Veterans Legacy Grants Program

Published date26 October 2021
Citation86 FR 59035
Record Number2021-22999
SectionRules and Regulations
CourtVeterans Affairs Department
Federal Register, Volume 86 Issue 204 (Tuesday, October 26, 2021)
[Federal Register Volume 86, Number 204 (Tuesday, October 26, 2021)]
                [Rules and Regulations]
                [Pages 59035-59039]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2021-22999]
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                DEPARTMENT OF VETERANS AFFAIRS
                38 CFR Part 38
                RIN 2900-AR00
                Veterans Legacy Grants Program
                AGENCY: Department of Veterans Affairs.
                ACTION: Final rule.
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                SUMMARY: The Department of Veterans Affairs (VA) is establishing in
                regulation the Veterans Legacy Grants Program (VLGP), which will
                provide funding to educational institutions and other eligible entities
                to conduct cemetery research and produce educational tools for the
                public to utilize and learn about the histories of Veterans interred in
                VA national cemeteries and VA grant-funded State and Tribal Veterans'
                cemeteries.
                DATES: This rule is effective November 26, 2021.
                FOR FURTHER INFORMATION CONTACT: Tim Nosal, Deputy Director, Office of
                Engagement and Memorial Innovations, National Cemetery Administration,
                Department of Veterans Affairs, 810 Vermont Avenue NW, Washington, DC
                20420, (202) 443-5601. (This is not a toll-free telephone number.)
                SUPPLEMENTARY INFORMATION: On March 26, 2021, VA published a proposed
                rule in the Federal Register (86 FR 16165) that would implement VA's
                statutory authority to establish the VLGP. The public comment period
                ended on May 25, 2021, and VA received 11 comments in response to the
                proposed rule. Four commenters expressed support for the rulemaking and
                the VLGP, and we appreciate the positive feedback. We agree that the
                VLGP promotes and recognizes the sacrifices of those who came before us
                and highlights Veterans' contributions. Veterans deserve final resting
                places that recognize their accomplishments and sacrifices, and the
                VLGP serves as a mechanism to support this outcome. VA agrees that
                making this grant program available to ``educational institutions'' at
                all levels of school systems promotes inclusion and diversity of
                perspective. Grants and opportunities provided by the VLGP are
                substantial ways to bring communities together in support of our
                Veterans. VA is committed to preserving Veterans' legacies through the
                award of meaningful grants that support innovative and engaging ways to
                memorialize Veterans in perpetuity. In the following discussion, we
                address questions and suggestions for this rulemaking from seven
                commenters.
                 One commenter suggested that VA consider including museums as a
                type of educational institution eligible to participate in this grant
                program. We agree that museums should be eligible to participate and
                note that a museum could be considered under either Sec. 38.715(c)(3)
                as an eligible non-profit entity or Sec. 38.715(c)(5) as an eligible
                recipient if deemed appropriate by the Secretary. Specifically, under
                Sec. 38.715(c)(3), a museum that is a non-profit entity and has a
                demonstrated history of community engagement pertinent to the projects
                described in a Notice of Funding Availability (NOFA) could be eligible
                to receive a VLGP grant. Alternatively, even if a museum does not meet
                those criteria, it could nonetheless be eligible under Sec.
                38.715(c)(5) if the Secretary deems it an appropriate recipient based
                on other considerations. We note that prior to the VLGP authority, VA,
                through the Veterans Legacy Program (VLP), awarded contracts to
                museums, state historical societies, and humanities councils, and we
                will continue to afford those entities the opportunity to support VA by
                participating in the VLGP. Based on the foregoing reasons, VA will make
                no changes to the rulemaking based on this comment.
                 One commenter noted a few issues in the proposed rule that were
                vague and required additional information. The commenter inquired about
                the ways in which VA intends to make the research produced through
                these grants publicly accessible. The commenter asked whether
                researchers would share information online, on tombstones, or in
                another way to ensure the public's understanding of the services
                provided by Veterans. The National Cemetery Administration (NCA)
                maintains several public resources (e.g., VA websites, social media,
                lesson plans, interactive maps, and short video vignettes) that make
                information about Veterans accessible. Examples of Veteran information
                include inscription information on gravesite markers or other digital
                exhibits of photographs and video or audio clips that showcase a
                grantee's work. Research conducted under a VLGP grant could be
                published on some of those public resources as well as other agency
                sites depending on the nature of the information and grant
                requirements.
                 The commenter also questioned how the VLGP will ensure increased
                community engagement and monitor this important aspect of the grant
                program. Based on existing VLP projects, VLGP projects will continue
                community engagement through a variety of programmatic activities
                (e.g.,
                [[Page 59036]]
                campus fairs, Memorial Day celebrations, scholars presenting at
                national conferences, articles being published on the findings, and
                books being developed). A grant applicant's proposal for community
                engagement would be described in response to the relevant NOFA and
                within the grant application for VA review.
                 Regarding the commenter's question about monitoring community
                engagement and ensuring increases in those activities, we note that
                Sec. 38.775 provides that VA will conduct compliance reviews, site
                visits, and inspections of grantee locations and records as a means of
                monitoring grant activity. Inherent in each NOFA will be VA's
                assessment of a project's need for and interest in community engagement
                and other activities that promote Veteran histories. For each
                application, NCA will review the applicant's plans to meet the
                project's purpose. For example, if a grant awardee submitted a proposal
                for VLGP funds for the purpose of presenting its research on a local
                Veterans cemetery at a conference, VA would monitor and review the
                development of materials, monitor preparation for the event, and assess
                the public's reception of the presentation to determine whether the
                grantee successfully met this requirement. By targeting community
                engagement activities in each NOFA and monitoring the grantee's post-
                award fulfilment of that grant requirement through site visits,
                compliance reviews, and other interactions, VA can measure and monitor
                increases and outcomes of those activities. For the foregoing reasons,
                VA will make no changes to the rulemaking based on this comment.
                 One commenter suggested that VA needs to make sure that the
                community is interested in these stories and that educators are wanting
                to receive this information. VA intends to share these stories and
                products of the VLGP research through multiple promotional outlets,
                which include but are not limited to news releases, fact sheets,
                websites, social media pages, and email listservs. These promotional
                tools target individuals and Veteran communities interested in learning
                the stories of our nation's Veterans and promote products of the VLGP
                to members of the public who may not be familiar with our Veterans'
                stories. This commenter also encouraged VA to create awareness of the
                Veterans' stories through publications informing the community. As
                mentioned, the VLGP will utilize articles, interactive guides,
                curricula, and various tools to publish findings across multiple
                platforms. The purpose of the VLGP is to foster interest and engagement
                in the history of service and sacrifice of Veterans interred in VA
                national cemeteries. VLGP seeks to provide educational programs in
                which teachers or professors introduce their students to researching
                Veterans and then share that research with the community.
                 The commenter also contended that VA does not want educators to
                replace their courses of instruction with information on soldiers'
                backgrounds, which could deter educators from using this data in the
                classroom. The commenter suggested that VA should ``look into using
                this data on the Army or Air Force's website or at recruitment fairs''
                to inform the public of military tasks and duties. We appreciate the
                commenter's concerns and suggestions. To clarify, VLGP grant-funded
                projects will not substitute educational instruction or courses of
                study, but educators are encouraged to incorporate information or data
                generated from such projects in courses of instruction. To the extent
                VA collaborates with its Department of Defense partners, information
                and data gathered from VLGP grant-funded research could be utilized to
                promote recruitment and for other purposes. VA hopes that VLGP grant-
                funded projects may serve as the basis for other creative outlets that
                reach a wide variety of audiences. We thank the commenter for the
                expressed opinions about the purpose and use of VLGP grant research,
                but VA will make no changes to the rulemaking based on this comment.
                 Two commenters expressed the need for clarity about the origination
                of funds for this grant program and sought understanding on the overall
                grants process for the VLGP. VA is authorized to award grants from
                operational funds not to exceed $500,000. We appreciate the commenters'
                concerns but will make no changes based on these comments.
                 One commenter inquired about the impact of the 2020 pandemic on the
                potential pool of grants and questioned funding availability for new or
                expanded Veteran projects. The VLP continued normal operations during
                the pandemic and has not encountered significant impacts. Once the
                final rule becomes effective, VA will fund the VLGP through operational
                funds, and by law, grant awards may not exceed $500,000. VA will make
                no changes to the rulemaking based on this comment.
                 VA appreciates the commenter who suggested that the VLGP recognize
                fallen first responders and police officers who were killed in the line
                of duty in the same way as fallen soldiers. The commenter added that
                students should be taught about officers who gave their lives to
                protect them and made other contributions to their community to help
                rebuild relationships. Because VA's mission and scope of programs and
                services are limited to those with qualifying military service and
                their eligible spouses and dependents, expanding the scope to include
                first responders and police officers without qualifying military
                service would not be supported by current authorities. However, there
                is nothing that would prevent VA from highlighting a Veteran's
                contributions to his or her local community through service in the
                police force or other meaningful ways as part of a VLGP grant project.
                No changes to the regulatory text will be made based on this comment.
                 Accordingly, the proposed rule is adopted as a final rule without
                change.
                Executive Orders 12866 and 13563
                 Executive Orders 12866 and 13563 direct agencies to assess the
                costs and benefits of available regulatory alternatives and, when
                regulation is necessary, to select regulatory approaches that maximize
                net benefits (including potential economic, environmental, public
                health and safety effects, and other advantages; distributive impacts;
                and equity). Executive Order 13563 (Improving Regulation and Regulatory
                Review) emphasizes the importance of quantifying both costs and
                benefits, reducing costs, harmonizing rules, and promoting flexibility.
                The Office of Information and Regulatory Affairs has determined that
                this final rule is not a significant regulatory action under Executive
                Order 12866. The Regulatory Impact Analysis associated with this
                rulemaking can be found as a supporting document at
                www.regulations.gov.
                Paperwork Reduction Act
                 This final rule includes provisions at 38 CFR 38.730 constituting a
                new collection of information under the Paperwork Reduction Act of 1995
                (44 U.S.C. 3501-3521) that require approval by the Office of Management
                and Budget (OMB). Accordingly, under 44 U.S.C. 3507(d), VA submitted a
                copy of this rulemaking action to OMB for review and approval. OMB has
                reviewed and approved this new collection of information and assigned
                OMB control number 4040-0004.
                Regulatory Flexibility Act
                 The Secretary hereby certifies that this final rule will not have a
                significant economic impact on a substantial number of small entities
                as they are
                [[Page 59037]]
                defined in the Regulatory Flexibility Act, 5 U.S.C. 601-612. Receiving
                or not receiving a grant is unlikely to have a significant economic
                impact on small entity applicants, specifically non-profit
                institutions. Therefore, pursuant to 5 U.S.C. 605(b), the initial and
                final regulatory flexibility analysis requirements of 5 U.S.C. 603 and
                604 do not apply.
                Unfunded Mandates
                 The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C.
                1532, that agencies prepare an assessment of anticipated costs and
                benefits before issuing any rule that may result in the expenditure by
                State, local, and Tribal governments, in the aggregate, or by the
                private sector, of $100 million or more (adjusted annually for
                inflation) in any one year. This final rule will have no such effect on
                State, local, and Tribal governments, or on the private sector.
                Catalog of Federal Domestic Assistance
                 The Catalog of Federal Domestic Assistance number and title for the
                program affected by this document is 64.204, Veterans Legacy Grant
                Program.
                Congressional Review Act
                 Pursuant to the Congressional Review Act (5 U.S.C. 801 et seq.),
                the Office of Information and Regulatory Affairs designated this rule
                as not a major rule, as defined by 5 U.S.C. 804(2).
                List of Subjects in 38 CFR Part 38
                 Administrative practice and procedure, Cemeteries, Veterans.
                Signing Authority
                 Denis McDonough, Secretary of Veterans Affairs, approved this
                document on October 8, 2021, and authorized the undersigned to sign and
                submit the document to the Office of the Federal Register for
                publication electronically as an official document of the Department of
                Veterans Affairs.
                Jeffrey M. Martin,
                Assistant Director, Office of Regulation Policy & Management, Office of
                General Counsel, Department of Veterans Affairs.
                 For the reasons set out in the preamble, VA amends 38 CFR part 38
                as follows:
                PART 38--NATIONAL CEMETERIES OF THE DEPARTMENT OF VETERANS AFFAIRS
                0
                1. The authority citation for part 38 is revised to read as follows:
                 Authority: 38 U.S.C. 107, 501, 512, 2306, 2400, 2402, 2403,
                2404, 2407, 2408, 2411, 7105.
                0
                2. Add an undesignated center heading, ``Veterans Legacy Grants
                Program'', and Sec. Sec. 38.710 through 38.785 to read as follows:
                * * * * *
                Veterans Legacy Grants Program
                Sec.
                38.710 Purpose and use of grant funds.
                38.715 Definitions.
                38.720 Grants--general.
                38.725 Notice of Funding Availability (NOFA).
                38.730 Applications.
                38.735 Additional factors for deciding applications.
                38.740 Scoring and selection.
                38.745 Disposition of applications.
                38.750 Withdrawal of grant application.
                38.755 Grant agreement.
                38.760 Payments under the grant.
                38.765 Grantee reporting requirements.
                38.770 Recovery of funds by VA.
                38.775 Compliance review requirements.
                38.780 Financial management.
                38.785 Recordkeeping.
                Veterans Legacy Grants Program
                Sec. 38.710 Purpose and use of grant funds.
                 Sections 38.710 through 38.785 establish the Veterans Legacy Grants
                Program (VLGP). Under this program, VA may provide grants to eligible
                entities defined in Sec. 38.715 to:
                 (a) Conduct research related to national, State, or Tribal
                Veterans' cemeteries;
                 (b) Produce educational materials that teach about the history of
                Veterans interred in national, State, or Tribal Veterans' cemeteries;
                 (c) Contribute to the extended memorialization of Veterans interred
                in national, State, or Tribal Veterans' cemeteries by presenting
                grantee research on national, State, or Tribal Veterans' cemeteries
                through site hosting and other digital technologies; and,
                 (d) Promote community engagement with the histories of Veterans
                interred in national, State, or Tribal Veterans' cemeteries.
                (Authority: 38 U.S.C. 501(d), 2400 note)
                Sec. 38.715 Definitions.
                 For purposes of this part and any Notice of Funding Availability
                (NOFA) issued pursuant to this part:
                 (a) Applicant means an eligible entity that submits a VLGP grant
                application that is announced in a NOFA.
                 (b) Community engagement means strategic interaction with
                identified groups of people, whether they are connected by geographic
                location, special interest, or affiliation, to identify and address
                issues related to the legacy of Veterans.
                 (c) Eligible recipient (or entity) means one of the following:
                 (1) An institution of higher learning;
                 (2) A local educational agency;
                 (3) A non-profit entity that the Secretary determines has a
                demonstrated history of community engagement that pertains to the
                projects described in the relevant NOFA;
                 (4) An educational institution; or
                 (5) Another recipient (or entity) the Secretary deems appropriate.
                 (d) Institution of higher learning (IHL) means a college,
                university, or similar institution, including a technical or business
                school, offering postsecondary level academic instruction that leads to
                an associate or higher degree if the school is empowered by the
                appropriate State education authority under State law to grant an
                associate or higher degree.
                 (e) Educational institution means any public or private elementary
                school, secondary school, vocational school, correspondence school,
                business school, junior college, teachers' college, college, normal
                school, professional school, university, or scientific or technical
                institution, or other institution furnishing education for adults.
                 (f) Local educational agency (LEA) means any public agency or
                authority, including a state educational agency, that has
                administrative control or direction over public elementary or secondary
                schools under 20 U.S.C. 7801(30). The term would also include any
                Bureau of Indian Education school, as covered in 20 U.S.C. 7801(30)(C).
                 (g) State educational agency (SEA) means the agency primarily
                responsible for the State supervision of public elementary schools and
                secondary schools.
                 (h) Non-profit entity means any organization chartered under 26
                U.S.C. 501(c)(3).
                 (i) Educational materials means a framework of digital
                instructional materials relevant to the grade level of K-12 students
                involved (e.g., lesson plans) that can be used for outreach and other
                purposes.
                 (j) Grantee means an eligible recipient that is awarded a VLGP
                grant under this part.
                 (k) Notice of Funding Availability (NOFA) means a Notice of Funding
                Availability published in the OMB-designated government-wide website in
                accordance with Sec. 38.725 and 2 CFR 200.203 regulations.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.720 Grants--general.
                 (a) Grants. VA may award VLGP grants to eligible recipients
                selected under Sec. 38.730 of this part.
                [[Page 59038]]
                 (b) Maximum amounts. The maximum grant amount to be awarded to each
                grantee and the total maximum amount for all grants will be specified
                in the annually published NOFA.
                 (c) Number of grants awarded. The number of grants VA will award
                will depend on the total amount of grant funding available at VA's
                discretion and the funding amount awarded to each grantee, which is
                based on each grantee's proposal.
                 (d) Grant is not a course buyout. The grant funds shall not be used
                to substitute a class that an instructor is required to teach during an
                academic year.
                 (e) Matching requirement. VA will determine whether a grantee must
                provide matching funds as a condition of receiving a VLGP grant as set
                forth in the NOFA.
                 (f) Grant is not Veterans' benefit. The VLGP grant is not a
                Veterans' benefit. VA decisions on VLGP applications are final and not
                subject to the same appeal rights as Veterans' benefits decisions.
                (Authority: 38 U.S.C. 501(d), 2400 note)
                Sec. 38.725 Notice of Funding Availability (NOFA).
                 When funds are available for VLGP grants, VA will publish a NOFA in
                the Federal Register and in Grants.gov (http://www.grants.gov). The
                NOFA will identify:
                 (a) The location for obtaining VLGP grant applications, including
                the specific forms that will be required;
                 (b) The date, time, and place for submitting completed VLGP grant
                applications;
                 (c) The estimated total amount of funds available and the maximum
                funds available to a single grantee;
                 (d) The minimum number of total points and points per category that
                an applicant must receive to be considered for a grant and information
                regarding the scoring process;
                 (e) Any timeframes and manner for payments under the VLGP grant;
                 (f) A description of eligible entities or other eligibility
                requirements necessary to receive the grant; and
                 (g) Other information necessary for the VLGP grant application
                process, as determined by VA, including contact information for the
                office that will oversee the VLGP within VA.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.730 Applications.
                 To apply for a grant, an eligible entity must submit to VA a
                complete application package, as described in the NOFA. Applications
                will be accepted only through Grants.gov (http://www.grants.gov). A
                complete grant application, as further described in the NOFA, includes
                standard forms specified in the NOFA and the following:
                 (a) Project description. Each project must serve a minimum of one
                VA national cemetery, State Veterans' cemetery, or Tribal Veterans'
                cemetery. The applicant must provide a narrative project description
                that demonstrates the best approach for attaining required results as
                set forth in the NOFA;
                 (b) Project team. If applicable, the applicant must provide a
                narrative description of anticipated project team and any work
                partner(s), including the responsibilities of the principal
                investigator, the co-principal investigators, and any extramural
                partner entity;
                 (c) Project plan. The applicant must include a detailed timeline
                for the tasks outlined in the project description and proposed
                milestones;
                 (d) Expertise and capacity. The applicant must provide a
                description of the applicant's ability and capacity to administer the
                project. This may include evidence of past experience with projects
                similar in scope as defined by the NOFA, to include descriptions of the
                engagement model, examples of successful leadership and management of a
                project of similar scale and budget (or greater), or related work in
                this field;
                 (e) Match. If specified as a requirement in the NOFA, the applicant
                must provide evidence of secured cash matching (1:1) funds or of its
                ability to secure commitments to receive such funds;
                 (f) Proposed budget. The applicant's proposed budget should
                identify all costs and proposed expenditures, to include additional
                compensation and honoraria (and to whom); equipment costs; production
                costs; and travel costs. The applicant must provide a budget that
                specifies costs and payments, as well as indirect and other relevant
                costs. The budget will be submitted in a format specified in the NOFA;
                and
                 (g) Additional information. Any additional information as deemed
                appropriate by VA and set forth in the NOFA.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.735 Additional factors for deciding applications.
                 (a) Applicant's performance on prior award. VA may consider the
                applicant's noncompliance with requirements applicable to prior VA or
                other Federal agency awards as reflected in past written evaluation
                reports and memoranda on performance and the completeness of required
                prior submissions.
                 (b) Applicant's fiscal integrity. Applicants must meet and maintain
                standards of fiscal integrity for participation in Federal grant
                programs as reflected in 2 CFR 200.205.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.740 Scoring and selection.
                 (a) Scoring. VA will only score complete applications received from
                eligible applicants by the deadline established in the NOFA. The
                applications must meet the minimum criteria set forth in Sec. 38.730
                and will be scored as specified in the NOFA, as set forth in Sec.
                38.725.
                 (b) Selection of recipients. All complete applications will be
                scored using the criteria in paragraph (a) of this section and ranked
                in order of highest to lowest total score. NOFA announcements may also
                clarify the selection criteria in paragraph (a) of this section. The
                relative weight (point value) for each selection will be specified in
                the NOFA. VA will award any VLGP grant on the primary basis of the
                scores but will also consider a risk assessment evaluation.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.745 Disposition of applications.
                 (a) Disposition of applications. Upon review of an application and
                dependent on availability of funds, VA will:
                 (1) Approve the application for funding, in whole or in part, for
                such amount of funds, and subject to such conditions that VA deems
                necessary or desirable;
                 (2) Determine that the application is of acceptable quality for
                funding, in that it meets minimum criteria, but disapprove the
                application for funding because it does not rank sufficiently high in
                relation to other applications to qualify for an award based on the
                level of funding available, or for another reason as provided in the
                decision document; or
                 (3) Defer action on the application for such reasons as lack of
                funds or a need for further review.
                 (b) Notification of disposition. VA will notify the applicant in
                writing of the disposition of the application. A signed grant agreement
                form, as defined in Sec. 38.755, will be issued to the applicant of an
                approved application.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.750 Withdrawal of grant application.
                 Applicants may withdraw a VLGP application submitted through
                [[Page 59039]]
                Grants.gov by writing the specified VA point of contact and including
                rationale for the withdrawal request within a certain number of days as
                determined in the NOFA.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.755 Grant agreement.
                 After a grant is approved for award, VA will draft a grant
                agreement to be executed by VA and the grantee. Upon execution of the
                grant agreement, VA will obligate the grant amount. The grant agreement
                will provide that the recipient agrees, and will ensure that each
                subrecipient (if applicable) agrees, to:
                 (a) Operate the program in accordance with the provisions of
                Sec. Sec. 38.710 through
                 38.785, 2 CFR part 200, and the applicant's VLGP application;
                 (b) Comply with such other terms and conditions, including
                recordkeeping and reports for program monitoring and evaluation
                purposes, as VA may establish in the Terms and Conditions of the grant
                agreement for purposes of carrying out the VLGP project in an effective
                and efficient manner; and
                 (c) Provide additional information that VA requests with respect
                to:
                 (1) Program effectiveness, as defined in the Terms and Conditions
                of the grant agreement;
                 (2) Compliance with the Terms and Conditions of the grant
                agreement; and
                 (3) Criteria for evaluation, as defined in the Terms and Conditions
                of the grant agreement.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.760 Payments under the grant.
                 (a) Grantees are to be paid in accordance with the timeframes and
                manner set forth in the NOFA.
                 (b) Availability of grant funds. Federal financial assistance will
                become available subsequent to the effective date of the grant as set
                forth in the grant agreement. Recipients may be reimbursed for costs
                resulting from obligations incurred before the effective date of the
                grant, if such costs are authorized by VA in the NOFA or the grant
                agreement or authorized subsequently by VA in writing, and otherwise
                would be allowable as costs of the grant under applicable guidelines,
                regulations, and terms and conditions of the grant agreement.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.765 Grantee reporting requirements.
                 (a) Final report. All grantees must submit to VA, not later than 60
                days after the last day of grant period for which a grant is provided
                under this part, a final report that meets the requirement set forth in
                the NOFA.
                 (b) Additional reporting. Additional reporting requirements may be
                requested by VA to allow VA to assess program effectiveness.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.770 Recovery of funds by VA.
                 (a) Recovery of funds. VA may recover from the grantee any funds
                that are not used in accordance with a grant agreement. If VA decides
                to recover such funds, VA will issue to the grantee a notice of intent
                to recover grant funds, and the grantee will then have 30 days to
                return the grant funds or submit documentation demonstrating why the
                grant funds should not be returned. After review of all submitted
                documentation, VA will determine whether action will be taken to
                recover the grant funds.
                 (b) Prohibition of additional VLGP payments. When VA makes a final
                decision to recover grant funds from the grantee, VA must stop further
                payments of grant funds under this part until the grant funds are
                recovered and the condition that led to the decision to recover grant
                funds has been resolved.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.775 Compliance review requirements.
                 (a) Site visits. VA may conduct, as needed, site visits to grantee
                locations to review grantee accomplishments and management control
                systems.
                 (b) Inspections. VA may conduct, as needed, inspections of grantee
                records to determine compliance with the provisions of this part. All
                visits and evaluations will be performed with minimal disruption to the
                grantee to the extent practicable.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.203)
                Sec. 38.780 Financial management.
                 (a) Compliance. All recipients will comply with applicable
                requirements of the Single Audit Act Amendments of 1996, as implemented
                by 2 CFR part 200.
                 (b) Financial Management. All grantees must use a financial
                management system that complies with 2 CFR part 200. Grantees must meet
                the applicable requirements of the Office of Management and Budget's
                regulations on Cost Principles at 2 CFR 200.400-200.475.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.400-200.475)
                Sec. 38.785 Recordkeeping.
                 Grantees must ensure that records are maintained in accordance with
                2 CFR 200.333. Grantees must produce such records at VA's request.
                (Authority: 38 U.S.C. 501(d), 2400 note and 2 CFR 200.333)
                [FR Doc. 2021-22999 Filed 10-25-21; 8:45 am]
                BILLING CODE 8320-01-P
                

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