[Federal Register Volume 86, Number 10 (Friday, January 15, 2021)]
[Notices]
[Pages 4029-4033]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-00935]


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DEPARTMENT OF EDUCATION


Notice Inviting Applications for Funds Under the Higher Education 
Emergency Relief Fund (HEERF), Section 314(a)(1); Coronavirus Response 
and Relief Supplemental Appropriations Act, 2021 (CRRSAA)

AGENCY: Office of Postsecondary Education, Department of Education.

ACTION: Notice.

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SUMMARY: The Secretary is announcing the availability of new HEERF 
grant funding under section 314(a)(1) of the CRRSAA and inviting 
applications from public and nonprofit institutions that did not 
previously receive funding under section 18004(a)(1) of the Coronavirus 
Aid, Relief, and Economic Security Act (CARES Act). This notice relates 
to the approved information collections under OMB control numbers 1801-
0005 and 1840-0842.

DATES: 
    Applications Available: January 15, 2021.
    Deadline for Transmittal of Applications: Applications will be 
accepted on a rolling basis until April 15, 2021.

ADDRESSES: For the addresses for obtaining and submitting an 
application, please refer to our Common Instructions for Applicants to 
Department of Education Discretionary Grant Programs, published in the 
Federal Register on February 13, 2019 (84 FR 3768) and available at 
www.govinfo.gov/content/pkg/FR-2019-02-13/pdf/2019-02206.pdf.

FOR FURTHER INFORMATION CONTACT: Karen Epps, U.S. Department of 
Education, 400 Maryland Avenue SW, Room 250-64, Washington, DC 20202. 
Telephone: The Department of Education HEERF Call Center at (202) 377-
3711. Email: <a href="/cdn-cgi/l/email-protection#baf2ffffe8fcfadfde94ddd5cc"><span class="__cf_email__" data-cfemail="d1999494839791b4b5ffb6bea7">[email protected]</span></a>. Please also visit our HEERF website at: 
https://www2.ed.gov/about/offices/list/ope/crrsaa.html.
    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:

Full Text of Announcement

    Background: On December 27, 2020, the President signed into law the 
Coronavirus Response and Relief Supplemental Appropriations Act, 2021 
(CRRSAA) (Pub. L. 116-260). This law makes available approximately 
$22.7 billion for institutions of higher education under the Higher 
Education Emergency Relief Fund (HEERF), with funding appropriated for 
the existing (a)(1), (a)(2) and (a)(3) programs previously authorized 
under the CARES Act, as well as funding for a new (a)(4) program 
authorized under the CRRSAA.
    With this notice, the Secretary is announcing the availability of 
HEERF grant funds under the CRRSAA section 314(a)(1) programs (CFDAs 
84.425E and 84.425F). These programs, with some changes, are a 
continuation of the CARES Act section 18004(a)(1) program which the 
Department implemented as two funding streams: the Student Aid Portion 
(CFDA 84.425E) for financial grants to students, and the Institutional 
Portion (CFDA 84.425F) for institutional uses of funds related to the 
coronavirus.
    Eligible institutions are institutions of higher education, as 
defined in sections 101 and 102(c) of the Higher Education Act of 1965, 
as amended (HEA), 20 U.S.C. 1001, 1002(c). Allocations for these 
programs will be calculated according to the formula in section 
314(a)(1) of the CRRSAA. Under CRRSAA section 314(c), grant awards 
under these programs may be used to (1) defray expenses associated with 
coronavirus (including lost revenue, reimbursement for expenses already 
incurred, technology costs associated with a transition to distance 
education, faculty and staff trainings, and payroll); (2) carry out 
student support activities authorized by the HEA that address needs 
related to coronavirus; or (3) provide financial aid grants to students 
(including students exclusively enrolled in distance education), which 
may be used for any component of the student's cost of attendance or 
for emergency costs that arise due to coronavirus, such as tuition, 
food, housing, health care (including mental health care), or child 
care. In making financial aid grants to students, an institution of 
higher education must prioritize grants to students with exceptional 
need, such as students who receive Pell Grants.
    Given section 314(d)(8) of the CRRSAA not requiring institutions of 
higher education that previously received grants under section 
18004(a)(1) of the CARES Act to submit new or revised applications to 
receive this funding, the Department will be automatically awarding 
supplemental funds to eligible institutions that previously received a 
section 18004(a)(1) Student Aid Portion or Institutional Portion award 
under the CARES Act. No action is required by eligible institutions to 
receive these supplemental awards. The Project Director identified on 
the most current Grant Award Notification (GAN) will automatically 
receive an email indicating a supplement award has been made to your 
institution. Please note that drawing down any amount of these 
supplemented funds constitutes an institution's acceptance of the new 
terms and conditions under the CRRSAA and a new Supplemental Agreement, 
which are included as attachments to this notice for reference.
    Not every institution that received grants under CARES Act section 
18004(a)(1) will receive a supplement. First, the CRRSAA prohibits 
proprietary institutions from receiving supplemental funding under 
section 314(a)(1) and creates a new program for these institutions 
under section 314(a)(4). More information, including instructions on 
how to apply for (a)(4) funding, is provided in a separate notice.
    Second, institutions that have not yet complied with the reporting 
requirements of the CARES Act may receive delayed supplemental (a)(1) 
awards and/or may receive awards with a restriction on the ability to 
drawdown those awarded funds (stop payment status) until the 
institution has satisfied its CARES Act HEERF reporting obligations.
    Institutions that did not receive a CARES Act section 18004(a)(1) 
award but are on the Department's published section 314(a)(1) 
allocation table for CRRSAA may apply for and receive section 314(a)(1) 
Student Aid Portion (CFDA 84.425E) and Institutional Portion (CFDA 
84.425F) grant awards. Pursuant to CRRSAA section 314(f), an 
institution must apply for funds within 90 days of the publication of 
this notice.
    Finally, for an institution that paid or will be required to pay 
the endowment excise tax in tax year 2019 (``endowment tax 
institutions''), the institution's CRRSAA section 314(a)(1) allocation 
will be reduced by 50% under section 314(d)(6) of the CRRSAA. Endowment 
tax institutions must only use their allocations for financial aid 
grants to students under section 314(c)(3) or for sanitation, personal 
protective equipment, or other expenses associated with the general 
health and safety of the campus environment related to the coronavirus 
emergency. A limited exception to this requirement is provided for any 
endowment tax

[[Page 4030]]

institution that participates in the work colleges program authorized 
under section 448 of the Higher Education Act of 1965, as amended. 
Endowment tax institutions must complete and submit a form disclosing 
this tax status available on the Department's HEERF website. Endowment 
excise tax institutions may also seek a waiver of these limitations.
    Program Authority: Section 314 of Coronavirus Response and Relief 
Supplemental Appropriations Act, 2021.
    Applicable Regulations: (a) The Education Department General 
Administrative Regulations in 34 CFR parts 75, 77, 81, 82, 84, 86, 97, 
98, and 99. (b) The Office of Management and Budget Guidelines to 
Agencies on Governmentwide Debarment and Suspension (Nonprocurement) in 
2 CFR part 180, as adopted and amended as regulations of the Department 
in 2 CFR part 3485. (c) The Uniform Administrative Requirements, Cost 
Principles, and Audit Requirements for Federal Awards in 2 CFR part 
200, as adopted and amended as regulations of the Department in 2 CFR 
part 3474.

II. Award Information

    Type of Award: Formula grants.
    Estimated Available Funds: Approximately $20,500,000,000 will be 
used to make awards under this program. This amount includes new funds 
allocated under the CRRSAA, and both unspent CARES Act funds under 
CARES Act section 18004(a)(1) and unspent Project SERV funds that were 
reallocated per CRRSAA section 314(d)(4).
    Grant Period: Institutions must expend funds received under this 
program within 12 months of obligation of the funds by the Department.

III. Eligibility Information

    1. Eligible Applicants: Public and Private Nonprofit IHEs, as 
defined in section 101 and section 102(c) of the HEA.
    2. Cost Sharing or Matching: This program does not require cost 
sharing or matching.
    3. Subgrantees: Subgrantees are not allowed under this program.

IV. Application and Submission Information

    1. Application Submission Instructions: Applicants are required to 
submit their applications using Grants.gov. The Grants.gov Funding 
Opportunity Numbers are ED-GRANTS-041020-003 for the Student Aid 
Portion and ED-GRANTS-042120-004 for the Institutional Portion. 
Applications must be submitted by XXX Date [90 days after publication]. 
To register to use Grants.gov, please visit their ``How to Apply for 
Grants'' web page (https://www.grants.gov/applicants/apply-for-grants.html), or call their Applicant Support helpdesk at 1-800-518-
4726.
    Each completed application for a Student Aid Portion or 
Institutional Portion grant must consist of:
    <bullet> A complete SF-424;
    <bullet> A Certification and Agreement (Student Aid Portion 
Certification and Agreement (Gold C&A), or the Institutional Portion 
Certification and Agreement (Blue C&A), as appropriate); and
    <bullet> The Required Notification of Endowment Excise Tax Paid (if 
applicable).

    Note: The applicant must submit the corresponding Certificate 
and Agreement for the funds requested. No institution will receive 
an Institutional Portion grant if they do not also apply for their 
Student Aid portion. Each Certificate and Agreement must be 
completed and include the correct OPE ID and DUNS number of the 
institution for which you are requesting funds. Each grantee will 
receive the amount calculated for them and listed in Department's 
published section 314(a)(1) allocation table.

    2. Intergovernmental Review: This program is subject to Executive 
Order 12372 and the regulations in 34 CFR part 79. However, under 34 
CFR 79.8(a), we waive intergovernmental review in order to make timely 
awards.
    3. Funding Restrictions: Specified in each program's Certification 
and Agreement or Supplemental Agreement.
    4. Data Universal Numbering System Number, Taxpayer Identification 
Number, and System for Award Management: In general, to do business 
with the Department of Education, you must--
    (a) Have a Data Universal Numbering System (DUNS) number and a 
Taxpayer Identification Number (TIN);
    (b) Register both your DUNS number and TIN with the System for 
Award Management (SAM), the Government's primary registrant database;
    (c) Provide your DUNS number and TIN on your SAM application; and
    (d) Maintain an active SAM registration with current information 
while your application is under review by the Department and, if you 
are awarded a grant, during the project period.
    You can obtain a DUNS number from Dun and Bradstreet at the 
following website: http://fedgov.dnb.com/webform. A DUNS number can be 
created within one to two business days.
    If you are a corporate entity, agency, institution, or 
organization, you can obtain a TIN from the Internal Revenue Service. 
If you are an individual, you can obtain a TIN from the Internal 
Revenue Service or the Social Security Administration. If you need a 
new TIN, please allow two to five weeks for your TIN to become active.
    The SAM registration process can take approximately seven business 
days, but may take upwards of several weeks, depending on the 
completeness and accuracy of the data you enter into the SAM database. 
Thus, if you think you might want to apply for Federal financial 
assistance under a program administered by the Department, please allow 
sufficient time to obtain and register your DUNS number and TIN. Given 
the national emergency related to COVID-19, the Department may accept 
an application without an active SAM registration and may allow 
registered SAM users whose registrations expire before May 16, 2020, an 
additional 60 days to update their registration, consistent with the 
Office of Management and Budget Memo M-20-17.
    If you are currently registered with SAM, you may not need to make 
any changes. However, please make certain that the TIN associated with 
your DUNS number is correct. Also note that you will need to update 
your registration annually. This may take three or more business days.
    Information about SAM is available at www.SAM.gov. To further 
assist you with obtaining and registering your DUNS number and TIN in 
SAM or updating your existing SAM account, we have prepared a SAM.gov 
Tip Sheet, which you can find at: www2.ed.gov/fund/grant/apply/sam-faqs.html.

V. Award Administration Information

    1. Award Notices: If you receive a grant award under this program, 
we will send you a Grant Award Notification (GAN), or we may send you 
an email containing a link to access an electronic version of your GAN.
    2. Reporting: Reporting requirements are specified in each 
program's Certification and Agreement or Supplemental Agreement.

VI. Other Information

    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.

[[Page 4031]]

    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.

Christopher J. McCaghren,
Acting Assistant Secretary for Postsecondary Education.
Attachment 1: Example Supplemental Agreement for Supplemental Grant 
Funds for Students

Coronavirus Response and Relief Supplemental Appropriations Act, 2021

Supplemental Agreement (CFDA 84.425E) ((a)(1) Student Aid Portion)

Supplemental Grant Funds for STUDENTS

    The terms, conditions, and requirements governing your 
institution's (Recipient's) use of these supplemental grant funds 
awarded pursuant to section 314(a)(1) of the Coronavirus Response 
and Relief Supplemental Appropriations Act, 2021 (CRRSAA) (Pub. L. 
116-260) (supplemental award or grant) by the U.S. Department of 
Education (Department) are governed by section 314 of the CRRSAA and 
the following terms and conditions of this Supplemental Agreement.
    BY DRAWING DOWN THESE GRANT FUNDS, YOU AGREE TO BE BOUND BY THE 
CONDITIONS SET FORTH ON THE BEHALF OF THE INSTITUTION YOU REPRESENT, 
AND YOU WARRANT THAT YOU HAVE THE AUTHORITY TO BIND THE INSTITUTION 
TO THE FOLLOWING CONDITIONS:
    Use of Supplemental Grant Funds:
    1. Section 314(d)(5) of the CRRSAA requires Recipient, an 
institution of higher education as defined in section 101 or 102(c) 
of the Higher Education Act of 1965, as amended (HEA), 20 U.S.C. 
1001 or 1002(c), to provide at least the same amount of funding in 
financial aid grants to students as was required to be provided 
under sections 18004(a)(1) and (c) of division B of the Coronavirus 
Aid, Relief, and Economic Security Act (CARES Act) (Pub. L. 116-
136). The amount of funds made available by this supplemental award 
under CFDA 84.425E represents the minimum amount that Recipient must 
use for financial aid grants to students.
    2. Under section 314(c)(3) of the CRRSAA, Recipient must make 
financial aid grants directly to students (including students 
exclusively enrolled in distance education), which may be used for 
any component of the student's cost of attendance or for emergency 
costs that arise due to coronavirus, such as tuition, food, housing, 
health care (including mental health care) or child care.
    3. Recipient acknowledges that it retains discretion to 
determine the amount and availability of each individual financial 
aid grant consistent with all applicable laws, including non-
discrimination laws. Recipient further acknowledges that under 
section 314(c)(3), it must prioritize grants to students with 
exceptional need, such as students who receive Pell Grants. However, 
students do not need to be Pell recipients or students who are 
eligible for Pell grants.
    4. Recipient acknowledges that it may not condition the receipt 
of such a financial aid grant on continued or future enrollment with 
the Recipient. Recipient also acknowledges that it may not require a 
student to consent to the application of the financial aid grant to 
the student's outstanding account balance with Recipient as a 
condition of receipt of or eligibility for the financial aid grant.
    5. In consideration for this award, Recipient agrees that 
Recipient holds these grant funds in trust for students and acts in 
the nature of a fiduciary for students.
    6. Recipient acknowledges that the Secretary recommends (a) the 
maximum Federal Pell Grant for the applicable award year as an 
appropriate maximum amount for a student's financial aid grant in 
most cases, and (b) that the Recipient should consider each 
student's particular socioeconomic circumstances in the 
administration of these grants.
    7. The Secretary strongly encourages Recipient's financial aid 
administrator to exercise the use of professional judgment available 
under HEA section 479A, 20 U.S.C. 1087tt, to make adjustments on a 
case-by-case basis to exclude individual financial aid grants from 
the calculation of a student's expected family contribution. The 
Secretary does not consider these individual financial aid grants to 
constitute Federal financial aid under Title IV of the HEA.
    8. Recipient must notify the Department within 30 days if 
Recipient is required or becomes aware that it will be required to 
remit payment to the Internal Revenue Service for the excise tax 
paid on investment income of private colleges and universities under 
section 4968 of the Internal Revenue Code of 1986 for tax year 2019 
via the form provided attached to this GAN, pursuant to section 
314(d)(6) of the CRRSAA. Recipient acknowledges that if it was 
required to remit payment to the Internal Revenue Service for this 
excise tax paid, and if it is not an institution that has been 
designated as an eligible work college under HEA section 448, 20 
U.S.C. 1087-58:
    a. Recipient must not draw down more than 50% of its total 
allocation received under CRRSAA section 314(a)(1) (combined Student 
Aid Portion and Institutional Portion grants under CFDAs 84.425E and 
84.425F), unless a waiver of this condition has requested by 
Recipient and until approved by the Secretary under CRRSAA section 
314(d)(6)(B).
    b. Recipient must use its remaining available funds only for 
financial aid grants to students consistent with CRRSAA section 
314(c)(3), or for sanitation, personal protective equipment, or 
other expenses associated with the general health and safety of the 
campus environment related to the qualifying emergency, unless a 
waiver of this condition has been requested by Recipient and until 
approved by the Secretary under CRRSAA section 314(d)(6)(B), and 
subject to other applicable requirements in section 314.
    Grant Administration:
    9. Recipient acknowledges that consistent with 2 CFR 200.305, it 
must minimize the time between drawing down funds from G5 and paying 
incurred obligations (liquidation). Recipient further acknowledges 
that if it draws down funds and does not pay the incurred 
obligations (liquidates) within 15 calendar days it may be subject 
to heightened scrutiny by the Department, Recipient's auditors, and/
or the Department's Office of the Inspector General (OIG). Recipient 
further acknowledges that returning funds pursuant to mistakes in 
drawing down excessive grant funds in advance of need may also be 
subject to heightened scrutiny by the Department, Recipient's 
auditors, and/or the Department's OIG. Finally, Recipient 
acknowledges that it must maintain drawn down grant funds in an 
interest-bearing account, and any interest earned on all Federal 
grant funds above $500 (all Federal grants together) during an 
institution's fiscal year must be returned (remitted) to the Federal 
government via a process described here: https://www2.ed.gov/documents/funding-101/g5-returning-interest.pdf.
    10. Recipient may not charge any indirect or administrative 
costs to funds made available under this supplemental award because 
the allocation in this grant award represents the minimum amount of 
funds that must be distributed to students.
    11. Recipient acknowledges that any obligation under this grant 
(pre-award costs pursuant to 2 CFR 200.458) must have been incurred 
on or after December 27, 2020, the date of the enactment of the 
CRRSAA.
    12. Recipient must promptly and to the greatest extent 
practicable distribute all grant funds from this award in the form 
of financial aid grants to students within the one-year period of 
performance (2 CFR 200.77) specified in Box 6 of this Grant Award 
Notification (GAN).
    13. Recipient must, to the greatest extent practicable, continue 
to pay its employees and contractors during the period of any 
disruptions or closures related to coronavirus pursuant to section 
315 of the CRRSAA.
    14. Recipient acknowledges that its failure to draw down any 
amount of its supplemental grant funds within 90 days of the date of 
this supplemental award will constitute nonacceptance of the terms, 
conditions, and requirements of this Supplemental Agreement and of 
these supplemental grant funds. In such event, the Department, in 
its sole discretion, may choose to deobligate these supplemental 
grant funds or take other appropriate administrative action, up to 
and including

[[Page 4032]]

terminating the grant award pursuant to 2 CFR 200.340.
    Reporting and Accountability:
    15. Recipient must promptly and timely report to the Department 
on the use of funds no later than 6 months after the date of this 
supplemental award in a manner to be specified by the Secretary 
pursuant to section 314(e) of the CRRSAA. Recipient must also 
promptly and timely provide a detailed accounting of the use of 
funds provided by this supplemental award in such manner and with 
such subsequent frequency as the Secretary may require. Recipient 
will comply with any other applicable reporting requirements 
including those in Section 15011(b)(2) of Division B of the CARES 
Act. Recipient acknowledges the Department may require additional or 
more frequent reporting to be specified by the Secretary.
    16. Recipient must comply with all requirements of the Single 
Audit Act Amendments of 1996, 31 U.S.C. 7501, et seq. (Single Audit 
Act) and all applicable auditing standards. Considering that the 
HEERF grant program is a new program not previously audited or 
subjected to Department oversight, and the inherent risk that comes 
with a new program, the Department strongly suggests that the HEERF 
grant program be audited as a major program in the first fiscal 
year(s) that the institution received a HEERF grant.
    17. Recipient acknowledges it is under a continuing affirmative 
duty to inform the Department if Recipient is to close or terminate 
operations as an institution or merge with another institution. In 
such cases, Recipient must promptly notify in writing the assigned 
education program officer contact in Box 3 of the GAN. Additionally, 
Recipient must promptly notify the assigned education program 
officer if the Recipient's Authorized Representative changes.
    18. Recipient must cooperate with any examination of records 
with respect to the advanced funds by making records and authorized 
individuals available when requested, whether by (i) the Department 
and/or its OIG; or (ii) any other Federal agency, commission, or 
department in the lawful exercise of its jurisdiction and authority. 
Recipient must retain all financial records, supporting documents, 
statistical records, and all other non-Federal entity records 
pertinent to a Federal award for a period of three years from the 
date of submission of the final expenditure report pursuant to 2 CFR 
200.334.
    19. Recipient acknowledges that failure to comply with this 
Supplemental Agreement, its terms and conditions, and/or all 
relevant provisions and requirements of the CRRSAA or any other 
applicable law may result in Recipient's liability under the False 
Claims Act, 31 U.S.C. 3729, et seq.; OMB Guidelines to Agencies on 
Governmentwide Debarment and Suspension (Nonprocurement) in 2 CFR 
part 180, as adopted and amended as regulations of the Department in 
2 CFR part 3485; 18 U.S.C. 1001, as appropriate; and all of the laws 
and regulations referenced in Attachment A, which is incorporated by 
reference herein.
    Applicable Law:
    20. Recipient must comply with all applicable assurances in OMB 
Standard Forms (SF) SF-424B and SF-424D (Assurances for Non-
Construction and Assurances for Construction Programs), including 
the assurances relating to the legal authority to apply for 
assistance; access to records; conflict of interest; 
nondiscrimination; Hatch Act provisions; labor standards; Single 
Audit Act; and the general agreement to comply with all applicable 
Federal laws, executive orders, and regulations.
    21. Recipient certifies that with respect to the certification 
regarding lobbying in Department Form 80-0013, no Federal 
appropriated funds have been paid or will be paid to any person for 
influencing or attempting to influence an officer or employee of any 
agency, a Member of Congress, an officer or employee of Congress, or 
an employee of a Member of Congress in connection with the making or 
supplementing of Federal grants under this program; Recipient must 
complete and submit Standard Form-LLL, ``Disclosure Form to Report 
Lobbying,'' when required (34 CFR part 82, Appendix B).
    22. Recipient must comply with the provisions of all applicable 
acts, regulations and assurances; the following provisions of 
Education Department General Administrative Regulations (EDGAR) 34 
CFR parts 75, 77, 81, 82, 84, 86, 97, 98, and 99; the OMB Guidelines 
to Agencies on Governmentwide Debarment and Suspension 
(Nonprocurement) in 2 CFR part 180, as adopted and amended as 
regulations of the Department in 2 CFR part 3485; and the Uniform 
Administrative Requirements, Cost Principles, and Audit Requirements 
for Federal Awards in 2 CFR part 200, as adopted and amended as 
regulations of the Department in 2 CFR part 3474.

Attachment 2: Example Supplemental Agreement for Supplemental Grant 
Funds for Institutions

Coronavirus Response and Relief Supplemental Appropriations Act, 2021

Supplemental Agreement (CFDA 84.425F) ((a)(1) Institutional Portion)

Supplemental Grant Funds for Institutions

    The terms, conditions, and requirements governing your 
institution's (Recipient's) use of these grant funds awarded 
pursuant to section 314(a)(1) of the Coronavirus Response and Relief 
Supplemental Appropriations Act, 2021 (CRRSAA) (Pub. L. 116-260) 
(award or grant) by the U.S. Department of Education (Department) 
are governed by section 314 of the CRRSAA and the following terms 
and conditions of this Certification and Agreement (C&A):
    BY DRAWING DOWN THESE GRANT FUNDS, YOU AGREE TO BE BOUND BY THE 
CONDITIONS SET FORTH ON THE BEHALF OF THE INSTITUTION YOU REPRESENT, 
AND YOU WARRANT THAT YOU HAVE THE AUTHORITY TO BIND THE INSTITUTION 
TO THE FOLLOWING CONDITIONS:
    Use of Supplemental Grant Funds:
    1. Under section 314(c) of the CRRSAA, Recipient may use these 
supplemental grant funds for Recipient's Institutional Costs to 
defray expenses associated with coronavirus (including lost revenue, 
reimbursement for expenses already incurred, technology costs 
associated with a transition to distance education, faculty and 
staff trainings, and payroll); carry out student support activities 
authorized by the Higher Education Act of 1965, as amended (HEA) 
that address needs related to coronavirus; and make additional 
financial grants to students, which may be used for any component of 
the student's cost of attendance or for emergency costs that arise 
due to coronavirus, such as tuition, food, housing, health care 
(including mental health care), or child care.
    2. Recipient acknowledges that no supplemental grant funds may 
be used to fund contractors for the provision of pre-enrollment 
recruitment activities; marketing or recruitment; endowments; 
capital outlays associated with facilities related to athletics, 
sectarian instruction, or religious worship; senior administrator or 
executive salaries, benefits, bonuses, contracts, incentives; stock 
buybacks, shareholder dividends, capital distributions, and stock 
options; or any other cash or other benefit for a senior 
administrator or executive.
    3. Recipient may, but is not required to, use funds designated 
for Recipient's Institutional Costs to provide additional financial 
aid grants to students. If Recipient chooses to use these grant 
funds designated for Recipient's Institutional Costs to provide 
additional financial aid grants to students, then those funds are 
subject to the requirements in the Public and Nonprofit Institution 
Grant Funds for Students Supplemental Agreement.
    4. The Secretary urges Recipient to devote the maximum amount of 
funds possible to financial aid grants to students, including some 
or all of the funds allocated for Recipient's Institutional Costs. 
The Secretary urges Recipient to take strong measures to ensure that 
financial aid grants to students are made to the maximum extent 
possible.
    5. Recipient must notify the Department within 30 days if 
Recipient is required or becomes aware that it will be required to 
remit payment to the Internal Revenue Service for the excise tax 
paid on investment income of private colleges and universities under 
section 4968 of the Internal Revenue Code of 1986 for tax year 2019 
via the form provided as an attachment to this GAN, pursuant to 
section 314(d)(6) of the CRRSAA. Recipient acknowledges that if it 
was required to remit payment to the Internal Revenue Service for 
this excise tax paid, and if it is not an institution that has been 
designated as an eligible work college under HEA section 448, 20 
U.S.C. 1087-58:
    a. Recipient must not draw down more than 50% of its total 
allocation received under CRRSAA section 314(a)(1) (combined Student 
Aid Portion and Institutional Portion grants under CFDAs 84.425E and 
84.425F), unless and a waiver of this condition has requested by 
Recipient and until approved by the Secretary under CRRSAA section 
314(d)(6)(B).
    b. Recipient must use its remaining available funds only for 
financial aid grants to students consistent with CRRSAA section 
314(c)(3), or for sanitation, personal protective equipment, or 
other expenses

[[Page 4033]]

associated with the general health and safety of the campus 
environment related to the qualifying emergency, unless a waiver of 
this condition has been requested by Recipient and until approved by 
the Secretary under CRRSAA section 314(d)(6)(B), and subject to 
other applicable requirements in section 314.
    Grant Administration:
    6. Recipient acknowledges that consistent with 2 CFR 200.305, it 
must minimize the time between drawing down funds from G5 and paying 
incurred obligations (liquidation). Recipient further acknowledges 
that if it draws down funds and does not pay the incurred 
obligations (liquidates) within 3 calendar days it may be subject to 
heightened scrutiny by the Department, Recipient's auditors, and/or 
the Department's Office of the Inspector General (OIG). Recipient 
further acknowledges that returning funds pursuant to mistakes in 
drawing down excessive grant funds in advance of need may also be 
subject to heightened scrutiny by the Department, Recipient's 
auditors, and/or the Department's OIG. Finally, Recipient 
acknowledges that it must maintain drawn down grant funds in an 
interest-bearing account, and any interest earned on all Federal 
grant funds above $500 (all Federal grants together) during an 
institution's fiscal year must be returned (remitted) to the Federal 
government via a process described here: https://www2.ed.gov/documents/funding-101/g5-returning-interest.pdf.
    7. Recipient may charge indirect costs to supplemental funds 
made available under this award consistent with its negotiated 
indirect cost rate agreement. If Recipient does not have a current 
negotiated indirect cost rate with its cognizant agency for indirect 
costs, it may appropriately charge the de minimis rate of ten 
percent of Modified Total Direct Costs (MTDC). Recipient may also 
charge reasonable direct administrative costs to the supplemental 
funds made available under this award.
    8. Recipient acknowledges that any obligation under this grant 
(pre-award costs pursuant to 2 CFR 200.458) must have been incurred 
on or after December 27, 2020, the date of the enactment of the 
CRRSAA.
    9. Recipient must promptly and to the greatest extent 
practicable expend all grant funds from this award within the one-
year period of performance (2 CFR 200.77) specified in Box 6 of this 
Grant Award Notification (GAN).
    10. Recipient must, to the greatest extent practicable, continue 
to pay its employees and contractors during the period of any 
disruptions or closures related to coronavirus pursuant to section 
315 of the CRRSAA.
    11. Recipient acknowledges that its failure to draw down any 
amount of its supplemental grant funds within 90 days of the date of 
this supplemental award will constitute nonacceptance of the terms, 
conditions, and requirements of this Supplemental Agreement and of 
these supplemental grant funds. In such event, the Department, in 
its sole discretion, may choose to deobligate these supplemental 
grant funds or take other appropriate administrative action, up to 
and including terminating the grant award pursuant to 2 CFR 200.340.
    Reporting and Accountability:
    12. Recipient must promptly and timely report to the Department 
on the use of funds no later than 6 months after the date of this 
supplemental award in a manner to be specified by the Secretary 
pursuant to section 314(e) of the CRRSAA. Recipient must also 
promptly and timely provide a detailed accounting of the use of 
funds provided by this supplemental award in such manner and with 
such subsequent frequency as the Secretary may require. Recipient 
will comply with any other applicable reporting requirements 
including those in Section 15011(b)(2) of Division B of the CARES 
Act. Recipient acknowledges the Department may require additional or 
more frequent reporting to be specified by the Secretary.
    13. Recipient must comply with all requirements of the Single 
Audit Act Amendments of 1996, 31 U.S.C. 7501, et seq. (Single Audit 
Act) and all applicable auditing standards. Considering that the 
HEERF grant program is a new program not previously audited or 
subjected to Department oversight, and the inherent risk that comes 
with a new program, the Department strongly suggests that the HEERF 
grant program be audited as a major program in the first fiscal 
year(s) that the institution received a HEERF grant.
    14. Recipient acknowledges it is under a continuing affirmative 
duty to inform the Department if Recipient is to close or terminate 
operations as an institution or merge with another institution. In 
such cases, Recipient must promptly notify in writing the assigned 
education program officer contact in Box 3. Additionally, Recipient 
must promptly notify the assigned education program officer if the 
Recipient's Authorized Representative changes.
    15. Recipient must cooperate with any examination of records 
with respect to the advanced funds by making records and authorized 
individuals available when requested, whether by (i) the Department 
and/or its OIG; or (ii) any other Federal agency, commission, or 
department in the lawful exercise of its jurisdiction and authority. 
Recipient must retain all financial records, supporting documents, 
statistical records, and all other non-Federal entity records 
pertinent to a Federal award for a period of three years from the 
date of submission of the final expenditure report pursuant to 2 CFR 
200.334.
    16. Recipient acknowledges that failure to comply with this 
Supplemental Agreement, its terms and conditions, and/or all 
relevant provisions and requirements of the CRRSAA or any other 
applicable law may result in Recipient's liability under the False 
Claims Act, 31 U.S.C. 3729, et seq.; OMB Guidelines to Agencies on 
Governmentwide Debarment and Suspension (Nonprocurement) in 2 CFR 
part 180, as adopted and amended as regulations of the Department in 
2 CFR part 3485; 18 U.S.C. 1001, as appropriate; and all of the laws 
and regulations referenced in Attachment A, which is incorporated by 
reference herein.
    Applicable Law:
    17. Recipient must comply with all applicable assurances in OMB 
Standard Forms (SF) SF-424B and SF-424D (Assurances for Non-
Construction and Assurances for Construction Programs), including 
the assurances relating to the legal authority to apply for 
assistance; access to records; conflict of interest; 
nondiscrimination; Hatch Act provisions; labor standards; Single 
Audit Act; and the general agreement to comply with all applicable 
Federal laws, executive orders, and regulations.
    18. Recipient certifies that with respect to the certification 
regarding lobbying in Department Form 80-0013, no Federal 
appropriated funds have been paid or will be paid to any person for 
influencing or attempting to influence an officer or employee of any 
agency, a Member of Congress, an officer or employee of Congress, or 
an employee of a Member of Congress in connection with the making or 
supplementing of Federal grants under this program; Recipient must 
complete and submit Standard Form-LLL, ``Disclosure Form to Report 
Lobbying,'' when required (34 CFR part 82, Appendix B).
    19. Recipient must comply with the provisions of all applicable 
acts, regulations and assurances; the following provisions of 
Education Department General Administrative Regulations (EDGAR) 34 
CFR parts 75, 77, 81, 82, 84, 86, 97, 98, and 99; the OMB Guidelines 
to Agencies on Governmentwide Debarment and Suspension 
(Nonprocurement) in 2 CFR part 180, as adopted and amended as 
regulations of the Department in 2 CFR part 3485; and the Uniform 
Administrative Requirements, Cost Principles, and Audit Requirements 
for Federal Awards in 2 CFR part 200, as adopted and amended as 
regulations of the Department in 2 CFR part 3474.

[FR Doc. 2021-00935 Filed 1-14-21; 8:45 am]
BILLING CODE 4000-01-P


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