RESEARCH GRANTS AND TITLE TO EQUIPMENT PURCHASED UNDER GRANTS

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP74B00535R000100180005-0
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 3
• Document Creation Date: December 19, 2016
• Document Release Date: November 15, 2005
• Sequence Number: 5
• Publication Date: February 18, 1970
• Content Type: REGULATION

Number 254-25 Special Rules 0 R u!alions
-- 70
[1l 7543)
. ? 273.3 Definitions. As used herein, the
following definitions apply:
(a)" Grant. An award of funds or equip-
ment included in a written agreement exe-
cuted by a grantor agency of the Department
of Defense through its contracting activities
under the authority of P. 1.. 85-934.
(b) Grantor agency. DoD Component. au-
thorized hereby to make grants in support
of tesearch.
purpose is the conduct of scientific research,
not organized for profit, no part of whose
net earnings inures to the profit of any
private shareholder or individual.
[f 7544)
273 1, Policy. The awarding of research
grants and vesting of title to equipment
purchased with research funds in the grantee
organizations increases Department of De-
fense flexibility in arranging for the con-
duct of pertinent research, and generally
serves the objectives of both the grantee
and the DoD; this policy shall be applied
as (follows:
(a) A grant will be used, instead of a
contract, for the support of research when
authorized by P. L. 85-934 and determined
best to further DoD objectives. Grants shall
generally not be made for more than 5 years.
(1) In making the determination, con-
sideration shall be given to the nature and
scope of the research, and such factors as
the relative simplicity in execution, ease in
administration, and latitude in payment ar-
rangements permitted by the grant.
(2) Prior to awarding a grant, the re-
sponsible DoD Component will determine
that the grantee institution has furnished a
letter of assurance that it is complying with
the provisions of P. L. 88-352 "The Civil
Rights. Act of 1964," as outlined in DoD
Directive 500.11, "Nondiscrimination in
Federally Assisted Programs," December
28, 1961 (Part 300 of this chapter) (29 F. R.
19291).
(3) Compliance must be assured with
limitations such as those contained in P. L.
89-213, "Department of Defense Appropria-
tion Act, 1966," section 63S, which specified
that "none of the funds provided herein
shall be used to pay any recipient bf a grant
for the conduct of a research project an
amount equal to as much as the entire cost
? .17544
' (c) Rescarck. All effort directed toward
.increased' knowledge-of natural phenomena
and environment and efforts directed toward
the solution of problems in the physical,
behavioral, engineering, environmental, social,
and biomedical sciences.
(d)' Educatforal inslitution of other non-
profit organi:ation.. Any corporation, founda-
tion, trust or institution operated for purposes
of higher education or whose primary
Government Contracts Reports
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`.
(32 CFR PART 273, 31 F. R. 5007, originally issued as DoD
-Directive 3210.2 and amended April 26, 1966)
TABLE OF CONTENTS . ' .
Sec. Paragraph Sec. . Paragraph
273.1 Purpose ....................... ....: 7511 273.5 Responsibility and authority...... , 7&15
273.2 Applicability and scope............ '7542 273.6. Grant agreements ................. 7516
273.3 Definitions . .. .. .... .. ............. 7513 273.7 Administration of grants........... 7547
273.4 Policy .............................. 7514 273.8 Reporting .......................... 7518
tse 2006/02/06, CIA-RDP74B005351W100180005-0
Purchased Under Granis
[ SI 7540)
7541)
? 273.1 Purpose; This part-
(a) Establishes uniform Department of
-Defense policy for (1) making grants for
the support of scientific research and (2)
vesting title under grants to equipment pur-
chased with research funds.
(b) Delegates authority of the Secretary
of Defense under P. L. 85-934, "An Act to
Authorize the Expenditure of Funds Through
Grants for Support of Scientific Research
and for Other Purpbses," approved Septcm-
-ber 6, 1958.
[1( 7542) ' .
? 273.2 Applicability and scope. The pro-
visions of this part apply to all DoD Corn-
ponents delegated authority under ? 273.5
to enter irito grant agreements, or assigned
administrative responsibilities for awarding
scientific research grants to educational in-
stitutions and other nonprofit organizations.
 /~ ~.C~ i Nurnbcr 254-26
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of such project," and any similar later
enactments.
(4) The-award of foreign grants will fol-
low Department of Defense policies for
procurements of scientific and technical
knowledge resulting in expenditures outside
the United States. See section VI, part S.
of the Armed Services Procurement Regu-
lation now set forth in Defense Procure-
rnent Circular 29 dated June 4, 1965.
(b) Pursuant to BoB Circular A-74, "Par-
ticipation h the Costs of Research Supported
by Federal Grants," December 13, 1965,
grantees with funds from a non-Federal
source must share in the cost of a research
project on more than a token basis. Partici-
pation in the costs of research by such insti-
tutions or organizations reflects mutuality
of interest. Grantor agencies should gener-
ally continue their present policies and prac-
tices concerning the extent of cost participation
.by grantee institutions: .
(1) Except for increased indirect cost
allowances which may. be paid as a result
of the removal of statutory limitations on
-payment of such allowauces;
(2) ' Except that in cases where grantor
agencies would otherwise pay all research
costs, the. applicant institution must share
in such research costs on more than a token
basis.
The amount of cost participation shall be
determined on an . individual grant basis,
and no fixed amount or rate shall be estab-
lished for general application. However, it
is suggested that in most cases cost par-
ticipation should principally be part, or all,
of the salaries of permanent staff members
participatitig in the research.
(c) Title to all or any part of the equip-
ment purchased with research grant funds
may be vested in the grantee organization
which conducted or will conduct the re-
search. Prior to vesting title, pursuant to
P. L. 85-934, a determination must be made
that such action furthers the objectives of
the DoD. In making this determination,
such factors as the following shall be
considered:
(1) The retention of title in the Dot)
creates an administrative burden not war-
ranted by the valuc?of the equipment.
(2) The administration and keeping of
records by the grantee organization becomes
prohibitively complicated or expensive.
. '(3) The expense involved in redistribut-
ing or relocating -particular equipment ex-
ceeds the value of the equipment.
97545
(d) The services of the Defense Docu-
mentation Center, Defense Supply Agency,
will be provided to Dol) grantee organiza-
tions in the same manner as to DoD Con-
tractors.
? 273.5 Responsibility and authority. (a)
The Director, Defense Research and Engi-
neering, will administer the provisions of
this part:
,(b) Grants in excess of $1 million will be
approved only by the Secretary or Deputy
Secretary of Defense.
(c) The authority vested in the Secretary
of Defense by sections 1 and 2 of P. L.
85-93'r is hereby delegated to the Director
of Defense Research and Engineering and
the Secretaries of the Military Departments
for grants of $1 million or less. This au-
thority may be redelegated to DoD research
activities whose responsibilities include the
support of research at educational institu-
tions and other nonprofit organizations, as
defined in ? 273.3(d), for grants of $500,000
[ff 75461
?273.6- Grant agreements. Grant agree-
ments shall be brief, containing only those
provisions required by statutes, or for the
protection of the fundamental interests of
the Government. Provision shall be made for:
(a) Grantee's cost participation, pursuant
to P. L. 89-213;
(b) Maintenance of adequate records to
document the actual amount of cost partici-
pation, and for a determination that grant
funds were properly expended;
(c) Patent and data rights, pursuant to
section IX of the Armed Services Pro-'
curement Regulation (Part 9 of this chap-
ter); and
(d) Revocation of the grant; and
(c) The use of GSA supply sources if
appropriate. This will be accomplished by
a letter of authorization provided to the
grantee by the grantor with a copy to the
GSA. The letter of authorization must
reference this Directive in order to identify
the authorization as being related to a
research grant. [Change 1, 1/26/70].
[Q 75471
? 273.7 Administration of grants. (a)
Requests for grants must include:
(1) The amounts requested for (i) direct
expenses, by category, and (ii) indirect ex-
penses related thereto; ?
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 Approved'For
(DOD Directive 4220.5, July 17,1963.)
'CABLE OF CONTENTS
1. Purpose 17556
75
11. Back.-round .......................1 7557
III. Definitions .........................1 7555
IV. Procedures .......................1 7559
(2) The total grant request; and
(3) The amount, by category, which the
institution proposes as its cost sharing .con-
tribui on, from non-Federal sources, to the
planned research.
(b) Applicable cost principles of parts
2 or 3 of section XV of the Armed Services
Procurement Regulation (?? 15.201-15.205-47
or ?? 15.301-?15.307-3 of this chapter) wi!l
? be, used in establishing the grant amount.
Costs which are not allowable under those
parts may not be included in the grantee's
cost contribution. Appendices B. and C.
to the Armed Services Procurement Reber-
lation (?? 30.? and 30.3 of this chapter) pro-
vide guidance in the handling of property to
which the Federal Government retains title.
(c) Grantor agencies awarding grants will
require grantees to maintain sufficient rec-
[ff 7556]
form. policy and procedures for irnple-
vember 30, 1962; 3531, dated April 19, 1963;
and 35-1.1, dated June 1 X1963.
1959; 3386, dated December 1960; 3399,
dated January 17, 1961; 09, dated No-
. leurn, Products into the United Stag,"
Subject: Administration of Presidential Proc-
lamation 3279, dated March 10, 19.59, as
onrcnJed, Pctrolcum Product Imports.
References:
(a) Presidential Proclamation 3279, "Ad-
(b) DoD Direct' e 4220.5, "Administra-
tion of President' Proclamation 3279, dated
March 10, 19 , Petroleum Product Im-
ports;' dated Aril 9, 1959, (cancelled herein).
2 Now Office of Emergency Planning.
Government Ccrrtracts Reports
4409
ords to demonstrate that their actual con-
tributions are riot less, ptoportiouately, than
those originally negotiated. A grantee's
cost contribution will be subject to a DoD
audit. .
(d) The Defense Contract Audit Agency
'(DCAA) will assist in the auditing of
grants, including cost contribution audits,
upon request of the responsible grantor
[11 7548] .
? 273.8 Reporting. The annual report's
to the Congress and to the Bureau of the
Budget, pursuant to section 3 and para-
graph 6 of P. L. 85-934 and BoB Circular
A-74, respectively, will be prepared in ac-
cordance with procedures issued by the
Assistant Secretary of Defense (Installa-
tions and Logistics).
VI., Cancellation ...../ ..............1 7561
fcrence (a) within the Depart-
[ff 7557]
II. Background.-ln promulgating refer-
ence (a) the President, acting upon the
advice of the Director, Office of Civil and
Defense Mobilization; given on February
27, 1959, determined pursuant to Section 2
of the Act of July 1, 1954, as amended (72
Stat. 678, 19 USC 1352a), (1) that adjust-
ments must be made in the imports of crude
oil, unfinished oils and finished products so
.that imports will not threaten to impair the
national security and (2) that no depart-
ment, establishment, or agency of the United
States shall import finished products in
excess of the respective allocations made to
them by the Secretary of the Interior:
Separate allocations will be made for re-
sidual fuel oils to be used as fuel and for
other finished products in Districts 1-IV,
District V and Puerto Rico. Pursuant to
at
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