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As indicated in the Terms and Conditions of the grant HHS awarded to State agencies for local EZ/EC projects, specific components of the U.S. Department of Health and Human Services block grant regulations apply. The pertinent sections of the regulation are displayed here. The entire regulation is printed at 45 CFR Part 96.
Sec. 96.1 Scope
This part applies to the following block grant programs:
(a) Community services.
(b) Preventive health and health services.
(c) Alcohol and drug abuse and mental health services.
(d) Primary care.
(e) Maternal and child health services.
(f) Social Services.
(g) Low-income home energy assistance.
Sec. 96.2 Definitions
(a) Secretary means the Secretary of
Health and Human Services or his designee.
(b) Department means the Department of Health and Human Services.
(c) Reconciliation Act means the Omnibus Budget Reconciliation Act of 1981
(d) State includes the fifty states, the District of Columbia, and, as appropriate
with respect to each block grant, the Commonwealth of Puerto Rico, the Virgin
Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana
Islands, and the Trust Territory of the Pacific Islands.
Sec. 96.3 Information Collection Approval Numbers (Not applicable to EZEC SSBG grant.)
Sec. 96.10 Prerequisites to Obtain Block Grant Funds (Not applicable to EZEC SSBG grant.)
Sec. 96.11 Basis of Award to the States
The Secretary will award the block grant funds allotted to the State…. The grant award constitutes the authority to carry out the program and to draw and expend funds.
Sec. 96.12 Grant Payment
The
Secretary will make payments at such times and in such amounts to each State
from its awards in advance or by way of reimbursement in accordance with
section 203 of the Intergovernmental Cooperation Act (42 U.S.C. 4213) and
Treasury Circular No. 1075
(31 CFR Part 205).
Sec. 96.13 Reallotments (Not applicable to EZEC SSBG grant.)
Sec. 96.14 Time Period for Obligation and Expenditure
of Grant Funds
(Not applicable to EZEC
SSBG grant.)
Sec. 96.15 Waivers
Applications for waivers that are permitted by statute for the block grants should be submitted to the Assistant Secretary of Health in the case of the preventive health and health services, alcohol and drug abuse and mental health services, and maternal and child health services block grants; to the Director, Office of Community Services in the case of the community services block grant; and to the Assistant Secretary for Human Development Services in the case of the social services block grant….
Sec. 96.16 Applicability of title XVII of the Reconciliation Act (Not applicable to EZEC SSBG grant.)
Sec. 96.17 Annual Reporting Requirements (Not applicable to EZEC SSBG grant.)
Sec. 96.30 Fiscal and Administrative Requirements
Except where otherwise required by Federal law or regulation, a State shall obligate and expend block grant funds in accordance with the laws and procedures applicable to the obligation and expenditure of its own funds. Fiscal control and accounting procedures must be sufficient to (a) permit preparation of reports required by the statute authorizing the block grant and (b) permit the tracing of funds to a level of expenditure adequate to establish that such funds have not been used in violation of the restrictions and prohibitions of the statute authorizing the block grant.
Sec. 96.31 Audits
(a)Basic rule. Grantees and subgrantees are responsible for obtaining audits in accordance with the Single Audit Act Amendments of 1996 (31 U.S.C. 7501-7507) and revised OMB Circular A-133, ``Audits of State, Local Governments, and Non-Profit Organizations.'' The audits shall be made by an independent auditor in accordance with generally accepted Government auditing standards covering financial audits.
(b) Subgrantees. State or local governments, as those terms are defined for purposes of the Single Audit Act Amendments of 1996, that provide Federal awards to a subgrantee, expending $300,000 or more (or other amount as specified by OMB) in Federal awards in a fiscal year, shall:
(1) Determine whether subgrantees have met the audit requirements of the Act. Commercial contractors (private for-profit and private and governmental organizations) providing goods and services to State and local governments are not required to have a single audit performed. State and local governments should use their own procedures to ensure that the contractor has complied with laws and regulations affecting the expenditure of Federal funds;
(2) Determine whether the subgrantee spent Federal assistance funds provided in accordance with applicable laws and regulations. This may be accomplished by reviewing an audit of the subgrantee made in accordance with the Act or through other means (e.g., program reviews) if the subgrantee has not had such an audit;
(3) Ensure that appropriate corrective action is taken within six months after receipt of the audit report in instances of noncompliance with Federal laws and regulations;
(4) Consider whether subgrantee audits necessitate adjustment of the grantee's own records; and
(5) Require each subgrantee to permit independent auditors to have access to the records and financial statements.
The State must repay to the Department amounts found after audit resolution to have been expended improperly. In the event that repayment is not made voluntarily, the Department will undertake recovery.
Sec. 96.33 Referral of cases to the Inspector General
State or tribal officials who have information indicating the commission or potential commission of fraud or other offenses against the United States involving block grant funds should promptly provide the information to the appropriate Regional Office of Investigations of the Department's Office of the Inspector General.
(Not applicable to EZEC SSBG grant.)
Sec. 96.50 Complaints
(a) This section applies to any complaint (other than a complaint alleging violation of the nondiscrimination provisions) that a State has failed to use its allotment under a block grant in accordance with the terms of the act establishing the block grant or the certifications and assurances made by the State pursuant to that act. The Secretary is not required to consider a complaint unless it is submitted as required by this section.
(b)[C]omplaints with respect to the social services block grant must be submitted in writing to the Assistant Secretary for Human Development Services….The complaint must identify the provision of the act, assurance, or certification that was allegedly violated; must specify the basis for the violations it charges; and must include all relevant information known to the person submitting it.
(c) The Department shall promptly furnish a copy of any complaint to the affected State. Any comments received from the State within 60 days (or such longer period as may be agreed upon between the State and the Department) shall be considered by the Department in responding to the complaint. The Department will conduct an investigation of complaints where appropriate.
(d) The Department will provide a written response to complaints within 180 days after receipt. If a final resolution cannot be provided at that time, the response will state the reasons why additional time is necessary. Under the low-income home energy assistance program, within 60 days after receipt of complaints, the Department will provide a written response to the complainant, stating the actions that it has taken to date and, if the complaint has not yet been fully resolved, the timetable for final resolution of the complaint.
(e) The Department recognizes that under the block grant programs the States are primarily responsible for interpreting the governing statutory provisions. As a result, various States may reach different interpretations of the same statutory provisions. This circumstance is consistent with the intent of and statutory authority for the block grant programs. In resolving any issue raised by a complaint or a Federal audit the Department will defer to a State's interpretation of its assurances and of the provisions of the block grant statutes unless the interpretation is clearly erroneous. In any event, the Department will provide copies of complaints to the independent entity responsible for auditing the State's activities under the block grant program involved. Any determination by the Department that a State's interpretation is not clearly erroneous shall not preclude or otherwise prejudice the State auditors' consideration of the question.
Sec. 96.51 Hearings
(a) The Department will order a State to repay amounts found not to have been expended in accordance with law of the certifications provided by the State only after the Department has provided the State notice of the order and an opportunity for a hearing. Opportunity for a hearing will not be provided, however, when the State, in resolving audit findings or at another time, has agreed that the amounts were not expended in accordance with law or the certifications. The hearing will be governed by Subpart F of this part and will be held in the State if required by statute.
(b)If a State refuses to repay amounts after a final decision that is not subject to further review in the Department, the amounts may be offset against payments to the State. If a statute requires an opportunity for a hearing before such an offset may be made, the hearing will be governed by Subpart F of this part and will be held in the State if required by statute.
(c) The Department will withhold funds from a State only if the Department has provided the State an opportunity for a hearing. The hearing will be governed by Subpart F of this part and will be held in the State if required by statute.
Sec. 96.52 Appeals
(a) Decisions resulting from repayment hearings held pursuant to Sec. 96.51(a) of this part may be appealed by either the State or the Department to the Grant Appeals Board.
(b) Decisions resulting from offset hearings held pursuant to Sec. 96.51(b) of this part may not be appealed.
(c) Decisions resulting from withholding hearings held pursuant to Sec. 96.51(c) of this part may be appealed to the Secretary by the State or the Department as follows:
(1) An application for appeal must be received by the Secretary no later than 60 days after the appealing party receives a copy of the presiding officer's decision. The application shall clearly identify the questions for which review is sought and shall explain fully the party's position with respect to those questions. A copy shall be furnished to the other party.
(2) The Secretary may permit the filing of opposing briefs, hold informal conferences, or take whatever other steps the Secretary finds appropriate to decide the appeal.
(3) The Secretary may refer an application for appeal to the Grant Appeals Board. Notwithstanding Part 16 of this title, in the event of such a referral, the Board shall issue a recommended decision that will not become final until affirmed, reversed, or modified by the Secretary.
(d) Any appeal to the Grant Appeals Board under this section shall be governed by Part 16 of this title except that the Board shall not hold a hearing. The Board shall accept any findings with respect to credibility of witnesses made by the presiding officer. The Board may otherwise review and supplement the record as provided for in Part 16 of this title and decide the issues raised.
Sec. 96.60 Scope
The procedures in this subpart apply when opportunity for a hearing is provided for by Sec. 96.51 of this part.
Sec. 96.61 Initiation of Hearing
(a) A hearing is initiated by a notice of opportunity for hearing from the Department. The notice will:
(1) Be sent by mail, telegram, telex, personal delivery, or any other mode of written communication;
(2) Specify the facts and the action that are the subject of the opportunity for a hearing;
(3) State that the notice of opportunity for hearing and the hearing are governed by these rules; and
(4) State the time within which a hearing may be requested, and state the name, address, and telephone number of the Department employee to whom any request for hearing is to be addressed.
(b) A State offered an opportunity for a hearing has the amount of time specified in the notice, which may not be less than 10 days after receipt of the notice, within which to request a hearing. The request may be filed by mail, telegram, telex, personal delivery, or any other mode of written communication, addressed to the designated Department employee. If no response is filed within that time, the offer is deemed to have been refused and no hearing will be held.
(c) If a hearing is requested, the Department will designate a presiding officer, and (subject to Sec. 96.51 of this part) the hearing will take place at a time and location agreed upon by the State requesting the hearing, the Department, and the presiding officer or, if agreement cannot be reached, at a reasonable time and location designated by the presiding officer.
Sec. 96.62 Presiding Officer
(a) A Department employee to whom the Secretary delegates such authority, or any other agency employee designated by an employee to whom such authority is delegated, may serve as the presiding officer and conduct a hearing under this subpart.
(b) The presiding officer is to be free from bias or prejudice and may not have participated in the investigation or action that is the subject of the hearing or be subordinate to a person, other than the Secretary, who has participated in such investigation or action.
(c) The Secretary is not precluded by this section from prior participation in the investigation or action that is the subject of the hearing.
(d) A different presiding officer may be substituted for the one originally designated under Sec. 96.61 of this part without notice to the parties.
Sec. 96.63 Communications to the Presiding Officer
(a) Those persons who are directly involved in the investigation or presentation of the position of the Department or any party at a hearing that is subject to this subpart should avoid any off-the-record communication on the matter to the presiding officer or his advisers if the communication is inconsistent with the requirement of Sec. 96.68 of this part that the administrative record be the exclusive record for decision. If any communication of this type occurs, it is to be reduced to writing and made part of the record, and the other party provided an opportunity to respond.
(b) A copy of any communications between a participant in the hearing and the presiding officer, e.g., a response by the presiding officer to a request for a change in the time of the hearing is to be sent to all parties by the person initiating the communication.
Sec. 96.64 Intervention
Participation as parties in the hearing by persons other than the State and the Department is not permitted.
Sec. 96.67 Right to Counsel
Any party to a hearing under this part has the right at all times to be advised and accompanied by counsel.
Sec 96.68 Administrative Record of a Hearing
(a) The exclusive administrative record of the hearing consists of the following:
(1) The notice of opportunity for hearing and the response.
(2) All written information and views submitted to the presiding officer at the hearing or after if specifically permitted by the presiding officer.
(3) Any transcript of the hearing.
(4) The presiding officer's decision and any briefs or comments on the decision under Sec. 96.66(e) of this part.
(5) All letters or communications between participants and the presiding officer or the Secretary referred to in Sec. 96.63 of this part.
(b) The record of the hearing is closed to the submission of information and views at the close of the hearing, unless the presiding officer specifically permits additional time for a further submission.
Sec. 96.70 Scope
This subpart applies to the social services block grant.
Sec. 96.71 Definitions
(a) Section 2005 (a)(2) and (a)(5) (42 U.S.C. 1397d (a)(2) and (a)(5)) of the Social Security Act establishes prohibitions against the provision of room and board and medical care unless, among other reasons, they are an ``integral but subordinate'' part of a State-authorized social service. ``Integral but subordinate'' means that the room and board provided for a short term or medical care is a minor but essential adjunct to the service of which it is a part and is necessary to achieve the objective of that service. Room and board provided for a short term shall not be considered an integral but subordinate part of a social service when it is provided to an individual in a foster family home or other facility the primary purpose of which is to provide food, shelter, and care or supervision, except for temporary emergency shelter provided as a protective service.
(b) As used in section 2005(a)(5) of the Social Security Act (42 U.S.C. 1397d (a)(5)) with respect to the limitations governing the provision of services by employees of certain institutions, employees includes staff, contractors, or other individuals whose activities are under the professional direction or direct supervision of the institution.
Sec. 96.72 Transferability of fund
(Not applicable to
EZEC SSBG grant.)
Sec. 96.73
Sterilization
(Not Applicable to the EZEC
SSBG grant.)
(Not applicable to EZEC SSBG grant.)
(Not applicable to EZEC SSBG grant.)
(Not applicable to EZEC SSBG grant.)
(Not applicable to EZEC SSBG grant.)
(Not applicable to EZEC SSBG grant.)
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This document was last modified 6/13/2001 1:50 p.m. EST
