(a) If no application for Native American grantee designation for an
area is filed, or if the Department has denied such application for that
area, the Department may designate and fund an entity to serve that
area, pending the final resolution of any Petitions for Reconsideration
or other actions taken pursuant to Sec. 632.13. An organization not
designated in whole or in part may also appeal to an ALJ under the
provisions of part 636. This further appeal will not in any way
interfere with the Department's designation and funding of another
organization to serve the area in question. The available remedy under
such an appeal will be the right to be designated in the future rather
than a retroactive or immediately effective designation status.
Therefore, in the event the ALJ rules that the organization should have
been designated and the organization continues to meet the requirements
at Secs. 632.10 and 632.11, the Department will designate the successful
appellant organization and fund within 90 days of the ALJ decision
unless the end of the 90 day period is within six months of the end of
the two year designation period. Any organization designated or funded
for the area in question would be affected by this remedial action and
undesignated. All parties must agree to this arrangement prior to
funding. The alternate organization which loses its designation as a
result of the application of this remedy may not appeal the
undesignation.
(b) If the grant officer finally disapproves a CAP pursuant to
Sec. 632.21 he/she may withdraw the Native American grantee's
designation and immediately designate another entity to serve the area,
pending the final resolution of any Petitions for Reconsideration or
other actions taken pursuant to part 636.
(c) If a Native American grantee's CAP is terminated or suspended in
whole or in part, the Department (after an opportunity for a hearing
except in emergency situations as described in section 164(f) of the
Act) may designate another entity to serve the area.
(d) If it is not feasible for the Department to designate another
entity to serve the area under the conditions described in paragraphs
(a), (b), and (c) of this section, the funds involved may be distributed
at the Secretary's discretion to Native American grantees serving other
areas.
