Source: http://www.thefederalregister.com/d.p/2009-06-15-E9-14019
Timestamp: 2013-05-25 15:41:56
Document Index: 471821065

Matched Legal Cases: ['art 7114', 'art 3944', 'art 6726', 'art 140', 'art 5250', 'art 1739', 'art 30206', 'art 514', 'art 9740', 'art 180', 'arts 1', 'art 1', 'art 1', 'art 182', 'ART 1', 'art 180', 'art 182', 'art 215', 'art 220', 'art 225', 'art 230', 'art 182', 'ART 182', 'art?\n182', 'art?\n182', 'art? 182', 'art 23', 'art 23', 'art 180', 'art 9', 'art 9', 'art 180']

14 CFR Part 7114 CFR Part 3944 CFR Part 6726 CFR Part 140 CFR Part 5250 CFR Part 1739 CFR Part 30206 CFR Part 514 CFR Part 9740 CFR Part 180	Federal Register: June 15, 2009 (Volume 74, Number 113)
DOCID: fr15jn09-1
FR Doc E9-14019
CFR Citation: 2 CFR Parts 1 and 182
DOCUMENT ACTION: Final guidance.
SUBJECT CATEGORY: Guidance for Drug-Free Workplace Requirements (Financial Assistance) DATES: The effective date for this final guidance is July 15, 2009.
DOCUMENT SUMMARY: The Office of Management and Budget (OMB) is issuing guidance on drugfree workplace requirements for financial assistance. The guidance conforms with the common rule that 31 Federal agencies published on November 26, 2003 and therefore makes no substantive change to Federal policies and procedures in this area. The agencies issued the common rule after resolving public comments received in response to a Notice of Proposed Rulemaking. OMB is issuing this guidance as an administrative simplification that will streamline the policy framework for drugfree workplace requirements in two ways. First, the guidance is in a form suitable for Federal agency adoption, which will reduce the volume of Federal regulations on drugfree workplace requirements, make it easier for the affected public to use them, and make it easier and less expensive for the Federal Government to maintain them. Second, the guidance is located in the recently established title 2 of the Code of Federal Regulations (2 CFR). Locating the OMB guidance in 2 CFR will make it easier to find. As a further simplification for the public, the OMB guidance then will be in the same CFR title as the agencies' regulations that implement the guidance. This notice also makes a minor change to the previously issued 2 CFR part 1, to conform that part with the guidance published today.
SUMMARY: Guidance for Drug Free Workplace Requirements (Financial Assistance)
In a Federal Register document published on September 26, 2008 [73 FR 55776], OMB proposed to issue drugfree workplace guidance for grants and cooperative agreements and make a minor conforming change to 2 CFR part 1. The proposal was the first step toward replacing a common rule that Federal agencies issued to implement the DrugFree Workplace Act of 1988, as it applies to grants (Pub. L. 100690, title V, subtitle D, enacted November 18, 1988). See the Supplementary Information section of the September 26, 2008, Federal Register document for more background information about the agencies' common rule, the proposed OMB guidance, title 2 of the Code of Federal Regulations in which the guidance and agency regulations will be located, and the benefits of replacing a common rule with adoptable guidance. In response to the September 2008 proposal, OMB received one comment noting a typographical error. We therefore are finalizing the guidance as proposed, with the error corrected. Next steps. Each Federal agency that is a signatory to the drug
free workplace common rule will issue a brief rule in its chapter of 2 CFR to adopt the OMB guidance on drugfree workplace, as required under sections 182.20 through 182.35 of the guidance. The rule will give regulatory effect to the OMB guidance for the agency's financial assistance awards and recipients. The agency also will remove the full text of the November 2003 common rule from its own CFR title. We expect to complete the process in calendar year 2010. List of Subjects
Cooperative agreements, Grant programs, Grants administration. 2 CFR Part 182 Administrative practice and procedure, Drug abuse, Grant programs, Reporting and recordkeeping requirements. Danny Werfel, Deputy Controller. Authority and Issuance
For the reasons set forth above, the Office of Management and Budget amends 2 CFR, subtitle A, as follows: PART 1[AMENDED]
Authority: 31 U.S.C. 503; 31 U.S.C. 1111; 41 U.S.C. 405; Reorganization Plan No. 2 o 1970; E.O. 11541, 35 FR 10737, 3 CFR, 19661970, p. 939. 2. Section 1.215 is revised to read as follows:
Sec. 1.215 Relationship to previous issuances.
Previously was in *
Guidance in * * * On * * * * *
(a) Chapter I, part 180..... Nonprocurement OMB guidance that
debarment and conforms with the
suspension. governmentwide
common rule (see 60
FR 33036, June 26,
(b) Chapter I, part 182..... Drug[dash]free OMB guidance (54 FR
workplace 4946, January 31,
requirements. 1989) and a
common rule (as
amended at 68 FR
66534, November 26,
(c) Chapter II, part 215.... Administrative OMB Circular A110. requirements for grants and agreements. [[Page 28150]]
(d) Chapter II, part 220.... Cost principles for OMB Circular A21. educational institutions.
(e) Chapter II, part 225.... Cost principles for OMB Circular A87. State, local, and Indian tribal governments.
(f) Chapter II, part 230.... Cost principles for OMB Circular A122. non[dash]profit organizations. (g) [Reserved]. CHAPTER I[AMENDED] 3. Part 182 is added to Chapter I, to read as follows:
PART 182GOVERNMENTWIDE REQUIREMENTS FOR DRUGFREE WORKPLACE (FINANCIAL ASSISTANCE) Sec. 182.5 What does this part do? 182.10 How is this part organized? 182.15 To whom does the guidance apply?
182.20 What must a Federal agency do to implement the guidance?
182.25 What must a Federal agency address in its implementation of the guidance? 182.30 Where does a Federal agency implement the guidance?
182.35 By when must a Federal agency implement the guidance? 182.40 How is the guidance maintained? Subpart APurpose and Coverage 182.100 How is this part written? 182.105 Do terms in this part have special meanings? 182.110 What do subparts A through F of this part do? 182.115 Does this part apply to me?
182.120 Are any of my Federal assistance awards exempt from this part?
182.125 Does this part affect the Federal contracts that I receive?
Subpart BRequirements for Recipients Other Than Individuals 182.200 What must I do to comply with this part?
182.205 What must I include in my drugfree workplace statement?
182.210 To whom must I distribute my drugfree workplace statement?
182.215 What must I include in my drugfree awareness program?
182.220 By when must I publish my drugfree workplace statement and establish my drugfree awareness program?
182.225 What actions must I take concerning employees who are convicted of drug violations in the workplace? 182.230 How and when must I identify workplaces? Subpart CRequirements for Recipients Who Are Individuals
182.300 What must I do to comply with this part if I am an individual recipient? Subpart DResponsibilities of Agency Awarding Officials
182.400 What are my responsibilities as an agency awarding official? Subpart EViolations of This Part and Consequences
182.500 How are violations of this part determined for recipients other than individuals?
182.505 How are violations of this part determined for recipients who are individuals?
182.510 What actions will the Federal Government take against a recipient determined to have violated this part? 182.515 Are there any exceptions to those actions? Subpart FDefinitions 182.605 Award. 182.610 Controlled substance. 182.615 Conviction. 182.620 Cooperative agreement. 182.625 Criminal drug statute. 182.630 Debarment. 182.635 Drugfree workplace. 182.640 Employee. 182.645 Federal agency or agency. 182.650 Grant. 182.655 Individual. 182.660 Recipient. 182.665 State. 182.670 Suspension. Authority: 41 U.S.C. 701, et seq.
Sec. 182.5 What does this part do?
This part provides Office of Management and Budget (OMB) guidance for Federal agencies on the portion of the DrugFree Workplace Act of 1988 (41 U.S.C. 701707, as amended) that applies to grants. It also applies the provisions of the Act to cooperative agreements and other financial assistance awards, as a matter of Federal Government policy. Sec. 182.10 How is this part organized? This part is organized in two segments.
(a) Sections 182.5 through 182.40 contain general policy direction for Federal agencies' use of the uniform policies and procedures in subparts A through F of this part. (b) Subparts A through F of this part contain uniform governmentwide policies and procedures for Federal agency use to specify the
(1) Types of awards that are covered by drugfree workplace requirements;
(2) Drugfree workplace requirements with which a recipient must comply;
(3) Actions required of an agency awarding official; and (4) Consequences of a violation of drugfree workplace requirements.
Sec. 182.15 To whom does the guidance apply?
This part provides OMB guidance only to Federal agencies. Publication of this guidance in the Code of Federal Regulations does not change its natureit is guidance and not regulation. Federal agencies' implementation of the guidance governs the rights and responsibilities of other persons affected by the drugfree workplace requirements.
Sec. 182.20 What must a Federal agency do to implement the guidance?
To comply with the requirement in Section 41 U.S.C. 705 for Governmentwide regulations, each Federal agency that awards grants or cooperative agreements or makes other financial assistance awards that are subject to the drugfree workplace requirements in subparts A through F of the guidance must issue a regulation consistent with those subparts.
Sec. 182.25 What must a Federal agency address in its implementation of the guidance? Each Federal agency's implementing regulation:
(a) Must establish drugfree workplace policies and procedures for that agency's awards that are consistent with the guidance in this part. When adopted by a Federal agency, the provisions of the guidance have regulatory effect for that agency's awards.
(b) Must address some matters for which the guidance in this part gives the agency discretion. Specifically, the regulation must (1) State whether the agency:
(i) Has a central point to which a recipient may send the notification of a conviction that is required under Sec. 182.225(a) or Sec. 182.300(b); or
(ii) Requires the recipient to send the notification to the awarding official for each agency award, or to his or her official designee. (2) Either:
(i) State that the agency head is the official authorized to determine under Sec. 182.500 or Sec. 182.505 that a recipient has violated the drugfree workplace requirements; or
(c) May also, at the agency's option, identify any specific types of financial [[Page 28151]]
assistance awards, in addition to grants and cooperative agreements, to which the Federal agency makes this guidance applicable.
Sec. 182.30 Where does a Federal agency implement the guidance?
Each Federal agency that awards grants or cooperative agreements or makes other financial assistance awards that are subject to the drug
free workplace guidance in this part must issue a regulation implementing the guidance within its chapter in subtitle B of this title of the Code of Federal Regulations.
Sec. 182.35 By when must a Federal agency implement the guidance?
Sec. 182.40 How is the guidance maintained?
The OMB publishes proposed changes to the guidance in the Federal Register for public comment, considers comments with the help of appropriate interagency working groups, and then issues any changes to the guidance in final form. Subpart APurpose and Coverage Sec. 182.100 How is this part written?
(a) This part uses a ``plain language'' format to make it easier for the general public and business community to use and understand. The section headings and text, often in the form of questions and answers, must be read together.
(b) Pronouns used within this part, such as ``I'' and ``you,'' change from subpart to subpart depending on the audience being addressed.
Sec. 182.105 Do terms in this part have special meanings?
Sec. 182.110 What do subparts A through F of this part do?
Subparts A through F of this part specify standard policies and procedures to carry out the DrugFree Workplace Act of 1988 for financial assistance awards. Sec. 182.115 Does this part apply to me?
(a) Portions of this part apply to you if you are either
(1) A recipient of a Federal assistance award (see definitions of award and recipient in Sec. Sec. 182.605 and 182.660, respectively); or (2) A Federal agency awarding official.
If you are * * * See subparts * * * (1) a recipient who is not an A, B and E. individual. (2) a recipient who is an A, C and E. individual. (3) a Federal agency awarding A, D and E. official.
Sec. 182.120 Are any of my Federal assistance awards exempt from this part? This part does not apply to any award to which the agency head, or his or her designee, determines that the application of this part would be inconsistent with the international obligations of the United States or the laws or regulations of a foreign government.
Sec. 182.125 Does this part affect the Federal contracts that I receive? This part will affect future contract awards indirectly if you are debarred or suspended for a violation of the requirements of this part, as described in Sec. 182.510(c). However, this part does not apply directly to procurement contracts. The portion of the DrugFree Workplace Act of 1988 that applies to Federal procurement contracts is carried out through the Federal Acquisition Regulation in chapter 1 of Title 48 of the Code of Federal Regulations (the drugfree workplace coverage currently is in 48 CFR part 23, subpart 23.5).
Subpart BRequirements for Recipients Other Than Individuals Sec. 182.200 What must I do to comply with this part? There are two general requirements if you are a recipient other than an individual.
(a) First, you must make a good faith effort, on a continuing basis, to maintain a drugfree workplace. You must agree to do so as a condition for receiving any award covered by this part. The specific measures that you must take in this regard are described in more detail in subsequent sections of this subpart. Briefly, those measures are to
(1) Publish a drugfree workplace statement and establish a drug
free awareness program for your employees (see Sec. Sec. 182.205 through 182.220); and
(2) Take actions concerning employees who are convicted of violating drug statutes in the workplace (see Sec. 182.225).
(b) Second, you must identify all known workplaces under your Federal awards (see Sec. 182.230).
Sec. 182.205 What must I include in my drugfree workplace statement? You must publish a statement that
(c) Lets each employee know that, as a condition of employment under any award, he or she: (1) Will abide by the terms of the statement; and
Sec. 182.210 To whom must I distribute my drugfree workplace statement? You must require that a copy of the statement described in Sec. 182.205 be given to each employee who will be engaged in the performance of any Federal award.
Sec. 182.215 What must I include in my drugfree awareness program?
You must establish an ongoing drugfree awareness program to inform employees about (a) The dangers of drug abuse in the workplace; (b) Your policy of maintaining a drugfree workplace;
Sec. 182.220 By when must I publish my drugfree workplace statement and establish my drugfree awareness program? If you are a new recipient that does not already have a policy statement as described in Sec. 182.205 and an ongoing [[Page 28152]]
awareness program as described in Sec. 182.215, you must publish the statement and establish the program by the time given in the following table:
If * * * Then you * * *
(c) you believe there are extraordinary may ask the agency awarding
Sec. 182.225 What actions must I take concerning employees who are convicted of drug violations in the workplace? There are two actions you must take if an employee is convicted of a drug violation in the workplace:
(a) First, you must notify Federal agencies if an employee who is engaged in the performance of an award informs you about a conviction, as required by Sec. 182.205(c)(2), or you otherwise learn of the conviction. Your notification to the Federal agencies must (1) Be in writing; (2) Include the employee's position title;
(b) Second, within 30 calendar days of learning about an employee's conviction, you must either
(2) Require the employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for these purposes by a Federal, State or local health, law enforcement, or other appropriate agency. Sec. 182.230 How and when must I identify workplaces?
(a) You must identify all known workplaces under each agency award. A failure to do so is a violation of your drugfree workplace requirements. You may identify the workplaces
(c) If you identified workplaces to the agency awarding official at the time of application or award, as described in paragraph (a)(1) of this section, and any workplace that you identified changes during the performance of the award, you must inform the agency awarding official. Subpart CRequirements for Recipients Who Are Individuals
Sec. 182.300 What must I do to comply with this part if I am an individual recipient? As a condition of receiving a Federal agency award, if you are an individual recipient, you must agree that
(b) If you are convicted of a criminal drug offense resulting from a violation occurring during the conduct of any award activity, you will report the conviction: (1) In writing. (2) Within 10 calendar days of the conviction.
(3) To the Federal agency awarding official or other designee for each award that you currently have, unless the agency designates a central point for the receipt of the notices, either in the award document or its regulation implementing the guidance in this part. When notice is made to a central point, it must include the identification number(s) of each affected award. Subpart DResponsibilities of Agency Awarding Officials
Sec. 182.400 What are my responsibilities as an agency awarding official? As a Federal agency awarding official, you must obtain each recipient's agreement, as a condition of the award, to comply with the requirements in
(b) Subpart C of this part, if the recipient is an individual. Subpart EViolations of This Part and Consequences
Sec. 182.500 How are violations of this part determined for recipients other than individuals? A recipient other than an individual is in violation of the requirements of this part if the agency head or his or her designee determines, in writing, that
(b) The number of convictions of the recipient's employees for violating criminal drug statutes in the workplace is large enough to indicate that the recipient has failed to make a good faith effort to provide a drugfree workplace.
Sec. 182.505 How are violations of this part determined for recipients who are individuals? An individual recipient is in violation of the requirements of this part if the agency head or his or her designee determines, in writing, that
(b) The recipient is convicted of a criminal drug offense resulting from a violation occurring during the conduct of any award activity. [[Page 28153]]
Sec. 182.510 What actions will the Federal Government take against a recipient determined to have violated this part? If a recipient is determined to have violated this part, as described in Sec. 182.500 or Sec. 182.505, the agency may take one or more of the following actions (a) Suspension of payments under the award; (b) Suspension or termination of the award; and
(c) Suspension or debarment of the recipient under the agency's regulation implementing the OMB guidance on nonprocurement debarment and suspension (2 CFR part 180), for a period not to exceed five years. Sec. 182.515 Are there any exceptions to those actions? The agency head may waive with respect to a particular award, in writing, a suspension of payments under an award, suspension or termination of an award, or suspension or debarment of a recipient if the agency head determines that such a waiver would be in the public interest. This exception authority cannot be delegated to any other official. Subpart FDefinitions
Sec. 182.605 Award.
Award means an award of financial assistance by a Federal agency directly to a recipient. (a) The term award includes:
(2) A block grant or a grant in an entitlement program, whether or not the grant is exempted from coverage under the Governmentwide rule that implements OMB Circular A102 (for availability of OMB circulars, see 5 CFR 1310.3) and specifies uniform administrative requirements. (b) The term award does not include:
(1) Technical assistance that provides services instead of money. (2) Loans. (3) Loan guarantees. (4) Interest subsidies. (5) Insurance. (6) Direct appropriations.
Sec. 182.610 Controlled substance.
Controlled substance means a controlled substance in schedules I through V of the Controlled Substances Act (21 U.S.C. 812), and as further defined by regulation at 21 CFR 1308.11 through 1308.15. Sec. 182.615 Conviction. Conviction means a finding of guilt (including a plea of nolo contendere) or imposition of sentence, or both, by any judicial body charged with the responsibility to determine violations of the Federal or State criminal drug statutes.
Sec. 182.620 Cooperative agreement.
Cooperative agreement means an award of financial assistance that, consistent with 31 U.S.C. 6305, is used to enter into the same kind of relationship as a grant (see definition of grant in Sec. 182.650), except that substantial involvement is expected between the Federal agency and the recipient when carrying out the activity contemplated by the award. The term does not include cooperative research and development agreements as defined in 15 U.S.C. 3710a.
Sec. 182.625 Criminal drug statute.
Criminal drug statute means a Federal or nonFederal criminal statute involving the manufacture, distribution, dispensing, use, or possession of any controlled substance.
Sec. 182.630 Debarment.
Sec. 182.635 Drugfree workplace.
Drugfree workplace means a site for the performance of work done in connection with a specific award at which employees of the recipient are prohibited from engaging in the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance. Sec. 182.640 Employee.
(a) Employee means the employee of a recipient directly engaged in the performance of work under the award, including (1) All direct charge employees;
(b) This definition does not include workers not on the payroll of the recipient (e.g., volunteers, even if used to meet a matching requirement; consultants or independent contractors not on the payroll; or employees of subrecipients or subcontractors in covered workplaces). Sec. 182.645 Federal agency or agency. Federal agency or agency means any United States executive department, military department, government corporation, government controlled corporation, any other establishment in the executive branch (including the Executive Office of the President), or any independent regulatory agency.
Sec. 182.650 Grant.
Grant means an award of financial assistance that, consistent with 31 U.S.C. 6304, is used to enter into a relationship
(b) In which substantial involvement is not expected between the Federal agency and the recipient when carrying out the activity contemplated by the award. Sec. 182.655 Individual. Individual means a natural person.
Sec. 182.660 Recipient.
Sec. 182.665 State.
Sec. 182.670 Suspension.
Suspension means an action taken by a Federal agency that immediately prohibits a recipient from participating in Federal Government procurement contracts and covered nonprocurement transactions for a temporary period, pending completion of an investigation and any judicial or administrative proceedings that may ensue. A recipient so prohibited is suspended, in [[Page 28154]]
accordance with the Federal Acquisition Regulation for procurement contracts (48 CFR part 9, subpart 9.4) and agency regulations implementing the OMB guidance on nonprocurement debarment and suspension (2 CFR part 180, which implements Executive Orders 12549 and 12689). Suspension of a recipient is a distinct and separate action from suspension of an award or suspension of payments under an award.