Final Requirements; American Rescue Plan Act Homeless Children and Youth Program, 36222-36227 [2021-14705]
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Federal Register / Vol. 86, No. 129 / Friday, July 9, 2021 / Rules and Regulations
provide information that enables the
public to make choices.
Executive Order 13563 also requires
an agency ‘‘to use the best available
techniques to quantify anticipated
present and future benefits and costs as
accurately as possible.’’ The Office of
Information and Regulatory Affairs of
OMB has emphasized that these
techniques may include ‘‘identifying
changing future compliance costs that
might result from technological
innovation or anticipated behavioral
changes.’’
We are issuing this final priority and
definition only on a reasoned
determination that their benefits justify
their costs. In choosing among
alternative regulatory approaches, we
selected those approaches that
maximize net benefits. Based on the
analysis that follows, the Department
believes that this regulatory action is
consistent with the principles in
Executive Order 13563.
We also have determined that this
regulatory action does not unduly
interfere with State, local, and Tribal
governments in the exercise of their
governmental functions.
The Department believes that this
regulatory action will not impose
significant costs on eligible entities,
whose participation in our programs is
voluntary, and costs can generally be
covered with grant funds. As a result,
the priority and definition will not
impose any particular burden except
when an entity voluntarily elects to
apply for a grant. The benefits of the
priority and definition will outweigh
any associated costs because they will
help ensure that the Department’s TSL
grant program selects high-quality
applicants to implement activities that
are designed to address High-Need
Schools.
Regulatory Flexibility Act
Certification: The Secretary certifies that
this regulatory action does not have a
significant economic impact on a
substantial number of small entities.
The U.S. Small Business Administration
Size Standards define proprietary
institutions as small businesses if they
are independently owned and operated,
are not dominant in their field of
operation, and have total annual
revenue below $7,000,000. Nonprofit
institutions are defined as small entities
if they are independently owned and
operated and not dominant in their field
of operation. Public institutions are
defined as small organizations if they
are operated by a government
overseeing a population below 50,000.
The small entities that this regulatory
action would affect are school districts,
nonprofit organizations, and for-profit
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organizations. Of the impacts we
estimate accruing to grantees or eligible
entities, all are voluntary and related
mostly to an increase in the number of
applications prepared and submitted
annually for competitive grant
competitions. Therefore, we do not
believe that the priority and definition
would significantly impact small
entities beyond the potential for
increasing the likelihood of their
applying for, and receiving, competitive
grants from the Department.
Paperwork Reduction Act of 1995:
The priority and definition contain
information collection requirements that
are approved by OMB under OMB
control number 1810–0758; the priority
and definition do not affect the
currently approved data collection. An
FY 2021 competition would require
applicants to complete and submit an
application for Federal assistance using
Department standard application forms.
As a part of the application submission,
respondents, who are LEAs, State
educational agencies, the Bureau of
Indian Education, nonprofit or for-profit
organizations, or a combination thereof,
will submit information demonstrating
that each school included in the TSLassisted project is a High-Need school.
We estimate that for the FY 2021 TSL
competition and later competitions,
each applicant will spend
approximately 87 hours of staff time to
address the priority and definition.
Based on the number of applications the
Department received in the FY 2020
TSL competition, we expect to receive
approximately 100 applications for
these funds. The total number of hours
for all expected applicants to address
this priority and definition is an
estimated 8,700 hours.
Intergovernmental Review: This
program is subject to Executive Order
12372 and the regulations in 34 CFR
part 79. One of the objectives of the
Executive order is to foster an
intergovernmental partnership and a
strengthened federalism. The Executive
order relies on processes developed by
State and local governments for
coordination and review of proposed
Federal financial assistance. This
document provides early notification of
our specific plans and actions for this
program.
Accessible Format: On request to the
program contact person listed under FOR
FURTHER INFORMATION CONTACT,
individuals with disabilities can obtain
this document in an accessible format.
The Department will provide the
requestor with an accessible format that
may include Rich Text Format (RTF) or
text format (txt), a thumb drive, an MP3
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file, braille, large print, audiotape, or
compact disc, or other accessible format.
Electronic Access to This Document:
The official version of this document is
the document published in the Federal
Register. You may access the official
edition of the Federal Register and the
Code of Federal Regulations at:
www.govinfo.gov. At this site you can
view this document, as well as all other
documents of this Department
published in the Federal Register, in
text or Portable Document Format
(PDF). To use PDF you must have
Adobe Acrobat Reader, which is
available free at the site.
You may also access documents of the
Department published in the Federal
Register by using the article search
feature at: www.federalregister.gov.
Specifically, through the advanced
search feature at this site, you can limit
your search to documents published by
the Department.
Ian Rosenblum,
Deputy Assistant Secretary for Policy and
Programs Delegated the Authority to Perform
the Functions and Duties of the Assistant
Secretary, Office of Elementary and
Secondary Education.
[FR Doc. 2021–14712 Filed 7–8–21; 8:45 am]
BILLING CODE 4000–01–P
DEPARTMENT OF EDUCATION
34 CFR Chapter II
RIN 1801–AA24
Final Requirements; American Rescue
Plan Act Homeless Children and Youth
Program
Office of Elementary and
Secondary Education, Department of
Education.
ACTION: Final requirements.
AGENCY:
The Department of Education
(Department) establishes requirements
for the Homeless Children and Youth
program (ARP–HCY), under section
2001(b)(1) of the American Rescue Plan
Act of 2021 (ARP Act). These
requirements are intended to clarify
program requirements and streamline
and clarify the process for State
educational agencies (SEAs) to award
subgrants to local educational agencies
(LEAs).
DATES: These final requirements take
effect July 9, 2021.
FOR FURTHER INFORMATION CONTACT:
Deborah Spitz, U.S. Department of
Education, 400 Maryland Avenue SW,
Room 3W200, Washington, DC 20202.
Telephone: (202) 260–3793. Email:
deborah.spitz@ed.gov.
SUMMARY:
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If you use a telecommunications
device for the deaf (TDD) or a text
telephone (TTY), call the Federal Relay
Service (FRS), toll free, at 1–800–877–
8339.
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SUPPLEMENTARY INFORMATION:
Purpose of Program: The ARP–HCY
program provides a total of $800 million
for the Secretary of Education
(Secretary) to use for the purposes of
identifying homeless children and
youth and providing homeless children
and youth with wrap-around services in
light of the challenges of the COVID–19
pandemic and assistance needed to
enable homeless children and youth to
attend school and participate fully in
school activities. These funds may be
used by States to address urgent needs
of children and youth experiencing
homelessness—including academic,
social, emotional, and mental health
needs. The funds will also be used by
States and local educational agencies
(LEAs) to increase capacity by hiring
staff, dedicating resources, and planning
partnerships with community-based
organizations, among other strategies.
Program Authority: Section 2001(b)(1)
of the ARP Act, Public Law 117–2,
March 11, 2021.
Background: The ARP–HCY program
provides $800 million to fund vital
assistance to homeless children and
youth. On April 26, 2021, the
Department released approximately 25
percent of these funds (ARP Homeless I)
as a supplement to SEAs’ grants under
the Education for Homeless Children
and Youths (EHCY) program authorized
by Title VII–B of the McKinney-Vento
Homeless Assistance Act (McKinneyVento Act). SEAs and LEAs may use
ARP Homeless I funds for a wide range
of services and activities, including
tutoring, transportation, coordination
with housing, health and social services,
counseling, and other supports for
academic, social, emotional, and mental
health needs, to address the urgent
needs of homeless children and youth.
Funds may also be used to build SEA
and LEA capacity to effectively
administer these funds. SEAs were
encouraged to use the initial
disbursement of funds to supplement
existing EHCY grants, and many have
done so or are in the process of doing
so.
The Secretary is establishing final
requirements for the second
disbursement of ARP–HCY funds (ARP
Homeless II) related to program
requirements and the formula for the
SEAs’ distribution of these funds to
LEAs.
In paragraph (a) of the final
requirements, the Department provides
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that the requirements apply to an SEA’s
ARP Homeless II allocation.
Paragraph (b) provides that the funds
are subject to all provisions of Title VII–
B of the McKinney-Vento Act, except as
provided in paragraph (c), which
governs subgrants to LEAs. The
Department establishes this requirement
because the EHCY program supports an
existing infrastructure of State
Coordinators in States and local liaisons
in LEAs. Furthermore, the allowable
activities under this program are
broadly defined and meet a wide range
of academic, social, emotional, and
mental health needs of children and
youth experiencing homelessness.
Creating a program with different
requirements and a different
infrastructure is likely to result in
confusion and duplication of efforts, at
a time when students urgently need
support.
Paragraph (c) of the requirements
contains a formula for the SEAs’
distribution of funds to LEAs from the
funds remaining after the SEA State
activities reservation (which may be up
to 25 percent of the SEA’s award,
consistent with section 722(e)(2) of the
McKinney-Vento Act). The McKinneyVento Act includes a statutory
requirement that States distribute at
least 75 percent of funds to LEAs. It also
requires SEAs to award these funds
competitively to LEAs using criteria
based on need and quality. This
requirement ensures that the limited
EHCY program funds that have
historically been appropriated under
this program are distributed to the LEAs
with the greatest need but has also
resulted in only approximately 25
percent of LEAs receiving EHCY
subgrants. Given the substantial
increase in funding for supports and
services for homeless children and
youth under the ARP Act, the need for
rapid distribution to meet urgent
student needs, and the importance of
serving students experiencing
homelessness in communities that have
not historically participated in the
EHCY subgrant program, the
Department establishes a requirement in
paragraph (c)(1) that the SEA distribute
the ARP Homeless II funds to LEAs by
formula rather than competition.
Requiring SEAs to distribute the ARP
Homeless II funds to LEAs by formula
will ensure that the vast majority of
LEAs will be able to receive subgrants.
The formula is based equally on the
proportional share of an LEA’s
allocation under Title I, Part A of the
Elementary and Secondary Education
Act of 1965 (ESEA) for the most recent
fiscal year, and the LEA’s proportional
share of the number of homeless
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children and youth identified by each
LEA relative to all LEAs in the State,
using the greater of the number of
homeless children and youth in either
the 2018–19 or 2019–20 school year in
each LEA. This formula ensures a
balance in the distribution of funds to
focus on the needs of the LEAs,
considering both the LEA’s number of
low-income students and the number of
homeless children and youth. In
addition, allowing the use of either the
2018–19 school year or 2019–20 school
year homeless counts takes into
consideration the potential for
undercounting in the 2019–20 school
year due to COVID–19 by allowing LEAs
to use the greater of the two numbers.
The Department establishes in
paragraph (c)(2) that an LEA must have
an allocation of at least $5,000 under the
formula to be eligible for an ARP
Homeless II subgrant on its own. This
$5,000 minimum will enable each
subgrantee to have sufficient ARP
Homeless II funds to address the needs
of homeless children and youth. We
chose as the threshold the smallest
amount reasonable to sufficiently
implement a local program. If an LEA’s
allocation would be less than $5,000, in
order to receive an ARP Homeless II
subgrant, the LEA must join a
consortium of LEAs in which the sum
of its members’ allocations meets the
$5,000 threshold. For LEAs with an
allocation less than $5,000, the rule
encourages the use of consortia to create
favorable economies of scale.
Final Requirements: The Secretary
establishes the following final
requirements for the ARP–HCY
program.
(a) Applicability. These requirements
apply to a State educational agency’s
(SEA) second allocation of funds from
the Department of Education under
section 2001(b)(1) of the American
Rescue Plan Act of 2021 (ARP Homeless
II).
(b) Program administration. The funds
described in paragraph (a) are subject to
all provisions of Title VII–B of the
McKinney-Vento Homeless Assistance
Act, except as provided in paragraph (c).
(c) Subgrants to local educational
agencies (LEAs).
(1) Each SEA must award subgrants
by allocating not less than 75 percent of
the funds it receives under the ARP
Homeless II program to LEAs as follows:
(i) 50 percent in proportion to the
amount that each LEA received under
Part A of Title I of the Elementary and
Secondary Education Act of 1965, as
amended, for the most recent fiscal year;
and
(ii) 50 percent in proportion to the
number of homeless children and youth
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identified by each LEA relative to all
LEAs in the State, using the greater of
the number of homeless children and
youth in either the 2018–19 or 2019–20
school year in each LEA.
(2) An SEA may not make a subgrant
to an LEA under paragraph (c)(1) if the
amount of such subgrant would be less
than $5,000. An LEA that does not meet
this minimum allocation requirement
may receive a subgrant only as part of
a consortium with other LEAs if the
total of their combined allocations is at
least $5,000.
(3) For the purpose of paragraph (c),
a consortium means a subgrantee that
consists of more than one LEA.
Waiver of Notice and Comment
Rulemaking and Delayed Effective Date
Under the Administrative Procedure
Act (APA) (5 U.S.C. 553), the
Department generally offers interested
parties the opportunity to comment on
proposed requirements. However, the
APA provides that an agency is not
required to conduct notice and
comment rulemaking when the agency
for good cause finds that notice and
public comment thereon are
impracticable, unnecessary, or contrary
to the public interest. 5 U.S.C. 553(b)(B).
Here, there is good cause to waive
notice and comment rulemaking due to
the urgent needs of children and youth
experiencing homelessness in light of
the national pandemic, as going through
the full rulemaking process would delay
the awarding of these grants to SEAs
and LEAs.
The good cause exception is
appropriate ‘‘in emergency situations or
where delay could result in serious
harm.’’ See Jifry v. FAA, 370 F.3d 1174,
1179 (D.C. Cir. 2004) (internal citations
omitted). ‘‘The public interest prong of
the good cause exception to the APA
notice and comment requirement is met
only in the rare circumstance when
ordinary procedures—generally
presumed to serve the public interest—
would in fact harm that interest.’’ Mack
Trucks Inc. v. E.P.A., 682 F.3d 87,
95 (D.C. Cir. 2012).
The ARP–HCY funds are intended to
support the specific and urgent needs of
homeless children and youth due to the
extraordinary impact of the pandemic
on students experiencing homelessness,
including reduced identification of such
students, decreased enrollment in
school, interrupted classroom
instruction, and challenges navigating
services for shelter/housing, clothing
and school supplies, food, and child
care. Due to the emergency nature of
this situation, there is not time for
public notice and comment. By
establishing these requirements now,
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SEAs and LEAs may more quickly and
effectively plan for and use ARP–HCY
funds to address the needs of homeless
children and youth. Establishing the
final rule now will give SEAs the
opportunity to award ARP Homeless II
funds to LEAs by the start of the 2021–
22 school year (which can be early
August in some States). During the
school closures following March 2020,
many students experiencing
homelessness became disengaged,
stopped attending regularly or
submitting assignments, became
chronically absent, or dropped out.
Those students will need intensive
educationally related support services
beginning from the first day of the new
school year. A delay of even two months
to the final requirement and
disbursement of funds for ARP
Homeless II will prolong the
interruptions in learning for hundreds
of thousands of students experiencing
homelessness during the pandemic. The
beginning of the school year is a critical
time for identifying and connecting
students experiencing homelessness to
remediation and support services. For
example, if funds are not awarded to
LEAs before September, it will be
difficult for schools to place students
who are identified as experiencing
homelessness in classes at the
appropriate grade level, delaying access
to critical support services and
prolonging interruption in learning
caused by the pandemic.
The APA also requires that
regulations be published at least 30 days
before their effective date, unless the
agency has good cause to implement its
regulations sooner (5 U.S.C. 553(d)(3)).
As discussed above, because the ARP–
HCY funds are needed to address the
immediate needs of homeless children
and youth, the Secretary also has good
cause to waive the 30-day delay in the
effective date of these requirements
under 5 U.S.C. 553(d)(3).
Executive Orders 12866 and 13563
Regulatory Impact Analysis
Under Executive Order 12866, the
Office of Management and Budget
(OMB) must determine whether this
regulatory action is ‘‘significant’’ and,
therefore, subject to the requirements of
the Executive order and subject to
review by OMB. Section 3(f) of
Executive Order 12866 defines a
significant regulatory action as an action
likely to result in a rule that may—
(1) Have an annual effect on the
economy of $100 million or more, or
adversely affect a sector of the economy;
productivity; competition; jobs; the
environment; public health or safety; or
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State, local, or Tribal governments or
communities in a material way (also
referred to as ‘‘economically significant’’
regulations);
(2) Create serious inconsistency or
otherwise interfere with an action taken
or planned by another agency;
(3) Materially alter the budgetary
impacts of entitlement grants, user fees,
or loan programs or the rights and
obligations of recipients thereof; or
(4) Raise novel legal or policy issues
arising out of legal mandates, the
President’s priorities, or the principles
stated in the Executive order.
This regulatory action is an
economically significant regulatory
action subject to review by OMB under
section 3(f) of Executive Order 12866.
Pursuant to the Congressional Review
Act (5 U.S.C. 801 et seq.), the Office of
Information and Regulatory Affairs
designated this rule as a ‘‘major rule,’’
as defined by 5 U.S.C. 804(2).
We have also reviewed this regulatory
action under Executive Order 13563,
which supplements and explicitly
reaffirms the principles, structures, and
definitions governing regulatory review
established in Executive Order 12866.
To the extent permitted by law,
Executive Order 13563 requires that an
agency—
(1) Propose or adopt regulations only
upon a reasoned determination that
their benefits justify their costs
(recognizing that some benefits and
costs are difficult to quantify);
(2) Tailor its regulations to impose the
least burden on society, consistent with
obtaining regulatory objectives and
taking into account, among other things,
and to the extent practicable, the costs
of cumulative regulations;
(3) In choosing among alternative
regulatory approaches, select those
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety,
and other advantages; distributive
impacts; and equity);
(4) To the extent feasible, specify
performance objectives, rather than the
behavior or manner of compliance a
regulated entity must adopt; and
(5) Identify and assess available
alternatives to direct regulation,
including economic incentives—such as
user fees or marketable permits—to
encourage the desired behavior, or
providing information that enables the
public to make choices.
Executive Order 13563 also requires
an agency ‘‘to use the best available
techniques to quantify anticipated
present and future benefits and costs as
accurately as possible.’’ The Office of
Information and Regulatory Affairs of
OMB has emphasized that these
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techniques may include ‘‘identifying
changing future compliance costs that
might result from technological
innovation or anticipated behavioral
changes.’’
The Department has assessed the
potential costs and benefits, both
quantitative and qualitative, of this
regulatory action, and we are issuing
these final requirements only on a
reasoned determination that their
benefits justify their costs. In choosing
among alternative regulatory
approaches, we selected those
approaches that would maximize net
benefits. Based on the analysis that
follows and the reasons stated
elsewhere in this document, the
Department believes that the final
requirements are consistent with the
principles in Executive Order 13563.
We also have determined that this
regulatory action does not unduly
interfere with State, local, or Tribal
governments in the exercise of their
governmental functions.
In this regulatory impact analysis, we
discuss the need for regulatory action,
the potential costs and benefits, and net
budget impacts. The main benefit of this
regulatory action is that funded services
will get to more students identified as
homeless in more LEAs more quickly in
order to support them and address the
impact of lost instructional time and the
other impacts of the pandemic and
virtual instruction. The estimated costs
and net budget impacts are described
below.
Elsewhere, under the Paperwork
Reduction Act of 1995, we identify and
explain burdens specifically associated
with information collection
requirements.
Need for Regulatory Action and
Analysis of Benefits
These final requirements are intended
to expedite the award of emergency
funds to serve homeless children and
youth. As discussed elsewhere in this
document, the ARP–HCY program
provides vital emergency funding to one
of the most vulnerable populations. The
Department believes this regulatory
action is needed to ensure that SEAs can
allocate funds to LEAs in a timeeffective manner so that LEAs can begin
serving homeless children and youth.
Requiring SEAs to make LEA subgrants
by formula allows funds to reach more
LEAs, and therefore more students
experiencing homelessness. These funds
will support the work of the designated
Homeless Liaison in each LEA, as
required by the McKinney-Vento Act,
and build capacity in LEAs, which will
help to identify greater numbers of
students experiencing homelessness and
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better coordinate services for those
students in LEAs receiving funding
through this formula. In addition, the
funding under ARP is more than seven
times greater than the usual
appropriation for this program. This
onetime emergency appropriation
provides a unique opportunity to make
funds more widely available than would
be possible with the current
appropriation of $106.5 million for the
Education for Homeless Children and
Youth program under the McKinneyVento Homeless Assistance Act.
The alternative, requiring SEAs to
conduct competitions before making
awards, would place an additional
burden on SEAs and LEAs, increase the
time needed to distribute funds, and
result in fewer LEAs receiving funds. At
the SEA level, a typical competition
may take three to six months and
requires developing selection criteria,
publishing those criteria, providing
technical assistance and allowing time
for LEAs to develop applications,
recruiting and training reviewers,
reviewing the applications, and making
awards. In addition to the staff time
needed to conduct a fair and transparent
competition, other expenses may
include compensation for reviewers and
logistical support for the review process.
At the LEA level, costs are incurred in
the time needed to develop an
application, including identifying and
collaborating with partners, and the
administrative processes needed to
complete the application and obtain
approval for submission. Some LEAs,
even those with high need, will decline
to apply for competitive grants due to
these costs and the uncertainty of
receiving a grant. In contrast, SEAs
already have access to the data and
expertise required to run the proposed
allocations formula as well as to systems
to award the funding to LEAs, as they
already administer other Federal
formula programs.
We estimate that running a State-level
grant competition will take four to six
months, and hundreds of staff hours,
depending on the number of LEAs in
the State who apply for a grant.
However, awarding subgrants via a
formula would take on average 10–20
hours, with an additional one to two
weeks for outreach and technical
assistance. At the LEA level, applying
for a competitive subgrant could take
two weeks to develop and finalize an
application; a formula subgrant might
take up to 10 hours.
In both scenarios, the reporting
burden from the SEA to the Department
is small, since the only new information
the Department expects to collect is a
list of grantees for ARP Homeless I and
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II disbursements. The Department
already collects data from all LEAs in
each State for homeless children and
youth, whether they receive a
McKinney-Vento subgrant or not.
Analysis of Costs
The Department’s cost analysis shows
that making subgrants by formula is a
less costly option overall. As discussed
in the previous section, carrying out a
competition is a complex, multistep
process that occurs over months. The
Department estimates that it would take
an SEA between 160 to 320 hours to
conduct a competition, at an
approximate cost of $707,000 to
$1,415,000 for 49 SEAs. (SEAs that
consist of only one LEA would not need
to carry out a competition.) The cost
estimates in this section are based on an
hourly wage of $45.11, the mean wage
estimate for education administrators,
other, reported by the U.S. Bureau of
Labor Statistics, which is multiplied by
two to account for overhead and
benefits.
In addition, we estimate that LEAs
applying for grants under a competition
would need 80 to 100 hours to prepare
an application. Because more funding is
available under the ARP than under the
regular appropriation for the Education
for Homeless Children and Youth
program, we estimate that more LEAs
would apply and receive subgrants than
the 4,400 that currently receive
subgrants, and the cost estimate
assumes that 5,000 LEAs would apply
for funds. Using wages as described
above, the estimated cost for
applications for subgrants would be
approximately $36.1 million to $45.1
million, and the total cost for
distributing funds via a competition
would be approximately $36.8 million
to $46.5 million.
In order to distribute funds via
formula the Department estimates that
SEAs would need 10 to 15 hours to run
the formula and distribute funds, and
another 40 to 80 hours to conduct
outreach to LEAs and help LEAs that
would receive less than $5,000 to create
consortia with other LEAs. Using wages
as described above, the estimated cost
for 49 SEAs for these activities would be
$221,000 to $420,000. The estimated
cost for LEAs to receive subgrants
assumes 5 to 10 hours to complete forms
and minimal applications for formula
funding. The estimate also assumes that
approximately 15,000 LEAs would
receive funding under the formula, far
more than the 5,000 LEAs we estimate
would receive funding under a
competition for subgrants. The
estimated costs to LEAs would be $6.8
million to $13.5 million, and the total
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estimated cost for distributing funds via
formula would be $7.0 million to $14.0
million. Taking the mean of this range,
the estimated cost for distributing funds
via formula would be $10.5 million.
Not only does distributing funds via
formula present a less costly option, but
it also provides several benefits over
conducting a competition as discussed
in other sections of this document. The
main benefits are that formula
distribution takes less time and would
allow LEAs to receive funds when the
school year starts. Furthermore, more
LEAs would receive funding, allowing
more students to receive services.
Net Budget Impacts
We estimate that the discretionary
elements of the final requirements will
not have an impact on the Federal
budget. The requirements for SEAs and
LEAs receiving ARP–HCY funds do not
affect the amount of funding available
for this program. We anticipate that
$799 million in ARP–HCY funds will be
disbursed in 2021, and therefore
estimate $799 million in transfers in
2021 relative to a pre-statutory baseline.
The Secretary invites comments on
how to make this regulatory action
easier to understand, including answers
to questions such as the following:
• Are the requirements in the
regulatory action clearly stated?
• Do the regulatory actions contain
technical terms or other wording that
interferes with their clarity?
• Does the format of the regulatory
action (grouping and order of sections,
use of headings, paragraphing, etc.) aid
or reduce their clarity?
• Would the regulatory action be
easier to understand if we divided them
into more (but shorter) sections?
• Could the description of the
regulatory action in the SUPPLEMENTARY
INFORMATION section of this preamble be
more helpful in making the regulatory
action easier to understand? If so, how?
• What else could we do to make the
regulatory action easier to understand?
To send any comments that concern
how the Department could make this
regulatory action easier to understand,
see the instructions in the ADDRESSES
section.
Paperwork Reduction Act of 1995
As part of its continuing effort to
reduce paperwork and respondent
burden, the Department provides the
general public and Federal agencies
with an opportunity to comment on
proposed and continuing collections of
information in accordance with the
Paperwork Reduction Act of 1995
(‘‘PRA’’) (44 U.S.C. 3501 et seq.). This
helps ensure that the public
understands the Department’s collection
instructions, respondents provide the
requested data in the desired format,
TABLE—ACCOUNTING STATEMENT reporting burden (time and financial
CLASSIFICATION OF ESTIMATED EX- resources) is minimized, collection
instruments are clearly understood, and
PENDITURES
the Department can properly assess the
Category
Costs (in millions)
impact of collection requirements on
respondents.
Annual Costs .................. $10.5.
A Federal agency may not conduct or
Category
Transfers (in millions)
sponsor a collection of information
unless OMB approves the collection
Annual Monetized Trans- $799.0.
under the PRA and the corresponding
fers.
From Whom to Whom .... Federal Government to
information collection instrument
SEAs.
displays a currently valid OMB control
number. Notwithstanding any other
Regulatory Flexibility Act Certification
provision of the law, no person is
required to comply with, or is subject to
The Regulatory Flexibility Act does
penalty for failure to comply with, a
not apply to this rulemaking because
collection of information if the
there is good cause to waive notice and
collection instrument does not display a
comment under the Administrative
currently-valid OMB control number.
Procedure Act (5 U.S.C. 553).
As discussed in the Need for
Clarity of the Regulatory Action
Regulatory Action and Analysis of
Executive Order 12866 and the
Benefits section of the Regulatory
Presidential memorandum ‘‘Plain
Impact Statement, this final
Language in Government Writing’’
requirement that SEAs distribute the
require each agency to write regulations ARP Homeless II funds to LEAs by
that are easy to understand.
formula rather than competition will
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Accounting Statement
As required by OMB Circular A–4, in
the following table, we have prepared
an accounting statement showing the
classification of the expenditures
associated with the provisions of this
regulatory action. This table provides
our best estimate of the Federal
payments to be made to SEAs under this
program as a result of this regulatory
action. Expenditures are classified as
transfers to those entities.
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create burden hours and costs for both
LEAs and SEAs. Below we estimate the
annual burden hours and costs for LEAs
to complete forms and minimal
applications. In addition, the
Department is requesting an ARP–HCY
plan from each SEA. The burden hours
and cost associated with completing and
submitting the SEA ARP–HCY plan are
estimated below. The cost estimates in
this section are based on an hourly wage
of $45.11, the mean wage estimate for
education administrators, other,
reported by the U.S. Bureau of Labor
Statistics, which is multiplied by two to
account for overhead and benefits, for a
total hourly wage estimate of $90.22.
We estimate 7.5 burden hours for each
of the approximately 15,000 LEAs to
complete forms and minimal
applications for formula funding. The
total estimated costs to LEAs would be
$10,150,000 and the total estimated
burden hours would be 112,500.
We estimate that one plan will be
received from 52 SEAs. For the time to
complete and submit the plan, we
estimate that the number of burden
hours per response will be 22 hours.
The total estimated number of burden
hours is 1,144 hours. At $90.22 per
hour, the total estimated cost for 52
SEAs to complete and submit the ARP–
HCY plan approximately $103,300.
Collectively, we estimate that these
new information collection activities
will result in a total estimated cost of
$10,253,300 and a total estimated
burden of 113,644 hours to the public
annually.
The Department is requesting an
emergency paperwork clearance from
OMB under 5 CFR 1320.13 on the data
collection activities associated with
these final requirements. That request
will account for all burden hours and
cost discussed within this section. As
required by 5 CFR 1320.8(d), the
Department is soliciting comments on
the information collection. We must
receive your comments on the collection
activities contained in these final
requirements on or before August 9,
2021. Comments related to the
information collection activities must be
submitted electronically through the
Federal eRulemaking Portal at
www.regulations.gov by selecting the
Docket ID number ED–2021–OESE–xxx
or via postal mail, commercial delivery,
or hand delivery by referencing the
Docket ID number and the title of the
information collection request at the top
of your comment. Comments submitted
by postal mail or delivery should be
addressed to the PRA Coordinator of the
Strategic Collections and Clearance
Governance and Strategy Division, U.S.
Department of Education, 400 Maryland
E:\FR\FM\09JYR1.SGM
09JYR1
Federal Register / Vol. 86, No. 129 / Friday, July 9, 2021 / Rules and Regulations
Ave. SW, LBJ, Room 6W208D,
Washington, DC 20202–8240.
Note: The Office of Information and
Regulatory Affairs in OMB and the
Department review all comments related
36227
to the information collection activities
posted at www.regulations.gov.
COLLECTION OF INFORMATION
Estimated
number
responses
Information collection
activity
Total
estimated
burden hours
Estimated cost
at an hourly
rate of $90.22
LEA Completion of Forms and Applications to SEA .......................................
SEA ARP–HCY Plans .....................................................................................
15,000
52
7.5
22
112,500
1,144
$10,150,000
103,300
Annualized Total .......................................................................................
15,052
........................
113,644
10,253,300
Intergovernmental Review
The ARP–HCY program is not subject
to Executive Order 12372 and the
regulations in 34 CFR part 79.
Accessible Format: On request to the
program contact person listed under FOR
FURTHER INFORMATION CONTACT,
individuals with disabilities can obtain
this document in an accessible format.
The Department will provide the
requestor with an accessible format that
may include Rich Text Format (RTF) or
text format (txt), a thumb drive, an MP3
file, braille, large print, audiotape, or
compact disc, or other accessible format.
Electronic Access to This Document:
The official version of this document is
the document published in the Federal
Register. You may access the official
edition of the Federal Register and the
Code of Federal Regulations at
www.govinfo.gov. At this site you can
view this document, as well as all other
documents of this Department
published in the Federal Register, in
text or portable document format (PDF).
To use PDF you must have Adobe
Acrobat Reader, which is available free
at the site.
You may also access documents of the
Department published in the Federal
Register by using the article search
feature at: www.federalregister.gov.
Specifically, through the advanced
search feature at this site, you can limit
your search to documents published by
the Department.
Ian Rosenblum,
Deputy Assistant Secretary for Policy and
Programs, Delegated the Authority to Perform
the Functions and Duties of the Assistant
Secretary, Office of Elementary and
Secondary Education.
[FR Doc. 2021–14705 Filed 7–8–21; 8:45 am]
BILLING CODE 4000–01–P
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Hours per
response
Local agency
EDCAQMD ................................
SCAQMD ..................................
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ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Part 52
[EPA–R09–OAR–2020–0543; FRL–10024–
68–Region 9]
Air Plan Approval; California; El
Dorado County Air Quality
Management District; South Coast Air
Quality Management District
Environmental Protection
Agency (EPA).
ACTION: Final rule.
AGENCY:
The Environmental Protection
Agency (EPA) is taking final action to
approve revisions to the El Dorado
County Air Quality Management District
(EDCAQMD) and the South Coast Air
Quality Management District
(SCAQMD) portions of the California
State Implementation Plan (SIP). These
revisions concern emissions of volatile
organic compounds (VOC) from
architectural coatings and a rule that
provides definitions for certain terms
that are necessary for the
implementation of local rules that
regulate sources of air pollution. We are
approving rules to regulate these
emission sources under the Clean Air
Act (CAA or the Act).
DATES: This rule is effective August 9,
2021.
SUMMARY:
The EPA has established a
docket for this action under Docket ID
No. EPA–R09–OAR–2020–0543. All
documents in the docket are listed on
the https://www.regulations.gov
website. Although listed in the index,
some information is not publicly
available, e.g., Confidential Business
Information (CBI) or other information
ADDRESSES:
Rule #
FOR FURTHER INFORMATION CONTACT:
Arnold Lazarus, EPA Region IX, 75
Hawthorne St., San Francisco, CA
94105. By phone: (415) 972–3024 or by
email at Lazarus.Arnold@epa.gov.
SUPPLEMENTARY INFORMATION:
Throughout this document, ‘‘we,’’ ‘‘us’’
and ‘‘our’’ refer to the EPA.
Table of Contents
I. Proposed Action
II. Public Comments and EPA Responses
III. EPA Action
IV. Incorporation by Reference
V. Statutory and Executive Order Reviews
I. Proposed Action
On March 9, 2021 (86 FR 13514), the
EPA proposed to approve the following
rules into the California SIP.
Revised/
amended
Rule title
215
102
Jkt 253001
whose disclosure is restricted by statute.
Certain other material, such as
copyrighted material, is not placed on
the internet and will be publicly
available only in hard copy form.
Publicly available docket materials are
available through https://
www.regulations.gov, or please contact
the person identified in the FOR FURTHER
INFORMATION CONTACT section for
additional availability information. If
you need assistance in a language other
than English or if you are a person with
disabilities who needs a reasonable
accommodation at no cost to you, please
contact the person identified in the FOR
FURTHER INFORMATION CONTACT section.
Architectural Coatings ..................................................................
Definition of Terms .......................................................................
PO 00000
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E:\FR\FM\09JYR1.SGM
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08/25/2020
01/10/2020
Submitted
09/21/2020
09/16/2020
Agencies
[Federal Register Volume 86, Number 129 (Friday, July 9, 2021)]
[Rules and Regulations]
[Pages 36222-36227]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-14705]
-----------------------------------------------------------------------
DEPARTMENT OF EDUCATION
34 CFR Chapter II
RIN 1801-AA24
Final Requirements; American Rescue Plan Act Homeless Children
and Youth Program
AGENCY: Office of Elementary and Secondary Education, Department of
Education.
ACTION: Final requirements.
-----------------------------------------------------------------------
SUMMARY: The Department of Education (Department) establishes
requirements for the Homeless Children and Youth program (ARP-HCY),
under section 2001(b)(1) of the American Rescue Plan Act of 2021 (ARP
Act). These requirements are intended to clarify program requirements
and streamline and clarify the process for State educational agencies
(SEAs) to award subgrants to local educational agencies (LEAs).
DATES: These final requirements take effect July 9, 2021.
FOR FURTHER INFORMATION CONTACT: Deborah Spitz, U.S. Department of
Education, 400 Maryland Avenue SW, Room 3W200, Washington, DC 20202.
Telephone: (202) 260-3793. Email: [email protected].
[[Page 36223]]
If you use a telecommunications device for the deaf (TDD) or a text
telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1-
800-877-8339.
SUPPLEMENTARY INFORMATION:
Purpose of Program: The ARP-HCY program provides a total of $800
million for the Secretary of Education (Secretary) to use for the
purposes of identifying homeless children and youth and providing
homeless children and youth with wrap-around services in light of the
challenges of the COVID-19 pandemic and assistance needed to enable
homeless children and youth to attend school and participate fully in
school activities. These funds may be used by States to address urgent
needs of children and youth experiencing homelessness--including
academic, social, emotional, and mental health needs. The funds will
also be used by States and local educational agencies (LEAs) to
increase capacity by hiring staff, dedicating resources, and planning
partnerships with community-based organizations, among other
strategies.
Program Authority: Section 2001(b)(1) of the ARP Act, Public Law
117-2, March 11, 2021.
Background: The ARP-HCY program provides $800 million to fund vital
assistance to homeless children and youth. On April 26, 2021, the
Department released approximately 25 percent of these funds (ARP
Homeless I) as a supplement to SEAs' grants under the Education for
Homeless Children and Youths (EHCY) program authorized by Title VII-B
of the McKinney-Vento Homeless Assistance Act (McKinney-Vento Act).
SEAs and LEAs may use ARP Homeless I funds for a wide range of services
and activities, including tutoring, transportation, coordination with
housing, health and social services, counseling, and other supports for
academic, social, emotional, and mental health needs, to address the
urgent needs of homeless children and youth. Funds may also be used to
build SEA and LEA capacity to effectively administer these funds. SEAs
were encouraged to use the initial disbursement of funds to supplement
existing EHCY grants, and many have done so or are in the process of
doing so.
The Secretary is establishing final requirements for the second
disbursement of ARP-HCY funds (ARP Homeless II) related to program
requirements and the formula for the SEAs' distribution of these funds
to LEAs.
In paragraph (a) of the final requirements, the Department provides
that the requirements apply to an SEA's ARP Homeless II allocation.
Paragraph (b) provides that the funds are subject to all provisions
of Title VII-B of the McKinney-Vento Act, except as provided in
paragraph (c), which governs subgrants to LEAs. The Department
establishes this requirement because the EHCY program supports an
existing infrastructure of State Coordinators in States and local
liaisons in LEAs. Furthermore, the allowable activities under this
program are broadly defined and meet a wide range of academic, social,
emotional, and mental health needs of children and youth experiencing
homelessness. Creating a program with different requirements and a
different infrastructure is likely to result in confusion and
duplication of efforts, at a time when students urgently need support.
Paragraph (c) of the requirements contains a formula for the SEAs'
distribution of funds to LEAs from the funds remaining after the SEA
State activities reservation (which may be up to 25 percent of the
SEA's award, consistent with section 722(e)(2) of the McKinney-Vento
Act). The McKinney-Vento Act includes a statutory requirement that
States distribute at least 75 percent of funds to LEAs. It also
requires SEAs to award these funds competitively to LEAs using criteria
based on need and quality. This requirement ensures that the limited
EHCY program funds that have historically been appropriated under this
program are distributed to the LEAs with the greatest need but has also
resulted in only approximately 25 percent of LEAs receiving EHCY
subgrants. Given the substantial increase in funding for supports and
services for homeless children and youth under the ARP Act, the need
for rapid distribution to meet urgent student needs, and the importance
of serving students experiencing homelessness in communities that have
not historically participated in the EHCY subgrant program, the
Department establishes a requirement in paragraph (c)(1) that the SEA
distribute the ARP Homeless II funds to LEAs by formula rather than
competition. Requiring SEAs to distribute the ARP Homeless II funds to
LEAs by formula will ensure that the vast majority of LEAs will be able
to receive subgrants.
The formula is based equally on the proportional share of an LEA's
allocation under Title I, Part A of the Elementary and Secondary
Education Act of 1965 (ESEA) for the most recent fiscal year, and the
LEA's proportional share of the number of homeless children and youth
identified by each LEA relative to all LEAs in the State, using the
greater of the number of homeless children and youth in either the
2018-19 or 2019-20 school year in each LEA. This formula ensures a
balance in the distribution of funds to focus on the needs of the LEAs,
considering both the LEA's number of low-income students and the number
of homeless children and youth. In addition, allowing the use of either
the 2018-19 school year or 2019-20 school year homeless counts takes
into consideration the potential for undercounting in the 2019-20
school year due to COVID-19 by allowing LEAs to use the greater of the
two numbers.
The Department establishes in paragraph (c)(2) that an LEA must
have an allocation of at least $5,000 under the formula to be eligible
for an ARP Homeless II subgrant on its own. This $5,000 minimum will
enable each subgrantee to have sufficient ARP Homeless II funds to
address the needs of homeless children and youth. We chose as the
threshold the smallest amount reasonable to sufficiently implement a
local program. If an LEA's allocation would be less than $5,000, in
order to receive an ARP Homeless II subgrant, the LEA must join a
consortium of LEAs in which the sum of its members' allocations meets
the $5,000 threshold. For LEAs with an allocation less than $5,000, the
rule encourages the use of consortia to create favorable economies of
scale.
Final Requirements: The Secretary establishes the following final
requirements for the ARP-HCY program.
(a) Applicability. These requirements apply to a State educational
agency's (SEA) second allocation of funds from the Department of
Education under section 2001(b)(1) of the American Rescue Plan Act of
2021 (ARP Homeless II).
(b) Program administration. The funds described in paragraph (a)
are subject to all provisions of Title VII-B of the McKinney-Vento
Homeless Assistance Act, except as provided in paragraph (c).
(c) Subgrants to local educational agencies (LEAs).
(1) Each SEA must award subgrants by allocating not less than 75
percent of the funds it receives under the ARP Homeless II program to
LEAs as follows:
(i) 50 percent in proportion to the amount that each LEA received
under Part A of Title I of the Elementary and Secondary Education Act
of 1965, as amended, for the most recent fiscal year; and
(ii) 50 percent in proportion to the number of homeless children
and youth
[[Page 36224]]
identified by each LEA relative to all LEAs in the State, using the
greater of the number of homeless children and youth in either the
2018-19 or 2019-20 school year in each LEA.
(2) An SEA may not make a subgrant to an LEA under paragraph (c)(1)
if the amount of such subgrant would be less than $5,000. An LEA that
does not meet this minimum allocation requirement may receive a
subgrant only as part of a consortium with other LEAs if the total of
their combined allocations is at least $5,000.
(3) For the purpose of paragraph (c), a consortium means a
subgrantee that consists of more than one LEA.
Waiver of Notice and Comment Rulemaking and Delayed Effective Date
Under the Administrative Procedure Act (APA) (5 U.S.C. 553), the
Department generally offers interested parties the opportunity to
comment on proposed requirements. However, the APA provides that an
agency is not required to conduct notice and comment rulemaking when
the agency for good cause finds that notice and public comment thereon
are impracticable, unnecessary, or contrary to the public interest. 5
U.S.C. 553(b)(B). Here, there is good cause to waive notice and comment
rulemaking due to the urgent needs of children and youth experiencing
homelessness in light of the national pandemic, as going through the
full rulemaking process would delay the awarding of these grants to
SEAs and LEAs.
The good cause exception is appropriate ``in emergency situations
or where delay could result in serious harm.'' See Jifry v. FAA, 370
F.3d 1174, 1179 (D.C. Cir. 2004) (internal citations omitted). ``The
public interest prong of the good cause exception to the APA notice and
comment requirement is met only in the rare circumstance when ordinary
procedures--generally presumed to serve the public interest--would in
fact harm that interest.'' Mack Trucks Inc. v. E.P.A., 682 F.3d 87, 95
(D.C. Cir. 2012).
The ARP-HCY funds are intended to support the specific and urgent
needs of homeless children and youth due to the extraordinary impact of
the pandemic on students experiencing homelessness, including reduced
identification of such students, decreased enrollment in school,
interrupted classroom instruction, and challenges navigating services
for shelter/housing, clothing and school supplies, food, and child
care. Due to the emergency nature of this situation, there is not time
for public notice and comment. By establishing these requirements now,
SEAs and LEAs may more quickly and effectively plan for and use ARP-HCY
funds to address the needs of homeless children and youth. Establishing
the final rule now will give SEAs the opportunity to award ARP Homeless
II funds to LEAs by the start of the 2021-22 school year (which can be
early August in some States). During the school closures following
March 2020, many students experiencing homelessness became disengaged,
stopped attending regularly or submitting assignments, became
chronically absent, or dropped out. Those students will need intensive
educationally related support services beginning from the first day of
the new school year. A delay of even two months to the final
requirement and disbursement of funds for ARP Homeless II will prolong
the interruptions in learning for hundreds of thousands of students
experiencing homelessness during the pandemic. The beginning of the
school year is a critical time for identifying and connecting students
experiencing homelessness to remediation and support services. For
example, if funds are not awarded to LEAs before September, it will be
difficult for schools to place students who are identified as
experiencing homelessness in classes at the appropriate grade level,
delaying access to critical support services and prolonging
interruption in learning caused by the pandemic.
The APA also requires that regulations be published at least 30
days before their effective date, unless the agency has good cause to
implement its regulations sooner (5 U.S.C. 553(d)(3)). As discussed
above, because the ARP-HCY funds are needed to address the immediate
needs of homeless children and youth, the Secretary also has good cause
to waive the 30-day delay in the effective date of these requirements
under 5 U.S.C. 553(d)(3).
Executive Orders 12866 and 13563
Regulatory Impact Analysis
Under Executive Order 12866, the Office of Management and Budget
(OMB) must determine whether this regulatory action is ``significant''
and, therefore, subject to the requirements of the Executive order and
subject to review by OMB. Section 3(f) of Executive Order 12866 defines
a significant regulatory action as an action likely to result in a rule
that may--
(1) Have an annual effect on the economy of $100 million or more,
or adversely affect a sector of the economy; productivity; competition;
jobs; the environment; public health or safety; or State, local, or
Tribal governments or communities in a material way (also referred to
as ``economically significant'' regulations);
(2) Create serious inconsistency or otherwise interfere with an
action taken or planned by another agency;
(3) Materially alter the budgetary impacts of entitlement grants,
user fees, or loan programs or the rights and obligations of recipients
thereof; or
(4) Raise novel legal or policy issues arising out of legal
mandates, the President's priorities, or the principles stated in the
Executive order.
This regulatory action is an economically significant regulatory
action subject to review by OMB under section 3(f) of Executive Order
12866. Pursuant to the Congressional Review Act (5 U.S.C. 801 et seq.),
the Office of Information and Regulatory Affairs designated this rule
as a ``major rule,'' as defined by 5 U.S.C. 804(2).
We have also reviewed this regulatory action under Executive Order
13563, which supplements and explicitly reaffirms the principles,
structures, and definitions governing regulatory review established in
Executive Order 12866. To the extent permitted by law, Executive Order
13563 requires that an agency--
(1) Propose or adopt regulations only upon a reasoned determination
that their benefits justify their costs (recognizing that some benefits
and costs are difficult to quantify);
(2) Tailor its regulations to impose the least burden on society,
consistent with obtaining regulatory objectives and taking into
account, among other things, and to the extent practicable, the costs
of cumulative regulations;
(3) In choosing among alternative regulatory approaches, select
those approaches that maximize net benefits (including potential
economic, environmental, public health and safety, and other
advantages; distributive impacts; and equity);
(4) To the extent feasible, specify performance objectives, rather
than the behavior or manner of compliance a regulated entity must
adopt; and
(5) Identify and assess available alternatives to direct
regulation, including economic incentives--such as user fees or
marketable permits--to encourage the desired behavior, or providing
information that enables the public to make choices.
Executive Order 13563 also requires an agency ``to use the best
available techniques to quantify anticipated present and future
benefits and costs as accurately as possible.'' The Office of
Information and Regulatory Affairs of OMB has emphasized that these
[[Page 36225]]
techniques may include ``identifying changing future compliance costs
that might result from technological innovation or anticipated
behavioral changes.''
The Department has assessed the potential costs and benefits, both
quantitative and qualitative, of this regulatory action, and we are
issuing these final requirements only on a reasoned determination that
their benefits justify their costs. In choosing among alternative
regulatory approaches, we selected those approaches that would maximize
net benefits. Based on the analysis that follows and the reasons stated
elsewhere in this document, the Department believes that the final
requirements are consistent with the principles in Executive Order
13563.
We also have determined that this regulatory action does not unduly
interfere with State, local, or Tribal governments in the exercise of
their governmental functions.
In this regulatory impact analysis, we discuss the need for
regulatory action, the potential costs and benefits, and net budget
impacts. The main benefit of this regulatory action is that funded
services will get to more students identified as homeless in more LEAs
more quickly in order to support them and address the impact of lost
instructional time and the other impacts of the pandemic and virtual
instruction. The estimated costs and net budget impacts are described
below.
Elsewhere, under the Paperwork Reduction Act of 1995, we identify
and explain burdens specifically associated with information collection
requirements.
Need for Regulatory Action and Analysis of Benefits
These final requirements are intended to expedite the award of
emergency funds to serve homeless children and youth. As discussed
elsewhere in this document, the ARP-HCY program provides vital
emergency funding to one of the most vulnerable populations. The
Department believes this regulatory action is needed to ensure that
SEAs can allocate funds to LEAs in a time-effective manner so that LEAs
can begin serving homeless children and youth. Requiring SEAs to make
LEA subgrants by formula allows funds to reach more LEAs, and therefore
more students experiencing homelessness. These funds will support the
work of the designated Homeless Liaison in each LEA, as required by the
McKinney-Vento Act, and build capacity in LEAs, which will help to
identify greater numbers of students experiencing homelessness and
better coordinate services for those students in LEAs receiving funding
through this formula. In addition, the funding under ARP is more than
seven times greater than the usual appropriation for this program. This
onetime emergency appropriation provides a unique opportunity to make
funds more widely available than would be possible with the current
appropriation of $106.5 million for the Education for Homeless Children
and Youth program under the McKinney-Vento Homeless Assistance Act.
The alternative, requiring SEAs to conduct competitions before
making awards, would place an additional burden on SEAs and LEAs,
increase the time needed to distribute funds, and result in fewer LEAs
receiving funds. At the SEA level, a typical competition may take three
to six months and requires developing selection criteria, publishing
those criteria, providing technical assistance and allowing time for
LEAs to develop applications, recruiting and training reviewers,
reviewing the applications, and making awards. In addition to the staff
time needed to conduct a fair and transparent competition, other
expenses may include compensation for reviewers and logistical support
for the review process. At the LEA level, costs are incurred in the
time needed to develop an application, including identifying and
collaborating with partners, and the administrative processes needed to
complete the application and obtain approval for submission. Some LEAs,
even those with high need, will decline to apply for competitive grants
due to these costs and the uncertainty of receiving a grant. In
contrast, SEAs already have access to the data and expertise required
to run the proposed allocations formula as well as to systems to award
the funding to LEAs, as they already administer other Federal formula
programs.
We estimate that running a State-level grant competition will take
four to six months, and hundreds of staff hours, depending on the
number of LEAs in the State who apply for a grant. However, awarding
subgrants via a formula would take on average 10-20 hours, with an
additional one to two weeks for outreach and technical assistance. At
the LEA level, applying for a competitive subgrant could take two weeks
to develop and finalize an application; a formula subgrant might take
up to 10 hours.
In both scenarios, the reporting burden from the SEA to the
Department is small, since the only new information the Department
expects to collect is a list of grantees for ARP Homeless I and II
disbursements. The Department already collects data from all LEAs in
each State for homeless children and youth, whether they receive a
McKinney-Vento subgrant or not.
Analysis of Costs
The Department's cost analysis shows that making subgrants by
formula is a less costly option overall. As discussed in the previous
section, carrying out a competition is a complex, multistep process
that occurs over months. The Department estimates that it would take an
SEA between 160 to 320 hours to conduct a competition, at an
approximate cost of $707,000 to $1,415,000 for 49 SEAs. (SEAs that
consist of only one LEA would not need to carry out a competition.) The
cost estimates in this section are based on an hourly wage of $45.11,
the mean wage estimate for education administrators, other, reported by
the U.S. Bureau of Labor Statistics, which is multiplied by two to
account for overhead and benefits.
In addition, we estimate that LEAs applying for grants under a
competition would need 80 to 100 hours to prepare an application.
Because more funding is available under the ARP than under the regular
appropriation for the Education for Homeless Children and Youth
program, we estimate that more LEAs would apply and receive subgrants
than the 4,400 that currently receive subgrants, and the cost estimate
assumes that 5,000 LEAs would apply for funds. Using wages as described
above, the estimated cost for applications for subgrants would be
approximately $36.1 million to $45.1 million, and the total cost for
distributing funds via a competition would be approximately $36.8
million to $46.5 million.
In order to distribute funds via formula the Department estimates
that SEAs would need 10 to 15 hours to run the formula and distribute
funds, and another 40 to 80 hours to conduct outreach to LEAs and help
LEAs that would receive less than $5,000 to create consortia with other
LEAs. Using wages as described above, the estimated cost for 49 SEAs
for these activities would be $221,000 to $420,000. The estimated cost
for LEAs to receive subgrants assumes 5 to 10 hours to complete forms
and minimal applications for formula funding. The estimate also assumes
that approximately 15,000 LEAs would receive funding under the formula,
far more than the 5,000 LEAs we estimate would receive funding under a
competition for subgrants. The estimated costs to LEAs would be $6.8
million to $13.5 million, and the total
[[Page 36226]]
estimated cost for distributing funds via formula would be $7.0 million
to $14.0 million. Taking the mean of this range, the estimated cost for
distributing funds via formula would be $10.5 million.
Not only does distributing funds via formula present a less costly
option, but it also provides several benefits over conducting a
competition as discussed in other sections of this document. The main
benefits are that formula distribution takes less time and would allow
LEAs to receive funds when the school year starts. Furthermore, more
LEAs would receive funding, allowing more students to receive services.
Net Budget Impacts
We estimate that the discretionary elements of the final
requirements will not have an impact on the Federal budget. The
requirements for SEAs and LEAs receiving ARP-HCY funds do not affect
the amount of funding available for this program. We anticipate that
$799 million in ARP-HCY funds will be disbursed in 2021, and therefore
estimate $799 million in transfers in 2021 relative to a pre-statutory
baseline.
Accounting Statement
As required by OMB Circular A-4, in the following table, we have
prepared an accounting statement showing the classification of the
expenditures associated with the provisions of this regulatory action.
This table provides our best estimate of the Federal payments to be
made to SEAs under this program as a result of this regulatory action.
Expenditures are classified as transfers to those entities.
Table--Accounting Statement Classification of Estimated Expenditures
------------------------------------------------------------------------
Category Costs (in millions)
------------------------------------------------------------------------
Annual Costs.............................. $10.5.
------------------------------------------------------------------------
Category Transfers (in millions)
------------------------------------------------------------------------
Annual Monetized Transfers................ $799.0.
From Whom to Whom......................... Federal Government to SEAs.
------------------------------------------------------------------------
Regulatory Flexibility Act Certification
The Regulatory Flexibility Act does not apply to this rulemaking
because there is good cause to waive notice and comment under the
Administrative Procedure Act (5 U.S.C. 553).
Clarity of the Regulatory Action
Executive Order 12866 and the Presidential memorandum ``Plain
Language in Government Writing'' require each agency to write
regulations that are easy to understand.
The Secretary invites comments on how to make this regulatory
action easier to understand, including answers to questions such as the
following:
Are the requirements in the regulatory action clearly
stated?
Do the regulatory actions contain technical terms or other
wording that interferes with their clarity?
Does the format of the regulatory action (grouping and
order of sections, use of headings, paragraphing, etc.) aid or reduce
their clarity?
Would the regulatory action be easier to understand if we
divided them into more (but shorter) sections?
Could the description of the regulatory action in the
SUPPLEMENTARY INFORMATION section of this preamble be more helpful in
making the regulatory action easier to understand? If so, how?
What else could we do to make the regulatory action easier
to understand?
To send any comments that concern how the Department could make
this regulatory action easier to understand, see the instructions in
the ADDRESSES section.
Paperwork Reduction Act of 1995
As part of its continuing effort to reduce paperwork and respondent
burden, the Department provides the general public and Federal agencies
with an opportunity to comment on proposed and continuing collections
of information in accordance with the Paperwork Reduction Act of 1995
(``PRA'') (44 U.S.C. 3501 et seq.). This helps ensure that the public
understands the Department's collection instructions, respondents
provide the requested data in the desired format, reporting burden
(time and financial resources) is minimized, collection instruments are
clearly understood, and the Department can properly assess the impact
of collection requirements on respondents.
A Federal agency may not conduct or sponsor a collection of
information unless OMB approves the collection under the PRA and the
corresponding information collection instrument displays a currently
valid OMB control number. Notwithstanding any other provision of the
law, no person is required to comply with, or is subject to penalty for
failure to comply with, a collection of information if the collection
instrument does not display a currently-valid OMB control number.
As discussed in the Need for Regulatory Action and Analysis of
Benefits section of the Regulatory Impact Statement, this final
requirement that SEAs distribute the ARP Homeless II funds to LEAs by
formula rather than competition will create burden hours and costs for
both LEAs and SEAs. Below we estimate the annual burden hours and costs
for LEAs to complete forms and minimal applications. In addition, the
Department is requesting an ARP-HCY plan from each SEA. The burden
hours and cost associated with completing and submitting the SEA ARP-
HCY plan are estimated below. The cost estimates in this section are
based on an hourly wage of $45.11, the mean wage estimate for education
administrators, other, reported by the U.S. Bureau of Labor Statistics,
which is multiplied by two to account for overhead and benefits, for a
total hourly wage estimate of $90.22.
We estimate 7.5 burden hours for each of the approximately 15,000
LEAs to complete forms and minimal applications for formula funding.
The total estimated costs to LEAs would be $10,150,000 and the total
estimated burden hours would be 112,500.
We estimate that one plan will be received from 52 SEAs. For the
time to complete and submit the plan, we estimate that the number of
burden hours per response will be 22 hours. The total estimated number
of burden hours is 1,144 hours. At $90.22 per hour, the total estimated
cost for 52 SEAs to complete and submit the ARP-HCY plan approximately
$103,300.
Collectively, we estimate that these new information collection
activities will result in a total estimated cost of $10,253,300 and a
total estimated burden of 113,644 hours to the public annually.
The Department is requesting an emergency paperwork clearance from
OMB under 5 CFR 1320.13 on the data collection activities associated
with these final requirements. That request will account for all burden
hours and cost discussed within this section. As required by 5 CFR
1320.8(d), the Department is soliciting comments on the information
collection. We must receive your comments on the collection activities
contained in these final requirements on or before August 9, 2021.
Comments related to the information collection activities must be
submitted electronically through the Federal eRulemaking Portal at
www.regulations.gov by selecting the Docket ID number ED-2021-OESE-xxx
or via postal mail, commercial delivery, or hand delivery by
referencing the Docket ID number and the title of the information
collection request at the top of your comment. Comments submitted by
postal mail or delivery should be addressed to the PRA Coordinator of
the Strategic Collections and Clearance Governance and Strategy
Division, U.S. Department of Education, 400 Maryland
[[Page 36227]]
Ave. SW, LBJ, Room 6W208D, Washington, DC 20202-8240.
Note: The Office of Information and Regulatory Affairs in OMB and
the Department review all comments related to the information
collection activities posted at www.regulations.gov.
Collection of Information
----------------------------------------------------------------------------------------------------------------
Estimated Total Estimated cost
Information collection activity number Hours per estimated at an hourly
responses response burden hours rate of $90.22
----------------------------------------------------------------------------------------------------------------
LEA Completion of Forms and Applications to SEA. 15,000 7.5 112,500 $10,150,000
SEA ARP-HCY Plans............................... 52 22 1,144 103,300
---------------------------------------------------------------
Annualized Total............................ 15,052 .............. 113,644 10,253,300
----------------------------------------------------------------------------------------------------------------
Intergovernmental Review
The ARP-HCY program is not subject to Executive Order 12372 and the
regulations in 34 CFR part 79.
Accessible Format: On request to the program contact person listed
under FOR FURTHER INFORMATION CONTACT, individuals with disabilities
can obtain this document in an accessible format. The Department will
provide the requestor with an accessible format that may include Rich
Text Format (RTF) or text format (txt), a thumb drive, an MP3 file,
braille, large print, audiotape, or compact disc, or other accessible
format.
Electronic Access to This Document: The official version of this
document is the document published in the Federal Register. You may
access the official edition of the Federal Register and the Code of
Federal Regulations at www.govinfo.gov. At this site you can view this
document, as well as all other documents of this Department published
in the Federal Register, in text or portable document format (PDF). To
use PDF you must have Adobe Acrobat Reader, which is available free at
the site.
You may also access documents of the Department published in the
Federal Register by using the article search feature at:
www.federalregister.gov. Specifically, through the advanced search
feature at this site, you can limit your search to documents published
by the Department.
Ian Rosenblum,
Deputy Assistant Secretary for Policy and Programs, Delegated the
Authority to Perform the Functions and Duties of the Assistant
Secretary, Office of Elementary and Secondary Education.
[FR Doc. 2021-14705 Filed 7-8-21; 8:45 am]
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