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[Federal Register Volume 79, Number 59 (Thursday, March 27, 2014)]
[Rules and Regulations]
[Pages 17035-17037]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-06828]

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DEPARTMENT OF EDUCATION

34 CFR Chapters I-VI

[Docket ID ED-2013-OII-0110]
RIN 1894-AA05

Final Priority--Promise Zones

AGENCY: Department of Education.

ACTION: Final priority.

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SUMMARY: The Secretary of Education (Secretary) announces a priority 
that the Department of Education (Department) may use for any 
appropriate discretionary grant program in fiscal year (FY) 2014 and 
future years. Through this action, we intend to focus Federal financial 
assistance on expanding the number of Department programs and projects 
that support activities in designated Promise Zones.
    This action will permit all offices in the Department to use this 
priority, as appropriate, in any discretionary grant competition.

DATES: This priority is effective April 28, 2014.

FOR FURTHER INFORMATION CONTACT: Jane Hodgdon. Telephone: 202-453-6620. 
Or by email: Jane.Hodgdon@ed.gov.
    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:

    Program Authority: 20 U.S.C. 1221e-3, 3474.
    We published a proposed priority (NPP) in the Federal Register on 
October 25, 2013 (78 FR 63913). That notice contained background 
information and our reasons for proposing the priority. There are no 
differences between the NPP and this notice of final priority.
    Public Comment: In response to our invitation in the NPP, 10 
parties submitted comments on the proposed priority. Generally, we do 
not address technical and other minor changes. In addition, we do not 
address general comments that raised concerns not directly related to 
the proposed priority.
    Analysis of Comments and Changes: An analysis of the comments 
follows.
    Comment: Several commenters addressed the Promise Zones Initiative 
as described in the Background Section of the NPP. Many expressed 
support for the Promise Zones Initiative, its potential to impact 
community residents, and the inclusion of a focus on education in the 
designated Promise Zones. Other commenters expressed concerns about the 
small number of Promise Zones designations to be made, about the 
funding and resources that would be made available to Promise Zones 
designees, about how the progress of the Promise Zones Initiative would 
be evaluated, and whether the 10-year timeframe of the designation 
would be sufficient to realize long-term impacts. Additionally, one 
commenter requested clarification on the role that Federal staff would 
play in working with Promise Zones designees, and two commenters 
suggested that the Promise Zone Initiative should expand resident 
access to housing opportunities in higher income communities.
    Discussion: We appreciate the feedback and suggestions on the 
Promise Zones Initiative. The Department coordinates with the U.S. 
Departments of Housing and Urban Development, Agriculture, and Justice 
to support the administration of the Promise Zones Initiative. As such, 
we will share the comments regarding the broader initiative with our 
Federal Promise Zones partners for consideration in the development and 
implementation of any Promise Zones opportunity. However, because the 
comments about the broader initiative do not provide specific 
recommendations for the Department's proposed priority, we are not 
providing a direct response to each topic raised in these comments.
    Changes: None.
    Comment: Two commenters stated their support for the Promise Zones 
priority and the important role that education can play in revitalizing 
a community. While supportive of the purpose of Promise Zones, one 
commenter expressed concern about including a priority for a potential 
pool of 20 Promise Zone designees. The commenter further stated that 
because the scope of the Promise Zones Initiative is small, it does not 
make sense to prioritize those few communities.
    Discussion: We appreciate the commenters' support for the 
President's efforts to combat poverty, and we agree that education is 
critical to building ladders of opportunity to the middle class. While 
the ultimate number of Promise Zones communities is relatively small, 
the number of discretionary grants that might support Promise Zones is 
not so limited. The priority can be used with any appropriate 
discretionary grant competition, and all eligible entities that are 
planning to serve and coordinate with a Promise Zone, such as local 
educational agencies and non-profit organizations, may respond to this 
priority. The purpose of the

[[Page 17036]]

Department's Promise Zone priority is to focus the Department's grant 
resources on communities of acute need, as indicated by their Promise 
Zone designation.
    Furthermore, the Promise Zones Initiative provides a unique 
opportunity for cross-agency collaboration that will likely benefit 
other communities as well. For example, the participating Federal 
agencies will be working with the designated Promise Zones to improve 
coordination among Federal resources to enhance place-based strategies 
and increase the progress of community revitalization initiatives. As 
outcomes are achieved and best practices are developed, Federal 
agencies will apply relevant lessons learned regarding the delivery of 
Federal funding and services to other communities working toward 
similar goals. In addition, we expect that the joint investment in and 
evaluation of Promise Zones will result in the creation of strong, 
comprehensive models of community transformation that will inform the 
work of other communities.
    Changes: None.
    Comment: Two commenters expressed concern that a Promise Zones 
priority may result in the exclusion of other potential applicants from 
receiving an award. Of those commenters, one commenter's concern was 
specific to the TRIO Upward Bound program. Another commenter requested 
that the Department work with the charter school community prior to the 
use of the priority in the Charter Schools program, a discretionary 
grant program. One commenter raised a concern that layering a Promise 
Zone priority onto a program with a different focus might weaken the 
existing program.
    Discussion: We recognize that Federal discretionary grant funds are 
highly competitive and provide critical support to communities that are 
working to improve student academic achievement. However, the 
Department's Promise Zones priority is intended to focus limited 
Federal resources in designated Promise Zones in order to improve the 
outcomes of the families, students, and children in those highly 
distressed locations. As stated in the NPP, the Secretary recognizes 
that this priority will not be appropriate for all discretionary grant 
programs. Each discretionary grant program is in the best position to 
work with its constituent communities and to determine the priorities 
critical to achieving their program outcomes. Additionally, when 
determining whether to use a priority in a given discretionary grant 
competition, the Department considers the intended goals of the program 
in order to ensure the use of any priority is appropriate to and 
aligned with the purpose of the discretionary program. The Promise 
Zones priority will not be used if it is not appropriate to the intent 
or purpose of a program or would somehow diminish its effect.
    Changes: None.

Final Priority

    To ensure that the Department's discretionary grant programs can 
provide, where appropriate, the increased access to additional 
investments for Promise Zones, the Secretary establishes a priority for 
projects that will serve and coordinate with a federally designated 
Promise Zone.
    Final priority--Promise Zones.
    Projects that are designed to serve and coordinate with a federally 
designated Promise Zone.
    Types of Priorities: When inviting applications for a competition 
using one or more priorities, we designate the type of each priority as 
absolute, competitive preference, or invitational through a notice in 
the Federal Register. The effect of each type of priority follows:
    Absolute priority: Under an absolute priority, we consider only 
applications that meet the priority (34 CFR 75.105(c)(3)).
    Competitive preference priority: Under a competitive preference 
priority, we give competitive preference to an application by (1) 
awarding additional points, depending on the extent to which the 
application meets the priority (34 CFR 75.105(c)(2)(i)); or (2) 
selecting an application that meets the priority over an application of 
comparable merit that does not meet the priority (34 CFR 
75.105(c)(2)(ii)).
    Invitational priority: Under an invitational priority, we are 
particularly interested in applications that meet the priority. 
However, we do not give an application that meets the priority a 
preference over other applications (34 CFR 75.105(c)(1)).
    This notice does not preclude us from proposing additional 
priorities, subject to meeting applicable rulemaking requirements.

    Note: This notice does not solicit applications. In any year in 
which we choose to use this priority, we invite applications through 
a notice in the Federal Register.

Executive Orders 12866 and 13563

Regulatory Impact Analysis

    Under Executive Order 12866, the Secretary must determine whether 
this regulatory action is ``significant'' and, therefore, subject to 
the requirements of the Executive order and subject to review by the 
Office of Management and Budget (OMB). Section 3(f) of Executive Order 
12866 defines a ``significant regulatory action'' as an action likely 
to result in a rule that may--
    (1) Have an annual effect on the economy of $100 million or more, 
or adversely affect a sector of the economy, productivity, competition, 
jobs, the environment, public health or safety, or State, local, or 
tribal governments or communities in a material way (also referred to 
as an ``economically significant'' rule);
    (2) Create serious inconsistency or otherwise interfere with an 
action taken or planned by another agency;
    (3) Materially alter the budgetary impacts of entitlement grants, 
user fees, or loan programs or the rights and obligations of recipients 
thereof; or
    (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
the Executive order.
    This proposed regulatory action is a significant regulatory action 
subject to review by OMB under section 3(f) of Executive Order 12866.
    We have also reviewed this proposed 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

[[Page 17037]]

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 only on a reasoned determination 
that its benefits would justify its costs. In choosing among 
alternative regulatory approaches, we selected the approach that would 
maximize net benefits. Based on the analysis that follows, the 
Departments believe that this regulatory action is consistent with the 
principles in Executive Order 13563.
    We also have determined that this proposed regulatory action would 
not unduly interfere with State, local, and tribal governments in the 
exercise of their governmental functions.
    In accordance with both Executive orders, the Department has 
assessed the potential costs and benefits, both quantitative and 
qualitative, of this regulatory action. The potential costs associated 
with this regulatory action are those resulting from statutory 
requirements and those we have determined as necessary for 
administering the Department's programs and activities.
    Intergovernmental Review: Some of the programs affected by this 
proposed priority are 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.
    Accessible Format: Individuals with disabilities can obtain this 
document in an accessible format (e.g., braille, large print, 
audiotape, or compact disc) on request to the contact person listed 
under FOR FURTHER INFORMATION CONTACT.
    Electronic Access to This Document: The official version of this 
document is the document published in the Federal Register. Free 
Internet access to the official edition of the Federal Register and the 
Code of Federal Regulations is available via the Federal Digital System 
at: www.gpo.gov/fedsys. At this site you can view this document, as 
well as all other documents of this Department published in the Federal 
Register, in text or Adobe Portable Document Format (PDF). To use PDF 
you must have Adobe Acrobat Reader, which is available free at the 
site.
    You may also access document 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.

    Dated: March 24, 2014.
Arne Duncan,
Secretary of Education.
[FR Doc. 2014-06828 Filed 3-26-14; 8:45 am]
BILLING CODE 4000-01-P
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