31350 Federal Register / Vol. 61, No. 119 / Wednesday, June 19, 1996 / Rules and Regulations

DEPARTMENT OF EDUCATION

34 CFR Parts 535 and 562

RIN 1885–AA21

Bilingual Education: Graduate

Fellowship Program

AGENCY: Department of Education.

ACTION: Final Regulations.

SUMMARY: The Secretary adopts these

regulations and adds a new Part 535 for

the Bilingual Education: Graduate

Fellowship Program, which is

authorized by section 7145 of the

Elementary and Secondary Education

Act of 1965 (the Act), as amended by the

Improving America’s Schools Act of

1994. The Bilingual Education:

Graduate Fellowship Program replaces

the existing Bilingual Education

Fellowship Program (34 CFR Part 562)

and expands the program to include

post-doctoral fellowships.

EFFECTIVE DATE: These regulations take

effect July 19, 1996.

FOR FURTHER INFORMATION CONTACT:

Joyce Brown, U.S. Department of

Education, 600 Independence Avenue,

SW., Room 5086, Switzer Building,

Washington, DC 20202–6510.

Telephone: (202) 205–9727. Individuals

who use a telecommunications device

for the deaf (TDD) may call the Federal

Information Relay Service (FIRS) at 1–

800–877–8339 between 8 a.m. and 8

p.m., Eastern time, Monday through

Friday.

SUPPLEMENTARY INFORMATION: These

regulations implement statutory changes

made when the program was

reauthorized by the Improving

America’s Schools Act of 1994 (Pub. L.

103–382, enacted October 20, 1994).

These regulations have been reviewed

and revised in accordance with the

Department’s ‘‘Principles for

Regulating,’’ which were developed to

ensure that the Department regulates in

the most flexible, most equitable, and

least burdensome way possible. These

regulations are necessary to implement

the law and reflect the greatest

flexibility and least burden possible.

On November 9, 1995, the Secretary

published a notice of proposed

rulemaking (NPRM) for this program in

the Federal Register (60 FR 56920). The

preamble to the NPRM (60 FR 56920–

56922) included a summary and

discussion of the 1994 Amendments

and other major issues that were

addressed in the proposed regulations.

There are a few substantive

differences between the NPRM and

these final regulations. The Secretary

has expanded the types of travel

expenses Fellows are authorized to

make and has included in the selection

criteria for evaluating applications for

participation in the program for postdoctoral level fellowships consideration

of whether research plans and designs

are reasonable and sound. In addition,

the Secretary inadvertently omitted 34

CFR Part 79 from the list of regulations

that apply to this program and has

included it in the final regulations.

Although 34 CFR Part 79 exempts

programs that make direct payments to

individuals, this program is not

exempted because the Department gives

funds to institutions of higher

education, which distribute the funds to

individual Fellows. Any other

differences between the NPRM and

these final regulations are due to

editorial and technical revisions.

Analysis of Comments and Changes

In response to the Secretary’s

invitation in the NPRM, one party

submitted comments on the proposed

regulations. An analysis of the

comments and of the changes in the

regulations since publication of the

NPRM follows.

Major issues are grouped according to

subject, with appropriate sections of the

regulations referenced in parentheses.

Technical and other minor changes—

and suggested changes the Secretary is

not legally authorized to make under the

applicable statutory authority—are not

addressed.

Purpose of the Program (§ 535.1)

Comments: One commenter suggested

that the Secretary exclude master’s

degree candidates from the program.

Discussion: One purpose of the

professional development programs

under title VII is to assist in preparing

educators to improve educational

services for limited English proficient

children. To meet that purpose, section

7145(a)(1) of the Act specifically

authorizes the Secretary to award

fellowships for master, doctoral, and

post-doctoral study. The Secretary

believes it is appropriate to assist

individuals pursuing master’s degrees if

the individuals are pursuing studies that

further the purpose of the program. If,

in the future, the Secretary does not

believe it is useful to award fellowships

to master’s degree candidates, the

Secretary, through additional

regulations, could limit fellowships to

doctoral and post-doctoral candidates.

Changes: None.

Financial Assistance (§ 535.3)

Comments: One commenter suggested

that the Secretary authorize travel

expenses that are generally related to

the academic program. The commenter

believed that the proposed requirement

in the regulations that travel be related

to practice teaching or clinical

experience was too limited. The

commenter noted that, in doctoral

programs, there may be many other

reasons for travel, such as helping

training or advancing progress in the

academic program.

The commenter also encouraged the

Secretary to increase the monthly

stipend from $500 to $1,000 on the

ground that the $500 limitation

combined with the provision restricting

a Fellow to 20 hours of work per week

would create a financial hardship that

could adversely affect the Fellow’s

progress in the academic program.

Finally, the commenter recommended

that post-doctoral fellowship recipients

who may be appointed for less than a

calendar year (e.g., school year) receive

a full fellowship.

Discussion: The Secretary agrees that

the limitation on the types of travel in

the NPRM was too restrictive and has

broadened the provision in these final

regulations.

However, the Secretary believes the

$500 per month stipend for masters and

doctoral degree candidates combined

with allowances for travel and books

and whatever the Fellow may earn as a

part-time employee is reasonable. The

Secretary has balanced the Fellows’

need for support and the Department’s

desire to assist as many Fellows as

possible.

For post-doctoral Fellows, the full

amount of the fellowship is determined

on a case-by-case basis depending on

the application submitted and the

period of work proposed. The $40,000

amount is an upper limit, not the

amount each post-doctoral Fellow

receives.

Changes: Section 535.3(a)(3) has been

changed to allow travel expenses for

‘‘travel directly related to program of

study.’’ No other changes have been

made.

Selection Criteria for Post-Doctoral

Level Fellowships (§ 535.23)

Comments: A commenter suggested

that the Secretary increase the

maximum number of points that can be

awarded for the ‘‘Quality of key faculty

members’’ selection criterion

(§ 535.23(c)) from 20 to 25 points and

decrease the maximum number of

points that can be awarded for the

‘‘Proposed areas of research’’ selection

criterion (§ 535.23(b)) from 35 to 30

points.

In § 535.23(b), ‘‘Proposed areas of

research,’’ the commenter suggested

combining the factors in (b)(1) with
Federal Register / Vol. 61, No. 119 / Wednesday, June 19, 1996 / Rules and Regulations 31351

(b)(3) and (b)(2) with (b)(4). The

commenter stated that these factors

were similar enough to be combined

and should be expanded to include

more types of research.

The commenter suggested that

§ 535.23(b)(5) should be re-written to

include whether the research plan and

design are reasonable and sound. The

commenter stated that the additional

language is necessary to ensure that

secondary analysis of data collected by

another entity is considered valid and

awarded points.

In addition, the commenter suggested

that in § 535.23(b)(6) the Secretary

should consider whether the application

specifies a project period for

‘‘substantial progress’’ in the study

rather than limiting the criterion to

completion of the study. The

commenter stated that completion of a

project is difficult for post-doctoral

students who are in a post-doctoral

position for one year and that

considering only whether the study is to

be completed within the specified

project period would be too narrow.

Discussion: The Secretary believes

that the point distribution among the

criteria is appropriate and that the

distinct factors give applicants more

direction in addressing each criterion.

The Secretary also believes the

criteria do not need to be expanded to

include more types of research. The

factors focus proposed research on

education and the primary purposes of

the program.

In § 535.23(b)(5) the Secretary agrees

that considering only data collection

and the data analysis plan could be

interpreted to exclude secondary

analysis of already-collected data. The

Secretary did not intend this

interpretation and has clarified the

regulatory language.

The Secretary believes that

§ 535.23(b)(6) is an appropriate factor

that is designed to evaluate the extent to

which the applicant has an intended

and realistic completion schedule. The

Secretary understands that a Fellow’s

ultimate study may not be completed

within the period of the fellowship, but

applicants may propose at least a

portion of a study that can be completed

within the period of the fellowship.

Changes: The Secretary has revised

§ 535.23(b)(5) to include consideration

of whether the research plans and

designs are reasonable and sound.

Fellowship Period (§ 535.42)

Comments: A commenter suggested

that the Secretary extend the maximum

number of years for which a doctoral

fellowship is awarded to five to include

support for the last two years when a

Fellow may be completing a

dissertation. The commenter stated that

most doctoral programs allow for the

completion of the course work within

three years, but that the entire program

may take up to five years to complete.

Discussion: Because the Department

has limited resources, the Secretary

must balance the amount and length of

support that the Department provides to

one individual against providing

support to more individuals. The

Secretary believes that supporting a

doctoral Fellow for three years is

sufficient. Further, § 535.42(b) provides

that the Secretary may extend a

fellowship beyond the maximum period

for master’s or doctoral Fellows under

certain circumstances.

Changes: None.

Service Requirement, Repayment

Schedule, and Accounting for the

Obligation (§§ 535.50, 535.52, and

535.57)

Comments: One commenter suggested

that the Secretary set the service

requirement start date, repayment

schedule, and the obligation account

activation period at 12 months rather

than the proposed 6 months. The

commenter stated that more time is

necessary because the academic

employment cycle begins in the fall and

extends for a year. The commenter

stated that beginning the service

requirement and repayment schedule

after 12 months would be more realistic.

Discussion: The Secretary is aware

that some Fellows seeking academic

positions may not be able to secure

employment within six months.

However, the Secretary believes that it

would be unwise to extend the period.

The Department’s experience has shown

that if the repayment procedures are not

activated until 12 months, the

Department has more difficulty

determining the status of Fellows. The

regulations in § 535.54 do allow the

Secretary to defer payment for a number

of reasons, including if the fellowship

recipient demonstrates to the Secretary’s

satisfaction that the fellowship recipient

is conscientiously seeking but is unable

to secure employment.

Changes: None.

Paperwork Reduction Act of 1995

Under the Paperwork Reduction Act

of 1995, no persons are required to

respond to a collection of information

unless it displays a valid OMB control

number. The valid OMB control number

assigned to the collections of

information in these final regulations is

displayed at the end of the affected

sections of the regulations.

Intergovernmental Review

This program is subject to the

requirements of Executive Order 12372

and the regulations in 34 CFR Part 79.

The objective of the Executive order is

to foster an intergovernmental

partnership and a strengthened

federalism by relying on processes

developed by State and local

governments for coordination and

review of proposed Federal financial

assistance.

In accordance with the order, this

document is intended to provide early

notification of the Department’s specific

plans and actions for this program.

Assessment of Educational Impact

In the notice of proposed rulemaking,

the Secretary requested comments on

whether the proposed regulations would

require transmission of information that

is being gathered by or is available from

any other agency or authority of the

United States.

Based on the response to the proposed

regulations and on its own review, the

Department has determined that the

regulations in this document do not

require transmission of information that

is being gathered by or is available from

any other agency or authority of the

United States.

List of Subjects

34 CFR Part 535

Bilingual education, Education,

Educational research, Reporting and

recordkeeping requirements,

Scholarships and fellowships, Teachers.

34 CFR Part 562

Bilingual education, Education,

Educational research, Reporting and

recordkeeping requirements,

Scholarships and fellowships, Teachers.

(Catalog of Federal Domestic Assistance

Number 84.195C Bilingual Education:

Graduate Fellowship Program.)

Dated: June 13, 1996.

Delia Pompa,

Director, Office of Bilingual Education and

Minority Languages Affairs.

The Secretary amends Title 34 of the

Code of Federal Regulations as follows:

PART 562—[REMOVED]

1. 34 CFR Part 562 is removed.

2. A new Part 535 is added to read as

follows:
31352 Federal Register / Vol. 61, No. 119 / Wednesday, June 19, 1996 / Rules and Regulations

PART 535—BILINGUAL EDUCATION:

GRADUATE FELLOWSHIP PROGRAM

Subpart A—General

Sec.

535.1 What is the Bilingual Education:

Graduate Fellowship Program?

535.2 Who is eligible to participate in this

program?

535.3 What financial assistance is available

for fellowship recipients?

535.4 What regulations apply?

535.5 What definitions apply?

Subpart B—How Does an IHE Apply To

Participate in the Program?

535.10 How does an IHE apply to

participate in the program?

535.11 What assurance must an application

contain?

535.12 In what circumstances may an IHE

waive the training practicum

requirement?

Subpart C—How Does the Secretary

Approve an IHE’s Participation?

535.20 How does the Secretary evaluate an

application to participate in this program

for master’s and doctoral level

fellowships?

535.21 What selection criteria does the

Secretary use?

535.22 How does the Secretary evaluate an

application to participate in this program

for post-doctoral study fellowships?

535.23 What selection criteria does the

Secretary use?

Subpart D—How Does an Individual Apply

for a Fellowship?

535.30 How does an individual apply for a

fellowship?

Subpart E—How Are Fellows Selected?

535.40 How does the Secretary select

Fellows?

535.41 Who may an IHE nominate for

fellowships?

535.42 What is the period of a fellowship?

Subpart F—What Conditions Must Be Met

by Fellows?

535.50 What is the service requirement for

a fellowship?

535.51 What are the requirements for

repayment of the fellowship?

535.52 What is the repayment schedule?

535.53 What is the rule regarding interest?

535.54 Under what circumstances is

repayment deferred?

535.55 What is the length of the deferment

of repayment?

535.56 Under what circumstances is

repayment waived?

535.57 How shall the fellowship recipient

account for the obligation?

Authority: 20 U.S.C. 7475, unless

otherwise noted.

Subpart A—General

§ 535.1 What is the Bilingual Education:

Graduate Fellowship Program?

The Bilingual Education: Graduate

Fellowship Program provides financial

assistance, through institutions of

higher education (IHEs), to individuals

who are pursuing master’s, doctoral, or

post-doctoral study related to

instruction of limited English proficient

(LEP) children and youth in areas such

as teacher training, program

administration, research and evaluation,

and curriculum development and for

the support of dissertation research

related to this study.

(Authority: 20 U.S.C. 7475(a)(1))

§ 535.2 Who is eligible to participate in this

program?

(a) An IHE is eligible to participate in

this program.

(b) An individual who meets the

eligibility requirements under § 535.41

may apply for a fellowship through an

IHE participating in this program.

(Authority: 20 U.S.C. 7475)

§ 535.3 What financial assistance is

available for fellowship recipients?

(a) The Secretary may authorize the

following financial assistance on an

annual basis to master’s and doctoral

program fellowship recipients:

(1) Tuition and fees—the usual costs

associated with the course of study.

(2) Books—up to $300.

(3) Travel—up to $250 for travel

directly related to the program of study.

(4) A stipend of up to $500 per month,

including allowances for subsistence

and other expenses, for a participant

and his or her dependents, if the

participant is—

(i) A full-time student in a program of

study that was in the approved

application; and

(ii) Gainfully employed no more than

20 hours a week or the annual

equivalent of 1040 hours.

(b) The Secretary may authorize the

following financial assistance on an

annual basis to post-doctoral fellowship

recipients:

(1) A stipend of up to $40,000.

(2) Publications, research and

scholarly materials, research-related

travel, and fees—up to $5,000.

(c) In authorizing assistance to

fellowship recipients under paragraphs

(a) and (b) of this section, the Secretary

considers the amount of other financial

compensation that the fellowship

recipients receive during the training

period.

(Authority: 20 U.S.C. 7478)

§ 535.4 What regulations apply?

The following regulations apply to

this program:

(a) 34 CFR 75.51 and 75.60 through

62.

(b) 34 CFR Part 77.

(c) 34 CFR Part 79.

(d) 34 CFR Part 85.

(e) The regulations in this Part 535.

(Authority: 20 U.S.C. 7475)

§ 535.5 What definitions apply?

(a) Definitions in the Act. (1) The

following terms used in this part are

defined in section 7501 of the Act:

Bilingual education program

Children and youth

Limited English proficiency

Native Hawaiian or Native American

Pacific Islander Native language

educational organization

Office

Other programs for persons of limitedEnglish proficiency

(2) The following terms used in this

part are defined in section 7104 of the

Act:

Indian tribe

Tribally sanctioned educational

authority

(3) The following terms used in this

part are defined in section 14101 of the

Act:

Institution of higher education

Local educational agency (LEA)

(b) Definitions in EDGAR. The

following terms used in this part are

defined in 34 CFR 77.1:

Applicant

Application

Award

Department

EDGAR

Fiscal year

Project

Recipient

Secretary

State

State educational agency (SEA)

(c) Other definition. The following

definition also applies to this part:

Act means the Elementary and

Secondary Education Act of 1965, as

amended.

(Authority: 20 U.S.C. 7475–7480)

Subpart B—How Does an IHE Apply To

Participate in the Program?

§ 535.10 How does an IHE apply to

participate in the program?

To apply for participation under this

part, an IHE shall submit an application

to the Secretary that—

(a) Responds to the appropriate

selection criteria in §§ 535.21 and

535.23; and

(b) Requests a specific number of

fellowships to be awarded in each

proposed language or other curriculum

group for the fellowship period

specified in § 535.42.

(Authority: 20 U.S.C. 7475)
Federal Register / Vol. 61, No. 119 / Wednesday, June 19, 1996 / Rules and Regulations 31353

§ 535.11 What assurance must an

application contain?

An application that proposes to train

master’s or doctoral level students with

funds received under this part must

provide an assurance that the program

will include a training practicum in a

local school program serving LEP

students.

(Authority: 20 U.S.C. 7476(a)(3)(A))

§ 535.12 In what circumstances may an

IHE waive the training practicum

requirement?

An IHE participating under this

program may waive the requirement in

§ 535.11 for a training practicum for a

master’s or doctoral degree candidate

who has had at least one academic year

of experience in a local school program

serving LEP students.

(Authority: 20 U.S.C. 7476(a)(3)(B))

Subpart C—How Does the Secretary

Approve an IHE’s Participation?

§ 535.20 How does the Secretary evaluate

an application to participate in this program

for master’s and doctoral level fellowships?

(a) The Secretary evaluates an

application to participate in this

program for master’s and doctoral level

fellowships on the basis of the criteria

in § 535.21.

(b) The Secretary awards up to 100

points for these criteria.

(c) The maximum possible score for

each criterion is indicated in

parentheses.

(d) After all the applications have

been evaluated under § 535.21, the

Secretary rank-orders the applications.

(e) The Secretary then determines the

maximum number of fellowships by

language or other curriculum group that

may be awarded at each IHE—

(1) Based on the IHE’s capacity to

provide graduate training in the areas

proposed for fellowship recipients; and

(2) To the extent feasible, in

proportion to the need for individuals

with master’s and doctoral degrees in

the areas of training proposed by the

IHE.

(Authority: 20 U.S.C. 7475)

§ 535.21 What selection criteria does the

Secretary use?

The Secretary uses the following

selection criteria to evaluate an

application for participation in this

program for master’s and doctoral level

fellowships:

(a) Institutional commitment. (25

points) The Secretary reviews each

application to determine the quality of

the institution’s graduate program of

study, including consideration of—

(1) The extent to which the program

has been adopted as a permanent

graduate program of study;

(2) The organizational placement of

the program of study;

(3) The staff and resources that the

IHE has committed to the program;

(4) The IHE’s demonstrated

competence and experience in programs

and activities such as those authorized

under the Act;

(5) The IHE’s demonstrated

experience in assisting fellowship

recipients to find employment in the

field of bilingual education; and

(6) If the IHE has carried out a

previous project with funds under title

VII of the Act, the applicant’s record of

accomplishments under that previous

project.

(b) Quality of the graduate academic

program. (20 points) The Secretary

reviews each application to determine

the quality of the graduate program of

study for which approval is sought,

including—

(1) The course offerings and academic

requirements for the graduate program;

(2) The availability of related course

offerings through other schools or

departments within the IHE;

(3) The IHE’s focus and capacity for

research;

(4) The quality of the standards used

to determine satisfactory progress in,

and completion of, the program;

(5) The extent to which the program

of study prepares Fellows to improve

the academic achievement of LEP

children and youth; and

(6) In the case of a program designed

to prepare trainers of educational

personnel for programs of bilingual

instruction, the extent to which the

program incorporates the use of English

and another language to develop the

Fellows’ competencies as trainers of

bilingual educational personnel.

(c) Quality of key faculty members.

(20 points) The Secretary reviews each

application to determine the

qualifications of the key faculty to be

used in the program of study, including

the extent to which their background,

education, research interests, and

relevant experience qualify them to plan

and implement a successful program of

high academic quality related to

instruction of LEP children and youth.

(d) Field-based experience. (15 points)

The Secretary reviews each application

to determine the extent to which the

program of study provides field-based

experience through arrangements with

LEAs, SEAs, or persons or organizations

with expertise in programs for LEP

children and youth.

(e) Evidence of local or national need.

(10 points) The Secretary reviews each

application to determine the need for

more individuals trained, at the

graduate level, in the area of study

proposed by the applicant.

(f) Recruitment plan. (10 points) The

Secretary reviews each application to

determine the quality of the applicant’s

plan for recruitment and nomination of

students.

(Approved by the Office of Management and

Budget under control number 1885–0001.)

(Authority: 20 U.S.C. 7475 and 7547)

§ 535.22 How does the Secretary evaluate

an application to participate in this program

for post-doctoral study fellowships?

(a) The Secretary evaluates an

application to participate in this

program for post-doctoral study

fellowships on the basis of the criteria

in § 535.23.

(b) The Secretary awards up to 100

points for these criteria.

(c) The maximum possible score for

each criterion is indicated in

parentheses.

(d) After all the applications have

been evaluated according to the

selection criteria, the Secretary rankorders the applications.

(e) The Secretary designates the

maximum number of fellowships that

may be awarded at each IHE based on

the factors in § 535.23 (a), (c), and (d).

(Authority: 20 U.S.C. 7475)

§ 535.23 What selection criteria does the

Secretary use?

The Secretary uses the following

selection criteria to evaluate an

application for participation in this

program for post-doctoral level

fellowships:

(a) Institutional commitment. (35

points) The Secretary reviews each

application to determine the overall

strength of the applicant’s commitment

to meeting the educational needs of LEP

children and youth, including

consideration of—

(1) The IHE’s demonstrated

competence and experience in programs

and research activities such as those

authorized under subpart 2 of part A of

title VII of the Act;

(2) The extent to which the IHE’s

research environment is supportive of

the success of post-doctoral Fellows in

their research;

(3) The IHE’s demonstrated

experience in assisting fellowship

recipients to find employment in the

field of bilingual education;

(4) The IHE’s procedures for the

dissemination and use of research

findings; and

(5) If the IHE has carried out a

previous project with funds under title

VII of the Act, the applicant’s record of
31354 Federal Register / Vol. 61, No. 119 / Wednesday, June 19, 1996 / Rules and Regulations

accomplishments under that previous

project.

(b) Proposed areas of research. (35

points) The Secretary reviews each

application to determine to what

extent—

(1) There is a clear description of the

areas of research proposed to be

undertaken by the post-doctoral

Fellows;

(2) The research to be undertaken by

the post-doctoral Fellows is likely to

produce new and useful information;

(3) The areas of proposed research

relate to the educational needs of LEP

children and youth and of the

educational personnel that serve that

population;

(4) The outcomes of the research and

study are likely to benefit the defined

target population by improving the

academic achievement of LEP children

and youth;

(5) The data collection and data

analysis plans or research plans and

designs are reasonable and sound; and

(6) A project period for completion of

the study, consistent with period of

availability of post-doctoral fellowships

in § 535.42, is specified.

(c) Quality of key faculty members.

(20 points) The Secretary reviews each

application to determine the

qualifications of the key faculty likely to

assist, guide, or mentor post-doctoral

Fellows, including the extent to which

the faculty’s background, education,

research interests, and relevant

experiences qualify them to support

high-quality research and study

performed by post-doctoral Fellows.

(d) Adequacy of resources. (10 points)

The Secretary reviews each application

to determine to what extent—

(1) The facilities planned for use are

adequate;

(2) The equipment and supplies

planned for use are adequate; and

(3) The commitment of the applicant

to provide administrative and other

necessary support is evident.

(Approved by the Office of Management and

Budget under control number 1885–0001.)

(Authority: 20 U.S.C. 7475)

Subpart D—How Does an Individual

Apply for a Fellowship?

§ 535.30 How does an individual apply for

a fellowship?

(a) An individual shall submit an

application for a fellowship to an IHE

that has been approved for participation

under § 535.20 or § 535.22.

(b) Each participating IHE may

establish procedures for receipt of

applications from individuals.

(Authority: 20 U.S.C. 7475)

Subpart E—How Are Fellows

Selected?

§ 535.40 How does the Secretary select

Fellows?

(a)(1) A participating IHE shall submit

names of nominees to the Secretary.

(2) If the IHE has more than one

nominee, the IHE shall rank the

nominees in order of preference to

receive a fellowship.

(b) The Secretary selects new Fellows

according to the rank order prepared by

the IHE, subject to the maximum

number of fellowships designated for

that IHE under §§ 535.20 and 535.22.

(Approved by the Office of Management and

Budget under control number 1885–0001.)

(Authority: 20 U.S.C. 7475)

§ 535.41 Who may an IHE nominate for

fellowships?

(a) In nominating individuals to

receive master’s and doctoral level

fellowships, an IHE shall nominate only

individuals who—

(1) Have been accepted for enrollment

as full-time students in an approved

course of study offered by the IHE;

(2) Have an excellent academic

record;

(3) Are proficient in English and, if

applicable, another language;

(4) Have experience in providing

services to, teaching in, or administering

programs for LEP children and youth;

(5) Are planning to enter or return to

a career in service to LEP children and

youth after completion of their studies;

(6) Are eligible to receive assistance

under 34 CFR 75.60 and 75.61; and

(7)(i) Are citizens, nationals, or

permanent residents of the United

States;

(ii) Are in the United States for other

than temporary purposes and can

provide evidence from the Immigration

and Naturalization Service of their

intent to become permanent residents;

or

(iii) Are permanent residents of the

Commonwealth of Puerto Rico, Guam,

American Samoa, the Virgin Islands, the

Commonwealth of the Northern Mariana

Islands, the Republic of the Marshall

Islands, the Federated States of

Micronesia, or the Republic of Palau.

(b) In nominating individuals to

receive post-doctoral fellowships, an

IHE shall nominate only individuals

who—

(1) Have doctoral degrees in relevant

disciplines that qualify those

individuals to conduct independent

research on educational programs and

policies for LEP children and youth; and

(2) Meet the criteria in paragraphs

(a)(3) through (7) of this section.

(Authority: 20 U.S.C. 7475)

§ 535.42 What is the period of a

fellowship?

(a) Except as provided in paragraph

(b) of this section, the Secretary may

award a fellowship—

(1) For a maximum of two one-year

periods to an individual who maintains

satisfactory progress in a master’s or

post-doctoral program of study; and

(2) For a maximum of three one-year

periods to an individual who maintains

satisfactory progress in a doctoral

program of study.

(b) Subject to the availability of funds,

and if an IHE provides adequate

justification, the Secretary may extend a

fellowship beyond the maximum period

to a master’s or doctoral Fellow who, for

circumstances beyond the Fellow’s

control, is unable to complete the

program of study in that period.

(c) A fellowship recipient who seeks

assistance beyond the initial one-year

period must be renominated by the

participating IHE.

(d) Prior to approving nominations of

new Fellows, the Secretary may give

preference to fellowship recipients in

their second or third year who maintain

satisfactory progress in the program of

study.

(Authority: 20 U.S.C. 7475)

Subpart F—What Conditions Must Be

Met by Fellows?

§ 535.50 What is the service requirement

for a fellowship?

(a) Upon selection for a fellowship, a

Fellow shall sign an agreement,

provided by the Secretary, to work for

a period equivalent to the period of time

that the Fellow receives assistance

under the fellowship in an activity—

(1) (i) Related to the program; or

(ii) Authorized under part A of title

VII of the Act; and

(2) Approved by the Secretary.

(b) A fellowship recipient shall begin

working in an activity specified in

paragraph (a) of this section within six

months of the date from which—

(1) The master’s or doctoral recipient

ceases to be enrolled at an IHE as a fulltime student; or

(2) The post-doctoral recipient

completes the project period in the

approved program of study.

(Approved by the Office of Management and

Budget under control number 1885–0001.)

(Authority: 20 U.S.C. 7475(b))

§ 535.51 What are the requirements for

repayment of the fellowship?

(a) A fellowship recipient who does

not work in an activity described in

§ 535.50 shall repay the full amount of

the fellowship.

(b) The Secretary prorates the amount

a fellowship recipient is required to
Federal Register / Vol. 61, No. 119 / Wednesday, June 19, 1996 / Rules and Regulations 31355

repay based on the length of time the

fellowship recipient worked in an

authorized activity compared with the

length of time the fellowship recipient

received assistance.

(Authority: 20 U.S.C. 7475(b))

§ 535.52 What is the repayment schedule?

(a) A fellowship recipient required to

repay all or part of the amount of the

fellowship shall begin repayments—

(1) Within six months of the date the

fellowship recipient meets the criteria

in § 535.50(b)(1) or (2); or

(2) On a date and in a manner

established by the Secretary, if the

fellowship recipient ceases to work in

an authorized activity.

(b) A fellowship recipient must repay

the required amount, including interest,

in a lump sum or installment payments

approved by the Secretary.

(c) The repayment period may be

extended if the Secretary grants a

deferment under § 535.54.

(Authority: 20 U.S.C. 7475(b))

§ 535.53 What is the rule regarding

interest?

(a) In accordance with 31 U.S.C. 3717,

the Secretary charges a fellowship

recipient interest on the unpaid balance

that the fellowship recipient owes.

(b) No interest is charged for the

period of time—

(1) That precedes the date on which

the fellowship recipient is required to

begin repayment; or

(2) During which repayment has been

deferred under § 535.54.

(Authority: 20 U.S.C. 7475(b))

§ 535.54 Under what circumstances is

repayment deferred?

The Secretary may defer repayment if

the fellowship recipient—

(a) Suffers from a serious physical or

mental disability that prevents or

substantially impairs the fellowship

recipient’s employability in an activity

described in § 535.50;

(b) Demonstrates to the Secretary’s

satisfaction that the fellowship recipient

is conscientiously seeking but is unable

to secure employment in an activity

described in § 535.50;

(c) In the case of a master’s or doctoral

fellowship recipient, re-enrolls as a fulltime student at an IHE;

(d) Is a member of the Armed Forces

of the United States on active duty;

(e) Is in service as a volunteer under

the Peace Corps Act; or

(f) Demonstrates to the Secretary’s

satisfaction that the existence of

extraordinary circumstances prevents

the fellowship recipient from making a

scheduled payment.

(Authority: 20 U.S.C. 7475(b))

§ 535.55 What is the length of the

deferment of repayment?

(a) Unless the Secretary determines

otherwise, a fellowship recipient shall

apply to renew a deferment on a yearly

basis.

(b) Deferments for military or Peace

Corps service may not exceed three

years.

(Authority: 20 U.S.C. 7475(b))

§ 535.56 Under what circumstances is

repayment waived?

The Secretary may waive repayment if

the fellowship recipient demonstrates

the existence of extraordinary

circumstances that justify a waiver.

(Authority: 20 U.S.C. 7475(b)(2))

§ 535.57 How shall the fellowship recipient

account for the obligation?

(a) Within six months of the date a

fellowship recipient meets the criteria

in § 535.50(b)(1) or (2), the fellowship

recipient shall submit to the Secretary

one of the following items:

(1) A description of the activity in

which the fellowship recipient is

employed.

(2) Repayment required under

§§ 535.51 and 535.52.

(3) A request to repay the obligation

in installments.

(4) A request for a deferment or

waiver as described in §§ 535.54 and

535.56 accompanied by a statement of

justification.

(b) A fellowship recipient who

submits a description of employment

under paragraph (a)(1) of this section

shall notify the Secretary on a yearly

basis of the period of time during the

preceding year that the fellowship

recipient was employed in the activity.

(c) A fellowship recipient shall inform

the Secretary of any change in

employment status.

(d) A fellowship recipient shall

inform the Secretary of any change of

address.

(e)(1) A fellowship recipient’s failure

to timely satisfy the requirements in

paragraphs (b) through (d) of this

section results in the fellowship

recipient being in non-compliance or

default status subject to collection

action.

(2) Interest and costs of collection

may be collected in accordance with 31

U.S.C. 3717 and 34 CFR Part 30.

(Approved by the Office of Management and

Budget under control number 1885–0001.)

(Authority: 20 U.S.C. 7475(b))

[FR Doc. 96–15517 Filed 6–18–96; 8:45 am]

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