Previous Section

Content Last Revised: 10/20/83
---DISCLAIMER---

CFR  

Code of Federal Regulations Pertaining to ETA

Title 20  

Employees' Benefits

 

Chapter V  

Employment and Training Administration, Department of Labor

 

 

Part 633  

Migrant and Seasonal Farmworker Programs

 

 

 

Subpart C  

Program Design and Administrative Procedures

20 CFR 633.322 - Sanctions for violation of the Act.

  • Section Number: 633.322
  • Section Name: Sanctions for violation of the Act. 
    (a) Pursuant to sections 164 (d), (e), (f), (g), and (h) of the Act, 

the Secretary may impose appropriate sanctions and corrective actions 

for violations of the Act, regulations, or grant terms and conditions. 

Additionally, sanctions may include the following:

    (1) Offsetting debts, arising from misexpenditure of grant funds, 

against amounts to which the grantee is or may be entitled under the 

Act, except as provided in section (e)(1) of the Act. The debt shall be 

fully satisfied when the Secretary reduces amounts allotted to the 

grantee by the amount of the misexpenditure; and

    (2) Determining the amount of Federal cash maintained by the grantee 

or its subgrantee or contractor in excess of reasonable grant needs, 

establishing a debt for the amount of such excessive cash, and charging 

interest on that debt.

    (b) Except for actions under section 164(f) and 167 of the Act, to 

establish a debt or violation subject to sanction and/or corrective 

action, the Secretary shall utilize initial and final determination 

procedures outlined in 20 CFR part 636.

    (c) To impose a sanction or corrective action regarding a violation 

of section 167 of the Act, the Secretary shall utilize the procedures of 

29 CFR part 31.

    (d) (1) The Secretary shall hold the grantee responsible for all 

funds under the grant. The grantee shall hold its subgrantees and 

contractors responsible for JTPA funds received through the grant.

    (2) The Secretary shall determine the liability of the grantee for 

misexpenditures of grant funds in accordance with section 164(e) of the 

Act, including the requirement that the grantee shall have taken prompt 

and appropriate corrective actions for misexpenditures by a subgrantee 

or contractor.

    (3) Prompt, appropriate, and aggressive debt collection action to 

recover any funds misspent by subgrantees or contractors ordinarily 

shall be considered a part of the corrective action required by section 

164(e)(2)(D) of the Act.

    (4) In making the determination required by section 164(e)(2) of the 

Act, the Secretary may determine, based on a request from the grantee, 

that the grantee may forego certain collection actions against a 

subgrantee or contractor where that subgrantee or contractor was not at 

fault with respect to the liability criteria set forth in section 

164(e)(2)(A) through section 164(e)(2)(D) of the Act. The Secretary 

shall consider such requests in assessing whether the grantee's 

corrective action was appropriate in light of section 164(e)(2)(D) of 

the Act.

    (5) The grantee shall not be released from liability for misspent 

funds under the determination required by section 164(e) of the Act 

until the Secretary determines that further collection action, either by 

the grantee or subgrantee or contractor, would be inappropriate or would 

prove futile.

    (e) Nothing in this section shall preclude the Secretary from 

imposing a sanction directly against a subgrantee or contractor as 

authorized in section 164(e)(3) of the Act. In such a case, the 

Secretary shall inform the grantee of the Secretary's action.
Previous Section