Child Nutrition Programs: Uniform Federal Assistance Regulations; Nondiscretionary Technical Amendments, 39513-39520 [06-6185]
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39513
Rules and Regulations
Federal Register
Vol. 71, No. 134
Thursday, July 13, 2006
This section of the FEDERAL REGISTER
contains regulatory documents having general
applicability and legal effect, most of which
are keyed to and codified in the Code of
Federal Regulations, which is published under
50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by
the Superintendent of Documents. Prices of
new books are listed in the first FEDERAL
REGISTER issue of each week.
DEPARTMENT OF AGRICULTURE
Food and Nutrition Service
7 CFR Parts 210, 215, 220, 225, 226 and
235
RIN 0584–AD16
Child Nutrition Programs: Uniform
Federal Assistance Regulations;
Nondiscretionary Technical
Amendments
Food and Nutrition Service,
USDA.
ACTION: Final rule.
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AGENCY:
SUMMARY: This final rule makes
technical changes to the regulations
governing the National School Lunch
Program, the Special Milk Program for
Children, the School Breakfast Program,
the Summer Food Service Program, the
Child and Adult Care Food Program and
State Administrative Expense Funds.
The United States Department of
Agriculture (USDA), Food and Nutrition
Service (FNS) is revising its grants
management regulations to bring these
entitlement programs and their funds
under the same regulations that already
apply to nonentitlement programs, and
to identify exceptions to these general
rules that apply only to entitlement
programs. This final rule is intended to
update FNS program regulations,
reflecting the revision of USDA’s grants
management regulations which brought
entitlement programs under the same
regulations that already applied to
nonentitlement programs. In addition,
this final rule also revises references to
procurement and audit procedures in
FNS’s program regulations.
DATES: Effective September 11, 2006.
FOR FURTHER INFORMATION CONTACT:
Melissa Rothstein, Chief, Program
Analysis and Monitoring Branch, Child
Nutrition Division, Food and Nutrition
Service, 3101 Park Center Drive, Room
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634, Alexandria, VA 22302, (703) 305–
2590.
SUPPLEMENTARY INFORMATION:
Background
Prior to August 14, 2000, the
administrative requirements for awards
and subawards for all USDA entitlement
programs were located in 7 CFR part
3015, Uniform Federal Assistance
Regulations. Those programs covered by
7 CFR part 3015 included the National
School Lunch Program (NSLP), the
School Breakfast Program (SBP), the
Summer Food Service Program (SFSP),
the Child and Adult Care Food Program
(CACFP), the Special Milk Program for
Children (SMP), and State
Administrative Expense Funds (SAE).
The corresponding requirements for
awards and subawards to State and local
governmental organizations under
USDA nonentitlement programs were
found at subparts A through D of 7 CFR
part 3016, Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. The administrative
requirements for awards and subawards
to nongovernmental, non-profit
organizations were found at 7 CFR part
3019, Uniform Administrative
Requirements for Grants and
Agreements With Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations.
On August 14, 2000, USDA published
a final rule at 65 FR 49474 revising the
Department’s grants management
regulations to bring its entitlement
programs under the same regulations
that already applied to nonentitlement
programs. The rule expanded the scope
of 7 CFR part 3016 and 7 CFR part 3019
to include entitlement programs and
deleted administrative requirements for
awards and subawards under such
programs from the scope of 7 CFR part
3015. It also established, in subpart E to
7 CFR part 3016, certain exceptions to
the general administrative requirements
that apply only to the entitlement
programs.
This final rule makes technical
changes to the program regulations
governing the NSLP (7 CFR part 210),
SMP (7 CFR part 215), SBP (7 CFR part
220), SFSP (7 CFR part 225), CACFP (7
CFR part 226) and SAE (7 CFR part 235)
by incorporating those changes made in
the August 14, 2000 final rule, and
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revising references to procurement and
audit procedures.
Previously, program regulations
required that State agencies, school food
authorities, sponsors and institutions
comply with the requirements of 7 CFR
part 3015 concerning the procurement
of supplies, food, equipment and other
services with program funds. As a result
of the August 14, 2000 grants
management rule, the requirements for
procurement procedures are now
governed by 7 CFR part 3016 and 7 CFR
part 3019, as applicable. This final rule
changes program regulations at 7 CFR
part 210.21(c), 7 CFR part 215.14a(c), 7
CFR part 220.16(c), 7 CFR part
225.17(a), 7 CFR part 226.22(c), 7 CFR
part 235.9(a), 7 CFR part 235.9(c) and 7
CFR part 235.9(d) to reflect this change.
Furthermore, program regulations
regarding audit procedures previously
required that State agencies, school food
authorities and institutions comply with
the requirements of 7 CFR part 3015
concerning the audit requirements for
recipients and subrecipients of the
Department’s financial assistance. This
final rule makes technical revisions to 7
CFR part 210.22(a), 7 CFR part
215.13(a), 7 CFR part 220.15(a), 7 CFR
part 225.10(a), and 7 CFR part 235.8(a)
to replace reference to 7 CFR part 3015
with reference to 7 CFR part 3052,
Audits of State, Local Governments and
Nonprofit Organizations.
Specific Changes
• Revises the definition of 7 CFR part
3015 in 7 CFR parts 210, 215, 220, 225,
226 and 235.
• Adds definitions of 7 CFR part 3016
and 7 CFR part 3019 to 7 CFR parts 210,
215, 220, 225, 226 and 235.
• Removes the definition of 7 CFR
part 3017 wherever it appears, because
this definition is no longer applicable.
• Adds a definition of 7 CFR part
3052 to 7 CFR parts 225 and 226.
• Amends procurement and audit
procedures.
Definition of 7 CFR Part 3015
One of the purposes of this final rule
is to revise the definition of 7 CFR part
3015 in 7 CFR parts 210, 215, 220, 225,
226 and 235. This revision notes the
applicability of 7 CFR part 3015 with
regards to competition for discretionary
grants and cooperative agreements, costs
requiring prior approval,
acknowledgement of USDA in support
of publications and audiovisuals
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Federal Register / Vol. 71, No. 134 / Thursday, July 13, 2006 / Rules and Regulations
produced under USDA programs,
intergovernmental review of USDA
programs, and certain miscellaneous
USDA requirements.
conducted in accordance with Office of
Management and Budget Circular A–133
and the Department’s implementing
regulations at 7 CFR part 3052.
Definition of 7 CFR Part 3016
A new definition, 7 CFR part 3016, is
added by this final rule to 7 CFR parts
210, 215, 220, 225, 226 and 235. 7 CFR
part 3016 refers to the Department’s
Uniform Administrative Requirements
for Grants and Cooperative Agreements
to State and Local Governments.
Awards and subawards to State and
local governmental organizations under
USDA programs are also covered under
7 CFR part 3016.
Executive Order 12866
This final rule has been determined to
be not significant for purposes of
Executive Order 12866 and therefore
has not been reviewed by the Office of
Management and Budget.
Definition of 7 CFR Part 3019
A new definition, 7 CFR part 3019, is
added by this final rule to 7 CFR parts
210, 215, 220, 225, 226 and 235. 7 CFR
part 3019 refers to the Department’s
Uniform Administrative Requirements
for Grants and Agreements with
Institutions of Higher Education,
Hospitals, and Other Non-Profit
Organizations. Requirements for awards
and subawards to nongovernmental,
non-profit organizations are also
covered under 7 CFR part 3019.
Definition of 7 CFR Part 3052
A new definition, 7 CFR part 3052, is
added by this final rule to 7 CFR parts
225 and 226. 7 CFR part 3052 refers to
the Department’s regulations
implementing OMB Circular A–133.
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Procurement Procedure
This final rule amends the
procurement procedures outlined in 7
CFR part 210.21(c), 7 CFR part
215.14a(c), 7 CFR part 220.16(c), 7 CFR
part 225.17(a) and 7 CFR part 226.22(c)
stating that the school food authority,
sponsor or institution, as applicable,
may use its own procurement
procedures which reflect applicable
State and local laws and regulations,
provided that procurements made with
Program funds adhere to the standards
set forth in 7 CFR part 3016 or 7 CFR
part 3019, as applicable. This final rule
also amends 7 CFR part 235.9(a) and 7
CFR part 235.9(c) to require State
agencies to comply with the
procurement procedures of 7 CFR part
3016.
Audits
This final rule amends the audit
procedures outlined in 7 CFR part
210.22(a), 7 CFR part 215.13(a), 7 CFR
part 220.15(a), 7 CFR part 225.10(a), and
7 CFR part 235.8(a). According to these
procedures, unless otherwise exempt,
audits at the State, school food authority
and institution levels shall be
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Regulatory Impact Analysis
Need for Action
This action is needed because of
changes to Departmental regulations on
grants management. The Departmental
regulations on entitlement programs are
now under the same regulations that
already apply to nonentitlement
programs. In addition, this action
identifies exceptions to these general
rules that apply only to entitlement
programs.
Benefits
The change simplifies grants
management regulations for all
recipients and is consistent with
Departmental policy.
Costs
These revisions in grants management
requirements will have no cost to grant
recipients.
Regulatory Flexibility Act
This final rule has been reviewed
with regard to the requirements of the
Regulatory Flexibility Act (5 U.S.C.
601–612). Roberto Salazar,
Administrator of the Food and Nutrition
Service, has certified that this rule will
not have a significant economic impact
on a substantial number of small
entities. This final rule will affect
recipients of entitlement programs by
placing their grants management
requirements under the same
regulations that already apply to
nonentitlement programs. Uniform
requirements will ease the overall
administrative burden on recipients.
Unfunded Mandates Reform Act
Title II of the Unfunded Mandates
Reform Act of 1995 (UMRA), Public
Law 104–4, establishes requirements for
Federal agencies to assess the effects of
their regulatory actions on State, local,
and tribal governments and the private
sector. Under section 202 of the UMRA,
the Department generally must prepare
a written statement, including a costbenefit analysis, for proposed and final
rules with ‘‘Federal mandates’’ that may
result in expenditures of $100 million or
more in any one year by State, local, or
tribal governments, in the aggregate, or
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by the private sector, of $100 million or
more in any one year. When such a
statement is needed for a rule, section
205 of the UMRA generally requires the
Department to identify and consider a
reasonable number of regulatory
alternatives and adopt the least costly,
more cost-effective or least burdensome
alternative that achieves the objectives
of the rule.
This final rule contains no Federal
mandates (under the regulatory
provisions of Title II of the UMRA) that
impose costs on State, local, or tribal
governments or to the private sector of
$100 million or more in any one year.
This final rule is, therefore, not subject
to the requirements of sections 202 and
205 of the UMRA.
Executive Order 12372
The National School Lunch Program,
Special Milk Program for Children, and
School Breakfast Program are listed in
the Catalog of Federal Domestic
Assistance under No. 10.555, 10.556
and 10.553, respectively. The Child and
Adult Care Food Program, the Summer
Food Service Program, and the State
Administrative Expense Funds are
listed under No. 10.558, No. 10.559 and
No. 10.560, respectively. For reasons set
forth in the final rule in 7 CFR part
3015, subpart V and related Notice (48
FR 29115), these programs are included
in the scope of Executive Order 12372,
which requires intergovernmental
consultation with State and local
officials.
Federalism Summary Impact Statement
Executive Order 13132 requires
Federal agencies to consider the impact
of their regulatory actions on State and
local governments. Where such actions
have federalism implications, agencies
are directed to provide a statement for
inclusion in the preamble to the
regulations describing the agency’s
considerations in terms of the three
categories called for under section
(6)(b)(2)(B) of Executive Order 13132.
FNS has considered the impact of this
rule on State and local governments and
has determined that this rule does not
have Federalism implications. This final
rule does not impose substantial or
direct compliance costs on State and
local governments. Therefore, under
Section 6(b) of the Executive Order, a
federalism summary impact statement is
not required.
Executive Order 12988
This final rule has been reviewed
under Executive Order 12988, Civil
Justice Reform. This final rule is
intended to have preemptive effect with
respect to any State or local laws,
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regulations or policies which conflict
with its provisions or which would
impede its full implementation. This
final rule is not intended to have
retroactive effect unless that is specified
in the DATES section of this preamble.
Prior to any judicial challenge to the
provisions of this final rule or the
application of its provisions, all
applicable administrative procedures
must be exhausted.
Civil Rights Impact Analysis
FNS has reviewed this final rule in
accordance with the Department
Regulation 4300–4, ‘‘Civil Rights Impact
Analysis,’’ to identify and address any
major civil rights impacts the final rule
might have on minorities, women, and
persons with disabilities. After a careful
review of the rule’s intent and
provisions, FNS has determined that
this final rule will not in any way limit
or reduce participants’ ability to
participate in the Child Nutrition
Programs on the basis of an individual’s
or group’s race, color, national origin,
sex, age, or disability. FNS found no
factors that would negatively and
disproportionately affect any group of
individuals.
Paperwork Reduction Act
The Paperwork Reduction Act of 1995
(44 U.S.C. Chapter 35; see 5 CFR 1320)
requires that the Office of Management
and Budget (OMB) approve all
collections of information by a Federal
agency before they can be implemented.
Respondents are not required to respond
to any collection of information unless
it displays a current valid OMB control
number. This final rule does not contain
any information collection requirements
subject to approval by OMB under the
Paperwork Reduction Act of 1995.
Existing information collections have
been approved under the following
OMB control numbers: For the National
School Lunch Program—0584–0006; for
the Special Milk Program for Children—
0584–0005; for the School Breakfast
Program—0584–0012; for the Summer
Food Service Program—0584–0280; for
the Child and Adult Care Food
Program—0584–0055; and for State
Administrative Expense Funds—0584–
0067.
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Government Paperwork Elimination
Act
FNS is committed to compliance with
the Government Paperwork Elimination
Act (GPEA), which requires Government
agencies to provide the public the
option of submitting information or
transacting business electronically to
the maximum extent possible. This rule
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does not require the submission of
additional information.
Public Participation
This action is being finalized without
prior notice or public comment under
authority of 5 U.S.C. 553(b)(3)(A) and
(B) because it only revises references to
procurement and audit procedures in
the Child Nutrition Programs. Thus, the
Department has determined in
accordance with 5 U.S.C. 553(b) that
Notice of Proposed Rulemaking and
Opportunity for Public Comments is
unnecessary and contrary to the public
interest and, in accordance with 5
U.S.C. 553(d), finds that good cause
exists for making this action effective
without prior public comment.
39515
Accordingly, 7 CFR parts 210, 215,
220, 225, 226 and 235 are amended as
follows:
I
PART 210—NATIONAL SCHOOL
LUNCH PROGRAM
1. The authority citation for 7 CFR
part 210 continues to read as follows:
I
Authority: 42 U.S.C. 1751–1760, 1779.
List of Subjects
2. In § 210.2:
a. Revise the definition of 7 CFR part
3015;
I b. Remove the definition of 7 CFR part
3017; and
I c. Add new definitions, 7 CFR part
3016 and 7 CFR part 3019 in
alphabetical order.
The additions and revision read as
follows:
7 CFR Part 210
§ 210.2
Children, Commodity School
Program, Food assistance programs,
Grants programs—social programs,
National School Lunch Program,
Nutrition, Reporting and recordkeeping
requirements, Surplus agricultural
commodities.
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Definitions.
Accounting, Aged, Day care, Food and
Nutrition, Food assistance programs,
Grant programs. Grant programs—
health, American Indians, Individuals
with disabilities, Infants and children,
Intergovernmental relations, Loan
programs, Reporting and recordkeeping
requirements, Surplus agricultural
commodities.
*
*
*
*
7 CFR part 3015 means the Uniform
Federal Assistance Regulations
published by the Department to
implement certain policies applicable to
all Department programs. The
applicable provisions deal with
competition for discretionary grants and
cooperative agreements, costs requiring
prior approval, acknowledgement of
Department support in publications and
audiovisuals produced under
Department programs,
intergovernmental review of Department
programs under Executive Order 12372,
and certain miscellaneous Department
requirements.
7 CFR part 3016 means the
Department’s Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. 7 CFR part 3016
covers requirements for awards and
subawards to State and local
governmental organizations under
Department programs.
*
*
*
*
*
7 CFR part 3019 means the
Department’s Uniform Administrative
Requirements for Grants and
Agreements with Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations. 7 CFR part 3019
covers requirements for awards and
subawards to nongovernmental,
nonprofit organizations under
Department programs.
*
*
*
*
*
7 CFR Part 235
§ 210.3
Food and Nutrition Service, Food
assistance programs. Grant programs—
education; Grant programs—health,
Infants and children, Reporting and
recordkeeping requirements, School
Breakfast and Lunch Programs.
I
I
7 CFR Part 215
Food and nutrition, Food assistance
programs, Grants programs—education,
Grant programs—health, Infants and
children, Milk, Reporting and
recordkeeping.
7 CFR Part 220
Children, Food assistance programs,
Grant programs—social programs,
Nutrition, Reporting and recordkeeping
requirements, School Breakfast Program.
7 CFR Part 225
Food and nutrition, Food assistance
programs, Grant programs—health,
Infants and children, Labeling,
Reporting and recordkeeping
requirements.
7 CFR Part 226
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[Amended]
3. In § 210.3:
a. Amend the third sentence of
paragraph (b) by removing the words
‘‘part 235; part 245; parts 15, 15a, 15b,
and 3015 of Departmental regulations’’
and adding in their place the words
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‘‘parts 235 and 245 of this chapter; parts
15, 15a, 15b, 3015 and 3016 of this
title’’; and
I b. Amend the second sentence of
paragraph (d) by removing the words
‘‘part 245; parts 15, 15a, 15b, and 3015
of Departmental regulations’’ and
adding in their place the words ‘‘part
245 of this chapter; parts 15, 15a, 15b,
and 3016 or 3019, as applicable, of this
title’’.
§ 210.5
[Amended]
4. In § 210.5:
a. Amend the second sentence of
paragraph (a) by removing the words ‘‘7
CFR part 3015’’ and adding in their
place the words ‘‘7 CFR part 3016’’.
I b. Amend the last sentence of
paragraph (d)(3) by removing the words
‘‘7 CFR part 3015’’ and adding in their
place the words ‘‘7 CFR part 3016’’.
I
I
§ 210.9
[Amended]
5. In § 210.9, amend paragraph (b)(4)
by removing the words ‘‘7 CFR part
3015’’ and adding in their place the
words ‘‘7 CFR part 3015 and 7 CFR part
3016, or 7 CFR part 3019, as
applicable’’.
I
§ 210.19
[Amended]
6. In § 210.19, amend the second
sentence of paragraph (a)(2) by
removing the words ‘‘, as applicable, 7
CFR part 3015’’ and adding in their
place the words ‘‘7 CFR part 3015 and
7 CFR part 3016, or 7 CFR part 3019, as
applicable’’.
I 7. In § 210.21,
I a. Amend the first sentence of
paragraph (a) by removing the words ‘‘7
CFR part 3015’’ and adding in their
place the words ‘‘7 CFR part 3016 or 7
CFR part 3019, as applicable,’’.
I b. Amend the first sentence of
paragraph (b) by removing the words ‘‘7
CFR part 3015’’ and adding in their
place the words ‘‘this part and 7 CFR
part 3015, 7 CFR part 3016 and 7 CFR
part 3019, as applicable,’’.
I c. Revise paragraph (c).
The revision reads as follows:
I
§ 210.21
Procurement.
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(c) Procurement procedure. State
agencies or school food authorities may
use their own procedures for
procurement with program funds to the
extent that:
(1) Procurements by public school
food authorities comply with applicable
State and local laws and the standards
set forth in 7 CFR part 3016; and
(2) Procurements by nonprofit private
school food authorities comply with the
standards set forth in 7 CFR part 3019.
*
*
*
*
*
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§ 210.22
Audits.
(a) General. Unless otherwise exempt,
audits at the State and school food
authority levels shall be conducted in
accordance with Office of Management
and Budget Circular A–133 and the
Department’s implementing regulations
at 7 CFR part 3052. For availability of
the OMB Circular mentioned in this
paragraph, please refer to 5 CFR 1310.3.
*
*
*
*
*
§ 210.24
[Amended]
9. In § 210.24, amend the first
sentence by removing the words
‘‘§ 3015.103 of this title’’ and adding in
their place the words ‘‘7 CFR part 3016
and 7 CFR part 3019, as applicable’’.
I
§ 210.25
[Amended]
10. In § 210.25:
a. Amend the third sentence by
removing the words ‘‘the Department’s
Uniform Federal Assistance
Regulations, 7 CFR part 3015, subpart
N’’ and adding in their place the words
‘‘7 CFR part 3016’’; and
I b. Amend the fourth sentence by
adding, after the word ‘‘provisions’’, the
words ‘‘, or the parallel provisions of 7
CFR part 3019, as applicable,’’.
I
I
PART 215—SPECIAL MILK PROGRAM
FOR CHILDREN
1. The authority citation for 7 CFR
part 215 continues to read as follows:
I
Authority: 42 U.S.C. 1772 and 1779.
2. In § 215.2:
a. Revise paragraph (x–1);
b. Remove paragraph (x–2);
c. Redesignate paragraph (x–4) and
(x–5) as paragraphs (x–5) and (x–6),
respectively; and
I d. Add new paragraphs (x–2) and (x–
4).
The additions and revision read as
follows:
I
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§ 215.2
Definitions.
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8. In § 210.22, revise paragraph (a) to
read as follows:
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*
*
*
(x–1) 7 CFR part 3015 means the
Uniform Federal Assistance Regulations
published by the Department to
implement certain policies applicable to
all Department programs. The
applicable provisions deal with
competition for discretionary grants and
cooperative agreements, costs requiring
prior approval, acknowledgement of
Department support in publications and
audiovisuals produced under
Department programs,
intergovernmental review of Department
programs under Executive Order 12372,
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and certain miscellaneous Department
requirements.
(x–2) 7 CFR part 3016 means the
Department’s Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. 7 CFR part 3016
covers requirements for awards and
subawards to State and local
governmental organizations under
Department programs.
*
*
*
*
*
(x–4) 7 CFR part 3019 means the
Department’s Uniform Administrative
Requirements for Grants and
Agreements with Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations. 7 CFR part 3019
covers requirements for awards and
subawards to nongovernmental,
nonprofit organizations under
Department programs.
*
*
*
*
*
I 3. In § 215.3, the first sentence of
paragraph (d) is revised to read as
follows:
§ 215.3
Administration.
*
*
*
*
*
(d) Each State agency desiring to take
part in the Program shall enter into a
written agreement with the Department
for the administration of the Program in
the State in accordance with the
provisions of this part, 7 CFR parts 235,
245, 15, 15a, 15b and, as applicable, 7
CFR part 3015, 7 CFR part 3016 and 7
CFR part 3019, and with FNS
Instructions. * * *
*
*
*
*
*
I 4. In § 215.13:
I a. Revise paragraph (a);
I b. Remove paragraph (b) and
redesignate paragraphs (c) and (d) as
paragraphs (b) and (c), respectively; and
I c. Amend newly designated paragraph
(b) by removing the word ‘‘OA’’
wherever it appears and adding in its
place the word ‘‘OIG’’.
The revision reads as follows:
§ 215.13
audits.
Management evaluations and
(a) Unless otherwise exempt, audits at
the State and school food authority/
child care institution levels shall be
conducted in accordance with Office of
Management and Budget Circular A–133
and the Department’s implementing
regulations at 7 CFR part 3052. For
availability of the OMB Circular
mentioned in this paragraph, please
refer to 5 CFR 1310.3.
*
*
*
*
*
I 5. In § 215.14a:
I a. Amend the first sentence of
paragraph (a) by removing the words
‘‘the Office of Management and Budget
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(OMB) Circular A–102 and the
Department’s Uniform Federal
Assistance Regulations, 7 CFR part
3015, subpart S (46 FR 55658)’’ and
adding in their place the words ‘‘this
part and 7 CFR part 3015, 7 CFR part
3016 and 7 CFR part 3019, as
applicable,’’;
I b. Amend the first sentence of
paragraph (b) by removing the words
‘‘OMB Circular A–102 and 7 CFR part
3015’’ and adding in their place the
words ‘‘this part and 7 CFR part 3015,
7 CFR part 3016 and 7 CFR part 3019,
as applicable’’; and
I c. Revise paragraph (c).
The revision reads as follows:
§ 215.14a
Procurement standards.
*
*
*
*
*
(c) Procurement procedure. State
agencies, school food authorities or
child care institutions may use their
own procedures for procurement with
Program funds to the extent that:
(1) Procurements by public school
food authorities/child care institutions
comply with applicable State or local
laws and the standards set forth in this
part and in 7 CFR part 3016 and 7 CFR
part 3019, as applicable; and
(2) Procurements by nonprofit private
school food authorities/child care
institutions comply with standards set
forth in 7 CFR part 3019.
*
*
*
*
*
§ 215.15
[Amended]
6. In § 215.15:
a. Amend the third sentence by
removing the words ‘‘the Department’s
Uniform Federal Assistance
Regulations, 7 CFR part 3015, subpart
N’’ and adding in their place the words
‘‘7 CFR part 3016’’.
I b. Amend the fourth sentence by
adding, after the word ‘‘provisions’’, the
words ‘‘, or the parallel provisions of 7
CFR part 3019, as applicable,’’.
I
I
PART 220—SCHOOL BREAKFAST
PROGRAM
1. The authority citation for 7 CFR
part 220 continues to read as follows:
I
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§ 220.2
*
*
Definitions.
*
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*
*
17:17 Jul 12, 2006
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I
§ 220.3
*
Administration.
*
*
*
*
*
(e) Each State agency desiring to take
part in any of the programs shall enter
into a written agreement with the
Department for the administration of the
Program in the State in accordance with
the provisions of this part, 7 CFR parts
235, 245, 15, 15a, 15b and, as
applicable, 7 CFR part 3015, 7 CFR part
3016 and 7 CFR part 3019, and with
FNS Instructions.* * *
*
*
*
*
*
[Amended]
4. In § 220.13, amend the second
sentence of paragraph (i) by removing
the words ‘‘, as applicable, the cost
principles contained in OMB Circular
A–87 and 7 CFR part 3015’’ and adding
in their place the words ‘‘7 CFR part
3015, and 7 CFR part 3016 or 7 CFR part
3019, as applicable’’.
I 5. In § 220.15:
I a. Revise paragraph (a);
I b. Remove paragraph (b) and
redesignate paragraphs (c) and (d) as
paragraphs (b) and (c), respectively; and
I
2. In § 220.2:
a. Revise paragraph (x–1);
b. Remove paragraph (x–2);
c. Redesignate paragraph (x–4) as
paragraph (x–5); and
I d. Add new paragraphs (x–2) and (x–
4).
The additions and revision read as
follows:
I
I
I
I
c. Amend newly redesignated
paragraph (b) by removing the word
‘‘OA’’ each time it appears and adding
in its place the word ‘‘OIG’’.
The revision reads as follows:
(x–1) 7 CFR part 3015 means the
Uniform Federal Assistance Regulations
published by the Department to
implement certain policies applicable to
all Department programs. The
applicable provisions deal with
competition for discretionary grants and
cooperative agreements, costs requiring
prior approval, acknowledgement of
Department support in publications and
audiovisuals produced under
Department programs,
intergovernmental review of Department
programs under Executive Order 12372,
and certain miscellaneous Department
requirements.
(x–2) 7 CFR part 3016 means the
Department’s Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. 7 CFR part 3016
covers requirements for awards and
subawards to State and local
governmental organizations under
Department programs.
*
*
*
*
*
(x–4) 7 CFR part 3019 means the
Department’s Uniform Administrative
Requirements for Grants and
Agreements with Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations. 7 CFR part 3019
covers requirements for awards and
subawards to nongovernmental,
nonprofit organizations under
Department programs.
*
*
*
*
*
I 3. In § 220.3, revise the first sentence
of paragraph (e) to read as follows:
§ 220.13
Authority: 42 U.S.C. 1773, 1779, unless
otherwise noted.
39517
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Frm 00005
Fmt 4700
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§ 220.15
audits.
Management evaluations and
(a) Unless otherwise exempt, audits at
the State and institution levels shall be
conducted in accordance with Office of
Management and Budget Circular A–133
and the Department’s implementing
regulations at 7 CFR part 3052. For
availability of the OMB Circular
mentioned in this paragraph, please
refer to 5 CFR 1310.3.
*
*
*
*
*
6. In § 220.16:
a. Amend the first sentence of
paragraph (a) by removing the words
‘‘the Office of Management and Budget
(OMB) Circular A–102 and the
Department’s Uniform Federal
Assistance Regulations, 7 CFR part
3015, subpart S (46 FR 55658)’’ and
adding in their place the words ‘‘7 CFR
part 3016 or 7 CFR part 3019, as
applicable,’’;
I b. Amend the first sentence of
paragraph (b) by removing the words
‘‘OMB Circular A–102 and 7 CFR 3015’’
and adding in their place the words ‘‘7
CFR part 3016 or 7 CFR part 3019, as
applicable’’; and
I c. Revise paragraph (c).
The revision reads as follows:
I
I
§ 220.16
Procurement standards.
*
*
*
*
(c) Procurement procedure. State
agencies or school food authorities may
use their own procedures for
procurement with program funds to the
extent that:
(1) Procurements by public school
food authorities comply with applicable
State or local laws and standards set
forth in 7 CFR part 3016; and
(2) Procurements by nonprofit private
school food authorities comply with
standards set forth in 7 CFR part 3019.
*
*
*
*
*
§ 220.18
[Amended]
7. In § 220.18:
I a. Amend the third sentence by
removing the words ‘‘the Department’s
Uniform Federal Assistance
Regulations, 7 CFR part 3015, subpart
N’’ and adding in their place the words
‘‘7 CFR part 3016’’; and
I b. Amend the fourth sentence by
adding, after the word ‘‘provisions’’, the
words ‘‘, or the parallel provisions of 7
CFR part 3019, as applicable,’’.
I
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Federal Register / Vol. 71, No. 134 / Thursday, July 13, 2006 / Rules and Regulations
PART 225—SUMMER FOOD SERVICE
PROGRAM
1. The authority citation for 7 CFR
part 225 is revised to read as follows:
I
Authority: Secs. 9, 13 and 14, Richard B.
Russell National School Lunch Act, as
amended (42 U.S.C. 1758, 1761 and 1762a).
2. In § 225.2, new definitions, 7 CFR
part 3015, 7 CFR part 3016, 7 CFR part
3019, and 7 CFR part 3052, are added
in alphanumerical order.
The additions read as follows:
I
§ 225.2
Definitions.
*
*
*
*
*
7 CFR part 3015 means the Uniform
Federal Assistance Regulations
published by the Department to
implement certain policies applicable to
all Department programs. The
applicable provisions deal with
competition for discretionary grants and
cooperative agreements, costs requiring
prior approval, acknowledgement of
Department support in publications and
audiovisuals produced under
Department programs,
intergovernmental review of Department
programs under Executive Order 12372,
and certain miscellaneous Department
requirements.
7 CFR part 3016 means the
Department’s Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. 7 CFR part 3016
covers requirements for awards and
subawards to State and local
governmental organizations under
Department programs.
7 CFR part 3019 means the
Department’s Uniform Administrative
Requirements for Grants and
Agreements with Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations. 7 CFR part 3019
covers requirements for awards and
subawards to nongovernmental,
nonprofit organizations under
Department programs.
7 CFR part 3052 means the
Department’s regulations implementing
OMB Circular A–133. (To obtain the
OMB circular referenced in this
definition, see 5 CFR 1310.3.)
*
*
*
*
*
§ 225.7
[Amended]
3. In § 225.10, amend paragraph (a) by
removing the first sentence and by
revising the second sentence, to read as
set forth below.
I 4. In § 225.7, amend the first sentence
of paragraph (f) by removing the words
‘‘the Department’s Uniform Financial
Assistance Regulations (7 CFR part
3015)’’ and adding in their place the
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I
VerDate Aug<31>2005
17:17 Jul 12, 2006
Jkt 208001
words ‘‘7 CFR part 3015, and 7 CFR part
3016 or 7 CFR part 3019, as
applicable,’’.
Authority: Secs. 9, 11, 14, 16, and 17,
Richard B. Russell National School Lunch
Act, as amended (42 U.S.C. 1758, 1759a,
1762a, 1765 and 1766).
§ 225.10 Audits and management
evaluations.
2. In § 226.2:
a. New definitions, 7 CFR part 3015,
7 CFR part 3016, 7 CFR part 3019, and
7 CFR part 3052, are added in
alphabetical order; and
I b. The definition of Uniform Federal
Assistance Regulations is removed.
The additions read as follows:
(a) * * * Unless otherwise exempt,
audits at the State and sponsor levels
shall be conducted in accordance with
OMB Circular A–133 and the
Department’s implementing regulations
at 7 CFR part 3052. (To obtain the OMB
circular referenced in this paragraph,
see 5 CFR 1310.3.) * * *
*
*
*
*
*
I 5. In § 225.17:
I a. Revise paragraph (a);
I b. Amend paragraph (b) by removing
the words ‘‘7 CFR part 3015’’ and
adding in their place the words ‘‘7 CFR
part 3016 or 7 CFR part 3019, as
applicable’’.
I c. Amend the introductory text of
paragraph (d) by removing the words
‘‘all sponsors are’’ and adding in their
place the words ‘‘each sponsor is’’ and
by removing the words ‘‘7 CFR part
3015’’ and adding in their place the
words ‘‘7 CFR part 3016 or 7 CFR part
3019, as applicable’’.
The revision reads as follows:
§ 225.17
Procurement standards.
(a) State agencies and sponsors shall
comply with the requirements of 7 CFR
part 3016 or 7 CFR part 3019, as
applicable, concerning the procurement
of supplies, food, equipment and other
services with Program funds. These
requirements ensure that such materials
and services are obtained for the
program efficiently and economically
and in compliance with applicable laws
and executive orders. Sponsors may use
their own procedures for procurement
with Program funds to the extent that:
(1) Procurements by public sponsors
comply with applicable State or local
laws and the standards set forth in 7
CFR part 3016; and
(2) Procurements by private nonprofit
sponsors comply with standards set
forth in 7 CFR part 3019.
*
*
*
*
*
§ 225.18
[Amended]
6. In § 225.18, amend paragraph (a) by
removing the words ‘‘the Department’s
Uniform Federal Assistance Regulations
(7 CFR part 3015), subpart N’’ and
adding in their place the words ‘‘7 CFR
part 3016 or 7 CFR part 3019, as
applicable’’.
I
PART 226—CHILD AND ADULT CARE
FOOD PROGRAM
1. The authority citation for 7 CFR
part 226 continues to read as follows:
I
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Fmt 4700
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I
I
§ 226.2
Definitions.
*
*
*
*
*
7 CFR part 3015 means the Uniform
Federal Assistance Regulations
published by the Department to
implement certain policies applicable to
all Department programs. The
applicable provisions deal with
competition for discretionary grants and
cooperative agreements, costs requiring
prior approval, acknowledgement of
Department support in publications and
audiovisuals produced under
Department programs,
intergovernmental review of Department
programs under Executive Order 12372,
and certain miscellaneous Department
requirements.
7 CFR part 3016 means the
Department’s Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. 7 CFR part 3016
covers requirements for awards and
subawards to State and local
governmental organizations under
USDA programs.
7 CFR part 3019 means the
Department’s Uniform Administrative
Requirements for Grants and
Agreements with Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations. 7 CFR part 3019
covers requirements for awards and
subawards to nongovernmental,
nonprofit organizations.
7 CFR part 3052 means the
Department’s regulations implementing
OMB Circular A–133. (To obtain the
OMB circular referenced in this
definition, see 5 CFR 1310.3.)
*
*
*
*
*
I 3. In § 226.4, revise paragraph (j) to
read as follows:
§ 226.4
funds.
Payments to States and use of
*
*
*
*
*
(j) Method of funding. FNS shall
authorize funds for State agencies in
accordance with 7 CFR part 3016.
*
*
*
*
*
§ 226.7
I
[Amended]
4. In § 226.7:
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Federal Register / Vol. 71, No. 134 / Thursday, July 13, 2006 / Rules and Regulations
a. Amend the first sentence of
paragraph (b) by removing the words
‘‘as delineated in the Uniform Federal
Assistance Regulations, at 7 CFR part
3015’’ and adding in their place the
words ‘‘in accordance with 7 CFR part
3015, 7 CFR part 3016 and 7 CFR part
3019, as applicable’’; and
I b. Amend the first sentence of
paragraph (m) by removing the words
‘‘the Uniform Federal Assistance
Regulations, 7 CFR part 3015’’ and
adding in their place the words ‘‘7 CFR
part 3015, 7 CFR part 3016 and 7 CFR
part 3019, as applicable’’.
I
§ 226.10
[Amended]
5. In § 226.10, amend paragraph (b)(4)
by removing the words ‘‘the
Department’s Uniform Federal
Assistance Regulations (7 CFR part
3015)’’ and adding in their place the
words ‘‘7 CFR part 3016 or 7 CFR part
3019, as applicable’’.
I 6. In § 226.22:
I a. Revise paragraph (c); and
I b. Revise the second sentence of
paragraph (l)(5).
The revisions read as follows:
I
§ 226.22
Procurement standards.
*
*
*
*
*
(c) Institutions may use their own
procedures for procurement with
Program funds to the extent that:
(1) Procurements by public
institutions comply with applicable
State or local laws and standards set
forth in 7 CFR part 3016;
(2) Procurements by private nonprofit
institutions comply with standards set
forth in 7 CFR part 3019; and
(3) All procurements comply with the
procurement requirements in
paragraphs (d) through (m) of this
section.
*
*
*
*
*
(l) * * *
(5) * * * These requirements are
found in § 3015.175. * * *
*
*
*
*
*
§ 226.24
[Amended]
7. Amend § 226.24 by removing the
words ‘‘the Department’s Uniform
Federal Assistance Regulations (7 CFR
part 3015)’’ and adding in their place
the words ‘‘7 CFR part 3016 or 7 CFR
part 3019, as applicable’’.
I
§ 226.25
8. In § 226.25, amend paragraph (a) by
removing the words ‘‘the Uniform
Federal Assistance Regulations’’ and
adding in their place the words ‘‘7 CFR
part 3016 or 7 CFR part 3019, as
applicable’’.
wwhite on PROD1PC61 with RULES
I
17:17 Jul 12, 2006
1. The authority citation for 7 CFR
part 235 continues to read as follows:
I
Authority: Secs. 7 and 10 of the Child
Nutrition Act of 1966, 80 Stat. 888, 889, as
amended (42 U.S.C. 1776, 1779).
2. In § 235.2:
a. Revise paragraph (q–1);
b. Remove paragraph (q–2);
c. Redesignate paragraph (q–4) as
paragraph (q–5); and
I d. Add a new paragraphs (q–2) and
(q–4).
The revision and additions read as
follows:
I
I
I
I
§ 235.2
Definitions.
*
*
*
*
*
(q–1) 7 CFR part 3015 means the
Uniform Federal Assistance Regulations
published by the Department to
implement certain policies applicable to
all Department programs. The
applicable provisions deal with
competition for discretionary grants and
cooperative agreements, costs requiring
prior approval, acknowledgement of
Department support in publications and
audiovisuals produced under USDA
programs, intergovernmental review of
Department programs under Executive
Order 12372, and certain miscellaneous
Department requirements.
(q–2) 7 CFR part 3016 means the
Department’s Uniform Administrative
Requirements for Grants and
Cooperative Agreements to State and
Local Governments. 7 CFR part 3016
covers requirements for awards and
subawards to State and local
governmental organizations under
Department programs.
*
*
*
*
*
(q–4) 7 CFR part 3019 means the
Department’s Uniform Administrative
Requirements for Grants and
Agreements with Institutions of Higher
Education, Hospitals, and Other NonProfit Organizations. 7 CFR part 3019
covers requirements for awards and
subawards to nongovernmental,
nonprofit organizations under
Department programs.
*
*
*
*
*
I 3. In § 235.3, revise the first sentence
of paragraph (b) to read as follows:
§ 235.3
Administration.
*
[Amended]
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PART 235—STATE ADMINISTRATIVE
EXPENSE FUNDS
Jkt 208001
*
*
*
*
(b) Each State agency desiring to
receive payments under this part shall
enter into a written agreement with the
Department for the administration of the
child nutrition programs in accordance
with the applicable requirements of this
part, 7 CFR parts 210, 215, 220, 225,
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Frm 00007
Fmt 4700
Sfmt 4700
39519
226, 245, 15, 15a, 15b, 3015, and 3016.
* * *
*
*
*
*
*
I 4. In § 235.8:
I a. Revise paragraph (a);
I b. Remove paragraphs (b) and (d) and
redesignate paragraphs (c) and (e) as
paragraphs (b) and (c), respectively;
I c. Amend the first sentence of newly
redesignated paragraph (b) by removing
the word ‘‘OA’’ and adding in its place
the word ‘‘OIG’’; and
I d. Amend newly redesignated
paragraph (c) by removing the word
‘‘OA’’ wherever it appears and adding in
its place the word ‘‘OIG’’.
The revision reads as follows:
§ 235.8
audits.
Management evaluations and
(a) Unless otherwise exempt, audits at
the State level shall be conducted in
accordance with Office of Management
and Budget Circular A–133, and the
Department’s implementing regulations
at 7 CFR part 3052. (To obtain the OMB
circular referenced in this definition,
see 5 CFR 1310.3.)
*
*
*
*
*
I 5. In § 235.9:
I a. Amend the first sentence of
paragraph (a) by removing the words
‘‘the Office of Management and Budget
(OMB) Circular A–102 and the
Department’s Uniform Federal
Assistance Regulations, 7 CFR part
3015, subpart S (46 FR 55658)’’ and
adding in their place the words ‘‘7 CFR
part 3016’’;
I b. Remove the second sentence of
paragraph (a);
I c. Amend the first sentence of
paragraph (b) by removing the words
‘‘OMB Circular A–102 and 7 CFR part
3015’’ and adding in their place the
words ‘‘7 CFR part 3016’’;
I d. Revise paragraph (c); and
I e. Amend paragraph (d) by removing
the words ‘‘OMB Circular A–102 and 7
CFR part 3015, subpart R (46 FR
55654)’’ and adding in their place the
words ‘‘7 CFR part 3016’’.
The revision reads as follows:
§ 235.9 Procurement and property
management standards.
*
*
*
*
*
(c) Procurement procedure. The State
agency may use its own procurement
procedures which reflect applicable
State laws and regulations, in
accordance with 7 CFR part 3016.
*
*
*
*
*
§ 235.11
[Amended]
6. In § 235.11:
a. Amend the third sentence of
paragraph (a) by removing the words ‘‘,
I
I
E:\FR\FM\13JYR1.SGM
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39520
Federal Register / Vol. 71, No. 134 / Thursday, July 13, 2006 / Rules and Regulations
as applicable, the provisions of Office of
Management and Budget Circular A–
102, Attachments F and G and 7 CFR
part 3015, subparts G and H’’ and
adding in their place the words ‘‘the
provisions of 7 CFR part 3016’’;
I b. Amend the first sentence of
paragraph (b)(5)(v) by removing the
words ‘‘7 CFR part 3015, subpart L’’ and
adding in their place the words ‘‘7 CFR
part 3016’’; and
I c. Amend paragraph (d) by removing
the words ‘‘the Department’s Uniform
Federal Assistance Regulations, 7 CFR
part 3015 subpart N’’ and adding in
their place the words ‘‘7 CFR part
3016’’.
Dated: July 5, 2006.
Roberto Salazar,
Administrator, Food and Nutrition Service.
[FR Doc. 06–6185 Filed 7–12–06; 8:45 am]
BILLING CODE 3410–30–P
NUCLEAR REGULATORY
COMMISSION
10 CFR Part 72
RIN 3150–AH93
List of Approved Spent Fuel Storage
Casks: NUHOMSHD Addition;
Withdrawal of Direct Final Rule
U.S. Nuclear Regulatory
Commission.
ACTION: Direct final rule; withdrawal.
wwhite on PROD1PC61 with RULES
AGENCY:
17:17 Jul 12, 2006
Jkt 208001
Dated at Rockville, Maryland, this 28th day
of June, 2006.
For the Nuclear Regulatory Commission.
Luis A. Reyes,
Executive Director for Operations.
[FR Doc. E6–11027 Filed 7–12–06; 8:45 am]
BILLING CODE 7590–01–P
FEDERAL RESERVE SYSTEM
12 CFR Part 201
SUMMARY: The U.S. Nuclear Regulatory
Commission (NRC) is withdrawing a
direct final rule that would have added
the Transnuclear, Inc., NUHOMSHD
cask system to the ‘‘List of Approved
Spent Fuel Storage Casks’’ to add
Certificate of Compliance No. 1030. The
NRC is taking this action because it has
received significant adverse comments
in response to an identical proposed
rule which was concurrently published
with the direct final rule.
DATES: The final rule published on May
2, 2006 (71 FR 25740) is withdrawn
effective July 13, 2006.
FOR FURTHER INFORMATION CONTACT:
Jayne M. McCausland, Office of Nuclear
Material Safety and Safeguards, U.S.
Nuclear Regulatory Commission,
Washington, DC 20555, telephone (301)
415–6219 (e-mail: jmm2@nrc.gov).
SUPPLEMENTARY INFORMATION: On May 2,
2006 (71 FR 25740), the NRC published
in the Federal Register a direct final
rule amending its regulations in 10 CFR
72.214 to add the Transnuclear, Inc.,
NUHOMS HD cask system listing
within the ‘‘List of Approved Spent Fuel
Storage Casks’’ to add Certificate of
VerDate Aug<31>2005
Compliance No. 1030. Holders of power
reactor operating licenses would have
been allowed to store spent fuel in the
NUHOMSHD cask system under a
general license. The direct final rule was
to become effective on July 17, 2006.
The NRC also concurrently published
an identical proposed rule on May 2,
2006 (71 FR 25782).
In the May 2, 2006, direct final rule,
NRC stated that if any significant
adverse comments were received, a
notice of timely withdrawal of the direct
final rule would be published in the
Federal Register. As a result, the direct
final rule would not take effect.
The NRC received significant adverse
comments on the direct final rule;
therefore, the NRC is withdrawing the
direct final rule. As stated in the May 2,
2006, direct final rule, NRC will address
the comments received on the May 2,
2006, companion proposed rule in a
subsequent final rule. The NRC will not
initiate a second comment period on
this action.
[Regulation A]
Extensions of Credit by Federal
Reserve Banks
Board of Governors of the
Federal Reserve System.
ACTION: Final rule.
AGENCY:
SUMMARY: The Board of Governors of the
Federal Reserve System (Board) has
adopted final amendments to its
Regulation A to reflect the Board’s
approval of an increase in the primary
credit rate at each Federal Reserve Bank.
The secondary credit rate at each
Reserve Bank automatically increased
by formula as a result of the Board’s
primary credit rate action.
DATES: The amendments to part 201
(Regulation A) are effective July 13,
2006. The rate changes for primary and
secondary credit were effective on the
dates specified in 12 CFR 201.51, as
amended.
FOR FURTHER INFORMATION CONTACT:
Jennifer J. Johnson, Secretary of the
Board (202/452–3259); for users of
Telecommunication Devices for the Deaf
(TDD) only, contact 202/263–4869.
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The
Federal Reserve Banks make primary
and secondary credit available to
depository institutions as a backup
source of funding on a short-term basis,
usually overnight. The primary and
secondary credit rates are the interest
rates that the twelve Federal Reserve
Banks charge for extensions of credit
under these programs. In accordance
with the Federal Reserve Act, the
primary and secondary credit rates are
established by the boards of directors of
the Federal Reserve Banks, subject to
the review and determination of the
Board.
The Board approved requests by the
Reserve Banks to increase by 25 basis
points the primary credit rate in effect
at each of the twelve Federal Reserve
Banks, thereby increasing from 6.00
percent to 6.25 percent the rate that
each Reserve Bank charges for
extensions of primary credit. As a result
of the Board’s action on the primary
credit rate, the rate that each Reserve
Bank charges for extensions of
secondary credit automatically
increased from 6.50 percent to 6.75
percent under the secondary credit rate
formula. The final amendments to
Regulation A reflect these rate changes.
The 25-basis-point increase in the
primary credit rate was associated with
a similar increase in the target for the
Federal funds rate (from 5.00 percent to
5.25 percent) approved by the Federal
Open Market Committee (Committee)
and announced at the same time. A
press release announcing these actions
indicated that:
SUPPLEMENTARY INFORMATION:
Recent indicators suggest that economic
growth is moderating from its quite strong
pace earlier this year, partly reflecting a
gradual cooling of the housing market and
the lagged effects of increases in interest rates
and energy prices.
Readings on core inflation have been
elevated in recent months. Ongoing
productivity gains have held down the rise
in unit labor costs, and inflation expectations
remain contained. However, the high levels
of resource utilization and of the prices of
energy and other commodities have the
potential to sustain inflation pressures.
Although the moderation in the growth of
aggregate demand should help to limit
inflation pressures over time, the Committee
judges that some inflation risks remain. The
extent and timing of any additional firming
that may be needed to address these risks
will depend on the evolution of the outlook
for both inflation and economic growth, as
implied by incoming information. In any
event, the Committee will respond to changes
in economic prospects as needed to support
the attainment of its objectives.
Regulatory Flexibility Act Certification
Pursuant to the Regulatory Flexibility
Act (5 U.S.C. 605(b)), the Board certifies
E:\FR\FM\13JYR1.SGM
13JYR1
]]>Agencies
[Federal Register Volume 71, Number 134 (Thursday, July 13, 2006)]
[Rules and Regulations]
[Pages 39513-39520]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 06-6185]
========================================================================
Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
Prices of new books are listed in the first FEDERAL REGISTER issue of each
week.
========================================================================
Federal Register / Vol. 71, No. 134 / Thursday, July 13, 2006 / Rules
and Regulations
[[Page 39513]]
DEPARTMENT OF AGRICULTURE
Food and Nutrition Service
7 CFR Parts 210, 215, 220, 225, 226 and 235
RIN 0584-AD16
Child Nutrition Programs: Uniform Federal Assistance Regulations;
Nondiscretionary Technical Amendments
AGENCY: Food and Nutrition Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This final rule makes technical changes to the regulations
governing the National School Lunch Program, the Special Milk Program
for Children, the School Breakfast Program, the Summer Food Service
Program, the Child and Adult Care Food Program and State Administrative
Expense Funds. The United States Department of Agriculture (USDA), Food
and Nutrition Service (FNS) is revising its grants management
regulations to bring these entitlement programs and their funds under
the same regulations that already apply to nonentitlement programs, and
to identify exceptions to these general rules that apply only to
entitlement programs. This final rule is intended to update FNS program
regulations, reflecting the revision of USDA's grants management
regulations which brought entitlement programs under the same
regulations that already applied to nonentitlement programs. In
addition, this final rule also revises references to procurement and
audit procedures in FNS's program regulations.
DATES: Effective September 11, 2006.
FOR FURTHER INFORMATION CONTACT: Melissa Rothstein, Chief, Program
Analysis and Monitoring Branch, Child Nutrition Division, Food and
Nutrition Service, 3101 Park Center Drive, Room 634, Alexandria, VA
22302, (703) 305-2590.
SUPPLEMENTARY INFORMATION:
Background
Prior to August 14, 2000, the administrative requirements for
awards and subawards for all USDA entitlement programs were located in
7 CFR part 3015, Uniform Federal Assistance Regulations. Those programs
covered by 7 CFR part 3015 included the National School Lunch Program
(NSLP), the School Breakfast Program (SBP), the Summer Food Service
Program (SFSP), the Child and Adult Care Food Program (CACFP), the
Special Milk Program for Children (SMP), and State Administrative
Expense Funds (SAE). The corresponding requirements for awards and
subawards to State and local governmental organizations under USDA
nonentitlement programs were found at subparts A through D of 7 CFR
part 3016, Uniform Administrative Requirements for Grants and
Cooperative Agreements to State and Local Governments. The
administrative requirements for awards and subawards to
nongovernmental, non-profit organizations were found at 7 CFR part
3019, Uniform Administrative Requirements for Grants and Agreements
With Institutions of Higher Education, Hospitals, and Other Non-Profit
Organizations.
On August 14, 2000, USDA published a final rule at 65 FR 49474
revising the Department's grants management regulations to bring its
entitlement programs under the same regulations that already applied to
nonentitlement programs. The rule expanded the scope of 7 CFR part 3016
and 7 CFR part 3019 to include entitlement programs and deleted
administrative requirements for awards and subawards under such
programs from the scope of 7 CFR part 3015. It also established, in
subpart E to 7 CFR part 3016, certain exceptions to the general
administrative requirements that apply only to the entitlement
programs.
This final rule makes technical changes to the program regulations
governing the NSLP (7 CFR part 210), SMP (7 CFR part 215), SBP (7 CFR
part 220), SFSP (7 CFR part 225), CACFP (7 CFR part 226) and SAE (7 CFR
part 235) by incorporating those changes made in the August 14, 2000
final rule, and revising references to procurement and audit
procedures.
Previously, program regulations required that State agencies,
school food authorities, sponsors and institutions comply with the
requirements of 7 CFR part 3015 concerning the procurement of supplies,
food, equipment and other services with program funds. As a result of
the August 14, 2000 grants management rule, the requirements for
procurement procedures are now governed by 7 CFR part 3016 and 7 CFR
part 3019, as applicable. This final rule changes program regulations
at 7 CFR part 210.21(c), 7 CFR part 215.14a(c), 7 CFR part 220.16(c), 7
CFR part 225.17(a), 7 CFR part 226.22(c), 7 CFR part 235.9(a), 7 CFR
part 235.9(c) and 7 CFR part 235.9(d) to reflect this change.
Furthermore, program regulations regarding audit procedures
previously required that State agencies, school food authorities and
institutions comply with the requirements of 7 CFR part 3015 concerning
the audit requirements for recipients and subrecipients of the
Department's financial assistance. This final rule makes technical
revisions to 7 CFR part 210.22(a), 7 CFR part 215.13(a), 7 CFR part
220.15(a), 7 CFR part 225.10(a), and 7 CFR part 235.8(a) to replace
reference to 7 CFR part 3015 with reference to 7 CFR part 3052, Audits
of State, Local Governments and Nonprofit Organizations.
Specific Changes
Revises the definition of 7 CFR part 3015 in 7 CFR parts
210, 215, 220, 225, 226 and 235.
Adds definitions of 7 CFR part 3016 and 7 CFR part 3019 to
7 CFR parts 210, 215, 220, 225, 226 and 235.
Removes the definition of 7 CFR part 3017 wherever it
appears, because this definition is no longer applicable.
Adds a definition of 7 CFR part 3052 to 7 CFR parts 225
and 226.
Amends procurement and audit procedures.
Definition of 7 CFR Part 3015
One of the purposes of this final rule is to revise the definition
of 7 CFR part 3015 in 7 CFR parts 210, 215, 220, 225, 226 and 235. This
revision notes the applicability of 7 CFR part 3015 with regards to
competition for discretionary grants and cooperative agreements, costs
requiring prior approval, acknowledgement of USDA in support of
publications and audiovisuals
[[Page 39514]]
produced under USDA programs, intergovernmental review of USDA
programs, and certain miscellaneous USDA requirements.
Definition of 7 CFR Part 3016
A new definition, 7 CFR part 3016, is added by this final rule to 7
CFR parts 210, 215, 220, 225, 226 and 235. 7 CFR part 3016 refers to
the Department's Uniform Administrative Requirements for Grants and
Cooperative Agreements to State and Local Governments. Awards and
subawards to State and local governmental organizations under USDA
programs are also covered under 7 CFR part 3016.
Definition of 7 CFR Part 3019
A new definition, 7 CFR part 3019, is added by this final rule to 7
CFR parts 210, 215, 220, 225, 226 and 235. 7 CFR part 3019 refers to
the Department's Uniform Administrative Requirements for Grants and
Agreements with Institutions of Higher Education, Hospitals, and Other
Non-Profit Organizations. Requirements for awards and subawards to
nongovernmental, non-profit organizations are also covered under 7 CFR
part 3019.
Definition of 7 CFR Part 3052
A new definition, 7 CFR part 3052, is added by this final rule to 7
CFR parts 225 and 226. 7 CFR part 3052 refers to the Department's
regulations implementing OMB Circular A-133.
Procurement Procedure
This final rule amends the procurement procedures outlined in 7 CFR
part 210.21(c), 7 CFR part 215.14a(c), 7 CFR part 220.16(c), 7 CFR part
225.17(a) and 7 CFR part 226.22(c) stating that the school food
authority, sponsor or institution, as applicable, may use its own
procurement procedures which reflect applicable State and local laws
and regulations, provided that procurements made with Program funds
adhere to the standards set forth in 7 CFR part 3016 or 7 CFR part
3019, as applicable. This final rule also amends 7 CFR part 235.9(a)
and 7 CFR part 235.9(c) to require State agencies to comply with the
procurement procedures of 7 CFR part 3016.
Audits
This final rule amends the audit procedures outlined in 7 CFR part
210.22(a), 7 CFR part 215.13(a), 7 CFR part 220.15(a), 7 CFR part
225.10(a), and 7 CFR part 235.8(a). According to these procedures,
unless otherwise exempt, audits at the State, school food authority and
institution levels shall be conducted in accordance with Office of
Management and Budget Circular A-133 and the Department's implementing
regulations at 7 CFR part 3052.
Executive Order 12866
This final rule has been determined to be not significant for
purposes of Executive Order 12866 and therefore has not been reviewed
by the Office of Management and Budget.
Regulatory Impact Analysis
Need for Action
This action is needed because of changes to Departmental
regulations on grants management. The Departmental regulations on
entitlement programs are now under the same regulations that already
apply to nonentitlement programs. In addition, this action identifies
exceptions to these general rules that apply only to entitlement
programs.
Benefits
The change simplifies grants management regulations for all
recipients and is consistent with Departmental policy.
Costs
These revisions in grants management requirements will have no cost
to grant recipients.
Regulatory Flexibility Act
This final rule has been reviewed with regard to the requirements
of the Regulatory Flexibility Act (5 U.S.C. 601-612). Roberto Salazar,
Administrator of the Food and Nutrition Service, has certified that
this rule will not have a significant economic impact on a substantial
number of small entities. This final rule will affect recipients of
entitlement programs by placing their grants management requirements
under the same regulations that already apply to nonentitlement
programs. Uniform requirements will ease the overall administrative
burden on recipients.
Unfunded Mandates Reform Act
Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public
Law 104-4, establishes requirements for Federal agencies to assess the
effects of their regulatory actions on State, local, and tribal
governments and the private sector. Under section 202 of the UMRA, the
Department generally must prepare a written statement, including a
cost-benefit analysis, for proposed and final rules with ``Federal
mandates'' that may result in expenditures of $100 million or more in
any one year by State, local, or tribal governments, in the aggregate,
or by the private sector, of $100 million or more in any one year. When
such a statement is needed for a rule, section 205 of the UMRA
generally requires the Department to identify and consider a reasonable
number of regulatory alternatives and adopt the least costly, more
cost-effective or least burdensome alternative that achieves the
objectives of the rule.
This final rule contains no Federal mandates (under the regulatory
provisions of Title II of the UMRA) that impose costs on State, local,
or tribal governments or to the private sector of $100 million or more
in any one year. This final rule is, therefore, not subject to the
requirements of sections 202 and 205 of the UMRA.
Executive Order 12372
The National School Lunch Program, Special Milk Program for
Children, and School Breakfast Program are listed in the Catalog of
Federal Domestic Assistance under No. 10.555, 10.556 and 10.553,
respectively. The Child and Adult Care Food Program, the Summer Food
Service Program, and the State Administrative Expense Funds are listed
under No. 10.558, No. 10.559 and No. 10.560, respectively. For reasons
set forth in the final rule in 7 CFR part 3015, subpart V and related
Notice (48 FR 29115), these programs are included in the scope of
Executive Order 12372, which requires intergovernmental consultation
with State and local officials.
Federalism Summary Impact Statement
Executive Order 13132 requires Federal agencies to consider the
impact of their regulatory actions on State and local governments.
Where such actions have federalism implications, agencies are directed
to provide a statement for inclusion in the preamble to the regulations
describing the agency's considerations in terms of the three categories
called for under section (6)(b)(2)(B) of Executive Order 13132. FNS has
considered the impact of this rule on State and local governments and
has determined that this rule does not have Federalism implications.
This final rule does not impose substantial or direct compliance costs
on State and local governments. Therefore, under Section 6(b) of the
Executive Order, a federalism summary impact statement is not required.
Executive Order 12988
This final rule has been reviewed under Executive Order 12988,
Civil Justice Reform. This final rule is intended to have preemptive
effect with respect to any State or local laws,
[[Page 39515]]
regulations or policies which conflict with its provisions or which
would impede its full implementation. This final rule is not intended
to have retroactive effect unless that is specified in the DATES
section of this preamble. Prior to any judicial challenge to the
provisions of this final rule or the application of its provisions, all
applicable administrative procedures must be exhausted.
Civil Rights Impact Analysis
FNS has reviewed this final rule in accordance with the Department
Regulation 4300-4, ``Civil Rights Impact Analysis,'' to identify and
address any major civil rights impacts the final rule might have on
minorities, women, and persons with disabilities. After a careful
review of the rule's intent and provisions, FNS has determined that
this final rule will not in any way limit or reduce participants'
ability to participate in the Child Nutrition Programs on the basis of
an individual's or group's race, color, national origin, sex, age, or
disability. FNS found no factors that would negatively and
disproportionately affect any group of individuals.
Paperwork Reduction Act
The Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35; see 5
CFR 1320) requires that the Office of Management and Budget (OMB)
approve all collections of information by a Federal agency before they
can be implemented. Respondents are not required to respond to any
collection of information unless it displays a current valid OMB
control number. This final rule does not contain any information
collection requirements subject to approval by OMB under the Paperwork
Reduction Act of 1995. Existing information collections have been
approved under the following OMB control numbers: For the National
School Lunch Program--0584-0006; for the Special Milk Program for
Children--0584-0005; for the School Breakfast Program--0584-0012; for
the Summer Food Service Program--0584-0280; for the Child and Adult
Care Food Program--0584-0055; and for State Administrative Expense
Funds--0584-0067.
Government Paperwork Elimination Act
FNS is committed to compliance with the Government Paperwork
Elimination Act (GPEA), which requires Government agencies to provide
the public the option of submitting information or transacting business
electronically to the maximum extent possible. This rule does not
require the submission of additional information.
Public Participation
This action is being finalized without prior notice or public
comment under authority of 5 U.S.C. 553(b)(3)(A) and (B) because it
only revises references to procurement and audit procedures in the
Child Nutrition Programs. Thus, the Department has determined in
accordance with 5 U.S.C. 553(b) that Notice of Proposed Rulemaking and
Opportunity for Public Comments is unnecessary and contrary to the
public interest and, in accordance with 5 U.S.C. 553(d), finds that
good cause exists for making this action effective without prior public
comment.
List of Subjects
7 CFR Part 210
Children, Commodity School Program, Food assistance programs,
Grants programs--social programs, National School Lunch Program,
Nutrition, Reporting and recordkeeping requirements, Surplus
agricultural commodities.
7 CFR Part 215
Food and nutrition, Food assistance programs, Grants programs--
education, Grant programs--health, Infants and children, Milk,
Reporting and recordkeeping.
7 CFR Part 220
Children, Food assistance programs, Grant programs--social
programs, Nutrition, Reporting and recordkeeping requirements, School
Breakfast Program.
7 CFR Part 225
Food and nutrition, Food assistance programs, Grant programs--
health, Infants and children, Labeling, Reporting and recordkeeping
requirements.
7 CFR Part 226
Accounting, Aged, Day care, Food and Nutrition, Food assistance
programs, Grant programs. Grant programs--health, American Indians,
Individuals with disabilities, Infants and children, Intergovernmental
relations, Loan programs, Reporting and recordkeeping requirements,
Surplus agricultural commodities.
7 CFR Part 235
Food and Nutrition Service, Food assistance programs. Grant
programs--education; Grant programs--health, Infants and children,
Reporting and recordkeeping requirements, School Breakfast and Lunch
Programs.
0
Accordingly, 7 CFR parts 210, 215, 220, 225, 226 and 235 are amended as
follows:
PART 210--NATIONAL SCHOOL LUNCH PROGRAM
0
1. The authority citation for 7 CFR part 210 continues to read as
follows:
Authority: 42 U.S.C. 1751-1760, 1779.
0
2. In Sec. 210.2:
0
a. Revise the definition of 7 CFR part 3015;
0
b. Remove the definition of 7 CFR part 3017; and
0
c. Add new definitions, 7 CFR part 3016 and 7 CFR part 3019 in
alphabetical order.
The additions and revision read as follows:
Sec. 210.2 Definitions.
* * * * *
7 CFR part 3015 means the Uniform Federal Assistance Regulations
published by the Department to implement certain policies applicable to
all Department programs. The applicable provisions deal with
competition for discretionary grants and cooperative agreements, costs
requiring prior approval, acknowledgement of Department support in
publications and audiovisuals produced under Department programs,
intergovernmental review of Department programs under Executive Order
12372, and certain miscellaneous Department requirements.
7 CFR part 3016 means the Department's Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments. 7 CFR part 3016 covers requirements for awards and
subawards to State and local governmental organizations under
Department programs.
* * * * *
7 CFR part 3019 means the Department's Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations. 7 CFR part
3019 covers requirements for awards and subawards to nongovernmental,
nonprofit organizations under Department programs.
* * * * *
Sec. 210.3 [Amended]
0
3. In Sec. 210.3:
0
a. Amend the third sentence of paragraph (b) by removing the words
``part 235; part 245; parts 15, 15a, 15b, and 3015 of Departmental
regulations'' and adding in their place the words
[[Page 39516]]
``parts 235 and 245 of this chapter; parts 15, 15a, 15b, 3015 and 3016
of this title''; and
0
b. Amend the second sentence of paragraph (d) by removing the words
``part 245; parts 15, 15a, 15b, and 3015 of Departmental regulations''
and adding in their place the words ``part 245 of this chapter; parts
15, 15a, 15b, and 3016 or 3019, as applicable, of this title''.
Sec. 210.5 [Amended]
0
4. In Sec. 210.5:
0
a. Amend the second sentence of paragraph (a) by removing the words ``7
CFR part 3015'' and adding in their place the words ``7 CFR part
3016''.
0
b. Amend the last sentence of paragraph (d)(3) by removing the words
``7 CFR part 3015'' and adding in their place the words ``7 CFR part
3016''.
Sec. 210.9 [Amended]
0
5. In Sec. 210.9, amend paragraph (b)(4) by removing the words ``7 CFR
part 3015'' and adding in their place the words ``7 CFR part 3015 and 7
CFR part 3016, or 7 CFR part 3019, as applicable''.
Sec. 210.19 [Amended]
0
6. In Sec. 210.19, amend the second sentence of paragraph (a)(2) by
removing the words ``, as applicable, 7 CFR part 3015'' and adding in
their place the words ``7 CFR part 3015 and 7 CFR part 3016, or 7 CFR
part 3019, as applicable''.
0
7. In Sec. 210.21,
0
a. Amend the first sentence of paragraph (a) by removing the words ``7
CFR part 3015'' and adding in their place the words ``7 CFR part 3016
or 7 CFR part 3019, as applicable,''.
0
b. Amend the first sentence of paragraph (b) by removing the words ``7
CFR part 3015'' and adding in their place the words ``this part and 7
CFR part 3015, 7 CFR part 3016 and 7 CFR part 3019, as applicable,''.
0
c. Revise paragraph (c).
The revision reads as follows:
Sec. 210.21 Procurement.
* * * * *
(c) Procurement procedure. State agencies or school food
authorities may use their own procedures for procurement with program
funds to the extent that:
(1) Procurements by public school food authorities comply with
applicable State and local laws and the standards set forth in 7 CFR
part 3016; and
(2) Procurements by nonprofit private school food authorities
comply with the standards set forth in 7 CFR part 3019.
* * * * *
0
8. In Sec. 210.22, revise paragraph (a) to read as follows:
Sec. 210.22 Audits.
(a) General. Unless otherwise exempt, audits at the State and
school food authority levels shall be conducted in accordance with
Office of Management and Budget Circular A-133 and the Department's
implementing regulations at 7 CFR part 3052. For availability of the
OMB Circular mentioned in this paragraph, please refer to 5 CFR 1310.3.
* * * * *
Sec. 210.24 [Amended]
0
9. In Sec. 210.24, amend the first sentence by removing the words
``Sec. 3015.103 of this title'' and adding in their place the words
``7 CFR part 3016 and 7 CFR part 3019, as applicable''.
Sec. 210.25 [Amended]
0
10. In Sec. 210.25:
0
a. Amend the third sentence by removing the words ``the Department's
Uniform Federal Assistance Regulations, 7 CFR part 3015, subpart N''
and adding in their place the words ``7 CFR part 3016''; and
0
b. Amend the fourth sentence by adding, after the word ``provisions'',
the words ``, or the parallel provisions of 7 CFR part 3019, as
applicable,''.
PART 215--SPECIAL MILK PROGRAM FOR CHILDREN
0
1. The authority citation for 7 CFR part 215 continues to read as
follows:
Authority: 42 U.S.C. 1772 and 1779.
0
2. In Sec. 215.2:
0
a. Revise paragraph (x-1);
0
b. Remove paragraph (x-2);
0
c. Redesignate paragraph (x-4) and (x-5) as paragraphs (x-5) and (x-6),
respectively; and
0
d. Add new paragraphs (x-2) and (x-4).
The additions and revision read as follows:
Sec. 215.2 Definitions.
* * * * *
(x-1) 7 CFR part 3015 means the Uniform Federal Assistance
Regulations published by the Department to implement certain policies
applicable to all Department programs. The applicable provisions deal
with competition for discretionary grants and cooperative agreements,
costs requiring prior approval, acknowledgement of Department support
in publications and audiovisuals produced under Department programs,
intergovernmental review of Department programs under Executive Order
12372, and certain miscellaneous Department requirements.
(x-2) 7 CFR part 3016 means the Department's Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments. 7 CFR part 3016 covers requirements for awards and
subawards to State and local governmental organizations under
Department programs.
* * * * *
(x-4) 7 CFR part 3019 means the Department's Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations. 7 CFR part
3019 covers requirements for awards and subawards to nongovernmental,
nonprofit organizations under Department programs.
* * * * *
0
3. In Sec. 215.3, the first sentence of paragraph (d) is revised to
read as follows:
Sec. 215.3 Administration.
* * * * *
(d) Each State agency desiring to take part in the Program shall
enter into a written agreement with the Department for the
administration of the Program in the State in accordance with the
provisions of this part, 7 CFR parts 235, 245, 15, 15a, 15b and, as
applicable, 7 CFR part 3015, 7 CFR part 3016 and 7 CFR part 3019, and
with FNS Instructions. * * *
* * * * *
0
4. In Sec. 215.13:
0
a. Revise paragraph (a);
0
b. Remove paragraph (b) and redesignate paragraphs (c) and (d) as
paragraphs (b) and (c), respectively; and
0
c. Amend newly designated paragraph (b) by removing the word ``OA''
wherever it appears and adding in its place the word ``OIG''.
The revision reads as follows:
Sec. 215.13 Management evaluations and audits.
(a) Unless otherwise exempt, audits at the State and school food
authority/child care institution levels shall be conducted in
accordance with Office of Management and Budget Circular A-133 and the
Department's implementing regulations at 7 CFR part 3052. For
availability of the OMB Circular mentioned in this paragraph, please
refer to 5 CFR 1310.3.
* * * * *
0
5. In Sec. 215.14a:
0
a. Amend the first sentence of paragraph (a) by removing the words
``the Office of Management and Budget
[[Page 39517]]
(OMB) Circular A-102 and the Department's Uniform Federal Assistance
Regulations, 7 CFR part 3015, subpart S (46 FR 55658)'' and adding in
their place the words ``this part and 7 CFR part 3015, 7 CFR part 3016
and 7 CFR part 3019, as applicable,'';
0
b. Amend the first sentence of paragraph (b) by removing the words
``OMB Circular A-102 and 7 CFR part 3015'' and adding in their place
the words ``this part and 7 CFR part 3015, 7 CFR part 3016 and 7 CFR
part 3019, as applicable''; and
0
c. Revise paragraph (c).
The revision reads as follows:
Sec. 215.14a Procurement standards.
* * * * *
(c) Procurement procedure. State agencies, school food authorities
or child care institutions may use their own procedures for procurement
with Program funds to the extent that:
(1) Procurements by public school food authorities/child care
institutions comply with applicable State or local laws and the
standards set forth in this part and in 7 CFR part 3016 and 7 CFR part
3019, as applicable; and
(2) Procurements by nonprofit private school food authorities/child
care institutions comply with standards set forth in 7 CFR part 3019.
* * * * *
Sec. 215.15 [Amended]
0
6. In Sec. 215.15:
0
a. Amend the third sentence by removing the words ``the Department's
Uniform Federal Assistance Regulations, 7 CFR part 3015, subpart N''
and adding in their place the words ``7 CFR part 3016''.
0
b. Amend the fourth sentence by adding, after the word ``provisions'',
the words ``, or the parallel provisions of 7 CFR part 3019, as
applicable,''.
PART 220--SCHOOL BREAKFAST PROGRAM
0
1. The authority citation for 7 CFR part 220 continues to read as
follows:
Authority: 42 U.S.C. 1773, 1779, unless otherwise noted.
0
2. In Sec. 220.2:
0
a. Revise paragraph (x-1);
0
b. Remove paragraph (x-2);
0
c. Redesignate paragraph (x-4) as paragraph (x-5); and
0
d. Add new paragraphs (x-2) and (x-4).
The additions and revision read as follows:
Sec. 220.2 Definitions.
* * * * *
(x-1) 7 CFR part 3015 means the Uniform Federal Assistance
Regulations published by the Department to implement certain policies
applicable to all Department programs. The applicable provisions deal
with competition for discretionary grants and cooperative agreements,
costs requiring prior approval, acknowledgement of Department support
in publications and audiovisuals produced under Department programs,
intergovernmental review of Department programs under Executive Order
12372, and certain miscellaneous Department requirements.
(x-2) 7 CFR part 3016 means the Department's Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments. 7 CFR part 3016 covers requirements for awards and
subawards to State and local governmental organizations under
Department programs.
* * * * *
(x-4) 7 CFR part 3019 means the Department's Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations. 7 CFR part
3019 covers requirements for awards and subawards to nongovernmental,
nonprofit organizations under Department programs.
* * * * *
0
3. In Sec. 220.3, revise the first sentence of paragraph (e) to read
as follows:
Sec. 220.3 Administration.
* * * * *
(e) Each State agency desiring to take part in any of the programs
shall enter into a written agreement with the Department for the
administration of the Program in the State in accordance with the
provisions of this part, 7 CFR parts 235, 245, 15, 15a, 15b and, as
applicable, 7 CFR part 3015, 7 CFR part 3016 and 7 CFR part 3019, and
with FNS Instructions.* * *
* * * * *
Sec. 220.13 [Amended]
0
4. In Sec. 220.13, amend the second sentence of paragraph (i) by
removing the words ``, as applicable, the cost principles contained in
OMB Circular A-87 and 7 CFR part 3015'' and adding in their place the
words ``7 CFR part 3015, and 7 CFR part 3016 or 7 CFR part 3019, as
applicable''.
0
5. In Sec. 220.15:
0
a. Revise paragraph (a);
0
b. Remove paragraph (b) and redesignate paragraphs (c) and (d) as
paragraphs (b) and (c), respectively; and
0
c. Amend newly redesignated paragraph (b) by removing the word ``OA''
each time it appears and adding in its place the word ``OIG''.
The revision reads as follows:
Sec. 220.15 Management evaluations and audits.
(a) Unless otherwise exempt, audits at the State and institution
levels shall be conducted in accordance with Office of Management and
Budget Circular A-133 and the Department's implementing regulations at
7 CFR part 3052. For availability of the OMB Circular mentioned in this
paragraph, please refer to 5 CFR 1310.3.
* * * * *
0
6. In Sec. 220.16:
0
a. Amend the first sentence of paragraph (a) by removing the words
``the Office of Management and Budget (OMB) Circular A-102 and the
Department's Uniform Federal Assistance Regulations, 7 CFR part 3015,
subpart S (46 FR 55658)'' and adding in their place the words ``7 CFR
part 3016 or 7 CFR part 3019, as applicable,'';
0
b. Amend the first sentence of paragraph (b) by removing the words
``OMB Circular A-102 and 7 CFR 3015'' and adding in their place the
words ``7 CFR part 3016 or 7 CFR part 3019, as applicable''; and
0
c. Revise paragraph (c).
The revision reads as follows:
Sec. 220.16 Procurement standards.
* * * * *
(c) Procurement procedure. State agencies or school food
authorities may use their own procedures for procurement with program
funds to the extent that:
(1) Procurements by public school food authorities comply with
applicable State or local laws and standards set forth in 7 CFR part
3016; and
(2) Procurements by nonprofit private school food authorities
comply with standards set forth in 7 CFR part 3019.
* * * * *
Sec. 220.18 [Amended]
0
7. In Sec. 220.18:
0
a. Amend the third sentence by removing the words ``the Department's
Uniform Federal Assistance Regulations, 7 CFR part 3015, subpart N''
and adding in their place the words ``7 CFR part 3016''; and
0
b. Amend the fourth sentence by adding, after the word ``provisions'',
the words ``, or the parallel provisions of 7 CFR part 3019, as
applicable,''.
[[Page 39518]]
PART 225--SUMMER FOOD SERVICE PROGRAM
0
1. The authority citation for 7 CFR part 225 is revised to read as
follows:
Authority: Secs. 9, 13 and 14, Richard B. Russell National
School Lunch Act, as amended (42 U.S.C. 1758, 1761 and 1762a).
0
2. In Sec. 225.2, new definitions, 7 CFR part 3015, 7 CFR part 3016, 7
CFR part 3019, and 7 CFR part 3052, are added in alphanumerical order.
The additions read as follows:
Sec. 225.2 Definitions.
* * * * *
7 CFR part 3015 means the Uniform Federal Assistance Regulations
published by the Department to implement certain policies applicable to
all Department programs. The applicable provisions deal with
competition for discretionary grants and cooperative agreements, costs
requiring prior approval, acknowledgement of Department support in
publications and audiovisuals produced under Department programs,
intergovernmental review of Department programs under Executive Order
12372, and certain miscellaneous Department requirements.
7 CFR part 3016 means the Department's Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments. 7 CFR part 3016 covers requirements for awards and
subawards to State and local governmental organizations under
Department programs.
7 CFR part 3019 means the Department's Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations. 7 CFR part
3019 covers requirements for awards and subawards to nongovernmental,
nonprofit organizations under Department programs.
7 CFR part 3052 means the Department's regulations implementing OMB
Circular A-133. (To obtain the OMB circular referenced in this
definition, see 5 CFR 1310.3.)
* * * * *
Sec. 225.7 [Amended]
0
3. In Sec. 225.10, amend paragraph (a) by removing the first sentence
and by revising the second sentence, to read as set forth below.
0
4. In Sec. 225.7, amend the first sentence of paragraph (f) by
removing the words ``the Department's Uniform Financial Assistance
Regulations (7 CFR part 3015)'' and adding in their place the words ``7
CFR part 3015, and 7 CFR part 3016 or 7 CFR part 3019, as
applicable,''.
Sec. 225.10 Audits and management evaluations.
(a) * * * Unless otherwise exempt, audits at the State and sponsor
levels shall be conducted in accordance with OMB Circular A-133 and the
Department's implementing regulations at 7 CFR part 3052. (To obtain
the OMB circular referenced in this paragraph, see 5 CFR 1310.3.) * * *
* * * * *
0
5. In Sec. 225.17:
0
a. Revise paragraph (a);
0
b. Amend paragraph (b) by removing the words ``7 CFR part 3015'' and
adding in their place the words ``7 CFR part 3016 or 7 CFR part 3019,
as applicable''.
0
c. Amend the introductory text of paragraph (d) by removing the words
``all sponsors are'' and adding in their place the words ``each sponsor
is'' and by removing the words ``7 CFR part 3015'' and adding in their
place the words ``7 CFR part 3016 or 7 CFR part 3019, as applicable''.
The revision reads as follows:
Sec. 225.17 Procurement standards.
(a) State agencies and sponsors shall comply with the requirements
of 7 CFR part 3016 or 7 CFR part 3019, as applicable, concerning the
procurement of supplies, food, equipment and other services with
Program funds. These requirements ensure that such materials and
services are obtained for the program efficiently and economically and
in compliance with applicable laws and executive orders. Sponsors may
use their own procedures for procurement with Program funds to the
extent that:
(1) Procurements by public sponsors comply with applicable State or
local laws and the standards set forth in 7 CFR part 3016; and
(2) Procurements by private nonprofit sponsors comply with
standards set forth in 7 CFR part 3019.
* * * * *
Sec. 225.18 [Amended]
0
6. In Sec. 225.18, amend paragraph (a) by removing the words ``the
Department's Uniform Federal Assistance Regulations (7 CFR part 3015),
subpart N'' and adding in their place the words ``7 CFR part 3016 or 7
CFR part 3019, as applicable''.
PART 226--CHILD AND ADULT CARE FOOD PROGRAM
0
1. The authority citation for 7 CFR part 226 continues to read as
follows:
Authority: Secs. 9, 11, 14, 16, and 17, Richard B. Russell
National School Lunch Act, as amended (42 U.S.C. 1758, 1759a, 1762a,
1765 and 1766).
0
2. In Sec. 226.2:
0
a. New definitions, 7 CFR part 3015, 7 CFR part 3016, 7 CFR part 3019,
and 7 CFR part 3052, are added in alphabetical order; and
0
b. The definition of Uniform Federal Assistance Regulations is removed.
The additions read as follows:
Sec. 226.2 Definitions.
* * * * *
7 CFR part 3015 means the Uniform Federal Assistance Regulations
published by the Department to implement certain policies applicable to
all Department programs. The applicable provisions deal with
competition for discretionary grants and cooperative agreements, costs
requiring prior approval, acknowledgement of Department support in
publications and audiovisuals produced under Department programs,
intergovernmental review of Department programs under Executive Order
12372, and certain miscellaneous Department requirements.
7 CFR part 3016 means the Department's Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments. 7 CFR part 3016 covers requirements for awards and
subawards to State and local governmental organizations under USDA
programs.
7 CFR part 3019 means the Department's Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations. 7 CFR part
3019 covers requirements for awards and subawards to nongovernmental,
nonprofit organizations.
7 CFR part 3052 means the Department's regulations implementing OMB
Circular A-133. (To obtain the OMB circular referenced in this
definition, see 5 CFR 1310.3.)
* * * * *
0
3. In Sec. 226.4, revise paragraph (j) to read as follows:
Sec. 226.4 Payments to States and use of funds.
* * * * *
(j) Method of funding. FNS shall authorize funds for State agencies
in accordance with 7 CFR part 3016.
* * * * *
Sec. 226.7 [Amended]
0
4. In Sec. 226.7:
[[Page 39519]]
0
a. Amend the first sentence of paragraph (b) by removing the words ``as
delineated in the Uniform Federal Assistance Regulations, at 7 CFR part
3015'' and adding in their place the words ``in accordance with 7 CFR
part 3015, 7 CFR part 3016 and 7 CFR part 3019, as applicable''; and
0
b. Amend the first sentence of paragraph (m) by removing the words
``the Uniform Federal Assistance Regulations, 7 CFR part 3015'' and
adding in their place the words ``7 CFR part 3015, 7 CFR part 3016 and
7 CFR part 3019, as applicable''.
Sec. 226.10 [Amended]
0
5. In Sec. 226.10, amend paragraph (b)(4) by removing the words ``the
Department's Uniform Federal Assistance Regulations (7 CFR part 3015)''
and adding in their place the words ``7 CFR part 3016 or 7 CFR part
3019, as applicable''.
0
6. In Sec. 226.22:
0
a. Revise paragraph (c); and
0
b. Revise the second sentence of paragraph (l)(5).
The revisions read as follows:
Sec. 226.22 Procurement standards.
* * * * *
(c) Institutions may use their own procedures for procurement with
Program funds to the extent that:
(1) Procurements by public institutions comply with applicable
State or local laws and standards set forth in 7 CFR part 3016;
(2) Procurements by private nonprofit institutions comply with
standards set forth in 7 CFR part 3019; and
(3) All procurements comply with the procurement requirements in
paragraphs (d) through (m) of this section.
* * * * *
(l) * * *
(5) * * * These requirements are found in Sec. 3015.175. * * *
* * * * *
Sec. 226.24 [Amended]
0
7. Amend Sec. 226.24 by removing the words ``the Department's Uniform
Federal Assistance Regulations (7 CFR part 3015)'' and adding in their
place the words ``7 CFR part 3016 or 7 CFR part 3019, as applicable''.
Sec. 226.25 [Amended]
0
8. In Sec. 226.25, amend paragraph (a) by removing the words ``the
Uniform Federal Assistance Regulations'' and adding in their place the
words ``7 CFR part 3016 or 7 CFR part 3019, as applicable''.
PART 235--STATE ADMINISTRATIVE EXPENSE FUNDS
0
1. The authority citation for 7 CFR part 235 continues to read as
follows:
Authority: Secs. 7 and 10 of the Child Nutrition Act of 1966, 80
Stat. 888, 889, as amended (42 U.S.C. 1776, 1779).
0
2. In Sec. 235.2:
0
a. Revise paragraph (q-1);
0
b. Remove paragraph (q-2);
0
c. Redesignate paragraph (q-4) as paragraph (q-5); and
0
d. Add a new paragraphs (q-2) and (q-4).
The revision and additions read as follows:
Sec. 235.2 Definitions.
* * * * *
(q-1) 7 CFR part 3015 means the Uniform Federal Assistance
Regulations published by the Department to implement certain policies
applicable to all Department programs. The applicable provisions deal
with competition for discretionary grants and cooperative agreements,
costs requiring prior approval, acknowledgement of Department support
in publications and audiovisuals produced under USDA programs,
intergovernmental review of Department programs under Executive Order
12372, and certain miscellaneous Department requirements.
(q-2) 7 CFR part 3016 means the Department's Uniform Administrative
Requirements for Grants and Cooperative Agreements to State and Local
Governments. 7 CFR part 3016 covers requirements for awards and
subawards to State and local governmental organizations under
Department programs.
* * * * *
(q-4) 7 CFR part 3019 means the Department's Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher
Education, Hospitals, and Other Non-Profit Organizations. 7 CFR part
3019 covers requirements for awards and subawards to nongovernmental,
nonprofit organizations under Department programs.
* * * * *
0
3. In Sec. 235.3, revise the first sentence of paragraph (b) to read
as follows:
Sec. 235.3 Administration.
* * * * *
(b) Each State agency desiring to receive payments under this part
shall enter into a written agreement with the Department for the
administration of the child nutrition programs in accordance with the
applicable requirements of this part, 7 CFR parts 210, 215, 220, 225,
226, 245, 15, 15a, 15b, 3015, and 3016. * * *
* * * * *
0
4. In Sec. 235.8:
0
a. Revise paragraph (a);
0
b. Remove paragraphs (b) and (d) and redesignate paragraphs (c) and (e)
as paragraphs (b) and (c), respectively;
0
c. Amend the first sentence of newly redesignated paragraph (b) by
removing the word ``OA'' and adding in its place the word ``OIG''; and
0
d. Amend newly redesignated paragraph (c) by removing the word ``OA''
wherever it appears and adding in its place the word ``OIG''.
The revision reads as follows:
Sec. 235.8 Management evaluations and audits.
(a) Unless otherwise exempt, audits at the State level shall be
conducted in accordance with Office of Management and Budget Circular
A-133, and the Department's implementing regulations at 7 CFR part
3052. (To obtain the OMB circular referenced in this definition, see 5
CFR 1310.3.)
* * * * *
0
5. In Sec. 235.9:
0
a. Amend the first sentence of paragraph (a) by removing the words
``the Office of Management and Budget (OMB) Circular A-102 and the
Department's Uniform Federal Assistance Regulations, 7 CFR part 3015,
subpart S (46 FR 55658)'' and adding in their place the words ``7 CFR
part 3016'';
0
b. Remove the second sentence of paragraph (a);
0
c. Amend the first sentence of paragraph (b) by removing the words
``OMB Circular A-102 and 7 CFR part 3015'' and adding in their place
the words ``7 CFR part 3016'';
0
d. Revise paragraph (c); and
0
e. Amend paragraph (d) by removing the words ``OMB Circular A-102 and 7
CFR part 3015, subpart R (46 FR 55654)'' and adding in their place the
words ``7 CFR part 3016''.
The revision reads as follows:
Sec. 235.9 Procurement and property management standards.
* * * * *
(c) Procurement procedure. The State agency may use its own
procurement procedures which reflect applicable State laws and
regulations, in accordance with 7 CFR part 3016.
* * * * *
Sec. 235.11 [Amended]
0
6. In Sec. 235.11:
0
a. Amend the third sentence of paragraph (a) by removing the words ``,
[[Page 39520]]
as applicable, the provisions of Office of Management and Budget
Circular A-102, Attachments F and G and 7 CFR part 3015, subparts G and
H'' and adding in their place the words ``the provisions of 7 CFR part
3016'';
0
b. Amend the first sentence of paragraph (b)(5)(v) by removing the
words ``7 CFR part 3015, subpart L'' and adding in their place the
words ``7 CFR part 3016''; and
0
c. Amend paragraph (d) by removing the words ``the Department's Uniform
Federal Assistance Regulations, 7 CFR part 3015 subpart N'' and adding
in their place the words ``7 CFR part 3016''.
Dated: July 5, 2006.
Roberto Salazar,
Administrator, Food and Nutrition Service.
[FR Doc. 06-6185 Filed 7-12-06; 8:45 am]
BILLING CODE 3410-30-P
