and
                                                address rural poverty, rather than                      Application Requirements (§ 263.22)
                                                                                                                                                              obligations of recipients thereof; or
                                                providing a priority under this program.                  Comment: One commenter objected to                    (4) Raise novel legal or policy issues
                                                   Discussion: Based on the Common                      the requirement in § 263.22(b)(2) that                arising out of legal mandates, the
                                                Core of Data reported by SEAs in school                 applicants submit a written agreement                 President’s priorities, or the principles
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                                                year 2012–2013, nearly one-third of AI/                 between the partners in a proposed                    stated in the Executive order.
                                                AN children are enrolled in rural school                project.                                                This final regulatory action is not a
                                                districts, whereas fewer than one-fourth                  Discussion: This is an application                  significant regulatory action subject to
                                                of AI/AN children live in city school                   requirement that the Department may                   review by OMB under section 3(f) of
                                                districts. Therefore, we believe that                   choose to use in any year of a new                    Executive Order 12866.
                                                giving preference to rural districts will               competition. For a priority such as the                 We have also reviewed these
                                                appropriately focus on the geographical                 NYCP priority, we would select this                   regulations under Executive Order


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                          22411

                                                13563, which supplements and                            are those resulting from statutory                    Grants for Indian Children Program for
                                                explicitly reaffirms the principles,                    requirements and those we have                        section 263.22. An approved OMB
                                                structures, and definitions governing                   determined as necessary for                           control number will be assigned to this
                                                regulatory review established in                        administering the Department’s                        new ICR at the time of publication of the
                                                Executive Order 12866. To the extent                    programs and activities.                              final rule.
                                                permitted by law, Executive Order                         Discussion of Costs and Benefits: The                  A Federal agency may not conduct or
                                                13563 requires that an agency—                          potential costs associated with the                   sponsor a collection of information
                                                   (1) Propose or adopt regulations only                priorities and requirements would be                  unless OMB approves the collection
                                                on a reasoned determination that their                  minimal while the potential benefits are              under the PRA and the corresponding
                                                benefits justify their costs (recognizing               significant.                                          information collection instrument
                                                that some benefits and costs are difficult                For Professional Development grants,                displays a currently valid OMB control
                                                to quantify);                                           applicants may anticipate costs in                    number. Notwithstanding any other
                                                   (2) Tailor its regulations to impose the             developing their applications and time                provision of law, no person is required
                                                least burden on society, consistent with                spent reporting participant payback                   to comply with, or is subject to penalty
                                                obtaining regulatory objectives and                     information in the Data Collection                    for failure to comply with, a collection
                                                taking into account—among other things                  System (DCS). Additional costs would                  of information if the collection
                                                and to the extent practicable—the costs                 be associated with participant and                    instrument does not display a currently
                                                of cumulative regulations;                              employer information entered in the                   valid OMB control number.
                                                   (3) In choosing among alternative                    DCS, but program funds would pay for
                                                regulatory approaches, select those                     the costs of carrying out these activities.           Intergovernmental Review
                                                approaches that maximize net benefits                     The benefits include enhancing                        These programs are subject to the
                                                (including potential economic,                          project design and quality of services to             requirements of Executive Order 12372
                                                environmental, public health and safety,                better meet the program objectives, with              and the regulations in 34 CFR part 79.
                                                and other advantages; distributive                      the end result that more participants
                                                                                                                                                              One of the objectives of the Executive
                                                impacts; and equity);                                   successfully complete their programs of
                                                                                                                                                              order is to foster an intergovernmental
                                                   (4) To the extent feasible, specify                  study and obtain employment as
                                                                                                                                                              partnership and a strengthened
                                                performance objectives, rather than the                 teachers and administrators.
                                                                                                          For the Demonstration Grants                        federalism. The Executive order relies
                                                behavior or manner of compliance a                                                                            on processes developed by State and
                                                regulated entity must adopt; and                        program, applicants may anticipate
                                                                                                        costs associated with developing a                    local governments for coordination and
                                                   (5) Identify and assess available
                                                                                                        partnership agreement and providing                   review of proposed Federal financial
                                                alternatives to direct regulation,
                                                                                                        evidence of a local needs assessment or               assistance.
                                                including economic incentives—such as
                                                                                                        data analysis. These requirements                       This document provides early
                                                user fees or marketable permits—to
                                                                                                        should improve the quality of projects                notification of our specific plans and
                                                encourage the desired behavior, or
                                                                                                        funded and conducted under these                      actions for these programs.
                                                provide information that enables the
                                                public to make choices.                                 grants, and we believe the benefits of                Assessment of Educational Impact
                                                   Executive Order 13563 also requires                  these improvements will outweigh the
                                                an agency ‘‘to use the best available                   costs. Elsewhere in this section, under                  In the NPRM we requested comments
                                                techniques to quantify anticipated                      Paperwork Reduction Act of 1995, we                   on whether the proposed regulations
                                                present and future benefits and costs as                identify and explain burdens                          would require transmission of
                                                accurately as possible.’’ The Office of                 specifically associated with information              information that any other agency or
                                                Information and Regulatory Affairs of                   collection requirements.                              authority of the United States gathers or
                                                OMB has emphasized that these                                                                                 makes available.
                                                                                                        Paperwork Reduction Act of 1995                          Based on our review, we have
                                                techniques may include ‘‘identifying
                                                changing future compliance costs that                     Sections 263.6, 263.10, 263.11 and                  determined that these final regulations
                                                might result from technological                         263.22 Indian Education Discretionary                 do not require transmission of
                                                innovation or anticipated behavioral                    Grant Programs; Professional                          information that any other agency or
                                                changes.’’                                              Development Program and                               authority of the United States gathers or
                                                   We are issuing these final regulations               Demonstration Grants for Indian                       makes available.
                                                only on a reasoned determination that                   Children Program contain information                     Accessible Format: Individuals with
                                                their benefits justify their costs. In                  collection requirements. Under the                    disabilities can obtain this document in
                                                choosing among alternative regulatory                   Paperwork Reduction Act of 1995 (PRA)                 an accessible format (e.g., braille, large
                                                approaches, we selected those                           (44 U.S.C. 3507(d)), the Department of                print, audiotape, or compact disc) on
                                                approaches that maximize net benefits.                  Education has submitted a copy of these               request to the program contact person
                                                Based on the analysis that follows, the                 sections and related application forms                listed under FOR FURTHER INFORMATION
                                                Department believes that these final                    to the Office of Management and Budget                CONTACT.
                                                regulations are consistent with the                     (OMB) for its review and approval. In                    Electronic Access to This Document:
                                                principles in Executive Order 13563.                    accordance with the PRA, the OMB                      The official version of this document is
                                                   We also have determined that this                    Control number associated with the                    the document published in the Federal
                                                regulatory action does not unduly                       Professional Development final                        Register. Free Internet access to the
                                                interfere with State, local, or tribal                  regulations, related application forms,               official edition of the Federal Register
                                                governments in the exercise of their                    and ICRs for section 263.6, is OMB                    and the Code of Federal Regulations is
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                                                governmental functions.                                 approved 1810–0580, and for sections                  available via the Federal Digital System
                                                   In accordance with both Executive                    263.10 and 263.11 it is OMB approved                  at: www.gpo.gov/fdsys. At this site you
                                                orders, the Department has assessed the                 1810–0698. The Department also                        can view this document, as well as all
                                                potential costs and benefits, both                      submitted to OMB for its review and                   other documents of this Department
                                                quantitative and qualitative, of this                   approval a new Information Collection                 published in the Federal Register, in
                                                regulatory action. The potential costs                  Request (ICR) for control number 1810—                text or Adobe Portable Document
                                                associated with this regulatory action                  New Application for Demonstration                     Format (PDF). To use PDF you must


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                                                22412            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                have Adobe Acrobat Reader, which is                     263.21 What priority is given to certain                (2) A pre-service training program
                                                available free at the site.                                 projects and applicants?                          when the Bureau-funded school applies
                                                  You may also access documents of the                  263.22 What are the application                       in consortium with an institution of
                                                Department published in the Federal                         requirements for these grants?                    higher education that is accredited to
                                                                                                        263.23 What is the Federal requirement for
                                                Register by using the article search                                                                          provide the coursework and level of
                                                                                                            Indian hiring preference that applies to
                                                feature at: www.federalregister.gov.                        these grants?                                     degree required by the project.
                                                Specifically, through the advanced                                                                              (c) Eligibility of an applicant requiring
                                                search feature at this site, you can limit                Authority: 20 U.S.C. 7441, unless                   a consortium with any institution of
                                                                                                        otherwise noted.                                      higher education, including Indian
                                                your search to documents published by
                                                the Department.                                         Subpart A—Professional Development                    institutions of higher education,
                                                (Catalog of Federal Domestic Assistance                 Program                                               requires that the institution of higher
                                                Numbers: 84.299A Demonstration Grants for                                                                     education be accredited to provide the
                                                Indian Children Program; 84.299B                                                                              coursework and level of degree required
                                                Professional Development Program)                         Authority: 20 U.S.C. 7442, unless
                                                                                                        otherwise noted.                                      by the project.
                                                List of Subjects in 34 CFR Part 263                                                                           § 263.3 What definitions apply to the
                                                                                                        § 263.1 What is the Professional
                                                   Business and industry, Colleges and                  Development program?                                  Professional Development program?
                                                universities, Elementary and secondary                     (a) The Professional Development                      The following definitions apply to the
                                                education, Grant programs—education,                    program provides grants to eligible                   Professional Development program:
                                                Grant program—Indians, Indians—                                                                                  Bureau-funded school means a
                                                                                                        entities to—
                                                education, Reporting and recordkeeping                     (1) Increase the number of qualified               Bureau of Indian Education school, a
                                                requirements, Scholarships and                          Indian individuals in professions that                contract or grant school, or a school for
                                                fellowships.                                            serve Indian people;                                  which assistance is provided under the
                                                  Dated: April 17, 2015.                                   (2) Provide training to qualified                  Tribally Controlled Schools Act of 1988.
                                                                                                                                                                 Department means the U.S.
                                                Deborah Delisle,                                        Indian individuals to become teachers,
                                                                                                                                                              Department of Education.
                                                Assistant Secretary for Elementary and                  administrators, teacher aides, social                    Dependent allowance means costs for
                                                Secondary Education.                                    workers, and ancillary educational                    the care of minor children under the age
                                                  For the reasons discussed in the                      personnel; and                                        of 18 who reside with the training
                                                preamble, the Secretary of Education                       (3) Improve the skills of qualified
                                                                                                                                                              participant and for whom the
                                                amends title 34 of the Code of Federal                  Indian individuals who serve in the
                                                                                                                                                              participant has responsibility. The term
                                                Regulations by revising part 263 to read                education field.
                                                                                                                                                              does not include financial obligations
                                                as follows:                                                (b) The Professional Development
                                                                                                                                                              for payment of child support required of
                                                                                                        program requires individuals who
                                                                                                                                                              the participant.
                                                PART 263—INDIAN EDUCATION                               receive training to—                                     Full course load means the number of
                                                DISCRETIONARY GRANT PROGRAMS                               (1) Perform work related to the                    credit hours that the institution requires
                                                                                                        training received under the program and               of a full-time student.
                                                Subpart A—Professional Development                      that benefits Indian people, or to repay
                                                Program                                                                                                          Full-time student means a student
                                                                                                        all or a prorated part of the assistance              who—
                                                Sec.                                                    received under the program; and
                                                263.1 What is the Professional
                                                                                                                                                                 (1) Is a degree candidate for a
                                                                                                           (2) Periodically report to the Secretary           baccalaureate or graduate degree;
                                                     Development Program?                               on the individual’s compliance with the
                                                263.2 Who is eligible to apply under the                                                                         (2) Carries a full course load; and
                                                     Professional Development program?                  work requirement until work-related                      (3) Is not employed for more than 20
                                                263.3 What definitions apply to the                     payback is complete or the individual                 hours a week.
                                                     Professional Development program?                  has been referred for cash payback.                      Good standing means a cumulative
                                                263.4 What costs may a Professional                                                                           grade point average of at least 2.0 on a
                                                     Development program include?                       § 263.2 Who is eligible to apply under the
                                                                                                        Professional Development program?
                                                                                                                                                              4.0 grade point scale in which failing
                                                263.5 What priority is given to certain                                                                       grades are computed as part of the
                                                     projects and applicants?                              (a) In order to be eligible for either             average, or another appropriate standard
                                                263.6 How does the Secretary evaluate                   pre-service or in-service training                    established by the institution.
                                                     applications for the Professional                  programs, an applicant must be an
                                                     Development program?
                                                                                                                                                                 Graduate degree means a post-
                                                                                                        eligible entity which means—                          baccalaureate degree awarded by an
                                                263.7 What are the requirements for a leave                (1) An institution of higher education,
                                                     of absence?                                                                                              institution of higher education.
                                                263.8 What are the payback requirements?
                                                                                                        including an Indian institution of higher                Indian means an individual who is—
                                                263.9 What are the requirements for                     education;                                               (1) A member of an Indian tribe or
                                                     payback deferral?                                     (2) A State educational agency in                  band, as membership is defined by the
                                                263.10 What are the participant payback                 consortium with an institution of higher              Indian tribe or band, including any tribe
                                                     reporting requirements?                            education;                                            or band terminated since 1940, and any
                                                263.11 What are the grantee post-award                     (3) A local educational agency (LEA)               tribe or band recognized by the State in
                                                     requirements?                                      in consortium with an institution of                  which the tribe or band resides;
                                                263.12 What are the program-specific                    higher education;
                                                     requirements for continuation awards?
                                                                                                                                                                 (2) A descendant of a parent or
                                                                                                           (4) An Indian tribe or Indian                      grandparent who meets the
                                                  Authority: 20 U.S.C. 7442, unless                     organization in consortium with an                    requirements of paragraph (1) of this
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                                                otherwise noted.                                        institution of higher education; or                   definition;
                                                Subpart B—Demonstration Grants for                         (5) A Bureau of Indian Education                      (3) Considered by the Secretary of the
                                                Indian Children Program                                 (Bureau)-funded school.                               Interior to be an Indian for any purpose;
                                                Sec.                                                       (b) Bureau-funded schools are eligible                (4) An Eskimo, Aleut, or other Alaska
                                                263.20 What definitions apply to the                    applicants for—                                       Native; or
                                                     Demonstration Grants for Indian                       (1) An in-service training program;                   (5) A member of an organized Indian
                                                     Children program?                                  and                                                   group that received a grant under the


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                           22413

                                                Indian Education Act of 1988 as it was                  baccalaureate or post-baccalaureate                   of study following completion of the
                                                in effect on October 19, 1994.                          degree.                                               program.
                                                   Indian institution of higher education                 Participant means an Indian
                                                means an accredited college or                          individual who is being trained under                 § 263.5 What priority is given to certain
                                                                                                                                                              projects and applicants?
                                                university within the United States                     the Professional Development program.
                                                cited in section 532 of the Equity in                     Payback means work-related service                     (a) The Secretary gives competitive
                                                Educational Land-Grant Status Act of                    or cash reimbursement to the                          preference priority to—
                                                1994, any other institution that qualifies              Department of Education for the training                 (1) An application submitted by an
                                                for funding under the Tribally                          received under the Professional                       Indian tribe, Indian organization, or an
                                                Controlled College or University                        Development program.                                  Indian institution of higher education
                                                Assistance Act of 1978, and the Navajo                    Pre-service training means training to              that is eligible to participate in the
                                                Community College, authorized in the                    Indian individuals to prepare them to                 Professional Development program. A
                                                Navajo Community College Assistance                     meet the requirements for licensing or                consortium application of eligible
                                                Act of 1978.                                            certification in a professional field                 entities that meets the requirements of
                                                   Indian organization means an                         requiring at least a baccalaureate degree.            34 CFR 75.127 through 75.129 and
                                                organization that—                                        Professional development activities                 includes an Indian tribe, Indian
                                                   (1) Is legally established—                          means pre-service or in-service training              organization, or Indian institution of
                                                   (i) By tribal or inter-tribal charter or             offered to enhance the skills and                     higher education will be considered
                                                in accordance with State or tribal law;                 abilities of individual participants.                 eligible to receive preference under this
                                                and                                                       Secretary means the Secretary of the                priority only if the lead applicant for the
                                                   (ii) With appropriate constitution, by-              Department of Education or an official                consortium is the Indian tribe, Indian
                                                laws, or articles of incorporation;                     or employee of the Department acting                  organization, or Indian institution of
                                                   (2) Includes in its purposes the                     for the Secretary under a delegation of               higher education. In order to be
                                                promotion of the education of Indians;                  authority.                                            considered a consortium application,
                                                   (3) Is controlled by a governing board,                Stipend means that portion of an                    the application must include the
                                                the majority of which is Indian;                        award that is used for room, board, and               consortium agreement, signed by all
                                                   (4) If located on an Indian reservation,             personal living expenses for full-time                parties; or
                                                operates with the sanction or by charter                participants who are living at or near                   (2) A consortium application of
                                                of the governing body of that                           the institution providing the training.               eligible entities that—
                                                reservation;                                            (Authority: 20 U.S.C. 7442 and 7491)
                                                                                                                                                                 (i) Meets the requirements of 34 CFR
                                                   (5) Is neither an organization or                                                                          75.127 through 75.129 and includes an
                                                subdivision of, nor under the direct                    § 263.4 What costs may a Professional                 Indian tribe, Indian organization, or
                                                control of, any institution of higher                   Development program include?                          Indian institution of higher education;
                                                education; and                                             (a) A Professional Development                     and
                                                   (6) Is not an agency of State or local               program may include, as training costs,                  (ii) Is not eligible to receive a
                                                government.                                             assistance to—                                        preference under paragraph (a)(1) of this
                                                   Induction services means services                       (1) Fully finance a student’s                      section.
                                                provided after participants complete                    educational expenses including tuition,                  (b) The Secretary may annually
                                                their training program and during their                 books, and required fees; health                      establish as a priority any of the
                                                first year of teaching. Induction services              insurance required by the institution of              priorities listed in this paragraph. When
                                                support and improve participants’                       higher education; stipend; dependent                  inviting applications for a competition
                                                professional performance and promote                    allowance; technology costs; program                  under the Professional Development
                                                their retention in the field of education               required travel; and instructional                    program, the Secretary designates the
                                                and teaching. They include, at a                        supplies; or                                          type of each priority as absolute,
                                                minimum, these activities:                                 (2) Supplement other financial aid,                competitive preference, or invitational
                                                   (1) High-quality mentoring, coaching,                including Federal funding other than                  through a notice in the Federal Register.
                                                and consultation services for the                       loans, for meeting a student’s                        The effect of each type of priority is
                                                participant to improve performance;                     educational expenses.                                 described in 34 CFR 75.105.
                                                   (2) Access to research materials and                    (b) The Secretary announces the                       (1) Pre-Service training for teachers.
                                                information on teaching and learning;                   expected maximum amounts for                          The Secretary establishes a priority for
                                                   (3) Assisting new teachers with use of               stipends and dependent allowance in                   projects that—
                                                technology in the classroom and use of                  the annual notice inviting applications                  (i) Provide support and training to
                                                data, particularly student achievement                  published in the Federal Register.                    Indian individuals to complete a pre-
                                                data, for classroom instruction;                           (c) Other costs that a Professional                service education program before the
                                                   (4) Clear, timely and useful feedback                Development program may include, but                  end of the award period that enables the
                                                on performance, provided in                             that must not be included as training                 individuals to meet the requirements for
                                                coordination with the participant’s                     costs, include costs for—                             full State certification or licensure as a
                                                supervisor; and                                            (1) Collaborating with prospective                 teacher through—
                                                   (5) Periodic meetings or seminars for                employers within the grantees’ local                     (A) Training that leads to a degree in
                                                participants to enhance collaboration,                  service area to create a pool of                      education;
                                                feedback, and peer networking and                       potentially available qualifying                         (B) For States allowing a degree in a
                                                support.                                                employment opportunities;                             specific subject area, training that leads
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                                                   In-service training means activities                    (2) In-service training activities such            to a degree in the subject area; or
                                                and opportunities designed to enhance                   as providing mentorships linking                         (C) Training in a current or new
                                                the skills and abilities of individuals in              experienced teachers at job placement                 specialized teaching assignment that
                                                their current areas of employment.                      sites with program participants; and                  requires a degree and in which a
                                                   Institution of higher education means                   (3) Assisting participants in                      documented teacher shortage exists;
                                                an accredited college or university                     identifying and securing qualifying                      (ii) Provide one year of induction
                                                within the United States that awards a                  employment opportunities in their field               services, during the award period, to


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                                                22414            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                participants after graduation,                             (a) Need for project. In determining                 (d) Quality of project services. The
                                                certification, or licensure, while they are             the need for the proposed project, the                Secretary considers one or more of the
                                                completing their first year of work in                  Secretary considers one or more of the                following factors in determining the
                                                schools with significant Indian student                 following:                                            quality of project services:
                                                populations; and                                           (1) The extent to which the proposed                 (1) The likelihood that the proposed
                                                   (iii) Include goals for the—                         project will prepare personnel in                     project will provide participants with
                                                   (A) Number of participants to be                     specific fields in which shortages have               learning experiences that develop
                                                recruited each year;                                    been demonstrated through a job market                needed skills for successful teaching
                                                   (B) Number of participants to                        analysis.                                             and/or administration in schools with
                                                continue in the project each year;                         (2) The extent to which employment                 significant Indian populations.
                                                   (C) Number of participants to graduate               opportunities exist in the project’s                    (2) The extent to which the proposed
                                                each year; and                                          service area, as demonstrated through a               project prepares participants to adapt
                                                   (D) Number of participants to find                   job market analysis.                                  teaching and/or administrative practices
                                                qualifying jobs within twelve months of                    (b) Significance. In determining the               to meet the breadth of Indian student
                                                completion.                                             significance of the proposed project, the             needs.
                                                   (2) Pre-service administrator training.              Secretary considers one or more of the                  (3) The extent to which the applicant
                                                The Secretary establishes a priority for                following:                                            will provide job placement activities
                                                projects that—                                             (1) The potential of the proposed                  that reflect the findings of a job market
                                                   (i) Provide support and training to                  project to develop effective strategies for           analysis and needs of potential
                                                Indian individuals to complete a                        teaching Indian students and improving                employers.
                                                graduate degree in education                            Indian student achievement, as                          (4) The extent to which the applicant
                                                administration that is provided before                  demonstrated by a plan to share                       will offer induction services that reflect
                                                the end of the award period and that                    findings gained from the proposed                     the latest research on effective delivery
                                                allows participants to meet the                         project with parties who could benefit                of such services.
                                                requirements for State certification or                                                                         (e) Quality of project personnel. The
                                                                                                        from such findings, such as other
                                                licensure as an education administrator;                                                                      Secretary considers one or more of the
                                                                                                        institutions of higher education who are
                                                   (ii) Provide one year of induction                                                                         following factors when determining the
                                                                                                        training teachers and administrators
                                                services, during the award period, to                                                                         quality of the personnel who will carry
                                                                                                        who will be serving Indian students.
                                                participants after graduation,                                                                                out the proposed project:
                                                                                                           (2) The likelihood that the proposed                 (1) The qualifications, including
                                                certification, or licensure, while they are
                                                                                                        project will build local capacity to                  relevant training, experience, and
                                                completing their first year of work as
                                                                                                        provide, improve, or expand services                  cultural competence, of the project
                                                administrators in schools with
                                                                                                        that address the specific needs of Indian             director and the amount of time this
                                                significant Indian student populations;
                                                                                                        students.                                             individual will spend directly involved
                                                and
                                                   (iii) Include goals for the—                            (c) Quality of the project design. The             in the project.
                                                   (A) Number of participants to be                     Secretary considers one or more of the                  (2) The qualifications, including
                                                recruited each year;                                    following factors in determining the                  relevant training, experience, and
                                                   (B) Number of participants to                        quality of the design of the proposed                 cultural competence, of key project
                                                continue in the project each year;                      project:                                              personnel and the amount of time to be
                                                   (C) Number of participants to graduate                  (1) The extent to which the goals,                 spent on the project and direct
                                                each year; and                                          objectives, and outcomes to be achieved               interactions with participants.
                                                   (D) Number of participants to find                   by the proposed project are ambitious                   (3) The qualifications, including
                                                qualifying jobs within twelve months of                 but also attainable and address—                      relevant training, experience, and
                                                completion.                                                (i) The number of participants                     cultural competence (as necessary), of
                                                   (3) Letter of support. The Secretary                 expected to be recruited in the project               project consultants or subcontractors, if
                                                establishes a priority for applicants that              each year;                                            any.
                                                include a letter of support signed by the                  (ii) The number of participants
                                                                                                                                                              (Approved by the Office of Management
                                                authorized representative of an LEA or                  expected to continue in the project each
                                                                                                                                                              and Budget under control number 1810–
                                                Department of the Interior Bureau of                    year;
                                                                                                                                                              0580)
                                                Indian Education (BIE)-funded school or                    (iii) The number of participants
                                                other entity in the applicant’s service                 expected to graduate; and                             § 263.7 What are the requirements for a
                                                area that agrees to consider program                       (iv) The number of participants                    leave of absence?
                                                graduates for qualifying employment.                    expected to find qualifying jobs within                  (a) A participant must submit a
                                                                                                        twelve months of completion.                          written request for a leave of absence to
                                                (Authority: 20 U.S.C. 7442 and 7473)
                                                                                                           (2) The extent to which the proposed               the project director not less than 30 days
                                                § 263.6 How does the Secretary evaluate                 project has a plan for recruiting and                 prior to withdrawal or completion of a
                                                applications for the Professional                       selecting participants that ensures that              grading period, unless an emergency
                                                Development program?                                    program participants are likely to                    situation has occurred and the project
                                                   The Secretary uses the procedures for                complete the program.                                 director chooses to waive the prior
                                                establishing selection criteria and                        (3) The extent to which the proposed               notification requirement.
                                                factors in 34 CFR 75.200 through 75.210                 project will incorporate the needs of                    (b) The project director may approve
                                                to establish the criteria and factors used              potential employers, as identified by a               a leave of absence, for a period not
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                                                to evaluate applications submitted in a                 job market analysis, by establishing                  longer than twelve months, provided
                                                grant competition for the Professional                  partnerships and relationships with                   the participant has completed at least
                                                Development program. The Secretary                      appropriate entities (e.g., Bureau-funded             twelve months of training in the project
                                                may also consider one or more of the                    schools, organizations providing                      and is in good standing at the time of
                                                criteria and factors listed in paragraphs               educational services to Indian students,              request.
                                                (a) through (e) of this section to evaluate             and LEAs) and developing programs                        (c) The project director permits a
                                                applications.                                           that meet their employment needs.                     leave of absence only if the institution


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                          22415

                                                of higher education certifies that the                  prorated based on any approved work-                  or exiting the Professional Development
                                                training participant is eligible to resume              related service the participant performs.             program, and must provide—
                                                his or her course of study at the end of                   (3) Participants who are referred to                  (1) A written statement from the
                                                the leave of absence.                                   cash payback may incur non-refundable                 participant’s commanding or personnel
                                                   (d) A participant who is granted a                   penalty and administrative fees in                    officer certifying—
                                                leave of absence and does not return to                 addition to their total training costs and               (i) That the participant is on active
                                                his or her course of study by the end of                will incur interest charges starting the              duty in the Armed Forces of the United
                                                the grant project period will be                        day of referral.                                      States;
                                                considered not to have completed the                       (4) The cash payback obligation may                   (ii) The date on which the
                                                course of study for the purpose of                      only be discharged through bankruptcy                 participant’s service began; and
                                                project performance reporting.                                                                                   (iii) The date on which the
                                                                                                        if repaying the loan would cause the
                                                                                                                                                              participant’s service is expected to end;
                                                                                                        participant undue hardship as defined
                                                § 263.8 What are the payback                                                                                  or
                                                requirements?                                           in 11 U.S.C. 523(a)(8).                                  (2)(i) A true certified copy of the
                                                   (a) General. All participants must—                  § 263.9 What are the requirements for                 participant’s official military orders; and
                                                   (1) Either perform work-related                      payback deferral?                                        (ii) A copy of the participant’s
                                                payback or provide cash reimbursement                      (a) Education deferral. If a participant           military identification.
                                                to the Department for the training                      completes or exits the Professional                   § 263.10 What are the participant payback
                                                received. It is the preference of the                   Development program, but plans to                     reporting requirements?
                                                Department for participants to complete                 continue his or her education as a full-                 (a) Notice of intent. Participants must
                                                a work-related payback;                                 time student without interruption, in a               submit to the Secretary, within 30 days
                                                   (2) Sign an agreement, at the time of                program leading to a degree at an                     of completion of, or exit from, as
                                                selection for training, that sets forth the             accredited institution of higher                      applicable, their training program, a
                                                payback requirements; and                               education, the Secretary may defer the                notice of intent to complete a work-
                                                   (3) Report employment verification in                payback requirement until the                         related or cash payback, or to continue
                                                a manner specified by the Department                    participant has completed his or her                  in a degree program as a full-time
                                                or its designee.                                        educational program.                                  student.
                                                   (b) Work-related payback. (1)
                                                                                                           (1) A request for a deferral must be                  (b) Work-related payback. (1) Starting
                                                Participants qualify for work-related                                                                         within six months after exit from or
                                                                                                        submitted to the Secretary within 30
                                                payback if the work they are performing                                                                       completion of the program, participants
                                                                                                        days of completing or exiting the
                                                is in their field of study under the                                                                          must submit to the Secretary
                                                                                                        Professional Development program and
                                                Professional Development program and                                                                          employment information, which
                                                                                                        must provide the following
                                                benefits Indian people. Employment in                                                                         includes information explaining how
                                                                                                        information—
                                                a school that has a significant Indian                                                                        the employment is related to the
                                                                                                           (i) The name of the accredited
                                                student population qualifies as work                                                                          training received and benefits Indian
                                                                                                        institution the student will be attending;
                                                that benefits Indian people.                                                                                  people.
                                                   (2) The period of time required for a                   (ii) A copy of the letter of admission
                                                                                                        from the institution;                                    (2) Participants must submit an
                                                work-related payback is equivalent to                                                                         employment status report every six
                                                the total period of time for which pre-                    (iii) The degree being sought; and
                                                                                                           (iv) The projected date of completion.             months beginning from the date the
                                                service or in-service training was                                                                            work-related service is to begin until the
                                                actually received on a month-for-month                     (2) If the Secretary approves the
                                                                                                                                                              payback obligation has been fulfilled.
                                                basis under the Professional                            deferral of the payback requirement on                   (c) Cash payback. If a cash payback is
                                                Development program.                                    the basis that a participant is continuing            to be made, the Department contacts the
                                                   (3) Work-related payback is credited                 as a full-time student, the participant               participant to establish an appropriate
                                                for the actual time the participant                     must submit to the Secretary a status                 schedule for payments.
                                                works, not for how the participant is                   report from an academic advisor or
                                                paid (e.g., for work completed over 9                   other authorized representative of the                (Approved by the Office of Management
                                                months but paid over 12 months, the                     institution of higher education, showing              and Budget under control number 1810–
                                                payback credit is 9 months).                            verification of enrollment and status,                0698)
                                                   (4) For participants that initiate, but              after every grading period.                           § 263.11 What are the grantee post-award
                                                cannot complete, a work-related                            (b) Military deferral. If a participant            requirements?
                                                payback, the payback converts to a cash                 exits the Professional Development                       (a) Prior to providing funds or
                                                payback that is prorated based upon the                 program because he or she is called or                services to a participant, the grantee
                                                amount of work-related payback                          ordered to active duty status in                      must conduct a payback meeting with
                                                completed.                                              connection with a war, military                       the participant to explain the costs of
                                                   (c) Cash payback. (1) Participants who               operation, or national emergency for                  training and payback responsibilities
                                                do not submit employment verification                   more than 30 days as a member of a                    following training.
                                                within twelve months of program exit or                 reserve component of the Armed Forces                    (b) The grantee must report to the
                                                completion, or have not submitted                       named in 10 U.S.C. 10101, or as a                     Secretary all participant training and
                                                employment verification for a twelve-                   member of the National Guard on full-                 payback information in a manner
                                                month period during a work-related                      time National Guard duty, as defined in               specified by the Department or its
                                                payback, will automatically be referred                 10 U.S.C. 101(d)(5), the Secretary may                designee.
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                                                for a cash payback unless the                           defer the payback requirement until the                  (c)(1) Grantees must obtain a signed
                                                participant qualifies for a deferral as                 participant has completed his or her                  payback agreement from each
                                                described in § 263.9.                                   military service, for a period not to                 participant before the participant begins
                                                   (2) The cash payback required shall be               exceed 36 months. Requests for deferral               training. The agreement must include—
                                                equivalent to the total amount of funds                 must be submitted to the Secretary                       (i) The estimated total training costs;
                                                received and expended for training                      within 30 days of the earlier of receiving               (ii) The estimated length of training;
                                                received under this program and may be                  the call to military service or completing            and


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                                                22416            Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations

                                                  (iii) Information documenting that the                   Federally supported elementary or                     (i) The greatest barriers, both in and
                                                grantee held a payback meeting with the                 secondary school for Indian students                  out of school, to the readiness of local
                                                participant that meets the requirements                 means an elementary or secondary                      Indian students for college and careers;
                                                of this section.                                        school that is operated or funded,                       (ii) Opportunities in the local
                                                  (2) Grantees must submit a signed                     through a contract or grant, by the                   community to support Indian students;
                                                payback agreement to the Department                     Bureau of Indian Education.                           and
                                                within seven days of signing the                           Indian means an individual who is—                    (iii) Existing local policies, programs,
                                                payback agreement.                                         (1) A member of an Indian tribe or                 practices, service providers, and
                                                  (d) Grantees must conduct activities                  band, as membership is defined by the                 funding sources;
                                                to assist participants in identifying and               Indian tribe or band, including any tribe                (4) Focused on one or more barriers or
                                                securing qualifying employment                          or band terminated since 1940, and any                opportunities with a community-based
                                                opportunities following completion of                   tribe or band recognized by the State in              strategy or strategies and measurable
                                                the program.                                            which the tribe or band resides;                      objectives;
                                                  (e)(1) Awards that are primarily for                     (2) A descendant of a parent or                       (5) Designed and implemented
                                                the benefit of Indians are subject to the               grandparent who meets the                             through a partnership of various
                                                provisions of section 7(b) of the Indian                requirements described in paragraph (1)               entities, which—
                                                Self-Determination and Education                        of this definition;                                      (i) Must include—
                                                Assistance Act (Pub. L. 93–638). That                      (3) Considered by the Secretary of the                (A) One or more tribes or their tribal
                                                section requires that, to the greatest                  Interior to be an Indian for any purpose;             education agencies; and
                                                                                                           (4) An Eskimo, Aleut, or other Alaska                 (B) One or more BIE-funded schools,
                                                extent feasible, a grantee—
                                                  (i) Give to Indians preferences and                   Native; or                                            one or more local educational agencies,
                                                opportunities for training and                             (5) A member of an organized Indian                or both; and
                                                                                                        group that received a grant under the                    (ii) May include other optional
                                                employment in connection with the
                                                                                                        Indian Education Act of 1988 as it was                entities, including community-based
                                                administration of the grant; and
                                                                                                        in effect on October 19, 1994.                        organizations, national nonprofit
                                                  (ii) Give to Indian organizations and
                                                                                                           Indian institution of higher education             organizations, and Alaska regional
                                                to Indian-owned economic enterprises,
                                                                                                        means an accredited college or                        corporations; and
                                                as defined in section 3 of the Indian                                                                            (6) Led by an entity that—
                                                Financing Act of 1974 (25 U.S.C.                        university within the United States
                                                                                                        cited in section 532 of the Equity in                    (i) Is eligible for a grant under the
                                                1452(e)), preference in the award of                                                                          Demonstration Grants for Indian
                                                contracts in connection with the                        Educational Land-Grant Status Act of
                                                                                                        1994, any other institution that qualifies            Children program; and
                                                administration of the grant.                                                                                     (ii) Demonstrates, or partners with an
                                                  (2) For the purposes of paragraph (e),                for funding under the Tribally
                                                                                                        Controlled College or University                      entity that demonstrates, the capacity to
                                                an Indian is a member of any federally                                                                        improve outcomes that are relevant to
                                                recognized Indian tribe.                                Assistance Act of 1978, and the Navajo
                                                                                                        Community College, authorized in the                  the project focus through experience
                                                (Authority: 25 U.S.C. 450b, 450e(b))                    Navajo Community College Assistance                   with programs funded through other
                                                                                                        Act of 1978.                                          sources.
                                                (Approved by the Office of Management                                                                            Professional development activities
                                                and Budget under control number 1810–                      Indian organization means an
                                                                                                        organization that—                                    means in-service training offered to
                                                0698)                                                                                                         enhance the skills and abilities of
                                                                                                           (1) Is legally established—
                                                § 263.12 What are the program-specific                     (i) By tribal or inter-tribal charter or           individuals that may be part of, but not
                                                requirements for continuation awards?                   in accordance with State or tribal law;               exclusively, the activities provided in a
                                                   (a) In making continuation awards, in                and                                                   Demonstration Grants for Indian
                                                addition to applying the criteria in 34                    (ii) With appropriate constitution, by-            Children program.
                                                CFR 75.253, the Secretary considers the                 laws, or articles of incorporation;                   § 263.21 What priority is given to certain
                                                extent to which a grantee has achieved                     (2) Includes in its purposes the                   projects and applicants?
                                                its project goals to recruit, retain,                   promotion of the education of Indians;
                                                                                                           (3) Is controlled by a governing board,               (a) The Secretary gives priority to an
                                                graduate, and place in qualifying                                                                             application that presents a plan for
                                                employment program participants.                        the majority of which is Indian;
                                                                                                           (4) If located on an Indian reservation,           combining two or more of the activities
                                                   (b) The Secretary may reduce                                                                               described in section 7121(c) of the
                                                continuation awards, including the                      operates with the sanction of or by
                                                                                                        charter from the governing body of that               Elementary and Secondary Education
                                                portion of awards that may be used for                                                                        Act of 1965, as amended, over a period
                                                administrative costs, as well as student                reservation;
                                                                                                           (5) Is neither an organization or                  of more than one year.
                                                training costs, based on a grantee’s                                                                             (b) The Secretary gives a competitive
                                                failure to achieve its project goals                    subdivision of, nor under the direct
                                                                                                        control of, any institution of higher                 preference priority to—
                                                specified in paragraph (a) of this                                                                               (1) An application submitted by an
                                                section.                                                education; and
                                                                                                           (6) Is not an agency of State or local             Indian tribe, Indian organization, or
                                                                                                        government.                                           Indian institution of higher education
                                                Subpart B—Demonstration Grants for                                                                            that is eligible to participate in the
                                                Indian Children Program                                    Native youth community project
                                                                                                        means a project that is—                              Demonstration Grants for Indian
                                                                                                           (1) Focused on a defined local                     Children program. A group application
                                                (Authority: 20 U.S.C. 7441, unless otherwise
                                                                                                        geographic area;                                      submitted by a consortium that meets
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                                                noted.)
                                                                                                           (2) Centered on the goal of ensuring               the requirements of 34 CFR 75.127
                                                § 263.20 What definitions apply to the                  that Indian students are prepared for                 through 75.129 or submitted by a
                                                Demonstration Grants for Indian Children                college and careers;                                  partnership is eligible to receive the
                                                program?                                                   (3) Informed by evidence, which                    preference only if the lead applicant is
                                                  The following definitions apply to the                could be either a needs assessment                    an Indian tribe, Indian organization, or
                                                Demonstration Grants for Indian                         conducted within the last three years or              Indian institution of higher education;
                                                Children program:                                       other data analysis, on—                              or


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                                                                 Federal Register / Vol. 80, No. 77 / Wednesday, April 22, 2015 / Rules and Regulations                                                22417

                                                   (2) A group application submitted by                 existing program that has been modified               contracts in connection with the
                                                a consortium of eligible entities that                  to be culturally appropriate for Indian               administration of the grant.
                                                meets the requirements of 34 CFR                        students;                                               (b) For purposes of this section, an
                                                75.127 through 75.129 or submitted by                      (4) A description of how the applicant             Indian is a member of any federally
                                                a partnership if the consortium or                      will continue the proposed activities                 recognized Indian tribe.
                                                partnership—                                            once the grant period is over; and                    (Authority: 25 U.S.C. 450b, 450e(b)).
                                                   (i) Includes an Indian tribe, Indian                    (5) Other assurances and information               [FR Doc. 2015–09396 Filed 4–21–15; 8:45 am]
                                                organization, or Indian institution of                  as the Secretary may reasonably require.              BILLING CODE 4000–01–P
                                                higher education; and                                      (b) The Secretary may require an
                                                   (ii) Is not eligible to receive the                  applicant to satisfy any of the
                                                preference in paragraph (b)(1) of this                  requirements in this paragraph. When                  LIBRARY OF CONGRESS
                                                section.                                                inviting applications for a competition
                                                   (c) The Secretary may give priority to               under the Demonstration Grants                        Copyright Royalty Board
                                                an application that meets any of the                    program, the Secretary establishes the
                                                priorities listed in this paragraph. When               application requirements through a                    37 CFR Part 386
                                                inviting applications for a competition                 notice inviting applications published
                                                under the Demonstration Grants                          in the Federal Register. If specified in              [Docket No. 15–CRB–0009 SA (2015)]
                                                program, the Secretary designates the                   the notice inviting applications, an
                                                type of each priority as absolute,                                                                            Cost of Living Adjustment to Satellite
                                                                                                        applicant must submit—
                                                competitive preference, or invitational                                                                       Carrier Compulsory License Royalty
                                                                                                           (1) Evidence, which could be either a
                                                through a notice inviting applications                                                                        Rates
                                                                                                        needs assessment conducted within the
                                                published in the Federal Register. The                  last three years or other data analysis,              AGENCY:  Copyright Royalty Board,
                                                effect of each type of priority is                      of—                                                   Library of Congress.
                                                described in 34 CFR 75.105.                                (i) The greatest barriers, both in and             ACTION: Final rule.
                                                   (1) Native youth community projects.                 out of school, to the readiness of local
                                                   (2) Projects in which the applicant or               Indian students for college and careers;              SUMMARY:    The Copyright Royalty Judges
                                                one of its partners has received a grant                   (ii) Opportunities in the local                    announce a cost of living adjustment
                                                in the last four years under a federal                  community to support Indian students;                 (COLA) of 1.7% in the royalty rates
                                                program selected by the Secretary and                   and                                                   satellite carriers pay for a compulsory
                                                announced in a notice inviting                             (iii) Existing local policies, programs,           license under the Copyright Act. The
                                                applications published in the Federal                   practices, service providers, and                     COLA is based on the change in the
                                                Register.                                               funding sources.                                      Consumer Price Index from October
                                                   (3) Projects in which the applicant has                 (2) A copy of an agreement signed by               2013 to October 2014.
                                                Department approval to consolidate                      the partners in the proposed project,                 DATES: Effective Date: April 22, 2015.
                                                funding through a plan that complies                    identifying the responsibilities of each                 Applicability Dates: These rates are
                                                with section 7116 of the ESEA or other                  partner in the project. The agreement                 applicable to the period January 1, 2015,
                                                authority designated by the Secretary.                  can be either—                                        through December 31, 2015.
                                                   (4) Projects that focus on a specific                   (i) A consortium agreement that meets              FOR FURTHER INFORMATION CONTACT:
                                                activity authorized in section 7121(c) of               the requirements of 34 CFR 75.128, if                 LaKeshia Keys, CRB Program Specialist,
                                                the ESEA as designated by the Secretary                 each of the entities are eligible entities            by telephone at (202) 707–7658 or by
                                                in the notice inviting applications.                    under this program; or                                email at crb@loc.gov.
                                                   (5) Projects that include either—                       (ii) Another form of partnership
                                                   (i) An LEA that is eligible under the                                                                      SUPPLEMENTARY INFORMATION: The
                                                                                                        agreement, such as a memorandum of                    satellite carrier compulsory license
                                                Small Rural School Achievement                          understanding or a memorandum of
                                                (SRSA) program or the Rural and Low-                                                                          establishes a statutory copyright
                                                                                                        agreement, if not all the partners are                licensing scheme for the retransmission
                                                Income School (RLIS) program                            eligible entities under this program.
                                                authorized under title VI, part B of the                                                                      of distant television programming by
                                                                                                           (3) A plan, which includes                         satellite carriers. 17 U.S.C. 119.
                                                ESEA; or                                                measurable objectives, to evaluate
                                                   (ii) A BIE-funded school that is                                                                           Congress created the license in 1988 and
                                                                                                        reaching the project goal or goals.                   has reauthorized the license for
                                                located in an area designated with
                                                locale code of either 42 or 43 as                       § 263.23 What is the Federal requirement              additional five-year periods, most
                                                designated by the U.S. Census Bureau.                   for Indian hiring preference that applies to          recently with the passage of the STELA
                                                                                                        these grants?                                         Reauthorization Act of 2014, Public Law
                                                (Authority: 20 U.S.C. 7426, 7441, and 7473)                                                                   113–200.
                                                                                                          (a) Awards that are primarily for the
                                                § 263.22 What are the application                       benefit of Indians are subject to the                    On August 31, 2010, the Copyright
                                                requirements for these grants?                          provisions of section 7(b) of the Indian              Royalty Judges (Judges) adopted rates
                                                  (a) Each application must contain—                    Self-Determination and Education                      for the section 119 compulsory license
                                                  (1) A description of how Indian tribes                Assistance Act (Pub. L. 93–638). That                 for the 2010–2014 term. See 75 FR
                                                and parents of Indian children have                     section requires that, to the greatest                53198. The rates were proposed by
                                                been, and will be, involved in                          extent feasible, a grantee—                           Copyright Owners and Satellite
                                                developing and implementing the                           (1) Give to Indians preferences and                 Carriers 1 and were unopposed. Id.
                                                proposed activities;                                    opportunities for training and                        Section 119(c)(2) of the Copyright Act
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                                                  (2) Assurances that the applicant will                employment in connection with the                     provides that, effective January 1 of each
                                                participate, at the request of the                      administration of the grant; and                      year, the Judges shall adjust the royalty
                                                Secretary, in any national evaluation of                  (2) Give to Indian organizations and to
                                                                                                                                                                1 Program Suppliers and Joint Sports Claimants
                                                this program;                                           Indian-owned economic enterprises, as
                                                                                                                                                              comprised the Copyright Owners while DIRECTV,
                                                  (3) Information demonstrating that the                defined in section 3 of the Indian                    Inc., DISH Network, LLC, and National
                                                proposed project is based on scientific                 Financing Act of 1974 (25 U.S.C.                      Programming Service, LLC, comprised the Satellite
                                                research, where applicable, or an                       1452(e)), preference in the award of                  Carriers.



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Document Created: 2015-12-16 08:27:19
Document Modified: 2015-12-16 08:27:19
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal regulations.
DatesThese regulations are effective May 22, 2015.
ContactJohn Cheek, U.S. Department of Education, 400 Maryland Avenue SW., Room 3W207, Washington, DC 20202- 6135. Telephone: (202) 401-0274 or by email: [email protected]
FR Citation80 FR 22403 
RIN Number1810-AB19
CFR AssociatedBusiness and Industry; Colleges and Universities; Elementary and Secondary Education; Grant Programs-Education; Grant Program-Indians; Indians-Education; Reporting and Recordkeeping Requirements and Scholarships and Fellowships

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