Request for Public Comment on Maintenance of Expenditure (MOE) Proposed Policy as Amended on 2-19-10, 13265-13268 [2010-6006]

Download as PDF Federal Register / Vol. 75, No. 53 / Friday, March 19, 2010 / Notices advice of the Board on the Naval Service’s Postgraduate Education Program and the collaborative exchange and partnership between NPS and the Air Force Institute of Technology (AFIT). The board examines the effectiveness with which the NPS is accomplishing its mission. To this end, the board will inquire into the curricula; instruction; physical equipment; administration; state of morale of the student body, faculty, and staff; fiscal affairs; and any other matters relating to the operation of the NPS as the board considers pertinent. Individuals without a DoD government/CAC card require an escort at the meeting location. For access, information, or to send written comments regarding the NPS BOA, contact Ms. Jaye Panza, Naval Postgraduate School, 1 University Circle, Monterey, CA 93943–5001, or by fax (831) 656–3145 by April 19, 2010. A.M. Vallandingham, Lieutenant Commander, Judge Advocate Generals Corps, U.S. Navy, Federal Register Liaison Officer. [FR Doc. 2010–6033 Filed 3–18–10; 8:45 am] BILLING CODE 3810–FF–P DEPARTMENT OF EDUCATION National Board for Education Sciences erowe on DSK5CLS3C1PROD with NOTICES AGENCY: Institute of Education Sciences, Department of Education. ACTION: Notice of an open meeting. SUMMARY: This notice sets forth the schedule and proposed agenda of an upcoming meeting of the National Board for Education Sciences. The notice also describes the functions of the Committee. Notice of this meeting is required by Section 10(a)(2) of the Federal Advisory Committee Act and is intended to notify the public of their opportunity to attend the open portion of the meeting. DATES: April 7 and 8, 2010. TIME: April 7, 1 p.m. to 5:30 p.m.; April 8, 8:30 a.m. to 12:30 p.m. ADDRESSES: 80 F Street, NW., Room 100, Washington, DC 20208. FOR FURTHER INFORMATION CONTACT: Norma Garza, Executive Director, National Board for Education Sciences, 555 New Jersey Ave., NW., Room 602 K, Washington, DC 20208; phone: (202) 219–2195; fax: (202) 219–1466; e-mail: Norma.Garza@ed.gov. Individuals who use a telecommunications device for the deaf (TDD) may call the Federal Information Relay Service (FRS) at 1–800–877–8339. SUPPLEMENTARY INFORMATION: The National Board for Education Sciences VerDate Nov<24>2008 14:14 Mar 18, 2010 Jkt 220001 is authorized by Section 116 of the Education Sciences Reform Act of 2002 (ESRA). The Board advises the Director of the Institute of Education Sciences (IES) on the establishment of activities to be supported by the Institute, on the funding for applications for grants, contracts, and cooperative agreements for research after the completion of peer review, and reviews and evaluates the work of the Institute. At this time, the Board consists of six of fifteen appointed members due to the expirations of the terms of nine members. The Board shall meet and can carry out official business as provided by the ESRA which states that a majority of the voting members serving at the time of a meeting constitutes a quorum. On April 7 from 1 p.m. to 1:15 p.m., the Board will approve the agenda and hear remarks from the chair and the executive director. From 1:15 p.m. to 2:15 p.m., IES director John Easton will discuss priorities for the Institute, followed by a Board discussion until 3 p.m. After a break ending at 3:15 p.m., the Board will conduct an overview of the agencies represented by ex-officio members. Presentations will follow from 4 p.m. to 5:30 p.m. from U.S. Department of Education officials. The meeting will recess at 5:30 p.m. On April 8, the meeting will begin at 8:30 a.m. with a review of the prior day’s activity and a review of the agenda. At 8:45 a.m. IES commissioners and staff will give an update on the IES Centers. This will conclude at 9:45 a.m. Following a break until 10 a.m. the Board will hear presentations on recently released IES studies. There will be an update on the What Works Clearinghouse from 11:30 a.m. until 12:15 p.m., followed by an open discussion and a consideration of next steps. The meeting will adjourn at 12:30 p.m. A final agenda will be available from Norma Garza (see contact information above) on March 29. Individuals who will need accommodations for a disability in order to attend the meeting (e.g., interpreting services, assistance listening devices, or materials in alternative format) should notify Norma Garza no later than March 29. We will attempt to meet requests for accommodations after this date but cannot guarantee their availability. The meeting site is accessible to individuals with disabilities. Records are kept of all Committee proceedings and are available for public inspection at 555 New Jersey Ave., NW., Room 602 K, Washington, DC 20208, from the hours of 9 a.m. to 5 p.m., PO 00000 Frm 00022 Fmt 4703 Sfmt 4703 13265 Eastern Standard Time Monday through Friday. Electronic Access to This Document: You may view this document, as well as all other documents of this Department published in the Federal Register, in text or Adobe Portable Document Format (PDF) on the Internet at the following site: https://www.ed.gov/news/ fed-register/. To use PDF you must have Adobe Acrobat Reader, which is available free at this site. If you have questions about using PDF, call the U.S. Government Printing Office (GPO), toll free at 1–866– 512–1830; or in the Washington, DC, area at (202) 512–0000. Note: The official version of this document is the document published in the Federal Register. Free Internet access to the official edition of the Federal Register and the Code of Federal Regulations is available on GPO Access at: https://www.gpoaccess.gov/nara/ index.html. John Q. Easton, Director, Institute of Education Sciences. [FR Doc. 2010–6088 Filed 3–18–10; 8:45 am] BILLING CODE 4000–01–P ELECTION ASSISTANCE COMMISSION Request for Public Comment on Maintenance of Expenditure (MOE) Proposed Policy as Amended on 2–19–10 AGENCY: United States Election Assistance Commission. ACTION: Notice: Request for Public Comment. SUMMARY: The EAC seeks public comment on a Maintenance of Expenditure (MOE) Proposed Policy as Amended on 2–19–10. This advisory would supersede Advisories 07–003 and 07–003A and fulfill the Election Assistance Commission’s (EAC) ongoing responsibility to provide information on the management of Federal funds provided under the Help America Vote Act (HAVA). EAC issues this notice according to a policy adopted on September 18, 2008 that requires EAC to provide notice and an opportunity for public comment on, among other things, advisories being considered for adoption by the U.S. Election Assistance Commission. DATES: Comments must be received by 5 p.m. EST on April 19, 2010. ADDRESSES: Comments may be submitted: Via e-mail at havacomments@eac.gov, and Via mail addressed to the U.S. Election Assistance Commission, 1201 New York Ave, NW., Suite 300, E:\FR\FM\19MRN1.SGM 19MRN1 13266 Federal Register / Vol. 75, No. 53 / Friday, March 19, 2010 / Notices Washington, DC 20005, or by fax at 202/ 566–3127. Commenters are encouraged to submit comments electronically and include ‘‘MOE’’ in the subject line, to ensure timely receipt and consideration. All comments must be received by the EAC by the date specified above. SUPPLEMENTARY INFORMATION: The following is the complete text of the Maintenance of Expenditure (MOE) Proposed Policy as Amended on 2–19– 10. Notice: Request for Public Comment on Maintenance of Expenditure (MOE) Proposed Policy as Amended on 2–19–10 Policy Overview Statement The Help America Vote Act of 2002 (HAVA) requires States to meet an annual Maintenance of Expenditure (MOE) (also known as Maintenance of Effort) based on State expenditures for activities allowable under Title III of HAVA in the fiscal year prior to November 2000. HAVA requires that States establish a baseline spending level and then meet that spending level each year HAVA section 251 funds are spent by the State. The following questions and answers provide details on what is required to meet HAVA’s MOE requirement and how the U.S. Election Assistance Commission (EAC) will work with States to ensure they have a realistic, auditable plan for managing MOE requirements. 1. What Is the Purpose of the Maintenance of Expenditures (MOE) Requirement Mandated by HAVA? The purpose of MOE is to ensure that recipients of Section 251 funds (requirements payments) use the payments to meet the added requirements placed on States by HAVA, while maintaining the level of non-Federal funding that was available for those activities during the fiscal year ending prior to November 2000. erowe on DSK5CLS3C1PROD with NOTICES 2. Where in HAVA Is the MOE Requirement? Section 254 of HAVA details what must be in the State plan. An MOE description is one of the pre-conditions for receipt of a requirements payment disbursement. Section 254(a)(7) requires States to identify in their plans: ‘‘[H]ow the State, in using the requirements payment, will maintain the expenditures of the State for activities funded by the payment at a level that is not less than the level of such expenditures maintained by the State for the fiscal year ending prior to VerDate Nov<24>2008 14:14 Mar 18, 2010 Jkt 220001 November 2000.’’ 42 U.S.C. 15404(a)(7) (emphasis added). 3. What Does This MOE Policy Do? The purpose of this policy is to facilitate State compliance with the maintenance of effort (MOE) requirement in HAVA. This policy supersedes EAC Advisory drafts 07–003 and 07–003A. This policy provides guidelines and assistance for States to develop detailed, voluntary plans for identifying a baseline MOE level and maintaining that level in subsequent years. 4. Who Is Covered by This Policy? This policy applies directly to the 50 States, four U.S. Territories and the District of Columbia (referred to as States) that are eligible to receive Requirements Payments. This policy may also impact ‘‘lower tier’’ recipients indirectly (see below). However, States are ultimately responsible for demonstrating compliance with MOE. 5. What Does the EAC Mean by the Term ‘‘Lower Tier’’ Recipients? A lower tier recipient is political subdivision of a State. Depending on the State, lower tier recipients may include, but are not limited to, counties, cities, townships, and other jurisdictions. verification of information provided by persons seeking to register to vote; and, (6) improvement of the administration of elections for Federal office should be included in the baseline MOE. For example, State X appropriates $10 million for election activities eligible for funding under section 251 of HAVA. $2 million of the $10 million was appropriated to county Y to provide Federal provisional ballots on Election Day. The State’s MOE is $10 million because it includes all funds appropriated to counties for that year as part of its aggregate MOE. 8. When Would the EAC Like To Receive the Voluntary State MOE Plans and What Is the Process for Submission? EAC would like to receive MOE plans that can be submitted outside of the State plan by December 1, 2010. Once your plan is received, EAC’s grants department will work with your State to develop your MOE plan. EAC’s hope is to have MOE plans developed by each State that chooses to participate in the process in place by January 31, 2011. EAC will provide technical assistance, including easy to use templates and checklists for developing State MOE plans, by early summer 2010. 6. Do States Need To Account for Lower Tier (Local) Spending During the Base Year in Calculating MOE? MOE tracks State expenditures on a prescribed set of Federal election activities (see question 7), which includes any funds appropriated by the State to lower tier entities to support those activities. Under this MOE policy, States may exclude lower tier spending from MOE when the funds used by the lower tier entities are not derived from a State appropriation or expenditure. 9. Does This Policy Include a Set of Uniform Requirements That States Must Comply With To Establish a Baseline MOE and Meet Annual MOE Requirements? While this policy does call for a plan with specific elements for establishing, maintaining and reporting on MOE, EAC recognizes that the financing and administration of elections includes a particularly diverse set of practices that vary from State to State. As such, this policy calls for development of Statederived, flexible plans designed to meet each individual State’s circumstances. 7. What Types of Expenditures Must Be Used To Calculate the MOE Baseline Amount and Are Eligible To Count Towards Our Annual MOE Contribution? States must use all election expenditures that are allowable under Section 251 of HAVA, and that were funded directly by the State, or through a State appropriation to a lower tier entity in the base year, to calculate the baseline MOE. All allowable uses under Section 251 of HAVA, including: (1) Purchase of voting equipment; (2) development and operation of a statewide voter registration list; (3) development and implementation of provisional voting for Federal elections; (4) provision of information to voters at the polling place on election day; (5) 10. Our State Plan Already Acknowledges That We Will Meet the MOE Requirements. Do We Still Need To Submit the MOE Plan Discussed in This Policy? All States have acknowledged in their State plans that they intend to meet their MOE requirements. However, these statements do not contain information sufficient enough to guide an audit of how the State is meeting its MOE requirement. States adoption of detailed MOE plans will help ensure that States capture an accurate, defensible baseline MOE and are meeting annual MOE requirements. The plans will set the basis for auditing MOE and will help ensure that EAC resolution of any State-specific audit finding associated with MOE will be PO 00000 Frm 00023 Fmt 4703 Sfmt 4703 E:\FR\FM\19MRN1.SGM 19MRN1 Federal Register / Vol. 75, No. 53 / Friday, March 19, 2010 / Notices consistent with how that State has proposed to meet its MOE requirement. Submission of the MOE plan described in this document is, however, voluntary and may not be the only means of satisfying section 254a(7) HAVA. 11. What Should a State Include in Its MOE Plan? A State’s MOE plan should: 1. Provide the date parameters for the ‘fiscal year ending prior to November 2000’ as described in HAVA. This base year will be used to set the baseline MOE for the State. 2. Provide the specific cost factors that make up the baseline MOE, or proposed alternative method(s) for determining the baseline MOE. 3. Establish an MOE baseline dollar level that is an aggregation of MOE from all eligible jurisdictions. 4. Require collection of annual MOE levels from all eligible jurisdictions and outline a plan and timeline for collecting this information. 5. Describe the back-up documentation that States and eligible lower tier jurisdictions must maintain and make available for inspection by EAC upon request in order to substantiate the State’s MOE claim. Documentation must include a tracking sheet that shows MOE baseline and annual MOE levels at the State and eligible lower tier recipient levels. 6. Clearly state the roles and responsibilities of both State and eligible lower tier fund recipients for reporting MOE and keeping appropriate documentation to substantiate or validate yearly MOE levels. Note that both States and eligible lower tier recipients should do an annual certification of their MOE contribution. 12. What Is a Baseline MOE? The baseline MOE is a dollar amount that captures the level of State spending for a particular program or activity in the base year. In the case of HAVA, the baseline is the State spending level for a set of election’s activities (see question 11 below) that was in place in the fiscal year ending prior to November 2000. erowe on DSK5CLS3C1PROD with NOTICES 13. What Dates Should a State Use To Calculate MOE? HAVA requires that States use the fiscal year ending prior to November 2000 to determine the MOE baseline. States may choose the Federal fiscal year, which runs from October 1, 1999 through September 30, 2000; or the State fiscal year, if it is different from the Federal fiscal year. VerDate Nov<24>2008 14:14 Mar 18, 2010 Jkt 220001 14. How Do We Know If Our State or Lower Tier Recipient Have an MOE Requirement in a Given Year? Each State has an MOE obligation in every fiscal year that it spends HAVA Requirements Payments funds. Eligible lower tier recipients may need to meet MOE in any fiscal year in which they receive Requirements Payments through the State, dependent upon how the State decides it wants to meet it’s annual MOE contribution. 15. What Are the Reporting Requirements Associated With MOE Once a State Has an MOE Plan on File With the EAC? Pursuant to section 254(a)(12) and section 258(3) of HAVA, each State is required to submit as part of its annual report a description and analysis of how it has met or exceeded its baseline MOE for the preceding fiscal year. Appropriate back-up documentation, as described in the State’s MOE plan, must be kept on file and made available to EAC staff during site visits or to auditors or other officials during an audit or investigation. 16. Should Our State Provide a Single, Aggregate Baseline Amount for MOE, or a Series of MOE Baseline Amounts for Each Eligible Local Jurisdiction? EAC’s requirement is that States provide a single baseline and report an annual aggregate MOE amount. However, because States will have to substantiate MOE levels, tracking MOE for all eligible lower tier entities that are required by the State to contribute to the MOE is will probably be necessary. 17. Do States Have Any Flexibility in How Much Is Spent Annually in Each of the Cost Categories Identified by the Plan, or Do They Have To Maintain Expenditures in Each of the Categories? A State’s MOE plan should track expenditures by category to identify the MOE baseline and annual contributions. However, this policy does not require States and eligible lower tier fund recipients to maintain specific expenditures within the identified cost categories. This policy clarifies that only the aggregate State MOE level needs to be met on an annual basis. In meeting the MOE baseline of spending, it is left to the State to determine how that baseline is met, as an aggregate. For example, a State spent HAVA 251 funds in 2008. In that fiscal year, that State may have chosen to expend more of its State funds on its voter registration database and less of its State funds on providing information to voters at the polls than it did in the fiscal year ending prior to November PO 00000 Frm 00024 Fmt 4703 Sfmt 4703 13267 2000. As long as the total baseline MOE is met by adding up all the categories, as an aggregate, individual spending for a single category does not have to equal the exact amount spent on that category in the fiscal year ending prior to November 2000. 18. What Happens If Our State Fails To Meet Its MOE? Any audit findings related to a State not meeting its MOE requirements will be dealt with through EAC’s Audit Resolution Process. All current and future audits and compliance site visits that review MOE will be guided by the State’s MOE plan, from the point plan is accepted by the EAC forward. 19. How Can States Establish the Baseline MOE for Lower Tier Recipients Where Those Jurisdictions Lack the Records or Detailed Accounting Needed To Determine the Level of Spending on Elections in the Base Year? States may propose an alternative measure for estimating spending in the base year, but only after demonstrating that accurate records are not attainable. Some alternative measures might include budgeted or appropriated amounts, contract amounts, or similar means compiled from available records from the base year. States might also estimate spending based on average increases over time, but must provide adequate justification and documentation to support the estimate. 20. Do These States Have To Collect MOE Information Every Year From Eligible Lower Tier Recipients? Each State has the ability to determine how it wants to meet its MOE obligation. Once the baseline is established by the State, by identifying all expenditures with State funds in the base year that would have been allowable costs under HAVA, the State will need to determine how it would like to meet that MOE obligation on an annual basis. If lower tier entities are enlisted by the State to help meet MOE (similar to how some counties contribute to State match obligations for Requirement Payments) those enlisted entities will have to keep appropriate documentation to substantiate their MOE contributions. EAC will provide templates that allow for quick recording and roll-up of this information to the State level. E:\FR\FM\19MRN1.SGM 19MRN1 13268 Federal Register / Vol. 75, No. 53 / Friday, March 19, 2010 / Notices 21. How Should States Address Capital Expenditures in the Base Year? For Example, Several Counties Purchased Equipment in the Base Year, Which Appears To Establish an Unreasonable MOE Baseline for Those Jurisdictions For purposes of establishing the baseline MOE, HAVA does not make a distinction between capital expenditures and recurring costs associated with election administration that were incurred in the base year. However, when calculating MOE baselines, capital expenditures may be expensed in a manner consistent with IRS depreciation tables, over the expected life of the equipment purchased. 22. How Do States Establish a Baseline MOE When the Year Before FY 2000 Was Not an Election Year and the Election Administration Costs in That Year Were Lower Than in an Election Year? HAVA is clear that the timeframe for setting the baseline MOE is the year before November 2000. 23. Does the EAC Have Any Suggestions for How To Enforce MOE Requirements With Eligible Lower Tier Fund Recipients? States should have several mechanisms available to ensure compliance with MOE requirements. Sub-grant agreements should be modified to contain MOE requirements and instructions. Any agreements to buy and transfer equipment or services to lower tier jurisdictions should also contain such a requirement. Finally, States, as the legal recipient of HAVA funds, have authority to enforce MOE requirements through administrative action which could include withholding future requirement payments. erowe on DSK5CLS3C1PROD with NOTICES 24. Can You Provide an Example of Another Federal Agency That Requires Tracking of MOE at This Detailed Level? State and local education agencies are required to go through a similar process to meet their MOE requirements for Federal funding from the U.S. Department of Education. 25. What Type of Assistance and Training Can the States Expect From the EAC To Help Implement This Policy? EAC grants staff will be available to provide guidance to States on their MOE plans. In addition, EAC plans to provide technical assistance to develop tools and templates to help capture and track MOE. EAC will also publish sample MOE plans from States willing to share their work with others as a best practices guideline. VerDate Nov<24>2008 14:14 Mar 18, 2010 Jkt 220001 26. What Authority in HAVA Allows EAC To Implement This Proposed Policy? Section 254(a)(7) of HAVA requires States to include in their State plan an explanation of how they will meet their MOE obligations. Submitting a State plan and all of its required sections is a precondition for receiving a requirement payment. Section 258(3) requires States to submit a yearly report that includes an analysis and description of the activities funded with Section 251 funds, as well as how activities conform to the State Plan under Section 254. This policy defines MOE and provides States with a voluntary set of guidelines and practices for developing a baseline MOE and tracking yearly progress towards meeting that obligation. Section 202(4) of HAVA requires that EAC provide information and training on the management of payments and grants provided through HAVA. Thomas R. Wilkey, Executive Director, U.S. Election Assistance Commission. [FR Doc. 2010–6006 Filed 3–18–10; 8:45 am] Protection, P.O. Box 1178, Richland, Washington, 99352, 888–829–6347. The Draft EIS is also available at DOE’s National Environmental Policy Act (NEPA) Web site at https:// www.gc.energy.gov/nepa. FOR FURTHER INFORMATION CONTACT: For further information on the Draft EIS, contact Ms. Burandt at the address above or by telephone at 1–888–785– 2865. For further information on DOE’s NEPA process, contact Carol M. Borgstrom, Director, Office of NEPA Policy and Compliance, Office of General Counsel, U.S. Department of Energy, Washington, DC 20585–0103, Telephone: (202) 586–4600, or leave a message at (800) 472–2756. Further information on the Draft EIS is also available through the Hanford Web site at: https://www.hanford.gov/orp. Issued in Washington, DC, on March 15, 2010. William M. Levitan, Director, Office of Environmental Compliance, Office of Environmental Management. [FR Doc. 2010–6046 Filed 3–18–10; 8:45 am] BILLING CODE 6450–01–P BILLING CODE 6820–KF–P DEPARTMENT OF ENERGY DEPARTMENT OF ENERGY Extension of the Public Comment Period for the Draft Tank Closure and Waste Management Environmental Impact Statement for the Hanford Site, Richland, WA Department of Energy. ACTION: Extension of the public comment period. AGENCY: SUMMARY: The U.S. Department of Energy (DOE) is extending the public comment period for the Draft Tank Closure and Waste Management Environmental Impact Statement for the Hanford Site, Richland, Washington (Draft EIS, DOE/EIS–00391), made available for public comment on October 30, 2009 (74 FR 56194). The public comment period for the Draft EIS was to complete on March 19, 2010, and will be extended for 45 days. The new date for the close of the Public Comment period is now May 3, 2010. The extension is being made at the request of several reviewers. ADDRESSES: The Draft EIS is available electronically through, and written comments can be submitted at, TC&WMEIS@saic.com, or by faxing to (888) 785–2865. Paper copies may be obtained by request to the EIS Web site or by contacting: Mary Beth Burandt, Document Manager, Office of River PO 00000 Frm 00025 Fmt 4703 Sfmt 4703 Environmental Management SiteSpecific Advisory Board, Oak Ridge Reservation Department of Energy. Notice of open meeting. AGENCY: ACTION: SUMMARY: This notice announces a meeting of the Environmental Management Site-Specific Advisory Board (EM SSAB), Oak Ridge Reservation. The Federal Advisory Committee Act (Pub. L. No. 92–463, 86 Stat. 770) requires that public notice of this meeting be announced in the Federal Register. DATES: Wednesday, April 14, 2010, 6 p.m. ADDRESSES: DOE Information Center, 475 Oak Ridge Turnpike, Oak Ridge, Tennessee. FOR FURTHER INFORMATION CONTACT: Patricia J. Halsey, Federal Coordinator, Department of Energy Oak Ridge Operations Office, P.O. Box 2001, EM– 90, Oak Ridge, TN 37831. Phone (865) 576–4025; Fax (865) 576–2347 or e-mail: halseypj@oro.doe.gov or check the Web site at https://www.oakridge.doe.gov/em/ ssab. SUPPLEMENTARY INFORMATION: Purpose of the Board: The purpose of the Board is to make recommendations to DOE–EM and site management in the areas of environmental restoration, E:\FR\FM\19MRN1.SGM 19MRN1

Agencies

[Federal Register Volume 75, Number 53 (Friday, March 19, 2010)]
[Notices]
[Pages 13265-13268]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-6006]


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ELECTION ASSISTANCE COMMISSION


Request for Public Comment on Maintenance of Expenditure (MOE) 
Proposed Policy as Amended on 2-19-10

AGENCY: United States Election Assistance Commission.

ACTION: Notice: Request for Public Comment.

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SUMMARY: The EAC seeks public comment on a Maintenance of Expenditure 
(MOE) Proposed Policy as Amended on 2-19-10. This advisory would 
supersede Advisories 07-003 and 07-003A and fulfill the Election 
Assistance Commission's (EAC) ongoing responsibility to provide 
information on the management of Federal funds provided under the Help 
America Vote Act (HAVA). EAC issues this notice according to a policy 
adopted on September 18, 2008 that requires EAC to provide notice and 
an opportunity for public comment on, among other things, advisories 
being considered for adoption by the U.S. Election Assistance 
Commission.

DATES: Comments must be received by 5 p.m. EST on April 19, 2010.

ADDRESSES: Comments may be submitted: Via e-mail at 
havacomments@eac.gov, and
    Via mail addressed to the U.S. Election Assistance Commission, 1201 
New York Ave, NW., Suite 300,

[[Page 13266]]

Washington, DC 20005, or by fax at 202/566-3127.
    Commenters are encouraged to submit comments electronically and 
include ``MOE'' in the subject line, to ensure timely receipt and 
consideration. All comments must be received by the EAC by the date 
specified above.

SUPPLEMENTARY INFORMATION:  The following is the complete text of the 
Maintenance of Expenditure (MOE) Proposed Policy as Amended on 2-19-10.

Notice: Request for Public Comment on Maintenance of Expenditure (MOE) 
Proposed Policy as Amended on 2-19-10

Policy Overview Statement

    The Help America Vote Act of 2002 (HAVA) requires States to meet an 
annual Maintenance of Expenditure (MOE) (also known as Maintenance of 
Effort) based on State expenditures for activities allowable under 
Title III of HAVA in the fiscal year prior to November 2000. HAVA 
requires that States establish a baseline spending level and then meet 
that spending level each year HAVA section 251 funds are spent by the 
State. The following questions and answers provide details on what is 
required to meet HAVA's MOE requirement and how the U.S. Election 
Assistance Commission (EAC) will work with States to ensure they have a 
realistic, auditable plan for managing MOE requirements.

1. What Is the Purpose of the Maintenance of Expenditures (MOE) 
Requirement Mandated by HAVA?

    The purpose of MOE is to ensure that recipients of Section 251 
funds (requirements payments) use the payments to meet the added 
requirements placed on States by HAVA, while maintaining the level of 
non-Federal funding that was available for those activities during the 
fiscal year ending prior to November 2000.

2. Where in HAVA Is the MOE Requirement?

    Section 254 of HAVA details what must be in the State plan. An MOE 
description is one of the pre-conditions for receipt of a requirements 
payment disbursement. Section 254(a)(7) requires States to identify in 
their plans:
    ``[H]ow the State, in using the requirements payment, will maintain 
the expenditures of the State for activities funded by the payment at a 
level that is not less than the level of such expenditures maintained 
by the State for the fiscal year ending prior to November 2000.'' 42 
U.S.C. 15404(a)(7) (emphasis added).

3. What Does This MOE Policy Do?

    The purpose of this policy is to facilitate State compliance with 
the maintenance of effort (MOE) requirement in HAVA.
    This policy supersedes EAC Advisory drafts 07-003 and 07-003A. This 
policy provides guidelines and assistance for States to develop 
detailed, voluntary plans for identifying a baseline MOE level and 
maintaining that level in subsequent years.

4. Who Is Covered by This Policy?

    This policy applies directly to the 50 States, four U.S. 
Territories and the District of Columbia (referred to as States) that 
are eligible to receive Requirements Payments. This policy may also 
impact ``lower tier'' recipients indirectly (see below). However, 
States are ultimately responsible for demonstrating compliance with 
MOE.

5. What Does the EAC Mean by the Term ``Lower Tier'' Recipients?

    A lower tier recipient is political subdivision of a State. 
Depending on the State, lower tier recipients may include, but are not 
limited to, counties, cities, townships, and other jurisdictions.

6. Do States Need To Account for Lower Tier (Local) Spending During the 
Base Year in Calculating MOE?

    MOE tracks State expenditures on a prescribed set of Federal 
election activities (see question 7), which includes any funds 
appropriated by the State to lower tier entities to support those 
activities. Under this MOE policy, States may exclude lower tier 
spending from MOE when the funds used by the lower tier entities are 
not derived from a State appropriation or expenditure.

7. What Types of Expenditures Must Be Used To Calculate the MOE 
Baseline Amount and Are Eligible To Count Towards Our Annual MOE 
Contribution?

    States must use all election expenditures that are allowable under 
Section 251 of HAVA, and that were funded directly by the State, or 
through a State appropriation to a lower tier entity in the base year, 
to calculate the baseline MOE. All allowable uses under Section 251 of 
HAVA, including: (1) Purchase of voting equipment; (2) development and 
operation of a statewide voter registration list; (3) development and 
implementation of provisional voting for Federal elections; (4) 
provision of information to voters at the polling place on election 
day; (5) verification of information provided by persons seeking to 
register to vote; and, (6) improvement of the administration of 
elections for Federal office should be included in the baseline MOE.
    For example, State X appropriates $10 million for election 
activities eligible for funding under section 251 of HAVA. $2 million 
of the $10 million was appropriated to county Y to provide Federal 
provisional ballots on Election Day. The State's MOE is $10 million 
because it includes all funds appropriated to counties for that year as 
part of its aggregate MOE.

8. When Would the EAC Like To Receive the Voluntary State MOE Plans and 
What Is the Process for Submission?

    EAC would like to receive MOE plans that can be submitted outside 
of the State plan by December 1, 2010. Once your plan is received, 
EAC's grants department will work with your State to develop your MOE 
plan. EAC's hope is to have MOE plans developed by each State that 
chooses to participate in the process in place by January 31, 2011. EAC 
will provide technical assistance, including easy to use templates and 
checklists for developing State MOE plans, by early summer 2010.

9. Does This Policy Include a Set of Uniform Requirements That States 
Must Comply With To Establish a Baseline MOE and Meet Annual MOE 
Requirements?

    While this policy does call for a plan with specific elements for 
establishing, maintaining and reporting on MOE, EAC recognizes that the 
financing and administration of elections includes a particularly 
diverse set of practices that vary from State to State. As such, this 
policy calls for development of State-derived, flexible plans designed 
to meet each individual State's circumstances.

10. Our State Plan Already Acknowledges That We Will Meet the MOE 
Requirements. Do We Still Need To Submit the MOE Plan Discussed in This 
Policy?

    All States have acknowledged in their State plans that they intend 
to meet their MOE requirements. However, these statements do not 
contain information sufficient enough to guide an audit of how the 
State is meeting its MOE requirement. States adoption of detailed MOE 
plans will help ensure that States capture an accurate, defensible 
baseline MOE and are meeting annual MOE requirements. The plans will 
set the basis for auditing MOE and will help ensure that EAC resolution 
of any State-specific audit finding associated with MOE will be

[[Page 13267]]

consistent with how that State has proposed to meet its MOE 
requirement. Submission of the MOE plan described in this document is, 
however, voluntary and may not be the only means of satisfying section 
254a(7) HAVA.

11. What Should a State Include in Its MOE Plan?

    A State's MOE plan should:
    1. Provide the date parameters for the `fiscal year ending prior to 
November 2000' as described in HAVA. This base year will be used to set 
the baseline MOE for the State.
    2. Provide the specific cost factors that make up the baseline MOE, 
or proposed alternative method(s) for determining the baseline MOE.
    3. Establish an MOE baseline dollar level that is an aggregation of 
MOE from all eligible jurisdictions.
    4. Require collection of annual MOE levels from all eligible 
jurisdictions and outline a plan and timeline for collecting this 
information.
    5. Describe the back-up documentation that States and eligible 
lower tier jurisdictions must maintain and make available for 
inspection by EAC upon request in order to substantiate the State's MOE 
claim. Documentation must include a tracking sheet that shows MOE 
baseline and annual MOE levels at the State and eligible lower tier 
recipient levels.
    6. Clearly state the roles and responsibilities of both State and 
eligible lower tier fund recipients for reporting MOE and keeping 
appropriate documentation to substantiate or validate yearly MOE 
levels. Note that both States and eligible lower tier recipients should 
do an annual certification of their MOE contribution.

12. What Is a Baseline MOE?

    The baseline MOE is a dollar amount that captures the level of 
State spending for a particular program or activity in the base year. 
In the case of HAVA, the baseline is the State spending level for a set 
of election's activities (see question 11 below) that was in place in 
the fiscal year ending prior to November 2000.

13. What Dates Should a State Use To Calculate MOE?

    HAVA requires that States use the fiscal year ending prior to 
November 2000 to determine the MOE baseline. States may choose the 
Federal fiscal year, which runs from October 1, 1999 through September 
30, 2000; or the State fiscal year, if it is different from the Federal 
fiscal year.

14. How Do We Know If Our State or Lower Tier Recipient Have an MOE 
Requirement in a Given Year?

    Each State has an MOE obligation in every fiscal year that it 
spends HAVA Requirements Payments funds. Eligible lower tier recipients 
may need to meet MOE in any fiscal year in which they receive 
Requirements Payments through the State, dependent upon how the State 
decides it wants to meet it's annual MOE contribution.

15. What Are the Reporting Requirements Associated With MOE Once a 
State Has an MOE Plan on File With the EAC?

    Pursuant to section 254(a)(12) and section 258(3) of HAVA, each 
State is required to submit as part of its annual report a description 
and analysis of how it has met or exceeded its baseline MOE for the 
preceding fiscal year. Appropriate back-up documentation, as described 
in the State's MOE plan, must be kept on file and made available to EAC 
staff during site visits or to auditors or other officials during an 
audit or investigation.

16. Should Our State Provide a Single, Aggregate Baseline Amount for 
MOE, or a Series of MOE Baseline Amounts for Each Eligible Local 
Jurisdiction?

    EAC's requirement is that States provide a single baseline and 
report an annual aggregate MOE amount. However, because States will 
have to substantiate MOE levels, tracking MOE for all eligible lower 
tier entities that are required by the State to contribute to the MOE 
is will probably be necessary.

17. Do States Have Any Flexibility in How Much Is Spent Annually in 
Each of the Cost Categories Identified by the Plan, or Do They Have To 
Maintain Expenditures in Each of the Categories?

    A State's MOE plan should track expenditures by category to 
identify the MOE baseline and annual contributions. However, this 
policy does not require States and eligible lower tier fund recipients 
to maintain specific expenditures within the identified cost 
categories. This policy clarifies that only the aggregate State MOE 
level needs to be met on an annual basis.
    In meeting the MOE baseline of spending, it is left to the State to 
determine how that baseline is met, as an aggregate. For example, a 
State spent HAVA 251 funds in 2008. In that fiscal year, that State may 
have chosen to expend more of its State funds on its voter registration 
database and less of its State funds on providing information to voters 
at the polls than it did in the fiscal year ending prior to November 
2000. As long as the total baseline MOE is met by adding up all the 
categories, as an aggregate, individual spending for a single category 
does not have to equal the exact amount spent on that category in the 
fiscal year ending prior to November 2000.

18. What Happens If Our State Fails To Meet Its MOE?

    Any audit findings related to a State not meeting its MOE 
requirements will be dealt with through EAC's Audit Resolution Process. 
All current and future audits and compliance site visits that review 
MOE will be guided by the State's MOE plan, from the point plan is 
accepted by the EAC forward.

19. How Can States Establish the Baseline MOE for Lower Tier Recipients 
Where Those Jurisdictions Lack the Records or Detailed Accounting 
Needed To Determine the Level of Spending on Elections in the Base 
Year?

    States may propose an alternative measure for estimating spending 
in the base year, but only after demonstrating that accurate records 
are not attainable. Some alternative measures might include budgeted or 
appropriated amounts, contract amounts, or similar means compiled from 
available records from the base year. States might also estimate 
spending based on average increases over time, but must provide 
adequate justification and documentation to support the estimate.

20. Do These States Have To Collect MOE Information Every Year From 
Eligible Lower Tier Recipients?

    Each State has the ability to determine how it wants to meet its 
MOE obligation. Once the baseline is established by the State, by 
identifying all expenditures with State funds in the base year that 
would have been allowable costs under HAVA, the State will need to 
determine how it would like to meet that MOE obligation on an annual 
basis. If lower tier entities are enlisted by the State to help meet 
MOE (similar to how some counties contribute to State match obligations 
for Requirement Payments) those enlisted entities will have to keep 
appropriate documentation to substantiate their MOE contributions. EAC 
will provide templates that allow for quick recording and roll-up of 
this information to the State level.

[[Page 13268]]

21. How Should States Address Capital Expenditures in the Base Year? 
For Example, Several Counties Purchased Equipment in the Base Year, 
Which Appears To Establish an Unreasonable MOE Baseline for Those 
Jurisdictions

    For purposes of establishing the baseline MOE, HAVA does not make a 
distinction between capital expenditures and recurring costs associated 
with election administration that were incurred in the base year. 
However, when calculating MOE baselines, capital expenditures may be 
expensed in a manner consistent with IRS depreciation tables, over the 
expected life of the equipment purchased.

22. How Do States Establish a Baseline MOE When the Year Before FY 2000 
Was Not an Election Year and the Election Administration Costs in That 
Year Were Lower Than in an Election Year?

    HAVA is clear that the timeframe for setting the baseline MOE is 
the year before November 2000.

23. Does the EAC Have Any Suggestions for How To Enforce MOE 
Requirements With Eligible Lower Tier Fund Recipients?

    States should have several mechanisms available to ensure 
compliance with MOE requirements. Sub-grant agreements should be 
modified to contain MOE requirements and instructions. Any agreements 
to buy and transfer equipment or services to lower tier jurisdictions 
should also contain such a requirement. Finally, States, as the legal 
recipient of HAVA funds, have authority to enforce MOE requirements 
through administrative action which could include withholding future 
requirement payments.

24. Can You Provide an Example of Another Federal Agency That Requires 
Tracking of MOE at This Detailed Level?

    State and local education agencies are required to go through a 
similar process to meet their MOE requirements for Federal funding from 
the U.S. Department of Education.

25. What Type of Assistance and Training Can the States Expect From the 
EAC To Help Implement This Policy?

    EAC grants staff will be available to provide guidance to States on 
their MOE plans. In addition, EAC plans to provide technical assistance 
to develop tools and templates to help capture and track MOE. EAC will 
also publish sample MOE plans from States willing to share their work 
with others as a best practices guideline.

26. What Authority in HAVA Allows EAC To Implement This Proposed 
Policy?

    Section 254(a)(7) of HAVA requires States to include in their State 
plan an explanation of how they will meet their MOE obligations. 
Submitting a State plan and all of its required sections is a 
precondition for receiving a requirement payment. Section 258(3) 
requires States to submit a yearly report that includes an analysis and 
description of the activities funded with Section 251 funds, as well as 
how activities conform to the State Plan under Section 254. This policy 
defines MOE and provides States with a voluntary set of guidelines and 
practices for developing a baseline MOE and tracking yearly progress 
towards meeting that obligation. Section 202(4) of HAVA requires that 
EAC provide information and training on the management of payments and 
grants provided through HAVA.

Thomas R. Wilkey,
Executive Director, U.S. Election Assistance Commission.
[FR Doc. 2010-6006 Filed 3-18-10; 8:45 am]
BILLING CODE 6820-KF-P
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