20 CFR 641.440 - Are there responsibility conditions that alone will disqualify an applicant?

§ 641.440 Are there responsibility conditions that alone will disqualify an applicant?

(a) Yes, an applicant may be disqualified if

(1) Either of the first two responsibility tests, a or b, listed in § 641.430 is not met, or

(2) The applicant substantially, or persistently for two or more consecutive years, fails one of the other responsibility tests listed in § 641.430.

(b) The second responsibility test addresses “fraud or criminal activity of a significant nature.” The Department will determine the existence of significant fraud or criminal activity which typically will include willful or grossly negligent disregard for the use or handling of, or other fiduciary duties concerning, Federal funding, where the grantee has no effective systems, checks, or safeguards to detect or prevent fraud or criminal activity. Additionally, significant fraud or criminal activity will typically include coordinated patterns or behaviors that pervade a grantee's administration or are committed by the higher levels of a grantee's management or authority. The Department will determine whether “fraud or criminal activity of a significant nature” has occurred on a case-by-case basis, regardless of what party identifies the alleged fraud or criminal activity.

Title 20 published on 07-Apr-2017 03:18

The following are ALL rules, proposed rules, and notices (chronologically) published in the Federal Register relating to 20 CFR Part 641 after this date.

  • 2012-01-31; vol. 77 # 20 - Tuesday, January 31, 2012
    1. 77 FR 4654 - Senior Community Service Employment Program; Final Rule, Additional Indicator on Volunteer Work
      GPO FDSys XML | Text
      DEPARTMENT OF LABOR, Employment and Training Administration
      Final rule.
      Effective date: This final rule is effective March 1, 2012. The information collection requirements contained in this rule have been submitted to OMB for approval; however, that approval is pending. Upon OMB concluding its review, the Department will publish a subsequent notice to announce OMB's action on the request and when the information collections will take effect.
      20 CFR Part 641
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